Stock Code: 3593

Logah Technology Corporation and the subsidiaries

Consolidated Financial Statements and Independent Auditor’s Report

2025 and 2024

Company Address: No. 15, Lane 62, Caigong 1st Road, Zuoying District, Kaohsiung City
Tel.: (07)3433776

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Table of Contents

Item	Page
I.Front Cover	1
II.Table of Contents	2
III.Declaration	3
IV.Independent Auditors’ Report	4
V.Consolidated Balance Sheet	5
VI.Consolidated Statement of Comprehensive Income	6
VII.Consolidated Statement of Changes in Equity	7
VIII.Consolidated Statement of Cash Flow	8
IX.Notes to Consolidated Financial Statements
(I) Company history	9
(II) Date and procedures of approval of the financial statements	9
(III) Application of newly issued and amended standards and interpretations	9~11
(IV) Summary of significant accounting policies	11~24
(V) Significant accounting judgments, estimates, and main sources of uncertain assumptions	24~25
(VI) Description of significant accounting items	25~51
(VII) Related party transactions	51~53
(VIII) Assets pledged as collateral	53
(IX) Significant contingent liabilities and unrecognized contractual commitments	53
(X) Losses from major disasters	53
(XI) Material events after the reporting period	53
(XII) Others	54
(XIII) Other disclosures
1. Information on significant transactions	55~57
2. Information on reinvestees	58
3. Information on Investment in Mainland China	59
(XV) Segment information	60~61

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Representation Letter

The Company’s companies to be included in the preparation of the consolidated financial statements of affiliated enterprises for 2025 (from January 1, 2025 to December 31, 2025) in accordance with the “Regulations Governing the Preparation of Consolidated Business Reports, Consolidated Financial Statements of Affiliated Enterprises, and Affiliation Reports” are the same as the companies to be included in the preparation of the consolidated financial reports of parent and subsidiary companies in accordance with International Financial Reporting Standard 10 as endorsed by the Financial Supervisory Commission, and the relevant information required to be disclosed in the consolidated financial statements of affiliated enterprises has all been disclosed in the aforementioned consolidated financial reports of parent and subsidiary companies; therefore, a separate set of consolidated financial statements of affiliated enterprises is not prepared.

Declared by

Company Name: Logah Technology Corporation
Chairman: Cheng-Chiang Sun
Date: March 26, 2026

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Independent Auditors' Report

To the Board of Directors, Logah Technology Corporation:

Audit opinions

The Consolidated Financial Statements of Logah Technology Corporation and its subsidiaries (the "Logah Group") as of December 31, 2025, and the consolidated statements of comprehensive income, changes in equity and cash flows for the period from January 1 to December 31, 2025, and the notes to the Consolidated Financial Statements (including a summary of significant accounting policies) have been audited by us.

In our opinion, the above Consolidated Financial Statements present fairly, in all material respects, the consolidated financial position of the Logah Group as of December 31, 2025, and its consolidated financial performance and consolidated cash flows for the period from January 1 to December 31, 2025, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Financial Reporting Standards, International Accounting Standards, Interpretations, and Interpretation Bulletins endorsed and issued into effect by the Financial Supervisory Commission.

Basis for the Audit Opinion

We conducted our audit in accordance with the Regulation Governing Auditing and Certification of Financial Statements by Certified Public Accountants and auditing standards. Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. The auditors of the firm, subject to the independence regulations, have maintained independence from the Company in accordance with the Code of Ethics and perform other obligations of such Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Consolidated Financial Statements for the year 2025. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. The key audit matters that, in our judgment, should be communicated in the audit report are as follows:

I. Revenue recognition

For the accounting policy on revenue recognition, please refer to Note 4(15), Revenue Recognition, to the Consolidated Financial Statements; for the description of revenue recognition, please refer to Note 6(19), Revenue from Contracts with Customers, to the Consolidated Financial Statements.

The Logah Group is engaged in the manufacture and sale of plastic structural component products. The delivery terms agreed in sales contracts entered into with customers affect the Group's judgment as to whether the timing of revenue recognition is consistent with the timing of transfer of control of goods, and therefore give rise to significant risk. Therefore, testing of revenue recognition is one of the important assessment matters in our audit of the Logah Group's financial reports.

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Audit procedures responsive thereto:

The main audit procedures performed by us in respect of the above key audit matter are as follows:

Evaluate the appropriateness of the accounting policy for revenue recognition; perform tests of internal controls over the sales revenue cycle and inspect the accuracy of the timing of revenue recognition.
Perform variance analysis on the top ten sales customers to assess whether any material anomalies exist.
For a selected period before and after the balance sheet date, vouch the relevant supporting documents to ascertain that the relevant transactions have been properly recorded.

Other Matters

The Group’s Consolidated Financial Statements for 2024 were audited by other auditors, who issued an audit report with an unqualified opinion and a material uncertainty related to going concern paragraph on March 24, 2025.

Logah Technology Corporation has also prepared the Parent Company Only Financial Statements for 2025 and 2024, and our firm and other auditors have respectively issued audit reports thereon with an unqualified opinion with an other matter paragraph and an unqualified opinion with a material uncertainty related to going concern paragraph, for reference.

Responsibility of management and those charged with governance for consolidated financial statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC) and SIC Interpretations (SIC) endorsed and issued into effect by the Financial Supervisory Commission and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the Consolidated Financial Statements, management is responsible for assessing the Logah Group’s ability to continue as a going concern, disclosing, as applicable, related matters, and adopting the going concern basis of accounting unless management either intends to liquidate the Logah Group or cease operations, or has no realistic alternative but to do so.

Those charged with governance of the Logah Group (including the Audit Committee) are responsible for overseeing the financial reporting process.

CPAs’ responsibilities for the audit of the consolidated financial statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. The term of “reasonable assurance” refers to high level of assurance. Nevertheless, the audit performed according to the auditing standards cannot guarantee the discovery of material misstatement in the financial statements. Misstatements can arise from fraud or error. Misstatements are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the consolidated financial statements.

In conducting our audit in accordance with auditing standards, we exercised professional judgment and maintained professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement, whether due to fraud or error, on the consolidated financial reports; design and perform countermeasures for assessed risks; obtain evidence that is sufficient and appropriate to serve as the basis of the audit opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

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Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Logah Group's internal control.
Evaluated the appropriateness of accounting policies and the reasonableness of accounting estimates and related disclosures made by management.
Based on the audit evidence obtained, conclude on the appropriateness of management's use of the going concern basis of accounting and whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Logah Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. Nevertheless, future events or circumstances may cause the Company to have no ability for continuous operation.
Evaluate the overall presentation, structure and content of the consolidated financial reports (including related Notes), and whether the consolidated financial reports fairly represent the underlying transactions and events.
Obtained sufficient and appropriate audit evidence regarding the financial information or the entities or business activities of the Group to express an opinion on the consolidated financial reports. The auditor is responsible for the direction, supervision and performance of the Group audit, and for forming the audit opinion on the Group.

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

The auditor also provides those charged with governance with a statement that the personnel of the firm to which the auditor belongs who are subject to independence requirements have complied with the independence requirements in the Code of Professional Ethics for Certified Public Accountants, and communicates with those charged with governance all relationships and other matters that may reasonably be thought to affect the auditor's independence (including related safeguards).

The auditor determined the key audit matters for the audit of the 2025 Consolidated Financial Statements of the Group from the matters communicated with those charged with governance. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

KPMG Taiwan

CPA:

Approval reference : Jin-Guan-Zheng-Shen-Zi No.
number for attestation 1000011652
approved by the Jin-Guan-Zheng-Liu-Zi No.
securities regulator 0940100754
March 31, 2026

Logah Technology Corporation and the subsidiaries

Consolidated Balance Sheet

December 31, 2025 and 2024

Unit: NTD thousand

ASSETS

Current assets:
1100 Cash and cash equivalents (Notes 6(1) and (22))
1170 Net accounts receivable (Notes 6(2), (19), (22) and 7)
1200 Other receivables (Notes 6(2), (4) and (22))
1210 Other receivables - Related parties (Note 7)
1220 Current income tax assets
130X Inventories (Note 6(3))
1476 Other financial assets - current (Notes 6(5), (22) and 8)
1479 Other current assets

Non-current assets:
1600 Property, plant and equipment (Notes 6(6) and 8)
1755 Right-of-use assets (Notes 6(7) and 8)
1760 Net investment property (Notes 6(8) and 8)
1821 Net other intangible assets (Note 6(9))
1840 Deferred tax assets (Note 6(16))
1980 Other financial assets - non-current (Notes 6(5), (22) and 8)

2025.12.31		2024.12.31
Amount	%	Amount	%
$ 333,678	25	57,724	4
286,792	22	337,044	23
109,108	8	29,381	2
17,252	1	-	-
30	-	40	-
35,519	3	83,070	5
19,440	1	11,751	1
26,006	2	25,948	2
827,825	62	544,958	37
174,435	13	415,909	29
320,216	24	339,352	23
-	-	115,278	8
175	-	2,711	-
8,033	1	42,311	3
2,412	-	4,857	-
505,271	38	920,418	63

Total assets

$ 1,333,096 100 1,465,376 100

Liabilities and Equity

Current liabilities:
2100 Short-term borrowings (Notes 6(10) and (22))
2130 Contract liabilities - current (Note 6(19))
2170 Accounts payable (Note 6(22))
2180 Accounts payable - related parties (Notes (22) and 7)
2200 Other payables (Notes 6(11) and (22))
2220 Other payables - related parties (Notes 6(11), (22) and 7)
2230 Current tax liabilities
2280 Lease liabilities - current (Notes 6(13) and (22))
2320 Current portion of long-term liabilities (Note 6 (12) and (22))
2399 Other current liabilities - other

Non-current liabilities:
2540 Long-term borrowings (Note 6 (12) and (22))
2570 Deferred income tax liabilities (Note 6 (16))
2580 Lease liabilities - non-current (Note 6 (13) and (22))
2622 Long-term payables - related parties (Note 6 (11), (22), and 7)
2630 Long-term deferred revenue (Note 6 (4))
2645 Guarantee deposits received (Note 6(22))

Total Liabilities

Equity attributable to owners of the parent (Note (17)):
3110 Common share capital
3200 Capital surplus
3350 Accumulated deficit
3400 Other equities
31XX Total equity attributable to owners of the parent
36XX Non-controlling interests

Total equity

Total liabilities and equities

2025.12.31		2024.12.31
Amount	%	Amount	%
$ 73,366	6	361,631	25
653	-	152	-
241,147	18	276,884	19
-	-	6,435	-
177,758	13	69,431	5
62,650	5	4,139	-
42	-	-	-
37,535	3	24,550	1
16,830	1	142,653	10
2,335	-	1,279	-
612,316	46	887,154	60
6,228	-	44,752	3
20,506	2	16,039	1
266,151	20	93,015	7
6,684	-	134,868	9
129,086	10	-	-
670	-	769	-
429,325	32	289,443	20
1,041,641	78	1,176,597	80
608,255	46	930,425	64
16,422	1	16,419	1
(409,299)	(31)	(703,588)	(48)
76,077	6	45,523	3
291,455	22	288,779	20
-	-	-	-
291,455	22	288,779	20
$ 1,333,096	100	1,465,376	100

Chairman: Cheng-Chiang Sun

(Please refer to the attached notes to the Consolidated Financial Statements)

Manager: Sheng-Yuan Hsiao

Chief Accounting Officer: Wen-Ching Huang

Logah Technology Corporation and the subsidiaries
Consolidated Statement of Comprehensive Income
January 1 to December 31, 2025 and 2024
Unit: NTD thousand

		2025		2024
		Amount	%	Amount	%
4000	Operating revenue (Notes 6(14) and (19))	$ 1,097,310	100	877,438	100
5000	Operating costs (Notes 6(3), (15), (20), and 7)	1,086,046	99	928,597	106
5900	Gross profit (loss) from operations	11,264	1	(51,159)	(6)
6000	Operating expenses (Notes 6(15) and (20)):
6100	Selling expenses	29,950	3	35,119	4
6200	Administrative expenses	108,215	10	104,150	12
6450	Expected credit impairment losses	1,920	-	10,903	1
6300	Total operating expenses	140,085	13	150,172	17
6900	Net operating loss	(128,821)	(12)	(201,331)	(23)
	Non-operating income and expenses (Note 6(21)):
7100	Interest income	489	-	979	-
7010	Other income	12,610	1	15,666	2
7020	Other gains and losses	70,932	6	16,664	2
7050	Financial costs	(27,720)	(3)	(33,244)	(4)
	Total non-operating incomes and expenses	56,311	4	65	-
	Net loss before tax	(72,510)	(8)	(201,266)	(23)
7950	Less: Income tax (benefit) expense (Note 6(16))	5,371	-	2,267	-
	Net loss for the period	$ (77,881)	(8)	(203,533)	(23)
8300	Other comprehensive income:
8360	Items that may subsequently be reclassified to profit or loss
8361	Exchange differences arising on translation of foreign operations	$ (22,173)	(2)	22,228	3
8399	Less: Income tax related to items that may be reclassified subsequently	(4,435)	-	4,446	1
8300	Other comprehensive profits or losses of current term	(17,738)	(2)	17,782	2
	Total comprehensive income for the current period	$ (95,619)	(10)	(185,751)	(21)
	Net loss for the period attributable to:
8610	Parent company owner	$ (77,881)	(8)	(203,533)	(23)
8720	Non-controlling interests	-	-	-	-
		$ (77,881)	(8)	(203,533)	(23)
	Total comprehensive income attributable to:
8710	Parent company owner	$ (95,619)	(10)	(185,751)	(21)
8720	Non-controlling interests	-	-	-	-
		$ (95,619)	(10)	(185,751)	(21)
	Loss per share (NTD) (Note 6(18))
9750	Basic loss per share (NTD)	$	(1.40)		(3.65)

(Please refer to the attached notes to the Consolidated Financial Statements)

Chairman: Cheng-Chiang Sun
Manager: Sheng-Yuan Hsiao
Chief Accounting Officer: Wen-Ching Huang

Logah Technology Corporation and the subsidiaries

Consolidated Statement of Changes in Equity

January 1 to December 31, 2025 and 2024

Unit: NTD thousand

	Equity attributable to owners of parent company					Non-controlling interests	Total equity
	Common share capital	Capital surplus	Accumulated deficit	Other items of equity
Exchange differences arising on translation of foreign operations	Total equity attributable to owners of the parent company
Balance as of January 1, 2024	$ 930,425	7,327	(500,055)	27,741	465,438	-	465,438
Net loss for the period	-	-	(203,533)	-	(203,533)	-	(203,533)
Other comprehensive profits or losses of current term	-	-	-	17,782	17,782	-	17,782
Total comprehensive income for the current period	-	-	(203,533)	17,782	(185,751)	-	(185,751)
Arising from receiving donations	-	9,092	-	-	9,092	-	9,092
Balance as of December 31, 2024	930,425	16,419	(703,588)	45,523	288,779	-	288,779
Net loss for the period	-	-	(77,881)	-	(77,881)	-	(77,881)
Other comprehensive profits or losses of current term	-	-	-	(17,738)	(17,738)	-	(17,738)
Total comprehensive income for the current period	-	-	(77,881)	(17,738)	(95,619)	-	(95,619)
Issuance of common stock for cash	50,000	-	-	-	50,000	-	50,000
Capital reduction to offset losses	(372,170)	-	372,170	-	-	-	-
Disposal of investments accounted for using the equity method/subsidiaries	-	-	-	48,292	48,292	-	48,292
Gain from exercise of disgorgement rights	-	3	-	-	3	-	3
Balance at December 31, 2025	$ 608,255	16,422	(409,299)	76,077	291,455	-	291,455

(Please refer to the enclosed notes to the consolidated financial statements)

Chairman: Cheng-Chiang Sun
Manager: Sheng-Yuan Hsiao
Chief Accounting Officer: Wen-Ching Huang

Logah Technology Corporation and the subsidiaries

Consolidated Statement of Cash Flow

January 1 to December 31, 2025 and 2024

Unit: NTD thousand

	2025	2024
Cash flow from operating activities:
Net loss before tax for the period	$ (72,510)	(201,266)
Adjustment items:
Adjustments to reconcile profit (loss)
Depreciation expense	77,489	101,994
Amortization cost	2,423	3,648
Expected credit impairment losses	1,920	10,903
Interest expenses	27,720	33,244
Interest income	(489)	(979)
Loss (gain) on disposal and write off of property, plant and equipment	3,110	(47,122)
Gain on disposal of investments	(117,685)	-
Lease modification gain	(1,759)	-
Loss on inventory decline (reversal gain)	(2,055)	12,484
Impairment loss on property, plant and equipment	-	30,114
Impairment loss of goodwill	-	2,292
Unrealized foreign exchange (gain) loss	(7,149)	9,306
Others	-	(451)
Total income, expenses	(16,475)	155,433
Changes in assets/liabilities related to operating activities:
Decrease in notes receivable	-	278
Increase in accounts receivable	(108,155)	(53,012)
(Increase) decrease in other receivables	(92,003)	3,452
Increase in other receivables - related parties	(17,252)	-
(Increase) decrease in inventory	12,174	(6,810)
Increase in other current assets	(4,925)	(12,162)
Total net changes in assets related to operating activities	(210,161)	(68,254)
Increase in contract liabilities	501	39
Increase in accounts payable	186,094	83,492
(Decrease) increase in accounts payable - related parties	(6,435)	4,594
Increase in other payables	128,000	14,343
Increase (decrease) in other current liabilities	15,233	(1,562)
Total net changes in liabilities related to operating activities	323,393	100,906
Total net changes in assets and liabilities related to operating activities	113,232	32,652
Total adjustments	96,757	188,085
Cash inflow (outflow) generated from operations	24,247	(13,181)
Interest received	489	979
Interest paid	(25,876)	(33,523)
Income Tax Rebate (Paid)	(1,140)	177
Net cash outflow from operating activities	(2,280)	(45,548)

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Logah Technology Corporation and the subsidiaries
Consolidated Statements of Cash Flows (continued)
January 1 to December 31, 2025 and 2024

Unit: NTD thousand

Cash flows from investing activities:
| | 2025 | 2024 |
| --- | --- | --- |
| Acquisition of subsidiaries (net of cash acquired) | - | (12,380) |
| Derecognition of cash from disposal of subsidiaries | (10,356) | - |
| Acquisition of property, plant and equipment | (39,167) | (91,939) |
| Disposal of property, plant and equipment | 28,542 | 33,316 |
| (Increase) decrease in other financial assets | (6,412) | 14,159 |
| Net cash outflows from investing activities | (27,393) | (56,844) |
| Cash flows from financing activities: | | |
| Increase in short-term borrowings | 219,737 | 434,804 |
| Decrease in short-term borrowings | (522,152) | (400,229) |
| Proceeds from long-term borrowings | 17,458 | 131,947 |
| Repayments of long-term borrowings | (152,721) | (85,429) |
| Increase (decrease) in guarantee deposits | 655 | (140) |
| Increase in other payables | 779,562 | - |
| (Decrease) increase in other payables - related parties | (69,902) | 6,094 |
| Payments of lease liabilities | (15,940) | (22,563) |
| Issuance of common stock for cash | 50,000 | - |
| Exercise of disgorgement right | 3 | - |
| Net cash inflow from financing activities | 306,700 | 64,484 |
| Effect of exchange rate changes on cash and cash equivalents | (1,073) | 3,159 |
| Increase (decrease) in cash and cash equivalents for the current period | 275,954 | (34,749) |
| Opening balance of cash and cash equivalents | 57,724 | 92,473 |
| Closing balance of cash and cash equivalents | $ 333,678 | 57,724 |

(Please refer to the enclosed notes to the consolidated financial statements)

Chairman: Cheng-Chiang Sun
Manager: Sheng-Yuan Hsiao
Chief Accounting Officer: Wen-Ching Huang

Logah Technology Corporation and the subsidiaries
Notes to Consolidated Financial Statements
2025 and 2024
(In NTD thousand unless otherwise stated)

I. Company History

Logah Technology Corporation (hereinafter referred to as “the Company”) was established on December 22, 2003, and has primarily been engaged in the trading of electronic materials, the manufacturing and sale of electronic products, and international trade. The Company has been listed for trading on the Taiwan Stock Exchange since March 16, 2009. Its registered address is No. 15, Lane 62, Caigong 1st Road, Zuoying District, Kaohsiung City.

The Consolidated Financial Statements of the Company as of December 31, 2025 comprise the Company and its subsidiaries (hereinafter collectively referred to as “the Group”) and the Group’s interests in associates and joint ventures.

II. Date and Procedures of Approval of the Financial Statements

These Consolidated Financial Statements were approved for issuance by the Board of Directors on March 26, 2026.

III. Application of Newly Issued and Amended Standards and Interpretations

(I) Impact of Adopting Newly Issued and Amended Standards and Interpretations Endorsed by the Financial Supervisory Commission (hereinafter referred to as the “FSC”)

The Group initially applied the following amended IFRS Accounting Standards endorsed by the Financial Supervisory Commission from January 1, 2025, which did not have a material impact on the consolidated financial statements.

Amendment to IAS 21 “Lack of Exchangeability”
Amendments to IFRS 9 and IFRS 7 “Amendments to the Classification and Measurement of Financial Instruments”, including the application guidance related to Section 4.1 of IFRS 9 and the related disclosure requirements of IFRS 7

(II) Impact of IFRS Accounting Standards endorsed by the FSC but not yet adopted

The Group has assessed that the initial application of the following amended IFRS Accounting Standards, effective from January 1, 2026, will not have a material impact on the consolidated financial statements.

Amendments to IFRS No. 17 “Insurance Contracts” and IFRS No. 17
Amendments to IFRS 9 and IFRS 7 “Amendments to the Classification and Measurement of Financial Instruments”, including the application guidance related to Sections 3.1 and 3.3 of IFRS 9 and the related disclosure requirements of IFRS 7
Annual Improvements to IFRS Accounting Standards
Amendments to IFRS 9 and IFRS 7 “Contracts Referencing Nature-dependent Electricity”

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Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(III) Newly Issued and Amended Standards and Interpretations Not Yet Endorsed by the FSC

The following standards and interpretations issued or amended by the International Accounting Standards Board but not yet endorsed by the FSC may be relevant to the Group:

Newly issued or amended standards	Main amendments	Effective date issued by the IASB
IFRS 18 “Presentation and Disclosure in Financial Statements”	The new standard introduces three categories of income and expenses, two subtotals in the statement of profit or loss, and one single note regarding management-defined performance measures. These three amendments strengthen guidance on how information is aggregated and disaggregated in the financial statements, laying the foundation for users to receive better and more consistent information, and will affect all companies.

• A more structured statement of profit or loss: Under current standards, companies use different formats to present their operating results, making it difficult for investors to compare financial performance across companies. The new standard adopts a more structured statement of profit or loss, introduces a newly defined “operating profit” subtotal, and requires all income and expenses to be classified into three new distinct categories according to the company’s main operating activities.

• Management-defined performance measures (MPMs): The new standard introduces a definition of management-defined performance measures and requires a company to explain in a single note to the financial statements why each measure provides useful information, how it is calculated, and how it is reconciled to amounts recognized in accordance with IFRS Accounting Standards.

• More disaggregated information: The new standard includes guidance on how companies should enhance the grouping and disaggregation of information in the financial statements. This includes guidance on whether information should be presented in the primary financial statements or further disaggregated in the notes. | January 1, 2027
Note: On September 25, 2025, the FSC issued a press release announcing that Taiwan will align with IFRS 18 in the 2028 fiscal year. If the Company needs to apply the requirements early, it may do so after approval from the FSC. |

The Group is currently assessing the impact of the above standards and interpretations

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Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

on its financial position and results of operations, and the related impact will be disclosed upon completion of the assessment.

The Group expects that other new and revised standards not yet endorsed will not have a material impact on the consolidated financial statements.

Amendments to IFRS 10 and IAS 28 "Sale or Contribution of Assets between an Investor and its Associate or Joint Venture"
IFRS No. 19 "Disclosure Initiative—Subsidiaries without Public Accountability: Disclosures" and amendments to IFRS No. 19
Amendments to IAS 21 "Translation to a Hyperinflationary Presentation Currency"

IV. Summary of Significant Accounting Policies

The significant accounting policies adopted in these Consolidated Financial Statements are summarized below. The following accounting policies have been applied consistently to all periods presented in these Consolidated Financial Statements.

(I) Compliance Statement

These Consolidated Financial Statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers (hereinafter referred to as the "Regulations") and the International Financial Reporting Standards, International Accounting Standards, interpretations and interpretation bulletins endorsed and issued into effect by the Financial Supervisory Commission (hereinafter referred to as the "IFRS Accounting Standards endorsed by the FSC").

(II) Basis of Preparation

Basis of Measurement

These Consolidated Financial Statements have been prepared on a historical cost basis.

Functional Currency and Presentation Currency

Each entity in the Group uses the currency of the primary economic environment in which it operates as its functional currency. These Consolidated Financial Statements are presented in the Company's functional currency, NTD. All financial information presented in NTD has been rounded to the nearest thousand.

(III) Basis of Consolidation

Basis of preparation of consolidated financial statements

The entities included in the preparation of the Consolidated Financial Statements comprise the Company and entities controlled by the Company (i.e. subsidiaries). The Company controls an investee when it is exposed to, or has rights to, variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.

The financial statements of subsidiaries are included in the Consolidated Financial Statements from the date that control commences until the date that control ceases. Transactions, balances, and any unrealized income and expenses between Group entities have been eliminated in full in preparing the Consolidated Financial Statements. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to non-controlling interests, even if this results in non-controlling interests having a deficit balance.

The financial statements of subsidiaries have been adjusted appropriately so that their accounting policies are consistent with those used by the Group.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

Changes in the Group's ownership interest in a subsidiary that do not result in a loss of control over the subsidiary are accounted for as equity transactions with owners. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received will be recognized directly in equity, and the Group will attribute it to the owners of the parent.

When the Group loses control over a subsidiary, the assets (including goodwill), liabilities, and non-controlling interests of the former subsidiary are derecognized in the Consolidated Financial Statements at their carrying amounts as of the date control is lost, and any retained investment in the former subsidiary is remeasured at its fair value on the date control is lost. The gain or loss on disposal is the difference between the following two amounts: (1) the aggregate of the fair value of the consideration received and the fair value of the retained investment in the former subsidiary on the date control is lost, and (2) the aggregate of the carrying amounts of the subsidiary's assets (including goodwill), liabilities, and non-controlling interests on the date control is lost. For all amounts previously recognized in other comprehensive income in relation to that subsidiary, the basis of accounting treatment is the same as that which the Group would be required to follow if it had directly disposed of the related assets or liabilities.

2. Subsidiaries included in the consolidated financial statements

Subsidiaries included in these Consolidated Financial Statements are as follows:

Investor	Investee	Main business	Percentage of ownership		Description
			2025.12.31	2024.12.31
Parent Company	Logah Technology Co., Ltd. (Seychelles Logah)	Investment in holding companies	100.00%	100.00%
Parent Company	Le Yang Investment Co., Ltd. (Le Yang Investment)	Investment in holding companies	100.00%	100.00%
The Company and Le Yang Investment Co., Ltd.	Link Bright Technology Limited (Link Bright Technology)	trading	100.00%	100.00%
Parent Company	Logah Vietnam Technology Company Limited (Logah Vietnam)	Manufacturing, processing, and trading of plastic injection products	100.00%	100.00%
Parent Company	Sheng Li Smart Building Technology Co., Ltd. (Shengli Smart)	Software and hardware deployment and trading business for smart building property management	100.00%	- %	Note 4
Seychelles Logah	Logah Technology (HK) Co., Ltd. (Logah Hong Kong)	Investment in holding companies	100.00%	100.00%
Le Yang Investment	Legend Investment (Samoa) Limited (Legend Investment)	Investment in holding companies	56.07%	56.07%
Hongkong Logah	Logah Auto Accessories (Suzhou) Co., Ltd. (Suzhou Logah)	Processing plastic injection products	100.00%	100.00%
Suzhou Logah	Legend Investment (Samoa) Limited (Legend Investment)	Investment in holding companies	43.93%	43.93%
Suzhou Logah	Anhui Ruideng Technology Limited (Anhui Ruideng)	Manufacturing and trading of displays and dies	100.00%	33.00%	Note 2
Suzhou Logah	Suzhou Ruideng Technology Limited (Suzhou Ruideng)	Manufacturing and trading of displays and dies	100.00%	- %	Note 2
Legend Investment	Suzhou Longdeng ElectronicTechnology Co., Ltd. (Suzhou Longdeng)	Manufacturing, processing, and trading of plastic injection products and dies	- %	100.00%	Note 3
Suzhou Longdeng	Suzhou Ruideng Technology Limited (Suzhou Ruideng)	Manufacturing and trading of displays and dies	- %	100.00%	Note 2
Suzhou Longdeng	Anhui Ruideng Technology Limited (Anhui Ruideng)	Manufacturing and trading of displays and dies	- %	67.00%	Note 1, Note 2

~13~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

Note 1: Suzhou Longdeng invested in and established Anhui Ruideng in Chuzhou City, Anhui Province, China in June 2024.

Note 2: On January 20, 2025, the Group carried out an organizational restructuring and transferred the equity interests originally held by Suzhou Longdeng in Suzhou Ruideng and Anhui Ruideng to be wholly held by Suzhou Logah.

Note 3: Starting from Q1 2025, for the purposes of asset revitalization and replenishing working capital, the Group's proposal for the disposal of 100% equity in its significant subsidiary, Suzhou Longdeng, was Approved by the Audit Committee and the Board of Directors. This motion was also Approved by the Company's extraordinary general meeting on April 21, 2025. The Group completed the sale on December 30, 2025, lost control, and recognized the related gain or loss on disposal.

Note 4: The Company invested in and established Shengli Smart in November 2025.

Subsidiaries not included in the Consolidated Financial Statements: None.

(IV) Foreign currency

Foreign currency transactions

Foreign currency transactions are translated into the functional currency at the exchange rates prevailing on the transaction date. At the end of each subsequent reporting period (hereinafter referred to as the "reporting date"), monetary items denominated in foreign currencies are translated into the functional currency using the exchange rate at that date. Foreign currency non-monetary items measured at fair value are translated into the functional currency at the exchange rates prevailing on the date when the fair value is measured, while foreign currency non-monetary items measured at historical cost are translated at the exchange rates prevailing on the transaction date.

Foreign exchange differences arising from translation are generally recognized in profit or loss, except for the following circumstances where they are recognized in other comprehensive income:

(1) Designated as equity instruments measured at fair value through other comprehensive income;

(2) Financial liabilities designated as hedges of net investments in foreign operations to the extent that the hedges are effective; or

(3) Qualifying cash flow hedges to the extent that the hedges are effective.

Foreign operations

The assets and liabilities of foreign operations, including goodwill arising on acquisition and fair value adjustments, are translated into NTD, the presentation currency of these Consolidated Financial Statements, at the exchange rates prevailing on the reporting date; income and expense items are translated into NTD, the presentation currency of these Consolidated Financial Statements, at the average exchange rates for the period, and the resulting exchange differences are recognized in other comprehensive income.

When the disposal of a foreign operation results in a loss of control, joint control, or significant influence, the cumulative exchange differences related to that foreign operation are fully reclassified to profit or loss. Upon a partial disposal of a subsidiary that includes a foreign operation, the relevant cumulative exchange differences are reattributed to non-controlling interests on a pro rata basis. Upon a partial disposal of an investment in an associate or joint venture that includes a foreign operation, the relevant cumulative exchange differences are reclassified to profit or loss on a pro rata basis.

~14~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

For monetary receivables from or payables to a foreign operation, if there is neither a settlement plan nor is settlement likely in the foreseeable future, the foreign exchange gains or losses arising therefrom are deemed part of the net investment in that foreign operation and are recognized in other comprehensive income.

(V) Classification criteria for current and non-current assets and liabilities

The Group classifies assets as current assets when any of the following conditions is met; all other assets are classified as non-current assets:

The asset is expected to be realized in, or is intended for sale or consumption in, the Company’s normal operating cycle;
The asset is held primarily for the purpose of trading;
The asset is expected to be realized within twelve months after the reporting period; or
The asset is cash or a cash equivalent (as defined in IAS 7), unless the asset is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period.

The Group classifies liabilities as current liabilities when any of the following conditions is met; all other liabilities are classified as non-current liabilities:

The liability is expected to be settled in the Company’s normal operating cycle;
The liability is held primarily for the purpose of trading;
The liability is due to be settled within twelve months after the reporting period; or
The Company does not have an unconditional right at the end of the reporting period to defer settlement of the liability for at least twelve months after the reporting period.

(VI) Cash and cash equivalents

Cash includes cash on hand and demand deposits. Cash equivalents refer to short-term, highly liquid investments that are readily convertible to known amounts of cash and subject to an insignificant risk of changes in value. Time deposits that meet the foregoing definition and are held for the purpose of meeting short-term cash commitments rather than for investment or other purposes are reported as cash equivalents.

(VII) Financial instruments

Accounts receivable and debt securities issued are initially recognized when originated. All other financial assets and financial liabilities are initially recognized when the Group becomes a party to the contractual provisions of the financial instrument. Financial assets not measured at fair value through profit or loss (except for accounts receivable that do not contain a significant financing component) or financial liabilities are initially measured at fair value plus transaction costs that are directly attributable to the acquisition or issuance. Accounts receivable that do not contain a significant financing component are initially measured at the transaction price.

Financial assets

For purchases or sales of financial assets that meet the criteria for regular way transactions, the Group consistently applies trade date or settlement date accounting to all purchases and sales of financial assets classified in the same manner.

Upon initial recognition, financial assets are classified as financial assets measured at amortized cost, debt instrument investments measured at fair value through other comprehensive income, equity instrument investments measured at fair value through other comprehensive income, or financial assets measured at fair value through profit or loss. The Group reclassifies all affected financial assets only when it changes the business model for managing financial assets, and only from the 1st day of the next reporting period.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(1) Financial assets measured at amortized cost

Financial assets that meet the following conditions and are not designated as measured at fair value through profit or loss are measured at amortized cost:

The financial asset is held within a business model whose objective is to collect contractual cash flows.
The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

For such assets, the subsequent measurement is the initial recognized amounts plus/minus the accumulated amortization calculated by the effective interest method and any amortized cost of the allowance losses is adjusted. Interest income, foreign exchange gains and losses, and impairment losses are recognized in profit or loss. Upon derecognition, the gain or loss is recognized in profit or loss.

(2) Business model assessment

The Group assesses the objective of the business model in which a financial asset is held at the portfolio level, as this best reflects the way the business is managed and information is provided to management, and the information considered includes:

The stated policies and objectives for the portfolio and the operation of those policies. This includes whether or not the management's policy emphasizes earnings the contractual cash flows, maintaining certain interest yields mix, matching the duration of financial assets and the duration of relevant liabilities or expected cash outflow or realizing cash flow through selling financial assets.
How the performance of the business model and the financial assets held within that business model are evaluated and reported to the Company's key management personnel
The risks that affect the performance of the business model (and the financial assets held within that business model) and how those risks are managed;
How managers of the business are compensated, for example, whether compensation is based on the fair value of the assets managed or the contractual cash flows collected; and
The frequency, amount, and timing of sales of financial assets in prior periods, the reasons for such sales, and expectations about future sales activity.

Based on the abovementioned objectives, if a transaction transferring a financial asset to a third party is not qualified for derecognition, such transaction does not belong to "selling" defined as abovementioned. This is in line with the purpose of continuous recognition by the Group.

(3) Impairment of financial assets

The Group recognizes an allowance for expected credit losses on financial assets measured at amortized cost (including cash and cash equivalents, financial assets measured at amortized cost, accounts receivable, other receivables, refundable deposits, and other financial assets).

The following financial assets are measured for loss allowance at an amount equal to 12-month expected credit losses, and the others are measured for loss allowance at an amount equal to lifetime expected credit losses:

Determining that the debt security has low credit risk as of the reporting date; and
Other debt securities and bank deposits for which credit risk (i.e., the risk of default occurring over the expected life of the financial instrument) has not increased significantly since initial recognition.

~15~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

The loss allowance for accounts receivable and contract assets is measured at an amount equal to lifetime expected credit losses.

When determining whether the credit risk has increased significantly since initial recognition, the Group considers reasonable and supportable information that is available without undue cost or effort, including qualitative and quantitative information, and analysis based on the Group's historical experience, credit assessment, and forward-looking information.

The Group considers a financial asset to be in default when contractual payments are more than 180 days past due, or when internal or external information indicates that the debtor is unlikely to pay its debts.

Lifetime expected credit losses are the expected credit losses that result from all possible default events over the expected life of a financial instrument.

12-month expected credit losses are the portion of expected credit losses that result from default events that are possible within the 12 months after the reporting date (or a shorter period if the expected life of the financial instrument is less than 12 months).

The maximum period considered when measuring expected credit losses is the maximum contractual period over which the Group is exposed to credit risk.

Expected credit losses are a probability-weighted estimate of credit losses over the expected life of the financial instrument. Credit losses are measured as the present value of all cash shortfalls, being the difference between the cash flows contractually due to the consolidated company and the cash flows the consolidated company expects to receive. Expected credit losses are discounted at the effective interest rate of the financial asset.

At each reporting date, the Group assesses whether financial assets measured at amortized cost and debt securities measured at fair value through other comprehensive income are credit-impaired. A financial asset is credit-impaired when one or more events that have an adverse effect on the estimated future cash flows of the financial asset have occurred. Evidence that a financial asset is credit-impaired includes observable data about the following events:

Significant financial difficulty of the borrower or issuer;
Default, such as delinquency or more than 180 days past due;
Due to economic or contractual reasons related to the borrower's financial difficulties, the consolidated company grants the borrower concessions it would not otherwise have considered.
It is probable that the borrower will enter bankruptcy or other financial reorganization; or
The disappearance of an active market for that financial asset because of financial difficulties.

The loss allowance for financial assets measured at amortized cost is deducted from the carrying amount of the assets. The loss allowance for debt instrument investments measured at fair value through other comprehensive income is adjusted through profit or loss and recognized in other comprehensive income (without reducing the carrying amount of the assets).

When the Group does not reasonably expect to recover a financial asset in its entirety or a portion thereof, it directly reduces the gross carrying amount of the financial asset. For corporate accounts, the Group individually analyzes the timing and amount of write-offs based on whether recovery is reasonably expected. The Group expects that the amount written off will not be materially reversed. However, the written-off financial assets may be enforced compulsorily, to meet the Group's procedures for collecting overdue amounts.

~16~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(4) Derecognition of financial assets

The Group derecognizes a financial asset only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity, or when it neither transfers nor retains substantially all the risks and rewards of ownership and does not retain control of the financial asset.

When the Group enters into a transaction to transfer a financial asset, if it retains all or substantially all the risks and rewards of ownership of the transferred asset, it continues to recognize it in the balance sheet. Refer to Note 6(2), Factoring of Accounts Receivable.

Financial Liabilities and Equity Instruments

(1) Classification of Liabilities or Equity

Debt and equity instruments issued by the Corporation are classified as either financial liabilities or equity as per the substance of the contractual arrangements and the definitions of financial liabilities and equity instruments.

(2) Equity transactions

An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities. Equity instruments issued by the Corporation are recognized at the proceeds received, net of direct issue costs.

(3) Financial Liabilities

Financial liabilities are classified as subsequently measured at amortized cost or at fair value through profit or loss. Financial liabilities are classified as at fair value through profit or loss if they are held for trading, are derivatives, or are designated as such upon initial recognition. Financial liabilities at fair value through profit or loss are measured at fair value, and the related Net gains and losses, including any interest expense, are recognized in profit or loss.

Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense and foreign exchange gains and losses are recognized in profit or loss. Any gain or loss on derecognition is also recognized in profit or loss.

(4) Derecognition of financial liabilities

The Group derecognizes a financial liability when its contractual obligations are discharged, cancelled, or expire. When the terms of a financial liability are modified and the cash flows of the modified liability are substantially different, the original financial liability is derecognized and a new financial liability is recognized at fair value based on the modified terms.

Upon derecognition of a financial liability, the difference between its carrying amount and the total consideration paid or payable (including any non-cash assets transferred or liabilities assumed) is recognized in profit or loss.

~17~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(5) Offsetting of Financial Assets and Liabilities

Financial assets and financial liabilities are offset and presented on a Net basis in the balance sheet only when the Group currently has a legally enforceable right to offset and intends either to settle on a Net basis or to realize the asset and settle the liability simultaneously.

(6) Financial Guarantee Contracts

A financial guarantee contract is a contract that requires the issuer to make specified payments to reimburse the holder for a loss it incurs because a specified debtor fails to make payment when due in accordance with the terms of a debt instrument.

Financial guarantee contracts issued by the Group and not designated as at fair value through profit or loss are initially measured at fair value less directly attributable transaction costs and subsequently measured at the higher of: (a) the amount of the loss allowance determined in accordance with IFRS 9; and (b) the amount initially recognized, less, when appropriate, the cumulative amount of income recognized in accordance with the revenue recognition principles below.

(VIII) Inventory

Inventories are measured at the lower of cost and net realizable value. Cost includes acquisition, production, or processing costs and other costs incurred in bringing the inventories to their present location and condition, and is determined using the weighted-average method. The costs of finished goods and work in progress inventories include manufacturing overhead allocated based on normal capacity at an appropriate rate.

Net realizable value is the estimated selling price in the ordinary course of business, less the estimated costs necessary to complete the sale and the estimated costs necessary to make the sale.

(IX) Non-current assets held for sale (or disposal groups)

In the 1st quarter of 2025, for the purposes of revitalizing assets and enriching working capital, the Group approved, by resolutions of the Audit Committee and the Board of Directors, the proposal for disposal of a 100% equity interest in major subsidiary Suzhou Longdeng.

Non-current assets or disposal groups comprising assets and liabilities are classified as held for sale when it is highly probable that their carrying amounts will be recovered principally through a sale rather than through continuing use. Immediately before initial classification as held for sale, the components of the asset or disposal group are remeasured in accordance with the Group's accounting policies. Once classified as held for sale, the assets, or disposal groups, are measured at the lower of carrying amount and fair value less costs to sell. Any impairment loss on a disposal group is allocated first to goodwill, and then to the remaining assets and liabilities on a pro rata basis, except that no loss is allocated to assets outside the scope of IAS 36 Impairment of Assets, which continue to be measured in accordance with the Group's accounting policies. An impairment loss on initial classification as held for sale and subsequent gains and losses on remeasurement are recognized in profit or loss, provided that gains are not recognized in excess of any cumulative impairment loss previously recognized.

Intangible assets and property, plant and equipment, once classified as held for sale, are no longer amortized or depreciated. In addition, equity accounting of associates accounted for using the equity method is discontinued once they are classified as held for sale.

~18~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(X) Investment property

Investment property refers to property held to earn rentals or for capital appreciation, or both, rather than for sale in the ordinary course of business, use in the production or supply of goods or services, or for administrative purposes. Investment property is initially measured at cost and subsequently at cost less accumulated depreciation and accumulated impairment losses, with its depreciation method, useful life, and residual value accounted for in accordance with the regulations governing property, plant and equipment.

Gains or losses on disposal of investment property, calculated as the difference between the Net disposal proceeds and the carrying amount of the item, are recognized in profit or loss.

Rental income from investment property is recognized in non-operating income on a straight-line basis over the lease term. Lease incentives granted are recognized as an integral part of rental income over the lease term.

(XI) Property, Plant and Equipment

Recognition and measurement

Items of property, plant and equipment are measured at cost, less accumulated depreciation and any accumulated impairment losses, including capitalized borrowing costs.

If significant parts of an item of property, plant and equipment have different useful lives, they are accounted for as separate items, major components, of property, plant and equipment.

Any gain or loss on disposal of an item of property, plant and equipment is recognized in profit or loss.

Subsequent expenses

Subsequent expenditure is capitalized only when it is probable that the future economic benefits associated with the expenditure will flow to the Group.

Depreciation

Depreciation is calculated on the cost of an asset less its residual value and recognized in profit or loss on a straight-line basis over the estimated useful lives of each component.

Land is not depreciated.

The estimated useful lives for the current period and the comparable periods are as below:

(1) Buildings and structures 10~40 years
(2) Machinery and equipment 5~10 years
(3) Other equipment 3~10 years

The Group reviews the depreciation method, useful lives and residual value at each reporting date and makes appropriate adjustments if necessary.

(XII) Leases

The Group assesses whether a contract is, or contains, a lease at inception of the contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

Lessee

The Group recognizes right-of-use assets and lease liabilities on the commencement date of the lease. The right-of-use assets are initially measured at cost, which includes the initial measurement amount of the lease liabilities, adjusted for any lease payments made on or before the commencement date of the lease, plus any initial direct costs incurred and the estimated costs of dismantling and removing the underlying asset and restoring the site on which it is located or the underlying asset, less any lease incentives received.

~19~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date of the lease to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. In addition, the right-of-use asset is periodically assessed by the Group for any impairment, and any incurred impairment losses, is treated and adjusted for certain remeasurements of the lease liability.

Lease liabilities are initially measured at the present value of the lease payments that are unpaid on the commencement date of the lease. If the interest rate implicit in a lease is readily determinable, that rate is used as the discount rate. If it is not readily determinable, the Group's incremental borrowing rate is used. Generally, the Group adopts its incremental borrowing rate as the discount rate.

Lease payments included in the measurement of lease liabilities include:

(1) Fixed payments, including in-substance fixed payments;
(2) Variable lease payments that depend on an index or a rate, initially measured using the index or rate at the commencement date of the lease;
(3) Amounts expected to be payable under residual value guarantees; and
(4) The exercise price under a purchase option if reasonably certain to be exercised, or penalties for terminating the lease if the lease term reflects the lessee exercising an option to terminate the lease.

Subsequently, the interest is provided for the lease liability with the effective interest method and the amount is remeasured if any of the following circumstances occur:

(1) There is a change in the index or rate used to determine lease payments, resulting in a change in future lease payments;
(2) There is a change in the amount expected to be payable under a residual value guarantee;
(3) There is a change in the assessment of an option to purchase the underlying asset;
(4) There is a change in the estimate of whether an extension or termination option will be exercised, resulting in a change in the assessment of the lease term;
(5) There is a modification to the lease, such as changes in the underlying asset, scope, or other terms.

When lease liabilities are remeasured due to changes in the index or rate used to determine lease payments, changes in amounts expected to be payable under residual value guarantees, and changes in the assessment of purchase, extension, or termination options as described above, a corresponding adjustment is made to the carrying amount of the right-of-use asset, and any remaining remeasurement amount is recognized in profit or loss when the carrying amount of the right-of-use asset is reduced to zero.

For lease modifications that decrease the scope of the lease, the carrying amount of the right-of-use asset is reduced to reflect the partial or full termination of the lease, and the difference between such amount and the remeasurement amount of the lease liability is recognized in profit or loss.

The Group presents right-of-use assets and lease liabilities that do not meet the definition of investment property as separate line items in the balance sheet.

For short-term leases of machinery and equipment and computer information equipment and leases of low-value underlying assets, the Group elects not to recognize right-of-use assets and lease liabilities, and instead recognizes the related lease payments as expenses on a straight-line basis over the lease term.

~20~

~21~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

Sale and leaseback transactions are assessed under IFRS 15 to determine whether the transfer of an asset to the buyer-lessor satisfies the requirements for sale accounting. If it is determined to be a sale, the asset is derecognized, and the portion of the rights transferred to the buyer-lessor is recognized in the related profit or loss. The leaseback transaction applies the lessee accounting model, and the right-of-use asset is measured based on the original carrying amount of the portion leased back. If it is determined that the requirements for sale accounting are not satisfied, the transferred asset continues to be recognized and the consideration received is recognized as a financial liability.

2. Lessor

For transactions in which the Group is a lessor, the lease contract is classified on the lease inception date according to whether substantially all the risks and rewards incidental to ownership of the underlying asset are transferred. If so, it is classified as a finance lease; otherwise, it is classified as an operating lease. In making the assessment, the Group considers relevant specific indicators, including whether the lease term covers a major part of the economic life of the underlying asset.

If the Group is an intermediate lessor, it accounts for the head lease and the sublease separately and classifies the sublease transaction by reference to the right-of-use asset arising from the head lease. If the head lease is a short-term lease to which the recognition exemption applies, the sublease transaction shall be classified as an operating lease.

If an arrangement contains lease and non-lease components, the Group allocates the consideration in the contract in accordance with IFRS 15.

(XIII) Intangible assets

1. Recognition and measurement

Goodwill arising from the acquisition of subsidiaries is measured at cost less accumulated impairment losses.

Research activity expenses are recognized in profit or loss as incurred.

Development expenditure is capitalized only when it can be reliably measured, the technical or commercial feasibility of the product or process has been achieved, future economic benefits are likely to flow to the Group, and the Group intends to and has sufficient resources to complete the development and use or sell the asset. Other development expenditure is recognized in profit or loss as incurred. After initial recognition, capitalized development expenditure is measured at cost less accumulated amortization and accumulated impairment.

Other intangible assets with finite useful lives acquired by the Group, including customer relationships, patent rights, and trademark rights, are measured at cost less accumulated amortization and accumulated impairment.

2. Subsequent expenses

Subsequent expenditures are capitalized only when they increase the future economic benefits of the relevant specific asset. All other expenditures are recognized in profit or loss as incurred, including internally generated goodwill and brands.

3. Amortization

Except for goodwill, amortization is calculated based on the cost of an asset less its estimated residual value, and is recognized in profit or loss on a straight-line basis over its estimated useful life from the date the intangible asset is available for use.

The estimated useful lives for the current period and the comparable periods are as below:

(1) Computer software 3 years
(2) Customer relationships 5 years

~22~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

The Group reviews the amortization method, useful life, and residual value of intangible assets at each annual reporting date and makes appropriate adjustments when necessary.

(XIV) Impairment of non-financial assets

The Group assesses at each reporting date whether there is any indication that the carrying amount of non-financial assets (other than inventories, contract assets, and deferred income tax assets) may be impaired. If any such indication exists, the recoverable amount of the asset is estimated. Goodwill is tested for impairment annually.

For the purpose of impairment testing, a group of assets generating cash inflows that are largely independent of the cash inflows from other individual assets or groups of assets is treated as the smallest identifiable group of assets. Goodwill acquired in a business combination is allocated to each cash-generating unit or group of cash-generating units that is expected to benefit from the synergies of the combination.

The recoverable amount is the higher of an individual asset's or cash-generating unit's fair value less costs of disposal and its value in use. In assessing value in use, estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or cash-generating unit.

If the recoverable amount of an individual asset or cash-generating unit is less than its carrying amount, an impairment loss is recognized.

An impairment loss is recognized immediately in profit or loss, and the carrying amount of any goodwill allocated to the cash-generating unit is reduced first, then the carrying amount of each other asset in the unit is reduced proportionately based on the carrying amount of each asset.

An impairment loss on goodwill is not reversed. For non-financial assets other than goodwill, an impairment loss is reversed only to the extent that the carrying amount of the asset does not exceed the carrying amount that would have been determined, net of depreciation or amortization, had no impairment loss been recognized in prior years.

(XV) Revenue recognition

Revenue from customer contracts

Revenue is measured based on the consideration to which the Group expects to be entitled in exchange for transferring goods or services. The Group recognizes revenue when control of goods or services is transferred to the customer and the performance obligation is satisfied. The Group's main revenue items are described as follows:

(1) Sale of goods

The Group manufactures plastic structural component products and sells them to customers. The Group recognizes revenue when control of the products is transferred. The transfer of control of the product refers to the point at which the product has been delivered to the customer, the customer has full discretion over the product's sales channels and pricing, and there are no remaining obligations that could affect customer acceptance. Delivery occurs when the goods are delivered to a specific location, the risk of obsolescence and loss has transferred to the customer, and the customer has accepted the goods under the sales contract, acceptance terms have expired, or the Group has objective evidence demonstrating that all acceptance conditions have been met.

(2) Financial components

The Group expects the time between the transfer of goods or services to customers and payment by customers for those goods or services to be no more than one year, and therefore, the Group does not adjust the transaction price for the time value of money.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(XVI) Employee benefits

Defined contribution plan

The contribution obligation for defined contribution plans is recognized as an expense during the period in which employees render services. Prepaid contributions are recognized as an asset to the extent that a cash refund or a reduction in future payments is available.

Termination benefits

Termination benefits are recognized as an expense at the earlier of when the Group can no longer withdraw the offer of those benefits or when the Group recognizes related restructuring costs. When termination benefits are not expected to be settled in full within twelve months after the reporting date, they are discounted.

Short-term employee benefits

Short-term employee benefit obligations are recognized as an expense when the related service is rendered. If the Group has a present legal or constructive obligation to pay as a result of past services provided by employees, and that obligation can be reliably estimated, the amount is recognized as a liability.

(XVII) Income tax

Income tax includes current income tax and deferred income tax. Except for items related to business combinations or recognized directly in equity or other comprehensive income, current income tax and deferred income tax are recognized in profit or loss.

The Group has determined that the top-up tax it is required to pay under the global minimum tax-Pillar II rules falls within the scope of IAS 12 "Income Taxes" and has applied the temporary mandatory exception to the accounting for deferred income taxes arising from top-up tax, and recognizes current income tax for top-up tax incurred.

Current income tax includes the estimated income tax payable or tax refund receivable calculated based on taxable income (loss) for the year, and any adjustment to income tax payable or tax refund receivable in respect of prior years. The amount reflects the best estimate of the amount expected to be paid or received, measured using the enacted or substantively enacted tax rate at the reporting date, after taking into account uncertainties related to income taxes, if any.

Deferred income tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities at the reporting date and their respective tax bases. Deferred income tax is not recognized for temporary differences arising from the following circumstances:

Assets or liabilities arising from a transaction that is not a business combination and, at the time of the transaction, (i) do not affect accounting profit or taxable income (loss), and (ii) do not give rise to equal taxable and deductible temporary differences;
Temporary differences arising from investments in subsidiaries, associates, and interests in joint ventures, where the Group is able to control the timing of the reversal of the temporary differences and it is probable that they will not reverse in the foreseeable future; and
Taxable temporary differences arising on the initial recognition of goodwill.

A deferred income tax asset is recognized for the carryforward of unused tax losses, unused income tax credits, and deductible temporary differences to the extent that it is probable that future taxable income will be available against which they can be utilized. It is reassessed at each reporting date and reduced to the extent that the related income tax benefits are no longer probable to be realized; or the amount previously reduced is reversed to the extent that it becomes probable that sufficient taxable income will be available.

~23~

~24~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

Deferred income tax is measured at the tax rates that are expected to apply when the temporary differences reverse, using tax rates enacted or substantively enacted at the reporting date, and reflects uncertainties related to income taxes, if any.

The consolidated company will offset the deferred income tax assets and deferred income tax liabilities when the following conditions are met at the same time:

Has the legal right to offset current income tax assets against current income tax liabilities; and
Deferred income tax assets and deferred income tax liabilities are related to one of the following taxable entities that are subject to income tax levied by the same taxation authority:

(1) The same taxpayer; or
(2) Different taxpayers intend to recover significant deferred income tax assets and settle deferred income tax liabilities in each future period, either by netting current income tax liabilities and assets, or by realizing assets and settling liabilities simultaneously.

(XVIII) Earnings per share

The Group presents basic and diluted earnings per share attributable to ordinary equity holders of the Company. Basic earnings per share of the Group is calculated by dividing the profit or loss attributable to ordinary equity holders of the Company by the weighted average number of ordinary shares outstanding during the period. Diluted earnings per share is calculated by having the profit and loss attributable to the Company's common stock shareholders and the weighted average number of common stock shares outstanding adjusted for the effects of all potential diluted common stock shares, respectively.

(XIX) Segment information

Operating segments are components of the consolidated company that engage in business activities from which they may earn revenues and incur expenses, including revenues and expenses relating to transactions with other components of the consolidated company. All operating segments' operating results are regularly reviewed by the chief operating decision maker of the consolidated company to make decisions about resources to be allocated to the segment and assess its performance. Each operating segment has discrete financial information.

V. Significant accounting judgments, estimates, and main sources of uncertain assumptions

When preparing these Consolidated Financial Statements, management must make judgments and estimates about the future (including climate-related risks and opportunities), which affect the application of accounting policies and the reported amounts of assets, liabilities, revenue, and expenses. Actual results may differ from estimates.

Management continuously reviews estimates and underlying assumptions, which are consistent with the consolidated company's risk management and climate-related commitments. Revisions to estimates are recognized prospectively in the period of the revision and future periods affected.

The following assumptions and uncertainties in estimates have a significant risk of resulting in a material adjustment to the carrying amounts of assets and liabilities within the next financial year, and the relevant information is as follows:

(I) Loss allowance for accounts receivable

The loss allowance for accounts receivable of the consolidated company is estimated based on assumptions regarding default risk and expected loss rates. On each reporting date, the consolidated company considers historical experience, current market conditions, and forward-looking estimates in determining the assumptions and inputs to be used in calculating impairment. Please refer to Note 6(2) for a detailed description of the relevant assumptions and inputs.

~25~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(II) Recognition of deferred tax assets

Deferred tax assets are recognized only when it is probable that sufficient future taxable income will be available against which the deductible temporary differences and loss carryforwards can be utilized. The consolidated company evaluates the realizability of deferred tax assets based on assumptions regarding expected future sales revenue growth, profit margins, tax exemption periods, available income tax credits, and tax planning. Changes in the economic and industry environment, as well as changes in laws and regulations, may result in material adjustments to deferred tax assets. Please refer to Note 6(16) for details of the estimation of deferred tax assets.

VI. Description of Significant Accounting Items

(I) Cash and cash equivalents

	2025.12.31	2024.12.31
Cash on hand and penny cash	$ 423	645
Cash in banks	333,255	57,079
	$ 333,678	57,724

Restricted bank deposits that do not qualify as cash and cash equivalents have been reclassified to other financial assets. Please refer to Note 8.
Please refer to Note 6(22) for disclosures regarding interest rate risk and sensitivity analysis of the consolidated company's financial assets and liabilities.

(II) Notes receivable and accounts receivable

	2025.12.31	2024.12.31
Accounts receivable	$ 298,212	363,112
Less: Allowance for bad debts	(11,420)	(26,068)
	$ 286,792	337,044

The consolidated company applies the simplified approach to estimate expected credit losses for all notes receivable and accounts receivable, i.e., measuring expected credit losses over the lifetime. For this purpose, these notes receivable and accounts receivable are grouped on the basis of shared credit risk characteristics that represent customers' ability to pay all amounts due in accordance with the contractual terms, and forward-looking information has been incorporated, including macroeconomic and relevant industry information.

The expected credit loss analysis of notes receivable and accounts receivable of the consolidated company is as follows:

	2025.12.31
	Accounts receivables book value	Weighted-average expected credit loss rate	Allowance for lifetime expected credit losses
Not Past Due	$ 244,875	0%~0.164%	108
Overdue under60days	32,740	0%~8.788%	1,096
Overdue 61~90 days	7,869	0%~10.228%	-
Overdue 91~180 days	2,512	0%~40%	-
Overdue 181 days or more	10,216	100%	10,216
	$ 298,212		11,420

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

	2024.12.31
	Accounts receivables book value	Weighted-average expected credit loss rate	Allowance for lifetime expected credit losses
Not Past Due	$ 330,210	0%~0.081%	119
Overdue under 60 days	7,008	0%~3.39%	55
Overdue 181 days or more	25,894	100%	25,894
	$ 363,112		26,068

For the Group's notes receivable and accounts receivable exposed to credit risk and foreign exchange risk, please refer to Note 6(22).

The movements in the allowance for losses on the Group's notes receivable and accounts receivable are as follows:

	2025	2024
Opening balance	$ 26,068	14,386
Recognized impairment loss	1,920	10,903
Effect of exchange rate changes	(467)	779
Loss of control over subsidiaries	(16,101)	-
Ending balance	$ 11,420	26,068

For details of the financial assets above pledged as collateral for borrowings and credit facilities, please refer to Note 8.
For the remaining credit risk information, please refer to Note 6(22).
The Group entered into non-recourse accounts receivable assignment agreements with financial institutions. Pursuant to the agreements, losses arising from commercial disputes (such as sales returns or discounts) are borne by the Group, and the Company's substantive related party Yu-Hui Fa (Chairman, the Company, as of December 31, 2024) provided endorsements and guarantees (please refer to Note 7), while losses arising from credit risk are borne by such banks. As the Group has transferred substantially all the risks and rewards of ownership of the above accounts receivable and has no continuing involvement therein, the conditions for derecognition of financial assets are met. After derecognition of the accounts receivable, the claims against financial institutions are presented under other receivables. Information on the factored accounts receivable that were not yet due as of the reporting date is as follows:

2025.12.31

Related Party	Sales Amount	Transfer to other receivables	Amount may be advanced	Advances Received	Annual interest rate on amount advanced (%)
CTBC Bank	$ 89,265	8,926	-	80,338	3.44

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

2024.12.31

Related Party	Sales Amount	Transfer to other receivables	Amount may be advanced	Advances Received	Annual interest rate on amount advanced (%)
CTBC Bank	$ 96,516	9,652	-	86,864	3.58

The Group endorsed and transferred certain bank acceptance notes receivable in China to suppliers to settle accounts payable. As substantially all the risks and rewards of such notes have been transferred, the Group derecognized the transferred bank acceptance notes receivable and the corresponding accounts payable. However, if the derecognized acceptance bills are not honored, suppliers have the right to claim against the Consolidated Company. Hence, the Consolidated Company remains involved in these bills. The Group's maximum exposure to loss from continuing involvement in derecognized acceptance notes was the face amount of the transferred acceptance notes that were not yet due, which was NTD 0 and NTD 10,466 thousand as of December 31, 2025 and 2024, respectively. Such notes will mature within 1~6 months after the balance sheet date. Considering the credit risks of the derecognized acceptance bills, the Consolidated Company assesses that the fair value of continued involvement is insignificant. For 2025 and 2024, the Group did not recognize any gain or loss upon the transfer of notes receivable, and no gain or loss was recognized for its continuing involvement in such notes in the current period or cumulatively.

(III) Inventories

	2025.12.31	2024.12.31
Raw materials	$ 6,564	16,654
Work in progress	3,451	4,849
Finished goods	25,504	61,567
Total	$ 35,519	83,070

Details of cost of goods sold related to the Group's inventories are as follows:

	2025	2024
Reclassified upon sale of inventories	$ 1,078,422	906,011
Unamortized production overheads	6,675	6,998
Loss on inventory decline (reversal gain)	(2,055)	12,484
	$ 1,083,042	925,493

In 2025, a reversal gain on inventory valuation loss of NTD 2,055 thousand was recognized due to inventory reduction and was recognized as a deduction from cost of goods sold.

None of the Group's inventories were pledged as collateral.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(IV) Loss of control over subsidiaries

Suzhou Longdeng Electronic Technologies Limited

In order to revitalize assets and replenish working capital, the Group approved the proposed disposal of its 100% equity interest in significant subsidiary Suzhou Longdeng on March 5, 2025, following resolutions passed by the Audit Committee and the Board of Directors. The disposal price was tentatively set at RMB 26,819 thousand (calculated as RMB 180,000 thousand for the sale of land use rights and plant less net liabilities), and the disposal consideration calculated based on Suzhou Longdeng's net liabilities as of December 30, 2025 was NTD 89,290 thousand (RMB 20,000 thousand).

According to the equity transfer agreement signed by the Group on May 15, 2025, the equity interest in Suzhou Longdeng was to be delivered in installments, with the 1st delivery at 70% and the 2nd delivery at 30%, and the 2nd delivery to be completed within six months after the 1st delivery. In accordance with the aforementioned equity transfer agreement, after the delivery of the 70% equity interest and completion of the transfer of operating control, the Group would not assume subsequent creditor's rights and obligations. The Group completed the transfer of operating control on December 30, 2025 and assessed that it lost control over Suzhou Longdeng from that date. Therefore, Suzhou Longdeng was no longer a subsidiary of the Group from that date.

As of December 31, 2025, pursuant to the equity transfer agreement, the buyer did not assume the existing operating activities of Suzhou Longdeng. Instead, the Group's subsidiary Suzhou Logah leased back the original plant from Suzhou Longdeng to continue production and assume and operate the original business.

(1) On the date control was lost, the analysis of the assets and liabilities of Suzhou Longdeng was as follows:

	2025.12.30
Current assets (including cash and cash equivalents of NTD 10,356 thousand)	$ 402,147
Non-current assets	553,628
Total assets	955,775
Current liabilities (Note 1)	1,162,386
Non-current liabilities	11,992
Total liabilities	1,174,378
Net assets of Suzhou Longdeng Electronic Technologies Limited	(218,603)
Carrying amount of non-controlling interests	-
Net assets disposed of	$ (218,603)

(2) Gain on derecognition of subsidiary

	2025.12.30
Consideration received	$ 89,290
Add: Net assets disposed of	218,603
Add: Other comprehensive income reclassified from equity to profit or loss due to the Group's loss of control over the subsidiary	(60,365)
Add: Deferred income (Note 2)	(129,086)
Effect of exchange rate changes	(757)
Net gain on disposal of investment	$ 117,685

~28~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(3) Net cash inflow (outflow) from derecognition of subsidiary

Consideration received (Note 3)
Cash balance disposed of

2025.12.30
$ 89,290
(10,356)
$ 78,934

Note 1.: During 2025, former Group subsidiary Suzhou Longdeng borrowed a total of NTD 714,319 thousand (RMB 160,000 thousand) from the buyer under the executed supplemental loan agreement for repayment of the principal and interest of bank borrowings and intercompany loans within the Group.

Note 2.: In accordance with the relevant accounting standards, upon derecognition of the subsidiary, the Group leased back the building under an operating lease, recognized a right-of-use asset and a lease liability, and recognized the gain on disposal of investment as deferred income in proportion to the leaseback ratio, presented under long-term deferred income. Subsequently, such amount is recognized as other income on a systematic basis over the lease term. The gain or loss recognized from derecognition of the subsidiary in the current period is presented under gain on disposal of assets. Please refer to Note 6(21).

Note 3.: As of December 31, 2025, payment had not yet been received and was presented under “Other receivables”.

(V) Other financial assets

	2025.12.31	2024.12.31
Refundable deposits	$ 2,450	4,397
Pledge bank deposit	19,402	12,211
Total	$ 21,852	16,608
Current	$ 19,440	11,751
Non-current	2,412	4,857
Total	$ 21,852	16,608

~29~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(VI) Property, plant and equipment

Changes in the costs, depreciation, and impairment losses of the property, plant and equipment of the consolidated Company for 2025 and 2024 are as follows:

	Houses and buildings	Machinery and equipment	Other equipment	Unfinished construction and equipment pending acceptance	Total
Cost or deemed cost:
Balance as of January 1, 2025	$ 277,423	832,240	155,953	1,824	1,267,440
Added	-	12,153	7,513	18,694	38,360
Reclassification	-	320	942	(1,262)	-
Disposal	(684)	(194,231)	(66,489)	-	(261,404)
Loss of control over a subsidiary	(231,795)	(67,669)	(3,064)	(15,933)	(318,461)
Effect of exchange rate changes	(6,345)	(24,351)	(5,378)	1,788	(34,286)
Balance as of December 31, 2025	$ 38,599	558,462	89,477	5,111	691,649
Balance as of January 1, 2024	$ 263,672	773,999	117,233	13,045	1,167,949
Added	-	80,036	35,928	(8,925)	107,039
Disposal	-	(62,283)	(3,300)	-	(65,583)
Recognition of impairment	-	-	-	(2,306)	(2,306)
Effect of exchange rate changes	13,751	40,488	6,092	10	60,341
Balance as of December 31, 2024	$ 277,423	832,240	155,953	1,824	1,267,440
Depreciation and impairment losses:
Balance as of January 1, 2025	$ 61,829	675,768	113,934	-	851,531
Depreciation	7,860	32,198	7,731	-	47,789
Disposal	(534)	(179,327)	(66,270)	-	(246,131)
Loss of control over a subsidiary	(57,301)	(54,850)	(1,284)	-	(113,435)
Effect of exchange rate changes	(1,287)	(17,243)	(4,010)	-	(22,540)
Balance as of December 31, 2025	$ 10,567	456,546	50,101	-	517,214
Balance as of January 1, 2024	$ 50,971	623,068	105,620	-	779,659
Depreciation	8,121	52,465	6,235	-	66,821
Disposal	-	(59,753)	(3,257)	-	(63,010)
Recognition of impairment	-	27,808	-	-	27,808
Effect of exchange rate changes	2,737	32,180	5,336	-	40,253
Balance as of December 31, 2024	$ 61,829	675,768	113,934	-	851,531
Carrying amount:
December 31, 2025	$ 28,032	101,916	39,376	5,111	174,435
January 1, 2024	$ 212,701	150,931	11,613	13,045	388,290
December 31, 2024	$ 215,594	156,472	42,019	1,824	415,909

~30~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

To replenish working capital and meet operational needs, Suzhou Ruideng disposed of a batch of machinery and equipment to unrelated parties in Q1 2024, for a selling price of 15,714 thousand (RMB 3,500 thousand). Control and ownership of the aforementioned machinery and equipment were transferred in Q1 2024, and a disposal gain of 15,714 thousand was recognized. The agreement for this transaction did not contain a repurchase clause. Subsequently, because the consolidated Company established Anhui Ruideng in June 2024, and considering the nature of Anhui Ruideng's business and operational needs, the consolidated Company approached the unrelated party to repurchase the batch of machinery and equipment in June and July 2024, respectively, at the then selling price.
To replenish working capital, Suzhou Ruideng disposed of a batch of machinery and equipment to unrelated parties in Q2 2024, for a selling price of 30,055 thousand (RMB 6,694 thousand). Control and ownership of the aforementioned machinery and equipment were transferred in Q2 2024, and a disposal gain of 30,055 thousand was recognized. The agreement for this transaction did not contain a repurchase clause.
The consolidated Company assessed in 2024 that certain machinery and equipment and construction in progress were idle or had reduced future economic benefits, resulting in a recoverable amount of zero. Accordingly, an impairment loss of 30,114 thousand was recognized and included under other gains and losses.
For details of the property, plant and equipment of the consolidated Company pledged as collateral for short-term and long-term borrowings and financing facilities, please refer to Note 8.

(VII) Right-of-use assets

	Land	Houses and buildings	Total
Cost of right-of-use assets:
Balance as of January 1, 2025	$ 257,710	148,143	405,853
Added	-	284,373	284,373
Decrease	-	(86,689)	(86,689)
Loss of control over a subsidiary	(252,653)	(7,459)	(260,112)
Effect of exchange rate changes	(5,057)	1,235	(3,822)
Balance as of December 31, 2025	$ -	339,603	339,603
Balance as of January 1, 2024	$ 244,936	116,221	361,157
Added	-	56,423	56,423
Decrease	-	(30,918)	(30,918)
Effect of exchange rate changes	12,774	6,417	19,191
Balance as of December 31, 2024	$ 257,710	148,143	405,853
Depreciation and impairment losses of right-of-use assets:
Balance as of January 1, 2025	$ 36,501	30,000	66,501
Depreciation	5,831	20,865	26,696
Decrease	-	(26,525)	(26,525)
Loss of control over a subsidiary	(41,749)	(4,144)	(45,893)
Effect of exchange rate changes	(583)	(809)	(1,392)
Balance as of December 31, 2025	$ -	19,387	19,387

~31~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

	Land	Houses and buildings	Total
Balance as of January 1, 2024	$ 28,910	10,865	39,775
Depreciation	6,025	26,044	32,069
Decrease	-	(7,615)	(7,615)
Effect of exchange rate changes	1,566	706	2,272
Balance as of December 31, 2024	$ 36,501	30,000	66,501
Book value:
December 31, 2025	$ -	320,216	320,216
January 1, 2024	$ 216,026	105,356	321,382
December 31, 2024	$ 221,209	118,143	339,352

The details of the right-of-use assets of the consolidated company used as collateral for short-term and long-term borrowings and credit facilities are provided in Note 8.

(VIII) Investment property

Investment property refers to self-owned assets of the consolidated company, an office building leased to third parties under operating leases. The original non-cancellable period of the leased investment property is 1 year. The contract stipulates that the lessee has an option to extend the period upon expiration.

The rental income from the leased investment property is all fixed amounts, and the lease contract includes clauses for adjusting rent based on market conditions each year.

The details of the consolidated company's investment property are as follows:

	Houses and buildings
Cost or deemed cost:
Balance as of January 1, 2025	$ 139,309
Loss of control over a subsidiary	(136,575)
Effect of exchange rate changes	(2,734)
Balance as of December 31, 2025	$ -
Balance as of January 1, 2024	$ 132,404
Effect of exchange rate changes	6,905
Balance as of December 31, 2024	$ 139,309
Depreciation and impairment losses:
Balance as of January 1, 2025	$ 24,031
Depreciation for the year	3,004
Loss of control over a subsidiary	(26,632)
Effect of exchange rate changes	(403)
Balance as of December 31, 2025	$ -
Balance as of January 1, 2024	$ 19,861
Depreciation for the year	3,104
Effect of exchange rate changes	1,066
Balance as of December 31, 2024	$ 24,031
Carrying amount:
December 31, 2025	$ -
January 1, 2024	$ 112,543
December 31, 2024	$ 115,278

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Fair value:	Houses and buildings
December 31, 2025	$ -
January 1, 2024	$ 104,340
December 31, 2024	$ 106,989

The fair value of the consolidated company's investment property is based on the valuation by independent appraisers as of the reporting date. The inputs used in the fair value measurement techniques are Level 3.
As of December 31, 2024, the details of the consolidated company's investment property used as collateral for short-term and long-term borrowings and credit facilities are provided in Note 8.

(IX) Intangible assets

The details of the cost, amortization, and impairment losses of other intangible assets of the consolidated company for 2025 and 2024 are as follows:

	Computer software	Customer relation	Total
Cost:
Balance as of January 1, 2025	$ 926	125,370	126,296
Loss of control over a subsidiary	(376)	(107,682)	(108,058)
Effect of exchange rate changes	(8)	(777)	(785)
Balance as of December 31, 2025	$ 542	16,911	17,453
Balance as of January 1, 2024	$ 924	124,134	125,058
Effect of exchange rate changes	2	1,236	1,238
Balance as of December 31, 2024	$ 926	125,370	126,296
Amortization and impairment losses:
Balance as of January 1, 2025	$ 572	123,013	123,585
Amortization for the current year	173	2,250	2,423
Loss of control over a subsidiary	(376)	(107,682)	(108,058)
Effect of exchange rate changes	(2)	(670)	(672)
Balance as of December 31, 2025	$ 367	16,911	17,278
Balance as of January 1, 2024	$ 397	118,650	119,047
Amortization for the current year	175	3,473	3,648
Effect of exchange rate changes	-	890	890
Balance as of December 31, 2024	$ 572	123,013	123,585
Book value:
Balance as of December 31, 2025	$ 175	-	175
Balance as of January 1, 2024	$ 527	5,484	6,011
Balance as of December 31, 2024	$ 354	2,357	2,711

~33~

~34~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

1. Amortization expense

Amortization of other intangible assets for 2025 and 2024 was presented in the following line items in the Consolidated Statements of Comprehensive Income:

	2025	2024
Operating expenses	$ 2,423	3,648

The Group acquired the subsidiary Suzhou Longdeng on December 22, 2014. In accordance with IFRS 3 “Business Combinations,” the difference between the total acquisition consideration and the fair value of the acquired identifiable net assets, amounting to NTD 38,861 thousand, was recognized as goodwill, and impairment losses were recognized separately in 2015 and 2024.
As of December 31, 2025 and 2024, none of the Group’s intangible assets were pledged as collateral

(X) Short-term borrowings

	2025.12.31	2024.12.31
Unsecured bank borrowings	$ 35,716	45,539
Secured bank loan	37,650	316,092
Total	$ 73,366	361,631
Unused facilities	$ 12,558	23,178
Interest Rate	2.95%~5.62%	2.95%~5.96%

Additions for 2025 and 2024 amounted to NTD 219,737 thousand and NTD 434,804 thousand, respectively, with maturity dates from January 2026 to October 2026 and from January 2025 to November 2025, respectively; repayments amounted to NTD 522,152 thousand and NTD 400,229 thousand, respectively.
For details of assets pledged by the Group as collateral for bank borrowings, please refer to Note 8.
Part of the above borrowings was endorsed and guaranteed by the Company’s substantively related parties, Hui-Fa Yu (Chairman of the Company as of December 31, 2024) and Shu-Chen Lin. Please refer to Note 7 for details.

(XI) Other payables (including related parties)

	2025.12.31	2024.12.31
Borrowings payable to related parties	$ 69,105	139,007
Salaries and year-end bonuses payable	16,480	22,981
Processing fees payable (including molds)	44,795	20,624
Accounts payable, equipment	75,209	8,326
Payables for utilities	4,314	5,833
Others	37,189	11,667
	$ 247,092	208,438
	2025.12.31	2024.12.31
Other payables	$ 177,758	69,431
Other payables - related parties	62,650	4,139
Long-term payables - related parties	6,684	134,868
	$ 247,092	208,438

~35~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(XII) Long-term borrowings

The details of the consolidated company's long-term borrowings are as follows:

	2025.12.31	2024.12.31
Unsecured other borrowings	$ -	7,616
Secured bank loan	-	95,416
Secured other borrowings	23,058	84,373
Less: portion due within one year	(16,830)	(142,653)
Total	$ 6,228	44,752
Unused facilities	$ -	-
Interest Rate	7.99%~15.17%	3.26%~15.17%

The amounts borrowed in 2025 and 2024 were NTD 17,458 thousand and NTD 131,947 thousand, respectively; the amounts repaid were NTD 152,721 thousand and NTD 85,429 thousand, respectively.
For details of assets pledged by the Group as collateral for bank borrowings, please refer to Note 8.
Part of the above borrowings was endorsed and guaranteed by the Company's substantively related parties, Hui-Fa Yu (Chairman of the Company as of December 31, 2024) and Shu-Chen Lin. Please refer to Note 7 for details.
The consolidated company's other borrowings are primarily borrowings from finance companies.

(XIII) Lease liabilities

The carrying amount of the consolidated company's lease liabilities is as follows:

	2025.12.31	2024.12.31
Current	$ 37,535	24,550
Non-current	$ 266,151	93,015

For the maturity analysis, please refer to Note 6(22) Financial Instruments.

The amounts recognized in profit or loss in respect of leases are as follows:

	2025	2024
Interest expense on lease liabilities	$ 2,945	5,485
Income from subleasing right-of-use assets	$ 1,278	-
Expense relating to short-term leases	$ 2,490	249
Expense relating to leases of low-value assets (excluding low-value leases of short-term leases)	$ 30	31

The amounts recognized in the statement of cash flows in respect of leases are as follows:

	2025	2024
Total cash outflow for leases	$ 21,405	28,328

Leases of land, buildings, and structures

The consolidated company leases land use rights and houses and buildings as offices and plants, with lease terms of 2 to 50 years. Some leases include an option to extend for a period equal to the original contract term upon expiration of the lease term.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Other leases

The lease term for equipment and certain houses and buildings leased by the consolidated company is one to three years. These leases are short-term and/or low-value asset leases. The consolidated company has elected to apply the recognition exemption and therefore has not recognized the related right-of-use assets and lease liabilities.

(XIV) Operating leases

Lessor leases

(1) The consolidated company leases out its investment property. As substantially all the risks and rewards incidental to ownership of the underlying assets have not been transferred, these lease contracts are classified as operating leases; please refer to Note 6(8) Investment Property.

The maturity analysis of lease payments is presented in the table below based on the total undiscounted lease payments to be received after the reporting date:

	2025.12.31	2024.12.31
less than one year	$ -	2,355
Total undiscounted lease payments	$ -	2,355

For the years ended December 31, 2025 and 2024, rental income generated from investment properties amounted to NTD 2,777 thousand and NTD 3,857 thousand, respectively.

(2) The Group leases out its right-of-use assets. Since the lease term does not cover a major part of the economic life of the underlying assets, these lease contracts are classified as operating leases. Please refer to Note 6(7), Right-of-use assets.

The maturity analysis of lease payments is presented in the table below based on the total undiscounted lease payments to be received after the reporting date:

	2025.12.31	2024.12.31
less than one year	$ 10,459	-
one to five years	34,508	-
Total undiscounted lease payments	$ 44,967	-

Rental income generated from the sublease of right-of-use assets amounted to NTD 1,278 thousand in 2025.

(XV) Employee benefits

Defined contribution plan

The Group's defined contribution plan is in accordance with the Labor Pension Act and requires contributions at a rate of 6.00% of each employee's monthly wages to the employees' individual labor pension accounts with the Bureau of Labor Insurance. Under this plan, after the Group contributes a fixed amount to the Bureau of Labor Insurance, it has no legal or constructive obligation to make additional payments.

Pension costs under the Group's defined contribution pension plan are as follows and were contributed to the Bureau of Labor Insurance:

	2025	2024
Operating expenses	$ 899	886

~36~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Details of pension expense recognized by each foreign subsidiary in accordance with applicable local laws for 2025 and 2024 are as follows:

	2025	2024
Operating costs	$ 8,659	10,725
Operating expenses	657	889
	$ 9,316	11,614

(XVI) Income tax

Details of the Group's income tax expense for 2025 and 2024 are as follows:

	2025	2024
Current income tax expense
Arising in the current period	$ 45	-
Adjustment of current income tax for prior periods	1,148	(26)
	1,193	(26)
Deferred income tax expense
Origination and reversal of temporary differences	4,178	2,293
	4,178	2,293
Income tax expenses	$ 5,371	2,267

Reconciliation of the relationship between the Group's income tax expense and Net loss before tax for 2025 and 2024 is as follows:

	2025	2024
Net loss before tax	$ (72,510)	(201,266)
Income tax calculated at domestic tax rates	(22,262)	(43,830)
Non-deductible expenses	(1,148)	7,434
Changes in unrecognized temporary differences	27,633	38,689
Prior period under(over)estimation	1,148	(26)
Others	-	-
	$ 5,371	2,267

Details of income tax expense (benefit) recognized under other comprehensive income by the Group for 2025 and 2024 are as follows:

	2025	2024
Items that may be reclassified subsequently to profit or loss:
Exchange differences arising on translation of foreign operations	$ (4,435)	4,446

Deferred tax assets and liabilities

(1) Unrecognized deferred income tax assets

The following items were not recognized as deferred income tax assets by the Group:

	2025.12.31	2024.12.31
Losses from foreign investments	$ 149,278	136,666
Tax losses	83,177	104,712
	$ 232,455	241,378

~37~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Tax losses are losses incurred in the previous ten years, as determined by the tax collection authority in accordance with the Income Tax Act, that may be deducted from the current year's net profit before income tax is assessed. These items have not been recognized as deferred income tax assets because the Group is not likely to have sufficient taxable income in the future against which these temporary differences can be utilized.

As of December 31, 2025, the expiration dates of the tax losses not recognized by the Group as deferred income tax assets are as follows:

Year of losses	Losses not yet deducted	Expiry date
2016	32,945	2026
2017	69,609	2027
2018	25,093	2028
2019	39,023	2029
2020	101,475	2030
2021	20,780	2031
2022	19,406	2032
2023	19,290	2033
2024	17,493	2034
2025	29,103	2035
Total	$ 374,217

(2) Recognized deferred income tax assets and liabilities

Changes in the deferred tax assets and liabilities for 2025 and 2024 are as follows:

	Inventory valuation loss	Exchange differences arising on translation of foreign operations	Others	Total
Deferred income tax assets:
Balance as of January 1, 2025	$ 3,560	12,216	26,535	42,311
Charged/credited to profit or loss	(528)	-	(4,039)	(4,567)
Charged/credited to other comprehensive income	-	(4,743)	-	(4,743)
Loss of control over a subsidiary	(1,393)	(6,942)	(15,608)	(23,943)
Effect of exchange rate changes	(81)	(433)	(511)	(1,025)
Balance as of December 31, 2025	$ 1,558	98	6,377	8,033
Balance as of January 1, 2024	$ 2,130	12,882	30,000	45,012
Charged/credited to profit or loss	1,308	-	(4,723)	(3,415)
Charged/credited to other comprehensive income	-	-	-	-
Effect of exchange rate changes	122	(666)	1,258	714
Balance as of December 31, 2024	$ 3,560	12,216	26,535	42,311

~38~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

	Exchange differences arising on translation of foreign operations	Others	Total
Deferred income tax liabilities:
Balance as of January 1, 2025	$ 11,395	4,644	16,039
Debit/(credit) to profit or loss	-	(389)	(389)
Debit/(credit) to other comprehensive income	9,178	-	9,178
Loss of control over a subsidiary	(54)	(4,179)	(4,233)
Effect of exchange rate changes	(13)	(76)	(89)
Balance as of December 31, 2025	$ 20,506	-	20,506
Balance as of January 1, 2024	$ 6,935	5,587	12,522
Debit/(credit) to profit or loss	14	(1,136)	(1,122)
Debit/(credit) to other comprehensive income	4,446	-	4,446
Effect of exchange rate changes	-	193	193
Balance as of December 31, 2024	$ 11,395	4,644	16,039

The profit-seeking enterprise income tax return of the Company and its domestic subsidiaries has been approved by the tax authority through 2024.

(XVII) Capital and other equity

As of December 31, 2025 and 2024, the Company's total authorized share capital was NTD 2,000,000 thousand, with a par value of NTD 10 per share, totaling 200,000 thousand shares, and the issued common shares were 60,825 thousand shares and 93,042 thousand shares, respectively. All payments for all issued shares have been received.

The reconciliation of the Company's outstanding shares for 2025 and 2024 is as follows:

	(Expressed in thousands of shares)
	Common shares
	2025	2024
Beginning balance as of January 1	93,042	93,042
Issuance of common stock for cash	5,000	-
Capital reduction	(37,217)	-
Ending balance as of December 31	60,825	93,042

Issuance of common shares

On May 12, 2025, the Board of Directors resolved to undertake a capital reduction to offset losses in order to improve the Company's financial structure, canceling 37,217 thousand shares, representing a capital reduction ratio of 40.00000064%, and also resolved to issue common shares through private placement in four tranches within one year from the date of the AGM resolution, up to a maximum of 40,000 thousand shares. The aforementioned capital reduction was also Approved by the AGM on June 27, 2025, became effective upon filing on November 5, 2025, and on the same day, the Board of Directors resolved to set November 5, 2025 as the capital reduction record date. The relevant statutory registration procedures have been completed.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

On December 23, 2025, the Board of Directors resolved to issue 5,000 thousand common shares through private placement at a price of NTD 10 per share, with a par value of NTD 10 per share, totaling NTD 50,000 thousand, and set December 31, 2025 as the capital increase record date. The relevant statutory registration procedures were completed on January 21, 2026.

As of December 31, 2025 and 2024, the issued shares after the aforementioned capital reduction included 23,000 thousand shares and 30,000 thousand shares of privately placed common shares, respectively, and the public offering procedures have not yet been completed. The information on the previous privately placed common shares is as follows:

Private Placement Date	2025.12.31		2024.12.31
	Privately placed shares (thousand shares)	Privately Place Amount	Privately placed shares (thousand shares)	Privately Place Amount
July 19, 2019	3,000	$ 18,810	5,000	31,350
July 24, 2019	3,000	18,810	5,000	31,350
November 14, 2019	3,000	15,000	5,000	25,000
November 20, 2019	3,000	15,000	5,000	25,000
December 7, 2020	3,000	29,040	5,000	48,400
December 16, 2020	3,000	29,040	5,000	48,400
December 31, 2025	5,000	50,000	-	-
	23,000	$ 175,700	30,000	209,500

2. Capital reserves

The Company's capital reserve balance is as follows:

	2025.12.31	2024.12.31
Share premium	$ 7,327	7,327
Shareholder gift received	9,092	9,092
Others	3	-
	$ 16,422	16,419

In June 2024, Suzhou Ruideng entered into a tripartite agreement with shareholder Liyu Technology Co., Ltd. (Liyu) and its subsidiary Longdeng Electronic Technology (Shenzhen) Co., Ltd. (Shenzhen Longdeng), whereby the claims of Shenzhen Longdeng were transferred to its parent company Liyu, and Liyu then entered into a debt forgiveness agreement with Suzhou Ruideng, under which Liyu agreed to waive its claims against Suzhou Ruideng. Accordingly, the original other payables - related parties of 9,092 thousand (RMB 2,000 thousand) were transferred to capital reserve - shareholder gift received.

3. Retained earnings

In accordance with the Company's Articles of Incorporation, where the Company's annual final accounts show a surplus, taxes shall first be paid, prior years' losses shall be offset, and 10% shall then be set aside as legal reserve; however, this shall not apply where the legal reserve has reached the Company's paid-in capital. In addition, special reserve shall be appropriated or reversed in accordance with laws or regulations or as required by the competent authority. Where any surplus remains, together with accumulated unappropriated retained earnings, the Board of Directors shall prepare an earnings distribution proposal and submit it to the AGM for resolution.

~40~

~41~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

The Company's future dividend distribution shall be based on the principle of balancing the Company's future operational development, sound financial structure, and maintenance of shareholder returns, and cash dividends shall not be less than 10% of the current year's distribution amount.

(1) Legal reserve

When the company has no losses, the AGM may resolve to issue new shares or distribute cash from the legal reserve, provided that such reserve exceeds 25% of the paid-in capital.

(2) Earnings distribution

The Company ratified the deficit compensation proposals for 2024 and 2023 at the AGM on June 27, 2025 and May 23, 2024, respectively. Relevant information is available on the Market Observation Post System.

Other equity

	Exchange differences arising on translation of foreign operations
Balance as of January 1, 2025	$ 45,523
Exchange differences from translating the net assets of foreign operations	(17,738)
Reclassification to profit or loss of gain or loss on disposal of foreign operations	48,292
Balance as of December 31, 2025	$ 76,077
Balance as of January 1, 2024	$ 27,741
Exchange differences from translating the net assets of foreign operations	17,782
Balance as of December 31, 2024	$ 45,523
(XVIII) Earnings (loss) per share
	2025 2024
Basic earnings (loss) per share
Net loss attributable to ordinary equity holders of the Company	$ (77,881) (203,533)
Weighted average number of issued ordinary shares (thousand shares)	55,825 55,825
Basic earnings (loss) per share (NTD)	$ (1.40) (3.65)

The Company, on November 5, 2025, obtained approval from the Board of Directors to set November 5, 2025 as the capital reduction record date. The above weighted average number of outstanding shares shall be retrospectively stated in the current and comparative financial statements in accordance with paragraph 64 of IAS 33, "Earnings per Share".

There was no dilutive effect in 2025 and 2024; therefore, diluted earnings per share need not be disclosed.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(XIX) Revenue from contracts with customers

Disaggregation of revenue

	2025
	Parent Company	Suzhou Longdeng, Suzhou Ruideng, Suzhou Logah and Anhui Ruideng	Others	Total
Main product/service lines:
Revenue from sale of goods	$ 12,279	1,037,368	43,608	1,093,255
Rental income	-	4,055	-	4,055
	$ 12,279	1,041,423	43,608	1,097,310
Timing of revenue recognition:
At a point in time	$ 12,279	1,037,368	43,608	1,093,255
Satisfied over time	-	4,055	-	4,055
	$ 12,279	1,041,423	43,608	1,097,310
	2024
	Parent Company	Suzhou Longdeng, Suzhou Ruideng, Suzhou Logah and Anhui Ruideng	Others	Total
Main product/service lines:
Revenue from sale of goods	$ 10,346	852,506	10,729	873,581
Rental income	-	3,857	-	3,857
	$ 10,346	856,363	10,729	877,438
Timing of revenue recognition:
At a point in time	$ 10,346	852,506	10,729	873,581
Satisfied over time	-	3,857	-	3,857
	$ 10,346	856,363	10,729	877,438

Contract balance

	2025.12.31	2024.12.31	2024.1.1
Notes receivable	$ -	-	278
Accounts receivable	298,212	363,112	309,321
Less: Allowance for bad debts	(11,420)	(26,068)	(14,386)
Total	$ 286,792	337,044	295,213
Contract liabilities - advance rent received	$ 653	152	113

For disclosures of receivables and related impairment, please refer to Note 6(2).

~42~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(XX) Employees' and directors' remuneration

The Company amended its Articles of Incorporation by resolution of the AGM on June 27, 2025. Under the amended Articles of Incorporation, where there are profits for the year, 1%~3% shall be appropriated as employees' remuneration (of which no less than 20% shall be distributed to grassroots employees) and no more than 1.5% as directors' remuneration. However, if the Company has accumulated losses, an amount shall be reserved in advance to cover such losses. The recipients of employees' remuneration paid in shares or cash under the preceding paragraph include employees of subordinate companies meeting certain conditions. Before the amendment, the Articles of Incorporation provided that, where there are profits for the year, 1%~3% shall be appropriated as employees' remuneration and no more than 1.5% as directors' remuneration. However, if the Company has accumulated losses, an amount shall be reserved in advance to cover such losses.

The Company had accumulated losses in 2025 and 2024; therefore, no employees' remuneration or directors' remuneration was accrued. If the actual distributed amount in the following year differs from the estimated amount, it shall be treated as a change in accounting estimate, and the effect of such change shall be recognized in profit or loss in the following year.

As both 2024 and 2023 were years of accumulated losses, the Board of Directors of the Company resolved on March 12, 2025 and March 4, 2024, respectively, not to distribute employees' remuneration and directors' remuneration. Relevant information is available on the Market Observation Post System.

(XXI) Non-operating income and expenses

Interest income

The breakdown of interest income of the Group in 2025 and 2024 is as follows:

	2025	2024
Interest income from bank deposits	$ 489	979

Other income

The breakdown of other income of the Group in 2025 and 2024 is as follows:

	2025	2024
Compensation income	$ -	5,264
Others	12,610	10,402
Total other income	$ 12,610	15,666

Other gains or losses

The breakdown of other gains and losses of the Group in 2025 and 2024 is as follows:

	2025	2024
Loss on disposal of property, plant and equipment	$ (3,110)	47,122
Gain on disposal of investments	117,685	-
Lease modification gain	1,759	451
Net foreign exchange gains (losses)	3,931	3,742
Impairment loss on property, plant and equipment	-	(30,114)
Impairment loss of goodwill	-	(2,292)
Other gains and losses	(49,333)	(2,245)
	$ 70,932	16,664

~43~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

4. Financial costs

The breakdown of finance costs of the Group in 2025 and 2024 is as follows:

	2025	2024
Interest on bank borrowings	$ 12,253	14,626
Interest on lease liabilities	2,945	5,485
Interest on other borrowings	10,093	13,036
Other (Note 7)	2,429	97
	$ 27,720	33,244

(XXII) Financial instruments

1. Credit risk

(1) Exposure to credit risk

The Group's maximum exposure to credit risk as of December 31, 2025 and 2024, which may cause financial loss due to counterparties' failure to perform obligations and financial guarantees provided by the Group, mainly arose from:

The carrying amounts of financial assets recognized in the consolidated balance sheets.
The amounts of financial guarantees provided by the Group were NTD 80,338 thousand and NTD 132,403 thousand, respectively.

(2) Concentration of credit risk

Credit risk refers to the risk that counterparty will default on its contractual obligations resulting in financial loss to the Corporation. As at the end of the reporting period, the Company's maximum exposure to credit risk which will cause a financial loss to the Company due to failure of counterparties to discharge an obligation could arise from the carrying amount of the respective recognized financial assets as stated in the balance sheets.

Concentration of credit risk arises when the counterparties to the Group's receivables are significantly concentrated in a few parties, most of whom are engaged in similar business activities and have similar economic characteristics, such that their ability to perform contractual obligations is similarly affected by economic or other conditions. The balances of receivables from customers with significant concentration of credit risk were as follows:

	2025.12.31	2024.12.31
Company A	$ 93,460	103,401
Company B	51,942	76,705
Company C	67,270	-
	$ 212,672	180,106

The Group's credit risk is mainly concentrated in the Group's top four customers. As of December 31, 2025 and 2024, the percentages of accounts receivable from the aforementioned customers were 74% and 53%, respectively.

(3) Credit risk of receivables and debt securities

For information on the credit risk exposure of notes receivable and accounts receivable, please refer to Note 6(2).

Other financial assets measured at amortized cost include other receivables and other financial assets. All of the above are financial assets with low credit risk; therefore, the allowance loss during the period is measured at an amount equal to 12-month expected credit losses. No allowance loss was recognized in 2025 and 2024.

~44~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Liquidity risk

The Company manages liquidity risk by monitoring and maintaining a level of cash deemed adequate to finance the Company's operations and mitigate the effects of fluctuations in cash flows. In addition, the management of the Corporation monitors the utilization of borrowings and ensures compliance with loan conditions. The bank and related party borrowings are material sources of liquidity to the consolidated company. For the Group's unused financing facilities, please refer to Notes 6(10) and (12).

For the Group's sound financial plan for improving liquidity risk, please refer to Note 12(2).

The table below shows the contractual maturities of financial liabilities, including estimated interest but excluding the effect of netting agreements.

	Carrying amount	Cash flows of contract	On demand or less than 1 month	1-3 months	3 months-1 year	1-5 years	More than 5 years
December 31, 2025
Non-derivative financial liabilities
Long-term and short-term borrowings	$ 96,424	98,322	40,830	3,460	47,595	6,437	-
Accounts payable (including those to related parties)	488,239	488,239	178,425	178,604	124,526	6,684	-
Deposits received	670	670	-	-	-	670	-
Lease liabilities	303,686	364,869	504	1,009	47,386	233,038	82,932
	$ 889,019	952,100	219,759	183,073	219,507	246,829	82,932
December 31, 2024
Non-derivative financial liabilities
Long-term and short-term borrowings	$ 549,036	569,529	22,477	35,767	463,132	48,153	-
Accounts payable (including those to related parties)	491,757	491,757	126,397	146,764	83,728	134,868	-
Deposits received	769	769	-	-	-	769	-
Financial guarantee liabilities	-	10,466	2,236	1,687	6,543	-	-
Lease liabilities	117,565	134,946	6,219	1,544	21,817	79,119	26,247
	$ 1,159,127	1,207,467	157,329	185,762	575,220	262,909	26,247

The consolidated company does not expect the cash flow analysis on the maturity date will be significantly early or the actual amount will be significantly different.

Exchange rate risk

(1) Exposure to exchange rate risk

The Group's financial assets and liabilities exposed to significant foreign currency exchange rate risk are as follows:

	2025.12.31			2024.12.31
	Foreign Currency	Exchange rate	NTD	Foreign Currency	Exchange rate	NTD
Financial assets
Monetary items
USD:NTD	$ 5,660	31.38	177,610	13,855	32.7350	453,544
USD:RMB	343	7.0288	10,762	4,698	7.1884	153,785
USD:HKD	7,491	7.8293	235,053	482	7.8089	15,783
USD:VND	610	26,706	19,128	265	25,877	8,661
Financial liabilities
Monetary items
USD:NTD	4,345	31.38	136,335	2,860	32.7350	93,614

~46~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

	2025.12.31			2024.12.31
	Foreign Currency	Exchange rate	NTD	Foreign Currency	Exchange rate	NTD
USD:RMB	217	7.0288	6,809	14,547	7.1844	476,184
USD:VND	964	26,706	30.244	1,650	25,877	54,037

(2) Sensitivity analysis

The Group's exchange rate risk mainly arises from cash and cash equivalents, accounts receivable and other receivables, borrowings, accounts payable and other payables denominated in USD, which give rise to foreign exchange gains and losses upon translation. For 2025 and 2024, if the functional currency had depreciated or appreciated by 5% against USD, with all other variables held constant, net loss after tax for 2025 and 2024 would have decreased or increased by NTD 13,458 thousand and NTD 318 thousand, respectively; the analyses for both periods were performed on the same basis.

(3) Exchange gains or losses on monetary items

Due to the wide variety of functional currencies used by the companies in the Group, exchange gain or loss information on monetary items is disclosed on an aggregated basis. Foreign exchange gains (including realized and unrealized amounts) for 2025 and 2024 were NTD 3,931 thousand and NTD 3,742 thousand, respectively.

Interest rate analysis

The interest rate exposure of the financial assets and financial liabilities of the companies in the Group is explained in the liquidity risk management section of these notes.

The following sensitivity analysis is determined based on the interest rate exposure of derivative and non-derivative instruments at the reporting date. For floating-rate liabilities, the analysis assumes that the amount of liabilities outstanding at the reporting date remained outstanding throughout the entire year.

If interest rates had increased or decreased by 1%, with all other variables held constant, the Group's net loss for 2025 and 2024 would have decreased or increased by NTD 2,952 thousand and NTD 74 thousand, respectively, mainly due to the Group's demand deposits and borrowings with variable interest rates.

Fair value information

(1) Types and fair values of financial instruments

The financial assets of the companies in the Group measured at amortized cost are not measured at fair value on a recurring basis. The carrying amounts and fair values of various financial assets and financial liabilities (including fair value hierarchy information; however, for financial instruments not measured at fair value whose carrying amounts are a reasonable approximation of fair value, and for lease liabilities, fair value information is not required to be disclosed in accordance with regulations) are set out below:

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

	2025.12.31
	Carrying amount	Fair value
		Level 1	Level 2	Level 3	Total
Financial assets measured at amortized cost
Cash and cash equivalents	$ 333,678	-	-	-	-
Net value of accounts receivable	286,793	-	-	-	-
Other receivables (including related parties)	126,360	-	-	-	-
Other financial assets -current	19,440	-	-	-	-
Other financial assets -non-current	2,412	-	-	-	-
Subtotal	768,683	-	-	-	-
Total	$ 768,683	-	-	-	-
Financial liabilities at amortized cost
Short-term and long-term borrowings (including those due within one year)	$ 96,424	-	-	-	-
Accounts payable	241,147	-	-	-	-
Other payables (including related parties)	240,408	-	-	-	-
Deposits received	670	-	-	-	-
Lease liabilities	303,686	-	-	-	-
Long-term payables (including related parties)	6,684	-	-	-	-
Total	$ 889,019	-	-	-	-
	2024.12.31
	Carrying amount	Fair value
		Level 1	Level 2	Level 3	Total
Financial assets measured at amortized cost
Cash and cash equivalents	$ 57,724	-	-	-	-
Net receivables	337,044	-	-	-	-
Other receivables	29,381	-	-	-	-
Other financial assets -current	11,751	-	-	-	-
Other financial assets -non-current	4,857	-	-	-	-
Subtotal	440,757	-	-	-	-
Total	$ 440,757	-	-	-	-
Financial liabilities at amortized cost
Short-term and long-term borrowings (including those due within one year)	$ 549,036	-	-	-	-
Accounts payable (including related parties)	283,319	-	-	-	-
Other payables (including related parties)	73,570	-	-	-	-
Deposits received	769	-	-	-	-
Lease liabilities	117,565	-	-	-	-
Long-term payables (including related parties)	134,868	-	-	-	-
Total	$ 1,159,127	-	-	-	-

~48~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

(2) Valuation techniques for financial instruments not measured at fair value

Management of the companies in the Group believes that the carrying amounts of instruments not measured at fair value approximate their fair values.

(XXIII) Financial risk management

Summary

The companies in the Group are exposed to the following risks from the use of financial instruments:

(1) Credit Risk
(2) Liquidity risk
(3) Market risk

This note presents information about the exposure of the companies in the Group to the aforementioned risks, and the objectives, policies and procedures of the companies in the Group for measuring and managing risk. For more disclosures about the quantitative effects of these risks' exposures, please refer to the respective notes in the consolidated financial statements.

Risk management structure

The Board of Directors has overall responsibility for the establishment and oversight of the risk management framework of the companies in the Group. The finance department of the companies in the Group provides services to each business unit, coordinates operations in domestic and international financial markets, monitors and manages financial risks related to consolidated operations through internal risk reports that analyze exposures according to the degree and extent of risk, and regularly reports its operations to the Board of Directors.

The risk management policies of the companies in the Group are established to identify and analyze the financial risks faced by the companies in the Group, assess the impact of financial risks, and implement relevant policies to avoid financial risks. Financial risk management policies are reviewed periodically to reflect changes in market conditions and the operations of the companies in the Group. Through training, management guidelines, and operating procedures, the companies in the Group have developed a disciplined and constructive control environment so that all employees understand their roles and obligations.

The Board of Directors of the companies in the Group oversees how management monitors compliance with the financial risk management policies and procedures of the companies in the Group, and reviews the appropriateness of the financial risk management framework of the companies in the Group in relation to the risks faced. Internal auditors assist the Board of Directors of the Group in its supervisory role. These personnel conduct regular and special reviews of financial risk management controls and procedures, and report the review results to the Board of Directors.

Credit risk

Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its contractual obligations. It arises primarily from the Group's accounts and notes receivable from customers, contract assets, bank deposits, and various financial instruments.

(1) Accounts receivable and other receivables

The Group's credit risk exposure is primarily affected by the specific circumstances of each customer. However, management also considers statistical data on the Group's customer base, including the default risk of the industries and countries in which the customers operate, as these factors may affect credit risk.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

The Group has established a credit policy. In accordance with this policy, it individually analyzes the credit rating of each new customer before granting standard payment and delivery terms and conditions. The Group's review includes external ratings, where available, and, in some cases, bank references. A purchase limit is established for each customer and represents the maximum outstanding amount not requiring approval from the risk management committee. This limit is subject to periodic review. Customers that do not meet the Group's benchmark credit rating may only conduct transactions with the Group on a prepayment basis.

When monitoring customers' credit risk, the Group groups customers according to their credit characteristics, including whether they are individuals or legal entities; whether they are distributors, retailers, or end customers; region, industry, aging, due dates, and pre-existing financial difficulties. The Group's accounts receivable and other receivables are primarily due from the Group's distributor customers.

The Group has established an allowance for doubtful accounts to reflect estimated incurred losses on accounts receivable, other receivables, and investments. The allowance account mainly consists of a specific loss component related to individually significant exposures and a collective loss component established for incurred but not yet identified losses for groups of similar assets. The collective loss allowance account is determined based on historical payment statistics of similar financial assets. However, as sales are not concentrated with a single customer, there is no significant concentration of credit risk in accounts receivable.

(2) Investment

The finance department of the Group measures and monitors the credit risk associated with bank deposits and other financial instruments. As the Group's counterparties and other performing parties are reputable banks, financial institutions and corporate entities with investment-grade ratings or above, there are no significant concerns regarding performance; therefore, there is no significant credit risk.

Liquidity risk

Liquidity risk is the risk that the Group will be unable to deliver cash or other financial assets to settle financial liabilities and fulfill related obligations. The Group manages liquidity to ensure, as far as possible, that the Group has sufficient liquidity to meet liabilities when due under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Group's reputation.

As of December 31, 2025 and 2024, the Group's unused borrowing facilities amounted to NTD 12,558 thousand and NTD 23,178 thousand, respectively.

Market risk

Market risk refers to the risk that changes in market prices, such as exchange rates, interest rates, and equity instrument prices, will affect the Group's earnings or the value of financial instruments held. The objective of market risk management is to control market risk exposure within an acceptable range and optimize investment returns.

The Group engages in derivative transactions to manage market risk and thereby incurs financial liabilities. All transactions are executed in accordance with the guidelines of the Board of Directors.

(1) Exchange rate risk

The Group is exposed to exchange rate risk arising from sales, purchases, and borrowing transactions denominated in currencies other than the respective functional currencies of the Group entities. The functional currencies of the Group entities are primarily NTD, and also include USD and RMB. The principal currencies in which such transactions are denominated are NTD, RMB, and USD.

~49~

~50~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

Borrowing interest is denominated in the currency of the loan principal. Generally, the borrowing currencies are mainly NTD, RMB, and USD and are the same as the currencies of the cash flows generated by the operations of the Group. In this case, an economic hedge is provided without the need to enter into derivative instruments, and therefore hedge accounting was not adopted.

For other monetary assets and liabilities denominated in foreign currencies, when short-term imbalances occur, the Group ensures that net exposure is maintained at an acceptable level by buying or selling foreign currencies at spot exchange rates.

(2) Interest rate risk

Because entities within the Group borrow at both fixed and floating interest rates, they are exposed to fair value interest rate risk and cash flow interest rate risk. The Group manages interest rate risk by maintaining an appropriate mix of fixed and floating interest rates.

(XXIV) Capital management

The Group's objective in managing capital is to safeguard the ability to continue as a going concern, so as to continue to provide returns to shareholders and benefits to other stakeholders, and to maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Group may adjust the dividends paid to shareholders, return capital to shareholders, issue new shares, or sell assets to reduce liabilities.

Consistent with industry practice, the Group monitors capital on the basis of the debt-to-capital ratio. This ratio is calculated by dividing net debt by total capital. Net debt is calculated as total liabilities as shown in the balance sheet less cash and cash equivalents. Total capital is calculated as total equity components (i.e. share capital, capital surplus, accumulated deficits, and other equity) plus net debt.

The Group's capital management policy in 2025 was consistent with that in 2024, ensuring that financing can be obtained at a reasonable cost. The debt-to-capital ratios of the Group as of December 31, 2025 and 2024 were as follows:

	2025.12.31	2024.12.31
Total liabilities	$ 1,041,641	1,176,597
Less: Cash and cash equivalents	(333,678)	(57,724)
Net debt	$ 707,963	1,118,873
Total equity	$ 291,455	288,779
Adjusted capital	$ 999,418	1,407,652
Debt-to-capital ratio	70.84%	79.49%

The decrease in the Group's debt-to-capital ratio as of December 31, 2025 was mainly due to a decrease in net debt resulting from the disposal of a subsidiary. The Group's key management reviews the capital structure of the Group on a quarterly basis. This review includes consideration of the cost of each class of capital and the associated risks. Based on the recommendations of key management, the Group balances its overall capital structure through methods such as issuing new shares and raising debt.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(XXV) Non-cash investing and financing activities

The Group’s non-cash investing and financing activities for 2025 and 2024 were as follows:

The reconciliation of liabilities arising from investing activities is as follows:

	2025	2024
Increase in property, plant and equipment	$ 38,360	107,039
Decrease in prepayments for equipment	-	(12,254)
Decrease (increase) in payables for equipment	807	(2,846)
Cash paid for purchasing property, plant, and equipment	$ 39,167	91,939

VII. Related party transactions

(I) Names of related parties and relationships

Related parties that had transactions with the Group during the period covered by these Consolidated Financial Statements are as follows:

Related Party Name	Related Party Category
Liyu Co.	Substantive related party of the Group (Note 1)
Golden Pine Investment (Samoa) Ltd. (Golden Pine Samoa)	Substantive related party of the Group (Note 2)
Hwadeng Investment (B.V.I.) Co., Ltd. (Hwadeng)	Substantive related party of the Group (Note 2)
Shenzhen Longdeng	Substantive related party of the Group (Note 2)
Lin, Shu-Chen	Substantive related parties of the consolidated company
Yu, Hui-Fa	Substantive related party of the Group (Note 3)
Amazing Hall Co., Ltd.	Its Chairman is the same as that of the Company
Royal Living Travel Service Co., Ltd.	Its Chairman is the same as that of the Company

Note 1: Effective April 22, 2025, such company no longer had significant influence over the Company due to a reduction in its shareholding in the Company.

Note 2: Such company is directly controlled by Hui-Fa Yu and, following the re-election approved by the Board of Directors, Hui-Fa Yu is no longer the Chairman.

Note 3: Following the re-election approved by the Board of Directors, the Group is no longer the Chairman effective June 27, 2025.

(II) Material transactions with related parties

1. Operating revenue

Significant sales by the Group to related parties are as follows:

	2025	2024
Substantive related party - Liyu	$ 333	-

There are no significant differences in the transaction prices between the Corporation and related parties compared to non-related parties.

~51~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

2. Purchase

Purchases by the Group from related parties are as follows:

	2025	2024
Substantive related party - Liyu	$ 596	-
Party with significant influence over the Group - Liyu	7,208	9,424
	$ 7,804	9,424

The transaction prices between the Group and the above companies were based on their original purchase prices plus a certain percentage markup, and the payment terms were longer than those offered by general vendors.

3. Receivables from related parties

Details of receivables from related parties of the consolidated company are as follows:

Line Item	Related party category	2025.12.31	2024.12.31
Other	Substantive related party - Liyu	$ 17,252	-
receivables

The Group's transactions with related parties are for the receipt and payment of mold charges.

4. Payables to related parties (excluding borrowings from related parties)

Details of payables to related parties of the Group are as follows:

Line Item	Related party category	2025.12.31	2024.12.31
Accounts payable	Party with significant influence over the consolidated company-Liyu	$ -	6,435
Other payables	Substantive related party-Liyu	82	-
Other payables	Other related parties-Amazing Hall Co., Ltd.	147	-
		$ 229	6,435

The consolidated company purchased the investment payable of Suzhou Ruideng from Golden Pine Samoa in September 2021. According to the bilateral agreement, payment of the transfer consideration began in December 2021 and was made in ten quarterly installments. As of December 31, 2024, the transfer consideration not yet paid was as follows:

	2024
Opening balance	$ 11,788
Net cash outflow for obtaining subsidiaries	(12,380)
Interest accrued at an effective interest rate of 4.75%	97
Effect of exchange rate changes	495
Ending balance	$ -

5. Borrowings from related parties

The consolidated company's borrowings from related parties are as follows:

Line Item	Related party category	2025.12.31	2024.12.31
Other payables-related parties	Substantive related party-Hwadeng	$ 62,421	3,274
n	The Company's Chairman-Yu Hui-Fa	-	865
		62,421	4,139
Long-term payables-related parties	Substantive related party-Hwadeng	6,684	134,868
		$ 69,105	139,007

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Property transaction

The consolidated company purchased machinery and equipment and mold equipment from a substantive related party in May 2025, with a total price of NTD 451 thousand. As of December 31, 2025, the unpaid balance was NTD 0.

Endorsement and Guarantee

As of December 31, 2024, the consolidated company had a standby letter of credit facility of NTD 322,640 thousand issued for bank borrowings by a substantive related party of the Company, who was the Chairman of the Company as of December 31, 2024.

Leases

In September 2025, the consolidated company entered into a one-year lease agreement with Amazing Hall Co., Ltd. for the headquarters office building, with a total contract price of NTD 1,310 thousand; the consolidated company entered into a one-year lease agreement with Liyu for an office building, with a total contract price of NTD 600 thousand.

Other operating expenses

Substantive related party

2025	2024
$ 112	-

(III) Key management transaction

2025	2024
$ 13,451	11,264
346	240
$ 13,797	11,504

(III. Assets pledged as collateral

The carrying amount of assets pledged by the consolidated company is as follows:

Asset name	Assets pledged as collateral	2025.12.31	2024.12.31
Accounts receivable	Long-term and short-term borrowings	$ 48,866	56,218
Other financial assets	〃	19,402	12,211
Property, plant and equipment	〃	51,105	288,408
Investment Property	〃	-	115,278
Right-of-use assets (land use rights)	〃	-	221,209
		$ 119,373	693,324

IX. Significant contingent liabilities and unrecognized contractual commitments: None.

X. Losses from major disasters: None.

XI. Material events after the reporting period: None.

~53~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

XII. Other

(I) Summary of employee benefits, depreciation, and amortization expenses by function:

Type	2025			2024
	Operating costs	Operating expenses	Total	Classified under operating costs	Classified under operating expenses	Total
Employee benefit expense
Salary expense	$ 187,000	48,841	235,841	195,002	49,513	244,515
Labor and health insurance expense	6,804	2,423	9,227	7,657	2,522	10,179
Pension expense	8,659	1,556	10,215	10,725	1,775	12,500
Other employee benefit expenses	13,127	6,434	19,561	15,903	7,400	23,303
Depreciation expense	64,320	13,169	77,489	87,364	14,630	101,994
Amortization cost	-	2,423	2,423	-	3,648	3,648

(II) Sound Financial Plan

The Group had liquidity risk as of December 31, 2024 because its consolidated current liabilities exceeded its consolidated current assets. In Q1 2025, for the purposes of revitalizing assets and enriching working capital, the Group approved, by resolutions of the Audit Committee and the Board of Directors, the proposal for disposal of 100% equity in a significant subsidiary, Suzhou Longdeng. This proposal was also Approved by the Company's extraordinary general meeting on April 21, 2025, and the subsequent operational process was then initiated. The equity transfer agreement was signed on May 15, 2025, followed by the signing of a supplementary agreement for additional collateral and an amendment and supplement agreement to the equity transfer agreement. The Group completed the handover of operating control on December 30, 2025.

As of December 31, 2025, after the disposal of a significant subsidiary and the private placement of common shares, the Group no longer had consolidated current liabilities exceeding consolidated current assets. In addition, the Group will endeavor to increase working capital. In addition to adjusting departmental organization to improve personnel efficiency and reducing various capital and expense expenditures, any remaining shortfall in working capital will be supported through the unused amount of bank borrowing facilities and a private placement cash capital increase.

The Group's management believes that the foregoing plans should effectively improve concerns over liquidity risk, and has assessed that the Group has no significant liquidity risk of being unable to raise funds to perform contractual obligations. Accordingly, these Consolidated Financial Statements have been prepared on a going concern basis.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

XIII. Notes Disclosure

(I) Information on significant transactions

Information on significant transactions required to be disclosed by the Regulations Governing the Preparation of Financial Reports by Securities Issuers for the Group for the year ended December 31, 2025 is as follows:

Loans to others:

No.	Lender	Borrower	Financial Statement Account	Whether it is a related party	Maximum balance for the period	Ending balance	Amount actually drawn	Interest Rate	Nature of the loan (Note 4)	Business Transaction Amounts	Reason for the necessity of short-term financing	Allowance for Impairment Loss	Collateral		Maximum amount and limit of loans to a single party (Note 5)	Total limit for loans to others (Note 5)
													Name	Value
0	Parent Company	Suzhou Longdeng	Other receivables	No	124,013	-	-(USD-)	-	2	-	Funds for operation	-	-	-	116,582	116,582
0	Parent Company	Logah Vietnam	Other receivables-related parties	Yes	19,893 (USD600)	9,414 (USD300)	9,414 (USD300)	2.55	2	-	Funds for operation	-	-	-	116,582	116,582
0	Le Yang Investment	Suzhou Longdeng	Other receivables	No	213,850 (USD6,450)	-(USD-)	-(USD-)	-	2	-	Funds for operation	-	-	-	78,897	78,897
0	Le Yang Investment	Logah Vietnam	Other receivables-related parties	Yes	15,690 (USD500)	15,690 (USD500)	-(USD-)	-	2	-	Funds for operation	-	-	-	78,897	78,897
2	Suzhou Logah	Suzhou Longdeng	Other receivables	No	58,518 (CNY12,850)	-(CNY-)	-(CNY-)	-	2	-	Funds for operation	-	-	-	-	-
5	Suzhou Raideng	Suzhou Longdeng	Other receivables	No	23,094 (CNY5,000)	-(CNY-)	-(CNY-)	-	2	-	Funds for operation	-	-	-	-	-
4	Link Bright Technology	Suzhou Logah	Other receivables-related parties	Yes	219,660 (USD7,000)	219,660 (USD7,000)	-(USD-)	-	2	-	Funds for operation	-	-	-	235,438	235,438
4	Link Bright Technology	Suzhou Raideng	Other receivables-related parties	Yes	12,552 (USD400)	12,552 (USD400)	-(USD-)	-	2	-	Funds for operation	-	-	-	235,438	235,438
5	Anhui Raideng	Suzhou Longdeng	Other receivables	No	30,097 (CNY7,000)	10,715 (CNY2,400)	10,715 (CNY2,400)	-	2	-	Funds for operation	-	-	-	31,109	31,109
5	Anhui Raideng	Suzhou Raideng	Other receivables-related parties	Yes	22,323 (CNY5,000)	22,323 (CNY5,000)	-(CNY-)	-	2	-	Funds for operation	-	-	-	31,109	31,109

Note 1: The cumulative balance of funds lent by the lending company shall not exceed 40% of the lending company's net worth.

Note 2: Where there is a need for short-term financing between companies or firms, the total amount of funds lent to others shall not exceed 40% of the borrowing company's net worth. The limit on loans to subsidiaries in which the Company directly or indirectly holds more than 50% of the shares shall not exceed 40% of the lending company's net worth. The limit on loans between subsidiaries in which the Company directly or indirectly holds 100% of the shares shall not exceed 100% of the lending company's net worth.

Note 3: Eliminated in the preparation of the Consolidated Financial Statements.

Note 4: The method for completing the nature of funds lent is as follows: 1 for those with business dealings; 2 for those with a need for short-term financing.

Note 5: The period-end balance of funds lent by Anhui Ruideng to non-related party Suzhou Longdeng was fully collected on January 9, 2026, and its revolving credit facility was cancelled upon approval by resolution of the Board of Directors on March 11, 2026.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

Endorsements/guarantees for others:

No.	Endorsement /guarantee provider	Guaranteed party		Limit for endorsements /guarantees provided to a single enterprise (Note 1)	Maximum balance of endorsements /guarantees for the current period	Balance of endorsement /guarantee at the end of the period	Amount actually drawn	Endorsements and guarantees secured by property	Ratio of accumulated amount of endorsement /guarantee to the net worth on the latest financial statements	Maximum limits of endorsement /guarantee	Guarantee provided by parent company	Guarantee provided by subsidiary	Guarantee provided to subsidiaries in Mainland China
		Company name	Relationship
0	Parent Company	Suzhou Raideng	1	233,164	387,979	133,935	80,338	-	45.95%	233,164	Y	N	Y

Note 1: The total amount of endorsements/guarantees provided by the Company to companies in which the Company directly and indirectly holds 100% of the voting rights shall not exceed 80% of the Company's net worth. The limit on endorsements/guarantees between subsidiaries in which the Company directly or indirectly holds 100% of the shares shall not exceed 80% of the net worth of the endorsing/guaranteeing company.

Significant marketable securities held at the end of the period (excluding investments in subsidiaries, affiliates, and joint ventures): None.
Where the amount of purchases or sales with related parties reaches NTD 100,000 thousand or 20% or more of the paid-in capital:

Company engaging in purchases (sales)	Name of counterparty	Relationship	Transaction Details				Differences in transaction terms compared with third party transactions		Notes and accounts receivable (payable)
			Purchases (sales)	Amount	Percentage of total purchases (sales)	Payment Terms	Unit Price	Payment Terms	Balance	Percentage of total notes and accounts receivable (payable)
Parent Company	Suzhou Longdeng	Consolidated subsidiaries	Purchase	230,652	92 %	Monthly settlement 180 days	No comparable transaction.	No comparable transaction.	(22,603)	(91)%
Suzhou Longdeng	Parent Company	Consolidated subsidiaries	Sale of goods	(230,652)	41 %	Monthly settlement 180 days	#	#	22,603	14%
Suzhou Raideng	Anhui Raideng	Consolidated subsidiaries	Purchase	146,890	42 %	Monthly settlement 180 days	#	#	(5,349)	(4)%
Anhui Raideng	Suzhou Raideng	Consolidated subsidiaries	Sale of goods	(146,890)	69 %	Monthly settlement 180 days	#	#	5,349	9%

Note 1: The above transactions have been eliminated in the preparation of the Consolidated Financial Statements.

Note 2: In the disposal of the 100% equity interest in subsidiary Suzhou Longdeng, after both parties completed the handover of operating control on December 30, 2025, the Group lost control over Suzhou Longdeng.

Receivables from related parties amounting to NTD 100,000 thousand or 20% or more of the paid-in capital: None.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

Business relationships and significant transactions between the parent company and its subsidiaries:

No.	Name	Counterparty	Flow of Transactions	Transaction status
				Item	Amount	Transaction condition	Percentage of consolidated total operating revenue or total assets
0	Parent Company	Suzhou Longdeng	1	Purchase	230,652	Triangular trade, priced as cost plus mark-up	21%
0	Parent Company	Logah Vietnam	1	Purchase	20,026	Triangular trade, priced as cost plus mark-up	2%
1	Suzhou Longdeng	Suzhou Ruideng	3	Purchase	27,597	Cost-plus pricing	3%
1	Suzhou Longdeng	Suzhou Ruideng	3	Accounts payable	16,025	Payment as monthly settlement 180 days	1%
1	Suzhou Longdeng	Anhui Ruideng	3	Purchase	69,416	Cost-plus pricing	6%
2	Suzhou Ruideng	Suzhou Longdeng	3	Purchase	22,302	Cost-plus pricing	2%
2	Suzhou Ruideng	Anhui Ruideng	3	Purchase	146,890	Cost-plus pricing	13%
2	Suzhou Ruideng	Anhui Ruideng	3	Accounts payable	5,349	Payment as monthly settlement 180 days	-%
3	Anhui Ruideng	Suzhou Ruideng	3	Purchase	14,011	Cost-plus pricing	1%

Note 1: The numbering method is as follows:
(1) "0" represents the parent company.
(2) Subsidiaries are numbered sequentially by company, starting from Arabic numeral 1.

Note 2: The types of relationships with the transacting party are indicated as follows:
(1) Parent company to subsidiary.
(2) Subsidiary to parent company.
(3) Subsidiary to subsidiary.

Note 3: For the calculation of the ratio of transaction amounts to consolidated total operating revenue or total assets, if the item is a balance sheet account, it is calculated based on the ending balance as a percentage of consolidated total assets; if the item is an income statement account, it is calculated based on the accumulated amount at period-end as a percentage of consolidated total operating revenue.

Note 4: The above transactions have been eliminated in the preparation of the Consolidated Financial Statements.

Note 5: In the disposal of the 100% equity interest in subsidiary Suzhou Longdeng, after both parties completed the handover of operating control on December 30, 2025, the Group lost control over Suzhou Longdeng.

~57~

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(II) Information on reinvestees:

The consolidated company's reinvestment information for 2025 is as follows (excluding investees in Mainland China):

Unit: NTD thousand/thousand shares

Investor	Investor Company	Location	Main business	Initial investment amount		Held at the end of the period			Highest shareholding or capital contribution during the period	Profit or loss of the investee for the current period	Investment profit or loss recognized for the current period
				End of the current period	End of last year	Number of shares	percentage	Carrying amount
Parent Company	Seychelles Logah	Seychelles	Investment in holding companies	246,186	246,186	7,920	100.00%	(29,469)	100.00%	(66,689)	(60,665)
Parent Company	Le Yang Investment	Taiwan	Investment in holding companies	545,000	545,000	54,500	100.00%	184,451	100.00%	8,087	15,776
Parent Company	Logah Vietnam	Vietnam	Manufacturing, processing, and trading of plastic injection products	70,310	30,670	-		49,649	100.00%	(3,623)	(3,623)
Parent Company	Link Bright Technology	Hong Kong	Trading	48,247	17,172	7,810	14.30%	33,668	100.00%	(2,115)	(2,327)
Parent Company	Shengli Smart	Taiwan	Software and hardware deployment and trading business for smart building property management	1,000	-	100	100.00%	974	100.00%	(26)	(26)
Le Yang Investment	Link Bright Technology	Hong Kong	Trading	186,966	-	46,800	85.70%	201,770	85.70%	(2,115)	212
Le Yang Investment	Legend Investment	Samoa	Investment in holding companies	338,230 USD 11,000	338,230	11,000	56.07%	(22,145) USD (706)	56.07%	16,104 USD 516	9,030 USD 289
Seychelles Logah	Hongkong Logah	Hong Kong	Investment in holding companies	428,922 USD 14,100	428,922	14,100	100.00%	(25,026) USD (798)	100.00%	(66,521) USD (2,133)	(66,521) USD (2,133)
Suzhou Logah	Legend Investment	Samoa	Investment in holding companies	264,998	264,998	8,619	43.93%	(17,351) USD (553)	43.93%	16,104 USD 516	7,074 USD 227

Note: The above transactions had already been eliminated in the preparation of the Consolidated Financial Statements.

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(III) Information on Investment in Mainland China:
1. Information on businesses reinvested in Mainland China:
Unit: NTD thousands

Name of Investor in Mainland China	Main business	Paid-in capital	Method of investment (Note 2)	Accumulated investment amount of remittance from Taiwan at the beginning of the period	Amount of investment remitted or repatriated for the current period		Accumulated investment amount of remittance from Taiwan at the end of the period	Net profit (loss) of the investee for the current period	Shareholding of the Company's direct or indirect investments	Highest shareholding or capital contribution during the period	Current Recognized Investments in Profit or Loss	Carrying amount of investments at the end of the period	Accumulated investment gains remitted back to Taiwan as of the end of the period
					Outward remittance	Repatriation
Suzhou	Processing	611,442	(I)	319,160	-	-	319,160	(66,521)	100.00%	100.00%	(66,521)	(25,027)	-
Logah	plastic injection products	SD 20,100		USD 10,100			USD 10,100	USD (2,133)			USD (2,133)	USD (798)
Suzhou	Manufacturing, processing, and trading of plastic injection products and dies	623,153	(I)	347,189	-	-	347,189	(101,453)	-%	100.00%	(101,453)	-	-
Longdeng	Manufacturing and trading of displays and dies	SD 19,000		USD 10,987			USD 10,987	USD (3,254)			USD (3,254)	USD -
Suzhou	Manufacturing and trading of displays and dies	201,913	(II)	-	-	-	-	(51,045)	100.00%	100.00%	(51,045)	(30,901)	-
Ruideng	Manufacturing and trading of displays and dies	USD 6,330						CNY (11,696)			CNY(11,696)	CNY (6,921)
Anhui	Manufacturing and trading of displays and dies	53,654	(II)	-	-	-	-	(17,475)	100.00%	100.00%	(17,475)	31,109	-
Ruideng	NY 12,000							CNY (4,004)			CNY (4,004)	CNY 6,968

Note: Suzhou Longdeng lost control on December 30, 2025.

Limit on reinvestment in Mainland China:

Accumulated investment amount of remittance from Taiwan to China at the end of the period	Approved investment amount by the Investment Commission, Ministry of Economic Affairs (Note 2)	Investment limit in Mainland China under the regulations of the Investment Commission, Ministry of Economic Affairs (Note 3)
666,349
(USD21,087)	1,226,958
(USD39,100)	174,873

Note 1: Calculated at the USD to NTD exchange rate of 31.38 on 2025.12.31.
Note 2: The investment methods are classified into the following two types; indicate the type only:
(I) Reinvestment in companies in Mainland China through a company established by investment in a 3rd region.
(II) Reinvestment in companies in Mainland China through a company established by investment in the Mainland China region.

Significant transactions:
For significant transactions, directly or indirectly, between the consolidated Company and investee companies in Mainland China in 2025 (already eliminated in the preparation of the consolidated report), please refer to the description in "Information on Significant Transactions."

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Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

XIV. Segment Information

The reportable segments of the consolidated Company and their operations are as follows:

(I) The Company: Trading of electronic materials, manufacture and sale of electronic products, and international trade, etc.

(II) Suzhou Longdeng, Suzhou Ruideng, Suzhou Liming and Anhui Ruideng: Manufacture and trading of plastic injection products, displays, and molds. Suzhou Longdeng lost control on December 30, 2025.

(III) Other

(IV) Information on reportable segment profit or loss, assets, liabilities, and the basis of measurement and reconciliation

The consolidated Company uses segment pre-tax profit or loss in the internal management reports reviewed by the chief operating decision maker, excluding non-recurring profit or loss and exchange profit or loss, as the basis for management's resource allocation and performance evaluation. Since income tax, non-recurring profit or loss, and exchange profit or loss are managed on a Group basis, the consolidated Company does not allocate income tax expense (benefit), non-recurring profit or loss, or exchange profit or loss to reportable segments. In addition, not all reportable segments' profit or loss includes significant non-cash items other than depreciation and amortization. The reported amounts are consistent with the reports used by the operating decision maker.

The Group's operating segment information and reconciliations are as follows:

2025	Parent Company	Suzhou Longdeng, Suzhou Ruideng, Suzhou Logah and Anhui Ruideng	Others	Adjustment and write-off	Total
Income from external customers	$ 12,279	1,041,423	43,608	-	1,097,310
Inter-segment income	-	298,626	-	(298,626)	-
Total revenue	$ 12,279	1,340,049	43,608	(298,626)	1,097,310
Reportable segment profit or loss before tax	$ (22,372)	(171,449)	111,662	9,649	(72,510)
Reportable segment assets	$ 216,899	701,378	444,579	(29,760)	1,333,096
Reportable segment liabilities	$ 164,716	709,054	179,611	(11,740)	1,041,641
2024
Income from external customers	$ 10,346	856,363	10,729	-	877,438
Inter-segment income	-	101,068	-	(101,068)	-
Total revenue	$ 10,346	957,431	10,729	(101,068)	877,438
Reportable segment profit or loss before tax	$ (14,980)	(160,166)	(13,934)	(12,186)	(201,266)
Reportable segment assets	$ 249,036	1,374,174	316,475	(474,309)	1,465,376
Reportable segment liabilities	$ 136,233	1,425,358	56,795	(441,789)	1,176,597

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Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries
(Continued)

(V) Product and service information

Information on the Group's revenue from external customers is as follows:

	2025	2024
Sales revenue
Plastic mechanical parts	$ 1,018,964	837,565
Mold	73,015	32,331
Others	1,276	3,685
	$ 1,093,255	873,581
Rental income	$ 4,055	3,857

(VI) Geographical information

The Group's geographical information is as follows, where revenue is classified based on the geographical location of customers, and non-current assets are classified based on the geographical location of assets.

	2025	2024
Revenue from external customers:
Asia	$ 1,097,310	877,438
	2025.12.31	2024.12.31
Non-current assets:
Asia	$ 494,826	873,250

Non-current assets include property, plant and equipment, investment property, right-of-use assets, and intangible assets, but exclude deferred tax assets and other financial assets - non-current.

(VII) Major customer information

The sales amounts of the Group to a single customer that accounted for 10 percent or more of total operating revenue in 2025 and 2024 are listed as follows:

	2025	2024
Company D	$ 219,893	236,085
Company A	262,284	228,980
Company B	136,799	88,120
Company E	122,469	53,788
	$ 741,445	606,973

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AI assistant

Logah — Audit Report / Information 2025

52351_rns_2026-05-29_5a398ad2-e336-415a-bb50-eefbce0892f2.pdf

Logah Technology Corporation and the subsidiaries

Consolidated Financial Statements and Independent Auditor’s Report

Representation Letter

Audit opinions

Basis for the Audit Opinion

Key Audit Matters

I. Revenue recognition

Other Matters

Responsibility of management and those charged with governance for consolidated financial statements

CPAs’ responsibilities for the audit of the consolidated financial statements

Logah Technology Corporation and the subsidiaries

Consolidated Statement of Changes in Equity

January 1 to December 31, 2025 and 2024

Logah Technology Corporation and the subsidiaries

Consolidated Statement of Cash Flow

January 1 to December 31, 2025 and 2024

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

IV. Summary of Significant Accounting Policies

(I) Compliance Statement

(II) Basis of Preparation

(III) Basis of Consolidation

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

(Continued)

2. Subsidiaries included in the consolidated financial statements

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

2. Lessor

(XIII) Intangible assets

1. Recognition and measurement

2. Subsequent expenses

3. Amortization

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

V. Significant accounting judgments, estimates, and main sources of uncertain assumptions

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(II) Recognition of deferred tax assets

VI. Description of Significant Accounting Items

(I) Cash and cash equivalents

(II) Notes receivable and accounts receivable

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(VI) Property, plant and equipment

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

1. Amortization expense

(X) Short-term borrowings

(XI) Other payables (including related parties)

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

(XII) Long-term borrowings

(XIII) Lease liabilities

2. Capital reserves

3. Retained earnings

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

4. Financial costs

(XXII) Financial instruments

1. Credit risk

(1) Exposure to credit risk

(2) Concentration of credit risk

(3) Credit risk of receivables and debt securities

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries

VII. Related party transactions

(I) Names of related parties and relationships

(II) Material transactions with related parties

1. Operating revenue

2. Purchase

3. Receivables from related parties

4. Payables to related parties (excluding borrowings from related parties)

5. Borrowings from related parties

XII. Other

(II) Sound Financial Plan

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

Notes to the Consolidated Financial Statements of Logah Technology Corporation and Subsidiaries (Continued)

XIV. Segment Information

More from Logah

Logah Audit Report / Information 2025