Skytech — Annual Report 2025

May 5, 2026

Annual Report Website: https://mops.twse.com.tw/

Skytech annual report is available at https://www.skytech.com.tw/

Stock Code: 6937

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Skytech Inc.

2025 ANNUAL REPORT

Notice to readers

This English version annual report is a summary translation of the Chinese version and not an official document of the shareholders’ meeting. If there is any discrepancy between the English and Chinese version ,the Chinese version shall prevail.

Printed on March 31, 2026

◎ Spokesperson

Name: Paul Huang Title: Chairman and General Manager Tel: 886-3- 667-3055 E-mail: ir@Skytech.com.tw ◎ Acting Spokesperson Name: George Yi Title: Chief Executive Officer Tel: 886-3- 667-3055 E-mail: ir@Skytech.com.tw ◎ Headquarter and Factory Headquarter: 6F., No. 1, Jiazheng 1st St., Zhubei City, Hsinchu County 302054, Taiwan (R.O.C.) Major Factory: No. 1, Ren'ai Rd., Hukou Township, Hsinchu County 303035, Taiwan (R.O.C.) Tel : 886-3- 667-3055 ◎ Stock Transfer Agent Company: The Transfer Agency Department of Yuanta Securities Co., Ltd. Address: B1F., No. 67, Sec. 2, Dunhua S. Rd., Da'an Dist., Taipei City 106. http://www.yuanta.com Tel: 886-2-2586-5859 ◎ Certified Public Accountant Names of the CPA: Bai Shu-Chian, Cheng Ya-Huei Name of CPA firm: PricewaterhouseCoopers Taiwan 27F, No. 333, Sec. 1, Keelung Rd., Xinyi Dist., Taipei 110208, Taiwan Website: http://www.pwc.tw Tel: 886-2-2729-6666

◎ The Company does not issue any overseas securities. ◎ http://www.skytech.com.tw

I. Letter to Shareholders ............................................................................................ ……1	I. Letter to Shareholders ............................................................................................ ……1	I. Letter to Shareholders ............................................................................................ ……1	I. Letter to Shareholders ............................................................................................ ……1
II. Corporate Governance Report ...................................................................................... 4
I.	Information of Directors (including independent directors), President,Vice Presidents,
	Assistant Presidents, Officers of Departments and Branches....................................... 4
II.	Remuneration to Directors (including independent directors), Presiden
and Vice Presidents ............................................................................................................			16
III.	Implementation of Corporate Governance .................................................................		21
IV.	Information on the Professional Fees of the Attesting CPAs ...................................	107
V. Information on Replacement of CPAs............................................................................		107
VI.	Company’s Chairman, President, or Any Manager in Charge of Finance or
	Accounting Matters has Held a Position at the Accounting Firm of Its CPA or at an
Affiliated Enterprise of Such Accounting Firm in the Most Recent Year .......................		108
VII.	Changes in Equity Interests by Directors (including independent directors), Managers
	or Shareholders with a Stake of More Than 10 Percent in the Most Recent Year and
	Up to the Date of Publication of the Annual Report ................................................	109
VIII.	Relationship Information, if among the Company’s 10 Largest Shareholders Any One
	is a Related Party or a Relative within the Second Degree of Kinship of Another ..	111
IX.	The Total Number of Shares and Total Equity Stake held in any Single Enterprise by
	the Company, its Directors (including independent directors), Managers, and Any
	Companies Controlled Either Directly or Indirectly by the Company .....................	113
III. Capital Overview .........................................................................................................		114
I.	Capital and Shares ....................................................................................................	114
II.	Corporate Bonds .......................................................................................................	119
III.	Preferred Shares .......................................................................................................	119
IV.	Global Depository Receipts ......................................................................................	119
V.	Employee Stock Option ...........................................................................................	119
VI.	Status of Employee Restricted Stock .......................................................................	120
VII.	Status of New Shares Issuance in Connection with Mergers or Acquisitions ..........	125
VIII.	Funding Plans and Implementation .........................................................................	125

IV. Business Operations Overview ................................................................................... 125
I. Business Contents .................................................................................................... 125
II. Market, Production, and Sales Overview ................................................................. 150
III. Employees Status ..................................................................................................... 159
IV. Disbursements for Environmental Protection .......................................................... 159
V. Labor Relations ........................................................................................................ 159
VI. Cyber Security and Intellectual Property Management ........................................... 162
VII. Material Contracts .................................................................................................... 166
V. Review of Financial Position, Financial Performance and Risk Management ...... 167
I. Discussion and Analysis on Financial Condition ........................................................ 167
II. Discussion and Analysis on Financial Performance ................................................... 168
III. Discuss and Analysis on Cash Flow ........................................................................... 169
IV. Impact of Major Capital Expenditures on Financial Condition .............................. 169
V. Long-term Equity Investment Policy and Results .................................................... 169
VI. Risk Assessment in Recent Years and As at The Publication Date of the Annual
Report ...................................................................................................................... 170
VII. Other Important Matters ........................................................................................... 179
VI. Special Items to be included ....................................................................................... 179
I. Information Related to the Company’s Affiliates .................................................... 179
II. Status of Company’s Private Placement of Securities in the Most Recent Year and Up
to the Date of Publication of the Annual Report ...................................................... 179
III. Other Matters that Require Additional Description ................................................. 179
VII. ...................................................................................................
Any of the Situations Listed in Article 36, Paragraph 3, Subparagraph 2 of the
Securities and Exchange Act, which might Materially Affect Shareholders' Equity
or the Price of the Company's Securities that have Occurred in the Most Recent
Year and Up to the Date of Publication of the Annual Report ............................... 180

I. Letter to Shareholders

Dear Shareholders:

First, on behalf of Skytech Inc., I would like to extend my sincere appreciation to all shareholders for your long-standing support and trust.

Looking back over the past year, the global semiconductor industry has undergone notable structural changes in the wafer fabrication sector, driven by rapid shifts in end-market applications and demand, as well as evolving geopolitical conditions. In such an operating environment where opportunities and risks are closely intertwined, all employees of the Company have remained committed to prudent management and continuous innovation. We have actively invested in product technology research and development and continued to expand our market presence, striving to strengthen the Company’s core competitiveness and to create long-term and stable corporate value for our shareholders.

The following is a report to our shareholders on the Company’s operating results over the past year and its future development direction.

1. 2025 Financial performance:

In 2025, our consolidated operating revenue amounted to NT$2,244,646 thousand, a decrease of NT$342,995 thousand compared to last year. Operating income reached NT$194,046 thousand, showing a decrease of NT$214,459 thousand from the previous year. Income before income tax stood at NT$243,040 thousand, a decrease of NT$253,343 thousand from the previous year. After deducting income tax expenses of NT$43,245 thousand, the net income amounted to NT$199,795 thousand, showing a decrease of NT$207,008 thousand from the previous year. Earnings per share were NT$3.01.

Unit: NT Thousand

Items	2025	2024	Increase/ Decrease	Growth %
Operatingrevenue	2,244,646	2,587,641	-342,995	-13.26%
Gross profit	899,941	1,137,575	-237,634	-20.89%
Operatingincome	194,046	408,505	-214,459	-52.50%
Income before income tax	243,040	496,383	-253,343	-51.04%
Net income	199,795	406,803	-207,008	-50.89%
EPS(NT)	3.01	6.03	-3.02	-50.08%

1. Overview of the Company’s 2026 Business Plan:

2. A. Semiconductor Equipment: The Company has, since 2019, engaged in the design, development, assembly, and sales of semiconductor thin-film deposition equipment, including Physical Vapor Deposition (PVD), Atomic Layer Deposition (ALD), wafer bonding and debonding equipment (Bonder & Debonder), plasma descum equipment, and Chemical Vapor Deposition (CVD) systems. Our products are primarily applied in advanced semiconductor processes, advanced packaging, the optoelectronics industry, and compound semiconductors.

In 2025, equipment revenue decreased by 13% compared to 2024, mainly due to a slower-thanexpected recovery in demand for compound semiconductor-related applications. Looking ahead,

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we will continue to adhere to our independent innovation strategy and collaborate with leading semiconductor manufacturers to develop key production equipment and processes. We aim to further strengthen our presence in the industries we serve, while integrating domestic supply chains in electromechanical control and materials R&D and manufacturing, thereby realizing the localization of semiconductor equipment production and enabling rapid customization services..

B. Semiconductor Components: In 2025, benefiting from increased end-market demand, the Company’s components business also experienced corresponding growth.

Looking ahead, the Company will continue to uphold its business philosophy of “Innovation, Professionalism, Service, and Quality,” serving as a reliable partner to customers in equipment parts repair and replacement, process improvement, and equipment relocation. At the same time, we will remain committed to new product development and quality enhancement, while actively expanding into new domestic and international customers and markets, with the aim of continuously driving profitability and revenue growth..

1. Future Development Strategies of the Company

The Company will continue to strengthen its independent R&D and technological innovation capabilities in semiconductor equipment, with a focus on high-vacuum wafer processing equipment, including the development and enhancement of core technologies such as Physical Vapor Deposition (PVD), Atomic Layer Deposition (ALD), Chemical Vapor Deposition (CVD), plasma descum, and advanced packaging-related equipment. In addition to continuously improving the performance and process integration capabilities of existing equipment, the Company is also actively investing in the development of new products, including Panel Level Packaging (PLP) equipment platforms, higher-precision wafer bonders and debonders, and etching equipment for specialized packaging applications, with the aim of expanding its product portfolio and enhancing market competitiveness.

In terms of market positioning, the Company will continue to deepen its presence in the advanced packaging equipment market. Through collaboration with leading semiconductor manufacturers both domestically and internationally, we aim to promote equipment process integration and validation, thereby accelerating product adoption into customers’ production lines. At the same time, the Company will continue to strengthen relationships with key customers to enhance equipment deployment track records and increase market penetration.

In addition, the Company will closely monitor the development trends of artificial intelligence (AI) and new material technologies, actively exploring their applications in semiconductor processes and advanced packaging equipment. The Company will also continue to evaluate strategic partnerships and technology alliances to further enhance its technology portfolio and strengthen its overall competitive advantages.

1. Impact of the External Competitive Environment, Regulatory Environment, and Overall Operating Environment

In recent years, the global semiconductor industry has been affected by fluctuations in end-market demand, unstable inventory adjustment cycles, and geopolitical factors, resulting in a degree of

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uncertainty in the overall market environment. In addition, governments worldwide have been actively promoting semiconductor industry policies, driving a gradual restructuring of the global semiconductor supply chain. Overseas foundries have enhanced their competitiveness through localization of equipment and materials, capacity expansion, and pricing strategies, thereby impacting the competitive landscape of the industry.

Meanwhile, with the continued development of emerging applications such as artificial intelligence (AI), high-bandwidth memory (HBM), data center infrastructure, autonomous vehicles, and intelligent robotics, the semiconductor industry continues to demonstrate strong long-term growth momentum. Overall, although the external environment remains subject to change and competitive pressures, the expansion of emerging technologies is also creating new opportunities for the semiconductor equipment industry.

In response to the dynamic market environment, the Company will continue to adhere to its established business strategies, respond flexibly to external changes, and capitalize on opportunities arising from emerging industries, while continuously enhancing its competitiveness and operational resilience. Looking ahead, the Company will remain committed to excellence and sustainable development, further strengthening corporate governance and fulfilling its corporate social responsibilities, with the goal of creating long-term and stable value for shareholders.

Chairman: Paul Huang

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II. Corporate Governance Report

• I. Information of Directors (including independent directors), President, Vice Presidents, Assistant Presidents, Officers of Departments and Branches :

• (I)Information Regarding Directors (including independent directors)

Directors (including independent directors)

March 31, 2025(Unit: Thousand Shares; %)

Title Name	Nationality	Gender	Date appointed	Shareholding	Shareholding	Shareholding at present by spouse and minor children	Shareholding at present by spouse and minor children	Shareholding in the name of others	Shareholding in the name of others	Major education/work experience	Current positions at the Company or other companies	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Remark
				Shares	Ratio	Shares	Ratio	Shares	Ratio			Title	Name	Relation
Chairman Paul Huang	R.O.C. (Taiwan)	M	2023.3.3	2,196	3.25	-	-	7,585	11.21	-Deputy Director, Applied Materials Taiwan -Master of Mechanical Engineering, National Taiwan University of Science and Technology. -Bachelor of Mechanical Engineering, NationalChengKung University.	Note 1	--	--	--	-
Director George Yi	R.O.C. (Taiwan)	M	2023.3.3	1,455	2.15	-	-	3,551	5.25	-Global Vice President, Applied Materials, Inc. -Master of Mechanical Engineering, National Taiwan University. -Bachelor of Mechanical Engineering, National TaiwanUniversity.	Note 2	--	--	--	-
Director Wealthwave International Investment Co., Ltd.	R.O.C. (Taiwan)	-	2023.3.3	4,269	6.31	-	-	-	-		-	Executive Vice President	Carl Lo	Spousal Relationship	None 7

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Title Name Representative : Pei-Yu LIN	Nationality	Gender	Date appointed	Shareholding	Shareholding	Shareholding at present by spouse and minor children	Shareholding at present by spouse and minor children	Shareholding in the name of others	Shareholding in the name of others	Major education/work experience	Current positions at the Company or other companies	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Remark
				Shares	Ratio	Shares	Ratio	Shares	Ratio			Title	Name	Relation
		F	2023.3.3	-	-	3,294	4.87	-	-	-Senior Business Analysis Specialist at LITE- ON Technology Corporation -Queensland University of Technology Business School	Note 3	Executive Vice Presiden	Carl Lo	Spousal Relationshi	-
Director Jing-Shu Huang	R.O.C. (Taiwan)	F	2023.3.3	20	0.03	1,742	2.57	-	-	-Ernst & Young, Certified Public Accountants, Audit Department Team Leader. -Senior Auditor at Ernst & Young, Certified Public Accountants. -National Chengchi University Department of Accounting.	Note 4	None	None	None	-
Independent Director Pai-Ta Shr	R.O.C. (Taiwan)	M	2023.3.3	-	-	-	-	-	-	-Professor of Finance at National Taiwan University Department of Finance. -Associate Professor in the Department of Economics at National Dong Hwa University. -Member of the Labor Pension Fund Supervisory Committee, Ministry of Labor -Insurance Stability Fund Advisory Committee Member. -Director of the Taiwan Risk and Insurance Management Society. -Independent Director at Edison Opto Corporation Limited. -Independent Director of Nan Shan Life Insurance Company, Ltd. -Ph.D. in Economics from the University of Texas at Austin. -Master's in Electrical Engineeringfrom	Note 5	None	None	None	-

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Title Name	Nationality	Gender	Date appointed	Shareholding	Shareholding	Shareholding at present by spouse and minor children	Shareholding at present by spouse and minor children	Shareholding in the name of others	Shareholding in the name of others	Major education/work experience	Current positions at the Company or other companies	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Remark
				Shares	Ratio	Shares	Ratio	Shares	Ratio			Title	Name	Relation
										National Taiwan University.
Independent Director Du-Cheng Li	R.O.C. (Taiwan)	M	2023.3.3	-	-	-	-	-	-	-General Managerof MPI Corporation. Graduated from the Department of Business Administration, Feng Chia University.	Note 6	None	None	None	-
Independent Director Chuen-Hung Tsai	R.O.C. (Taiwan)	M	2023.3.3	-	-	-	-	-	-	- Chairman of the Atomic Energy Council, Executive Yuan; Member of the Atomic Energy Council and the Nuclear Facility Safety Advisory Committee . -Professor in the Department of Engineering and System Science at National Tsing Hua University. - Advisor, Material and Chemical Research Laboratories & Green Energy and Environment Research Laboratories, Industrial Technology Research Institute (ITRI) -Professor and Dean of the Department of Engineering and System Science at National Tsing Hua University. -Professor in the Department of Nuclear Engineering and Engineering Physics at National TsingHua University.	None	None	None	None	-

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Title Name	Nationality	Gender	Date appointed	Shareholding	Shareholding	Shareholding at present by spouse and minor children	Shareholding at present by spouse and minor children	Shareholding in the name of others	Shareholding in the name of others	Major education/work experience	Current positions at the Company or other companies	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Other officers, directors who is the spouse or a relative within second degree of kinship	Remark
				Shares	Ratio	Shares	Ratio	Shares	Ratio			Title	Name	Relation
										-Professor and Director of the Institute of Nuclear Engineering, also the Department Head at National Tsing Hua University -Ph.D. in Nuclear Engineering from the Universityof California,Berkeley.
Independent Director Ji-Ye Miau	R.O.C. (Taiwan)	M	2023.6.29	-	-	-	-	-	-	-Master's degree from the Institute of Law, National Taiwan University. -Employed Attorney at Juder International Law Firm. -Employed Attorney at Mingdian Law Firm.	Managing Attorney at Success International Law Firm	None	None	None
Note 1: General Manager of the company. Chairman of Skylead Inc.; Chairman of Jantech Semiconductor, Inc.; Chairman of Topview International Investment Co., Ltd.; Supervisor of Welltech Semiconductor, Inc.; Director of Gimtek (Singapore) Pte. Ltd.; Supervisor of Tradegenic Electronic (Shanghai) Co., Ltd.；Chairman of Cellotech INC.；Chairman of Sky-EUV Inc.；Independent Director of E-CHEM ENTERPRISE CORP. ; Enspection Technology CO., LTD.

• Note 2: Chief Executive Officer of the company.; Chairman of Leading International Investment Co. Ltd.; Director of Welltech Semiconductor, Inc.; The Chairman of Skysemi (Xiamen) Technology Co., Ltd.

• Note 3: Supervisor of Celetech Semiconductor, Inc.; Supervisor of Wealthwave International Investment Co., Ltd.; Director of Welltech Semiconductor, Inc.; The Chairman of NPC, INC.; Director of Limo System Technology Co., Ltd.

• Note 4: Supervisor of Realtech Semiconductor, Inc.; Supervisor of Mega International Investment Co., Ltd.; Director of Npc, Inc.

• Note 5: Chairperson of Finance and Financial Management in the Department of Finance at National Taiwan University.; Independent Director of Taiwan High-Speed Rail Corporation Limited. ; Independent Director of Yuqing Metals Co., Ltd., a Cayman Islands company. ; Chairperson of the Taiwan Insurance Guaranty Fund

• Note 6: General Manager of Zen VoceCorporation; Director of MPI Corporation; Chairman of Kashtek Corporation; Chairman of Morningstar Investment Limited; Chairman of Scientek Corp.; Chairman of Zen Voce (PG) Sdn Bhd.; Chairman of Zen Voce Manufacturing Pte Ltd; Chairman of Solution Integration Pte Ltd; Director of Zen VoceCorporation (Suzhou); Director of Wangxi Investment Corporation Limited.; Director of Maji Investment Corporation Limited.; Director of G&B Brewery Development (Asia) Corp. ； Director of Cheng Yeh Industrial Co., Ltd. ； Director of Ableprint Technology Co., Ltd..

• Note 7: Chairman of Hai Fu International Investment Co., Ltd.

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1. Major shareholders of the institutional shareholders:

	2026/3/31	2026/3/31
Name of Institutional Shareholders	Major Shareholders	Ration%
Wealthwave International Investment Co., Ltd.	Carl Lo	66.49%
	Luo Yunting	11.17%
	Luo Yunchen	11.17%
	Luo Yunru	11.17%

1. Major shareholders of the Company’s major institutional shareholders: None

2. Professional qualifications and independence analysis of directors and supervisors:

			2026/3/31
Name	Professional Qualification Requirements, together with at Least Five Years Work Experience	Independence Criteria	Number of Other Public Companies in Which the Individual is Concurrently Serving as an Independent Director
Paul Huang	 Deputy Director of a Listed or OTC Company in the Same Industry.  Experience in Business Management and Administration.  Experience in Finance and Banking.  No circumstances as described in Article 30 of the CompanyLaw.	There are no violations of the independence regulations stipulated in the Securities Exchange Act among the directors of the company.	None
Wealthwave International Investment Co., Ltd.: Pei-Yu LIN	 Expertise in Financial Accounting.  Experience in Business Analysis in the Same Industry.  No circumstances as described in Article 30 of the Company Law.		None
George Yi	 Global Vice President of a Listed or OTC Company in the Same Industry  Experience in Business Management and Administration  No circumstances as described in Article 30 of the Company Law.		None
Jing-Shu Huang	 Expertise in Financial Accounting.		None

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Name	Professional Qualification Requirements, together with at Least Five Years Work Experience	Independence Criteria	Number of Other Public Companies in Which the Individual is Concurrently Serving as an Independent Director
	 Experience in auditing with one of the Big Four accounting firms in the country.  No circumstances as described in Article 30 of the CompanyLaw.
Independent Director Bai-Da Shr	 Expertise in Finance and Banking.  Professor of Finance and Banking at a National University.  Independent Director of a Listed or OTC Company.  No circumstances as described in Article 30 of the Company Law.	The independent directors of the company comply with the independence requirements specified in the 'Regulations Governing the Appointment of Independent Directors and Compliance Matters for Public Companies.	3
Independent Director Du-Cheng Li	 Experience in Corporate Management  Chairman of a Company in a Different Industry  No circumstances as described in Article 30 of the Company Law.		None
Independent Director Chuen-Hung Tsai	 Expertise in Industrial Material Technology  Professor at a National University  No circumstances as described in Article 30 of the Company Law.		None
Independent Director Ji-Ye Miau	 Background in Legal Affairs  No circumstances as described in Article 30 of the CompanyLaw.		None

Note 3: There are no directors elected as representatives of the government or legal entities as described in Article 27 of the Company Law. Note 4: Neither I, my spouse, nor any relative within the second degree of kinship serves as a director, supervisor, or employee of this company or its affiliates. Note 5: I, my spouse, and any relative within the second degree of kinship (either directly or through others) hold 0% of the company's shares.

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• Note 6: I do not serve as a director, supervisor, or employee of any company that has a specific relationship with this company.

• Note 7: The compensation received in the past two years for providing business, legal, financial, and accounting services to this company and its affiliates is 0.

• Diversity and independence of the Board of Directors:

A. Diversity of the Board of Directors

According to the company's Corporate Governance Best Practice Principles , the composition of the Board of Directors should consider diversity. Except for directors who concurrently serve as company managers, whose number should not exceed one-third of the total board seats, the company should formulate appropriate diversity guidelines based on its operations, business model, and development needs. These guidelines should include, but are not limited to, the following two main criteria:

1. Basic Requirements and Values:

The composition of the board of directors should include different genders and age groups.

2. Professional Knowledge and Skills:

Board members should have diverse professional backgrounds, expertise, and industry experience. They should generally possess the necessary knowledge, skills, and qualities required to perform their duties.

To achieve the ideal goals of corporate governance, the board as a whole should have the following capabilities:

1. Operational judgment .

2. Accounting and financial analysis.

3. Business management.

4. Crisis management.

5. Industry knowledge.

6. International market perspective.

7. Leadership.

8. Legal knowledge.

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B. Management Objectives ：

Ⅰ . Basic Qualifications and Values:

1. At least one female director, and independent directors should account for

more than half of the seats.

1. No directors shall have spousal or second-degree kinship relationships.

2. Directors concurrently serving as company managers shall not exceed onethird of the seats.

3. Ⅱ. Professional Knowledge and Skills:

4. At least one director with an accounting background.

5. At least one director with an academic background.

6. Industry experience shall be diversified, with directors covering at least two different industries.

C. Achievement Status :

The Company currently has 8 directors, including 4 directors and 4 independent directors. All members are nationals of the Republic of China (100%), with 2 directors being employees (25%), 2 external directors (25%), and 4 independent directors (50%). The Company values gender equality, with 2 female directors accounting for 25% of the Board.

The Board members come from diverse backgrounds with extensive industry and academic experience, covering business judgment, accounting and finance, business management, crisis management, industry knowledge, international perspective, leadership, decision-making, and legal expertise. Among them, 2 directors have accounting and finance expertise, one of whom is a professor at National Taiwan University and convener of the Audit Committee; one director comes from the technology industry with practical chairmanship experience; another director has a strong legal background, strengthening corporate governance and compliance. These qualifications meet the Company's goal of industry diversification.

Board of Directors is as follows:

Title	Name	Nationality	Gender	Age	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Industry Experience/Professional Skills	Term of Independent Director
					Operational Judgment	Accounting and Financial Analysis	Business Management	Crisis Management	Industry Knowledge	International Market Perspective	Leadership Decision Making	Law
Chairman	Paul Huang	R.O.C. (Taiwan)	M	51~60	●	●	●	●	●	●	●

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Director	George Yi	R.O.C. (Taiwan)	M	51~60	●	●	●	●	●	●	●
Director	Wealthwave International Investment Co., Ltd.	R.O.C. (Taiwan)	F	51~60	●	●	●	●
	Representative: Pei-Yu LIN
Director	Jing-Shu Huang	R.O.C. (Taiwan)	F	41~50	●	●	●	●
Independent Director	Bai-Da Shr	R.O.C. (Taiwan)	M	51~60	●	●	●	●	●	●			1
Independent Director	Du-Cheng Li	R.O.C. (Taiwan)	M	61~70	●	●	●	●	●	●	●		1
Independent Director	Chuen-Hung Tsai	R.O.C. (Taiwan)	M	71~80	●		●	●	●	●	●		1
Independent Director	Ji-Ye Miau	R.O.C. (Taiwan)	M	51~60	●			●			●	●	1

The board of directors does not meet the one-third gender representation requirement. Reasons and future plans are as follows ：

Explanation of Reasons:

1. The current composition of the board is primarily based on the accumulation of professional expertise, industry experience, and seniority over time, with gender ratio not being a major consideration.

2. Most board members are required to have specialized knowledge and experience in the semiconductor fields, where the proportion of female talent is relatively low.

3. The current composition of the board primarily consists of members from the existing management team. Since the company operates in the semiconductor equipment industry, the proportion of males in this field is relatively high.

Future Plans ：

1. The company will actively promote gender diversity policies and incorporate gender ratio considerations in future board elections to ensure compliance with the gender balance objectives set by regulatory authorities.

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1. The company plans to introduce more candidates with relevant professional backgrounds who meet gender balance objectives within the next two years. During board re-elections or when adding board seats, priority will be given to individuals who contribute to gender diversity, with the goal of gradually achieving the target of at least one-third of board seats being held by either gender.

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(II) Management Team

													2025/3/31; Unit: thousand shares	2025/3/31; Unit: thousand shares	2025/3/31; Unit: thousand shares	2025/3/31; Unit: thousand shares
Title	Name	Gender	Nation ality	Date Effective	Shareholding		Spouse &Minor Shareholding		Shareholding by Nominee Arrangement		Experience (Education)	Other Position	Managers who are Spouses or Within Two Degrees of Kinship			Remark(s)
					Shares	(%)	Shares	(%)	Shares	(%)			Title	Name	Relation
General Manager	Paul Huang	M	R.O.C. (Taiwan)	2006.07.03	2,196	3.25	-	-	7,585 (Note 1)	11.21	-Deputy Director, Applied Materials Taiwan -Master of Mechanical Engineering, National Taiwan University of Science and Technology -Bachelor of Mechanical Engineering, National Cheng Kung University	Note 4	--	--	--	(Note 7)
Chief Executive Officer	George Yi	M	R.O.C. (Taiwan)	2017.03.03	1,455	2.15	-	-	3,551 (Note 2)	5.25	-Global Vice President, Applied Materials, Inc. -Master of Mechanical Engineering, National Taiwan University. -Bachelor of Mechanical Engineering, National Taiwan University.	Note 5	--	--	--	-
Executive Vice President	Carl Lo	M	R.O.C. (Taiwan)	2003.05.16	3,224	4.77	70 (Note 8)	0.10	8,041 (Note 3)	11.89	-Manager, Applied Materials Taiwan. -Master's degree from the Institute of Engineering and System Science, Tsing Hua University.	Note 6	--	--	--	-
Vice President	Tony Liu	M	R.O.C. (Taiwan)	2022.10.04	200-	0.30	16	0.02	-	-	-Assistant Manager at Integrated Service Technology Inc./ Prosperity Power Technology Inc. -Department Manager at Vanguard International Semiconductor PTE. Ltd. -Department Manager at Winbond Electronics Corporation. -Master's degree from the Graduate Institute of Electrical Engineering, National Cheng Kung University.	--	--	--	--	-
Vice President	Calvin Shen	M	R.O.C. (Taiwan)	2023.01.01	300	0.44	-	-	-	-	-Customer Service Manager, Applied Materials Taiwan. -Department of Electrical Engineering, National Taiwan University of Science andTechnology.	--	--	--	--	-
Vice President	Luc Chang	M	R.O.C . ~~(Taiwan)~~	2023.02.01	262	0.39	-	-	-	-	-Innos Taiwan International Trading Co., Ltd. / Sales Manager. -Senior Sales Manager,Applied Materials	--	--	--	--

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Title	Name	Gender	Nation ality	Date Effective	Shareholding	Shareholding	Spouse &Minor Shareholding	Spouse &Minor Shareholding	Shareholding by Nominee Arrangement	Shareholding by Nominee Arrangement	Experience (Education)	Other Position	Managers who are Spouses or Within Two Degrees of Kinship	Managers who are Spouses or Within Two Degrees of Kinship	Managers who are Spouses or Within Two Degrees of Kinship	Remark(s)
					Shares	(%)	Shares	(%)	Shares	(%)			Title	Name	Relation
											Taiwan. -Master's degree from the Institute of Power Mechanical Engineering, National Tsing Hua University.
Corporate Governan ce Officer	Anita Lee	F	R.O.C. (Taiwan)	2023.07.21	6	0.01	--	--	--	--	-Accounting deputy manager at ChipMOS Technologies Inc. -Accounting Specialist at LITE-ON Technology Corporation -Master's degree from the Institute of Accounting, National Central University.	--	--	--	--	-
Accounting Manager	Chienya Lin	F	R.O.C. (Taiwan)	2025.08.08	--	--	--	--	--	--	- Manager of the Audit Department at PwC Taiwan. -Bachelor's degree in Accounting from Tunghai University.	--	--	--	--	-

• Note 1 ： Through Jantech Semiconductor, Inc. and Topview International Investment Co., Ltd., in which hold more than 50% of the shares, shares are indirectly held.

• Note 2 ： Through Welltech Semiconductor, Inc. and Leading International Investment Co. Ltd., in which I hold more than 50% of the shares, shares are indirectly held.

Note 3：Through Celetech Semiconductor, Inc. and Wealthwave International Investment Co., Ltd., in which I hold more than 50% of the shares, shares are indirectly held.

• Note 4 : Chairman of the company; Chairman of Skylead Inc.; Chairman of Jantech Semiconductor, Inc.; Chairman of Topview International Investment Co., Ltd.; Supervisor of Welltech Semiconductor, Inc.; Director of Gimtek (Singapore) Pte. Ltd.; Supervisor of Tradegenic Electronic (Shanghai) Co., Ltd. ； Chairman of Cellotech INC. ； Chairman of Sky-EUV Inc. ； Independent Director of E-CHEM ENTERPRISE CORP.

• Note 5: Chief Executive Officer of the company.; Chairman of Leading International Investment Co. Ltd.; Director of Welltech Semiconductor, Inc.; The Chairman of Skysemi (Xiamen) Technology Co., Ltd.

• Note 6: Chairman of Celetech Semiconductor, Inc.; Chairman of Wealthwave International Investment Co., Ltd.; Chairman of Welltech Semiconductor, Inc.; Executive Director and Manager at Tradegenic Trancendent Electronics (Shanghai) Co., Ltd. ； Supervisor of Sky-EUV Inc..

• Note 7: Explanation of the Necessity for the Chairman and General Manager to be the Same Person:

• The Chairman of the Company is primarily responsible for its operations and is highly trusted by the team. As of the publication date, the dual role of Chairman and General Manager has not resulted in any managerial deficiencies or conflicts. The Company has elected an additional independent director, bringing the total number of independent directors to four. This ensures that the Board of Directors can still effectively fulfill its supervisory function. The Company remains committed to strengthening corporate governance and mitigating operational risks. In the future, should a suitable and qualified professional be identified, the Company will consider appointing them as the General Manager.

Note 8:Tony Liu , Vice President, resigned from the Company on November 21, 2025.

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II. Remuneration to Directors (including independent directors), President and Vice Presidents

• (II) Remuneration to Directors (including independent directors), President, and Vice Presidents in the Most Recent Year

1. Remuneration to Directors (including independent directors)

																Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)
Title	Name	Director's Remuneration								Ratio of the sum of (A), (B), (C), and (D) to net profit after tax (%)		Compensation rec				eived as an employee				Ratio of the sum of (A), (B), (C), (D), (E), (F) and (G) to net profit after tax(%)		Remunerat ion received from non- consolidat ed affiliates or parent company
		Base compensation (A)		Pension (B)		Director compensation (C)		Business expense (D)				Salary, bonus and special allowance (E)		Pension (F)		Employee compensation (G)
		Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company		Consolidated Entities		Company	Consolidated Entities
																Cash	Share	Cash	Share
Chairman	Paul Huang	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	1,200	1,464	0	0	-	-	-	-	1,830 0.90%	2,094 1.03%	-
Director	Wealthwave International Investment Co., Ltd.	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	0	0	0	0	-	-	-	-	630 0.31%	630 0.31%	-
	Representative: Pei-Yu LIN
Director	George Yi	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	1,200	1,464	73	73	-	-	-	-	1,903 0.94%	2,167 1.07%	-
Director	Jing-Shu Huang	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	-	-	-	-	-	-	-	-	630 0.31%	630 0.31%	-
Independent Director	Bai-Da Shr	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	-	-	-	-	-	-	-	-	630 0.31%	630 0.31%	-
Independent Director	Du-Cheng Li	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	-	-	-	-	-	-	-	-	630 0.31%	630 0.31%	-
Independent Director	Chuen-Hung Tsai	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	-	-	-	-	-	-	-	-	630 0.31%	630 0.31%	-
Independent Director	Ji-Ye Miau	600	600	-	-	-	-	30	30	630 0.31%	630 0.31%	-	-	-	-	-	-	-	-	630 0.31%	630 0.31%	-
1. Independent Directors’ remuneration policies, procedures, standards and structure, as well as the linkage to The Company has performance evaluation policies for the Board of Directors that evaluate the performance Articles of Incorporation, Directors’ remuneration is authorized by the Board of Directors, and based on the industry. 2.Except for the above-mentioned figures,the directors of the Companyreceive remuneration forprovidingservices t												responsibilities, risks and time spent: of the Board of Directors and each functional committee periodically. According to the Company’s degree of participation in the Company’s operation and contribution, as well as a comparison with the o all companies in the financial report(such as servingas a consultant for non-employees): None.

Note 1: The board of the company resolved on Mar. 6, 2026, to distribute NT$ 8,478 thousand as employee compensation for the 2025 year, and NT$0 as director compensation, to be reported at 2026 annual shareholders' meeting.

~ 16 ~

Note 2: The disclosed compensation content is different from the concept of income defined in the Income Tax Act. Therefore, this table shall merely be used for the purpose of information disclosure and shall not be used for taxation.

Directors’ (including independent directors’) Remuneration Scale

Intervals of Compensation Paid to Directors	Directors' Name	Directors' Name	Directors' Name	Directors' Name
	Total Remuneration (A+B+C+D)		Total Compensations (A+B+C+D+E+F+G)
	The Company	Consolidated Entities (H)	The Company	Consolidated Entities (I)
Less than NT$1,000,000	Paul Huang, Wealthwave International Investment Co., Ltd. (Representative: Pei-Yu LIN), George Yi, Jing-Shu Huang, Bai-Da Shr,Du-ChengLi, Chuen-HungTsai, Ji-YeMiau		Wealthwave International Investment Co., Ltd. (Representative: Pei-Yu LIN), Jing-Shu Huang, Bai-Da Shr, Du-Cheng Li , Chuen-Hung Tsai, Ji-Ye Miau
NT$1,000,000 (included) ~NT$2,000,000 (notincluded)	-	-	Paul Huang, George Yi	-
NT 2,000,000(included)～NT 3,500,000(not included)	-	-	-	Paul Huang,George Yi
NT 3,500,000(included)～NT 5,000,000(not included)	-	-	-	-
NT 5,000,000 (included)～NT 10,000,000 (not included)	-	-	-	-
NT 10,000,000 (included)～NT 15,000,000 (not included)	-	-	-	-
NT 15,000,000 (included)～NT 30,000,000 (not included)	-	-	-	-
NT 30,000,000 (included)～NT 50,000,000 (not included)	-	-	-	-
NT 50,000,000 (included)～NT 100,000,000 (not included)	-	-	-	-
More than NT 100,000,000	-	-	-	-
Total	8persons	8persons	8persons	8persons

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2. Remuneration to Supervisors : Not applicable.

1. Remuneration to President and Vice Presidents

								Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)	Year 2025(Unit: NT$thousand;%)
Title	Name	Salary (A)		Pension (B)		Bonus and special allowance (C)		Employee compensation (D)				Ratio of the sum of (A), (B), (C), (D) to net profit aftertax(%)		Remuneration received from non- consolidated affiliates or parent company
		Company	Consolidated Entities	Company	Consolidated Entities	Company	Consolidated Entities	Company		Consolidated Entities		Company	Consolidated Entities
								Cash	Share	Cash	Share
General Manager	Paul Huang	14,049	15,327	458	458	843	863	1,670	-	1,670	-	17,020 8.39%	18,318 9.03%		-
Executive Vice President	Carl Lo
Chief Executive Officer	George Yi
Vice President	Tony Liu
Vice President	Calvin Shen
Vice President	Luc Chang

Note 1: On Mar. 6, 2026, the Board of Directors of the Company approved the distribution of NT$ 8,478 thousand of employee remuneration for 2025, and will submit the report of the 2026 Annual General Meeting of Shareholders.

Note 2: The disclosed compensation content is different from the concept of income defined in the Income Tax Act. Therefore, this table shall merely be used for the purpose of information.

Note 3: The above-mentioned retirement pension is an amount allocated in accordance with the relevant provisions of the Labor Standards Act

. Note 4: Employee remuneration is calculated based on the actual allocation ratio of last year, and the proposed allocation amount for this year.

~ 18 ~

President and Vice Presidents' Remuneration Scale

Interval of Compensation Paid to President and Vice Presidents	Name of President/Vice President	Name of President/Vice President
	The total amount(A+B+C)
	The Company	Consolidated Entities
LessthanNT$1,000,000	-	-
NT$1,000,000(included)～NT$2,000,000(not included)	Paul Huang,George Yi,Carl Lo	Paul Huang,George Yi,Carl Lo
NT$2,000,000(included)～NT$3,500,000(included)	Calvin Shen	Calvin Shen
NT$3,500,000(included)～NT$5,000,000(included)	TonyLiu,Luc Chang	TonyLiu,Luc Chang
NT$5,000,000(included)～NT$10,000,000(included)	-	-
NT$10,000,000(included)～NT$15,000,000(included)	-	-
NT$15,000,000(included)～NT$30,000,000(included)	-	-
NT$30,000,000(included)～NT$50,000,000(included)	-	-
NT$50,000,000(included)～NT$100,000,000(included)	-	-
More than NT$100,000,000	-	-
Total	6persons	6persons

~ 19 ~

1. Names of managers with distributed employee compensation and the status of distribution

==> picture [427 x 245] intentionally omitted <==

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

Year 2025 (Unit: NT$ thousand; %)
Ratio of the total
Title Name Share Cash Total amount to net profit
after tax (%)
General
Paul Huang
Manager
Executive
Vice Carl Lo
President
Chief
Executive George Yi
Officer
Vice
Tony Liu
Manager President - 1,765 1,765 0.87
Vice
Calvin Shen
President
Vice
Luc Chang
President
Corporate
Governance Anita Lee
Officer
Accounting
Manager Chienya Lin
----- End of picture text -----

• Note: The company's board of directors resolved on Mar.06, 2026, to approve the employee compensation for the fiscal year 2025 amounting to NT8,478 thousand dollars, which will be reported at the 2026 annual general meeting of shareholders.

• Analysis Regarding the Ratio of the Total Remuneration to Net Profit After Tax:

• (1) Analysis regarding the ratio of the total remuneration paid to Company's directors (including independent directors), president and vice presidents in the most recent 2 years to net profit after tax:

net profit after tax:
Item	2025		2024
	Ratio of the Total Remuneration to Net Profit After Tax		Ratio of the Total Remuneration to Net Profit After Tax
	The Company	ConsolidatedEntities	The Company	ConsolidatedEntities
Independent Directors	1.24%	1.24%	0.61%	0.61%
Directors (excluding IndependentDirectors)	1.24%	1.24%	0.61%	0.61%
President and Vice Presidents	8.39%	9.03%	3.96%	4.24%

• Note 1: Beginning in the 2024 year, the company pays a fixed remuneration to each director every month. In addition, the board of directors resolved that the remuneration of directors in 2025 is $0. The net profit after tax in the year 2025 decreased by 50.15 % compared to the year 2024.

• (2) Remuneration policies, standards, and packages, the procedure for determining remuneration, and its linkage to operating performance and future risk exposure:

The remuneration policy of the directors of the Company shall be stipulated in the Articles of Incorporation of the Company, and the Board of Directors shall resolve the allocation proposal. Where the Company makes a profit for a year, no more than 2 percent as the director remuneration.

~ 20 ~

The Company has established the "Principles Remuneration Committee Charter" and the " Rules for Performance Evaluation of Board of Directors & Functional Committee" as the basis for director remuneration. Pursuant to the Articles of Incorporation, director remuneration is determined by the Board based on operational involvement, contribution, and industry standards. In the past two years, directors have received only fixed remuneration and travel allowances without variable payments. Looking forward, the Company plans to optimize its evaluation mechanisms to align director pay with corporate and individual performance, moving toward a performance-oriented variable compensation structure.

The remuneration of the Chief Executive Officer, General Manager and Deputy General Manager of the Company includes salary, bonus and employee bonus, which are determined based on the position held, the responsibilities and contributions assumed, and with reference to the level of the industry.

The remuneration paid by the Company to the directors, chief executive officer, general manager and deputy general manager has been evaluated in the same way as the Company's future operational development and operational risks, and is positively correlated with its operating performance, so as to seek a balance between sustainable operation and risk control.

III. Implementation of Corporate Governance :

• (I) Board of Directors Meeting Status:

The Board of Directors held 6 meetings (A) in the year of 2025. The attendance of directors was as follows:

Title	Name	Attendance in Person (B)	By Proxy	Attendance Rate (%) (B/A)	Remarks
Chairman	Paul Huang	6	0	100 %	2023/03/03 Full re-election and re- election
Director	Wealthwave International Investment Co., Ltd. Representative: Pei-Yu LIN	6	0	100 %	2023/03/03 Full re-election and re- election
Director	George Yi	6	0	100 %	2023/03/03 Full re-election and re- election
Director	Jing-Shu Huang	6	0	100 %	2023/03/03 Full re-election and re- election
Independent Director	Bai-Da Shr	6	0	100 %	2023/03/03 Selection
Independent Director	Du-Cheng Li	6	0	100 %	2023/03/03 Selection

~ 21 ~

Independent Director	Chuen-Hung Tsai	6	0	100 %	2023/03/03 Selection
Independent Director	Ji-Ye Miau	6	0	100 %	2023/06/29 Selection
Other mentionable items: I. If there are circumstances occurred during the operation of the Board of Directors, the date of meetings, sessions and contents of motion of the Board of Directors, all independent directors' opinions and the Company’s responses to such opinions should be specified: (I) Circumstances referred to in Article 14-3 of the Securities and Exchange Act: The Company has established an Audit Committee, and Article 14-3 of the Securities and Exchange Act is not applicable to the Company. Please refer to the Annual Report for related information on the operation status of the Audit Committee. (II) Besides the foregoing items, other resolutions objected to by independent directors or subject to a qualified opinion and recorded or declared in writing: None. II. Implementation and description of resolutions in which directors refrained from participating due to conflict of interest: (I) Resolution of the 16st meeting of the 8th Board of Directors regarding the discussion of the matter of restrictions on competition for the company's managers and directors, Chairman Paul Huang DirectorPei-Yu LIN(both with a second-degree relative relationship to Executive Vice President Carl Lo ), Director Du-Cheng Li, and other related parties were involved as interested parties. After evaluation, it was determined that there was no conflict of interest with the company. However, during the voting, these three directors voluntarily abstained. Discussions and votes were conducted separately for Chairman Paul Huang , Director Peiyu Lin (both with a second-degree relative relationship to Carl Lo ), and Director Du-Cheng Li. The chairman appointed Independent Director Bai-Da Shr as the proxy chairman for the voting, and after consulting with the other directors, no objections were raised. The resolution was approved accordingly. (II) Resolution of the 18st meeting of the 8th Board of Directors regarding the discussion of the matter of the evaluation and payment of managerial remuneration for the year 2025, Chairman Paul Huang, Director George Yi, and Director Pei-Yu LIN (both with a second-degree relative relationship to Executive Vice President Carl Lo ), had personal interests involved in this matter. According to the Company Act, they abstained from discussion and voting. The chairman appointed Independent Director Shi Bai-Da as the proxy chairman for the voting, and after consulting with the other directors, no objections were raised. The resolution was approved accordingly. (III) Resolution of the 18st meeting of the 8th Board of Directors regarding the discussion of the evaluation and payment of directors' remuneration for the year 2025 involves the personal interest of both directors and independent directors, discussions were held separately for each group. When discussing the remuneration of independent directors, the four independent directors recused themselves and did not participate in the discussion or voting. When discussing the remuneration of general directors, four directors recused themselves and did not participate in the discussion or voting. The Chairman appointed Independent Director Shi Bai-Da as the acting chair for the voting process. Such resolution was unanimously approved. (IV) Resolution of the 18st meeting of the 8th Board of Directors regarding the discussion of the matter of restrictions on competition for the company's managers and directors, Chairman Paul Huang Director Pei-Yu LIN (both with a second-degree relative relationship to Executive Vice President Carl Lo ),and other related parties were involved as interested parties. After evaluation, it was determined that there was no conflict of interest with the company. However, during the voting, these both directors voluntarily abstained. Discussions and votes were conducted separately for Chairman Paul Huang , Director Peiyu Lin (both with a second- degree relative relationship to Carl Lo ).The chairman appointed Independent Director Bai- Da Shr as theproxychairman for the voting,and after consultingwith the other directors,no

~ 22 ~

	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.	objections were raised. The resolution was approved accordingly. III. Board of Directors performance evaluation frequency, period, scope and method: The Company would evaluate the performance of board of directors, board members and each functional committee (Audit Committee, Remuneration Committee and Nomination Committee) by the “Rules for Performance Evaluation of the Board of Directors”. (I) Internal evaluation: Evaluation frequency Evaluation period Evaluation scope Evaluation method Evaluation indicators Once a year 2025/1/1 ~2025/12/ 31 1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee 1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee  Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.
	Evaluation frequency		Evaluation period	Evaluation scope	Evaluation method	Evaluation indicators
	Once a year	2025/1/1 ~2025/12/ 31		1. Board of Directors 2. Board members 3. Audit committees 4. Remuneration committee	1. Internal evaluation of the Board of Directors 2. Self-evaluation by board members 3. Self-evaluation byAudit committees 4. Self-evaluation bythe Remuneration committee	 Board of Directors: 1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5. Internal control.  Board members: 1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control.  Audit committees: 1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internal control.  Remuneration committee: 1. Participation in the operation of the Company. 1.Awareness of the duties of the functional committee. 2. Improvement of quality of decisions made by the functional committee. 3. Makeup of the functional committee and election of its members. 4. Internalcontrol.

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Remarks: 1. 2025/01/01~2025/12/31 Internal Assessment: Completed in March 2025.

Evaluation Results:

The performance evaluation results of the board of directors, board members and each functional committee were all “excellent” in 2025. All evaluation indicators were operating well as a whole and in line with corporate governance requirements, and effectively strengthening the functions of the Board of Directors and safeguarding the rights and interests of shareholders. The results of the performance evaluation were reported to the Board of Directors on March 6, 2026, and submitted to the members of the compensation committee as reference materials for the salary and remuneration of individual directors in the future.

(V) External evaluation: The results of the performance evaluation were reported to the Board of Directors on December 2024.

Evaluation frequency	Evaluation period	Evaluation scope	Evaluation method	Evaluation indicators
Once every 3 years	112/12/01～ 113/11/30	1. Board of Directors	Invite Chengyi Management Consulting Co., Ltd. to conduct the evaluation via personal interview.	1. Participation in the operation of the company. 2. Improvement of the quality of the board of directors' decision making. 3. Composition and structure of the board of directors. 4. Election and continuing education of the directors. 5.Internalcontrol.
		2. Board members		1. Grasp of Company Goals and Mission. 2. Awareness of the duties of a director. 3. Participation in the operation of the company. 4. Internal Relationship Management and Communication. 5. The director's professionalism and continuing education. 6. Internal control
		3. Audit committee 4. RemunerationC ommittee		1. Participation in the operation of the Company. 2. Awareness of the duties of the functional committee. 3. Improvement of quality of decisions made by the functional committee. 4. Makeup of the functional committee and election of its members. 5. Internalcontrol.

Chengyi Management Consulting Co., Ltd. concluded the evaluation result is “Excellent” as

below:

• 1.The board members possess extensive experience in relevant industry technologies, corporate management, finance, and law, forming a diversified combination that meets the company's operational development needs.

• 2.The board members actively express their opinions and effectively fulfill their supervisory functions, fostering a strong deliberative culture.

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3.A	Sustainability Committee has been established to align with government initiatives on	Sustainability Committee has been established to align with government initiatives on
sustainable development, enhancing corporate governance and the company’s commitment to long-
term sustainability.
IV.	Measures taken to strengthen the functionality of the Board of Directors within the current and
	the most recent year:
	(I)	The Board of Directors is carried out in accordance with the provisions of the ' Rules of
		Procedure for Board of Directors Meetings', and the execution is in good condition. The
		finance and audit supervisors regularly report the financial and audit status at the board
		meetings, effectively enhancing the directors' grasp of the company's operations.
	(II)	To implement corporate governance and enhance the Company's board functions, and to
		set forth performance objectives to improve the operation efficiency of the Board of
		Directors, the Company established the “Rules for Performance Evaluations of the Board
		of Directors” in 2023, and the Company shall conduct an internal board performance
		assessment once a year and shall be conducted by an external independent professional
		institution or a panel of external experts and scholars at least once every three years. In
		2023, the Board of Directors approved the appointment of Ms. Anita Lee from the General
		Manager's office to serve as the Corporate Governance Officer, as the most senior officer
		to be in charge of corporate governance affairs.An external evaluation was conducted in
		2024.
	(III)	Establish risk management policies and procedures in 2024 as the overarching guiding
		principles for risk management within the company.
	(IV)	The Sustainability Development Committee was established in August 2024.
	(V)	Enterprise Value Enhancement Plan established in November 2025.

Note: The authority of the Company’s supervisors shall be exercised by the Audit Committee composed of Independent Directors.

(II) Audit Committee Meeting Status:

1. The Company established an Audit Committee on March 3, 2023 to exercise the authority required by the Company Act, the Securities and Exchange Act and related laws and regulations.

2. The key points of the Audit Committee's annual review work are as follows:

3. (1) Supervise the effective implementation of the internal control system.

4. (2) Review asset transactions trading, loans of funds, endorsements, or provision of guarantees of a material nature and matters in which a director is an interested party.

5. (3) The hiring, dismissal, compensation, independence, and performance evaluation of certified public accountants.

6. (4) Supervise and review fair presentation of the financial reports.

7. (5) Supervise compliance with relevant laws and management of the existing or potential

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risks of the Company.

1. The professional qualifications and experience of the Audit Committee members are detailed on pages 5 to 12 of the annual report.

2. Six Audit Committee meetings (A) were held in the most recent year. The attendance of the members was as follows:

Title	Name	Attendance in Person (B)	By Proxy	Attendance Rate (%) (B/A)	Remarks
Independent Director	Bai-Da Shr	6	0	100 %	2023/03/03
Independent Director	Du-Cheng Li	6	0	100 %	2023/03/03
Independent Director	Chuen-Hung Tsai	6	0	100 %	2023/03/03
Independent Director	Ji-Ye Miau	6	0	100 %	2023/06/29
Other mentionable items: I. If any of the following circumstances occurred during the operation of the Audit Committee, the dates of meetings, sessions, contents of motion of the Board of Directors, resolutions of the Audit Committee and the Company’s response to the Audit Committee’s opinions should be specified: (I) Circumstances stipulated in Article 14-5 of the Securities and Exchange Act: 1. Theresolutions of the 14st meetingof the1th Audit Committee(February25,2025) Sessions and contents of motion. The objections, reservations, and major comments of independent directors Resolutions of the Audit Committee The Company’s response to the Audit Committee’s opinions should be specified 1. Approved the effectiveness assessment of the internal control system and the internal control system statement for 2024. None Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingfor approval. Not applicable. 2. Approved the business report and the financial reportof the Company for 2024. None Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval. Not applicable. 3. Approved the distribution of earnings for 2024. None Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval. Not applicable. 4. Approved the lifting of non- compete restrictions for the Company’s managers and directors. None Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval. Not applicable.

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	5. Approved the issuance of restricted employee rights shares.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval.	Not applicable.
	6.Approved the Company’s investment project.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval.	Not applicable.
	7.Approved the amendment to the internal control system.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meetingforapproval.	Not applicable.
	Sessions and contents of motion.	The objections, reservations, and major comments of independent directors	Resolutions of the Audit Committee	The Company’s response to the Audit Committee’s opinions should be specified
	1. Approved the Company's financial report for the first quarter of 2024.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	2. Approved the Company’s credit facility application to E.SUN Bank and authorized Chairman Chien-Luo Huang to sign credit agreements and related documents and handle related matters on behalf of the Company.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	3. Approved the Company’s application to Cathay United Bank for financial trading limits and TWD credit limits for FX hedging and operational needs.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.

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	4. Approved the capital reduction by canceling restricted employee shares recovered by the Company in accordance with law.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	5. Approved the lifting of restrictions on the Company’s managers concurrently serving as managers of other for-profit enterprises.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	Sessions and contents of motion.	The objections, reservations, and major comments of independent directors	Resolutions of the Audit Committee	The Company’s response to the Audit Committee’s opinions should be specified
	1. Approved the Company's 2025 third quarter consolidated financial statements.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	2.Approved the application to Mega International Commercial Bank,HsinchuBranch,for	None	Unanimously approved by all the members attending the meeting and will be submitted	Not applicable.

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	credit facilities for working capital and material procurement.		to the Board of Directors meeting for approval.
	3.Approved the application to CTBC Bank, Lioujia-Jhuang Branch, for short-term credit facilities and financial trading limits, and authorized Chairman Chien-Lo Huang to execute credit agreements and other related documents on behalf of the Company and to handle all matters related to the creditfacilities.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	Sessions and contents of motion.	The objections, reservations, and major comments of independent directors	Resolutions of the Audit Committee	The Company’s response to the Audit Committee’s opinions should be specified
	1. The Company’s 2026 business plan (including budget).	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	2. The proposed change of certifying CPAs in response to the accounting firm’s internal rotation policy.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	3. The evaluation of the independence and competence of the Company’s certifying CPAs for 2026.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	4. The appointment and remuneration of the Company’s certifying CPAs for 2026.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	5. The Company’s 2026 internal audit plan.	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	6. Amendments to certain provisions of the Company’s “Procedures for Acquisition or Disposal of Assets.”	None	Unanimously approved by all the members attending the meeting and will be submitted to the Board of Directors meeting for approval.	Not applicable.
	7. The report on audit, assurance and non-assurance services and	None	Unanimously approved by all the members attending the meeting and willbe submitted	Not applicable.

~ 29 ~

		the related fees for 2025, and the adoption of the “Pre- Approval Policy for Non- to the Board of Directors meeting for approval.
		Assurance Services Provided
		by Certifying CPAs.”
	(II)	Besides the foregoing items, other resolutions that failed to be approved by the Audit Committee
		but were otherwise approved by a two-thirds majority of all the directors: None.
II. Implementation of resolutions in which independent directors refrained from participating due to conflict
	of interest:
	At the 14th meeting of the 1st Audit Committee, the committee approved lifting the restrictions				on
	certain managerial officers and directors concurrently serving in other for-profit enterprises.
	Independent Director Tu-Cheng Li was deemed an interested party and, although no conflict of interest
	was	identified, voluntarily recused himself from voting.
III. Communications between independent directors and the Company's internal audit supervisor and CPAs
	(e.g. items, methods and results of the audits of corporate finance or operations.):
	(I)	The internal audit supervisor submits the audit and follow-up reports to independent directors			for
		review by the end of the month next following the completion of the audit items, and reports to			the
		Audit Committee on the audit business at least once a quarter.
	(II)	The accountants appointed by the Company sit on the Audit Committee on a quarterly basis and
		explain matters related to financial accounting and the recent amendments to the law to the
		independent directors. The interaction between them is good.
	(III)	The internal audit and accountants communicate with the independent directors individually at
		least once every six months, and also directly contact the independent directors at any time as
		needed, so that the communication channels between them are unimpeded.
	(IV)	The independent directors, internal audit supervisor and CPAs communication items as below in
		2024.:
		Date Material Communication Items Material Communication
		between internal auditor supervisor	Items between the
			CPAs
	2025/02/25  Reviewing the Internal Auditor’s report of 2024 Q4.  The communication regarding the completed
		stages of the 2024
		consolidated and
		individual financial
		reports with the
		governance units has
		been completed. A report
		on the audit objectives,
		audit scope, and audit
		procedures of the 2024
		consolidated and
		individual financial
		reports was presented.
	2025/08/08  Reviewing the Internal Auditor’s report of 2025 Q2.  Related items on 2025 consolidated financial			Q2
		statement including the
		scope of the review, the

~ 30 ~

review report of the independent accountants, and the significance and focus of the review.  Recent legal updates. Result: All independent directors have unmodified opinions on the above-mentioned matters.

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(III) The State of the Company’s Implementation of Corporate Governance, Any Variance from the “Corporate Governance BestPractice Principles for TWSE/TPEx Listed Companies”, and the Reason for Any Such Variance:

Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
1. Does the company establish and disclose the Corporate Governance Best Practice Principles based on “Corporate Governance Best Practice Principles for TWSE/TPEx Listed Companies”?	√		The Company has established the “Corporate Governance Best Practice Principles,” which aim at the protection of shareholders’ rights and interests, enhancing the functions of the Board of Directors, respecting stakeholders’ rights, and improving information transparency. The Company’s “Corporate Governance Best Practice Principles” are disclosed on the Company’s website and in the Market Observation Post System.	None
2. Shareholding structure and shareholders’ rights
(1) Does the company establish internal operating procedures to deal with shareholder suggestions, doubts, disputes and litigation and implement based on the procedure?	√		(1) The Company has a spokesperson, deputy spokesperson and a shareholder service unit to handle shareholder suggestions, doubts, disputes and litigation matters, and based on respect to the stakeholders, and to identify the stakeholders of the Company as well as establish a designated section on its website for the stakeholders. The Company, through proper	None

~ 32 ~

Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			communication, understands the reasonable expectations and demands of the stakeholders and properly responds to critical sustainable development issues of concern to the stakeholders.
(2) Does the company possess the list of its major shareholders as well as the ultimate owners of those shares?	√		The Company possesses the list of its major shareholders as well as the ultimate owners of those shares, and has regularly disclosed information of major shareholders and ultimate owners of those in accordance with relevant laws and regulations.	None
(3)Does the company establish and execute the risk management and firewall system within its conglomerate structure?	√		The Company has established an internal control system and “Regulations Regarding Supervision and Management of Subsidiaries” in accordance with laws and regulations, and the Company has also established “Regulations on Financial and Business Operations Among Affiliated Enterprises, Corporate Groups, and Related Parties” and regularly reviews their management reports.	None
(4) Does the company establish internal rules against insiders trading with undisclosed information?	√		The Company has established the “Procedures for Ethical Management and Guidelines for Conduct” and an “Insider Trading Policy”. The Company’s personnel shall comply	None

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			with the provisions of the Securities and Exchange Act and shall not use the undisclosed information to engage in insider trading or disclose it to others in order to prevent others from using the undisclosed information to engage in insider trading. The individuals subject to the provisions of the Company are prohibited from trading securities using undisclosed market information. The aforementioned prohibition includes company insiders who, from the date of receiving the company's financial reports or related performance information, are restricted from trading in publicly listed stocks of the company or other securities with equity characteristics traded at securities firms' business premises during specified closed periods. These closed periods include the thirty days prior to the announcement of the annual financial report and the fifteen days prior to the announcement of each quarterly financial report. Annually, directors, managers, and shareholders holding more than 10% of the total shares are reminded via email about the above transaction control measures.
3. Composition and Responsibilities of the board of directors

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
(1)Does the board of directors develop and implement a diversified policy and management goals?	√		The Company’s diversified policy, management goals and fulfillment of diversification of the Board of Directors are detailed on pages 10 of the annual report and disclosed on the Company’s website.	None
(2)Does the company voluntarily establish other functional committees in addition to the remuneration committee and audit committee?	√		In addition to the established Compensation Committee and Audit Committee, the Company established the Sustainability Committee under the Board of Directors on August 9, 2024. In the future, the establishment of other functional committees will be considered based on the Company's scale and operational status.	None
(3)Has the Company established a methodology for evaluating the performance of its Board of Directors on an annual basis, reported the results of performance to the Board of Directors, and used the results as reference for directors’ remuneration and renewal?	√		The Company has established the “Regulations for Performance Evaluation of the Board of Directors and Functional Committees” and the relevant evaluation methods, which have been disclosed on the Market Observation Post System (MOPS) and the Company’s website. The performance evaluation is conducted annually through self-assessment and questionnaire- based evaluation. The results of the 2025 performance evaluation were	None

~ 35 ~

Evaluation Item			Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			reported to the Board of Directors on March 6, 2026.
(4)Does the company regularly evaluate the independence of CPAs?	√		According to the Company’s Article 29 of the “Corporate		None
			Governance Best Practice Principles”, the Company
			should annually evaluate the independence and suitability
			of CPAs. The engagement of the Company’s CPAs was
			approved by more than half of all the Audit Committee
			members after they reviewed the Statement of
			Independence and Audit Quality Indicators (AQIs) report
			from CPAs, and then submitted to and adopted by the
			Board of Directors. The CPAs are not stakeholders of the
			Company and strictly adhere to independence. The results
			of the most recent annual evaluation were discussed and
			approved by the Audit Committee on 19 December, 2025,
			and subsequently submitted to the Board of Directors on
			19 December, 2025, for approval regarding the evaluation
			of the independence and suitability of the accountants.The
			independence of the auditors is evaluated as follows:
				1. The certified public accountant (CPA) does not have any direct or significant indirect financial interest with the company. 2. The CPA does not have any financing or guarantee transactions with the company or its directors.

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Evaluation Item		Implementation Status	Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
				3. The CPA and members of the audit service team have not held positions in the past two years that have a significant influence on the company's directors, supervisors, managers, or audit cases. 4. The CPA does not act as a defender for the company or represent the company in coordinating conflicts with third parties. 5. The tenure of the principal and deputy CPAs does not exceed seven years. 6. The CPA does not have a close commercial relationship with the company. 7. The CPA does not have a potential employment relationship with the company. 8. The CPA does not have contingent fees related to the audit cases with the company. 9. Whether the members of the audit service team, other practicing CPAs, or shareholder accounting firms, accounting firms, affiliated enterprises, and alliance firms maintain independence from the company. 10. The CPA does not have a direct impact on significant items of the audit case due to the non-audit services provided to the company.

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Evaluation Item				Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No		Summary description
				11. The CPA does not promote or mediate the company's issuance of stocks or other securities. 12. The CPA does not represent the company in legal cases or other disputes with third parties. 13. The CPA and members of the audit service team do not have family relationships with the company's directors, supervisors, managers, or personnel who have a significant influence on audit cases. 14. The CPA has not held the position of director, supervisor, manager, or a significant influence on audit cases within the company within a year of resignation.

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4.Does the Company appoint competent and appropriate √ corporate governance personnel and corporate governance officer to be in charge of corporate governance affairs (including but not limited to furnishing information required for business execution by directors, assisting directors’ compliance of law, handling matters related to board meetings and shareholders’ meetings according to law, and recording minutes of board meetings and shareholders’ meetings)?

In 2023, the Board of Directors approved the None appointment of Ms. Anita Lee as the Corporate Governance Officer, as the most senior officer to be in charge of corporate governance affairs. The authority of the Corporate Governance Officer is as follows: Handling matters relating to board meetings and shareholders meetings according to laws, producing minutes of board meetings and shareholders meetings, assisting in onboarding and continuous development of directors, furnishing information required for business execution by directors, assisting directors with legal compliance, reporting to the board of directors on the review results of qualification compliance of relevant laws and regulations of independent directors at the time of nomination, election and during the term of office, and handling the matters related to the change of directors, etc. The qualifications of the Corporate Governance Officer meet the requirements of the Company’s “Corporate Governance Best Practice Principles”, and the professional education of Corporate Governance Officer complies with the regulations every year. Please refer to Table 1 below.

The key points of implementation of corporate governance affairs are as follows:

1. 6 Board of Directors meetings and 6 Audit Committee meetings held in 2025.

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			2. The Annual Shareholders’ Meetings were held in 2025. 3. The continuing education of directors is in compliance with the regulations every year. Please refer to Table 1 below. 4. The Company has purchased Directors and Officers Liability Insurance, and reports to the Board of Directors after renewal.

~ 40 ~

Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
5.Does the company establish a communication channel and establish a designated section on its website for stakeholders (including but not limited to shareholders, employees, clients and suppliers), and properly respond to critical corporate social responsibility issues of concern to stakeholders?	√		The Company places great importance on engagement with all stakeholder groups, including but not limited to shareholders, employees, customers, and suppliers. Through multiple communication channels—such as the corporate website, internal and external mailboxes, and social media platforms—the Company actively identifies stakeholders’ concerns and expectations. A dedicated Stakeholder Section has been established on the Company’s website, providing contact information for the Company spokesperson and relevant business units to ensure appropriate responses to key corporate sustainability issues of concern to stakeholders.	None
6. Does the company appoint a professional shareholder service agencyto deal with shareholder affairs?	√		The Company has designated Yuanta Securities Co. Ltd. to deal with shareholder affairs.	None
7. Information disclosure
(1) Does the company have a website to disclose information relating to finance, business and corporate governance?	√		The Company has established both Chinese and English language websites (www.skytech.com.tw) and has set up an Investor Relations section to proactively disclose financial, operational, and corporate governance	None

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			information. Relevant information is also available through the Market Observation Post System.
(2) Does the company have other information disclosure channels (e.g., building an English website, appointing designated people to handle information collection and disclosure, creating a spokesperson system, and webcasting investor conferences)?	√		The Company has established both Chinese and English websites and has appointedone spokesperson and one deputy spokesperson. Additionally, relevant departments such as the General Manager's Office and the Finance Department are responsible for collecting, disclosing, and updating information related to shareholders, regulations, investments, and the market. Furthermore, audio-visual files and presentation materials from the company's self- hosted investor conferences have been compiled and made available on the corporate website forpublic access.	None
(3)Does the Company announce and report the annual financial statements within two months after the end of the fiscal year, and announce and report the first, second and third quarter financial statements as well as the operating status of each month before the prescribed deadline?	√		The Company announces and reports the annual financial statements audited by independent accountants within two months following the end of the accounting period, as well as the first, second, and third quarter financial statements, as well as the operating status of each month before the prescribed deadline.	None
8. Is there any other important information to facilitate a better understanding of the company’s corporate governance practices (e.g., including but not limited to employee rights, employee wellness, investor	√		(1)The Company’s website provides comprehensive disclosures covering all key aspects of employee rights and employee care, including compensation and benefits, training and development (disclosed at:	None

~ 42 ~

Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
relations, supplier relations, rights of stakeholders, directors’ training records, the implementation status of risk management policies and risk evaluation measures, the implementation of customer relations policies, and purchasing insurance for directors)?			https://www.skytech.com.tw/manpower_tw_1.php ), workplace diversity and equality, labor-management relations, and occupational health and safety (disclosed at: https://www.skytech.com.tw/operate_tw.php?id=26 ). (2)Investor relation:There is an investor section on the company's website, which provides relevant financial and stock affairs information for investors to read, and there is also a speaker system and a dedicated person responsible for handling related issues. (3)Supplier relation:The company maintains good interaction with all suppliers, and discusses material specifications from time to time to improve quality in order to create a win-win cooperation mode. (4)Rights of stakeholders:Stakeholders are provided with channels for two-way communication and feedback. The Company respects and protects the legitimate rights and interests of all stakeholders. (5)Continuingeducation of director:The Company

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			arranges annual training programs for its directors, and each director may also attend relevant courses offered by external institutions as needed. In 2025, all directors completed at least six hours of training. For details on each director's training, please refer to the MOPS (Market Observatory Post System). (6)The implementation status of risk management policies and risk evaluation standards:The Company has established a Risk Management Policy and Procedures as the highest guiding principle for risk management activities. Implementation results are reported annually to the Audit Committee and the Board of Directors. Appropriate measures are promptly adopted in response to significant risks. A comprehensive internal control system has also been established and effectively implemented. (7)The implementation status of customer relations policies:The company maintains a smooth communication channel with its customers and maintains a good relationship. (8) The status of purchasing liability insurance for directors: The Companyhaspurchased Directors

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Evaluation Item		Implementation Status	Implementation Status	Deviations from the Corporate Governance Best- Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			and Officers Liability Insurance and reports to the Board of Directors after renewal.
9. Please indicate the improvement status of the results of the corporate governance evaluation issued by TWSE Corporate Governance Center for the most recent year and propose matters that should be given priority and measures that have not yet improved(Those who are not listed in the rated company do not need to be listed): In the 11th Corporate Governance Evaluation (evaluation year 2024), the Company ranked in the 35–50% tier among listed companies. Key enhancement actions and measures for 2025 are as follows: 1. Established a dedicated Sustainability Development unit to conduct ESG-related risk assessments based on materiality, formulate corresponding risk management policies or strategies, and report progress under Board oversight. 2. Prepared a Sustainability Report, which was approved by the Board of Directors. 3. Disclosed Scope 1 and Scope 2 greenhouse gas (GHG) emissions for the past two years, both externally verified. 4. Revised and disclosed the “Operational Procedures for Financial and Business Transactions Among Affiliated Enterprises and Related Parties.” 5. Disclosed the Company’s Scope 3 GHG emission categories and annual emissions for the preceding year. 6. Formulated an Energy Management Plan. 7. Established a Board-level Sustainability Committee with no fewer than three members, whose qualifications include expertise in corporate sustainability; at least one director participates in oversight. The composition, duties, and operations of the committee are disclosed. 8. Formulated specific measures to enhance corporate value and reported them to the Board.

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(IV) If the Company has a Remuneration Committee or Nomination Committee in Place, the

Composition and Operation of Such Committee shall be Disclosed

1. The Remuneration Committee: The remuneration committee of the Company is composed of all independent directors. Please refer to the relevant content of the information on directors and independent directors.

2. Responsibilities

3. (1) Establishes and periodically reviews the performance evaluation and policies, system, standards, and structure of the compensations for Directors, supervisors, and managers.

4. (2) Periodically evaluates and establishes compensations and benefits for Directors, supervisors, and managers.

5. Implementation Status

6. (1) There are 3 members of the Remuneration Committee of the Company.

7. (2) Term of office of the first term of office: 16 March 2022 to 2 March 2023, to cooperate with the full re-election of the Directors and Independent Directors. Second term of office: 3 March 2023 to 2 March 2026.

8. (3) The Compensation Committee convened 6 times (A) in the 2025 year. The qualifications of the members and attendance are as follows:

Title	Name	Attendance in person (B)	Attendance by proxy	Attendance rate (%) (Ｂ/Ａ)note	Remark
Independent Director	Bai-Da Shr	6	-	100 %	Convener
Independent Director	Du-Cheng Li	5	1	83 %
Independent Director	Chuen-Hung Tsai	6	-	100 %
Other mentionable items: 1. The main items discussed in the meetings of the Compensation Committee in the most recent year are as follows: Compensation Committee Date/ Term Motion Resolution results of the Compensation Committee The Company's response to the comments of the Compensation Committee 2025/02/25 The 10th meeting of the 2nd Term of the 2024 Director and Employee Remuneration Distribution Unanimously approved by all members attending the meeting. Sent by the Remuneration Committee and approved by the

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	Compensation Committee	Proposal		Board of Directors with modified plan.
	2025/04/10 The 11th meeting of the 2nd Term of the Compensation Committee	Adoption of the "Regulations Governing the First Share Buyback and Transfer to Employees"	Unanimously approved by all members attending the meeting.	Sent by the Remuneration Committee and approved by the Board of Directors with modified plan.
	2025/05/13 The 12th meeting of the 2nd Term of the Compensation Committee	1. Assessment of performance evaluation indicators for the Company's Directors, the Board of Directors, and Functional Committees	Unanimously approved by all members attending the meeting.	Sent by the Remuneration Committee and approved by the Board of Directors with modified plan.
		2. 2025 Director Remuneration System Evaluation and Payment Proposal	Except for the recommendation by all members to include the transfer price calculation method in Article 7, the proposal was unanimously approved by all members attending the meeting.	Sent by the Remuneration Committee and approved by the Board of Directors with modified plan.
		3. 2025 Managerial Remuneration System Evaluation and Payment Proposal	Unanimously approved by all members attending the meeting.	Sent by the Remuneration Committee and approved by the Board of Directors with modified plan.
		4. Amendment to the "Regulations Governing the First Share Buyback and Transfer to Employees"	Unanimously approved by all members attending the meeting.	Sent by the Remuneration Committee and approved by the Board of Directors with modified plan.
	2025/08/08 The 13th meeting of the 2nd Term of the Compensation Committee	Proposal for the Salary Structure and Amount for the Company’s Chief Accounting Officer	Unanimously approved by all members attending the meeting.	Submitted to the Audit Committee and approved by the Board of Directors.

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	2025/11/06	2024	Unanimously approved	Sent by the
	The 14th	Managerial	by all members	Remuneration
	meeting of the	Employee	attending the meeting.	Committee and
	2nd Term of the	Remuneration		approved by the
	Compensation	Distribution		Board of Directors
	Committee	Proposal		with modified
				plan.
	2025/12/19	1. Managerial	Unanimously approved	Sent by the
	The 15th	Salary	by all members	Remuneration
	meeting of the	Structure	attending the meeting.	Committee and
	2nd Term of the	Adjustment		approved by the
	Compensation	Proposal		Board of Directors
	Committee			with modified
				plan.
		2. Managerial	Unanimously approved	Sent by the
		Performance	by all members	Remuneration
		Bonus	attending the meeting.	Committee and
		Distribution		approved by the
		Proposal		Board of Directors
				with modified
				plan.
2. If the Board of Directors chooses not to adopt or revise recommendations proposed by the
Compensation Committee, the date of the meeting, term, agenda, resolution results, and
the	Company’s response to the comments provided by the Salary and Compensation
Committee shall be described (if the compensation passed by the Board of Directors is
higher than recommended by the Compensation Committee, the difference and reason
shall be described): None.
3. For the decisions made by the Compensation Committee, if there				are documented
records of members who veto or withhold from expressing their opinions, the date, term,
agenda, all members’ comments, and the measures for handling these comments shall be
elaborated: None.

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(V) The State of the Company’s Promotion of Sustainable Development, Any Variance from the “Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies”, and the Reason for Any Such Variance

Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
1.Does the company build a structure of sustainable development and establish exclusively (or concurrently) dedicated first-line managers authorized by the board to be in charge of proposing sustainable development policies and supervising the situation of the board?	√		To strengthen corporate sustainability management and establish a sound sustainability governance framework, Skytech Inc. has formulated its_Sustainable Development Best_ Practice Principles_in accordance with the_Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies. In 2024, the Company formally established the Corporate Sustainability Committee under the Board of Directors. Pursuant to the Company's Sustainable Development Committee Charter, the Committee shall convene at least once annually and report to the Board of Directors on the implementation status of sustainability initiatives. The Committee is chaired by Mr. Paul Huang, Chairman and General Manager, and consists of three members, including two directors. To facilitate implementation, five functional task forces have been established, including the Environmental Sustainability Task Force, Corporate Governance Task Force, Climate Response Task Force, Value Chain Management Task	None.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			Force, and Employee Well-being Task Force. These task forces are responsible for collecting and consolidating sustainability-related information within their respective functional areas. In addition, a Sustainability Information Disclosure Task Force has been established to coordinate ESG disclosures and promote the implementation of relevant policies and systems, and reports regularly to the Committee. The Committee oversees the Company's sustainability strategy and management to ensure a sound and transparent governance structure. Annual sustainability performance results are submitted to the Board of Directors for review. The Board further monitors the progress of sustainability strategies to enhance implementation effectiveness. The current term of the Committee runs from August 9, 2024 to March 2, 2026. In 2025, the Corporate Sustainability Committee convened two meetings.

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Item			Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			The following provides information on Committee members' professional expertise and actual operational status. ▼2025 Corporate Sustainability Committee–Member Composition and Expertise Title Name Sustainability- related Expertise Attendance Absences / Proxy Attendance Rate Chairman (Director) Paul Huang Energy efficiency and carbon reduction technologies; energy management 2 0 100% Member (Director) George Yi Human rights and labor rights management 2 0 100% Member Carl Lo Environmental management and conservation 2 0 100% ▼2025 Corporate Sustainability Committee–Operational Status Meeting Date Agenda Implementation Status
			Meeting Date	Agenda	Implementation Status

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Item				Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No		Summary description
			2025/12/5	•Progress and planning of the Company's 2025 Sustainability Report •Stakeholder communication activities for 2025	Approved without objection and subsequently reported to the Board of Directors.
			2025/7/9	•Preparation of the Company's 2024 Sustainability Report •Status of greenhouse gas inventory and assurance	Approved without objection and subsequently reported to the Board of Directors.
2.Does the Company follow the materiality principle to conduct risk assessment for environmental, social and corporate governance topics related to company operation, and establish risk management related policy or strategy?	√		1. The reporting boundary for these disclosures and risk assessments encompasses the sustainability performance of the consolidated company from January to December 2026. 2. Skytech identifies material topics based on sustainability issues outlined in the_GRI Standards_and_SASB Standards_, utilizing the four principles of Inclusivity, Materiality, Responsiveness, and Impact. Following the requirements of the_GRI Universal Standards 2021_, these topics are prioritized. The impacts, management strategies, and practical implementation for each material topic are disclosed accordingly.These results also serve to calibrate the company's sustainability goals and strategies,enhancing			None.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			the effectiveness of external stakeholder communication. The Company conducts risk assessment and planning based on the principle of materiality for potential risks related to operations, including the "Strategic," "Operational," "Financial," "Environmental," and "Compliance" dimensions. A comprehensive_Risk Management Policy_has been established, encompassing risk identification, risk assessment, risk response, risk monitoring, and information disclosure.
3. Environmental Topic
(1)Does the company establish a proper environmental management system based on the characteristics of their industries?	√		The Company has established and effectively implemented	None of significant deviation.
			a comprehensive environmental management system in
			accordance with the_ISO 14001 Environmental Management_
			System standard. Annual internal audits are conducted by
			the Environmental Safety Department, and the Company
			continues to undergo third-party certification to ensure the
			compliance and effectiveness of the system. The latest ISO
			14001 certification was obtained on November 23, 2025,
			and is valid through November 23, 2028.
			In addition, in accordance with ISO 14064-1, the Company

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			conducts annual greenhouse gas inventories. In 2025, the
			Company obtained third-party verification statements for
			Scope 1 and Scope 2 greenhouse gas emissions. The
			Company continuously monitors and tracks emission
			reduction performance across various emission sources.
			Relevant information is disclosed in the Sustainability
			Report and on the Company's website, demonstrating the
			Company's commitment to environmental responsibility
			and information transparency.

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(2) Does the Company endeavor to use energy more √ efficiently and to use renewable materials with low environmental impact?

The Company actively promotes various energy reduction None of initiatives by adopting high energy-efficiency and energysignificant saving equipment and designs to reduce overall corporate deviation. energy consumption. The Company also progressively plans to introduce renewable energy sources to optimize energy use efficiency.

In 2025, the Company completed the replacement of two high energy-consuming pieces of equipment, including a variable-frequency screw air compressor and a highefficiency variable-frequency flooded chiller. Following the equipment upgrades, annual electricity consumption is expected to be reduced by approximately 458,866.69 kWh, equivalent to an estimated reduction of approximately 217,502.81 tCO2e in carbon emissions. These results demonstrate the tangible and significant benefits of equipment upgrades in terms of energy conservation and carbon reduction.

During the same year, the Company implemented the ISO 50001:2018 Energy Management System and established an annual energy performance target of a 1% energy-saving rate. The Company successfully obtained third-party certification on November 5, 2025, further strengthening its energy management processes and performance tracking capabilities. Looking ahead to the period from 2026 to 2028, the Company plans to progressively enhance energy efficiency and intends to deploy solar photovoltaic power generation facilities and procure green electricity to increase the proportion of renewable energy usage, reduce its longterm operational carbon footprint, and continue advancing toward its goals of energy sustainability and low-carbon transformation.

~ 55 ~

(3) Does the company assess the potential risks and √ opportunities of climate change now and in the future, and adopt relative measures?

The Company compiles statistics on greenhouse gas None of emissions, water consumption, and total waste generation, significant and continuously promotes environmental management deviation. initiatives. Such efforts include awareness campaigns, education and training programs, ongoing enhancement of equipment efficiency and energy conservation measures, as well as audit and improvement tracking mechanisms, with the aim of strengthening overall environmental management performance.

The Sustainability Development Committee serves as the highest-level body responsible for climate response management, with the President acting as the Chairperson. The Committee reviews and deliberates the Company's climate change strategies and targets on an annual basis, oversees actions related to the management of climate change-related risks and opportunities, and evaluates implementation status while discussing future plans.

(4) Did the company collect data for the past two years √ on greenhouse gas emissions, volume of water consumption, and the total weight of waste, and establish policies for greenhouse gas reduction, reduction of water consumption, or management of

In accordance with the Task Force on Climate-related Financial Disclosures (TCFD) Recommendations, the Company assesses climate change-related risks and opportunities and conducts annual reviews and updates. To mitigate risk factors, the Company also identifies feasible opportunities and formulates corresponding response measures. Detailed information on the Company's climate change risk and opportunity analysis has been disclosed in the Sustainability Report. 1. The Company has established Sustainability None Development Policies, Occupational Safety and Health Policies, and Environmental Management Policies. Based on these policies, the Company has formulated regulations governing energy conservation and carbon

~ 56 ~

other wastes?

reduction, greenhouse gas emission reduction, water conservation, and waste management. Through internal management mechanisms and audit procedures, the Company continues to promote improvements in environmental performance.

1. Since 2022, Skytech Inc. has initiated greenhouse gas (GHG) inventory activities, beginning with a voluntary inventory covering Skytech–Hukou and its operating organizations. In 2023, the scope of the inventory was expanded to include all operating locations in Taiwan, namely Skytech–Zhubei, Skytech–Hukou, and Skytech–Tainan, in order to comprehensively capture emissions across operational units.

In 2024, Skytech Group further completed a comprehensive, group-wide greenhouse gas inventory encompassing Skytech, SkySemi–Xiamen, Tradegenic– Shanghai, and Gimtek–Singapore. This effort enhanced the Group's carbon management capabilities, enabled the effective identification of major emission sources, supported the formulation of carbon reduction strategies, and facilitated continued progress toward the Group's net-zero emission objectives.

1. In 2025, the Skytech Group completed a full-scope greenhouse gas inventory for fiscal year 2024. Scope 1 and Scope 2 emissions were verified by an independent third party, and verification statements were obtained. In addition, the Hukou Plant of Skytech Technology implemented the ISO 50001 Energy Management System in 2025 and successfully passed third-party certification, further strengthening energy management

~ 57 ~

efficiency and environmental sustainability	efficiency and environmental sustainability
performance.
4. The company's greenhouse gas emissions, water
resource usage, and waste generation statistics for the
past two years are as follows:
(1)Greenhouse Gas (GHG) Emissions
Category 2025 2024
Scope 1 (metric tons CO2e) 400.7 160.8
Scope 2 (metric tons CO2e) 3450.1 2542.2
Total Emissions 3850.8 2703.0
Emissions Intensity (CO2e per NT$ million) 1.71555 1.04458
Notes:
1. The data coverage of Skytech Inc. includes all locations of the
Skytech Group, comprising operating sites in Taiwan (Zhubei
Headquarters, Hukou Factory, and Tainan Factory) as well as
overseas subsidiaries, including Skysemi, Tradegenic, and Gimtek.
2. GHG Emission Intensity = (Total Scope 1 + Scope 2 CO2e
emissions) / Annual Consolidated Revenue (NT$ million)
3. Scope 1 and Scope 2 emission data for FY2024 have been
independently assured by a third party. All other data represent the
results of voluntary greenhouse gas inventories.

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1. Emission data for FY2025 were calculated by the Company in accordance with applicable inventory methodologies and had not yet undergone third-party assurance as of the publication date of this annual report. Any subsequent updates following third-party assurance will be fully disclosed in the FY2025 Sustainability Report. 5. Regional greenhouse gas emission factors are determined based on the latest versions published by the relevant competent authorities. Variations in emission factors between years directly affect the reported annual emissions, as described below: ◆ Taiwan Electricity:Based on the electricity emission factor announced by the Energy Administration, Ministry of Economic Affairs. The electricity emission factor for 2024 was 0.474 kg CO2e/kWh. ◆ China Electricity:Based on the electricity emission factor published by the Ministry of Ecology and Environment and the National Bureau of Statistics. The electricity emission factor for Fujian Province, China, in 2024 was 0.409 kg CO2e/kWh. ◆ Singapore Electricity:Based on the electricity emission factor published by the Energy Market Authority (EMA). The electricity emission factor for 2024 was 0.402 kg CO2e/kWh. Emission figures in future years will be adjusted in accordance with updated emission factors released by the relevant competent authorities and will be disclosed in the Sustainability Report.

~ 59 ~

	(2) Water Resource Management
	Category	2025	2024
	Water Consumption (cubic meters)	18,763.0	15,180.0
	Water Intensity (cubic meters per NT$ million)	8.35900	5.86635
	Notes:
	1.Skytech's reported data covers all	operational sites in Taiwan.
	2.Water Intensity = Total Water Withdrawal / Annual Consolidated
	Revenue (NT$ million)
	(3) Waste Management
	Category	2025	2024
	General Industrial Waste (metric tons)	53.0	25.1
	Hazardous Industrial Waste (metric tons)	0	0
	Total Waste	53.0	25.1
	Waste Intensity (metric tons per NT$ million)	0.02361	0.00970

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Item			Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			Notes: 1.Skytech's reported data covers all operational sites in Taiwan. 2.Waste Intensity = Total Waste Generated / Annual Consolidated Revenue (NT$ million)
4. Social Topic

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• (1) Does the company formulate appropriate √ management policies and procedures according to relevant regulations and the International Bill of Human Rights?

• The Company complies with all relevant labor None regulations and adheres to international human rights conventions as internal management guidelines to protect employee human rights and promote harmonious labor-management relations for mutual benefit. Related policies are stipulated in the Company's articles of association. The Company recognizes and voluntarily complies with internationally recognized human rights standards, including the United Nations Universal Declaration of Human Rights, the United Nations 1 Global Compact, the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, the United Nations Guiding Principles on Business and Human Rights, and the 2 OECD Guidelines for Responsible Business Conduct 3 Due Diligence. Furthermore, the Company adheres to the Responsible Business Alliance ( RBA ) Code of Conduct and rigorously observes the legal requirements of each operating location. This human rights policy is implemented and executed by the Human Resources Department, and applies to all operating locations, safeguarding the human rights of all employees, including full-time staff, interns, and short-term contract personnel. In addition to protecting our employees, we extend our sphere of influence to suppliers by establishing a "Supplier/Contractor Commitment," requiring supply chain partners to adhere to the same standards, ensuring the protection of the rights and interests of all individuals within the supply chain. For related human rights policies, please refer to the Company's website:

~ 62 ~

https://www.skytech.com.tw/operate_tw.php?id=26 2. Human Rights Due Diligence Process and Implementation Status

(1)Human Rights Due Diligence Process: In reference to international human rights due diligence guidelines, the Company has established operational procedures for identification, assessment, mitigation, tracking, and reporting. Through cross-departmental collaboration, we identify potential human rights impacts within our operations, formulate management actions for highrisk issues, and regularly review implementation effectiveness.

(2)2025 Survey Scope and Material Human Rights Issues: The scope of this survey covers all employees. Following material topic identification and internal assessment, the core human rights issues for this year include: Occupational Health and Safety, and Employee Benefits and Compensation.

• (3) Risk Mitigation and Remediation Measures:

• I. Environmental Safety and Health: We maintain ISO 45001 Occupational Health and Safety Management System certification and provide employees with health examinations and on-site services from occupational physicians and nurses.

• II. Compliance Management: A quarterly review mechanism has been established to conduct routine audits of personnel-related regulations and compliance matters, ensuring adherence to human rights policies and regulatory requirements.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			III. Education and Promotion: We organize general awareness courses on gender equality and incorporate the RBA Code of Conduct into new hire orientation and all-staff promotion plans to strengthen employees' legal awareness and respect for cultural diversity. IV. Communication: Grievance channels are promoted through internal emails and bulletin boards to ensure that employee rights and interests are protected.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
(2)Has the Company established appropriately managed employee welfare measures (including salary and compensation, leave and others) and linked operational performance or achievements with employee salary and compensation?	√		To safeguard employee rights and interests and enhance company cohesion, we provide our full-time employees with a comprehensive welfare system. In addition to statutory benefits such as labor and health insurance, labor retirement contributions, paid annual leave, maternity leave, and parental leave, we offer a wide range of employee benefits. These include annual health checkups that exceed legal requirements, group insurance, marriage and childbirth congratulatory gifts, and funeral condolences, all aimed at improving employee well-being and fostering a happy workplace environment. The Company's operational performance is reflected in employee compensation. In addition to 14 months of annual salary, we provide performance bonuses, extra bonuses, employee profit sharing, and employee stock ownership trust programs. Through annual salary adjustments and performance assessments, we share operational results with employees, enablingmutual benefit and achievinga win-win situation.	None.

~ 65 ~

• (3) Does the company provide a healthy and safe working √ environment and organize training on health and safety for its employees on a regular basis?

(1) To safeguard employee workplace safety and health, None. the Company implements multiple protection measures. In addition to conducting regular fire drills to enhance emergency response capabilities, we also provide specialized training for personnel in specific roles to strengthen their occupational safety awareness and skills. Through rigorous oversight at both the management and execution levels, we prevent potential risks and strive to create a zero-accident safe working environment. (2) Both the Zhubei Office and the Hukou Factory have obtained ISO 45001 Occupational Health and Safety Management System certification, while the Hukou Factory has also obtained ISO 14001 Environmental Management System certification.

(3) We regularly schedule annual employee health checkups and provide monthly on-site services by factory nurses and occupational medicine specialists. We implement health education and health tracking examinations, and conduct on-site assessments for suspected work-related illnesses when necessary. We also hold health seminars periodically to enhance employees' health awareness, and set up staff lounges to provide staffindoor basketball court, badminton court, etc., to promote the physical and mental health of employees.

(4) State the number of cases of occupational accidents and the number of employees involved in the given year, and the ratio to the total number of employees, and related improvement measures: During the reporting year, a total of 4 occupational incidents were recorded, including 3 commuting-related traffic accidents and 1 crush injury. Based on an average workforce of 420 employees, the

~ 66 ~

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			occupational incident rate was 0.95%. Relevant improvement measures: 1. The company's website publishes commuting traffic safety advocacy. 2. Newcomer education and training materials are added to traffic safety publicity. 3. Strengthen the education and training of personnel on work protection. (5) State the number of fire incidents and the number of casualties in the given year, and the ratio of the number of casualties to the total number of employees, and improvement measures related to fire incidents: Not applicable.

~ 67 ~

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
(4) Does the company provide its employees with career development and training sessions?	√		The company provides regular internal education and training, irregular work-related external training courses for employees to participate in, and the acquisition of professional licenses to enhance employees' functional development capabilities.In 2025, the company passed the assessment of the Talent Quality-management System (TTQS) by the Ministry of Labor to continuously refine its training implementation processes. The Company is also dedicated to talent development and enhancing employee capabilities. To this end, we have established a comprehensive education and training system that encompasses new employee orientation , internal mentorship programs, professional deep-cultivation programs, and professional skills required for various positions. Through diversified learning platforms such as in- person instruction and online learning videos, as well as a training satisfaction feedback mechanism, we continuously refine our training programs.	None.

~ 68 ~

(5) Does the Company’s product and service comply with √ related regulations and international rules for customers’ health and safety, privacy, sales, labeling, and setting policies to protect consumers or customers’ rights and consumer appeal procedures?

All marketing and labeling of the Company's products and None. services are conducted in compliance with applicable laws and regulations to safeguard customer health and safety. The Company provides comprehensive after-sales services and maintains strict confidentiality of customer information. Skytech Inc. respects and protects intellectual property rights and complies with relevant laws, regulations, and international standards throughout the product and service lifecycle.

To ensure effective communication with customers and protect customer rights, the Company has established a dedicated contact email address on its corporate website and implemented a complaint-handling mechanism. In 2025, the Company achieved a customer satisfaction rate of 95.44%.

Skytech Inc. has established the Personal Data Protection Management Policy and designated the Human Resources Department as the personal data management window. Through internal audits on personal data protection, external verification, risk prevention measures, and employee education and training, the Company ensures the security and proper management of personal data files and safeguards customer information.

The Company has established a Sales Division and a Customer Service Engineering Division, which conduct periodic proactive reviews to verify the implementation of customer-related policies. Customer service hotlines and

~ 69 ~

dedicated feedback mailboxes are in place to receive and handle customer complaints. These units also assist frontline personnel in addressing customer complaints to effectively safeguard customer rights and interests.

Adhering to the Plan–Do–Check–Act (PDCA) cycle, the Company continuously improves its operations to provide customers with high-quality products and services.

(6) Does the Company set supplier management policy √ and request suppliers to comply with related standards on the topics of environmental, occupational safety and health or labor rights, and their implementation status?

The Company's Quality Management System, Environmental Management System, and Occupational Health and Safety Management System have all been verified by accredited third-party certification bodies. Skytech Inc. also places great importance on customer confidentiality and information security. To ensure the confidentiality and integrity of customer data, the Company has continuously strengthened its information systems and obtained ISO 27001:2022 Information Security Management System certification on December 5, 2024, with certification validity through December 7, 2027. In 2025, the Company did not receive any complaints related to customer privacy breaches. Supplier Evaluation and Assessment Management None. Procedure' established by the Company. This evaluation covers six key aspects: business management, environmental safety, social responsibility, quality systems, technical standards, and manufacturing capabilities. Additionally, the Company has formulated the

~ 70 ~

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			'Supplier/Contractor Commitment Letter,' requiring suppliers to commit to ethical business practices, environmental protection, intellectual property assurance, trade secret confidentiality, a conflict-free metals policy, compliance with labor rights, dedication to environmental protection, and ensuring that all provided products meet relevant legal regulations and customer requirements. Suppliers are required to sign this commitment letter. For details on implementation, please refer to the Company's website. https://www.skytech.com.tw/supplier- management_tw_1.php
5. Does the Company refer to international reporting rules or guidelines to publish a Sustainability Report to disclose non-financial information about the Company? Has the said Report acquired 3rd certification party verification or statement of assurance?	√		The Company prepares its sustainability report in accordance with the_Global Reporting Initiative (GRI) _Standards, the_Sustainability Accounting Standards Board_ (SASB) Standards, and the_Task Force on Climate-related_ _Financial Disclosures (TCFD)_framework to ensure the transparency and completeness of non-financial information.	None

~ 71 ~

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			The 2025 Skytech Inc. Sustainability Report is scheduled to be completed by August 2026 and will be publicly disclosed on the Company’s website for stakeholders’ reference. To enhance the credibility and reliability of the disclosed information, the Company will also evaluate engaging an independent third-party assurance provider to conduct external verification, ensuring the accuracy of disclosures and alignment with international standards, and further strengthening stakeholder confidence in the Company’s sustainability practices.
6. If the company has established the corporate sustainable development principles based on “Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies”, please describe any deviation between the Principles and their implementation: The Company was listed in December 2023 and formulated a Code of Practice for Sustainable Development, which was approved and implemented by a resolution of the Board of Directors on July 21, 2023, and its actual operation is not materially different from the Code of Practice for Sustainable Development.
7. Other important information to facilitate a better understanding of the company’s sustainable development practices: The Company actively fulfills its corporate social responsibility by participating in a wide range of social, environmental, and public welfare initiatives, demonstratingastrong commitment to environmentalsustainabilityand socialcare.In responsetoinitiatives promoted byrelevant

1. If the company has established the corporate sustainable development principles based on “Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies”, please describe any deviation between the Principles and their implementation: The Company was listed in December 2023 and formulated a Code of Practice for Sustainable Development, which was approved and implemented by a resolution of the Board of Directors on July 21, 2023, and its actual operation is not materially different from the Code of Practice for Sustainable Development.

2. Other important information to facilitate a better understanding of the company’s sustainable development practices: The Company actively fulfills its corporate social responsibility by participating in a wide range of social, environmental, and public welfare initiatives, demonstrating a strong commitment to environmental sustainability and social care. In response to initiatives promoted by relevant

~ 72 ~

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
authorities, the Company has participated in beach tree-planting adoption programs and coastal cleanup activities, and has made charitable donations and provided medical equipment to improve healthcare resources in underprivileged and remote areas, thereby contributing to the reduction of healthcare disparities. In the area of education promotion, the Company recognizes the challenges arising from insufficient educational resources in rural and remote areas and is committed to narrowing the urban–rural education gap. Through diversified educational support programs, Skytech Inc. organizes corporate visits and learning activities that provide students from underprivileged areas with opportunities to gain exposure to the technology industry, stimulate their interest in learning, and broaden their perspectives on future career development.

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Climate-Related Information of TWSE/TPEx Listed Company

1. Implementation of Climate-Related Information

Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
1. Describe the board of directors' and management's oversight and governance of climate-related risks and opportunities.	√		The Board of Directors serves as the highest governing body of the Company and is responsible for reviewing climate-related strategies, significant risks and opportunities, and overseeing the implementation and effectiveness of sustainability policies and action plans. A Sustainability Development Committee has been established under the Board as the dedicated body responsible for promoting sustainability development and climate-related matters. In addition, a Risk Management Task Force under the Audit Committee is responsible for identifying and managing operational risks and incorporates climate-related risks into the Company’s overall risk management framework. Through regular reports submitted by the respective committees, the Board monitors the Company's overall direction and performance in addressing climate change. Under the Sustainability Development Committee,	None of significant deviation.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			dedicated task forces related to climate issues have been established, including the Climate Response Task Force, Environmental Protection Task Force, and Value Chain Management Task Force. These task forces are responsible for collecting and analyzing sustainability- and climate-related information. A Sustainability Information Disclosure Task Force has also been formed to coordinate and consolidate sustainability disclosures. The Risk Management Task Force under the Audit Committee conducts annual cross-departmental integration to identify climate-related risks that may arise in the course of operations based on each department’s functional responsibilities. Such risks are managed in accordance with the Company's internal risk management procedures and reported in a hierarchical manner to the Audit Committee and the Board of Directors for review and oversight. Through the aforementioned governance structure and operating mechanisms, the Company ensures that climate-related risks and opportunities are effectively

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			incorporated into corporate governance, risk management, and sustainability decision-making processes, thereby continuously enhancing its climate resilience and management capabilities.

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2. Describe the board of directors' and management's oversight and governance of climate-related risks and opportunities.	√		Skytech Inc. regards sustainable development as a long-term corporate objective and has incorporated climate change considerations into its overall business strategy and operational planning. The Company prioritizes carbon reduction initiatives within its own operations and progressively collaborates with suppliers to promote emission reduction programs in response to the potential impacts of climate change on operations and long-term development. Based on the comprehensive greenhouse gas inventory of the Skytech Group, the Company has identified purchased electricity (Scope 2) as the primary source of carbon emissions. Accordingly, reducing greenhouse gas emissions associated with purchased electricity has been designated as a short-term priority climate action strategy. Since 2023, the Company has actively implemented energy-efficient equipment replacement projects to improve energy efficiency. In parallel, the Company has initiated the planning and installation of solar photovoltaic systems to reduce reliance on externally purchased electricity and gradually mitigate the environmental impact of its operations. Beyond its own operations, the Company recognizes the role of the supply chain in overall carbon emissions. Over the medium to long term, the	None of significant deviation.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			Company will progressively strengthen supplier greenhouse gas management, promote supply chain decarbonization initiatives, and assist suppliers in implementing energy-saving measures. Reducing Scope 3 emissions through supply chain collaboration is identified as a key long-term sustainability strategy. For a detailed description of the Company's major short-, medium-, and long-term climate-related risks and opportunities and their financial implications, please refer to the section “Financial Impacts of Climate-Related Risks and Opportunities” in the Sustainability Report.

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Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
3. Describe the financial impact of extreme weather events and transformative actions.	√		The potential financial impacts of extreme climate events and transition actions, as well as the corresponding response measures, are described in the sections “Potential Financial Impacts” and “Response Measures” under climate-related risks and financial impacts. To effectively manage risks arising from extreme weather events and the transition to a low-carbon economy, the Company has incorporated climate change risks into operational decision-making processes and risk management mechanisms. The Company recognizes the challenges posed by global warming and resource depletion and actively responds to energy conservation and carbon reduction trends by implementing both mitigation and adaptation measures. Relevant information is disclosed in the Sustainability Report under “Financial Impacts of Climate-Related Risks and Opportunities.”	None of significant deviation..

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Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
4. Describe how climate risk identification, assessment, and management processes are integrated into the overall risk management system.	√		To identify and assess significant impacts and risks related to operations, the Company has incorporated climate change-related risks into its overall risk management framework. Such risks include strategic risks, operational risks, financial risks, regulatory risks, and other climate-related risk dimensions. The Company conducts annual risk identification, assessment, and classification management processes, including risk identification, evaluation, response, and monitoring. In accordance with internal risk management procedures, identified risks are reported in a hierarchical manner to the Audit Committee and the Board of Directors for oversight. For detailed risk management procedures, please refer to the “Risk Management” section on the Company’s official website.	None of significant deviation.

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Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
5. If scenario analysis is used to assess resilience to climate change risks, the scenarios, parameters, assumptions, analysis factors and major financial impacts used should be described.		√	The Company has not yet adopted scenario analysis to assess climate risk resilience; however, it recognizes the importance of such analysis in enhancing climate risk management. The Company plans to gradually introduce relevant assessment methodologies, referencing international standards such as TCFD, to define climate scenario types and parameters, as well as assumptions and key analytical factors (e.g., temperature increases and changes in precipitation patterns). In addition, the Company will assess major potential financial impacts, such as increased operating costs and asset losses, to strengthen its climate risk management processes and scenario analysis capabilities.	It will be handled in accordance with the regulations.
6. If there is a transition plan for managing climate- related risks, describe the content of the plan, and the indicators and targets used to identify and manage physical risks and transition risks.	√		The Company continuously monitors relevant policies and regulations to ensure timely compliance with new regulatory requirements and completed ISO 14001 certification during the reporting year. The Company continues to conduct inventories and reduction planning for direct emissions from operations (Scope 1) and indirect emissions from energy use (Scope 2). Energy performance improvement projects, including the replacement of high energy-consuming facilities, have been implemented to enhance energy efficiency. The Company also collaborates with end customers to develop equipment transformation projects aimed at achievingcarbon reduction benefits.	None of significant deviation.

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Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
7. If internal carbon pricing is used as a planning tool, the basis for setting the price should be stated.		√	In 2025, Skytech Inc. did not adopt internal carbon pricing as a planning tool. The Company will evaluate operational needs and consider the phased introduction of internal carbonpricingin the future.	It will be handled in accordance with the regulations.

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1. If climate-related targets have been set, the activities covered, the scope of greenhouse gas emissions, the planning horizon, and the progress achieved each year should be specified. If carbon credits or renewable energy certificates (RECs) are used to achieve relevant targets, the source and quantity of carbon credits or RECs to be offset should be specified.

2. √

Skytech Inc. has promoted greenhouse gas inventories None of significant

since 2022, initially conducting self-assessments at the deviation. Hukou Factory and its operating organization. In 2023, the scope was expanded to include Taiwan operating sites (Skytech-Zhubei, Skytech-Hukou, and Skytech Tainan) to comprehensively capture emissions across operating units. In 2024, the Company further completed a comprehensive greenhouse gas inventory covering the Skytech Group (Skytech Inc., SkySemi-Xiamen, TradegenicShanghai, and Gimtek-Singapore), enhancing grouplevel carbon management capabilities, effectively identifying major emission sources, formulating carbon reduction strategies, and continuing progress toward net-zero targets.

The Skytech Group completed a full-scope greenhouse gas inventory for 2024, with Scope 1 and Scope 2 emissions verified by an independent thirdparty verification body and supported by verification statements. In addition, the Hukou Factory introduced the ISO 50001 Energy Management System in 2025 and obtained third-party certification, strengthening institutionalized energy management and continuously enhancing carbon reduction performance.

To achieve long-term net-zero emission objectives, Skytech Inc. initiated renewable energy investments and deployment in 2025, including the installation of solar photovoltaic systems and the procurement of green electricity. The photovoltaic system is expected

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Item			Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
			to generate approximately 175,824 kWh annually (calculated as 133.2 kW × 1,320 hours), adopting a self-consumption with surplus power sales model. This initiative is expected to reduce emissions by approximately 83.34 tCO2e per year and generate corresponding Renewable Energy Certificates (RECs). The Company will progressively increase the proportion of renewable energy usage to reduce Scope 2 emissions and support national energy transition policies.

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Item	Implementation Status	Implementation Status	Implementation Status	Deviations from Sustainable Development Best Practice Principles for TWSE/TPEx listed Companies and Reasons
	Yes	No	Summary description
9. Greenhouse gas inventory and assurance status (separately filled out in point 1-1 below)	√		In accordance with ISO 14064-1, the Company continues to conduct greenhouse gas inventories for Scope 1 and Scope 2 emissions and promotes emission reduction strategies through data analysis and target setting. Relevant results and progress are regularly disclosed in the Company’s sustainability report and on its official website, demonstrating a high level of transparency and commitment to environmental responsibility. The Company completed the FY2024 greenhouse gas inventory on July 10, 2025, and Scope 1 and Scope 2 emissions were verified by an independent third-party verification body, with verification statements obtained as supporting evidence of greenhouse gas emission management and reduction performance. Emission data for FY2025 were calculated by the Company in accordance with inventory methodologies and had not yet been subject to third-party assurance as of the publication date of this annual report. Any subsequent updates following third-party assurance will be fullydisclosed in the SustainabilityReport.	None of significant deviation.

1-1. Greenhouse Gas Inventory and Assurance Status

1-1-1 Greenhouse gas inventory information

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Describe the greenhouse gas emissions (tonnes CO2e), intensity (tonnes CO2e/million RMB) and the scope of information coverage for the most recent bienniums.

Describe the greenhouse gas emissions (tonnes CO2e), intensity (tonnes CO2e/million RMB) and the scope of information coverage for the most recent bienniums.	Describe the greenhouse gas emissions (tonnes CO2e), intensity (tonnes CO2e/million RMB) and the scope of information coverage for the most recent bienniums.	Describe the greenhouse gas emissions (tonnes CO2e), intensity (tonnes CO2e/million RMB) and the scope of information coverage for the most recent bienniums.	Describe the greenhouse gas emissions (tonnes CO2e), intensity (tonnes CO2e/million RMB) and the scope of information coverage for the most recent bienniums.
	2025 Greenhouse Gas (GHG) Emissions Skytech Total Emissions (CO2e) Scope 1 309.9 Scope 2 3224.6 Total Emissions 3534.5 Emissions Intensity (CO2e per NT$ million) 1.57464 Tradegenic Total Emissions (CO2e) Scope 1 2.2 Scope 2 9.1 Total Emissions 11.3 Emissions Intensity (CO2e per NT$ million) 0.00503	2025 Greenhouse Gas (GHG) Emissions SkySemi Total Emissions (CO2e) Scope 1 55.4 Scope 2 205.0 Total Emissions 260.4 Emissions Intensity (CO2e per NT$ million) 0.11601 Gimtek Total Emissions (CO2e) Scope 1 33.2 Scope 2 11.4 Total Emissions 44.6 Emissions Intensity (CO2e per NT$ million) 0.01987
	Skytech		Total Emissions (CO2e)
	Scope 1		55.4
	Scope 2		205.0
	Total Emissions		260.4
	Emissions Intensity (CO2e per NT$ million)		0.11601
	Tradegenic		Total Emissions (CO2e)
	Scope 1		33.2
	Scope 2		11.4
	Total Emissions		44.6
	Emissions Intensity (CO2e per NT$ million)		0.01987
	Notes: 1.Skytech's reported data covers all operational sites in Taiwan, while data from other subsidiaries is reported separately. 2.GHG Emission Intensity = (Total Scope 1 + Scope 2 CO2e emissions) / Annual Consolidated Revenue (NT$ million).	Notes: 1.Skytech's reported data covers all operational sites in Taiwan, while data from other subsidiaries is reported separately. 2.GHG Emission Intensity = (Total Scope 1 + Scope 2 CO2e emissions) / Annual Consolidated Revenue (NT$ million).
	2024 Greenhouse Gas (GHG) Emissions Skytech Total Emissions (CO2e) Scope 1 88.3 Scope 2 2361.5 Total Emissions 2449.8 Emissions Intensity (CO2e per NT$ million) 0.94673	2024 Greenhouse Gas (GHG) Emissions SkySemi Total Emissions (CO2e) Scope 1 55.2 Scope 2 163.4 Total Emissions 218.6 Emissions Intensity (CO2e per NT$ million) 0.08448
	Skytech		Total Emissions (CO2e)
	Scope 1		55.2
	Scope 2		163.4
	Total Emissions		218.6
	Emissions Intensity (CO2e per NT$ million)		0.08448

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	Tradegenic	Total Emissions (CO2e)		Gimtek	Total Emissions (CO2e)
	Scope 1	2.1		Scope 1	15.3
	Scope 2	5.5		Scope 2	11.8
	Total Emissions	7.6		Total Emissions	27.1
	Emissions Intensity (CO2e per NT$ million)	0.00294		Emissions Intensity (CO2e per NT$ million)	0.01047
	Notes: 1.Skytech's reported data covers all operational sites in Taiwan, while data from other subsidiaries is reported separately. 2.GHG Emission Intensity = (Total Scope 1 + Scope 2 CO2e emissions) / Annual Consolidated Revenue (NT$ million)			Notes: 1.Skytech's reported data covers all operational sites in Taiwan, while data from other subsidiaries is reported separately.
				2.GHG Emission Intensity = (Total Scope 1 + Scope 2 CO2e emissions) / Annual Consolidated Revenue (NT$ million)

1-1-2 Greenhouse gas assurance information

A description of the conviction for the most recent two years as of the date of publication of the annual report, including the scope of the conviction, the conviction organization, the criterion of conviction, and the convictive opinion.

As of the publication date of this Annual Report, the status of the Company’s greenhouse gas (GHG) inventory and assurance for the most recent two fiscal years is described as follows: For FY2024, the Company’s greenhouse gas emissions were inventoried in accordance with ISO 14064-1, and third-party verification of Scope 1 and Scope 2 emissions was completed on July 10, 2025. A verification statement was issued by an independent verification body. The assurance scope covered direct greenhouse gas emissions and energy-related indirect greenhouse gas emissions from the Company’s major operating sites. The verification opinion was provided at a reasonable assurance level with no qualifications. For FY2025, greenhouse gas emission data have currently been calculated by the Company in accordance with established inventory methodologies. As of the publication date of this Annual Report, third-party assurance has not yet been completed. The relevant data will be updated and disclosed in the Sustainability Report for the respective year upon completion of third-party verification, in accordance with applicable regulations.

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GHG Assurance for FY2024	GHG Assurance for FY2024	GHG Assurance for FY2024	GHG Assurance for FY2024	GHG Assurance for FY2024
Company	**Assurance Scope **	Assurance Provider	Assurance Standard	Assurance Opinion
Skytech (Taiwan)	GHG Scope 1 and Scope 2	Universal Certification Service Co., Ltd.	ISO 14064-3	The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.
SkySemi (Xiamen)	GHG Scope 1 and Scope 2	Universal Certification Service Co., Ltd.	ISO 14064-3	The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.
Tradegenic (Shanghai)	GHG Scope 1 and Scope 2	Universal Certification Service Co., Ltd.	ISO 14064-3	The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.
Gimtek (Singapore)	GHG Scope 1 and Scope 2	Universal Certification Service Co., Ltd.	ISO 14064-3	The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.

Note:Skytech's reported data covers all operational sites in Taiwan, while data from other subsidiaries is reported separately.

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GHG Assurance for FY2023 Company Assurance Scope Assurance Provider Assurance Standard Assurance Opinion Skytech (Taiwan) GHG Scope 1 and Scope 2 Universal Certification Service Co., Ltd. ISO 14064-3 The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.	GHG Assurance for FY2023 Company Assurance Scope Assurance Provider Assurance Standard Assurance Opinion Skytech (Taiwan) GHG Scope 1 and Scope 2 Universal Certification Service Co., Ltd. ISO 14064-3 The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.	GHG Assurance for FY2023 Company Assurance Scope Assurance Provider Assurance Standard Assurance Opinion Skytech (Taiwan) GHG Scope 1 and Scope 2 Universal Certification Service Co., Ltd. ISO 14064-3 The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.	GHG Assurance for FY2023 Company Assurance Scope Assurance Provider Assurance Standard Assurance Opinion Skytech (Taiwan) GHG Scope 1 and Scope 2 Universal Certification Service Co., Ltd. ISO 14064-3 The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.	GHG Assurance for FY2023 Company Assurance Scope Assurance Provider Assurance Standard Assurance Opinion Skytech (Taiwan) GHG Scope 1 and Scope 2 Universal Certification Service Co., Ltd. ISO 14064-3 The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.
	**Assurance Scope **	Assurance Provider	Assurance Standard	Assurance Opinion
	GHG Scope 1 and Scope 2	Universal Certification Service Co., Ltd.	ISO 14064-3	The greenhouse gas inventory report was prepared in accordance with ISO 14064-1:2018 and verified by Universal Certification Service Co., Ltd. in compliance with ISO 14064-3:2019. Categories 1 and 2 were verified at a reasonable assurance level, while Categories 3 to 6 were verified at a limited assurance level.

Note:Skytech's reported data covers all operational sites in Taiwan.

1-2 . Greenhouse gas reduction targets, strategies and specific action plans

Describe the base year of greenhouse gas reduction and its data, reduction targets, strategies, specific action plans and the achievement of reduction

targets.

In accordance with regulatory requirements, the base year for greenhouse gas reduction is defined as the year in which the inventory is completed based on the consolidated financial reporting boundary. Skytech Inc. has paid-in capital of NTD 675 million. Pursuant to the implementation timeline under the Sustainability Development Roadmap for TWSE/GTSM-listed companies, the Group is required to disclose its greenhouse gas reduction base year and related data, reduction targets, strategies, specific action plans, and progress toward achieving such targets by 2028. The most recent greenhouse gas inventory (FY2025) indicated total emissions of 3,850.8 tCO2e.

Emission Structure Analysis

• Scope 1 (Direct emissions): 400.7 metric tons of CO2e, accounting for 10.4% of total emissions.

• Scope 2 (Energy indirect emissions): 3,450.1 metric tons of CO2e, accounting for 89.6% of total emissions.

Reduction Targets and Strategies

The Company has established greenhouse gas reduction targets through 2030, with the objective of achieving a gradual reduction in total emissions. To this end, the following strategies have been formulated:

1. Energy Efficiency Optimization: Implementation of energy-saving retrofit projects to reduce Scope 2 emissions.

2. Renewable Energy Development: Gradual installation of solar photovoltaic systems to increase the proportion of self-generated renewable energy and reduce reliance on conventional energy sources.

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(VI) The State of the Company’s Performance in the Area of Ethical Corporate Management, Any Variance from the “Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies”, and the Reason for Any Such Variance:

Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
1. Establishment of ethical corporate management policies and programs
(1) Does the company establish an ethical corporate management policy approved by the board of directors, and declare its ethical corporate management policies and procedures in its guidelines and external documents, as well as the commitment from its board and senior management to implement the policies?	√		(1) The Company has established the “Procedures for Ethical Management and Guidelines for Conduct” approved by the Board of Directors, which clearly defines the ethical management policies and practices and requires the members, including directors and the top management team, to implement the Ethical Management policies. Please see the Company’s website for the policy. https://www.skytech.com.tw/operate_tw_3.php (2) In the “Procedures for Ethical Management and ” “	None
(2) Does the company establish mechanisms for	√		Guidelines for Conduct, Regulations	None

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Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
assessing the risk of unethical conduct, periodically analyze and assess operating activities within the scope of business with a relatively high risk of unethical conduct, and formulate an unethical conduct prevention plan on this basis, which at least includes preventive measures for conduct specified in Article 7, Paragraph 2 of the Ethical Corporate Management Best Practice Principles for TWSE/GTSM Listed Companies?			Governing Professional Moral Conduct” and “Code of Ethical Conduct”, it is clearly stated that the all members, including directors and top management, are strictly prohibited from offering or accepting bribes, providing illegal political donations, improper charitable donations or sponsorship, it is forbidden to infringe on intellectual property rights, to have improper relations with third parties, to prohibit transactions that violate the Fair Trade Act, and
(3) Does the company specify operating procedures, guidelines for conduct, punishments for violation, and rules of appeal in the unethical conduct prevention plan, and does it implement and periodically review and revise the plan?	√		to arbitrarily release material inside information without the Company’s consent. (3) In addition to signing the " Procedures for Ethical Management and Guidelines for Conduct " with employees, the company will sign confidentiality contracts with suppliers and provide a whistleblower mailbox for procurement activities with a high risk of	None

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Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			dishonest behavior within the business scope to prevent misconduct. In addition, the Board of Directors has formulated the operating procedures and conduct guidelines for ethical management, which clearly stipulates the operating procedures and conduct guidelines for preventing all kinds of dishonest behaviors, and has formulated a procuratorial law including reporting channels and handling procedures.
2. Implementation of ethical corporate management

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Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
(1) Does the company evaluate business partners’ ethical records and include ethics-related clauses in business contracts?	√		Before the initial transaction between the Company and the customers and vendors of the transaction, the Company will conduct an evaluation and investigation by the relevant units, and then the management will review and sign a commercial contract according to the actual needs before the transaction, and regularly review and evaluate the transaction records of the transaction partner. Suppliers who are business partners with the company or entrusted with product development and OEM production are required to sign a supplier/contract commitment letter, and the contract clearly stipulates the terms of honest conduct, and does not engage in any illegal commercial activities.	None

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	(2) Does the company establish a dedicated unit under the board of directors to promote ethical corporate management, and periodically (at least once a year) report to the board of directors and supervise the implementation of the ethical management policy and unethical conduct prevention plan?	√		The Company has designated the human resources department as the unit responsible for promoting corporate integrity management, which is subordinate to the Board of Directors. The dedicated unit shall report the ethical management policy, programs to prevent unethical conduct, and the oversight of implementation status to the Board of Directors on a regular basis (at least once a year). The implementation status has been reported to the Board of Directors on 12/19/2025. 2025 Specific Implementation Items are as follows: 1. Education and Training: As of December 12, 2025, the status of training related to ethical management for the year is as follows: (1) Promotional materials for regulations, such as the "Procedures for Ethical Management and Guidelines for Conduct," are available on the Company's website for all employees to access at any time. (2) New Employee Orientation: Mandatory courses for new hires include Ethical Management, Code of Conduct, Personal Data Consent, and Confidentiality & Non- Compete Agreements. In 2025, a total of 98 new employees completed these courses, achieving a 100% completion rate. (3) Annual Promotion for All Staff: To strengthen organizational compliance and integrity awareness, an annual ethical management promotion was conducted for 335 employees this year, with a 100% completion rate. (4) Specialized Course: The "Essential Legal Responsibilities – Trade Secrets" course was held with 258participants,reachinga 77%penetration rate.	None

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(5) Targeted Training: Professional in-depth courses were
conducted for key roles such as finance, including 2
person-times for "Prevention of Corporate Corruption
from a Governance Perspective" and 1 person-time for
"Legal Compliance for Insider Trading." Total targeted
training for the year reached 3 person-times. The total
attendance for ethical management-related training this
year was 694 person-times.
2. Risk Assessment:
In the 2025 risk management operations, an assessment
was conducted regarding the risk of "Insufficient
Promotion of Employee Ethical Conduct." The
emergency response level was determined as "Acceptable
(No immediate action required)," and current control
measures will be maintained.
3. Records of Benefits:
 Cash received: NT$0
 Gifts received (exceeding the limit of NT$3,000 per
instance or NT$10,000 annually): 0 cases
 Facilitation payments (offered or requested): 0 cases
 Political contributions this year: NT$0
 Charitable donations and sponsorships this year:
NT$0
4. Whistleblowing System:
The Company’s "Ethical Management Principle" and
"Procedures for Ethical Management and Guidelines for
Conduct" establish a specific whistleblowing system. We
have set up an external reporting email
(ethic@skytech.com.tw) and an internal reporting email
(chatchat@skytech.com.tw) for stakeholders and

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			employees to report unethical conduct. Furthermore, the system clearly defines standard operating procedures for handling reports, post-investigation measures, disciplinary actions, and confidentiality mechanisms. The identity of whistleblowers and the content of reports are kept strictly confidential, ensuring that whistleblowers are protected from any adverse treatment or any form of retaliation. In 2025, no incidents of unethical conduct were reported. 5. Disclosure: The Company has disclosed integrity-related regulations, including the "Ethical Management Principle," "Procedures for Ethical Management and Guidelines for Conduct," and "Code of Ethical Conduct" on the corporate website for the convenience of employees and external stakeholders. 6. Compliance Statement and Commitment: The Company frequently emphasizes the importance of integrity in internal meetings, reminding employees that ethical management is a core corporate regulation. All Directors and senior management of the Company have signed the "Declaration of Ethical Management," committing to follow relevant regulations, implement measures to prevent unethical behavior, and uphold the Company'spolicyof clean and honest operations.
(3) Does the company establish policies to prevent conflicts of interest and provide appropriate communication channels, and implement it?	√		(3) According to the “Procedures for Ethical Management and Guidelines for Conduct”, “Regulations Governing Professional Moral Conduct” and “Code of Ethical Conduct”, if in the course of conducting Company’s business,any personnel of the Companydiscovers that a	None

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Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
			potential conflict of interest exists involving themselves or the juristic person that they represent, or that they or their spouse, parents, children, or a person with whom they have a relationship of interest are likely to obtain improper benefits, the personnel shall report the relevant matters to both his or her immediate supervisor and the Legal Office, and the immediate supervisor shall provide the personnel with proper instructions. When a director attending the board of meetings has any agenda item that conflicts with his or her own interests, the director will not participate in the discussion and vote on that item.

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Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
(4) Does the company have an effective accounting system and internal control systems set up to facilitate ethical corporate management? Does the internal auditing unit formulate audit plans based on unethical conduct risk assessment results, and does it audit compliance with the unethical conduct prevention plan or commission a CPA to perform the audit?	√		The Company has established an effective accounting system and internal control system. Set up an audit unit to arrange the audit plan according to the risk assessment, and conduct regular audits to prevent dishonest behavior. So far, there has been no violation of the integrity of the management in the relevant situation.	None.

~ 98 ~

(5) Does the company regularly hold internal and external educational training on ethical corporate management?	√		In 2025, the Company arranged relevant training to implement ethics, detailed as follows: 1. Promotional materials for regulations, such as the "Procedures for Ethical Management and Guidelines for Conduct," are available on the Company's website for all employees to access at any time. 2. New Employee Orientation: Mandatory courses for new hires include Ethical Management, Code of Conduct, Personal Data Consent, and Confidentiality & Non- Compete Agreements. In 2025, a total of 98 new employees completed these courses, achieving a 100% completion rate. 3. Annual Promotion for All Staff: To strengthen organizational compliance and integrity awareness, an annual ethical management promotion was conducted for 335 employees this year, with a 100% completion rate. 4. Specialized Course: The "Essential Legal Responsibilities – Trade Secrets" course was held with 258 participants, reaching a 77% penetration rate. 5. Targeted Training: Professional in-depth courses were conducted for key roles such as finance, including 2 person-times for "Prevention of Corporate Corruption from a Governance Perspective" and 1 person-time for "Legal Compliance for Insider Trading." Total targeted training for the year reached 3 person-times. The total attendance for ethical management-related training this year was 694 person-times.	None.
3.Operationof integrity channel

~ 99 ~

Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
(1) Does the company establish both a reward/punishment system and an integrity hotline? Can the accused be reached by an appropriate person for follow-up?	√		The Company has established the “Procedures for Ethical Management and Guidelines for Conduct” and encourages internal and external personnel to report any dishonest or inappropriate conduct and, depending on the severity of the reported incidents, may award bonuses. The Audit Office handles reported incidents according to established procedures. The Company has established an independent whistleblower mailbox to receive reports of violations and strictly maintains the confidentiality of the whistleblower's personal information and the content of the report, providing comprehensive protection measures in accordance with the law. Relevant information is disclosed on the Company's official website: https://www.skytech.com.tw/operate_tw_1.php	None.
(2) Does the company establish standard operating procedures for confidential reporting when investigating accusation cases?	√		The Company has established the "Procedures for Ethical Management and Guidelines for Conduct", which clearly regulates the standard handling procedures after the acceptance of complaints, follow-up measures to be adopted after investigations,and related confidentialityregimes.	None.

~ 100 ~

Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
(3) Does the company provide proper whistleblower protection?	√		The Company maintains the identity of the complaint and the content of reported cases confidential and protects the informer from inappropriate disciplinary actions or any retaliations due to the report.	None.
4.Strengtheninginformation disclosure
Does the company disclose its ethical corporate management policies and the results of its implementation on the company’s website and the Market Observation Post System?	√		The Company has placed relevant regulations on business ethics, including “Procedures for Ethical Management and Guidelines for Conduct”, “Regulations Governing Professional Moral Conduct” and “Code of Ethical Conduct”, on the Company’s website for all employees to check any time, and the Company also discloses the information about the implementation of relevant regulations on its external website and Market Observation Post System. The Company’s website is as follows: https://www.skytech.com.tw/governance_tw.php?id=13	None.
5. If the company has established ethical corporate management policies based on the “Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies”, please describe any discrepancy between the policies and their implementation: The Company has established the “Procedures for Ethical Management and Guidelines for Conduct”, “Regulations Governing Professional Moral Conduct” and “Code of Ethical Conduct”, and all members, including directors and the top management team, to implement the Ethical Management

1. If the company has established ethical corporate management policies based on the “Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies”, please describe any discrepancy between the policies and their implementation: The Company has established the “Procedures for Ethical Management and Guidelines for Conduct”, “Regulations Governing Professional Moral Conduct” and “Code of Ethical Conduct”, and all members, including directors and the top management team, to implement the Ethical Management

~ 101 ~

Evaluation Item	Implementation Status	Implementation Status	Implementation Status	Deviations from the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies and Reasons
	Yes	No	Summary description
policies. There is no deviation between thepolicies and their implementation.
6. Other important information to facilitate a better understanding of the company's ethical corporate management policies: (e.g., review and amend its policies) In 2025, there were zero complaints about unethical conduct.

• (VII) The Company shall disclose other significant information that will provide a better understanding of the state of the corporate governance: None.

~ 102 ~

(VIII) The State of Implementation of the Company’s Internal Control System

1. Statement on Internal Control

Based on the findings of a self-assessment, Skytech Inc. states the following with regard to its internal control system during the year 2025:

• I. The Company acknowledges and understands that the establishment, enforcement and maintenance of the internal control system are the responsibility of the Board of Directors and management, and that the Company has already established such a system. The purpose is to provide reasonable assurance of the effectiveness and efficiency of business operations (including profitability, performance and security of assets), the reliability, timeliness, transparency, and regulatory compliance of reporting, and compliance with applicable laws, regulations, and bylaws.

• II. Internal control regulations possess inherent shortcomings. Regardless of its design, an effective internal control system can only provide reasonable assurance of the three objectives as mentioned above. Furthermore, its effectiveness may change due to changes in the Company's environment and circumstances. However, self-supervision measures were implemented within the Company’s internal control policies to facilitate immediate rectification once procedural flaws have been identified.

• III. The Company evaluates the design and operating effectiveness of its internal control system based on the criteria provided in the Regulations Governing the Establishment of Internal Control Systems by Public Companies (herein below, the “Regulations”). The criteria adopted by the Regulations identify five key components of managerial internal control: 1. Control Environment, 2. Risk Assessment, 3. Control Activities, 4. Information and Communication, and 5. Monitoring Activities. Each of the elements in turn contains several items. Please refer to “Regulations” for details.

• IV. The Company has evaluated the design and operating effectiveness of its internal control system according to the aforesaid Regulations.

• V. Based on the findings of such evaluation, the Company believes that, on December 31, 2025, it has maintained, in all material respects, an effective internal control system (that includes the supervision and management of our subsidiaries), to provide reasonable assurance on our operational effectiveness and efficiency, reliability, timeliness, transparency, and regulatory compliance of reporting, and compliance with applicable laws, regulations, and bylaws.

• VI. This statement shall be an integral part of the annual report and prospectus of the Company and will be made public. If any fraudulent information, concealment or unlawful practices are discovered in the content of the aforementioned information, the Company shall be held liable under Articles 20, 32, 171 and 174 of the Securities and Exchange Act.

• VII. This statement was approved by the Board of Directors on March 6, 2026 in the presence of 8 directors, who concurred unanimously.

Skytech Inc.

Chairman and President: Paul Huang

~ 103 ~

1. If the Company engages CPAs to examine its internal control system, it shall disclose the CPA examination report: : Not applicable.

2. (XI) Material Resolutions of Shareholders’ Meeting and Board of Directors' Meetings in the

   • 1.Most Recent Year and Up to the Date of Publication of the Annual Report:

Date.	Agenda items
2025/02/25	 Approved the effectiveness assessment of the internal control system and the internal control system statement for 2024.
	 Approved director remuneration and employee remuneration for 2024.
	 Approved the financial report and business report of the Company for 2024.
	 Approved the distribution of earnings for 2024.
	 Amendments to the Company’s Articles of Incorporation have been adopted to specify that a certain percentage of the Company’s annual earnings shall be allocated for salary adjustments or remuneration distribution to rank-and-file employees.
	 Proposal for Definingthe Scope of Rank-and-File Employees.
	 Proposal to Release the Company’s Managers and Directors from Non- Competition Restrictions.
	 The Board of Directors of the Company resolved to convene the 2025 Annual General Meetingof Shareholders.
	 Proposal for the Issuance of Restricted Stock for Employees(RSE).
	 Approval of the Company’s Participation in the Cash Capital Increase of Its Wholly-Owned SubsidiarySkylead Inc.
	 the Board of Directors resolved to amend certain sections of the Company’s Internal Control System.
2025/04/10	 Approved the Company’s Rules for the First Share Repurchase and Transfer of Shares to Employees.
	 Approved theproposal for the repurchase of the Company’s shares.
2025/05/13	 Approved the Company's financial report for the firstquarter of 2025.
	 Approval to apply for credit facilities from E.SUN Commercial Bank and to execute the related credit agreements and documentation, as well as to handle all matterspertainingto the credit facility.
	 Approval to apply to Cathay United Bank for financial transaction limits and NTD credit facilities.
	 Approval to apply to Land Bank of Taiwan for a customs duty payable guarantee facility.
	 Approval of the Company’s 2025 compensation assessment and payment plan for managerial officers.

~ 104 ~

Date.	Agenda items
	 Evaluation of Performance Indicators for Directors, the Board of Directors, and Functional Committees.
	 Evaluation and Payment of the 2025 Remuneration System for Directors.
	 Approval of the cancellation and capital reduction of the Company’s restricted employee shares that have been forfeited and repurchased in accordance.
	 Approval of the amendment to the Company’s “Procedures for the First Repurchase of Shares for Transfer to Employees.”
	 Approval to lift the restriction on the Company’s managerial officers from concurrently serving as managerial officers of other profit-seeking enterprises.
2025/08/08	 Approval of the appointment of the Company’s chief accounting officer and the correspondingcompensation structure and amount.
	 Approved the Company's 2025 second quarter consolidated financial statements.
	 Approval of the Company’s 2024 SustainabilityReport.
	 Amendment to the Company’s “Operational Procedures for Financial and Business Transactions among Affiliated Enterprises, Group Enterprises, and Related Parties.” Approval of the Company's Organizational Structure Adjustment Plan.
	
2025/11/06	 To announce the Company‘s 2025 third quarter consolidated financial
	statements were approved bythe Board of Directors
	 Approval of the distribution of employee compensation to the Company’s
	managerial officers for fiscalyear 2024.
	 Approval to apply to Mega International Commercial Bank, Hsinchu
	Branch,for workingcapital and materialprocurement credit facilities.
	 Approval to apply to CTBC Bank for short-term credit facilities and
	financial transaction limits.
2025/12/19	 The Company’s 2026 businessplan(includingbudget).
	 The change of certifying CPAs in response to the accounting firm’s
	internal rotation.
	 The evaluation of the independence and competence of the Company’s
	certifyingCPAs for 2026.
	 The appointment and remuneration of the Company’s certifying CPAs for
	2026.
	 The Company’s 2026 internal auditplan.
	 Amendments to the “Procedures for Acquisition or Disposal of Assets.”

~ 105 ~

Materi	Date.	Date.	Agenda items	Agenda items
			 Adjustments to the compensation structure of the Company’s managerial
			officers.
			 Allocation ofperformance bonuses for the Company’s managerial officers.
			 Amendments to the “Organizational Rules of the Remuneration
			Committee.”
			 Amendments to the “Procedures for Ethical Management and Guidelines
			for Conduct.”
			 The report on audit, assurance and non-assurance services and the related
			fees for 2025, and the adoption of the “Pre-Approval Policy for Non-
			Assurance Services Provided byCertifyingCPAs.”
	al Resolutions of Shareholders’ Meeting:			Resolution Proposed for acceptance. Accepted as proposed through a resolution. The earnings distribution was in cash and completed on August 08, 2025. Proposed for acceptance. The proposal was approved and duly authorized for issuance by the competent authority.
Date		Motion		Resolution
2025 Annual Shareholders’ meeting		The Company’s 2024 Business Report and Financial Statements		Proposed for acceptance.
		Adoption of the earnings distribution plan for fiscal year 2024.		Accepted as proposed through a resolution. The earnings distribution was in cash and completed on August 08, 2025.
		Approval of the amendment to the Articles of Incorporation to specify that a certain percentage of annual earnings shall be allocated for salary adjustments or compensation distribution tograssroots employees.		Proposed for acceptance.
		Approval to lift the non-competition restrictions on the Company’s directors.		The proposal was approved and duly authorized for issuance by the competent authority.

2. Material Resolutions of Shareholders’ Meeting:

(X) Major Issues of Record or Written Statements Made by Any Director Dissenting to Important Resolutions Passed by the Board of Directors in the Most Recent Year and Up to the Date of Publication of the Annual Report: None.

~ 106 ~

IV. Information on the Professional Fees of the Attesting CPAs:

• (I) CPA Professional fee of audit and non-audit services paid to the accounting firm and its affiliated

firms or corporations and the corresponding scope of audit and non-audit services

				Unit: NT$ thousand Non-auditfee Subtotal Remarks 1,380 4,530 Note	Unit: NT$ thousand Non-auditfee Subtotal Remarks 1,380 4,530 Note	Unit: NT$ thousand Non-auditfee Subtotal Remarks 1,380 4,530 Note
AccountingFirm	Name of CPA	Period Covered by CPAs’ Audit	Audit fee	Non-auditfee	Subtotal	Remarks
Pricewaterhouse Coopers, Taiwan	PAI, SHUCHIEN	2025.01.01~ 2025.12.31	3,150	1,380	4,530	Note
	CHENG, YA-HUEI

Note: Non-audit fees include transfer pricing services, consultation and advisory services related to the Securities and Exchange Act and other securities regulations, and registration matters related to the issuance and cancellation of restricted employee shares.

• (II) Change of accounting firm with lower audit fee than the previous year: None.

• (III) Audit fee reduced by 10% more than previous year: None.

• V. Information on Replacement of CPAs:

In compliance with applicable regulations and the internal rotation policy of

PricewaterhouseCoopers Taiwan, the Company has changed its certifying/reviewing CPAs for financial statements effective from the first quarter of 2026. The CPAs have been changed from Ms. Shu-Chien Pai and Ms. Ya-Hui Cheng to Ms. Shu-Chien Pai and Mr. Chih-Cheng Hsieh.

(1) Information on the Former Certifying CPAs

Effective Date of Change	Effective from the financial statements for the year beginning January 1, 2026 (as approved by the Board of Directors on December 19, 2025).	Effective from the financial statements for the year beginning January 1, 2026 (as approved by the Board of Directors on December 19, 2025).	Effective from the financial statements for the year beginning January 1, 2026 (as approved by the Board of Directors on December 19, 2025).
Reasons for the Change	The change was made in compliance with applicable regulations and the internal rotation policy of PricewaterhouseCoopers Taiwan.
Whether the Engagement Was Terminated or Not Renewed	Party Circumstance	CPAs	Company
	Voluntary termination of engagement	Not applicable	Not applicable
	Refusal to accept (or continue)the engagement	Not applicable	Not applicable

~ 107 ~

Non-unqualified audit opinions issued in the most recent two years and the reasons therefor	Not applicable	Not applicable	Not applicable
Disagreements with the Company	Y		Accounting principles orpractices
			Financial statement disclosures
			Scope orprocedures of audit
			Others
	N	
	Explanation: Not applicable.
Other Disclosures (Items required to be disclosed under applicable regulations)	Not applicable.

(2) Information on the Successor Certifying CPAs

Accounting Firm	PricewaterhouseCoopers Taiwan
Names of CPAs	Ms. Shu-Chien Pai / Mr. Chih-Cheng Hsieh
Date of Engagement	Effective from the financial statements for the year beginning January 1, 2026 (as approved by the Board of Directors on December 19,2025)
Consultations prior to engagement regarding accounting treatments, accounting principles, or potential audit opinions	Not applicable
Written opinions from the successor CPAs on disagreements with the former CPAs	Not applicable

• (3) Response from the Former CPAs regarding the matters set forth in Article 10, Paragraph 6, Subparagraph 1 and Subparagraph 2-3 of the Regulations: Not applicable.

• VI.Where the Company’s Chairman, President, or any manager in charge of finance or accounting matters has held a position at the accounting firm of its CPA or at an affiliated enterprise of such accounting firm in the most recent year, the name and position of the person,

~ 108 ~

and the period during which the position was held, shall be disclosed. The term "affiliated enterprise of a CPA's accounting firm" means one in which the CPA at the accounting firm holds more than 50% of the shares, or of which such CPA holds more than half of the directorships, or a company or institution listed as an affiliated enterprise in the external publications or printed materials of the accounting firm of the CPA: None.

• VII. Changes in Equity Interests by Director (including independent directors), Managers or Shareholders with a Stake of More Than 10 Percent in the Most Recent Year and Up to the Date of Publication of the Annual Report

• (I) Changes of the Shareholdings and Pledge of Shares of Directors (including independent directors), Managers and Shareholders Holding More than 10% of the Company’s Total Outstanding Shares

				Unit: shares 2026 till March 31 Holding Shares Increase (Decrease) Pledged Shares Increase (Decrease) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – –	Unit: shares 2026 till March 31 Holding Shares Increase (Decrease) Pledged Shares Increase (Decrease) – – – – – – – – – – – – – – – – – – – – – – – – – – – – – –
Title	Name	2025		2026 till March 31
		Holding Shares Increase (Decrease)	Pledged Shares Increase (Decrease)	Holding Shares Increase (Decrease)	Pledged Shares Increase (Decrease)
Chairman / President	Paul Huang	20	–	–	–
Director	Wealthwave International Investment Co., Ltd.	20	–	–	–
	Representative: Pei- Yu Lin	–	–	–	–
Director/President	GeorgeYi	20	–	–	–
Director	Jing-Shu Huang	20	–	–	–
Executive Vice President	Carl Lo	–	–	–	–
Independent Director	Bai-Da Shr	–	–	–	–
Independent Director	Du-Cheng Li	–	–	–	–
Independent Director	Chuen-Hung Tsai	–	–	–	–
Independent Director	Ji-Ye Miau	–	–	–	–
VicePresident	TonyLiu (Note)	–	–	–	–
Vice President	Calvin Shen	0.265	–	–	–
Vice President	Luc Chang	0.563	–	–	–
Corporate Governance Officer	Anita Lee	1	–	–	–
Accounting Manager	Chienya Lin	–	–	–	–

Note: Left the Company on November 21, 2025.

• (II)Shares Trading of Directors (including independent directors), Managers and Shareholders

~ 109 ~

Holding More than 10% of Company's Total Outstanding Shares: None.

• (III) Shares Pledge of Directors (including independent directors), Managers and Shareholders Holding More than 10% of Company's Total Outstanding Shares: None.

~ 110 ~

VIII. Relationships Among the Top 10 Shareholders

	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)	March 31, 2026 (Unit: shares; %)
NAME	SHAREHOLDING		SHAREHOLDING BY SPOUSE AND MINOR CHILDREN		Shareholding in the name of others		Name and Relationship Between the Company's Top Ten Shareholders
	Shares	%	Shares	%	Shares	%	Name	Relationship
Mega International Investment Co., Ltd.	4,673,353	6.91	–	–	–	–	1.Realtech Semiconductor, Inc. 2.Wang Weixu	Realtech Semiconducto r, Inc. Representative : Wang Weixu Mega International Investment Co., Ltd. Representative : Wang Weixu
Representative: Wang Weixu	1,741,956	2.57			6,458,353	9.55	1.Realtech Semiconductor, Inc. 2.Mega International Investment Co., Ltd.
Topview International Investment Co., Ltd.	4,279,422	6.33	–	–	–	–	1. Paul Huang 2.Jantech Semiconductor, Inc.	Jantech Semiconducto r, Inc. Representative : Paul Huang Topview International Investment Co., Ltd. Representative : Paul Huang
Representative: Paul Huang	2,196,399	3.25	–	–	7,585,498	11.21	1.Topview International Investment Co., Ltd. 2.Jantech Semiconductor, Inc
Wealthwave International Investment Co., Ltd.	4,268,904	6.31	–	–	–	–	1. Carl Lo 2.Celetech Semiconductor, Inc	Celetech Semiconducto r, Inc. Representative : Carl Lo Wealthwave International Investment Co., Ltd. Representative : Carl Lo
Representative: Carl Lo	3,224,042	4.77	70,000	0.10	8,041,037	11.89	1.Wealthwave International Investment Co., Ltd. 2.Celetech Semiconductor, Inc
Mega Rich Investment Co., Ltd.	3,875,160	5.73	–	–	–	–	–	–
Celetech Semiconductor, Inc.	3,772,133	5.58	–	–	–	–	1. Carl Lo 2.Wealthwave International Investment Co., Ltd.	Celetech Semiconducto r, Inc. Representative : Carl Lo

~ 111 ~

NAME	SHAREHOLDING	SHAREHOLDING	SHAREHOLDING BY SPOUSE AND MINOR CHILDREN	SHAREHOLDING BY SPOUSE AND MINOR CHILDREN	Shareholding in the name of others	Shareholding in the name of others	Name and Relationship Between the Company's Top Ten Shareholders	Name and Relationship Between the Company's Top Ten Shareholders
	Shares	%	Shares	%	Shares	%	Name	Relationship
Representative: Carl Lo	3,224,042	4.77	70,000	0.10	8,041,037	11.89	1.Wealthwave International Investment Co., Ltd. 2.Celetech Semiconductor, Inc	Wealthwave International Investment Co., Ltd. Representative : Carl Lo
Jantech Semiconductor, Inc.	3,306,076	4.89	–	–	–	–	1. Paul Huang 2.Topview International Investment Co., Ltd.	Jantech Semiconducto r, Inc. Representative :Paul Huang Topview International Investment Co., Ltd. Representative :Paul Huang
Representative: Paul Huang	2,196,399	3.25	–	–	7,585,498	11.21	1.Topview International Investment Co., Ltd. 2.Jantech Semiconductor, Inc
Carl Lo	3,224,042	4.77	70,000	0.10	8,041,037	11.89	1.Wealthwave International Investment Co., Ltd. 2.Celetech Semiconductor, Inc	Celetech Semiconducto r, Inc. Representative : Carl Lo Wealthwave International Investment Co., Ltd. Representative : Carl Lo
Paul Huang	2,196,399	3.25	–	–	7,585,498	11.21	1.Topview International Investment Co., Ltd. 2.Jantech Semiconductor, Inc	Jantech Semiconducto r, Inc. Representative :Paul Huang Topview International Investment Co., Ltd. Representative :Paul Huang
Leading International Investment Co. Ltd.	2,002,132	2.96	–	–	–	–	–	–
Representative: GeorgeYi	1,454,552	2.15	–	–	3,551,266	5.25	–	–
Realtech Semiconductor, Inc.	1,785,000	2.64					Mega International Investment Co., Ltd.	Realtech Semiconduct or, Inc. Representati

~ 112 ~

NAME	SHAREHOLDING	SHAREHOLDING	SHAREHOLDING BY SPOUSE AND MINOR CHILDREN	SHAREHOLDING BY SPOUSE AND MINOR CHILDREN	Shareholding in the name of others	Shareholding in the name of others	Name and Relationship Between the Company's Top Ten Shareholders	Name and Relationship Between the Company's Top Ten Shareholders
	Shares	%	Shares	%	Shares	%	Name	Relationship
Representative: Wang Weixu	1,741,956	2.57			6,458,353	9.55	1. Realtech Semiconducto r, Inc. 2. Mega International Investment Co., Ltd.	ve: Wang Weixu Mega International Investment Co., Ltd. Representati ve: WangWeixu

IX.The Total Number of Shares and Total Equity Stake held in any Single Enterprise by the Company, its Directors (including independent directors), Managers and Any Companies Controlled Either Directly or Indirectly by the Company.

	December 31, 2025 (Unit: shares; %)	December 31, 2025 (Unit: shares; %)	December 31, 2025 (Unit: shares; %)	December 31, 2025 (Unit: shares; %)	December 31, 2025 (Unit: shares; %)	December 31, 2025 (Unit: shares; %)
Investee	Investment by the Company (A)		Investments by directors, managers and directly or indirectly controlled enterprises (B)		Combined investment (A+B)
	Shares	%	Shares	%	Shares	%
Skylead Inc.	7,400,000	100%	-			100%
				-	7,400,000
Gimtek (Singapore) Pte. Ltd	2,100,000	100%	-			100%
				-	2,100,000
Skysemi (Xiamen) Technology Co., Ltd.	(Note 1)	100%	-			100%
				-	(Note 1)
Tradegenic Electronic (Shanghai) Co., Ltd.	(Note 1)	100%	-	-	(Note 1)
		invested by				100% invested
		Skysemi (Xiamen) Technolog y Co., Ltd.				bySkysemi (Xiamen) Technology Co., Ltd.
Sky-EUV Inc.	6,400,000	64.65%			6,400,000	64.65%
Enspection Technology CO., LTD.	3,625,000	100% owned by Sky-EUV Inc.			3,625,000	100% owned bySky-EUV Inc.
JTCK CO., LTD	15,600	100%			15,600	100%

Note 1: Limited company, hence, does not issue common stock.

~ 113 ~

III. Capital Overview

I. Capital and Shares

(I) Sources of Capital

1. Process of Capital Formation

Unit: NT$ thousand; thousand shares

						Unit: NT$ thousand; thousand shares	Unit: NT$ thousand; thousand shares	Unit: NT$ thousand; thousand shares
Month, Year	Issue Price (NT$)	Authorized Capital		Paid-in Capital		Remarks
		Shares	Amount	Shares	Amount	Sources of Capital	Capital Increase by Assets Other than Cash	Others
July 2002	10	500	5,000	500	5,000	Capital increase by cash NT$5,000thousand	None	Note 1
July 2004	10	2,500	25,000	2,500	25,000	Capital increase by cash NT$20,000thousand	None	Note 2
January 2006	10	6,500	65,000	6,500	65,000	Capital increase by cash NT$40,000thousand	None	Note 3
Dec 2014	10	9,500	95,000	9,500	95,000	Capital increase by cash NT$30,000 thousand	None	Note 4
Aug 2015	10	10,000	100,000	10,000	100,000	Capital increase by cash NT$5,000 thousand	None	Note 5
April 2017	10	12,000	120,000	12,000	120,000	Capital increase by cash NT$20,000 thousand	None	Note 6
June 2017	10	14,000	140,000	14,000	140,000	Capital increase by cash NT$20,000 thousand	None	Note 7
Dec 2017	10	16,500	165,000	16,500	165,000	Capital increase by cash NT$25,000 thousand	None	Note 8
Aug 2018	10	16,900	169,000	16,900	169,000	Other property to offset the share payment of NT$ 4,000 thousand	YES	Note 9
Jan 2021	10	18,353	183,530	18,353	183,530	Capital increase by cashNT$14,530 thousand	None	Note 10
March 2021	10	30,094	300,940	30,094	300,940	Capital increase by cash NT$117,410 thousand	None	Note 11
Sep 2021	19	100,000	1,000,000	40,313	403,128	Capital increase by cash NT$54,980 thousand Other property to offset the share payment ofNT$47,208 thousand	YES	Note 12
Jan 2022	19	100,000	1,000,000	54,477	544,773	Capital increase by cash NT$141,645 thousand	None	Note 13
May 2022	50	100,000	1,000,000	55,677	556,773	Capital increase by cash NT$12,000 thousand	None	Note 14
Nov. 2022	80	100,000	1,000,000	60,677	606,773	Capital increase by cash NT$50,000 thousand	None	Note 15
Dec. 2023	115	100,000	1,000,000	67,477	674,773	Capital increase by cash NT$68,000 thousand	None	Note 16
Mar. 2025	10	100,000	1,000,000	67,588	675,883	Issued 111,000 shares in restricted stock awards	None	Note 17
Jun. 2025	10	100,000	1,000,000	67,577	675,773	Cancellation of redeemed restricted employee shares	None	Note 18
Mar. 2026	10	100,000	1,000,000	67,655	676,553	Issued 79,000 shares in restricted stock awards	None	Note 19

~ 114 ~

• Note 1: On July 17, 2002, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong09132430690).

• Note 2: On July 02, 2004, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong09332350780).

• Note 3: On Jan. 27, 2006, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong09531646870).

• Note 4: On Dec. 12, 2014, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10333936830).

• Note 5: On Aug. 18, 2015, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10433652290).

• Note 6: On April 11, 2017, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10633198830).

• Note 7: On June 26, 2017, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10633360730).

• Note 8: On Dec. 26, 2017, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10633771400).

• Note 9: On Aug. 06, 2018, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong10733451760).

• Note 10: On Jan. 07, 2021, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11033004390).

• Note 11: On Mar. 12, 2021, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11033134820).

• Note 12: On Sep. 08, 2021, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11033560220).

• Note 13: On Jan. 13, 2022, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11101002520).

• Note 14: On May 23, 2022, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11101080700).

• Note 15: On Nov. 24, 2022, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Zhong11101221150).

• Note 16: On Jan 05, 2024, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Shang11230241960).

• Note 17: On Apr. 11, 2025, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Shang11430040860).

• Note 18: On July 21, 2025, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Shang11430085970).

• Note 19: On March 16, 2026, approved by the letter issued by the Ministry of Economic Affairs (Ref. No. Jing-Shou-Shang11530035340).

• Type of Stock

March 31, 2025 (Unit: shares)

Share Type	Authorized Capital	Authorized Capital	Authorized Capital	Remark
	Issued Shares	Un-issued Shares	Total Shares
Common Shares	67,655,263	32,344,737	100,000,000	Repurchase of 180,000 shares of the Company’s ownshares.

~ 115 ~

(II) List of Major Shareholders

Names of shareholders with more than 5% ownership interest or top 10 shareholders, and the number of shares held and shareholding percentage represented.

Names of shareholders with more than 5% ownership interest or top 10 shareholders, and the number of shares held and shareholding percentage represented.	Names of shareholders with more than 5% ownership interest or top 10 shareholders, and the number of shares held and shareholding percentage represented.	Names of shareholders with more than 5% ownership interest or top 10 shareholders, and the number of shares held and shareholding percentage represented.
March 31,2026
Shareholder's Name	Shareholding (shares)	Shareholding Percentage (%)
Mega International Investment Co., Ltd.	4,673,353	6.91%
Topview International Investment Co., Ltd.	4,279,422	6.33%
Wealthwave International Investment Co., Ltd.	4,268,904	6.31%
Mega Rich Investment Co., Ltd.	3,875,160	5.73%
Celetech Semiconductor, Inc.	3,772,133	5.58%
Jantech Semiconductor, Inc.	3,306,076	4.89%
Carl Lo	3,224,042	4.77%
Paul Huang	2,196,399	3.25%
Leading International Investment Co. Ltd.	2,002,132	2.96%
Realtech Semiconductor, Inc.	1,785,000	2.64%

(III)Dividend Policy and Implementation Status

1. Dividend Policy

Where the Company has a net profit after tax for the period after settling the annual accounts, the accumulated loss shall be compensated first, and then provide 10 percent as the legal reserve pursuant to laws. However, where the legal reserve has reached the paidin capital, the provision may be suspended. Next, the special reserve may be provided or reversed based on the laws or business needs. Shall there be any remaining, with the beginning undistributed earnings, the board of directors may propose the earning distribution and submit it to the shareholders’ meeting to resolve the shareholders’ dividends and bonuses.

Where the dividends and bonus said in the preceding paragraph are paid with all or part of the capital reserve or legal reserve, the board of directors is authorized to adopt the resolution made by the majority of the attending directors in a board meeting attended by two-thirds or more of directors, and report such to the shareholders’ meeting. If this is done by issuing new shares, the resolution of the shareholders’ meeting is required.

The Company’s dividend distribution policy shall depend on the current and future investment environment, capital needs, domestic and international competitions, and capital budgets of the Company, while considering the long-term financial planning of the

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Company. The total amount of the shareholders’ dividends and bonus distributed shall not be lower than 10 percent of the balance of the net profit after tax for the then-current year, deducting the reserve provided pursuant to laws. However, where the distributable amount per share is lower than NT$0.1 after the net profit after tax for the then-current year deducting the reserve provided pursuant to laws, the earning may be exempted from distribution. The shareholders’ dividends and bonuses may be distributed in cash or shares, and the cash dividends shall not be lower than 10 percent of the total amount of dividends.

1. Proposed Distribution of Dividend : The board of directors of the company resolved on Mar 6, 2026, to distribute a cash dividend of NT$1.4 per share, totaling NT$94,465 thousand.

2. Material Change in Dividend Policy Is Expected : Not expected to have material change in dividend policy.

3. (IV) Impact on t h e Company’s Operating Performance and Earnings Per Share due to the Share Dividends Plan Proposed in this Shareholders’ Meeting: None.

4. (V)Employee Bonus and Directors (including independent directors)’ Remuneration

5. The Scope and Proportion of Compensation to Employees, Directors Stipulated in the Articles of Incorporation

If there is profit in any given year, the Company shall set aside 1% thereof as employee compensation, the total amount of employee compensation allocated shall not be less than 30% for the distribution of compensation to non-executive employees. The Board of Directors may resolve to pay said compensation in the form of shares or cash. The Board of Directors may resolve to set aside no more than 2% of the above-mentioned profit as the remuneration of the directors. A proposal on compensation for employees and remuneration for directors shall be presented at the shareholders’ meeting. If the Company has accumulated losses, the amount for making up said losses shall be reserved before setting aside the compensation for the employees and remuneration of the directors at the rates stated above.

The Company resolved to allocate NT$8,477,632 as employee compensation for the year 2025. Of the total employee compensation, 48%, amounting to NT$4,069,263, is allocated to non-managerial employees. No directors’ remuneration is proposed for the year.

1. The accounting management for the estimation base of the estimated amount of

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compensation to employees and directors, the share calculation base of distributed shares as employees' compensation, and in the event that actual distributed amount are different from estimated figures:

In respect of estimated employees’ compensation and directors’ remuneration according to the Articles of Incorporation, if the actual distribution amount adopted by the Board of Directors in the next year is different from the estimated figures, it shall be handled in accordance with the management of changes in accounting estimates, the profit and loss shall be adjusted in the year resolved by the Board of Directors.

1. Information of proposed distributable compensation adopted by the Board of Directors:

   • (1) The amount of compensation to employee and directors distributed in cash or shares: The Company’s 22nd meeting of the 8th Board of Directors in 2026 approved the distribution of employee compensation in the amount of NT$8,477,632. Of the total employee compensation, 48%, or NT$4,069,263, was allocated to non-managerial employees. No directors’ remuneration was provided for 2026. There is no difference between the approved amount and the amount previously accrued as expenses for the year.

   • (2) The proportion of the amount of employees’ compensation distributed by shares is accounted for the sum of the profit margin after tax provided in the current individual or parent company only financial report and the total amount of employees’ compensation:The Company did not distribute employees’ compensation by shares.

2. The difference between actual distributed compensation to employees and directors (including distributed shares, amount, and price of shares) of the preceding year and recognized compensation to employees and directors, and the amount, reasons, and management regarding such difference: No difference.

3. (VI) Buyback of Company Shares:

4. Buyback of Company shares (executed completely)

1. Buyback of Company shares (executed completely)
Batch Order	First
Purpose of buy-back	Employee stock distribution

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Date of Board Resolution	2025/04/10
Scheduled period for the repurchase	2025/04/11~2025/06/09
Price range	NT$ 113.50~260.00
Class, quantity of shares bought-back	common shares 180,000
Total monetary amount of shares currently repurchased	NT$ 31,961,769元
Average Repurchase Price per Share	NT$177.57
The ratio of the number of shares that were repurchased to the planned number of shares to be repurchased	72 %
Quantity of cancelled shares (Note 1)	0 share
Cumulative no.of the company's own shares held	180,000 shares
Cumulative no.of the company's own shares as a percentage of the total no.of the company's issued shares（Note 1）	0.2661 %

Note 1 ： As of March 31, 2026, the total amount of issued shares of the Company 67,655,263 shares.

1. Buyback of Company shares (under execution): None.

II. Corporate Bonds: None.

III. Preferred Shares: None.

IV. Global Depository Receipts: None.

• V. Employee Stock Option: None.

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VI. Status of Employee Restricted Stock:

(I) Restricted stock awards：

March 31, 2026 (Unit: shares)

Types of restricted stock awards	First (batch) of restricted stock awards in 2024	First (batch) of restricted stock awards in 2024
Date of approval by competent authorities and total number of shares	November 7, 2024 200,000 shares
Date of issuance	March 19, 2025	March 6, 2026
Number of shares from restricted stock awards	111,000 shares	79,000 shares
possible to issue from restricted stock awards	10,000 shares
Issue price	NT$0 per share (bonus shares)
restricted shares issued as a percentage of current outstanding shares	0.28 %
Vesting conditions of restricted stock awards	From the date when employees are granted restricted stock units, they have to fulfill the service code (annual performance rating of 3 or above), and should not violate the company's labor contract, etc. The proportions of shares that can be separated from the vested conditions are as follows: i. Maturity of one year: 20% of the allotted shares. ii. Maturity of 2 years: 30% of the allotted shares. iii. Maturity of 3 years: 50% of the allotted shares.
Restricted rights of restricted stock awards	i. Except for inheritance, before the vested conditions stipulated in the preceding article are fulfilled, employees shall not be allowed to sell, pledge, transfer, gift to others, set, or dispose. ii. Before the shares vested, have the right to participate in cash capital increase and the dividends in share or in cash could be allotted to employees, not subject to the restrictions of the vested period. iii. The new shares issued before vested, the attendance, proposal, speech, voting and voting rights in the shareholders' meeting shall be entrusted to the trust institution/custodian to exercise. iv. After the issuance of new shares with restricted employee rights, they shall be immediately delivered to trust/custody and employees shall not request the trustee to return the

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	restricted employee rights new shares for any reason or by any means until the vested conditions have been met. v. During the vesting period, where the Company decreases the capital due to any non-statutory capital decrease, such as the capital decrease in cash, the capital decrease 55for offsetting losses, the Restricted Stock Awards shall decrease proportionally based on the capital decrease percentage. The cash refunded due to the capital decrease in cash shall be trusted, and refunded to employees without interest when the vesting conditions are met; provided, where the vesting conditions are not met, the Company will retrieve such cash.	restricted employee rights new shares for any reason or by any means until the vested conditions have been met. v. During the vesting period, where the Company decreases the capital due to any non-statutory capital decrease, such as the capital decrease in cash, the capital decrease 55for offsetting losses, the Restricted Stock Awards shall decrease proportionally based on the capital decrease percentage. The cash refunded due to the capital decrease in cash shall be trusted, and refunded to employees without interest when the vesting conditions are met; provided, where the vesting conditions are not met, the Company will retrieve such cash.
Custody of restricted stock awards	New shares issued by the company that restrict the rights of employees are handled in the form of stock trust custody, and the company or a person designated by the company acts as an agent on behalf of all assigned employees trust affairs.
Handling restricted stock awardsallocated or subscribed to by employees who fail to meet vesting conditions	If employees who are allocated restricted stock awards in accordance with these Regulations fail to meet vesting co nditions, the shares will be taken back without compensation and retired.
Number of restricted shares taken back or bought back	12,000 shares	--
Number of shares with restrictions lifted	19,800 shares	--
Number of shares with restrictions not yet lifted	79,200 shares	79,000 shares
Number of shares with restrictions not yet lifted as a percentage of current outstanding shares (%)	0.23 %
Impact on Shareholders' Equity	Dilution of the Company's future EPS is limited, so there is no material impact on shareholder equity.

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(II) The names of managers and top ten employees that obtained restricted stock awards：

Issued on March 19, 2025 unit ： shatre

	Title	Name	Shares obtained through restricted stock awards	Shares obtained through restricted stock awards as a percentage of current outstanding shares	Restrictions that werelifted (Note2)	Restrictions that werelifted (Note2)	Restrictions that werelifted (Note2)	Restrictions that werelifted (Note2)	Unvested restricted rights	Unvested restricted rights	Unvested restricted rights	Unvested restricted rights
					Number of unrestricted shares	Issue Price (per share)	Issuance amount (NT$ Thousands)	Number of unrestricted shares as a percentage of current outstanding shares (Note 4)	Number of Unvested Restricted Shares	Issue price (per share)	Issuanc e amount (NT$ Thousa nds)	Number of restricted shares as a percentage of current outstanding shares (Note 4)
Employee (Note 4)	General Manager of the Subsidiary Company	Hu OO	111,000	0.16%	19,800	0	-	0.03%	79,200	0	-	0.12%
	Chief Human Resources Officer	ChengOO (Resigned)
	Sales Manager of the Subsidiary Company	Zhong OO
	Sales Representative of the Subsidiary Company	MaOO
	Sales Representative of the Subsidiary Company	Zhao OO
	Sales Representative of the Subsidiary Company	Chen OO
	Sales Representative of the Subsidiary Company	Yuan OO
	Sales Representative of the Subsidiary Company	Li OO
	Sales	ZhangOO

~ 122 ~

Manager Engineer of the Subsidiary Xu OO Company Procurement for Property Management Hu OO of a Subsidiary Company Sales Manager of the Subsidiary Luo OO Company Note 1: Including managers and employees, individual names and titles should be disclosed, but the distribution or subscription status can be disclosed in a summarized manner. Note 2: The top ten employees with restricted rights to new shares refers to employees other than managers. Note 3: The total number of issued shares refers to the number of shares listed in the registration information updated by the Ministry of Economic Affairs. Note 4: As of the report date, shares have not been allocated to managers.

Note 4: As of the report date, shares have not been allocated to managers.	Note 4: As of the report date, shares have not been allocated to managers.	Note 4: As of the report date, shares have not been allocated to managers.	Note 4: As of the report date, shares have not been allocated to managers.	Note 4: As of the report date, shares have not been allocated to managers.
Issued on March 6,2026
	Title	Name	Shares obtained through restricted stock awards	Shares obtained through restricted stock awards as a percentage of current outstanding shares	Restrictions that werelifted (Note2)				Unvestedrestrictedrights
					Number of unrestricted shares	Issue Price (per share)	Issuance amount (NT$ Thousands)	Number of unrestricted shares as a percentage of current outstanding shares (Note 4)	Number of Unvested Restricted Shares	Issue price (per share)	Issuance amount (NT$ Thousa nds)	Number of restricted shares as a percentage of current outstanding shares (Note 4)
Employee (Note 4)	Special Assistant	Chen OO	62,000	0.09%	--	0	--	--	62,000	0	-	0.09%
	Consultant	Wu OO
	Senior Technical Manager	Hsu OO
	Special Assistant	Hsieh OO
	Director	Chiang OO
	Senior Director and Special Assistant	Chuang 00
	Senior Director	Wang OO
	Director	Cheng OO
	Senior Director and Plant	Lee 00

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Manager General Manager of the Huang OO Subsidiary Company Note 1: Including managers and employees, individual names and titles should be disclosed, but the distribution or subscription status can be disclosed in a summarized manner. Note 2: The top ten employees with restricted rights to new shares refers to employees other than managers. Note 3: The total number of issued shares refers to the number of shares listed in the registration information updated by the Ministry of Economic Affairs. Note 4: As of the report date, shares have not been allocated to managers.

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VII.Status of New Share Issuance in Connection with Mergers and Acquisitions: None.

VIII. Funding Plans and Implementation (Incomplete previous stock issuance or private placement or completed stock issuance or private placement but with benefit yet occurred): None.

IV. Business Operations Overview

I. Business Contents

• (I) Business Scope

1. The company operates the following businesses:

Businessitemcode	Business Contents
F119010	Wholesale of ElectronicMaterials
E603050	Automatic Control Equipment Engineering
F113030	Wholesale of Precision Instruments
E604010	Machinery Installation
CB01010	Mechanical EquipmentManufacturing
CC01080	Electronics ComponentsManufacturing
EZ05010	Instrument andMetersInstallation Engineering
F113010	Wholesale of Machinery
F213080	RetailSale of MachineryandTools
F219010	RetailSale of ElectronicMaterials
F401010	International Trade
I103060	ManagementConsulting
I301010	Information Software Services
F107200	Wholesale ofChemical Feedstock
F107990	Wholesale ofOtherChemical Products
F207200	Retail Sale of Chemical Feedstock
F207990	RetailSale ofOtherChemical Products
ZZ99999	All business activities that are not prohibited or restricted by law, except thosethat are subject to special approval.

2. Proportion of Main Products:

ortion of Main Products:	ortion of Main Products:	ortion of Main Products:
			Unit: NT$; thousan
Year Item	2025		2024
	Amount	%	Amount	%
Semiconductor Main Equipment	695,745	31.00%	1,270,058	49,08%
Semiconductor Customerized- Spare Parts	660,889	41.13%	650,919	25.15%
Semiconductor Technical Services	713,559	31.79%	530,502	20.50%

~ 125 ~

Semiconductor Intelligent Systems	162,645	7.25%	120,746	4.67%
Other	11,808	0.52%	15,416	0.6%
Total	2,244,646	100.00%	2,587,641	100.00%

Note: Consolidated financial statements are audited and certified by independent accountants.

1. Main Products (Service) Items:

A. Physical Vapor Deposition (PVD)

PVD (Physical Vapor Deposition) technology is mainly used in semiconductor processes to deposit thin-film materials such as metal layers, metal nitrides, carbon films, and metal oxides. Its application scope covers fields including front-end semiconductor processes, back-end advanced packaging, silicon photonics integration processes, advanced probe card technology (Space Transformer), the optoelectronic industry, and the compound semiconductor industry.The types of materials that PVD can deposit are diverse, primarily including Titanium (Ti), Copper (Cu), Aluminum (Al), Aluminum Copper (AlCu), Aluminum Silicon (AlSi), Titanium Tungsten (TiW), Gold (Au), Silver (Ag), Nickel (Ni), Nickel Vanadium (NiV), Tantalum (Ta), Aluminum Nitride (AlN), Tantalum Nitride (TaN), Titanium Nitride (TiN), Carbon, and Indium Tin Oxide (ITO).Through the modulation of process parameters, PVD can not only form planar thin-film depositions with low stress and high uniformity, but also achieve good continuous step coverage for highaspect-ratio structures by means of Bias Power and Long-Throw Sputtering technologies, and complete the fabrication of Barrier Layers and Seed Layers. Related applications are key technologies in advanced semiconductor processes.

With the rapid evolution of Panel Level Packaging (PLP) technology in recent years, the demand for PVD processes in the field of advanced packaging has continued to rise. In Front Side Metallization (FSM) processes, prior to copper electroplating, sputtering equipment must be used to deposit Titanium (Ti) and Copper (Cu) thin films. These serve as the Barrier Layer and Seed Layer, respectively, to ensure the adhesion, conductivity, and process stability of subsequent copper electroplating stages.

In addition, in the Back Side Metallization (BSM) process, PVD can be used to deposit multi-layer metal films such as Aluminum (Al), Titanium (Ti), Nickel Vanadium (NiV), and Gold (Au) on the back side of substrates or wafers. Among these, the Aluminum layer serves as the primary conductive metal, the Titanium layer enhances the adhesion between the metal film and the substrate, the Nickel Vanadium layer serves as a barrier layer, and the Gold layer possesses the functions of antioxidation and improving the reliability of subsequent soldering. Through the

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aforementioned multi-layer metal structures, the adhesion, barrier capability, conductivity, and soldering characteristics in the panel-level packaging process can be effectively enhanced, further driving the growth in demand for PVD equipment in advanced packaging applications.

The Company has successfully developed 310×310 mm PLP process equipment and has shipped it to customer sites, gradually establishing comprehensive panellevel packaging process equipment capabilities. This has laid a solid foundation for subsequent entry into the advanced packaging market and the expansion of related process applications.

B. Atomic Layer Deposition (ALD)

Atomic Layer Deposition (ALD) equipment applied in semiconductor manufacturing is a thin-film process technology that deposits layers atom-by-atom on the surface of components through self-limiting surface reactions. ALD possesses step coverage close to 100%, making it particularly suitable for thin-film deposition on high-aspect-ratio structures and complex surface morphologies. Simultaneously, it can form films with high density and precisely controllable thickness to meet the electrical, insulation, and reliability requirements of advanced components.

ALD is primarily applied in the deposition of insulating and conductive layers. Common materials include Aluminum Oxide ( Al₂O₃ ), Silicon Oxide ( SiO₂ ), Hafnium Oxide ( HfO₂ ), Zirconium Oxide ( ZrO₂ ), Aluminum Nitride (AlN), Silicon Nitride (SiNx ), Titanium Oxide ( TiO₂ ), Titanium Nitride ( TiN ), Molybdenum ( Mo ), and Aluminum-doped Zinc Oxide ( AZO ), among others. Depending on different material characteristics and process requirements, ALD can utilize thermal reaction methods for deposition, or integrate Plasma-Enhanced (PEALD) technology to improve reaction efficiency, lower process temperatures, and broaden its application scope within advanced semiconductor manufacturing. Consequently, ALD has become one of the indispensable and critical thin-film deposition technologies in the advanced semiconductor industry.

With the development of Panel Level Packaging (PLP) technology in recent years, prior to the subsequent deposition of PVD Titanium (Ti) / Copper (Cu) Barrier Layers and Seed Layers on glass substrates, it is usually necessary to first form buffer layers such as Aluminum Oxide ( Al₂O₃ ) or Titanium Oxide ( TiO₂ ) through ALD. This is done to improve the adhesion of Ti/Cu thin films on glass substrates, thereby enhancing the stability and reliability of the subsequent metallization process. This process requirement has also further driven the importance and market demand for ALD equipment in advanced packaging applications.

Based on different precursor characteristics and process application

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requirements, the Company provides diversified Atomic Layer Deposition (ALD) equipment solutions, including Thermal ALD equipment and Plasma-Enhanced ALD (PEALD) equipment. Among these, the plasma-enhanced systems can be configured with Capacitively Coupled Plasma (CCP) or Inductively Coupled Plasma (ICP) architectures depending on process needs, to meet the application requirements of various thin-film materials, substrate sizes, and advanced packaging processes.

The Company's latest developed PECVD (Plasma-Enhanced Chemical Vapor Deposition) equipment has also completed relevant process testing.

Furthermore, the Company has extended the application of Atomic Layer Deposition (ALD) technology to the surface coating of nano-grade quantum dot powders. Leveraging the layer-by-layer deposition characteristics of ALD, a uniform and dense protective film can be formed on the surface of quantum dot powders. This effectively enhances the barrier capability of quantum dot materials against oxygen and moisture in the environment, thereby improving their stability, reliability, and service life. This technology can assist the development of quantum dot display technology and support the long-term reliability requirements of high-end quantum dot TVs and next-generation display applications.

C. Wafer bonder and de-bonder (Bonder/Debonder)

Wafer bonding and debonding technologies are widely applied in compound semiconductor and power semiconductor manufacturing processes. The primary purpose of wafer bonding is to attach a device wafer to a carrier wafer using bonding techniques, thereby providing sufficient mechanical strength to prevent wafer breakage during the thinning process and subsequent downstream processing.

Key technologies in the bonding process include alignment accuracy, postbonding planarity, and ensuring that no voids, bubbles, or contaminants exist between the bonded wafers, all of which are critical to maintaining process yield and stability. After completion of backside processing on the thinned wafer, a debonding process is performed to separate the device wafer from the carrier wafer. The critical aspects of debonding lie in enabling a clean separation without wafer breakage, where temperature control and debonding speed are key process parameters.

In general, wafer bonding and debonding equipment are essential for semiconductor processes involving wafer thinning. These technologies are particularly critical in silicon carbide (SiC) and power semiconductor applications. In recent years, industry trends such as the migration of power semiconductor manufacturing toward 12-inch wafers, the transition of SiC processes from 6-inch to 8-inch wafers, and the increasing demand for wafer thinning in high-bandwidth memory (HBM) have continuously driven the growth in demand for bonding and

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debonding equipment.

The Company’s newly developed 12-inch fully automated wafer bonding and debonding systems have completed development and are currently undergoing customer qualification, positioning the Company to capture emerging market opportunities driven by these industry trends.

D. EUV Pellicle Inspection

An EUV pellicle is an ultra-thin nanoscale membrane (typically only several tens of nanometers thick) suspended above the photomask to prevent particles on the mask surface from causing imaging defects during EUV exposure.

Pellicle inspection systems are primarily used to perform quality verification prior to shipment or before deployment in EUV lithography processes. Key inspection items include membrane integrity, transmission uniformity, and the absence of metallic or carbon residues, ensuring the stability and reliability of the pellicle during exposure.

Due to the extremely thin and fragile nature of EUV pellicles, as well as the reflective design of EUV masks, inspection is significantly more challenging than that of conventional DUV masks.

The pellicle inspection system developed by the Company’s subsidiary, Brilliant Technology, utilizes EUV light at the same wavelength as actual exposure (13.5 nm) for inspection (i.e., actinic inspection), enabling accurate simulation of real process conditions and improving inspection accuracy. The system has completed development and is currently undergoing full system testing.

E. Semiconductor equipment spare parts and related services (Spares & Service)

The Company’s semiconductor equipment spare parts and related services primarily provide key components for semiconductor process equipment, along with related repair and refurbishment services. We also offer further performance and cost-efficiency enhancement solutions, as well as customized modification and adjustment services. In addition, we provide equipment relocation, reinstallation after relocation, and routine preventive maintenance services, assisting customers in operating their production equipment at the highest utilization rate, lowest production cost, and shortest cycle time.

4. Planned Development of New Product (Service) Items:

The company continues to advance its semiconductor equipment component development while transferring this expertise to its in-house equipment platforms. By

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increasing the proportion of locally sourced parts from Taiwan's supply chain, the company is strengthening its domestic competitiveness. At the same time, it is expanding its in-house equipment portfolio from thin-film deposition into etch processes, evolving into a total solutions provider for high-vacuum plasma-based integrated process systems.In the materials sector, the company plans to leverage its proprietary thin-film deposition equipment and technology to enter the quantum dot market and become part of the quantum dot supply chain.Across industry segments, the company is deepening its penetration into the compound semiconductor market by combining its mature platforms—Physical Vapor Deposition (PVD), Atomic Layer Deposition (ALD), and wafer bonding/debonding systems—with its emerging descum and photoresist-ash equipment. Aligned with the rapid growth in automotive electronics, this strategy has already secured initial market presence.In advanced packaging, the company's fully automatic 12-inch wafer bonder has entered customer validation. The Panel Level Packaging Platform PVD/Descum process equipment has been successfully developed, and the Company has already engaged in in-depth collaboration with multiple customers.

Ongoing R&D efforts continue unabated, including the development of PECVD (Plasma-Enhanced Chemical Vapor Deposition) systems in collaboration with major domestic partners. The prototype was fully assembled and underwent relevant testing in 2025.

The Company continuously invests in research and development innovation. In addition to optimizing existing product technologies, the Company also actively collaborates with major domestic manufacturers to promote the development of several forward-looking process equipment projects, aiming to respond to future demands in advanced semiconductors, advanced packaging, power semiconductors, and specialty process applications. Related R&D projects include the following:

(1) 離子化金屬電漿 (Ionized Metal Plasma, IMP)

IMP is one of the advanced Physical Vapor Deposition (PVD) technologies, which primarily utilizes high-density plasma to ionize metal targets, such as copper and aluminum, thereby enhancing the filling capability for high-aspect-ratio trenches or hole structures. This technology can be applied to logic chips, MCUs, ASICs, analog/RF chips, specialty processes, and advanced interconnect-related processes, including the fabrication of Barrier, Liner, and Copper Seed Layers. Through IMP technology, hole-filling capability can be effectively improved, the probability of void formation reduced, and the conductive performance of metal layers enhanced.

(2) 新世代原子層沉積設備 (Next Generation ALD - HyFA)

The Company’s next-generation ALD equipment, HyFA, compared to existing equipment architectures, can accommodate a wider variety of precursors and provide

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a broader range of process operations, with superior film uniformity and step coverage capabilities. Additionally, HyFA is equipped with an In-situ Chamber Cleaning function, which allows for cleaning within the process chamber, helping to increase equipment utilization and reduce maintenance costs. Its potential customers include advanced logic foundries, memory manufacturers, power semiconductor plants, MEMS/sensor factories, and IDM manufacturers for specialty processes.

(3) 紫外光固化設備 (UV Curing - LuminA)

UV Curing technology utilizes ultraviolet light energy to promote the reorganization of molecular bonds within materials to enhance the strength of dielectric thin films. This technology can also be applied to the curing of adhesives or encapsulants in packaging processes to improve material curing efficiency and process stability.

(4) 乾式蝕刻設備 (Dry Etching - VETRA)

The VETRA dry etching equipment developed by the Company can be applied to Si Plasma Dicing processes, suitable for dry wafer or die dicing requirements in fields such as power devices, LEDs, RFIDs, RF Filters, and MEMS. Furthermore, it can be extended to Silicon Carbide (SiC) etching-related processes, including SiC Microchannel heat sinks for advanced packaging, SiC Trench MOSFETs, and Superjunction MOSFETs. As the demand for power semiconductors and highperformance heat dissipation continues to rise, dry etching equipment possesses excellent market development potential.

(5) 機械式解鍵合設備 (Mechanical Debond)

Mechanical Debond technology utilizes physical mechanical force to initiate a crack at the temporary bonding site at the wafer edge, allowing the thinned wafer to be separated from the carrier substrate or carrier wafer. Primary target customers include OSATs, packaging foundries, MEMS plants, and compound semiconductor factories, with applications in advanced packaging, wafer thinning, and specialty substrate processes.

(II) Industry Overview

1. Current Status and Development of the Industry

2. A. Global Semiconductor Market

Logic and memory businesses will become the primary drivers fueling strong growth in the global semiconductor market. The World Semiconductor Trade Statistics (WSTS) organization released its latest report on December 2, 2025, forecasting that the global semiconductor market will grow by 22% in 2025, reaching US$772 billion. Compared with the December 2024 forecast, the latest figure represents an upward revision of nearly US$75 billion. WSTS further expects that in 2026, the global semiconductor market will maintain strong momentum, with a year-

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over-year growth rate of up to 25%, pushing the market size to US$975 billion. This upward revision mainly reflects the continued expansion of AI-related applications and robust demand for computing and data center infrastructure, driving overall integrated circuit growth of 25.6%. Among these, both logic circuits and memory products are showing significant growth: the growth rate for logic circuits was revised upward from the original 16.8% to 37.1%, while memory was raised from 13.4% to 27.8%. Other product categories are also gradually recovering after experiencing a downturn in 2024, but the rebound momentum remains relatively moderate. Sensors are expected to grow by 10%, microprocessors by 8%, analog circuits by 7%, and optoelectronic components by 4%; discrete devices, however, are projected to decline slightly, mainly due to persistently weak demand from automotive applications. From a regional perspective, the Americas and Asia-Pacific are expected to grow by 25% to 30%, reflecting the strong pull from logic and memory businesses; the European market is forecast to grow by 6%, while Japan may experience a slight decline of about 4%.

Looking ahead to 2026, the global semiconductor market is expected to maintain a high-growth trajectory compared to 2025, with a year-over-year growth rate of approximately 25%, marking another boom period for the industry. Growth is anticipated across all regions and product categories.Among these, memory and logic devices driven by AI-related applications will continue to lead the upswing, with both segments projected to exceed 30% annual growth. Most other product categories are expected to undergo a gradual recovery, albeit at a more moderate pace.

Regionally, all major markets are expected to expand. The Americas and Asia-Pacific will remain the strongest growth regions, while Europe and Japan are projected to achieve low double-digit growth.

(WSTS forecast market growth of global semiconductor)

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(data source: https://www.wsts.org/esraCMS/extension/media/f/WST/7310/WSTS_FC-Release-2025_11.pdf.)

According to SEMI’s latest report on global semiconductor equipment billings for the third quarter of 2025, sustained investment momentum in advanced manufacturing technologies—particularly driven by demand for AI computing applications, including advanced logic chips, DRAM, and advanced packaging— pushed global semiconductor equipment billings to US$33.66 billion in Q3 2025. This represents an 11% increase year-over-year and a 2% increase quarter-overquarter.China continued to expand its semiconductor-related investments, maintaining its position as the world’s largest equipment market, with a 13% yearover-year increase. Taiwan, benefiting from rapidly rising demand for advanced process technologies and high-end packaging, recorded a significant 75% year-overyear growth, clearly surpassing South Korea to become the second-largest market. South Korea also posted a 12% increase over the same period.In contrast, the North American market no longer sustained the strong growth seen in 2024, with investment levels declining to approximately those of 2023. Japan adopted a relatively conservative investment approach, while the European market continued to trend downward.Overall, since the third quarter of 2023, semiconductor investment in China has remained robust and uninterrupted. This indicates that despite geopolitical challenges and supply chain restructuring pressures, global semiconductor capital expenditures continue to demonstrate considerable resilience. In particular, strong demand driven by AI has made advanced logic, memory, and energy-efficient packaging key drivers of equipment spending growth, leading global semiconductor equipment billings to reach new highs in recent years.

Data source: Collected from the SEMI webpage（https://www.semi.org/en/semi-press-releases/semi-reports-

global-semiconductor-equipment-billings-increased-11-percent-year-over-year-in-q3-2025）

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In terms of global semiconductor equipment spending, according to the global semiconductor equipment market outlook released by SEMI in December 2025, 2025 is expected to reach a record high. OEM equipment sales are projected to increase by approximately 13.7% compared to 2024, reaching US$133 billion, the highest level in history.This growth momentum is expected to continue over the next two

	3Q2025	2Q2025	3Q2024	3Q
Region					3Q (YoY)
	**US, Billion **	**US, Billion **	**US, Billion **	(QoQ)
China	14.56	11.36	12.93	28%	13%
Taiwan	8.21	8.77	4.69	-6%	75%
Korea	5.07	5.91	4.52	-14%	12%
North America	2.11	2.76	4.43	-24%	-52%
Japan	1.83	2.68	1.74	-32%	5%
Others	1.36	0.87	1.01	56%	34%
Europe	0.52	0.72	1.05	-28%	-50%
Total	33.66	33.07	30.38	2%	11%

years. Global equipment sales are forecast to reach US$145 billion in 2026, representing an annual growth of approximately 9.0%, and further grow by 7.6% in 2027 to reach a peak of US$156 billion.This growth is primarily driven by investments related to artificial intelligence, particularly in advanced logic, memory, and advanced packaging technologies.

Market Segmentation of Semiconductor Equipment

Process-related equipment—including wafer processing, mask equipment, and wafer fabrication facility equipment—recorded an 11% decline in 2025. Nevertheless, this forecast has been revised upward from SEMI’s mid-year 2025 equipment outlook of US$110.8 billion, reflecting stronger-than-expected investments in DRAM and High Bandwidth Memory (HBM) to support artificial intelligence (AI) computing. In addition, continued capacity expansion in China has significantly driven demand for wafer fabrication equipment (WFE).

Looking ahead, as equipment manufacturers increase investments in advanced logic and memory technologies, WFE sales are projected to grow by 9.0% in 2026 and 7.3% in 2027, reaching US$135.2 billion.

It is noteworthy that while wafer process equipment remains the primary component of global semiconductor equipment expenditures, packaging and testing equipment has shown significant growth over the past three years. This indicates that the back-end equipment market is expected to sustain the strong recovery momentum that began in 2024 (113th year of the Republic). Specifically:

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 Semiconductor Test Equipment Sales: Sales in 2025 (114th year) surged 48.1%, reaching US$11.2 billion.

 Packaging (A&P) Equipment Sales: Sales are projected to grow by 19.6%, reaching US$6.0 billion.

 Back-end Equipment Momentum: The growth momentum for back-end equipment is expected to continue.

 Future Test Equipment Growth: Sales are expected to grow by 12.0% and 7.1% in 2026 (115th year) and 2027 (116th year), respectively.

 Future Packaging (A&P) Equipment Growth: Sales are expected to grow by

9.2% and 6.9% in 2026 (115th year) and 2027 (116th year), respectively.

This growth is primarily driven by:

• 1.Increasing complexity of device architectures.

• 2.Accelerated application of advanced heterogeneous packaging technologies.

• Stringent performance requirements of Artificial Intelligence (AI) and High Bandwidth Memory (HBM) semiconductors.

However, continued weakness in demand from the consumer, automotive, and industrial sectors has partially offset these growth drivers and continues to place pressure on certain mainstream testing and packaging segments.

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The international semiconductor industry association SEMI released a report on October 8, 2025, stating that global capital expenditures for 300mm wafer fabs are projected to reach USD 374 billion from 2026 to 2028. The growth will mainly be driven by the regionalization of semiconductor manufacturing sites and the continued expansion of demand for AI chips used in data centers and end applications.On an annual basis, global spending on equipment for 300mm wafer fabs is expected to surpass USD 100 billion for the first time in 2025, representing a 7% year-over-year increase to USD 107 billion. SEMI further forecasts that spending will grow by 9% to USD 116 billion in 2026, rise by another 4% to USD 120 billion in 2027, and then increase significantly by 15% in 2028 to USD 138 billion. These figures indicate that, driven by AI applications, investments in advanced processes and capacity expansion will remain robust.

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This investment growth is primarily driven by the regionalization of wafer fabrication and the rapid surge in demand for artificial intelligence (AI) chips,

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reflecting a global trend of countries actively promoting localized supply chains to strengthen their semiconductor self-sufficiency.

Market Growth Segments

It is anticipated that the logic and micro-component sectors will lead the growth in equipment investment, with total investments projected to reach US$175 billion between 2026 and 2028. Wafer foundries will be the primary growth driver, largely propelled by the capacity expansion of advanced processes below 2nm. Among these, critical technologies include the Gate-All-Around (GAA) architecture and Backside Power Delivery technology. These can effectively enhance chip computing performance, reduce power consumption, and improve energy efficiency to meet the increasingly stringent requirements for performance and power consumption in Artificial Intelligence (AI), High-Performance Computing (HPC), and advanced logic chips.The more advanced 1.4nm process is expected to enter the mass production stage between 2028 and 2029. Furthermore, as AI performance improves, it will drive rapid demand growth for edge devices, such as automotive electronics, the Internet of Things (IoT), and robotics. In addition to advanced processes, the simultaneous expansion of demand across various process nodes and diverse terminal applications will also bolster investment momentum in mature process equipment.

In the memory segment, total investment over the next three years is projected to reach USD 136 billion, ranking second among all categories and signaling the start of a new growth cycle. From 2026 to 2028, DRAM-related equipment investments are expected to exceed USD 79 billion, while 3D NAND investments will total approximately USD 56 billion. The surging demand for AI training and inference is driving a comprehensive upgrade in memory technologies: AI training requires higher bandwidth and lower latency, stimulating rapid growth in demand for high-bandwidth memory (HBM); AI inference, which generates increasingly complex and diverse digital content, further boosts end-device storage needs, spurring the evolution of 3D NAND flash memory. Overall, structural demand driven by AI is expected to sustain medium- to long-term investment momentum in the memory industry and mitigate traditional cyclical volatility risks.

In other application segments, equipment investment for analog ICs is projected to exceed USD 41 billion from 2026 to 2028. Meanwhile, investment in power electronics (including compound semiconductors) is expected to reach USD 27 billion, reflecting continued market expansion driven by trends in energy efficiency and electrification.

Regional Growth Segments

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China is expected to continue leading global 300mm wafer fab equipment (WFE) spending, with total investment projected to reach US$94 billion between 2026 and 2028, supported by ongoing national policies promoting domestic semiconductor self-sufficiency.

South Korea is forecast to rank second globally in 300mm equipment spending over the next three years, with total investment of US$86 billion, driven by strong demand for generative AI across industries.

Taiwan is expected to invest US$75 billion in 300mm process equipment during the same period, ranking third globally. Investments will primarily focus on 2nm and more advanced nodes, reinforcing its leadership in advanced foundry capacity and technology.

The report further projects that investment in the Americas will reach US$60 billion from 2026 to 2028, rising to fourth place globally. U.S. suppliers are expanding advanced process capacity to meet surging demand from AI-related applications, while also strengthening domestic industry capabilities and upgrading investment to maintain technological leadership.

Over the next three years, Japan, Europe, and the Middle East & Southeast Asia are expected to invest US$32 billion, US$14 billion, and US$12 billion, respectively. Policy incentives aimed at addressing critical semiconductor supply chain challenges are expected to drive equipment investments in these regions to grow by more than 60% in 2028 compared with 2024. （ Source:https://www.semi.org/en/semi-press-release/semireports-global-300mm-fab-equipment-spending-expected-to-total-374-billion-dollars-over-next-three-years ）

B. Taiwan Semiconductor Market

Based on estimates published by the Taiwan Semiconductor Industry Association (TSIA) in February 2026, Taiwan’s semiconductor industry output value for 2025 is estimated at approximately NT$6.5 trillion, marking a year-overyear growth of 22.7% compared to 2024.

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Data Source ： TSIA ； IEK (2024/11) ； https://www.tsia.org.tw/api/DownloadPage?pageID=592

Industry Breakdown and Growth Drivers

IC Manufacturing:

The manufacturing segment is expected to deliver the strongest growth, with output value projected to exceed NT$4 trillion (approximately NT$4.08–4.34 trillion), representing a year-over-year growth of approximately 19%–27%. This growth is primarily driven by robust demand for advanced process technologies, particularly 3nm and 5nm nodes. Taiwan continues to maintain its global leadership in pureplay foundry manufacturing.

IC Design:

The IC design sector remains the second largest globally, with output value estimated at approximately NT$1.4–1.43 trillion, reflecting a year-over-year growth of 11%–12% compared to 2024.

IC Packaging and Testing:

Driven by increasing demand for advanced packaging technologies such as 2.5D and 3D IC, the packaging and testing segment is expected to achieve stable growth of approximately 10%–15%. Taiwan continues to hold the largest global market share in this segment.

AI-Driven Expansion:

Artificial intelligence (AI), high-performance computing (HPC), and automotive semiconductors are the primary growth drivers, supporting high capacity utilization across leading foundries such as TSMC and its supply chain.

Taiwan is projected to account for approximately 17% of global semiconductor capacity in 2025, while its share of advanced process capacity below 7nm is expected to reach approximately 63%, maintaining a clear global leadership position.( Source ： https://ec.ltn.com.tw/article/breakingnews/5226403)

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As AI technologies continue to expand rapidly, Taiwan remains a central hub of the global semiconductor industry. The three major segments—IC design, manufacturing, and packaging & testing—are all actively responding to emerging demand, driving strong overall industry growth in 2025.

In particular, advanced packaging technologies have become critical enablers for sustaining chip performance beyond traditional scaling, including heterogeneous integration, 2.5D/3D IC stacking, and co-packaged optics (CPO), all of which are gaining increasing attention.

Although the IC design sector may face short-term fluctuations, it continues to benefit from demand in AI PCs, AI smartphones, and automotive electronics, supporting full-year growth momentum.

Amid accelerating AI adoption and replacement demand for end devices, Taiwan’s semiconductor industry is entering a phase of strong expansion. The combination of advanced and mature process technologies is accelerating product commercialization and deployment across applications.

Supported by demand from AI data centers, edge computing, and proactive inventory buildup across the supply chain, Taiwan’s semiconductor industry output is projected to reach new record highs in 2026.[1]

• C. Global wafer manufacturing capacity expansion momentum and compound semiconductor development

Global semiconductor capacity in 2025 (measured in 8-inch wafer equivalents) is projected to increase by approximately 6.6% year-over-year, reaching around 33.6 million wafers per month (WPM). The primary drivers of this capacity expansion include advanced process nodes (5nm and below), the memory segment, foundry services, and the ramp-up of newly built fabrication facilities.

Among these, capacity for advanced process nodes is expected to grow by 17% year-over-year, mainly driven by the mass production of 2nm processes by leading manufacturers such as TSMC, Intel, and Samsung. These advanced nodes are primarily used for chips in AI servers and data centers. In the memory segment, supported by strong demand for High Bandwidth Memory (HBM), DRAM capacity is projected to grow by 9%, while demand for NAND Flash is also on the rise.

Meanwhile, foundry capacity is expected to increase by 10% in 2025 and reach 12.7 million wafers per month by 2026, primarily driven by ongoing capacity expansion from TSMC and Chinese manufacturers.

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Region	2025 Monthly Capacity (10K Wafers)	YoY Growth	Key Drivers
China	1,010	14%	Localization strategy; capacity expansion by Huahong, SMIC, and CXMT; accounts for nearly one-fifth ofglobal capacity
Taiwan	580	4%	Advanced nodes led by TSMC; strong demand for AI and high-performance computingchips
South Korea	540	7%	Expansion in DRAM/HBM and logic chips by Samsungand SK hynix
Japan	470	3%	Mature nodes and power semiconductors; automotive and IoT applications
Americas	520	5%	Launch of Intel Foundry Services; investments in AI infrastructure
Europe / Middle East	270	4%	Data center and automotive chips; geographically diversified deployment
Southeast Asia	180	4%	Outsourcing of mature processes; supply chain relocation trends
Global Total	3,360	6.6%–7%	Demand driven by AI and high-performance computing (HPC)

(Source:https://www.xcc.com/news/detail/5573550)

In 2025, global semiconductor capacity expansion includes the commencement of construction for 18 new wafer fabrication plants, which are expected to begin production between 2026 and 2027. Among these, the majority are large-diameter fabs: 15 are 12-inch facilities focused on advanced process nodes of 7nm and below, targeting high-end applications such as AI chips and high-performance computing (HPC). The remaining 3 are 8-inch fabs, aimed at mature-node markets including automotive electronics and Internet of Things (IoT) applications, with the goal of alleviating persistent capacity shortages.By region, the Americas and Japan will each account for four new fabs, making them the primary drivers of capacity expansion in 2025. China will add three new fabs, primarily concentrated in mature process technologies.

According to data from SEMI, global advanced process capacity (7nm and below) reached approximately 2.2 million wafers per month in 2025, representing a year-over-year increase of 16%. Mainstream process nodes (8–45nm) reached around 15 million wafers per month, growing by 6%, while mature nodes (50nm and above) totaled approximately 14 million wafers per month, reflecting a 5%[1] increase.

D. Future development focus of the semiconductor industry

According to a report released by IDC (International Data Corporation) on December 4, 2025, the global semiconductor industry is expected to sustain strong

1 (https://www.cio.com.tw/103382/, https://finance.eastmoney.com/a/202603043661050398.html)

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growth momentum in 2026. The report forecasts that the semiconductor market will grow by 11% year-over-year, reaching a total market size of approximately USD 890 billion.

This growth will be primarily driven by demand for AI data center chips, accelerated hardware upgrades of end devices integrating AI functionalities, and strong demand for memory, including HBM, DRAM, and NAND Flash.

Key insights from the report include:

(1) Computing Segment: The computing category already accounts for nearly half of the semiconductor market and is expected to grow by 18% year-over-year.

(2) Advanced Foundry (Below 4nm): The advanced-node foundry market (below 4nm) is projected to grow by 20%, with TSMC’s market share expected to reach approximately 73%.

(3) Mature Nodes Recovery: Market conditions for mature nodes are expected to improve, with average capacity utilization stabilizing above 80%.

(4) OSAT Market: The outsourced semiconductor assembly and testing (OSAT) market is projected to grow by 11% in 2026, with the share of AI chip packaging in Taiwan and the United States continuing to increase.

(5) Advanced Packaging (CoWoS): CoWoS advanced packaging capacity is expected to expand significantly, with a year-over-year increase of 72%.

(6) Foundry 2.0: The Foundry 2.0 market is projected to grow by 14%.

According to the report “Global Semiconductor Outlook 2026: Semiconductor and the Future” released by PwC on January 27, 2026, the semiconductor market is projected to grow from USD 600 billion in 2024 at a compound annual growth rate (CAGR) of 8.6%, surpassing USD 1 trillion by 2030.Among various segments, server and networking semiconductors—driven by the rapid expansion of generative AI services—are expected to be the fastest-growing category, with a CAGR of 11.6%. Meanwhile, the automotive semiconductor segment is projected to grow at a CAGR of 10.7%, supported by the continued advancement of electric vehicles and autonomous driving technologies.

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Source:https://www.pwc.tw/zh/publications/topic-report/semiconductor-and-beyond.html

Looking ahead to the semiconductor equipment market in 2026–2027, several key trends can be identified based on the evolving direction of the semiconductor industry:

• (1) Advanced Lithography and Patterning

The continued development of advanced nodes will drive demand for EUV and multi-patterning technologies. Key equipment includes EUV / High-NA EUV systems, track (coater/developer) systems, masks and optical metrology tools, as well as lithography-related defect inspection equipment. In the near term, Taiwan may find opportunities particularly in inspection and metrology segments.

• (2) 3D Structures, Advanced Deposition and Etch Technologies

The transition to 3D device architectures and the adoption of Gate-All-Around (GAA) processes will accelerate demand for advanced etch, deposition, and new materials. Key equipment includes high-selectivity and high aspect ratio ALD deposition, atomic layer etching (ALE), and selective deposition technologies. Equipment for new material deposition will also become essential at advanced nodes.

• (3) Advanced Packaging as the “Second Growth Engine”

• Advanced packaging is emerging as a second major growth driver. Performance bottlenecks of AI GPUs/accelerators and HBM—particularly in interconnect, power delivery, and thermal management—are driving structural expansion in 2.5D/3D packaging, redistribution layers (RDL), and advanced substrates/interposers.

Key equipment includes laser and wet etching systems for laser-assisted processes, inspection tools, ALD and PVD for barrier/seed layers, electroplating systems for Cu bumping, CMP, lithography and etching equipment. In addition, hybrid bonding, wafer-to-wafer and die-to-wafer alignment, RDL exposure and plating, TSV/deep via processing, advanced inspection/metrology, and advanced sorting and testing solutions will play critical roles.

• (4) FOPLP (Fan-Out Panel-Level Packaging)

Key process technologies include molding/encapsulation, exposure, and glass substrate processing.

• (5) Silicon Photonics

Relevant processes include etching, photolithography, e-beam lithography, thinfilm deposition, ion implantation, and thermal processing.

• (6) SOIC and Hybrid Bonding Precision Requirements

SOIC technology utilizes Cu-to-Cu hybrid bonding, requiring bonding equipment with alignment accuracy below 0.1 μm.

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1. The relationship between the upstream, midstream and downstream of the industry

The semiconductor industry is mainly developed by the upstream IC design manufacturers, followed by the midstream IC manufacturing, wafer manufacturing and related process and testing equipment manufacturers to collaborate as a team to process the wafer from wafer maker with masks to pattern the circuit on wafer and then process with oxidation, diffusion, etching, deposition and ion implantation, to make the circuit and the components of the circuit on the wafer. The company is a manufacturer of semiconductor process equipment and a supplier of key components on the process equipment, which is a midstream and downstream manufacturer. Finally, the downstream manufacturers perform IC packaging, that is, to package die after wafer sawed into chips with plastic, ceramic or metal, in order to protect the chips from collision and pollution, and easy to assembly, and achieve the electrical connection and heat dissipation effect of the chip and the electronic system. The relationship between the upstream, midstream and downstream is listed as follows:

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(Source: OTC industry value chain web)

The Company is a manufacturer of semiconductor process equipment and a supplier of critical components used in such equipment, primarily serving the midstream and downstream segments of the semiconductor industry.

In conventional silicon-based processes, the Company provides wafer manufacturers with PVD equipment for metal interconnect fabrication, as well as ALD and PECVD systems for barrier layer and protective layer deposition. In addition, the Company offers descum equipment for post-etch photoresist residue removal. The Company also provides EUV mask and optical metrology-related services, along with maintenance and refurbishment of key components used in various semiconductor processes, including etching, diffusion, and thin-film deposition.

Through its comprehensive product and service offerings, the Company has established long-term partnerships with leading wafer fabrication customers.

In the packaging process, the Company provides semiconductor packaging manufacturers with process equipment for Under Bump Metallization (UBM) metal used in their layered structures. The 310 × 310 PLP (Panel Level Package) platform includes PVD/Descum process equipment, bonding and debonding process

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equipment before and after thinning, as well as maintenance and servicing of key components for various other processes. The Company is a long-term partner of major packaging houses.In recent years, advanced testing on probe cards also uses sputtering for the growth of Ti/Cu.

In compound semiconductor processes, the Company provides wafer manufacturers with equipment for bonding, debonding, front-side PVD, back-side PVD metal processes, and ALD passivation (protective layer) processes, as well as maintenance and servicing of key components for various other processes. The Company is a co-creation partner for the future with emerging compound semiconductor manufacturers.

3.Future developing trend of products

Since the development of Physical Vapor Deposition (PVD) and Atomic Layer Deposition (ALD) equipment, the Company has accumulated extensive experience in high-vacuum plasma applications. Continuously deepening expertise in the fields of PVD and ALD (Thermal ALD / PEALD), and expanding their applications in advanced semiconductors, compound semiconductors, and advanced packaging processes, represent the Company's key medium-to-long-term development policies.

In terms of new process development, the Company has completed the development of the Metal ALD Molybdenum (Mo) metal process, and customers have already applied Titanium Nitride (TiN) metal thin films to metal coating processes. Descum is a product launched by the Company in 2023 (112th year); currently, 2 units have been shipped to a European customer's Taiwan facility and have entered the acceptance stage. At the same time, discussions for subsequent Repeat Order machines are also underway.Furthermore, the Company has utilized the process concept of introducing etching gases into Descum equipment to extend the development of the Plasma Polish process, aiming to meet Silicon Carbide (SiC) related process requirements. In response to the needs of advanced packaging customers, the ABF etching equipment developed by the Company is also currently undergoing continuous testing and process optimization in collaboration with customers.

In terms of third-generation semiconductor applications, the Company’s Carbon PVD equipment has successfully entered the supply chains of relevant customers and continues to be shipped to customer sites. In addition to Descum and Carbon PVD, the Company continues to expand into different process applications, including Thin Film Resistor (TFR) processes, Quantum Dot (QD), Through Silicon Via (TSV), and Through Glass Via (TGV), while continuously

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enhancing equipment quality, process stability, and application breadth.

In addition to continuing the supply of critical components to front-end wafer foundries, the Company is also actively collaborating with front-end wafer foundries to promote the development, testing, and certification of full-system equipment.

In terms of bonding and debonding equipment, the Company has also moved beyond its past focus on 4-inch and 6-inch wafer applications for compound semiconductors, gradually establishing a comprehensive product line that covers bonding and debonding process requirements for various wafer sizes, including 4- inch, 6-inch, 8-inch, and 12-inch. Notably, the 12-inch bonding machine was developed through collaboration with a world-class packaging leader; it has currently completed final testing and is planned for delivery to the customer for use.

Regarding FOPLP, the Company has successfully completed the development of a full-system platform compatible with 310mm × 310mm specifications during 2026 (115th year). This platform includes the Panel EFEM and Transfer Chamber, and is compatible with 310mm × 310mm PVD/Descum chambers as well as ALD chambers designed to improve adhesion. In addition, considering the requirements for ABF etching, the Company has utilized derivative concepts from Descum to design ABF etching machines that meet the needs of FOPLP customers.

Future high-vacuum plasma equipment will face even more challenging structures (the requirement to achieve better step coverage at higher aspect ratios), demands for superior pre-surface treatment (Surface treatment), higher film purity, higher throughput, and higher utilization (稼動率).To address these challenges, product design must start from the customer's desired process results, with early investment and collaboration during the R&D stage.The expectation is that when customers successfully launch their products, the Company's equipment will already be the standard production tool, allowing for continuous progress and growth alongside our customers.

In addition to the Company's own continuous development efforts, the subsidiary, SkyTech Automation, has also utilized exclusive technology to successfully develop fully automated EUV mask inspection equipment. This provides a new platform for the Company's multi-faceted technology and product diversification.

4.Status of market competition

The development of the Company’s semiconductor equipment began with Physical Vapor Deposition (PVD) equipment. This was primarily because the

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Company’s team possesses profound experience in the principles of PVD equipment, is familiar with various spare parts, and has deep experience in customer-side process applications.In addition to being optimistic about the development of the front-end semiconductor market, we observed that customers in back-end packaging, optoelectronics, and compound semiconductor industries would also begin to successively introduce PVD concepts and applications. These emerging fields presented opportunities for the Company’s technological advancement and product expansion.Leveraging the experience from PVD development, we gradually completed the core reaction modules, electronic control architecture, and operating software platform for cluster-type multi-chamber equipment. Growing alongside customers in emerging industries, we completed the most challenging tasks of architecture debugging and validation during the early stages of equipment development.Furthermore, using similar hardware and software platforms, the Company entered the Atomic Layer Deposition (ALD) equipment market. Building upon the foundation of ALD technology, we extended our development into Descum (photoresist removal) and PECVD (Plasma-Enhanced Chemical Vapor Deposition) equipment, gradually expanding our coverage in high-vacuum plasma applications. In 2025 (114th year), the Company successfully developed a 310 × 310 mm PLP advanced packaging full-system platform. This further demonstrates the Company's integrated development capabilities in the field of advanced packaging equipment and lays a solid foundation for future expansion into the high-end packaging market.

The Company has gradually demonstrated concrete results in the development of products and technologies over the past five years. As the Company continues to develop toward high-end process equipment and advanced application technology, the technical barriers, customer validation requirements, and market competition faced will also become increasingly stringent.The Company will maintain a prudent and focused development strategy, prioritizing the investment of its limited resources into strategic industries, strategic applications, and strategic customers with high growth potential. By focusing on core technologies and key markets, the Company aims to enhance the effectiveness of R&D investments and maximize the efficiency of corporate resource utilization.

In the past, influenced by geopolitical shifts and global hyperinflation, semiconductor customers became more cautious in their capacity expansion, which in turn affected the semiconductor equipment market. However, demand for automotiverelated compound semiconductors remained strong. Since 2021 (110th year), the Company has deeply strategically positioned itself in the compound semiconductor market, continuing to establish roots in power device application fields such as SiC and GaN.In 2022 (111th year), the Company successively secured cooperation opportunities

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with several international clients; starting from 2023 (112th year), as these international clients continued to expand production, it drove the continuous growth of the Company’s equipment shipments. Through collaboration with international customers, the Company not only gained synchronized insights into industry development trends but also gradually expanded its international market vision, progressing toward a corporate scale with transnational operational capabilities.In 2024 (113th year), the Company benefited from repeat orders from the aforementioned customers, driving an increase in business scale. This enabled the promotion of equipment to different facilities of the same customer and different companies under the same group, gradually increasing market penetration and the depth of customer collaboration. In response to market competition, the Company adopts a collaboration model focused on strategic customers, prioritizing partnerships with clients who share a common development direction and vision, as well as joint R&D goals in technology or process strategy. By establishing long-term partnerships for mutual development and growth, the Company can enhance product competitiveness, strengthen market layout, and lay a more solid foundation for future internationalization.

(III)Technical, Research and Develop Overview

1. Research and Development Expenses

Research and Development Expenses	Research and Development Expenses	Research and Development Expenses
Unit: NT$ thousand
Item Year	2025	2024
Research and Development Expenses	254,525	273,320

2. Successfully developed technologies or products

Year	Technologies or Products
2018	Launched 1stPhysical Vapor Deposition (PVD) equipment and delivered. Launched 1st fully automated Bonder/Debonder equipment and delivered.
2019	Launched 1st Atomic Layer Deposition (ALD) equipment and delivered
2020	ALD equipment penetrated the mini LED supply chain. Developed Self-made Equipment Frontend Module (EFEM). Launched Powder ALD equipment for powder passivation.
2021	Equipment entered the compound semiconductor market. Equipment entered the front-end semiconductor market.
2022	Launched and delivered direct plasma enhanced ALD (C2PT PEALD). Launched and delivered Neutral Ion Beam Remote Plasma Enhanced ALD (NBT PEALD) equipment. Launched and delivered Reactive sputtering machine (Shuxda) with pasting disk.
2023	Launched Descum plasma resist removal equipment. Also received customer orders to deliver in 2024. Launched and delivered Carbon PVD to international customers ofcompound semiconductors.
2024	Metal ALD process launched and delivered to customers. PECVD equipment launched

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Year	Technologies or Products
2025	Successfully developed Panel Level Packaging PVP Descum process equipment and delivered the systems. The fully automated 12-inch bonding equipment has entered the customer verification stage. The second-generation EUV mask optical metrology equipment has been launched.

(IV) Long-term and short-term business development plans

1. Short-term business development plan

The Company’s recent business development will focus on expanding its layout in the automotive chip market, specifically increasing its market share in equipment for Silicon Carbide (SiC) and Gallium Nitride (GaN) applications within the compound semiconductor sector. Benefiting from the continued AI application boom, capacity for advanced packaging has fallen short of demand, and relevant manufacturers continue to expand capacity, further driving market demand for semiconductor equipment.Currently, the Physical Vapor Deposition (PVD), Atomic Layer Deposition (ALD), Wafer Bonder, and Debonder equipment developed by the Company can all be applied to the fields of compound semiconductors and advanced packaging, playing critical roles in key processes. By leveraging its advantage of being close to the market and customer needs, the Company is gradually breaking customers' long-term habits of using European, American, and Japanese equipment. Simultaneously, in the process of expanding its market share in compound semiconductor equipment, the Company continues to remain closely aligned with several multinational customers to establish tighter strategic partnerships. Through joint development, process validation, and long-term supply collaboration, the Company is laying the foundation for the future international expansion of its equipment marketing.

The Company will continue to invest in the development of equipment and technologies related to high-end packaging and heterogeneous integration processes. Building upon the foundation of its mature PVD/ALD and bonding/debonding technologies, the Company provides comprehensive process solutions. Simultaneously, the Company’s newly developed Descum, Plasma Polish, and Carbon PVD equipment continue to meet customer requirements for related processes. By continuously collaborating with industry strategic partners to develop PECVD equipment and large-scale wafer bonding/debonding processes, the Company strengthens its technical capabilities and market layout in the fields of high-end packaging and heterogeneous integration. This lays a more complete foundation for future expansion into the advanced process equipment market.

1. Long-term busiss development plan

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The Company will continue to closely monitor geopolitical shifts, international conflict situations, and their impacts on the global semiconductor industry and supply chain. We aim to provide solutions addressing the increasing anxiety of various nations regarding semiconductor process autonomy, supply chain resilience, and localization of equipment. Business expansion will specifically focus on high-potential markets and customers in Japan, Southeast Asia, and Europe.In terms of product development strategy, the Company will continue to ensure that its vacuum plasma technology can horizontally support new product development and diverse process applications. Currently, products such as Descum and Carbon PVD have successfully assisted customers in new process development and product certification. In the future, the Company will continue to apply this growth model, ensuring that newly developed equipment not only drives revenue growth but also assists customers in enhancing their process capabilities and product competitiveness.Currently, beyond the continuous development and certification of PECVD and large-scale bonding/debonding through collaboration with strategic partners, the FOPLP platform and related process equipment have also been shipped and are undergoing validation with strategic partners. In the future, the products of the Company and its subsidiaries will cover diverse fields including PVD, ALD, Bonder/Debonder, Etch, CVD, PLP, and optical inspection equipment.As the product lines and application scopes continue to expand, the Company's customer base will no longer be limited to Taiwan and Chinese-speaking markets but will further expand into Europe, the Americas, and other international markets, realizing the vision of a multinational corporation with multiple equipment product lines. Furthermore, depending on operational development and strategic needs, the Company will prudently evaluate strategic M&A opportunities, combining complementary technical partners, product resources, and supply chains to further expand the Company’s operational foundation and lay the groundwork for entering the international market.

II. Market, Production, and Sales Overview

(I) Market Analysis

1. The Sales Territory of Main Products (Services)

			Unit: thousand;%	Unit: thousand;%	Unit: thousand;%	Unit: thousand;%
Item	Year		2025		2024
			Amount	Ratio (%)	Amount	Ratio (%)
	Domestic Sales		1,350,496	60.17	1,137,655	43.96
Export Sales	Asia	China (including Hong Kong)	648,412	28.89	1,194,650	46.17
		Singapore	203,478	9.07	183,920	7.11
		Other	24,889	1.11	59,911	2.32
		Europe	2,861	0.12	5,431	0.21
		Americas	14,510	0.64	6,074	0.23
		Subtotal	894,150	39.83	1,449,986	56.04

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Year Item	2025	2025	2024	2024
	Amount	Ratio (%)	Amount	Ratio (%)
Total	2,244,646	100.00	2,587,641	100.00

2. Market Share

The Company’s business scope encompasses semiconductor process equipment and critical components. Since the equipment is highly customized and the quantitative basis varies, and given the diversity of components for which no relevant market statistical data exists, there is no consistent basis for a direct market share comparison. According to SEMI data, the global semiconductor equipment sales reached US$133 billion in 2025 (114th year). Based on the Company’s 2025 revenue from semiconductor equipment and components, the market share decreased from approximately 0.07% in 2024 (113th year) to approximately 0.05% in 2025. The reason for this decline was attributed to the temporary downturn in the compound semiconductor market, combined with the fact that the Company's active strategic positioning in the advanced process and advanced packaging markets is still in its early gestation stage. Looking ahead, with the continuous maturation of the Company’s market layout, a significant increase in market share is expected.

3. The future supply and demand overview and growth of the market

The semiconductor industry is a pivotal facilitator for future high-tech sectors. Demand for semiconductor equipment is trending upward year-by-year alongside the refinement of semiconductor technologies and the expansion of new technology capacities; growth is absolutely expected. However, the semiconductor equipment industry must grasp semiconductor technology trends to ensure developed products can keep pace with technological demands and avoid obsolescence during technology transitions.Physical Vapor Deposition (PVD) technology is critical and essential across all semiconductor processes (front-end, back-end, compound semiconductors, and optoelectronics); no new technology is foreseen to replace it in the short term. PVD equipment shipments are expected to maintain growth, driven by markets anticipated for significant expansion, such as Silicon Photonics, FOPLP, Advanced Packaging, and Automotive Semiconductors.Atomic Layer Deposition (ALD) technology represents the next generation of semiconductor processing. As line widths shrink and thin-film quality requirements rise, ALD has become a critical technology for addressing thin-film quality and high-aspect-ratio (HAR) deposition challenges in advanced semiconductor manufacturing. Whether in silicon-based GAA processes, advanced packaging, or third-generation semiconductor markets, ALD technology possesses clear and continuously expanding growth opportunities.Wafer Bonding and Debonding technologies play a crucial supporting role in current and future wafer thinning processes. As semiconductor components increasingly require thinning for heat dissipation and impedance reduction, the importance of bonding and debonding will rise. This technology provides sufficient mechanical strength for

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thinned chips to overcome challenges during the thinning process and support the stringent temperature and stress requirements of subsequent post-processing. Market demand is expanding across applications like advanced packaging, power semiconductors, and highperformance computing (HPC).Similarly, as the number of photoresist steps in semiconductor manufacturing increases, the demand for photoresist removal rises, which is the primary reason the Company is actively developing Descum equipment. Through Descum development, the Company aims to enter a fast-growing market while accumulating experience in Etching equipment development as a technical foundation for the future. PECVD represents another development opportunity, as any process involving Dielectric Thin Film deposition requires PECVD equipment.Furthermore, the Company is leveraging the PLP platform combined with existing PVD and Descum technologies to enter the Advanced Packaging equipment sector—one of the clearest growth trends in the recent semiconductor equipment market. Simultaneously, the Company has begun utilizing its competitive advantage in EUV Inspection equipment to actively expand into the metrology and inspection market, further broadening its layout within the semiconductor process equipment value chain.

1. Competitive niche and advantage and disadvantage factors affecting the company’s future development and countermeasures

A. Company competitive niche:

(A) Highly professional management and R&D team

The company’s management and R&D team have many years of experience and technology. The management and R&D team are all senior professionals in the semiconductor industry. They can effectively grasp the key technology of the product and the future trend of forward-looking, and are committed to new product research and development, so that the company can play a role in a fiercely competitive industry.

(B) Diversified application fields

The company is engaged in the research and development, manufacturing and sales of semiconductor equipment machines and semiconductor equipment components. The application of semiconductor equipment and components is very wide, for example, semiconductors, panels, low-earth orbit satellites, electronic components and other fields. The company’s equipment has successfully obtained the recognition of optoelectronics, compound semiconductors, and advanced packaging customers. In the future, the company will continue to develop new technologies and equipment, which can extend its equipment to more fields.

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(C) Customized product service, efficient after-sales service

The company understands customer needs, provides suitable equipment according to customer process requirements, and provides equipment upgrades and improvement plans in a timely manner. The company is produced locally, closer to local customers than European and American equipment manufacturers, and can provide customers with timely service, maintenance and modification services, reducing the risk of customer's tools stopping due to equipment issues.

B. Factors and countermeasures affecting the company’s future development:

(A) Advantage

a.The prospect of the semiconductor industry is promising

Looking ahead, the global economic environment remains subject to considerable uncertainties. Ongoing geopolitical competition, together with trade uncertainties arising from tariff policies introduced by the new U.S. administration, pose significant challenges to economic growth and corporate operations. Nevertheless, volatility is often accompanied by opportunities. The high-technology industry, particularly the field of artificial intelligence (AI), continues to demonstrate strong growth momentum.Driven by the explosive growth in demand for both mainstream and self-developed AI chips, as well as high bandwidth memory (HBM), and supported by countries around the world actively expanding data centers and storage facilities, the semiconductor industry continues to maintain an expansionary trend. At the same time, emerging applications such as autonomous driving systems and robotics are also poised for development.Accordingly, as society continues to pursue highly intelligent and convenient technological products, greater business opportunities and growth potential will be created for the semiconductor industry.

b. Stable customer relationship created by high-quality products

The company has been deeply cultivating the semiconductor equipment component market for more than 20 years. Most of the customers are wellknown international manufacturers. It has cultivated a long-term trust relationship with customers. Customers enter the high-end manufacturing of nanometer linewidths, and the competition with their international first tiers peers is very fierce. Technology has become an important competitive threshold. R&D progress must be very fast, and the process must avoid any omissions. It is also not allowed to cause a significant loss of yield due to the use of inferior component products. The company has won the long-term trust

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and support of customers with its long-term quality assurance, delivery and capacity stability, and has fully accumulated the company’s industry competitiveness.

c. High entry barrier for the semiconductor equipment industry

The semiconductor industry is highly precise, with complex processes and very low tolerance. The semiconductor equipment used in the production line plays an important role in maintaining the quality stability of each process stage. Therefore, each manufacturer adopts the most stringent quality control for the equipment, and only the certified equipment can be put into the production line. And once certified, it is not easy to change suppliers. The company's current main products are thin film deposition equipment, which has high manufacturing technology difficulties, and customized designs to meet customer needs. The company has successfully entered the processes of optoelectronics, compound semiconductors, advanced packaging and other customers, and future performance growth is expected.

(B) Disadvantage

a.Talent Acquisition and Retention are difficult

Our company is located in the Hsinchu area, where many large-scale technical companies are clustered. The scale and brand of our company are not as prominent as those of other large enterprises and international manufacturers in the region, which increases the difficulty of recruiting excellent technical or professional personnel. Therefore, talent acquisition and retention are challenges and need our management to pay more effort.

Countermeasures:

Our company implements a human based management system, is committed to providing a good working environment, smooth promotion channels, and a good welfare system, and establishes a corporate management philosophy based on excellent talents, results sharing, and sustainable operation. In addition, we provide employees with comprehensive education and training to cultivate diversified talents, as well as improve communication channels, continuously optimize employee welfare systems to strengthen employees' recognition and centripetal force towards the company, and reduce employee turnover ratio. The company is continuously expanding company operations, and increasing its international market share to attract excellent talents.

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b. Increased Risk of Intellectual Property Litigation

The research and development results accumulated over the years are the core assets of semiconductor companies. If the research and development results of the R&D department are not properly preserved, effectively preventing the leakage of confidential information, or if patents are not applied for in time, it will lead to the possibility of infringement or theft of R&D results, which will significantly affect the company's operations. Even if patents have been applied for, it cannot completely rule out the possibility of other competitors in the industry claiming that the company has infringed their intellectual property rights, causing a burden on the company's operations.

Countermeasures:

Our company has taken relevant measures to reduce the possibility of loss of company and shareholder interests due to claims and litigation of intellectual property rights. This includes actively advocating and protecting the intellectual property rights owned by the company. For products that have been successfully developed based on intellectual property rights, patent protection has also been applied for. Before initiating any development plan, patent research will be conducted first to ensure that the patents of the same industry are not misused and to avoid the risk of infringement.

c. Lack of confidence in domestic equipment by customers

Domestic semiconductor customers have been accustomed to using imported equipment in the past, and their confidence in domestic equipment needs to be strengthened. There is insufficient motivation to replace equipment for mature processes, and there is a lack of confidence in using domestic equipment for advanced processes. It takes time and experience to gradually change the concept.

Countermeasures:

After accumulating many years of experience in semiconductor components, the company has independently developed semiconductor physical vapor deposition equipment, and subsequently continued to develop atomic layer deposition equipment, bonding machines and debonding machines, etc., and most of the production process uses domestically produced raw materials. The risk of shortage or interruption of supply is lower. Our company’s equipment has successfully entered the benchmark companies in various industries, established a market image and customer confidence, and

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in the future, it will be able to further open up market share by promoting business with the reputation of benchmark companies.

(II) Important uses of major products

1. Important uses of major products:

Product Name	Main Use or Function
Physical Vapor Deposition (PVD)	Mainly used to make metal layers in semiconductors for conductive layers and seed layers, or metal nitride layers for barrier layers and transition layers.
Atomic Layer Deposition (ALD)	Mainly used to make insulating layers in semiconductors. It depends on the characteristics of high step coverage and film density. As the linewidth gradually shrinks, traditional PECVD can no longer be used in fine pitch products. ALD has the characteristics of replacing PECVD in fine pitch products, and the application field is becoming wider and wider.
Wafer Bonder (Bonder)	Due to the need for heat dissipation and impedance reduction, the thickness of the wafer will be required to be thinner and thinner. In the thinning process, in order to provide the wafer with sufficient mechanical strength and avoid excessive warping in the subsequent back-end process of the thinned wafer, it is necessary to bond a support wafer before thinning. The accuracy of alignment and the flatness after bonding are the keys to equipment work.
Wafer De- Bonder (Debonder)	After the bonded wafer completes the thinning and back-end process, the thinned wafer needs to be separated from the support wafer. How to safely separate very thin and warped wafer from bonded support, and the support wafer can be recycled and used. Also, the whole process needs to be completed under automated conditions, and those works are the focus of equipment work.
Plasma Resist Removal (Descum)	In the semiconductor and advanced packaging processes, both photoresist and polyimide will be used. How to appropriately remove photoresist or polyimide is the work of descum equipment. During the process flow of semiconductors, as long as there is photoresist or polyimide is used, there is a chance to use descum
PLP	Panel-Level Packaging (PLP/FOPLP) is an advanced packaging technology that packages chips on square panels (such as glass or organic substrates), rather than on traditional circular wafers. With its larger surface area, higher utilization efficiency (reduced material waste), and ability to accommodate more high-end chip packaging, it is regarded as a next-generation mainstream solution following CoWoS.
EUV Inspection	Actinic EUV Inspection is a critical yield management technology in extreme ultraviolet (EUV) lithography processes. It utilizes a 13.5 nm wavelength to perform high-resolution defect inspection on mask substrates and pellicles. This technology effectively reduces stochastic defects and enhances the efficiency of high-NA EUV lithography.
Equipment Components (Spares)	Provide various spare parts needed for the production of semiconductor equipment and assist customers in operating production equipment with the highest uptime,the lowestproduction cost,and the lowest waitingtime.

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2. The manufacturing process of the main products

==> picture [289 x 438] intentionally omitted <==

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(III) Status of Major Raw Materials Supply

Status of Major Raw Materials Supply
Major Raw Materials	Status of Supply
機構件(包含設計及模擬)Mechanical components	Good
設備前端模組(EFEM) Equipment front end module(EFEM)	Good
叢集式傳輸腔體Clustered Transfer chamber	Good
加熱器Heater	Good
冷卻器Chiller	Good
閥件Valve	Good
真空幫浦Vacuum Pump	Good
機械手臂Robot	Good
壓力計Pressure Gauge	Good
電漿源及匹配模組Plasma and matchingmodule	Good
流量計Flow Meter	Good
真空靜電吸盤(ESC)Electronic static chuck	Good

• (IV) Major Suppliers and Customers of the Most Recent 2 years

• Major Suppliers of the Most Recent 2 Years: No single supplier represented more than 10% of total purchases in any quarter of the last two years and first quarter of 2026.

• Major Customers of the Most Recent 2 Years

2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years	2. Major Customers of the Most Recent 2 Years
Unit: NT$ thousand;%
	2024				2025				2026 Q1 (Note)
Item	Name	Amount	% of Total Net Sales	Relation- ship with Issuer	Name	Amount	% of Total Net Sales	Relation- ship with Issuer	Name	Amount	% of Total Net Sales	Relation- ship with Issuer
1	Customer A	458,153	17.71	None	Customer A	694,638	30.95	None	－	－	－	－
	Others	2,129,488	82.29		Others	1,550,008	69.05		－	－	－	－
	Total	2,587,641	100		Total	2,244,646	100.00		－	－	－	－

Note: As of the publication date of the annual report, the most recent consolidated financial statements dated March 31, 2026 have not yet been approved by the Board of Directors nor reviewed by certified public accountants.

Explanation of Increase or Decrease in Sales Amount: The increase/decrease is caused by fluctuating customer needs.

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III. Employees Status

Unit: person;%	Unit: person;%	Unit: person;%	Unit: person;%	Unit: person;%	Unit: person;%
Year			2024	2025	Current Year as of Mar.31,2026
Number of Employees (persons)		Direct Staff	59	64	61
		Indirect Staff	335	360	352
		Total	394	424	413
Average Age			36.9	35.9	37.8
Average Seniority (years)			4.5	4.7	5.2
Academic qualifications (%)	Ph.D.		0.0 %	0.5%	0.5%
	Master		16.0 %	17.2%	16.5%
	Bachelor		74.6 %	75.9%	76.3%
	High School		8.6 %	5.4%	5.8%
	Degree of Lower Levels		0.8 %	0.9%	1.0%
	Total		100 %	100%	100%

IV. Disbursements for Environmental Protection

Any losses suffered by the company in the most recent fiscal year and up to the annual report publication date due to environmental pollution (including any compensation paid and any violations of environmental protection laws or regulations found in environmental inspection, specifying the disposition dates, disposition reference numbers, the articles of law violated, and the content of the dispositions), and disclosing an estimate of possible expenses that could be incurred currently and in the future and measures being or to be taken. If a reasonable estimate cannot be made, an explanation of the facts of why it cannot be made shall be provided: None.

V. Labor Relations

• (I) List any employee benefit plans, continuing education, training, retirement systems, and the status of their implementation, and the status of labor-management agreements and measures for preserving employees' rights and interests:

(1) Employee Welfare:

The Company provides employees with labor and health insurance, distributes pension, and reviews relevant laws on a regular basis, and updates in a timely manner. The Company distributes year-end bonus and adjusts salary in accordance with the operation performance.

In addition, the Company also provides bonus on 3 national holidays, regular free employee health examination, group insurance, purchase discount for employees, year-end

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banquet, departmental dining, subsidies for wedding and funerals, and travel subsidies. A employee benefit committee is also established to hold the benefit events of employees. The Company considers employees as valuable assets. Reward bonus rules are stipulated in the employee handbook, which connects the remuneration of employees with the operation performance of the Company and further generates the upmost benefits for shareholders and employees, aiming at attracting and keeping excellent talents.

In 2024, the Company officially launched the Employee Stock Ownership Trust Program, which is available to all employees. Employees contribute a fixed amount from their monthly salaries, and the Company provides a matching contribution at a 1:1 ratio, which are jointly deposited into a trust account. This program aims to retain talent, assist employees in accumulating wealth, and plan for their future retirement.

(2) Continuing education, training, and the status of their implementation:

The Company provides regular internal education and training, irregular work-related external training courses for employees to participate in, and the acquisition of professional licenses to enhance employees' functional development capabilities. The Company is also dedicated to talent development and enhancing employee capabilities. To this end, we have established a comprehensive education and training system that encompasses new employee orientation and professional skills required for various positions. Through diversified learning platforms such as in-person instruction and online learning videos, as well as a training satisfaction feedback mechanism, we continuously refine our training programs.

(3) Retirement system and the status of its implementation:

The Company establishes pension plan. For employees selecting new pension system in accordance with the Labor Pension Act, the Company distributes 6% of their monthly salary to their personal account in the Bureau of Labor Insurance. Employees of old pension system have all transformed to the new system. The amount of labor retirement reserve funds of Company has reached the total amount of all employees who meet the retirement requirement in the future and apply for the pension. As such, the Company has applied for and acquire the approval letter to stop distributing labor retirement reserve funds. The Company stipulates relevant regulations in accordance with the laws so that employees reaching the legal retirement age may apply for retirement in accordance with the regulations.

(4) Labor-management communication:

The Company stipulates labor contract, work rules and management regulations in accordance with labor related laws and regulations. The labor-management relationship has

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been harmonious ever since the foundation of the Company. There are no significant labormanagement disputes and losses..

The Company holds labor-management meeting on a regular basis and promotes and communicates the new published laws and regulations. Employees may express their opinions through labor representatives. The Company also cares about the employees and responds to the demand of employees.

The Company regularly holds all-employee town hall meetings, providing a platform for all group employees to engage in direct dialogue with senior management. Through twoway communication, we enhance understanding of the Company's vision and strategies, and foster internal consensus.

The Company has also established diverse communication channels, such as suggestion boxes and dedicated email addresses, to allow employees to provide suggestions and express their needs at any time. We value the voices of our employees; feedback is responded to and tracked by relevant departments in a timely manner to continuously promote positive labor-management interaction.

• (5) Measures to protect the rights and interests of employees

The Company has stipulated employee handbook and related regulations, where the rights, obligations, and benefits are clearly indicated to protect the rights and interests of employees.

The Company provides diverse internal and external complaint channels, which are posted in public areas, to ensure that employees can promptly safeguard their rights and interests.

• (II)List any losses suffered by the company in the most recent 2 fiscal years and up to the annual report publication date due to labor disputes (including any violations of the Labor Standards Act found in labor inspection, specifying the disposition dates, disposition reference numbers, the articles of law violated, the substance of the legal violations, and the content of the dispositions), and disclosing an estimate of possible expenses that could be incurred currently and in the future and measures being or to be taken. If a reasonable estimate cannot be made, an explanation of the facts of why it cannot be made shall be provided:None.

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VI. Cyber Security and Intellectual Property Management

(I) Cyber Security Management

1. Cyber Security Risk Management Framework

The company has established a comprehensive Information Security Management System (ISMS), adhering to the Plan-Do-Check-Act (PDCA) continuous improvement model. This approach mitigates risks identified across cybersecurity, physical environment, and system development, reducing potential information security threats. We are committed to protecting customers' confidential data and privacy, ensuring a highly reliable information and communication security environment.

The Company's information security oversight is carried out by the Internal Audit unit, which reports directly to the Office of the General Manager and supervises the

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implementation of internal information security controls. Any deficiencies identified during audits require the audited units to submit corrective action plans, and the implementation status is regularly tracked to mitigate internal information security risks.

2. Cyber Security Policy

To ensure effective implementation, operation, supervision, and continuous improvement of information security management, the company has established an Information Security Management Policy.

This policy provides clear guidelines for employees in their daily work, making everyone responsible for promoting and adhering to security measures. It aims to secure company personnel, data, IT systems, equipment, and

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networks, ensuring business continuity.

Key objectives include:

• (1) Enhancing Information Security and Service Quality

• (2) Strengthening Security Training to Ensure Business Continuity

• (3) Implementing Emergency Response for Quick Disaster Recover

• Specific management plan

(1) Risk Control and Threat Mitigation

• Based on risk management plans and assessment reports, the company mitigates risks, evaluates progress, and outsources certain risks to external experts to ensure they remain within the company’s risk tolerance.

(2) Information Security Incident Reporting and Response

• Establish appropriate and effective backup and redundancy architectures based on process impact assessments, and continuously review and strengthen the Company’s information security infrastructure.

• Treat information security as an important component of operational risk management, and establish an information security incident reporting and response mechanism.

• Conduct regular drills to review and improve response procedures, thereby enhancing the organization’s resilience to information security risks.

• Ensure business continuity and the reliability of information services.

(3) Education and Training

• Developing and implementing a information security training program to enhance professional expertise.

• Conducting annual cybersecurity awareness training to improve recognition of phishing attacks and prevent social engineering attacks.

• Strengthening employees’ cybersecurity awareness to protect sensitive data.

(4) Enhancing Cybersecurity Resilience

• Conducting regular internal and third-party audits (Third Party Audit).

• Maintaining ISO 27001 certification to ensure compliance with international security standards and continuous improvement.

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Specific Management Plan Implementation

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1. Invest in cyber security management resources:

To strengthen information security management, the Company not only establishes and effectively implements relevant management procedures but also continuously introduces various information security protection technologies to reduce cybersecurity risks.

These measures include enhancing information security through network firewalls, endpoint antivirus protection, email security protection, and spam filtering mechanisms. In addition, the Company strengthens employees' information security awareness through information security training and assessments.

1. List any losses suffered and effects by the company in the most recent fiscal years and up to the annual report publication date due to major cyber security incidents: In the most recent fiscal year and up to the date of publication of this annual report, the Company has implemented comprehensive information security management measures to safeguard information security. No material information security incidents have occurred that resulted in losses or had a material impact on the Company's operations, financial position, or reputation.

(II)Intellectual Property Management

1. Strategies and Measures

The Company has formulated an IP management policy that aligns corporate operational goals with R&D directions. This policy ensures the implementation and execution quality of UP protection while strengthening the Company’s competitive advantage within the highly competitive semiconductor industry.

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• (1) Patent Protections : Internally, we have established a systematic IP management system and designed diverse incentive mechanisms to encourage employees to submit high-value invention applications, ensuring both the quantity and quality of IP output. Externally, we maintain close contact and technical exchange with patent agencies and international patent authorities. By helping patent examiners better understand our technical content, we improve examination efficiency and secure high-quality patent protection.

• (2) Trade Secrets : Confidentiality obligations are incorporated into the Employee Handbook and employment contracts, clearly defining the scope of trade secrets, confidentiality periods, and return-of-property obligations upon resignation. We conduct regular training to deepen employees’ awareness of trade secret protection and actively defend against frivolous litigation to safeguard shareholder interests.

• (3) Copyrights and Trademarks: All software used in the Company’s product is developed in-house by our software team based on product specifications and operational needs. To protect copyrights, we implement anti-disassembly mechanisms and specialized internal codes for all proprietary software. Additionally, the Company registers relevant trademarks for its operational products and utilizes legal means to maintain the Company’s reputation and technical achievements.

• Implementation Status (Latest Board Report Date: December 19, 20025)

(1) IP Acquisition Results

• As of November 6[th] 2025, the Company has actively implemented the IP Plan. Cumulative patent applications totaled 569 (with 399 granted), covering regions including Taiwan, China, the U.S., and Singapore. Trademark applications totaled 15 (with 13 granted).

(2) Training and Training Outcome

On October 23[rd] , 2025, the Company conducted “Legal Liability for Trade Secrets” training for all employees. A total of 258 people participated, with an average post training test score of 9.7 out of 10, effectively instilling IP management awareness across the whole Company.

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VII. Material Contracts

Categories of Contracts	Parties	Term	Main Purpose	Restrictions
Lease Agreement	LinΟΟ	2014/12/1~2025/2/28	Ground Lease	None
Lease Agreement	LinΟΟ	2025/3/1~2027/2/28	Ground Lease	None
Lease Agreement	Xiamen Zhongchuang Yungu Industrial real Estate Incubator Co., Ltd	2024/10/22~2028/4/30	Office and Factory Lease	None
Lease Agreement	Jiexin Technology Co., Ltd	2022/4/1~2027/4/1	Office Lease	None
Lease Agreement	TianΟΟ	2024/3/1~2026/2/28	Office Lease	None
Credit Agreement	E.SUN Bank	1. Credit Utilization Period: 2020/4/1 to 2021/4/1 2. Initial Utilization Period: Until 2020/8/1; Utilization Term: 20 years	Long-term Secured Loan Amounts: NT$190,000,000	Providing Real Estate Collateral
			Long-term Loan Amounts: NT$66,000,000	None
Credit Agreement	E.SUN Bank	1. Credit Utilization Period: 2025/3/11~2026/3/11 2. Initial Utilization Period: Until 2026/3/11; Utilization Term: 6 Months	Short-term Loan Amounts: NT$50,000,000	None
Credit Agreement	E.SUN Bank	1. Credit Utilization Period: 2025/3/11~2026/9/11 2. Initial Utilization Period: Until 2025/7/11; Utilization Term: 24 Months	Guaranteed Credit NT$44,500,000	None
Credit Agreement	Cathay United Bank	Short-term loans: Cycle to 2027/2/17	Short-term Loan Amounts: NT$80,000,000 NT$16,500,000 NT$11,000,000 NT$85,000,000	Providing Real Estate Collateral
Credit Agreement	CTBC Bank Co., Ltd.	Credit Utilization Term: 2023/10/16~2033/10/14	Long-term Secured Loan Amounts: NT$150,000,000	Providing Real Estate Collateral
Credit Agreement	CTBC Bank Co., Ltd.	Credit Utilization Term: 2025/9/30~2026/9/30	Short-term Loan Amounts: NT$150,000,000	Providing Real Estate Collateral
Credit Agreement	Mega International Commercial Bank Co., Ltd.	Credit Utilization Term: 2024/9/6~2025/9/5	Short-term Loan Amounts: NT$80,000,000	None
Credit Agreement	Mega International Commercial Bank Co., Ltd.	Credit Utilization Term: 2025/9/6~2026/9/5	Short-term Loan Amounts: NT$80,000,000	None
Credit Agreement	Land Bank of Taiwan Co ., Ltd.	Credit Utilization Term: 2024/6/14~2025/6/14	Short-term Loan Amounts: NT$50,000,000	None
Credit Agreement	Land Bank of Taiwan Co .,Ltd.	Credit Utilization Term: 2025/6/6~2026/6/6	Guaranteed Credit NT$2,000,000	None

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V. Review of Financial Position, Financial Performance and

Risk Management

• I. Discussion and Analysis of Financial Condition

• consolidated financial statements

Unit: NT$ thousand; %

1. consolidated finan	cial statemen	ts	Unit: NT$ thousand; %	Unit: NT$ thousand; %
Year Item	2025	2024	Difference
			Amount	%
Current assets	3,005,700	2,914,482	91,218	3.13
Property, plant and equipment	1,404,555	1,228,210	176,345	14.36
Intangible asset	48,685	5,944	42,741	719.06
Other assets	117,964	71,812	46,152	64.27
Total assets	4,576,904	4,220,448	356,456	8.45
Current liabilities	849,127	566,418	282,709	49.91
Non-current liabilities	230,134	239,390	(9,256)	(3.87)
Total liabilities	1,079,261	805,808	273,453	33.94
Capital stock	675,763	674,773	990	0.15
Capital surplus	1,662,938	1,634,014	28,924	1.77
Retained earnings	1,135,580	1,074,493	61,087	5.69
Other equity	6,352	31,360	(25,008)	(79.74)
Treasuryshares	(31,962)	0	(31,962)	(100.00)
Equity attributable to shareholderof the parent	3,448,671	3,414,640	34,031	1.00
Totalequity	3,497,643	3,414,640	83,003	2.43

Note: The above information is from a consolidated financial report prepared in accordance with IFRS

1. Analysis of major changes in assets, liabilities and equity :

2. (1) Increase in intangible assets: The increase was mainly due to goodwill recognized from the acquisition of Enspection Technology CO., LTD.

3. (2) Increase in other assets: The increase was mainly due to participation in the cash capital increase of Rayleigh Vision Intelligence Co. Ltd. As the capital increase procedures had not yet been completed, the related investment amount was temporarily recorded under other current assets.

4. (3) Increase in current liabilities and total liabilities: The increase was mainly due to newly added short-term borrowings and increased material procurement needs, which resulted in an increase in accounts payable.

5. (4) Decrease in other equity: The decrease was mainly due to the recognition of cumulative translation adjustments of long-term investments and the issuance of restricted employee shares.

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• (5) Increase in treasury shares: The increase was mainly due to the repurchase of treasury shares.

• Future action plan:

The aforementioned changes in financial condition resulted from regular operating activities, and no further action plan is required from the Company.

II. Discussion and Analysis of Financial Performance

1. Financial Performance (consolidated)

			Unit: NT$ thousand ; %	Unit: NT$ thousand ; %	Unit: NT$ thousand ; %
Year			Difference
Item	2025	2024	Amount %
Revenue	2,244,646	2,587,641	(342,995)	(13.26)
Cost of revenue	1,344,705	1,450,066	(105,361)	(7.27)
Gross profit	899,941	1,137,575	(237,634)	(20.89)
Operating expenses	705,895	729,070	(23,175)	(3.18)
Operating income	194,046	408,505	(214,459)	(52.50)
Non-operating income
	48,994	87,878	(38,884)	(44.25)
(expenses)
Income before income tax	243,040	496,383	(253,343)	(51.04)
Income tax expense	43,245	89,580	(46,335)	(51.72)
Net income	199,795	406,803	(207,008)	(50.89)

1. Analysis of deviation over 20% and with an amount of change reaching ten million dollars or more

2. (1) Increase in revenue,cost of revenue,gross profit and operating income: The increase was mainly due to increase in sales of equipment and spare parts.

3. (2) Increase in operating expenses: The increase was mainly due to the increase in commissions for sales of equipment and R&D expenses.

4. (3) Increase in non-operating income (expenses): The increase was mainly due to higher interest income and foreign exchange gain in 2024.

5. (4) Increase in income before income tax,income tax expense and net income: The increase was mainly due to the increase in earnings.

6. Sales Volume Forecast and potential impact on financial performance and future plan:

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The sales volume is based on factors such as the company's annual sales targets, market demand, development trends, customer operational status, and current order situation. It is reasonably compiled, taking into account the company's production capacity. It is estimated that the company's performance will show a stable growth trend, which will positively benefit the financial business situation.

III. Discuss and Analysis of Cash Flow

(I) Cash Flow (Consolidated)

I) Cash Flow (Consolidated)	I) Cash Flow (Consolidated)	I) Cash Flow (Consolidated)	I) Cash Flow (Consolidated)	I) Cash Flow (Consolidated)
Unit: NT$thousand;% Item 2025 2024 Amount % Net cash generated from operating activities 37,639 225,445 (187,806) (83.30) Net cash generated from investing activities 193,104 (341,828) 534,932 (156.49) Net cash generated from financingactivities (53,539) (452,461) 398,922 (88.17)
Item	2025	2024	Amount	%
Net cash generated from operating activities	37,639	225,445	(187,806)	(83.30)
Net cash generated from investing activities	193,104	(341,828)	534,932	(156.49)
Net cash generated from financingactivities	(53,539)	(452,461)	398,922	(88.17)

Analysis of deviation over 20%

1. Decrease in net cash generated from operating activities: mainly due to an increase in inventory prepared for materials

2. Increase in net cash generated from investing activities: mainly due to the maturity of time deposits with maturities of more than three months.

3. Decrease in net cash generated from financing activities: mainly due to mainly due to newly added short-term borrowings and cash capital contributions from subsidiaries’ noncontrolling interests.

4. (II) Improvement Plan for Insufficient Liquidity: Not applicable.

(III) Liquidity Analysis for Next Year: Not applicable.

• IV. Impact of Major Capital Expenditures on Financial Condition: Major capital expenditures in recent years were primarily related to the renovation of purchased plant and the purchase of equipment for future expansion. No major impact on Skytech's operation.

V. Long-term Equity Investment Policy and Results

• (I) Long-term Equity Investment Policy:

Skytech’s long-term equity investments were all made for strategic purposes such

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as operational needs and future development. Investments were also made in accordance with " Regulations Governing the Acquisition and Disposal of Assets " approved by Skytech’s Board of Directors to comply with the requirement of corporate governance.

(II) Long-term Equity Investment Results and Improvement Plan

Unit: NT$ thousand

				Unit: NT$ thousand
Item Investment	Ownership %	FY2023 Investment Income(Loss)	Analysis of Investment Results	Improvement plan
Skylead Inc.	100%	(120)	Below expectations.	-
Gimtek(Singapore)Pte. Ltd	100%	13,075	Good.	-
Skysemi (Xiamen) Technology Co., Ltd.	100%	(23,333)	Business expansion below expectations.	-
Tradegenic Electronic (Shanghai) Co., Ltd.	100%	(2,347)	Business expansion below expectations.	-
Sky-EUV Inc.	64.65%	(6,972)	Company established in 2025; benefits yet to be realized.	-
Enspection Technology CO., LTD.	100%	(1,789)	Acquired in 2025; benefits yet to be realized.	-
JTCK CO., LTD	100%	(2,455)	Acquired in 2025; benefits yet to be realized.	-

• (III) Investment plan for the next year: Management of Skytech will make investment plans for strategic purposes and obtain approval from the Board of Directors to comply with corporate governance requirements.

VI. Risk Assessment in Recent Years and As at The Publication Date of Annual Report

• (I) Rick associated with interest rate, foreign exchange rate and inflation

• Variations of interest rate

	Unit: NT$ thousand	Unit: NT$ thousand	Unit: NT$ thousand	Unit: NT$ thousand
year item	2025		2024
	Amount	Ratio to net revenue	Amount	Ratio to net revenue
Interest income	14,209	0.63%	17,815	0.69%
Interest expense	4,822	0.21%	5,146	0.20%

Source: Audited financial reports

The Company's interest income for the fiscal years 2024 and 2025 accounted for 0.69%

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and 0.63% of the operating income of each year, respectively. Interest expense accounted for 0.20% and 0.21% of operating income for the fiscal years 2024 and 2025, respectively. Interest expenses primarily consisted of the financial costs related to bank loans and interest on lease liabilities. The interest rate of bank loans ranges from 0.80% to 2.02%. Hence, the impact of interest rate fluctuations on the company's profit and loss remains limited.

The Company adopts a prudent and conservative approach to capital management and continuously monitors interest rate trends. The Company also adjusts its fund utilization in a timely manner to mitigate the risks arising from interest rate fluctuations and to enhance the efficiency of capital utilization. In addition, by maintaining sound banking relationships, the Company is able to obtain competitive funding costs and effectively manage the potential financial impact of changes in interest rates. Overall, the Company maintains a solid financial position and good credit standing, and future fluctuations in interest rates are expected to have a limited impact on the Company’s overall operations.

2. Assessment of foreign exchange rate fluctuation

Unit: NT$ thousand; %

			Unit: NT$ thousand;	Unit: NT$ thousand;
Year Item	2025		2024
	Amount	Ratio to net revenue	Amount	Ratio to net revenue
Net gain or loss on exchange	(14,328)	(0.64)	13,310	0.51

Source: Audited financial reports for each period

The Company's net exchange gain (loss) for 2024 and the year 2025 was $13,310 thousand and $(14,328) thousand respectively, accounting for 0.51% and (0.64%) of the respective net sales revenue for the periods, hence the impact on the profit and loss of the Company was limited. Part of the purchase and sales of the Company are denominated in US dollars. Therefore, the relevant receivables and payables can be partially offset against each other, resulting in a natural hedging effect.

Our company addresses the risks associated with exchange rate fluctuations primarily by offsetting foreign currency receivables generated from sales against foreign currency payables generated from purchases, thereby achieving a natural hedge effect. The finance department of our company maintains close relationships with financial institutions, actively gathers exchange rate-related information, consults with various banks on exchange rate trends, continuously monitors exchange rate fluctuations, and adjusts foreign currency positions in the spot market flexibly based on actual fund requirements and exchange rate levels, taking proactive approaches accordingly.

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3. Assessment of Inflation

Our company's product pricing is dynamically adjusted based on fluctuations in market raw material prices. Therefore, currency inflation is not expected to have a significant impact on our operations. We also continuously monitor market price fluctuations, maintain good interactions with suppliers and customers, and promptly grasp changes in upstream raw material prices. We adjust selling prices as necessary to mitigate the impact of cost fluctuations resulting from currency inflation on the company's profit and loss.

• (II)Policies, Main Causes of Gain or Loss and Future Response Measures with Respect to High-risk, High-leveraged Investments, Lending or Endorsement Guarantees, and Derivatives Transactions

• （ 1 ） Policies and Results of High-Risk/Highly Leveraged Investments

Our company and its subsidiaries do not engage in high-risk or highly leveraged investments.

• （ 2 ） Policies and Results of Lending to Other Parties

Lending to other parties will be conducted in accordance with “Regulations Governing Loaning of Funds and Making of Endorsements/Guarantees” and relevant regulations and legal provisions to meet business needs in the future.

• （ 3 ） Policies and Results of Endorsements and Guarantees for Other Parties

Endorsements and guarantees for other parties will be conducted in accordance with “Regulations Governing Loaning of Funds and Making of Endorsements/Guarantees” and relevant regulations and legal provisions to meet business needs in the future.

• （ 4 ） Policies and Results of Financial Derivative Transactions

Financial derivative transactions will be conducted in accordance with “Regulations Governing the Acquisition and Disposal of Assets” and relevant regulations and legal provisions to meet business needs in the future.

• (III) Future Research & Development Projects and Corresponding Budget

• Future Research and Development Plans

• A. The physical vapor deposition equipment for carbon film application in silicon carbide (SiC) component processes has been shipped to several customers. The company continues to collaborate with customers to optimize the process and assist SiC FAB in developing equipment and processes for carbon film removal after hightemperature annealing.

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• B. The descum for photoresist and polyimide (PI) removal has been delivered to multiple customers. We maintain ongoing collaboration with customers to optimize the process.

• C. PVD and ALD Technologies for FOPLP Applications .

• D. EUV Mask Pellicle Inspection Technology.

• E. Thin Film Resistor (TFR) Technology and ITO/IXO Conductive Glass Technologies.

• F. High aspect ratio filling technology, combined with two-sided PVD deposition, has been recognized by leading IC manufacturers.

• G. Development of New 8-inch and 12-inch Bonding/De-bonding Technologies .

• H. Plasma polish technology for SiC wafers as an alternative to traditional polish processes.

• I. Plasma-Enhanced Chemical Vapor Deposition (PECVD) for SiC wafer applications.

• J. Providing corresponding process solutions for customers in heterogeneous advanced packaging, such as silicon photonics.

• K. Offering relevant process solutions for probe manufacturing and space transformers.

• L. IMP (Ion Metal Plasma) technology enables the filling of high aspect ratio trenches and vias.

• M. UV Treatment / Curing Equipment.

• N. Dry Wafer / Die Dicing Equipment.

The Company continuously strengthens its independent R&D and manufacturing capabilities. In the future, it will continue to invest in the development and enhancement of semiconductor process equipment, including PVD, ALD, Powder ALD, Bonder, Debonder, Descum, Plasma Polish, PECVD, Dry etching, FOPLP, and EUV inspection, as well as collaborate with strategic partners to carry out customized R&D for specialized process applications.Adhering to the Company’s long-standing R&D strategy, it actively builds up its independent R&D capabilities, and through strategic partnerships with advanced semiconductor manufacturers, jointly develops key production equipment and processes. By integrating upstream and downstream domestic electromechanical control suppliers, the Company aims to realize the goal of a national semiconductor equipment team and achieve semiconductor equipment localization.In addition, through technology licensing, strategic investments, and joint development with front-end semiconductor fabs, advanced packaging manufacturers, and material suppliers, the Company collaborates to develop key

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process technologies, assisting customers in rapid market adoption and accelerating their development of critical processes.

The recruitment and cultivation of talents are the key to building up the independent R&D capabilities of the company. The company is continuously recruiting excellent electric and mechanical design integration talents and process development talents to build a research and development team that can quickly research and develop products to meet customer and market requirements. From the past development track, Skytech has consistently introduced new products, including PVD, ALD, Bonders, De-bonders, Powder ALD, Carbon PVD, Descum, and this year's Plasma Polish, ITO PVD, and the upcoming Plasma-Enhanced Chemical Vapor Deposition (PECVD) , FOPLP, and EUV inspection. Each new equipment release has received recognition from customers and the market. Our current equipment covers silicon-based semiconductor processes, compound semiconductor processes, and optoelectronics.

Carbon PVD is equipment used for depositing a carbon cap protective layer prior to the annealing step in SiC processes. At present, the Company has completed specification definition with two strategic partners, has successfully delivered multiple systems to customers, and is continuing process verification and mass production qualification.Descum equipment is developed for advanced packaging processes, mainly used for removing photoresist residue and enhancing bonding strength between heterogeneous materials. In addition to jointly promoting Descum process development with domestic research institutions and using this platform to verify and optimize plasma polish design, Skytech has also received customer orders and successfully delivered systems to customers in mid-2024.As for quantum dot powder coating technology, it is used to provide protective encapsulation for quantum dot powders. The process development and verification have been completed, and it has the potential for mass production applications..

12-inch TFR is an important process for thin film resistors. Equipment has already been delivered to strategic partners and has passed verification and is currently in mass production.PVD double-side coating technology and high aspect ratio via filling capability are designed for TGV and TSV processes applied to glass, substrates, or wafers. As this technology is a relatively high-end application, it requires continuous verification through collaboration with world-class manufacturers.ITO/IXO PVD has wide applications in sensor processes, optical communication products, and IoT-related products. The Company has successfully completed process development with strategic partners, delivered equipment to customers in Q2 2024, and continues to promote this product, with ongoing discussions with other customers regarding equipment delivery.The application of 8-inch and 12-inch bonders is mainly in 8-inch SiC processes and silicon-based MOSFET/IGBT. Prototype machines have been completed and provided to customers for verification. For

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12-inch bonder/debonder demand, the Company is jointly developing prototype machines with strategic partners, and plans to deliver them to customers in the first half of 2026 for process development.

Plasma polishing technology will be an extended process of Descum equipment, using plasma polishing to replace the existing grinding process after SiC wafer dicing. In addition to significantly reducing waste generated by grinding slurry and being more environmentally friendly, it can also substantially reduce the production cost of SiC, and process optimization is continuously being carried out in cooperation with customers.Metal ALD and Low-K new process materials are extended process developments of the ALD platform. Based on existing equipment, processes for precursors such as tetrakis(dimethylamino)titanium (TDMAT) and titanium tetrachloride (TiCl₄) are being developed. Currently, titanium nitride (TiN) has completed process development and has been delivered to compound semiconductor customers for use in metal coating. Some customers are even developing applications for gate metal, and there is potential for future application in advanced semiconductor processes.Low-K new process materials are applied in more advanced fields, with future applications in single-layer planar two-dimensional insulating materials for process nodes below 3 nm. At present, this development is being carried out through collaboration among a leading global semiconductor manufacturer, Skytech, and material suppliers. The prototype equipment developed for this project has already been verified by the leading manufacturer.High-precision bonding technology will serve as the starting point for future investment in Hybrid Bonding. Through this initiative, the Company will compete alongside world-leading bonding equipment manufacturers..

Internally, we maintain the original intention to commit to equipment making localization, application diversification, and global sales. We persistently engage in independent development and production. By collaborating with both upstream and downstream players in the industry, as well as maintaining ongoing partnerships with electromechanical materials, semiconductor factories, and optoelectronic plants. We remain passionate about supporting customers’ success, and have an unwavering belief in satisfying customer requirements, and continue to research and develop new equipment platforms and processes to address the ever-changing demands and challenges of critical manufacturing processes. We contribute our efforts to Taiwan’s semiconductor national team and strive to create additional shareholder value for investors

2. R & D Cost plan to invest

Regarding R&D expenses, over the past two years, our investment in R&D activities has consistently exceeded 200 million NT dollars. In 2026, with the expansion of our business, we have allocated a budget for R&D. This budget primarily covers talent

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recruitment, R&D equipment, and material investments. Adjustments will be made dynamically based on R&D progress and global market developments to enhance our competitiveness.

• (IV) Effect on the Company’s Financial Operations of Important Policies Adopted and Changes in the Legal Environment at Home and Abroad, and Measures to be Taken in Response

As of the date of publication, the Company and its subsidiaries have not been affected by any significant domestic or international policy and legal changes that would impact our financial operations. The operation of the Company and its subsidiaries are conducted in compliance with relevant domestic and international laws and regulations. At the same time, it consults with accountants, lawyers and other professionals to collect information and provide reference for decision-making to the management, so as to adopt appropriate response strategies.

(V) Effects of the Company’s Financial Operations of Developments in Science and Technology (including Cyber Security Risks) as well as Industrial Change, and Measures to be Taken in Response

The company and its subsidiaries have not experienced any significant impact on the financial operations from technological changes and industry shifts in the most recent fiscal year and up to the date of publication. Our management team is constantly attentive to market changes and technological trends, evaluating their impact on the business operations, and continuously enhancing our research and development capabilities and product competitiveness. Additionally, the company and its subsidiaries continue to invest in new product research and development, strictly control product development timelines, and develop corresponding response plans. We maintain a conservative and robust financial structure and flexible capital management to adapt to future changes.

• (VI) Effect on the Company’s Crisis Management of Changes in the Company’s Corporate Image and Measures to be Taken in Response

Up to the date of publication of the prospectus, there have been no significant impacts on the financial operations of the company and its subsidiaries due to changes in corporate image. The management teams of the company and its subsidiaries adhere to internal control systems and various legal regulations, uphold principles of integrity and professionalism in management, implement the requirements of corporate governance, and strengthen the corporate image of the company.

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• (VII) Expected Benefits and Potential Risks Associated with Merger and Acquisitions, and Response Measures

In the most recent fiscal year, as well as up to the date of the printing of this annual report, neither the company nor its subsidiaries have engaged in any plans for acquiring other companies or being acquired by other companies. If there are any future acquisition plans, we will comply with relevant laws and regulations, as well as internal company policies, conducting thorough benefit assessments and risk management with a prudent approach to ensure the interests of the company and shareholders.

• (VIII) Expected Benefits and Potential Risks Associated with any Plant Expansion and response measures

In the most recent fiscal year, as well as up to the date of the printing of this annual report , our company have only renovated the existing factoryand there is no expansion on the existing factory.

• (IX) Risks Associated with Sales or Purchase Concentration, and Responsive Measures

• Risks Associated with Purchase Concentration, and Responsive Measures

In the most recent fiscal year, our company did not encounter a situation where purchases from a single supplier accounted for more than 20% of the total purchases, indicating that our procurement sources are diversified and there is no concentration risk in our procurement. Additionally, we maintain good and stable cooperative relationships with all suppliers to ensure the security of the supply of major raw materials. Furthermore, we maintain adequate inventory levels to mitigate the risk of supply shortages or disruptions.

1. Risks Associated with Sales Concentration, and Responsive Measures

In 2025, the proportion of the Company’s revenue derived from the A Group was 30.95%. Although there is a certain degree of concentration, the Company currently maintains a stable cooperative relationship with this customer, and there has been no material adverse impact on overall operations.

In order to continuously reduce customer concentration risk, the Company will continue to expand customers across different product categories and industries in both domestic and international markets, diversify its customer base, and actively develop new customers and new application areas, so as to reduce dependence on a single customer and enhance the overall stability of operations..

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• (X) Effect Upon and Risk to the Company in the event a Major Quantity of Shares belonging to a Director or Shareholder Holding Greater Than a 10 Percent Stake in the Company has been Transferred or has Otherwise Changed Hands, and Mitigation Measures being or to be taken ：

During the most recent year and up to the publication date of the annual report, there have been no significant impacts on the Company's operations resulting from substantial transfers or changes in shareholdings by directors, supervisors, or major shareholders with a stake exceeding ten percent..

• (XI) Effect Upon and Risk to the Company Associated with any Change in Governance Personnel or Top Management, and Mitigation Measures being or to be Taken: None.

• (XII) Litigation or Non-litigation Matters

• Major ongoing lawsuits, non-lawsuits or administrative lawsuits in the Most Recent Year and Up to the Date of Publication Date of the Annual Report:

The company has filed a criminal lawsuit against two former employees, surnamed Qiu and Zhou, with the following allegations: 'In 2017, the company employed the defendant Qiu as the head of the sales department and Zhou as the R&D manager, relying on their technological expertise. Despite being aware of the non-compete and confidentiality agreements they signed, which mandated them to keep business information confidential and refrain from engaging in activities competing with the plaintiff, they established Xinrui Precision Co., Ltd. in 2018, a company engaged in the same line of business as the plaintiff. While employed, they stole and leaked business secrets developed by the plaintiff to a third-party manufacturer, subsequently making an illegal profit of up to 1.13 million US dollars. Based on these allegations, we filed a criminal complaint against the two defendants. Initially, the Hsinchu District Prosecutors Office in Taiwan decided not to prosecute the two individuals, but upon our application for reconsideration, the Taiwan High Court Prosecutors Office revoked the original decision and sent the case back to the Hsinchu District Prosecutors Office for further investigation, which resulted in a decision to prosecute. The case was tried by the Criminal Division of the Hsinchu District Court in Taiwan, then the defendants was found guilty on May 24, 2024. After the first instance, the defendants appealed the case to Taiwan Intellectual Property and Commercial Court (hereinafter, the Court) on June 3, 2024. The Court ordered the case to undergo mediation, and during the course of the mediation proceedings, The defendants pleaded guilty and agreed to pay a settlement amount of NTD 31,000,000 to the company. Finally, A

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successful mediation has beenwas reached by the Court on February 24, 2025, and the case was concluded following the court’s final judgment of conviction on August 28, 2025.

Based on the aforementioned criminal facts, the company also filed a civil lawsuit against the two defendants for damages on September 2, 2021. Following the successful mediation aforesaid, the case under first instance court proceedings, was stayed by mutual consent on February 24, 2025, and was subsequently deemed voluntarily dismissed after neither party moved to resume the case within four months.

These legal actions, including the criminal complaint and civil claim for damages, were initiated by the company to protect its interests, but do not have a significant impact on the company's finances or operations.

1. Major ongoing lawsuits, non-lawsuits or administrative lawsuits caused by directors, supervisors or shareholders with over 10% shareholdings in the Most Recent Year and Up to the Date of Publication Date of the Annual Report: None.

2. (XIII) Other Important Risks and Utility Supply Interruption or Shortage Risks: None.

VII. Other Important Matters: None

VI. Special Items to be included

• I. Information Related to the Company’s Affiliates

• (I) Consolidated Business Report of Affiliated Enterprises for the most recent fiscal year The Company’s 2025 consolidated business report of affiliated enterprises please refer to Related Enterprises Three Book Form Area in the Market Observation Post System (https://mopsov.twse.com.tw/mops/web/t57sb01_q10).

• (II) Consolidated Financial Statements of Affiliated Companies: Please refer to the declaration of consolidated financial statements of affiliated enterprises on page 4 of the Company’s 2025 consolidated financial statements

• (III) Affiliation Report: Not applicable.

• II. Status of Company’s Private Placement of Securities in the Most Recent Year and Up to the Date of Publication of the Annual Report: None.

• III. Other Matters that Require Additional Description: None.

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VII. Any of the Situations Listed in Article 36, Paragraph 3, Subparagraph 2 of the Securities and Exchange Act, which might Materially Affect Shareholders’ Equity or the Price of the Company’s Securities, has Occurred in the most recent year Up to the Date of Publication of the Annual Report: None.

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Skytech Inc.

Chairman: Paul Huang