Stock Code
7722

2025

ANNUAL REPORT

LINE Pay Taiwan Limited

The Annual Report is available at :
https://pay.line.me
https://mops.twse.com.tw

Notice to Readers -
This is a translation of the 2025 annual report of LINE Pay Taiwan Limited. The translation is for reference only. If there is any discrepancy between the English version and Chinese version, the Chinese version shall prevail.

LINE Pay

LINE Pay Taiwan Limited
2025 Annual Report

Spokesperson
Name: Celeste Change
Title: Senior Vice President
Tel: (02)3518-7600
E-mail: [email protected]

Deputy Spokesperson
Name: Reffy Hung
Title: Vise President and Finance and Accounting Manager
Tel: (02)3518-7600
E-mail: [email protected]

Head Office, Branches, and Factories/Plants
Head office: 18F., No. 121, Jingmao 2nd Rd., Nangang Dist., Taipei City
Branches: None
Factories/Plants: None
Tel: (02)3518-7600

Stock Affairs Agent
Name: Fubon Securities Co., Ltd.
Address: 11F., No. 17, Xuchang St., Zhongzheng Dist., Taipei City
Website: https://www.fubon.com/securities/home/
Tel: (02)2361-1300

Certified Public Accountants for Financial Statements in the Most Recent Year
Name of CPAs: Connie Chen and Robert Yu
Name of firm: Deloitte & Touche
Address: 20F., No. 100, Songren Rd., Xinyi Dist., Taipei City
Website: https://www.deloitte.com.tw
Tel: (02)2725-9988

Overseas Securities Exchange: None

Company Website: https://pay.line.me/

I. Letter to Shareholders ... 1
II. Corporate Governance Report ... 10
1. Information on Directors, President, Vice Presidents, Assistant Vice Presidents, and Heads of Departments and Branch Offices ... 10
2. Remuneration Paid to Directors, President, Vice Presidents, and Other Persons in Equivalent Positions in Most Recent Year ... 24
3. Corporate Governance Operation ... 32
4. Information on Professional Fees of CPAs ... 99
5. Information on Replacement of CPAs ... 99
6. Situations Where the Company’s Chairperson, General Manager, or Any Managerial Officer in Charge of Finance or Accounting Matters Has in the Most Recent Year Held a Position at the Accounting Firm of Its Certified Public Accountant or at an Affiliated Enterprise of Such Accounting Firm ... 99
7. Transfer of Equity Interests and/or Pledge of or Change in Equity Interests by a Director, Supervisor, Managerial Officer, or Shareholder With a Stake of More Than 10 Percent During the Most Recent Fiscal Year or During the Current Fiscal Year Up to the ate of Publication of the Annual Report ... 100
8. Information on Relationships Among Top 10 Shareholders with Which the Person Is a Related Party, Spouse, or Relative within 2nd Degree of Kinship ... 100
9. Total Number of Shares and Total Equity Stake Held in Any Single Enterprise by the Company, Its Directors and Supervisors, Managerial Officers, and Any Companies Controlled Either Directly or Indirectly by the Company ... 102
III. Capital Raising Status ... 103
1. Capital and Shares ... 103
2. Issuance of Corporate Bonds ... 106
3. Issuance of Preferred Shares ... 106
4. Issuance of Global Depositary Receipts ... 106
5. Status of Employee Stock Options ... 107
6. Status of New Restricted Employee Shares ... 112
7. Issuance of New Shares Due to Merger or Acquisition ... 112
8. Funding Plans and Implementation ... 112
IV. Business Operation Overview ... 113
1. Business Activities ... 113
2. Overview of Market and Production/Sales Situation ... 121

The number of employees employed for the 2 most recent fiscal years, and during the current fiscal year up to the date of publication of the annual report, their average years of service, average age, and education levels ... 131
Disbursements for Environmental Protection ... 131
Labor Relations ... 131
Cyber Security Management ... 134
Important Contracts ... 137

V. Review and Analysis of Financial Position, Financial Performance and Risks ... 142
1. Financial Position ... 142
2. Financial performance ... 143
3. Cash flow ... 144
4. The effect upon financial operations of any major capital expenditures during the most recent fiscal year: ... 144
5. Reinvestment policy for the most recent fiscal year, the main reasons for the profits/losses generated thereby, the plan for improving re-investment profitability, and investment plans for the coming year: ... 144
6. Analysis and Assessment of Risk Factors for the Most Recent Fiscal Year and Up to the Date of Publication of the Annual Report ... 145
7. Other Important Matters ... 149

VI. Special Items to Be Included ... 150
1. Information Related to the Company's Affiliates ... 150
2. Private Placements of Securities During the Most Recent Fiscal Year and During the Current Fiscal Year Up to the Date of Publication of the Annual Report ... 150
3. Other Matters That Require Additional Description ... 150
4. For the most recent year and up to the date of the annual report's publication, any matters that have a significant impact on shareholder rights or securities prices as defined in Article 36, Paragraph 3, Item 2 of the Securities and Exchange Act ... 150

I. Letter to Shareholders

Dear Shareholders,

The year 2025 was of extraordinary significance for the Company. In addition to marking the tenth anniversary of our founding, it also represented the first critical year following our listing. Guided by the vision of “to be part of everyone's life” and anchored by the core value of “Be Better,” we continued to enhance our services and strengthen research and development investment to improve overall competitiveness and sustain long-term growth momentum.

After a decade of deep engagement in Taiwan, the Company has established a scaled domestic payment ecosystem by expanding payment scenarios and points-of-sale to enhance accessibility and convenience. Guided by merchants’ practical operational needs, the Company continues to refine merchant management and service processes, strengthen support for merchants of different scales, and increase partnership stickiness and long-term usage, while meeting users’ payment needs across diverse scenarios. As the domestic market matures, the Company is advancing overseas expansion, initially focusing on payment scenarios for inbound visitors to Taiwan to stimulate domestic growth, while collaborating with overseas merchants to allow Taiwanese travelers to use familiar payment methods abroad, thereby enhancing convenience and the overall travel experience.

To further expand the depth and breadth of its payment services, the Company established a wholly owned subsidiary, LINE Pay EPI Taiwan Limited, in 2025 and integrated the LINE Pay Money electronic payment service into the LINE Pay ecosystem. By offering multiple payment methods, the Company has broadened usage scenarios and advanced LINE Pay from a credit card-based service into a comprehensive payment platform. At the initial launch stage, services including top-ups, transfers, split payments, and bill payments were introduced. Going forward, the Company plans to extend these offerings to transportation payments and small-amount remittances, and, in compliance with applicable regulations, to develop cross-border services to meet users’ diverse financial needs.

In terms of technological and service innovation, the Company continues to adopt AI technologies and big data analytics to deepen user behavior insights and enhance precision targeting and recommendations, thereby improving the effectiveness of marketing applications. At the same time, the Company plans to upgrade its merchant management platform, the “Good Partner App,” with more intuitive operations and service design to address merchants’ pain points and improve operational efficiency. Looking ahead, the Company will also introduce gamified offline interactive advertising services that offer user engagement rewards while helping merchants reach new customers, gradually building an integrated payment and marketing ecosystem connecting users, merchants, and cities.

In summary, the Company has established a solid foundation for future development and will continue to advance service enhancements and market expansion. By working closely with its partners to jointly enhance service value, the Company is committed to creating long-term value for shareholders and to remaining a trusted presence in the everyday lives of users, merchants, and partners.

I. Operating Results for the Fiscal Year 2025

(I) Implementation of the 2025 Business Plan

The Company maintained profitability in 2025, with an annual revenue of NT$7,872,004 thousand and net income attributed to stockholders of the Company of NT$507,386 thousand.

(II) Budget Implementation

The Company did not disclose the 2025 financial forecasts, and thus no information regarding budget implementation is available.

(III) Financial Income/Expenditures and Profitability Analysis
1. Financial Income/Expenditures Unit: NT$ Thousand

Item	FY2025	FY2024	YoY	YoY%
Operating Revenue	7,872,004	6,296,000	1,576,004	25.03%
Gross Profit	2,573,394	1,985,898	587,496	29.58%
Operating Expenses	1,985,650	1,244,964	740,686	59.49%
Profit from Operations	587,744	740,934	(153,190)	(20.68%)
Net Profit for The Year	507,386	647,119	(139,733)	(21.59%)
Net Profit Attributable to Owners of The Company	507,386	647,119	(139,733)	(21.59%)

Profitability Analysis

Item	FY2025	FY2024
Return on Assets (%)	2.81%	4.45%
Return on Equity (%)	2.41%	8.25%
Net Profit Margin (%)	6.45%	10.28%
Earnings Per Share (NT$)	7.46	10.67

(IV) Status of Research and Development

Growing Users and Points-of-Sale Network to Drive Steady Transaction Growth As of the end of 2025, LINE Pay had over 13.6 million registered users and continued to expand its points-of-sale network through cross-industry partnerships. During the year, 71,000 new domestic points-of-sale were added, bringing the total in Taiwan to 660,000, while overseas points-of-sale exceeded 80,000, resulting in more than 740,000 points-of-sale across domestic and overseas markets covering major consumption

scenarios. LINE Pay further expanded key online and offline payment scenarios, including integrations with Uber, Kuo-Kuang Motor Transport, and Agoda, while strengthening collaboration with small and medium-sized merchants. Total GMV reached NTD 868.6 billion, representing an 15% year-on-year increase and reflecting steady growth momentum.

Enhancing Merchant Services and Capabilities to Improve Partner Operations

LINE Pay continues to enhance merchant services and backend functionalities to support merchants in improving operational efficiency and creating new business opportunities. In 2025, group-level management functions were introduced for chain stores and strategic partners, integrating transaction and settlement records from both electronic payments and existing third-party payment service. This enables multi-location brands to manage operations across stores through a single platform, improving overall service convenience.

In voucher services, LINE Pay “Payshop” continued to expand its application scenarios. In 2025, it was successfully introduced in hotels, parking lots, and other venues, with service introduced to over 2,000 merchants. Combined with map functionality, it helps merchants precisely reach potential customers and enhance marketing effectiveness. Additionally, “LINE Pay Marketing Platform” launched a new “post-purchase reward voucher” program to help small and medium-sized merchants strengthen repeat purchase incentives and deepen customer relationships. LINE Pay will continue to prioritize merchants’ practical needs and provide diverse and intelligent operational support through functional integration and service innovation.

Deepening Financial Industry Collaboration to Meet Diverse User Needs

LINE Pay continues to prioritize financial service innovation and deepen strategic cooperation with financial institutions. Leveraging the integrated advantages of the LINE Pay financial platform, the Company responds to users’ demand for diverse financial services. In 2025, in addition to maintaining close collaboration with four co-branded card and points reward card partner banks, LINE Pay partnered with 35 financial institutions to offer a total of 254 financial products across three dedicated categories—credit cards, loans, and insurance. Through digital service design, users can more efficiently search and compare financial information, improving accessibility and user experience, and demonstrating the platform’s contribution to promoting inclusive finance.

Expanding Overseas Markets and Broadening Overseas Payment Services

As of the end of 2025, LINE Pay’s overseas payment service recorded cumulative GMV of nearly NTD 1.5 billion. More than 300,000 users made purchases using LINE Pay

in Korea, with transaction volume exceeding 800,000 transactions, demonstrating significant results within one year of formally launching overseas payment services.

In expanding overseas points-of-sale, LINE Pay prioritized partnerships with leading Korean brands frequently visited by Taiwanese travelers, covering duty-free shops, convenience stores, fashion, beauty, department stores, and tourist attractions, and offering exclusive promotions through marketing collaborations. In 2025, LINE Pay added major partners such as Lotte Mart, Shinsegae Simon Outlet, Lotte Duty Free, Lotte Department Store, and Lotte World, with points-of-sale across major cities and tourist hotspots. The service also expanded to retail and dining venues within Korean railway stations, and LINE Pay signed MOU with the Korea Tourism Organization and the Busan Tourism Organization, becoming the first Taiwanese mobile payment provider to jointly promote overseas payment services for Taiwanese travelers in Korea with these institutions. In addition, LINE Pay leveraged ecosystem resources to offer users traveling to Korea “Travel to Korea” travel information, LINE Pay “Activities” overseas ticketing and coupons, vouchers and LINE POINTS rewards, providing Taiwanese consumers with a one-stop experience from trip planning to payment benefits.

Expand into Electronic Payment to Complete the Payment Ecosystem

Following the issuance of the exclusive electronic payment license by the Financial Supervisory Commission to the Company's wholly owned subsidiary, LINE Pay EPI Taiwan Limited, on August 21, 2025, LINE Pay entered a new phase of development. In December of the same year, the "LINE Pay Money" electronic payment service was officially launched, offering account payments, top-ups, transfers, and bill payments, alongside a fully optimized user interface. This enables more than 13 million members to enjoy a more convenient and enhanced payment experience, and to access more comprehensive services within the familiar LINE Pay ecosystem.

II. Business Plan for 2026

(I) Business Strategies

As the Company's business scale continues to expand and its service offerings become increasingly diversified, LINE Pay's strategic focus has gradually shifted from a single payment service to a platform-based model that integrates financial services and marketing solutions. Going forward, the Company will continue to strengthen its core payment infrastructure and enhance overall platform value through service integration, functional optimization, and cross-industry resource integration, forming the foundation for medium-to long-term business expansion and sustainable growth.

In the domestic market, LINE Pay will continue to deepen local services, expand its user

base and points-of-sale network, and use electronic payment services to complement the limitations of existing credit card payments, thereby broadening usage scenarios and enhancing user stickiness. At the same time, the Company will continue to expand its network of financial partners and promote diverse collaborations with banks, securities firms, and other financial institutions to provide more convenient and competitive payment services, driving stable transaction growth. The Company will also gradually introduce emerging technologies such as AI and AR to optimize user experience and help merchants improve operational efficiency.

In terms of overseas expansion, LINE Pay will leverage its operational experience in the Taiwan market to gradually extend into Korea, Japan, and Southeast Asia, expanding overseas points-of-sale and encouraging users to spend at partner merchants abroad, thereby continuously enlarging its global ecosystem footprint. From 2026 onward, LINE Pay will pursue direct merchant partnerships rather than relying on third-party integrations, establishing long-term and stable collaborations. The Company will also combine content-driven and personalized recommendation mechanisms to enhance the attractiveness and overall experience of overseas payment services.

To enhance the value of its marketing services, LINE Pay plans to launch an interactive advertising platform that connects users, merchants, and partners through participatory campaigns, improving exposure and marketing effectiveness. The Company will continue to invest in innovative technologies and service upgrades to strengthen the integration of payments and marketing, building a platform ecosystem that creates a virtuous cycle.

(II) Expected Sales Volume and Its Basis

As mobile payments become an essential tool for everyday consumption, Taiwan’s payment market has moved from the adoption stage into a growth phase characterized by high-frequency usage and diversified application scenarios. Consumers’ acceptance and frequency of digital payments continue to rise, driving steady growth in non-cash transaction volumes. This momentum is primarily supported by the expansion of usage scenarios and increased user stickiness.

LINE Pay has long established its presence across major consumption scenarios such as dining, retail, and entertainment. By continuously expanding points-of-sale and deepening merchant partnerships, LINE Pay has effectively increased users’ daily usage frequency. Furthermore, with the official launch of the “LINE Pay Money” electronic payment service in December 2025, the Company expects to extend LINE Pay’s reach into areas that have traditionally been difficult to adopt through third-party payments, such as transportation and small-amount remittances, further broadening service coverage. Coupled with integrated marketing services and promotional mechanisms, this has created a virtuous cycle that

supports growth in both transaction volume and value.

In 2026, benefiting from the continued promotion of non-cash payment policies by regulatory authorities, the maturation of digital financial infrastructure, and more stable user payment behavior, LINE Pay is well positioned for continued growth in transaction volume and related operating scale. Going forward, the Company will continue to optimize service experience, expand application scenarios, and deepen the development of its marketing services platform to support business expansion and operational performance improvement.

(III) Key Policies on Product Distribution

The Company will continue to enhance its services and develop the LINE Pay ecosystem through the following initiatives: (1) expanding overseas markets, (2) extending electronic payment services, (3) upgrading the Good Partner App with comprehensive AI capabilities, (4) optimizing the Merchant Map with AR technology, and (5) building a new LINE Pay interactive advertising platform. The strategies are outlined as follows:

1. Expanding Overseas Markets

To expand its business footprint, LINE Pay is leveraging the advantages accumulated in Taiwan to progressively extend its merchant partnership-based marketing model and service experience to overseas markets. In 2025, LINE Pay continued to deepen its presence in the South Korean market by pursuing an exclusive “content platform” strategy. Through close collaboration with overseas merchants, LINE Pay transforms merchant characteristics into engaging content, offering more compelling incentives and exclusive promotions. This enables users to plan their travel more conveniently before departure and to enjoy seamless payment experiences and discounts during their trips. We have verified through data that this strategy and business model are delivering strong results. Going forward, LINE Pay will continue to deepen this strategy and gradually expand its overseas services to neighboring markets such as Japan and Southeast Asia, with a long-term objective of further extending to global markets including Europe and the United States.

2. Extending Electronic Payment Services

The new “LINE Pay Money” service launched on December 3, 2025, completing the LINE Pay ecosystem and marking a key milestone in our financial services expansion. At launch, it offered top-up, transfers, bill splitting, and bill payment, enabling users to enjoy a more comprehensive and consistent experience within the LINE Pay ecosystem. Going forward, we will continue to expand the use cases of electronic payments, extending beyond daily spending to areas that have been difficult for third-party providers to enter, such as transportation and small cross-border remittances. We will also plan cross-border operations in line with relevant regulations to provide users with

more convenient and comprehensive cross-border services.

Upgrading the Good Partner App with Comprehensive AI Capabilities

LINE Pay launched the merchant management backend “Good Partner App” in 2022 and has continuously enhanced its functions, including transaction and settlement tracking, Merchant Map exposure management, sales reports, and marketing plan applications. To drive innovation and address merchant pain points, the Company plans a full AI upgrade of merchant services in 2026, prioritizing “AI Insight Report,” “AI Audio Report,” and “MKT One-Click Promotion.” The new features will present sales data more intuitively and incorporate weather and holiday information, enabling merchant owners to understand performance without analyzing complex data. The voice summary function of “AI Audio Report” will help merchant owners grasp key sales insights during commutes or opening/closing hours, improving efficiency, while AI will enable one-click marketing plan generation, allowing merchant owners to apply AI-recommended plans and use LINE Pay marketing tools to drive growth. LINE Pay will continue to enhance AI and merchant services, evolving the Good Partner App from an AI partner into an AI agent, becoming a key driver of merchant growth and service value.

Optimizing the Merchant Map with AR Technology

To address the cluttered map information, visual noise, and difficulty linking to street view, LINE Pay plans to integrate AR technology to display merchant information directly on the live map. Users can simply point their phone camera to see store hours, reviews, and promotions without repeatedly switching between the map and street view. This feature is scheduled for a pilot launch in select areas in 2026, with gradual expansion to major commercial districts across Taiwan. In the future, LINE Pay will further convert merchant highlights and related information into 3D objects for a more engaging and attractive experience, transforming the city into an interactive information space. The upgraded Merchant Map will not only enhance usability but also evolve beyond “finding LINE Pay merchants” into an innovative service that accompanies users as they explore the city.

Building a New LINE Pay Interactive Advertising Platform

LINE Pay is committed to building a payment-centric marketing ecosystem by continuously introducing diversified marketing solutions that provide merchants and partners with greater flexibility while enhancing user engagement. To this end, LINE Pay plans to launch an interactive advertising platform that enables users to earn rewards through simple and engaging interactions, while helping merchants effectively promote their brands, products, and services. This approach transforms traditional, potentially intrusive advertising into a gamified experience, shifting user engagement

from passive viewing to enjoyable, reward-based participation. In the future, users accessing the Merchant Map in urban areas may discover hidden icons and receive LINE POINTS or coupons upon successful exploration, creating an experience closer to urban exploration than conventional advertising. Merchants may also design voting-based campaigns featuring key products or menu items, encouraging consumer participation in a light and rewarding manner. Through interactive and gamified advertising mechanisms, users can explore the city while merchants attract foot traffic and achieve tangible marketing exposure. The LINE Pay interactive advertising platform is not merely an advertising tool, but a better connection that links user participation through payment services, stimulates local foot traffic, drives actual consumption, and fosters a mutually beneficial advertising ecosystem among users, merchants, and cities.

III. Future Development Strategies, Effect of External Competition, Legal Environment, Overall Business Environment

Since its establishment, LINE Pay has been centered on payments and has progressively integrated financial and marketing services to build a large-scale, influential ecosystem. This has established a solid user base and points-of-sale network, enabling LINE Pay to maintain its leading position in the mobile payment market. Going forward, LINE Pay will continue to leverage its ecosystem advantages by integrating services and optimizing functionalities to expand its service scope and enhance brand value, addressing the diverse needs of users, merchants, and partners.

In recent years, competition in Taiwan's mobile payment market has intensified, and reward-based incentives alone are no longer sufficient as a primary competitive advantage. LINE Pay will center its strategy on ecosystem integration capabilities, continuously enhancing platform functionality and launching differentiated innovative services to strengthen user engagement. Through a virtuous cycle, the Company will drive steady growth in transaction volume and operating performance.

In terms of regulatory environment, oversight of mobile payments has become increasingly stringent. The Company places compliance at the core of its operations to ensure that all services meet the requirements of competent authorities. LINE Pay has established a comprehensive information security governance framework, appointing a Chief Information Security Officer and a dedicated cybersecurity department, and has obtained international certifications including ISO/IEC 27001:2022 and PCI DSS v4.0.1. At the same time, the Company continues to support and supervise its electronic payment subsidiary in implementing regulatory requirements, building governance, internal control, risk management, compliance, and information security systems. In addition, the Company has strengthened specialized regulations for customer

complaint handling, fraud prevention, anti-money laundering, and countering the financing of terrorism to ensure an effective compliance regime. Through these efforts, LINE Pay delivers a secure, stable, and trustworthy service, supporting sustainable corporate operations.

In terms of the overall operating environment, LINE Pay continues to leverage AI and big data analytics to understand user behavior and consumption preferences, driving personalized recommendations and precision marketing to enhance merchants' marketing efficiency and operational performance. Looking ahead, the Company will further integrate emerging technologies such as AI and AR to optimize marketing services and merchant backend systems, strengthen user experience and engagement, and improve advertising targeting accuracy and overall marketing effectiveness. In addition, in response to growing demand for overseas payments, the Company will accelerate its international market expansion, deepen strategic partnerships, expand overseas payment scenarios and services, and optimize content platforms to enhance the cross-border payment experience, while continuously adjusting operational strategies to consolidate competitive advantages.

Looking ahead to 2026, LINE Pay will position "Be Better" as its brand core and, on a solid foundation, continue to drive service and technology upgrades, expand diversified application scenarios, and deepen its pivotal role among users, merchants, and partners to enhance platform value and generate long-term shareholder returns. At the same time, LINE Pay will continue to strengthen service quality and risk management, uphold sustainable development principles, and strive to become a long-term trusted service partner in people's daily lives, creating sustainable value together with society.

Chairman and CEO
Woongju Jeong

March 31, 2026

II. Corporate Governance Report

Information on Directors, President, Vice Presidents, Assistant Vice Presidents, and Heads of Departments and Branch Offices

(1) Information of Directors and Supervisors

March 31, 2026; Unit: No. of shares, %

Job title	Nationality or place of registration	Name	Gender, age	Date of election / appointment to current term	Term of office (years)	Commencement date of first term	No. of shares held at time of election		No. of shares currently held		Shares currently held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in the company and/or in any other company	Other officer(s), director(s), or supervisor(s) with which the person has a relationship of spouse or relative within the second degree			Remark (s)
							No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)			Job title	Name	Relation ship
Chairman	Republic of Korea	LINE Financial Corporation	-	2024/1/2	3	2023/1/16	41,007,726	68.35	39,506,726	58.10	-	-	-	-	-	-	-	-	-	-
	Republic of Korea	Representative Woongju Jeong	Male 51~60	2024/1/2	3	2023/1/16	-	-	7,000	0.010	-	-	-	-	Master's degree, Graduate School of Computer Engineering, Yonsei University Head of Naver payment, Naver Corporation Director, RABBIT-LINE PAY COMPANY LIMITED	CEO, LINE Pay Taiwan Limited Chairman, LINE Pay EPI Taiwan Limited CPO & Director, LINE Financial Corporation Director & CSO, LINE Pay Plus Corporation Director, LINE Bank Taiwan Limited	-	-	-	(Note)
Director	Republic of Korea	LINE Financial Corporation	-	2024/1/2	3	2023/1/16	41,007,726	68.35	39,506,726	58.10	-	-	-	-	-	-	-	-	-	-
	Republic of Korea	Representative Ohyun Kwon	Female 41~50	2024/1/2	3	2024/1/2	-	-	-	-	-	-	-	-	Bachelor of department of Economics, Seoul National University Finance Manager, LINE Plus Corporation Finance Manager, NAVER Group Internal Auditor, NAVER Group KICPA, Arthur Andersen Accounting Firm	Head of F Corp. Planning, LINE Financial Corporation Director, LINE Financial Corporation Director, LINE Pay Plus Corporation	-	-	-

Job title	Nationality or place of registration	Name	Gender, age	Date of election / appointment to current term	Term of office (years)	Commencement date of first term	No. of shares held at time of election		No. of shares currently held		Shares currently held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in the company and/or in any other company	Other officer(s), director(s), or supervisor(s) with which the person has a relationship of spouse or relative within the second degree			Remark(s)
							No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)			Job title	Name	Relationship
Director	Republic of Korea	LINE Financial Corporation	-	2024/1/2	3	2023/1/16	41,007,726	68.35	39,506,726	58.10	-	-	-	-	-	-	-	-	-	-
	R.O.C	Representative Harris Chang	Male 51~60	2024/1/2	3	2024/1/2	37,475	0.062	43,875	0.065	-	-	-	-	Master's degree, Department of Civil Engineering, National Taiwan University Bachelor's degree, Department of Civil Engineering, National Taiwan University President, China Steel Corporation Chairman, United Steel Engineering & Construction Corp. President, Kaohsiung Rapid Transit Corporation Chairman, iPASS Corporation Executive Vice President, Service Management, LINE Pay Taiwan Limited	General Manager, LINE Pay EPI Taiwan Limited	-	-	-	-
Director	Republic of Korea	LINE Financial Corporation	-	2024/1/2	3	2023/1/16	41,007,726	68.35	39,506,726	58.10	-	-	-	-	-	-	-	-	-	-
	R.O.C	Representative Celeste Chang	Female 41~50	2024/1/2	3	2023/1/16	53,535	0.089	57,535	0.085	-	-	-	-	Bachelor's degree, Department of Business Administration, National Chin-Yi University of Technology Vice President, CTBC Bank Co., Ltd. Section Chief, EASYCARD Corporation	Senior Vice President, Business Development, LINE Pay Taiwan Limited	-	-	-	-

Job title	Nationality or place of registration	Name	Gender, age	Date of election / appointment to current term	Term of office (years)	Commencement date of first term	No. of shares held at time of election		No. of shares currently held		Shares currently held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in the company and/or in any other company	Other officer(s), director(s), or supervisor(s) with which the person has a relationship of spouse or relative within the second degree			Remark(s)
							No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)			Job title	Name	Relationship
Director	R.O.C.	Taipei Fubon Commercial Bank Co., Ltd.	-	2024/1/2	3	2018/10/9	11,708,963	19.51	11,708,963	17.22	-	-	-	-	-	-	-	-	-	-
	R.O.C.	Representative Andy Chen	Male 51~60	2024/1/2	3	2019/5/13	-	-	-	-	-	-	-	-	MBA, Bernard M. Baruch College of the City University of New York, USA
Head of Consumer Finance and Credit
Card Division, Taipei Fubon Commercial Bank Co., Ltd.
Head of Digital Banking Division, Taipei Fubon Commercial Bank Co., Ltd.
Chief Digital Banking Officer, Taipei Fubon Commercial Bank Co., Ltd.
Chief Risk Officer, Taipei Fubon Commercial Bank Co., Ltd.	Executive Vice President, Taipei Fubon Commercial Bank Co., Ltd.
Supervisor, Fubon Asset Management Co., Ltd.
Director, Taiwan Mobile Payment Co., Ltd.
Director, Fubon Insurance Co., Ltd.	-	-	-	-
Independent Director	R.O.C.	Josephine Peng	Female 61~70	2024/1/2	3	2024/1/2	-	-	-	-	-	-	-	-	Master's degree in Business Administration, Central State University, Oklahoma, USA
Bachelor's degree, Department of Business Administration, National Chung Hsing University Special Consultant, Lee and Li
Senior Consultant, Lee and Li Managing Partner, L&L, Leaven & Co., CPAs (LLL)	Independent Director, Formosa I Wind Power Co., Ltd.	-	-	-	-

Job title	Nationality or place of registration	Name	Gender, age	Date of election / appointment to current term	Term of office (years)	Commencement date of first term	No. of shares held at time of election		No. of shares currently held		Shares currently held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in the company and/or in any other company	Other officer(s), director(s), or supervisor(s) with which the person has a relationship of spouse or relative within the second degree
							No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)			Job title	Name	Relationship
														Managing Partner, Yunzhi United CPA Firm Supervisor, Taiwan Cooperative Bank
Independent Director	R.O.C.	Ben Liu	Male 51~60	2024/1/2	3	2024/1/2	-	-	-	-	-	-	-	-	Ph.D. in Law, National Chengchi University Attorney-at-law, Perkins Coie LLP Attorney-at-law, Yongyun International Law Firm Attorney-at-law, Lee and Li	Senior Partner, InfoShare Tech Law Office Director, Living Grace Charity Foundation Independent Director, Foresee Pharmaceuticals Co., Ltd.	-	-	-
Independent Director	R.O.C.	Kay Lin	Female 41~50	2024/1/2	3	2024/1/2	-	-	-	-	-	-	-	-	Master’s degree in Computer Science and Information Engineering, National Taiwan University Bachelor’s degree in Computer Science and Information Engineering, National Taiwan University Vice President of Products, Ubitus Inc. Technology Management Manager, HTC Corporation Senior Engineer, China Software Development Lab, IBM	Managing Partner, Darwin Venture Management Chairman, Darwin Intelligence Independent Director, GTM Holdings Independent Director, Mikobeaute International Director, Darwin Angel Investment Corporation Director, Bi-ying Investment Corporate Director, inline Group Ltd. Corporate Director, Eastern Union Interactive Corporate Director, FunNow Ltd.	-	-	-

Job title	Nationality or place of registration	Name	Gender, age	Date of election / appointment to current term	Term of office (years)	Commencement date of first term	No. of shares held at time of election		No. of shares currently held		Shares currently held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in the company and/or in any other company	Other officer(s), director(s), or supervisor(s) with which the person has a relationship of spouse or relative within the second degree			Remark(s)
							No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)	No. of shares	Shareholding Ratio (%)			Job title	Name	Relationship
																Corporate Director, Traveler Co., Ltd. Supervisor, Xiangwan Ltd.
Independent Director	R.O.C.	Andrew Lu	Male 31~40	2024/1/2	3	2024/1/2	-	-	-	-	-	-	-	-	Master's degree, Department of Entomology, National Taiwan University Bachelor's degree, Department of Life Science, Tunghai University Editor-in-Chief, PanSci Deputy Director of Content, PanMedia Researcher, Media Innovation and Development Center, UDN Group Deputy Executive Director, Management Department, Zephyr Foundation Adjunct Lecturer, English Taught Program in Smart Service Management, Shih Chien University Chief Content Officer, Scientific Taiwan Co., Ltd.	Co-founder and CEO, OMNInsight, Inc. Independent Director, CARRY International Co., Ltd. Director, Gu-si Co., Ltd.	-	-	-	-

Note : The chairman and CEO of the Company are the same person in that the chairman's extensive technical experience and network of contacts in the industry greatly contribute to the overall technological innovation and business expansion of the Company. In addition, at the special meeting of shareholders held on January 2, 2024, the Company elected new directors across the Board, with 4 new independent directors, established functional committees to strengthen the functions of independent directors, and replaced supervisors with the Audit Committee to further align with the goals of corporate governance and strengthen the supervisory function of the Board of Directors.

<1> Major Shareholders of Institutional Shareholders

March 30, 2026

Institutional Shareholder	Major Shareholders of Institutional Shareholders	Shareholding Ratio(%)
LINE Financial Corporation (Note 1)	LY Corporation	100
Taipei Fubon Commercial Bank Co., Ltd. (Note 2)	Fubon Financial Holding Co., Ltd.	100

Note 1 : The data of LINE Financial Corporation is retrieved from its official corporate website.
Note 2 : The data of Taipei Fubon Commercial Bank Co., Ltd. is retrieved from Company Registration and Business Registration Database, Administration of Commerce, Ministry of Economic Affairs.

<2> Major Shareholders of Major Institutional Shareholders

March 30, 2026

Institutional Shareholder	Major Shareholders of Institutional Shareholders	Shareholding Ratio(%)
LY Corporation (Note 1)	A Holdings Corporation	62.4
	The Master Trust Bank of Japan, Ltd. (Trust Account)	6.4
	Custody Bank of Japan, Ltd. (Trust account)	2.3
	State Street Bank and Trust Company 505325	1.8
	State Street Bank and Trust Company 505001	1.5
	JP Morgan Chase Bank 385632	1.4
	State Street Bank and Trust Company 505103	1.0
	State Street Bank West Client-Treaty 505234	0.9
	State Street Bank and Trust Company 505223	0.8
	JP Morgan Chase Bank 385781	0.6
Fubon Financial Holding Co., Ltd. (Note 2)	Taipei City Government	13.07
	Ming Dong Co., Ltd.	8.34
	Dao Ying Co., Ltd.	7.62
	Capital TIP Customized Taiwan Select High Dividend ETF	3.97
	Richard M. Tsai	3.15
	Hung Fu Investment Co., Ltd.	2.59
	New Labor Pension Fund	2.31
	Hope Fine Investments Ltd.	2.29
	Daniel M. Tsai	2.17
	Chung Shing Development Co., Ltd.	1.40

Note 1 : The data of LY Corporation is retrieved from the company's official website.
Note 2 : The data of Fubon Financial Holding Co., Ltd. is retrieved from the company's official website.

<3> Disclosure of Information Regarding the Professional Qualifications of Directors and Supervisors and the Independence of Independent Directors

| Qualifications
Name | Professional qualification and experience | Compliance of Independence | Number of
Other Public
Companies
Concurrently
Serving as an
Independent
Director |
| --- | --- | --- | --- |
| Woongju Jeong Chairman | Possesses many years of experience in the financial and payment industry market, with capabilities in corporate management and leadership, and no circumstances regarding Article 30 of the Company Act are found. | Not having a marital relationship or a relative within the second degree of kinship to any other director, and no circumstances regarding Article 26-3, paragraph 3 and paragraph 4 of the Securities and Exchange Act are found. | 0 |
| Ohyun Kwon Director | Possesses professional knowledge and relevant work experience in finance and internal auditing, and no circumstances regarding Article 30 of the Company Act are found. | | 0 |
| Harris Chang Director | Possesses professional and extensive experience in payment service development, and no circumstances regarding Article 30 of the Company Act are found. | | 0 |
| Celeste Chang Director | Possesses many years of experience in businesses related to the financial and payment industry, with profound experience in leading business teams, and no circumstances regarding Article 30 of the Company Act are found. | | 0 |
| Andy Chen Director | Possesses extensive knowledge and experience in the financial industry, and no circumstances regarding Article 30 of the Company Act are found. | | 0 |
| Josephine Peng Independent Director | Previously served as Special Consultant and Senior Consultant at Lee and Li; Managing Partner at L&L, Leaven & Co., CPAs (LLL); Managing Partner at Yunzhi United CPA Firm; and Supervisor at Taiwan Cooperative Bank. Currently serves as an Independent Director of Formosa I Wind Power Co., Ltd. Possesses professional knowledge and relevant work experience in finance and accounting, and no circumstances regarding Article 30 of the Company Act are found. | 1. Not having a marital relationship or a relative within the second degree of kinship to any other director, and the independence and qualification requirements stipulated in the Regulations Governing Appointment of Independent Directors and Compliance Matters for Public Companies and Article 14-2 of the Securities and Exchange Act are met.
2. No remuneration has been received for providing commercial, legal, financial, accounting, or other services to the Company or its | 1 |
| Ben Liu Independent Director | Possesses professional knowledge and relevant work experience in law, and no circumstances regarding Article 30 of the Company Act are found. | | 1 |

<4> Diversity and Independence of the Board of Directors

i. Diversity of the Board of Directors: According to Article 20 of the Company's "Corporate Governance Best Practice Principles" and Article 2 of the "Procedure for Election of Directors", diversity shall be taken into account regarding the composition of members of the Board of Directors, and appropriate diversity policies shall be formulated based on its own operation, types of operation, and development needs, and shall include but not be limited to the following two major aspects:

① Fundamental Criteria and Values: Gender, age, nationality, cultural background, among others. Professional Knowledge and Skills:

② Professional background, expertise, and industry experience, among others.

Specific management goals and goal achievement status of the Company's diversity policy are as follows:

Category	Criteria	Achievement status
Composition of seats	The Board of Directors shall be composed of a total of 9 seats, including 5 regular directors and 4 independent directors.	Achieved
Gender	The proportion of female directors shall reach one-third of the total number of seats of the Board.	Achieved
Term of office	Independent directors may serve a maximum of 3 consecutive terms.	Achieved
Holding of concurrent posts	Independent directors shall not concurrently hold positions as directors or supervisors (including independent directors) of more than 5 TWSE-listed or TPEx-listed companies.	Achieved
Diversified capabilities	Diversified capabilities shall include business judgment, accounting and financial analysis skills, crisis management capabilities, international market insight, leadership, decision-making capabilities, and business management skills.	Achieved

The implementation of board member diversity by the Company in 2025 is as follows:

Core items on diversity Name of directors	Fundamental criteria and values								Capabilities
	Nationality	Gender	Concurrently serving as an employee	Age				Term of office of independent directors	3 years or less	Accounting and financial analysis	Crisis management	International market insight	Leadership	Decision-making	Business management
				30-40	41-50	51-60	Above 60
Woongju Jeong	Republic of Korea	Male	V			V			V	V	V	V	V	V	V
Ohyun Kwon	Republic of Korea	Female			V				V	V	V	V	V	V	V
Harris Chang	R.O.C.	Male				V			V		V	V	V	V	V
Celeste Chang	R.O.C.	Female	V		V				V		V	V	V	V	V
Andy Chen	R.O.C.	Male				V			V	V	V	V	V	V	V
Josephine Peng	R.O.C.	Female					V	V	V	V	V	V	V	V	V
Ben Liu	R.O.C.	Male				V		V	V	V	V	V	V	V	V
Kay Lin	R.O.C.	Female			V			V	V	V	V	V	V	V	V
Andrew Lu	R.O.C.	Male		V				V	V		V	V	V	V	V

ii. Independence of the Board of Directors

① The Company's Board of Directors consists of 9 directors, including 4 independent directors (Independent directors account for 44.4% of the total number of board seats) and 5 non-independent directors (55.6%). Particularly, 2 are employees of the Company (22.2%) and 4 are female (44.4%). To enhance the independence and operational efficiency of the Board of Directors, the Company has formulated the "Rules Governing the Scope of Powers of Independent Directors." All independent directors adhere to these rules in carrying out their duties, and during their term of office, none of them have established relationships with the management or related parties of the Company that may harm the Company's interests or result in unfair judgments. All 4 independent directors are able to independently and effectively oversee the operations of the Board of Directors.

② The members of the Board of Directors generally possess the knowledge, skills, and qualities necessary to carry out their duties. The Board of Directors is committed to continuously assessing the independence of directors, considering all relevant factors, including whether a director can consistently raise constructive questions for the management and other directors, and

whether his or her expressed views are independent of the management or other directors.

③ The aforementioned members of the Board of Directors have not involved in any circumstances stipulated in Article 26-3, paragraph 3 and paragraph 4 of the Securities and Exchange Act, and there is no relationship of spouse or relative within the second degree of kinship among the directors.

(2) Information on President, Vice President, Assistant Vice President, and Heads of Departments and Branch Offices
March 31, 2026; Unit: No. of shares, %

Title	Nationality	Name	Gender	Date of appointment (election) to position	No. of shares held		Shares held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in any other company at present	Other managerial officer(s) with which the person has a relationship of spouse or relative within the second degree
					No. of shares	Share-holding ratio	No. of shares	Share-holding ratio	No. of shares	Share-holding ratio			Title	Name	Relationship
Chairman and CEO (Note 1)	Republic of Korea	Woongju Jeong	Male	2016/11/1	7,000	0.010	-	-	-	-	Master's degree, Graduate School of Computer Engineering, Yonsei University Head of Naver payment, Naver Corporation Director, RABBIT-LINE PAY COMPANY LIMITED	Chairman, LINE Pay EPI Taiwan Limited CPO & Director, LINE Financial Corporation Director & CSO, LINE Pay Plus Corporation Director, LINE Bank Taiwan Limited	-	-	-
Senior Vice President	R.O.C.	Celeste Chang	Female	2023/9/26	57,535	0.085	-	-	-	-	Bachelor's degree, Department of Business Administration, National Chin-Yi University of Technology Vice President, CTBC Bank Co., Ltd. Section Chief, EASYCARD Corporation	-	-	-	-
Senior Vice President	Republic of Korea	Young Hwa Yuk	Female	2023/9/26	4,000	0.006	-	-	-	-	Master of Interpretation and Translation, Korea-Chinese Department, Hankuk University of Foreign Studies Bachelor of Chinese Language and Literature, Yonsei University	-	-	-

Title	Nationality	Name	Gender	Date of appointment (election) to position	No. of shares held		Shares held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in any other company at present	Other managerial officer(s) with which the person has a relationship of spouse or relative within the second degree			Remark (s)
					No. of shares	Share-holding ratio	No. of shares	Share-holding ratio	No. of shares	Share-holding ratio			Title	Name	Relationship
Vice President	R.O.C.	Webber Su	Male	2023/9/26	53,535	0.079	-	-	-	-	Bachelor’s degree, Department of Computer Science & Information Engineering, National United University Bachelor’s degree, Department of Civil and Disaster Prevention Engineering, National United University Master’s degree, Department of Civil Engineering, National Taiwan University Co-founder, Zhen-yuan International Technology Information Co., Ltd.	-	-	-	-	-
Vice President	R.O.C.	Melody Kuo	Female	2023/9/26	21,414	0.031	-	-	-	-	Bachelor’s degree, Department of Political Science, National Taiwan University Master’s degree, Graduate Institute of Intellectual Property Management, National Chengchi University Senior Marketing Manager, ASUSTek Computer Inc.	-	-	-	-	-

Title	Nationality	Name	Gender	Date of appointment (election) to position	No. of shares held		Shares held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in any other company at present	Other managerial officer(s) with which the person has a relationship of spouse or relative within the second degree			Remark (s)
					No. of shares	Share-holding ratio	No. of shares	Share-holding ratio	No. of shares	Share-holding ratio			Title	Name	Relationship
Vice President and Chief Corporate Governance Officer	R.O.C.	Candace Chiu	Female	2023/9/26 (Note 2)	32,982	0.049	-	-	-	-	LL.M., Northwestern University, USA Vice President, Citibank (Taiwan) Limited Admitted to Taiwan Bar Association/Admitted to New York Bar Association	-	-	-	-	-
Vice President and Finance and Accounting Manager	R.O.C.	Reffy Hung	Female	2022/5/25 (Note 3)	37,475	0.055	-	-	-	-	Bachelor’s degree, Department of Accountancy, National Taipei University Audit Team Lead, Deloitte Taiwan Assistant Manager of Accounting, LINE Taiwan Limited	-	-	-	-	-
Vice President	R.O.C	Tiffany Tai	Female	2026/3/10	37,475	0.055	-	-	-	-	Master’s degree, MBA Program, National Chengchi University	-	-	-	-	-
Vice President	R.O.C	Dale Lee	Male	2026/3/10	39,475	0.058	-	-	-	-	Master’s degree, The Executive MBA Program in International Business Management, College of Management of National Taiwan University Partnerships Manager, Proprietary Card Services, American Express Taiwan, Inc.	-	-	-	-	-

Title	Nationality	Name	Gender	Date of appointment (election) to position	No. of shares held		Shares held by spouse and minor children		Shares held through nominees		Principal work experience and academic qualifications	Positions held concurrently in any other company at present	Other managerial officer(s) with which the person has a relationship of spouse or relative within the second degree			Remark (s)
					No. of shares	Share-holding ratio	No. of shares	Share-holding ratio	No. of shares	Share-holding ratio			Title	Name	Relationship
Vice President	R.O.C	Peter Lin	Male	2026/3/10	37,725	0.055	-	-	-	-	Bachelor's degree, Department of Banking and Finance, Tamkang University Manager, CTBC Bank Co., Ltd.	-	-	-	-	-
Audit Manager	R.O.C.	Ming Tai	Female	(Note 4)	-	-	-	-	-	-	Bachelor's degree, Accounting Department, Aletheia University Finance Officer, Dacome International Ltd. Assistant Finance Manager, Formosa Wireless Communication Corp. Chief Audit Officer, iPASS Corporation	-	-	-	-	-

Note 1 : The chairman and CEO of the Company are the same person in that the chairman's extensive technical experience and network of contacts in the industry greatly contribute to the overall technological innovation and business expansion of the Company. In addition, at the special meeting of shareholders held on January 2, 2024, the Company elected new directors across the Board, with 4 new independent directors, established functional committees to strengthen the functions of independent directors, and replaced supervisors with the Audit Committee to further align with the goals of corporate governance and strengthen the supervisory function of the Board of Directors.
Note 2 : The appointment of Vice President was approved by the Board of Directors on September 26, 2023. The appointment of Chief Corporate Governance Officer was approved by the Board of Directors on March 28, 2024.
Note 3 : The appointment of the Finance Manager was approved by the Board of Directors on May 25, 2022. The appointment of the Accounting Manager was approved by the Board of Directors on December 27, 2022. The appointment of Vice President was approved by the Board of Directors on March 10, 2026.
Note 4 : The change of Chief Internal Audit Manager was approved by the Board of Directors on August 26, 2025, and became effective on September 10, 2025.

Remuneration Paid to Directors, President, Vice Presidents, and Other Persons in Equivalent Positions in Most Recent Year

(1) Remuneration to Directors and Independent Directors:

Job title	Name	Remuneration to directors								Sum of A+B+C+D and ratio to net income (Note 7)
		Base compensation (A) (Note 1)		Retirement pay and pension (B)		Director profit-sharing compensation (C) (Note 2)		Expenses and perquisites (D) (Note 3)
		The Company	All consolidated entities (Note 6)	The Company	All consolidated entities (Note 6)	The Company	All consolidated entities (Note 6)	The Company	All consolidated entities (Note 6)	The Company	All consolidated entities
Chairman	Woongju Jeong	2,880,000	2,880,000	-	-	-	-	774,000	774,000	3,654,000
0.72%	3,654,000
0.72%
Director	Ohyun Kown
Director	Harris Chang
Director	Celeste Chang
Director	Andy Chen
Independent Director	Josephine Peng
Independent Director	Ben Liu
Independent Director	Kay Lin
Independent Director	Andrew Lu

The fiscal year of 2025; Unit: NT$

Remuneration received by directors for concurrent service as an employee								Sum of A+B+C+D+E+F+G and ratio to net income (Note 7)	Remuneration received from investee enterprises other than subsidiaries or from the parent company (Note 8)
Salary, rewards, and special disbursements (E) (Note 4)		Retirement pay and pension (F)		Employee profit-sharing compensation (G) (Note 5)
The Company	All consolidated entities (Note 6)	The Company	All consolidated entities (Note 6)	The Company		All consolidated entities (Note 6)		The Company		All consolidated entities
				Amount in cash	Amount in stock	Amount in cash	Amount in stock		Amount in stock
41,341,051	43,092,853	184,800	189,000	283,414	-	283,414	-	45,463,265 8.96%	47,219,267 9.31%	6,977,369
1. Please describe the policy, system, standards and structure in place for paying remuneration to directors and describe the relationship of factors such as the duties and risks undertaken and time invested by the directors to the amount of remuneration paid: At the special meeting of shareholders held on January 2, 2024, the Company elected new directors across the Board, with 4 new independent directors. The independent directors receive fixed remuneration, in accordance with Remuneration Policy for Directors and Managerial Officers, monthly regardless of profit or loss, and are not involved in the distribution of director compensation.
2. In addition to what is disclosed in the above table, please specify the amount of remuneration received by directors in the most recent fiscal year for providing services (e.g., for serving as a non-employee consultant to the parent company /any consolidated entities/invested enterprises): None.

Remuneration Range Table

Ranges of remuneration paid to each of the Company's directors	Names of Directors
	Sum of A+B+C+D		Sum of A+B+C+D+E+F+G
	The Company (Note 9)	All consolidated entities (Note 10)	The Company (Note 9)	Parent company and all investee enterprises (Note 10)
Less than NT$1,000,000	Woongju Jeong, Ohyun Kown, Harris Chang, Celeste Chang, Andy Chen, Josephine Peng, Ben Liu, Kay Lin, Andrew Lu	Woongju Jeong, Ohyun Kown, Harris Chang, Celeste Chang, Andy Chen, Josephine Peng, Ben Liu, Kay Lin, Andrew Lu	Andy Chen, Josephine Peng, Ben Liu, Kay Lin, Andrew Lu	Andy Chen, Josephine Peng, Ben Liu, Kay Lin, Andrew Lu
NT$1,000,000 (incl.) ~ NT$2,000,000 (excl.)	-	-	-	Harris Chang
NT$2,000,000 (incl.) ~ NT$3,500,000 (excl.)	-	-	-	-
NT$3,500,000 (incl.) ~ NT$5,000,000 (excl.)	-	-	-	-
NT$5,000,000 (incl.) ~ NT$10,000,000 (excl.)	-	-	Celeste Chang, Ohyun Kown, Harris Chang	Celeste Chang, Ohyun Kown
NT$10,000,000 (incl.) ~ NT$15,000,000 (excl.)	-	-	-	-
NT$15,000,000 (incl.) ~ NT$30,000,000 (excl.)	-	-	Woongju Jeong	Woongju Jeong
NT$30,000,000 (incl.) ~ NT$50,000,000 (excl.)	-	-	-	-
NT$50,000,000 (incl.) ~ NT$100,000,000 (excl.)	-	-	-	-
NT$100,000,000 or above	-	-	-	-
Total	9 persons in total	9 persons in total	9 persons in total	9 persons in total

Note 1 : This refers to director base compensation in the fiscal year of 2025 (including director salary, duty allowances, severance pay, and various rewards and incentives, etc.).
Note 2 : This refers to director profit-sharing compensation approved by the Board of Directors for distribution for the fiscal year of 2025.
Note 3 : This refers to director expenses and perquisites in the fiscal year of 2025 (including travel expenses, special disbursements, stipends of any kind, and provision of facilities such as accommodations or vehicles, etc.).
Note 4 : This includes remuneration received by a director for concurrent service as an employee in 2025 (including concurrent service as general manager, assistant general manager, other managerial officer, or non-managerial employee) including salary, duty allowances, severance pay, rewards, incentives, travel expenses, special disbursements, stipends of any kind, and provision of facilities such as accommodations or vehicles, etc. Additionally, salary expenses recognized as share-based payment under IFRS 2—including employee share subscription warrants, new restricted employee shares, and participation in share subscription under a rights offering, etc.—are included in the calculation of remuneration.
Note 5 : This refers to employee profit-sharing compensation (including stocks and cash) received by a director for concurrent service as an employee in the fiscal year of 2025 (including concurrent service as general manager, assistant general manager, other managerial officer, or non-managerial employee). The employee profit-sharing compensation for the fiscal year of 2025 has not yet been distributed in the fiscal year of 2026.
Note 6 : This refers to remuneration in each category paid to the directors of the Company by all companies in the consolidated financial report (including the Company).
Note 7 : Net income means the net income (or loss) after tax on the parent company only financial report for the fiscal year of 2025.
Note 8 : This refers to remuneration received by directors for serving in capacities such as director, supervisor, or managerial officer at investee companies other than subsidiaries or at the parent company, including base compensation, profit-sharing compensation (including employee, director, and supervisor profit-sharing compensation) and expenses and perquisites for the fiscal year of 2025.
Note 9 : The sum total of the remuneration in the indicated categories paid to each director by the Company.
Note 10 : The sum total of the remuneration in the indicated categories paid to each director of the Company by all companies in the consolidated financial report (including the Company).

(2) Remuneration to General Manager(s), Assistant General Manager(s), and Other Persons in Equivalent Positions:
The fiscal year of 2025; Unit: NT$

Job title	Name	Salary (A) (Note 1)		Retirement pay and pension (B)		Rewards and special disbursements (C) (Note 2)		Employee profit-sharing compensation (D) (Note 3)				Sum of A+B+C+D and ratio to net income (%) (Note 5)		Remuneration received from investee enterprises other than subsidiaries or from the parent company (Note 6)
		The Company	All consolidated entities (Note 4)	The Company	All consolidated entities (Note 4)	The Company	All consolidated entities (Note 4)	The Company		All consolidated entities (Note 4)		The Company	All consolidated entities
								Amount in cash	Amount in stock	Amount in cash	Amount in stock
CEO	Woongju Jeong	48,061,677	48,061,677	854,832	854,832	21,511,029	21,511,029	694,192	-	694,192	-	71,121,730 14.02%	71,121,730 14.02%	None
Executive Vice President	Harris Chang (Note 9)
Senior Vice President	Celeste Chang
Senior Vice President	Young Hwa Yuk
Vice President	Ashley Wu (Note 10)
Vice President	Bill Chan (Note 11)
Vice President	Webber Su
Vice President	Melody Kuo
Vice President and Chief Corporate Governance Officer	Candace Chiu

Remuneration Range Table

Ranges of remuneration paid to each of the Company's general manager(s), assistant general manager(s), and other persons in equivalent positions	Names of general manager(s), assistant general manager(s), and other persons in equivalent positions
	The Company (Note 7)	All consolidated entities (Note 8)
Less than NT$1,000,000	-	-
NT$1,000,000 (incl.) ~ NT$2,000,000 (excl.)	-	-
NT$2,000,000 (incl.) ~ NT$3,500,000 (excl.)	Ashley Wu, Melody Kuo	Ashley Wu, Melody Kuo
NT$3,500,000 (incl.) ~ NT$5,000,000 (excl.)	Bill Chan, Webber Su	Bill Chan, Webber Su
NT$5,000,000 (incl.) ~ NT$10,000,000 (excl.)	Harris Chang, Celeste Chang, Candace Chiu	Harris Chang, Celeste Chang, Candace Chiu
NT$10,000,000 (incl.) ~ NT$15,000,000 (excl.)	Young Hwa Yuk	Young Hwa Yuk
NT$15,000,000 (incl.) ~ NT$30,000,000 (excl.)	Woongju Jeong	Woongju Jeong
NT$30,000,000 (incl.) ~ NT$50,000,000 (excl.)	-	-
NT$50,000,000 (incl.) ~ NT$100,000,000 (excl.)	-	-
NT$100,000,000 or more	-	-
Total	9 persons in total	9 persons in total

Note 1 : This includes salary, duty allowances, and severance pay to the general manager(s), assistant general manager(s), and other persons in equivalent positions in the fiscal year of 2025.
Note 2 : This includes the amounts of all types of rewards, incentives, travel expenses, special disbursements, stipends of any kind, provision of facilities such as accommodations or vehicle, and other compensation to the general manager(s), assistant general managers(s), and other persons in equivalent positions in the fiscal year of 2025. Additionally, salary expenses recognized as share-based payment under IFRS 2—including employee share subscription warrants, new restricted employee shares, and participation in share subscription under a rights offering etc.—should be included in the calculation of remuneration.
Note 3 : This refers to employee profit-sharing compensation (including stocks and cash) received by the general manager(s), assistant general manager(s), and other persons in equivalent positions as approved by the Board of Directors for the fiscal year of 2025. The employee profit-sharing compensation for the fiscal year of 2025 has not yet been distributed in the fiscal year of 2026.
Note 4 : The total amount of remuneration in each category paid to the general manager(s), assistant general manager(s), and other persons in equivalent positions by all companies in the consolidated financial report (including the Company).
Note 5 : Net income means the net income (or loss) after tax on the parent company only financial report for the fiscal year of 2025.
Note 6 : This refers to remuneration received by the general manager(s), assistant general manager(s), and other persons in equivalent positions of the Company for serving in capacities such as director, supervisor, or managerial officer at investee companies other than subsidiaries or at the parent company, including base compensation, profit-sharing compensation (including employee, director, and supervisor profit-sharing compensation), and expenses and perquisites for the fiscal year of 2025.
Note 7 : The sum total of the remuneration in the indicated categories paid to each general manager, assistant general manager, and other persons in equivalent positions by the Company.
Note 8 : The sum total of the remuneration in the indicated categories paid to each general manager, assistant general manager, and other persons in equivalent positions of the Company by all companies in the consolidated financial report (including the Company).
Note 9 : Transferred to serve as General Manager of the subsidiary, LINE Pay EPI Taiwan Limited, on September 17, 2025; accordingly, ceased to serve as a managerial officer of the Company as of the same date.
Note 10 : Resigned on August 12, 2025 due to personal career planning.
Note 11 : Relieved of position on March 10, 2026 due to internal job reallocation.
Note 12 : The remuneration of the President and Vice Presidents disclosed herein covers the period of 2025. The appointments of the newly appointed Vice Presidents, Tiffany Tai, Dale Lee, and Peter Lin, were approved by the Board of Directors on March 10, 2026. As their appointments did not fall within the service period of 2025, they are not included in this disclosure.

(3) Names and Distributions of Employee Profit-Sharing Compensation to Managerial Officers

The fiscal year of 2025; Unit: NT$

Job title		Name	Amount in stock (Note 1)	Amount in cash (Note 1)	Total (Note 1)	As a % of net profit (Note 2)
Managerial officers	Chairman and CEO	Woongju Jeong	-	899,194	899,194	0.177%
	Senior Vice President	Celeste Chang
	Senior Vice President	Young Hwa Yuk
	Vice President	Bill Chan
	Vice President	Webber Su
	Vice President	Melody Kuo
	Vice President and Chief Corporate Governance Officer	Candace Chiu
	Vice President and Finance and Accounting Manager	Reffy Hung
	Vice President	Tiffany Tai
	Vice President	Dale Lee
	Vice President	Peter Lin

Note 1 : This refers to the amount of employee profit-sharing compensation received by the managerial officers as expected to be approved by the Board of Directors for the fiscal year of 2025 by calculating pro-rata to the amount that was actually distributed in the fiscal year of 2024.
Note 2 : Net income means the net income (or loss) after tax on the parent company only financial report for the fiscal year of 2025.

(4) Separately compare and describe total remuneration, as a percentage of net income stated in the parent company only financial reports or individual financial reports, as paid by this company and by each other company included in the consolidated financial statements during the past 2 fiscal years to directors, supervisors, general managers, and assistant general managers, and analyze and describe remuneration policies, standards, and packages, the procedure for determining remuneration, and its linkage to operating performance and future risk exposure:

<1> The total remuneration, as a percentage of net income stated in the parent company only financial reports or individual financial reports, as paid by this company and by each other company included in the consolidated financial statements during the past 2 fiscal years to directors, supervisors, general managers, and assistant general managers:

Analysis item Entities to which remuneration is paid	Total remuneration as a percentage of net income for the fiscal year of 2024 (%)		Total remuneration as a percentage of net income for the fiscal year of 2025 (%)
	The Company	All consolidated entities	The Company	All consolidated entities
Directors	6.96%	8.11%	8.96%	9.31%
General managers and assistant general managers	10.34%	10.34%	14.02%	14.02%

<2> Remuneration policies, standards, and packages, the procedure for determining remuneration, and its linkage to operating performance and future risk exposure:

i. Remuneration policies, standards, and packages:

① The remuneration paid to directors of the Company is determined in accordance with the Company’s Articles of Incorporation by taking into account their level of participation and contribution to the Company’s operations, as well as referring to industry standards. As well as providing reasonable compensation for business execution in recognition of independent directors' supervisory duties over the Company, their actual participation, and professional contribution (such as serving as members of functional committees or attending important business meetings upon invitation). If there is surplus profit in a fiscal year, the Company shall set aside no more than 1% out of the surplus profit as compensation of directors in accordance with Article 31 of the Company’s Articles of Incorporation and Article 4 of the Remuneration Policy for Directors and Managerial Officers, and this allocation shall be approved by the Board of Directors and submitted to the meetings of shareholders for recognition. In addition, the independent directors receive fixed remuneration, in accordance with Remuneration Policy for Directors and Managerial Officers, monthly regardless of profit or loss, and are not involved in the distribution of director compensation.

② The remuneration paid to general managers and assistant general managers includes cash compensation, stock options, stock bonuses, retirement benefits or severance pay, stipends of any kind, and other substantial incentive measures, and is determined considering their job nature, duties, operating performance, and referring to industry standards. Rewards are also given based on the Company’s annual operating performance, financial position, operational situation, and individual job performance evaluations. Additionally, if there is surplus profit in a fiscal year, the Company shall set aside no less than 1% out of the surplus profit as employees’ compensation in accordance with Article 31 of the Company’s Articles of Incorporation and Article 6 of the Remuneration Policy for Directors and Managerial Officers.

ii. Procedures for determining remuneration:

The remuneration for directors and managerial officers of the Company complies with Articles 4, 5, and 6 of the Company’s Remuneration Policy for Directors and Managerial Officers. After submission to and review by the Remuneration Committee, resolutions are made by the Board of Directors and implemented accordingly. In addition to considering the achievement rate of individual

performance and contributions to the Company (Individual performance achievement includes the execution results of policy plans as well as decision-making and execution capabilities, while contributions to the Company include the realization of core corporate values, operational management capabilities, and the associate cultivation capability), the Company's overall operating performance, as well as potential risks and development trends in the industry in the future is the deciding factor. Prompt reviews of the remuneration system are conducted if necessary, depending on the actual operational situation and relevant laws and regulations. Furthermore, current trends in corporate governance are also taken into account before the appropriate remuneration is given to reach a balance between risk management and the sustainable operation of the Company.

iii. Linkage to operating performance and future risk exposure:

The Company's remuneration policy is closely linked to its operational performance and future risks. The remuneration levels are determined based on the Company's operational status and financial performance, while also considering market changes and industry trends to ensure the Company's sound management and sustainable development.

3. Corporate Governance Operation

(1) Operation of the Board of Directors

The number of board meetings held in the most recent fiscal year (2025) was: 7 (A). The attendance by the directors was as follows:

Title	Name	No. of meetings attended in person (B)	No. of meetings attended by proxy	In-person attendance rate (%) { B/A }	Remark(s)
Chairman	LINE Financial Corporation Representative: Woongju Jeong	7	0	100%	-
Director	LINE Financial Corporation Representative: Ohyun Kwon	7	0	100%	-
Director	LINE Financial Corporation Representative: Harris Chang	7	0	100%	-
Director	LINE Financial Corporation Representative: Celeste Chang	7	0	100%	-
Director	Taipei Fubon Commercial Bank Co., Ltd. Representative: Andy Chen	7	0	100%	-
Independent Director	Josephine Peng	7	0	100%	-
Independent Director	Ben Liu	7	0	100%	-
Independent Director	Kay Lin	7	0	100%	-
Independent Director	Andrew Lu	7	0	100%	-
Other information required to disclosed:
1. If any of the following circumstances exists, specify the board meeting date, meeting session number, content of the motion(s), the opinions of all the independent directors, and the measures taken by the Company based on the opinions of the independent directors:
(1) Any matter under Article 14-3 of the Securities and Exchange Act:
At the special meeting of shareholders held on January 2, 2024, the Company held an election of new directors across the Board, introduced 4 independent directors, and established the Audit Committee, and thus the provisions of Article 14-5 of the Securities and Exchange Act have been applied ever since. For details on matters listed in Article 14-5 of the Securities and Exchange Act, please refer to the operation of the Audit Committee.
(2) In addition to the matters referred to above, any dissenting or qualified opinion of an independent director that is on record or stated in writing with respect to any board resolution: None.

The status of implementation of recusals of directors with respect to any motions with which they may have a conflict of interest: specify the director's name, the content of the motion, the cause for recusal, and whether and how the director voted:

Date of meeting	Content of motion	Name of director(s)	Cause for recusal	Whether and how the director(s) voted
2025.1.24	Proposal for the incentive distribution for managerial officers for Year 2024	Woongju Jeong (Chairman)
Harris Chang (Director)
Celeste Chang (Director)	Due to potential conflicts of interest	Did not participate in discussion and voting
2025.1.24	Proposal for managerial officers’ salary adjustment for Year 2025	Woongju Jeong (Chairman)
Harris Chang (Director)
Celeste Chang (Director)	Due to potential conflicts of interest	Did not participate in discussion and voting
2025.1.24	Proposal for listing bonus distributed to managerial officers	Woongju Jeong (Chairman)
Harris Chang (Director)
Celeste Chang (Director)	Due to potential conflicts of interest	Did not participate in discussion and voting
2025.5.13	Proposal for managerial officer compensation distribution for Year 2024	Woongju Jeong (Chairman)
Harris Chang (Director)
Celeste Chang (Director)	Due to potential conflicts of interest	Did not participate in discussion and voting
2025.8.12	Proposal for the dismissal of a managerial officer	Harris Chang (Director)	Due to potential conflicts of interest	Did not participate in discussion and voting

The Company discloses information regarding the evaluation cycle and period, scope, methodology, and content of the Board of Directors' self-evaluation (or peer evaluation).

(1) Implementation of the Board of Directors Self-Evaluation

The Company has completed the performance evaluation of the Board of Directors for 2025, and the evaluation results were presented to the Board of Directors on March 10, 2026, as follows.

	Evaluation cycle	Evaluation period	Scope of evaluation	Method of evaluation	Evaluation content
	Once per year	2025/1/1 ~ 2025/12/31	The Board of Directors	Director and internal self-evaluation	1. Participation in the operation of the Company
2. Improvement on the quality of the board's decision making
3. Makeup and structure of the board of directors
4. Election of directors and continuing education
5. Internal control	4.97 (Excellent)
			Individual Directors	Director self-evaluation	1. Alignment of the goals and missions of the Company
2. Awareness of the duties of a director
3. Participation in the operation of the Company
4. Management of internal relationship and communication
5. The director's professionalism and continuing education
6. Internal control	4.91 (Excellent)
			The Audit Committee	Audit Committee member and internal self-evaluation	1. Participation in the operation of the Company
2. Awareness of the duties of the Audit Committee
3. Improvement of quality of decisions made by the Audit Committee
4. Makeup of the Audit Committee and election of its members
5. Internal control	4.96 (Excellent)

| | | The Remuneration Committee | Remuneration Committee member and internal self-evaluation | 1. Participation in the operation of the Company
2. Awareness of the duties of the Remuneration
3. Improvement of quality of decisions made by the Remuneration Committee
4. Makeup of the Remuneration Committee and election of its members
5. Internal control | 4.94
(Excellent) |
| --- | --- | --- | --- | --- | --- |

(2) Board Performance Evaluation Conducted by an External Independent Professional Institution

In July 2025, the Company engaged Taiwan Corporate Governance Association to conduct a board performance evaluation. The evaluation covered five major dimensions, namely board composition and division of responsibilities, guidance and oversight, delegation and risk management, communication and collaboration, and self-discipline and improvement, and was carried out through document review and on-site assessment. The evaluation period was from October 1, 2024 to September 30, 2025.

The evaluation report issued by Taiwan Corporate Governance Association was submitted to the Board of Directors on January 30, 2026. The relevant evaluation results, recommendations, and proposed improvement measures are as follows.

<1> Overall Evaluation of the Assessment Report

The Company conducted a comprehensive re-election of the Board of Directors at the first extraordinary shareholders' meeting held on January 2, 2024, at which nine directors were elected, including four independent directors. Among them, four directors are female. The composition of the Board reflects diverse backgrounds, including expertise in accounting, finance, marketing, investment, and relevant industries. Overall, the Board demonstrates professionalism, independence, and gender diversity, meeting the needs of the Company's operational development.
The Company has established two functional committees under the Board of Directors, namely the Audit Committee and the Remuneration Committee. During the evaluation period, a total of seven Board meetings (including three special Board meetings), seven Audit Committee meetings (including three special meetings), and six Remuneration Committee meetings (including two special meetings) were convened. The Chairman of the Board places emphasis on fostering a meeting culture that balances efficiency and effectiveness, fully respects the opinions of Board members, and enhances meeting efficiency through pre-meeting communications and consensus-building among directors via Board and Audit Committee pre-meetings.
The Company proactively engaged an external independent professional institution to conduct the Board performance evaluation in order to identify opportunities for improvement through an independent and objective review. During the on-site assessment, the Chairman, Independent Directors, and members of management actively participated in discussions and were receptive to recommendations aimed at

enhancing corporate governance, demonstrating the Board's commitment to strengthening governance practices and improving Board effectiveness.

<2> Evaluation Recommendations and Proposed Improvement Measures

No.	Evaluation Recommendations	Proposed Improvement Measures
1	The Company reports its annual operating plan to the Board of Directors each year. To further strengthen the Board's important role in strategic guidance, it is recommended that the Company consider holding mid- to long-term strategy meetings on an annual basis and inviting the Independent Directors and senior management team to participate. Such meetings may focus on the Company's vision and long-term development strategies, thereby facilitating the Board's effective guidance and supervision of the execution of the Company's operating strategies.	The management team will deliberate on the planning of long-term strategy meetings to be held in an appropriate format. Independent Directors will be invited to participate in these sessions.
2	Currently, the annual performance evaluation of the Chief Auditor is conducted by the Chairman. It is recommended that the Company considers allowing Independent Directors to provide preliminary feedback on the Chief Auditor's performance before submitting it to the Chairman. This would further strengthen the independence of the internal audit function and the supervisory role of the Audit Committee.	The Company will gradually evaluate the feasibility of incorporating the assessment opinions of Independent Directors into the performance evaluation mechanism for the Chief Auditor.
3	The Company has established "Management of Whistleblowing System," but the official website does not directly disclose information regarding whistleblowing channels. The whistleblowing mechanism is encouraged to be integrated with the functions of Independent Directors. It is recommended that a dedicated whistleblowing inbox be set up, accessible simultaneously by Independent Directors (or the Audit Committee) and the "Compliance Department." This channel should be disclosed on the website and in the annual report to enhance the effectiveness of the whistleblowing mechanism.	The Company has disclosed information regarding whistleblowing channels on its official website for use by internal and external stakeholders. Whistleblowing cases will be handled prudently by the receiving unit according to established procedures. Independent Directors (or the Audit Committee) will be notified immediately when necessary to ensure the independence and appropriateness of the case handling. The Company will continue to review and optimize whistleblowing arrangements based on actual operations.

Evaluation of the objectives and implementation status of strengthening board functions in the current and most recent years (e.g., establishing an Audit Committee, enhancing information transparency).

(1) To strengthen the management mechanism and ensure the soundness of the supervisory functions, the Company has established the “Remuneration Committee” and the “Audit Committee”, which convene meetings according to the committee charters approved by the Board of Directors, review and discuss relevant matters, and submit conclusions and recommendations to the Board of Directors for resolution. The committee charters approved by the Board of Directors include the number of the committee members, term of office, powers and functions, rules of procedures, and resources to be provided by the Company when the committees exercise their powers.

(2) The Company has obtained the “Directors and Officers (D&O) Liability Insurance” to mitigate the legal liability risks of directors and key employees and enhance corporate governance capabilities.

(3) The Company has established the “Rules for Performance Evaluation of Board of Directors” after approval by the Board of Directors, which expressly stipulate that an internal committee performance evaluation shall be conducted at least once a year and shall be completed by the end of the first quarter of the following year, with the evaluation results reported to the Board of Directors.

(4) The Company properly discloses relevant financial and business information through the annual report, company website, and Market Observation Post System (MOPS) to effectively enhance information transparency.

(2) Operation of the Audit Committee

The number of meetings of the Audit Committee held in most recent fiscal year (2025) was: 7

(A). The attendance by the independent directors was as follows:

Title	Name	No. of meetings attended in person (B)	In-person attendance rate (%) { B/A }	Remark(s)
Convenor	Josephine Peng	7	100%	-
Committee Member	Ben Liu	7	100%	-
Committee Member	Kay Lin	7	100%	-
Committee Member	Andrew Lu	7	100%	-

Annual work highlights:

Review of Financial Statements:
Proposals for the annual business report, financial statements, and profit distribution have been approved by the Audit Committee, submitted for resolution of the Board of Directors, and submitted to the annual general meeting of shareholders for recognition.
Evaluation of Internal Control Effectiveness:
The Company designates its internal units to conduct self-assessment of its internal control system and the implementation status on an annual basis. The Audit unit regularly reports to the Audit Committee, and submits proposals for any amendment to the internal control system and the annual internal control system statement to the Audit Committee for approval. Each year, the Audit unit holds separate communication meetings with the Audit Committee to ensure the Committee's understanding of the Company's financial situation, operating effectiveness, risk management, information security, and compliance with laws and regulations, and to evaluate the Company's internal control effectiveness.
Appointment of Certified Public Accountants:
The professional competence, independence, and reasonableness of remuneration paid to certified public accountants are evaluated by the Audit Committee on an annual basis. The Company appoints Connie Chen and Robert Yu from Deloitte & Touche as the certified public accountants for the Company. Separate communication meetings are held annually between the certified public accountants and the Audit Committee to discuss matters related to financial statements.

Other information required to be disclosed:

If any of the following circumstances exists, specify the Audit Committee meeting date, meeting session number, content of the motion(s), the content of any dissenting or qualified opinion or significant recommendation of the independent directors, the outcomes of Audit Committee resolutions, and the measures taken by the Company based on the opinions of the Audit Committee:

(1) Any matter under Article 14-5 of the Securities and Exchange Act: Please refer to the meeting dates, content of proposals and result of proposals of the Audit Committee in 2025. All proposals are approved by one half or more of the entire membership of the Audit Committee and submitted for resolution of the Board of Directors.

(2) In addition to the matters referred to above, any matter that was not approved by the audit committee but was approved by a two-thirds or greater majority resolution of the Board of Directors: None.

(3) The meeting date, the content of proposal and the result of proposal of the Audit Committee in 2025 are as follows:

Date of meeting	Content of proposal	Result of proposal	The measures taken by the Company based on the opinions of the Audit Committee
2025.1.16 (special meeting)	1. Proposal for application for business operations of subsidiary and authorization of its preparatory office	That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.
2025.3.11	1. Proposal for the 2024 business report
2. Proposal for the 2024 financial statements, including consolidated statements
3. Proposal for assessment of the independence and competence of the certified public accountants, and their appointment and remuneration
4. Proposal for earnings distribution for Year 2024
5. Proposal for statement of internal control system for Year 2024
6. Proposal for formulation of risk management policy and procedures
7. Proposal for amendments to the internal control system
8. Proposal for establishment of wholly-owned subsidiary and formulation of subsidiary’s articles of incorporation	That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.

| | 2025.4.16
(special meeting) | 1. Proposal for authorizing independent directors to sign contracts on behalf of the Company | That the proposal be, and hereby is, approved by all the members present and represented at the meeting, except that Independent Directors Josephine Peng and Ben Liu abstained from voting due to the potential personal interest involved. | None. |
| --- | --- | --- | --- | --- |
| | 2025.5.12 | 1. Proposal for the consolidated financial statements for the first quarter of Year 2025
2. Proposal for amendments to the internal control system
3. Proposal for amendments to rules of procedure for board of directors meetings | That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors. | The proposal was submitted to the Board of Directors for resolution. |
| | 2025.8.12 | 1. Proposal for the consolidated financial statements for the second quarter of Year 2025
2. Proposal for amendments to the internal control system
3. Proposal for the dismissal of a managerial officer | That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors. | The proposal was submitted to the Board of Directors for resolution. |
| | 2025.8.26
(special meeting) | 1. Proposal for the change of the Company’s internal audit manager | That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors. | The proposal was submitted to the Board of Directors for resolution. |
| | 2025.11.11 | 1. Proposal for the consolidated financial statements for the third quarter of Year 2025
2. Proposal for business plan for Year 2026
3. Proposal for formulation of annual audit plan for Year 2026
4. Proposal for auditor appointment and remuneration for the 2025 assurance report on the average daily balance of funds collected/Paid as an agent | That the proposals be, and hereby are, approved by all the members present and represented at the meeting, and submitted for resolution of the Board of Directors. | The proposal was submitted to the Board of Directors for resolution. |
40

	5. Proposal for amendments to internal control system
	6. Proposal for authorizing independent directors to sign contracts on behalf of the Company	That the proposal be, and hereby is, approved by all the members present and represented at the meeting, except that Independent Directors Josephine Peng and Ben Liu abstained from voting due to the potential personal interest involved.	None.

Implementation of recusals of independent directors with respect to any motions with which they may have a conflict of interest:

Date of meeting	Content of proposal	Name of independent director(s)	Cause for recusal	Whether and how the director(s) voted
2025.4.16	Proposal for authorizing independent directors to sign contracts on behalf of the Company	Josephine Peng (Independent Director) Ben Liu (Independent Director)	Due to potential conflicts of interest	Did not participate in discussion and voting
2025.11.11	Proposal for authorizing independent directors to sign contracts on behalf of the Company	Josephine Peng (Independent Director) Ben Liu (Independent Director)	Due to potential conflicts of interest	Did not participate in discussion and voting

Communication between the independent directors and the chief internal audit officer and the CPAs that serve as external auditors.

(1) The chief internal auditor shall report the audit plan for the following year to the Audit Committee on an annual basis and shall report on the execution status of internal audits and the implementation status of the internal control system to the Audit Committee at least once every quarter.

(2) The CPAs shall regularly report the audit or review results of the annual and quarterly financial statements, as well as other communication matters required by relevant regulations, during meetings of the Audit Committee held each quarter.

(3) Prior to each meeting of the Audit Committee, the chief internal auditor and the CPAs hold a communication meeting to thoroughly discuss the matters to be reported with the independent directors, thereby enhancing the quality of decision-making.

(4) The Company shall convene at least one exclusive meeting per year between the independent directors and both the chief internal auditor and the CPAs. In these meetings, the chief internal auditor and the CPAs shall report on internal audit operations and annual plans, as well as financial statements and annual audit plans, separately, to the independent directors.

<1> Summary of communications between independent directors and the chief internal audit officer/CPA(s) in 2025:

Meeting type	Attendee(s)	Communication focus	Communication status and opinion of independent director	Response to opinion of independent director
2025.3.7 Communication meeting	Chief internal audit officer	1. Execution status of the internal audit operation for the fourth quarter of 2024
2. Discussion and response regarding whistleblowing mechanism matters	No further suggestions or other opinions were given.	N/A.
2025.3.7 Exclusive communication meeting	CPA	1. Audit conclusions of the 2024 consolidated and parent company only financial statements	Independent directors gave suggestions about and adjustments to be made to the accompanying notes of the 2024 Q1 consolidated financial statements.	The accompanying notes of the financial statements were revised accordingly.
2025.3.11 Meeting of Audit Committee	Chief internal audit officer	1. Execution status of the internal audit operation for the fourth quarter of 2024	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
	CPA	1. Audit conclusions of the 2024 consolidated and parent company only financial statements	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
2025.5.9 Communication meeting	Chief internal audit officer	1. Execution status of the internal audit operation for the first quarter of 2025
2. Inquiries about revising the internal control system	Independent Directors suggested adjusting the organizational affiliation of the Governance Affairs department to enhance governance appropriateness.	Adjusted per recommendations.
	CPA	1. Review conclusions of the consolidated financial statements for the first quarter of 2025	No further suggestions or other opinions were given.	N/A.
2025.5.13 Meeting of Audit Committee	Chief internal audit officer	1. Execution status of the internal audit operation for the first quarter of 2025	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for

					resolution.
		CPA	1. Review conclusions of the consolidated financial statements for the first quarter of 2025	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
	2025.8.8 Communication meeting	Chief internal audit officer	1. Execution status of the internal audit operation for the second quarter of 2025	No further suggestions or other opinions were given.	N/A.
		CPA	1. Review conclusions of the consolidated financial statements for the second quarter of 2025	No further suggestions or other opinions were given.	N/A.
	2025.8.12 Meeting of Audit Committee	Chief internal audit officer	1. Execution status of the internal audit operation for the second quarter of 2025	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
		CPA	1. Review conclusions of the consolidated financial statements for the second quarter of 2025	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
	2025.11.7 Exclusive communication meeting	Chief internal audit officer	1. Execution status of the internal audit operation for the third quarter of 2025
2. 2026 audit plan	No further suggestions or other opinions were given.	N/A.
		CPA	1. The audit plan of the 2025 financial statements	No further suggestions or other opinions were given.	N/A.
	2025.11.11 Meeting of Audit Committee	Chief internal audit officer	1. Execution status of the internal audit operation for the third quarter of 2025
2. 2026 audit plan	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.
		CPA	1. Review conclusions of the consolidated financial statements for the third quarter of 2025	The proposal was submitted to the Board of Directors for resolution.	The proposal was submitted to the Board of Directors for resolution.

(3) Status of Corporate Governance Practices and Deviations from the Corporate Governance Best Practice Principles for TWSE/TPEx Listed Companies and Reasons

Evaluation item	Implementation status			Deviations from the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
1. Has the Company established and disclosed its Corporate Governance Best-Practice Principles based on the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies?	✓		The Company has established the “Corporate Governance Best Practices Principles” with reference to the “Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” issued by the Taiwan Stock Exchange Corporation (TWSE) and the Taipei Exchange (TPEx). The Principles have been approved by the Board of Directors and are disclosed on the Company’s website for shareholders’ reference.	No major deviations were observed.
2. Shareholding Structure and Shareholders’ Equity
(1) Has the Company established internal procedures for handling shareholder suggestions, disputes, and litigation matters, and is it implementing these procedures accordingly?	✓		The Company has appointed a spokesperson and deputy spokesperson as the points of contact for communicating with shareholders. Additionally, the Company designates Fubon Securities Co., Ltd. as its stock affairs agent to handle shareholders’ suggestions, concerns, disputes, and litigations.	No major deviations were observed.
(2) Does the Company have a list of major shareholders that have actual control over the Company and a list of ultimate owners of those major shareholders?	✓		Based on the roster of shareholders provided by its stock affairs agent, the Company has been given a brief overview of its shareholders. Furthermore, through positive interactions with major shareholders, the Company knows the identity of its major shareholders and the parties with ultimate control of the major shareholders.	No major deviations were observed.
(3) Has the Company built and implemented a risk management system and a firewall between the Company and its affiliates?	✓		The Company has adopted the “Procedures of Transactions for Related Party, Specific Company, and Group Company” to ensure that business and financial transactions with its affiliates are conducted in accordance with relevant regulations of the competent authority.	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
(4) Has the Company established internal rules against insiders trading with undisclosed information?	✓		1. The Company has adopted the “Guidelines for the Adoption of Codes of Ethical Conduct of Board of Directors and Managerial Officers” and “Employee Code of Conduct”, both of which have been resolved by the Board of Directors, and has established “Management of the Prevention of Insider Trading and Management of Internal Material Information Processing and Disclosure” as part of its internal control procedures to regulate the trading activities of insiders regarding securities. Additionally, on May 24, 2024, the Board of Directors approved an amendment to the Regulations, adding a provision that prohibits directors (including independent directors) and managerial officers from trading the Company’s shares or other equity-type securities during the closed period before the publication of annual and quarterly financial statements to strengthen insider trading controls and ensure fair information disclosure.
2. The Company regularly reminds insiders of key regulations regarding equity transfers and periodically forwards regulatory directives issued by the competent authorities. This ensures that directors and senior executives remain well-informed about internal policies and securities laws prohibiting insider trading. To further instill a corporate culture of insider trading prevention, the Company conducts annual regulatory awareness programs. In November 2025, a course on insider trading prevention was held for directors and senior executives. In December, a company-wide "Insider Trading Prevention Awareness" course	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
			was provided to all employees, achieving a 100% completion rate.
3. To refine the control mechanism for preventing insider trading and to avoid improper information disclosure or concerns regarding insider trading, the Chairman approved the establishment of the "Implementation Rules for Prevention of Insider Trading" on June 25, 2025. This initiative strengthens the management framework for inside information by classifying material information and establishing specific control mechanisms for each category, thereby enhancing the clarity and effectiveness of internal information management.
3. Composition and responsibilities of the Board of Directors
(1) Has the Board developed a diversity policy, specific management goals, and implemented them effectively?	☑		1. In accordance with Chapter 3 of the Company’s “Corporate Governance Best Practice Principles” on strengthening Board functions, the Company has formulated principles on the diversity policy; Additionally, the “Corporate Governance Best Practice Principles” and the “Procedure for Election of Directors” are strictly followed to ensure the diversity and independence of the Board members.
2. The current Board of Directors emphasizes diversity, comprising members from the management team, industry executives, and professionals with backgrounds in finance and banking, payment, technology, and other industries. Their professional competence spans finance, accounting, internal audit, law,	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Corporate Governance Best-Practice Principles for TWSE/TP Ex Listed Companies and the reasons
	Yes	No	Summary description
			and marketing. With directors from various fields and professional backgrounds, the Board is well-equipped to effectively fulfill its responsibilities.
3. Among the current board members, employee directors account for 22%, independent directors make up 44%, and female directors constitute 44%. The age distribution includes 4 directors aged 31 to 50 and 5 directors aged 51 and above.
4. For details about the diversity policy, specific management objectives, and implementation status regarding the composition of members of the Board of Directors of the Company, please refer to Page 17 of this annual report.
(2) In addition to the mandatory Remuneration Committee and Audit Committee, has the Company voluntarily established other functional committees?	☑		In addition to the Audit Committee and Remuneration Committee established by law, the Board of Directors approved the establishment of the Sustainability Committee on November 11, 2025. This initiative aims to implement Environmental, Social, and Governance principles and enhance relevant information disclosure. The Committee is responsible for formulating and promoting sustainability policies, as well as reviewing and tracking the progress and effectiveness of related implementation, with regular reports submitted to the Board. The organizational charter and operational status of the Committee have been disclosed on the Company’s website.	No major deviations were observed.
(3) Has the Company established a performance evaluation method for the Board of Directors, with regular annual	☑		1. To enhance and strengthen the functions of the Board of Directors, the Company has established the “Rules for Performance Evaluation of Board of Directors”, which have	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
assessments? Are the results reported to the Board and used as a reference for individual director compensation and reappointment nominations?			been approved by the Board. These rules stipulate that the Board of Directors and each functional committee shall conduct at least one internal performance evaluation annually. Additionally, an external performance evaluation of the Board shall be conducted at least once every three years by an independent professional institution or a team of external experts and scholars. The results of both internal and external performance evaluations shall be completed by the end of the first quarter of the following year and reported to the Board of Directors. For the results of the 2025 performance evaluation of the Board and functional committees, please refer to Pages 33~35 of this annual report. These results were submitted to the Board on March 10, 2026.
2. The Company has established the Remuneration Committee to regularly evaluate the achievement status of the performance goals of its directors. The evaluation results serve as a reference in determining individual remuneration.
(4) Does the Company regularly evaluate the independence of CPAs?	☑		1. The certified public accountants appointed by the Company are not a director, supervisor, managerial officer, employee, or shareholder of the Company or any of its affiliates, and the Company ensures that they are not stakeholders and meet the independence requirements stipulated by regulatory authorities.
2. The Company conducts an annual evaluation of the independence and competency of its CPAs, requiring the CPAs to provide an	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
			"Independence Statement" and evaluates the CPAs' independence and suitability based on Audit Quality Indicators (AQIs). For the evaluation criteria, please refer to Note 1 below.
3. The evaluation results for the most recent year (2025) were approved by the Audit Committee and resolution of the Board of Directors of on March 10, 2026. Connie Chen and Robert Yu, CPAs from Deloitte & Touche, were found to meet the assessment criteria of independence and competence (Please refer to Note 1), and the independence statement has been issued by the CPAs.
4. Does the listed company appoint a sufficient number of qualified corporate governance personnel and designate a corporate governance officer responsible for corporate governance matters (including but not limited to providing necessary information for directors and supervisors, assisting directors and supervisors in complying with laws, handling board and shareholder meeting matters in accordance with the law, and preparing board and shareholder meeting minutes)?	✓		1. The appointment of the Company’s chief corporate governance officer was approved by the Board of Directors on March 28, 2024, with Vice President Candace Chiu of the Legal Team concurrently serving in this role. Vice President Chiu holds a valid attorney license. Additionally, the corporate governance unit of the Company is the Business Management team, which has assigned corporate governance personnel and is aimed at protecting shareholder rights and strengthening the functions of the Board of Directors.
2. The main responsibilities of the corporate governance unit of the Company include:
(1) Handle matters related to the meetings of the Board of Directors and shareholders' meetings in accordance with the law.
(2) Prepare the meeting minutes of the Board of Directors and shareholders' meetings.	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
			(3) Assist directors with their appointments and continuous education.
(4) Provide directors with the necessary information for performing their duties.
(5) Assist directors in complying with laws and regulations.
(6) Report to the Board of Directors on the review results regarding the compliance of independent directors with relevant laws and regulations during their nomination, election, and term of office.
(7) Manage matters related to the election of directors.
(8) Handle other matters as stipulated in the Company's articles of association or contracts.

The business execution for the year 2025 is as follows:
(1) Assist directors by providing the necessary information and legal regulations for performing their duties, and arrange for directors to complete their required continuing education hours.
(2) Regularly provide directors with the latest laws and regulations related to corporate governance.
(3) Provide directors with the necessary company information for performing their duties and maintain smooth communication between directors and department heads.
Legally handle the convening of each | |

Evaluation item	Implementation status			Deviations from the Corporate Governance Best-Practice Principles for TWSE/TP Ex Listed Companies and the reasons
	Yes	No	Summary description
			functional committee, Board of Directors, and shareholders' meetings:

(1) Prepare the agenda for each meeting, notify directors and provide meeting materials at least 7 days in advance, remind directors of any matters requiring a conflict of interest avoidance, and send out the minutes of functional committee and board meetings within 20 days after the meeting.

(2) After the meeting, assist in the release of major information regarding important board decisions, ensuring the legality and accuracy of the information to ensure equal access to trading information for investors.

(3) Handle the pre-registration of the shareholders' meeting date, prepare the meeting notice, the meeting handbook, and the meeting minutes in accordance with the law. | |
| 5. Has the Company established channels for communicating with its stakeholders (including but not limited to shareholders, employees, customers, suppliers, etc.) and created a stakeholders section on its company website? Does the Company appropriately respond to stakeholders’ questions and concerns on important corporate social responsibility issues? | ☑ | | 1. The Company values opinions of our stakeholders, and takes a proactive attitude toward communications with them to understand relevant material issues. Based on the AA1000 Stakeholder Engagement Standards, stakeholder relevance is also identified and prioritized.

The Company has made the contact information for various stakeholders publicly available on its corporate website, and reports to the Board of Directors at least once a year. The annual stakeholder communication status was reported to the Board on August 12, 2025. | No major deviations were observed. |

Evaluation item	Implementation status			Deviations from the Corporate Governance Best-Practice Principles for TWSE/TP Ex Listed Companies and the reasons
	Yes	No	Summary description
			Additionally, important issues our stakeholders are concerned about are appropriately responded by relevant departments.
6. Has the Company appointed a professional shareholder services agent to handle matters related to its shareholder meetings?	☑		The Company has designated “Fubon Securities Co., Ltd.” as its stock affairs agent to handle affairs related to meetings of shareholders.	No major deviations were observed.
7. Information Disclosure
(1) Has the Company established a corporate website to disclose information regarding its financials, business, and corporate governance status?	☑		The Company has set up an investor section and a corporate governance section on its company website (https://pay.line.me/) in both Chinese and English, and the sections are regularly updated for investors’ reference.	No major deviations were observed.
(2) Does the Company use other information disclosure channels (e.g., maintaining an English-language website, designating staff to handle information collection and disclosure, appointing spokespersons, webcasting investors conference etc.)?	☑		The Company’s corporate website is available in both Chinese and English, and has appointed a spokesperson and deputy spokesperson to ensure the implementation of a spokesperson system. Additionally, with the designation of dedicated staff responsible for collecting and disclosing corporate information, relevant materials and material information are disclosed. Materials for investor conferences are posted on the Market Observation Post System (MOPS) and its corporate website.	No major deviations were observed.
(3) Does the Company publish and report its annual financial report within two months after the end of the fiscal year, and publish and report its financial reports for the first, second, and third quarters as well as its operating statements for each month before the		☑	The Company did not publish and report the annual financial statements ahead of schedule by doing so within two months after the end of the fiscal year, but still published and reported its financial statements and operating statements for each month within the statutory deadlines.	The statutory deadlines were met, and in the future, if circumstances allow, the

Evaluation item	Implementation status			Deviations from the Corporate Governance Best-Practice Principles for TWSE/TP Ex Listed Companies and the reasons
	Yes	No	Summary description
specified deadlines?				aforementioned documents will be published and reported ahead of the statutory deadlines.
8. Has the Company disclosed other information to facilitate a better understanding of its corporate governance practices (including but not limited to employee rights, employee wellness, investor relations, supplier relations, rights of stakeholders, directors’ and supervisors’ continuing education, the implementation of risk management policies and risk evaluation standards, the implementation of customer relations policies, and purchasing liability insurance for directors and supervisors)?	✓		1. Employee rights and wellness: The Company values employee rights and maintains harmonious labor relations as one of its operating philosophies. Various employee wellness plans were designed. Additionally, the Employee Welfare Committee (EWC), made up of our colleagues, was established. For more information about employee rights, please refer to Labor Relations in VI. Business Operation in this annual report (Pages 131-134)
2. Investor relations: The Company has designated staff responsible for promptly reporting information about its financial situation, operational situation, and change in insider share ownership on the Market Observation Post System (MOPS) in accordance with relevant regulations.
3. Directors’ continuing education: The Company's directors have completed their continuing education in accordance with the "Directions for the Implementation of Continuing Education for Directors and Supervisors of TWSE Listed and TPEx Listed Companies" (Pages 131-134).	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
			Companies." The details of their training have been disclosed on the Market Observation Post System (MOPS).
4. Implementation of risk management policies and risk evaluation standards: Please refer to V. Review and Analysis of Financial Position, Financial Performance and Risks in this annual report (Pages 142~149).
5. Purchase of liability insurance for directors: The Company has purchased liability insurance for directors and key officers from CTBC Insurance Co., Ltd. The coverage amount is regularly reviewed, and the status of the directors' liability insurance was reported to the Board of Directors on January 30, 2026.

Please describe improvements that have already been made based on the Corporate Governance Evaluation results released for the most recent fiscal year by the Corporate Governance Center, Taiwan Stock Exchange, and specify the priority enhancement objectives and measures planned for any matters still awaiting improvement:

The Company was included as an evaluated entity for the first time in the 12th (2025) Corporate Governance Evaluation. As of the publication date of this annual report, the evaluation results have not yet been announced. Moving forward, the Company will progressively implement improvements for items that have not yet met evaluation standards, aiming to refine corporate governance mechanisms and deepen corporate sustainable governance. In alignment with the revised items of the 1st (2026) ESG Evaluation, the proposed improvement measures are outlined below.

Item No.	Formerly No.	Evaluation Indicator	Description of Improvement Measures
E-3	4.27	Does the Company disclose Greenhouse Gas Scope 1, Scope 2, and Scope 3 categories and annual emissions for the past year?	The Company completed the GHG inventory for Scope 1 and Scope 2 in March 2026 and has disclosed the results on Pages 83~84 of the Annual Report under "Greenhouse Gas Inventory Information." To more accurately measure and manage carbon emissions, we will continue to expand the inventory scope to Scope 3, with relevant results to be disclosed in the Sustainability Report.

	E-14	-	Does the Company establish and disclose a biodiversity policy or commitment, and describe its implementation?	To implement environmental protection and sustainable development, the Company actively promotes various policies and measures. We plan to incorporate biodiversity issues into the evaluation scope of our sustainability development planning. In the future, we will refer to international conventions and global initiatives to review the potential impact of corporate operations on the natural environment. We will evaluate and establish appropriate biodiversity policies or commitments, and disclose implementation details on our corporate website, in annual reports, or sustainability reports once they are effectively put into practice.
	S-6	-	Does the Company disclose its engagement with investors (e.g., earnings calls, physical visits, video conferences, phone calls, or emails), as well as key questions raised by investors and the company’s responses?	The Company values investor feedback and holds online and offline meetings annually at various times to actively engage and communicate with investors. We plan to disclose relevant communication details on the corporate website, ensuring that investors and other stakeholders who cannot participate in earnings calls can still obtain timely information on the company’s business overview, financial performance, and major issues. This enhances information transparency and strengthens market confidence in our corporate governance.
	S-17	-	Does the Company provide a family-friendly workplace environment and measures (e.g., marriage, maternity, or childcare support) and describe the implementation and results?	To address the family care needs of our employees, the Company provides maternity leave and childcare subsidies that exceed the requirements of the Labor Standards Act. We have also established a comprehensive parental leave policy that allows employees to take leave with peace of mind during their childcare period, along with supportive measures for a smooth return to work. Moving forward, we will continue to optimize relevant supporting measures and strive to create a happy and supportive workplace.

Note 1: CPA Independence Evaluation Form:

No.	Evaluation item	Evaluation result	Whether independence is met?
1	Are the certified public accountants involved in direct or material indirect financial interests with the Company?	No	Yes
2	Do the certified public accountants engage in financing or guarantee activities with the Company or the Company's directors?	No	Yes
3	Do the certified public accountants have close business relationships or potential employment relationships with the Company?	No	Yes
4	Have the certified public accountants and their audit team members served as directors, managerial officers, or held positions with material influence on the audit work in the Company currently or during the most recent two years?	No	Yes
5	Have the certified public accountants provided the Company with any non-audit services that could potentially have a direct impact on the audit work?	No	Yes
6	Have the certified public accountants acted as an intermediary for the issuance of shares or other securities by the Company?	No	Yes
7	Have the certified public accountants served as the Company's legal counsel or represented the Company in coordinating conflicts with other third parties?	No	Yes
8	Do the certified public accountants have any relatives who hold positions as the Company's directors, managerial officers, or individuals with material influence on the audit cases within the Company?	No	Yes

Table of Assessment of Audit Quality Indicators (AQIs):

No.	AQIs	Assessment item	Assessment results
Profession
1-1	Audit Experience	Does the senior audit personnel have sufficient audit experience to perform audit work?	Yes
1-2	Training Hours	Do the certified public accountants and senior audit personnel receive sufficient educational training each year to continuously acquire professional knowledge and skills?	Yes
1-3	Attrition Rate	Does the firm maintain a sufficient level of senior human resources?	Yes
1-4	Professional Support	Does the firm have sufficient professional personnel (such as valuation personnel) to support the audit team?	Yes
Quality control
2-1	Workload	Do the certified public accountants have excessive workload?	No
2-2	Involvement	Is the involvement of the audit team members appropriate at each stage of the audit?	Yes
2-3	EQCR	Does the EQCR accountant invest sufficient hours in time to conduct reviews of audit engagements?	Yes
2-4	Quality Support Capacity	Does the firm have sufficient quality control personnel to support the audit team?	Yes
Independence
3-1	Non-Audit Service (NAS)	Is the impact of the proportion of non-audit service fees in relation to independence understood?	Yes
3-2	Familiarity	Is the impact of the audit tenure covering the audit case of the firm's attested annual financial statements in relation to independence understood?	Yes
Monitoring
4-1	External Inspection Result & Enforcement	Is whether audit cases and the firm's quality control are conducted in accordance with relevant laws and standards understood?	Yes
4-2	Number of Official Improvement Letters (OILs) Issued by Authority	Is whether audit cases and the firm's quality control are conducted in accordance with relevant laws and standards understood?	Yes
Innovation
5-1	Innovative Planning or Initiatives	Is the accounting firm's commitment to enhancing audit quality, including the accounting firm's innovation capabilities and planning, understood?	Yes

(4) If the Company Has a Compensation Committee or Nomination Committee in Place, the Composition and Operation Thereof Shall Be Disclosed

<1> Information on members of the Remuneration Committee

March 31, 2026

Role\Qualifications\Name	Professional qualifications and experience	Independence analysis	No. of other public companies at which the person concurrently serves as a member of the Remuneration Committee
Independent Director (Convenor)	Josephine Peng	All members of the Remuneration Committee of the Company are served by three independent directors. For details regarding their professional qualifications and experience, and independence analysis, please refer to Pages 16~17 of this annual report.	0
Independent Director	Ben Liu		1
Independent Director	Kay Lin		1

<2> The operation of the Remuneration Committee

i. The Remuneration Committee of the Company is composed of a total of 3 seats.
ii. The term of office for current members of the Remuneration Committee starts on January 2, 2024 and ends on January 1, 2027. The number of meetings of the Remuneration Committee held in the most recent year (2025) was: 5 (A). The attendance of the committee members is as follows:

Title	Name	No. of meetings attended in person (B)	No. of meetings attended by proxy	In-person attendance rate (%) {B/A}	Remarks
Convenor	Josephine Peng	5	0	100%	-
Committee Member	Ben Liu	5	0	100%	-
Committee Member	Kay Lin	5	0	100%	-
Annual work highlights: 1. Prescribe and periodically review the performance review and remuneration policy, system, standards and structure for directors and managerial officers. 2. Periodically evaluate and prescribe the remuneration of directors and managerial officers. Other information required to be disclosed: 1. If the Board of Directors declines to adopt, or modifies, a recommendation of the Remuneration Committee, specify the board meeting date, meeting session number, content of the motion(s), the result of resolution of the Board of Directors, and the measures taken by the Company based on the opinions of the Remuneration Committee (If the remuneration passed by the Board of Directors exceeds the recommendation of the Remuneration Committee, the circumstances and cause for the difference shall be specified): None.

If with respect to any resolution of the Remuneration Committee, any member has a dissenting or qualified opinion that is on record or stated in a written statement, specify the committee meeting date, meeting session number, content of the motion(s), opinions of all the members, and measures taken based on the opinions of the members: None.
The meeting date, the content of proposal and the result of proposal of the Remuneration Committee in 2025 are as follows:

Date of Meeting	Content of proposal	Result of proposal	The measures taken by the Company based on the opinions of the Remuneration Committee
2025.1.24	1. Proposal for the incentive distribution for managerial officers for Year 2024
2. Proposal for managerial officers' salary adjustment for Year 2025
3. Proposal for listing bonus distributed to managerial officers	The proposals were approved as proposed by all attending committee members and are submitted for resolution by the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.
2025.3.11	1. Proposal for the allocation of employee and director compensation for Year 2024	The proposal was approved as proposed by all attending committee members and is submitted for resolution by the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.
2025.5.13	1. Proposal for managerial officer compensation distribution for Year 2024	The proposal was approved as proposed by all attending committee members and is submitted for resolution by the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.
2025.8.12	1. Proposal for amendments to the second employee stock option plan of Year 2023
2. Proposal for amendments to the third employee stock option plan of Year 2023	The proposals were approved as proposed by all attending committee members and are submitted for resolution by the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.
2025.8.22	1. Proposal for maintaining employee stock options of employees transferred to the Company's subsidiary	The proposals were approved as proposed by all attending committee members and are submitted for resolution by the Board of Directors.	The proposal was submitted to the Board of Directors for resolution.

(5) Sustainable Development Implementation and Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons

Item	Implementation status
	Yes	No	Summary
1. Has the Company established a governance framework for promoting sustainable development, and established an exclusively (or concurrently) dedicated unit to be in charge of promoting sustainable development? Has the board of directors authorized senior management to handle related matters under the supervision of the board?	✓		To fulfill corporate social responsibility and promote economic, environmental, and social progress for sustainable development, the Company has established the "Sustainable Development Best Practice Principles" and "Rules Governing Management of Sustainability Information." These formalized policies provide a structured framework to manage the Company's risks and impacts on the economy, environment, and society. Furthermore, to strengthen the effectiveness of sustainable governance, the Company has established a comprehensive sustainability organizational structure. This framework clearly defines the roles and responsibilities of the Board of Directors, functional committees, and management. By regularly reviewing sustainability performance and goal attainment, the Company ensures that its sustainability strategies are effectively implemented and continuously improved.
● Management Execution
1. The Company established the "Risk Management and Sustainable Development Task Force" in May 2024 as a dedicated unit for promoting sustainable development. Comprising managerial officers at the vice president level and above, the task force is responsible for driving sustainability-related initiatives, facilitating cross-departmental communication and coordination, and providing recommendations for continuous improvement. On July 17, 2024, the Risk Management and Sustainable Development Task Force meeting, along with the Board of Directors' resolution on August 6, 2024,	No major deviations were observed.

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			approved the "Sustainable Development Policy, Guidelines, and Plans," solidifying the Company’s commitment to sustainable operations.
2. To further implement sustainable management, the Board of Directors approved the establishment of the "Sustainability Development Committee" under its supervision on November 11, 2025. The Committee consists of one Director, two senior executives, and two members from the Governance Affairs department. It is responsible for formulating and promoting sustainability policies, reviewing and tracking implementation progress and effectiveness, overseeing sustainability information disclosures, and deliberating on the Sustainability Report, with regular reports submitted to the Board. The organizational charter and operational status of the Committee have been disclosed on the Company’s website.
● Board Oversight
The Company regularly reports its sustainability performance and future implementation plans to the Board of Directors to strengthen the Board's oversight of sustainable governance. In 2025, relevant proposals were submitted to the Board on May 13 and August 12, including:
(1) Review and approval of the Sustainability Report;
(2) Annual report on the progress of sustainability initiatives.
2. Does the Company conduct risk assessments of environmental, social and corporate governance (ESG) issues related to the	☑		The Company conducts a materiality analysis every two years, gathering stakeholders’ expectations and feedback to identify key issues. The most recent materiality analysis was completed at the end of 2025 and was approved by	No major deviations were observed.
61

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
company’s operations in accordance with the materiality principle, and formulate relevant risk management policies or strategies?			the Sustainable Development Committee on December 2 of the same year. These results serve as a guideline for compiling the Sustainability Report. Furthermore, the materiality assessment results are integrated into the Company’s sustainability goals and strategies, with corresponding measures implemented as needed to enhance risk assessment and information disclosure across various aspects.

For identified risk items, the Company provides regular annual reports to the Board of Directors. The operational status for 2025 was reported to the Board on May 13, 2025.

To have a sound risk assessment system and strengthen management functions, the Board of Directors approved the “Risk Management Policy and Procedures” on March 11, 2025. The Regulations clearly defines risk management objectives, procedures, and control mechanisms, and are implemented by the Board of Directors, the Audit Committee, the Risk Management and Sustainable Development Task Force, the Compliance department, individual risk-operating units, and the Internal Audit department.

Environmental Risk Issues:
• The Company is committed to complying with environmental regulations and international standards to effectively protect the natural environment and achieve environmental sustainability goals. To strengthen its risk management framework, the Company is planning to implement relevant certifications.
Social Risk Issues:
• The Company is committed to providing employees with a safe and reliable | |

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			workplace by reducing the risk of accidents and occupational illnesses. To strengthen its occupational safety and health risk management system, the Company is planning to implement relevant certifications.

• The Company conducts regular occupational safety and health training programs to enhance employees' awareness of workplace safety and improve their knowledge of relevant safety and health practices.

Corporate Governance Risk Issues:
• The Company has obtained two cybersecurity certifications: the “ISO/IEC 27001:2022 Information Security Management Standard” and the “PCI DSS v4.0.1 Payment Card Industry Data Security Standard” to establish and maintain mechanisms for information security and personal privacy protection. Additionally, on May 24, 2024, the Board of Directors approved the appointment of the Chief Information Security Officer to handle the implementation of information security policies and the deployment of related resources.
• The Company plans to introduce the “Taiwan Intellectual Property Management System (TIPS)” to establish a risk management mechanism for intellectual property.
• The legal department of the Company was established to pay close attention to significant domestic and international policy and legal changes, proactively proposing responsive measures and alerting | |
63

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			units responsible for relevant matters so as to be compliant with relevant laws and regulations.
● Directors’ liability insurance was obtained for directors of the Company to safeguard against litigation or claims.
3. Environmental Issues
(1) Has the Company set an environmental management system designed to industry characteristics?	☑		1. As a third-party payment enterprise, the Company makes much lesser impact on the environment compared to traditional manufacturing enterprises. Nevertheless, we have explicitly established principles to stipulate actions pertaining to environmental protection in our “Sustainable Development Best Practice Principles” and regularly promotes an understanding in our colleagues of green energy to raise their awareness about and establish practices of green environmental protection in both their work and personal life.
2. In line with the goal of achieving net-zero carbon emissions by 2050 in the nationwide “Climate Change Response Act”, the Company is aligning with the information provided and timelines set by the Financial Supervisory Commission to produce the greenhouse gas inventory for TWSE/TPEx listed companies. We are implementing ISO environmental mechanisms to keep track of greenhouse gas emissions. In the future, the data will be compiled and disclosed in our sustainability reports.	No major deviations were observed.
(2) Does the Company endeavor to use energy more efficiently and to use renewable materials with low environmental impact?	☑			No major deviations were observed.
(3) Has the Company evaluated the potential risks and opportunities posed by climate change for its business now and in the future and adopted	☑		The Company has integrated "Climate Change and Environmental Risk" into its management framework and adopted the Task Force on Climate-related Financial Disclosures (TCFD) to establish a management structure for climate-related risks and opportunities. In accordance with	No major deviations were observed.

Item	Implementation status					Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
relevant measures to address them?			the TCFD recommendations, the Company assesses potential climate-related risks and opportunities, reviews international climate change trends and industry-related developments, and evaluates the perspectives of internal and external stakeholders to identify the Company's climate-related risks and opportunities.For further details, please refer to Chapter 6, Climate Change Management, of the 2024 Sustainability Report.
(4) Did the Company collect data for the past two years on greenhouse gas emissions, volume of water consumption, and the total weight of waste, and establish policies for greenhouse gas reduction, reduction of water consumption, or management of other wastes?	✓	● Greenhouse Gas Emissions:Please refer to the descriptions in Appendix 1-1.● Water consumption:The Company places great importance on the environmental protection issue of water and energy saving, and has been promoting and practicing water and electricity conservation in daily life, as well as use water-saving and energy-efficient equipment at the Company.Total water usage, total electricity consumption, and total carbon emissions for the most recent 2 years:				The verification of greenhouse gas-related data and implementation of reduction measures will be carried out once an appropriate scale of operations has been reached.
		Year	Total water usage (metric tons)	Number of employees	Water Intensity (metric tons / revenue in millions of NTD)
		2024	2,246	318	0.357
		2025	3,192	354	0.405
● Waste:Waste can be categorized by nature into general household waste and business waste. The Company does not produce any business waste and follows the environmental regulations set by the central or Taipei city authorities for all relevant public affairs.The weight statistics for waste for the most recent 2 years are as follows:

Item	Implementation status	Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
Yes	No	Summary

Number of employees	318	354
General household waste (Kg)	115,266	128,782
Note: The total weight of general household waste is calculated based on the average daily waste production per person announced by the Ministry of Environment, which was 1.373 kg for 2024 and 1.380 kg for 2025. Taking 2024 as an example, the total weight of general household waste is calculated as: 1.373 kg * 22 working days (per month) * 12 months * number of employees at the end of 2024 = 1.373 kg * 22 * 12 * 381 = 115,266.096 kg. The calculation for 2025 is: 1.378 kg * 22 * 12 * 354 = 128,782.368 kg. The Company records and tracks the total water usage, total electricity consumption, and total carbon emissions, and promotes the concept of water and electricity conservation when needed. To avoid waste of resources and achieve the goal of reducing carbon emissions and waste, the following policies have been implemented: 1. The Company's toilets are equipped with dual-flush systems and have transitioned entirely to sensor-operated faucets. Hand dryers are also installed to reduce the consumption of paper towels. 2. Each floor is equipped with waste sorting facilities, including designated recycling areas for paper, plastics, metal and glass containers, and kitchen waste. 3. To reduce paper usage, the Company has implemented an electronic internal approval procedure. For external contracts, if possible, electronic contracts are used in place of paper contracts. 4. Employees are encouraged to use their own mugs when purchasing coffee at the Company. By bringing their own mugs, employees are offered deducted discounts. 5. Natural plants are placed on each floor of the

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			office to reduce carbon dioxide levels. Additionally, the indoor air emissions are tested regularly on an annual basis, and based on the test results, the indoor air quality condition is continuously monitored and reviewed. The scope of monitoring includes employees' office areas, common areas, and outdoor air quality outside of the Company, and testing results remain within acceptable limits each year.6. Office air conditioning power is automatically shut off at 8 p.m. daily to conserve energy and reduce unnecessary power consumption.7. The Company uses energy-efficient copiers that automatically enter standby mode after a period of inactivity. Additionally, two-stage verification mechanisms—"card swiping" and "confirmation"—are implemented to reduce misprinting and waste.8. To conserve electricity, the lighting control system is programmed to turn off automatically every two hours during non-working hours, reducing power consumption in idle spaces and enhancing overall energy efficiency.9. To actively promote a paperless environment, the Company has provided iPads for reviewing materials during Board meetings since 2024. Furthermore, an electronic document management system has been implemented to effectively reduce paper waste.
4. Social Issues
(1) Has the Company formulated relevant management policies and procedures in accordance with relevant laws and regulations and	✓		The Company is committed to upholding employee rights, embracing a people-oriented approach and a spirit of mutual respect. It strives to foster a workplace that promotes smooth labor-management communications and harmonious relations while fulfilling corporate conscience and	No major deviations were observed.
the Company's goals and goals. The Company is committed to			meetings and goals.
the Company's goals and goals. The Company is committed to			to ensure that employees are informed and informed about their goals and goals.
5. How do the Company's policies and procedures work?			The Company is committed to
6. How do the Company's policies and procedures work?			to ensure that employees are informed and informed about their goals and goals.

Item	Implementation status
	Yes	No	Summary
international human rights conventions?			social responsibility. The Company recognizes and voluntarily adheres to internationally recognized human rights standards, including the Universal Declaration of Human Rights, the United Nations Global Compact, the United Nations Guiding Principles on Business and Human Rights, and the International Labour Organization standards. To comply with the guiding principles of equality, diversity, prohibition of discrimination and harassment, and achievement sharing, the Company has formulated the Human Rights Policy, Work Rules, Codes of Conduct, and other management policies and systems accordingly. These policies apply not only to all employees of the Company and its subsidiaries, but the Company also requires its suppliers and business partners to jointly adhere to human rights protection principles in order to implement its commitment to safeguarding human rights. Human rights-related matters within the Company are planned and promoted by the Human Resources department. In the event of any significant human rights incident, the Company will promptly initiate investigation and improvement procedures in accordance with its internal reporting and handling process, and report the handling status to senior management. When necessary, the matter will be reported to the Sustainable Development Committee under the Board of Directors for supervision and review to ensure the effective implementation and continuous improvement of the policy. To enhance information transparency and disclosure completeness, the Company’s full Human Rights Policy and its implementation status are disclosed on the Company’s website for stakeholders’
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Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			reference. A summary of the relevant policies is as follows:

Cultivating a diverse, equitable, and inclusive culture: We respect and treat everyone equally, without discrimination based on gender, race, age, marital status, political affiliation, religion, disability, place of birth, or nationality. We are committed to respecting labor rights, supporting underprivileged groups, prohibiting child labor, eliminating all forms of forced labor, and eradicating discrimination in hiring and employment to ensure that our human resources policies remain non-discriminatory.
Commitment to employee health, safety, and well-being: We provide a safe and healthy working environment and do not tolerate any unlawful infringement, including physical, psychological, verbal, or sexual harassment. We prohibit forced labor, strictly comply with local labor laws and regulations, ensure that employees receive fair compensation, adhere to legal working hours, and implement leave policies effectively.
Ensuring information security and personal privacy: We value the importance of information security and personal data protection. We have established a comprehensive privacy policy and comply with relevant regulations in all operating locations to ensure that the personal data and privacy of our users and other relevant individuals are properly protected.

In our efforts to create a friendly workplace and foster harmonious labor-management relations, the Company supports internationally recognized labor rights, including freedom of association, collective | |

Item	Implementation status
	Yes	No	Summary
			bargaining rights, care for vulnerable groups, prohibition of child labor, elimination of all forms of forced labor, and eradication of discrimination in employment and occupation. We ensure that our human resources policies do not discriminate based on gender, race, socioeconomic status, age, marital or family status, and strive for equality and fairness in employment conditions, compensation, benefits, training, performance evaluation, and promotion opportunities. Additionally, we provide multiple channels for employees to voice their concerns and have established “Policy to Handle Sexual Harassment Appeal by Employees”, with a dedicated mailbox for related matters.
(2) Has the Company established and implemented reasonable employee welfare measures (include salary/compensation, leave, and other benefits), and are business performance or results appropriately reflected in employee salary/compensation?	✓		In line with the Company's sustainable business philosophy, and to build a strong corporate foundation and sound financial health, the Company has established a fair and reasonable compensation system based on the principles of respecting professionalism and sharing results. This system aims to offer competitive salaries in the market. Additionally, the Company will review the compensation system annually, taking into account operating profits, changes in the price index, individual performance evaluations, and long-term employee incentives. Salary adjustments and performance bonuses will be carried out accordingly. Employee compensation is calculated in accordance with the Company's articles of incorporation, based on surplus profits no less than 1%. In addition, no less than 20% of the employee compensation shall be allocated to salary or wage adjustments, or distributed as compensation to rank-and-file employees.

In pursuit of becoming a happy enterprise, and by improving work efficiency through reduced working hours, the Company is one of the first | No major deviations were observed. |

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			companies that promote a no-makeup workday policy. On any announced makeup workdays by the Directorate-General of Personnel Administration, no makeup work is required. In addition to a vacation system that exceeds the Labor Standards Act, the Company also provides extra annual leave days for employees. To further enhance employee benefits, the Company has established the Employee Welfare Committee (EWC) to plan a variety of benefits, such as bonuses for the three major holidays and birthday gifts. Additionally, the Company supports a balance between work development and family care needs by offering maternity leave and child-rearing subsidies (for children aged 0-12) that exceed the Labor Standards Act's 10-week maternity leave. The Company accompanies employees through important life stages and ensures sufficient rest and recovery time for employees after childbirth, assisting them in returning to work.

The Company is dedicated to fostering a gender-equal and high-quality work environment. In 2025, female employees represented 61% of the workforce, with female employees holding 57% of senior management positions, demonstrating the Company's commitment to promoting diversity and gender equality in the workplace. For a comprehensive overview of employee welfare measures, professional development, training, retirement systems, and their implementation, please refer to the "Labor Relations" section on Pages 131-134. | |

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
(3) Does the Company provide employees with a safe and healthy working environment, and implement regular safety and health education for employees?	✓		The Company has adopted occupational safety and health code of conduct and obtained verification regarding its implementation and kept backups of records for future reference according to the law to ensure the safety and health of all employees. In terms of environmental safety, the Company conducts annual air quality testing, water quality testing three times a year, and workplace environmental assessments twice a year. Furthermore, the Company performs annual fire evacuation inspections and reports, as well as public safety inspections. First-aid kits and AED (Automated External Defibrillator) equipment are also installed to provide employees with a safer and healthier work environment.

To further enhance workplace safety and health, the Company offers an annual high-standard employee health examination and on-site medical services. In addition, occupational safety and disaster prevention training sessions are held periodically. In terms of performance, the on-site medical services reached 59 people in 2024 and 43 people in 2025. In 2024, the Company organized three training sessions on AED and CPR (Cardiopulmonary Resuscitation), along with fire drills, to ensure employees are equipped with essential knowledge and skills for emergency situations. To further support employees’ physical and mental well-being, the Company organized four training sessions on the prevention of workplace violence and unlawful infringement in 2025 to enhance employees’ ability to identify workplace misconduct and strengthen their self-protection awareness. In addition, the Company collaborates with an external, legally compliant foundation to provide Employee Assistance Program (EAP) services. | No major deviations were observed. |

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
			Employees can access consultations via a dedicated hotline or through monthly on-site services to address workplace and personal challenges, alleviating stress and enhancing overall health protection.In 2025, the Company recorded zero fire incidents.
(4) Has the Company established effective career development training programs for employees?	✓		Considering the long-term development of the Company, the business needs of different departments, and the legal requirements for professionals in various fields, the Human Resources department draws up budgets for the educational training program of the next year at the end of each year and submits it for approval before implementation. Through diverse learning and development programs centered on four aspects—company-wide learning, self-directed learning, job rotation, and management development—the Company supports employees in enhancing their professional capabilities and building comprehensive career development paths. In addition to conducting internal training courses, each department can apply for subsidies for external training courses related to job duties within the subsidy's scope. This is aimed at fostering relevant skills and management capabilities of the employees to enhance their work efficiency and the corporate competitiveness.	No major deviations were observed.
(5) Does the Company comply with the relevant laws and international standards with regards to customer health and safety, customer privacy, and marketing and labeling of products and services, and implement consumer protection and	✓		Regarding customer rights related to our products and services, information about our various services is available on the Company's official website. Customers can also inquire about relevant issues through the “customer service channel” on our official website, and cases are managed following specific guidelines. Once a case is initiated and the investigation is completed, we respond to the customer. The Company has a	No major deviations were observed.
businesses.			information about our various services is available on the company's official website. Customers can also inquire about relevant issues through the “customer service channel” on our official website, and cases are managed following specific guidelines. Once a case is initiated and the investigation is completed, we respond to the customer. The Company has a
			businesses.

Item	Implementation status			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary
grievance policies?			customer service department dedicated to handling customer complaints and petitions. Based on the feedback from customers, we review our service processes, implement preventive measures, and act to eventually optimize our services.

The Company complies with relevant regulations set by regulatory authorities and has adopted the “Management of Personal Data Protection.” We continuously invest resources necessary in establishing information security and personal data protection measures. Additionally, we have obtained certifications for “ISO/IEC 27001:2022 Information Security Management Standard” and “PCI DSS v4.0.1 Payment Card Industry Data Security Standard” to establish and maintain risk management mechanisms for information security and personal privacy protection. | |
| (6) Has the Company formulated supplier management policies requiring suppliers to comply with relevant regulations on issues such as environmental protection, occupational safety and health, or labor rights, and what is the status of their implementation? | ☑ | | The Company has established the supplier management policy in the Risk Management and Sustainable Development Workforce meeting held on July 17, 2024. The policy stipulates that suppliers should uphold the highest standard of ethics and integrity, safeguard labor rights, and implement environmental protection measures. Additionally, the policy expressly stipulates that evaluation of suppliers should be regularly conducted to ensure the implementation of the Company’s supplier management policy. In 2025, the Company conducted evaluations of seven suppliers, achieving a 100% pass rate. | No major deviations were observed. |
| 5. Does the Company refer to international reporting standards or guidelines when preparing its sustainability report and other reports disclosing | ☑ | | In alignment with the Financial Supervisory Commission’s "Sustainable Development Action Plans for TWSE- and TPEx-Listed Companies," the Company refers to universal standards and indicators issued by organizations such as the Global Reporting Initiative (GRI) and | No major deviations were observed. |

Item	Implementation status
	Yes	No	Summary
non-financial information? Does the Company obtain third party assurance or certification for the reports above?			the Sustainability Accounting Standards Board (SASB) to compile its Sustainability Report. The report was submitted at the end of August 2025 and has been disclosed on the Company's website.The aforementioned report has been commissioned to Grant Thornton to conduct third-party assurance on selected key performance information in accordance with ISAE 3000, and a limited assurance report has been obtained. To further strengthen sustainable governance and enhance transparency in information disclosure, the Company also plans to obtain assurance or assurance opinions from an independent third-party verification body for the 2025 Sustainability Report, thereby further improving information reliability and strengthening stakeholders' trust in the Company's sustainability management mechanisms.
6. If the Company has adopted its own sustainable development best practice principles based on the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies, please describe any deviation from the principles in the Company's operations: The Company has established its "Sustainable Development Best Practice Principles" in accordance with the "Sustainable Development Best Practice Principles for TWSE/TPEx-Listed Companies." The Company operates in compliance with the guidelines set forth in these principles, with no deviations.
7. Other key information relevant to understanding the implementation of the Company's sustainable development initiatives: The Company has established "Sustainable Development Best Practice Principles," which set forth guidelines on corporate governance, environmental sustainability, and social responsibility. Through its commitment to corporate citizenship, the Company strives to enhance its economic contributions, improve the quality of life for employees, communities, and society, and foster a competitive advantage rooted in sustainable development.

Community engagement

The Company believes in the ideal of giving back to the society and caring for the local community. As an enterprise, we leverage our positive influence, participate in social welfare activities, and fulfill our social responsibilities. We always weigh against the risks and try to bring about more opportunities in the community, and thus we take the following initiatives:

We fulfill our Corporate Social Responsibility by directly employing individuals with disabilities and visually impaired massage therapists, providing job opportunities for the disadvantaged while turning social support into one of our most heartfelt employee benefits.
We non-periodically collaborate with universities nearby and arrange corporate visits or industrial/academic cooperation projects with them, allowing young students to gain early insight into the industry and our vision. This helps students who aspire to enter related industries know about the knowledge and skills required in the job market.
We continue to expand payment locations in the Greater Taipei area to enhance convenience. In addition to issuing commercial district coupons, night market coupons, and featured merchant promotions to stimulate local economic activity, we actively utilize content curation to expand social media exposure. This increases visibility and foot traffic for local merchants, further driving regional economic development.
We continuously optimize services tailored for small and medium-sized merchants, such as "LINE Pay Marketing Platform" and "Payshop." By lowering the entry barrier and creating user-friendly digital tools, merchants can customize their own promotional activities and list them on the LINE Pay platform to increase exposure. This not only facilitates digital transformation for local businesses but also effectively drives transaction growth, earning high praise from merchants.
We collaborate with general merchants, night markets, and traditional markets on marketing campaigns to encourage spending in commercial districts. Examples include Taipei’s Nanmen Market, Ximen Market, Xihu Market, NTU area, Dihua Street, Zhongshan District, Eastern District, NCCU area, and Maokong District; New Taipei’s Xizhi Xiufeng Market, Yingzhuan area, Taishan Public Market, Xinpu Chihlee area, Lujhou Temple area, and Fuji Fishing Port; as well as Keelung’s Ren-ai Market and New Yokohama Living Area. These initiatives make it more convenient for community residents to participate in the digital economy.
In addition to promoting community development in Greater Taipei, LINE Pay launched the "Digital Inclusion, Local Prosperity" project to promote regional tourism and vitalize local economies. This year, we partnered with strawberry farmers in Dahu, Miaoli, by introducing mobile payments and hosting digital learning workshops. We trained the Dahu Farmers' Association and local strawberry orchard operators on using digital marketing tools and held seasonal promotional events to help local agriculture upgrade to digital operations, further expanding the tourism and marketing benefits of regional industries.
Social services and public welfare
LINE Pay Donation Platform

Since its establishment in 2016, the LINE Pay Donation Platform has served as an instantaneous and convenient mobile giving platform for the public and non-profit organizations. By providing diverse payment methods and the option to donate LINE POINTS, the platform has garnered significant support from users. Many have developed a habit of giving whenever and wherever

possible, with some users donating as many as 100,000 LINE POINTS in a single transaction—equivalent to NT$100,000—creating a positive cycle of kindness.

In 2025, a total of 58 new non-profit organizations joined the platform. Through the power of the platform, we aim to bring attention and support to more social groups and disadvantaged communities, allowing every bit of love to reach corners that need to be brightened. As of the end of 2025, the LINE Pay Donation Platform hosted 2,756 new projects, raising a total of NT$1,079,854,208 for the year and receiving 1,727,965 individual donations.

During major emergencies, LINE Pay actively leverages its influence to provide fast and accessible donation channels, rallying public support for recovery and restoration efforts. Furthermore, We absorb all transaction fees for major disaster relief fundraising and actively encourages partner banks to do the same, ensuring that every cent of the donations goes to those in need. Consequently, we have become the preferred and most trusted partner platform for both the public and government authorities.

Small contributions make a big difference! With the convenience of mobile giving, the LINE Pay Donation Platform became the most preferred channel for the public during the following major disaster relief projects in 2025, assisting government agencies in rapidly raising funds to support affected citizens and post-disaster reconstruction:

Event	Funds raised	Number of Donations
Typhoon Danas Relief Project	NT$16.5 million	17,049
0923 Hualien Mataian River Landslide Lake Disaster Fundraising Project	NT$274.78 million	181,108

Supporting Earth Hour (March 22)

We demonstrated our commitment through concrete actions and active social media advocacy by turning off lights for one hour from 8:30 p.m. to 9:30 p.m. on March 22. We encouraged our users to join us in making sustainability a part of everyday life.

Supporting Earth Day (April 22)

Partnering with the non-profit environmental organization RE-THINK, we launched a series of activities under the theme "Go Green with LINE Pay!" to fulfill our corporate social responsibility. Concrete actions included:

(1) Internal Awareness Seminars: Starting with the issue of "marine debris," we encouraged employees to reflect on their daily habits and establish correct environmental concepts. By making small changes in daily life, employees can practice environmental protection and sustainability.

(2) Beach Cleanup: Rooted in education and realized through action, LINE Pay Chairman Woongju Jeong led nearly 330 colleagues and enthusiastic citizens to Dingliao Beach in New Taipei City. Together, they cleared over 573.8 kg of waste. Through this practical participation, participants recognized the connection between marine debris and their own lives, gaining a deeper understanding of environmental issues and bringing this commitment to the planet back into their daily routines. LINE Pay believes that every payment choice and every eco-friendly action is a force for change. Moving forward, we will continue to leverage our brand influence to connect internal and external forces, joining hands with the public to move toward a more friendly and sustainable lifestyle.

Promoting the "Digital Inclusion, Intergenerational Harmony" Public Welfare Project

To implement ESG principles and fulfill corporate social responsibility, we launched the "Digital Inclusion, Intergenerational Harmony" public welfare project. In 2025, in collaboration with the Criminal Investigation Division, Taipei City Police Department, we hosted the "Campus Seminars on Mobile Payment Fraud Prevention" and "Senior Digital Learning Workshops" at National Chengchi University's College of Commerce, Fu Jen Catholic University's College of Management, and the Taipei Public Library Lixing Branch. Through face-to-face engagement, we promoted payment security, raised anti-fraud awareness, and encouraged participants to experience the functionality and convenience of mobile payments firsthand.

Specifically, the two sessions of the "Campus Seminars on Mobile Payment Fraud Prevention" attracted over 100 students and faculty from the business and management school. While mobile payment usage is high among students, their experience in identifying phishing messages and scams is relatively insufficient. Through conceptual explanations and practical case sharing, we helped students enhance their security awareness and digital literacy when using mobile payments.

Furthermore, the "Senior Digital Learning Workshops" invited seniors to learn digital tools and increase their vigilance against fraud. Through a structured approach involving explanations, tutorials, Q&A, and hands-on practice, seniors personally experienced the convenience of mobile payments. By providing direct instruction on various functions and sharing real-world anti-fraud cases, we lowered the entry barrier for seniors to use mobile payments, thereby improving their quality of life and safeguarding their financial security.

Promoting cultural development

Building on our long-standing support for the domestic cultural and creative industries and performing arts groups, the Company continues to invest resources in enhancing the merchant acceptance rate at creative markets. By providing convenient payment services to stimulate consumer spending, we offer practical assistance to numerous young creative entrepreneurs.

In addition, we collaborated with the "Rock 'n' Roll Running Series - Taipei," an event that integrates sports, musical performances, and gourmet food markets. Through social media video content curation, we promoted a healthy lifestyle combined with the hands-free, phone-free convenience of our payment experiences. We also committed marketing and promotional resources to rally young people and families to participate in this experiential running event, amplifying the event as a platform for numerous musical performing groups to gain visibility.

Disclosure of Climate-Related Information for Companies Meeting Specific Conditions:

Item

Implementation status

1. Describe the Board of Directors' and management's oversight and governance of climate-related risks and opportunities.

The Company's climate change governance and management framework is overseen by the Board of Directors, which holds ultimate responsibility for supervising significant climate-related risks, reviewing management policies, and ensuring the effective operation of management mechanisms. In May 2024, the Company established the "Risk Management and Sustainable Development Task Force," composed of the CEO, executives at the level of Vice President and above, and Chief

Information Security Officer (CISO). The task force is responsible for identifying, assessing, and managing climate-related risks and opportunities. To implement environmental sustainability, social welfare, and corporate governance, while strengthening related information disclosure, the Board approved the establishment of the Sustainable Development Committee on November 11, 2025. This committee is tasked with formulating and promoting sustainable development policies, as well as reviewing and tracking their performance, with regular annual reports submitted to the Board of Directors to ensure the effective execution of sustainability strategies.

2. Describe how the identified climate risks and opportunities affect the business, strategy, and finances of the business (short, medium, and long term).

As a third-party payment service provider, the Company’s operations rely heavily on stable information and power infrastructure, and it must also respond to rapidly evolving financial regulations and market demands. Under the context of climate change, the following risks and opportunities have been identified: (1) Risks: • Short-term: As climate-related disclosure regulations become increasingly defined, the Company must allocate additional human and systemic resources to establish inventory, management, and internal control systems. This will increase management and compliance costs in the short term, impacting operational resource allocation. • Mid-term: Extreme weather events, such as typhoons, heavy rainfall, or extreme heat, may impact operational stability by causing disruptions to office and data center operations. These incidents could compromise the stability of customer service, IT system maintenance, and transaction processing, ultimately affecting transaction volumes and MDR business income. • Long-term: As international carbon disclosure and sustainability standards become more stringent, failure to establish comprehensive carbon management and reduction strategies in a timely manner will affect the Company’s valuation in capital

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| | markets and investor trust, further impacting cost of capital and long-term financial planning.

(2) Opportunities:
• Short-term: Compared to cash and paper vouchers, digital payments inherently reduce paper usage and physical operational processes, which helps enhance the brand’s sustainability image. By leveraging services such as e-vouchers, digital offers, and paperless marketing tools, the Company can strengthen its ESG value proposition, increasing brand recognition and merchant adoption, thereby driving growth in transaction volume.
• Mid-term: As climate change increases operational uncertainty, the Company continues to optimize its IT architecture and business continuity management mechanisms. By strengthening transaction stability, system redundancy, cybersecurity, and disaster recovery capabilities, we aim to expand overall operational resilience. These measures not only mitigate the impact of climate shocks on service continuity but also enhance user experience and merchant trust, further consolidating our competitive advantage in the digital payment market.
• Long-term: As the digital economy and Net-Zero transition policies deepen, mobile payment platforms can serve as a vital medium connecting consumer behavior with sustainable values. The Company will continue to explore application models that combine payment data with sustainability information, such as developing green consumption promotion mechanisms or sustainability-related reward programs. This will enhance user engagement and brand value while opening up new business opportunities and revenue streams aligned with future market trends. |
| --- | --- |
| 3. Describe the financial impact of extreme weather events and transformative actions. | As climate-related regulations and information disclosure requirements become increasingly comprehensive, the financial impact in the short term will involve increased expenditures related |
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| | to greenhouse gas inventory, verification, disclosure, and the establishment of management systems, which may raise operational and compliance costs.
Additionally, should extreme weather events cause power or communication disruptions, they could impact transaction processing stability, leading to additional operational costs for redundancy mechanisms and equipment maintenance.
From a long-term perspective, however, these investments will help strengthen system resilience and business continuity, mitigating the risk of potential financial losses caused by major system or service interruptions. This will also enhance market and investor trust in the Company’s sustainable governance capabilities.
By integrating climate risk management into overall operations and capital allocation planning, the Company will continue to monitor global industry developments and climate change trends. We aim to seize business opportunities arising from the sustainability transition, maintaining a robust financial structure and long-term growth momentum while prudently managing risks. |
| --- | --- |
| 4. Describe how climate risk identification, assessment, and management processes are integrated into the overall risk management system. | To ensure and strengthen risk management capabilities, the Company has incorporated climate risks into its overall risk management system. The Board of Directors serves as the highest governance body for risk management, with the Audit Committee assisting the Board in overseeing the effectiveness of risk management efforts. The CEO, executives at the level of Vice President and above, and the Chief Information Security Officer (CISO) are designated as responsible parties for various types of risk management. A Risk Management and Sustainable Development Task Force has been formed to coordinate and implement risk management activities. Regular management meetings are held to ensure that relevant risks are properly managed and addressed. |
| 5. If scenario analysis is used to assess resilience to climate change risks, the scenarios, parameters, assumptions, analysis factors and major financial impacts used should be described. | Risk Identification: From the perspective of sustainable business operations, the Company continuously identifies potential risks, including those related to strategy and operations, finance, information, self-assessment, and legal |
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| | compliance, and evaluates their potential impacts on the Company.
Risk Assessment: By referencing climate-related trends in peer industries, the Company evaluates issues relevant to its own sector. Additionally, based on the likelihood and the degree of potential impacts, the Company analyzes and prioritizes key climate- and finance-related risks and opportunities.
Risk Management: The Risk Management and Sustainable Development Task Force ensures that all operational units effectively implement the risk management system. The Audit Committee assists the Board of Directors in fulfilling its risk management duties and overseeing the operation of risk management mechanisms. These matters are ultimately submitted to the Board of Directors to ensure the achievement of sustainable business operation goals. |
| --- | --- |
| 6. If there is a transition plan for managing climate-related risks, describe the content of the plan, and the indicators and targets used to identify and manage physical risks and transition risks. | As a third-party payment service provider, the Company does not engage in high carbon-emission or energy-intensive manufacturing activities during operations. Therefore, the level of exposure to physical and transition risks related to climate change is relatively limited.
Nevertheless, the Company closely monitors developments in the Task Force on Climate-related Financial Disclosures (TCFD) and International Sustainability Standards Board (ISSB) guidelines. In the future, we will gradually strengthen our climate risk management framework based on business expansion, stakeholder expectations, and regulatory developments, and incorporate such disclosures into our sustainability report as appropriate to align with international standards and enhance information transparency. |
| 7. If internal carbon pricing is used as a planning tool, the basis for setting the price should be stated. | The Company has not yet established an internal carbon pricing policy. We will continue to observe carbon fee standards set in relevant policies and regulations, as well as be vigilant of movements and trends in carbon emissions regulations at the international, governmental, and market levels, in order to adjust our business strategies in response to potential future changes. |
| 8. If climate-related targets have been set, the activities covered, the scope of greenhouse gas | The Company will to gradually complete its baseline greenhouse gas inventory and establish an |
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emissions, the planning horizon, and the progress achieved each year should be specified. If carbon credits or renewable energy certificates (RECs) are used to achieve relevant targets, the source and quantity of carbon credits or RECs to be offset should be specified.	annual reporting mechanism. We aim to improve energy efficiency, progressively phase out high-energy-consuming equipment, and prioritize the adoption of energy-saving lighting and air conditioning. We will establish a comprehensive carbon emissions data management system to ensure data timeliness and accuracy. In accordance with regulatory requirements, the Company and its subsidiaries will complete a full carbon emissions inventory and assurance. We will formulate a concrete carbon reduction roadmap and timeline to move toward the goal of net-zero carbon emissions. In response to international trends in renewable energy and the development of related regulations, the Company prioritizes the purchase of renewable energy certificates (T-REC) to increase its proportion of renewable energy usage. In 2025, the Company acquired its first 4 T-RECs. Moving forward, we will continue to evaluate ways to further increase our renewable energy consumption, taking concrete actions to support the energy transition
9. Greenhouse gas inventory and assurance status and reduction targets, strategy, and concrete action plan (separately fill out in points 1-1 and 1-2 below).	Please refer to the Appendix 1-1 and 1-2 below.
1-1 Greenhouse Gas Inventory and Assurance Status for the Most Recent 2 Fiscal Years
1-1-1 Greenhouse Gas Inventory Information
Describe the emission volume (metric tons CO2e), intensity (metric tons CO2e/NT$ million), and data coverage of greenhouse gases in the most recent 2 fiscal years.
In August 2025, the Company completed its voluntary greenhouse gas (GHG) inventory for Scope 1 and Scope 2 based on 2024 data. The scope of this inventory primarily focused on the Taipei office and did not yet include subsidiaries. To more accurately measure and manage carbon emissions and proactively prepare for future regulatory requirements, the Company has adopted internationally recognized GHG accounting standards and methodologies for its 2025 inventory operations. This initiative aims to establish a consistent and systematic management mechanism. Concurrently, the Company is promoting Scope 1 and Scope 2 inventories for its subsidiaries and expanding its own GHG inventory to include Scope 3. As of the publication date of this annual report, the Scope 3 inventory has not yet been finalized. The relevant inventory results will be compiled and summarized to serve as a reference for subsequent reduction and improvement plans, and will be disclosed in the Sustainability Report.

GHG Emissions for the Past Two Years:

Year		2024		2025
Item (Unit)		Emissions (tCO2e)	Intensity (tCO2e / NT$ million Revenue)	Emissions (tCO2e)	Intensity (tCO2e / NT$ million Revenue)
The Company	Scope 1	3.1043		20.8356
	Scope 2	176.2323		382.1570
	Subtotal	179.3366		402.9926
Subsidiary (LINE Pay EPI Taiwan Limited)	Scope 1			1.0393
	Scope 2			0
	Subtotal			1.0393
Grand Total		179.3366	0.0291	404.0319	0.0522

Note 1: Power consumption information is calculated based on the 2024 electricity carbon emission factor announced by the Energy Administration.
Note 2 : LINE Pay EPI Taiwan Limited was approved for incorporation on July 24, 2025.

1-1-2 Greenhouse Gas Assurance Information

Describe the status of assurance for the most recent 2 fiscal years as of the printing date of the annual report, including the scope of assurance, assurance institutions, assurance standards, and assurance opinion.

As of the publication date of this annual report, the Company has not yet engaged a third-party institution to perform external verification. However, we have assessed the feasibility of introducing an external assurance mechanism and will implement it at an appropriate time based on our overall strategic planning. This initiative aims to enhance the transparency and credibility of our carbon emission data, align with international sustainability disclosure standards, and strengthen stakeholder trust in our environmental management performance. The verified information will be disclosed in the Sustainability Report.

1-2 Greenhouse Gas Reduction Targets, Strategy, and Concrete Action Plan

Specify the greenhouse gas reduction base year and its data, the reduction targets, strategy and concrete action plan, and the status of achievement of the reduction targets.

As of the date of publication of the annual report, the Company does not meet the criteria for applicable companies, and therefore, is not subject to these requirements. However, the Company will conduct greenhouse gas inventory and assurance in accordance with the regulations and timelines set by the competent authorities. Following the implementation and verification of the management system, the Company will establish a base year for carbon reduction and further formulate reduction targets, strategies, and concrete action plans.

(6) Implementation of Ethical Corporate Management and Deviations from the "Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies" and the Reasons

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
1. Establishment of ethical corporate management policies and programs
(1) Does the company have an ethical corporate management policy approved by its Board of Directors, and bylaws and publicly available documents addressing its corporate conduct and ethics policy and measures, and commitment regarding implementation of such policy from the Board of Directors and the top management team?	☑		To establish a corporate culture of ethical corporate management and ensure sound development, the Company has adopted the "Ethical Corporate Management Best Practice Principles" and the "Procedures for Ethical Management and Guidelines for Conduct" upon board resolution. These serve as the foundation for implementing ethical corporate management. The principles require directors, managerial officers, employees, appointees, and individuals with substantial control to adhere to the principles of integrity and good faith, refrain from unethical conduct, and actively uphold the commitment to ethical corporate management policies.	No major deviations were observed.
(2) Whether the company has established an assessment mechanism for the risk of unethical conduct; regularly analyzes and evaluates, within a business context, the business activities with a higher risk of unethical conduct; has formulated a program to prevent unethical conduct with a scope no less than the activities prescribed in Article 7, paragraph 2 of the Ethical Corporate Management Best Practice Principles for TWSE/TPE	☑		The Company's "Ethical Corporate Management Best Practice Principles" and "Procedures for Ethical Management and Guidelines for Conduct" incorporate the provisions of Article 7, Paragraph 2 of the "Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies," comprehensively addressing business activities associated with risks of unethical conduct. Furthermore, a designated reporting mechanism has been established to facilitate internal and external	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
Listed Companies?			stakeholders in reporting any instances of unethical or improper behavior, ensuring robust ethical governance.
(3) Does the company clearly set out the operating procedures, behavior guidelines, and punishment and appeal system for violations in the unethical conduct prevention program, implement it, and regularly review and revise the plan?	☑		The Company has established the "Ethical Corporate Management Best Practice Principles," "Guidelines for the Adoption of Codes of Ethical Conduct of Board of Directors and Managerial Officers," and "Employee Code of Conduct," which set forth the ethical standards that directors must adhere to in performing their duties and the principles employees must follow in business operations. These regulations strictly prohibit the offering or acceptance of improper benefits, serving as the foundation for preventing unethical conduct. Additionally, the Company reinforces integrity through internal training programs and ongoing awareness initiatives, while periodically reviewing and refining these measures to ensure their effective implementation.	No major deviations were observed.
2. Ethical management practice
(1) Does the Company assess the ethics records of those it has business relationships with and include ethical conduct related clauses in the business contracts?	☑		The Company conducts its business activities with fairness and integrity, avoiding engagements with entities that have a record of unethical conduct. Should any business partner or collaborator be found engaging in unethical behavior, the Company will immediately terminate its business relationship and designate them as a restricted party, ensuring the enforcement of its ethical corporate management	No major deviations were observed.

Evaluation item	Implementation status
	Yes	No	Summary description
			policies.
In accordance with the "Ethical Corporate Management Best Practice Principles," the Company has established a risk assessment mechanism for unethical conduct, outlining preventive measures for the following types of misconduct:
1. Offering and acceptance of bribery.
2. Illegal political donations.
3. Improper charitable donations or sponsorship.
4. Offering or acceptance of unreasonable gifts, hospitality, or other improper benefits.
5. Misappropriation of trade secrets and infringement of trademark rights, patent rights, copyrights, and other intellectual property rights.
6. Engaging in unfair competitive practices.
7. Directly or indirectly damaging the rights or interests of consumers or other stakeholders in the course of research and development, procurement, provision, or sale of products and services.
(2) Has the company set up a dedicated unit to promote ethical corporate management under the board of directors, and does it regularly (at least once a year) report to the board of directors on its ethical corporate management policy and program to prevent unethical conduct and	☑		To strengthen the management of ethical corporate conduct, the Company established the Corporate Governance and Nominating Task Force in May 2024 as the dedicated unit for promoting ethical corporate management.
Comprising senior executives at the vice president level and above, the task force	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
monitor their implementation?			is responsible for formulating and overseeing the implementation of ethical business procedures and codes of conduct. It reports to the Board of Directors at least once a year, with the 2025 ethical corporate management implementation report presented to the Board on November 11, 2025.

The Company strictly implements its ethical corporate management policy. The implementation status for 2025 is as follows:
1. Management measures for the prevention of insider trading: The Company established the "Implementation Rules for Prevention of Insider Trading" to strengthen the management framework for insider information and defined management mechanisms to enhance the clarity and effectiveness of internal information control.
2. Reporting channels for illegal and unethical conduct: The Company established the "Management of Whistleblowing System" to encourage the reporting of unethical or improper conduct and has implemented a whistleblower protection system. In 2025, no whistleblowing reports were received.
3. Awareness and Training Outcomes: To promote awareness among all | |

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
			employees, two training sessions were conducted in 2025, covering the "Ethical Corporate Management Best Practice Principles" and key regulations for handling material inside information. The completion rate reached 100% for both sessions.
4. Other implementation actions: Through commitment, awareness, and institutional management, the Company fully integrates ethical management principles into its operations, covering employee commitments, internal controls, and reviews of business dealings. In 2025, no unethical conduct, political contributions, or material legal violations occurred.
(3) Has the Company established policies to prevent conflict of interests, provided appropriate communication and complaint channels, and properly implemented such policies?	☑		On September 22, 2025, the Chairman approved the establishment of the "Management of Whistleblowing System." This policy clearly outlines whistleblowing channels and relevant operating procedures, designating the Compliance department as the dedicated unit responsible for handling reports and investigations. The identity of all whistleblowers and the content of their reports are kept strictly confidential and processed in accordance with established procedures to ensure the implementation and maintenance of a culture of integrity. Both internal and external personnel may file a report under this system if they identify potential	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
			crimes, fraud, or violations of laws and regulations. The details of this policy have been disclosed on the Company’s website.
Additionally, the Company provides communication channels via the "Stakeholder Section" of its official website, enabling stakeholders to report issues promptly. As of the publication date of this annual report, no complaints or whistleblowing cases have been received from any internal or external personnel or stakeholders.
(4) Does the company have effective accounting and internal control systems in place to enforce ethical corporate management? Does the internal audit unit follow the results of unethical conduct risk assessments and devise audit plans to audit compliance with the systems to prevent unethical conduct or hire outside accountants to perform the audits?	☑		The Company has established a legally compliant accounting system as the standard for accounting practices. Additionally, an effective internal control system is in place, with the audit department conducting regular audits. In the event of special circumstances, ad-hoc audits will be arranged as necessary.	No major deviations were observed.
(5) Does the company provide internal and external ethical corporate management training programs on a regular basis?	☑		The Company has established clear behavioral guidelines and a corresponding reward and disciplinary system within the "Ethical Corporate Management Best Practice Principles" and the "Procedures for Ethical Management and Guidelines for Conduct." Additionally, regular training sessions are conducted for the Board of Directors and all employees to reinforce ethical standards. In 2025, two training	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
			sessions were conducted with the themes of "Prevention of Insider Trading" and "Corporate Sustainability and Ethical Management Practices." A total of 571 employees were required to attend, and the completion rate reached 100% for both sessions. Furthermore, these training sessions were supplemented with quizzes, enabling employees to gain a more thorough understanding of unethical conduct patterns and the appropriate attitudes and behaviors expected of them.
3. Implementation of complaint procedures
(1) Has the company established specific whistle-blowing and reward procedures, set up conveniently accessible whistle-blowing channels, and appointed appropriate personnel specifically responsible for handling complaints received from whistle-blowers	☑		The Company has established a specific reporting and reward system in the "Procedures for Ethical Management and Guidelines for Conduct" and has set up an independent reporting mailbox. The Compliance department serves as the dedicated handling window for processing reports and complaints.	No major deviations were observed.
(2) Has the Company established standard operation procedures for investigating the complaints received, follow-up measures taken after investigation, and mechanisms ensuring such complaints are handled in a confidential manner?	☑		The Company has established the " Management of Whistleblowing System," which defines the reporting levels and handling procedures for different types of subjects. The policy also explicitly stipulates a whistleblower protection system, ensuring that the identity of all whistleblowers and the content of their reports are kept strictly confidential. Investigations and case handling are conducted through restricted access mechanisms to ensure data security and privacy.	No major deviations were observed.

Evaluation item	Implementation status			Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the reasons
	Yes	No	Summary description
(3) Has the Company adopted proper measures to protect whistle-blowers from retaliation for filing complaints?	✓		In accordance with Article 23 of the "Ethical Corporate Management Best Practice Principles," reported cases will be handled confidentially. Furthermore, the "Management of Whistleblowing System" explicitly commits to protecting whistleblowers from improper treatment—including dismissal, removal, demotion, or salary reduction—as a result of their reports. Should a whistleblower face threats, intimidation, or other adverse actions, the CEO may designate relevant departments to take appropriate protective measures and, if necessary, assist in reporting the matter to law enforcement to ensure the utmost safety of well-intentioned whistleblowers.	No major deviations were observed.
4. Strengthening information disclosure
Does the company disclose its ethical corporate management policies and the results of their implementation on its website and the Market Observation Post System (MOPS)?	✓		The Company’s website features a dedicated section on corporate governance, where we disclose information related to ethical corporate management. Additionally, we publish relevant materials such as the "Ethical Corporate Management Best Practice Principles" and the "Procedures for Ethical Management and Guidelines for Conduct" on the Market Observation Post System (MOPS).	No major deviations were observed.

If the Company has adopted its own ethical corporate management best practice principles based on the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies, please describe any deviations between the principles and their implementation: The Company has established the "Ethical Corporate Management Best Practice Principles" based on the "Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies." All operations are carried out in accordance with the guidelines set forth in the principles, with no major deviations.
Other important information to facilitate a better understanding of the status of operation of the Company's ethical corporate management policies :

To improve the intellectual property management system and strengthen the corporate governance structure, the Company has established an intellectual property management plan aligned with its goals. This plan includes measures such as encouraging innovation, intellectual property protection, licensing management, and risk control. Furthermore, the "Intellectual Property Management and Reward Rules" have been enacted to ensure the effective management and appropriate application of innovation results through a systematic approach.

Through incentive mechanisms, internal advocacy, and training, the Company aims to enhance employees' awareness of intellectual property protection. Developers are required to keep detailed records of the development process. For outsourced development, intellectual property ownership and confidentiality obligations will be clearly stated in the contract. Licensing of intellectual property must be formalized through a contract that clearly defines the related rights and obligations. In the event of suspected infringement, the project leader must promptly report the issue and establish a task force to develop an appropriate response plan.

The 2025 implementation status of intellectual property management plan was reported to the Board of Directors on August 12, 2025. The relevant implementation details are as follows:

Intellectual property inventory and achievements:

As of the end of June 2025, the intellectual property rights obtained by or under application by the Company are as follows:

| Patents | Invention Patents | Taiwan | Obtained: 1
Under application: 4 |
| --- | --- | --- | --- |
| | | Republic of Korea | Under application: 4 |
| | Design Patents | Taiwan | Obtained: 1 |
| Trademarks | The Company has obtained exclusive licenses for 3 trademarks in Taiwan from LY Corporation (Japan) and has completed the registration of these exclusive licenses with the Intellectual Property Office, Ministry of Economic Affairs (TIPO). | | |

In the service agreements signed between the Company and LINE Pay Plus Corporation (hereinafter referred to as "LPP"), confidentiality obligations and the ownership of relevant intellectual property rights are clearly defined. Furthermore, LPP guarantees within the contracts that the work product developed under entrustment shall not infringe upon the intellectual property rights or other rights of any third party.
Upon commencement of employment, the Company requires employees to sign relevant documents containing confidentiality clauses regarding the Company's trade secrets. In addition, the Company has established comprehensive information security policies and relevant information management measures, and periodically conducts information security training for employees. These efforts aim to enhance employees' confidentiality awareness and information security capabilities, thereby reducing the risk of data leakage.

(7) Any Other Material Information That Would Afford a Better Understanding of the Status of the Company's Implementation of Corporate Governance:

<1> Continuing education for managers of the Company:

i. Internal Audit Manager:

Name	Date of the courses taken	Institution offering the courses	Course title	Course hours
Ming Tai (Audit Manager)	From 2025.10.01 to 2025.10.03	Institute of Internal Auditors-Chinese Taiwan	Pre-service training program for newly appointed internal audit personnel	18

ii. Finance and Accounting Manager:

Name	Date of the courses taken	Institution offering the courses	Course title	Course hours
Reffy Hung (Finance and Account Manager)	From 2025.04.24 to 2025.04.25	Accounting Research and Development Foundation	Continuing training program for accounting managers of issuers, securities firms, and securities exchanges	12

iii. Chief Corporate Governance Officer

Name	Date of the courses taken	Institution offering the courses	Course title	Course hours
Candace Chiu (Chief Corporate Governance Officer)	2025.04.29	Taiwan Corporate Governance Association	Prevention of workplace sexual harassment and bullying: current status analysis and practical experience sharing	3
	2025.07.11	Taiwan Corporate Governance Association	NVIDIA’s three-trillion miracle: new perspectives on the semiconductor industrial revolution behind AI	3
	2025.08.12	Taiwan Corporate Governance Association	Duties and responsibilities of Companies, Directors, and Supervisors under the Securities and Exchange Act	3
	2025.11.11	Taiwan Corporate Governance Association	Insider trading prevention and response strategies	3

<2> Market Observation Post System (MOPS): https://mops.twse.com.tw/
<3> Company website: https://pay.line.me/

(8) Implementation Status of Internal Control System:

<1> Statement of Internal Control System:

LINE Pay Taiwan Limited
Statement of Internal Control System

Date: March 10th, 2026

Based on the findings of a self-assessment, LINE Pay Taiwan Limited (“the Company”) states the following with regard to its internal control system during the year 2025:

The Company’s Board of Directors and management are responsible for establishing, implementing, and maintaining an adequate internal control system. Internal control system is designed to provide reasonable assurance over the effectiveness and efficiency of our operations (including profitability, performance and safeguarding of assets), reliability, timeliness, transparency and regulatory compliance of our reporting, and compliance with applicable rulings, laws and regulations.
An internal control system has inherent limitations. No matter how perfectly designed, an effective internal control system can provide only reasonable assurance of accomplishing its stated objectives. Moreover, the effectiveness of an internal control system may be subject to changes due to extenuating circumstances beyond our control. Nevertheless, our internal control system contains self-monitoring mechanisms, and the Company takes immediate remedial actions in response to any identified deficiencies.
The Company evaluates the design and operating effectiveness of its internal control system based on the criteria provided in the Regulations Governing the Establishment of Internal Control Systems by Public Companies (herein below, the “Regulations”). The criteria adopted by the Regulations identify five key components of managerial internal control: (1) control environment, (2) risk assessment, (3) control activities, (4) information and communication, and (5) monitoring activities. Each component also includes several items which can be found in the Regulations.
The Company has evaluated the design and operating effectiveness of its internal control system according to the aforesaid Regulations.
Based on the findings of such evaluation, the Company believes that, on December 31st, 2025, it has maintained, in all material respects, an effective internal control system (that includes the supervision and management of our subsidiary), to provide reasonable assurance over our operational effectiveness and efficiency, reliability, timeliness, transparency and regulatory compliance of reporting, and compliance with applicable rulings, laws and regulations.
This Statement is an integral part of the Company’s annual report and prospectus, and will be made public. Any falsehood, concealment, or other illegality in the content made public will entail legal liability under Articles 20, 32, 171, and 174 of the Securities and Exchange Act.
This Statement was approved by the Board of Directors in their meeting held on March 10th, 2026, with 0 of the 9 attending directors expressing dissenting opinions, and the remainder all affirming the content of this Statement.

LINE Pay Taiwan Limited
Chairman and CEO: Woongju Jeong

<2> Where a certified public accountant has been hired to carry out a special audit of the internal control system, the audit report shall be disclosed: Not applicable.

(9) Material Resolutions of Meetings of Shareholders or Meetings of the Board of Directors During the Most Recent Fiscal Year or During the Current Fiscal Year Up to the Date of Publication of the Annual Report

<1> Material resolutions of a shareholders' meeting:

Meeting date	Material resolutions	Implementation status
2025.05.29
(Annual general meeting of shareholders)	1. Recognition of the proposal for 2024 business report	Operations were carried out as per the resolution.
	2. Recognition of the proposal for 2024 financial statements, including consolidated statements	Operations were carried out as per the resolution.
	3. Recognition of the proposal for profit distribution for Year 2024	Operations were carried out as per the resolution.
	4. Approval of the proposal for amendments to “articles of incorporation”	The company registered the change with the Ministry of Economic Affairs and carried out related operations per the amended articles of incorporation.

<2> Material resolutions of a Board of Directors meeting:

Meeting date and session number of a board of directors meeting	Major resolutions	Resolution of the Board of Directors
2025.01.16
(1^{st} special meeting for year 2025)	1. Proposal for application for business operations of subsidiary and authorization of its preparatory office	Each proposal was approved by the directors present without objection.
2025.01.24
(2^{nd} special meeting for year 2025)	1. Proposal for the incentive distribution for managerial officers for Year 2024
2. Proposal for managerial officers’ salary adjustment for Year 2025
3. Proposal for listing bonus distributed to managerial officers	Each proposal was approved by the directors present without objection.
2025.03.11
(1^{st} meeting for year 2025)	1. Proposal for the 2024 business report
2. Proposal for the 2024 financial statements, including consolidated statements
3. Proposal for the assessment of the independence and competence of the certified public accountants, and their appointment and remuneration
4. Proposal for earnings distribution for Year 2024
5. Proposal for statement of internal control system for Year 2024
6. Proposal for formulation of risk management policy and procedures
7. Proposal for amendments to the internal control system
8. Proposal for establishment of wholly-owned subsidiary and formulation of subsidiary’s articles of incorporation	Each proposal was approved by the directors present without objection.

Meeting date and session number of a board of directors meeting	Major resolutions	Resolution of the Board of Directors
	9. Proposal for the allocation of employee and director compensation for Year 2024
10. Proposal for the definition of the Company’s rank-and-file employees
11. Proposal for amendments to articles of incorporation
12. Proposal for formulation of procedures for application for trading halt and resumption
13. Proposal for formulation of standard operating procedures for handling demands by directors
14. Proposal for matters related to acceptance of shareholder proposals for annual general meeting of shareholders for Year 2025
15. Proposal for convening annual general meeting of shareholders for Year 2025
2025.05.13
(2^{nd} meeting for year 2025)	1. Proposal for the consolidated financial statements for the first quarter of Year 2025
2. Proposal for amendments to internal control system
3. Proposal for managerial officer compensation distribution for Year 2024
4. Proposal for amendments to rules of procedure for board of directors meetings
5. Proposal for amendments to standard operating procedures for handling demands by directors	Each proposal was approved by the directors present without objection.
2025.08.12
(3^{rd} meeting for year 2025)	1. Proposal for the consolidated financial statements for the second quarter of Year 2025
2. Proposal for amendments to internal control system
3. Proposal for amendments to the second employee stock option plan of Year 2023
4. Proposal for amendments to the third employee stock option plan of Year 2023
5. Proposal for the 2024 sustainability report
6. Proposal for the dismissal of a managerial officer
7. Proposal for the relocation of the Company	Each proposal was approved by the directors present without objection.
2025.08.26
(3^{rd} special meeting for year 2025)	1. Proposal for the change of the Company’s internal audit manager
2. Proposal for maintaining employee stock options of employees transferred to the Company’s subsidiary	Each proposal was approved by the directors present without objection.
2025.11.11
(4^{th} meeting for year 2025)	1. Proposal for the consolidated financial statements for the third quarter of Year 2025
2. Proposal for business plan for Year 2026
3. Proposal for formulation of annual audit plan for Year 2026
4. Proposal for auditor appointment and remuneration for the 2025 assurance report on the average daily balance of funds collected/paid as an agent
5. Proposal for amendments to internal control system	Each proposal was approved by the directors present without objection.

Meeting date and session number of a board of directors meeting	Major resolutions	Resolution of the Board of Directors
	6. Proposal for amendments to sustainable development best practice principles
7. Proposal for the establishment of the sustainable development committee, adoption of its charter, and appointment of committee members
8. Proposal for the appointment of chief information security officer
2026.01.30
(1^{st} special meeting for year 2026)	1. Proposal for the incentive distribution for managerial officers for Year 2025
2. Proposal for managerial officers' salary adjustment for Year 2026
3. Proposal for amendments to the second employee stock option plan of Year 2023
4. Proposal for amendments to the third employee stock option plan of Year 2023	Each proposal was approved by the directors present without objection.
2026.03.10
(1^{st} meeting for year 2026)	1. Proposal for the 2025 business report
2. Proposal for the 2025 financial statements, including consolidated statements
3. Proposal for the assessment of the independence and competence of the certified public accountants, and their appointment and remuneration
4. Proposal for the appointment and remuneration of certified public accountants for IFRS sustainability disclosure standards implementation consulting services
5. Proposal for earnings distribution for Year 2025
6. Proposal for earnings distribution in cash for Year 2025
7. Proposal for the issuance of new shares through capitalization of earnings for Year 2025
8. Proposal for statement of internal control system for Year 2025
9. Proposal for amendments to procedures for acquiring or disposing assets
10. Proposal for amendments to the internal control system
11. Proposal for the allocation of employee and director compensation for Year 2025
12. Proposal for managerial officers’ change
13. Proposal for the adjustment of managerial officers’ compensation
14. Proposal for amendments to articles of incorporation
15. Proposal for amendments to rules of procedure for shareholders’ meetings
16. Proposal for the election of directors and the nomination and review of director candidates
17. Proposal for releasing the newly-elected directors from non-competition restrictions
18. Proposal for matters related to acceptance of shareholder proposals for annual general meeting of shareholders for Year 2026	Each proposal was approved by the directors present without objection.

Meeting date and session number of a board of directors meeting	Major resolutions	Resolution of the Board of Directors
	19. Proposal for matters related to acceptance of shareholder nominations for director (including independent director) candidates for annual general meeting of shareholders for Year 2026
20. Proposal for convening annual general meeting of shareholders for Year 2026

(10) Where, During the Most Recent Fiscal Year or During the Current Fiscal Year Up to the Date of Publication of the Annual Report, a Director or Supervisor Has Expressed a Dissenting Opinion With Respect to a Material Resolution Passed by the Board of Directors, and Said Dissenting Opinion Has Been Recorded or Prepared as a Written Declaration, Disclose the Principal Content Thereof: None.

Information on Professional Fees of CPAs

Unit: NT$ thousand

Name of accounting firm	Name of CPAs	Period covered by the CPA audit	Audit fees	Non-audit fees	Total	Remarks
Deloitte & Touche	Connie Chen	2025.1.1~2025.12.31	5,750	160	5,910	The non-audit fees include NT$100 thousand for services other than financial statement audits and NT$60 thousand for agreed-upon procedures.
	Robert Yu

(1) When the Company changes its accounting firm and the audit fees paid for the fiscal year in which such change took place are lower than those for the previous fiscal year, the amounts of the audit fees before and after the change and the reasons shall be disclosed: None.

(2) When the audit fees paid for the current fiscal year are lower than those for the previous fiscal year by 10 percent or more, the reduction in the amount of audit fees, reduction percentage, and reason(s) therefor shall be disclosed: None.

Information on Replacement of CPAs

None.

Situations Where the Company's Chairperson, General Manager, or Any Managerial Officer in Charge of Finance or Accounting Matters Has in the Most Recent Year Held a Position at the Accounting Firm of Its Certified Public Accountant or at an Affiliated Enterprise of Such Accounting Firm

None.

Transfer of Equity Interests and/or Pledge of or Change in Equity Interests by a Director, Supervisor, Managerial Officer, or Shareholder With a Stake of More Than 10 Percent During the Most Recent Fiscal Year or During the Current Fiscal Year Up to the Date of Publication of the Annual Report

(1) Changes in equity of directors, managerial officers and major shareholders: Please visit the Market Observation Post System (https://mops.twse.com.tw/mops/#/web/stapap1).

(2) The information regarding the counterparty of the share transfer being a related party: None.

(3) The information regarding the counterparty of the share pledge being a related party: None.

Information on Relationships Among Top 10 Shareholders with Which the Person Is a Related Party, Spouse, or Relative within 2nd Degree of Kinship

March 30, 2026, Unit: shares

Name	Current shareholding		Shareholding of spouse and minor children		Total shareholding by nominee arrangements		Specify the name of the entity or person and their relationship to any of the other top 10 shareholders with which the person is a related party or has a relationship of spouse or relative within the 2nd degree		Remarks
	Shares	%	Shares	%	Shares	%	Name of entity or individual	Relationship
LINE Financial Corporation Representative: In Joon Hwang	39,506,726	58.10%	-	-	-	-	-	-	-
Taipei Fubon Commercial Bank Co., Ltd. Representative: Richard M. Tsai	11,708,963	17.22%	-	-	-	-	-	-	-
Union Bank of Taiwan Co., Ltd. Representative: Hung-lien Lin	5,857,410	8.61%	-	-	-	-	-	-	-
ESOP entrusted to CTBC Bank by LINE Pay Taiwan Representative: James Chen	1,353,811	1.99%
Chih-Min Wang	1,090,000	1.60%	-	-	-	-	-	-	-

Name	Current shareholding		Shareholding of spouse and minor children		Total shareholding by nominee arrangements		Specify the name of the entity or person and their relationship to any of the other top 10 shareholders with which the person is a related party or has a relationship of spouse or relative within the 2nd degree		Remarks
	Shares	%	Shares	%	Shares	%	Name of entity or individual	Relationship
Wei-Lien Liu	302,000	0.44%	-	-	-	-	-	-	-
Investment account of Morgan Stanley & Co. International Plc under the custody of HSBC Bank (Taiwan) Limited	114,797	0.17%	-	-	-	-	-	-	-
Investment account of JP Morgan Securities Co., Ltd. under the custody of Standard Chartered Bank Limited	111,474	0.16%	-	-	-	-	-	-	-
I-Chia Li	85,000	0.13%	-	-	-	-	-	-	-
Chun Hsing Investment Co., Ltd.	77,000	0.11%	-	-	-	-	-	-	-

Total Number of Shares and Total Equity Stake Held in Any Single Enterprise by the Company, Its Directors and Supervisors, Managerial Officers, and Any Companies Controlled Either Directly or Indirectly by the Company

March 31, 2026; Unit: shares; %

Investee enterprise	Investment by the Company		Investment by the directors, supervisors, managerial officers and directly or indirectly controlled entities of the Company		Total investment
	Shares	Shareholding ration	Shares	Shareholding ration	Shares	Shareholding ration
LINE Pay Plus Corporation	200,000	100%	-	-	200,000	100%
LINE Pay EPI Taiwan Limited	50,000,000	100%	-	-	50,000,000	100%

102

III. Capital Raising Status

1. Capital and Shares

(1) Sources of Capital

Unit: shares; NT$

Year/Month	Issue price (NT$)	Authorized share capital		Paid-in capital		Remarks
		No. of shares	Amount	No. of shares	Amount	Sources of capital	Capital paid in by assets other than cash	Others
2015.03	10	10,000	100,000	10,000	100,000	Capital formation	N/A	(Note 1)
2015.06	10	4,300,000	43,000,000	4,300,000	43,000,000	Cash capital increase of NT$42,900,000	N/A	(Note 2)
2018.02	10	38,300,000	383,000,000	38,300,000	383,000,000	Cash capital increase of NT$340,000,000	N/A	(Note 3)
2018.11	288.8	54,706,471	547,064,710	54,706,471	547,064,710	Cash capital increase of NT$164,064,710	N/A	(Note 4)
2023.05	112	100,000,000	1,000,000,000	56,038,221	560,382,210	Employee Stock Options NT$13,317,500	N/A	(Note 5)
2023.09	10	100,000,000	1,000,000,000	60,000,000	600,000,000	Capital reserve distributed in the form of new shares NT$39,617,790	N/A	(Note 6)
2024.11	508	100,000,000	1,000,000,000	68,000,000	680,000,000	Cash capital increase of NT$80,000,000 prior to listing	N/A	(Note 7)

Note 1: Approved by FU-CHAN-YE-SHANG-ZI Document No. 10481597110 issued on March 3, 2015.
Note 2: Approved by FU-CHAN-YE-SHANG-ZI Document No. 10484757410 issued on June 10, 2015.
Note 3: Approved by FU-CHAN-YE-SHANG-ZI Document No. 10746054910 issued on February 7, 2018.
Note 4: Approved by JIN-SHOU-SHANG-ZI Document No. 10701131920 issued on November 28, 2018.
Note 5: Approved by JIN-SHOU-SHANG-ZI Document No. 11230078150 issued on May 17, 2023.
Note 6: Approved by JIN-SHOU-SHANG-ZI Document No. 11230168110 issued on September 11, 2023.
Note 7: Approved by TAI-ZHENG-SHANG-YI-ZI Document No. 1131805045 issued on November 5, 2024.

March 31, 2026; Unit: Shares

Type of stock	Authorized share capital			Remarks
	Outstanding shares	Unissued shares	Total
Common stock	68,000,000	32,000,000	100,000,000	TWSE-listed shares

March 31, 2026; Unit: Shares

Information Relating to the Shelf Registration System:

Type of securities	Amount to be issued		Amount already issued		The purpose ad anticipated benefits of the portion already issued	Scheduled issuance period for the unissued portions	Remarks
	Total no. of shares	Amount approved (NT$)	Total no. of shares	Amount approved (NT$)
N/A

(2) List of major shareholders

March 30, 2026

Names of major shareholders	Shares held (share)	Shareholding ratio (%)
LINE Financial Corporation	39,506,726	58.10%
Taipei Fubon Commercial Bank Co., Ltd.	11,708,963	17.22%
Union Bank of Taiwan Co., Ltd.	5,857,410	8.61%
ESOP entrusted to CTBC Bank by LINE Pay Taiwan	1,353,811	1.99%
Chih-Min Wang	1,090,000	1.60%
Wei-Lien Liu	302,000	0.44%
Investment account of Morgan Stanley & Co. International Plc under the custody of HSBC Bank (Taiwan) Limited	114,797	0.17%
Investment account of JP Morgan Securities Co., Ltd. under the custody of Standard Chartered Bank Limited	111,474	0.16%
I-Chia Li	85,000	0.13%
Chun Hsing Investment Co., Ltd.	77,000	0.11%

(3) Dividend Policy and Implementation Status

<1> Dividend policy:

Upon the final settlement of accounts, if there is surplus profit, it will be allocated in the following order: 1. Taxes; 2. Making up accumulated losses; 3. Setting aside ten (10) percent of net profit as legal reserve unless the accumulated legal reserve equals to the total paid-in capital of the Company; 4. Contribution or reversal of special reserve in accordance with relevant laws or regulations or as requested by the competent authority. 5. The balance plus the accumulated undistributed surplus may be available for distribution as the shareholders' dividends, and the Board of Directors shall formulate a surplus distribution proposal, which shall be submitted to the shareholders' meeting for approval.

The Company's dividend policy is in line with the current and future development plans. Taking into account the investment environment, capital needs, domestic and foreign competition, and the interests of shareholders, no less than 10% of the distributable surplus for the current year will be allocated as shareholders' dividends each year; provided that the Company may decide not to distribute any dividends in special circumstances or where the accumulated distributable surplus is lower than 10% of the paid-in capital. Shareholders' dividends may be distributed in the form of shares or in cash, of which cash dividends shall not be less than 5% of the total dividends.

The Company may, by a resolution adopted by a majority vote at a meeting of the Board of Directors attended by two-thirds of the total number of Directors, have the profit

distributable as cash dividends, and a report of such distribution shall be submitted to the shareholders' meeting.

<2> Dividend distributions proposed at the most recent shareholders' meeting:
The Company's Proposal for Earnings Distribution for Year 2025 was approved by the Board of Directors on March 10, 2026. It proposes a cash dividend of NT$1.5 per common share and a stock dividend of approximately NT$0.5 per common share, subject to approval at the 2026 Annual General Meeting of Shareholders.

(4) Effect upon business performance and earnings per share of any stock dividend distribution proposed or adopted at the most recent shareholders' meeting:
The Company has not disclosed the complete financial forecast for 2026; therefore, the disclosure of the impact of forward-looking financial information is not applicable.

(5) Profit-sharing compensation of employees, directors, and supervisors:
<1> The percentages or ranges with respect to employee, director, and supervisor profit-sharing compensation, as set forth in the company's articles of incorporation:
If there is surplus profit in a fiscal year, the Company shall set aside no less than 1% out of the surplus profit as employees' compensation (including no less than 20% out of the employee compensation for adjustment to salary or wage or as compensation for rank-and-file employees) and no more than 1% out of the surplus profit as compensation of Directors. However, if the Company has accumulated losses, the Company shall reserve an amount equivalent to such accumulated losses for making-up the losses. The surplus profit mentioned in the preceding paragraph is the profit before tax in the current year before deducting the compensation of employees (including rank-and-file employees) and Directors.

The employees' (including rank-and-file employees') compensation distributed to employees (including rank-and-file employees) shall be in the form of shares or in cash. The employees of the controlling companies and subordinate companies of the Company meeting certain specific requirements may be entitled to receive employees' (including rank-and-file employees') compensation. The compensation of Directors shall be in the form of cash only.

A Company may, by a resolution adopted by a majority vote at a meeting of Board of Directors attended by two-thirds of the total number of Directors, have the profit distributable as employees' (including rank-and-file employees') compensation in the form of shares or in cash, and a report of such distribution shall be submitted to the shareholders' meeting.

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<2> The basis for estimating the amount of employee, director, and supervisor profit-sharing compensation, for calculating the number of shares to be distributed as employee profit-sharing compensation, and the accounting treatment of the discrepancy, if any, between the actual distributed amount and the estimated figure, for the current period:

The Company's estimated employee and director compensation for the year 2025 was based on the conditions stipulated in the Articles of Incorporation. Any difference between the estimated and actual distribution amounts will be treated as a change in accounting estimate and recognized in the profit or loss for the year 2026.

<3> Information on any approval by the board of directors of distribution of profit-sharing compensation:

The Board of Directors of the Company has resolved on March 10, 2026, to allocate a total of NT$7,080,000 as employee compensation for the year 2025, which will be paid in cash. No compensation will be allocated to the directors.

The Company has no plans to distribute employee compensation in the form of stock.

<4> The actual distribution of employee, director, and supervisor profit-sharing compensation for the previous fiscal year:

The Board of Directors of the Company, at its meeting held on March 11, 2025, resolved to allocate NT$8,606,452 as employee compensation for the fiscal year 2024, to be distributed in cash. No compensation was allocated to the directors. The amount allocated was consistent with the amount recognized in the financial statements.

(6) Status of a company repurchasing its own shares: None.

Issuance of Corporate Bonds
None.
Issuance of Preferred Shares
None.
Issuance of Global Depositary Receipts
None.

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107

5. Status of Employee Stock Options

(1) Unexpired employee stock options (ESO) issued by the company in existence as of the date of publication of the annual report, and the effect of ESO upon shareholders' equity:

March 31, 2026

| Type of Employee Stock Options | LINE Pay Taiwan Limited
Second Employee Stock Option Plan of Year 2023 | |
| --- | --- | --- |
| Effective registration date
and total number of units (Note 1) | November 17, 2023 / 3,221,750 shares | |
| Issue (handling) date | March 28, 2023 | July 3, 2023 |
| Number of units issued | 50,000 units | 1,777,750 units |
| Number of units still available for issuance | - | |
| Ratio of the number of issued
subscribable shares to the total
number of issued shares | 0.07% | 2.61% |
| Duration | After 3 years starting from the date on which the Company grants employee stock options to an employee, the optionee has the right to exercise 100% of their options based on the exercise price and the units of options granted according to “LINE Pay Taiwan Limited Second Employee Stock Option Plan of Year 2023” and the terms stipulated in the Employee Stock Option Agreement signed by the optionee. However, if the options are not exercised within 10 years from the granting date of the employee stock options, they will be deemed forfeited. | |
| Exercise method | Through issuance of new shares | |
| Vesting period and percentage (%) | After 3 years starting from the date on which the Company grants employee stock options to an employee, the optionee has the right to exercise 100% of their options based on the exercise price and the units of options granted according to “LINE Pay Taiwan Limited Second Employee Stock Option Plan of Year 2023” and the terms stipulated in the Employee Stock Option Agreement signed by the optionee. However, if the options are not exercised within 10 years from the granting date of the employee stock options, they will be deemed forfeited. | |
| Number of shares subscribed
through exercise of the ESO | - | - |

Amount of shares subscribed through exercise of the ESO	-	-
Number of unexercised shares	50,000 shares	1,603,250 shares
Subscription price per share of the unexercised share	NT$104.6 (Note 2)	NT$104.6 (Note 2)
Ratio of the number of unexercised shares to the total number of issued shares (%)	0.07%	2.36%
The effect on shareholders’ equity	The exercise of Employee Stock Options (ESO) aims to attract and retain talents necessary for the Company, motivate employees, foster employees’ sense of cohesion, and collectively create further benefits for the Company and shareholders. The effect on shareholders’ equity is positive.

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March 31, 2026

Type of Employee Stock Options	LINE Pay Taiwan Limited Third Employee Stock Option Plan of Year 2023
Effective registration date and total number of units (Note 1)	November 17, 2023 / 3,221,750 shares
Issue (handling) date	March 28, 2023	July 3, 2023	October 31, 2023
Number of units issued	547,000 units	200,000 units	647,000 units
Number of units still available for issuance	-
Ratio of the number of issued subscribable shares to the total number of issued shares	0.80%	0.29%	0.95%
Duration	After 3, 4, and 5 years starting from the date on which the Company grants employee stock options to an employee, the optionee has the right to exercise their options in line with the stipulated schedule and percentage based on the exercise price and the units of options granted according to “LINE Pay Taiwan Limited Third Employee Stock Option Plan of Year 2023” and the terms stipulated in the Employee Stock Option Agreement signed by the optionee. However, if the options are not exercised within 10 years from the granting date of the employee stock options, they will be deemed forfeited.
Exercise method	Through issuance of new shares
Vesting period and percentage (%)	After 3, 4, and 5 years starting from the date on which the Company grants employee stock options to an employee, the optionee has the right to exercise their options in line with the stipulated schedule and percentage based on the exercise price and the units of options granted according to “LINE Pay Taiwan Limited Third Employee Stock Option Plan of Year 2023” and the terms stipulated in the Employee Stock Option Agreement signed by the optionee. However, if the options are not exercised within 10 years from the granting date of the employee stock options, they will be deemed forfeited.
Option granting period Maximum accumulated percentage of exercisable options
After 3 years 30%
After 4 years 60%
After 5 years 100%
Number of shares subscribed through exercise of the ESO	-	-	-
Amount of shares subscribed through exercise of the ESO	-	-	-

Number of unexercised shares	547,000 shares	200,000 shares	625,000 shares
Subscription price per share of the unexercised share	NT$104.6 (Note 2)	NT$104.6 (Note 2)	NT$104.6 (Note2)
Ratio of the number of unexercised shares to the total number of issued shares (%)	0.80%	0.29%	0.92%
The effect on shareholders’ equity	The exercise of Employee Stock Options (ESO) aims to attract and retain talents necessary for the Company, motivate employees, foster employees’ sense of cohesion, and collectively create further benefits for the Company and shareholders. The effect on shareholders’ equity is positive.

Note 1 : The total number of units effective starting from the effective registration date is the sum of the issuance of the second and third Employee Stock Option Plans.
Note 2 : On August 14, 2023, the exercise price per share was adjusted from NT$112 to NT$104.6.

(2) Names of top-level company executives holding employee stock options (ESO) and ten employees holding ESO authorizing purchase of the most shares, and the cumulative number of the ESO exercised by said executives and these ten employees as of the date of publication of the annual report:

March 31, 2026; Unit: shares; NT$ thousand

	Job title	Name	Number of shares subscribable from exercise of ESO granted	Ratio of the number of shares subscribable from the exercise of ESO granted to the total number of issued shares (Note 2)	Exercised				Unexercised
					Number of shares	Exercise price (NT$)	Total exercise price	Ratio of the number of exercise shares to the total number of issued shares (Note 2)	Number of shares	Exercise price (NT$)	Total exercise price	Ratio of the number of exercise shares to the total number of issued shares (Note 2)
Managerial Officers	Chairman and CEO	Woongju Jeong	827,000	1.21%	-	-	-	-	827,000	104.6 (Note 3)	86,504	1.21%
	Senior Vice President	Celeste Chang
	Senior Vice President	Young Hwa Yuk
	Vice President	Webber Su
	Vice President	Melody Kuo
	Vice President and Chief Corporate Governance Officer	Candace Chiu
	Vice President and Finance and Accounting Manager	Reffy Hung
	Vice President	Tiffany Tai
	Vice President	Dale Lee
Vice President	Peter Lin
Employees (Note 1)	Employee	Dongbin Oh	732,500	1.08%	-	-	-	-	732,500	104.6 (Note 3)	76,620	1.08%
	Employee	Hyunsun Hong
	Employee	Jaepil Ryu
	Employee	Jaeseung Kang
	Employee	Kisun Kim
	Employee	Min-kyoung Kang
	Employee	Pillsung Yoon
	Employee	Seungyeon Kang
	Employee	Soon-yong Lee
Employee	Yonghwan Kim

Note 1 : The top ten employees who have acquired ESO means employees other than managerial officers, and the list of these ten employees are arranged in alphabetical order of employees' first names.

Note 2: The total number of issued shares refers to the number of shares recorded in the registration change records of the Ministry of Economic Affairs.

Note 3: From August 14, 2023, the subscription price per share was adjusted from NT$112 to NT$104.6.

(3) Status of any private placement of employee stock options (ESO) during the 3 most recent fiscal year up to the publication date of the annual report: None.

Status of New Restricted Employee Shares
None.
Issuance of New Shares Due to Merger or Acquisition
None.
Funding Plans and Implementation
None.

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IV. Business Operation Overview

1. Business Activities

(1) Business scope

<1> Major lines of business:

I301020 Data Processing Services
I301030 Digital Information Supply Services
I301040 Third Party Payment
ZZ99999 All business activities that are not prohibited or restricted by law, except those that are subject to special approval.

<2> Relative weight of each line of business:

Unit: NT$ thousand

| Fiscal Year
Product Item | 2024 | | 2025 | |
| --- | --- | --- | --- | --- |
| | Net operating revenue | Relative weight | Net operating revenue | Relative weight |
| MDR Business | 5,193,206 | 82.48% | 6,447,003 | 81.90% |
| Financial Marketing Cooperation Business | 767,916 | 12.20% | 1,107,198 | 14.06% |
| System Management Services Business | 143,491 | 2.28% | 133,433 | 1.70% |
| Others | 191,387 | 3.04% | 184,370 | 2.34% |
| Total | 6,296,000 | 100.00% | 7,872,004 | 100.00% |

<3> Current products (services):

The sources of the operating revenue for the Company's current main products (services) are as follows: merchant discount rate (MDR) business, financial marketing cooperation business, system management services business, and others. The MDR business involves service fees for handling the clearing of third-party and electronic payment transactions. Financial marketing cooperation business refers to service fees charged to banks for issuing credit cards/debit cards with LINE POINTS rewards. System management services business includes revenue generated from the development and maintenance of pay system and financial service related software and hardware. The others encompass revenue generated from advertising and marketing products.

<4> New products (services) planned for development:

i. Cross-border service

LINE Pay continues to drive the development of cross-border services, extending the marketing and operational expertise accumulated in the Taiwan market to overseas regions. In 2026, the Company will focus on developing the content platform to deepen collaborations with overseas merchants, providing

comprehensive marketing tools and exposure resources to enhance their communication with Taiwanese consumers and create a more competitive cross-border marketing model.

By transforming the unique characteristics of overseas business districts and merchant strengths into engaging marketing content, users can easily access the latest trends from local stores and establish clear consumption awareness and expectations before traveling abroad, thereby increasing their willingness to visit stores. Simultaneously, this helps overseas merchants effectively reach potential customers and amplify brand exposure. Moving forward, the Company will continue to deepen its presence in the South Korean market and gradually extend this model to Japan, Southeast Asia, and other neighboring countries, with the long-term goal of expanding into Europe and the U.S. to build a cross-border service ecosystem with payment as the core and marketing services as the driver.

ii. Merchant service “Good Partner App”

LINE Pay continues to deepen the development of merchant services through the "Good Partner App," a dedicated tool designed to help partner stores enhance their daily operational efficiency. In 2026, the Company will focus on integrating Artificial Intelligence (AI) technology to comprehensively upgrade the merchant service experience. By addressing data analysis, information presentation, and marketing support, the Company aims to help merchants monitor their business operations more effectively and lower the barriers to marketing. Moving forward, the Company will combine transaction data with lifestyle context to provide easy-to-understand business analysis, reducing the burden on store owners to interpret data themselves. Meanwhile, through more real-time and intuitive information presentation, store owners can quickly grasp key operational trends even during busy hours. Furthermore, the Company plans to enhance marketing functions, helping merchants quickly apply AI-recommended marketing solutions tailored to their specific operational status, thereby improving resource efficiency and promotional effectiveness. By continuously deepening AI applications, LINE Pay will drive the evolution of the "Good Partner App" from a management tool into an intelligent service capable of proactively supporting merchant decision-making, becoming a vital platform for the growth of our partners.

iii. AR function of “Treasure Map”

To enhance the user interaction efficiency and user experience of map services in real-world scenarios, LINE Pay plans to integrate Augmented Reality (AR) technology into its Treasure Map service, allowing store information to naturally merge into urban spaces in a more contextually relevant way. By

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combining real-world visuals with real-time information, users can spontaneously grasp the business status, ratings, and promotional offers of surrounding stores while walking and exploring, reducing the burden of information search and interpretation. Moving forward, LINE Pay will continue to develop AR applications to strengthen the companion role of Treasure Map in daily life scenarios, creating a more immersive and enjoyable urban exploration experience for users.

iv. Interactive advertising platform

LINE Pay continues to build a marketing ecosystem centered on payment and plans to launch a brand-new interactive advertising platform. By combining interaction with reward mechanisms, the Company aims to redefine the advertising experience, transforming one-way exposure into an engaging and fun-filled experience. This not only enhances user stickiness but also helps merchants strengthen brand and product promotion. Interactive advertising content can be integrated into urban scenes according to different contexts, allowing users to naturally encounter marketing information in their daily lives. By participating and earning rewards, users' resistance to traditional advertising is reduced. Moving forward, LINE Pay will continue to bridge payment and marketing services to provide users with fun and rewards while driving foot traffic and visibility for merchants, gradually shaping a symbiotic marketing ecosystem where users, merchants, and the city thrive together.

(2) Industry Overview

<1> Current status and development of the industry:

According to the "Report on Wholesale, Retail Trade and Food Services Operation Trends Survey" issued by Department of Statistics, Ministry of Economic Affairs in 2025, the share of mobile payment in retail sales for 2024 increased by 0.4 percentage points compared to 2023, showing steady growth. This momentum primarily stems from the collaboration between the government and private sector to expand diverse application scenarios and strengthen experiential marketing. As infrastructure—including regulations, industry standards, and cybersecurity—becomes increasingly comprehensive, public acceptance and usage frequency of mobile payments have continued to rise. In terms of application, the adoption rate of mobile payment services in the food and beverage industry reached $62.5\%$ in May 2025, an increase of 1.3 percentage points compared to the same period in 2024. This indicates that businesses continue to adopt mobile payments to enhance transaction efficiency and consumer experience. Overall, driven by policy promotion, scenario expansion, and infrastructure improvement, mobile payment has gradually become a key payment

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method in daily consumption.

As non-cash payment habits become widespread, Taiwan's mobile payment market has transitioned from an early rapid growth phase toward a stage of deepened application and service maturity. Beyond the increase in user numbers, growth is driven by higher transaction frequency, deeper usage scenarios, and increased merchant adoption. As the market matures, mobile payment services are expanding to meet the increasingly diverse financial needs of both users and merchants.

Regarding policy, the government continues to promote non-cash payment initiatives and refine the payment environment through regulatory and supervisory mechanisms, providing a stable foundation for the industry. Supported by policy, deepening technology applications, and maturing consumer habits, the mobile payment industry will continue to evolve alongside the overall consumption environment and digital service developments.

<2> Links between the upstream, midstream, and downstream segments of the industry supply chain:

In the third-party payment service industry, domestic acquiring banks, which grant credit card transaction authorization to third-party payment institutions, belong to the upstream segment. Third-party payment institutions (e.g., the Company), which provide clearing services of actual transactions as an agent for contracted merchants, belong to the midstream segment. Contracted merchants, which collaborate with third-party payment institutions to offer consumers fast and convenient payment channels, and sell goods or provide services to them, belong to the downstream segment. Below is a diagram illustrating the links between the upstream, midstream, and downstream segments of the third-party payment industry:

<3> Development trends and competition for the Company's products:

i. Payment platform:

As consumers' expectations for the convenience of mobile payments in daily life continue to rise, LINE Pay consistently expands its payment network and service coverage, while optimizing payment processes and system stability to meet diverse consumption scenarios. Currently, LINE Pay has successfully expanded to over

660,000 points-of-sale across Taiwan, serving 13.6 million users. In December 2025, the Company's subsidiary, LINE Pay EPI Taiwan Limited, officially launched its electronic payment service, "LINE Pay Money." This service offers convenient features such as top-up, transfer, split bill, and bill payment, further completing the LINE Pay ecosystem and marking a significant milestone in the Company's expansion into financial services. Venturing into the electronic payment institution business not only breaks through the previous limitations of credit-card-based services but also enables more diverse daily financial services, symbolizing LINE Pay's evolution into a comprehensive and holistic payment ecosystem.

Furthermore, in response to the growing demand for international travel and consumption, LINE Pay continues to expand its overseas presence, allowing users to enjoy familiar, secure, and convenient payment experiences anytime, anywhere. Regarding overseas expansion, LINE Pay prioritizes collaborations with iconic Korean brands frequently visited by Taiwanese travelers, with service coverage spanning major cities and popular tourist hotspots. As of 2025, overseas points-of-sale have exceeded 80,000, satisfying the diverse consumption needs of users traveling abroad.

ii. Financial marketing cooperation:

The Company consistently collaborates with multiple banks to issue LINE Pay co-branded cards as well as LINE POINTS reward credit and debit cards. Through the LINE POINTS reward mechanism of these cards, consumers can naturally accumulate LINE POINTS during their daily purchases and redeem them at over 660,000 points-of-sale across Taiwan. This provides immediate and tangible rewards, encouraging users to make repeat purchases to earn further points. As point accumulation and redemption scenarios continue to expand, LINE POINTS has been deeply integrated into diverse lifestyle consumption scenes, forming a positive-cycle point ecosystem. Moving forward, LINE Pay will continue to partner with more banks to introduce point reward cards that offer LINE POINTS for every transaction, further deepening the "Payment as Reward" consumer experience.

iii. One-stop financial platform:

As digital financial services increasingly integrate into daily life, the application model of combining payment platforms with financial information and services has reached maturity. LINE Pay continues to leverage its one-stop financial platform to assist financial institutions in increasing the exposure of products such as credit cards, loans, and insurance, enabling users to inquire about and compare financial product information directly through their mobile devices. By integrating payment

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and financial service gateways, users can access and understand diverse financial solutions based on their daily needs. This lowers the barrier to accessing financial information and enhances overall convenience.

iv. Marketing platform:

LINE Pay is dedicated to building a payment and marketing ecosystem, launching diverse marketing solutions to help merchants and partners enhance operational efficiency and create more business opportunities. In 2025, LINE Pay continued to optimize its "Marketing Platform" services, providing merchants with more diverse and user-friendly marketing tools to help them plan promotional campaigns according to their needs, effectively enhancing marketing effectiveness. Simultaneously, the Company continues to expand the range of partner stores and product types for services such as "Payshop" and "Activities," assisting partners in increasing brand and product exposure while providing users with more diverse consumption choices. Through the integration of payment and marketing services, LINE Pay's marketing platform has gradually become a vital tool for connecting merchant promotion with consumer interaction. Moving forward, the Company will continue to optimize relevant functions to provide merchants with more flexible and efficient marketing support.

<4> Competition for the Company's products:

The mobile payment market in Taiwan is highly competitive. In addition to existing mobile and third-party payment providers, financial institutions and various other players have launched their own services, leading to increasingly diverse market choices. As the payment market reaches maturity, competition among providers has expanded across aspects such as payment functions, usage scenarios, and value-added services, with the market environment constantly evolving. In this competitive landscape, LINE Pay leverages its massive user base and mature ecosystem advantages, combining payment and marketing services to establish an integrated service architecture that supports both consumer usage and merchant operations, providing a one-stop service experience that satisfies diverse needs. With the official launch of the subsidiary's electronic payment services, LINE Pay can further expand its application range and enhance service flexibility. Furthermore, LINE Pay continues to develop cross-border services and voucher-related businesses, while deepening marketing platform functions to help merchants improve exposure and operational efficiency while strengthening user interaction. This gradually shapes a positive-cycle and mutually beneficial payment and marketing ecosystem. Facing intensifying market competition, LINE Pay will continue to refine its services through steady deployment and differentiation strategies to consolidate its market competitiveness and drive long-term growth.

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(3) Overview of the Company's technologies and its research and development work:

<1> The research and development costs incurred for the most recent year and up to the date of the annual report's publication:

Unit: NT$ thousand

Item	2025	From 2026.01.01 to 2026.03.31 (estimation)
Research costs	524,462	91,064

<2> Technologies and/or products successfully developed for the most recent year and up to the date of the annual report's publication:

Year

Technologies or products

2025

■ Cross-border collaboration with South Korea's "Hyundai Card," allowing Hyundai Card users to easily use LINE Pay for payments during their travels to Taiwan. ■ The LINE Pay "Activities" platform has added new entries for "Overseas Attraction Tickets," "Overseas Transportation Tickets," and "Taiwan High-Speed Rail," expanding user scenarios and enhancing the mobile payment experience in daily life. ■ Collaborated with Uber App to complete platform optimization and integration, supporting "Binding Payment" as the first mobile payment provider to support Uber App payments, fully covering payment scenarios for both Uber rides and Uber Eats. ■ Integrated the "LINE Pay Money" electronic payment service, launched by wholly-owned subsidiary LINE Pay EPI Taiwan Limited, to provide diverse functions such as transfer, top-up, withdrawal, and payment; the "Bill Payment" feature supports over 4,000 items, and the "Traffic QR" service initially connected with the Kaohsiung MRT system to provide a more intuitive mobile payment experience for commuters, building an all-encompassing payment ecosystem. ■ Partnered with KGI Bank to offer quick card linking services, enhancing user convenience. ■ Introduced payment services to the global booking platform Agoda, becoming the first mobile payment provider to partner with Agoda to optimize the booking payment process and provide a fast checkout experience without the need to enter card numbers. ■ Upgraded the "Good Partner App" with partner and group-level management functions, integrating transaction and settlement data from both electronic payment services and existing third-party payments to enhance the operational efficiency of cross-store management for chain stores. ■ Partnered with the e-commerce platform Coupang to integrate the "One-Click Payment" function and enabled LINE Pay payments for Rocket Overseas products, enhancing transaction convenience for users. ■ Fully expanded "Payshop" services by onboarding over 2,000 partner stores and unlocking key venues such as hotels and parking lots; combined with precision maps and sharing functions to create a comprehensive discount ecosystem. ■ Expanded "LINE Pay Marketing Platform" functions by launching the "Spend-to-Get" coupon scheme to help small and medium-

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Year	Technologies or products
	sized merchants establish customer retention mechanisms and stabilize revenue sources.
2026.01.01 ~ 2026.03.31	■ Deepened collaboration with financial institutions by adding a "Digital Account Section" to the financial service platform, providing users with a convenient one-stop browsing service for digital accounts.

(4) The Company’s long- and short-term business development plans

<1> Short-term business development plans

Main business	Short-term business development plans
Third-party payment	Consistently expand points-of-sale and usage scenarios to enhance service convenience and satisfy diverse user needs. Simultaneously, introduce innovative features to refine the payment platform, complemented by marketing campaigns to increase the frequency of LINE Pay usage in daily life.
Points reward cards	Collaborate with more banks to drive the issuance of LINE Pay co-branded cards and LINE POINTS reward cards. Leverage the points reward mechanism to strengthen user stickiness and continue expanding the application of LINE POINTS across various consumption scenarios, fostering a virtuous cycle within the points ecosystem.
Voucher issuance and sales	Continue to expand partner merchants for the "Payshop" service while integrating and optimizing platform features such as maps. This assists merchants in easily issuing vouchers and precisely promoting them to potential customers nearby, creating business opportunities for merchants while offering more discounts to users.
Marketing platform	Expand marketing tools and solutions on the "Marketing Platform," a self-service platform for merchants, to help them plan promotional campaigns based on their specific needs and effectively enhance their marketing effectiveness.
Overseas market expansion	Deepen presence in overseas markets, focusing on key countries and venues frequently visited by Taiwanese travelers. Provide users with a more secure consumption experience through familiar and convenient payment services, while continuing to develop content platforms to deliver exclusive offers and valuable travel-related consumption information.

<2> Long-term business development plans

Main business	Long-term business development plan
Brand and market expansion	Continuously strengthen the visibility of the LINE Pay brand in the payment market, expanding the payment ecosystem by onboarding more merchants and partners. Furthermore, steadily advance overseas market deployment and gradually broaden service coverage to enhance overall market influence.
Diverse service platform	Centering on payment services, continue to integrate electronic payments, financial services, merchant services, and marketing platform services. This aims to gradually refine the platform’s service architecture, providing both users and merchants with a more comprehensive and convenient service experience.

2. Overview of Market and Production/Sales Situation

(1) Market analysis

<1> Regions where main products (services) are provided (supplied):

Unit: NT$ thousand

Year Region	2024		2025
	Sales amount	Ratio (%)	Sales amount	Ratio (%)
Domestic	6,152,509	97.72%	7,738,571	98.30%
Overseas	143,491	2.28%	133,433	1.70%
Total	6,296,000	100.00%	7,872,004	100.00%

<2> Market share:

LINE Pay continues to collaborate with partners across various industries to expand its payment network, consolidating its pivotal position in the mobile payment market. In 2025, 71,000 new points-of-sale were added in Taiwan, bringing the total to 660,000. Additionally, overseas points-of-sale exceeded 80,000, resulting in a combined global total of over 740,000 points-of-sale. On the user side, the number of LINE Pay users continues to grow, surpassing 13.6 million by the end of 2025. Based on Ministry of the Interior statistics estimating Taiwan's total population at approximately 23.3 million as of December 2025, LINE Pay's penetration rate has reached $58\%$ . This implies that one in every two people in Taiwan is a LINE Pay user, demonstrating its widespread acceptance among consumers. The expanding user base, coupled with a high-density and diverse layout of payment scenarios, has effectively boosted user frequency and stickiness. In 2025, the annual transaction volume reached NT$868.6 billion, a $15\%$ year-on-year increase. This indicates that LINE Pay not only possesses a stable user base but also exhibits strong transaction vitality and growth momentum. LINE Pay's market share in Taiwan's mobile payment sector continues to rise steadily, and the Company will further amplify its market influence through its comprehensive merchant network and massive user scale.

<3> Demand/supply situation in the future and growth potential in the market:

i. Demand/supply situation:

As the market continues to evolve, mobile payment platforms are playing an increasingly vital role within the payment ecosystem, with market supply and demand showing a trend of steady growth. On the demand side, the use of mobile payments in Taiwan has become highly prevalent, with the frequency of use continuing to rise. According to surveys by the Market Intelligence & Consulting Institute (MIC), the proportion of users making more than 11 payments per month is increasing annually, and the ratio of heavy users who use these services daily is also on an upward trend, indicating that mobile payment has progressively integrated into daily consumption scenarios.

At the same time, consumer expectations for payment platforms have shifted from simple payment functions toward full-scenario digital services. Users now seek the integration of digital vouchers, membership points, and digital identity verification to enhance daily convenience. Furthermore, with strong momentum in cross-border travel, there is a significant increase in demand for users to complete transactions using familiar payment methods while traveling abroad.

On the supply side, as mobile payment acceptance technology becomes increasingly mature, smartphones can now serve as simple payment collection tools, lowering the entry barrier for small, medium, and micro-merchants to adopt digital payments. Meanwhile, financial institutions and electronic payment providers are promoting cross-institutional collaboration through API integration, enhancing the interoperability and convenience of payment services and driving the continuous expansion of the overall payment ecosystem.

Overall, driven by factors such as increased usage frequency, the continuous expansion of application scenarios, and lower merchant adoption barriers, mobile payment services have gradually merged into daily consumption and life scenarios, propelling the sustained development of the entire payment ecosystem.

ii. Growth potential:

① Deepening digital empowerment for local merchants to expand payment ecosystem penetration

As the mobile payment market gradually reaches maturity, future growth momentum will stem from increasing the adoption depth and actual usage rates among small and medium-sized merchants. LINE Pay continues to optimize its "Marketing Platform" services, assisting small and medium-sized businesses in digital promotion, promotional campaign design, and customer interaction, thereby lowering the marketing entry barrier for merchants.

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Simultaneously, the "Payshop" voucher service continues to expand its partner stores and product categories. This assists merchants in using the self-issued voucher mechanism to secure consumer demand in advance and enhance brand exposure. These services have demonstrated significant operational results; in the third quarter of 2025, the overall transaction volume of selected Payshop partner stores grew more than 13 times compared to the previous quarter. This highlights that integrated marketing and voucher tools can effectively drive merchant transaction performance. Looking ahead, LINE Pay plans to comprehensively upgrade its merchant management tool, the "Good Partner App," through AI technology, continuously optimizing platform functions to help merchants enhance operational efficiency.

By combining payment services with marketing resources, LINE Pay not only assists merchants in expanding their customer base and promoting customer retention but also further strengthens the usage rate of payment services in daily consumption scenarios, driving the expansion of the overall payment ecosystem and laying a stable foundation for platform growth.

② Strengthening daily usage scenarios to enhance user stickiness and transaction frequency

In a market with increasingly diverse payment options, cultivating stable and high-frequency usage habits has become the key to the continuous growth of mobile payment platforms. In addition to consistently integrating various lifestyle-oriented payment scenarios, LINE Pay leverages marketing campaigns and diversified reward mechanisms to enhance the practicality and convenience of its payment services in users' daily lives.

For instance, the "Activities" service was launched to tap into the consumer trend of Taiwanese people's preference for purchasing various vouchers and travel activities and tour packages. By integrating information related to travel, leisure, and lifestyle experiences, the service guides users to explore various consumption venues and exclusive offers, deepening the connection between payment services and lifestyle contexts.

Furthermore, LINE Pay continuously introduces various marketing campaigns and offers to drive usage growth. The long-standing "Everyday LINE Pay Day" campaign, which is well-established among users, consistently provides coupons for themes such as "Department Store Shopping," "Local Accommodations," and "Daily Essentials." The campaign content is regularly adjusted based on user behavior and market trends; for example, the "Moms, Babies & Pets" theme was added in the third quarter to respond to emerging

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consumer demands. Simultaneously, LINE Pay collaborates with over 30 business districts and 2,000 partner stores across Taiwan each quarter to provide coupons covering the most frequent consumption areas, satisfying users' diverse daily needs.

By continuously launching promotional campaigns tailored to consumption scenarios, LINE Pay effectively enhances user willingness to spend and transaction frequency, further strengthening user stickiness and promoting the steady growth of transaction volume.

③ Building a two-way cross-border service network to expand market boundaries and growth momentum

As demand for overseas travel and consumption continues to rise, LINE Pay consistently deepens its layout of overseas points-of-sale to provide Taiwanese users with convenient and secure payment experiences while traveling abroad. LINE Pay prioritizes collaborations with industry-leading brands frequently visited by Taiwanese travelers, with a service scope covering major cities and tourism hotspots. In 2025, new partnerships were established with major brands including Lotte Mart, Shinsegae Simon Premium Outlets, Lotte Duty Free, Lotte Department Store, and Lotte World. Furthermore, LINE Pay expanded its presence into South Korean railway stations, allowing users to pay with LINE Pay at convenience stores, coffee shops, and retail stores throughout various stations. LINE Pay is also actively developing its content platform, transforming overseas merchant features and exclusive offers into engaging content. This provides users with unique inspiration during travel planning and ensures a convenient and rewarding payment experience during their journey.

Simultaneously, LINE Pay is actively enhancing the convenience for international travelers spending in Taiwan. In addition to its partnership with South Korea's largest card issuer, Shinhan Card, LINE Pay established a new collaboration in 2025 with Hyundai Card, which boasts 12 million users. This allows their cardholders to use their familiar payment methods at LINE Pay points-of-sale across Taiwan, while assisting Taiwanese merchants in meeting the consumption needs of overseas visitors. Looking ahead, LINE Pay will continue to deepen its overseas deployment, gradually building a comprehensive global payment and marketing network to expand its platform scale and strengthen its brand influence in the international market.

<4> Competitive niche:

LINE Pay's competitive advantage stems from its innovative business model, extensive partnerships, and differentiated user experience. Through the LINE POINTS ecosystem,

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LINE Pay not only provides users with convenient payment services but also incorporates a points reward mechanism, encouraging user spending and driving a positive cycle of merchant marketing. At the same time, LINE Pay has established strong partnerships with merchants across various industries, media agencies, financial institutions, and international organizations, further increasing market coverage, integrating resources, and strengthening brand influence.

i. Unique business model and services:

LINE Pay's competitive niche lies in its innovative business model, which deeply integrates payment services with a points reward mechanism to create a unique payment experience. Through the LINE POINTS reward system, users naturally accumulate and redeem points during their consumption process; this stimulates user spending willingness and enhances merchant marketing effectiveness. These benefits continue to accumulate as the scale of both users and merchants expands. Furthermore, with payment services at its core, LINE Pay consistently integrates diverse applications, including electronic payments, vouchers, marketing tools, and content platforms, to gradually build a comprehensive and scalable ecosystem. This allows the Company to satisfy evolving consumption habits and diverse market demands.

ii. Extensive partner relationships:

LINE Pay continues to expand its partner network, with partner merchants encompassing large-scale channels, retail chains, and local small and medium-sized businesses. The payment scenarios span across both online and offline environments, closely aligning with the daily consumption habits of the general public. Dedicated to enhancing the quality of life for its merchants, LINE Pay consistently optimizes merchant services and management functions to assist them in improving operational management efficiency, lowering the barriers to marketing and digitalization, and creating more business opportunities. By integrating payments, points rewards, and marketing tools, LINE Pay is able to continuously expand its points-of-sale and assist merchants in adopting diverse application services. This enhances platform coverage and merchant stickiness, establishing long-term and deep-seated partnerships with merchants.

Furthermore, LINE Pay has established collaborative relationships with financial institutions, media agencies, and international partners. Through resource integration and cross-industry cooperation, the Company expands its service scope and drives the development of cross-border and marketing-related businesses, maintaining growth momentum and promoting steady business performance.

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iii. Deepening service value and differentiating platform experience:

LINE Pay adopts simplifying payment processes and enhancing operational intuitiveness as its core design principles, integrating payments, points rewards, vouchers, and experience services to provide a seamless and consistent user experience. Through real-time transaction notifications, clear consumption records, and transparent reward presentations, users can stay informed about their transaction status at any time, enjoying a transparent and secure digital financial service.

Continuously starting from user needs, LINE Pay deepens the overall service value of its platform through the integration of diverse functions. Beyond core payment features, LINE Pay launched the "Activities" service, combining the familiar consumption scenarios of vouchers and travel itineraries to guide users in exploring various lifestyle venues, thereby enhancing the extensibility and usage frequency of its payment services. Simultaneously, LINE Pay has built a content platform for travel and lifestyle information, helping users obtain practical information before making consumption decisions, which further strengthens user stickiness. Furthermore, LINE Pay consistently optimizes marketing services such as "Payshop." Through service integration and experience optimization, LINE Pay is gradually shaping a differentiated platform positioning that balances convenience and value, building a competitive advantage that is difficult to replicate in the short term.

<5> Positive and negative factors influencing future development, and the Company's responsive measures:

As a service provider placing its payment service at the core, LINE Pay is committed to providing diverse payment solutions, becoming part of everyone's life, enhancing the quality of life for users and merchants, dedicating itself to leading the industry, and shaping a brighter future together for all. From the perspective of a leading company in Taiwan's mobile payment market, the positive and negative factors influencing the future development and the Company's responsive measures are outlined as below:

Positive factors

(1) Solid market foundation and brand influence: LINE Pay has established a high-density network of points-of-sale across Taiwan, spanning diverse industries and merchants of all scales. This allows mobile payment to integrate seamlessly into users' daily lives. Leveraging a stable user base and high brand trust, LINE Pay can continuously expand its service applications and cooperation models, laying a solid foundation for future service innovation and cross-regional development. (2) Scalable virtuous cycle ecosystem: Through its integrated strengths in payment services, points rewards, marketing tools, and content platforms, LINE Pay has built a massive ecosystem that serves as a pivotal bridge between users and merchants. Users naturally accumulate points through daily consumption and redeem them for discounts, which enhances transaction frequency and user stickiness. Simultaneously, merchants leverage platform resources to effectively

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expand their customer base and drive transaction volume growth. As the platform scale expands, ecosystem benefits continue to accumulate, shaping a virtuous cycle that ensures a win-win-win outcome for users, merchants, and LINE Pay. (3) Strengthened operational resilience post-listing: Following its listing on the Taiwan Stock Exchange (TWSE), LINE Pay has further enhanced its capital structure and information transparency. This helps strengthen corporate governance and the foundation of market trust, while increasing flexibility in strategic execution and resource allocation. Through more comprehensive financial planning and a long-term investment perspective, LINE Pay is able to steadily advance technological optimization, service innovation, and overseas deployment, supporting sustainable business growth.

Negative factors

Responsive measures

(1) Intense competition in the payment market: Competition in the mobile payment market continues to intensify. Various players are aggressively vying for market opportunities through diversified expansion strategies and promotional tactics. This may impact user loyalty and compress the profit margins of merchant discount rate (MDR) fees. (2) Fluctuation in the economic environment: The global economy remains influenced by geopolitical tensions and inflationary pressures. Changes in the overall economic environment may cause fluctuations in consumer confidence, affecting spending willingness and posing challenges to overall business performance and growth momentum.

(1) Deepening service value and differentiating strategic deployment: LINE Pay will continue to center its operations on payment services while deepening diverse applications across financial platforms, voucher services, and marketing tools. By integrating these services, the Company aims to enhance overall platform value. Regarding overseas market expansion, LINE Pay maintains a differentiation strategy. Beyond focusing on the integration of payment services, the Company further develops its content platform, combining local merchant features with marketing resources to provide users with attractive, exclusive content and offers. By consistently integrating innovative service experiences and value-added content, LINE Pay enhances its overall competitiveness, the pressure from competition solely based on rewards, and strengthens users' long-term usage motivation. (2) Strengthening merchant services: LINE Pay will continue to strengthen its merchant services by optimizing merchant management functions and marketing-related features. This assists merchants in lowering the barriers to marketing adoption and portal operations while improving daily operational and marketing management efficiency. By providing intuitive and flexible

marketing tools along with data-driven support, LINE Pay helps merchants more effectively plan promotional activities, reach target audiences, and subsequently enhance transaction performance and business stability. This strategy not only helps expand points-of-sale and platform usage rates but also supports merchants in sustainable operations and diversifies overall operational risks amidst environmental changes, laying a steady foundation for the platform's long-term development.

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(2) Usage and manufacturing processes for main products:

<1> Usage of main products

The Company is a third-party payment service provider, and our main products include:

i. Payment services: LINE Pay plays an intermediary role between merchants and consumers, offering users secure and convenient mobile payment services at both online and offline partner stores. Through LINE Pay, users can make various payments with their mobile phones and smartwatches, including online shopping, internet services, and purchases at physical stores. Once users link LINE Pay to their credit cards, they can make payments quickly and with ease.

ii. Points issuance: In addition to collaborating with partner banks to provide special offers, discounts, and LINE POINTS rewards for consumers, LINE Pay invites merchants to purchase LINE POINTS from us and offer them to consumers considering that LINE POINTS rewards are one of the most popular marketing tools available in the market.

iii. Advertising services: LINE Pay’s advertising and marketing sections, as well as its official account, enjoy extremely high traffic. Thus, merchants can utilize LINE Pay’s big data analysis services to decide on purchases of exposure spaces that best suit their target audiences, participate in newly launched marketing campaigns or activities, or purchases of push notification services or other proactive advertising services.

<2> Manufacturing process for main products

The manufacturing process of LINE Pay can be summarized into the following steps:

i. Market research and planning: Before launching new services or applications, LINE Pay conducts market research to understand consumers’ demand and preferences for mobile payments. Based on the results of user needs assessment, corresponding product strategies and feature designs are formulated.

ii. System development: When designing and developing mobile payment application services, LINE Pay’s development team involves information technology personnel, cybersecurity engineers, and the testing team to ensure the security and stability of the system.

iii. Partner negotiation: Depending on the service application content, LINE Pay negotiates with banks, merchants, and/or partners to integrate various payment channels and provide users with fulfilling user experiences.

iv. Testing and trial operation: Before the official launch of a new LINE Pay service, internal testing, closed beta testing, and public testing are conducted to ensure the provision of stable and precisely-needed services.

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(3) Supply situation for major raw materials: The Company does not engage in manufacturing business, so this does not apply.

(4) Suppliers and clients accounting for 10 percent or more of the Company's total procurement (sales) amount in either of the 2 most recent fiscal years, the amounts bought from (sold to) each, the percentage of total procurement (sales) accounted for by each, and an explanation of the reason for increases or decreases in the above figures.

<1> Suppliers accounting for 10 percent or more of the Company's total procurement amount in either of the 2 most recent fiscal years, the amounts bought from each, the percentage of total procurement accounted for by each:

Unit: NT$ thousand

	2024				2025
Item	Name	Amount	Percentage of annual net purchases (%)	Relation-ship with the issuer	Name	Amount	Percentage of annual net purchases (%)	Relation-ship with the issuer
1	Company A	2,902,815	67.35	None	Company A	3,799,284	71.70	None
2	Company B	508,087	11.79	None	Company B	506,473	9.56	None
	Others	899,200	20.86		Others	992,853	18.74
	Net purchases	4,310,102	100.00		Net purchases	5,298,610	100.00

Reasons for changes: The Company and its subsidiaries operate third-party and electronic payment businesses, with the primary cost being transaction fees. This year's transaction fee costs have increased due to steady growth in transaction volume.

<2> Clients accounting for 10 percent or more of the Company's total sales amount in either of the 2 most recent fiscal years, the amounts sold to each, the percentage of total sales accounted for by each:

The Company and its subsidiaries operate third-party and electronic payment businesses, and the main source of revenue is the merchant discount rate (MDR) fees. The customer base is diverse and widely distributed, and thus no single customer accounts for 10% or more of the total sales in each respective fiscal year.

The number of employees employed for the 2 most recent fiscal years, and during the current fiscal year up to the date of publication of the annual report, their average years of service, average age, and education levels

Item Fiscal Year		2024	2025	From 2026.01.01 to 2026.03.31
Number of employees	Direct labor	-	-	-
	Indirect labor	458	474	469
	Total	458	474	469
Average age		34.46	35.52	35.77
Average years of service		1.81	2.18	2.28
Education distribution percentage (%)	Ph. D.	0.437%	0.84%	0.85%
	Master's degree	21.397%	23.00%	23.24%
	College	75.328%	74.26%	73.99%
	Senior high school or below	2.838%	1.90%	1.92%
	Total	100.00%	100.00%	100.00%

Disbursements for Environmental Protection

In the most recent year and up to the date of the annual report's publication, the Company has not incurred any losses or penalties due to environmental pollution.

Labor Relations

(1) Employee benefit plans, continuing education, training, retirement systems, and the status of their implementation, and the status of labor-management agreements and measures for preserving employees' rights and interests:

<1> Employee benefit plans:

Apart from statutory leaves and insurance, the Company provides its employees with employee benefit plans superior to those provided by legal requirements, and the employee benefit plans are summarized below:

i. Leaves superior to those provided by legal requirements: annual leaves, flexible holidays, paid sick leaves, birthday leave, maternity leave, and bereavement leave.
ii. Insurance superior to those provided by legal requirements: employee group insurance, dependent group insurance, and business travel insurance.
iii. Healthcare: Provision of free regular health examinations.
iv. Bonuses: Holiday bonuses, birthday bonuses, wedding bonuses, child-birth subsidies, funeral subsidies, etc.
v. Various subsidies: Language/sports subsidies, childcare subsidies, hospitalization medical subsidies, external training subsidies, team gathering subsidies, etc.

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vi. Leisure: Refreshment allowances, free breakfast, early release program, onsite massage services, employee consultation, LINE STORE Gift Code credits, etc.

vii. Benefits from the Employee Welfare Committee (EWC): Holiday gifts/cash gift, club activity subsidies, family days, etc.

<2> Continuing education and training:

i. On-board training for new employees:

To assist new employees in becoming familiar with and adapting to the work environment as soon as possible, the Company provides on-board trainings for them upon their arrival. The on-board trainings include office orientation, explanation of company policies, introduction to organizational structure, and training on information system operations. Subsequently, guidance and instructions on job duties are provided by respective departments.

ii. On-the-job training:

Considering the long-term development of the Company, the business needs of different departments, and the legal requirements for professionals in various fields, the Human Resources department draws up budgets for the educational training program of the next year at the end of each year and submits it for approval before implementation. In addition to conducting internal training courses, each department can apply for subsidy for external training courses related to job duties within the subsidy's scope. This is aimed at fostering relevant skills and management capabilities of the employees to enhance their job performance and the corporate competitiveness.

<3> Retirement systems and status of implementation:

i. Defined contribution plans

The retirement pension system applicable to the Company and its domestic subsidiary under the "Labor Pension Act" is a government-managed defined contribution plan. Under this plan, the Company contributes 6% of each employee's monthly salary to their individual pension accounts at the Bureau of Labor Insurance. Employees of the Korean subsidiary participate in a government-operated retirement benefit plan. The subsidiary is required to contribute a specific percentage of salary costs to fund the plan. Its obligation under this government-operated retirement benefit program is limited to making the required contributions.

ii. Defined benefit plans

The retirement pension system applicable to the Company and its domestic subsidiary under the "Labor Standards Act" is a government-managed defined benefit plan. Pension payments are calculated based on years of service and

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the average salary of the six months prior to retirement. These companies contribute an amount equivalent to 2% of employees' total monthly salaries to the pension fund, which is deposited in a dedicated account with the Bank of Taiwan under the name of the Labor Pension Reserve Supervisory Committee. Before the end of each year, if the estimated balance of the dedicated account is insufficient to cover the pension payments expected to be made in the following year to employees who are anticipated to meet the retirement requirements, the difference will be contributed in a lump sum by the end of March of the following year. The dedicated account is managed by the Bureau of Labor Funds, Ministry of Labor, and the Company and its domestic subsidiary do not have the right to influence the investment management strategy. A qualified actuary is engaged annually to conduct actuarial valuations to determine the balance and expenses of the defined benefit obligations (assets). The Korean subsidiary provides employees with severance benefits, which are calculated and paid based on years of service and average salary. Each year, the subsidiary engages a qualified actuary to assess the balance and expenses of its defined benefit obligations.

In the Company's consolidated statement of comprehensive income for fiscal year 2025, expenses recognized for the defined contribution plan amounted to NT$28,090 thousand, while expenses for the defined benefit plan amounted to NT$96,098 thousand.

<4> Status of labor-management agreements and measures for preserving employees' rights and interests:

The Company values employee rights, maintains harmonious labor relations, and adheres to relevant labor laws. Regular labor-management meetings are held to coordinate labor relations and facilitate communication and exchange of opinions between labor and management. Additionally, within the existing personnel and welfare system, efforts are made to pursue a balance between labor and management, aiming for a win-win situation. Performance bonuses are also provided based on company performance and results of individual employees' performance evaluations.

As the Company has not yet established a labor union, there have been no requests for signing a collective agreement. However, besides labor-management meetings, to enhance employee communication mechanisms, the Company also regularly holds employee meetings, where the Chairman and senior executives share the Company's business performance and market trends. These meetings encourage employees to work together in facing future challenges and provide opportunities for open dialogue between employees and management.

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(2) Losses suffered by the Company in the most recent fiscal year and up to the annual report publication date due to labor disputes, and disclosing an estimate of possible expenses that could be incurred currently and in the future and measures being or to be taken: None.

Cyber Security Management

(1) Cyber security risk management framework, cyber security policies, concrete management programs, and investments in resources for cyber security management:

The Company has established a corporate operational management mechanism by referring to the framework of the Information Security Management System (ISMS) and considering factors related to internal and external issues, information assets, risk assessment, control activities, communications, supervision, among others. Additionally, the internal control systems are established in compliance with relevant laws and regulations, offering an overview of the functions of risk management and internal monitoring. The information security risk management mechanism is outlined below:

<1> Cyber security risk management framework

i. To ensure and strengthen the Company's information security, we have established a dedicated information security unit responsible for formulating, maintaining, and implementing company-wide information security policies and management systems, handling responses to information security incidents and external threats, as well as coordinating the development and promotion of information security across the entire company. Additionally, on May 24, 2024, the board of directors approved the appointment of the Chief Information Security Officer to handle the implementation of information security policies and the deployment of related resources. Subsequently, the original CISO resigned on August 31, 2025, due to personal career planning. Since the date of resignation, Woongju Jeong, Chairman and CEO of the Company, has temporarily assumed the CISO's duties to ensure the continuous operation of the information security management mechanism. On November 11, 2025, the Board of Directors approved the appointment of a new CISO to continue coordinating the Company's overall information security management and further refine relevant mechanisms.

ii. In 2024, the Company obtained certification for "ISO/IEC 27001:2022" (Valid until December 11, 2027), and in 2025, we obtained certification for "PCI DSS v4.0.1" (Payment Card Industry Data Security Standard; Valid until October 23, 2026).

iii. Following the "ISO/IEC 27001:2022" standard, the Company has set up risk assessment criteria targeting information security risks. At the management level, we conduct risk control for important information assets and core systems based

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on factors such as asset value, vulnerabilities, and threats. At the technical level, we conduct information security technical reviews for system and software architecture during the development planning stage. Through the process of risk management and continuous refinement, we aim to reduce enterprise information security threats. We have also established relevant norms for responding to major information security incidents, providing employees with guidelines for handling such incidents.

<2> Cyber security policies

The Company has established information security policies to ensure the security of data, systems, equipment, and network communications. This is aimed to effectively reduce the risks of unauthorized use, disclosure, alteration, or destruction of information assets due to human error, intentional acts, or natural disasters. These policies serve as guidelines to navigate information security management, ultimately safeguarding the rights and interests of our customers.

<3> Concrete management programs

The Company relies on two international standards, ISO27001 and PCI DSS, as the backbone of information security. We systematically plan and deploy various management regulations and implementation measures, establish a process for continuous refinement, and enhance it with protective measures in software security development processes and system architecture, such as source code scanning, vulnerability scanning, penetration testing, etc., to maintain the confidentiality, integrity, availability of information systems, and to protect customer personal data. Specific management measures are as follows:

i. Regularly take inventories of information assets and manage risks based on information security risk assessments.
ii. Complete an information security risk review before development to manage security risks incurred by poor system designs.
iii. Implement source code scanning, vulnerability scanning, penetration testing, etc., after development to detect potential weaknesses and perform corresponding patches before system deployment.
iv. Regularly backup important information system data and retain offline backups in remote locations to reduce the risk of data unavailability.
v. Develop system recovery plans and conduct practical drills to reduce the risk of system unavailability.
vi. Install next-generation antivirus (NGAV) software on all personal computers, combining machine learning and other technologies to detect viruses and

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malwares, and deploy endpoint protection (EPP) to monitor software running on endpoints.

vii. Conduct regular information security education training sessions to promote awareness of information security policies and related regulations.

viii. Regularly conduct email social engineering drills for employees to be more alert to phishing emails and websites.

ix. Evaluate the overall information security risks of outsourcing vendors before signing an outsourcing contract and include information security-related terms in the contract to control outsourcing information security risks.

x. Establish information security incident reporting and response procedures to appropriately handle information security incidents and prevent further damage.

xi. Conduct internal and external audits annually to ensure the effectiveness of the information security management system.

<4> Investments in resources for cyber security management

i. As of the end of 2025, there are a total of 4 full-time information security personnel.

ii. Regular bi-weekly meetings are held to report on the implementation status of information security to the chairman.

iii. In 2025, 2 physical training sessions on information security and personal data protection were conducted.

iv. A monthly information security newsletter is sent to all employees to enhance awareness of information security.

v. ISO 27001 and PCI DSS Certification: The Company has passed the ISO 27001 and PCI DSS audits conducted by impartial third-party units, strengthening our ability to handle and respond to information security incidents and protecting the security of company and customer information assets as well as credit card data.

vi. Penetration Testing and Other Information Security Checks: During the testing and verification phase of the software development process, we conduct penetration testing on websites and apps that provide external services using hackers' attack methods and mindset. This is to verify whether our enterprise's information assets and customer data can be compromised or stolen, and to confirm whether their security needs improvement. Mobile apps on iOS and Android platforms have also passed security level L3 testing by the Mobile Application Security Alliance (MAS).

vii. The Company's information security personnel hold various management and technical certifications, including CCISO (Certified Chief Information Security

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Officer), CISM (Certified Information Security Management), ISO 27001 Lead Auditor for management, and OSCP (OffSec Certified Professional), CEH (Certified Ethical Hacker), CHFI (Computer Hacking Forensic Investigator), CTIA (Certified Threat Intelligence Analyst), EDRP (The EC Council Disaster Recovery Professional) and ECSA (EC-Council Certified Security Analyst) for technical expertise.

(2) Losses suffered by the Company in the most recent fiscal year and up to the annual report publication date due to significant cyber security incidents, the possible impacts therefrom, and measures being or to be taken: None.

Important Contracts

Nature of contract	Parties	Beginning and end dates of contract	Major content	Restrictive clauses
Credit card acquiring business	CTBC Bank Co., Ltd.	Effective from August 13, 2015, until terminated by either party according to the provisions of the contract.	Collaboration as a platform for payment collection and disbursement as an agent on acquiring operations of transactions via credit cards.	None.
Credit card acquiring business	Taishin International Bank Co., Ltd.	Effective from November 10, 2016, until terminated by either party according to the provisions of the contract.	Collaboration as a platform for payment collection and disbursement as an agent on acquiring operations of transactions via credit cards.	None.
Credit card acquiring business	Cathay United Bank Co., Ltd.	Effective from December 7, 2018, until terminated by either party according to the provisions of the contract.	Collaboration as a platform for payment collection and disbursement as an agent on acquiring operations of transactions via credit cards.	None.
Credit card acquiring business	Union Bank of Taiwan Co., Ltd.	Effective from February 20, 2019, until terminated by either party according to the provisions of the contract.	Collaboration as a platform for payment collection and disbursement as an agent on acquiring	None.

Nature of contract	Parties	Beginning and end dates of contract	Major content	Restrictive clauses
			operations of transactions via credit cards.
Credit card acquiring business	Taipei Fubon Commercial Bank Co., Ltd.	Effective from August 7, 2019, until terminated by either party according to the provisions of the contract.	Collaboration as a platform for payment collection and disbursement as an agent on acquiring operations of transactions via credit cards.	None.
Service of integration and transmission of information	CTBC Bank Co., Ltd.	Effective from October 11, 2016, until terminated by either party according to the provisions of the contract.	Service of integration and transmission of transaction information	None.
Service of integration and transmission of information	Far Eastern International Bank Co., Ltd.	From July 15, 2018, until July 14, 2019, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Service of integration and transmission of transaction information	None.
Service of integration and transmission of information	Taishin International Bank Co., Ltd.	From October 4, 2018, until October 3, 2019, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Service of integration and transmission of transaction information	None.
Service of integration and transmission of information	E.SUN Commercial Bank Co., Ltd.	From June 20, 2019, until June 19, 2020, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Service of integration and transmission of transaction information	None.
Service of integration and transmission of information	Cathay United Bank Co., Ltd.	From December 31, 2019, until December 31, 2025, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Service of integration and transmission of transaction information	None.
Service of integration and transmission of information	Taipei Fubon Commercial Bank Co., Ltd.	From June 1, 2020, until May 31, 2021, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least 90 days before the expiration.	Service of integration and transmission of transaction information	None.

Nature of contract	Parties	Beginning and end dates of contract	Major content	Restrictive clauses
Service of integration and transmission of information	LINE Pay EPI Taiwan Limited	From September 19, 2025, until December 31, 2025, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Service of integration and transmission of transaction information	None.
Payment collection and disbursement trust	Cathay United Bank Co., Ltd.	From June 26, 2024, until June 25, 2025, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least three months before the expiration.	Trust for payment collection and disbursement	None.
Credit card business	CTBC Bank Co., Ltd.	From October 11, 2016, until December 31, 2036, with automatic renewal for five years thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least eighteen months before the expiration.	Collaboration on co-branded cards.	Without the prior written consent from CTBC Bank, the Company shall not delegate the obligations under this contract to a third party.
Credit card business	Taipei Fubon Commercial Bank Co., Ltd.	From March 26, 2019, until December 31, 2026, with automatic renewal for five years thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least eighteen months before the expiration.	Collaboration on credit cards.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
Credit card business	Union Bank of Taiwan Co., Ltd.	From July 4, 2019, until December 31, 2026, with automatic renewal for five years thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least eighteen months before the expiration.	Collaboration on credit cards.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
Credit card business	Bank SinoPac Co., Ltd.	From April 1, 2024, until December 31, 2028, with automatic renewal for five years thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least eighteen months before the expiration.	Collaboration on credit cards.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.

Nature of contract	Parties	Beginning and end dates of contract	Major content	Restrictive clauses
Credit card business	VISA WORLDWIDE PTE. LIMITED	From April 1, 2021, until March 31, 2027.	Collaboration on marketing for credit card businesses.	None.
Service transfer	LINE Corporation (Note 1)	Effective from January 1, 2021.	Transfer of the LINE POINTS issuance service.	None.
Point business	LINE Corporation (Note 1)	From January 1, 2021, until December 31, 2021, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least one month before the expiration.	Collaboration on LINE POINTS settlement.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
Point business	LINE Taiwan Limited	Effective from January 1, 2021, until the termination or expiration of the License Agreement signed between the Company and LINE Corporation on September 28, 2023.	Collaboration on LINE POINTS issuance and settlement.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
System collaboration	LINE Pay Corporation	From January 1, 2019, until February 29, 2024, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least 90 days before the expiration.	Collaboration on system development, operation, and maintenance.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
System collaboration	LINE Pay Plus Corporation	Effective from August 1, 2023, until terminated by either party according to the provisions of the contract.	Collaboration on system development, operation, and maintenance.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
System collaboration	LINE Corporation (Note 1)	From September 1, 2023, until August 31, 2024, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least 30 days before the expiration.	Collaboration on system development, operation, and maintenance.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.

Nature of contract	Parties	Beginning and end dates of contract	Major content	Restrictive clauses
System collaboration	NAVER Cloud Corporation	From October 1, 2023, until September 30, 2024, with automatic renewal for six months thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least 30 days before the expiration.	Collaboration on system development, operation, and maintenance.	Without the prior consent of the other party, neither party shall transfer or delegate the rights under this contract.
Real estate leasing	Taiwan Life Insurance Co., Ltd.	Effective from April 12, 2024, until April 30, 2035.	Property rental.	From the signing date until April 30, 2025, neither party may terminate this contract.
Real estate leasing	LINE Financial Corporation (Note 2)	From October 1, 2023, until July 31, 2028, with automatic renewal for one year thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least 90 days before the expiration.	Property rental.	None.
Intellectual Property Licensing	LINE Corporation (Note 1)	From September 28, 2023, until September 1, 2034, with automatic renewal for ten years thereafter, and the same applies thereafter, unless either party provides written notice of non-renewal at least three months before the expiration.	Exclusive license of the trademark.	The Company may not use the trademark rights granted by LINE Corporation outside the scope of authorization specified in this contract.

Note 1: On October 1, 2023, the LINE Corporation merged with other group companies to form LY Corporation.
Note 2 : This property rental contract was signed by the Company’s subsidiary, LINE Pay Plus Corporation, with the counterparty for leasing office space.

V. Review and Analysis of Financial Position, Financial Performance and Risks

Financial Position

(1) Analysis and comparison of financial position

Unit: NT$ thousand

Item\Fiscal year	2024	2025	Variation
			Amount	%
Current assets	16,058,436	18,985,696	2,927,260	18.23
Property, plant and equipment	270,739	420,857	150,118	55.45
Right-of-use assets	167,550	821,377	653,827	390.23
Intangible assets	48,480	36,910	(11,570)	(23.87)
Other assets	160,340	243,813	(83,473)	(52.06)
Total assets	16,705,545	20,508,653	3,803,108	22.77
Current liabilities	5,857,692	8,509,193	2,651,501	45.27
Non-current liabilities	551,786	1,199,893	648,107	117.46
Total liabilities	6,409,478	9,709,086	3,299,608	51.48
Share capital	680,000	680,000	0	0.00
Capital surplus	8,475,661	8,524,707	49,046	0.58
Retained earnings	1,144,599	1,601,266	456,667	39.90
Other equity	(4,193)	(6,406)	(2,213)	52.78
Interests attributable to the predecessor under common control	-	-	-	-
Total equity attributable to shareholders	10,296,067	10,799,567	503,500	4.89
Explanation: Main causes and effects of major variations of items for the most recent 2 fiscal years (if there is a 10 percent or more variation in the monetary amounts, and if such sum has reached 1 percent of the total assets value of the then current fiscal year) are summarized as follows: 1. Increase in current assets and current liabilities: Mainly due to the launch of the subsidiary’s electronic payment business and the introduction of new wallet services, as well as an overall increase in payment transaction volume. These factors led to an increase in trust accounts and liabilities related to payment transaction services. 2. Increase in right-of-use assets and non-current liabilities: Mainly due to the commencement of leases for the Internet Data Center (IDC) and the new Nangang office starting from 2025, resulting in the recognition of relevant right-of-use assets and lease liabilities. 3. Increase in retained earnings: Primarily due to the transfer of net income for the year.

(2) Main reasons for any material change in the Company's assets, liabilities, or equity during the past 2 fiscal years, and describe the effect thereof. Where the effect is of material significance, the annual report shall describe the measures to be taken in response: None.

2. Financial performance

(1) Analysis of financial performance for the most recent two fiscal years

Unit: NT$ thousand

Fiscal year Item	2024	2025	Variation
			Amount	%
Net operating revenue	6,296,000	7,872,004	1,576,004	25.03
Operating cost	4,310,102	5,298,610	988,508	22.93
Gross profit	1,985,898	2,573,394	587,496	29.58
Operating expense	1,244,964	1,985,650	740,686	59.49
Operating income	740,934	587,744	(153,190)	(20.68)
Non-operating income and expenses	128,676	107,371	(21,305)	(16.56)
Net profit before tax	869,610	695,115	(174,495)	(20.07)
Income tax expense	222,491	187,729	(34,762)	(15.62)
Net profit for the period	647,119	507,386	(139,733)	(21.59)
Other comprehensive income	11,466	49,068	37,602	327.94
Total comprehensive income for the period	658,585	556,454	(102,131)	(15.51)
Explanation: Main causes and effects of major variations of items for the most recent 2 fiscal years (if there is a 10 percent or more variation in the monetary amounts, and if such sum has reached 1 percent of the total assets value of the then current fiscal year) are summarized as follows: 1. Increase in net operating revenue: Mainly due to the successful promotion of third-party payment services and the launch of the subsidiary’s electronic payment business, leading to higher MDR business income, as well as increased transactions of financial marketing cooperation business. 2. Increase in operating costs: Mainly due to the growth of third-party payment services and the launch of the subsidiary’s electronic payment business, resulting in higher MDR costs. 3. Increase in operating expenses: Mainly due to a rise in employee headcount and investment in R&D personnel, leading to higher employee benefits expenses, as well as an increase in marketing and promotion expenses.

(2) Sales volume forecast and the basis therefor, and the effect upon the company's financial operations as well as measures to be taken in response: As no compilation of financial forecasts is currently undergoing, the information is not applicable.

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3. Cash flow

(1) Description and analysis of any cash flow changes during the most recent fiscal year

Unit: NT$ thousand

Item Fiscal year	2024	2025	Variation
			Amount	%
Operating activities	2,634,908	320,871	(2,314,037)	(87.82)
Investing activities	(236,515)	(341,081)	(104,566)	44.21
Financing activities	4,112,925	(187,910)	(4,300,835)	(104.57)
Effects of changes in foreign exchange rates	(13,985)	(45,110)	(31,125)	222.56
Net cash inflow	6,497,333	(253,230)	(6,750,563)	(103.90)
Explanation: 1. Decrease in net cash inflow from operating activities: Mainly due to the impact of fluctuations in single-day transaction volume at year-end. 2. Decrease in net cash inflow from financing activities: Mainly due to the cash capital increase in 2024.

(2) Corrective measures to be taken in response to illiquidity: None.
(3) Liquidity analysis for the coming year (2026):

Unit: NT$ thousand

Cash balance at beginning of period (1)	Expected net cash flow from operating activities throughout the year (2)	Expected net cash flow from investing and financing activities throughout the year (3)	Expected cash surplus (deficit) (1)+(2)+(3)	Remedial measures for expected cash deficit
				Investment plan	Financing plan
9,634,643	834,520	(193,139)	10,276,024	-	-
Explanation: 1. Operating activities: Net cash inflow of NT$834,520 thousand, primarily driven by operating profits. 2. Investing and financing activities: Net cash outflow of NT$193,139 thousand, mainly due to cash outflows from investing activities such as the acquisition of property, plant, and equipment, as well as cash outflows for lease payments and cash dividend distributions. 3. Remedial measures for cash deficit: No cash deficit situation.

The effect upon financial operations of any major capital expenditures during the most recent fiscal year:

None.

Reinvestment policy for the most recent fiscal year, the main reasons for the profits/losses generated thereby, the plan for improving re-investment profitability, and investment plans for the coming year:

The Company's investments are all aimed at long-term development. In 2025, the investment loss recognized under the equity method amounted to NT$94,044 thousand, primarily due to the costs

associated with establishing the operating environment for the electronic payment business. As the service was launched late in the year, it has yet to reflect a full year of profitability.

Analysis and Assessment of Risk Factors for the Most Recent Fiscal Year and Up to the Date of Publication of the Annual Report

(1) The effect upon the Company's profits (losses) of interest and exchange rate fluctuations and changes in the inflation rate, and response measures to be taken in the future:

<1> The effect of interest rate fluctuations and response measures taken:

The Company maintains a sound financial position, with operational funding primarily sourced from internal funds. Interest expenses mainly arise from lease liabilities recognized in accordance with IFRS 16 "Leases," and interest rate fluctuations have a limited impact on the Company's profits and losses. In 2025 and 2024, the Company's consolidated interest income amounted to NT$180,721 thousand and NT$94,753 thousand, respectively, accounting for 2.30% and 1.50% of the consolidated net operating revenue in the past two years. This income primarily comes from bank deposit interest. The Company continues to maintain strong relationships with its banking partners to secure favorable interest rates and closely monitors macroeconomic conditions and interest rate policy developments. It takes timely measures as needed to mitigate the impact of interest rate fluctuations on the consolidated financial statements. As a result, interest rate changes are not expected to have a significant impact on the Company's profits and losses.

<2> The effect of exchange rate fluctuations and response measures taken:

The Company primarily engages in third-party payment services, while its subsidiary, LINE Pay EPI Taiwan Limited, mainly provides electronic payment services, primarily focusing on domestic users. However, it also collaborates with overseas vendors, with payments to these vendors denominated in USD and JPY, exposing the Company to some foreign exchange risk. However, the Company adopts a prudent and conservative approach to managing foreign currency funds, and exchange rate fluctuations have no significant impact on its operations. The finance department maintains close relationships with financial institutions and continuously monitors macroeconomic trends affecting exchange rates to mitigate the impact of currency fluctuations on the Company's revenue and profitability.

<3> The effect of inflation and response measures taken:

The Company has not been significantly affected by inflation, and the impact of inflation on its profits and losses is expected to remain limited. Moving forward, the Company will continue to monitor market price fluctuations and, if necessary, implement appropriate stabilization measures to mitigate any impact on its operations.

(2) The Company's policy regarding high-risk investments, highly leveraged investments, loans

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to other parties, endorsements, guarantees, and derivatives transactions; the main reasons for the profits/losses generated thereby; and response measures to be taken in the future:

For the most recent fiscal year and up to the date of publication of the annual report, the Company has not engaged in high-risk, high-leverage investments, derivatives trading, endorsements, guarantees, or loans to others.

(3) Research and development work to be carried out in the future, and further expenditures expected for research and development work:

The Company will continue to invest in research and development to enhance core technologies, optimize product features, and explore emerging application areas. Future R&D plans will be adjusted flexibly based on market demand and technological development trends to ensure innovation capabilities and competitive advantages. The allocation of R&D expenses will be adjusted according to actual needs and plans to achieve optimal results.

In 2025, the Company invested NT$524,462 thousand in R&D, primarily for personnel costs related to electronic payment business development and testing, as well as optimization and development of existing platforms. In the future, personnel allocation will be adjusted based on operational conditions and market demand to strengthen R&D capabilities and maintain market competitiveness.

(4) Effect on the Company's financial operations of important policies adopted and changes in the legal environment at home and abroad, and measures to be taken in response:

The Company operates in compliance with relevant domestic and international laws and regulations, while constantly monitoring domestic and international policy trends and regulatory changes. Additionally, the Company works closely with law firms, accounting firms, and other professional advisory consultants to respond promptly to legal changes. As of the date of publication of the annual report, the Company has not been significantly impacted by any major domestic or international policy or legal changes that have affected its financial or business operations.

(5) Effect on the company's financial operations of developments in science and technology (including cyber security risks) as well as industrial change, and measures to be taken in response:

The Company starts with the core value of the user and constantly monitors the development of fintech both domestically and internationally. We promptly research and introduce new technologies into our services based on market and user needs. The R&D team not only assesses technological needs in a timely manner but also appropriately integrates business and operational benefits, adjusting strategies to help the Company adapt to technological changes and enhance the market applicability of its products. At the same time, the Company follows international standards such as "ISO/IEC 27001:2022" and "PCI DSS v4.0.1" to

146

continuously manage and control information security risks. For the most recent fiscal year and up to the date of publication of the annual report, no significant impact on the Company's business has been caused by technological changes (including cyber security risks) or industry changes.

(6) Effect on the company's crisis management of changes in the company's corporate image, and measures to be taken in response:

In its development process, the Company has focused on its core business operations, continuously strengthening internal management and improving service quality, while complying with relevant laws and regulations to build a positive corporate image. For the most recent fiscal year and up to the date of publication of the annual report, no events have occurred that could negatively impact the corporate image. In the future, the Company will remain committed to complying with and implementing corporate governance requirements to minimize the likelihood and impact of such risks.

(7) Expected benefits and possible risks associated with any merger and acquisitions, and mitigation measures being or to be taken:

For the most recent fiscal year and up to the date of publication of the annual report, the Company has no plans for mergers or acquisitions.

(8) Expected benefits and possible risks associated with any plant expansion, and mitigation measures being or to be taken:

For the most recent fiscal year and up to the date of publication of the annual report, the Company has no plans for plant expansion.

(9) Risks associated with any consolidation of sales or purchasing operations, and mitigation measures being or to be taken:

<1> Risks associated with any consolidation of sales, and mitigation measures being or to be taken:

The Company's operating costs mainly arise from acquiring transaction fees paid to banks. The partners the Company collaborates with are large, well-regulated, and reputable financial institutions. Currently, the Company has long-term partnerships with multiple banks. Therefore, the Company is not exposed to risks associated with consolidation of sales or monopolization.

<2> Risks associated with any consolidation of purchasing operations, and mitigation measures being or to be taken:

The Company's operating revenue mainly comes from MDR fees for third-party payments and electronic payments. Our customer base spans various industries and online and offline markets, including large retail channels, online e-commerce stores, and chain stores. For the most recent two fiscal years. There has been no incidence

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where the net operating revenue from a single customer accounted for more than 10% of the net sales for that year. Therefore, there is currently no risk associated with consolidation of purchasing operations.

(10) Effect upon and risk to the Company in the event a major quantity of shares belonging to a director, supervisor, or shareholder holding greater than a 10 percent stake in the company has been transferred or has otherwise changed hands, and mitigation measures being or to be taken:

From 2025 to the publication date of this annual report, there has been no occurrence of substantial transfers of shareholdings by the Company’s directors or major shareholders holding more than 10% of the Company’s shares.

(11) Effect upon and risk to company associated with any change in governance personnel or top management, and mitigation measures being or to be taken:

No such circumstances are present here.

(12) Litigious and non-litigious matters:

<1> Major litigious, non-litigious, or administrative disputes in which the Company has been subject to a final and unappealable judgment or that are still under litigation, where such a dispute could materially affect shareholders' equity or the prices of the Company's securities:

i. Due to the nature of its third-party payment services, the Company occasionally receives consumer complaints filed with local consumer protection authorities by users of its services. In the past two years and up to the publication date of the annual report, cases in which local consumer protection authorities have designated the Company as the recipient for handling consumer protection-related matters have had no material impact on the company's financial or business operations, nor have they affected shareholders' rights.

ii. Due to the nature of its third-party payment services, the Company occasionally files payment order requests with the court against platform operators who have used its services but failed to pay the agreed-upon service fees. Upon review, the amounts involved in such cases are not material, and these are common cases arising from the nature of the company's business. They have had no material impact on the Company's financial or business operations, nor have they affected shareholders' rights.

iii. On September 4, 2024, the Company received a complaint from Taiwan Samton Technology Co., Ltd., alleging patent infringement and seeking damages. Upon receiving the complaint, the Company immediately engaged legal counsel to actively handle the litigation process and safeguard the rights and interests of the Company and its shareholders. The Intellectual Property and Commercial

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Court dismissed the claims of Taiwan Samton Technology Co., Ltd. on July 18, 2025, and the case is currently under review by the appellate court. At present, this case has no material impact on the Company's financials or operations, and all business activities continue as usual.

<2> Major litigious, non-litigious, or administrative disputes involving the Company's directors, supervisors, the general manager, any person with actual responsibility for the firm, any major shareholder holding more than 10 percent of shares, and/or any company or companies controlled by the Company, where such disputes have been subject to a final and unappealable judgment or are still under litigation, and where the outcome may materially affect shareholders' equity or the prices of the Company's securities:

One of the Company's directors represents a corporate shareholder, Taipei Fubon Bank, which operates in the banking industry. Based on the past two fiscal years and up to the date of publication of this annual report, any non-litigation or litigation cases involving Taipei Fubon Bank have not been significant and are unrelated to the Company. These matters have no material impact on the Company's financial position or operations and do not affect the rights and interests of its shareholders.

(13) Other important risks, and mitigation measures being or to be taken: None.

Other Important Matters

None.

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VI. Special Items to Be Included

Information Related to the Company's Affiliates

Regarding the consolidated business report, consolidated financial statements, and affiliation report for the most recent fiscal year, compiled in accordance with the FSC's Regulations Governing Preparation of Consolidated Business Reports Covering Affiliated Enterprises, Consolidated Financial Statements Covering Affiliated Enterprises, and Reports on Affiliations, please visit the Market Observation Post System (https://mopsov.twse.com.tw/mops/web/t57sb01_q10).

Private Placements of Securities During the Most Recent Fiscal Year and During the Current Fiscal Year Up to the Date of Publication of the Annual Report

None.

Other Matters That Require Additional Description

None.

For the most recent year and up to the date of the annual report's publication, any matters that have a significant impact on shareholder rights or securities prices as defined in Article 36, Paragraph 3, Item 2 of the Securities and Exchange Act.

In recent years, the Company's business scale has continued to grow. The average daily balance of funds collected and paid as an agent for real transactions over a one-year period is approaching NT$2 billion, nearing the threshold set forth in Article 5, Paragraph 3 of the Act Governing Electronic Payment Institutions. To comply with regulatory requirements and support business expansion, the Company's wholly-owned subsidiary, LINE Pay EPI Taiwan Limited, obtained a specialized electronic payment license from the Financial Supervisory Commission on August 21, 2025. On December 3 of the same year, it officially launched the "LINE Pay Money" electronic payment service, providing features such as top-ups, transfers, split bills, and bill payments. These adjustments represent a strategic business deployment in response to regulatory standards and business growth, and have no material adverse impact on the Company's financial or business operations.

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Chairman: Woongju Jeong

LINE Pay

AI assistant

LINEPAY Annual Report 2025

52688_rns_2026-05-26_ccf74874-f46a-451d-9521-90744541c698.pdf

2025

ANNUAL REPORT

Contents

I. Operating Results for the Fiscal Year 2025

(II) Expected Sales Volume and Its Basis

(III) Key Policies on Product Distribution

1. Expanding Overseas Markets

2. Extending Electronic Payment Services

II. Corporate Governance Report

(3) Names and Distributions of Employee Profit-Sharing Compensation to Managerial Officers

3. Corporate Governance Operation

(1) Operation of the Board of Directors

1-1-2 Greenhouse Gas Assurance Information

1-2 Greenhouse Gas Reduction Targets, Strategy, and Concrete Action Plan

III. Capital Raising Status

1. Capital and Shares

(1) Sources of Capital

5. Status of Employee Stock Options

IV. Business Operation Overview

1. Business Activities

(1) Business scope

2. Overview of Market and Production/Sales Situation

(1) Market analysis

<2> Market share:

2. Financial performance

3. Cash flow

AI assistant

LINEPAY — Annual Report 2025

52688_rns_2026-05-26_ccf74874-f46a-451d-9521-90744541c698.pdf

2025

ANNUAL REPORT

Contents

I. Operating Results for the Fiscal Year 2025

(II) Expected Sales Volume and Its Basis

(III) Key Policies on Product Distribution

1. Expanding Overseas Markets

2. Extending Electronic Payment Services

II. Corporate Governance Report

(3) Names and Distributions of Employee Profit-Sharing Compensation to Managerial Officers

3. Corporate Governance Operation

(1) Operation of the Board of Directors

1-1-2 Greenhouse Gas Assurance Information

1-2 Greenhouse Gas Reduction Targets, Strategy, and Concrete Action Plan

III. Capital Raising Status

1. Capital and Shares

(1) Sources of Capital

5. Status of Employee Stock Options

IV. Business Operation Overview

1. Business Activities

(1) Business scope

2. Overview of Market and Production/Sales Situation

(1) Market analysis

<2> Market share:

2. Financial performance

3. Cash flow

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