LAN FA — Investor Presentation 2017

Sep 25, 2017

2017 INVESTOR CONFERENCE 聯發紡織 LAN FA TEXTILE CO., LTD.

Agenda

� Company Profile

� Company History

� Main products

• Business Overview

• Q & A

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Company Profile Company Name: LAN FA TEXTILE CO., LTD. Established Year: December 11, 1972 Date of Listing: October 26, 1994 Paid-in Capital: NT$3.586 billion Land Assets: Luzhu, Taoyuan, Zhubei factory, Hangzhou factory

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1972:	The company was established dealing with producing the various knitted cloth.
1985:	Entered into the polyester processing yarn industry, and introduced high-speed BARMAG friction- type machine made in Western-Germany.
1992:	Introduced a UNITEN'S computerized tension inspection machine.
2000:	30 high-speed BARMAG AFK1 friction-type false twisting machines made a commission test for quantity production in Zhubei factory(1,100M/Min),8 Autefa AGV auto-carriers were put into the operation in the production line.
2001:	Finished the auto-inspection system of the package conveyance and auto-storage management system(6,400 storage spots,8,300 tons for storage capacity).
2002:	30 BARMAG AFK2 high-speed friction-type false twisting machines made a commission test for quantity production (1,310M/Min).
2006:	Hangzhou Lan Fa Textile Co., Ltd. was established in Hangzhou Economic and Technological Development Area.
2007:	Hangzhou Lan Fa Textile Co., Ltd. officially put into production.
2017:	Hangzhou factory added 10 sets eAFK high-speed friction-type false twisting machines with 384 motors each.

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Main products

• Hollow Core Fibers

• Quick-Dry Fibers

• Anti-Bacterial Fibers

• Uv-Cut Fibers

• Flame Retardant Fibers

• Fine denier DTY

• Recycle

• Elasticity&Stretch Series

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	2017(1~6)	2016(1~6)
Net Revenue	1,612,501	1,427,783
Operating Cost	1,581,057	1,355,443
Gross Profit	31,444	72,340
Operating Expenses	78,219	79,219
Operating Income (Loss)	(46,775)	(6,879)
Non-operating Income and Expenses	(13,801)	(24,039)
Income (Loss) Before Tax	(60,576)	(30,918)
Income Tax Expense (Benefit)	(4,734)	3,582
Net Income (Loss)	(55,842)	(34,500)

Business Overview Consolidated revenue

Unit: NTD in thousands

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350,000
300,000
250,000
200,000
150,000
100,000
50,000
0
Jan. Feb. Mar. Apr. May Jun. Jul. Aug.
2017 186,820 282,359 296,886 278,149 270,776 300,901 272,018 284,651 7
2016 266,375 198,762 305,079 230,041 221,701 212,051 264,314 254,847
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Thank you Q & A

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