Getac — Interim / Quarterly Report 2020

Mar 2, 2021

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Investor Conference Q4’20 Business Report March 03, 2021

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Getac Technology Corporation

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Disclaimer 議程

This presentation and release contain “forward-looking statements” which may include projections of future results of operations, financial condition or business prospects based on our own information and other sources. Getac undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date.

Our actual results of operations, financial condition or business prospects may differ from those expressed or implied in these forward-looking statements for a variety of reasons, including but not limited to market demand, price fluctuations, competition, international economic conditions, supply chain issues, exchange rate fluctuations and other risks and factors beyond our control.

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www.getacgroup.com

Agenda 議程

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1
2 3
Business
Financial Q&A
Update
Update
Chairman CFO
James Hwang Vicky Hsieh
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www.getacgroup.com

About Getac

Getac Consolidated Revenue Trends

NT$: billion

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27.84
神基科技股份有限公司 26.95
24.69
Getac Technology Corporation 22.20
20.41
18.33
Founded in 1989
IPO in 2002
TWSE:3005
Capital: NT$ 5.9B
2020 Consolidated Revenue:
NT$27.84 billion
2020 Market cap : NT$28.81 billion
2015 2016 2017 2018 2019 2020
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www.getacgroup.com

Electronic Products

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Rugged Computing Solutions (Getac Brand)

Getac provides safe and reliable rugged computer solutions for defense, public safety, utility, transportation and logistics, manufacturing, and energy industries, helping professionals improve front-line operational efficiency and digital transformation.

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Getac Video Solution

Getac video solution integrates IoT hardware devices such as in-car video solution and body-wearable cameras, with cloud computing platform as the architecture to perform image data transmission, aggregation, storage, and intelligence analysis.

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www.getacgroup.com

Mechanical Solutions

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Combo Mechanical Products

An industry’s leading manufacture of composite materials , dedicated to the development of advanced process and surface treatment technology, combined with RHCM plastic injection and various process technology composite materials, to provide the industry's most lightweight, environmentally friendly, strong and stylish mechanical components.

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Getac has 39% Ownership
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Aeros ace Fasteners TWSE:3004 p

Automotive Mechanical Products

IATF16949 certified manufacturer, providing OEM services for automotive light metal die-casting parts, focusing on ADAS (advanced driver assistance and new systems) energy vehicle applications. Our production volume of seatbelt spindles and spools represents around 40% of the global supply.

AS9100 and IATF16949 management system certified manufacturer, which produces fastener products for and aerospace high-end industrial applications. It is one of the few certified fastener aerospace manufacturers in the Asia-Pacific region.

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www.getacgroup.com

Manufacturing Locations

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Kunshan, China Chengsu, China Taiwan Hanoi, Vietnam

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Manufacturing Base Of Each Product Line Kunshan, China (1) Rugged Computers Xizhi, Taiwan (1) Linkou, Taiwan(1) Kunshan, China(2) Combo Mechanical Hanoi, Vietnam(1) Chengshu, China(1) Automotive Parts Hanoi, Vietnam(1)

Rugged Computers

Combo Mechanical

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www.getacgroup.com

Outstanding Business Performance

Sustainability Commitment

• Consolidated revenue is growing for eight consecutive years

• James Hwang, chairman of Getac technology corporation, was selected by Harvard Business Review Chinese edition as one of the top 100 CEOs in Taiwan.

Recognized Sustainable Performance

• Getac received Taiwan corporate sustainability awards (TCSA) for both “Corporate Comprehensive Performance AwardMerit” and “Corporate Sustainability Report- Gold.

• Getac ranked as the Top 6-20% of listed companies in the Corporate Governance Evaluation.

Selected In Corporate Social Responsibility Indexes

• TWSE corporate governance 100 index │ FTSE TWSE Taiwan dividend+ index│ TWSE RAFI® Taiwan high compensation 100 index.

Certified Friendly Workplace

• Received the prestigious HR Asia award as the best companies to work for in Asia, 2018 & 2019, Taiwan edition.

Accredited As A Healthy Workplace

• Accredited as a “healthy workplace” by health promotion administration, ministry of health and welfare

• Received “The Exercise Enterprise Certification” by Sports Administration, Ministry of Education

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• Consolidated revenue in the quarter four hit a record high since 2007. The revenue growth drivers comes from peak season for the shipment of rugged computer from the federal government projects, and the notebook chassis sales benefited from the epidemic. Customers actively stock up to drive the revenue performance in the fourth quarter.

• Customers actively stocked up inventory, which together drove revenue performance in the

• fourth quarter.

• The shortage of electronic components continues and results in increase costs. In addition to adjusting the material preparation strategy, we actively maintains close contact with suppliers to reduce the impact on production capacity.

• Affected by the COVID-19 outbreak, the sales of automotive components business unit declined sharply in the second quarter, but demand has been warming up quarter by quarter, the shipments in fourth quarter has returned to about 90%.

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Last Five Quarters Revenue Distribution by Products

System Products

Combo Mechanical Products

Automotive Mechanical Products

Aerospace Fasteners

Mechanical Products= Combo mechanical products + Automotive mechanical products

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4%
5%
5%
10%
12% 42% 51%
43%
52%
45%
53%
47% 45%
43%
43%
19Q4 20Q1 20Q2 20Q3 20Q4
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7%
11%
47%
43%
46% 46%
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19Q4 20Q4 YTD YTD

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www.getacgroup.com

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	2020 QoQ	2020 QoQ	2020 QoQ	2020 QoQ	2019	2020 YoY	2020 YoY
	Q3 Q4 (%)				YTD 26,953 7,641 28.35% (4,717) -17.50% 2,976 11.04% (28) 2,947 (577) 2,129 3.67	YTD (%)
Operating Revenue	7,087 1,867 26.34% (1,165) -16.44% 714 10.07%	7,753	10.3% 3.6% n.m 8.2%			27,838	3.3%
Gross Profit		2,181				7,777	1.8%
(%)		28.13%				27.94%
Operating Expense		(1,338)				(4,715)	n.m
(%)		-17.26%				-16.94%
Operating Profit		856				3,116	4.7%
(%)		11.04%				11.19%
Non-operating Income	57 771	69	64.3% 11.2%			125	-546.4%
Profit before income tax		925				3,241	10.0%
Income tax expense	(110)	(155)	n.m			(572)	n.m
Comprehensive income, attributable to owners of parent	656	764	9.0%			2,577	21.0%
EPS(NT$)	1.12	1.30	7.4%			4.40	19.9%

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Consolidated Revenue Unit: NT$M

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7,753M
7,399M
7,087M
7,028M
5,599M
19Q4 20Q1 20Q2 20Q3 20Q4
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Consolidated Operating Profit

Unit: NT$M

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1,173M
856M
791M
714M
373M
19Q4 20Q1 20Q2 20Q3 20Q4
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Gross Margin(%)

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30.79%
29.95%
28.13%
26.34%
25.91%
19Q4 20Q1 20Q2 20Q3 20Q4
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Operating Margin(%)

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15.85%
11.25% 11.04%
10.07%
6.66%
19Q4 20Q1 20Q2 20Q3 20Q4
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Item	2019.12.31	2020.12.31
Cash And Cash Equivalents (Incl. Bank Deposit Over Three Months)	6,516	6,991
Accounts Receivable-net	6,360	7,528
Inventories-net	5,141	5,443
Financial Assets Measured At Fair Value Through Other Comprehensive Income	652	742
Investments Accounted For Under The Equity Method	936	1,010
Property,Plant And Equipment – Net	7,252	8,593
TOTAL ASSETS	30,608	33,855
Short-term Borrowings	558	407
Long-term Borrowings (include current portion)	2,073	2,112
Accountspayable	4,462	5,923
TOTAL LIABILITIES	13,935	**15,862 **
TOTAL EQUITY	16,673	17,993

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	Q4’20 Operational Efficiency Unit: Days	Q4’20 Operational Efficiency Unit: Days
	2019.12.31	2020.12.31
Account Receivable Turnover Days	79	91
Inventory Turnover Days	113	117
Account Payable Turnover Days	82	94
Cash Conversion Days	110	114

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	Stable Profit and	Stable Profit and	Stable Profit and
		Pay-out Ratio			NT$: million
	2017		2018	2019	2020
Consolidated Revenue	22,197		24,694	26,953	27,838
Operating Profit	2,513		2,652	2,976	3,116
Profit (Loss) Attributable To: Owners Of TheParent	1,910		2,212	2,129	2,577
Eps(Nt$)	3.38		3.83	3.67	4.40
Cash Dividend(Nt$)	2.5		3	2.8	3.6
Pay Out Ratio(%)	74%		78%	76%	82%

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Q & A

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	2019	2019	2019	2019	2019	2020	2020	2020	2020	2020
Item\Year	Q1	Q2	Q3	Q4	YTD	Q1	Q2	Q3	Q4	YTD
Operating Revenue	5,684	7,035	7,206	7,028	26,953	5,599	7,399	7,087	7,753	27,838
Gross Profit	1,477	2,029	2,030	2,105	7,641	1,451	2,278	1,867	2,181	7,777
(%)	25.99%	28.84%	28.17%	29.95%	28.35%	25.91%	30.79%	26.34%	28.13%	27.94%
Operating Expense	(1,044)	(1,180)	(1,167)	(1,326)	(4,717)	(1,093)	(1,119)	(1,165)	(1,338)	(4,715)
(%)	**-18.37% **	**-16.77% **	**-16.19% **	**-18.87% **	**-17.50% **	**-19.52% **	-15.12%	**-16.44% **	-17.26%	-16.94%
Operating Profit	450	862	873	791	2,976	373	1,173	714	856	3,116
(%)	7.92%	12.25%	12.11%	11.25%	11.04%	6.66%	15.85%	10.07%	11.04%	11.19%
Non-operating Income	21	(66)	(25)	42	(28)	16	(17)	57	69	125
Profit Before Income Tax	471	796	848	832	2,947	389	1,156	771	925	3,241
Income Tax Expense	(89)	(222)	(189)	(77)	(577)	(69)	(238)	(110)	(155)	(572)
Comprehensive Income, Attributable To Owners Of Parent	333	504	591	701	2,129	276	881	656	764	2,577
Eps (NT$)	0.57	0.87	1.02	1.21	3.67	0.47	1.51	1.12	1.30	4.40

www.getacgroup.com

THANK YOU

Investor Relations Contact Irene Sun Director, Corporate Relations Office +886-2-27857888#5124 irene.sun@getac.com www.getacgroup.com

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