HannsTouch — Interim / Quarterly Report 2018

Nov 12, 2018

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HannsTouch Solution Incorporation

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HannsTouch Tainan Science Park FAB
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和鑫光電股份有限公司

2018 -11 - 12

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Safe Harbor Notice
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We have made forward-looking statements in this presentation. Our forward-looking statements contain information regarding, among other things, our financial condition, future expansion plans and business strategies. We have based these forward-looking statements on our current expectations and projections about future events. Although we believe that these expectations and projections are reasonable, such forward-looking statements are inherently subject to risks, uncertainties and assumptions about us.

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

The information contained herein shall also not constitute an offer to sell or a solicitation of an offer to buy the company’s securities nor shall there be any sale of such securities in any state or country in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or country.

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Agenda
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1 Financial Results 2 2 Update & Outlook 4 3 Q & A

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Agenda
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1 Financial Results 2

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Statement of Comprehensive Income
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NT$ Million	Q3 2018	Q3 2018	Q3 2017	Q3 2017	YTD 2018	YTD 2018	YTD	2017
Sales	705	100%	668	100%	2,198	100%	2,192	100%
Gross profit (loss)	138	20%	4	0%	426	19%	361	17%
Operating income	54	8%	-59	-9%	204	9%	171	8%
Net income (loss)	155	22%	-153	-23%	211	10%	-88	-4%
EBITDA	480		231		1,188		1,083
EPS (NT$)	0.21		-0.21		0.29		-0.12

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Statement of Balance Sheet
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6 NT$ Million Sep.30, 2018 Sep.30, 2017 Cash and cash equivalents 246 1% 544 3% Accounts receivable, net 184 1% 227 1% Inventories 202 1% 156 1% Property, plant and equipment 9,078 54% 9,728 54% Investment property 5,554 33% 5,499 31% Total Assets 16,824 100% 18,003 100% Short-term loans 1,274 8% 1,549 9% Long-term loans 7,281 43% 8,355 46% Toal Debt 9,089 54% 11,021 61% Total Equity 7,735 46% 6,982 39% Current Ratio (%) 83% 73% Debt/Equity Ratio (%) 118% 158%

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Statement of Cash Flows
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NT$ Million	YTD 2018	YTD 2017
Income before income tax	211	-88
Depreciation & Amortization	866	1,028
Operating Cash Flow	1,287	817
Investing Cash Flow	-1,301	-1,080
Financing Cash Flow	-258	191
Cash and cash equivalents	246	544

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Revenue & GP (%) Trend
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(NT$ million)

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Revenue GP(%)
900 30%
801
800
705 25%
692 28%
700
20%
600 20%
526
500
15%
400
300 10%
200 10%
5%
100
0%
0 0%
2017Q4 2018Q1 2018Q2 2018Q3
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Agenda
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2 Update & Outlook

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Recent Trend of AMOLED
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LTPS vs AMOLED Supply
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LTPS manufacturing capacity

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AMOLED manufacturing capacity

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Flexible AMOLED Demand
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Cost Analysis
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Manufacturing cost of full and notch panels

Indirect expense Depreciation Personnel Yield Module Material Yield Panel Material

Opportunity for Rigid OLED : Behind the Depreciation

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Evolution and Requirements
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Agenda
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4 3 Q & A

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Thanks for Your Attention!

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