Genii Ideas Company Limited
Parent Company Only Financial Statements for the Year Ended December 31, 2025 and 2024 and Independent Auditors’ Report

For the convenience of readers and for information purpose only, the auditors’ report and the accompanying financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. In the event of any discrepancy between the English version and the original Chinese version or any differences in the interpretation of the two versions, the Chinese-language auditors’ report and financial statements shall prevail.

Independent Auditors’ Report

To the Board of Directors and Shareholders of Genii Ideas Company Limited

Opinion

We have audited the accompanying parent company only balance sheets of Genii Ideas Company Limited as of December 31, 2025 and 2024, and the related parent company only statements of comprehensive income, changes in equity, and cash flows for the years then ended, as well as the notes to the parent company only financial statements, including a summary of significant accounting policies (collectively referred to as the “parent company only financial statements”).

In our opinion, the accompanying parent company only financial statements present fairly, in all material respects, the parent company only financial position of Genii Ideas Company Limited as of December 31, 2025, and 2024, as well as parent company only financial performance and parent company only cash flows for the years then ended, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations, and SIC Interpretations endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

Basis for Opinion

We conducted our audits in accordance with the Regulations Governing Financial Statement Audit and Attestation Engagement of Certified Public Accountants and the Standards on Auditing of the Republic of China. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Parent company only Financial Statements section of our report. We are independent of Genii Ideas Company Limited in accordance with the Norm of Professional Ethics for Certified Public Accountants of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the parent company only financial statements of Genii Ideas Company Limited for the year ended December 31, 2025. These matters were addressed in the context of our audit of the parent company only financial statements as a whole, and in

forming our opinion thereon, and we do not provide a separate opinion on these matters.

Revenue recognition

The construction revenue of Genii Ideas Company Limited is recognized over time based on the stage of completion, with the stage of completion measured by the proportion of contract costs incurred for work performed to date relative to the estimated total contract costs. When contracts are subject to additions or reductions, the costs incurred and estimated total costs are reassessed, and the percentage of completion is recalculated based on the adjusted costs. The accuracy of construction revenue recognition is affected by whether the stage of completion and the estimated total costs of construction are appropriately estimated. Therefore, we have determined that the testing of revenue recognition is a key audit matter.

Our audit procedures included, but were not limited to, evaluating the appropriateness of the accounting policies adopted for revenue recognition; assessing and testing the design and operating effectiveness of internal controls established by management over revenue recognition, including those related to the estimation of the percentage of completion and the accuracy of contract revenue calculations; selecting and examining customer contracts to confirm the total contract consideration; obtaining project input schedules and inspecting supporting documentation, such as quotations and cost evaluation records, to verify the reasonableness of estimated total costs; inspecting supporting evidence for costs incurred to verify that input costs were appropriately recorded; recalculating contract revenues and verifying their consistency with the percentage-of-completion method; and, for projects with significant changes during the reporting period, inspecting project change evaluation documents to assess whether the calculation of the percentage of completion and the recognition of contract revenues were appropriate.

The auditor also considered the appropriateness of the disclosures related to revenue as set forth in Notes 4 and 6 to the parent company only financial statements.

Responsibilities of Management and Those Charged with Governance for the Parent company only Financial Statements

Management is responsible for the preparation and fair presentation of the parent company only financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations, and SIC Interpretations endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Management is also responsible for establishing and maintaining the necessary internal controls relevant to the preparation of parent company only financial statements to ensure that

such financial statements are free from material misstatement, whether due to fraud or error.

In preparing the parent company only financial statements, management is responsible for assessing the ability of Genii Ideas Company Limited to continue as a going concern, disclosing, as applicable, matters related to going concern, and using the going concern basis of accounting unless management either intends to liquidate Genii Ideas Company Limited or to cease operations, or has no realistic alternative but to do so.

Those charged with governance of Genii Ideas Company Limited (including the Audit Committee) are responsible for overseeing the financial reporting process.

Auditor’s Responsibilities for the Audit of the Parent company only Financial Statements

Our objectives are to obtain reasonable assurance about whether the parent company only financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with auditing standards will always detect a material misstatement when it exists in the parent company only financial statements. Misstatements can arise from fraud or error. If misstatements, individually or in the aggregate, could reasonably be expected to influence the economic decisions of users taken on the basis of these parent company only financial statements, they are considered material.

In conducting our audit in accordance with auditing standards, we exercised professional judgment and maintained professional skepticism throughout the audit. We also performed the following procedures:

Identify and assess the risks of material misstatement of the parent company only financial statements, whether due to fraud or error, design and perform audit procedures responsive to those assessed risks, and obtain sufficient and appropriate audit evidence to provide a basis for the audit opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control of Genii Ideas Company Limited.
Evaluate the appropriateness of accounting policies adopted by management and the reasonableness of accounting estimates and related disclosures made by management.

Conclude on the appropriateness of management’s use of the going concern basis of accounting and whether, based on the audit evidence obtained, a material uncertainty exists related to events or conditions that may cast significant doubt on the ability of Genii Ideas Company Limited to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the parent company only financial statements or, if such disclosures are inadequate, to modify our opinion accordingly. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause Genii Ideas Company Limited to cease to continue as a going concern.
Evaluate the overall presentation, structure, and content of the parent company only financial statements, including the disclosures, and assess whether the parent company only financial statements, as a whole, represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities within the group to express an opinion on the parent financial statements. We are responsible for the direction, supervision, and performance of the group audit, and we remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control identified during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and we communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and, where applicable, the related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the parent company only financial statements of Genii Ideas Company Limited for the year 2025 and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Huang, Ching Ya

Lo, Wen Chen

Ernst & Young, Taiwan

March 10, 2026

The accompanying parent company only financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles generally accepted in countries and jurisdictions other than the Republic of China. The standards, procedures and practices in the Republic of China governing the audit of such financial statements may differ from those generally accepted in countries and jurisdictions other than the Republic of China. Accordingly, the accompanying parent company only financial statements and independent auditors' report are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice.

GENII IDEAS COMPANY LIMITED
PARENT COMPANY ONLY BALANCE SHEETS
DECEMBER 31, 2025 AND 2024
(In Thousand of New Taiwan Dollars)

ASSETS	Notes	December 31, 2025		December 31, 2024
		Amount	%	Amount	%
Current assets
Cash and cash equivalents	4,6(1)	$368,172	28	$169,669	17
Current contract assets	4,6(6),6(16 ),6(17)	422,639	32	379,381	38
Accounts receivable, net	4,6(2),6(17),7	160,408	12	192,543	19
Other receivables	7	4,238	-	1,898	-
Inventories	4,6(3)	28,350	2	20,820	2
Prepayments	6(4),7	48,754	4	7,942	1
Other current assets		250	-	1,341	-
Total current assets		1,032,811	78	773,594	77
Non-current assets
Financial assets at fair value through other comprehensive income-non-current	4,6(5)	-	-	1,567	-
Investments accounted for using equity method	4,6(7)	106,688	8	37,532	4
Property, plant and equipment	4,6(8),8	113,285	9	119,708	12
Right-of-use assets	4,6(18),7	12,146	1	14,231	1
Investment property	4,6(9),8	43,156	3	44,710	4
Intangible assets	4,6(10)	5,422	-	7,208	1
Deferred income tax assets	4,6(22)	5,339	-	5,921	1
Other non-current assets		8,544	1	2,140	-
Total non-current assets		294,580	22	233,017	23
Total assets		$1,327,391	100	$1,006,611	100

The accompanying notes are an integral part of the parent company only financial statements.

GENII IDEAS COMPANY LIMITED
PARENT COMPANY ONLY BALANCE SHEETS
DECEMBER 31, 2025 AND 2024
(In Thousand of New Taiwan Dollars)

LIABILITIES AND EQUITY	Notes	December 31, 2025		December 31, 2024
		Amount	%	Amount	%
Current liabilities
Current contract liabilities	4,6(6),6(16)	$48,741	4	$71,458	7
Accounts payable	7	135,725	10	142,986	14
Other payables	6(11)	105,682	8	86,495	9
Current income tax liabilities	4	15,757	1	10,267	1
Current provisions	4	1,959	-	3,653	-
Current lease liabilities	4,6(18),7	6,177	1	5,103	1
Current portion of long-term borrowings	4,6(12)	18,922	1	18,250	2
Other current liabilities		3,023	-	1,036	-
Total current liabilities		335,986	25	339,248	34
Non-current liabilities
Long-term borrowings	4,6(12)	131,245	10	132,333	13
Deferred income tax liabilities	4,6(22)	3,186	-	322	-
Non-current lease liabilities	4,6(18),7	6,283	1	9,471	1
Other non-current liabilities – others		9,757	1	15,346	1
Total non-current liabilities		150,471	12	157,472	15
Total liabilities		486,457	37	496,720	49
Equity	6(14)
Share capital
Ordinary Shares		201,420	15	168,000	17
Capital surplus		338,042	25	100,758	10
Retained earnings
Legal reserve		73,485	6	64,298	6
Special reserve		13,479	1	10,040	1
Unappropriated earnings		225,865	17	178,626	18
Total retained earnings		312,829	24	252,964	25
Other equity		(11,357)	(1)	(11,831)	(1)
Total equity		840,934	63	509,891	51
Total liabilities and equity		$1,327,391	100	$1,006,611	100

The accompanying notes are an integral part of the parent company only financial statements.

GENII IDEAS COMPANY LIMITED
PARENT COMPANY ONLY STATEMENTS OF COMPREHENSIVE INCOME
DECEMBER 31, 2025 AND 2024
(In Thousand of New Taiwan Dollars)

Description	Notes	2025		2024
		Amount	%	Amount	%
Operating revenue	4,6(6),6(16),7	$927,183	100	$847,842	100
Operating cost	6(3),6(19),7	(657,426)	(71)	(583,689)	(69)
Gross profit		269,757	29	264,153	31
Operating expenses	6(19),7
Selling expenses		(19,766)	(2)	(13,986)	(2)
Administrative expenses		(94,389)	(10)	(93,584)	(11)
Research and development expenses		(21,911)	(2)	(13,018)	(1)
Total operating expenses		(136,066)	(14)	(120,588)	(14)
Operating profit		133,691	15	143,565	17
Non-operating income and expenses	4,6(20),7
Interest income		2,464	-	1,708	-
Other income		3,508	-	1,856	-
Other gains and losses		1,273	-	(21,060)	(2)
Finance costs		(2,652)	-	(2,174)	-
Share of profits(losses) of subsidiaries and associates	6(7)	16,495	2	(4,656)	(1)
Total non-operating income and expenses		21,088	2	(24,326)	(3)
Net income before income tax		154,779	17	119,239	14
Income tax expense	4,6(22)	(28,327)	(3)	(26,725)	(3)
Net income		126,452	14	92,514	11
Other comprehensive income	4,6(7),6(21),6(22)
Items that will not be reclassified to profit or loss
Unrealized gains (losses) on equity investments at fair value through other comprehensive income		(1,567)	-	(3,320)	-
Income tax relating to items that will not be reclassified to profit or loss		315	-	664	-
Items that may be reclassified subsequently to profit or loss
Exchange differences resulting from translating the financial statements of foreign operations		2,157	-	(605)	-
Income tax relating to items that may be reclassified to profit or loss		(431)	-	121	-
Other comprehensive income(loss), net of tax		474	-	(3,140)	-
Total comprehensive income		$126,926	14	$89,374	11
Earnings per share(NTD)	6(23)
Basic earnings per share		$6.56		$5.51
Diluted earnings per share		$6.46		$5.36

The accompanying notes are an integral part of the parent company only financial statements.

GENII IDEAS COMPANY LIMITED
PARENT COMPANY ONLY STATEMENTS OF CHANGES IN EQUITY
DECEMBER 31, 2025 AND 2024
(In Thousand of New Taiwan Dollars)

Description	Equity Attributable to Shareholders of the Parent							Total equity
	Share capital	Capital surplus	Retained earnings			Other equity
			Legal reserve	Special reserve	Unappropriated earnings	Exchange differences resulting from translating the financial statements of foreign operations	Unrealized gains (losses) from financial assets measured at fair value through other comprehensive income
Balance as of January 1, 2024	$168,000	$90,820	$52,811	$8,075	$170,124	$ -	$(8,691)	$481,139
Appropriation and distribution of earnings
Legal reserve	-	-	11,487	-	(11,487)	-	-	-
Special reserve	-	-	-	1,965	(1,965)	-	-	-
Cash dividends	-	-	-	-	(70,560)	-	-	(70,560)
Net income for the year ended December 31, 2024	-	-	-	-	92,514	-	-	92,514
Other comprehensive income for the year ended December 31, 2024	-	-	-	-	-	(484)	(2,656)	(3,140)
Total comprehensive income	-	-	-	-	92,514	(484)	(2,656)	89,374
Share-based payment transactions	-	9,938	-	-	-	-	-	9,938
Balance as of December 31, 2024	$168,000	$100,758	$64,298	$10,040	$178,626	$(484)	$(11,347)	$509,891
Balance as of January 1, 2025	$168,000	$100,758	$64,298	$10,040	$178,626	$(484)	$(11,347)	$509,891
Appropriation and distribution of earnings
Legal reserve	-	-	9,187	-	(9,187)	-	-	-
Special reserve	-	-	-	3,439	(3,439)	-	-	-
Cash dividends	-	-	-	-	(66,587)	-	-	(66,587)
Net income for the year ended December 31, 2025	-	-	-	-	126,452	-	-	126,452
Other comprehensive income for the year ended December 31, 2025	-	-	-	-	-	1,726	(1,252)	474
Total comprehensive income	-	-	-	-	126,452	1,726	(1,252)	126,926
Capital increase in cash	30,000	212,371	-	-	-	-	-	242,371
Share-based payment transactions	3,420	24,913	-	-	-	-	-	28,333
Balance as of December 31, 2025	$201,420	$338,042	$73,485	$13,479	$225,865	$1,242	$(12,599)	$840,934

The accompanying notes are an integral part of the parent company only financial statements.

GENII IDEAS COMPANY LIMITED
PARENT COMPANY ONLY STATEMENTS OF CASH FLOWS
DECEMBER 31, 2025 AND 2024
(In Thousand of New Taiwan Dollars)

Description	2025	2024
	Amount	Amount
Cash flow from operating activities:
Net income before income tax	$154,779	$119,239
Adjustment for:
The profit or loss items which did not affect cash flows:
Depreciation expense	24,012	20,016
Amortization expenses	2,232	2,201
Interest expense	2,652	2,174
Interest income	(2,464)	(1,708)
Share-based payment expense	8,839	9,938
Share of losses(profits) of subsidiaries and associates	(16,495)	4,656
Losses on disposal or retirement of property, plant and equipment	-	115
Unrealized gain on foreign currency exchange	(1,744)	-
Gain on lease modification	-	(102)
Other losses	-	20,304
Changes in operating assets and liabilities:
Contract assets	(43,258)	(63,795)
Accounts receivable	33,107	(113,540)
Other receivables	(2,186)	367
Inventories	(7,530)	4,590
Prepayments	(40,746)	2,788
Other current assets	1,091	650
Contract liabilities	(22,717)	26,952
Accounts payable	(7,261)	61,777
Other payables	(2,171)	2,424
Provisions	(1,694)	2,524
Other current liabilities	1,987	387
Cash inflow generated from operatings	80,433	101,957
Interest received	2,464	1,708
Interest paid	(2,324)	(1,690)
Income tax paid	(19,507)	(57,880)
Net cash inflow from operating activities	61,066	44,095
Cash flow from investing activities:
Acquisition of investments accounted for using equity method	(50,504)	(42,793)
Acquisition of property, plant and equipment	(11,504)	(101,819)
Disposal of property, plant and equipment	2	18
Refundable deposits decrease(increase)	(5,804)	3,255
Acquisition of intangible assets	(512)	(658)
Acquisition of right-of-use assets	-	(95)
Acquisition of investment property	-	(45,358)
Increase in other non-current assets	(600)	-
Increase in advance payments for equipment	-	(264)
Net cash flows used in investing activities	(68,922)	(187,714)
Cash flows from financing activities:
Increase in short-term borrowings	20,000	40,950
Decrease in short-term borrowings	(20,000)	(50,950)
Increase in long-term borrowings	30,000	140,000
Repayment of long-term borrowings	(30,416)	(6,000)
Decrease (increase) in guarantee deposits received	(114)	233
Repayment of lease principal	(6,586)	(7,355)
Decrease in other non-current liabilities	-	(115)
Cash dividends paid	(48,390)	(58,800)
Capital increase in cash	242,371	-
Exercise Employee Stock Options	19,494	-
Net cash inflow from financing activities	206,359	57,963
Net increase(decrease) in cash and cash equivalents	198,503	(85,656)
Cash and cash equivalents at the beginning of the year	169,669	255,325
Cash and cash equivalents at the end of the year	$368,172	$169,669

The accompanying notes are an integral part of the parent company only financial statements.

Genii Ideas Company Limited
Notes to the Parent Company Only Financial Statements
For the Years Ended December 31, 2025 and 2024
(All amounts are expressed in thousands of New Taiwan Dollars, unless otherwise specified.)

1. Company History

Genii Ideas Company Limited (hereinafter referred to as the "Company") was incorporated on January 23, 2018. The Company is primarily engaged in the planning, design, and construction of utility supply systems for high-tech industrial facilities, including secondary piping systems for bulk and specialty gases, as well as the development, manufacturing, and sales of related process equipment components. The Company was approved for public offering on July 7, 2023, and its shares have been listed on the Taiwan Stock Exchange since March 13, 2025. The Company is registered and headquartered at 9F., No. 231, Linsen Rd., East District, Hsinchu City, Taiwan.

2. Date and Procedures of Financial Statement Approval

The parent company only financial statements for the years ended December 31, 2025 and 2024 were approved for issuance by the Board of Directors on March 10, 2026.

3. Adoption of Newly Issued and Revised Standards and Interpretations

(1) Changes in Accounting Policies Arising from the First-time Adoption of IFRS

The company has adopted the International Financial Reporting Standards (IFRSs), International Accounting Standards (IASs), IFRIC Interpretations, and SIC Interpretations that have been endorsed by the Financial Supervisory Commission (FSC) and are applicable for annual periods beginning on or after January 1, 2025. The initial application of these newly issued or amended standards and interpretations did not have a material impact on the company.

(2) As of the date the financial statements were approved and authorized for issue, the Company has not adopted the following new, revised, and amended standards or interpretations issued by the International Accounting Standards Board (IASB) and endorsed by the FSC:

Item	Newly Issued / Revised / Amended Standards and Interpretations	Effective Date as Issued by the IASB
1	IFRS 17 “Insurance Contracts”	January 1, 2023
2	Amendments to the Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7)	January 1, 2026
3	Annual Improvements to IFRS Accounting Standards –	January 1, 2026

Item	Newly Issued / Revised / Amended Standards and Interpretations	Effective Date as Issued by the IASB
	Volume 11
4	Contracts Referencing Nature-dependent Electricity (Amendments to IFRS 9 and IFRS 7)	January 1, 2026

A.IFRS 17 "Insurance Contracts"

This Standard provides a comprehensive model for insurance contracts, covering all aspects of accounting, including recognition, measurement, presentation, and disclosure. The core of the Standard is the general model, under which insurance contract groups are initially measured as the total of the fulfilment cash flows and the contractual service margin. At the end of each reporting period, the carrying amount of the insurance contracts is the sum of the liability for remaining coverage and the liability for incurred claims.

In addition to the general model, the Standard also provides a specific approach for contracts with direct participation features—the variable fee approach—as well as a simplified approach for short-duration contracts—the premium allocation approach.

After its initial issuance in May 2017, the Standard was subsequently amended in 2020 and 2021. These amendments included a two-year deferral of the effective date in the transitional provisions (from the original January 1, 2021 to January 1, 2023) and the introduction of additional exemptions. They also aimed to reduce the cost of implementing the Standard by simplifying certain requirements and to improve the clarity of specific provisions. Upon its effective date, the Standard will replace the interim standard, IFRS 4 Insurance Contracts.

B.Amendments to the Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7)

These amendments include:

a. Clarification that a financial liability is derecognized on the settlement date, and guidance on the accounting treatment for financial liabilities settled through electronic payment systems before the settlement date.
b. Clarification on how to assess the contractual cash flow characteristics of financial assets with environmental, social and governance (ESG)-linked features or other similar contingent features.
c. Clarification of the treatment of non-recourse financial assets and contractually

linked instruments.

d. IFRS 7 requires additional disclosures for financial assets or financial liabilities with terms related to contingent features (including ESG-linked features), as well as for equity instruments classified as at fair value through other comprehensive income.

C. Annual Improvements to IFRS Accounting Standards – Volume 11

a. Amendments to IFRS 1
b. Amendments to IFRS 7
c. Amendments to the Guidance on Implementing IFRS 7
d. Amendments to IFRS 9
e. Amendments to IFRS 10
f. Amendments to IAS 7

D. Contracts Referencing Nature-dependent Electricity (Amendments to IFRS 9 and IFRS 7)

These amendments include:

a. Clarification of the application of the "own-use" requirements.
b. Permission to apply hedge accounting when such contracts are designated as hedging instruments.
c. Additional note disclosure requirements to help investors understand the effects of such contracts on an entity's financial performance and cash flows.

The above newly issued and amended standards are effective for annual reporting periods beginning on or after January 1, 2026. The Company has assessed that their adoption will not have a material impact on its financial position and financial performance.

(3) As of the date the financial statements were approved and authorized for issue, the Company has not adopted the following new, revised, and amended standards or interpretations that have been issued by the IASB but not yet endorsed by the FSC:

Item	Newly Issued / Revised / Amended Standards and Interpretations	Effective Date as Issued by the IASB
1	Amendments to IFRS 10 “Consolidated Financial Statements” and IAS 28 “Investments in Associates and Joint Ventures” – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture	To be determined by the IASB
2	IFRS 18 “Presentation and Disclosure in Financial	January 1, 2027(Note)
	Investments in Financial Statements” – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture

Item	Newly Issued / Revised / Amended Standards and Interpretations	Effective Date as Issued by the IASB
	Statements”
3	Disclosure Initiative – Subsidiaries without Public Accountability: Disclosures (IFRS 19)	January 1, 2027
4	Translation to a Hyperinflationary Presentation Currency (Amendments to IAS 21 and IAS 29)	January 1, 2027

Note:On September 25, 2025, the FSC issued a press release announcing Taiwan's adoption of IFRS 18 in 2028.

A. Amendments to IFRS 10 “Consolidated Financial Statements” and IAS 28 “Investments in Associates and Joint Ventures”—Sale or Contribution of Assets between an Investor and its Associate or Joint Venture

This project addresses the inconsistency between IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint Ventures regarding the accounting treatment for the sale or contribution of a subsidiary to an associate or joint venture that results in the loss of control. IAS 28 requires that, when non-monetary assets are contributed in exchange for an equity interest in an associate or joint venture, the gain or loss shall be eliminated to the extent of the investor's interest, in accordance with the accounting treatment for downstream transactions. In contrast, IFRS 10 requires full recognition of gains or losses when control over a subsidiary is lost. This amendment limits the scope of the requirement under IAS 28. When the contributed assets constitute a business as defined in IFRS 3, the entire gain or loss shall be recognized in full.

This amendment also modifies IFRS 10 to require that, in transactions between an investor and its associate or joint venture, when the investor sells or contributes a subsidiary that does not constitute a business as defined in IFRS 3, the gain or loss shall be recognized only to the extent of the interests held by unrelated investors.

B. IFRS 18 “Presentation and Disclosure in Financial Statements”

This Standard will replace IAS 1 Presentation of Financial Statements. The main changes are as follows:

a. Enhancing comparability in the statement of profit or loss

The statement of profit or loss will classify income and expenses into five categories: operating, investing, financing, income tax, and discontinued operations. Among these, the first three are newly introduced categories. The objective is to

improve the structure of the profit or loss statement and require all entities to present newly defined subtotals, including operating profit or loss. By standardizing the structure and subtotals, investors will be able to start their analysis of financial performance on a more consistent basis and make comparisons across companies more effectively.

b. Increasing transparency of management performance measures

Entities will be required to disclose explanations of company-specific performance measures related to the statement of profit or loss, referred to as "management performance measures" (MPMs).

c. Improved aggregation of useful financial information

The Standard introduces application guidance on determining whether information should be presented in the primary financial statements or in the notes. This change is expected to lead to more detailed and useful information. Entities will also be required to provide more transparent information about operating expenses, helping investors to better locate and understand the information they use.

C. Disclosure Initiative – Subsidiaries without Public Accountability: Disclosures (IFRS 19)

The Standard simplifies disclosure requirements for subsidiaries without public accountability and allows eligible subsidiaries to voluntarily apply the Standard.

D. Translation to a Hyperinflationary Presentation Currency (Amendments to IAS 21 and IAS 29)

These amendments include:

a. clarifying that when a reporting entity whose functional currency is not the currency of a hyperinflationary economy translates its results of operations and financial position into a presentation currency of a hyperinflationary economy, such results of operations and financial position shall be translated at the closing exchange rate as of the date of the most recent statement of financial position.

b. clarifying that, in the circumstances described above, if the presentation currency subsequently ceases to be the currency of a hyperinflationary economy, the reporting entity is not required to retranslate the amounts reported in prior period financial statements.

c. clarifying that when both the functional currency and the presentation currency are

currencies of hyperinflationary economies, the reporting entity shall apply the relevant accounting treatment in accordance with paragraph 34 of IAS 29.

The standards or interpretations issued by the IASB but not yet endorsed by the FSC shall become effective on the date prescribed by the FSC. Except for the new or amended standards or interpretations described in item (2), which the Company is currently evaluating and for which the potential impact on the Company cannot yet be reasonably estimated, the remaining newly issued or amended standards or interpretations are not expected to have a material impact on the Company.

4. Summary of Significant Accounting Policies

(1) Statement of Compliance

The parent company only financial statements of the company for the years ended December 31, 2025 and 2024 were prepared in accordance with the “Regulations Governing the Preparation of Financial Reports by Securities Issuers” and the International Financial Reporting Standards (IFRSs), International Accounting Standards (IASs), IFRIC Interpretations, and SIC Interpretations as endorsed and issued into effect by the FSC.

(2) Basis of Preparation

The parent company only financial statements have been prepared on a historical cost basis, except for financial instruments that are measured at fair value. Unless otherwise stated, the parent company only financial statements are presented in thousands of New Taiwan dollars.

(3) Foreign Currency Transactions

The parent company only financial statements of the company are presented in New Taiwan dollars (NT$), which is the functional currency of the parent company.

Foreign currency transactions are recorded in the functional currency using the exchange rates prevailing at the dates of the transactions. At each reporting date, monetary items denominated in foreign currencies are translated using the closing exchange rates at that date. Non-monetary items denominated in foreign currencies that are measured at fair value are translated using the exchange rates at the date when the fair value was measured. Non-monetary items measured at historical cost are translated using the exchange rates at the dates of the original transactions.

Except as described below, exchange differences arising from the settlement of monetary items or from translating monetary items at reporting date exchange rates are recognized in profit or loss in the period in which they arise.

A. Exchange differences arising from foreign currency borrowings that are used to finance qualifying assets are capitalized as part of the cost of those assets when they are regarded as an adjustment to interest costs.

B. Foreign currency items that fall within the scope of IFRS 9 “Financial Instruments” are accounted for in accordance with the accounting policies for financial instruments.

C. Exchange differences arising from monetary items that form part of the Company’s net investment in a foreign operation are initially recognized in other comprehensive income and reclassified from equity to profit or loss on disposal of the net investment.

When a gain or loss on a non-monetary item is recognized in other comprehensive income, any foreign exchange component of that gain or loss is also recognized in other comprehensive income. Conversely, when a gain or loss on a non-monetary item is recognized in profit or loss, any foreign exchange component of that gain or loss is also recognized in profit or loss.

(4) Translation of Foreign Currency Financial Statements

Each of the Company’s foreign operations determines its own functional currency, and its financial statements are measured using that functional currency. When preparing the Company’s separate financial statements, the assets and liabilities of foreign operations are translated into New Taiwan dollars at the closing exchange rates at the balance sheet date, while income and expense items are translated at the average exchange rates for the period. Exchange differences arising from the translation are recognized in other comprehensive income. Upon the disposal of a foreign operation, the cumulative amount of the exchange differences previously recognized in other comprehensive income and accumulated in a separate component of equity is reclassified from equity to profit or loss as part of the gain or loss on disposal. In cases of partial disposals that result in a loss of control over a subsidiary that includes a foreign operation, or partial disposals involving associates or joint arrangements that include a foreign operation, if the retained interest is accounted for as a financial asset that includes a foreign operation, the exchange differences are also reclassified in the same manner.

In a partial disposal of a subsidiary that includes a foreign operation, without loss of control, the proportionate share of the cumulative exchange differences recognized in other comprehensive income is reattributed to the non-controlling interests in that foreign operation and is not recognized in profit or loss. For partial disposals of associates or joint arrangements that include a foreign operation, without loss of significant influence or joint

control, the proportionate share of the cumulative exchange differences is reclassified from other comprehensive income to profit or loss.

Goodwill arising from the acquisition of a foreign operation, as well as the fair value adjustments to the carrying amounts of the acquired assets and liabilities, are treated as assets and liabilities of the foreign operation and are therefore expressed in the functional currency of the foreign operation.

(5) Classification of Current and Non-Current Assets and Liabilities

An asset is classified as current when it satisfies any of the following criteria. If it does not meet any of these criteria, it is classified as non-current:

A. It is expected to be realized in the entity’s normal operating cycle;
B. It is held primarily for the purpose of trading;
C. It is expected to be realized within twelve months after the reporting period; or
D. It is cash or a cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period.

A liability is classified as current when it satisfies any of the following criteria. If it does not meet any of these criteria, it is classified as non-current:

A. It is expected to be settled in the entity’s normal operating cycle;
B. It is held primarily for the purpose of trading;
C. It is due to be settled within twelve months after the reporting period; or
D. The entity does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting period.

(6) Cash and Cash Equivalents

Cash and cash equivalents consist of cash on hand, demand deposits, and short-term, highly liquid time deposits or investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of changes in value.

(7) Financial Instruments

Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the financial instruments.

Financial assets and financial liabilities within the scope of IFRS 9 “Financial

Instruments" are initially measured at fair value. For financial assets and financial liabilities not classified as at fair value through profit or loss, transaction costs that are directly attributable to the acquisition or issuance of the financial assets or financial liabilities are added to or deducted from the fair value at initial recognition.

A. Recognition And Measurement Of Financial Assets

The Company applies trade date accounting for the recognition and derecognition of all regular way purchases and sales of financial assets.

The Company classifies its financial assets as subsequently measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss based on the following two criteria:

a. The Company’s business model for managing the financial assets; and
b. The contractual cash flow characteristics of the financial assets.

Financial Assets Measured At Amortized Cost

Financial assets are measured at amortized cost if they meet both of the following conditions, and are presented in the balance sheet under notes receivable, accounts receivable, financial assets measured at amortized cost, and other receivables:

a. The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows; and
b. The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

These financial assets (excluding those designated in hedging relationships) are subsequently measured at amortized cost, which is the amount at initial recognition minus principal repayments, plus or minus the cumulative amortization of any difference between the initial amount and the maturity amount using the effective interest method, and adjusted for any loss allowance. Gains or losses are recognized in profit or loss when the financial asset is derecognized, through the amortization process, or when an impairment loss or reversal is recognized.

Interest income is recognized in profit or loss based on the effective interest method (i.e., by applying the effective interest rate to the gross carrying amount of the financial asset), except for the following situations:

a. For purchased or originated credit-impaired financial assets, interest income is calculated by applying the credit-adjusted effective interest rate to the amortized cost of the financial asset;

b. For financial assets that are not credit-impaired at initial recognition but subsequently become credit-impaired, interest income is calculated by applying the effective interest rate to the amortized cost of the financial asset.

Financial Assets Measured at Fair Value Through Other Comprehensive Income

Financial assets are classified as measured at fair value through other comprehensive income if they meet both of the following conditions, and are presented in the balance sheet under “financial assets at fair value through other comprehensive income”:

a. The financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and

b. The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

The recognition of gains or losses related to such financial assets is as follows:

a. Prior to derecognition or reclassification, except for impairment gains or losses and foreign exchange gains or losses, the related gains or losses are recognized in other comprehensive income;

b. Upon derecognition, the cumulative gain or loss previously recognized in other comprehensive income is reclassified from equity to profit or loss as a reclassification adjustment;

c. Interest income is recognized in profit or loss using the effective interest method (i.e., by applying the effective interest rate to the gross carrying amount of the financial asset), or, in the following cases, using the applicable method:

(a) For purchased or originated credit-impaired financial assets, interest income is calculated by applying the credit-adjusted effective interest rate to the amortized cost of the financial asset;

(b) For financial assets that are not credit-impaired at initial recognition but subsequently become credit-impaired, interest income is calculated by applying the effective interest rate to the amortized cost of the financial asset.

In addition, for equity instruments within the scope of IFRS 9, that are neither held for trading nor contingent consideration recognized by an acquirer in a business

combination to which IFRS 3 applies, the Company may, at initial recognition, make an irrevocable election to present subsequent changes in the fair value of such instruments in other comprehensive income. Amounts recognized in other comprehensive income shall not be subsequently transferred to profit or loss (even upon disposal of the equity instruments), but will be transferred directly to retained earnings. These instruments are presented in the balance sheet as financial assets at fair value through other comprehensive income. Dividends on such investments are recognized in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment.

Financial Assets Measured at Fair Value Through Profit or Loss

Financial assets that do not meet the criteria for being measured at amortized cost or at fair value through other comprehensive income are classified as measured at fair value through profit or loss. These financial assets are presented in the balance sheet under "financial assets at fair value through profit or loss."

Such financial assets are measured at fair value, with any changes in fair value recognized in profit or loss. The gains or losses recognized in profit or loss include any dividend or interest income received from the financial assets.

B. Impairment of Financial Assets

For financial assets measured at amortized cost, the Company recognizes and measures loss allowances based on expected credit losses.

The Company measures expected credit losses by incorporating the following elements:

a. An unbiased and probability-weighted amount determined by evaluating a range of possible outcomes;

b. The time value of money; and

c. Reasonable and supportable information that is available without undue cost or effort at the reporting date, and that is relevant to past events, current conditions, and forecasts of future economic conditions.

The methods adopted by the Company for measuring the allowance for credit losses are as follows:

a. Measurement based on 12-month expected credit losses: This applies to financial assets for which the credit risk has not significantly increased since initial recognition, or that are deemed to have low credit risk as of the reporting date. It also includes financial assets that were previously measured based on lifetime expected credit

losses but no longer meet the criteria for having significantly increased credit risk at the current reporting date.

b. Measurement based on lifetime expected credit losses: This applies to financial assets for which the credit risk has significantly increased since initial recognition, or that are classified as purchased or originated credit-impaired financial assets.

c. For trade receivables or contract assets arising from transactions within the scope of IFRS 15, the Company measures the allowance for credit losses based on lifetime expected credit losses.

d. For lease receivables arising from transactions within the scope of IFRS 16, the Company also measures the allowance for credit losses based on lifetime expected credit losses.

As of each reporting date, the Company assesses whether the credit risk of a financial instrument has significantly increased since initial recognition by comparing the risk of default at the reporting date with the risk of default at the initial recognition date. Further details regarding credit risk are provided in Note 12.

C. Derecognition of financial assets

A financial asset held by the Company is derecognized when any of the following conditions is met:

a. The contractual rights to the cash flows from the financial asset have expired.

b. The financial asset has been transferred and substantially all the risks and rewards of ownership of the asset have been transferred.

c. The financial asset has been transferred, and although substantially all the risks and rewards of ownership have neither been transferred nor retained, control over the asset has been transferred.

When a financial asset is derecognized in its entirety, the difference between its carrying amount and the sum of the consideration received or receivable, together with any cumulative gain or loss previously recognized in other comprehensive income, is recognized in profit or loss.

D. Financial Liabilities and Equity Instruments

Classification of Liabilities or Equity

The Company classifies its issued financial instruments as either financial liabilities or equity in accordance with the substance of the contractual terms and the definitions of

financial liabilities and equity instruments.

Equity Instrument

An equity instrument is any contract that evidences a residual interest in the Company’s assets after deducting all of its liabilities. Equity instruments issued by the Company are recognized at the proceeds received, net of direct transaction costs.

Financial Liabilities

Financial liabilities within the scope of IFRS 9 are classified, at initial recognition, as financial liabilities measured at amortized cost.

Financial Liabilities Measured at Amortized Cost

Financial liabilities measured at amortized cost include accounts payable, borrowings, and other similar obligations. After initial recognition, such liabilities are subsequently measured using the effective interest method. Gains or losses arising from derecognition and amortization under the effective interest method are recognized in profit or loss.

The amortized cost is calculated by taking into account any discount or premium on acquisition and transaction costs.

Derecognition of Financial Liabilities

A financial liability is derecognized when the obligation under the liability is discharged, cancelled, or expires.

When the Company exchanges a debt instrument with a creditor that has substantially different terms, or modifies the terms of an existing financial liability (whether or not due to financial difficulty), such an exchange or modification is accounted for as a derecognition of the original financial liability and the recognition of a new financial liability. Upon derecognition of the original financial liability, the difference between its carrying amount and the consideration paid or payable (including any non-cash assets transferred or liabilities assumed) is recognized in profit or loss.

E. Offsetting of Financial Assets and Financial Liabilities

Financial assets and financial liabilities are offset and the net amount is presented in the balance sheet only when the Company currently has a legally enforceable right to offset

the recognized amounts and intends either to settle on a net basis or to realize the asset and settle the liability simultaneously.

(8) Fair Value Measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurement assumes that the transaction to sell the asset or transfer the liability takes place either:

A. In the principal market for the asset or liability; or
B. In the most advantageous market for the asset or liability, in the absence of a principal market.

The principal or most advantageous market must be one to which the Company has access in order to enter into a transaction.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that such market participants act in their economic best interest.

The fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant who would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

(9) Inventories

Inventories consist of merchandise, which refers to materials purchased but not yet utilized in construction projects. Inventories are measured at acquisition cost, calculated using the weighted-average method, and are stated at the lower of cost and net realizable value. When comparing cost and net realizable value, items within the same category are assessed collectively; otherwise, the comparison is performed on an individual item basis. Net realizable value is the estimated selling price in the ordinary course of business, less the estimated costs to sell.

The rendering of services is accounted for in accordance with IFRS 15 and is not included within the scope of inventories.

(10)Property, Plant and Equipment

Property, plant and equipment are stated at cost, less accumulated depreciation and accumulated impairment losses. The cost includes expenditures that are directly attributable to the acquisition of the asset, including the estimated costs of dismantling, removing the asset, and restoring the site, as well as borrowing costs directly attributable to the acquisition or construction of qualifying assets before completion. Each significant part of an item of property, plant and equipment is depreciated separately if it has a different useful life. When a significant component of an item of property, plant and equipment is required to be replaced periodically, the Company recognizes such a component as a separate asset and depreciates it over its specific useful life and method. The carrying amount of the replaced component is derecognized in accordance with IAS 16. Major inspection or overhaul costs are capitalized as part of the cost of the asset when recognition criteria are met and are accounted for as replacement costs. Other repair and maintenance costs are recognized in profit or loss as incurred.

Depreciation is calculated using the straight-line method over the estimated useful lives of the assets as follows:

Asset Category	Estimated Useful Life
Machinery and equipment	5 years
Transportation equipment	5 years
Office equipment	5 years
Other assets	5 years
Leasehold improvements	The shorter of the lease term or the asset’s useful life

An item of property, plant and equipment or any significant part thereof is derecognized upon disposal or when no future economic benefits are expected to arise from its continued use or disposal. The resulting gain or loss on derecognition of the asset is recognized in profit or loss.

The residual value, useful life, and depreciation method of each asset are reviewed at the end of each financial year. Any change in expectations from previous estimates is accounted for as a change in accounting estimates.

(11)Investment Property

The Company’s investment properties are measured at cost and include transaction costs

incurred in acquiring the assets. The carrying amount of investment properties includes the cost of replacing parts of an existing investment property or adding to it, provided that the recognition criteria are met. However, routine maintenance and repair costs are not included as part of the cost of investment properties. Subsequent to initial recognition, investment properties are measured using the cost model in accordance with the requirements of IAS 16 Property, Plant and Equipment, except when they meet the criteria to be classified as held for sale (or included in a disposal group classified as held for sale) under IFRS 5 Non-current Assets Held for Sale and Discontinued Operations. If the investment property is held by a lessee as a right-of-use asset and does not meet the criteria to be classified as held for sale under IFRS 5, it is accounted for in accordance with IFRS 16 Leases.

Depreciation is calculated using the straight-line method over the following estimated useful lives:

Buildings
30 ~ 50 years

Investment properties are derecognized upon disposal or when they are permanently withdrawn from use and no future economic benefits are expected from their disposal.

The Company determines transfers into or out of investment property based on the actual use of the asset. A transfer is made when, and only when, there is a change in use evidenced by specific events demonstrating that the property meets, or ceases to meet, the definition of investment property.

(12)Leases

At the inception date of a contract, the Company assesses whether the contract is, or contains, a lease. A contract is, or contains, a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset for a period of time, the Company considers whether, throughout the period of use, it has both of the following:

A. The right to obtain substantially all of the economic benefits from the use of the identified asset; and
B. The right to direct the use of the identified asset.

For contracts that are, or contain, leases, the Company accounts for each lease component separately from the non-lease components of the contract. For contracts that contain a lease component and one or more additional lease or non-lease components,

the Company allocates the consideration in the contract to each lease component on the basis of the relative stand-alone prices of the lease and non-lease components. The relative stand-alone prices of lease and non-lease components are determined based on the prices charged by the lessor (or a similar supplier) for each component (or a similar component) separately. If observable stand-alone prices are not readily available, the Company maximizes the use of observable information to estimate the stand-alone prices.

The Company as a Lessee

Except for leases that meet the criteria and are elected to be treated as short-term leases or leases of low-value assets, the Company recognizes right-of-use assets and lease liabilities for all leases in which it is the lessee.

At the commencement date, the lease liability is measured at the present value of the lease payments that are not paid at that date. If the interest rate implicit in the lease is readily determinable, it is used to discount the lease payments; otherwise, the Company uses its incremental borrowing rate. Lease payments included in the measurement of the lease liability at the commencement date comprise the following:

a. Fixed payments (including in-substance fixed payments), less any lease incentives receivable;
b. Variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date;
c. Amounts expected to be payable by the lessee under residual value guarantees;
d. The exercise price of a purchase option if the Company is reasonably certain to exercise that option; and
e. Payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to terminate the lease.

After the commencement date, the Company measures lease liabilities at amortized cost using the effective interest method. The carrying amount of the lease liability is increased to reflect interest on the lease liability and reduced by lease payments made.

At the commencement date, the Company measures right-of-use assets at cost. The cost of a right-of-use asset comprises:

a. The amount of the initial measurement of the lease liability;
b. Any lease payments made at or before the commencement date, less any lease incentives received;
c. Any initial direct costs incurred by the lessee; and

d. An estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset, restoring the site on which it is located, or restoring the underlying asset to the condition required by the terms and conditions of the lease.

Subsequent to initial recognition, right-of-use assets are measured at cost less accumulated depreciation and accumulated impairment losses, i.e., they are accounted for using the cost model.

If ownership of the underlying asset transfers to the Company at the end of the lease term, or if the cost of the right-of-use asset reflects that the Company is reasonably certain to exercise a purchase option, depreciation is recognized from the commencement date to the end of the useful life of the underlying asset. Otherwise, depreciation is recognized from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term.

The Company applies IAS 36 Impairment of Assets to determine whether a right-of-use asset is impaired and to account for any identified impairment loss.

Except for leases that qualify as short-term leases or leases of low-value assets for which the Company has elected not to recognize right-of-use assets and lease liabilities, right-of-use assets and lease liabilities are presented separately in the parent company only balance sheet. Depreciation and interest expenses related to leases are presented separately in the parent company only statement of comprehensive income.

For short-term leases and leases of low-value assets, the Company has elected to recognize the lease payments as an expense on a straight-line basis or another systematic basis over the lease term.

The Company as a Lessor

At the inception of a contract, the Company classifies each of its leases as either an operating lease or a finance lease. A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental to ownership of the underlying asset. If the lease does not transfer substantially all such risks and rewards, it is classified as an operating lease. At the commencement date, assets held under finance leases are recognized in the parent company only balance sheet as finance lease receivables, presented at the net investment in the lease.

For contracts that contain both lease and non-lease components, the Company allocates the consideration in the contract in accordance with the requirements of IFRS 15 Revenue from Contracts with Customers.

Lease payments from operating leases are recognized as rental income on a straight-line basis or another systematic basis over the lease term. Variable lease payments that do not depend on an index or a rate are recognized as income when they arise.

(13) Intangible Assets

Intangible assets acquired separately are initially measured at cost. The cost of an intangible asset acquired in a business combination is its fair value at the acquisition date. After initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment losses. Internally generated intangible assets that do not meet the recognition criteria are not capitalized and are recognized in profit or loss as incurred.

The useful lives of intangible assets are classified as either finite or indefinite.

Intangible assets with finite useful lives are amortized over their useful lives and are tested for impairment whenever there is an indication that the asset may be impaired. The amortization period and amortization method are reviewed at least at the end of each financial year. If the estimated useful life or the expected pattern of consumption of future economic benefits changes, the amortization method or period is adjusted accordingly, and such changes are accounted for as changes in accounting estimates.

Intangible assets with indefinite useful lives are not amortized but are tested for impairment annually, either individually or at the cash-generating unit level. These assets are also reviewed each reporting period to determine whether events and circumstances continue to support an indefinite useful life assessment. If the useful life is no longer considered to be indefinite, the change is accounted for prospectively.

Gains or losses arising from the derecognition of an intangible asset are recognized in profit or loss.

The Company’s accounting policies for intangible assets are summarized as follows:

	Computer software	Patents
Useful Life	5 years	3 years
Amortization Method	Straight-line amortization	Straight-line amortization
Internally Generated or Externally Acquired	Externally acquired	Externally acquired

(14) Impairment of Non-financial Assets

The Company assesses, at the end of each reporting period, whether there is any indication that assets within the scope of IAS 36 Impairment of Assets may be impaired. If any such indication exists, or when annual impairment testing is required for a particular asset, the Company estimates the recoverable amount of the asset, either individually or at the level of the cash-generating unit (CGU) to which the asset belongs. An impairment loss is recognized when the carrying amount of the asset or CGU exceeds its recoverable amount. The recoverable amount is the higher of fair value less costs of disposal and value in use.

At the end of each reporting period, the Company also assesses whether there is any indication that an impairment loss previously recognized for assets other than goodwill may no longer exist or may have decreased. If any such indication exists, the Company estimates the recoverable amount of the asset or CGU. An impairment loss is reversed only if there has been a change in the estimates used to determine the recoverable amount. The reversal is limited so that the carrying amount of the asset does not exceed the carrying amount that would have been determined (net of depreciation or amortization) had no impairment loss been recognized.

Impairment losses and reversals related to continuing operations are recognized in profit or loss.

(15) Provisions

A provision is recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation, and a reliable estimate of the amount can be made. If it is virtually certain that some or all of the provision will be reimbursed, the reimbursement is recognized as a separate asset only when the reimbursement is virtually certain. Where the effect of the time value of money is material, the amount of a provision is the present value of the expenditures expected to be required to settle the obligation. The discount rate reflects current market assessments of the time value of money and the risks specific to the liability. The increase in the provision due to the passage of time is recognized as a borrowing cost.

If the obligation is incurred over a period of time, the related provision for levies is recognized progressively.

Provision for Warranties

A provision for warranties is recognized based on the terms of the sales contract and

management's best estimate of the expected costs of fulfilling the warranty obligations, which is determined with reference to historical warranty experience.

(16) Revenue Recognition

The Company recognizes revenue from customer contracts primarily arising from the provision of services and sale of goods, as described below:

Construction Contracts

The Company engages in gas piping system installation for semiconductor fabs and the development of semiconductor equipment components. These services are highly customized to meet the specifications of each customer and are therefore distinct. As the Company's performance does not create an asset with an alternative use and it has an enforceable right to payment for performance completed to date, revenue is recognized over time based on the stage of completion, measured using the input method.

Contract consideration is typically fixed and is collected in accordance with the terms agreed with the customer. When the services provided exceed the payments received, a contract asset is recognized. Contract assets are measured at the expected credit loss amount over the contract period in accordance with IFRS 9. When customer payments exceed the services rendered, a contract liability is recognized.

Sale of Goods

The Company manufactures and sells products. Revenue is recognized at the point in time when the promised goods are delivered to the customer and the customer obtains control of the goods—that is, the ability to direct the use of and obtain substantially all the remaining benefits from the goods.

Credit terms for product sales generally range from 30 to 120 days. Most contracts result in the recognition of a trade receivable when control of the goods is transferred, and the Company has an unconditional right to receive consideration. These receivables are typically short-term and do not include a significant financing component.

(17) Borrowing Cost

Borrowing costs that are directly attributable to the acquisition, construction, or production of qualifying assets are capitalized as part of the cost of those assets. All other borrowing costs are recognized as expenses in the period in which they are incurred. Borrowing costs include interest and other costs incurred in connection with

the borrowing of funds.

(18) Post-employment Benefit Plans

The Company’s employee retirement plan applies to all formally employed staff. Retirement fund contributions are fully deposited into a dedicated labor retirement reserve account managed by the Labor Retirement Reserve Supervisory Committee. As the retirement fund is deposited in the name of the committee and is entirely separate from the Company, it is not included in the parent company only financial statements.

For post-employment benefit plans classified as defined contribution plans, the Company’s monthly pension contribution for each employee shall not be less than 6% of the employee’s monthly salary, and the amount contributed is recognized as an expense in the current period.

(19) Share-based Payment Transactions

For equity-settled share-based payment transactions between the Company and its employees, the cost of the equity instruments granted is measured at the grant date fair value. Fair value is determined using an appropriate valuation model.

The cost of equity-settled share-based payments is recognized over the vesting period, during which the service and performance conditions are fulfilled, with a corresponding increase in equity. At the end of each reporting period before the vesting date, the cumulative amount recognized reflects the elapsed vesting period and the Company’s best estimate of the number of equity instruments that are expected to vest. The amount charged to profit or loss for the period is the difference between the cumulative amount recognized at the beginning and end of that period.

No expense is recognized for awards that do not ultimately vest, except for awards where vesting is conditional upon a market condition or a non-vesting condition. In such cases, the expense is recognized if all service and performance conditions are satisfied, regardless of whether the market or non-vesting condition is met.

If the terms of an equity-settled award are modified, at a minimum, the original grant-date fair value of the award is recognized. Any incremental fair value resulting from the modification, measured at the date of the modification, is recognized as an additional expense.

Where an equity-settled award is cancelled, it is treated as if it had vested on the cancellation date, and any unrecognized cost is immediately recognized in profit or loss.

This includes awards cancelled by the entity or by failure to satisfy a non-vesting condition within the control of either the entity or the employee. If a new award is granted as a replacement for a cancelled award and is designated as such on the grant date, the replacement award is accounted for as a modification of the original award.

The dilutive effect of outstanding options is reflected as additional shares in the calculation of diluted earnings per share.

For restricted shares granted to employees, the grant-date fair value of the equity instruments is recognized as compensation cost over the vesting period, with a corresponding increase in equity. On the grant date, the Company recognizes unearned compensation, which is presented as a deduction from equity in the individual balance sheet and is subsequently amortized to salary expense over the vesting period.

(20) Income tax

Income tax expense (benefit) comprises the total amount of current tax and deferred tax that is recognized in profit or loss for the period.

Current Tax

Current tax liabilities (assets) for the current and prior periods are measured using the tax rates and laws that have been enacted or substantively enacted by the end of the reporting period. Current tax relating to items that are recognized in other comprehensive income or directly in equity is also recognized in other comprehensive income or equity, respectively, and not in profit or loss.

The additional income tax on undistributed earnings is recognized as income tax expense in the period when the distribution of earnings is approved by the shareholders' meeting.

Deferred Tax

Deferred income tax is calculated on temporary differences arising at the end of the reporting period between the tax bases of assets and liabilities and their carrying amounts in the balance sheet.

Deferred tax liabilities are recognized for all taxable temporary differences, except for the following two items:

A. The initial recognition of goodwill, or the initial recognition of an asset or liability arising from a transaction other than a business combination that, at the time of the transaction, affects neither accounting profit nor taxable profit (tax loss), and does not

give rise to equal amounts of taxable and deductible temporary differences at the time of the transaction.

B. Taxable temporary differences associated with investments in subsidiaries, associates, and joint arrangements, where the timing of the reversal can be controlled and it is probable that such temporary differences will not reverse in the foreseeable future.

Deferred tax assets arising from deductible temporary differences, unused tax losses, and unused tax credits are recognized to the extent that it is probable that future taxable profit will be available, except for the following two items:

A. Those arising from transactions other than business combinations that, at the time of the transaction, affect neither accounting profit nor taxable profit (tax loss), and do not give rise to equal amounts of taxable and deductible temporary differences at the time of the transaction.

B. Those related to deductible temporary differences arising from investments in subsidiaries, associates, and joint arrangements are recognized only to the extent that it is probable that such temporary differences will reverse in the foreseeable future and that sufficient taxable profit will be available at the time of reversal against which the temporary differences can be utilized.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the asset is realized or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax assets and liabilities reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover the carrying amount of its assets or settle the carrying amount of its liabilities. Deferred tax relating to items recognized outside profit or loss is not recognized in profit or loss but in other comprehensive income or directly in equity, in line with the underlying transaction. Deferred tax assets are reviewed at each reporting date and are recognized to the extent that it is probable that sufficient taxable profit will be available to allow the deferred tax assets to be utilized.

Deferred tax assets and liabilities are offset only if the Company has a legally enforceable right to offset current tax assets against current tax liabilities, and the deferred tax assets and liabilities relate to income taxes levied by the same taxation authority on the same taxable entity.

Critical Accounting Judgments, Estimates, and the Key Sources of Uncertainty in Assumptions

In preparing the parent company only financial statements, management is required to make judgments, estimates, and assumptions as of the reporting date that affect the reported amounts of revenue, expenses, assets, liabilities, and the disclosures of contingent liabilities. However, the inherent uncertainty of these critical assumptions and estimates may result in material adjustments to the carrying amounts of assets or liabilities in future periods.

Judgments

In the process of applying the Company’s accounting policies, management has made the following judgments, which have the most significant effect on the amounts recognized in the parent company only financial statements:

(1) Investment property

Certain properties held by the Company are partially used to earn rental income or for capital appreciation, while other portions are for own use. If the portions can be sold separately, they are accounted for separately as investment property and property, plant and equipment. If the portions cannot be sold separately, the property is classified as investment property only if the portion held for own use is insignificant.

Estimates and Assumptions

The key sources of estimation uncertainty and assumptions made as of the end of the reporting period that have a significant risk of resulting in material adjustments to the carrying amounts of assets and liabilities within the next financial year are as follows:

(1) Revenue Recognition for Construction Contracts

The Company recognizes revenue from each construction contract over time using the input method to measure the progress toward complete satisfaction of the performance obligation, based on the Company’s efforts or inputs in satisfying the performance obligation relative to the total expected inputs to satisfy that performance obligation.

(2) Share-based Payment Transactions

For equity-settled share-based payments to employees, the Company measures the cost based on the fair value of the equity instruments at the grant date. The fair value is determined using the most appropriate valuation model, taking into account the terms and conditions of the grant. This valuation requires the determination of the most appropriate assumptions, including the expected life of the share options, expected volatility, expected dividend yield, and relevant assumptions used in the model. For the assumptions and valuation model used, please refer to Note 6.

(3) Inventories

The estimated net realizable value of inventories is determined based on the most reliable evidence available at the time the estimates are made, taking into consideration factors such as damage to inventories, full or partial obsolescence, or declines in selling prices. Please refer to Note 6 for further details.

(4) Income Taxes

Uncertainties exist with respect to the interpretation of complex tax regulations, the amount and timing of future taxable income. Given the wide range of international business relationships and the long-term and complex nature of contractual arrangements, differences between actual outcomes and the assumptions made, or future changes to those assumptions, may require adjustments to the tax benefits and expenses already recognized. Provisions for income taxes are based on reasonable estimates of potential tax liabilities in the jurisdictions where the Company operates, taking into account past audit experience and interpretations of tax regulations by both the Company and local tax authorities. Such interpretations may vary depending on the specific circumstances of each entity.

Unused tax losses, tax credits carried forward, and deductible temporary differences are recognized as deferred tax assets to the extent that it is probable that future taxable income or taxable temporary differences will be available against which they can be utilized. The recognition of deferred tax assets involves estimates regarding the amount and timing of future taxable income and the application of future tax planning strategies.

(5) Allowance for Expected Credit Losses on Accounts Receivable

The Company measures impairment losses on accounts receivable based on the expected credit loss model over the receivables' lifetime. The credit loss is determined as the present value of the difference between the contractual cash flows (carrying amount) and the expected cash flows, based on forward-looking information. For short-term receivables, the discounting effect is immaterial; thus, the credit loss is measured as the undiscounted

difference. If actual future cash flows are significantly lower than expected, substantial impairment losses may result. Please refer to Note 6 for details.

6. Details of Major Accounting Items

(1) Cash and Cash Equivalents

	December 31, 2025	December 31, 2024
Demand deposits	$368,172	$169,669

(2) Accounts Receivable

	December 31, 2025	December 31, 2024
Accounts receivable	$160,408	$192,543
Less: Allowance for bad debts	-	-
Net accounts receivable	$160,408	$192,543

The Company’s accounts receivable are not secured by any collateral.

The credit terms granted to customers are generally between 30 and 120 days. The total carrying amounts of accounts receivable as of December 31, 2025 and 2024 were NT$160,408 thousand and NT$192,543 thousand, respectively. For details regarding allowance for expected credit losses for the years ended December 31, 2025 and 2024, please refer to Notes 6 (17). For information on credit risk, please refer to Note 12.

(3) Inventories

	December 31, 2025	December 31, 2024
Raw materials	$28,011	$20,406
Work in progress	339	414
Total	$28,350	$20,820

A. The related expenses and losses recognized as operating costs by the Company for the years ended December 31, 2025 and 2024 are as follows:

	2025	2024
Cost of goods sold	$37,336	$14,506
Construction project cost	614,585	563,649
Service costs	2,395	-
Loss on market value decline and obsolete or slow-moving inventory	3,110	5,534
Total	$657,426	$583,689

B.The aforementioned inventories were not pledged as collateral.

(4)Prepayments

	December 31, 2025	December 31, 2024
Advance payments for investments	$31,090	$ -
Advance payments to suppliers	4,588	200
Prepaid insurance	3,938	3,724
Other prepayments	9,138	4,018
Total	$48,754	$7,942

(5)Financial Assets at Fair Value Through Other Comprehensive Income

	December 31, 2025	December 31, 2024
investments in equity instruments at fair value through other comprehensive income non-current
Unlisted equity investments	$-	$1,567

The Company designated these equity investments as measured at fair value through other comprehensive income as they are held for long-term strategic purposes and not for trading.

The Company's financial assets at fair value through other comprehensive income are not pledged as collateral.

(6) Construction Contracts

A. Contract Revenue and Losses

The Company recognizes contract revenue from construction in progress using the percentage-of-completion method. The stage of completion is determined based on the proportion of contract costs incurred to date relative to the estimated total contract costs. When it is probable that the total estimated contract costs will exceed the total contract revenue, the expected loss is recognized immediately as an expense in the current period.

	2025	2024
Net contract revenue recognized during the period	$843,807	$824,979

B. Construction in Progress

	2025	2024
Accumulated costs incurred (including costs relating to future activities)	$908,208	$1,035,217
Add: Accumulated gross profit (loss) recognized to date	247,723	412,633
Total accumulated costs and recognized profit (less recognized loss)	1,155,931	1,447,850
Less: Accumulated billings to customers	(782,033)	(1,139,927)
Net contract asset (liability)	$373,898	$307,923
Contract assets recognized under construction contracts	$422,639	$379,381
Contract liabilities recognized under construction contracts	(48,741)	(71,458)
	$373,898	$307,923

(7) Investments Accounted for Using the Equity Method

A. Details of investments accounted for using the equity method are as follows:

Name of investee	December 31, 2025		December 31, 2024
	Amount	Ownership percentage	Amount	Ownership percentage
Investment in subsidiaries:
GENII IDEAS Japan Co., Ltd. (Note 1)	$13,775	100%	$17,977	100%
GENII IDEAS(S) PTE. LTD. (Note 2)	94,243	100%	19,621	100%
GENII IDEAS GmbH (Note 3)	(1,330)	100%	(66)	100%
GENII IDEAS USA CORPORATION (Note 4)	-	-%	-	-%
	$106,688		$37,532

Note1: The Company established GENII IDEAS JAPAN Co., Ltd. in April 2024 and injected capital of NT$20,859 thousand in May 2024.

Note2: The Company established GENII IDEAS (S) PTE. LTD. in May 2024, injected capital of NT$21,043 thousand in September 2024, and further increased its capital by NT$50,504 thousand in September 2025.

Note3 : The Company directly established GENII IDEAS GmbH in September 2024 with a capital investment of NT$891 thousand.

Note4 : The Company established GENII IDEAS USA CORPORATION in August 2025 and injected capital of NT$31,090 thousand in November 2025. As of December 31, 2025, the registration of the capital change had not yet been completed.

B.Details of investment income (loss) recognized by the Company and the cumulative translation adjustments are as follows:

	2025		2024
Name of investee	(Loss) profit from investment	Exchange difference arising from translation of the financial statements of foreign operations	(Loss) profit from investment	Exchange difference arising from translation of the financial statements of foreign operations
Investment in subsidiaries:
GENII IDEAS Japan Co., Ltd.	$(3,550)	$(652)	$(2,833)	$(49)
GENII IDEAS(S) PTE. LTD.	21,245	2,873	(887)	(535)
GENII IDEAS GmbH	(1,200)	(64)	(936)	(21)
	$16,495	$2,157	$(4,656)	$(605)

(8) Property, Plant and Equipment

	Land	Buildings	Machinery and equipment	Transportation equipment	Office equipment	Leasehold improvements	Other equipment	Total
Cost:
January 01
2025	$ 24,584	$ 51,647	$46,325	$2,489	$5,405	$10,019	$10,998	$151,467
Increase	-	-	1,927	1,824	693	2,372	3,018	9,834
Disposal	-	-	-	-	(4)	-	-	(4)
December 31, 2025	$24,584	$51,647	$48,252	$4,313	$6,094	$12,391	$14,016	$161,297
Depreciation and impairment:
January 01
2025	$ -	$1,076	$21,344	$1,547	$1,492	$3,307	$2,993	$31,759
Depreciation	-	2,582	8,004	409	1,125	2,191	1,944	16,255
Disposal	-	-	-	-	(2)	-	-	(2)
December 31, 2025	$ -	$3,658	$29,348	$1,956	$2,615	$5,498	$4,937	$48,012
	Land	Buildings	Machinery and equipment	Transportation equipment	Office equipment	Leasehold improvements	Other equipment	Total
Cost:
January 01
2024	$ -	$ -	$33,120	$2,503	$3,429	$3,182	$6,064	$48,298
Increase	24,584	51,647	13,205	-	2,349	7,099	4,934	103,818
Disposal	-	-	-	-	(373)	(262)	-	(635)
Other changes	-	-	-	(14)	-	-	-	(14)
December 31, 2024	$24,584	$51,647	$46,325	$2,489	$5,405	$10,019	$10,998	$151,467

	Land	Buildings	Machinery and equipment	Transportation equipment	Office equipment	Leasehold improvements	Other equipment	Total
Depreciation and impairment:
January 01, 2024	$ -	$ -	$14,633	$1,138	$918	$1,819	$1,620	$20,128
Depreciation	-	1,076	6,711	409	868	1,696	1,373	12,133
Disposal	-	-	-	-	(294)	(208)	-	(502)
December 31, 2024	$ -	$1,076	$21,344	$1,547	$1,492	$3,307	$2,993	$31,759
Net book value:
December 31, 2025	$24,584	$47,989	$18,904	$2,357	$3,479	$6,893	$9,079	$113,285
December 31, 2024	$24,584	$50,571	$24,981	$942	$3,913	$6,712	$8,005	$119,708

Certain property, plant and equipment of the Company are pledged as collateral; please refer to Note 8 for details.

No interest was capitalized in relation to the acquisition of property, plant and equipment during the period.

(9) Investment Property

	Land	Buildings	Total
Cost:
January 01, 2025	$14,272	$31,086	$45,358
Additions	-	-	-
December 31, 2025	$14,272	$31,086	$45,358
Depreciation:
January 01, 2025	$ -	$648	$648
Depreciation for the current period	-	1,554	1,554
December 31, 2025	$ -	$2,202	$2,202
	Land	Buildings	Total
Cost:
January 01, 2024	$-	$-	$-
Additions	14,272	31,086	45,358
December 31, 2024	$14,272	$31,086	$45,358

Depreciation:January 01, 2024	$ -	$ -	$ -
Depreciation for the current period	-	648	648
December 31, 2024	$ -	$648	$648
Net book value:December 31, 2025	$14,272	$28,884	$43,156
December 31, 2024	$14,272	$30,438	$ 44,710
		2025	2024
Rental income from investment property		$735	$333

The Company's investment property is not measured at fair value; rather, only fair value information is disclosed. The fair value hierarchy of such investment property is classified as Level 3. The fair value of the Company's investment property was NT$48,552 thousand as of December 31, 2025 and December 31, 2024. The fair value of the Company's investment property is primarily based on the appraisal report issued by an external independent appraiser in prior years, which serves as the basis for measuring the fair value for the current year.

Certain investment properties of the Company are pledged as collateral; please refer to Note 8 for details.

(10)Intangible Assets

	Computer software	Patents	Total
Cost:January 01, 2025	$11,025	$291	$11,316
Additions	342	170	512
Reclassification	-	(66)	(66)
December 31, 2025	$11,367	$395	$11,762
Amortization and impairment:January 01, 2025	$4,061	$47	$4,108

Amortization

December 31, 2025

2,105	127	2,232
$6,166	$174	$6,340
Computer software	Patents	Total
---	---	---
Cost:
January 01, 2024	$10,598	$60
Additions	427	231
December 31, 2024	$11,025	$291
Amortization and impairment:
January 01, 2024	$1,904	$3
Amortization	2,157	44
December 31, 2024	$4,061	$47
Net book value:
December 31, 2025	$5,201	$221
December 31, 2024	$6,964	$244

Amortization expenses related to intangible assets are disclosed in Note 6(19).

(11) Other payables

	December 31, 2025	December 31, 2024
Accrued salaries	$40,822	$33,986
Dividends payable	29,957	11,760
Employee bonuses payable	8,172	6,321
Business tax payable	3,838	7,117
Directors’ remuneration payable	2,147	1,264
Other accrued expenses	20,746	26,047
Total	$105,682	$86,495

(12) Long-Term Borrowings

The details of long-term borrowings as of December 31, 2025 and 2024 are as follows:

Creditors	Last repayment date	December 31, 2025	December 31, 2024
Chang Hwa Commercial Bank	January 10, 2027	$15,167	$45,583
E.SUN Bank	August 9, 2044	135,000	105,000
Subtotal		150,167	150,584
Less: Current portion		(18,922)	(18,250)
Total		$131,245	$132,333
		December 31, 2025	December 31, 2024
Interest rate Range:		1.96%~2.22%	1.96%~2.48%

(13) Post-employment Benefit Plans

Defined Contribution Plans

The Company has established an employee retirement plan in accordance with the Labor Pension Act of the Republic of China, which is classified as a defined contribution plan. Under the Act, the Company is required to contribute no less than 6% of each employee's monthly wages to the employees' individual pension accounts maintained by the Bureau of Labor Insurance.

For the years ended December 31, 2025 and 2024, the Company recognized pension expenses under the defined contribution plan in the amounts of NT$5,067 thousand and NT$4,480 thousand, respectively.

(14) Equity

A. Ordinary Shares

As of January 1, 2024, the Company's authorized capital and paid-in capital were NT$300,000 thousand and NT$168,000 thousand, respectively, divided into 30,000 thousand shares and 16,800 thousand shares, with a par value of NT$10 per share. Each share carries one voting right and the right to receive dividends.

On December 20, 2024, the Company's Board of Directors resolved to conduct an initial public offering prior to listing through a cash capital increase by issuing 3,000 thousand new common shares with a par value of NT$10 per share, for a total par value of NT$30,000 thousand. Of the newly issued shares, the shares offered through public subscription were issued at a premium with an underwriting price of NT$70

per share, while the shares offered through auction were issued at a premium with a weighted average successful bid price of NT$83.10 per share. In addition, pursuant to Article 267 of the Company Act, 10% of the total number of newly issued shares, or 300 thousand shares, were reserved for subscription by the Company's employees. Any shares not subscribed for by employees or any unsubscribed portion thereof were authorized by the Chairman to be offered to designated persons. The cash capital increase was declared effective by the Taiwan Stock Exchange Corporation on January 8, 2025. March 11, 2025 was set as the capital increase record date, and the registration of the capital increase was completed on March 19, 2025.

During 2025, the Company issued 342 thousand new common shares upon the exercise of employee stock options. The issuance of the new shares was approved by the Board of Directors, with November 7, 2025 set as the capital increase record date, and the change registration was approved and completed by the competent authority on November 25, 2025.

As of December 31, 2025, the Company's authorized capital and issued capital were NT$300,000 thousand and NT$201,420 thousand, respectively, with a par value of NT$10 per share, representing 30,000 thousand shares and 20,142 thousand shares, respectively. Each share carries one voting right and the right to receive dividends.

B. Capital Surplus

	December 31, 2025	December 31, 2024
Share premium	$321,327	$83,566
Share-based payment	16,715	17,192
Total	$338,042	$100,758

In accordance with applicable laws and regulations, capital surplus may only be used to offset losses. However, when the Company has no accumulated deficit, the excess of the issuance price over the par value of shares and donations received may be capitalized—subject to a certain percentage of paid-in capital per year—or distributed in cash to shareholders in proportion to their shareholdings.

C. Legal reserve

In accordance with the Company Act of the Republic of China, the Company shall allocate 10% of its net income as legal reserve after paying all taxes and covering accumulated deficits. The legal reserve may be used to offset deficits. When the reserve exceeds 25% of the paid-in capital and the Company has no accumulated deficits, the excess portion may be distributed as stock dividends or cash dividends in proportion to shareholders' shareholdings.

D.Special reserve

When distributing earnings, the Company is required by relevant regulations to appropriate a special reserve for the amount of net reduction in other equity items arising during the current period. When such reductions reverse in subsequent periods, the reversed portion may be distributed as earnings.

In accordance with the Financial Supervisory Commission’s ruling Ref. No. 1090150022 dated March 31, 2021, the Company appropriated a special reserve equivalent to the amount of unrealized revaluation increments and cumulative translation adjustments transferred to retained earnings upon the initial adoption of IFRS. The appropriation was made under the exemption options of IFRS 1 "First-time Adoption of International Financial Reporting Standards." When the related assets are used, disposed of, or reclassified, the corresponding portion of the previously appropriated special reserve may be reversed and distributed as earnings.

E.Earnings Distribution and Dividend Policy

According to the Company's Articles of Incorporation, if there is earnings in the annual final accounts, the Company shall first pay all applicable taxes and offset prior years' accumulated deficits. Thereafter, 10% of the remaining earnings shall be allocated to the legal reserve, unless the accumulated legal reserve has reached the amount of the Company's paid-in capital. In addition, special reserve shall be appropriated or reversed in accordance with operational needs and relevant laws and regulations. Any remaining earnings, together with undistributed earnings carried forward from the previous period, shall be presented by the Board of Directors in an earnings distribution proposal to be resolved at the shareholders’ meeting.

When distributing quarterly earnings, the Company shall first estimate and reserve for tax obligations, legal deficit offsetting, legal reserve (unless already fully accumulated), as well as employee and director remuneration. If earnings are to be distributed in the form of stock dividends, such issuance shall comply with Article 240 of the Company Act. Distribution in the form of cash dividends shall be approved by the Board of Directors.

The Company’s dividend policy takes into consideration its current and future business development plans, the competitive landscape of the domestic industry, investment climate, and capital requirements. Dividends may be distributed in the form of cash or stock, with reference to market practices and industry norms. The ratio of cash dividends distributed shall be not less than 10% of the current year's

distributable earnings. However, if the distributable earnings are less than 20% of the Company’s paid-in capital, the Company may choose not to distribute dividends.

The quarterly earnings distribution proposals and cash dividends per share for 2025, 2024 and 2023 have been resolved by the Board of Directors as follows:

	Q4, 2025	Q3, 2025	Q2, 2025	Q1, 2025
Board Resolution Date	March 10, 2026	November 7, 2025	August 8, 2025	May 14, 2025
Legal reserve	$6,795	$1,848	$2,330	$1,672
Special reserve	2,121	(741)	3,088	(700)
Cash dividends	32,227	15,107	14,850	12,870
Cash dividend per share (NT$)	1.60	0.75	0.74	0.65
	Q4, 2024	Q3, 2024	Q2, 2024	Q1, 2024
Board Resolution Date	March 14, 2025	November 8, 2024	July 31, 2024	May 24, 2024
Legal reserve	$3,337	$2,477	$4,167	$ -
Special reserve	1,791	(636)	1,359	626
Cash dividends	23,760	11,760	8,400	8,400
Cash dividend per share (NT$)	1.20	0.59	0.50	0.50
	Q4, 2023	Q3, 2023	Q2, 2023	Q1, 2023
Board Resolution Date	March 29, 2024	November 24, 2023	July 31, 2023	June 6, 2023
Legal reserve	$4,843	$4,011	$3,810	$2,014
Special reserve	616	501	(1,630)	-
Cash dividends	42,000	33,600	-	-
Cash dividend per share (NT$)	2.50	2.00	-	-

Information regarding the basis for estimation and the amounts recognized for employee compensation and directors’ remuneration is disclosed in Note 6(19).

(15)Share-Based Payment Plans

The Company’s employees may receive share-based payments as part of the compensation plan. Employees render services as consideration for equity instruments

granted, and such transactions are accounted for as equity-settled share-based payment transactions.

A. Employee Share-Based Payment Plan

As of the year ended December 31, 2025, information related to the Company’s share-based payment plan is as follows:

Plan type	grant date	Total Units Granted	Exercise Price per Unit (NT$)
Employee Stock Option Plan	June 02, 2023	1,000	57

Note: After the issuance of these stock options, except for common shares issued upon conversion or exercise of other securities with rights to convert into or subscribe for common shares issued by the Company, or new shares issued as employee compensation, if the number of the Company’s issued common shares increases for any reason (including private placements, cash capital increases, capitalization of retained earnings, capitalization of capital surplus, mergers, demergers, stock splits, issuance of new shares in connection with the acquisition of shares of another company, or cash capital increases for participation in the issuance of overseas depository receipts), the exercise price shall be adjusted in accordance with the Company’s Rules Governing the Issuance of Employee Stock Options and Share Subscription

The above share-based payment arrangement is equity-settled and was measured at fair value on the grant date using the Binomial (lattice) option pricing model. The parameters and assumptions used in the valuation were determined based on the terms and conditions of the grant. The agreement does not provide for cash settlement, and the Company has no history or practice of cash settlement for such arrangements.

The pricing model and key assumptions used in the valuation of the above plan are as follows:

	Employee share option plan
expected volatility (%)	22.9%~23.8%
Risk-free interest rate (%)	1.0539%~1.0781%
Expected life of the options (years)	5 years
Valuation model used	Binomial option pricing model

The expected life of the share options was estimated based on historical data and current expectations and may not necessarily reflect actual exercise patterns. The expected volatility was based on the historical volatility of comparable periods consistent with the option’s expected term, which may not necessarily be indicative of future trends.

Detailed information regarding the Company's share-based payment plans for the years ended December 31, 2025 and 2024 is as follows:

Stock options	2025		2024
	Quantity (unit)	Weighted-average exercise price (NT$)	Quantity (unit)	Weighted-average exercise price (NT$)
Outstanding at beginning of year	876	$57	958	$58
Forfeited during the period	(10)	-	(82)	-
Exercised during the period	(342)	57	-	-
Expired during the period	(91)	-	876	-
Outstanding at the end of period	433	57	958	58
Exercisable at end of year	-	-	-	-
Weighted-average fair value of stock options granted during the period (NT$)	$28.79		$28.79

As of December 31, 2025, the stock options outstanding under the aforementioned share-based payment plan are summarized as follows:

	Exercise Price Range (NT$)	Weighted-Average Remaining Life (Years)
Outstanding stock options	$57	2.42

B. Employee Share Subscription Rights Reserved in a Cash Capital Increase

On December 20, 2024, the Company's Board of Directors resolved to conduct a cash capital increase of 3,000 thousand shares, of which 300 thousand shares were reserved for subscription by employees in accordance with applicable regulations. Employees subscribed for all 300 thousand shares reserved for them. The new shares issued in the above cash capital increase were issued at NT$70 per share, and March 11, 2025 was set as the capital increase record date. The fair value of each subscription right was NT$9.81, and the compensation cost recognized in 2025 amounted to NT$2,943 thousand.

C. The Company recognized the following expenses for its employee share-based payment plan (equity-settled):

	2025	2024
Share-based payment expenses recognized (equity-settled)	$8,839	$9,938
(16)Operating Revenue
	2025	2024
Revenue from contracts with customers
Construction revenue	$843,807	$824,979
Revenue from sale of goods	52,936	22,863
Other operating income	30,440	-
Total	$927,183	$847,842

The disaggregation of revenue from contracts with customers for the years ended December 31, 2025 and 2024 is as follows:

A. Revenue by Business Segment

	By timing of revenue recognition	Engineering Department
		2025	2024
Construction revenue	Over time (progressively recognized)	$843,807	$824,979
Revenue from sale of goods	At a point in time	52,936	22,863
Service revenue	At a point in time	30,440	-
Total		$927,183	$847,842

B. Contract Balances

a. Contract assets – current

	December 31, 2025	December 31, 2024	January 01, 2024
Construction revenue	$422,639	$379,381	$315,586

The significant changes in the Company's contract asset balances for 2025 and 2024 are explained as follows:

	2025	2024
Change due to changes in performance progress assessment	$43,258	$63,795

b. Contract liabilities – current

	December 31, 2025	December 31, 2024	January 01, 2024
Construction revenue	$48,741	$71,458	$44,381

The significant changes in the Company’s contract liability balances for 2025 and 2024 are explained as follows:

	2025	2024
Change due to changes in performance progress assessment	$(22,717)	$27,077

C. Transaction price allocated to remaining performance obligations

As of December 31, 2025 and 2024, the aggregate amount of the transaction price allocated to the Company’s unsatisfied performance obligations was NT$1,151,798 thousand and NT$1,117,652 thousand, respectively. The Company will recognize revenue progressively based on the stage of completion of such construction projects, and most of these projects are expected to be completed within the next one to two years.

D. Assets recognized from the costs to obtain or fulfill a contract

None.

(17) Expected Credit Losses (Gains)

The Company did not recognize any expected credit losses for the years ended December 31, 2025 and 2024.

For information related to credit risk, please refer to Note 12.

The Company measures the loss allowance for its contract assets and receivables (including notes receivable and accounts receivable) at an amount equal to lifetime expected credit losses. Counterparties are grouped based on factors such as credit rating, and a provision matrix is applied to measure the loss allowance. As of December 31, 2025 and 2024, all of the Company’s contract assets and receivables were not past due. The total gross carrying amounts were NT$583,047 thousand and NT$571,924 thousand, respectively, and the loss allowance in both years was NT$0 thousand.

(18)Leases

A. The Company as a Lessee

The Company leases buildings, machinery and equipment, transportation equipment, office equipment, and other equipment. Lease terms typically range from 2 to 5 years.

The impacts of leases on the Company’s financial position, financial performance, and cash flows are as follows:

a. Amounts recognized in the Parent Company Only balance sheet

(a) Right-of-use assets

The carrying amounts of right-of-use assets

	December 31, 2025	December 31, 2024
Buildings	$10,240	$12,410
Transportation equipment	489	38
Office equipment	42	57
Other equipment	1,375	1,726
Total	$12,146	$14,231

During the years ended December 31, 2025 and 2024, the Company recognized additions to right-of-use assets in the amounts of NT$4,118 thousand and NT$7,843 thousand, respectively.

(b) Lease liabilities

	December 31, 2025	December 31, 2024
Lease liabilities
Current	$6,177	$5,103
Non-current	6,283	9,471
Total	$12,460	$14,574

For interest expenses on lease liabilities for the years ended December 31, 2025 and 2024, please refer to Note 6(20)D “Finance Costs.” For the maturity analysis of lease liabilities, please refer to Note 12(5) “Liquidity Risk Management.”

b. Amounts Recognized in the Parent Company Only Statement of Comprehensive Income

(a) Depreciation of right-of-use assets

	2025	2024
Buildings	$5,583	$6,240
Transportation equipment	254	541
Machinery and equipment	-	409
Office equipment	15	16
Other equipment	351	29
Total	$6,203	$7,235

(b) Expenses related to lease activities recognized by the lessee

	2025	2024
Expense for short-term leases	$6,413	$6,117

c. Cash Outflows Related to Lease Activities by the Lessee

The total cash outflows for leases by the Company for the years ended December 31, 2025 and 2024 were NT$ 12,999 thousand and NT$13,472 thousand, respectively.

(19) Summary of Depreciation, Amortization, and Employee Benefits Expenses by Function

| By function
By nature | 2025 | | | 2024 | | |
| --- | --- | --- | --- | --- | --- | --- |
| | Cost of Sales | Operating Expenses | Total | Cost of Sales | Operating Expenses | Total |
| Employee benefit expenses | | | | | | |
| Salary expenses | $78,677 | $69,260 | $147,937 | $65,550 | $61,663 | $127,213 |
| Labor and health insurance | 6,939 | 4,086 | 11,025 | 5,807 | 4,370 | 10,177 |
| Pension expense | 3,236 | 1,831 | 5,067 | 2,764 | 1,716 | 4,480 |
| Directors' remuneration | - | 4,821 | 4,821 | - | 4,542 | 4,542 |
| Other employee benefits | 8,514 | 6,912 | 15,426 | 5,596 | 6,200 | 11,796 |
| Depreciation expense | 11,427 | 12,585 | 24,012 | 10,253 | 9,763 | 20,016 |
| Amortization expenses | - | 2,232 | 2,232 | - | 2,201 | 2,201 |

The Company’s average number of employees in 2025 and 2024 was 153 and 140, respectively, of whom 6 and 5, respectively, were directors not concurrently serving as employees.

The average employee benefit expense for the current year and the preceding year was NT$1,221 thousand and NT$1,138 thousand, respectively.

The average employee salary expense for the current year and the preceding year was NT$1,006 thousand and NT$942 thousand, respectively

The average employee salary expense for the current year increased by 6.79% compared with the preceding year.

The Company has established an Audit Committee in accordance with applicable regulations to replace the function of supervisors; therefore, no remuneration for supervisors was recognized.

According to the Company’s Articles of Incorporation, if there is profit for the year, the Company shall appropriate no less than 1% thereof as employee compensation and no more than 5% thereof as directors’ remuneration. Of the employee compensation, no less than 50% shall be allocated to non-management employees. However, if the Company has accumulated losses, an amount sufficient to offset such losses shall first be reserved. Employee compensation and compensation to non-management employees may be distributed in the form of shares or cash, and the recipients may include employees of controlled or subordinate companies who satisfy certain conditions prescribed by the Board of Directors. Directors’ remuneration shall be distributed in cash only.

Based on the Company’s profitability, employee compensation and directors’ remuneration were accrued for 2025 and 2024. The amounts recognized as employee compensation and directors’ remuneration for 2025 and 2024 were NT$8,233 thousand, NT$1,647 thousand, NT$6,321 thousand and NT$1,264 thousand, respectively, and were recorded under salary expense.

On March 10, 2026, the Company’s Board of Directors resolved to distribute employee compensation and directors’ remuneration in cash in the amounts of NT$8,233 thousand and NT$1,647 thousand, respectively. There was no difference between such amounts and the amounts recognized as expenses in the 2025 financial statements.

There was no material difference between the actual amounts of employee compensation and directors’ remuneration distributed for 2024 and the amounts recognized as expenses in the 2024 financial statements

(20) Non-operating Income and Expenses

A. Interest income

	2025	2024
Financial assets measured at amortized cost	$2,464	$1,708

B. Other income

	2025	2024
Rental income	$1,121	$965
Other income – miscellaneous	2,387	891
Total	$3,508	$1,856

C. Other gains and losses

	2025	2024
Net foreign exchange gain (loss)	$1,273	$4,378
Gain on lease modification	-	102
Compensation losses	-	(25,380)
Loss on disposal of property, plant and equipment	-	(115)
Miscellaneous expenses	-	(45)
Total	$1,273	$(21,060)

D. Finance costs

	2025	2024
Interest on bank borrowings	$2,298	$1,807
Interest on lease liabilities	354	367
Total	$2,652	$2,174

(21) Components of Other Comprehensive Income

The other comprehensive income of 2025 is as follows:

	Crrent period	Reclassification and adjustment	Other comprehensive income	Income tax benefit	After-tax amount
Items that will not be reclassified to profit or loss:
Unrealized gain (loss) on investments in equity instruments measured at fair value through other comprehensive income	$(1,567)	$ -	$(1,567)	$315	$(1,252)
Items that may be reclassified subsequently to profit or loss:
Exchange differences arising on translation of foreign operations	2,157	-	2,157	(431)	1,726
Total	$590	$ -	$590	$(116)	$474

The other comprehensive income of 2024 is as follows:

	Crrent period	Reclassification and adjustment	Other comprehensive income	Income tax benefit	After-tax amount
Items that will not be reclassified to profit or loss:
Unrealized gain (loss) on investments in equity instruments measured at fair value through other comprehensive income	$(3,320)	$ -	$(3,320)	$664	$(2,656)
Items that may be reclassified subsequently to profit or loss:
Exchange differences arising on translation of foreign operations	(605)	-	(605)	121	(484)
Total	$(3,925)	$ -	$(3,925)	$785	$(3,140)

(22) Income tax

The major components of income tax expense (benefit) for 2025 and 2024 are as follows:

Income Tax Recognized in Profit or Loss

	2025	2024
Current income tax expense (benefit):
Income tax payable for the current period	$28,983	$28,797
Adjustments to income tax expense of prior years	(3,986)	148

Deferred income tax expense(benefit):
Deferred tax arising from the origination and reversal of temporary differences
Income tax expense

3,330	(2,220)
$28,327	$26,725

Income Tax Recognized in Other Comprehensive Income

	2025	2024
Deferred income tax expense(benefit):
Unrealized gain (loss) on equity instruments measured at FVOCI	$(315)	$(664)
Exchange differences on translation of foreign operations	431	(121)
Income tax related to other comprehensive income	$116	$(785)

The reconciliation between income tax expense and accounting profit multiplied by the applicable tax rate is as follows:

	2025	2024
Profit before tax from continuing operations	$154,779	$119,239
Tax calculated at applicable domestic tax rates	$30,956	$23,848
Additional surtax on undistributed earnings	1,357	2,729
Adjustment to prior year’s current income tax	(3,986)	148
Total income tax expense recognized in profit or loss	$28,327	$26,725

The balances of deferred income tax assets (liabilities) relating to the following items are as follows:

2025

	Beginning balance	Recognized in profit or loss	Recognized in other comprehensive income	Ending balance
Temporary difference
Unrealized foreign exchange gain (loss)	$(322)	$(186)	$ -	$(508)
Allowance for inventory	1,524	622	-	2,146
Losses on onerous contracts	508	(466)	-	42
Investments accounted for using the equity method	932	(3,300)	-	(2,368)
Exchange differences on translation of foreign operations	121	-	(431)	(310)

	Beginning balance	Recognized in profit or loss	Recognized in other comprehensive income	Ending balance
Fair value gain (loss) on financial assets measured at fair value through other comprehensive income	2,836	-	315	3,151
Deferred income tax benefit		$(3,330)	$(116)
Net deferred income tax assets (liabilities)	$5,599			$2,153
The information expressed on the balance sheet is as follows:
Deferred income tax assets	$5,921			$5,339
Deferred income tax liabilities	$322			$3,186

2024

	Beginning balance	Recognized in profit or loss	Recognized in other comprehensive income	Ending balance
Temporary difference
Unrealized foreign exchange gain (loss)	$1	$(323)	$ -	$(322)
Allowance for inventory	418	1,106	-	1,524
Losses on onerous contracts	3	505	-	508
Investments accounted for using the equity method	-	932	-	932
Exchange differences on translation of foreign operations	-	-	121	121
Fair value gain (loss) on financial assets measured at fair value through other comprehensive income	2,172	-	664	2,836
Deferred income tax benefit		$2,220	$785
Net deferred income tax assets (liabilities)	$2,594			$5,599
The information expressed on the balance sheet is as follows:
Deferred income tax assets	$2,594			$5,921
Deferred income tax liabilities	$ -			$322

Status of Income Tax Filings

As of December 31, 2025, the Company’s income tax returns have been assessed and approved by the tax authority up to the year 2023.

(23)Earnings Per Share

Basic earnings per share is calculated by dividing the profit (loss) attributable to ordinary shareholders of the Company for the year by the weighted-average number of ordinary shares outstanding during the year.

The diluted earnings per share is calculated by adjusting the profit attributable to ordinary equity holders of the parent entity and the weighted-average number of ordinary shares outstanding for the effects of all dilutive potential ordinary shares.

	2025	2024
A. Basic earnings per share
Profit attributable to ordinary equity holders of the parent (NT$ thousand)	$126,452	$92,514
Weighted-average number of ordinary shares outstanding (thousand shares)	19,284	16,800
Basic earnings per share (NT$)	$6.56	$5.51
	2025	2024
B. Diluted earnings per share
Profit attributable to ordinary equity holders of the parent (NT$ thousand)	$126,452	$92,514
Adjusted profit attributable to ordinary equity holders of the parent (NT$ thousand)	$126,452	$92,514
Weighted-average number of ordinary shares outstanding (thousand shares)	19,284	16,800
Dilutive effects:
Employee remuneration – stock (thousand shares)	78	91
Employee share options (thousand shares)	219	356
Adjusted weighted-average number of ordinary shares (thousand shares)	19,581	17,247
Diluted earnings per share (NT$)	$6.46	$5.36

There were no significant transactions involving ordinary shares or potential ordinary shares occurring after the reporting period and before the date the parent company only financial statements were authorized for issue.

7. Related Party Transactions

The following are significant transactions with related parties during the reporting period:

Related Parties and Their Relationships

Related Party Name	Relationship with the Company
Fuyao International Co., Ltd.	The person in charge is a second-degree relative of the Company’s Chairman
Exemplary Good Investment Co., Ltd.	The person in charge is the spouse of the Company’s Chairman
Yu Jia Technology Engineering Firm	The person in charge is the spouse of a Director of the Company
Chu Sen Tech. Eng. Co. Ltd	The substantive related party of our Company
Xin Yang Technology Co., Ltd.	A director of this company is a second-degree relative of a Director of the Company
GENII IDEAS Japan Co., Ltd.	The Company's subsidiary
GENII IDEAS(S) PTE. LTD.	The Company's subsidiary
GENII IDEAS GmbH	The Company's subsidiary
GENII IDEAS USA CORPORATION	The person in charge of the company is the Company’s General Manager.

Significant Transactions with Related Parties

(1) Construction Revenue

	2025	2024
GENII IDEAS(S) PTE. LTD.	$7,390	$ -
Chu Sen Tech. Eng. Co. Ltd.	198	-
Total	$7,588	$-

(2) Sales revenue

	2025	2024
GENII IDEAS(S) PTE. LTD.	$26,181	$-

The selling prices for sales to related parties were determined by mutual agreement with reference to prevailing market conditions. The prices and collection terms for sales to related parties were consistent with those applicable to ordinary sales.

(3) Commission income

	2025	2024
GENII IDEAS(S) PTE. LTD.	$18,537	$-

(4) Royalty income

	2025	2024
GENII IDEAS(S) PTE. LTD.	$9,269	$-

(5) Construction Costs

	2025	2024
Chu Sen Tech. Eng. Co. Ltd	$2,979	$1,719
Yu Jia Technology Engineering Firm	2,937	4,516
Total	$5,916	$6,235

The transaction prices for construction work subcontracted by the Company to related parties were determined by mutual agreement with reference to prevailing market conditions.

(6) Other income – Others

	2025	2024
GENII IDEAS Japan Co., Ltd.	$220	$-
GENII IDEAS(S) PTE. LTD.	112	-
Total	$332	$-

(7) Accounts receivable

	2025	2024
GENII IDEAS(S) PTE. LTD.	$61,377	$-

Accounts receivable arising from construction projects undertaken on behalf of the Singapore subsidiary.

(8) Other receivables

	December 31, 2025	December 31, 2024
GENII IDEAS(S) PTE. LTD.	$2,085	$617
GENII IDEAS GmbH	1,532	938

GENII IDEAS USA CORPORATION	137	-
GENII IDEAS Japan Co., Ltd.	107	223
Total	$3,861	$1,778

(9) Advance payments for investments

	2025	2024
GENII IDEAS USA CORPORATION	$31,090	$-

(10) Accounts payable

	December 31, 2025	December 31, 2024
Chu Sen Tech. Eng. Co. Ltd	$3,135	$1,549
Yu Jia Technology Engineering Firm	1,120	438
Total	$4,255	$1,987

The payment terms for purchases made by the Company from related parties were comparable to those offered by other suppliers.

(11) Lease Transactions with Related Parties

Related Party	Nature	2025	2024
Exemplary Good Investment Co., Ltd.	Depreciation expense	$185	$187
Exemplary Good Investment Co., Ltd.	Interest expense	12	2
Related Party	Nature	2025	2024
Exemplary Good Investment Co., Ltd.	Right-of-use assets	$369	$-
Exemplary Good Investment Co., Ltd.	Lease liabilities	374	-

The lease terms under the aforementioned related party agreements were determined with reference to prevailing market conditions.

(12) Remuneration of the Company's Key Management Personnel

Short-term employee benefits
Post-employment benefits
Total

2025	2024
$16,202	$14,581
195	290
$16,397	$14,871

8.Pledge Assets

The Company pledged the following assets as collateral:

Items	Book value		Contents of collateral
	December 31, 2025	December 31, 2024
Real property, plant and equipment – land and buildings	$72,573	$75,155	Long-term borrowings
Investment property – land and buildings	43,156	44,710	Long-term borrowings
Total	$115,729	$119,865

9.Significant Contingent Liabilities and Unrecognized Contractual Commitments

None.

10.Significant Losses from Natural Disasters

None.

11.Significant Subsequent Events

None.

12.Others

(1) Categories of Financial Instruments

Financial assets

	December 31, 2025	December 31, 2024
Financial assets at fair value through other comprehensive income	$ -	$1,567
Financial assets measured at amortized cost
Cash and cash equivalents (excluding cash on hand)	368,172	169,669
Accounts receivable	160,408	192,543

	December 31, 2025	December 31, 2024
Other receivables	4,238	1,898
Refundable deposits	7,680	1,876
Subtotal	540,498	365,986
Total	$540,498	$367,553
Financial liabilities	December 31, 2025	December 31, 2024
Financial liabilities measured at amortized cost:
Accounts payable	$135,725	142,986
Other payables	105,682	86,495
Long-term borrowings (including current portion)	150,167	150,583
Lease liabilities	12,460	14,574
Total	$404,034	$394,638

(2) Financial Risk Management Objectives and Policies

The primary objective of the Company's financial risk management is to manage market risk, credit risk, and liquidity risk arising from its operating activities. In accordance with the Company's policies and risk appetite, the Company identifies, measures, and manages the aforementioned risks.

The Company has established appropriate policies, procedures, and internal controls for managing these financial risks in accordance with relevant regulations. Significant financial activities are subject to review by the Board of Directors and the Audit Committee in accordance with applicable regulations and internal control systems. During the execution of financial management activities, the Company is required to strictly adhere to the established financial risk management policies.

(3) Market risk

The Company's market risk refers to the risk of fluctuations in the fair value or cash flows of financial instruments due to changes in market prices. Market risk primarily includes foreign exchange risk, interest rate risk, and other price risks (e.g., equity instruments).

In practice, it is rare for a single risk variable to change in isolation, as movements in risk variables are usually correlated. However, the following sensitivity analyses for each type of risk do not take into account the potential interdependencies between risk variables.

Foreign Exchange Risk

The Company’s foreign exchange risk mainly arises from operating activities (when the currencies used for revenue or expenses differ from the Company’s functional currency) and from net investments in foreign operations.

Certain foreign currency-denominated receivables and payables of the Company are denominated in the same currencies. In such cases, the matching portions provide a natural hedging effect. However, the aforementioned exchange rate risk management approach through natural hedging does not qualify for hedge accounting under the relevant requirements; therefore, hedge accounting has not been applied. In addition, the net investments in foreign operations are strategic investments, and accordingly, the Company has not designated any hedge for such investments.

The Company’s foreign exchange risk sensitivity analysis focuses on major foreign-currency-denominated monetary items outstanding as of the end of the reporting period, and the corresponding impact of foreign currency appreciation or depreciation on profit or loss. The Company’s foreign exchange risk is mainly affected by fluctuations in the USD exchange rate. The results of the sensitivity analysis are as follows:

A 1% appreciation/depreciation of the New Taiwan dollar against the U.S. dollar would have decreased/increased the Company’s profit or loss by NT$91 thousand and NT$674 thousand for 2025 and 2024, respectively.
A 1% appreciation/depreciation of the New Taiwan dollar against the Japanese yen would have decreased/increased the Company’s profit or loss by NT$20 thousand and NT$17 thousand for 2025 and 2024, respectively.
A 1% appreciation/depreciation of the New Taiwan dollar against the Singapore dollar would have decreased/increased the Company’s profit or loss by NT$714 thousand and NT$6 thousand for 2025 and 2024, respectively.

Interest Rate Risk

Interest rate risk is the risk that the fair value of financial instruments or future cash flows will fluctuate as a result of changes in market interest rates. The Company’s interest rate risk mainly arises from fixed-rate borrowings and floating-rate borrowings.

The sensitivity analysis of interest rate risk is primarily based on interest rate exposure items outstanding at the end of the reporting period, including floating-rate borrowings, and assumes that such exposures are held for an entire fiscal year. A 10-basis-point increase/decrease in interest rates would have decreased/increased the Company's profit or loss by NT$150 thousand and NT$151 thousand for 2025 and 2024, respectively.

Equity Price Risk

The Company holds unlisted equity securities, the fair value of which is affected by uncertainties associated with the future value of the investees. Such unlisted equity securities are classified as financial assets at fair value through other comprehensive income. The Company manages price risk associated with equity securities through portfolio diversification and by setting limits on individual and overall equity investments. Information on the equity investment portfolio is regularly provided to the Company's senior management, and all equity investment decisions are subject to review and approval by the Board of Directors.

For sensitivity analysis information regarding other equity instruments or equity-linked derivatives classified under Level 3 of the fair value hierarchy, please refer to Note 12(8).

(4) Credit Risk Management

Credit risk refers to the risk of financial loss to the Company if a counterparty fails to meet its contractual obligations. The Company is exposed to credit risk from its operating activities (primarily contract assets, accounts receivable, and notes receivable) and financial activities (primarily bank deposits and various financial instruments).

Each unit of the Company manages credit risk in accordance with its credit risk policies, procedures, and controls. The credit risk assessment of all counterparties is performed by taking into account factors such as the counterparty's financial position, ratings assigned by credit rating agencies, past transaction experience, current economic conditions, and the Company's internal rating standards. The Company also uses certain credit enhancement instruments, such as advance receipts and insurance, when appropriate, to reduce the credit risk of specific counterparties.

As of December 31, 2025 and 2024, contract assets and receivables due from the Company's top three customers accounted for 81% and 81%, respectively, of the

Company's total contract assets and receivables. The concentration of credit risk associated with the remaining contract assets and receivables was therefore not considered significant.

The Company's finance department manages the credit risk of bank deposits, fixed-income securities, and other financial instruments in accordance with the Company's policies. As the Company's counterparties are selected through internal control procedures and consist of creditworthy banks, investment-grade financial institutions, corporate entities, and government agencies, no significant credit risk is considered to exist.

(5) Liquidity Risk

The Company maintains financial flexibility through cash and cash equivalents, highly liquid marketable securities, bank borrowings, and other contractual arrangements. The table below summarizes the maturity profile of the contractual payments of the Company's financial liabilities, based on the earliest date on which the Company may be required to make payment, and prepared using undiscounted cash flows. The amounts presented also include contracted interest. For interest cash flows arising from floating-rate instruments, the undiscounted interest amounts are derived from the yield curve at the end of the reporting period.

Non-derivative Financial Liabilities

	Less than One Year	2 to 3 years	4 to 5 years	Over 5 years or more	Total
December 31, 2025
Accounts Payable	$135,725	$ -	$ -	$ -	$135,725
Other payables	105,682	-	-	-	105,682
Lease liabilities	6,403	6,066	322	-	12,791
Long-term borrowings	21,396	42,762	13,842	94,092	172,092
December 31, 2024
Accounts Payable	$142,986	$ -	$ -	$ -	$142,986
Other payables	86,495	-	-	-	86,495
Lease liabilities	5,392	8,650	1,083	-	15,125
Long-term borrowings	21,113	38,724	13,843	101,014	174,694

Derivatives Financial Liabilities

None.

(6) Reconciliation of Liabilities Arising from Financing Activities

2025 Reconciliations of liabilities:

	Long-term borrowings (including current portion)	Guarantee deposits received	Lease liabilities	Other non-current liabilities	Total liabilities from financing activities
January 01, 2025	$150,583	$233	$14,574	$(115)	$165,275
Cash flow	(416)	(114)	(6,586)	-	(7,116)
Non-cash changes	-	-	4,472	115	4,587
December 31, 2025	$150,167	$119	$12,460	$-	$162,746

2024 Reconciliations of liabilities:

	Short-term borrowings	Long-term borrowings (including current portion)	Guarantee deposits received	Lease liabilities	Other non-current liabilities	Total liabilities from financing activities
January 01, 2024	$10,000	$16,583	$ -	$15,449	$ -	$42,032
Cash flow	(10,000)	134,000	233	(7,355)	(115)	116,763
Non-cash changes	-	-	-	6,480	-	6,480
December 31, 2024	$ -	$150,583	$233	$14,574	$(115)	$165,275

(7) Fair Value of Financial Instruments

A. Valuation Techniques and Assumptions Used in Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the

measurement date. The methods and assumptions used by the Company in measuring or disclosing the fair value of financial assets and liabilities are as follows:

a. The carrying amounts of cash and cash equivalents, receivables, payables, and other current liabilities approximate their fair values due to their short maturities.

b. The fair values of financial assets and financial liabilities traded in active markets and with standard terms and conditions (such as listed stocks, mutual funds, bonds, and futures) are determined based on quoted market prices.

c. The fair values of equity instruments not traded in an active market (e.g., privately placed listed stocks, stocks of public companies not actively traded, and stocks of non-public companies) are estimated using the market approach, which references the trading prices of equity instruments of comparable companies and other relevant information (such as illiquidity discounts, price-to-earnings ratios of comparable companies, and price-to-book ratios).

d. For investments in debt instruments, bank borrowings, corporate bonds payable, and other non-current liabilities that are not quoted in an active market, fair values are determined based on quotations from counterparties or valuation techniques. These valuation techniques are primarily based on discounted cash flow analysis, where assumptions such as interest rates and discount rates are derived from information on similar instruments (e.g., TPEx yield curves, Reuters average commercial paper rates, and credit risk data).

e. For derivative financial instruments not quoted in an active market: (a) Non-option derivatives: Fair values are calculated using discounted cash flow analysis based on quotations from counterparties or applicable yield curves over the instrument's remaining life. (b) Option-based derivatives: Fair values are calculated using quotations from counterparties, appropriate option pricing models (e.g., the Black-Scholes model), or other valuation methodologies (e.g., Monte Carlo simulation).

B. Fair Value of Financial Instruments Measured at Amortized Cost

The carrying amounts of the Company's financial assets and financial liabilities measured at amortized cost approximate their fair values.

C. Fair Value Hierarchy of Financial Instruments

For information regarding the fair value hierarchy of the Company's financial instruments, please refer to Note 12(8).

(8) Fair Value Hierarchy

A. Definition of Fair Value Hierarchy

All assets and liabilities measured or disclosed at fair value are classified into a fair value hierarchy based on the lowest level of input that is significant to the overall fair value measurement. The levels of inputs are defined as follows:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that are accessible at the measurement date.

Level 2: Observable inputs for the asset or liability, either directly or indirectly, other than quoted prices included in Level 1.

Level 3: Unobservable inputs for the asset or liability.

For assets and liabilities that are measured on a recurring basis, the Company reassesses the classification within the fair value hierarchy at each reporting date to determine whether transfers between levels have occurred.

B. Fair Value Hierarchy Information for Fair Value Measurements

The Company does not have any non-recurring fair value measurements. The fair value hierarchy information for recurring fair value measurements of assets and liabilities is presented as follows:

December 31, 2025

	Level 1	Level 2	Level 3	Total
Assets measured at fair value:
Financial assets at fair value through other comprehensive income
Equity instruments measured at fair value through other comprehensive income	$ -	$ -	$-	$-

December 31, 2024

	Level 1	Level 2	Level 3	Total
Assets measured at fair value:
Financial assets at fair value through other comprehensive income
Equity instruments measured at fair value through other comprehensive income	$ -	$ -	$1,567	$1,567

Transfers Between Level 1 and Level 2 of the Fair Value Hierarchy

During the years ended December 31, 2025 and 2024, there were no transfers between Level 1 and Level 2 for assets and liabilities measured at fair value on a recurring basis.

Reconciliation of Recurring Fair Value Measurements Classified within Level 3

The following table presents a reconciliation of the beginning and ending balances for recurring fair value measurements of assets and liabilities classified within Level 3 of the fair value hierarchy:

	Assets
	Financial assets at fair value through other comprehensive income
	stocks
	2025	2024
Beginning balance	$1,567	$4,887
Recognize total profit (loss):
Recognized in other comprehensive income (loss) (under “Unrealized gain or loss on investment in equity instruments at fair value through other comprehensive income”)	(1,567)	(3,320)
Ending balance	$-	$1,567

Significant Unobservable Inputs Used in Level 3 Fair Value Measurements

For the Company's recurring fair value measurements classified within Level 3 of the fair value hierarchy, the significant unobservable inputs used in determining fair value are summarized as follows:

December 31, 2025:

	Valuation technique	Significant unobservable input	Quantitative information	Relationship between input and fair value	Sensitivity of Fair Value to Changes in Input
Financial assets: Equity securities measured at fair value through other comprehensive income	Market approach	Illiquidity discount	30%	The higher the degree of illiquidity, the lower the estimated fair value	A 1% increase (decrease) in the illiquidity discount would decrease (increase) the Company's equity by NT$0 thousand

December 31, 2024:

	Valuation technique	Significant unobservable input	Quantitative information	Relationship between input and fair value	Sensitivity of Fair Value to Changes in Input
Financial assets: Equity securities measured at fair value through other comprehensive income	Market approach	Illiquidity discount	30%	The higher the degree of illiquidity, the lower the estimated fair value	A 1% increase (decrease) in the illiquidity discount would decrease (increase) the Company's equity by NT$16 thousand

Valuation Process for Level 3 Fair Value Measurements

The Company's finance department is responsible for fair value verification. This process involves using independent source data to ensure that valuation results reflect current market conditions, confirming that the data sources are independent, reliable, consistent with other information, and representative of executable prices. As of each reporting date, the finance department analyzes changes in the value of assets and liabilities that require remeasurement or reassessment in accordance with the Company's accounting policies, in order to ensure the reasonableness of the valuation results.

C.Fair value hierarchy information for items not measured at fair value but for which fair value is disclosed

December 31, 2025

	Level 1	Level 2	Level 3	Total
Assets for which fair value is disclosed only:
Investment property (Note 6(9))	$ -	$ -	$48,552	$48,552
December 31, 2024
	Level 1	Level 2	Level 3	Total
Assets for which fair value is disclosed only:
Investment property (Note 6(9))	$ -	$ -	$48,552	$48,552

(9)Information on Foreign-Currency-Denominated Financial Assets and Liabilities with Significant Impactt

The Company's foreign-currency-denominated financial assets and liabilities with significant impact are summarized as follows:

	December 31, 2025			December 31, 2024
	Foreign currency	Exchange rate	NT$	Foreign currency	Exchange rate	NT$
Financial assets
Monetary items:
USD	$288	31.4300	$9,052	$2,056	32.7850	$67,406
JPY	81,959	0.2008	16,457	103,992	0.2099	21,828
SGD	2,920	24.4500	71,394	25	24.1300	603
Financial liabilities
Monetary items:
JPY	$72,000	0.2008	$14,458	$96,000	0.2099	$20,150

The Company recognized foreign exchange gains (losses) of NT$1,273 thousand and NT$4,378 thousand for the years ended December 31, 2025 and 2024, respectively.

The above information is disclosed based on the carrying amounts of foreign-currency-denominated items, translated into the respective functional currencies.

(10)Capital Management

The primary objective of the Company’s capital management is to ensure a sound credit rating and maintain a healthy capital ratio in order to support business operations and maximize shareholder value.

The Company manages and adjusts its capital structure in response to economic conditions and may make adjustments by modifying dividend distributions, returning capital to shareholders, or issuing new shares to maintain or realign the capital structure.

Additional Disclosures

(1) Information on Significant Transactions

A. Loans to Others:

No.	Company extending the loan	Borrower	Nature of transactions	Related party	Highest balance during the period	Ending balance	Amount actually drawn down	Interest rate range	Nature of the loan (Note 1)	Amount of business transactions	Reason for the necessity of short-term financing	Amount of allowance for loss	Name	Value	Loan limit for individual counterparties (Note 2)	Aggregate limit on loans of funds (Note 2)
0	The Company	GENII IDEAS (S) PTE. LTD.	-	Y	$75,000	$75,000	$-	2.40%	1	$61,377	-	$-	-	-	$84,093	$84,093
0	The Company	GENII IDEAS (S) PTE. LTD.	-	Y	75,000	75,000	-	2.40%	2	-	Working capital	-	-	-	84,093	336,374

Note 1: The nature of loans of funds is as follows:
(1) Parties having business transactions with the Company.
(2) Parties having a need for short-term financing.

Note 2: The Company’s Procedures for Loaning of Funds to Others set forth the following limits on the aggregate amount of loans and the amount of loans to any single enterprise:

(1) For companies or firms having business transactions with the Company, the aggregate amount of loans shall not exceed 10% of the Company’s net worth. For companies or firms having a need for short-term financing, the aggregate amount of loans shall not exceed 40% of the Company’s net worth.

(2) For companies or firms having business transactions with the Company, the amount of loans to any individual counterparty shall not exceed the amount of business transactions between the parties and shall not exceed 10% of the Company’s net worth.

(3) For companies or firms having a need for short-term financing, the amount of loans to any individual counterparty shall not exceed 10% of the Company’s net worth.

(4) In the case of loans of funds between foreign companies in which the Company directly and indirectly holds 100% of the voting shares, the aggregate amount of such loans shall not exceed 20% of the Company’s net worth, and the limit for any individual counterparty shall not exceed 10% of the Company’s net worth.

The limit on loans of funds to any individual counterparty due to business transactions is 10% of the Company’s shareholders’ equity based on its most recent financial statements.

Calculation: NT$840,934 thousand × 10% = NT$84,093 thousand

The aggregate limit on loans of funds is 10% of the Company's shareholders' equity based on its most recent financial statements.

Calculation: NT$840,934 thousand × 10% = NT$84,093 thousand

The limit on loans of funds to any individual counterparty for short-term financing is 10% of the Company's shareholders' equity based on its most recent financial statements.

Calculation: NT$840,934 thousand × 10% = NT$84,093 thousand

The aggregate limit on loans of funds is 40% of the Company's shareholders' equity based on its most recent financial statements.

Calculation: NT$840,934 thousand × 40% = NT$336,374 thousand

B. Endorsements and Guarantees for others:

No.	Endorser/Guarantor Company Name	Endorser/Guarantor	Relationship (Note 2)	Maximum Limit on Endorsements/Guarantees to a Single Entity (Note 1)	Maximum Balance of Endorsements/Guarantees During the Period	Ending Balance of Endorsements/Guarantees	Amount Actually Used	Amount Secured by Collateral	Percentage of Accumulated Endorsements/Guarantees to Net Worth	Maximum Limit on Total Endorsements/Guarantees (Note 1)	Endorsements/Guarantees from Parent to Subsidiary	Endorsements/Guarantees from Subsidiary to Parent	Endorsements/Guarantees to Mainland China
0	The Company	GENII IDEAS JAPAN CO., LTD.	2	$168,187	$15,694	$14,056	$14,056	None	1.67%	$420,467	Y	N	N
0	The Company	GENII IDEAS (S) PTE. LTD.	2	168,187	157,150	157,150	-	None	18.69%	420,467	Y	N	N

Note 1: The aggregate amount of endorsements and guarantees provided by the Company to external parties shall not exceed 50% of the Company's net worth. The amount of endorsements and guarantees provided to any single enterprise shall not exceed 20% of the Company's net worth. Where an endorsement or guarantee is provided due to business dealings with the Company, in addition to the above limit, the amount of such endorsement or guarantee shall not exceed the total transaction amount between the Company and the counterparty in the most recent fiscal year; however, this restriction shall not apply to subsidiaries in which the Company directly or indirectly holds 100% of the equity interest.

The formula for calculating the limit on endorsements and guarantees for any individual counterparty is as follows:

$$
\text{NT\$840,934 thousand} \times 20\% = \text{NT\$168,187 thousand}
$$

The formula for calculating the maximum aggregate amount of endorsements and guarantees is as follows:

$$
\text{NT\$840,934 thousand} \times 50\% = \text{NT\$420,467 thousand}
$$

For the purposes of the preceding two paragraphs, the Company's net worth shall be based on the most recent financial statements audited or reviewed by CPAs.

The aggregate amount of endorsements and guarantees that may be provided by the Company and its subsidiaries as a whole shall not exceed 50% of the Company's net worth, and the amount of endorsements and guarantees provided by the Company and its subsidiaries as a whole to any single enterprise shall not exceed 20% of the Company's net worth. If the aggregate amount of endorsements and guarantees to be provided by the Company and its subsidiaries as a whole reaches more than 50% of the Company's net worth, the necessity and reasonableness thereof shall be reported to the shareholders' meeting for explanation.

Note 2: The relationship between the endorser/guarantor and the endorsed/guaranteed party falls into one of the following seven categories; only the category number needs to be indicated:

(1) A company having business dealings with the Company.
(2) A company in which the Company directly or indirectly holds more than 50% of the voting shares.
(3) A company that directly or indirectly holds more than 50% of the voting shares of the Company.
(4) Companies in which the Company directly or indirectly holds 90% or more of the voting shares.
(5) Companies in the same industry or joint builders that provide mutual guarantees in accordance with contractual requirements for undertaking construction projects.
(6) A company for which all investing shareholders provide endorsements and guarantees in proportion to their shareholding percentages due to a joint investment relationship.
(7) Companies in the same industry that provide joint and several guarantees for the performance of pre-sale housing sales contracts in accordance with consumer protection laws and regulations.

C. Securities held at the end of the period (excluding investments in subsidiaries, associated companies, and joint ventures): None.

D. Purchases from or sales to related parties amounting to NT$100 million or more, or 20% or more of paid-in capital: None.

E. Amounts receivable from related parties amounting to NT$100 million or more, or 20% or more of paid-in capital: None.

F. Other: The business relationships and significant intercompany transactions and balances between the parent and subsidiaries, and among subsidiaries: None.

(2) Information on Investments in Subsidiaries:

Investing company	Investee company name	Location	Main business activities	Original investment amount		Held by the Company			Profit or Loss of the Investee	Investment gain or loss recognized by the Company	Notes
				Ending balance (current year)	Ending balance (prior year)	Number of shares held	Shareholding percentage	Carrying amount
The Company	GENII IDEAS JAPAN CO., LTD.	Japan	Plant construction and equipment sales	$20,859	$20,859	9,900	100%	$13,775	$(3,550)	$(3,550)	Subsidiary
The Company	GENII IDEAS(S) PTE. LTD.	Singapore	Plant construction and equipment sales	71,547	21,045	3,000,000	100%	94,243	21,245	21,245	Subsidiary
The Company	GENII IDEAS GmbH	Germany	Plant construction and equipment sales	891	891	25,000	100%	(1,330)	(1,200)	(1,200)	Subsidiary

(3) Information on Investments in Mainland China: None.

Genii Ideas Company Limited
Schedule of Significant Accounting Items
2025

Item	Reference No./Index
Statement of Cash and Cash Equivalents	1
Statement of Accounts Receivable	2
Statement of Inventories	3
Statement of Contract Assets and Contract Liabilities	4
Statement of Changes in Investments Accounted for Using the Equity Method	5
Statement of Changes in Property, Plant and Equipment	Note 6(8)
Statement of Changes in the Accumulated Depreciation of Property, Plant and Equipment	Note 6(8)
Statement of Changes in Investment Property	Note 6(9)
Statement of Changes in the Accumulated Depreciation of Investment Properties	Note 6(9)
Statement of Accounts Payable	6
Statement of Other Payables	Note 6(11)
Statement of Long-term Borrowings (including current portion))	Note 6(12)
Statement of Operating Revenue	7
Statement of Operating Costs	8
Statement of Operating Expenses	9
Statement of Non-operating Income and Expenses	Note 6(20)
Summary Schedule of Employee Benefits, Depreciation, and Amortization Expenses by Function	Note 6(19)

Genii Ideas Company Limited
1. Statement of Cash and Cash Equivalents
December 31, 2025

Unit: NT$ thousand

Item	Summary	Amount
Cash		$ -
Bank deposits
Demand deposits - foreign currency	Mainly includes:
	USD 283 thousand	8,893
	SGD 246 thousand	6,015
	JPY 81,426 thousand	16,350
Demand deposits - NT$		336,914
Total		$368,172

Genii Ideas Company Limited
2. Statement of Accounts Receivable
December 31, 2025

Unit: NT$ thousand

Name of customer	Summary	Amount	Note
Non-related parties:
Customer A		$71,425
Customer B		62,349
Other (Note)		26,634
Subtotal		160,408
Less: Allowance for bad debts		-
Net amount		$160,408

Note: Individual customer balances representing less than 5% of the total accounts receivable are presented on a combined basis.

Genii Ideas Company Limited
3. Statement of Inventories
December 31, 2025
Unit: NT$ thousand

Item	Cost	Net realizable value	Note
Raw materials	$28,011	$28,011	For the determination of net realizable value, please refer to Note 4(9) to the financial report.
work-in-progress	339	339
Total	$28,350	$28,350

Genii Ideas Company Limited
4. Statement of Contract Assets and Contract Liabilities
December 31, 2025
Unit: NT$ thousand

Order No.	Accumulated Costs and Recognized Profits	Accumulated Billing Progress	Contract assets - current	Contract liabilities - current
E240169	$102,816	$58,399	$44,417	$ -
E240425	30,717	1,235	29,482	-
E240241	49,725	24,091	25,634	-
E230031	7,706	12,500	-	4,794
E230199	10,717	14,715	-	3,998
E240272	4,663	7,449	-	2,786
E230228	2,621	5,250	-	2,629
E230236	16,848	19,381	-	2,533
Other (Note)	930,118	639,013	323,106	32,001
Total	$1,155,931	$782,033	$422,639	$48,741

Note: Individual balances accounting for less than 5% of the total for this category are presented on a combined basis.

Genii Ideas Company Limited

Statement of Changes in Investments Accounted for Using the Equity Method

From January 1 to December 31, 2025

Unit: NT$ thousand

Name	Beginning balance		Current period increase		Current period decrease		Share of Profit (Loss) under Equity Method	Exchange differences	Ending balance			Pledged/ Guaranteed	Note
	Number of shares	Amount	Number of shares	Amount	Number of shares	Amount			Number of shares	Shareholding percentage	Amount
GENI IDEAS JAPAN Co., Ltd.	9,900	$17,977	-	$ -	-	$-	$(3,550)	$(652)	9,900	100%	$13,775	None
GENI IDEAS(S) PTE. LTD.	850,000	19,621	2,150,000	50,504	-	-	21,245	2,873	3,000,000	100%	94,243	None	Note1
GENI IDEAS GmbH	25,000	(66)	-	-	-	-	(1,200)	(64)	25,000	100%	(1,330)	None

Note 1 : In September 2025, the Company made a capital increase of NT$50,504 thousand in GENII IDEAS (S) PTE. LTD.

Genii Ideas Company Limited
6. Statement of Accounts Payable
December 31, 2025

Unit: NT$ thousand

Vendor name	Summary	Amount	Note
Vendor A		$22,100
Vendor B		16,991
Vendor C		12,072
Vendor D		6,957
Other (Note)		77,605
Total		$135,725

Note: Individual supplier balances representing less than 5% of the total amount under this category are presented on a combined basis.

Genii Ideas Company Limited
7. Statement of Operating Revenue
From January 1 to December 31, 2025

Unit: NT$ thousand

Item	Summary	Amount	Note
Gross Sales Revenue		$52,936
Deduct: Sales returns and allowances		-
Subtotal		52,936
Construction revenue	E240169	91,185
	E240366	54,298
	E240241	48,633
	Others	649,691	Individual balances < 5%
Subtotal		843,807
Other operating income		30,440
Total		$927,183

Genii Ideas Company Limited
8. Statement of Operating Costs
From January 1 to December 31, 2025

Unit: NT$ thousand

Item	Summary	Amount	Note
Construction materials		$38,513
Construction labor		92,270
Subcontracting costs		431,821
Construction expenses		51,981
Subtotal -construction cost		614,585
Cost of goods sold		37,336
Inventory valuation loss		3,110
Cost of services		2,395
Total		$657,426

Genii Ideas Company Limited
9. Statement of Operating Expenses
From January 1 to December 31, 2025

Unit: NT$ thousand

Item	Selling expenses	Administrative expenses	Research and development expenses	Total
Salaries	$13,648	$47,335	$8,277	$69,260
Depreciation	355	9,506	2,724	12,585
Service fee	-	8,568	601	9,169
Insurance expenses	1,196	2,609	710	4,515
Advertising	-	1,054	1,646	2,700
Consumables	-	-	2,027	2,027
Other expenses (Note)	4,567	25,317	5,926	35,810
Total	$19,766	$94,389	$21,911	$136,066

Note: Individual items representing less than 5% of each respective category have been presented on a combined basis.

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GENIIDEAS — Audit Report / Information 2025

52684_rns_2026-04-28_a86db18c-9df4-4ae1-902c-d6c9101be4c1.pdf

Opinion

Basis for Opinion

Key Audit Matters

Revenue recognition

Responsibilities of Management and Those Charged with Governance for the Parent company only Financial Statements

Auditor’s Responsibilities for the Audit of the Parent company only Financial Statements

1. Company History

2. Date and Procedures of Financial Statement Approval

3. Adoption of Newly Issued and Revised Standards and Interpretations

A.IFRS 17 "Insurance Contracts"

B.Amendments to the Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7)

4. Summary of Significant Accounting Policies

(1) Statement of Compliance

(2) Basis of Preparation

(3) Foreign Currency Transactions

A. Recognition And Measurement Of Financial Assets

Financial Assets Measured At Amortized Cost

Financial Assets Measured at Fair Value Through Other Comprehensive Income

Financial Assets Measured at Fair Value Through Profit or Loss

B. Impairment of Financial Assets

Classification of Liabilities or Equity

Equity Instrument

Financial Liabilities

Financial Liabilities Measured at Amortized Cost

Derecognition of Financial Liabilities

E. Offsetting of Financial Assets and Financial Liabilities

(8) Fair Value Measurement

(9) Inventories

The Company as a Lessee

The Company as a Lessor

(13) Intangible Assets

(14) Impairment of Non-financial Assets

(15) Provisions

Provision for Warranties

(16) Revenue Recognition

Construction Contracts

Sale of Goods

(17) Borrowing Cost

(18) Post-employment Benefit Plans

(19) Share-based Payment Transactions

6. Details of Major Accounting Items

(1) Cash and Cash Equivalents

(2) Accounts Receivable

(3) Inventories

Defined Contribution Plans

A. Ordinary Shares

A. Employee Share-Based Payment Plan

(23)Earnings Per Share

7. Related Party Transactions

Related Parties and Their Relationships

Significant Transactions with Related Parties

(1) Construction Revenue

(2) Sales revenue

8.Pledge Assets

9.Significant Contingent Liabilities and Unrecognized Contractual Commitments

10.Significant Losses from Natural Disasters

11.Significant Subsequent Events

12.Others

Foreign Exchange Risk

Interest Rate Risk

Equity Price Risk

(4) Credit Risk Management

Transfers Between Level 1 and Level 2 of the Fair Value Hierarchy

Reconciliation of Recurring Fair Value Measurements Classified within Level 3

Significant Unobservable Inputs Used in Level 3 Fair Value Measurements

Valuation Process for Level 3 Fair Value Measurements

B. Endorsements and Guarantees for others:

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GENIIDEAS Audit Report / Information 2025