NTC — Interim / Quarterly Report 2021

May 19, 2021

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Nanya Technology Q1 2021 Investor Conference

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Safe Harbor

The information herein and the presentation made during the conference contain forward-looking statements and are provided for information Neither nor other purposes only. Nanya Technology Corp. any person assumes responsibility for the accuracy and completeness of the forwardstatements or undertakes to the statements. You are looking duty update urged to review the information provided herein carefully, and please don’t distribute, reproduce or disclose the information in whole or in part without prior written permission of NANYA Technology Corp.

︱© 2020 Nanya Technology Corporation. All Rights Reserved.

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Q1’21 Financial Results Summary

Amount in Million NT$, except for EPS & BVPS	Q1’21 Q4’20 QoQ Q1’20 YoY	Q1’21 Q4’20 QoQ Q1’20 YoY
Net Sales	17,731 100%	14,773 100% 20.0% 14,419100% 23.0%
Gross Profit (Loss)Gross Margin(%)	5,162 29.1%	3,251 22.0% 58.8% 3,436 23.8% 50.2%
Operating Income (Loss) Operating Margin(%)	3,027 17.1%	1,304 8.8% 132.2% 1,832 12.7% 65.2%
EBITDA*EBITDA Margin (%)	6,769 38.2%	4,937 33.4% 37.1% 5,437 37.7% 24.5%
Non-operating Income (Expense)	307 1.7%	-167 -1.1% 492 3.4%
Income Tax Benefit (Expense)	-630 -3.6%	-213 -1.4% -395 -2.7%
Net Income (Loss)Net Margin (%)	2,704 15.3%	924 6.3% 192.6% 1,928 13.4% 40.2%
Earnings Per Share (NT$)	0.88**	0.30 0.63
Book Value Per Share (NT$)	51.0***	50.0 50.4

Remark: * EBITDA = Operating income + Depreciation & Amortization Expenses

*** BVPS is calculated based on 3,085M outstanding shares

** EPS is based on weighted average outstanding shares of 3,081M

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Q1’21 vs. Q4’20 Results Comparison

	Q1’21 Q4’20 QoQ (PPT* Delta) Remarks	Q1’21 Q4’20 QoQ (PPT* Delta) Remarks
Amount in Million NT$
Net Sales	17,731	14,773 +20.0%  Bit shipment increased mid-single digits%  ASP increased mid-teens%  FX negative impact 1.5%
Gross Profit (Loss) Gross Margin(%)	5,162 29.1%	3,251 22.0% +7.1%  Q1’21 Gross profit increased NT$ 1,911M, mainly due to ASP increase
Operating Expense	2,135 12.0%	1,948 13.2% -1.2%  R&D expense increased NT$ 203M
Operating Income (Loss) Operating Margin(%)	3,027 17.1%	1,304 8.8% +8.3%  Q1’21 OP income increased NT$ 1,723M
Net Income (Loss) Net Margin (%)	2,704 15.3%	924 6.3% +9.0%  Net Income increased NT$ 1,780M • OP Income increase of NT$ 1,723M • FX gain: NT$ 440M favorable (Q1’21: NT$ +38M; Q4’20: NT$ -402M) • Income tax: NT$ 417M unfavorable

︱© 2020 Nanya Technology Corporation. All Rights Reserved.

*PPT: Percentage Points

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Quarterly Financial Highlights

Revenue (Million NT$) Net Income (Million NT$) Gross Margin(%) Operating Margin(%)

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59%
55%
53%
50% [52%] 51%
47%
44% [44%] 44%
42% 41%
40%
39%
20,000 40%
35%
17,731
33% 32% [33%] 32%
31% 31%
30.6%
28% 28% 14,419 16,489 15,324 14,773 29.1%
27%
25% 13,116
25.9%
23%
21% 23.8%
25.7% 19.6% 22.0%
18%
17%
17.1%
15%
13.5%
11.0%
12.7% 8.8%
3,220
2,704
1,928
1,613924
- 0%
Revenue, Net Income (Million NT$)
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Q1'16Q2'16Q3'16Q4'16Q1'17Q2'17Q3'17Q4'17Q1'18Q2'18Q3'18Q4'18Q1'19Q2'19Q3'19Q4'19Q1'20Q2'20Q3'20Q4'20Q1'21 ︱© 2020 Nanya Technology Corporation. All Rights Reserved.

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Cash Flows

	Q1’21	Q4’20	Q1’20
Unit: Million NT$
Beginning Balance	51,726	47,126	44,149
Cash from Operating Activities	8,388 -1,485 484*	7,986	4,080
Capital expenditures		-3,549	-838
Financial Activities & others		164	141
Ending Balance	59,113	51,726	47,532
Free Cash Flow(1)	6,903	4,436	3,242

• (1) Free Cash Flow = Cash from operating activities – Capital expenditures

• mainly from treasury stock sold to employees

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CAPEX & Bit Shipment

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NT$ Billion
20.4
15.6
8.5
5.5
Q1 1.5
2018 2019 2020 2021 E
CAPEX
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Mid thirties%
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Mid-thirties %

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Low-teens%
Flat to up
2018 2019 2020 2021 E
Bit Shipment (YoY)
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 Capital Q1’21 CAPEX NT$ 1.5 billion (B)  Expenditure (CAPEX) 2021 CAPEX plan is up to NT$ 15.6B

• Q1’21 bit shipment increased by mid single digits% QoQ

• Bit Shipment Q2’21 bit shipment estimated to be relatively flat  2021 YoY bit shipment expected to be flat to marginally increase

︱© 2020 Nanya Technology Corporation. All Rights Reserved.

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Market Outlook(Q2’21)

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Outlook
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• Global economics recovery forecasted, favoring DRAM demand growth

• Q2’21 robust consumer electronics demand, NB remains strong, server recovery, smartphone demand improved

• COVID-19 Pandemic control and vaccinations, US-China trade tension, supply chain unbalanced issues may impact long term market outlook

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Supply
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• DRAM suppliers’ inventory level low, 1H21 industry bit supply growth limited.

• Supplier’s capacity deployment in 2H’21 determine 2022 market balance

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Demand
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• Mobile Market: Smart phone shipment resume growth 2021, low power DRAM demand improve YoY

• Server Market: Stay-at-Home economy and new server platform launch driving up datacenter capex, DRAM content/system continue to grow

• PC market: E-leanings and new platform launch stimulate NB, Chromebooks, SSD, HDD and video conference modules demand throughout the year

• Consumer Market: Promising outlook for DTV, STB, 5G networking, new-gen game consoles, wearable devices and automotive electronics

︱© 2020 Nanya Technology Corporation. All Rights Reserved.

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Nanya Business Review & Outlook

 Improved Q1’21 results driven by strong demand from various applications

• Q2’21 DRAM market outlook optimistic with strong demand

 Cash dividend of NT$ 4.0B (Approx. NT $ 1.3 /share ) proposed to the AGM  DDR4 3200Mbps and LPDDR4X 4267Mbps validated by major chipset vendors  Sampling 1st 10nm-class 8Gb DDR4 2H’21, DDR5 development ongoing

• Piloting 2nd 10nm-class product Q3’21

• Received Green Factory Label certificate by M.O.E.A*

• *M.O.E.A: Ministry of Economic Affairs, R.O.C

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Thanks & Questions

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Q1’21 Consolidated Income Statement

Q1’21 Consolidated Income Statement	Q1’21 Consolidated Income Statement	Q1’21 Consolidated Income Statement
Q1’21 Q4’20 QoQ Q1’20 YoY Amount: Million NT$
Net Sales	17,731 100.0%	14,773 100.0% 20.0% 14,419 100.0% 23.0%
Cost of Goods Sold	12,569 70.9%	11,522 78.0% 10,983 76.2%
Gross Margin	5,162 29.1%	3,251 22.0% 58.8% 3,436 23.8% 50.2%
SG&A Expenses	492 2.8%	509 3.4% 533 3.7%
R&D Expenses	1,643 9.3%	1,439 9.7% 1,071 7.4%
Operating Income	3,027 17.1%	1,304 8.8% 132.2% 1,832 12.7% 65.2%
Non-operating Income (Exp.)	307 1.7%	-167 -1.1% 492 3.4%
Income before Tax	3,334 18.8%	1,137 7.7% 193.3% 2,324 16.1% 43.5%
Income Tax Benefit (Expense)	-630 -3.6%	-213 -1.4% -395 -2.7%
Net Income	2,704 15.3%	924 6.3% 1,928 13.4%
EPS(NT$)	0.88	0.30 0.63
Book Value Per Share(NT$)	51.00	50.02 50.40

︱© 2020 Nanya Technology Corporation. All Rights Reserved.