Raydium - Interim / Quarterly Report 2025

Stock Code:3592

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Financial Statements

With Independent Auditors’ Review Report For the Nine Months Ended September 30, 2025 and 2024

Address: 2F, No. 23, Li-Hsin Rd., Hsinchu Science Park, Hsinchu City, Taiwan Telephone: (03)666-1818

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ review report and consolidated financial statements, the Chinese version shall prevail.

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Contents
1. Cover Page
2. Table of Contents
3. Independent Auditors’ Review Report
4. Consolidated Balance Sheets
5. Consolidated Statements of Comprehensive Income
6. Consolidated Statements of Changes in Equity
7. Consolidated Statements of Cash Flows
8. Notes to the Consolidated Financial Statements
(1)
Company history
(2)
Date and procedures of authorization of financial statements for issue
(3)
Application of Newly Issued or Revised Standards and Interpretations
(4)
Summary of material accounting policies
(5)
Significant accounting judgments, and major sources of estimation and
assumptions uncertainty
(6)
Explanation of significant accounts
(7)
Related-party transactions
(8)
Pledged assets
(9)
Significant contingencies and unrecognized commitments
(10) Significant disaster losses
(11) Subsequent events
(12) Others
(13) Other disclosures
(a) Information on significant transactions
(b) Information on investees
(c) Information on investment in Mainland China
(14) Segment information Page

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Contents 1. Cover Page 2. Table of Contents 3. Independent Auditors’ Review Report 4. Consolidated Balance Sheets 5. Consolidated Statements of Comprehensive Income 6. Consolidated Statements of Changes in Equity 7. Consolidated Statements of Cash Flows 8. Notes to the Consolidated Financial Statements (1) Company history (2) Date and procedures of authorization of financial statements for issue (3) Application of Newly Issued or Revised Standards and Interpretations (4) Summary of material accounting policies (5) Significant accounting judgments, and major sources of estimation and assumptions uncertainty (6) Explanation of significant accounts (7) Related-party transactions (8) Pledged assets (9) Significant contingencies and unrecognized commitments (10) Significant disaster losses (11) Subsequent events (12) Others (13) Other disclosures (a) Information on significant transactions (b) Information on investees (c) Information on investment in Mainland China (14) Segment information	Page
	1 2 3 4 5 6 7 8 8 8`～`10 10`～`11 12 12`～`35 36`～`38 38 39 39 39 39 40`～`41 41 41`～`42 42

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Independent Auditors’ Review Report

To the Board of Directors of Raydium Semiconductor Corporation:

Introduction

We have reviewed the accompanying consolidated balance sheets of Raydium Semiconductor Corporation and its subsidiaries as of September 30, 2025 and 2024, and the related consolidated statements of comprehensive income for the three months and nine months ended September 30, 2025 and 2024, as well as the changes in equity and cash flows for the nine months ended September 30, 2025 and 2024, and notes to the consolidated financial statements, including a summary of significant accounting policies. 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 Accounting Standard 34, “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our reviews.

Scope of Review

We conducted our reviews in accordance with the Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” of the Republic of China. A review of the consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with the Standards on Auditing of the Republic of China and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our reviews, nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of Raydium Semiconductor Corporation and its subsidiaries as of September 30, 2025 and 2024, and of its consolidated financial performance for the three months and nine months ended September 30, 2025 and 2024, as well as its consolidated cash flows for the nine months ended September 30, 2025 and 2024 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

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The engagement partners on the reviews resulting in this independent auditors’ review report are An-Chih Cheng and Chun-Yuan Wu.

KPMG

Taipei, Taiwan (Republic of China) November 4, 2025

Notes to Readers

The accompanying consolidated financial statements are intended only to present the consolidated statement of financial position, financial performance and cash flows in accordance with the accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to review such consolidated financial statements are those generally accepted and applied in the Republic of China.

The independent auditors' report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ report and consolidated financial statements, the Chinese version shall prevail.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Balance Sheets

September 30, 2025, December 31, 2024, and September 30, 2024

(Expressed in Thousands of New Taiwan Dollars)

September 30, 2025 Assets Amount % Current assets: 1100 Cash and cash equivalents (note 6(1)) $ 3,552,197 19 1110 Financial assets at fair value through profit or loss`－` current (note 6(2)) 666,096 3 1120 Financial assets at fair value through other comprehensive income`－`current (note 6(2)) 7,498 - 1170 Accounts receivable, net (note 6(3)) 2,300,249 12 1180 Accounts receivable`－`related parties, net (notes 6(3) and 7) 1,566,821 8 130X Inventories (note 6(4)) 2,224,798 12 1476 Other financial assets`－`current (notes 6(1), (3), (8) and 8) 6,253,408 33 1479 Other current assets (notes 6(9) and 7) 216,578 1 16,787,645 88 Non-current assets: 1510 Financial assets at fair value through profit or loss`－` non-current (note 6(2)) 33,116 - 1517 Financial assets at fair value through other comprehensive income`－`non-current (note 6(2)) 293,223 1 1600 Property, plant and equipment (notes 6(5), 7 and 9) 539,247 3 1755 Right-of-use assets (note 6(6)) 27,885 - 1780 Intangible assets (note 6(7)) 700,625 4 1840 Deferred tax assets 300,276 2 1980 Other financial assets`－`non-current (notes 6(8) and 9) 4,384 - 1990 Other non-current assets (notes 6(9) and (13)) 333,966 2 2,232,722 12 Total assets $ 19,020,367 100	December 31, 2024 Amount % 5,485,507 27 531,520 3 8,849 - 1,976,863 10 1,687,547 8 2,318,546 11 6,175,530 30 149,104 1 18,333,466 90 35,000 - 550,394 3 409,274 2 13,120 - 511,807 3 260,935 1 3,577 - 304,358 1 2,088,465 10 20,421,931 100	September 30, 2024 Amount % 5,307,360 27 250,211 1 10,088 - 1,958,552 10 1,752,980 9 2,395,138 12 5,987,360 30 227,456 1 17,889,145 90 - - 605,727 3 412,818 2 15,491 - 353,108 2 243,202 1 3,594 - 339,458 2 1,973,398 10 19,862,543 100 Liabilities and Equity Current liabilities: 2100 Short-term borrowings (note 6(10)) 2120 Current financial liabilities at fair value through profit or loss (note 6(2)) 2130 Contract liabilities`－`current (note 6(18)) 2170 Accounts payable 2201 Salaries and bonuses payable 2220 Other payables`－`related parties (note 7) 2230 Current income tax liabilities 2250 Provision`－`current (note 6(12)) 2300 Other current liabilities (notes 6(11), (14), 7 and 9) Non-Current liabilities: 2550 Provisions`－`non-current (note 6(12)) 2570 Deferred tax liabilities 2580 Lease liabilities`－`non-current (note 6(11)) 2640 Net defined benefit liability`－`non-current (note 6(13)) 2645 Guarantee deposits received (notes 6(14) and 9) Total liabilities Equity(note 6(16)): 3110 Common stock 3200 Capital surplus 3300 Retained earnings 3400 Other equity Total equity Total liabilities and equity	September 30, 2025 Amount % $ 820,153 4 1,432 - 86,391 1 3,005,962 16 2,176,070 11 22,773 - 54,200 - 93,970 1 1,088,696 6 7,349,647 39 187,941 1 7,391 - 16,278 - - - 152,345 1 363,955 2 7,713,602 41 758,552 4 4,712,933 25 6,149,042 32 (313,762) (2) 11,306,765 59 $ 19,020,367 100	December 31, 2024 Amount % 130,868 1 - - 296,881 1 3,139,021 15 2,625,802 13 2,807 - 247,404 1 113,557 1 1,040,010 5 7,596,350 37 227,114 1 7,774 - 7,433 - - - 490,755 3 733,076 4 8,329,426 41 758,552 4 4,712,933 23 6,737,706 33 (116,686) (1) 12,092,505 59 20,421,931 100	September 30, 2024 Amount % 22,592 - - - 373,434 2 3,630,369 18 2,455,138 12 51 - 187,758 1 33,011 - 920,693 5 7,623,046 38 66,023 - 7,007 - 8,792 - 144 - 474,765 3 556,731 3 8,179,777 41 758,552 4 4,712,933 24 6,308,427 32 (97,146) (1) 11,682,766 59 19,862,543 100

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income

For the three months and nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars)

For the three months ended September 30, 2025 2024 Amount % Amount % $ 5,427,079 100 6,199,541 100 3,872,585 71 4,324,484 70 1,554,494 29 1,875,057 30 121,868 2 167,064 3 132,529 2 144,440 2 963,800 18 1,005,395 16 (12,245) - (38,977) (1) 1,205,952 22 1,277,922 20 348,542 7 597,135 10 8,625 - 31,828 1 24,293 - (30,430) (1) (7,574) - (3,492) - 30,379 1 33,236 1 55,723 1 31,142 1 404,265 8 628,277 11 60,640 1 91,100 2 343,625 7 537,177 9 (17,732) - (26,229) - (8,583) - (4,595) - (9,149) - (21,634) - 4,510 - 1,902 - 902 - 381 - 3,608 - 1,521 - (5,541) - (20,113) - $ 338,084 7 517,064 9 $ 4.53 7.08 $ 4.49 6.99	For the nine months ended September 30,	For the nine months ended September 30,
2025 Amount % $ 5,427,079 100 3,872,585 71 1,554,494 29 121,868 2 132,529 2 963,800 18 (12,245) - 1,205,952 22 348,542 7 8,625 - 24,293 - (7,574) - 30,379 1 55,723 1 404,265 8 60,640 1 343,625 7 (17,732) - (8,583) - (9,149) - 4,510 - 902 - 3,608 - (5,541) - $ 338,084 7 $ 4.53 $ 4.49	2025	2024
		Amount % 18,688,096 100 13,056,426 70 5,631,670 30 518,559 3 417,686 2 2,915,300 16 28,367 - 3,879,912 21 1,751,758 9 68,897 - 54,868 - (15,255) - 95,799 1 204,309 1 1,956,067 10 275,045 1 1,681,022 9 (74,734) - (7,811) - (66,923) - 4,398 - 880 - 3,518 - (63,405) - 1,617,617 9 22.16
		21.84

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Changes in Equity

For the nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars)

	Retained earnings	Retained earnings	Other equity	Total equity 11,218,148
			Exchange differences on translation Unrealized losses from financial assets at fair value through other of foreign operations comprehensive income (474) (33,267) - - 3,518 (66,923) 3,518 (66,923) - - - - - - 3,044 (100,190) 1,532 (118,218) - - (9,477) (160,885) (9,477) (160,885) - - - - - - - (26,714) (7,945) (305,817)
Legal reserve 1,846,609 - - - 145,397 - - 1,992,006 1,992,006 - - - 211,030 - - - 2,203,036	Special reserve	Unappropriated earnings 3,933,795 1,681,022 - 1,681,022 (145,397) (33,741) (1,152,999) 4,282,680 4,711,959 1,068,608 - 1,068,608 (211,030) (82,944) (1,683,986) 26,714 3,829,321
	-
	- -			1,681,022 (63,405)
	-			1,617,617
	- 33,741 -			- - (1,152,999)
	33,741			11,682,766
	33,741			12,092,505
	- -			1,068,608 (170,362)
	-			898,246
	- 82,944 - -			- - (1,683,986) -
	116,685			11,306,765

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Cash Flows

For the nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars)

		For the nine months	ended
		September 30,
		2025	2024
Cash flows from operating activities:
Income before income tax	$	1,207,982	1,956,067
Adjustments for:
Depreciation expense		87,631	156,353
Amortization expense		249,017	137,378
Expected credit impairment (gains) losses		(27,203)	28,367
Net (gains) losses on financial assets and liabilities at fair value through profit or loss		(4,646)	1,704
Interest expense		11,993	15,255
Interest income		(108,885)	(95,799)
Dividend income		(406)	(13,826)
Gains on disposal of property, plant and equipment		(353)	(11,092)
Provision for inventory obsolescence and devaluation loss recognized (reversed)		30,440	(20,810)
Other non-cash-related (gain) loss		(69,342)	438,687
Income and expense adjustments		168,246	636,217
Changes in operating assets and liabilities:
Financial assets at fair value through profit or loss		(126,614)	381,158
Accounts receivable (including related parties)		(175,457)	(752,575)
Inventories		63,308	(345,522)
Other financial assets		356,351	(91,776)
Other operating assets		(67,474)	(89,491)
Contract liabilities		(210,490)	(154,528)
Accounts payable (including related parties)		(113,093)	1,029,578
Other operating liabilities		(471,087)	18,231
Total changes in operating assets and liabilities		(744,556)	(4,925)
Total adjustments		(576,310)	631,292
Cash flow generated from operations		631,672	2,587,359
Interest received		110,777	93,702
Dividend received		406	13,826
Interest paid		(11,564)	(15,857)
Income taxes paid		(332,578)	(321,163)
Net cash provided by operating activities		398,713	2,357,867
Cash flows from investing activities:
Acquisition of financial assets at fair value through other comprehensive income		-	(256,159)
Proceeds from disposal of financial assets at fair value through other comprehensive		55,875	-
income
Proceeds from capital reduction of financial assets at fair value through other		4,407	-
comprehensive income
Acquisition of property, plant and equipment		(186,679)	(89,510)
Proceeds from disposal of property, plant and equipment		498	1,554
Increase in intangible assets		(433,328)	(61,909)
Increase in other non-current assets		(29,608)	(71,747)
(Increase) decrease in other financial assets		(446,265)	53,565
Net cash used in investing activities		(1,035,100)	(424,206)
Cash flows from financing activities:
Increase (decrease) in short term borrowings		684,524	(573,458)
Decrease in guarantee deposits received		(277,450)	(277,450)
Repayments of the principal portion of lease liabilities		(9,572)	(6,206)
Cash dividends paid		(1,683,986)	(1,152,999)
Net cash used in financing activities		(1,286,484)	(2,010,113)
Effect of exchange rate changes on cash and cash equivalents		(10,439)	3,553
Net decrease in cash and cash equivalents		(1,933,310)	(72,899)
Cash and cash equivalents at beginning of the period		5,485,507	5,380,259
Cash and cash equivalents at end of the period	$	3,552,197	5,307,360

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

For the nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars, unless otherwise indicated)

1. Company history:

Raydium Semiconductor Corporation (the “Company”) was organized and approved under the Company Act of the Republic of China (ROC) on October 23, 2003. The Company was formally relocated to Hsinchu Science and Industry Park on January 29, 2007 after being approved by Hsinchu Science Park Bureau on December 12, 2006. Its current registered address is 2F, No.23, Li Hsin Rd., Hsinchu Science Park, Hsinchu City 300, Taiwan, ROC. The Company merged with Dazzo Technology Corporation (hereinafter referred to as Dazzo) on April 1, 2019 (the merger date). Thereafter, the Company became the sole surviving entity. The principal activities of the Company and its subsidiaries (hereinafter referred to as the Group) are the development, design and sale of display driver, sequential control and power management integrated circuit products.

The Company's shares were listed on Taiwan Stock Exchange on January 7, 2022.

2. Date and procedures of authorization of financial statements for issue:

The consolidated financial statements for the nine months ended September 30, 2025 and 2024 were authorized for issuance by the Board of Directors on November 4, 2025

3. Application of Newly Issued or Revised Standards and Interpretations:

(1) The impact of the International Financial Reporting Standards (“ IFRS Accounting Standards” ) endorsed by the Financial Supervisory Commission, R.O.C. (the “FSC”) which have already been adopted.

The Group has initially adopted the following new amendments, which do not have a significant impact on its consolidated financial statements, from January 1, 2025:

●Amendments to IAS 21 “Lack of Exchangeability”
●Amendments to IFRS 9 and IFRS 7 “ Amendments to the Classification and Measurement of Financial Instruments” regarding the application guidance requirements for Section 4.1 of IFRS 9 and the related disclosure requirements of IFRS 7
(2) The impact of IFRS Accounting Standards endorsed by the FSC but not yet effective

The Group assesses that the adoption of the following new amendments, effective for annual period beginning on January 1, 2026, would not have a significant impact on its consolidated financial statements:

●IFRS 17 “Insurance Contracts” and amendments to IFRS 17 “Insurance Contracts”
●Amendments to IFRS 9 and IFRS 7 “ Amendments to the Classification and Measurement of Financial Instruments”

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Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

●Annual Improvements to IFRS Accounting Standards—Volume 11
●Amendments to IFRS 9 and IFRS 7 “Contracts Referencing Nature-dependent Electricity”
(3) The impact of IFRS Accounting Standards issued by the International Accounting Standards Board (the “IASB”) but not yet endorsed by the FSC

The following new and amended standards, which may be relevant to the Group, have been issued by the IASB, but have yet to be endorsed by the FSC:

Standards or Effective date per Interpretations Content of amendment IASB IFRS 18 “Presentation and The new standard introduces three January 1, 2027 Disclosure in Financial categories of income and expenses, two note: On September Statements” income statement subtotals and one single 25, 2025, the FSC note on management performance issued a press release measures. The three amendments, announcing that combined with enhanced guidance on how Taiwan will adopt to disaggregate information, set the stage IFRS 18 starting from for better and more consistent information the fiscal year 2028. for users, and will affect all the entities. Entities that need to ●A more structured income statement: adopt the new standard earlier may under current standards, companies use do so after the FSC different formats to present their results, has endorsed the making it difficult for investors to standard.

●A more structured income statement: under current standards, companies use different formats to present their results, making it difficult for investors to compare financial performance across companies. The new standard promotes a more structured income statement, introducing a newly defined ‘operating profit’ subtotal and a requirement for all income and expenses to be allocated between three new distinct categories based on a company’ s main business activities.
●Management performance measures (MPMs): the new standard introduces a definition for management performance measures, and requires companies to explain in a single note to the financial statements why the measure provides useful information, how it is calculated and reconcile it to an amount determined under IFRS Accounting Standards.

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Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Standards or Interpretations IFRS 18 “Presentation and Disclosure in Financial Statements”	Content of amendment Effective date per IASB ●Greater disaggregation of information: the new standard includes enhanced guidance on how companies group information in the financial statements. This includes guidance on whether information is included in the primary financial statements or is further disaggregated in the notes.

The Group is evaluating the impact on its consolidated financial position and consolidated financial performance upon the initial adoption of the abovementioned standards or interpretations. The results thereof will be disclosed when the Group completes its evaluation.

The Group does not expect the following other new and amended standards, which have yet to be endorsed by the FSC, to have a significant impact on its 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 19 “Subsidiaries without Public Accountability: Disclosures” and amendments to IFRS 19 “Subsidiaries without Public Accountability: Disclosures”

4. Summary of material accounting policies:

The material accounting policies presented in the consolidated financial statements are summarized below. The following accounting policies were applied consistently throughout the periods presented in the consolidated financial statements.

(1) Statement of compliance

The 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 IAS 34 “Interim Financial Reporting” which are endorsed and issued into effect by the Financial Supervisory Commission (hereinafter referred to as FSC). The consolidated financial statements do not include all of the information required by the Regulations and International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations and SIC Interpretations endorsed and issued into effect by the FSC (altogether referred to “IFRS Accounting Standards” endorsed by the FSC) for a complete set of the annual consolidated financial statements.

Except as described below, the material accounting policies adopted in the consolidated financial statements are consistent with those applied in the consolidated financial statement for the year ended December 31, 2024. For the related information, please refer to note 4 of the consolidated financial statements for the year ended December 31, 2024.

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Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(2) Basis of consolidation

The principle of preparation of the consolidated financial statements is consistent with those of the consolidated financial statements for the year ended December 31, 2024. For related information, please refer to note 4(3) of the consolidated financial statements for the year ended December 31, 2024.

A. List of subsidiaries in the consolidated financial statements

The list of subsidiaries are included in the consolidated financial statements :

Name of investor	Name of subsidiary	Principal activity	Percentage of ownership September 30, 2025 December 31, 2024 September 30, 2024 Description % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % - % - Note 1	Percentage of ownership September 30, 2025 December 31, 2024 September 30, 2024 Description % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % 100.00 % - % - Note 1
			September 30, 2025 % 100.00 % 100.00 % 100.00	December 31, 2024 % 100.00 % 100.00 % -
the Company RSA RSA&RKS	Raydium Semiconductor (SAMOA) Corp. (RSA) Raydium Semiconductor (Kunshan) Co., Ltd (RKS) Raydium Semiconductor (Hefei) Co., Ltd (RHF)	Investment holding company Development, design and sale of the IC Development, design and sale of the IC

  - Note 1: RHF was jointly established by RSA and RKS through a joint investment in March 2025.

B. List of subsidiaries which are not included in the consolidated financial statements: None.
(3) Employee benefits

Pension cost for an interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the reporting date of the prior fiscal year, adjusted for significant market fluctuations since that time and for significant curtailments, settlements, or other significant one-off events.

(4) Income taxes

The income tax expenses have been prepared and disclosed in accordance with paragraph B12 of IAS 34 “Interim Financial Reporting”.

Income tax expense for the period is best estimated by multiplying pretax income for the reporting period by the effective annual tax rate as forecasted by the management. This is recognized fully as income tax expense for the current period.

Income taxes that are recognized directly in equity or other comprehensive income are measured in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the corresponding tax bases at the tax rates that are expected to be applied in the year in which the asset is realized or the liability is settled.

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Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

5. Significant accounting judgments, and major sources of estimation and assumptions uncertainty:

The preparation of the consolidated financial statements in conformity with the Regulations and IAS 34 “ Interim Financial Reporting” endorsed by the FSC requires management to make judgments, and estimates about the future, including climate-related risks and opportunities, that affect the application of the accounting policies and the reported amount of assets, liabilities, income and expenses. Actual results may differ from these estimates.

In preparing the consolidated financial statements, critical accounting judgments and key sources of estimations and assumptions uncertainty used by management in the application of accounting policies are consistent with those described in Note 5 of the consolidated financial statements for the year ended December 31, 2024.

6. Explanation of significant accounts:

(1) Cash and cash equivalents

Cash and cash equivalents
Demand deposits Time deposits	September 30, 2025 $ 1,623,147 1,929,050 $ 3,552,197	December 31, 2024 1,386,457 4,099,050 5,485,507	September 30, 2024
			1,808,310 3,499,050
			5,307,360

Please refer to note 6(21) for the credit risk, interest rate risk and sensitivity analysis of the financial assets of the Group.

As of September 30, 2025, December 31, 2024 and September 30, 2024, the time deposits with original maturities of more than three months amounted to $4,250,000 thousand, $3,750,000 thousand and $3,500,000 thousand, respectively, which were classified as other financial assetscurrent; please refer to note 6(8).

(2) Financial assets and liabilities at fair value through profit or loss
－
A. Financial assets at fair value through profit or loss (“FVTPL”) current

September 30, 2025 December 31, 2024 Financial assets at fair value through profit or loss, mandatorily measured at fair value Beneficiary certificate $ 666,096 531,520 Financial assets at fair value through profit or loss`－`non-current September 30, 2025 December 31, 2024 Financial assets at fair value through profit or loss, mandatorily measured at fair value Venture capital funds $ 33,116 35,000	September 30, 2024
	250,211
	September 30, 2024
	-

－
B. Financial assets at fair value through profit or loss non-current

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Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

－
C. Financial assets at fair value through other comprehensive income (“FVOCI”) current

		September 30,	December 31,	September 30,
		2025	2024	2024
Listed stocks	$	7,498	8,849	10,088
Financial assets at fair value through other comprehensive			income`－`non-current
		September 30,	December 31,	September 30,
		2025	2024	2024
Listed stocks	$	197,360	265,819	292,016
Unlisted stocks		95,863	284,575	313,711
	$	293,223	550,394	605,727

－
D. Financial assets at fair value through other comprehensive income non-current

These investments in equity instruments are not held for trading, and therefore, are accounted for as FVOCI.

During the nine months ended September 30, 2025, the Group sold part of its holdings measured at fair value through other comprehensive income, with the disposal price of $55,875 thousand, resulting in the realized gain of $26,714 thousand to be reclassified from other equity to retained earnings.

For the disclosure of market risk, please refer to note 6(21).

The financial assets mentioned above were not pledged as collateral.

－
E. Financial liabilities at fair value through profit or loss (“FVTPL”) current

Held-for-trading financial liabilities Forward foreign exchange contracts	September 30, 2025 $ 1,432	December 31, 2024 -	September 30, 2024
			-

The Group uses derivative financial instruments to hedge certain foreign exchange risks arising from its operating activities. The following derivative instruments, without the application of hedge accounting were recognized as held-for-trading financial liabilities:

Forward foreign exchange contracts	September 30, 2025	September 30, 2025
	Notional principal (thousand) USD 6,700	Currency Maturity period USD to TWD October, 2025

~13~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(3) Accounts receivable, net (including related parties)

Accounts receivable—measured at amortized cost Accounts receivable measured at fair value through other comprehensive income Less: loss allowance	September 30, 2025 $ 3,607,678 362,711 (103,319) $ 3,867,070	December 31, 2024 3,698,369 96,563 (130,522) 3,664,410	September 30, 2024 3,460,853 339,741 (89,062) 3,711,532

The Group has assessed a portion of its accounts receivable that was held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; therefore, such accounts receivable were measured at fair value through other comprehensive income.

The Group uses a simplified approach to provide for its expected credit losses, i.e. the use of lifetime expected loss provision for all receivable. To measure the expected credit losses, accounts receivable have been grouped based on shared credit risk characteristics and the days past due, as well as the incorporated forward-looking information.

The accounts receivable from related parties having significant impact over the Group and other individuals amounted to $1,566,821 thousand, $1,687,547 thousand and $1,752,980 thousand as of September 30, 2025, December 31, 2024 and September 30, 2024, respectively. The days past due is less than 100 days, so there is no expected credit loss for the duration of the related party's accounts receivable.

The loss allowance provision of customers with relatively low credit risk was determined as follows:

September 30, 2025	September 30, 2025
Carrying amounts of accounts receivable Weighted- average loss rate $ 900,442 0% 79,410 0% $ 979,852 December 31, 2024		Loss allowance for life time expected credit losses
		- -
		-

	Weighted- average loss rate 0% 0%	Loss allowance for life time expected credit losses
		- -
		-

~14~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

September 30, 2024	September 30, 2024
Carrying amounts of accounts receivable $ 829,151 1,470 25,911 $ 856,532	Weighted- average loss rate 0% 0% 0%	Loss allowance for life time expected credit losses
		- - -
		-

The loss allowance provision of customers with relatively high credit risk was determined as follows:

September 30, 2025	September 30, 2025
Carrying amounts of accounts receivable Weighted- average loss rate $ 1,342,856 6.06% 74,054 23.00% 6,806 72.51% $ 1,423,716 December 31, 2024		Loss allowance for life time expected credit losses
		81,352 17,032 4,935
		103,319

		Loss allowance for life time expected credit losses
		96,966 24,270 9,286
		130,522

	Weighted- average loss rate 6.54% 25.80% 42.42%	Loss allowance for life time expected credit losses
		74,499 11,173 3,390
		89,062

~15~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The movement in the allowance for accounts receivable was as follows:

Beginning balance Impairment loss (reversed) recognized Ending balance	For the nine months ended September 30,	For the nine months ended September 30,
	2025 $ 130,522 (27,203) $ 103,319	2024
		60,695 28,367
		89,062

The Group entered into an agreement with banks to factor certain of its accounts receivable. According to the agreement, within the factoring line, the Group does not have to ensure the ability of debtors to pay when transferring the rights and obligations. As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group reclassified accounts receivable that met the － derecognition terms to other receivables (recorded in other financial asset current) as follows:

(In Thousands of New Taiwan Dollars)

	September 30, 2025	September 30, 2025
Buyer Factoring quota Taipei Fubon Bank USD 127,500	Derecognition amount Advanced Amount USD 56,859 - December 31, 2024		Service fees 0.22%	Transfer terms Guaranteed promissory notes Notes 1 to 3 None
Buyer Factoring quota Taipei Fubon Bank USD 151,500	Derecognition amount Advanced Amount USD 63,844 - September 30, 2024		Service fees 0.22%	Transfer terms Guaranteed promissory notes Notes 1 to 3 None
Buyer Factoring quota Taipei Fubon Bank USD 151,500	Derecognition amount USD 70,153	Advanced Amount -	Service fees 0.22%	Transfer terms Guaranteed promissory notes Notes 1 to 3 None

Note 1: The above-mentioned amounts have been reclassified to other receivables. The terms of the transaction relating to factoring are based on the factoring consent for buyer. Such transaction should be factoring without recourse.
Note 2: Within the factoring quota, if the original debtor is unable to pay or may be unable to pay due to financial difficulties, the risk of non-payment will be borne by the purchasing agency, not the Group. The original debtor's credit risk will be borne by the purchasing agency and the credit risk described above is the uncollectable debt risk due to default by the original debtor without reasonable cause.
Note 3: The Group informed the original debtor pursuant to accounts receivable to make payment directly to the Group’s restricted account with the purchasing bank.

~16~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

As of September 30, 2025, December 31, 2024 and September 30, 2024, total outstanding receivables after the above transactions, net of fees charged by purchasing bank, of $1,732,444 thousand, $2,088,796 thousand and $2,220,424 thousand were recognized as other current financial assets; please refer to note 6(8).

As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group’ s unused factoring quota amounted to $2,152,353 thousand, $2,867,829 thousand and $2,574,702 thousand, respectively.

(4) Inventories

Work in progress
Finished goods
Cost of goods sold
Provision for inventory obsolescence
loss recognized (reversed)

September 30,
2025
December 31,
2024
September 30,
2024
$ 1,833,430
1,839,161
2,108,075
391,368
479,385
287,063
$
2,224,798
2,318,546
2,395,138
For the three months
ended September 30,
For the nine months
ended September 30,
2025
2024
2025
2024
$ 3,931,363
4,424,767
12,223,218
13,077,236
(58,778)
(100,283)
30,440
(20,810)
$
3,872,585
4,324,484
12,253,658
13,056,426

As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group’s inventories were not pledged as collateral.

(5) Property, plant and equipment

Carrying amounts: Balance as of January 1, 2025 Balance as of September 30, 2025 Balance as of January 1, 2024 Balance as of September 30, 2024	Research equipment $ 90,556 $ 111,208 $ 167,255 $ 88,323	Transportation equipment 10,521 10,266 4,340 11,215	Office equipment 67,280 68,386 59,491 67,365	Leasehold improvements 10,063 6,060 15,810 13,204	Construction in progress 228,429 333,857 228,429 228,429	Equipment under inspection 2,425 9,470 8,357 4,282	Total
							409,274
							539,247
							483,682
							412,818

There was no significant addition or disposal on property, plant and equipment of the Group for the nine months ended September 30, 2025 and 2024. For the depreciation amount in the current period, please refer to note 12. For other related information, please refer to note 6(5) of the consolidated financial statements for the year ended December 31, 2024.

As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group's property, plant and equipment were not pledged as collateral.

~17~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(6) Right-of-use assets

Right-of-use assets
Carrying amounts: Balance as of January 1, 2025 Balance as of September 30, 2025 Balance as of January 1, 2024 Balance as of September 30, 2024	Buildings
	$ 13,120 $ 27,885 $ 17,653 $ 15,491

There was no significant addition, recognition and reversal of impairment losses of the right-of-use assets recognized by the Group's leased houses and buildings for the nine months ended September 30, 2025 and 2024. For other related information, please refer to note 6(6) of the consolidated financial statements for the year ended December 31, 2024.

(7) Intangible assets

Carrying amounts: Balance as of January 1, 2025 Balance as of September 30, 2025 Balance as of January 1, 2024 Balance as of September 30, 2024	Goodwill $ 237,800 $ 237,800 $ 237,800 $ 237,800	Patents and technology - - - -	Software costs 274,007 462,825 138,700 115,308	Total
				511,807
				700,625
				376,500
				353,108

There was no significant addition or disposal on intangible assets of the Group for the nine months ended September 30, 2025 and 2024. For the amortization amount in the current period, please refer to note 12. For other related information, please refer to note 6(7) of the consolidated financial statements for the year ended December 31, 2024.

－
(8) Other financial assets current and non-current

Accounts receivable factoring Restricted time deposits Guarantee deposits for product capacity and others Time deposits with original maturities of more than three months Corporate bonds Others Other financial assets`－`current Other financial assets`－`non-current	September 30, 2025 $ 1,732,444 254,655 4,384 4,250,000 9,894 6,415 $ 6,257,792 $ 6,253,408 4,384 $ 6,257,792	December 31, 2024 2,088,796 254,588 67,523 3,750,000 9,894 8,306 6,179,107 6,175,530 3,577 6,179,107	September 30, 2024
			2,220,424 254,578 3,921 3,500,000 - 12,031
			5,990,954
			5,987,360 3,594
			5,990,954

~18~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(9) Other current and non-current assets

Sales tax receivable and overpaid VAT Prepayments for mask and mold Net defined benefit assets Others Other current assets Other non-current assets Short-term borrowings Unsecured bank loans Unused credit lines Range of interest rates	September 30, 2025 $ 135,565 333,035 564 81,380 $ 550,544 $ 216,578 333,966 $ 550,544 September 30, 2025 $ 820,153 $ 1,877,386 2.50%~4.57%	December 31, 2024 115,814 303,793 564 33,291 453,462 149,104 304,358 453,462 December 31, 2024 130,868 1,992,798 5.11%	September 30, 2024
			149,828 273,939 - 143,147
			566,914
			227,456 339,458
			566,914
			September 30, 2024
			22,592
			2,193,697
			3.30%

(10) Short-term borrowings
(11) Lease liabilities

The carrying amounts of the Group's lease liabilities were as follows:

Current (recorded under other current liabilities) Non-current	September 30, 2025 $ 11,143 $ 16,278	December 31, 2024 6,067 7,433	September 30, 2024
			6,381
			8,792

For the maturity analysis, please refer to note 6(21) Financial Instruments.

The amounts recognized in profit or loss were as follows:

For the three months ended September 30, 2025 2024 $ 197 95 $ 9,995 9,489	For the nine months ended September 30,	For the nine months ended September 30,
2025 $ 197 $ 9,995	2025 461 28,305	2024
		339
		28,891

~19~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The amounts recognized in the statement of cash flows were as follows:

Total cash outflow for leases Buildings leases	For the nine months ended September 30,	For the nine months ended September 30,
	2025 $ 38,338	2024
		35,436

The Group leases buildings and improvements for its office, with lease terms that typically run for 2~5 years, and some leases include an option to renew the lease for an additional period of the same duration after the end of the contract term.

The Group has elected not to recognize the right-of-use assets and lease liabilities for its offices, which qualify as short-term leases and low-value asset leases.

(12) Provisions

Balance as of January 1, 2025 Provisions reversed during the period Balance as of September 30, 2025 Provisions – current Provisions – non-current Balance as of January 1, 2024 Provisions reversed during the period Balance as of September 30, 2024 Provisions – current Provisions – non-current	Warranties $ 340,671 (58,760) $ 281,911 $ 93,970 187,941 $ 281,911 Warranties $ 116,113 (17,079) $ 99,034 $ 33,011 66,023 $ 99,034

The provision for warranties is estimated based on historical warranty data associated with similar products and services. The Group expects to settle majority of its provision within three years from the date of the sale of the product.

(13) Employee benefits

Given there was no significant market fluctuations, significant curtailments, settlements, or other significant one-off event since the prior fiscal year, pension cost in the financial statements are measured and disclosed according to the actuarial results determined on December 31, 2024 and 2023.

For information related to the Group's pension costs for the nine months ended September 30, 2025 and 2024, please refer to note 12.

~20~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(14) Guarantee deposits reserved

Deposits received for capacity guarantee Current (recorded in other current liabilities) Non-current	September 30, 2025 $ 457,035 $ 304,690 152,345 $ 457,035	December 31, 2024 817,925 327,170 490,755 817,925	September 30, 2024
			791,275
			316,510 474,765
			791,275

The Group entered into production capacity guarantee agreement with its customers and reserved specific production capacity for them by collecting deposits, which would be refunded upon the fulfillment of the contract.

(15) Income tax
A. Income tax expenses

The amounts of income tax expense (benefit) were as follows:

Current income tax expense (benefit) Current period Adjustment for prior period	For the three months ended September 30, 2025 2024 $ 60,640 91,100 - - $ 60,640 91,100	For the nine months ended September 30, 2025 2024 181,197 283,629 (41,823) (8,584) 139,374 275,045
	2025 $ 60,640 - $ 60,640	2025 181,197 (41,823) 139,374

B. The amounts of income tax expense (benefit) recognized in other comprehensive income were as follows:

Items that will not be reclassified subsequently to profit or loss: Unrealized losses from investments in equity instruments measured at FVOCI Items that may be reclassified subsequently to profit or loss: Exchange differences on translation of foreign operations	For the three months ended September 30, 2025 2024 $ (8,583) (4,595) $ 902 381	For the nine months ended September 30, 2025 2024 (37,355) (7,811) (2,369) 880
	2025 $ (8,583) $ 902	2025 (37,355) (2,369)

C. The Company’s tax returns have been examined and approved by the tax authorities through 2023.

~21~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(16) Equity

Except as the following, there were no significant changes in the capital and other equity of the Group for the nine months ended September 30, 2025 and 2024. For relevant information, please refer to note 6(16) of the consolidated financial statements for the year ended December 31, 2024.

A. Issuance of common stock

As of September 30, 2025, December 31, 2024 and September 30, 2024, the authorized capital of the Company amounted to $1,000,000 thousand (including the amount of $50,000 thousand authorized for the issuance of the employee stock options), and the Company's issued capital amounted to $758,552 thousand with a par value of $10 per share.

B. Capital surplus

Capital surplus Employee remuneration paid in the form of stocks Others	September 30, 2025 $ 4,647,881 64,592 460 $ 4,712,933	December 31, 2024 4,647,881 64,592 460 4,712,933	September 30, 2024
			4,647,881 64,592 460
			4,712,933

C. Retained earnings

If the Company makes a profit in a fiscal year, the profit shall be first utilized for paying taxes, offsetting losses of previous years, and setting aside 10% of the remaining profit as legal reserve, unless the amount in the legal reserve is already equal to or greater than the total paid in capital. Thereafter, the amount shall be set aside or reversed as special reserve in accordance with related laws, regulations, or provisions of the competent authorities. Then, any remaining profit, together with any undistributed retained earnings, shall be distributed according to the distribution plan proposed by the Board of Directors. The distribution of dividends and bonuses, in whole or in part, by issuing new shares, shall be resolved during the shareholders’ general meeting. As for the cash payment, it shall be approved by the Board of Directors and be reported in the shareholders' general meeting.

The Company’s dividend policy is to pay dividends from surplus considering factors such as the Company's current and future investment environment, cash requirements, domestic and overseas competitive conditions and capital budget requirements, while taking into account shareholders' interest, maintenance of balanced dividend and the Company’s long-term financial plan. An annual dividend of not less than 10% of the distributable earnings shall be allocated to shareholders, and the cash portion of the dividend, if any, shall not be less than 10% of the total dividends (cash and stock) distributed during the year.

~22~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The appropriations of earnings for 2024 and 2023 by way of cash dividends have been approved in the Board of Directors' meeting held on February 25, 2025 and February 26, 2024. In addition, the appropriations of earning for 2024 and 2023 by others ways have been approved in the annual shareholders' meeting held on May 28, 2025 and May 29, 2024, respectively. Details of distribution were as follows:

Legal reserve Special reserve Cash dividends	2024 Amounts Dividends per share (NT$) $ 211,030 82,944 1,683,986 22.2 $ 1,977,960	2023
	Amounts $ 211,030 82,944 1,683,986 $ 1,977,960	Amounts Dividends per share (NT$) 145,397 33,741 1,152,999 15.2 1,332,137

The aforementioned appropriations of earnings were consistent with the resolutions of the Board of Directors' meeting.

The abovementioned relevant information about the Company's appropriations of earnings are available at the Market Observation Post System website.

(17) Earnings per share

For the three months ended September 30, 2025 2024 $ 343,625 537,177 75,855 75,855 $ 4.53 7.08 $ 343,625 537,177 75,855 75,855 761 1,012 76,616 76,867 $ 4.49 6.99	For the nine months ended September 30,	For the nine months ended September 30,
2025 $ 343,625 75,855 $ 4.53 $ 343,625 75,855 761 76,616 $ 4.49	2025 1,068,608 75,855 14.09 1,068,608 75,855 980 76,835 13.91	2024
		1,681,022
		75,855
		22.16
		1,681,022
		75,855 1,130
		76,985
		21.84

~23~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(18) Revenue from contracts with customers

A. Detail of revenue

Revenues from major regional markets: China (including Hong Kong) Taiwan Others Revenue from major products: Display Driver IC Others Contract balances Contract liabilities	For the three months ended September 30, For the nine months ended September 30, 2025 2024 2025 2024 $ 4,620,423 4,969,115 13,840,719 14,939,737 659,262 978,611 2,670,492 3,224,780 147,394 251,815 591,997 523,579 $ 5,427,079 6,199,541 17,103,208 18,688,096 5,216,175 6,050,257 16,509,273 18,203,191 210,904 149,284 593,935 484,905 $ 5,427,079 6,199,541 17,103,208 18,688,096 September 30, 2025 December 31, 2024 September 30, 2024 $ 86,391 296,881 373,434	For the nine months ended September 30,	For the nine months ended September 30,	For the nine months ended September 30,
				2024
				14,939,737 3,224,780 523,579
				18,688,096
				18,203,191 484,905
				18,688,096
			373,434

B. Contract balances

For details on accounts receivable and loss allowance, please refer to note 6(3).

The amount of revenue recognized for the nine months ended September 30, 2025 and 2024 that were included in the contract liability balance at the beginning of the period were $245,827 thousand and $209,662 thousand, respectively.

The contract liabilities primarily relate to the advance consideration received from contracts with goods sold, for which revenue is recognized when products are delivered to customers.

(19) Non-operating income and expenses
A. Other income

For the three months ended September 30, 2025 2024 $ 406 13,826 8,219 18,002 $ 8,625 31,828	For the nine months ended September 30,	For the nine months ended September 30,
2025	2025 406 36,013 36,419	2024
$ 406 8,219 $ 8,625		13,826 55,071
		68,897

~24~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

B. Other gains and losses

Foreign exchange gains (losses), net Others Finance costs Interest expense`－`bank borrowings Lease liabilities Interest income Interest income from bank deposits	For the three months ended September 30, 2025 2024 $ 18,973 (42,147) 5,320 11,717 $ 24,293 (30,430) For the three months ended September 30, 2025 2024 $ (7,377) (3,397) (197) (95) $ (7,574) (3,492) For the three months ended September 30, 2025 2024 $ 30,379 33,236	For the nine months ended September 30, 2025 2024 (180,704) 37,639 4,999 17,229 (175,705) 54,868 For the nine months ended September 30, 2025 2024 (11,532) (14,916) (461) (339) (11,993) (15,255) For the nine months ended September 30, 2025 2024 108,885 95,799
		2025 108,885

C. Finance costs
D. Interest income
(20) Remuneration to employees and directors

On May 28, 2025, the Company resolved at the shareholders' meeting to amend its Articles of Incorporation. According to the amended Articles, if the Company has profit in a given fiscal year (defined as income before tax excluding the employee and director remuneration), no less than 1% of the profit shall be allocated as employeee remuneration, and no more than 1% as director remuneration. The aforementioned employee remuneration, shall be allocated no less than 1% to those base-level employees. However, if the Company had accumulated deficits, including unappropriated retained earnings adjustment, the Company should reserve an amount in advance to offset such losses.

The aforementioned shall be resolved by the board of directors and reported to the shareholders’ meeting.

Prior to the amendment, the Articles of Association stipulated that if the Company recognized a profit for the fiscal year (defined as income before tax excluding the employee and director remuneration), no less than 1% of the profit shall be allocated as employee remuneration, and no more than 1% for director remuneration. However, if the Company had accumulated deficits, including unappropriated retained earnings adjustment, the Company should reserve an amount in advance to offset such losses.

The aforementioned shall be resolved by the board of directors and reported to the shareholders' meeting.

~25~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Employees, including those belonging to affiliate companies that meet certain conditions, are entitled to the abovementioned remuneration, which to be distributed in stock or cash, employee stock option certificates, restricted employee shares, treasury stock purchased and transferred to employees, as well as employee stocks when issuing new shares. The said conditions and distribution method are decided by Board of Directors or the personnel authorized by Board of Directors.

For the three months and the nine months ended September 30, 2025 and 2024, the amounts of remuneration to employees were estimated at $70,794 thousand, $110,023 thousand, $211,540 thousand and $342,543 thousand, respectively; and those to the directors were estimated at $3,280 thousand, $5,098 thousand, $9,801 thousand and $15,871 thousand, respectively. The estimation basis shall be calculated as the amounts of net income before tax, excluding the remuneration to employees and directors, multiplied by the percentage remuneration to employees and directors, as specified in the Company’ s articles of incorporation. These remuneration were expensed under operating costs or expenses for the nine months ended September 30, 2025 and 2024. If there are changes in the proposed amounts after the annual consolidated financial statements have been authorized for issuance, the differences are accounted for as changes in accounting estimates and adjusted prospectively in profit or loss in the following year. However, if the Board of Directors resolved that the employee remuneration is to be paid in the form of stocks, the closing price of the ordinary share on the day before the Board of Director’ Meeting will be used to calculate the number of stock shares.

The Board of Directors of the Company has resolved to distribute employee remuneration and director remuneration in cash as follows:

director remuneration in cash as follows:
Board resolution date Employee remuneration Director remuneration	For the nine months ended September 30,
	2024 2023 February 25, 2025 February 26, 2024 $ 424,658 270,959 $ 18,943 12,747
		12,747

There were no difference between the aforementioned approved amounts and the amounts charged against earnings of 2024 and 2023, respectively. Related information is available on the Market Observation Post System website of the Taiwan Stock Exchange.

(21) Financial instruments

Except as described below, there is no significant change in the fair value of the Group's financial instruments and the Group's exposure to credit risk, liquidity risk and market risk due to financial instruments. For relevant information, please refer to Note 6(21) of the consolidated financial statements for the year ended December 31, 2024.

~26~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

A. Credit risk

(a) Credit risk exposure

The carrying amount of financial assets represent the maximum amounts exposed to credit risk.

(b) Credit risk concentration

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. As of the financial reporting date, the maximum credit risk exposure of the Group due to non-performance of the counterparty mainly derived from the carrying amount of the financial assets recognized in the balance sheet of the Group.

The Group’s potential credit risk is derived primarily from cash and cash equivalents and accounts receivable. The cash is deposited in different financial institutions. The Group manages the credit risk exposure with each of these financial institutions and believes that cash and cash equivalents do not have a significant credit risk concentration.

In addition to granting credit facilities to customers in accordance with the credit procedures, the Group will require insurance for accounts receivable from certain customer groups in order to reducing the credit risk of accounts receivable, and use historical trading experience to continuously assess the financial condition, credit condition and current economic environment of the customers.

As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group’s five largest customers accounted for approximately 43%, 52% and 48% of the balance of accounts receivable (including related parties), respectively. After an assessment has been made on the lifetime expected credit losses of the accounts receivable, the management expects no significant losses in the future.

For credit risk exposure on accounts receivable, please refer to note 6(3).

Other financial assets at amortized cost include other receivables, guarantee deposit and restricted bank deposits.

All of financial assets excluding the abovementioned accounts receivable are considered to be low risk, and thus, the impairment provision recognized during the period was limited to 12 months expected losses (Please refer to note 4(7) of the consolidated financial statements for the year ended December 31, 2024 for further details on how the Group determines whether credit risk is to be low risk).

~27~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

B. Liquidity risk

The contractual maturities of financial liabilities were as follows:

September 30, 2025 Non-derivative financial liabilities Short-term borrowings Accounts payable Salaries and bonuses payable Other payables`－`related parties Lease liabilities (current and non-current) Guarantee deposits received (current and non-current) Derivative financial liabilities Net settlement of forward foreign exchange contracts `－`outflow December 31, 2024 Non-derivative financial liabilities Short-term borrowings Accounts payable Salaries and bonuses payable Other payables`－`related parties Lease liabilities (current and non-current) Guarantee deposits received (current and non-current)	Carrying amounts $ 820,153 3,005,962 2,176,070 22,773 27,421 457,035 1,432 $ 6,510,846 Carrying amounts $ 130,868 3,139,021 2,625,802 2,807 13,500 817,925 $ 6,729,923	Contractual cash flows (826,592) (3,005,962) (2,176,070) (22,773) (28,443) (457,035) (1,432) (6,518,307) Contractual cash flows (131,103) (3,139,021) (2,625,802) (2,807) (13,837) (817,925) (6,730,495)	Within a year (826,592) (3,005,962) (2,176,070) (22,773) (11,723) (304,690) (1,432) (6,349,242) Within a year (131,103) (3,139,021) (2,625,802) (2,807) (6,293) (327,170) (6,232,196)	Over 1 years - - - - (16,720) (152,345) - (169,065) Over 1 years - - - - (7,544) (490,755) (498,299)

~28~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

September 30, 2024 Non-derivative financial liabilities Short-term borrowings Accounts payable Salaries and bonuses payable Other payables`－`related parties Lease liabilities (current and non-current) Guarantee deposits received (current and non-current)	Carrying amounts $ 22,592 3,630,369 2,455,138 51 15,173 791,275 $ 6,914,598	Contractual cash flows (23,318) (3,630,369) (2,455,138) (51) (15,591) (791,275) (6,915,742)	Within a year (23,318) (3,630,369) (2,455,138) (51) (6,644) (316,510) (6,432,030)	Over 1 years - - - - (8,947) (474,765) (483,712)

The Group does not expect that the cash flows included in the maturity analysis could occur significantly earlier or at significantly different amounts.

C. Foreign currency risk

(a) Exposure of foreign currency risk

The Group’ s financial assets and liabilities exposed to foreign currency risk were as follows:

Fi	September 30, 20	September 30, 20	Dec	ember 31, 20	September 30, 2024	September 30, 2024
	Foreign currency $ 172,712 $ 174,830 $ 133,365	Exchange rate 30.4690 0.2058 30.4690	Foreign currency 198,118 174,828 131,111	Exchange rate 32.7170 0.2086 32.7170	Foreign currency 209,337 174,827 136,199	Exchange rate TWD 31.6510 6,625,725 0.2204 38,532 31.6510 4,310,835
Fi

(b) Sensitivity analysis

The Group’s exposure to foreign currency risk arises mainly from the translation of the foreign currency exchange gains and losses on cash and cash equivalents, accounts receivable, other receivable, other financial assets, short-term borrowings, accounts payable and guarantee deposits received, that are denominated in foreign currency. A strengthening (weakening) of 1% of the NTD against the USD and JPY as of September 30, 2025 and September 30, 2024, assuming that all other variables remain constant, would have increased or decreased the profit after tax by $9,879 thousand and $18,827 thousand, respectively.

~29~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(c) Foreign exchange gains (losses) on monetary items

As the Group deals with diverse foreign currencies, gains and losses on foreign exchange were summarized as a single amount. The aggregate of realized and unrealized foreign exchange gains (losses) for the three months and the nine months ended September 30, 2025 and 2024 were $18,973 thousand, $(42,147) thousand, $(180,704) thousand and $37,639 thousand, respectively.

D. Interest rate analysis

An increase or decrease of 0.25% in interest rates, mainly from cash and cash equivalents, restricted time deposits and short-term borrowings, with floating interest rates at the reporting date, assuming all other variables remain constant, would have increased or decreased net income by $1,846 thousand and $3,328 thousand for the nine months ended September 30, 2025 and 2024, respectively.

E. Other market price risk

The impact of the changes in equity price on other comprehensive income was as follows, assuming the analysis use the same basis for both years, with other factors remaining constant:

Prices of securities at the reporting date Increasing 10% Decreasing 10%	For the nine months ended September 30, 2025 2024 Other comprehensive income before tax Other comprehensive income before tax $ 30,072 61,582 $ (30,072) (61,582)
	2025 Other comprehensive income before tax $ 30,072 $ (30,072)

~30~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

F. Fair value of financial instruments
(a) Fair value and carrying amount

The fair values of FVTPL and FVOCI are measured on a recurring basis. The Group's carrying amounts and the fair value of financial assets and liabilities (including the information for fair value hierarchy; but excluding financial instruments, whose fair values approximate the carrying amount, and lease liabilities, since the disclosure of fair value are not required) were as follows:

	September 30, 2025	September 30, 2025
	Fair value
Level 1 666,096 - 204,858 - - - - - 870,954 - - - - - - - -	Level 2 - - - - 362,711 - - - 362,711 1,432 - - - - - - -	Level 3 - 33,116 - 95,863 - - - - 128,979 - - - - - - - -	Total
			666,096 33,116 204,858 95,863 362,711 - - -
			1,362,644
			1,432
			- - - - - -
			-

~31~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

	December 31, 2024	December 31, 2024
	Fair value
Level 1 531,520 - 274,668 - - - - - 806,188 - - - - - - -	Level 2 Level 3 - - - 35,000 - - - 284,575 96,563 - - - - - - - 96,563 319,575 - - - - - - - - - - - - - - September 30, 2024		Total
			531,520 35,000 274,668 284,575 96,563 - - -
			1,222,326
			- - - - - -
			-

	Fair value
Level 1 250,211 302,104 - - - - - 552,315	Level 2 - - - 339,741 - - - 339,741	Level 3 - - 313,711 - - - - 313,711	Total
			250,211 302,104 313,711 339,741 - - -
			1,205,767

~32~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

	September 30, 2024	September 30, 2024
	Fair value
Level 1 - - - - - - -	Level 2 - - - - - - -	Level 3 - - - - - - -	Total
			- - - - - -
			-

(b) Fair value valuation technique of financial instruments measured at fair value
(i) Non-derivative financial instruments

The listed shares and beneficiary certificates held by the Group are measured at fair value according to standard provision and conditions, and are traded in active markets, the fair value is measured using the quoted price in an active market. In addition to the above mentioned financial assets with active market transactions, the fair value of unlisted shares held by the Group is estimated using the market comparable company method, which is measured by price-book ratio of the peers.

(ii) Derivative financial instruments

Forward foreign exchange contracts are measured based on the current forward exchange rate.

(c) There was no transfer between the different levels of fair value hierarchy for the nine months ended September 30, 2025 and 2024.
(d) Quantified information for significant unobservable inputs used in fair value measurement (Level 3).

The Group's financial instruments measured at fair value which are categorized within Level 3 include financial assets at FVTPL – venture capital funds and financial assets at FVOCI – equity investments.

The Group’s financial instruments classified as Level 3 fair value are measured using only a single significant unobservable input. Only equity investments without an active market involve multiple significant unobservable inputs. The significant unobservable inputs of equity investments without an active market are individually independent, and there is no correlation between them.

~33~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Quantified information regarding significant unobservable inputs are as follows:

Item Financial assets at FVTPL – venture capital funds Financial assets at FVOCI – equity investments without an active market	Valuation technique Asset approach Market approach (comparable with price-book ratio of the peers)	Significant unobservable inputs Inter-relationship between significant unobservable inputs and fair value measurement ●Lack of market liquidity ●The higher the level of lacking liquidity, the lower the estimate of fair value ●P/B ratio multiplier (1.35~7.20, 1.37~7.94 and 1.65~4.15 as of September 30, 2025, December 31, 2024 and September 30, 2024, respectively) ●Discount for lack of market liquidity ( 30%~60% as of September 30, 2025, December 31, 2024 and September 30, 2024) ●The higher the P/B ratio, the higher the fair value ●The higher the market liquidity discount rate, the lower the fair value

(e) Reconciliation for fair value measurements categorized within level 3:

Balance as of January 1 Total gain/loss Recognized in profit and loss Balance as of September 30 Balance as of January 1 Addition in investments Total gain/loss Recognized in other comprehensive income Balance as of September 30	Financial assets at FVTPL – venture capital funds
	For the nine months ended September 30, 2025 2024 $ 35,000 - (1,884) - $ 33,116 - Financial assets at FVOCI – equity investments without an active market
	For the nine months ended September 30, 2025 2024 $ 284,575 114,517 - 256,160 (188,712) (56,966) $ 95,863 313,711
	2025 $ 284,575 - (188,712) $ 95,863

The total gains and losses above were recognized in “ other gains and losses” and “unrealized gains (losses) from investments in equity instruments measured at fair value through other comprehensive income”, respectively.

~34~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(22) Financial risk management

Market price risk of interest rate movements: All of the Group's assets and liabilities bear floating interest rates, and thus suffer from cash flow interest rate risk exposure.

The goals and policies of the Group's financial risk management were not materially different from those disclosed in note 6(22) of the consolidated financial statements for the year ended December 31, 2024.

(23) Capital management

The objectives, policies and procedures of the Group's capital management have been applied consistently with those described in the consolidated financial statements for the year ended December 31, 2024. Also, there was no significant change in the Group's capital management information as disclosed for the year ended December 31, 2024. Refer to Note 6(23) of the consolidated financial statements for the year ended December 31, 2024 for the relevant information.

(24) Financing activities of non-cash transactions

Reconciliation of liabilities arising from financing activities was as follows:

January 1, 2025 Short-term borrowings $ 130,868 Lease liabilities 13,500 Guarantee deposits received 817,925 Total liabilities from financing activities $ 962,293 January 1, 2024 Short-term borrowings $ 589,278 Lease liabilities 16,684 Guarantee deposits received 1,075,130 Total liabilities from financing activities $ 1,681,092	Cash flows 684,524 (9,572) (277,450) 397,502 Cash flows (573,458) (6,206) (277,450) (857,114)	Changes in foreign exchange and other 4,761 23,493 (83,440) (55,186) Changes in foreign exchange and other 6,772 4,695 (6,405) 5,062	September 30, 2025
			820,153 27,421 457,035
			1,304,609
			September 30, 2024
			22,592 15,173 791,275
			829,040

~35~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

7. Related-party transactions

(1) Names and relationship with related parties

The following are summaries of related parties that have had transactions with the Group during the periods presented in the consolidated financial statements.

Name of related parties	Relationship with the Group
AUO Corporation (AUO)	AUO accounted for its investments in the Company
	using the equity method
AUO (Suzhou) Co., Ltd. (AUOSZ)	Subsidiary of AUO
AUO (Xiamen) Co., Ltd. (AUOXM)	Subsidiary of AUO
AUO (Kunshan) Co., Ltd. (AUOKS)	Subsidiary of AUO
AUO Education Service Corp. (AUES)	Subsidiary of AUO
AUO Display Plus Corporation (ADP)	Subsidiary of AUO
Space Money Inc.(S4M)	Subsidiary of AUO
AET Corporation	Subsidiary of AUO
HeilongJiang Talenda Smart Display	Subsidiary of ADP
Technology Co., Ltd (Talenda)
Sungen Power Corp.	Subsidiary of AUO

(2) The Group’s significant related party transactions and balances were as follows:
A. Sales

The amounts of significant sales transactions between the Group and related parties were as follows:

For the three months ended September 30, 2025 2024 $ 471,492 644,269 351,585 393,903 142,575 127,291 47,956 62,830 $ 1,013,608 1,228,293	For the nine months ended September 30,	For the nine months ended September 30,
2025 $ 471,492 351,585 142,575 47,956 $ 1,013,608	2025 1,498,417 920,181 449,722 144,484 3,012,804	2024
		1,583,291 1,165,925 327,262 176,768
		3,253,246

For the nine months ended September 30, 2025 and 2024, the collection terms for sales to related parties were 60 to 120 days from the end of the month during which the invoice is issued or the products have been delivered after the advance receipt. The collection terms for sales to non-related parties were 30 to 120 days from the end of the month during which the invoice is issued or the products have been delivered after the advance receipt. The pricing for sales to related parties were not materially different from those with third parties.

~36~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

B. Receivables from related parties

The receivables from related parties were as follows:

Account Receivables from related parties Receivables from related parties Receivables from related parties Receivables from related parties	Relationship AUOSZ AUOXM AUO Other related parties	September 30, 2025 $ 758,900 508,242 215,700 83,979 $ 1,566,821	December 31, 2024 937,697 519,307 149,305 81,238 1,687,547	September 30, 2024
				886,955 587,517 187,711 90,797
				1,752,980

C. Other payables to related parties

The payables to related parties were as follows:

Account Other accounts payable from related parties Other accounts payable from related parties Refund liabilities	Relationship AUO Other related parties Other related parties	September 30, 2025 $ 22,180 593 $ 22,773 $ 8,641	December 31, 2024 2,291 516 2,807 4,952	September 30, 2024
				9 42
				51
				1,539

D. Other

(a) The other income of the Group from its related parties were as follows:

AUO	For the three months ended September 30, 2025 2024 $ - 13,012	For the nine months ended September 30,	For the nine months ended September 30,
	2025 $ -	2025 -	2024
			44,762

(b) The rental expenses and other expenses paid to the related parties under lease contracts were as follows:

For the three months ended September 30, 2025 2024 $ 9,744 7,913 449 49 $ 10,193 7,962	For the nine months ended September 30,	For the nine months ended September 30,
2025 $ 9,744 449 $ 10,193	2025 27,769 1,116 28,885	2024
		23,665 167
		23,832

~37~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Other related parties	For the three months ended September 30, 2025 2024 $ - -	For the nine months ended September 30,	For the nine months ended September 30,
	2025 $ -	2025 849	2024
			-

(d) Cash dividend distribution from capital surplus

AUO	For the three months ended September 30,	For the three months ended September 30,	For the nine months ended September 30,	For the nine months ended September 30,
	2025 $ 4,407	2024	2025 $ 4,407	2024
		-		-

(e) The prepayments of the Group were as follows:

Account Other current assets Other current assets	Relationship September 30, 2025 AUO $ - Other related parties 322 $ 322	December 31, 2024 7,854 - 7,854	September 30, 2024
			7,854 14
			7,868

(3) Key management personnel compensation

Key management personnel compensation comprised:

For the three months ended September 30, 2025 2024 $ 47,433 67,453 189 189 $ 47,622 67,642	For the nine months ended September 30,	For the nine months ended September 30,
2025 $ 47,433 189 $ 47,622	2025 137,167 567 137,734	2024
		199,485 567
		200,052

8. Pledged assets:

The carrying values of pledged assets were as follows:

Asset Name Restricted cash in bank (recognized in other financial assets`－` current) Restricted cash in bank (recognized in other financial assets`－` current)	Pledged to secure Import guarantee for customs Import guarantee	September 30, 2025 $ 34,525 220,130 $ 254,655	December 31, 2024 34,458 220,130 254,588	September 30, 2024
				34,448 220,130
				254,578

~38~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

9. Significant contingencies and unrecognized commitments:

(1) The Company signed a contract to purchase a real estate located in Tai Yuen Hi-Tech Industrial Park on November 2, 2023, with a total contract price of $1,845,000 thousand (tax included), of which, the amount of $350,550 thousand (tax included) had been paid as of September 30, 2025.
(2) The Company has entered into capacity guarantee contracts with several customers, and collects deposits and advance receipts as agreed to reserve specific production capacity to such customers.

10. Significant disaster losses: None.

11. Subsequent events: None.

12. Others:

The following is the summary statement of the current period employee benefits, depreciation, and amortization expenses, by function:

By function By item	For the three months ended September 30,	For the three months ended September 30,	For the three months ended September 30,	For the three months ended September 30,	For the three months ended September 30,	For the three months ended September 30,
	2025			2024
	Operating Costs	Operating Expenses	Total	Operating Costs	Operating Expenses	Total
Employee benefits Salary Labor and health insurance Pension Other employee benefits Depreciation Amortization	37,982 3,000 1,384 1,333 281 102	747,233 40,870 20,298 25,319 30,902 84,278	785,215 43,870 21,682 26,652 31,183 84,380	44,080 3,122 1,418 1,500 220 60	798,263 38,719 18,174 24,486 48,073 49,135	842,343 41,841 19,592 25,986 48,293 49,195

Labor and health insurance Pension Other employee benefits Depreciation Amortization	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195	3,000 40,870 43,870 3,122 38,719 41,841 1,384 20,298 21,682 1,418 18,174 19,592 1,333 25,319 26,652 1,500 24,486 25,986 281 30,902 31,183 220 48,073 48,293 102 84,278 84,380 60 49,135 49,195
By function By item	For the nine months ended September 30,
	2025			2024
	Operating Costs	Operating Expenses	Total	Operating Costs	Operating Expenses	Total
Employee benefits Salary Labor and health insurance Pension Other employee benefits Depreciation Amortization	124,025 9,545 4,238 4,095 734 305	2,132,498 118,047 58,738 73,938 86,897 248,712	2,256,523 127,592 62,976 78,033 87,631 249,017	136,666 9,107 4,033 4,236 563 160	2,358,993 111,141 51,918 67,112 155,790 137,218	2,495,659 120,248 55,951 71,348 156,353 137,378

~39~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

13. Other disclosures:

(1) Information on significant transactions:

The followings is a summary of the information on significant transactions required by the Regulations Governing the Preparation of Financial Reports by Securities Issuers for the Group:

A. Loans to other parties: None.
B. Guarantees and endorsements for other parties:

(In Thousands of New Taiwan Dollars)

No.	Endorsement / Guarantee Provider	Guarantee Party	Guarantee Party	Limitation on Endorsement/ Guarantees Amount Provided to Each Guarantee Party	Maximum Balance for the Period	Ending Balance	Amount Actually Drawn	Amount of Endorsement/ Guarantee Collateralized by Properties	Ratio of Accumulated Endorsement/ Guarantees to Net Equity per Latest Financial Statements	Maximum Endorsement/ Guarantee Amount Allowable	Guarantee Provided by Parent Company	Guarantee Provided by A Subsidiary	Guarantee Provided to Subsidiaries in Mainland China
		Name	Nature of Relationship
0	The Company S (	Raydium emiconductor Kunshan) Co., Ltd.	Subsidiary	2,261,353	609,380	609,380	372,258	-	% 5.39	5,653,383	Y	N	Y

Note 1: The maximum amount of the Group's endorsement/guarantee for a single enterprise shall not exceed 20% of the net value of the latest financial statements audited or reviewed by accountants.
Note 2: The total amount of the Group's endorsement/guarantee for others shall not exceed 50% of the net value of the latest financial statements audited or reviewed by accountants.

C. Securities held as of September 30, 2025 (excluding investment in subsidiaries, associates and joint ventures):

(In Thousands of shares and Thousands of New Taiwan Dollars)

Company Name	Marketable Securities Type and Name	Relationship with the Company	Financial Statement Account		Ending Balance	Ending Balance		Note
				Shares/Units	Carrying Value	Percentage of Ownership	Fair Value
The Company The Company The Company The Company	Yuanta Wan Tai Money Market Fund Fubon Chi-Hsiang Money Market Fund Shares of AUO Corporation Shares of ARK Semiconductor Inc.	- - AUO accounted for its investments in the Company using the equity method The Company represented as an director of ARK	Financial assets at FVTPL `－`current `〃` Financial assets at FVOCI `－`non-current `〃`	25,997 15,232 14,459 1,983	414,488 251,608 197,360 74,959	- - % 0.19 % 15.81	414,488 251,608 197,360 74,959

D. Related-party transactions for purchases and sales with amount exceeding the lower of NT$100 million or 20% of the stock capital:

(In Thousands of New Taiwan Dollars)

Company Name	Related Party	Nature of Relationship		Transaction Details	Transaction Details		Transactions with Terms Different from Others	Transactions with Terms Different from Others	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)
			Purchase/ Sales	Amount	Percentage of Total Purchases/ Sales	Payment Terms	Unit Price	Payment Terms	Ending Balance	Percentage of Total Notes/ Accounts Receivable (Payable)
The Company The Company The Company The Company	AUOSZ AUOXM AUOKS AUO	Subsidiary of AUO Subsidiary of AUO Subsidiary of AUO AUO accounted for its investment in the Company using the equity method	Sales Sales Sales Sales	1,400,695 907,710 143,316 449,722	% 9 % 6 % 1 % 3	EOM 120 days EOM 120 days EOM 120 days EOM 120 days	Please refer to note 7 Please refer to note 7 Please refer to note 7 Please refer to note 7	Please refer to note 7 Please refer to note 7 Please refer to note 7 Please refer to note 7	700,309 502,254 83,019 215,700	20% 14% 2% 6%

~40~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

E. Receivables from related parties with amounts exceeding the lower of NT$100 million or 20% of the stock capital:

(In Thousands of New Taiwan Dollars)

Company Name	Related Party	Nature of Relationship	Ending Balance	Turnover Rate	Overdue	Overdue	Amounts Received in Subsequent Period (Note)	Allowance for Bad Debts
					Amount	Action Taken
The Company The Company The Company The Company	AUOSZ AUOXM AUOKS AUO i	Subsidiary of AUO Subsidiary of AUO Subsidiary of AUO AUO accounted for its nvestment in the Company using the equity method	700,309 502,254 83,019 215,700	3.56 3.67 3.49 4.93	- - - 160	On the spot collection On the spot collection On the spot collection On the spot collection	159,790 72,731 18,218 61,816	- - - -

Note: Amounts collected in subsequent period as of October 28, 2025.

F. The business relationship between the parent and the subsidiaries and significant transactions between them: None.
(2) Information on investees (excluding information on investees in Mainland China):

(In Thousands of shares and Thousands of New Taiwan Dollars)

Investor Company	Investee Company	Location	Main businesses and products	Original investment amount	Original investment amount	Balance a	s of September 30, 2025	s of September 30, 2025	Net income (losses) of investee	Share of Profits/ Losses of Investee	Note
				September 30, 2025	December 31, 2024	Shares	Percentage of ownership	Carrying value
The Company	RSA	SAMOA	Investment Holding	329,576	248,280	10,550	% 100.00	227,860	16,366	16,366	Subsidiary of the Company

(3) Information on investment in Mainland China:
A. The names of investees in Mainland China, the main businesses and products, and other information:

(In Thousands of New Taiwan Dollars)

Investee Company	Main businesses and products	Total amount paid-in capital	Method of investment (note 1)	Accumulated outflow of investment from Taiwan as of January 1, 2025	Investment flows	Investment flows	Accumulated outflow of investment from Taiwan as of September 30, 2025	Net income (losses) of the investee (Note 3)	Percentage of ownership	Investment income (loss) (Note 3 and 5)	Carrying amounts (Note 2)	Accumulated remittance of earnings in current period
					Outflow	Inflow
Raydium Semiconductor (Kunshan) Co., Ltd. Raydium Semiconductor (Hefei) Co., Ltd	Development, design and sale of the IC . Development, design and sale of the IC	245,200 (USD8,000 thousand) 164,919 (RMB36,000 thousand)	2 3	245,200 -	- 81,296	- -	245,200 81,296	15,059 (634)	100.00% 100.00%	15,059 (634)	148,041 153,365	- -

~41~

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

B. Limitation on investment in Mainland China:

Accumulated Investment in Mainland China as of September 30, 2025	Investment Amounts Authorized by Investment Commission, MOEA	Upper Limit on Investment (Note 4)
326,496 (USD10,450 thousand)	326,496 (USD10,450 thousand)	6,784,059

Note 1:Method of investment:

  1. Direct investment in Mainland China.

  2. Investment in companies in Mainland China through the existing companies in SAMOA.

  3. Others: Jointly established through RSA and RKS.

Note 2:Amounts denominated in foreign currencies are translated into New Taiwan Dollars using the spot rate on the balance sheet date.
Note 3:Amounts denominated in foreign currencies are translated into New Taiwan Dollars using the average exchange rate.
Note 4:Pursuant to the Regulations Governing Permission for Investment and Technical Cooperation in the Mainland Area, the Group's accumulated investments in Mainland China did not exceed the upper limit on investment amount or ratio stipulated by the Investment Commission, Ministry of Economic Affairs (the “MOEA”).
Note 5:The financial statements were reviewed by the parent's external accountants.
C. Significant transactions with the investees in Mainland China:

The significant inter-company transactions with the subsidiary in Mainland China for the nine months ended September 30, 2025, which were eliminated in the preparation of consolidated financial statements, are disclosed in “Information on significant transactions”.

14. Segment information:

The Group mainly engage in development, design and sales of integrate circuits. It only has a single operating segment to be reported. The Group's operating segment above were consistent with the related accounts shown in the consolidated balance sheets and consolidated statements of income. Please refer to the consolidated balance sheet and the consolidated income statement for details of departmental profit and loss, departmental information, and departmental liability information.

~42~

AI assistant

Raydium — Interim / Quarterly Report 2025

52350_rns_2025-12-31_ec4d62dc-e25d-4cac-a37a-f9e53454d6ef.pdf

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Financial Statements

Table of Contents

Independent Auditors’ Review Report

Introduction

Scope of Review

Conclusion

KPMG

Notes to Readers

(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Balance Sheets

September 30, 2025, December 31, 2024, and September 30, 2024

(Expressed in Thousands of New Taiwan Dollars)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income

For the three months and nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars)

(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Changes in Equity

For the nine months ended September 30, 2025 and 2024

(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Raydium Semiconductor Corporation and Subsidiaries

Consolidated Statements of Cash Flows

For the nine months ended September 30, 2025 and 2024

(Expressed in Thousands of New Taiwan Dollars)

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

For the nine months ended September 30, 2025 and 2024

1. Company history:

2. Date and procedures of authorization of financial statements for issue:

3. Application of Newly Issued or Revised Standards and Interpretations:

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

4. Summary of material accounting policies:

(1) Statement of compliance

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(2) Basis of consolidation

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

5. Significant accounting judgments, and major sources of estimation and assumptions uncertainty:

6. Explanation of significant accounts:

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(16) Equity

A. Issuance of common stock

B. Capital surplus

C. Retained earnings

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

A. Detail of revenue

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(21) Financial instruments

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

A. Credit risk

(b) Credit risk concentration

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

B. Liquidity risk

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

C. Foreign currency risk

(a) Exposure of foreign currency risk

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(c) Foreign exchange gains (losses) on monetary items

D. Interest rate analysis

E. Other market price risk

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Semiconductor Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Raydium Interim / Quarterly Report 2025