LTC — Earnings Release 2021

Sep 6, 2021

2Q21 Earnings Conference LITEON Technology

July 29[th] , 2021

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SAFE HARBOR NOTICE

• LITEON Technology’s statement of its current expectations are forwardlooking statements which are subject to significant risks and uncertainties. Actual results may differ materially from those contained in any forward-looking statements.

• The numbers of the presentation are prepared under IFRS and have been audited by an independent certified public accountant.

P. 2

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2Q21 RESULTS

In NT Millions	2Q21	QoQ YoY 1Q21 2Q20
	Amount %	Amount % % Amount % %
Net Sales	40,677 100.0	37,718 100.0 8 41,796 100.0 -3
COGS	32,684 80.3	31,000 82.2 5 33,682 80.6 -3
Gross Profit	7,994 19.7	6,718 17.8 19 8,114 19.4 -1
Operating Expenses	4,193 10.3	4,611 12.2 -9 4,467 10.7 -6
Operating Profit	3,801 9.4	2,107 5.6 80 3,646 8.7 4
Other Income/ Expense	1,314 3.2	3,381 9.0 -61 834 2.0 57
Profit Before Tax	5,115 12.6	5,487 14.5 -7 4,481 10.7 14
Income Tax Expense	1,067 2.6	1,212 3.2 -12 1,030 2.5 4
Non-Controlling Interests	14 0.0	12 0.0 19 6 0.0 145
Profit Attributable to Parent	4,034 9.9	4,263 11.3 -5 3,445 8.2 17
After Tax EPS 1.74 1.83 1.48 Shares:(mm shares) 2,324 2,324 2,324	1.74

P. 3

GPM, OPM and EPS Hit 2Q Record Highs

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NT$2.5 19.4% 19.7% 20.0%
18.0%
15.7%
2.0 16.0%
1.74
13.1% 14.0%
12.5% 12.7%
11.9%
1.48
1.5 12.0%
10.0%
1.03 9.4%
8.7%
1.0 8.0%
0.84
0.76 0.76
5.3% 6.0%
0.62
4.4%
0.5 4.0%
4.2%
3.1%
2.8% 2.0%
0.0 0.0%
2Q15 2Q16 2Q17 2Q18 2Q19 2Q20 2Q21
EPS GP% OP%
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P. 4

Revenue Contribution b Se ment y g

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2Q21 1Q21
Opto-
Opto-
electronics
electronics
21%
22%
Information
Information
Technology &
Technology &
Consumer
Consumer
Electronics
Cloud & AIoT Electronics
52% Cloud & AIoT
27% 53%
25%
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Opto-electronics	Optoelectronics Product Solutions, Outdoor Lighting Solution and Automotive Electronics
Cloud & AIoT	Datacenter, Server, Networking, AIoT, Smart Devices and Video Intelligence Solutions
Information Technology & Consumer Electronics	NB, Tablets, DT, Gaming, Consumer Electronics and Multifunction Peripherals applications

P. 5

Sequential Growth in Sales and Profit from Each Business Segment in 2Q21

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Gross Profit Operating NT$Mln Sales QoQ Sales % QoQ Margin Range Profit Opto-electronics 8,404 3% 21% 22%~32% 1,103 7% Cloud & AIoT 11,058 17% 27% 15%~25% 775 110% Information Technology & 21,215 5% 52% 12%~18% 2,344 106% Consumer Electronics

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P. 6

1H21 RESULTS

In NT Millions	1H21	YoY 1H20
	Amount %	Amount % %
Net Sales	78,395 100.0	74,372 100.0 5
COGS	63,684 81.2	61,541 82.7 3
Gross Profit	14,711 18.8	12,831 17.3 15
Operating Expenses	8,804 11.2	8,432 11.3 4
Operating Profit	5,908 7.6	4,399 6.0 34
Other Income/ Expense	4,695 6.0	1,795 2.4 162
Profit Before Tax	10,602 13.5	6,193 8.3 71
Income Tax Expense	2,279 2.9	1,424 1.9 60
Non-Controlling Interests	26 0.0	-248 -0.3 -
Profit Attributable to Pare	8,298 10.6	5,017 6.7 65
After Tax EPS 3.57 2.16 Shares:(mm shares) 2,324 2,324	3.57

P. 7

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Robust Balance Sheet

In NT millions		2Q21		1Q21		2Q20
		Amount	%	Amount	%	Amount	%
Cash & Equivalent		65,612	37%	71,300	41%	66,381	37%
Accounts Receivable		36,448	21%	33,362	19%	34,448	19%
Inventories		28,646	16%	26,652	15%	23,360	13%
Current Assets		138,492	79%	137,686	79%	139,831	78%
Intangible Assets Short Term Debt Accounts Payable	*	4,574 16,643 42,477	3% 10% 24%	4,594 18,412 43,916	3% 11% 25%	5,913 30,242 36,859	3% 17% 21%
Current Liabilities		98,641	56%	101,933	58%	105,855	59%
Equities		74,291	42%	71,147	41%	70,601	39%
Book Value Per Share(NT$)		32		31		30
Key Indices
Current Ratio (x)		1.40		1.35		1.32
Quick Ratio (x)		1.11		1.10		1.10
Net Cash (NT Millions)		48,969		52,888		36,139

• Intangible Assets of NT$4.6 billion on June 30st, 2021, decreased by NT$1.3 billion YoY. The Group evaluates assets with conservatism principle in accordance with the IFRS.

P. 8

BOARD APPROVAL

⚫ Shares Repurchase : to motivate employees, the Board has approved to repurchase up to 40,000,000 shares, 1.7% of the Company’s issued shares from Taiwan Exchange Market, from July 30[th] to September 29[th] , for transfer shares to employees. The repurchase price range is NTD$41.23 to NTD$89.55 per share, and the total repurchase amount is up to NT$3.58 billion.

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⚫ Stable Cash Dividend Policy : distribution of a NT$2 cash dividend per share in the First Half of 2021.

⚫ . 2021 Annual General Meeting will be held on August 26[th]

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• 2020 CDP awarded «A Leaderboard» in Supplier Engagement

• Environmental targets approved by SBTi

• Greenhouse Gas Emissions ▼21%

• Waste generation ▼11%

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EFFORTS IN ESG
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• Renewable energy usage ratio 17%

• Product green design

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Environ
-ment []
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• Year 2020 Result comparing with the base year

Govern

• In compliance with Responsible Business Alliance (RBA) code of conduct in employee, health, safety and business ethics

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-ance
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Social
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• Established Corporate Sustainability and Nomination Committees reporting to BOD

• Thorough information security and privacy management in place

Please visit our website for further info: ： https://www.liteon.com/enus/globalcitizenship/365

• Ranked Top 5% in TWSE 2020 Corporate Governance evaluation

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P. 10

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https://www.liteon.com/en-us liteontech.ir@liteon.com