RH — Investor Presentation 2021

May 10, 2021

TW.4807

==> picture [87 x 151] intentionally omitted <==

==> picture [151 x 12] intentionally omitted <==

Investor Conference

April 21, 2021

TW.4807

www.regaljewelrygroup.com

1

TW.4807

Established

2014.10.06

Chairman

PHACHARAPON PHAIBOONSUNTORN

Shares 38,386,000 Paid in Capital NTD 384 million

Headquarter

- Thailand(1991.02.21 )

Staffs

2,900+

Thailand Production Base

◊ 65,896 square meters ◊ 3 jewelry factories ◊ 1 jewelry plating factory entity

www.regaljewelrygroup.com

2

TW.4807

•

•

Industry status

Upstream

Raw metal mining and production Stone rough material mining and production

Midstream -- 1

Midstream -- 2

• Gemstones/artificial • Jewelry • • stones cutting and manufacturing polishing • Gemstones/artificial plant • • stones wholesale Jewelry plating • • Jewelry Design and plant • Brand operators Jewelry • Manufacturers of accessories • jewelry process supplier equipment and material supply

•

Downstream

Jewelry brand shops Department stores/malls Discount stores Non- physical shops （ Catalogue and B2C e-commerce ） Network Community channels

www.regaljewelrygroup.com

3

TW.4807

Special Certification

==> picture [154 x 99] intentionally omitted <==

==> picture [434 x 75] intentionally omitted <==

==> picture [300 x 52] intentionally omitted <==

==> picture [194 x 114] intentionally omitted <==

==> picture [196 x 71] intentionally omitted <==

==> picture [186 x 56] intentionally omitted <==

==> picture [162 x 56] intentionally omitted <==

==> picture [247 x 73] intentionally omitted <==

www.regaljewelrygroup.com

4

TW.4807

Main Products Harmonized System Codes (HS Code)

7117 Imitation jewellery

• 711711 Jewellery: imitation, cuff links and studs, of base metal, whether or not plated with precious

• metal

• 711719 Jewellery: imitation, (excluding cuff links and studs), of base metal, whether or not plated with precious metal

• 711790 Jewellery: imitation, of other than base metal, whether or not plated with precious metal

• 7113 Jewellery articles and parts thereof, of precious metal or of metal clad with precious metal

• 711311 Jewellery: of silver, whether or not plated or clad with other precious metal, and parts thereof

• 711319 Jewellery: of precious metal (excluding silver) whether or not plated or clad with precious

• metal, and parts thereof

• 711320 Jewellery: of base metal clad with precious metal, and parts thereof

www.regaljewelrygroup.com

5

TW.4807

7117 & 7113 Reporting Countries Export Statistics Thailand is the world‘s top ten 7117 & 7113 exporters

==> picture [636 x 157] intentionally omitted <==

==> picture [636 x 150] intentionally omitted <==

www.regaljewelrygroup.com

6

Source: IHS Markit

TW.4807

Thailand Major Export Country (2018-2020) #7117 Imitation Jewelry

	Thailand Major Export Country (2018-2020) #7117 Imitation Jewelry Unit：USD million	Thailand Major Export Country (2018-2020) #7117 Imitation Jewelry Unit：USD million	Thailand Major Export Country (2018-2020) #7117 Imitation Jewelry Unit：USD million	Singapore, 24.54 USA, 32.81 HongKong, 24.67 Switzerland , 17.61 Germany, 7.54 China, 4.84 Australia, 3.02 Italy, 2.11 India, 0.21 Belgium, 0.56 Liechtenst ein, 56.17 2020
Country	2020Q1-Q3	Quarterly4	Total
	2018 2019 2020	2018 2019 2020	2018 2019 2020
Singapore	52.25 59.01 20.24	21.45 17.32 4.3	73.7 76.33 24.54
USA	32.73 27.75 21.91	11.63 11.43 10.9	44.36 39.18 32.81
HongKong	12.25 16.32 16.8	5.36 6.16 7.87	17.61 22.48 24.67
Switzerland	5.63 10.41 12.43	2.32 3.44 5.18	7.95 13.85 17.61
Germany	12.77 7.11 5.45	3.48 2.68 2.09	16.25 9.79 7.54
China	4.22 4.31 3.44	0.16 1.04 1.4	4.38 5.35 4.84
Australia	2.42 2.23 2	0.63 0.77 1.02	3.05 3.00 3.02
Italy	3.85 2.16 1.61	2.05 0.55 0.5	5.9 2.71 2.11
India	1 1.1 0.16	0.1 0.28 0.05	1.1 1.38 0.21
Belgium	0.73 0.85 0.44	0.2 0.23 0.12	0.93 1.08 0.56
Liechtenstein	120.73 116.87 47.06	44.32 40.42 9.11	165.05 157.29 56.17
Source: Gem and	JewelryInformation Center

Thailand's export value also fell sharply due to COVID-19 in the first half of 2020, but recovered slowly since Q3.

www.regaljewelrygroup.com

7

TW.4807

Thailand Major Export Country (2018-2020) #7113 Jewellery articles and parts thereof, of precious metal or of metal clad with precious metal

	Thailand Major Export Country (2018-2020) #7113 Articles Of Jewelry And Parts Thereof, Of Precious Metal Or Of Metal Clad With Precious Metal Unit：USD million	Thailand Major Export Country (2018-2020) #7113 Articles Of Jewelry And Parts Thereof, Of Precious Metal Or Of Metal Clad With Precious Metal Unit：USD million	Thailand Major Export Country (2018-2020) #7113 Articles Of Jewelry And Parts Thereof, Of Precious Metal Or Of Metal Clad With Precious Metal Unit：USD million	USA, 771.40 HongKong, 190.03 Italy, 81.17 Germany, 480.34 China, 126.80 Australia, 143.05 India, 16.90 Singapore, 56.67 Cambodia, 5.22 Switzerland , 26.30 Belgium, 5.40 2020
Country	2020Q1-Q3	Quarterly4	Total
	2018 2019 2020	2018 2019 2020	2018 2019 2020
USA	747.12 632.28 511.30	253.69 271.82 260.1	1000.81 904.10771.40
HongKong	562.67 472.77 130.17	55.48 68.36 59.86	618.15 541.13190.03
Italy	65.09 178.76 67.23	13.71 12.98 13.94	78.8 191.74 81.17
Germany	416.77 312.26 349.64	179.91 194.62 130.7	596.68 506.88480.34
China	146.74 123.66 105.94	65.71 55.54 20.86	212.45 179.20126.80
Australia	115.37 81.90 79.58	61.03 50.44 63.47	176.4 132.34143.05
India	38.88 50.72 12.72	2.47 20.2 4.18	41.35 70.92 16.90
Singapore	31.6 32.61 34.30	12.39 13.29 22.37	43.99 45.90 56.67
Cambodia	3.56 9.83 5.22	0.46 12.62 0	4.02 22.45 5.22
Switzerland	99.31 81.05 20.65	10.04 10.59 5.65	109.35 91.64 26.30
Belgium	4.2 4.22 3.01	1.89 1.83 2.39	6.09 6.05 5.40
Total	2231.31 1980.061319.76	656.78 712.29583.52	2888.09 2692.351903.28
Source: Gem and JewelryInformation Center

Thailand's export value also fell sharply due to COVID-19 in the first half of 2020, but recovered slowly since Q3.

www.regaljewelrygroup.com

8

TW.4807

Thailand Major Export Country (2018-2020) #7113 Jewellery articles and parts thereof, of precious metal or of metal clad with precious metal

==> picture [301 x 27] intentionally omitted <==

----- Start of picture text -----

Thailand Export Value(QoQ)#7113
----- End of picture text -----

==> picture [82 x 8] intentionally omitted <==

----- Start of picture text -----

Unit ： USD million
----- End of picture text -----

Thailand's export value also fell sharply due to COVID-19 in the first half of 2020, but recovered slowly since Q3.

www.regaljewelrygroup.com

9

TW.4807

==> picture [62 x 95] intentionally omitted <==

2020 Operation Report

==> picture [440 x 10] intentionally omitted <==

A few months into COVID-19, consumer shopping online has increased significantly across many categories. Consumer intent to shop online continues to increase. What’s more, these habits seem likely to stick as US consumers report an intent to shop online even after the COVID-19 crisis. Even discretionary categories such as skin care/makeup, apparel, and jewelry and accessories show expected online customer growth of more than 15 percent. Source : McKinsey report

www.regaljewelrygroup.com

10

TW.4807

2020 Conclusion

• Deepened the cooperation with omni-channel customers externally. Strengthened employee health and safety education internally. Strengthened the internal and external structure of the Regal Group.

• Introduced small and medium-sized production lines, and strived for more orders from Gen Z customers (smaller quantities of various different high-margin products).

• Metalworking revenue increased by approximately 14.23% annually. Under proper cost control, GP rate increased from the 2019‘s 10.69% to 25.52%. Electroplating revenue decreased by approximately 15.15% annually, and GP rate decreased from the 2019’s 17.21% to 10.80%, because of the rise of precious metal prices.

• A-Team's cross-departmental teamwork effectively increased the success rate of new product development by more than 50%.

• Gradually optimized the production process to reduce costs, and at the same time focused more on the improvement of product quality and the R&D of high-level skills. As a result, the annual profit for 2020 has turned from a loss into a profit.

www.regaljewelrygroup.com

11

TW.4807

COVID-19 Factory Management

1. Under the existing epidemic prevention measures, strengthen employees and visitors management mechanisms such as safety social distance, temperature monitoring, hand washing and disinfection, mask wearing and epidemic prevention sense disseminating. In the meanwhile, non-essential visitors are not allowed to visit the factory.

2. Implement employee health and whereabouts check mechanisms. During non-working days, employees are required to periodic report health and whereabouts. Review mechanisms are also established to prevent employees involved in high-risk areas. Quarantine and management measures will be strengthened for employees who involved in high-risk areas.

3. Increase the installation of hand-washing devices, periodic disinfection, maintain indoor ventilation, set up safety social distance warning, ban the sale of raw food, and post epidemic prevention announcements in the factory.

4. Establishing a four-stage risk diagnosis emergency measure to maintain the normal operation of the factory.

www.regaljewelrygroup.com

12

TW.4807

Distribution of Regal Group customers

==> picture [445 x 255] intentionally omitted <==

----- Start of picture text -----

Europe 25%
North America
24%
Global 50%
Type percentage
Omni-channel 73%
Online channel 22%
Offline channel 5%
----- End of picture text -----

www.regaljewelrygroup.com

13

TW.4807

Regal Group 2020 Operating overview

Accumulated Revenue NTD 1.76 billion (YoY-0.02%) Gross margin : 23% N/I rate : 5% EPS ： 2.31

www.regaljewelrygroup.com

14

TW.4807

2018 2019 2020 2018 2019 2020 2018 2019 2020 2018 2019 2020

www.regaljewelrygroup.com

15

TW.4807

==> picture [62 x 95] intentionally omitted <==

2021 Management Policy & Outlook

==> picture [518 x 10] intentionally omitted <==

The challenging environment born out of the unprecedented events of 2020 will linger into 2021, with global fashion sales projected to be below 2019 levels by as much as 15 percent in the Later Recovery scenario. A full recovery of global fashion sales to pre-crisis levels will not come until the third quarter of 2022 at the earliest, according to McKinsey’s Fashion Scenarios. Source : BOF & McKinsey report

www.regaljewelrygroup.com

16

TW.4807

2021Management Policy & Outlook

• 1.Continuous, non-stop promotion of epidemic precautions.

• 2.In the process of renovating the production line, using our strengths to maintain the flexibility of manpower and the balance between production and sales.

• 3.Upgraded computer software and hardware to improve the efficiency of information security protection and departmental management.

• 4.Create strong foundations for our business venture to promote sustainable growth.

==> picture [162 x 63] intentionally omitted <==

1. Strengthen management efficiency

2. Employee growth training ~~p~~ lan

3. Production & HR re-allocation pla ~~n~~

M 1. M-shaped customers development

==> picture [159 x 13] intentionally omitted <==

----- Start of picture text -----

www.regaljewelrygroup.com
----- End of picture text -----

17

TW.4807

The Stage of Designer

 Inspiring and encouraging people or corporations to create mix-match business opportunities.

 Through “D.Vita” and “ ReModa ” two platforms. aid to incubate designers from their inspiration till products roll out to markets.

www.regaljewelrygroup.com

18

TW.4807

Design Partners’ Platform

2020/Q4 ：

Oct: Co-develop IP products with Hua Xing Entertainment. Built and developed teams for designer competition project. Nov: Co-designed jewelry pieces with a Taiwanese celebrity for Jin Ma Award candidate.

Dec: Sponsored the “Xiao Len Tao Gei” festival event organized by The Eslite Spectrum Corporation.

Coached candidates of the D. Vita designer project and developed products from their sketches.

2020/Q2-Q3 ：

1.June 18th: Establishment of the D.Vita project and ReModa’s platform.

2.Improved the operation of social media channels and E-platforms.

2021 ：

Jan: Train designers on jewelry production process.

Mar: Custom 1 on 1 lessons for designers. Apr: Pitch Demo event.

May: Sample 3D printing.

July: D.Vita selects designer products to crowdfund through pre-orders.

Aug: 2nd D.Vita competition designer team recruitment.

Oct: 2nd D.Vita competition designer selection. Nov: Selection of Shining Star from 1st D.Vita competition.

Dec: Accelerated training for the selected designers of the 2nd D.Vita competition.

www.regaljewelrygroup.com

19

TW.4807

Brand Channel Expansion

• E-Commerce ： AMAZON(USA) 、 MOMO(TW) 、 Pinkoi(TH) 、 Shopee(TH) 、 Lazada(TH) & T-MALL(CN) etc.

• Retail Stores ： Central-shop in shop(TH) 、 Café’(TH) 、 Song Jiang main store sales 、

• event (TW) SELF Oasis (TW) & pop-up shops etc. In addition, collaborate with new distributers to establish 26 sales channels in Thailand.

• Brand Collaborations ： Combining well-known Thai direct distributors, Taiwanese film, television, and online dramas to create a win-win opportunity for collaborators.

www.regaljewelrygroup.com

20

TW.4807

The Growth of OEM/ODM

==> picture [669 x 327] intentionally omitted <==

----- Start of picture text -----

Reengineering: Market Expansion:
Three Forces Three Arrows
•Quick quotation, design sample for new
order opportunities
Expand
Leverage Strengths Market •Defeat competitors and seize the share
of winners
Leverage Outsourcing Share
Balance Peak & Low •Leading competitors and expanding the
Seasons ESG market
Growth Mindset
•Gold jewelry & Fashion jewelry
Expand
•IP jewelry(Disney, Marvel, Gamer)
Product
•Non traditional jewelry
Line
Planning Power
Speed Flexibility
Competitiveness
Welcome •Omni-channel jeweler in Europe and US
Quality, Delivery, Expand
Changes
Cost New •Europe and US customer referrals to
Strengthen Customer reduce the impact of epidemic.
Base •Regional expansion
----- End of picture text -----

21

TW.4807 TW.4807

Regal Group’s strategy & expectation

• The ultimate in craftsmanship

• The core green supplier of brand customers

• The partner who accompanies with customer's growth

• The incubator of potential brands

• The leader of the Total service solution

www.regaljewelrygroup.com

22

TW.4807

Today, Jewelry is not just Jewelry. The Industry is Changing, same as Fashion & Luxury Industry. Regal is transforming into + Jewelry Stage

Technique . Craftsmanship . Design . Innovation

www.regaljewelrygroup.com

23

==> picture [36 x 55] intentionally omitted <==

==> picture [213 x 26] intentionally omitted <==

Thank You

TW.4807

==> picture [288 x 405] intentionally omitted <==

w w w. r e g a l j e w e l r y g r o u p . c o m

24