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JSW Investor Presentation 2021

Nov 12, 2021

51885_rns_2021-11-12_2d1dddff-d53a-4ffe-996a-fb5fa06e41bd.pdf

Investor Presentation

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Stock Code:1617

2021 Investor Conference

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Tien-Te Hsueh Financial Department Vice Precident Company Spokesman , Last Update:2021/11/16

Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Disclaimer

JUNG SHING WIRE CO., LTD does not release any financial forecast. In this presentation the information of the Company’s financial and operating status may differ from the actual results in the future. There are also risk factors in place beyond the Company’s control. The Company undertakes no obligation to amend or update this presentation and related contents.

Copyright © 2021 JUNG SHING WIRE CO., LTD.ALL Rights Reserved | http://www.jswire.com.tw/

Index

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1 Company Profile 2 Product Introduction 3 Major Product Applications 4 Financial & Operating Results 5 Future Development 6 Global Market 7 Policy & Goals

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

、 1 Company Profile

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Establishment: July 17,1971 Founder: Huo-Shih Wang Chairman: Tung-Tzer Wang President: Shou-Chi Chiu Capital: NT$ 14.4 billion Asset: NT$ 36.7 billion Address: 231, Sec.3, Chung-cheng Rd., Jen-teh District, Tainan City : Employees 250 (Taiwan) 200 (Dongguan, China) 90 (Suzhou, China) Land:25,244 ㎡

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Subsidiaries JUNG SHING 100 INTERNATIONAL % CO.,LTD. JUNG SHING 74.61 TECHNOLOGIES % CO.,LTD.

LEADER 100 STARINTERNATION % LTD.

BIG 100 STARINVESTM % ENT LTD.

DONGGUAN JUNG 100 SHING ELECTRONICS CO., % LTD.

DONGGUAN JUNG 100 SHING WIRE CO., % LTD.

JUNG SHING 100 WIRE(SUZHOU) % CO., LTD.

LONGSUN 99.78 TECHNOLOGI % ES CO., LTD. JUNG SHING 100 WIRE(VIETNAM) % CO., LTD.

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Subsidiaries

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Location: Tangxia, Dongguan(China) Establishment: 1998/08 : Business Type Export : Capital HK$120,000,000

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Location: Tangxia, Dongguan(China) Establishment: 1994/02 : Business Type Domestic sales(China) : Capital HK$ 18,000,000

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Subsidiaries

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Location: Wujiang,Suzhou(China) Establishment: 2000/12 : Business Type Domestic sales(Export) : Capital US$ 7,300,000

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Location: Tainan City, Taiwan R.O.C. Establishment:2002/08 : Business Type Domestic sales(Export) : Capital NT$ 30,000,000

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Subsidiaries

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Location: Cong Hoa Industrial Park, Chi Linh City, Hai Duong Province (Vietnam) Establishment: 2019/12 Business Type: Domestic and International sales : Capital US$ 8,000,000 : Program 2020 Completed factory construction 2021Q4 Start to produce

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Subsidiaries

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Location: Tainan City, Taiwan R.O.C. Establishment:2020/07 : Business Type Domestic sales(Export) Capital:NT$ 150,000,000 (NT$ 111,920,000,74.61%) Products: Ceramic substrate : Program 2020 Completed factory construction 2021Q4 Start to produce

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Philosophy

Responsi Growth 1 2 Quality 3 bility

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Company

Creating Reliable Quality is our Quality policy

Sales & Profit

  • Maintaining the Best Quality and

  • Techniques of JSW

Growth of Employees Modernized, diversified and internationalized

Advanced Quality and Competitiveness

Responsibilities to customers Quality, Price and Delivery

  • Responsible to employees

  • Responsible to shareholders

  • Responsible to community and society

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Corporate History

Transfor Start-up Growth Evolution Advance mation Building a solid Market Extension and Internationalized, Reform and Renew Inheriting and Foundation Growth Stabilization Expanded, and Diversified constant improvement1971 1979 1980~1993 1994~2004 2005~2018 2019~Present

Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

1971~1979 Start-up

  • 1971 JSW founded(Asset NT$7 million).

  • 1972 Completed factory construction, Technical cooperation with TOTOKU Electric, Started producing magnet wires.

  • 1973 Established electronic factory, and started producing electric meter.

  • 1978 Electronic factory started producing black & white flyback transformer.

  • 1979 Joint venture with TOTOKU.1979 Electronic factory started producing deflection yoke coils for Black & White, and Color TV.

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1980~1993 Growth

  • 1980 Develop the first two-way catalytic converter equipment in industry.

  • 1982 Electronic factory started producing degaussing coils.

  • 1983 Magnet wires won the Central Bureau of Standards hallmark.

  • 1984 Acquired UL certification.1986 Invested in TOTOKU Taiwan, held 98.5% shares and becoming a subsidiary of the group.

  • 1992 Ranked 385 in the top 1000 largest Manufacturers.

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~ 1997 2004 Transformation

1994 DJSE Established.1997 ISO9002 Certification acquired.

  • 1998 DJSW Established.

  • 1998 JSW Listed on Over-the-Counter Market.

  • 2000 JSSW Established.

  • 2000 JSW Listed at Stock Exchange Market.

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Evolution

~ 2005 2018

  • 2006 Acquired TS 16949 International Certification.

  • 2007 Won the ʻʻOrganization Learning Award” for the 𝟕[𝒕𝒉] Consecutive Year issued by the Ministry of Economic Affairs' SME Department.

  • 2009 Acquired QC080000.

  • 2011 Established Special Magnet Wire Factory for Flat Ribbon Wire.

  • 2012 Started Producing USTC Wire.

  • 2013 Cooperated with Furukawa Magnet Wire to expand the production

  • in Dongguan subsidiary.

issued by SGS.

  • 2014 Won the environmental sustainability award

  • 2015 Installation of air pollution prevention and control washing equipment.

  • 2016 JSW joint venture with Furukawa Started Producing Magnet Wire.

  • 2017 Established 2[nd] “Flat Wire Factory”.

  • 2018 Set solar panels to generate electricity.

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~ 2019 Present Advance

2019 Jung Shing Wire Vietnam(JSV) Land purchased and contract signed.2019 Established 3[rd] “Flat Wire Factory”.

  • 2019 A[+] Enterprise Innovation Training&Integration

  • Program had been approved by Ministry of Economic Affairs

  • 2019 Quickened the input of eco-friendly products&coating and tried our best to protect environment

  • 2020 Jung Shing Technologies Co.,Ltd .( JST ) Established.2021Jung Shing Wire Vietnam(JSV) started producing2021Jung Shing Technologies Co.,Ltd.(JST) started producing

Organization Chart Management

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Audit
Office
Dept.
Management Manufacturing
Dept. Dept.
QA Dept.
R&D Dept.
Information Sales Dept.
Finance Dept.
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2Product Introduction

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General Wire
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Heat Resistant Wire
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Self-Bonding Wire Special Magnet Wire
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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

General Wire

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Product

UEW(Y) Coils, Transformers SFBW(Y) PEW(Y) General Motors : Thermal class 130 ~ 155 ℃

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Heat-Resistant Wire

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Product

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SFHW
Heat resistant coils
UEWCS
Transformers
SFEIW
EIW
EIAIW Heat resistant motors
AIW Power Choke
PIW

Thermal class 180 ~ 240 ℃
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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Self-Bonding Wire

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Product

Solvent Self-Bonding Coils, LOCK Voice Coils LOCKML Eco-Self-Bondin Coils g Low Temp Hot Air, & Elec. Current LOCK N2 Bonding Coils, Wireless Char er Coils RFID g , LOCK Y3 IH Coil, Coreless Coils, Hot Air, LOCK N5 Elec. Current Bonding Coils, & LOCK N9 Power Choke, VCM Coils PSW Thermal Setting Coils SVW Voice Coils PS2

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Special Magnet Wire

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Product

CAR Copper-Clad Aluminum
Ribbon Wire
High-end Voice Coils
ALR Aluminum Ribbon Wire
R Ribbon Wire Power Choke
BL -TL
Bi-parallel Wire/Triple-parallel Wire
Noise Filters
CAW Copper-Clad Aluminum Wire FrequencyConverted Fan
HTW High-tension Magnet Wire Earphone Voice Coils &
Watch Coils
CSW Sliver PlatingWire HighQ-Value Coils
CPW Copper-Clad Steel Wire Temp. Sensor
ALW Aluminum Wire Light Motor
NAR New A-type Ribbon Wire SMD 、Linear motor
LITZ Stranded wire High Freq. Coils,IH Coils
USTC Fiber Covered Litz Wire High Q-Value Coils,
Wireless Charger Coils
BSTC Self-bonding Fiber Covered
Litz Wire

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Comparison of Void Ratio (Round vs. Ribbon vs. Square)

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Equals the same surface area of conductors

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Round Wire Ribbon Wire Square Wire Array Winding Array Winding Edgewise Winding Array Winding ≈ ≈ ≈ ≈ Occupancy 78% 91% 96% 98% Space Loss 0 10% less 20% less 28% less

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3Major Product Applications

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Inductor

Air Coil

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Speaker Coil Transformer

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Sensor

Wireless Charger

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Stylus High Efficiency Motor

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Electric Bicycle Generator (Wheel Motors)

Small Wind Generator

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

4.Financial & Operating Results: Consolidated Income Statement

In NT$ thousands
Net Revenue
Cost of Revenue
Gross Profit
Operating Expenses
Income from Operations
Non-operating Income and Expenses
Net Income before Tax
Net Income after Tax
EPS (NT$)
2021Y
Q3
%
2020Y
%
2019Y
%
3,529,916
100.00 2,984,283 100.00 2,908,588 100.00
3,088,803
87.50
2,554,234 85.59 2,561,351 88.06
441,113
12.50
430,049 14.41
347,237 11.94
211,721
6.00
236,720
7.93
253,749
8.72
229,392
6.50
193,329
6.48
93,488
3.21
(8,124) (0.23)
(14,488) (0.49)
35,804
1.23
221,268
6.27
178,841
5.99
129,292
4.45
175,645
4.98
146,273
4.90
89,035
3.06
1.24
1.02
0.62

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

Consolidated Balance Sheet 2021/9/30 2020/12/31 2019/12/31 In NT$ thousands Amount % Amount % Amount % Current Assets 2,484,056 68% 1,973,673 65% 1,666,445 61% Noncurrent Assets 1,192,571 32% 1,067,568 35% 1,052,330 39% Current Liabilities 1,567,778 42% 1,007,338 33% 937,535 34% Noncurrent Liabilities 209,487 6% 236,768 8% 100,268 4% Total Equity 1,899,362 52% 1,797,135 59% 1,680,972 62%

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Financial Highlights

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Dividends Policy

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Dividends Pa out Ratio 66.7% 48.4% 58.8%
y
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5Future Directions

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6Global Marketing

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Copyright © 2021 JUNG SHING WIRE CO., LTD. ALL Rights Reserved | http://www.jswire.com.tw/

7Policy and Management Goal

System & Product Certifications : Quality Policy Creating Reliable & Quality Products! Quality Goal 1. Principle of “Zero-defect” Implemented in Production. 2. Satisfy customers with quality, cost and delivery time.

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QC 080000
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IATF 16949 ISO 9001 UL CERTIFIED JSW acquired more than 60 UL Cert, and more than 10 patents

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Environmental protection

Environmental Policy

Treasuring Resources, Concerning Nature

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ISO 140001
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SGS 2014 “15 Years Merit Award” Winning

Environmental Goal

1. Recycle and re-use resources to reduce pollution.

2. Create safe and disaster-free workplace.

3. Enhance quality of workplace.

4. Comply to environmental regulations and prevent pollution.

5. Treasure and utilize resources properly.

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Publicly Shared patent Third-way catalytic of two-way catalytic converter converter

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Investing in Air washing equipment for environmental protection.

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Energy saving & waste Reduction
Installation of Energy Enclose Work Place to
Solar Panels
Insulation Installation Energy Saving LED Saving Inverter
Prevent heat loss
Modules
-
UF Oil-Water Recycle & Reuse of Two way
Recycle Solvent Water Wash Systems
Separation Coolant Catalytic Converter
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Risk Management

Risk Management

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Emergency
Fire Prevention
response
Portable
preparation
Evacuation drill
Fire extinguisher Firefighting drills
Frequent fire pump Chemical spill drill
Flood prevention drill
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Safety

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Corporate Social Responsibility(CSR)

Social activity

Environmental Protection

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Environmental Protection Social activity Friendly workplace
○ Projects :
→ Waste Reduction ,
○ Community : ○ Employee Growth :
→ Recycle
○ Green Energy : → Donate and Sponsor → Educational Training
→ Solar Panels to local NGO’s. ○ Scholarships CO-OP :
○ Anti-Poll : ○ Emergency Response : → Internship Opportunity
→ Water Wash System
→ Donate to local charities. → Scholarships
→ Catalytic Converter
○ Public Welfare : ○ Employee Union :
○ Work Place Safety
→ Blood donation, → Won “Labor-Capitol
and Health :
Environment Cleaning, Relationship” Reward.
→ August is the Company’s
Health and Safety Month. Charity Sale.
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Thank you for your listening !

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