SUNON — Investor Presentation 2024

Sep 2, 2024

==> picture [407 x 475] intentionally omitted <==

FIRST CHOICE GLOBALLY Cooling Solutions

2024 Q2 Operating Results Sunonwealth Electric Machine Industry Co., Ltd. 2421.TW / 2421 TT

Disclaimer

The information or opinions contained in this document are based on expectations of current conditions and prediction on future events made by SUNONWEALTH ELECTRIC MACHINE INDUSTRY CO., LTD. (hereinafter referred to as “the Company”), which no representation or warranty, express or implied, is made as to its fairness, accuracy, completeness or timeliness. The information in this document only reflects the Company's view of the future as of the date hereof and is subject to change or adjustment in the future. And the Company assumes no obligation to notify or update it at any time unless otherwise required by the applicable laws. Neither the Company nor any of its subsidiaries, affiliates or representatives shall be liable for any direct or indirect damages arising out of the contents of this document, or any action taken as a result of reference to such contents.

The information contained in this document may express the Company's confidence in and expectations for its future vision, but these forward-looking statements are based on a number of factors relating to the Company's operations and are subject to unknown risks, uncertainties and other factors, and as a result, the actual results may differ materially from those in the forward-looking statements set forth above.

No part of this document may be copied, redistributed or transmitted, directly or indirectly, to any other person (whether inside or outside the Company) or published (in part or in whole) for any purpose.

==> picture [74 x 16] intentionally omitted <==

Page 2

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

SUNON Thermal Everywhere

==> picture [134 x 93] intentionally omitted <==

==> picture [48 x 47] intentionally omitted <==

==> picture [76 x 42] intentionally omitted <==

==> picture [92 x 56] intentionally omitted <==

==> picture [96 x 56] intentionally omitted <==

==> picture [111 x 68] intentionally omitted <==

==> picture [121 x 77] intentionally omitted <==

==> picture [115 x 92] intentionally omitted <==

==> picture [815 x 34] intentionally omitted <==

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

5G Base Stations Networking electric vehicles Industry Inverter / Drive Renewable Energy surveillance medical
----- End of picture text -----

==> picture [843 x 51] intentionally omitted <==

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

Gaming Metaverse IT Home Appliance AQI Air Purifier UVC Solution Industrial Ventilation
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 3 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

==> picture [843 x 422] intentionally omitted <==

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

Growth Pattern
(NTD) K
Electric Vehicles
COVID 19 AI Server, Data center
Work From Home
Server, Data center
Received orders from STB Fighting Inflation with
and automotive U.S.-China High Interest Rates
manufactures trade war
LED Lighting PM2.5 Air Purifier and
Automotive electronics
SUNON enters Cloud Data Center
Received orders from Facebook , Google
Financial
Cisco, ZTE, Huawei major telecom
Received order from Crisis
and Cloud Data manufactures
major telecom
manufacture
(Year)
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Page 4

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Thermal Technology Keeps Pace With the Times

Future will be supported by powerful computing capacity and the ultra-speed Internet with high reliability, which tests the effectiveness of thermal solutions. The change in the world stimulates thermal technology to update and advance to be suitable for real-time computing systems' needs. Technological advancement in heat dissipation provides the most effective operating temperature management to achieve excellence.

==> picture [394 x 243] intentionally omitted <==

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

High Fan Efficiency Low Vibration
System
O.P.
Low Noise
----- End of picture text -----

==> picture [191 x 247] intentionally omitted <==

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

Energy Saving
Reliability
----- End of picture text -----

==> picture [190 x 25] intentionally omitted <==

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

Bionic Blade Design
----- End of picture text -----

==> picture [151 x 97] intentionally omitted <==

==> picture [181 x 116] intentionally omitted <==

==> picture [74 x 16] intentionally omitted <==

Page 5

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

More cooling options

==> picture [843 x 397] intentionally omitted <==

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

Heat Cold Vapor
Pump
Pipe Plate Chamber
Liquid Immersion
Liquid to Air CDU
Liquid
Cooling
Solution 80KW~
Advanced
1KW~
Cooling
Solutions
Enhanced 400W~
Phase-changed
Solutions
Traditional
100W~
Heat Sinks
～ 100W
Technology Extrusion
Die-cast Heat Pipe
Vapor Chamber (3D) Cold Plate Immersion Cooling
Forged Vapor Chamber
High Power Heat Pipe Immersion Cooling Rear Door Heat Exchanger
Skived EVAC
Stacked
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 6 FIRST CHOICE GLOBALLY Cooling Solutions
Cooling Capability
----- End of picture text -----

==> picture [843 x 467] intentionally omitted <==

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

TDP (W) Cooling Solution Trend
30KW Immersion Cooling
Liquid Cooling
Open loop
1500W
1KW
Liquid
cooling Close loop
500W
350W Air
cooling Cooling fan + HS / HP / VC
~Y2022 Y2023 Y2024 Y2025 Y2026
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 7 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [842 x 422] intentionally omitted <==

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

AI+5G � AI X 5G � Generative AI into daily life
The development of AI technology and the 5G network draw up a blueprint for Artificial Intelligence of Things (IoT).
Numerous electronics and applications have been applied to build smart connections and rapidly adopted by various
industries and into our daily life, and thus thermal needs are increasingly required.
DATA Vehicle
5G SERVER
CENTER Computing
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 8

FIRST CHOICE GLOBALLY Cooling Solutions

Fan is still the key component for Liquid cooled AI

NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper	NV Link Switch Cooling Fan NVIDIA Single B200 GB200 NVL72 B200 DGX/HGX B100 HGX H200 SXM H100 SXM GPU architecture Blackwell Hopper
	NVIDIA	Single B200 GB200 NVL72	B200 DGX/HGX	B100 HGX	H200 SXM	H100 SXM
	GPU architecture	Blackwell			Hopper
								X7
TDP 1200W 1000W 700W 700W 700W Cooling Liquid Cooling Air Cooling Air Cooling Air Cooling Air Cooling Estimated # of fans used for GB200 NVL72 Rack: 6-8cm dual fan8 each tray, total #18 computer trays; NV Link Switch: 4cm dual fan7 each tray, total #9 trays Power Supplies: at least #50 fans In-rack system: Up to #257 cooling fans applied	TDP	1200W	1000W	700W	700W	700W
	Cooling	Liquid Cooling	Air Cooling	Air Cooling	Air Cooling	Air Cooling

At lease #16 200mm Axial fans installed in RDHx

Picture Source : Internet

==> picture [74 x 16] intentionally omitted <==

Page 9

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Data Center Thermal Layout

Existed Data Center

Existed CRAC system (Compute Room Air Conditioner)

Air-cooling Fan + 3DVC � Hot air Liquid cooling (Liquid to Air) Cold Plate � Sidecar/RHDx � Hot air

Picture Source : Internet

New Data Center Extra chiller and/or cooling tower

Liquid cooling (Liquid to Liquid) Cold Plate � Chiller � Hot water Immersion cooling (Liquid to Liquid) Boiler/Heatsink � Chiller � Hot liquid

==> picture [74 x 16] intentionally omitted <==

Page 10

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Air Cooling vs. Direct Liquid Cooling

==> picture [800 x 342] intentionally omitted <==

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

Air Cooling Direct Liquid Cooling
(Fan + 3DVC) (Fan + Cold Plate)
Refer to MGX platform
Refer to MGX platform
SMCI model ARS-111GL-DNHR-LCC
SMCI model ARS-111GL-NHR
For same chassis
layout, fan is
must needed key
component for
thermal solution
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Picture Source : Internet

Page 11

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Air Cooling vs. Direct Liquid Cooling Direct Liquid Cooling (Fan + Cold Plate) Refer to HGX platform SMCI model SYS-421GE-TNHR2-LCC

==> picture [314 x 258] intentionally omitted <==

==> picture [311 x 208] intentionally omitted <==

Picture Source : Internet

==> picture [74 x 16] intentionally omitted <==

Page 12

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Air Cooling vs. Direct Liquid Cooling

Direct Liquid Cooling Rear Door Sidecar (Fan + Cold Plate) Heat Exchanger Air Assisted Liquid Cooling (Larger axial fan) Refer to MGX platform Larger axial fan SMCI model GPU ARS-111GL-DNHR-LCC Whole Rack Level Whole Rack Level

==> picture [103 x 12] intentionally omitted <==

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

Single Chassis Level
----- End of picture text -----

==> picture [199 x 167] intentionally omitted <==

Picture Source : Internet

==> picture [74 x 16] intentionally omitted <==

Page 13

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Cold Plate Business for Liquid Cooling

==> picture [376 x 237] intentionally omitted <==

==> picture [388 x 237] intentionally omitted <==

==> picture [339 x 39] intentionally omitted <==

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

SUNON DLC SUNON Cold Plate
Page 14
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

FIRST CHOICE GLOBALLY Cooling Solutions

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

Pump Business for Liquid to Air Cooling SUNON RPU (80~120LPM) Reservoir and Pumping Unit

==> picture [299 x 154] intentionally omitted <==

==> picture [340 x 156] intentionally omitted <==

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

Quick Water Pump
Connector
s
Water Leakage
Detector System
----- End of picture text -----

==> picture [392 x 166] intentionally omitted <==

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

SUNON RPU
Reservoir and Pumping Unit
Picture Source : Internet
----- End of picture text -----

==> picture [113 x 206] intentionally omitted <==

==> picture [162 x 46] intentionally omitted <==

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

Sidecar
Air Assisted Liquid Cooling
(4U RPU)
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Page 15

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Heat Exchanger Business for Liquid to Air Cooling

SUNON Liquid Cooling Heat Exchanger

==> picture [141 x 80] intentionally omitted <==

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

Finned-Tube Type
Plate-Fin Type
----- End of picture text -----

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

==> picture [425 x 424] intentionally omitted <==

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

Rear Door
Heat Exchanger
Picture Source : Internet
Sidecar
Air Assisted Liquid Cooling
Heat Exchanger
----- End of picture text -----

==> picture [31 x 10] intentionally omitted <==

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

Page 16
----- End of picture text -----

==> picture [121 x 7] intentionally omitted <==

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

FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Rack-level Liquid Cooling Products

==> picture [161 x 298] intentionally omitted <==

==> picture [157 x 288] intentionally omitted <==

SUNON 60~80kW AALC Air Assisted Liquid Cooling Sidecar

==> picture [74 x 16] intentionally omitted <==

Page 17

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Cooler Business for Immersion Cooling

SUNON Heatsink SUNON Boiler single-phase immersion cooling two-phase immersion cooling

==> picture [800 x 265] intentionally omitted <==

==> picture [74 x 16] intentionally omitted <==

Picture Source : Internet

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

Page 18 FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 438] intentionally omitted <==

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

SUNON Product Roadmap
1U~4U Axial Fan / Counter-rotating Fan
Cooling Fan
DC 200mm Fan / EC 300~600mm Fan
1U~4U Heat pipes /VC modules
Air-cooling EVAC thermal modules
Liquid-cooling Cold Plate (350~1200W)
(Server) Immersion heatsink / Boiler (250~1000W)
Y2021 Y2022 Y2023 Y2024 Y2025
Reservoir and Pumping Unit (RPU)
Liquid-cooling
Air Assisted Liquid Cooling (AALC) Sidecar
(Rack)
Coolant Distribution Unit (CDU)
----- End of picture text -----

Page 19

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

SUNON Key Plan for Liquid Cooling

==> picture [710 x 289] intentionally omitted <==

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

2024Q1 2024Q2 2024Q3 2024Q4
Sidecar
90kW standard performance tester
(will finish@Sep)
Lab
Human
Dedicated liquid cooling team x 2
Resource (will finish@ Dec)
Key account customer visiting
Customer
Approach
Share newest product in OCP Global Summit (@Oct)
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Page 20

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Electric Vehicles / Auto Cooling Solution SUNON has more than 20 years of experience in cooling solutions for the automotive industry, and can provide various cooling fans, cooling modules and liquid cooling products that meet the quality standards of the automotive industry

==> picture [706 x 120] intentionally omitted <==

==> picture [706 x 121] intentionally omitted <==

IATF16949 AEC Q100/Q200 EMC CISPR25 SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 21

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

==> picture [74 x 16] intentionally omitted <==

FIRST CHOICE GLOBALLY Cooling Solutions

Net zero emissions by 2050

==> picture [843 x 339] intentionally omitted <==

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

Energy Energy
Harvesting Storing
PV inverters Energy storage systems
Enclosure cabinet equipment Battery containers,
EV charging systems packs and racks
Source: https://reurl.cc/NR85xk
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 22 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

FIRST CHOICE GLOBALLY Cooling Solutions

Renewable Energy Cooling Solution

SUNON is an important partner of global high-quality energy system cooling solutions, providing a full range of cooling solutions.

PV Inverter Cooling ESS Cooling

==> picture [574 x 135] intentionally omitted <==

==> picture [574 x 135] intentionally omitted <==

EV Charger Cooling EV Charger

==> picture [74 x 16] intentionally omitted <==

==> picture [31 x 10] intentionally omitted <==

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

Page 23
----- End of picture text -----

FIRST CHOICE GLOBALLY Cooling Solutions

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

==> picture [843 x 475] intentionally omitted <==

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

Established Employees Turnover (USD) Factories
1980 8420 414.1 M 5
14
Subsidiary & Office
130
Distributor & Agent
1000+
Sales & Service sites
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 24 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

==> picture [90 x 97] intentionally omitted <==

Fan and Motor

Products and Applications

Air Flow Management

SUNON concentrated on its core motor technology and accumulated various inventions and innovations in this field. We now provide various sizes of motor and fan which featuring higher flexibility, energy-efficiency, lower noise, and longer service life.

==> picture [53 x 51] intentionally omitted <==

SUNON

==> picture [157 x 70] intentionally omitted <==

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

Products
----- End of picture text -----

==> picture [432 x 261] intentionally omitted <==

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

網通 & 伺服器 42%
電腦 (NB) 19%
工業 / 能源 12%
汽車電子 10% 2023
其他 9% Market
家電 6%
share
電腦 (PC) 2%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 25
----- End of picture text -----

Air Exchanger

Total Air Fresh Solution

It implies a demand for craftsmanship and minimalist beauty in German design and creates an all-new experience in clean air quality for the new generation of healthy homes.

Air / Liquid Cooling Module

Total Thermal Solution

As a world-renowned cooling leader, we can provide customized and integrated service to our clients easily base on sophisticated experience and innovative technology.

HVLS Fan

Optimal air Circulation

It features an ultra slim motor and a stylish shape. The patented silent winglet design, energy efficient and high airflow fan creates thermal comfort and healthy environment.

==> picture [74 x 16] intentionally omitted <==

FIRST CHOICE GLOBALLY Cooling Solutions

Sufficient Capability

production bases Cooling Fans 19 M pcs/ month Cooling Module 2.68 M pcs/month

==> picture [634 x 244] intentionally omitted <==

==> picture [145 x 87] intentionally omitted <==

Kaohsiung, Taiwan 1M pcs /month

==> picture [147 x 89] intentionally omitted <==

Beihai, Guangxi (A Building 、 B Building) Fans 7.2M pcs/month

==> picture [148 x 87] intentionally omitted <==

Beihai, Guangxi (C Building) Fans 2.7M pcs/month

==> picture [145 x 86] intentionally omitted <==

Kunshan, Jiangsu 5.3 M pcs/month(FAN) 2.5 M pcs/month(CM)

==> picture [160 x 86] intentionally omitted <==

Bataan, Philippines 2.8 M pcs/month 180 K pcs/month(CM)

==> picture [74 x 16] intentionally omitted <==

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

Page 26

FIRST CHOICE GLOBALLY Cooling Solutions

EGS Performance Highlights

Governance

• Consolidated revenue reached 14.063 billion NTD, a 3.7% increase from 2021.

• The Company ranks among the top 3 leading brands in terms of market share.

==> picture [121 x 121] intentionally omitted <==

• Female directors account for 1/3 of the seats on the board of

• directors.

• A sustainability development committee has been established.

• • Zero cases of corruption.

==> picture [109 x 129] intentionally omitted <==

==> picture [121 x 121] intentionally omitted <==

Society

Products

• Average employee training hours exceeded 66.8 hours per year.

• • Production bases in Taiwan and China have both passed ISO 45001 certification.

• Saved 318 million kWh of electricity with product

• R&D. Reduced GHG emissions by 160,000 MTCO2e.

• Provided care to 8,060 households in the "Support and Care Campaign" from 2018 to 2022.

• 100.0% pass rate of hazardous substance

• inspection for three consecutive years from 2020 to 2022.

• Obtained 3,332 invention patents.

==> picture [121 x 121] intentionally omitted <==

==> picture [123 x 123] intentionally omitted <==

Environment

• Implemented greenhouse gas

• inventory across the entire group, and passed third-party external verification.

Supply Chain

• The solar power generation of the Guangxing plant has exceeded 455,000 kWh.

• Implemented audits for new suppliers.

• • Conducted annual supplier audits. • Local procurement rates exceed 90%.

• Continuously passed IECQ QC 080000 certification each year.

==> picture [74 x 16] intentionally omitted <==

Page 27

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 420] intentionally omitted <==

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

Quarterly Revenue
In B. NT
4.00
3.80 3.68
3.79
3.72
3.60 3.66
3.60
3.54
3.40 3.48 3.48
3.40
3.33
3.20 3.06 3.28 3.29 3.27
3.12
3.00 3.08
3.03
2.80
2.60
2.40
2.20
2.25
2.00
Q1 Q2 Q3 Q4
Y2020 Y2021 Y2022 Y2023 Y2024
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Page 28

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

Revenue Performance

==> picture [759 x 395] intentionally omitted <==

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

單位 : NT 千元
16,000,000 20%
14,063,308
14,000,000 13,561,804
15%
12,781,281 12,914,686
11,965,298
12,000,000 11,659,915
10,946,728 10%
10,690,822
9.3% 9.6%
10,000,000
5%
5.8% 6.1% 6.0%
8,000,000
3.7%
2.4% 6,736,958
0%
6,000,000
-2.6%
-5%
4,000,000
2,000,000 -10%
-9.2%
Y2016 Y2017 Y2018 Y2019 Y2020 Y2021 Y2022 Y2023 Y2024
Revenue Growth rate
----- End of picture text -----

Page 29

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 467] intentionally omitted <==

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

UNIT: NTD (M) Quarterly Revenue in Server
2,000 50%
44.6%
1,800 45%
1,600 37.2% 38.0% 40%
1,615
33.9%
1,400 35%
30.4%
1,200 30%
1,159
1,000 1,114 25%
21.3% 1,075
958
800 20%
600 15%
615
400 10%
200 5%
0 0%
23Q1 23Q2 23Q3 23Q4 24Q1 24Q2
Revenue % of Sales
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 30
----- End of picture text -----

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 468] intentionally omitted <==

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

UNIT: NTD (M) Quarterly Revenue in AI Server
1,000 25%
900
800 19.0% 20%
700 16.2%
688
14.1%
600 13.8% 15%
500 11.0%
473
400 438 437 10%
300 345
200 5%
3.2%
100
92
0 0%
23Q1 23Q2 23Q3 23Q4 24Q1 24Q2
Revenue % of Sales
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 31 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Products Application & QoQ Growth

==> picture [843 x 355] intentionally omitted <==

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

53.7%
55%
2020
45% 2021
2022 41.9%
35%
36.0%
2023 34.7%
31.7%
25% 2024Q2 28.2% 28.3%
24.5% 17.2%
22.2%
15% 11.4%
14.6% 14.3% 14.6% 7.9%
5% 0.8% 8.0% 9.5% 7.7% 9.0% 12.6% 8.3%5.5% 7.2% 7.4% 7.7% 3.5% 11.3%
1.1% 1.1% 0.9% 1.0% 5.2% 5.2% 5.8%
-5% LED Lighting Automobile Distribution Home Appliances Industrial Medical E. Telecom & Server IT & OE
32.8% 17.8% 54.7% 2.2% 6.2% 35.5% 4.2%
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 32 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Products Application & YoY Growth

==> picture [843 x 355] intentionally omitted <==

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

53.7%
55%
2020
45% 2021
2022 41.9%
35%
36.0%
2023 34.7%
31.7%
25% 2024Q2 28.2% 28.3%
24.5% 17.2%
22.2%
15% 11.4%
14.6% 14.3% 14.6% 7.9%
5% 0.8% 8.0% 9.5% 7.7% 9.0% 12.6% 8.3%5.5% 7.2% 7.4% 7.7% 3.5% 11.3%
1.1% 1.1% 0.9% 1.0% 5.2% 5.2% 5.8%
-5% LED Lighting Automobile Distribution Home Appliances Industrial Medical E. Telecom & Server IT & OE
-9.0% 54.4% -23.5% -37.1% -20.9% 48.0% -12.1%
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 33 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Products Application & YoY Growth

==> picture [843 x 271] intentionally omitted <==

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

55% 51.6%
2020
45% 2021
2022 41.9%
35%
36.0%
2023 34.7%
31.7%
25% 2024H1 28.2% 28.3%
24.5% 18.6%
22.2%
15% 11.7%
14.6% 14.3% 14.6% 8.4%
5% 0.8% 8.0% 9.5% 7.7% 9.0% 12.6% 8.3%5.0% 7.2% 7.4% 7.7% 3.9% 11.3%
1.1% 1.1% 0.9% 1.0% 5.2% 5.2% 5.8%
-5% LED Lighting Automobile Distribution Home Appliances Industrial Medical E. Telecom & Server IT & OE
-25.8% 49.7% -49.0% -36.8% -27.9% 46.6% -8.9%
----- End of picture text -----

==> picture [38 x 59] intentionally omitted <==

==> picture [37 x 59] intentionally omitted <==

==> picture [37 x 59] intentionally omitted <==

==> picture [74 x 16] intentionally omitted <==

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

Page 34

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 468] intentionally omitted <==

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

Profit Margin
Gross Margin 30% 26.1% 28.3% 27.3%
29.0%
28.1% 27.9% 27.9%
26.5%
24.0% 24.5%
22.6%
20% 22.6%
25.7% 25.0%
21.4% 18.6% 18.9% 18.7% 21.0%19.5% 23.5%18.7%
17.5%
10%
Q1 Q2 Q3 Q4 Y
Y2020 Y2021 Y2022 Y2023 Y2024
Operating Margin
11.5%
12% 10.3%
11.3%9.0% 11.9% 12.4% 12.3% 11.4% 11.9%
9% 10.6%
8.5% 9.0% 9.7% 8.7%
6% 8.0%
6.0% 5.9%
3% 3.8% 4.1% 3.4%
0% 2.0% 1.9% 3.4%
Q1 Q2 Q3 Q4 Y
Net Margin
12% 10.7% 13.2%10.4% 10.5%
11.7%
9% 10.3% 10.3%
9.7%
9.0%
8.6% 7.7%
6% 6.6% 7.4% 7.3% 6.7%
3% 4.3% 3.1% 4.9% 4.5% 4.6% 3.2%
2.2%
0% 2.5%
Q1 Q2 Q3 Q4 Y
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 35 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Quarterly Earning

In NTD

==> picture [718 x 326] intentionally omitted <==

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

2.00
1.80
1.72
1.60
1.39
1.40 1.47 1.49
1.42
1.19
1.20
1.20
1.00 1.11 1.11
0.93
0.80
0.84
0.60 0.69
0.61 0.60
0.40
0.39 0.37 0.35
0.20 0.30
0.00
Q1 Q2 Q3 Q4
Y2020 Y2021 Y2022 Y2023 Y2024
----- End of picture text -----

==> picture [74 x 16] intentionally omitted <==

Page 36

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [843 x 475] intentionally omitted <==

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

Earning & Cash Dividend
UNIT: NTD
6
5.16
5
4.34
4 3.5
3.39
3 2.62 2.71 2.6
2.28 2.41 2.3 2.4
2 2 2
2 1.51 1.77 1.71 1.5
1.22 1.2 1.2
1 1
0.83
1
0
EPS Cash Dividend
Y2012 Y2013 Y2014 Y2015 Y2016 Y2017 Y2018 Y2019 y2020 Y2021 Y2022 Y2023
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Payout R. 81.97% 79.47% 84.75% 87.72% 87.79% 82.99% 73.80% 70.80% 70.18% 60.00% 67.80%
SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT) Page 37 FIRST CHOICE GLOBALLY Cooling Solutions
----- End of picture text -----

Appendix I

CONSOLIDATED BALANCE SHEETS

TOTAL ASSETS 14,706 12,615 12,277 Cash 4,926 4,031 3,281 A/R, N/R 3,757 3,079 3,197 Inventories 2,168 2,052 2,210 PP&E 2,321 2,171 2,175 TOTAL LIABILITIES 7,604 5,396 6,796 Short-term loans 769 458 776 A/P 3,166 2,737 2,285 Long-term loans 553 213 325 TOTAL EQUITY 7,102 7,219 5,481 Days sales outstanding 93 92 95 Days sales of inventory 77 92 96 Current Ratio 1.72 2.03 1.86 NT$ M 2024.6.30 2023.12.31 2023.6.30	vs. 2023.12.31 vs. 2023.6.30 Change(%)
	16.6% 19.8%
	22.2% 50.1%
	22.0% 17.5%
	5.7% -1.9%
	6.9% 6.7%
	40.9% 11.9%
	67.9% -0.9%
	15.7% 38.6%
	159.6% 70.2%
	-1.6% 29.6%

==> picture [74 x 16] intentionally omitted <==

Page 38

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

	2024 2023 H1 H1 NT$ M 2024 Q2 2023 Q2
	OPERATING REVENUES 3,677 3,280 6,737 6,355
	GROSS PROFIT 1,039 923 1,839 1,737
	OPERATING EXPENSES 619 516 1,144 982
	INCOME FROM OPERATIONS 420 407 695 755
	NON-OPERATING INCOME AND EXPENSES 134 132 274 149
	INCOME BEFORE INCOME TAX 553 539 969 903
	NET INCOME attribute to owners 379 432 706 710
	EPS (NT$) 1.39 1.72 2.58 2.83
	Gross Margin 28.3% 28.1% 27.3% 27.3%
	Operating Margin 11.5% 12.4% 10.3% 11.9%
	Net Margin(*) 10.4% 13.2% 10.5% 11.2%

(*)Net Margin=Net Income attribute to owners / Revenue

==> picture [74 x 16] intentionally omitted <==

Page 39

SUNONwealth Electric Machine Industry Co., Ltd. (2421.TW / 2421 TT)

FIRST CHOICE GLOBALLY Cooling Solutions

==> picture [407 x 475] intentionally omitted <==

Thanks for Your Attention !

WWW.SUNON.COM

==> picture [74 x 16] intentionally omitted <==