Laster Tech — Annual Report 2024

Nov 13, 2024

Stock Code: 3346

Laster Tech Co., Ltd.

Parent Company Only Financial Statements and Auditors’ Report 2024 and 2023

Address: 5F., No. 97, Zhongyuan Street, Zhonghe District, New Taipei City Tel: (02)2222-6112

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§TABLE OF CONTENTS§

Item	Page 1 2 3 ~ 6 7 8 ~ 9 10 11 ~ 13 14 14 14 ~ 17 17 ~ 31 31 ~ 32 32 ~ 66 66 ~ 70 70 - - 70 70 ~ 70 71 ~ 78 72~ 79 72，80~ 82 72，83 - 84 ~ 104	Notes to Parent Company Only Financial Statements
I. Cover II. Table of Contents III. Auditors’ Report IV. Parent Company Only Balance Sheet V. Parent Company Only Comprehensive Income Statement VI. Parent Company Only Statement of Changes in Shareholders Equity VII. Parent Company Only Statement of Cash Flows VIII. Notes to Parent Company Only Financial Statements (I) Organization and operations (II) The Authorization of Parent Company Only Financial Statements (III) Application of Newly Released and Revised Standards and Interpretations (IV) Summary of Significant Accounting Policies (V) Major sources of uncertainty in significant accounting judgments, estimates, and assumptions (VI) Summary of Significant Accounting Items (VII) Related Party Transactions (VIII) Pledged Assets (IX) Significant Contingent Liabilities and Unrecognized Commitments (X) Major Disaster Losses (XI) Significant Subsequent Events (XII) Foreign currency assets and liabilities with significant effect (XIII) Additional Disclosures 1. Information about significant transactions 2. Information about investees 3. Information on Investments in Mainland China 4. Information on Major Shareholders (XIV) Information on Departments IX. List of important account titles		- - - - - - - 1 2 3 4 5 6~ 28 29 30 - - 31 32 33 33 33 33 - -

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Independent Auditors’ Report

To Laster Tech Co., Ltd.:

Audit opinion

We have audited the accompanying consolidated financial statements of Laster Tech Co., Ltd. (the “Company“), which comprise the parent company only balance sheet for the years ended December 31, 2024 and 2023, and the parent company only statements changes in equity and cash flows for January 1 to December 31, 2024 and 2023, and notes to the parent company only financial statements (including a summary of significant accounting policies).

In our opinion, the accompanying parent company only financial statements present fairly, in all material respects, the parent company only financial position of the Company as of December 31, 2024 and 2023, and its parent company only financial performance and its parent company only cash flows for January 1 to December 31, 2024 and 2023 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

Basis of Audit Opinion

We have conducted the audit according to the Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants and the Auditing Standards. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Unconsolidated Financial Statements section of our report. We are independent of the Company in accordance with The Norm of Professional Ethics for Certified Public Accountant of the R.O.C. and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe we have obtained sufficient and appropriate audit evidence to express an opinion.

Key Audit Matters

The key audit matters refer to the matters considered by the auditors to be most significant for the auditing of 2024 Parent Company Only Financial Statements of the Company according to the professional determination thereof. These matters were addressed in the context of our

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audit of the unconsolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Key audit matters for the 2024 Parent Company Only Financial Statements of the Company are stated as follows:

Recognition of sales revenue

In 2024, the sales revenue of the Company from major customers was NT$2,475,347 thousand, accounting for 90.71% of the total sales revenue. The impact on the parent company only financial statements is material; hence we have identified the occurrence of such revenue recognition as a key audit matter. For the accounting policy for revenue recognition, please refer to Note 4.

The audit procedures we performed included:

1. To understand and test the design and the implementation of effectiveness concerning internal controls relevant to the above revenue recognition.

2. Select samples and examine the sales revenue of major customers, and review the original orders and related shipping documents.

3. Send letters to inquiry about the balance of accounts receivable of the above main customers at the end of the period. If no reply is received, check the collection status of such accounts.

Responsibilities of Management and Those Charged with Governance for the Parent Company Only Financial Statements

Management is responsible for the preparation and fair presentation of the parent company only financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and for such internal control as management determines is necessary to enable the preparation of parent company only financial statements free from materials misstatement, whether due to fraud or error.

In preparing the parent company only financial statements, the management is also responsible for assessing the ability of the Company to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those in charge with governance (including the Auditing Committee) are responsible for overseeing the financial reporting process of the Company.

Auditor’s Responsibilities for the Audit of the Parent Company Only Financial Statements

Our objectives are to obtain reasonable assurance whether the parent company only financial statements as a whole are free from material misstatement, whether due to fraud or

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error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with auditing principles generally accepted will always detect a material misstatement in the parent company only financial statements when it exists. Misstatements can arise from fraud or error. These are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these parent company only financial statements.

As part of an audit in accordance with the auditing principles, we exercise professional judgment and professional skepticism throughout the audit. We also:

1. Identify and assess the risk of material misstatement of the unconsolidated financial statements due to fraud or error, design and adopt appropriate countermeasures for the risks assessed, and obtain sufficient and appropriate audit evidences in order to be used as the basis for the opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

2. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control of the Company.

3. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.

4. Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company and their ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the parent company only financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern.

5. Evaluate the overall presentation, structure and content of the parent company only financial statements (including the notes to the statements), and whether the parent company only financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

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7. Obtain sufficient appropriate audit evidence regarding the financial information of the entities within the Company to express an opinion on the parent company only financial statements. We are responsible for the direction, supervision and performance of the audit, and we are responsible for forming an audit opinion on Laster Tech Co., Ltd.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings (including any significant deficiencies in internal control that we identify during our audit).

We also provide those in charge with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence (and where applicable, related safeguards).

From the matters communicated with those charged with governance, we determine those matters that were of the most significance in the audit of the Company’s 2024 parent company only financial statements and are therefore the key audit matters. We describe these matters in our auditors’ report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Deloitte Taiwan CPA, Chih-Yuan Chen CPA, Yao-Lin Huang

Financial Supervisory Commission Financial Supervisory Commission Approval Approval Document No. Document No. Jin-Guan-Cheng-Shen-Zi No. Jin-Guan-Cheng-Shen-Zi No. 1060004806 1060023872

March 12, 2025

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Laster Tech Co., Ltd.

Parent Company Only Balance Sheet December 31, 2024 and 2023

Unit: NTD thousand

Code 1100 1110 1136 1170 1180 1200 1210 1220 130X 1410 1470 11XX 1550 1600 1755 1780 1840 1975 1990 15XX 1XXX Code 2100 2110 2170 2180 2200 2220 2280 2320 2399 21XX 2500 2530 2540 2570 2580 2645 25XX 2XXX 3110 3130 3100 3200 3310 3320 3350 3300 3410 3XXX	Assets Current assets Cash and cash equivalents (Notes 4 and 6) Financial assets at fair value through profit or loss - current (Notes 4 and 7) Financial assets measured at after-amortization cost - current (Notes 4 and 8) Accounts receivable (Notes 4, 9, and 21) Accounts receivable - related parties (Notes 4, 21, and 29) Other receivables (Notes 4 and 9) Other receivables - related parties (Note 4 and 29) Current income tax assets (Note 4 and 23) Inventories (Notes 4 and 10) Prepayments (Notes 14 and 29) Other current assets (Notes 4, 14 and 30) Total current assets Non-Current Assets Investment by equity method (Notes 4 and 11) Property, plant and equipment (Notes 4, 12, 29 and 30) Right-of-use assets (Notes 4 and 13) Intangible assets (Note 4) Deferred tax assets (Notes 4 and 23) Net defined benefit assets - non-current (Notes 4 and 19) Other non-current assets (Notes 4 and 14) Non-current assets Total assets Liabilities and equity Current liabilities Short-term borrowings (Notes 15 and 30) Short-term notes payable (Note 15) Accounts payable (Note 17) Accounts payable - Related parties (Note 29) Other payables (Note 18) Other payables - Related parties (Note 29) Lease liabilities - current (Notes 4 and 13) Long-term borrowings and bonds payable due within one year (Notes 4, 15, 16 and 30) Other current liabilities - (Note 18) Total current liabilities Non-current liabilities Financial liabilities measured at fair value through profit or loss - non-current (Notes 4 and 7) Corporate bonds payable (Notes 4 and 16) Long-term borrowings (Notes 15 and 30) Deferred income tax liabilities (Notes 4 and 23) Lease liabilities - non-current (Notes 4 and 13) Guarantee deposits received Non-total current liabilities Total liabilities Equity (Notes 4, 16, 20 and 25) Share capital Common shares Bond conversion entitlement certificates Total share capital Stock dividends from Retained earnings Legal reserve Special reserve Undistributed earnings Total retained earnings Other interests Currency translation difference Total equity Total liabilities and equity		December 31,2024	December 31,2024	% 13 - - 8 3 - 3 - 10 1 1 39 46 14 1 - - - - 61 100 21 4 11 1 3 1 - 4 - 45 - 3 9 - 1 - 13 58 14 - 14 19 2 2 6 10 1) 42 100		December 31,2023	December 31,2023
			Amount $ 1,050,391 22,222 3,290 714,935 229,905 13,771 278,809 13,289 799,252 60,485 67,839 3,254,188 3,798,308 1,147,302 51,040 2,831 40,398 4,886 7,225 5,051,990 $ 8,306,178 $ 1,709,952 358,644 866,389 105,103 267,117 39,079 8,669 309,760 28,421 3,693,134 2,460 275,611 762,434 12,020 42,782 850 1,096,157 4,789,291 1,151,590 - 1,151,590 1,593,750 143,346 193,466 532,823 869,635 98,088) 3,516,887 $ 8,306,178				Amount $ 537,450 20,934 8,069 340,703 316,055 29,071 385,050 232 694,535 78,911 47,275 2,458,285 3,305,140 1,130,021 12,207 1,784 86,900 3,465 54,570 4,594,087 $ 7,052,372 $ 1,389,192 259,388 715,779 14,783 256,312 32,923 8,098 143,376 4,345 2,824,196 - 180,754 751,827 7,400 4,201 850 945,032 3,769,228 1,135,217 13,280 1,148,497 1,558,458 112,252 144,525 512,878 769,655 193,466) 3,283,144 $ 7,052,372		%
		(		(		(		(	8 - - 5 5 - 5 - 10 1 1 35 47 16 - - 1 - 1 65 100 20 4 10 - 4 - - 2 - 40 - 2 11 - - - 13 53 16 1 17 22 2 2 7 11 3) 47 100

The accompanying notes are a part of the parent only company financial report.

Chairman: Liu Mei-Shiu Manager: Liu Mei-Shiu Chief Accounting Officer: Li Yun-Chen

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Laster Tech Co., Ltd.

Parent Company Only Comprehensive Income Statement

January 1 to December 31, 2024 and 2023

Unit: NT$ thousands; earnings per share in NT$

Code 4000 Operating revenue (Notes 4, 21, and 29) 5000 Operating cost (Notes 4, 10, 22, and 29) 5900 Operating margin 5910 Realized (unrealized) sales gains 5950 Realized operating profit margin Operating expenses (Notes 4, 22, and 29) 6100 Selling and marketing expenses 6200 General and administrative expenses 6300 Research and development expenses 6000 Total operating expenses 6900 Net operating loss Non-operating income and expenses (Notes 4, 22, and 29) 7100 Interest income 7010 Other income 7020 Other gains and losses 7050 Financial costs 7070 Share of profit of subsidiaries accounted for using the equity method 7000 Total non-operating income and expenses 7900 Net Income before tax 7950 Income tax expenses (Notes 4 and 23) 8200 Net profit for the year		2024		% 100 91 9 - 9 5 5 1 11 2) - 1 2 3 ) 13 13 11 1) 10		2023
		Amount $ 2,780,667 2,538,071 242,596 7,315 249,911 153,492 136,066 27,046 316,604 66,693) 7,619 8,796 57,939 76,293 ) 366,970 365,031 298,338 26,981) 271,357				Amount $ 1,965,071 1,781,310 183,761 6,216) 177,545 66,648 119,978 19,759 206,385 28,840) 2,652 4,975 2,376 ) 62,579 ) 399,671 342,343 313,503 2,703) 310,800		%
	( ( (		( ( (		( ( ( ( (		( (	100 91 9 - 9 3 6 1 10 1) - - - 3 ) 20 17 16 - 16

(To be Continued)

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(Continued From Previous Page)

Code Other comprehensive income Items not reclassified subsequently to profit or loss: 8311 Remeasured value of defined benefit plan (Notes 4 and 19) 8349 Income taxes related to items that will not be reclassified subsequently to profit or loss (Notes 4 and 23) 8310 Items possibly recategorized to profits and losses later: 8361 Currency translation difference (Note 4) 8399 Income taxes related to items that will be reclassified subsequently to profit or loss (Notes 4 and 23) 8360 8300 Other comprehensive income for the year (net after tax) 8500 Total comprehensive income for the year EPS (Note 24) 9710 Basic 9810 Diluted		2024		% - - - 4 1) 3 3 13		2023
		Amount $ 1,378 276) 1,102 119,222 23,844) 95,378 96,480 $ 367,837 $ 2.36 $ 2.16				Amount $ 178 36) 142 61,177 ) 12,236 48,941) 48,799) $ 262,001 $ 2.83 $ 2.70		%
	( (		(		( ( ( (		( ( (	- - - 3 ) - 3) 3) 13

The accompanying notes are a part of the parent only company financial report.

Chairman: Liu Mei-Shiu Manager: Liu Mei-Shiu Chief Accounting Officer: Li Yun-Chen

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Unit: NTD thousand

Laster Tech Co., Ltd.

Parent Company Only Statement of Changes in Shareholders Equity

January 1 to December 31, 2024 and 2023

Code A1 Balance on January 1, 2023 Earnings allocation and distribution for 2022 B1 Legal reserve B5 Special reserve B17 Shareholders’ cash dividends I1 Convertible bonds converted to common shares and bonds converted to entitlement certificates D1 Net profit for 2023 D3 Other comprehensive income for 2023 D5 Total comprehensive income for 2023 Z1 Balance as of December 31, 2023 2023 Appropriation and distribution of retained earnings B1 Legal reserve B3 Special reserve B5 Shareholders’ cash dividends C5 Convertible bonds issued recognized as equity components I1 Convertible bonds and Bond conversion entitlement certificates converted to common shares N1 Issuance of employee stock options D1 2024 Net profit D3 Other comprehensive income (loss) in 2024 D5 Total comprehensive income (loss) of 2024 Z1 Balance on December 31, 2024		Share capital		Total $ 1,066,652 - - - 81,845 - - - 1,148,497 - - - - 3,093 - - - - $ 1,151,590	Stock dividends from $ 1,323,744 - - - 234,714 - - - 1,558,458 - - - 22,835 9,646 2,811 - - - $ 1,593,750			Retained earnings	Retained earnings	Retained earnings		Total $ 490,713 - - 32,000) - 310,800 142 310,942 769,655 - - 172,479) - - - 271,357 1,102 272,459 $ 869,635	Other interests Exchange differences in translating the financial statements of foreign operations ($ 144,525) - - - - - ( 48,941) ( 48,941) ( 193,466) - - - - - - - 95,378 95,378 ($ 98,088)		Total equity
	Common shares $ 1,066,652 - - - 68,565 - - - 1,135,217 - - - - 16,373 - - - - $ 1,151,590	Bond conversion entitlement certificates $ - - - - 13,280 - - - 13,280 - - - - ( 13,280) - - - - $ -
							Legal reserve $ 109,080 3,172 - - - - - - 112,252 31,094 - - - - - - - - $ 143,346	Special reserve $ 178,741 - ( 34,216) - - - - - 144,525 - 48,941 - - - - - - - $ 193,466		Undistributed earnings $ 202,892 3,172) 34,216 32,000) - 310,800 142 310,942 512,878 31,094) 48,941) 172,479) - - - 271,357 1,102 272,459 $ 532,823
		(						(	( ( ( ( (		( (		( ( ( ( (	( ( (	$ 2,736,584 - - 32,000) 316,559 310,800 48,799) 262,001 3,283,144 - - 172,479) 22,835 12,739 2,811 271,357 96,480 367,837 $ 3,516,887

The accompanying notes are a part of the parent only company financial report.

Chairman: Liu Mei-Shiu Manager: Liu Mei-Shiu Chief Accounting Officer: Li Yun-Chen

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Laster Tech Co., Ltd.

Parent Company Only Statement of Cash Flows January 1 to December 31, 2024 and 2023

Unit: NTD thousand

Code Cash flows from operating activities A10000 Net income before tax this year A20010 Income and expenses items: A20100 Depreciation expenses A20200 Amortization expenses A20400 Gain (loss) on financial assets or liabilities at fair value through profit and loss A20900 Financial costs A21200 Interest income A21300 Dividend income A21900 Employee stock options -based compensation costs A22400 Share of profit of subsidiaries accounted for using the equity method A22500 Losses from the disposal of property, plant and equipment A23700 Loss on scrapped inventory A23800 Loss (gain from price recovery) for market price decline and obsolete and slow-moving inventories A23900 Unrealized (realized) sales gains A24100 Unrealized foreign currency conversion gain, net A24200 Loss on redemption of corporate bonds Net change in operating assets and liabilities A31150 Accounts receivable A31160 Accounts receivable - Related parties A31180 Other receivables A31190 Other receivables - related parties A31200 Inventory A31230 Prepayments A31240 Other current assets A31990 Net defined benefit assets A32150 Accounts payable A32160 Accounts payable - Related parties A32180 Other payables A32190 Other payables - related parties A32230 Other current liabilities A33000 Cash generated from operations A33100 Interest received A33300 Interest paid A33500 Income tax paid	2024 $ 298,338 83,812 2,017 ( 5,598 ) 76,293 ( 7,619 ) ( 847 ) 2,811 ( 366,970 ) 117 15,360 ( 18,576 ) ( 7,315 ) ( 7,364 ) 161 ( 330,892 ) 93,797 15,300 31,937 ( 101,501 ) 18,426 ( 61 ) ( 43 ) 148,332 50,639 56,907 6,156 24,076 77,693 7,619 ( 72,357 ) ( 13,057)	2023
		$ 313,503 55,421 1,986 845 62,579 ( 2,652 ) ( 1,176 ) - ( 399,671 ) 19 - 261 6,216 ( 2,657 ) 2,342 ( 190,578 ) ( 193,390 ) ( 29,007 ) 116,989 ( 476,264 ) ( 46,186 ) ( 4,409 ) ( 637 ) 425,233 ( 17,037 ) 12,382 ( 17,373 ) 3,150 ( 380,111 ) 2,652 ( 56,594 ) ( 24,831)

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AAAA Net cash outflow from operating activities ( 102 ) ( 458,884 )

(To be Continued)

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(Continued From Previous Page) Code Cash flows from investing activities B00040 Acquisition of financial assets measured at after-amortization cost B00050 Disposal of financial assets measured at after-amortization cost B00100 Acquisition of financial assets at fair value through profit or loss B00200 Disposal of financial assets at fair value through profit or loss B00700 Refund of capital investment in capital reduction from financial assets measured at fair value through profit or loss B02700 Acquisition of property, plant and equipment B03700 Increase in refundable deposits B04500 Acquisition of intangible assets B05900 Repayment of borrowings from related parties B06500 Increase in other financial assets B06700 Increase in prepayment for equipment B07600 Receipt of dividends from subsidiaries B09900 Receipt of other dividends BBBB Net cash inflow (outflow) from investment activities Cash flows from financing activities C00100 Increase in short-term borrowings C00500 Increase (decrease) in short-term notes and bills payable C01200 Issuance of corporate bonds C01300 Repayment of corporate bonds C01600 Proceeds of long-term borrowings C01700 Repayment of long-term borrowings C03000 Receipt of guarantee deposits received C04020 Repayment of principal of lease liabilities C04500 Dividends paid CCCC Net cash inflow (outflow) from financing activities EEEE Net increase in cash and cash equivalents E00100 Balance of cash and cash equivalents at the beginning of the year E00200 Balance of cash and cash equivalents at the end of the year	2024 $ - 4,779 ( 18,736 ) 22,059 1,832 ( 86,625 ) ( 719 ) ( 3,064 ) 74,304 ( 20,503 ) ( 3,352 ) 339 847 ( 28,839) 319,096 99,256 299,280 ( 6,827 ) 169,212 ( 156,704 ) - ( 8,952 ) ( 172,479) 541,882 512,941 537,450 $ 1,050,391	2023
		( $ 8,069 ) - - - - ( 97,722 ) ( 1,082 ) ( 1,354 ) 474,948 ( 7,582 ) ( 51,416 ) 246,416 1,176 555,315 144,956 ( 9,856 ) - ( 164,500 ) 129,491 ( 140,261 ) 850 ( 6,695 ) ( 32,000) ( 78,015) 18,416 519,034 $ 537,450

The accompanying notes are a part of the parent only company financial report.

Chairman: Liu Mei-Shiu Manager: Liu Mei-Shiu Chief Accounting Officer: Li Yun-Chen

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Laster Tech Co., Ltd.

Notes to Parent Company Only Financial Statements

January 1 to December 31, 2024 and 2023

(In NT$ thousands unless otherwise stated)

I. Organization and operations

Established in August 1999, Laster Tech Co., Ltd. (hereinafter referred to as “the Company”) is primarily engaged in the sales of LED chips and components and assembly and sales of LED automotive lighting and LED lighting fixtures, automotive lighting controllers and related products.

The Company’s shares began listing on TWSE on December 19, 2016.

The presentation currency of the parent company only financial report is the functional currency of the Company, “NTD”.

II. The Authorization of Parent Company Only Financial Statements

These parent company only financial statements have been passed by the Board of Directors on March 12, 2025.

III. Application of New Standards, Amendments and Interpretations

• (1) The International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), interpretations (IFRIC) and the statements of interpretation (SIC) (the “IFRS Accounting Standards”) approved and released by the Financial Supervisory Commission (hereinafter referred to as “IFSC”) are applied for the first time.

The Group expected no material changes to the accounting policies of the Company after adopting the amended IFRS Accounting Standards approved and released by the FSC.

• (2) FSC-approved IFRS Accounting Standards to be applied in 2025

Effective date announced New issued/amended/revised standards and Effective Date Announced interpretations by IASB Amendments to IAS 21 "Lack of Exchangeability" January 1, 2025 (Note 1) Amendment to IFRS 9 and IFRS 7 “Amendment to January 1, 2026 (Note 2) Classification and Measurement of Financial Assets" for application index amendment content related financial asset classification

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• Note 1: Applicable to annual reporting periods beginning starting on or after January 1, 2025. When the amendments are first applied, the comparison period shall not be rewritten, and the effect shall be recognized in the exchange difference (if applicable) of the foreign operating organization under the retained earnings or equity on the date of initial application and the related assets and liabilities affected.

• Note 2: It is applicable to annual reporting period that begins on or after January 1, 2026, and enterprises may also choose to apply it early on January 1, 2025. When the amendments are first applied, the effects of the amendments shall be recognized on the date of initial application, but it is not necessary to re-compile the comparison period. However, if the enterprise does not adopt a forward-looking mindset, it may choose to re-compile the financial statements.

As of the date the consolidated financial statements were authorized for issue, the Company has assessed the possible impact that the application of other standards and interpretations would have on the Company’s parent company only financial position and parent company only financial performance, and has determined that there would be no such material impact.

• (3) IFRS Accounting Standards issued by the IASB but not yet approved and released by the FSC

the FSC
New issued/amended/revised standards and interpretations “Annual Improvements to IFRS - Volume 11” Amendment to IFRS 9 and IFRS 7 “Amendment to Classification and Measurement of Financial Assets" for application index amendment content related financial liability derecognition Amendment to IFRS 9 and IFRS 7 “Contracts Referencing Nature-dependent Electricity” Amendments to IFRS 10 and IAS 28, “Sale or Contribution of Assets between an Investor and their Associate or Joint Venture” IFRS 17 “Insurance Contracts” Amendments to IFRS 17 Amendments to IFRS 17, “Initial application of IFRS 17 and IFRS 9 - Comparative Information” Amendments to IAS 21 "Lack of Exchangeability" IFRS 18 “Expression and Disclosure of Financial Statements" IFRS 19 "Subsidiaries not Publicly Responsible for	Effective Date per IASB (Note)
	January 01, 2026 January 01, 2026 January 01, 2026 To be determined January 01, 2023 January 01, 2023 January 01, 2023 January 01, 2025 January 01, 2027 January 01, 2027

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New issued/amended/revised standards and interpretations Public Expenditure: Disclosure”

Effective Date per IASB (Note)

• Note: Unless otherwise specified, the above-mentioned new/amended/revised standards or interpretation shall become effective in the annual reporting periods beginning on or after each effective date for such standards or interpretation.

IFRS 18 “Expression and Disclosure of Financial Statements"

• IFRS 18 will replace IAS 1 "Expression of Financial Statements”, and the main

• changes include:

• ˙ The income statement shall classify the income and expenses into operating, investment, financing, income tax and discontinued operations.

• ˙ The income statement shall be reported as operating income, pre-tax income before financing, and the sum and total of profit and loss.

• ˙ Provide guidance on the consolidation and division of rules: The Company must identify the assets, liabilities, equity, income, expenses and cash flows arising from individual transactions or other matters, and classify and consolidate them based on the common characteristics, so that at least one of the items in the financial statements has a similar characteristic. Items with non-similarity characteristics in the main financial statements and notes shall be divided. The Company only marks "others" when informative marks cannot be found.

• ˙ Increase the disclosure of performance measurement defined by the management: When the Company is engaged in public communication other than financial statement preparation, and when it communicates with financial statement users about the management's view of the Company's overall financial performance, it shall disclose relevant information about performance measurement defined by the management in a single note to the financial statements, including the description of the measurement, how to calculate, the adjustment of the sum or total of the items specified in IFRS accounting standards, and the income tax and non-controlling interests impact of the relevant adjustment items.

• Except for the above-mentioned effects, up to the approval and release date of

• the parent company only financial statements, the Company assessed other effects of the amendments to other standards and interpretation on the parent company only

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financial position and parent company only financial performance on a continuous basis. The relevant effects would be disclosed after the assessment.

IV. Summary of Significant Accounting Policies

• (1) Statement of Compliance

The parent company only financial statements were compiled in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

(2) Basic of Preparation

Except for the financial instruments measured at fair value and the fair value of the planned assets less the net defined benefit assets recognized at the present value of defined benefit obligations, the parent company only financial statements were prepared on the basis of historical cost.

Fair value measurements are classified into Level 1, 2 and 3 based on the degree to which an input is observable and the significance of the input:

1. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.

2. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

3. Level 3 inputs are unobservable inputs for the asset or liability.

When preparing company only financial statements, the Company uses the equity method to account for its investment in subsidiaries. To align the profit or loss, other comprehensive income and equity of the year in the parent company only financial statements with the profit or loss, other comprehensive income and equity of the year attributable to the owner of the Company in the parent company only financial statements, the differences between the accounting treatments under the separate and consolidated bases were treated through adjustment of related equity items, including “investment under the equity method”, “share of profit/loss of subsidiaries, associates and joint ventures under the equity method”, “share of other comprehensive income of subsidiaries, associates, and joint ventures”.

(3) Classification of Current and Non-current Assets and Liabilities

• Current assets include:

• Assets held primarily for the purpose of trading;

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• Assets that are expected to be realized within twelve months from the balance sheet date; and

• Cash and cash equivalent (unless the asset is restricted from being exchanged or used to settle a liability for at least twelve months after the date of statement of financial position).

Current liabilities include:

1. Liabilities held primarily for the purpose of trading;

2. Liabilities expected to be settled within twelve months after the maturity of the debt (even if the liability at the date of statement of financial position to complete the long-term refinancing prior to the financial statements or reschedule payment agreement), and

3. Liabilities without sustainable right for which the repayment date cannot be extended unconditionally to more than twelve months after the balance sheet date.

Assets or liabilities that are not the above-mentioned current assets or current liabilities are classified as non-current assets or non-current liabilities. For liabilities may be settled by transferring the equity instruments of the consolidated company based on the choice of the counterparty, if the Company classified the option as equity instrument, the terms of the liability shall not affect the classification of the liability as current or non-current.

• (4) Foreign currency

During preparation of the parent company only financial statements, transactions using currencies other than the parent company only functional currency (foreign currencies) are stated in the functional currency at the exchange rate on the date of transaction.

Monetary foreign currency items are translated at the closing exchange rate on each balance sheet date. Exchange differences arising from settlement or translation of the monetary items are recognized as profit or loss in the current period.

Non-monetary foreign currency items measured at fair value are translated at the exchange rate on the date of determining the fair value, and the exchange differences resulting therefrom are recognized as profit or loss in the current period. However, when changes in the fair value are recognized as other comprehensive income, the exchange differences arising therefrom are stated as the same.

• 18 -

Non-monetary foreign currency items measured at historical cost are translated at the exchange rate on the date of transaction and are not retranslated.

During preparation of the parent company only financial statements, the assets and liabilities of foreign operations (including the subsidiaries, associates, joint ventures or branches with countries in which they operate or currencies they use different from those of the Company) are translated into NTD at the exchange rate on each balance sheet date. Their profit and expense/loss items were translated at the average exchange rate of the period, and the exchange differences resulting therefrom were recognized in other comprehensive income.

If the Company disposes of all interests in a foreign operation, or disposes of a part of the interests of a subsidiary of a foreign operation and loses control, and the retained interests are financial assets, they shall be treated in accordance with the accounting policy for financial instruments. The accumulated exchange differences related to the foreign operation shall be reclassified to profit or loss.

If the partial disposal of a foreign operation's subsidiary does not result in a loss of control, the accumulated exchange difference shall not be recognized in profit or loss on a pro rata basis. In the case of any other partial disposal of a foreign operation, the accumulated exchange differences shall be reclassified to profit or loss in proportion to the disposal.

(5) Inventories

Inventories include raw materials, finished goods, work-in-progress, and merchandise. The inventory is measured based on the lower of the cost or net realizable value. The cost and the net realizable value are compared on the basis of the individual items except for the inventories of the same type. Net realizable value refers to the estimated selling price in a normal situation less the completed work and the estimated cost needed to complete the sale. The weighted average method is used to calculate the inventory cost.

(6) Investment in subsidiaries

The Company accounts for its investment in subsidiaries using the equity method.

A subsidiary is an entity over which the Company has control.

Under the equity method, an investment is initially recognized at cost, and the carrying amount is increased or decreased to recognize the Company’s share of the profit or loss of the subsidiary after the date of acquisition and other comprehensive

• 19 -

income or loss and profit distribution. In addition, changes in the Company’s other interests in subsidiaries are recognized in proportion to the shareholding.

Changes to the Company’s equity ownership in the subsidiaries are treated as equity transactions if the changes do not result in loss of control. The difference between the carrying amount of investments and the fair value of any paid or received consideration is directly recognized as equity.

When the Company's share of losses on a subsidiary equals or exceeds its equity in the subsidiary (including the carrying amount of the subsidiary under the equity method and other long-term interests that in substance form part of the Company's net investment in the subsidiary), the Company continues to recognize the losses based on the shareholding ratio.

The excess of the acquisition cost in excess of the Company's share of the net fair value of the subsidiaries' identifiable assets and liabilities that constitute a business on the date of acquisition is recognized as goodwill. The goodwill is included in the carrying amount of the investment and shall not be amortized. The excess of the share of net identifiable assets and liabilities net fair value of the subsidiaries constituting the business on the date of acquisition is recognized as the current income.

The Company assesses impairment by considering the cash-generating units as a whole in the financial statements and comparing their recoverable amounts with their carrying amounts. If the recoverable amount of an asset increases in a subsequent period, the reversal of the impairment loss is recognized as a gain, provided that the carrying amount of the asset after the reversal of the impairment loss does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset, less amortization. Reversal of an impairment loss for goodwill in a subsequent period is prohibited

When the Company loses control over a subsidiary, its remaining investment in the above subsidiary is measured at the fair value on the date when the control is lost. The fair value of the remaining investment and the difference between any disposal price and the carrying amount of the investment on the date when the control is lost are included in profit or loss for the period. In addition, the Company accounts for all amounts recognized in other comprehensive income or loss related to the subsidiary on the amounts in other comprehensive income are according to the same accounting treatment basis as the direct disposal of the related assets or liabilities.

• 20 -

Unrealized gains or losses from downstream transactions with subsidiaries are eliminated in the parent company only financial statements. Gains or losses arising from upstream and side-stream transactions with subsidiaries are recognized in the parent company only financial statements only to the extent that they are not related to the Company’s interest in the subsidiary.

(7) Property, plant and equipment

The property, plant, and equipment are recognized in accordance with the cost and subsequently measured based on the cost net of accumulated depreciation and impairment losses.

The property, plant, and equipment under construction are recognized based on the cost net of accumulated impairment losses. The cost included professional service fees and the loan costs eligible for capitalization. Once the assets are completed and ready for their intended use, the assets are classified as appropriate items under property, plant and equipment, and the depreciation of the assets starts.

Except for the self-owned land that is not depreciated, the remaining properties, plants, and equipment are separately depreciated on the straight-line basis over its useful life. The Company reviews the estimated useful life, residual value and method of depreciation at least on the end day of each year and prospectively recognizes the effect of changes in accounting estimates.

For derecognition of the property, plant and equipment, the difference between the net disposal proceeds and the asset book value is recognized as profit or loss.

(8) Intangible assets

1. Acquired separately

Intangible assets with limited useful life acquired separately are initially measured in accordance with the cost and subsequently based on the cost net of accumulated amortization and impairment losses. Intangible assets are amortized on the straight-line basis over its useful life. The Company reviews the estimated useful life, residual value and method of amortization at least on the end day of each year and prospectively recognizes the effect of changes in accounting estimates. Intangible assets with indefinite useful life are recognized based on the cost net of accumulated impairment losses.

1. Derecognition

2. 21 -

For derecognition of the intangible assets, the difference between the net disposal proceeds and the asset book value is recognized as profit or loss of the period.

(9) Impairments of property, plant and equipment, right-of-use assets, and intangible assets

The Company assesses whether there are any signs indicating that any property, plant and equipment, right-of-use assets, and intangible assets (excluding goodwill) may be impaired on each balance sheet date. If there is any of such signs, the recoverable amount of the asset is estimated. When the recoverable amount of individual assets cannot be estimated, the Company estimates the recoverable amount of the cash-generating unit to which the assets belong. Corporate assets are allocated to the individual cash-generating units for which a reasonable and consistent allocation basis can be identified.

For intangible assets with indefinite useful lives and not yet available for use, impairment testing is conducted at least once a year and whenever there is a sign of impairment.

The recoverable amount is the higher of the fair value less costs of sale and the value in use. When the recoverable amount of any individual assets or cash-generating units is less than the book value, the book value of the individual assets or cash-generating units is adjusted down to the recoverable amount, and the impairment loss is recognized as profit or loss.

When the impairment loss is reversed subsequently, the book value of the asset, cash-generating unit or contract cost-related assets is adjusted up to the revised recoverable amount. However, the increased book value does not exceed the book value (less the amortization or depreciation) determined under the circumstance that the impairment loss of the assets, cash-generating unit or contract cost-related assets is not recognized in the previous year. The reversal of the impairment loss is recognized as profit or loss.

(10) Financial Instruments

All financial assets and liabilities are recognized in the consolidated balance sheet when the Company becomes a party to the contractual provisions of the instrument.

At initial recognition, a financial asset or financial liability at shall be measured at its fair value. In the case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition

• 22 -

or issue of the financial asset or financial liability. Transaction costs that are directly attributable to the acquisition or issue of the financial asset or financial liability at fair value through profit or loss are recognized immediately in profit or loss.

1. Financial assets

Regular transactions of financial assets are recognized and derecognized based on the accounting on the transaction date.

• (1) Measurement category

Financial assets held by the Company are those measured at amortized cost and financial assets measured at fair value through profit or loss.

• A. Financial assets at fair value through profit or loss

• Financial assets measured at fair value through profit or loss are

• mandatorily to be measured at fair value through profit and loss.

The financial assets at fair value through profit or loss are measured at fair value. Their dividends and interests generated therefrom are recognized in other income and interest income, respectively. The gains or losses arising from the remeasurement are recognized in other gains and losses. For the determination of fair value, please refer to Note 28.

• B. Financial assets measured at amortized cost

When the Company’s invested financial assets meet both of the following two conditions, they are classified as financial assets measured at amortized cost:

• a. Where the financial assets are held under certain business model, and the purpose of such model is to hold the financial assets in order to collect contract cash flows; and

• b. Where contract terms generated cash flow of specific date, and such cash flow is completely for the payment of the interest of principle and external circulating principle amount.

After the initial recognition, the financial assets measured at amortized cost (including cash and cash equivalents, accounts receivable (including related parties), other receivables (including related parties), other financial assets and refundable deposits) are measured based on the amortized cost equal to the total book value

• 23 -

determined under the effective interest method less any impairment losses, and any profit or loss from foreign currency exchange is recognized as profit or loss.

Except for the following two circumstances, the interest income is calculated as the effective interest rate times the total book value of financial assets:

• a. For purchased or originated credit-impaired financial assets, the interest income is calculated as the credit-adjusted effective interest rate times the amortized cost of the financial assets.

• b. For financial assets originally not purchased or originated credit-impaired but subsequently becoming credit-impaired, the interest income is calculated as the effective interest rate times the amortized cost of the financial assets in the next reporting period after the credit impairment.

• (2) Impairment of financial assets

The Company assesses impairment losses on financial assets (including accounts receivable) measured at amortized cost on the basis of expected credit losses at each balance sheet date.

Allowances for losses on accounts receivable are recognized on the basis of expected credit losses over the life of the leases. Whether the credit risk on other financial assets significantly increases shall be first assessed after the initial recognition. When the increase is not significant, the allowance for losses for the financial assets is recognized based on the 12-month expected credit losses; when the increase is significant, it is recognized on the basis of expected credit losses over the life of the receivables.

The expected credit losses are the average credit losses weighted by the risk of default. 12-month expected credit losses represent the expected credit losses on financial instruments from any potential default within 12 months after the reporting date. Lifetime-expected credit losses represent the expected credit losses on financial instruments from any potential default during the expected lifetime.

• 24 -

For the purpose of internal credit risk management, the Company, without considering the collateral held, determines that the following situations represent a default on the financial assets:

• A. There is internal or external information indicating that it is impossible for the debtor to pay off the debt.

• B. Overdue for more than 365 days unless there is reasonable and corroborative information showing that the delayed default standard is more appropriate.

The impairment loss on all financial assets is deducted from the book value of the financial assets through allowance accounts. However, the allowance for losses of the investment in liability instruments measured at fair value through other comprehensive income is recognized as other comprehensive income, and the book value thereof is not reduced.

• (3) Derecognition of financial assets

The Company derecognizes financial assets only when the contractual rights to the cash flows from the assets become invalid, or the financial assets and almost all the risks and returns over the ownership of the financial assets are transferred to other companies.

For removal of the entire financial assets measured at amortized cost, the differences between the book value and the received consideration are recognized in profit or loss.

2. Equity instruments

The debt and equity instruments issued by the Company are classified as financial liabilities or equity based on the definition of real and financial liabilities as well as equity instruments under the terms and conditions of the contracts.

The equity instruments issued by the Company are recognized based on the payment net of the direct cost of issuance.

When a reacquired equity instrument is originally owned by the Company, the re-acquisition is recognized as a deduction from equity. Purchase, sale, issuance or cancellation of the equity instruments owned by the Company are not recognized as profit or loss.

1. Financial liabilities

2. 25 -

(i) Subsequent measurement

Except for the following conditions, all financial liabilities are measured at amortized cost using effective interest method. Financial liabilities measured at fair value through profit or loss

Financial liabilities measured at fair value through profit or loss include those held for transactions.

Financial liabilities held for trading are measured at fair value. The relevant gains or losses are recognized in other gains and losses/interests generated therefor are recognized in financial costs. Other remeasured gains or losses are recognized in other gains and losses.

For the fair value determination method, please refer to Note 28.

(ii) Derecognition of financial liabilities

For derecognition of financial liabilities, the differences between the book value and the consideration paid (including any non-cash assets transferred and any liabilities assumed) are recognized as profit or loss.

1. Convertible bonds

The compound instruments (convertible bonds) issued by the Company are classified as financial liabilities and equity in accordance with the component parts be accounted for and presented separately according to their substance based on the definitions of liability and equity, at the time of initial recognition.

On initial recognition, the fair value of the liability component is estimated using the prevailing market interest rate of interest for a similar non-convertible instrument. Amortized cost is calculated using the effective interest method until the date of conversion or maturity. The liability component that is embedded in non-equity derivatives is measured at fair value.

The conversion right classified as equity is equal to the remaining amount of the fair value of the compound instrument as a whole less the fair value of the separately determined liability component. The amount is recognized as equity, net of income tax effect, and is not subsequently measured. When the conversion right is exercised, the related liability component and the amount in equity is transferred to equity and capital surplus - issuance premium. If the

• 26 -

conversion right of convertible bonds is not exercised on the maturity date, the amount recognized in equity will be transferred to capital surplus - other.

Transaction costs of issue of convertible bonds are allocated to the liabilities (accounted for in the carrying amount of the liability) and the equity components (accounted for in equity) of the instrument in proportion to the total apportioned price.

The conversion rights included in the convertible corporate bonds issued by the Company are not the conversion rights of the equity instruments of the consolidated company that are settled with a fixed amount of cash or other financial assets exchanged for a fixed number of fixed amounts; therefore, they are classified as derivative financial liabilities.

At the time of initial recognition, the derivative financial liabilities of convertible corporate bonds are measured at fair value, and the carrying amount of non-derivative financial liabilities is the balance after the separation of the embedded derivatives. Subsequently, non-derivative financial liabilities are measured at amortized cost using the effective interest method, and derivative financial liabilities are measured at fair value. Changes in fair value are recognized in profit or loss. The related transaction costs of the convertible corporate bonds are allocated to the non-derivative financial liabilities of the instrument based on the proportion of the relative fair value (recognized in book value of the liabilities) and the derivative financial liabilities (recognized in profit or loss).

(11) Revenue Recognition

The Company allocates the transaction price to performance obligations after the performance obligations are identified in the customer contract. Revenue is recognized when performance obligations are satisfied.

1. Income from Sales of Goods

Revenue from merchandise sales is generated from the sales of LED automotive lighting modules, LED chips, LED components, and LED lighting fixtures and lighting controllers. The revenue and accounts receivable are recognized at that point of time once the merchandise is delivered to the customer-designated location that the customer is entitled to the products’ price determination and right of use, and has the main responsibility to resell the merchandise, and takes the risk that the products might become outdated.

• 27 -

2. Service revenue

The service revenue comes from the service of purchasing raw materials on behalf of others.

The Company provides services to purchase raw materials on behalf of subsidiaries. Before the inventories are transferred to subsidiaries, the Company does not acquire the control over the inventories and is not held responsible regarding whether the inventories will be accepted by the subsidiaries. In addition, before subsidiaries place their orders, the Company does not commit to purchasing inventories; therefore, there is no inventory risk. The Company provides raw material purchase services on behalf of others as an agent, and the net revenue is recognized after the control over the inventories is transferred to subsidiaries and there is no subsequent obligation.

(12) Lease

The Company assesses whether an agreement is (or contained) a lease on the date of entering into the agreement.

The Company as lessee

The lease payment from the leases of low-value underlying assets to which the exemption of recognition is applied and short-term lease is recognized as expenses on the straight-line basis over the lease term, while right-of-use assets and lease liabilities with respect to other leases are recognized on the lease commencement date.

The right-of-use assets are initially measured based on the cost (refers to the initial recognized amount of lease liabilities) and subsequently measured based on the cost net of accumulated depreciation and accumulated impairment losses, and then the remeasurement of the lease liabilities is adjusted. The right-of-use assets are separately presented in the parent company only balance sheet.

The right-of-use assets are depreciated on the straight-line basis over the period from the lease commencement date to the expiration of the useful life or the lease term, whichever is sooner.

The lease liabilities are initially measured based on the present value of lease payments (fixed payments). If the interest rate implicit in a lease could be readily determined, the lease payments were discounted at the interest rate. When such interest rate cannot be readily determined, the lessee’s incremental borrowing rate of interest is used.

• 28 -

Subsequently, the lease liabilities are measured at amortized cost under the effective interest method, and the interest expenses are amortized over the lease term. When any changes in the lease term cause changes in future lease payments, the right-of-use assets are adjusted accordingly. However, if the carrying amount of the right-of-use asset is reduced to zero, any remaining amount of the remeasurement shall be recognized in profit or loss A lease liability is recorded as separate line item on the parent company only balance sheet.

(13) Borrowing Cost

The cost of borrowing that can be directly attributable to the assets for which acquisition, building or production meet the requirements is part of the cost of such assets until almost all the required activities for them to reach the intended status of use or sale are completed.

The income earned from temporary investment by using certain loans before the occurrence of capital expenses meeting the requirements is deducted from the cost of borrowing that meets the requirements of capitalization.

Otherwise, all the costs of borrowing are recognized as profit or loss in the year in which the borrowing occurred.

(14) Employee Benefits

1. Short-term employee benefits

Liabilities related to short-term employee benefits are measured at non-discounted amount expected to be paid against the services to be provided by the employees.

1. Post-employment benefits

Every pension fund contributed under the defined pension contribution plan is recognized as expenses during the period when employees provide services.

Defined retirement benefit costs (including service costs, net interest, and remeasurement) under the defined retirement benefit plan are calculated actuarially using the projected unit credit method. Service costs (including current and previous service costs) and net interest on net defined benefit liabilities (assets) are recognized in employee benefit expenses when they are incurred. Remeasurement (including actuarial profits or losses and return on plan assets net of interest) is recognized in other comprehensive income and

• 29 -

presented in retained earnings when it occurs. It is not reclassified as profit or loss in the subsequent periods.

Net defined benefit liabilities (assets) represent the contribution deficit (surplus) in the defined retirement benefit plan. Net defined benefit assets shall not exceed the present value of contribution refunded from the defined retirement benefit plan or future deductible contribution.

• (15) Share-based Payment Arrangements

Issuance of employee stock options

Employee stock options are recognized as expenses based on the fair value of equity instruments on the grant date and the best estimate of the vested amount on the straight-line basis over the vesting period, while the capital reserve -employee stock options shall be adjusted. If the amount is immediately vested on the grant date, it is recognized as expenses on that date. The Company may reserve employee share options. The grant date is the date of shares subscribed by employees.

(16) Income tax

The income tax expenses are the total of current and deferred taxes.

1. Current tax

The Company determines the current revenue (loss) in accordance with the laws and regulations of the jurisdiction where the income tax returns are filed and, with this as a basis, calculates the income tax payable (receivable).

The additional income tax on undistributed earnings calculated according to the Income Tax Act of the Republic of China is recognized in the year when the related resolution is made at the shareholders’ meeting.

The adjustments to the income tax payable in the previous year are recognized in the current income tax.

1. Deferred tax

The deferred taxes are calculated based on the temporary difference between the book value of assets and liabilities in the book and the tax base for calculation of taxable income.

The general principle is that a deferred tax liability is recognized for all taxable temporary differences. A deferred tax asset shall be recognized for the carryforward of income tax credits arising from temporary differences can be utilized.

• 30 -

Taxable temporary differences generated from investment in subsidiaries, associates and joint arrangements are recognized in deferred tax liabilities except where the Company can control the timing of reversal of the taxable temporary differences, and where such differences are not likely to be reversed in the foreseeable future. Deductible temporary differences related to such investment are recognized, to the extent that they are expected to be reversed in the foreseeable future, as deferred tax assets only when we are likely to have taxable income adequate to realize the temporary differences.

The book value of deferred tax assets is reviewed at each balance sheet date. When any of the deferred tax assets is not likely to have taxable income adequate to return all or part of the assets anymore, the book value thereof is reduced. Those that are not originally recognized as deferred tax assets are reviewed at each balance sheet date. When any of those is likely to generate taxable income adequate to return all or part of the assets in the future, the book value thereof is increased.

The deferred tax assets and liabilities are measured at the tax rate of the period in which the liabilities or assets are expected to be settled or realized. The tax rate is subject to the tax rate and tax laws legislated or substantively legislated on the balance sheet date. The deferred tax liabilities and assets are measured to reflect the tax on the balance sheet date arising from the method that the Company excepts to use to recover or settle the book value of the liabilities and assets.

1. Current and deferred income tax

The current and deferred taxes are recognized as profit or loss other than those related to the titles stated as other comprehensive income or as equity directly, which are recognized in other comprehensive income separately or in equity directly.

V. Major sources of uncertainty in significant accounting judgments, estimates, and

assumptions

For adoption of the accounting policies, management must make judgments, estimates and assumptions related to the information that cannot be readily acquired from other sources based on historical experience and other relevant factors. The actual results may differ from those estimates.

• 31 -

The Company will incorporate possible impacts of inflation and market interest rate fluctuation into consideration during the development of material accounting estimates and will include the estimates for cash flow projects, growth rates, discount rates and profitability. Management will continue to review estimates and underlying assumptions.

The accounting policies, estimates and basic assumptions adopted by the Company have been evaluated by the management of the Group and are free of significant accounting judgments, estimates and assumptions uncertainty.

VI. Cash and cash equivalents

sh and cash equivalents
Cash on hand and working capital Bank checks and demand deposits Cash equivalents (investment with original maturity date of less than three months) Bank time deposit	December 31,2024 $ 2,449 1,027,942 20,000 $ 1,050,391	December 31,2023
			$ 3,050 534,400 - $ 537,450

The annual interest rates on bank demand and time deposits as of the balance sheet date is ranged as follows:

date is ranged as follows:
Bank demand deposit Bank time deposit	December 31,2024 0.001% ~ 1.10% 0.78%	December 31,2023
		0.001% ~ 1.450% -

VII. Financial instruments measured at fair value through profit or loss

Financial assets-current Mandatory measurement through profit or loss at fair value Derivatives - Convertible corporate bond redemption option right Non-derivative financial assets TWSE (TPEx)-listed stocks - Fund beneficiary certificate	December 31,2024 $ 90 4,241 17,891 $ 22,222	December 31,2023	December 31,2023
			$ - 19,157 1,777 $ 20,934

Financial liabilities - non-current possessed for transaction

• 32 -

Derivatives Convertible corporate bond reverse repurchase option - right $ 2,460 $

VIII. Financial assets measured at after-amortization cost

December 31, 2024 December 31, 2023 Current Domestic investment Time deposits with original maturity date of more than 3 months $ 3,290 $ 8,069

As of December 31, 2024 and 2023, the interest rate range of time deposits with original maturity date of over three months was 4.3% and 1.17%~4.75% per annum, respectively.

IX. Accounts receivable and other receivables

ccounts receivable and other receivables
Accounts receivable Measured at after-amortization cost Total carrying amount Less: Allowance for impairment loss Other receivables Sample fees receivable Material allowances receivable Others	December 31,2024 $ 714,935 - $ 714,935 December 31,2024 $ 12,978 - 793 $ 13,771	December 31,2023
		$ 340,703 - $ 340,703 December 31,2023
			$ - 27,286 1,785 $ 29,071

Accounts receivable

The Company's average credit period for merchandise sales is 30 to 150 days, and no interest is accrued on accounts receivable. To mitigate credit risk, the Company’s management shall assign dedicated personnel to be responsible for the determination of credit limit, credit approval and other monitoring procedures in order to ensure that appropriate actions are taken to collect overdue accounts receivable. In addition, the Company reviews the recoverable amounts of accounts receivable on a case-by-case basis on the balance sheet date to ensure that appropriate impairment losses have been

• 33 -

provided for non-recoverable accounts receivable. Accordingly, the management of the Company believes that the Company's credit risk has been significantly reduced.

Allowances for losses on accounts receivable on the basis of expected credit losses over the life of the receivables. The lifetime expected credit losses are calculated based on the allowance matrix with reference to each customer’s past default history, current financial position, and industrial economic situation, as well as the GDP forecast and industry outlook. The Company's historical credit loss experience shows that there is no significant difference in the loss patterns of different customer groups. Therefore, instead of further differentiating the customer groups, the allowance matrix only sets the expected credit loss rate based on the number of days past due on accounts receivable.

If there is evidence that a counterparty is facing serious financial difficulties and the Company cannot reasonably expect to recover the amount, the Company will directly write off the relevant trade receivables, but will continue to try to collect the receivable. The recovered amount is recognized in profit or loss.

The allowance for loss of accounts receivable measured by the Company based on the allowance matrix is as follows:

December 31, 2024

December 31, 2024
Expected credit loss rate Total carrying amount Allowance for losses (expected credit losses) Cost after amortization December 31, 2023	Not Past Due			Overdue 1~90 days	Overdue 91~180 days			Overdue 181~365 days		Over 365 days past due		Total
	- $ 714,935 - $ 714,935 Not Past Due			- $ - $ Overdue 1~90 days	- $ - - $ - Overdue 91~180 days			- $ - - $ - Overdue 181~365 days		- $ - - $ - Over 365 days past due		$ 714,935 - $ 714,935 Total
Expected credit loss rate Total carrying amount Allowance for losses (expected credit losses) Cost after amortization
		- $ 292,987 - $ 292,987		- $ 47,716 - $ 47,716		- $ - - $ -		- $ - - $ -		- $ - - $ -		$ 340,703 - $ 340,703

X. Inventories

entories
Commodities Finished goods Work in process Raw materials	December 31,2024 $ 12,746 502,171 41,398 242,937	December 31,2023
			$ 22,056 341,348 49,588 281,543

• 34 -

$ 799,252 $ 694,535

The nature of costs of sales is as follows:

Cost of inventory sold Loss on scrapped inventory Loss (gain from price recovery) for market price decline and obsolete and slow-moving inventories Unallocated fixed manufacturing expenses	2024 $ 2,523,879 15,360 ( 18,576 ) 17,408 $ 2,538,071		2023
			$ 1,773,255 - 261 7,794 $ 1,781,310

In 2024, the inventory net realizable value recovery was due to the increase of the sales price of the inventory.

XI. Investments accounted for using the equity method

Investment in subsidiaries

Investment in subsidiaries
Laster International (Samoa) Co., Ltd. (Laster International) Windlux International Co., Ltd. (Windlux) Happy Power Corp.	December 31,2024 $ 3,765,745 31,648 915 $ 3,798,308	December 31,2023
			$ 3,272,363 31,856 921 $ 3,305,140

I n v e s t e e Laster International Windlux International Co., Ltd. Happy Power Corp.	Ownership interest and percentage of voting r i g h t s	Ownership interest and percentage of voting r i g h t s
	December 31,2024 100% 100% 100%	December 31,2023
		100% 100% 100%

For the breakdown of the subsidiaries the Company indirectly invests in, please see

Tables 6 and Table 7.

XII. Property, Plant and Equipment

December 31, 2024 December 31, 2023 Self-use $ 1,147,302 $ 1,130,021 Self-use

Unfinished construction Mold Lease Other and equipment Land Buildings Equipment equipment improvements equipment to be accepted Total Cost Balance on January 1, 2024 $ 711,920 $ 182,871 $ 321,895 $ 3,628 $ 1,060 $ 25,587 $ 9,964 $ 1,256,925

• 35 -

Addition Disposal Transferred from prepaid equipment Reclassification Balance on December 31, 2024 Accumulated depreciation and impairment Balance on January 1, 2024 Depreciation expenses Disposal Reclassification Balance on December 31, 2024 Net amount as of December 31, 2024 Cost Balance on January 1, 2023 Addition Disposal Transferred from prepaid equipment Transfer to prepayments Reclassification Balance as of December 31, 2023 Accumulated depreciation and impairment Balance on January 1, 2023 Depreciation expenses Disposal Reclassification Balance as of December 31, 2023 Net as of December 31, 2023	- - - - $ 711,920 $ - - - - $ - $ 711,920 $ 711,920 - - - - - $ 711,920 $ - - - - $ - $ 711,920	491 - - - $ 183,362 $ 33,938 18,306 - - $ 52,244 $ 131,118 $ 128,501 7,928 - - - 46,442 $ 182,871 $ 18,518 15,420 - - $ 33,938 $ 148,933	23,761 1,374 11,524 3,327 46 40,523 - ( 560 ) ( 1,060 ) ( 836 ) - ( 2,456 ) 50,944 472 - - - 51,416 - - - 7,920 ( 7,920) - $ 396,600 $ 4,914 $ 11,524 $ 35,998 $ 2,090 $ 1,346,408 $ 76,980 $ 2,160 $ 856 $ 12,970 $ - $ 126,904 48,670 1,279 112 6,174 - 74,541 - ( 560 ) ( 968 ) ( 811 ) - ( 2,339 ) - - - - - - $ 125,650 $ 2,879 $ - $ 18,333 $ - $ 199,106 $ 270,950 $ 2,035 $ 11,524 $ 17,665 $ 2,090 $ 1,147,302 $ 177,183 $ 2,086 $ 1,060 $ 17,227 $ 38,114 $ 1,076,091 74,054 1,542 - 8,933 18,335 110,792 - - - ( 183 ) - ( 183 ) 70,268 - - - - 70,268 - - - - ( 43 ) ( 43 ) 390 - - ( 390) ( 46,442) - $ 321,895 $ 3,628 $ 1,060 $ 25,587 $ 9,964 $ 1,256,925 $ 48,684 $ 2,086 $ 743 $ 8,350 $ - $ 78,381 28,256 74 113 4,824 - 48,687 - - - ( 164 ) - ( 164 ) 40 - - ( 40) - - $ 76,980 $ 2,160 $ 856 $ 12,970 $ - $ 126,904 $ 244,915 $ 1,468 $ 204 $ 12,617 $ 9,964 $ 1,130,021

Depreciation expense is provided on a straight-line basis over the following useful lives:

Buildings
Plant main building		3 to 11 years
Electromechanical	power
equipment		3 to 10 years
Engineering system		2 to 10 years
Equipment		3 to 10 years
Mold equipment		2 years
Lease improvements		10 years
Other equipment		2 to 15 years

For the amount of property, plant and equipment pledged for borrowings, please refer to Note 30.

The Company has no lease commitments with lease periods commencing after the balance sheet date.

XIII. Lease agreements

• (1) Right-of-use assets

December 31, 2024 December 31, 2023

Carrying amount of right-of-use assets

• 36 -

Building Transportation equipment Increase in right-of-use assets Depreciation expense on right-of-use assets Building Transportation equipment		$ 50,436 604 $ 51,040 2024 $ 48,104 $ 8,647 624 $ 9,271		$ 10,979 1,228 $ 12,207 2023
				$ 13,871 $ 6,080 654 $ 6,734

(2) Lease liabilities

ase liabilities
Carrying amount of lease liabilities Current Non-current	December 31,2024 $ 8,669 $ 42,782	December 31,2023
			$ 8,098 $ 4,201

The discount rate range for lease liabilities is as follows:

The discount rate range for lease	liabilities is as follows:
Building Transportation equipment	December 31,2024 0.42% ~ 2.65% 1.11% ~ 2.22%	December 31,2023
		0.42% ~ 2.22% 1.11% ~ 2.22%

(3) Important lease activities and terms

The Company leases several buildings for the use as plants and offices for a period of 1~10 years. Upon the termination of the lease period, the Company has no bargain purchase option for leased buildings.

The Company leases several transportation equipment for the use by employees for operations for a period of 1~3 years. At the end of the lease period, the Company has no preferential right to purchase the leased transportation equipment.

(4) Other information on lease

her information on lease
Short-term lease expenses Total cash (outflow) from leases		2024 $ 5,261 $ 14,555	(	2023
				$ 5,221 $ 12,070)

The Company has elected to apply the recognition exemptions to certain leases of buildings and office equipment that qualify as short-term leases and does not recognize the related right-of-use assets and lease liabilities for these leases.

XIV. Other assets

• 37 -

December 31, 2024 December 31, 2023

Current Prepayments Input tax and tax overpaid Prepayment of expenses Other assets Other financial assets (Note 30) Payment on behalf of others Temporary payment Non-current Other non-current assets Prepayment of equipment Refundable deposits	$ 37,270 23,215 $ 60,485 $ 63,084 4,754 1 $ 67,839 $ 3,352 3,873 $ 7,225	$ 48,996 29,915 $ 78,911 $ 42,581 4,693 1 $ 47,275 $ 51,416 3,154 $ 54,570

• XV. Borrowings (1) Short-term borrowings

ort-term borrowings
Guaranteed loans(Note 30) Bank borrowings (1) Unsecured loans Credit limit borrowings (2)	December 31,2024 $ 435,723 1,274,229 $ 1,709,952	December 31,2023
			$ 672,383 716,809 $ 1,389,192

1. For the bank borrowings, as of December 31, 2024 and 2023, the annual interest rates were 2.48%~3.45% and 2.35%~3.28%, respectively. Part of the borrowings were guaranteed by the Small and Medium Enterprise Credit Guarantee Fund of Taiwan, and the amounts as of December 31, 2024 and 2023 were NT$66,846 thousand and NT$172,938 thousand, respectively.

2. For the bank borrowings, as of December 31, 2024 and 2023, the annual interest rates were 2.16%~6.92% and 2.16%~2.97%, respectively.

3. (2) Short-term notes payable

ort-term notes payable
Commercial paper payable Less: Discount on commercial paper payable Short-term notes and bills payable	December 31,2024 $ 360,000 ( 1,356) $ 358,644	December 31,2023
	(	(	$ 260,000 612) $ 259,388

Commercial notes payable not yet due are as follows:

• 38 -

December 31, 2024

	G u a r a n t e e / A c c e p t a n c e I n s tit uti o n		F a c e v a l u e	D i s c o u n t a m o u n t		B o o k v a l u e	A n n u a l i nt e r e st r at e 3 . 3 4 % 3 . 0 0 % 3 . 0 0 % 3 . 3 0 % 3 . 0 0 % 3 . 2 4 %	N a m e o f c o ll at e r a l		B o o k v a l u e o f c o ll at e r a ls
C	o m m e r c i a l p a p e r p a y a b l e t e r n a t i o n a l B i lls F i n a n c e C o r p o r a ti o n h i n a B ill s F i n a n c e C o r p o r a ti o n a n d B ill s F i n a n c e C o r p . a h C h u n g B ill s F i n a n c e C o r p . i w a n C o o p e r a t i v e B i lls F i n a n c e C o r p o r a ti o n i w a n F i n a n c e C o r p o r a ti o n		$ 8 0 , 0 0 0 8 0 , 0 0 0 5 0 , 0 0 0 8 0 , 0 0 0 5 0 , 0 0 0 2 0 , 0 0 0 $ 3 6 0 , 0 0 0	( $ 2 7 7 ) ( 2 0 4 ) ( 2 6 8 ) ( 2 8 1 ) ( 2 4 0 ) ( 8 6) ($ 1 , 3 5 6)		$ 7 9 , 7 2 3 7 9 , 7 9 6 4 9 , 7 3 2 7 9 , 7 1 9 4 9 , 7 6 0 1 9 , 9 1 4 $ 3 5 8 , 6 4 4		－ － － － － －		$ - - - - - - $ -
I n C G r D Ta Ta

December 31, 2023

	G u a r a n t e e / A c c e p t a n c e I n s tit uti o n		F a c e v a l u e	D i s c o u n t a m o u n t		B o o k v a l u e	A n n u a l i nt e r e st r at e 2 . 1 3 % 1 . 4 4 % 2 . 1 0 % 2 . 8 5 %	N a m e o f c o ll at e r a l		B o o k v a l u e o f c o ll at e r a ls
C	o m m e r c i a l p a p e r p a y a b l e t e r n a t i o n a l B i lls F i n a n c e C o r p o r a ti o n h i n a B ill s F i n a n c e C o r p o r a ti o n a n d B ill s F i n a n c e C o r p . a h C h u n g B ill s F i n a n c e C o r p .		$ 8 0 , 0 0 0 8 0 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 $ 2 6 0 , 0 0 0	( $ 1 3 5 ) ( 1 6 6 ) ( 8 1 ) ( 2 3 0) ($ 6 1 2)		$ 7 9 , 8 6 5 7 9 , 8 3 4 4 9 , 9 1 9 4 9 , 7 7 0 $ 2 5 9 , 3 8 8		－ － － －		$ - - - - $ -
I n C G r D

(3) Long-term borrowings

ng-term borrowings
Guaranteed loans(Note 30) Bank borrowings (1) Unsecured loans Credit limit borrowings (2) Less: Those due within one year Long-term borrowings	December 31,2024 $ 808,923 95,490 904,413 (141,979) $ 762,434	December 31,2023
	(	(	$ 712,268 179,637 891,905 140,078) $ 751,827

• 39 -

• From January 2021 to April 2025, these loans are repaid once a month until repaid in full in May 2025 to March 2042. As of December 31, 2024 and 2023, the annual interest rates were 1.48%~2.78% and 1.70%~2.85%, respectively. The Company provided land and buildings as collaterals for the loans stated above. The loans were guaranteed by the Small & Medium Enterprise Credit Guarantee Fund of Taiwan for NT$111,708 thousand, NT$79,394 thousand, respectively on December 31, 2024 and 2023.

• From July 2021 to February 2026, these loans are repaid once a month until repaid in full in May 2025 to August 2027. As of December 31, 2024 and 2023, the annual interest rates were 1.43%~2.32% and 1.29%~2.45%, respectively.

XVI. Bonds Payable

nds Payable
The Company’s 3rd domestic unsecured convertible bonds The Company’s 4th domestic unsecured convertible bonds The Company’s 5th domestic unsecured convertible bonds The Company’s 6th domestic unsecured convertible bonds Less: Those due within one year Bonds payable	December 31,2024 $ - 148,070 19,711 275,611 443,392 (167,781) $ 275,611	December 31,2023
		$ 3,298 150,675 30,079 - 184,052 ( 3,298) $ 180,754

On January 15, 2021, the Company issued its 3rd domestic unsecured convertible bonds for 3.5 thousand units with a total principal of NT$350,000 thousand at 100% of par value and a zero coupon rate for a term of 3 years. As of December 31, 2024, the creditors holding NT$181,000 thousand of the bonds fully exercised their conversion rights. As of December 31, 2024, the creditors of the Company holding NT$169,000 thousand of the bonds applied for early redemption.

The Company’s 3rd domestic unsecured convertible bonds consist of liability and equity components. The equity component is expressed as capital surplus - stock options under equity. The original effective interest rate recognized for the liability component was 1.37%.

Issue price (less transaction costs of NT$3,500 thousand) $ 346,500 Equity component (less transaction costs of NT$114 thousand allocated to equity and added back NT$23 thousand of income tax effects) ( 11,284 ) Deferred tax assets 700

• 40 -

Components of liabilities on the issue date (less the
transaction costs allocated to liabilities of NT$3,386
thousand and the related income tax effect of NT$677
thousand)			335,916
Interest calculated at an effective rate of 1.37%			5,940
Bonds payable converted to common shares and share
conversion entitlement certificates	(		176,289 )
Redemption of corporate bonds	(		162,158 )
Deferred tax assets	(		111)
Liability components on December 31, 2023			3,298
Interest calculated at an effective rate of 1.37%			2
Bonds payable converted to common shares and share
conversion entitlement certificates	(		1,800 )
Redemption of corporate bonds	(		1,500 )
Deferred tax assets			-
Liability component as of December 31, 2024		$	-

On February 17, 2022, the Company issued its 4th domestic unsecured convertible bonds for 2 thousand units with a total principal of NT$200,000 thousand at 100% of par value and a zero coupon rate for a term of 3 years. On the next day after 3 months following the issuance date of the bonds, the bondholders may request for the corporate bonds to be exchanged for the Company’s common stock. The original conversion price was NT$46.61 per share, and the conversion price was NT$43.27 on December 31, 2024. From 3 months to 40 days before the expiration of the issuance term, if the closing price of the Company’s common stock exceeds 30% of the prevailing conversion price for 30 consecutive business day or if the outstanding balance of the bonds is less than 10% of the original amount issued, the Company may redeem the outstanding bonds in cash at their face value. The date on which the bonds are issued for two years is the base date for early sale of the bonds. With 40 days of the base date for early sale of the bonds, the bondholders may request the Company to redeem the bonds held by them in cash at their face value. Except for the conversion into the Company’s common stock or early recovery of bonds as stated above, the Company repays the principal in cash at maturity in accordance with the face value of the bonds. As of December 31, 2024, the creditors holding NT$51,600 thousand of the bonds fully exercised their conversion rights.

The Company’s 4th domestic unsecured convertible bonds consist of liability and equity components. The equity component is expressed as capital surplus - stock options under equity. The original effective interest rate recognized for the liability component was 1.70%.

• 41 -

Issue price (less transaction costs of NT$2,000 thousand)		$ 198,000
Equity component (less transaction costs of NT$84
thousand allocated to equity and added back NT$17
thousand of income tax effects)	(	8,353 )
Deferred tax assets		400
Components of liabilities on the issue date (less the
transaction costs allocated to liabilities of NTD 1,916
thousand and the related income tax effect of NTD 383
thousand)		190,047
Interest calculated at an effective rate of 1.70%		5,922
Bonds payable converted to common shares and share
conversion entitlement certificates	(	45,250 )
Deferred tax assets	(	44)
Liability components on December 31, 2023		150,675
Interest calculated at an effective rate of 1.70%		2,514
Bonds payable converted to common shares and share
conversion entitlement certificates	(	5,116 )
Deferred tax assets	(	3)
Liability component as of December 31, 2024		$ 148,070

On December 28, 2022, the Company issued its 5th domestic unsecured convertible bonds for 3 thousand units with a total principal of NT$300,000 thousand at 100% of par value and a zero coupon rate for a term of 3 years. On the next day after 3 months following the issuance date of the bonds, the bondholders may request for the corporate bonds to be exchanged for the Company’s common stock. The original conversion price was NT$39.88 per share, and the conversion price was NT$38.07 on December 31, 2024. From 3 months to 40 days before the expiration of the issuance term, if the closing price of the Company’s common stock exceeds 30% of the prevailing conversion price for 30 consecutive business day or if the outstanding balance of the bonds is less than 10% of the original amount issued, the Company may redeem the outstanding bonds in cash at their face value. The date on which the bonds are issued for two years is the base date for early sale of the bonds. With 40 days of the base date for early sale of the bonds, the bondholders may request the Company to redeem the bonds held by them in cash at their face value. Except for the conversion into the Company’s common stock or early recovery of bonds as stated above, the Company repays the principal in cash at maturity in accordance with the face value of the bonds. As of December 31, 2024, the creditors holding NT$274,500 thousand of the bonds fully exercised their conversion rights. As of December 31, 2024, the creditors holding NT$5,300 thousand of the bonds applied for early redemption.

• 42 -

The Company’s 5th domestic unsecured convertible bonds consist of liability and equity components. The equity component is expressed as capital surplus - stock options under equity. The original effective interest rate recognized for the liability component was 2.48%.

component was 2.48%.
Issue price (less transaction costs of NT$5,000 thousand)		$ 295,000
Equity component (less transaction costs of NT$296
thousand allocated to equity and added back NT$59
thousand of income tax effects)	(	17,494 )
Deferred tax assets		1,000
Liability component at the issue date (less transaction
costs of NT$4,705 thousand allocated to liability and
added back NT$941 thousand of income tax effects)		278,506
Interest calculated at an effective rate of 2.48%		4,533
Bonds payable converted to common shares and share
conversion entitlement certificates	(	252,247 )
Deferred tax assets	(	713)
Liability components on December 31, 2023		30,079
Interest calculated at an effective rate of 2.48%		639
Bonds payable converted to common shares and share
conversion entitlement certificates	(	5,823 )
Redemption of corporate bonds	(	5,166 )
Deferred tax assets	(	18)
Liability component as of December 31, 2024		$ 19,711

The Company issued the sixth domestic unsecured convertible corporate bonds on November 27, 2024. The corporate bonds were publicly underwritten by the Company in the form of a competitive auction. The principal amount of the corporate bonds was NT$300,000 thousand. The actual issue price was 100% of the face value. The total amount raised was NT$301,280 thousand. The coupon rate was zero, and the issuance period was three years. On the next day after 3 months following the issuance date of the bonds, the bondholders may request for the corporate bonds to be exchanged for the Company’s common stock. The original conversion price was NT$38.80 per share, and the conversion price was NT$38.80 on December 31, 2024. From 3 months to 40 days before the expiration of the issuance term, if the closing price of the Company’s common stock exceeds 30% of the prevailing conversion price for 30 consecutive business day or if the outstanding balance of the bonds is less than 10% of the original amount issued, the Company may redeem the outstanding bonds in cash at their face value. The bondholders may ask the Company to redeem the bonds at the face value thereof in cash within thirty days prior to the record date of the base date of the resale of the bonds, which is the date when two years have elapsed since the date of issuance of

• 43 -

the bonds. Except for the conversion into the Company’s common stock or early recovery of bonds as stated above, the Company repays the principal in cash at maturity in accordance with the face value of the bonds.

The Company's sixth domestic unsecured convertible corporate bonds include both

liabilities and equity components. The equity components are expressed in terms of one share of capital reserve under equity. The original effective interest rate recognized for the liability component was 2.96%.

Issue price (less transaction costs of NT$2,000 thousand) $ 299,280 Equity component (less amortized to equity transaction cost NT$22,835 thousand) ( 22,835 ) Components of liabilities (excluding the transaction cost of NT$1,615 thousand amortized to the liabilities) on the date of issuance ( 1,615 )

Components of liabilities (less amortized to equity and liabilities transaction cost of NT$24,450 thousand) on the date of issuance 274,830 Interest calculated at an effective rate of 2.96% 781 Liability component as of December 31, 2024 $ 275,611

XVII. Accounts payable

December 31, 2024 December 31, 2023 Accounts payable $ 866,389 $ 715,779

The average credit period for the Company’s inventory purchased is 30 to 90 days. The Company has formulated a financial risk management policy to ensure that all accounts payable are repaid within the prearranged credit period.

XVIII. Other liabilities

ther liabilities
Current Other payables Payables for purchase on behalf of others Salary and bonus payable Freight payable Employee remuneration payable Bonus for unused u=vacation payable Equipment payment payable Director remuneration payable Others	December 31,2024 $ 112,973 65,343 22,793 15,869 8,168 4,229 3,174 34,568 $ 267,117	December 31,2023
			$ 101,610 59,401 10,419 16,676 7,598 50,331 3,335 6,942 $ 256,312

• 44 -

Other current liabilities Temporary collection Collection on behalf of others Collection in advance	December 31,2024 $ 26,827 1,594 - $ 28,421	December 31,2023	December 31,2023
			$ 1,131 1,514 1,700 $ 4,345

XIX. Post-employment benefits plan

(1) Defined allocation plan

The pension system under the “Labor Pension Act” adopted by the Company is a defined contribution retirement plan administered by the government that 6% of the monthly salary of employees is deposited to the special personal accounts of employees in the Bureau of Labor Insurance.

(2) Defined benefit plan

The pension plan adopted by the Company under the “Labor Standards Act” is a defined contribution plan administered by the government. The years of service rendered and the average salary of 6 months prior to the approved retirement date shall be the reference for calculation of the pension to be paid to the employee. The Company contributes 4% of the total salary of an employee as the labor pension fund each month and deposit the amount to the special account at the Bank of Taiwan in the name of the Labor Pension Fund Supervisory Committee. Before the end of each year, if the estimated balance in the account is inadequate to make a payment of pensions to the employees who meet the retirement conditions in the next year, the difference will be made up in one appropriation before the end of March the following year. The special account is managed by the Bureau of Labor Funds, Ministry of Labor and the Company does not have the right to influence the investment management strategies.

The amounts of the defined benefit plan included in the parent company only balance sheet are listed as follows:

balance sheet are listed as follows:
Present value of defined benefit obligation Fair value of plan assets Net defined benefit (assets)	December 31,2024 $ 8,826 ( 13,712) ($ 4,886)	December 31,2023
	( (	( (	$ 9,001 12,466) $ 3,465)

Changes in net defined benefit (assets) are as follows:

• 45 -

Balance on January 1, 2023 Interest expense (income) Recognized as income Remeasurement Return on plan assets (except for any amount included in net interest) Actuarial gain - experience adjustments Recognized in other comprehensive income Contribution by employer Balance as of December 31, 2023 Interest expense (income) Recognized as income Remeasurement Return on plan assets (except for any amount included in net interest) Actuarial gain - changes in financial assumptions - experience adjustments Recognized in other comprehensive income Contribution by employer Balance on December 31, 2024	Present value of defined benefit obligation $ 8,964 112 112 - ( 75) ( 75) - 9,001 113 113 - ( 227 ) ( 61) ( 288) - $ 8,826	Fair value of plan assets ($ 11,614) ( 145) ( 145) ( 103 ) - ( 103) ( 604) ( 12,466) ( 156) ( 156) ( 1,090 ) - - ( 1,090) - ($ 13,712)	Net defined benefit(assets) ($ 2,650) ( 33) ( 33) ( 103 ) ( 75) ( 178) ( 604) ( 3,465) ( 43) ( 43) ( 1,090 ) ( 227 ) ( 61) ( 1,378) - ($ 4,886)

The amounts of the defined benefit plan recognized in profit or loss are summarized by function as follows:

summarized by function as follows:
General and administrative expenses	(	2024 $ 43)		2023
			(	$ 33)

The Company is exposed to the following risks due to the pension system under the “Labor Standards Act”:

1. Investment risk: The pension funds are invested in domestic and foreign equity securities, debt securities, bank deposits, etc. The investment is conducted at the discretion of the Bureau of Labor Funds’ designated

2. 46 -

authorities or under the mandated management. However, the distributable amount of plan assets of the Company shall not be less than the return calculated by the average interest rate on a two-year time deposit published by the local banks.

1. Interest rate risk: A decrease in the interest rates of government bonds and corporate bonds leads to increase the present value of the defined benefit obligation, and the return on debt investment of the plan assets will be increased accordingly. The net defined benefit liabilities may be partially offset by both increases.

2. Salary risk: The present value of the defined benefit obligation is calculated with reference to the future salary of the plan participants. Therefore, the present value of the defined benefit obligation will be increased due to an increase in the plan participants’ salary.

The Company’s present value of the defined benefit obligation was calculated actuarially by a qualified actuary. The major assumptions on the date of measurement are as follows:

are as follows:
Discount rate Anticipated salary increase rate	December 31,2024 1.50% 2.00%	December 31,2023
		1.25% 2.00%

If there were any reasonably possible changes to the major actuarial assumptions separately, the resulting increase (decrease) in the present value of the defined benefit obligation in the situation where all the other assumptions remained the same is as follows:

the same is as follows:
Discount rate Increase by 0.25% Decrease by 0.25% Anticipated salary increase rate Increase by 1% Decrease by 1%	December 31,2024 ($ 219) $ 227 $ 941 ($ 847)	December 31,2023
	( (	( (	$ 275) $ 286 $ 1,189 $ 1,041)

Since the actuarial assumptions might be correlated to each other, and it was unlikely that the changes were only in a single assumption, the aforesaid sensitivity analysis might not reflect the actual changes in the present value of the defined benefit obligation.

• 47 -

Expected contribution within 1 year Average maturity of defined benefit obligations	December 31,2024 $ - 10.6 years	December 31,2023	December 31,2023
			$ - 12.3 years

XX. Equity

(1) Share capital

1. Common shares

Common shares
Authorized shares (in thousand shares) Authorized capital Issued and fully-paid shares (in thousand shares) Issued share capital	December 31,2024 150,000 $ 1,500,000 115,159 $ 1,151,590	December 31,2023
			150,000 $ 1,500,000 113,522 $ 1,135,217

The change in the Company's share capital is mainly due to the conversion of corporate bonds to common shares.

1. Bond conversion entitlement certificates

Bond conversion entitlement certificates
Number of shares converted from bond conversion entitlement certificates (in thousand shares) Bond conversion entitlement certificates for share capital	December 31,2023
		1,328 $ 13,280

(2) Capital surplus

pital surplus
Available for covering loss, distribution of cash dividends or transfer into capital(Note) Stock issuance in excess of par value Corporate bond conversion premium Treasury share transaction Only available to cover losses Dividends unclaimed by shareholders Others	December 31,2024 $ 868,805 643,494 660 99 47,768	December 31,2023
		$ 868,805 633,217 660 99 42,010

• 48 -

Not to be used for any purpose Stock options	32,924 $ 1,593,750	13,667 $ 1,558,458

Note: These capital reserves may be used to cover losses or to distribute cash dividends or be transferred into the capital if the Company does not incur a loss. However, the amount of the transfer into the capital shall be limited to a certain percentage of the paid-in capital in every year.

(3) Retained earnings and dividend policy

According to the earnings distribution policy stipulated in the Company’s Articles of Incorporation, net profit after tax of the Company after final accounts, if any, shall first cover the accumulated losses (including the adjustment of the amount of undistributed earnings). Pursuant to law, 10% of the net profit after tax shall be set aside as legal reserve, except for when the accumulated legal reserve has reached the Company’s total paid-in capital; followed by the allocation or reservation of special reserve pursuant to the law or regulations. The Board of Directors shall prepare a motion for earnings distribution for the remaining earnings coupled with the opening undistributed earnings (including the adjustment of the amount of undistributed earnings) to be submitted to the shareholders’ meeting for resolution on the distribution of dividends to shareholders. For the remuneration policy of employees and directors stipulated in the Company’s Articles of Incorporation, please refer to Note 22(7) Remuneration to employees and directors.

In addition, according to the Company’s Articles of Incorporation, the dividend policy is correspondent to the Company profitability, capital structure and future operational needs. Not less than 5% of distributable earnings will be paid to shareholders each year; however, earnings will not be distributed if the accumulated distributable earnings are lower than 20% of the Company’s paid-in capital. The payment principle of dividends to shareholders is subject to a balanced dividend policy of stock dividends and cash dividends, with the distribution ratio of cash dividends not less than 10% of the total dividends to be distributed to shareholders.

The legal reserve shall be appropriated until the balance reaches the Company’s total paid-in capital. The legal reserve may be used to cover losses. If the Company does not incur a loss, the part of the legal reserves that exceeds the total paid-in capital by 25% may be appropriated as capital or distributed by cash.

• 49 -

When appropriating special reserve for the net deduction of other equity accumulated in the previous period, the provision is only made for the undistributed earnings of the previous period.

An annual general meeting was held on May 21, 2024 and June 28, 2023. Earnings distribution motion for 2023 and 2022 passed by resolution is as follows:

Legal reserve Special reserve Cash dividends Cash dividends per share (NT$)		2023 $ 31,094 $ 48,941 $ 172,479 $ 1.50		2022
			(	$ 3,172 $ 34,216) $ 32,000 $ 0.28

The 2024 earnings distribution proposed by the Board of Directors on March 12, 2025 is as follows:

2025 is as follows:
Legal reserve Special reserve Cash dividends Cash dividends per share (NT$)		2024
	(	$ 27,246 $ 95,378) $ 145,391 $ 1.20 (Note)

Note: If subsequently the number of the outstanding shares is affected by factors such as any change in the Company's share capital increase in cash, repurchase of the Company's shares, and conversion of bond holders to undergo share conversion, etc., the shareholders' dividend ratio will change which results in a change in the shareholder dividend payout ratio, it is proposed that the Chairman be authorized by the annual general meeting to handle the related matters.

Earnings distribution for 2024 is pending resolution by the shareholders’ meeting on May 28, 2025.

XXI. Revenue

venue
Revenue from customer contracts Revenue from merchandise sales Service revenue		2024 $ 2,728,766 51,901 $ 2,780,667		2023
				$ 1,943,254 21,817 $ 1,965,071

(1) Contract balance

December 31, December 31, January 1, 2023

• 50 -

Accounts receivable (Note 9) Accounts receivable - Related parties (Note 29)		2024 $ 714,935 $ 229,905		2023 $ 340,703 $ 316,055
						$ 127,494 $ 112,842

(2) Details of revenue from customer contracts

2024

2024
Type of merchandise Revenue from merchandise sales 2023 Type of merchandise Revenue from merchandise sales	Vehicle lamp c o n t r o l l e r $ 2,673,140 Vehicle lamp c o n t r o l l e r $ 1,809,234	L E D c h ips $ 28,328 L E D c h ips $ 45,585	LED lighting f i x t u r e s $ 2,451 LED lighting f i x t u r e s $ 23,975	L E D c o mpo n e n t s $ 388 L E D c o mpo n e n t s $ 624	O t h e r $ 24,459 O t h e r $ 63,836	T o t a l
						$ 2,728,766 T o t a l
							$ 1,943,254

XXII. Net profit

• (I) Interest income

erest income
Bank deposits Other financial assets Financial assets measured at after-amortization cost		2024 $ 6,506 1,002 111 $ 7,619		2023
				$ 2,328 104 220 $ 2,652

• (2) Other income

her income
			2024			2023
Government subsidy revenue		$	3,102		$	-
Dividend income			847			1,176
Others			4,847			3,799
		$	8,796		$	4,975
her gains and losses
			2024			2023
Net foreign currency
conversion gain		$	52,636		$	831
Financial assets and liabilities
gain (loss)
Mandatory financial assets
measured at fair value
through income			6,292	(		845 )
Financial liabilities	(		694 )			-

• (3) Other gains and losses

• 51 -

possessed for
transaction
Losses from the disposal	of
property, plant	and
equipment		(	117 )	(	19 )
Loss on redemption of
corporate bonds		(	161 )	(	2,342 )
Others		(	17)	(	1)
			$ 57,939	($	2,376)

(4) Financial costs

ancial costs
Interest on bank loans Interest on short-term notes payable Interest on convertible corporate bonds Interest on lease liabilities Other interest expenses preciation and amortization Property, plant and equipment Right-of-use assets Intangible assets Summary of depreciation expenses by function Operating costs Operating expenses Summary of amortization expenses by function Operating costs Operating expenses ployee benefits expense Post-employment benefits Defined allocation plan Defined benefit plan (Note 19)		2024 $ 65,727 6,274 3,936 342 14 $ 76,293 2024 $ 74,541 9,271 2,017 $ 85,829 $ 78,535 5,277 $ 83,812 $ 647 1,370 $ 2,017 2024 $ 7,988 43) 7,945		2023
				$ 49,401 5,101 7,912 154 11 $ 62,579 2023
				$ 48,687 6,734 1,986 $ 57,407 $ 50,187 5,234 $ 55,421 $ 728 1,258 $ 1,986 2023
	(		(	$ 6,241 33) 6,208

(5) Depreciation and amortization

(6) Employee benefits expense

• 52 -

Share-based payment Settlement of interests (Note 25) Other employee benefit Total employee benefit expenses Summarized by function Operating costs Operating expenses	2,811 250,051 $ 260,807 $ 129,569 131,238 $ 260,807	- 206,166 $ 212,374 $ 96,088 116,286 $ 212,374

• (7) Employee remuneration and director’s remuneration

According to the Company’s Articles of Incorporation, the Company contributes 5% to 15% and no more than 3% of the profit before tax to employees and directors, respectively. The Company's estimated remuneration to employees and directors for 2024 and 2023 was resolved by the Board of Directors on March 12, 2025 and March 6, 2024, respectively, as follows:

Estimated ratio Remuneration to employees Remuneration to directors Amount Remuneration to employees Remuneration to directors	2024 5% 1% 2024 Cash $ 15,869 3,174	2023
		5% 1% 2023
		Cash
		$ 16,676 3,335

Where there is still a change in the amount after the publication date of the parent company only financial report, the change is treated as a change in accounting estimate and recorded in the following year.

There was no difference between the actual amounts of remuneration distributed to the employees and directors in 2023 and 2022 and the amounts recognized in the parent company only financial statements in 2023 and 2022.

For information regarding the Company’s remuneration to employees and directors resolved by the Board of Directors, please refer to the “Market Observation Post System" of the Taiwan Stock Exchange”.

• (8) Foreign currency exchange gains and losses

2024 2023

• 53 -

Total foreign currency exchange gain Total foreign exchange (loss) ( Net profit	$ 105,079 52,443) ( $ 52,636	$ 89,566 88,735) $ 831

XXIII. Income tax

(1) Income tax recognized in profit or loss

Major components of income tax expenses are as follows:

Major components of income tax expenses are as follows:
2024 Income Tax of the current period Generated this year $ - Deferred tax Generated this year 26,981 ( Income tax expense recognized in profit or loss $ 26,981 Reconciliation of accounting income to income tax expense is as		2023
		$ 24,629 21,926) $ 2,703 follows:

		2024		2023
Net income before tax	$	298,338	$	313,503
Calculation of income tax
expense on net income
before tax at statutory tax
rate	$	59,668	$	62,701
Expense and loss not
deductible from tax		21,722		10,726
Non-taxable income	(	1,643 )	(	141 )
Unrecognized loss
carryforwards		20,623		10,146
Loss carryforwards used during
the period		-	(	25,883 )
Deductible tax in Mainland
China used during the period		-		24,629
Effect of deferred tax on
subsidiary earnings	(	73,368 )	(	79,859 )
Others	(	21)		384
Income tax expense recognized
in profit or loss	$	26,981	$	2,703
(2) Income tax directly recognized in equity
		2024		2023
Deferred tax
Equity components of
convertible bonds	($	21)	($	174)

• 54 -

Income tax gains directly recognized in equity

( $ 174 )

( $ 21 )

• (3) Income tax recognized in other comprehensive income

Deferred tax Generated this year - Difference in exchange from the conversion of financial statements of overseas operating entities - Remeasurement of defined benefit programs Income tax (gains) expenses recognized in other comprehensive income come tax assets for the period Income tax assets for the period Tax refund receivable	2024 ( $ 23,844 ) ( 276) ( 24,120) ($ 24,120) December 31,2024 $ 13,289		2023
		$ 12,236 ( 36) 12,200 $ 12,200 December 31,2023
			$ 232

(4) Income tax assets for the period

(5) Deferred tax assets and liabilities

Changes in deferred tax assets and liabilities are as follows:

2024

2024
D e f e r r e d t a x a s s e t s		O p e n i n g b a l a n c e	R e c o g n i z e d a s i n c o m e	R e c o g n i z e d i n o t h e r c o m p r e h e n s i v e i n c o m e		R e c o g n i z e d d i r e c tl y i n equ ity		C l o s i n g b a l a n c e
		$ 1 4 , 7 5 4 4 2 , 6 1 5 5 , 8 7 1 6 3 , 2 4 0 2 3 , 6 6 0 $ 8 6 , 9 0 0	( $ 3 , 7 1 6 ) - ( 2 , 8 9 5) ( 6 , 6 1 1 ) ( 1 6 , 0 2 6) ($ 2 2 , 6 3 7)	$ - ( 2 3 , 8 4 4 ) - ( 2 3 , 8 4 4 ) - ($ 2 3 , 8 4 4)	$ - - ( 2 1) ( 2 1 ) - ($ 2 1)			$ 1 1 , 0 3 8 1 8 , 7 7 1 2 , 9 5 5 3 2 , 7 6 4 7 , 6 3 4 $ 4 0 , 3 9 8
Te m p o r a r y d i ffe r e n c e s Pr o v i s i o n f o r l o s s o n v a l u e d e c li n e o f i n v e n t o r y C u rr e n c y t ra n s l a ti o n d i ff e r e n c e Ot h e r s L o s s c a rr y f o r w a r d s

R e c o g n i z e d i n o t h e r R e c o g n i z e d O p e n i n g R e c o g n i z e d c o m p r e h e n s i d i r e c tl y i n C l o s i n g b a l a n c e a s i n c o m e v e i n c o m e e q u it y b a l a n c e D e f e r r e d t a x l i a b i l i t i e s

• 55 -

Te m p o r a r y d i ffe r e n c e s In v e s t m e n t b y e q u it y m e t h o d Ot h e r s 2023 Def er r e d t a x a s s et s		$ 6 , 7 6 $ 7 , 4 Opening balance	$ 6 , 7 6	0 7 $ 9 3 4 0 0 $ 4 Recognized as income	$ 4	- $ , 3 4 4 , 3 4 4 $ Recognized in other comprehensi ve income	- $ , 3 4 4 , 3 4 4 $ Recognized in other comprehensi ve income	$	- $ 2 7 6 2 7 6 $ Recognized directly in equity $ - - ( 174) ( 174 ) - ($ 174) $ - - $ -	$		- - - Other	$	6 , 7 0 7 5 , 3 1 3 1 2 , 0 2 0 Closing balance
			$ 7 , 4		$ 4			$		$			$
		$ 14,701 30,379 4,551 49,631 59,920 $ 109,551 $ 55,965 7,344 $ 63,309		$ 53 - 2,188 2,241 ( 36,260) ($ 34,019) ( $ 49,258 ) ( 6,687) ($ 55,945)			$ - 12,236 - 12,236 - $ 12,236 $ - 36 $ 36				$ - - ( 694) ( 694 ) - ($ 694) $ - - $ -			$ 14,754 42,615 5,871 63,240 23,660 $ 86,900 $ 6,707 693 $ 7,400
Temporary differences Provision for loss on value decline of inventory Currency translation difference Others Loss carryforwards Deferred tax liabilities
Temporary differences Investment by equity method Others

• (6) Unused loss carryforwards for deferred tax assets not recognized in the parent company only balance sheet

only balance sheet
Loss carryforwards Expired in 2028 Expired in 2029 Expired in 2030 Expired in 2031 Expired in 2032 Expired in 2034	December 31,2024 21,362 82,384 127,729 97,537 102,880 22,984 $ 454,876	December 31,2023
			- 54,277 122,396 97,121 103,421 - $ 377,215

(7) Information on unused loss carryforwards

As of December 31, 2024, information on unused loss carryforwards is as follows:

Balance not yet deducted $ 21,362 86,908 135,941 108,395 117,456 22,984	Final credityear
	2028 2029 2030 2031 2032 2034

• 56 -

$ 493,046

• (8) Total amount of temporary differences related to investments and deferred tax liabilities not recognized

As of December 31, 2024 and 2023, taxable temporary differences related to investments in subsidiaries not recognized as deferred tax liabilities were NT$2,587,189 thousand and NT$2,220,350 thousand, respectively.

• (9) Authorized income tax

The profit-seeking enterprise income taxes of the Company up to 2022 were reported and approved by the tax authorities.

XXIV. Earnings per Share

Weighted-average number of common shares and earnings per share used for calculating earnings per share are as follows:

Net income for the current period

Net income for the current period
Earnings used for calculating basic earnings per share Effect of potentially dilutive common shares Interest on convertible corporate bonds after tax Earnings used for calculating diluted earnings per share Number of Shares Unit: Thousand shares Weighted-average number of common shares and basic earnings per share used for calculating earnings per share Effect of potentially dilutive common shares Convertible bonds Remuneration to employees Weighted-average number of common shares and diluted earnings per share used for calculating earnings per share		2024 $ 271,357 3,934 $ 275,291 2024 115,103 11,747 537 127,387		2023
				$ 310,800 7,912 $ 318,712 2023
				109,721 8,125 323 118,169

When the Company selects to distribute remuneration to employees in stocks or

cash, it is assumed that the employee’s remuneration is paid with stocks when the

• 57 -

diluted EPS is calculated. The weighted average outstanding common stocks are added when the potential common shares have diluting capability to calculate the diluted EPS. The diluting capability of the potential common shares is referenced in the next year when the Board of Directors resolved to calculate the diluted EPS prior to payment of the employee’s remuneration with stocks.

XXV. Share-based payment agreement

On August 5, 2024, the Board of Directors resolved to issue new shares for capital increase in cash, and in accordance with the Company Act, 600,000 shares were reserved for subscription by employees, and the number and price of the shares to be subscribed by employees was confirmed in November 2024. If the employees under-subscribe or waive the subscription, the Chairman shall negotiate with specific persons to subscribe for the shares at the issuing price.

The Company granted 600 thousand shares of employee stock options in cash above. The Black-Scholes valuation model was used and inputs used in the valuation model are as follows:

model are as follows:
Stock price on grant date (NT$) Exercise price (NT$) Anticipated volatility Duration Expected dividend rate Risk-free interest rate	November 2024
	NTD 37.70 NTD 32 31.04% 0.15 years 0% 1.37%

The expected volatility rate is the expected fluctuation in the value of a stock in certain period in the future, taking into account the effect of dividend distribution on stock price changes in prior years.

The remuneration cost recognized in 2024 was NT$2,811 thousand.

XXVI. Information on Cash Flows

(1) Non-cash transactions

In addition to those disclosed in other notes, the Company entered into the following non-cash financing activities in 2024 and 2023:

1. Non-cash transactions of fund raising activities the Company conducted in 2024 and 2023 are as follows:

2. In 2024, the Company has converted the convertible corporate bonds with a total face value of NT$13,100 thousand into common share capital of NT$3,093 thousand at the request of the holders.

3. 58 -

4. In 2023, as requested by the bondholders, the Company converted the convertible bonds for a total par value of NT$333,900 thousand into common share capital and bond conversion entitlement certificates in the amount of NT$68,565 thousand and NT$13,280 thousand, respectively.

The Company is not subject to other external capital requirements.

• (2) Changes in liabilities from financing activities

2024

2024
Short-term borrowings Long-term borrowings (including those due within one year) Short-term notes payable Corporate bonds payable (including those due within one year) Lease liabilities Guarantee deposits received	January 1, 2024 $ 1,389,192 891,905 259,388 184,052 12,299 ( 850 $ 2,737,686	Cash flow $ 319,096 12,508 99,256 292,453 8,952 ) - $ 714,361	Interest expenses $ - - 6,274 3,936 342 - $ 10,552	Loss on redemption of	No	n-cash changes	Fair value adjustment $ - - - 1,615 ) - - $ 1,615)	New lease $ - - - - 48,104 - $ 48,104	v	Foreign currency aluation loss $ 1,664 - - - - - $ 1,664	Cash flows from operating	December 31,
					c ( (	Equity conversion omponents of convertible bonds $ - - - 35,595 ) ( - - $ 35,595) (
				corporate bonds $ - - - 161 - - $ 161
											activities $ - - ( 6,274 ) - ( 342 ) - ($ 6,616)	2024 $ 1,709,952 904,413 358,644 443,392 51,451 850 $ 3,468,702

2023

2023
Short-term borrowings Long-term borrowings (including those due within one year) Short-term notes payable Corporate bonds payable (including those due within one year) Lease liabilities Guarantee deposits received	January 1, 2023 $ 1,244,006 902,675 ( 269,244 ( 655,725 ( 5,123 ( - $ 3,076,773 (	Cash flow $ 144,956 10,770 ) 9,856 ) 164,500 ) 6,695 ) 850 $ 46,015)		Interest expenses r $ - - 5,101 7,912 154 - $ 13,167	Non-cash Loss on edemption of	Non-cash	changes Equity conversion components of convertible bonds $ - - - ( 317,427 ) - - ($ 317,427)	New (terminated) lease G $ - $ - - - 13,871 - $ 13,871 $	ains/losses on foreign currency valuation 230 - - - - 230	fr	Cash flows om operating activities $ - - 5,101 ) - 154 ) - $ 5,255)	December 31,
							c
					corporate bonds $ - - - 2,342 - - $ 2,342
										( ( (		2023 $ 1,389,192 891,905 259,388 184,052 12,299 850 $ 2,737,686

XXVII. Capital Risk Management

The Company’s capital management objectives are to ensure the Group’s sustained operation, maintain the optimal capital structure, reduce the cost of capital, and provide returns to shareholders. In order to maintain or adjust the capital structure, the Company may adjust the number of dividends paid to shareholders and issue new shares to reduce liabilities.

• 59 -

The capital structure of the Company is comprised of their net liabilities (e.g., loans and corporate bonds less cash) and shareholders’ equity (e.g., capital stock, capital surplus, retained earnings and other equity).

XXVIII. Financial Instruments

• (1) Fair value information - financial instruments not measured at fair value

In addition to the following, the management of the Company considers that the carrying amount of financial assets and financial liabilities not measured at fair value approximates their fair value.

December 31, 2024

December 31, 2024
Financial liabilities Financial liabilities measured at amortized cost - Convertible bonds	Book value					Fair value
				Level 1		Level 2		Level 3		Total
		$ 443,392		$ -		$ 443,821		$ -		$ 443,821

December 31, 2023

December 31, 2023
Financial liabilities Financial liabilities measured at amortized cost - Convertible bonds	Book value					Fair value
				Level 1		Level 2		Level 3		Total
		$ 184,052		$ -		$ 183,121		$ -		$ 183,121

The Level 2 fair value measurement was determined under cash flow discounting analysis using the income approach.

• (2) Fair value of financial instruments that are measured at fair value on a recurring basis

• Fair value hierarchy

December 31, 2024

F i	n a n c i a l a s s e t s at F V T P L n d b e n e fi c i a r y c e rtifi c a t e W S E ( T P E x ) -list e d st o c k s o n v e rt i b l e c o r p o r a t e b o n d r e d e m p t i o n o p t i o n ri g h t n a n c i a l lia b iliti e s m e a s u r e d at fa ir v a l u e t h r o u g h p r o fit o r l o s s o n v e rt i b l e c o r p o r a t e b o n d r e v e r s e r e p u r c h a s e o p t i o n ri g h t		L e v e l 1 $ 1 7 , 8 9 1 4 , 2 4 1 - $ 2 2 , 1 3 2 $ -		L e v e l 2 $ - - 9 0 $ 9 0 $ 2 , 4 6 0		L e v e l 3 $ - - - $ - $ -		To t a l
									$ 1 7 , 8 9 1 4 , 2 4 1 9 0 $ 2 2 , 2 2 2 $ 2 , 4 6 0
F u T C F i
C

• 60 -

December 31, 2023

December 31, 2023
F i n a n c i a l a s s e t s at F V T P L T W S E ( T P E x ) -list e d st o c k s F u n d b e n e fi c i a r y c e rtifi c a t e		L e v e l 1 $ 1 9 , 1 5 7 1 , 7 7 7 $ 2 0 , 9 3 4		L e v e l 2 $ - - $ -		L e v e l 3 $ - - $ -		To t a l
								$ 1 9 , 1 5 7 1 , 7 7 7 $ 2 0 , 9 3 4

There was no transfer of fair value measurements between Level 1 and Level 2 in 2024 and 2023.

1. Valuation techniques and inputs applied for the purpose of measuring Level 2 fair value

Class of financial instruments Evaluation technology and inputs Convertible corporate bond The fair value is measured with the two-year redemption and reverse bond evaluation model. The interest rate, repurchase option right yield curve, and volatility of the evaluation model are based on the market data obtained.

(3) Financial instrument category

nancial instrument category
Financial assets Measured at fair value through profit or loss Mandatory measurement through profit or loss at fair value Financial assets measured at after-amortization cost (Note 1) Financial liabilities Measured at fair value through profit or loss possessed for transaction Measured at amortized cost (Note 2)	December 31,2024 $ 22,222 2,358,058 2,460 4,602,385	December 31,2023
		$ 20,934 1,662,163 - 3,658,174

Note 1: The balance included cash and cash equivalent, financial assets measured at

after-amortization cost, accounts receivable (including related parties), other receivables (including related parties but excluding business tax), guarantee deposits paid and other financial assets - current and non-current financial assets measured at amortized cost.

• 61 -

Note 2: The balance includes short-term borrowings, short-term notes payable, accounts payable (including related parties), other payables (including related parties but excluding employee benefits and business tax), corporate bonds payable, long-term borrowings, guarantee deposits received, and other financial liabilities measured at amortized cost.

• (4) Financial risk management objectives and policies

The Company’s main financial instruments include investments in equity instruments, cash and cash equivalents, accounts receivable, accounts payable, corporate bonds payable, loans and lease liabilities. The Company’s financial management department provides services to each business unit and coordinates access to financial markets according to the level and breadth of risk in order to monitor and manage financial risks in relation to the Company’s operations. These risks include market risk (including exchange rate risk and interest rate risk), credit risk and liquidity risk.

1. Market risk

The major financial risks that the operating activities imposed on the Company is the foreign exchange rate risk (as described in (1) below) and interest rate risk (as described in (2) below).

• (i) Exchange rate risk

The Company engages in foreign currency-denominated sales and import transactions, exposing the Company to exchange rate fluctuations.

For the carrying amounts of the Group’s monetary assets and monetary liabilities denominated in non-functional currencies as of the balance sheet date, please refer to Note 32.

Sensitivity analysis

The Company is primarily affected by exchange rate fluctuations in the USD and RMB.

The following table consist of details of an analysis of the Company’s sensitivity when the exchange rate of New Taiwan dollar (functional currency) increases and decreases by 1%. This 1% is the sensitivity ratio used by the Company when reporting the exchange rate risk to key management. It also indicates the assessment of management of the reasonably possible range of changes in foreign currency exchange rates. The sensitivity analysis includes only foreign currency monetary

• 62 -

items in circulation and 1% of their year-end translation is adjusted in exchange rates. The amounts in the following table represent the increase (decrease) in net income before tax when NTD depreciates by 1% against each relevant currency; when NTD appreciates by 1% against each relevant currency, the effect on the income before tax is represented with a negative number of the same amount.

E f f e c t o f U S D E f f e c t o f R M B E f f e c t o f E u r o 2024 2023 2024 2023 2024 2023[ ($ 6,162)(Note ] ($ 5,744)(Note Profit or loss 1) 1) ($ 1,120)(Note 2) ($ 368)(Note 2) ($ 248)(Note 3) ($ 457)(Note 3)

• Note 1: The profit or loss was mainly generated from the Company’s USD-denominated bank deposits, receivables, short-term loans and payables which were outstanding on the balance sheet date and were not hedged against the cash-flow risk.

• Note 2: The profit or loss was mainly generated from the Company’s RMB-denominated bank deposits, receivables, and payables which were outstanding on the balance sheet date and were not hedged against the cash-flow risk.

• Note 3: The profit or loss was mainly generated from the Company’s Euro-denominated receivables, and payables which were outstanding on the balance sheet date and were not hedged against the cash-flow risk.

The Company's sensitivity to the USD exchange rate increased in the current year was mainly due to the increase in sales denominated in USD, resulting in an increase in bank deposits and receivables denominated in USD. The increase in sensitivity to RMB in the current year was due to the increase in sales denominated in RMB, resulting in an increase in receivables denominated in RMB. The decrease in sensitivity to Euro in the current year was due to the decrease in sales denominated in Euro, resulting in a decrease in receivables denominated in Euro.

(ii) Interest rate risk

The interest rate risk exposure occurs as the Company borrows funds at the floating rates at the same time. The Company pays attention to changes in market interest rates to manage interest rate risk.

• 63 -

The carrying amounts of the Company’s financial assets and financial liabilities exposed to interest rate risk as of the balance sheet date are as follows:

date are as follows:
With fair value interest rate risk - Financial assets - Financial liabilities With cash flow interest rate risk - Financial assets - Financial liabilities	December 31,2024 $ 497,654 2,487,361 614,632 980,491	December 31,2023
		$ 172,494 1,767,487 412,554 969,349

Sensitivity analysis

The following sensitivity analysis is based on the interest rate risk exposure of the non-derivative instruments on the balance sheet date. As for the liabilities at floating interest rate, the analysis is made with the assumption that the outstanding liability amount on the balance sheet date is completely in circulation during the reporting period. The variable interest rate used by the Company when reporting the interest rate to the key management is the interest rate plus or minus 1%. It also indicates the assessment of management on the reasonable potential fluctuation of the interest rate.

If the interest rate increased/decreased by 1%, with all other variables held constant, the net income before tax of the Company in 2024 and 2023 would decrease by NT$3,659 thousand and NT$5,568 thousand, respectively.

The Company’s sensitivity to interest rates decreased in the year was mainly due to the increase in variable-rate for the bank loans.

2. Credit risk

Credit risk refers to the risk of financial loss of the Company resulting from the counterparty’s default on contractual obligations. As of the balance sheet date, the Company’s maximum exposure to the credit risk of financial loss due to the failure of counter-parties’ obligation performance and financial guarantee provided by the Company was mainly due to the carrying amount of financial assets recognized in the parent company only balance sheet.

1. Liquidity risk

2. 64 -

The Company manages and maintains sufficient cash and cash equivalents to support the Company’s business operation and reduce the effect of the fluctuating cash flow. Management of the Company monitors the use of financing facility and ensures compliance with the terms of the loan contract.

For the Company, bank loans are one of the important sources of liquidity. For the Company unused financing facilities, please refer to the description of (ii) Financing Facilities below.

(i) Liquidity and interest rate risks of non-derivative financial liabilities

The remaining contractual maturity analysis of the non-derivative financial liabilities is compiled based on the earliest repayment date required to the Company and the non-discounted cash flow of the financial liabilities (including the principal and estimated interest). Hence, the bank loan which the Company may be requested to repay immediately is listed in the earliest period on the table without consideration of the possibility of the bank exercising this right immediately; the maturity analysis of other non-derivative financial liabilities is compiled based on the agreed repayment date.

For the interest cash flow paid at floating interest rates, the undiscounted interest amount is inferred based on the yield curve on the balance sheet date.

December 31, 2024

	Required immediate repayment or less than 1 month		1~3 months		3~6 months		6 months~1 year		1~2years		More than 2 years
	$ 319,115 998 43,039 539,573 $ 902,725		$ 537,513 1,996 59,173 539,126 $ 1,137,808		$ 140,754 2,839 70,011 926,817 $ 1,140,421		$ 3,160 4,049 65,467 169,453 $ 242,129		$ - 5,668 152,881 - $ 158,549		$ - 42,221 743,265 300,000 $ 1,085,486

More information on the maturity analysis of the above financial

liabilities is as follows:

Lease liabilities Floating-rate instruments Fixed-rate instruments		Less than 1 year $ 9,882 237,690 2,174,969 $ 2,422,541		1~5years $ 21,961 440,459 300,000 $ 762,420		5~10years $ 25,928 214,478 - $ 240,406		10~15years $ - 195,357 - $ 195,357		15~20years
										$ - 45,852 - $ 45,852

• 65 -

December 31, 2023

r	Required immediate epayment or less than 1 month		1~3 months		3~6 months		6 months~1 year		1~2years		More than 2 years
	$ 207,044 740 15,118 292,033 $ 514,935		$ 433,685 1,481 62,682 387,513 $ 885,361		$ 103,115 2,224 78,560 902,229 $ 1,086,128		$ 52 3,775 77,773 4,153 $ 85,753		$ - 3,951 133,423 - $ 137,374		$ - 274 766,067 185,200 $ 951,541

More information on the maturity analysis of the above financial liabilities is as follows:

Lease liabilities Floating-rate instruments Fixed-rate instruments		Less than 1 year $ 8,220 234,133 1,585,928 $ 1,828,281		1~5years $ 4,225 402,875 185,200 $ 592,300		5~10years $ - 215,526 - $ 215,526		10~15years $ - 197,835 - $ 197,835		15~20years
										$ - 83,254 - $ 83,254

• (ii) Financing facilities

Financing facilities
Unsecured bank overdraft －Amount used － Amount unused Secured bank loan amount －Amount used － Amount unused	December 31,2024 $ 1,369,719 816,965 $ 2,186,684 $ 1,244,646 521,612 $ 1,766,258	December 31,2023
			$ 896,446 480,606 $ 1,377,052 $ 1,384,651 221,108 $ 1,605,759

XXIX. Related-party transactions

The transactions between the Company and other related parties, excluding those disclosed in other notes, are as follows:

• (1) Names of related parties and relationships

ames of related parties and relationships
Related PartyName Windlux International Co., Ltd.	Relationship with the Company
	Subsidiary

• 66 -

LasterTech Automotive (Shanghai) Co., Ltd. (Laster Subsidiary Shanghai)

Li San (Shanghai) International Trade Ltd. (Li San Subsidiary Shanghai)

LasterTech Electronics (Dongguan) Co., Ltd. (Laster Subsidiary Dongguan) Laster Tech (Thailand) Co., Ltd. (Laster Tech Subsidiary Thailand)

(2) Operating revenue

perating revenue
Accountingitems Sales revenue Service revenue	Related party category/name Subsidiary Laster Shanghai Others Subsidiary Others		2024 $ 219,416 22,342 $ 241,758 $ 49,958		2023
					$ 337,148 64,024 $ 401,172 $ 21,817

The Company's selling prices to related parties are negotiated based on product types with reference to market prices and other factors, and the collection conditions are equivalent to non-related parties.

The price of the Company's services to related parties is negotiated based on the cost plus a fixed gross margin, and the collection conditions are equivalent to non-related parties.

(3) Purchases

rchases
Relatedpartycategory/name Subsidiary Laster Shanghai Li San Shanghai Laster Dongguan		2024 $ 104,259 19,036 2,362 $ 125,657		2023
				$ 146,206 193,693 15,848 $ 355,747

The Company's purchasing from related parties are negotiated based on product types with reference to market prices and other factors, and the payment conditions are equivalent to non-related parties.

(4) Accounts receivable from related parties (excluding loans to related parties)

Accountingitems Accounts receivable - Related parties	Related party category/name Subsidiary Laster Shanghai	December 31, 2024 $ 228,497	December 31, 2023
			$ 295,884

• 67 -

Others Other receivables - related parties Subsidiary Laster Shanghai Others	1,408 $ 229,905 $ 272,647 6,162 $ 278,809	20,171 $ 316,055 $ 305,336 5,410 $ 310,746

No guarantee was received from related parties for outstanding receivables. No allowance for losses were provided for receivables from related parties in 2024 and 2023.

The above-mentioned other receivables due from related parties refer to the payments made by the Company on behalf of its subsidiaries for purchases.

(5) Accounts payables from related parties

Accountingitems Accounts payable - Related parties Other payables - related parties	Related party category/name Subsidiary Laster Shanghai Li San Shanghai Others Subsidiary Windlux International Co., Ltd. Others	December 31, 2024 $ 103,715 743 645 $ 105,103 $ 32,761 6,318 $ 39,079	December 31, 2023	December 31, 2023
				$ 8,026 5,763 994 $ 14,783 $ 30,999 1,924 $ 32,923

No guarantee was received from related parties for outstanding accounts payables.

(6) Prepayments

epayments
Relatedpartycategory/name Subsidiary Laster Tech Thailand	December 31,2023
		$ 22,302

• (7) Property, plant and equipment acquired

operty, plant and equipment acquired
Relatedpartycategory/name Subsidiary Laster Shanghai		Acquisition consideration
		2024 $ 8,680		2023
				$ 9,078

• 68 -

(8) Loaning of funds to related parties

aning of funds to related parties
Relatedpartycategory/name Subsidiary Laster Shanghai Laster Tech Thailand	December 31,2023
		$ 51,297 23,007 $ 74,304

The loans to related parties mentioned above were all reclassified to accounts receivable over the three-month period normal credit period, and no interest was accrued.

• (9) Endorsements and guarantees

Provision of endorsements/guarantees to others

Relatedpartycategory/name Subsidiary Laster Shanghai Guaranteed amount Transaction Amounts Laster Dongguan Guaranteed amount Transaction Amounts Windlux International Co., Ltd. Guaranteed amount Transaction Amounts	December 31,2024 $ 179,120 - 44,780 - - -	December 31,2023
		$ 86,540 62,664 - - 12,000 -

(10) Other related party transactions

Accountingitems Service expenses Other expenses	R e l a t e d p a r t y c a t ego ry/ n a m e Subsidiary Windlux International Co., Ltd. Subsidiary Laster Tech Thailand		2024 $ 239 $ 65,435		2023
					$ 3,482 $ 21,518

• (11) Remuneration to key management

muneration to key management
Short-term employee benefits Post-employment benefits		2024 $ 17,213 108 $ 17,321		2023
				$ 10,517 108 $ 10,625

• 69 -

Remuneration to directors and other key management is determined by the Remuneration Committee based on individual performance and market trends.

XXX. Pledged Assets

The following assets were provided as collateral for financing loans and goods

received from the customs:

received from the customs:
Land and buildings Cash reserve and pledge time deposits (accounted for as other financial assets - current and non-current)	December 31,2024 $ 754,376 63,084 $ 817,460	December 31,2023
			$ 759,796 42,581 $ 802,377

XXXI. Significant Subsequent Events

The Company's Board of Directors resolved on August 9, 2024 for cash capital increase with issuance of 6,000 thousand new shares at a par value of NT$10 per share, and the issue price of NT$32 per share. The total amount of the paid-in capital was NT$192,000 thousand, which was fully received on January 16, 2025, the record date of the cash capital increase.

XXXII. Information on foreign currency assets and liabilities with significant effect

The following information is summarized and stated based on the foreign currencies other than the functional currency of the Company’s individual entities. The disclosed exchange rate represents the exchange rate of such foreign currency to the functional currency. Foreign currency assets and liabilities with significant effect are as follows:

December 31, 2024

Foreign currency assets Monetary items USD RMB Euro Non-monetary items Subsidiaries by equity method RMB	Foreign currency $ 62,881 39,162 950 840,944	Exchange rate 32.79 (USD : NTD) 4.478 (RMB : NTD) 34.14 (EUR : NTD) 4.478 (RMB : NTD)	Book value
			$ 2,061,554 175,367 32,433 3,765,745

• 70 -

Foreign currency l i a b i l i t i e s Monetary items USD 44,086 RMB 14,159 Euro 225 December 31, 2023 Foreign currency Foreign currency assets Monetary items USD $ 51,332 Euro 1,604 RMB 9,615 Non-monetary items Subsidiaries by equity method RMB 755,742 Foreign currency l i a b i l i t i e s Monetary items USD 32,627 Euro 260 RMB 1,119	32.79 (USD : NTD) 4.478 (RMB : NTD) 34.14 (EUR : NTD) Exchange rate 30.71 (USD : NTD) 33.98 (EUR : NTD) 4.327 (RMB : NTD) 4.327 (RMB : NTD) 30.71 (USD : NTD) 33.98 (EUR : NTD) 4.327 (RMB : NTD)	1,445,360 63,404 7,682 Book value
Foreign currency assets Monetary items USD Euro RMB Non-monetary items Subsidiaries by equity method RMB Foreign currency l i a b i l i t i e s Monetary items USD Euro RMB
		$ 1,576,149 54,504 41,604 3,272,363 1,001,975 8,835 4,842

The Company's foreign currency conversion gains (realized and unrealized) were NT$$52,636 thousand and NT$831 thousand in 2024 and 2023, respectively. Due to a wide variety of transactions in foreign currencies, the Company is unable to disclose the conversion gain or loss based on each foreign currency of material impact.

XXXIII. Additional disclosures

• (1) Significant transactions information:

• Loaning of funds to others: Table 1.

• Provision of endorsements/guarantees to others: Table 2.

• Marketable securities held at end of period (excluding the equity of investment in subsidiaries): Table 3.

• Marketable securities acquired and disposed of at costs or prices of at least NT$300 million or 20%of the paid-in capital: None

• 71 -

• Acquisitions of individual real estate at costs of at least NT$300 million or 20% of the paid-in capital: None

• Disposals of individual real estate at prices of at least NT$300 million or 20% of the paid-in capital: None

• Purchase or sale of goods with related parties is at least NT$100 million or 20% of the paid-in capital: Table 4.

• Receivables from related parties is at least NT$100 million or 20% of the paid-in capital: Table 5.

• ix. Trading in derivative instruments: None

• (2) Information related to the investment business (excluding investee companies in Mainland China): Table 6.

• (3) Information on Investments in Mainland China:

• Information on any investee companies in mainland China, showing the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, current income or loss and investment income or loss recognized, carrying amount of the investment at the end of the period, repatriations of investment income, and limit on the amount of investment in the mainland China area: Table 7.

• Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses: Table 8.

• (4) Information on major shareholders: List of all shareholders with ownership of 5 percent or greater showing the names and the number of shares and percentage of ownership held by each shareholder: Table 9.

• 72 -

Laster Tech Co., Ltd.

Loans of funds to others

2024

Table 1

Units: NT$ thousands, unless otherwise specified

No. (Note 1)	Loan extending company	Borrower	Dealing items	Whethe r a related party	Maximum balance for the period	Ending balance	Transaction Amounts	Interest Rate	Loan nature (Note 2)	Business transaction amounts (Notes 4and 5)	Reason for short-term financing	Appropriation of allowance for loss	Collateral	Collateral	Loans limits for individual entities	Total loan limit	Rem ark
													Name	Value
0 0 1 2 2	Laster Tech Co., Ltd. Laster Tech Co., Ltd. LasterTech Electronics (Dongguan) Co., Ltd. LasterTech Electronics (Shenzhen) Co., Ltd. Li San (Shanghai) International Trade Ltd.	LasterTech Automotive (Shanghai) Co., Ltd. Laster Tech (Thailand) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd.	Other receivables - related parties Other receivables - related parties Other receivables - related parties Other receivables - related parties Other receivables - related parties	Yes Yes Yes Yes Yes	118,884 23,007 269,400 68,175 36,272	$ 118,884 - 89,560 67,170 33,585	$ - - 89,560 - -	- - 3.00%~3. 50% 3.50% 3.00%	(1) (1) (2) (2) (2)	$ 531,417 2,451 - - -	Operational turnover Operational turnover Operational turnover Operational turnover Operational turnover	$ - - - - -	－ － － － －	$ - - - - -	$ 531,417 (Note 3) 2,451 (Note 4) 951,815 (Note 6) 180,104 (Note 8) 35,748 (Note 10)	$ 1,406,754 (Note 5) 1,406,754 (Note 5) 951,815 (Note 7) 180,104 (Note 9) 35,748 (Note 11)	－ － － －

Note 1: The explanation of the number column is as follows:

• (i) Fill in 0 for the issuer.

• (ii) Investee companies are numbered in sequence in each company type starting numerically from 1.

• Note 2: The nature of loaning of funds is completed in the following manner:

• (i) Fill in “1” for a company which the Company has business dealings with.

• (ii) Fill in “2” for a company with necessary need of short-term financing

• Note 3: Loaning of funds for business dealings is subject to an aggregated amount of NT$531,417 thousand, which is the business dealings between the two parties during the 12-month period before the loan. A loan shall not exceed the total aggregate loan amount of NT$1,406,754 thousand (Note 6) of Laster Tech Co., Ltd. Therefore, the limit is NT$531,417 thousand.

• Note 4: Loaning of funds for business dealings is subject to an aggregated amount of NT$2,451 thousand, which is the business dealings between the two parties during the 12-month period before the loan. A loan shall not exceed the total aggregate loan amount of NT$1,406,754 thousand (Note 6) of Laster Tech Co., Ltd. Therefore, the limit is NT$2,451 thousand.

• Note 5: The aggregate limit is 40% of the net value of the latest financial statements of Laster Tech Co., Ltd. audited or reviewed. After calculation, the limit was NT$1,406,754 thousand (net value of NT$3,516,887 thousand on December 31, 2024 x 40%).

• Note 6: The amount of a loan to a single company by Laster Tech Electronics (Dongguan) Co., Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 50% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Laster Tech Electronics (Dongguan) Co., Ltd. After calculation, the limit was NT$951,815 thousand (net value of NT$951,815 thousand on December 31, 2024 x 100%).

• Note 7: The aggregate amount of a loan by Laster Tech Electronics (Dongguan) Co., Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 50% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Laster Tech Electronics (Dongguan) Co., Ltd. After calculation, the limit was NT$951,815 thousand (net value of NT$951,815 thousand on December 31, 2024 x 100%).

• Note 8: The amount of a loan to a single company by Laster Tech Electronics (Shenzhen) Co., Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 50% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Laster Tech Electronics (Shenzhen) Co., Ltd. After calculation, the limit was NT$180,104 thousand (net value of NT$180,104 thousand on December 31, 2024 x 100%).

• Note 9: The aggregate amount of a loan by Laster Tech Electronics (Shenzhen) Co., Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 50% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Laster Tech Electronics (Shenzhen) Co., Ltd. After calculation, the limit was NT$180,104 thousand (net value of NT$180,104 thousand on December 31, 2024 x 100%).

• Note 10: The amount of a loan to a single company by Li San (Shanghai) International Trade Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 100% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Li San (Shanghai) International Trade Ltd. After calculation, the limit was NT$35,748 thousand (net value of NT$35,748 thousand at December 31, 2024 x 100%).

• 73 -

• Note 11: The aggregate amount of a loan by Li San (Shanghai) International Trade Ltd. and its parent company Laster Tech Co., Ltd. to companies in which they directly or indirectly hold 100% of their shares is subject to 100% of the net value of the most recent financial statements of the loaner Li San (Shanghai) International Trade Ltd. After calculation, the limit was NT$35,748 thousand (net value of NT$35,748 thousand at December 31, 2024 x 100%).

• 74 -

Units: NT$ thousands, unless otherwise specified

Laster Tech Co., Ltd.

Provision of endorsements/guarantees to others

2024

Table 2

No. (Note 1)	Name of company of the endorsement/guarantee	Guaranteed Party	Guaranteed Party	Endorsement/gua rantee limit for a single enterprise	Maximum endorsement/gua rantee balance of the period	Endorsement/gua rantee balance of the period	Transaction Amounts	Amount of endorsement/gua rantee backed by assets	Ratio of the cumulative endorsement/gua rantee amount to the net value in the latest financial report	Endorsement/gua rantee limit	Endorsem ent/guaran tee from the parent company to subsidiary (Note 9)	Endorsem ent/guaran tee from subsidiary to parent company (Note 9)	Endorsem ent/guaran tee to entities in the Mainland China (Note 9)	Remark
		Company name	Relationship (Note 2)
0 0 0 1 2	Laster Tech Co., Ltd. Laster Tech Co., Ltd. Laster Tech Co., Ltd. LasterTech Electronics (Dongguan) Co., Ltd. LasterTech Electronics (Shanghai)Co.,Ltd.	LasterTech Automotive (Shanghai) Co., Ltd. Windlux International Co., Ltd. LasterTech Electronics (Dongguan) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Dongguan) Co.,Ltd.	(2) (2) (2) (4) (4)	$ 1,758,443 (Note 3) 1,758,443 (Note 3) 1,758,443 (Note 3) 951,815 (Note 5) 2,533,662 (Note 7)	$ 179,480 12,000 45,450 807,660 90,900	$ 179,120 - 44,780 806,040 89,560	$ - - - 276,644 -	$ - - - - -	5.09% - 1.27% 84.68% 3.53%	$ 1,758,443 (Note 4) 1,758,443 (Note 4) 1,758,443 (Note 4) 951,815 (Note 6) 2,533,662 (Note 8)	Y Y Y N N	N N N N N	Y N Y Y Y	－ － － － －

Note 1: The explanation of the number column is as follows:

• (i) Fill in 0 for the issuer.

• (ii) Investee companies are numbered in sequence in each company type starting numerically from 1.

• Note 2: The party who the Company makes endorsement/guarantee to is subject to the following types:

• (i) A company with business relations.

• (ii) A company with more than 50% of its voting shares is directly and indirectly held by the company.

• (iii) A company directly or indirectly holding more than 50% of the voting shares of the company.

• (iv) A company with more than 90% of its voting shares is directly or indirectly held by the company.

• (v) A company with mutual guarantees in accordance with the contract which is in the same industry or a joint constructor to contract the project.

• (vi) A company that has been endorsed/guaranteed by all the contributing shareholders in accordance with their shareholding ratios due to a joint investment relationship.

• (vii) Operators in the same industry engage in the sales contract of pre-sale house with performance joint and several guarantee according to the provisions of the Consumer Protection Act.

• Note 3: The amount limit of endorsement/guarantee between Laster Tech Co., Ltd. and a company in which it directly and indirectly owns 50% or more of its voting shares is subject to 50% of the net value of the latest financial statements of Laster Tech Co., Ltd. audited or reviewed. After calculation, the limit was NT$1,758,443 thousand (net value 3 of NT$3,516,887 thousand on December 31, 2024 x 50%).

• Note 4: The maximum limit is 50% of the net value of the latest financial statements of Laster Tech Co., Ltd. audited or reviewed. After calculation, the limit was NT$1,758,443 thousand (net value of NT$3,516,887 thousand on December 31, 2024 x 50%).

• Note 5: The amount limit of endorsement/guarantee between Laster Tech Electronics (Dongguan) Co., Ltd. and a company in which it directly and indirectly owns 100% of its voting shares is subject to 100% of the net value of the latest financial statements of Laster Tech Co., Ltd. audited or reviewed. After calculation, the limit was NT$951,815 thousand (net value of NT$951,815 thousand on December 31, 2024 x 100%).

• Note 6: The maximum limit is 100% of the net value of the latest financial statements of Laster Tech Electronics (Dongguan) Co., Ltd. audited or reviewed. After calculation, the limit was NT$951.81 thousand (net value of NT$951,815 thousand at December 31, 2024 x 100%).

• Note 7: The amount limit of endorsement/guarantee between Laster Tech Electronics (Shanghai) Co., Ltd. and a company in which it directly and indirectly owns 100% of its voting shares is subject to 100% of the net value of the latest financial statements of Laster Tech Co., Ltd. audited or reviewed. After calculation, the limit was NT$2,533,662 thousand (net value of NT$2,533,662 thousand on December 31, 2024 x 100%).

• Note 8: The maximum limit is 100% of the net value of the latest financial statements of Laster Tech Electronics (Shanghai) Co., Ltd. audited or reviewed. After calculation, the limit was NT$2,533,662 thousand (net value of NT$2,533,662 thousand on December 31, 2024 x 100%).

Note 9: Y is required only for an endorsement/guarantee of a listed parent company to a subsidiary, an endorsement/guarantee of a subsidiary to a listed parent company, and an endorsement/guarantee to entities in Mainland China.

• 75 -

Laster Tech Co., Ltd.

Statement of Securities Held at the End of the Period

December 31, 2024

Table 3

Units: NT$ thousands, unless otherwise specified

Holding Company Name	Name and type of marketable securities	Relationship with the Holding Company	Financial report Account		Period end	Period end		Remark
				Number of shares/units	Book value	Shareholdin gratio(%)	Fair value
Laster Tech Co., Ltd. Laster Tech Co., Ltd.	Stocks China Steel Corporation Longchen Paper AUO Corporation Shin Kong Financial China Airlines Ltd. Funds Allianz Income and Growth - Allianz Income and Growth BMg7 (USD) Yuanta Global Aeronautics and Defense Technology ETF Fund	－ － － － － － －	Financial assets at FVTPL - Current Financial assets at FVTPL - Current Financial assets at FVTPL - Current Financial assets at FVTPL - Current Financial assets at FVTPL - Current Financial assets at FVTPL - Current Financial assets at FVTPL - Current	100,000 50,000 80,000 934 20,000 12,302 1,000,000	$ 1,965 580 1,172 11 513 3,341 14,550	- - - - - - -	$ 1,965 580 1,172 11 513 3,341 14,550	－ － － － － －

• 76 -

Laster Tech Co., Ltd.

Purchase or sale of goods with related parties is at least NT$100 million or 20% of the paid-in capital

2024

Table 4

Units: NT$ thousands, unless otherwise specified

Buyer/Seller	Name of counterparty	Relationship		Transaction Details	Transaction Details		Differences in transaction terms from those of general transactions andreasons	Differences in transaction terms from those of general transactions andreasons	Note/Accounts Receivable (Payable)	Note/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Percentage of total purchase (sale)	Credit period	Unit Price	Credit period	Balance	Percentage over total notes and accounts receivable (payable)
Laster Tech Co., Ltd. Laster Tech Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd.	LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. Laster Tech Co., Ltd. Laster Tech Co., Ltd. Chongqing Varroc TYC Auto Lamps Co., Ltd. Varroc TYC Auto Lamps Co., Ltd.	Sub-subsidiary Sub-subsidiary Ultimate parent company Ultimate parent company Substantive related party Substantive related party	Sales Purchases Sales Purchases Sales Sales	( $ 219,416 ) 104,259 ( 104,259 ) 219,416 ( 277,324 ) ( 248,403 )	( 7.90% ) 4.43% ( 1.74% ) 1.15% ( 4.31% ) ( 3.86% )	Receipt of funds according to their capital status Payment depending on availability of funds Receipt of funds according to their capital status Payment depending on availability of funds Receipt of funds according to their capital status Receipt of funds according to their capital status	$ - - - - - -	Note Note Note Note Note Note	$ 228,497 ( 103,715 ) 103,715 ( 228,497 ) 203,272 130,198	24.18% ( 10.68% ) 3.52% ( 10.82% ) 6.90% 4.42%	－ － － － － －

Note: More flexible collection terms are adopted in consideration of the overall cost and capital deployment.

• 77 -

Laster Tech Co., Ltd.

Statement of Receivables From Related Parties Is at Least NT$100 Million or 20% Of the Paid-in Capital

December 31, 2024

Table 5

Units: NT$ thousands, unless otherwise specified

Company Name	Name of counterparty	Relationship	Balance of accounts receivable from related parties	Turnover Rate		Overdue	Overdue	Accounts receivable from related parties recovered after the period (Note)	Accounts receivable from related parties recovered after the period (Note)	Appropriation of allowance for loss	Appropriation of allowance for loss	Remark
						Amount	Actions Taken
Laster Tech Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Automotive (Shanghai) Co., Ltd. LasterTech Electronics (Dongguan) Co., Ltd.	LasterTech Automotive (Shanghai) Co., Ltd. Chongqing Varroc TYC Auto Lamps Co., Ltd. Ltd. Varroc TYC Auto Lamps Co., Ltd. Ltd. LasterTech Automotive (Shanghai) Co.,	Sub-subsidiary Substantive related party Substantive related party Sister company	Accounts receivable $ 228,497 Other receivables272,647 $ 501,144 Notes receivable and receivable accounts $ 203,272 Notes receivable and receivable accounts $ 130,198 Accounts receivable $ 44,198 Other receivables - loaning of funds (See Table 1) 89,560 $ 133,758	0.84 1.50 1.85 1.27		$ - - $ - $ - $ - $ - - $ -	Receipt of funds according to their capital status － Receipt of funds according to their capital status Receipt of funds according to their capital status Receipt of funds according to their capital status －		$ 66,748 29,935 $ 96,683 $ 113,123 $ 82,237 $ - - $ -		$ - - $ - $ - $ - $ - $ -	－ － － － － － － －

Note: Amount recovered as of March 12, 2025.

• 78 -

Laster Tech Co., Ltd.

Investees, Locations, and Other Information

2024

2024	2024	2024	2024	2024	2024	2024	2024	2024	2024	2024	2024
Table 6 Units: NT$ thousands, unless otherwise specified Investor Name of investee Location Main Businesses and Products Original Investment Amount Shares held as at end of theperiod Net income (loss) of investee companies in the currentperiod Investment gains (losses) recognized in the currentperiod Remark End of the period End of last year Number of shares Ratio Book value Laster Tech Co., Ltd. Laster International (Samoa) Co., Ltd. Samoa Investment $ 1,243,719 $ 1,243,719 40,401,698 100% $ 3,765,745 $ 366,903 $ 374,218 （Note 1） Subsidiary Windlux International Co., Ltd. New Taipei City Sales of LED chips 30,000 30,000 3,000,000 100% 31,648 131 131 Subsidiary Happy Power Corp. Seychelles Investment 840 840 1,000,000 100% 915 ( 64 ) ( 64 ) Subsidiary Laster International (Samoa) Co., Ltd. Laster Overseas (Samoa) Co., Ltd. Samoa Investment 316,844 316,844 9,836,038 100% 951,818 75,035 Sub-subsidiary Super Continental Ltd. Mauritius Investment 169,956 169,956 5,654,140 100% 212,108 ( 5,356 ) Sub-subsidiary Laster Forever (Samoa) Co., Ltd. Samoa Investment and trading 634,266 634,266 20,802,953 100% 2,536,465 255,939 Sub-subsidiary Excitement Holding Co., Ltd. Seychelles Investment 89,150 89,150 3,073,017 100% 65,703 41,284 Sub-subsidiary Happy Power Corp. SWEEO TECHNOLOGY CO., LTD Thailand Sales of lighting products and lighting fixtures 847 847 10,000 (Note 2) 100% (Note 2) 911 ( 64 ) Sub-subsidiary Super Continental Ltd. Ang Ran Technology Co., Ltd. Hong Kong Investment 10,141 10,141 1,800,000 100% 737 ( 45 ) Sub-subsidiary Excitement Holding Co., Ltd. Laster Tech (Thailand) Co., Ltd. Thailand Sales of lighting products and lighting fixtures 89,377 89,377 1,000,000 100% 65,589 41,283 Sub-subsidiary
Investor	Name of investee	Location	Main Businesses and Products	Original Investment Amount		Shares held as at end of theperiod			Net income (loss) of investee companies in the currentperiod	Investment gains (losses) recognized in the currentperiod	Remark
				End of the period	End of last year	Number of shares	Ratio	Book value
Laster Tech Co., Ltd. Laster International (Samoa) Co., Ltd. Happy Power Corp. Super Continental Ltd. Excitement Holding Co., Ltd.	Laster International (Samoa) Co., Ltd. Windlux International Co., Ltd. Happy Power Corp. Laster Overseas (Samoa) Co., Ltd. Super Continental Ltd. Laster Forever (Samoa) Co., Ltd. Excitement Holding Co., Ltd. SWEEO TECHNOLOGY CO., LTD Ang Ran Technology Co., Ltd. Laster Tech (Thailand) Co., Ltd.	Samoa New Taipei City Seychelles Samoa Mauritius Samoa Seychelles Thailand Hong Kong Thailand	Investment Sales of LED chips Investment Investment Investment Investment and trading Investment Sales of lighting products and lighting fixtures Investment Sales of lighting products and lighting fixtures	$ 1,243,719 30,000 840 316,844 169,956 634,266 89,150 847 10,141 89,377	$ 1,243,719 30,000 840 316,844 169,956 634,266 89,150 847 10,141 89,377	40,401,698 3,000,000 1,000,000 9,836,038 5,654,140 20,802,953 3,073,017 10,000 (Note 2) 1,800,000 1,000,000	100% 100% 100% 100% 100% 100% 100% 100% (Note 2) 100% 100%	$ 3,765,745 31,648 915 951,818 212,108 2,536,465 65,703 911 737 65,589	$ 366,903 131 ( 64 ) 75,035 ( 5,356 ) 255,939 41,284 ( 64 ) ( 45 ) 41,283	$ 374,218 （Note 1） 131 ( 64 )	Subsidiary Subsidiary Subsidiary Sub-subsidiary Sub-subsidiary Sub-subsidiary Sub-subsidiary Sub-subsidiary Sub-subsidiary Sub-subsidiary

Note 1: The balance after the net profit of NT$366,903 thousand of the invested company plus the net adjustment of unrealized and realized gains of NT$7,315 thousand from downstream transactions is recognized in proportion to the shareholding.

Note 2: Due to local regulations, 5,100 shares (51% of shareholding ratio) were held in the name of a natural person of Thai nationality.

• 79 -

Laster Tech Co., Ltd.

Information on investments in mainland China

2024

Table 7

Units: NT$ thousands, unless otherwise specified

Name of the investee in mainland China	Main Businesses and Products	Main Businesses and Products	Paid-in capital	Method of Investments (Note 1)	Cumulative outward remittance of investment amount from Taiwan at the beginning of the period	Cumulative outward remittance of investment amount from Taiwan at the beginning of the period	Investment Flows of currentperiod	Investment Flows of currentperiod	Cumulative outward remittance of the investment amount from Taiwan in the period end	Net income (loss) of investee companies for current period	% Ownership of Direct or Indirect Investment	Investment gains (losses) recognized in the current period (Note 2)	Value of the investment at the end of the period	Investment gains repatriated as of the end of the period	Remark
							Outward	Inward
LasterTech Electronics (Dongguan) Co., Ltd. Li San (Shanghai) International Trade Ltd. LasterTech Automotive (Shanghai) Co., Ltd. Laster Tech Opto (Shenzhen) Co., Ltd.	Sales of LED chips and manufacturing, assembly and sales of LED automotive lighting-related products Sales of LED chips and components Manufacturing, assembly and sales of LED automotive lighting-related products Sales of energy-saving lighting fixtures and accessories		$ 216,984 16,961 852,046 147,271	(2) (Note 3) (2) (Note 4) (2) and (3) (Note 5) (2) (Note 4)	$ 216,984 16,961 584,309 (Note 8) 147,271		$ - - - -	$ - - - -	$ 216,984 16,961 584,309 (Note 8) 147,271	$ 75,035 ( 578 ) 255,870 ( 4,733 )	100% 100% 100% 100%	$ 75,035 (Note 6) ( 578) (Note 7) 255,870 (Note 6) ( 4,733) (Note 7)	$ 951,815 35,748 2,533,662 180,104	$ 197,550 - - 48,742	－ － － －
The cumulative amount of outward remittance of investment from Taiwan to mainland China at the end of theperiod		Investment amount approved by the Commission, MOEA			Investment	In compliance with the investment limit stipulated by the Investment Commission, MOEA for investment in mainland China
NT$963,699 (Note 9)		NT$978,334 (Note 9)				No investment amount limit (Note 10)

Note 1: Investment methods are divided into the following three types, just enter the code:

(i) Direct investment in mainland China.

(ii) Indirect investment in mainland China through third-region companies.

(iii) Others.

Note 2: In the field “Investment Gains/Losses Recognized for Current Period”:

(i) It should be noted if the investment was still in preparation without investment gain or loss.

• (ii) The recognition basis of investment gain or loss should be noted as follows:

A. Financial statements audited and attested by any international accounting firms with partnership with any accounting firm of the Republic of China.

B. Financial statements audited and attested by CPAs appointed by the parent company in Taiwan.

C. Financial statements not reviewed by CPAs appointed by the parent company in Taiwan.

Note 3: The investee company in the third region is Laster Overseas (Samoa) Co., Ltd.

Note 4: The investee company in the third region is Super Continental Ltd.

Note 5: The investee company in the third region is Laster Forever (Samoa) Co., Ltd.

Note 6: Note 2, (2) and B is the basis for recognizing investment income or loss.

Note 7: Note 2, (2) and C. is the basis for recognizing investment income or loss.

Note 8: Including the accumulated amount of NT$569,674 thousand remitted from Taiwan through Laster Forever (Samoa) Co., Ltd. at the beginning and end of the period and the direct investment amount of NT$14,635 thousand by Laster Forever (Samoa) Co., Ltd. with its own funds, excluding NT$267,737 thousand of Laster Tech Automotive (Shanghai) Co., Ltd. with its undistributed earnings to raise capital.

• 80 -

• Note 9: “The cumulative amount of outward remittance of investment from Taiwan to mainland China at the end of the period” and “Investment amount approved by the Investment Commission, MOEA” included NT$12,809 thousand (among this, NT$771 thousand was retained in a third region of Ang Ran Technology Co., Ltd.) of equity remitted by (Guangzhou) Luyi Opto Technology Co., Ltd. The liquidation of (Guangzhou) Luyi Opto Technology Co., Ltd. was completed in June 2014. The Company has obtained the approval of the MOEA to cancel the investment in (Guangzhou) Luyi Opto Technology Co., Ltd. However, the amount of investment had not been recovered as of December 31, 2024.

Note 10: There is no limit on the amount of investment in accordance with the regulations of the Investment Commission, MOEA, as the Company obtained the certificate for operating the headquarters approved and issued by the MOEA.

• 81 -

Laster Tech Co., Ltd.

Any of the following significant transactions with investees in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses and other information

2024

Table 8

Units: NT$ thousands, unless otherwise specified

I. Sales
																				Notes receivable, accounts
												Sales										Percentage
								Transaction Terms														over total
													Percentage				Unrealized					notes and
	Name of investee	Name	of the investee company		in Third region									of total			gross	profit	on			accounts
	company		mainland China			business		Price	Collection period			Amount		sales	Gross profit		sales	(Note	1)		Balance	receivable
Laster Tech Co., Ltd.		LasterTech		Electronics		－	By general		Depending on		$	19,891		0.72%	$	1,849	$	1,245		$	229	0.02%
		(Dongguan) Co., Ltd.					transaction		availability of
							terms		funds
		LasterTech Automotive (Shanghai)				－	By general		Depending on			219,416		7.89%		12,958		3,408			228,497	24.18%
		Co., Ltd.					transaction		availability of
							terms		funds
II. Purchase
															Purchase					Notes payable, accounts
										Transaction Terms						Percentage					Ratio to total
	Name of investee company		Name of	the investee company in												of total					notes	payable and
				mainland China		Third region business			Price		Paymentperiod			Amount		purchases			Balance		accountspayable
Laster Tech Co., Ltd.		LasterTech		Electronics	(Dongguan)		－	By		general	Depending		on	$	2,362	0.10%		$		645		0.07%
			Co., Ltd.					transaction		terms	availability of funds
		Li	San (Shanghai) International Trade				－	By		general	Depending		on		19,036	0.81%				743		0.08%
			Ltd.					transaction		terms	availability of funds
		LasterTech Automotive (Shanghai) Co.,					－	By		general	Depending		on	104,259		4.43%			103,715			10.68%
			Ltd.					transaction		terms	availability of funds
III. Financing
	Name of investee company			Name of the	investee company in		Maximum balance		Ending balance			Transaction		Annual interest		Interest income
				mainland China			forthe period					Amounts		rate
Laster Tech Co., Ltd.			LasterTech Automotive (Shanghai) Co.,					$ 118,884	$	118,884		$	-		-	$		-
			Ltd.							(Note 2)		(Note	2)
IV. Endorsements and guarantees
	Name of endorsement and guarantee			Name of endorsed or guaranteed				Maximum		Ending balance		Transaction Amounts				Purpose		Remark
	company			company			endorsement/guarantee
							balance of the period
Laster Tech Co., Ltd.			LasterTech Automotive (Shanghai)				$	179,480		$ 179,120			$	-	Financing facility				－
			Co., Ltd.													guarantee
			LasterTech Electronics (Dongguan)					45,450			44,780			-	Financing facility				－
			Co., Ltd.													guarantee

Note 1: Accumulated unrealized gains as of December 31, 2024.

Note 2: Accounts receivable transfer due to past due for three months; please see Table 1.

• 82 -

Laster Tech Co., Ltd. Information on major shareholders December 31, 2024

Table 9

Names of major shareholders	Shares	Shares
	Number of shares held	Shareholding ratio
No data for the quarter	－	－

• Note 1: The major shareholders in this table are shareholders holding at least 5% of the ordinary and preference shares (including treasury shares) with dematerialized registration and delivery completed on the last business day of the quarter calculated by the Taiwan Depository & Clearing Corporation. The share capital recorded in the Company’s parent company only financial statements and the number of shares actually delivered by the Company with the dematerialized registration completed may differ due to different calculation bases.

• Note 2: If the shareholder puts the shares into a trust, the aforementioned information will be disclosed by the trustors’ individual account opened by the trustee. As for shareholders’ insider declaration of the ownership percentage over 10% according to the Securities and Exchange Act, including the shares on hand and those being put in a trust but with the decision power over the usage of the trust assets, please refer to the insider declaration information on MOPS.

• 83 -

TABLE OF CONTENTS FOR IMPORTANT ACCOUNT TITLES§

ITEM

• Statement of Assets, Liabilities and Equity Statement of Cash Statement of Accounts Receivable Statement of Other Receivables Statement of Inventory Statement of Other Financial Assets Statement of Investments Accounted For Using the Equity Method

Statement of Acquisition of Property, Plant and Equipment Statement of Right-Of-Use Assets Statement of Deferred Tax Assets Statement of Short-Term Borrowings Statement of Short-Term Notes Payable Statement of Accounts Payable Statement of Other Payable Statement of Bonds Payable Statement of Long-Term Borrowings Statement of Lease Liabilities Statement of Deferred Tax Liabilities Statements of Profit or Loss Items Statement of Operating Revenue Statement of Operating Costs Statement of Operating Expenses Statement of Financial Costs Statement of Current Employee Benefits, Depreciation, Depletion, and Amortization Expenses by Function

NO./INDEX

Subsidiary Ledger 1 Subsidiary Ledger 2 Note 9 Subsidiary Ledger 3 Subsidiary Ledger 4 Subsidiary Ledger 5

Note 12 Subsidiary Ledger 6 Note 23 Subsidiary Ledger 7 Subsidiary Ledger 8 Subsidiary Ledger 9 Note 18 Note 16 Subsidiary Ledger 10 Subsidiary Ledger 11 Note 23

Subsidiary Ledger 12 Subsidiary Ledger 13 Subsidiary Ledger 14 Note 21 Subsidiary Ledger 15

• 84 -

Laster Tech Co., Ltd.

Statement of Cash

December 31, 2024

Statement 1

Units: NT$ thousands, unless otherwise specified

Item Cash on hand and working capital Bank deposits Bank check deposit Bank demand deposit Bank foreign currency time deposits Cash equivalents (investment with original maturity date of less than three months) Bank time deposit	Summary Note	Annual interest rate 0.005~0.77% 0.001%~1.10% 0.78%		Amount
				$ 2,449 5 314,279 713,658 1,027,942 20,000 $ 1,050,391

Note: Mainly include USD 20,418 thousand (exchange rate: 32.785), EUR 119 thousand (exchange rate: 34.14) and RMB 8,909 thousand (exchange rate: 4.478).

• 85 -

Laster Tech Co., Ltd.

Statement of Accounts Receivable

December 31, 2024

Statement 2

Unit: NT$ thousand

Name of customer Non-related Parties A Others Less: Allowance for impairment loss		Amount
		$ 714,082 853 714,935 - $ 714,935

• 86 -

Laster Tech Co., Ltd. Statement of Inventory December 31, 2024

Statement 3

Unit: NT$ thousand

Item Commodities Finished goods Work in process Raw materials Less: Provision for loss on value decline of inventory		Amount	Amount	Amount
		Cost $ 58,230 510,541 41,398 244,275 854,444 55,192) $ 799,252	Net realizable value
	(			$ 127,126 457,799 47,096 284,081 $ 916,102

• 87 -

Laster Tech Co., Ltd. Statement of Other Financial Assets December 31, 2024

Statement 4 Item Current Cash reserve Pledge time deposits	Summary	Units: NT$ thousands, unless otherwise specified Annual interest rate (%) Amount 0.4%~0.71% $ 53,712 1.29%~1.425% 9,372 $ 63,084	Units: NT$ thousands, unless otherwise specified Annual interest rate (%) Amount 0.4%~0.71% $ 53,712 1.29%~1.425% 9,372 $ 63,084	Units: NT$ thousands, unless otherwise specified Annual interest rate (%) Amount 0.4%~0.71% $ 53,712 1.29%~1.425% 9,372 $ 63,084
				$ 53,712 9,372 $ 63,084

• 88 -

Laster Tech Co., Ltd.

Statement of Changes in Long-Term Equity Investment Accounted For Under the Equity Method

2024

Statement 5

Unit: NT$ thousand

Investee company Unlisted company Laster International (Samoa) Co., Ltd. Windlux International Co., Ltd. Happy Power Corp.	Opening	balance Amount $3,272,363 31,856 921 $3,305,140	Increase in theyear Number of shares Amount - $ 493,382 - 131 - 58 $ 493,571	Increase in theyear Number of shares Amount - $ 493,382 - 131 - 58 $ 493,571	Decrease in theyear Number of shares Amount - $ - - ( 339 ) - ( 64) ($ 403)	Closingbalance	Closingbalance		Amount $3,765,745 31,648 915 $3,798,308	Guarantee or pledge － － －	Remark
	Number of shares 40,401,698 3,000,000 1,000,000		Number of shares - - -		Number of shares - - -	Number of shares 40,401,698 3,000,000 1,000,000	Shareholding % 100% 100% 100%
											Note 1 Note 2 Note 3

• Note 1: The increase during the year was the investment gain recognized under the equity method of NT$366,903 thousand, the translation adjustments of NT$119,164 thousand, and net adjustment of NT$7,315 thousand for realized gain from the downstream transactions of the current period.

• Note 2: The increase during the year was due to investment gains of NT$131 thousand accounted for using the equity method; the decrease during the year was due to the receipt of cash dividends of NT$339 thousand.

Note 3: The increase during the year was the translation adjustments of NT$58 thousand; the decrease during the year was the investment loss recognized under the equity method of (NT$64) thousand.

• 89 -

Laster Tech Co., Ltd.

Statement of Right-Of-Use Assets December 31, 2024

Statement 6

Unit: NT$ thousand

Name Cost Building Transportation equipment Cumulative depreciation Building Transportation equipment Net amount		Opening balance $ 30,864 3,657 34,521 19,885 2,429 22,314 $ 12,207	Increase in theyear $ 48,104 - 48,104 8,647 624 9,271 $ 38,833	Decrease in theyear ( $ 18,603 ) ( 2,236) (20,839) ( 18,603 ) ( 2,236) (20,839) $ -		Closing balance
						$ 60,365 1,421 61,786 9,929 817 10,746 $ 51,040

• 90 -

Laster Tech Co., Ltd.

Statement of Short-Term Borrowings

December 31, 2024

Statement 7

Unit: NT$ thousand

Loan type and creditor Secured loans First Commercial Bank, Zhonghe Branch Taipei Fubon Bank, Xinzhuang Branch Taishin International Bank, Jianbei Branch COTA Commercial Bank, Banqiao Branch COTA Commercial Bank, Banqiao Branch COTA Commercial Bank, Banqiao Branch Yuanta Commercial Bank, Xinzhuang Branch Bank of Panhsin, Taoying Branch Cathay United Bank, Guanqian Branch KGI Securities, Chengzhong Branch Chang Hwa Bank, Tianmu Branch Bangkok Bank, Taipei Branch Taipei Star Bank, Nanjing East Road Branch Subtotal Credit loan E.SUN Commercial Bank, Liencheng Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Land Bank of Taiwan, Keelung Branch	Closingbalance $ 50,000 10,000 8,846 5,882 5,849 16,886 100,000 10,000 45,000 50,000 73,260 30,000 30,000 435,723 30,000 95,520 17,190 30,280 8,710 16,646 8,865 14,300 7,218 11,282 6,534 13,716 11,092 7,218 14,868 3,894 7,473 50,000	Contract term 2024/12-2025/3 2024/11/-2025/5 2024/12-2025/2 2024/11-2025/5 2024/12-2025/6 2024/12-2025/6 2024/11-2025/2 2024/12-2025/4 2024/11-2025/5 2024/12-2025/1 2024/11-2025/5 2024/12-2025/1 2024/10-2025/7 2024/12-2025/1 2024/8-2025/2 2024/12-2025/6 2024/12-2025/6 2024/12-2025/6 2024/7-2025/1 2024/7-2025/1 2024/7-2025/1 2024/7-2025/1 2024/8-2025/2 2024/12-2025/6 2024/12-2025/6 2024/7-2025/1 2024/7-2025/1 2024/8-2025/2 2024/8-2025/2 2024/7-2025/1 2024/12-2025/3	Annual interest rate (%) 2.48 2.81 2.92 2.80 2.80 2.80 2.66 3.05 2.62 2.53 2.59 3.45 3.04 2.67 2.48 2.48 2.48 2.48 6.59 6.59 6.59 6.59 2.69 2.69 2.69 5.70 5.70 5.70 5.70 3.11 2.19	Credit limit 250,000 10,000 50,000 33,000 33,000 33,000 200,000 80,000 45,000 100,000 120,000 30,000 80,000 50,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 79,125 79,125 79,125 79,125 79,125 79,125 79,125 79,125 50,000	Guarantee orpledge Note 1 Note 2 Note 3 Note 4 Note 4 Note 4 Note 5 Note 6 Note 7 Note 8 Note 9 Note 10 Note 11	Remark
						Note 12 Note 13 Note 13 Note 13 Note 13 Note 13 Note 13 Note 13 Note 13 Note 14 Note 14 Note 14 Note 14 Note 14 Note 14 Note 14 Note 14 Note 15

• 91 -

CTBC Bank	92,965	2024/9-2025/4	2.94	100,000	Note 16
Taichung Commercial Bank,
Fuxing Branch	30,000	2024/9-2025/9	2.73	130,000	Note 17
Taichung Commercial Bank,
Fuxing Branch	68,383	2024/9-2025/3	2.73	130,000	Note 17
Taipei Fubon Bank, Xinzhuang
Branch	13,110	2024/12-2025/3	2.82	60,000	Note 18
Bank of Taiwan, Liencheng
Branch	80,000	2024/9-2025/3	2.59	272,000	Note 19
Bank of Taiwan, Liencheng
Branch	172,000	2024/9-2025/9	2.44	272,000	Note 19
Bank SinoPac, Taipei Branch	20,872	2024/9-2025/3	2.29	200,000	Note 20
Bank SinoPac, Taipei Branch	23,307	2024/11-2025/5	2.29	200,000	Note 20
Bank SinoPac, Taipei Branch	21,909	2024/11-2025/5	2.29	200,000	Note 20
Bank SinoPac, Taipei Branch	15,049	2024/11-2025/5	2.29	200,000	Note 20
Bank SinoPac, Taipei Branch	117,000	2024/12-2025/6	2.29	200,000	Note 20
Mega International Commercial
Bank, Yonghe Branch	3,714	2024/11-2025/5	2.86	165,000	Note 21
Mega International Commercial
Bank, Yonghe Branch	2,284	2024/11-2025/5	2.86	165,000	Note 21
Mega International Commercial
Bank, Yonghe Branch	11,029	2024/11-2025/5	2.86	165,000	Note 21
Mega International Commercial
Bank, Yonghe Branch	4,615	2024/11-2025/5	2.86	165,000	Note 21
Mega International Commercial
Bank, Yonghe Branch	12,885	2024/8-2025/2	6.40	165,000	Note 21
Mega International Commercial
Bank, Yonghe Branch	28,386	2024/8-2025/2	6.40	165,000	Note 21
Hua Nan Commercial Bank,
Zhonghe Branch	100,000	2024/12-2025/6	2.75	250,000	Note 22
Hua Nan Commercial Bank,
Zhonghe Branch	10,809	2024/12-2025/6	2.75	250,000	Note 22
Export-Import Bank of the
Republic of China	5,000	2024/8-2025/8	2.16	30,000	Note 23
(To be Continued)

• 92 -

(Continued From Previous Page)

(Continued From Previous Page)
Loan type and creditor Taiwan Shin Kong Commercial Bank, Liencheng Road Branch Taiwan Shin Kong Commercial Bank, Liencheng Road Branch Taiwan Shin Kong Commercial Bank, Liencheng Road Branch Taiwan Shin Kong Commercial Bank, Liencheng Road Branch Taiwan Shin Kong Commercial Bank, Liencheng Road Branch Taipei Fubon Bank, Xinzhuang Branch Subtotal Total	Closingbalance $ 9,104 9,760 4,578 4,567 46,950 11,147 1,274,229 $ 1,709,952	Contract term 2024/7-2025/1 2024/8-2025/2 2024/8-2025/2 2024/8-2025/2 2024/11-2025/5 2024/9-2025/1	Annual interest rate (%) 6.92 6.38 6.38 6.45 6.00 6.37	Credit limit 80,000 80,000 80,000 80,000 80,000 60,000	Guarantee orpledge	Remark
						Note 24 Note 24 Note 24 Note 24 Note 24 Note 25

Note 1: The amount of NT$50,000 thousand was guaranteed by the Small and Medium Enterprise Credit Guarantee Fund of Taiwan. Note 2: The amount of NT$8,000 thousand was guaranteed by the Small and Medium Enterprise Credit Guarantee Fund of Taiwan. Note 3: The amount of NT$8,846 thousand was guaranteed by the Small and Medium Enterprise Credit Guarantee Fund of Taiwan. Note 4: NT$3,000 thousand of cash reserve was provided as collateral. Note 5: NT$15,126 thousand of cash reserve was provided as collateral. Note 6: NT$11,476 thousand of cash reserve was provided as collateral. Note 7: NT$4,554 thousand of cash reserve was provided as collateral. Note 8: NT$5,011 thousand of cash reserve was provided as collateral. Note 9: NT$8,424 thousand of cash reserve was provided as collateral. Note 10: NT$6,121 thousand of cash reserve was provided as collateral. Note 11: NT$80,000 thousand of financing line was shared. Note 12: NT$30,000 thousand of financing line was shared. Note 13: NT$250,000 thousand of financing line was shared. Note 14: NT$79,125 thousand of financing line was shared. Note 15: NT$50,000 thousand of financing line was shared. Note 16: NT$100,000 thousand of financing line was shared. Note 17: NT$130,000 thousand of financing line was shared. Note 18: NT$60,000 thousand of financing line was shared. Note 19: NT$272,000 thousand of financing line was shared. Note 20: NT$200,000 thousand of financing line was shared. Note 21: NT$165,000 thousand of financing line was shared. Note 22: NT$250,000 thousand of financing line was shared. Note 23: NT$30,000 thousand of financing line was shared. Note 24: NT$80,000 thousand of financing line was shared. Note 25: NT$60,000 thousand of financing line was shared.

• 93 -

Laster Tech Co., Ltd.

Statement of Short-Term Notes Payable December 31, 2024

Statement 8

Unit: NT$ thousand

Item Commercial paper payable	Guarantee or acceptance institution International Bills Finance Corporation China Bills Finance Corporation Grand Bills Finance Corp. Dah Chung Bills Finance Corp. Taiwan Cooperative Bills Finance Corporation Taiwan Finance Corporation	Contract term 2024/11/22-2025/1/17 2024/11/8-2025/1/3 2024/10/14-2025/1/10 2024/12/6-2025/1/17 2024/11/21-2025/2/19 2024/12/18-2025/2/17	Annual interest rate range 3.34% 3.00% 3.00% 3.30% 3.00% 3.24%		Amount	Book value $ 79,723 79,796 49,732 79,719 49,760 19,914 $ 358,644	Remark
				Issue amount $ 80,000 80,000 50,000 80,000 50,000 20,000 $ 360,000	Unamortized discount on short-term notespayable ( $ 277 ) ( 204 ) ( 268 ) ( 281 ) ( 240 ) ( 86) ($ 1,356)
					( ( ( ( ( ( (

• 94 -

Laster Tech Co., Ltd.

Statement of Accounts Payable

December 31, 2024

Statement 9

Unit: NT$ thousand

Name of supplier Non-related Parties B C D E Other (note)		Amount
		$ 510,221 97,291 71,519 65,592 121,766 $ 866,389

Note: No balances of the accounts exceeded 5% of the balance of this account.

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Statement 10 Loantype and creditor Secured loans Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Shanghai Commercial & Savings Bank, Yonghe Branch Chang Hwa Bank, Tianmu Branch Taiwan Business Bank, Songshan Branch Taipei Fubon Bank Hua Nan Commercial Bank, Zhonghe Branch Hua Nan Commercial Bank, Zhonghe Branch Hua Nan Commercial Bank, Zhonghe Branch Mega International Commercial Bank, Yonghe Branch CTBC Bank Taishin International Bank Taishin International Bank	Summary From May 2021, these loans are repaid once a month until repaid in full in April 2025. From September 2022, these loans are repaid once a month until repaid in full in August 2026. From August 2022, these loans are repaid once a month until repaid in full in August 2025. From November 2022, these loans are repaid once a month until repaid in full in October 2027. From April 2022, these loans are repaid once a month until repaid in full in April 2026. From June 2024, these loans are repaid once a month until repaid in full in March 2027. From April 2025, these loans are repaid once a month until repaid in full in March 2042. From June 2023, these loans are repaid once a month until repaid in full in June 2028. From June 2024, these loans are repaid once a month until repaid in full in May 2029. From December 2024, these loans are repaid once a month until repaid in full in December 2028. From September 2024, these loans are repaid once a month until repaid in full in August 2027. From June 2022, these loans are repaid once a month until repaid in full in May 2025. From April 2024, these loans are repaid once a month until repaid in full in April 2027.	Laster Tech Co., Ltd. Statement of Long-Term Borrowings December 31, 2024 Loan amount	Laster Tech Co., Ltd. Statement of Long-Term Borrowings December 31, 2024 Loan amount	Laster Tech Co., Ltd. Statement of Long-Term Borrowings December 31, 2024 Loan amount	Total $ 3,426 2,950 7,500 30,736 1,991 23,824 616,000 14,000 13,250 35,000 34,856 6,600 18,790	Contract term 2020/5-2025/5 2021/9-2025/8 2020/9-2025/8 2022/10-2027/10 2021/4-2026/4 2024/5-2027/4 2022/3-2042/3 2023/6-2028/6 2024/5-2029/5 2023/12-2028/12 2023/9-2027/9 2022/5-2025/5 2024/3-2027/3	Annual interestrate 1.825 1.825 1.825 1.475 2.720 2.780 2.140 2.450 2.220 2.220 1.475 2.450 2.590	Unit: NT$ thousand Guarantee or pledge Credit guarantee fund: NT$2,741 thousand Credit guarantee fund: NT$2,360 thousand Credit guarantee fund: NT$6,000 thousand Machine pledge Credit guarantee fund: NT$1,593 thousand Credit guarantee fund: NT$23,824 thousand Land collateral Credit guarantee fund: NT$11,200 thousand Credit guarantee fund: NT$10,600 thousand Credit guarantee fund: NTD 28,000 thousand Machine pledge Credit guarantee fund: NT$6,600 thousand Credit guarantee fund: NT$18,790 thousand
		Expires in one year $ 3,426 1,770 7,500 10,848 1,479 10,589 27,176 4,000 3,000 8,750 13,071 6,600 8,280	Expires after one year $ - 1,180 - 19,888 512 13,235 588,824 10,000 10,250 26,250 21,785 - 10,510

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106,489 702,434 808,923

(To be Continued)

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(Continued From Previous Page)

(Continued From Previous Page)
Loantype and creditor Unsecured loans First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch First Commercial Bank, Zhonghe Branch Export-Import Bank of the Republic of China Export-Import Bank of the Republic of China	Summary From June 2022, these loans are repaid once a month until repaid in full in May 2025. From June 2022, these loans are repaid once a month until repaid in full in June 2025. From June 2022, these loans are repaid once a month until repaid in full in August 2025. From June 2022, these loans are repaid once a month until repaid in full in August 2025. From July 2021, these loans are repaid once a month until repaid in full in June 2025. From February 2026, these loans are repaid once a month until repaid in full in August 2027.		Loan amount		Total $ 5,338 1,652 3,173 19,964 5,363 60,000 95,490 $ 904,413	Contract term 2020/6-2025/5 2022/7-2025/5 2020/8-2025/8 2020/12-2025/8 2020/6-2025/6 2024/8-2027/8	Annual interestrate 1.425 1.525 1.525 1.525 1.818 2.317	Guarantee or pledge
		Expires in one year $ 5,338 1,652 3,173 19,964 5,363 - 35,490 $ 141,979	Expires after one year $ - - - - - 60,000 60,000 $ 762,434
								－ － － － － －

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Laster Tech Co., Ltd.

Statement of Lease Liabilities

December 31, 2024

Statement 11 Item Building Transportation equipment Less: Classified as current portion	Summary Mainly used for factory and office For business use	Lease period 1 to 5 years 1 to 3 years	Unit: NT$ thousand Discount rate (%) Closing balance 0.42%~2.65% $ 50,838 1.11%~2.22% 613 51,451 ( 8,669) $ 42,782	Unit: NT$ thousand Discount rate (%) Closing balance 0.42%~2.65% $ 50,838 1.11%~2.22% 613 51,451 ( 8,669) $ 42,782	Unit: NT$ thousand Discount rate (%) Closing balance 0.42%~2.65% $ 50,838 1.11%~2.22% 613 51,451 ( 8,669) $ 42,782
				(	$ 50,838 613 51,451 8,669) $ 42,782

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Laster Tech Co., Ltd.

Statement of Operating Revenue

2024

Subsidiary Ledger 12

Unit: NTD thousand

Item Revenue from merchandise sales Vehicle lamp controller LED chips LED lighting fixtures LED components Others Service revenue	Number of sales 5,860,372 units 17,580,384 chips 34,897 units 175,000 pieces		Amount
			$ 2,673,140 28,328 2,451 388 24,459 2,728,766 51,901 $ 2,780,667

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Laster Tech Co., Ltd. Statement of Operating Costs January 1 to December 31, 2024

Statement 13

Unit: NT$ thousand

Item Operating costs Raw materials at the beginning of the year Add: Purchase of materials this year Others Less: Transferred expenses Less: Scrapped inventories Raw materials at the end of the year Raw material consumption Manufacturing expenses Manufacturing costs Work in process at the beginning of the year Add: Semi-finished goods purchased during the year Others Less: Transferred expenses Unamortized fixed manufacturing expenses Work in process at the end of the year Cost of finished goods Finished goods at the beginning of the year Add: Others Less: Transferred expenses Finished goods at the end of the year Cost of goods sold of finished products Commodities at the beginning of the year Add: Goods purchased during the year Add: Others Less: Transferred expenses Less: Scrapped inventories Commodities at the end of the year Cost of goods sold Unamortized fixed manufacturing expenses Loss from inventory devaluation gain from price recovery Loss on scrapped inventories Total operating cost

Amount

$ 297,844 2,232,367 8,777 ( 24,629 ) ( 14,229 ) ( 244,275) 2,255,855 317,913 2,573,768 50,373 103,261 874 ( 580 ) ( 17,408 ) ( 41,398) 2,668,890 349,311 2,611 ( 11,234 ) ( 510,541) 2,499,037 70,775 18,222 1,363 ( 6,157 ) ( 1,131 ) ( 58,230) 24,842 17,408 ( 18,576) 15,360 $ 2,538,071

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Laster Tech Co., Ltd. Statement of Operating Expenses

2024

Statement 14

Unit: NT$ thousand

Item Salary expenses Freight Professional service charge Insurance premium Others	Selling and marketing expenses $ 9,162 66,548 305 953 76,524 $ 153,492	General and administrativ e expenses $ 91,614 18 8,511 5,002 30,921 $ 136,066	Research and development expenses $ 14,875 - 41 1,367 10,763 $ 27,046		Total
					$ 115,651 66,566 8,857 7,322 118,208 $ 316,604

Note: The amount of each item is less than 5% of the total amount.

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Laster Tech Co., Ltd.

Statement of Current Employee Benefits, Depreciation, Depletion, and Amortization Expenses by Function 2024 and 2023

Statement 10

Units: NT$ thousands, unless otherwise specified

Employee benefits expense Salary expenses Labor and national health insurance expenses Pension expenses Remuneration to the Directors Other employee benefit costs Depreciation expenses Amortization expenses		2024		Total $ 204,806 18,282 7,945 6,569 23,205 $ 260,807 $ 83,812 $ 2,017		2023
	Attributable to cost of operation $ 98,733 11,228 4,936 - 14,672 $ 129,569 $ 78,535 $ 647	Attributable to operating expense $ 106,073 7,054 3,009 6,569 8,533 $ 131,238 $ 5,277 $ 1,370			Attributable to cost of operation $ 76,324 7,454 3,386 - 8,924 $ 96,088 $ 50,187 $ 728	Attributable to operating expense $ 83,159 6,649 2,822 6,747 16,909 $ 116,286 $ 5,234 $ 1,258		Total
								$ 159,483 14,103 6,208 6,747 25,833 $ 212,374 $ 55,421 $ 1,986

Note: 1. For the current year and last year, the number of employees were 212 and 218 people respectively, which included

• 8 and 7 non-employee directors for the two years respectively.

• The company whose stock is listed for trading on the TWSE or TPEx shall additionally disclose the information as follow:

• (1) The average employee benefit expenses in the year were NT$1,246 thousand (“Total employee benefit expenses in the year - total remuneration to directors” / “Number of employees in the year - number of directors who were not employees”). The average employee benefit expenses in the previous year were NT$975 thousand (“Total employee benefit expenses in the previous year - total remuneration to directors” / “Number of employees in the previous year - number of directors who were not employees”).

• (2) The average employee salary expenses in the year were NT$1,004 thousand (Total salary expenses in the year / “Number of employees in the year - number of directors who were not employees”). The average employee salary expenses in the previous year were NT$756 thousand (Total salary expenses in the previous year / “Number of employees in the previous year - number of directors who were not employees”).

• (3) The average employee salary expenses changed by 32.8% (“Average employee salary expense in the year - average employee salary expense in the previous year” / average employee salary expense in the previous year).

• (4) The Company has no supervisors.

• (5) Information on the Company’s remuneration policy (including directors, managerial officers and employees) is as follow:

The Company’s remuneration to directors includes directors’ remuneration and emoluments. Remuneration is paid in accordance with the Articles of Incorporation, not more than 3% of the profits, if any, shall be allocated as remuneration to directors. Remuneration to the directors takes into account the Company’s competitive environment, operational risks and duties performed by the directors as well as the

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risks they borne. The remuneration proposal is submitted to the Remuneration Committee for approval followed by a resolution of the Board of Directors.

The composition of the remuneration to the Company’s company officers and employees includes fixed salaries and variable bonuses. Fixed salaries are basic salaries and fixed allowances; while variable bonuses are linked to the Company’s operational performance and the achievement of strategic objectives. The proposal for remuneration to company officers is submitted to the Remuneration Committee for approval and submitted to the Board of Directors for resolution.

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