HE — Investor Presentation 2020

Nov 11, 2020

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HUA ENG WIRE & CABLE CO., LTD Q3 Investor Conference November 12, 2020

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Disclaimer

 The presentation of information in this briefing is based on the Company's assumption of future operations that are forward-looking and is subject to risks and uncertainties and the results of actual operations may differ materially from those of the above-mentioned forward-looking statements.

 Except as required by law, the Company undertakes no obligation to update any forwardlooking statements, whether as a result of new information, future events or otherwise.

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Agenda

 Consolidated Income Statement P4

 Copper Price Trend P5

 Sales Market P6~8

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Operating Status in Q3 2020

Statements of Comprehensive Income

unit：NT$'000

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Q1~Q3
Net operating revenues 5, 476, 978
Operating income 78, 999
Non-operating income & expenses ( 165, 271)
Loss before tax ( 86, 272)
Income tax expense 43, 000
Net loss ( 129, 272)
Net loss attributable to
stockholders of the parent ( 127, 950)
Other equity ( 1, 322)
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Copper wire
(unit：NT$Thousands) Income by segment Wire & cableCopper brass
Other
300,000
250,000
200,000
150,000
100,000
50,000
0
(50,000)
(100,000)
Q1~Q3
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~
2016 Jan. 2020 Oct. LME Monthly Avg. Price and Annual Average
Price Curve
US/ 噸
10500
9500
8500
107 年
7500
109 年
6500
108 年
5500 106 年
4500
105 年
3500
2500
1 月 2 月 3 月 4 月 5 月 6 月 7 月 8 月 9 月 10 月 11 月 12 月 均價
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Sales Market

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 Copper Rod

 In the year of 2019, due to the negotiation of economic trade agreement in between of the U.S. and China, the LME copper price fluctuated and fell, the LME copper price fluctuated and fell. Global economic slowdown due to Covid-19 Pandemic in 2020, strengthen inventory control and adjust turnover, in order for stabilize profit.

 Increase the output and price of high-quality 、 oxygen-free copper materials, supply auto parts wind turbine and semiconductor market, continue to expand sales in overseas markets.

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 Power Cable

• For 345KV Ultra High Voltage and 161KV Ultra High Voltage cables continue to expand and grow in order-toorder production.

• Strengthen the advantages of medium voltage cable products, expand in the offshore wind power and solar markets.

• Strive for instrument control rubber cables for thermal power plants.

• Comply with environmental protection ROHS PVC wires and LSNH (low smoke non-toxic) cables in public construction.

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 Communication Copper Cable and Fiber Optic Cable

• Stable the source of optical fiber, improve production capacity, and apply to internet 5G transport network

 Improve communication production equipment, supply copper cables and production for telecommunications companies, and promote composite signal control wire for railway construction and petrochemical industry.

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3.6%
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13.5%
2.4%
31.1%
23.9%
25.5%
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Copper rod
MV Power Cable/HV Power
Cable
LV Power Cable
Communication Copper Cable
Fiber Optic Cable
Other Projects
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Product sales portfolio

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