Stock Code: 3266
This annual report is available at
http : //mops.twse.com.tw
https : //www.sunty.com.tw

Sunty Development Co., Ltd.

2025 Annual Report

Notice to readers

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

Printed on March 31, 2026

I. Name, title, telephone number and e-mail address of the spokesperson and acting spokesperson:
Spokesperson: Tai-Lin Wei Acting spokesperson: Kuang-Wen Hsieh
Title: General manager Title: Special Assistant
TEL: (02)2777-1355 TEL: (02)2777-1355
E-mail: [email protected] E-mail: [email protected]

II. Address and telephone number of the Company:
Address: 12th Floor, No. 289, Section 4, Zhongxiao East Road, Da'an District, Taipei City
TEL: (02)2777-1355

III. Name, address, website and telephone number of the stock transfer agency:
Name: Fubon Securities Co., Ltd., Stock affairs agency
Address: 2th Floor, No. 17, Xuchang St., Zhongshan District, Taipei City
Website: http://www.jihsun.com.tw
TEL: (02)2361-1300

IV. Name, firm, address, website and telephone number of the CPA attesting the most recent annual financial statements:
CPA name: Yilian Han, Tim Tzang
CPA firm: KPMG International
Address: 68th Floor, No. 7, Section 5, Xinyi Road, Xinyi District, Taipei City
Website: http://www.kpmg.com.tw
TEL: (02)8101-6666

V. The name of any exchanges where the Company's securities are listed offshore, and the method by which to access information on the offshore securities: None.

VI. Company website: https://www.sunty.com.tw

Table of Contents

Page

I. A report to the shareholders 1

II. A Corporate governance report 6

I. Information on directors, general managers, deputy general managers, senior managers, and officers of departments and branches 6
II. Remuneration for directors, general managers and deputy general managers for the most recent year 14
III. The Company's implementation of corporate governance 18
IV. Information on CPA professional fee 53
V. Information on the replacement of CPA 53
VI. The Chairman, general manager, or officers in charge of financial or accounting matters of the Company has worked in the firm of the CPA or its affiliated companies within the last year 53
VII. Any equity transfer or change in equity pledge by a director, supervisor, managerial officer, or shareholder with 10% stake or more during the most recent year or during the current year up to the date of publication of the annual report 53
VIII. Information on the relationship between the top 10 shareholders 54
IX. The total number of shares and the consolidated equity stake percentage held in any single reinvested enterprise by the Company, its directors, supervisors, managerial officers, or any companies controlled either directly or indirectly by the Company 57

III. Information on capital raising activities 58

I. Capital and shares 58
II. Issuance of corporate bonds 61
III. Preferred shares 61
IV. Issuance of global depository receipts 61
V. Status of employee stock option plan and employee restricted stock 61
VI. Issuance of new shares in connection with mergers or acquisitions of shares of other companies 61
VII. Financing planning and implementation 61

IV An overview of operations 62

I. Business activities 62
II. Market and production and sales overview 64
III. Information on employees for the most recent 2 years, and the current year up to the date of publication of the annual report 69
IV. Environmental protection expenditure 69
V. Labor relations 69
VI. Cyber security management 71
VII. Important contracts 74

V. A review and analysis of the company's financial position and financial performance, and a listing of risks 77

I. Financial status 77
II. Business performance 78
III. Cash flows 79
IV. Effect of major capital expenditures on finance and business matters in the most recent year 79
V. Investment policy for the most recent year, the main reasons for profit or loss, improvement plan and investment plan for the coming year 80
VI. Analysis and assessment of risks for the most recent year or during the current year up to the date of publication of the annual report 80
VII. Other important matters 82

VI. Other items deserving special mention 83

I. Information on affiliates 83
II. Private placement of securities during the most recent year or during the current year up to the date of publication of the annual report 83
III. Other matters that require additional explanation 83
IV. Any of the situations listed in Article 36, Paragraph 3, Subparagraph 2 of the Securities and Exchange Act, which might materially affect shareholder equity or the price of the Company's securities, which has occurred during the most recent year or during the current year up to the date of publication of the annual report 83

I. A report to the shareholders

2025 Business Report

(1) Implementation results of business plan

The Company has cultivated its business in the Greater Taipei area and established a strong brand image. In recent years, it has expanded into the Taoyuan area and continues to operate steadily with a strategy focused on maintaining profitability and preserving its competitive advantages.

In 2025, completed residential sales projects, “Sunty Libo” in Beitou District and “Sunty Glory Light” in Wanhua District, Taipei City, as well as the pre-sale project “Sunty Fulin” in Shilin District, Taipei City, were launched. These projects cater to the needs of first-time homebuyers and owner-occupiers, and all are currently still on sale. The projects excelled in two key factors—location and brand—and were launched at a time when the real estate market was stabilizing. As a result, they were well received by the market and contributed to the Company’s revenue and profitability.

Revenue for fiscal year 2025 was primarily driven by the handover and revenue recognition of pre-sold and completed residential projects, including "Li Sunty," "Sunty Libo," and "Sunty Glory Light." Combined with the construction revenue from the subsidiary, Hsin Tung Yang Construction, the consolidated operating revenue for the year totaled NT$1,433,489 thousand, with a net profit after tax of NT$208,883 thousand. Due to the smaller scale of project completions during this period, revenue and profit decreased by 69.37% and 69.57%, respectively, compared to fiscal year 2024.

Unit: NT$ thousand

Item	2025	2024	Increase or decrease (%)
Net operating revenues	1,433,489	4,679,558	-69.37%
Operating costs	972,086	3,208,241	-69.70%
Operating profit margins	461,403	1,471,317	-68.64%
Operating expenses	278,242	549,430	-49.36%
Net operating profits	183,161	921,887	-80.13%
Non-operating incomes and expenses	58,761	(10,748)	-646.72%
Net profits before tax	241,922	911,139	-73.45%
Income tax expenses	33,039	224,596	-85.29%
Net profits for the period	208,883	686,543	-69.57%
Other comprehensive income	309	2,952	-89.53%
Total comprehensive income for the period	209,192	689,495	-69.66%

(2) The implementation status of budget

The Company has not published its financial forecast for 2025 in accordance with the “Regulations Governing the Publication of Financial Forecasts of Public Companies”.

(3)Financial receipts and expenditures and profitability analysis

| Year
Item | | | 2025 | 2024 |
| --- | --- | --- | --- | --- |
| Capital structure | Debts to assets ratio (%) | | 51.95 | 48.61 |
| | Long-term capital to property, plant, and equipment ratio | | 7386.79 | 7355.78 |
| Liquidity | Current ratio (%) | | 184.15 | 197.07 |
| | Quick ratio (%) | | 21.23 | 39.90 |
| | Interests coverage (multiplier) | | 2.64 | 9.63 |
| Profitability | Return on assets (%) | | 1.62 | 5.36 |
| | Return on equity (%) | | 3.19 | 10.95 |
| | As a percentage of paid-in capital (%) | Operating profits | 5.20 | 26.17 |
| | | Net profits before tax | 6.87 | 25.86 |
| | Net profit margins (%) | | 14.57 | 14.67 |
| | Basic earnings per share (NT$) | | 0.58 | 1.93 |

(4)R&D status

R&D team: committed to coming up with refined and high quality products.

The Company's management team has excellent vision and strong leadership abilities, and with more than 30 years of construction-related experience, they are not only familiar with construction regulations, but also have a unique perspective on market trends and dynamics. We have been building residential buildings with consistent dedication to the construction industry, we are constantly innovating technology to create refined and high quality products, and we are committed to human comfort, healthy living, and network technology in our product planning to meet customer needs. Our stable management philosophy has not only created a competitive advantage in the market, but has also established an unshakable reputation in the hearts of consumers.

Engineering team: three-link quality control, engineering quality control supervision and management

The Company appoints construction companies that meet the quality requirements and cost control of the Company to ensure the quality of construction. In addition, through the control of equity and long-term cooperation, we have established a good relationship with the construction companies, so that we can control the progress and quality of construction more precisely to meet the customer's needs in terms of delivery and quality. In addition to improving quality and reducing costs, we will continue to study the use of Sunty's high-performance construction methods to increase the competitiveness of our products.

Business team: Blue ocean strategy for product differentiation

We keep an eye on the political and economic situation and changes in the real estate boom and bust cycle to take hold of market information and use it as a basis for product positioning and marketing strategies. We conduct detailed and precise market research and analysis to launch products that meet market needs, and flexibly adopt sales before, during or after construction to reduce the risk of market fluctuations and carry out a product blue ocean strategy.

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Summary of 2026 Business Plan

(1) Business policy for the year

Considering the current capital size, human resources, investment return and capital turnover efficiency of the Company, we will continue to invest in the construction and sale of small and medium-sized projects in the Greater Taipei area in 2026.
We keep an eye on the political and economic situation and changes in the real estate boom and bust cycle to take hold of market information and use it as a basis for product positioning and marketing strategies.
Control the cost and quality of construction projects.
Offer customer service and product after-sales service.

(2) Expected sales volume

Launched projects currently on sale:

(1) "Sunty Libo," an urban renewal joint redevelopment project located on Shipai Road in Beitou District, Taipei City, sits at the intersection of Section 2, Shipai Road, and Xingyi Road. The project offers the serene and leisurely lifestyle characteristic of the Tianmu residential area. The development features small- to medium-sized floor plans, with a total sales value of approximately NT$600 million. Following a "build-first, sell-later" approach, the completed units were officially released to the market in February 2025.

(2) The urban renewal project "Sunty Fulin," a redevelopment of a seawall-affected building, is located on Fulin Road in Shilin District, Taipei City, near Fuzhi Park. The project is situated at the junction of Yangde Boulevard and the Zhishan and Waishuangxi areas, featuring a quiet environment, green open spaces, and nearby commercial districts that enhance its residential appeal. The project plans to construct two residential buildings with small- to medium-sized units, with a total projected sales value of approximately NT$2.5 billion. Construction commenced in the first quarter of 2024, and the project adopts a sell-while-building approach, with sales launched in August 2025.

(3) "Sunty Glory Light," a joint redevelopment project located on Kaifeng Street in the Wanhua District of Taipei City, boasts a prime location within the vibrant Ximen Special Business District. The development is situated near both Beimen Station (Songshan Line) and the Ximen Station (Bannan and Songshan Lines), with the added benefit of being within walking distance of a riverside park. The project features small-to medium-sized floor plans with a total sales value of approximately NT$1.2 billion. Utilizing a "build-first, sell-later" strategy, the completed units were officially launched for sale in October 2025.

Projects planned for launch in 2026:

(1) The "Sunty Hui-Cui" urban renewal project, located in the Jiangzicui Section of Banqiao District, New Taipei City, is situated on the first row facing Banqiao Music Park. Only a bridge away from central Taipei, the project offers excellent local amenities. The park itself spans over 10,000 pings of green space with recreational facilities, connecting to the waterfront greenbelt to provide a serene living environment amidst the bustling city. The development is designed with small- to medium-sized residential units and has a total sales value of approximately NT$3.9 billion. The project was officially launched for pre-sale in March 2026.

(2) The "Sunty Li-Ju" urban renewal project, located on Dexing East Road in Taipei's Shilin District, is situated near Zhishan Elementary School in the prime area of Tianmu. The location offers a mature and comprehensive range of amenities, including international schools, parks, department store clusters, and top-tier medical systems. The development consists of two residential towers featuring units ranging from 1,140 to 1,780 square feet (32–50 pings), with a total sales value of approximately NT$5.1 billion. Construction commenced in mid-2025. Following a "sell-while-building" strategy. The project was officially launched for pre-sale in April 2026.

(3) The "Sunty Guo-Xu" joint development project, located in the Jingfu Section of Zhonghe District,

New Taipei City, is situated on Section 3, Xiulang Road. The site is in close proximity to the Xiulang Bridge Station on the MRT Circular Line and within walking distance of the riverside parks along the Xindian River, offering well-established local amenities. The project is planned as a residential development featuring small- to medium-sized units ranging from 23 to 43 pings, with a total estimated sales value of approximately NT$2.8 billion. The project will officially launched for pre-sale in May 2026.

(4) This urban renewal project in Shilin District, Taipei City, is situated in a quiet alley off Shidong Road (Lane 91). Located in the true heart of Tianmu, it sits at the intersection of the Dayeh Takashimaya department store, Tianmu Sports Park, and the American/Japanese international school districts. Positioned within the Zhongcheng residential area with easy access to Shidong Market, the project offers mature and comprehensive living amenities. The development features small-sized residential units with a total sales value of approximately NT$700 million. Construction commenced in February 2026. Following a "sell-while-building" strategy, the pre-sale launch is expected in the fourth quarter of 2026.

(5) The "Sunty International ONE 360" urban renewal project, a redevelopment of renovated housing on Keelung Road in Taipei's Xinyi District, is situated in the prime heart of the Xinyi Planning District. Surrounded by a high concentration of department stores and luxury hotels, the project offers significant asset value retention. The development is a 31-story landmark building, featuring public amenities designed by the renowned British firm G.A Design. With a total sales value of approximately NT$6.3 billion, the project is expected to be completed and handed over by the end of 2026. The official launch of completed unit sales is scheduled for the fourth quarter of 2026, marking it as a representative high-value project for the company.

Projects to be launched after 2026:

(1) Located on Section 4, Chongqing North Road in Taipei's Shilin District, this unstable old building redevelopment joint venture offers permanent riverside views, overlooking the Keelung River with distant vistas of Taipei 101 and a close-up view of the Grand Hotel. The project is planned as a residential development featuring small- to medium-sized units, with a total estimated sales value of approximately NT$3.2 billion. Construction commenced in the first quarter of 2024. Following a "sell-while-building" strategy, the pre-sale launch is expected to take place in 2027.

(2) The "Libar Royal Community" urban renewal project, a high-chloride (sea-sand) building redevelopment located on Yongji Road in Taipei's Xinyi District, sits near the Yongchun MRT Station and the dual-rail Songshan Station. The location offers excellent accessibility in all directions and comprehensive local amenities. The development is planned as a 24-story residential building featuring small- to medium-sized units, catering to the needs of first-time buyers and owner-occupiers. With a total estimated sales value of approximately NT$7.1 billion, the project is currently undergoing structural demolition, with the market launch to be scheduled based on future economic conditions.

(3) The Sanxia Station Exit 2 Joint Development Project on the MRT Sanying Line is situated immediately adjacent to the station structure, offering exceptional transportation connectivity. Driven by the regional development spurred by MRT construction, the surrounding area has seen a steady influx of residents and growing housing demand as local amenities and public facilities reach maturity. The project consists of two 15-story towers comprising residential units and retail spaces. The residential portion features 2-to-3-bedroom layouts designed to align with market demand, with a total estimated sales value of approximately NT$3.4 billion. Construction started April 2026, and the market launch will be scheduled according to prevailing economic conditions.

(4) The "Zhongshan Min'an Public Urban Renewal Project," led by the Department of Finance of the Taipei City Government and implemented by the Taipei Urban Renewal Authority, officially signed its contract at the end of January 2026. Located in the prime core of Taipei City, the project is adjacent to the Zhongshan MRT station, the Zhongshan Linear Park, and the Zhongshan Sports Center, offering excellent transportation access, a high-quality living environment, and mature

-4-

commercial facilities. The development is planned as a 16-story residential building featuring small-sized units, with a total estimated sales value of approximately NT$2.6 billion. Currently, site consolidation for expansion is underway, and the market launch will be scheduled based on future economic conditions.

Projects under development:
The Guangming Theater project in Taipei City, along with other urban renewal and unstable old building (URB) redevelopment projects—such as those on Songren Road and near Guangxin Park—are all undergoing continuous planning and development.

(3) Important production and sales policies

Reviewing 2025, Taiwan’s real estate market experienced a noticeable cooling and structural adjustment. Domestically, the market faced the Central Bank's continued selective credit controls and more stringent lending conditions. Internationally, uncertainty arose from heightened cross-strait geopolitical risks and unresolved U.S. reciprocal tariff policies, leading to a significant contraction in pre-sales and transaction volumes. However, domestic economic growth remained resilient, driven by strong exports and technology sector orders, which helped support the market's fundamentals.

Looking ahead, as the Central Bank allows mortgage controls to return to autonomous bank management, the current mortgage squeeze may show signs of easing. Market expectations suggest the housing market will maintain a stable yet cautious outlook amidst policy and liquidity adjustments. Nevertheless, future trends in mortgage lending, credit control policies, changes in developers' unsold inventory, and improvements in policies regarding construction surplus soil and gravel will continue to influence market performance. In the short term, the market is expected to remain in an adjustment phase. Overall, while challenges such as supply-demand imbalance, policy regulations, and capital costs persist, the market outlook remains steady, supported by economic fundamentals and demand from self-occupiers and upgraders.

In recent years, in response to the impact of the real estate boom and bust cycle, the Company has adopted a proactive and stable business strategy to keep track of sales progress and recover capital quickly from existing sales projects. In the future, we will actively develop high-quality land with good locations and high sales potential when the housing market is down. We will also keep track of the quality, cost and progress of the construction in progress to ensure the profitability of projects. On the financial side, we will address the conservative practice of banks in lending for construction financing, strive for higher-than-budgeted construction financing facilities for new projects, and explore other financing options. In terms of re-investment, the construction business will expand its underwriting capacity and evaluate the feasibility of revitalizing other investment assets in the hope of increasing profitability through a proactive and diversified model.

The future development strategy of the Company and the impact of the external competitive environment, the regulatory environment and the overall business environment

Real estate is still an important investment tool for the public. The current market atmosphere is wait-and-see, but it is expected to gradually return to the rational stage and move towards stable development. For the assessment of the future real estate boom, the company holds a prudent attitude. In addition to reviewing the strategy and the selection of investment types for case development, actively develop high-quality cases, research and develop product positioning for cases, review and study construction methods, and grasp the time for evaluation and proposals, in order to launch projects with Products with market competitiveness, while ensuring normal working capital and improving operating efficiency. At the same time, we continue to operate with the philosophy of "honest and pragmatism, initiative and innovation, and insistence on quality" to fulfill our corporate social responsibility in the construction field, so as to gain the trust of customers and enhance brand recognition and create maximum profitability for the Company.

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II. A corporate governance report

I. Information on directors, general managers, deputy general managers, assistant managers, and heads of departments

(1) Information on directors

Director information sheet

Unit: shares; March 31, 2026

Title	national-ity or place of registration	Name	Gen-der age	Date elected	Term of office	Date first elected	Shareholding when Elected		Shareholding now		Shareholding of spouse and minor children now		Shareholding in the name of others		Major educations and experiences	Spouse or other officers, directors, or supervisors within the second degree of kinship
							Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Number of shares	Share-holding ratio		Title	Name	Relation
Chair-man	R.O.C.	Kuan-Chen Mai	Male 71~80 years old	5/27/2025	3 years	12/27/2007	5(07,30)	1.43%	5(07,30)	1.43%	2(40,46)	0.68%	0	-	Chairman of the Company
Chairman of Hsin Tung Yang Co., Ltd.
Director of E.SUN Financial Holding Co., Ltd.
Director of E.SUN Commercial Bank Co., Ltd.	Chairman of Hsin Tung Yang Co., Ltd.
Director of Hsin Tung Yang Construction Co., Ltd.
Chairman of Hsin Tung Yang Real Estate Agency Co., Ltd.
Director of Cheng Yang Investment Enterprise Co., Ltd.
Director of Shang Yang Investment Co., Ltd.
Director of Ding Yang Investment Co., Ltd.
Director of Xing Yang Investment Co., Ltd.
Chairman of Yuan Shang Co., Ltd.
Director of Huayang International Logistics Co., Ltd.
Director/legal representative of E.SUN Financial Holdings Co., Ltd.
Executive Director/Legal Representative of E.SUN Commercial Bank Co., Ltd.	Vee
Chair-man	Hsin-Wei
Mai	Fa-ther
Son	None
Vice Chairman	R.O.C.	Hsiu-Wei Mai	Male 51~60 years old	5/27/2025	3 years	6/25/2013	6(07,90)	1.94%	6(07,90)	1.94%	0	-	0	-	Graduated from the HPU Graduate School of Business Administration at Hawaii Pacific University
Vice Chairman of the Company	Associate Director of the Company
Director of Hsin Tung Yang Construction Co., Ltd.
Director/legal representative of Santy Land Co., Ltd.
Director/legal representative of Santy International Land Co., Ltd.
Director/legal representative of Hsin Tung Yang Co., Ltd.
Director of Hsin Tung Yang Real Estate Agency Co., Ltd.
Chairman of Cheng Yang Investment Enterprise Co., Ltd.
Chairman of Shang Yang Investment Co., Ltd.
Director of Ding Yang Investment Co., Ltd.
Director of Xing Yang Investment Co., Ltd.
Director of Yuan Shang Co., Ltd.	Chair-man	Kuan-Chen Mai	Fa-ther
Son	None

Title	national-ity or place of registration	Name	Gen-der age	Date elected	Term of office	Date first elected	Shareholding when Elected	Shareholding now	Shareholding of spouse and minor children now	Shareholding in the name of others	Major educations and experiences	Concurrent positions in the Company and other companies now	Spouse or other officers, directors, or supervisors within the second degree of kinship	Preparation Note
Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Title	Name	Relation
Director	R.O.C.	Ding Yang Investment Co., Ltd	Male 61~70 years old	5/27/2025	3 years	6/25/2013	Corporate shareholders 40,738,478	11.56%	40,738,478	11.56%	0	-	0	-
Graduated from the Graduate School of Architecture, National Cheng Kung University with a master's degree
Architect
Graduated from the Department of Architecture of Tamkang University
Deputy General Manager and Associate Director of the R&D Department of the Company	General Manager of the Company
Director/legal representative of Hsin Tung Yang Construction Co., Ltd.
Chairman/legal representative of Sunty Land Co., Ltd.
Chairman/legal representative of Sunty International Land Co., Ltd.	-	-	None
R.O.C.	Representative Tai-Lin Wei	Representative 418,401	0.12%	418,401	0.12%
Independence Director	R.O.C.	Chun-Ming Yu	Male 51~60 years old	5/27/2025	3 years	12/27/2007	0	-	0	-	0	-	0	-
Secretary-General of the National Federation of Real Estate Development Associations of the R.O.C.
Secretary-General of the Taipei Real Estate Development Association	Secretary-General of the National Federation of Real Estate and Construction Development Associations of the R.O.C.
Secretary-General of the Taipei Real Estate Construction Development Business Association
Independent director of Hongsheng Construction Co., Ltd.
Supervisor of Datong Asset Development Co., Ltd.	-	-	None
Independence Director	R.O.C.	Meng-Han Chuang	Male 71~80 years old	5/27/2025	3 years	6/21/2019	0	-	0	-	0	-	0	-
Associate Professor of the Department of Industrial Economics, School of Business and Management, Tamkang University, Advisory Member of the Economic Construction Committee of the Executive Yuan, and Member of the Taipei City Economic Development Committee of the Taipei City Government	Vice President of Financial Weekly and Housing Market Observation Columnist
Visiting professor at Deming University of Finance and Economics
Arbitrator of the China Real Estate Arbitration Association
Independent director of Huagu Construction Co., Ltd.	-	-	None
Independence Director	R.O.C.	Shu-Yuan Wu	Female 51~60 years old	5/27/2025	3 years	5/27/2025	0	-	0	-	0	-	0	-
Certified public accountant of Hetai United Accounting Firm	Certified public accountant of Hetai United Accounting Firm
Vice Chairman of the Public Welfare Public Relations Committee of the Taipei Institute of Certified Public Accountants
Vice Chairman of the Public Policy Committee of the National Federation of CPAs of the R.O.C.
Director of Taipei Tax Agents Association
Director of the Otherwise Education Foundation
Director of the China Tax Research Center	-	-	None

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March 31, 2026

Major shareholders of corporate shareholders

The name of the corporate shareholder	Major shareholders of corporate shareholders
	Name	Shareholding ratio (%)
Ding Yang Investment Co., Ltd.	Hsiu-Ren Mai	71.35
	Xing Yang Investment Co., Ltd.	16.61
	Kuan-Chen Mai	12.04

March 31, 2026

If the major shareholder is a corporation, the major shareholder

The name of the corporation	The principal shareholder of the corporation
	Name	Shareholding ratio (%)
Xing Yang Investment Co., Ltd.	Hsiu-Ren Mai	52.67
	Kuan-Chen Mai	20.15
	Hsin Tung Yang Real Estate Agency Co., Ltd.	18.00
	Ding Yang Investment Co., Ltd.	9.18

The professional knowledge and independence of the directors
Disclosure of information on the professional qualifications of directors and the independence of independent directors:

March 31, 2026

Name\conditions	Professional Qualifications and Experience (Note 1)	Independence (Note 2)			He also serves as an independent director of other public companies
Kuan-Chen Mai	Have expertise in corporate management, Falling beyond the scope of particulars inscribed in Article 30 of the Company Act.	NA			0
Hsiu-Wei Mai	Graduated from the HPU Institute of Business Administration, Hawaii Pacific University, have expertise in corporate management. Falling beyond the scope of particulars inscribed in Article 30 of the Company Act.	NA			0
Representative of Ding Yang Investment Tai-Lin Wei	Graduated from National Chengchi University, Master of Business Administration, the Institute of Architecture, National Cheng Kung University, Architect, have expertise in corporate management. Falling beyond the scope of particulars inscribed in Article 30 of the Company Act.	NA			0
Chun-Ming Yu	Master's degree from the Institute of Land Administration of National Chengchi University, and obtained the qualification of passing the land administration college entrance examination, specializing in real estate economics, construction regulations and tax practice, and has professional expertise in real estate. There are no subparagraphs of Article 30 of the Company Law.	Status of Independence Note 2			1
		(1)	(2)	(3)
		Nope	0	Nope

conditions Name	Professional Qualifications and Experience (Note 1)	Independence (Note 2)				He also serves as an independent director of other public companies
Meng-Han Chuang	Master's degree from the Institute of Economics of Chinese Culture University, with financial expertise, is currently an expert in industrial economics, mainly as a professor at the Department of Industrial Economics of Tamkang University and Deming University of Finance and Economics, and his research fields include real estate investment, operation and management and marketing, and has accumulated rich experience in real estate finance. There are no circumstances under Article 30 of the Company Act.	Nope	0	Nope	0	1
Shu-Yuan Wu	He is currently a certified public accountant at Hetai United Accounting Firm and holds important positions in the Taipei Institute of Certified Public Accountants and the National Federation of CPA Associations of the R.O.C., with accounting or financial expertise. There are no subparagraphs under Article 30 of the Company Act.	Nope	0	Nope	0	0

Note 1: Professional qualifications and experience: Describe the professional qualifications and experience of individual directors, and if they are members of the audit committee and have accounting or financial expertise, they should state their accounting or financial background and work experience, and also explain whether they have not fallen under any of the subparagraphs of Article 30 of the Company Act.

Note 2: Independent directors should state the circumstances of their independence:

(1) Whether the person, spouse, or relatives within the second degree of kinship serve as directors, supervisors, or employees of the Company or its affiliates;
(2) The number and proportion of shares held by the company, his/her spouse, relatives within the second degree of kinship (or in the name of others);
(3) Whether they serve as directors, supervisors, or employees of companies with specific relationships with the Company (refer to Article 3, Paragraph 1, Subparagraphs 5-8 of the Regulations Governing the Establishment of Independent Directors of Public Companies and Matters to be Followed);
(4) The amount of remuneration obtained for providing commercial, legal, financial, accounting, and other services to the Company or its affiliates in the past two years

2. Diversity and independence of the board of directors:

(一) Board Diversity:

In accordance with Article 14-2 of the Company's Articles of Association, the election of directors adopts a candidate nomination system, and shareholders are selected from the list of director candidates. In addition, in accordance with Article 20 of the Company's Code of Practice on Corporate Governance and Article 3 of the "Director Election Procedures", the composition of the board of directors should consider diversity, except for directors who are also managers of the company, and should formulate appropriate diversity policies based on their own operations, operating patterns, and development needs, including but not limited to the following two standards: 1. Basic conditions and values: gender, age, nationality, culture, etc. 2. Professional knowledge and skills: professional background (such as law, accounting, industry, finance, marketing, or technology), professional skills, and industry experience. Board members should generally possess the knowledge, skills, and literacy necessary to perform their duties. In order to achieve the ideal goals of corporate governance, the board of directors as a whole should have the following abilities: 1. Operational judgment ability. 2. Accounting and financial analysis skills. 3. Business management ability. 4. crisis management capabilities. 5. Industry knowledge. 6. International market view. 7. Leadership skills 8. decision-making ability.

The Company's directors are composed of a diverse and professional board of directors composed of the construction industry, industry and scholars, supplemented by independent directors with different professional backgrounds, and the board members have the knowledge, skills, and literacy necessary to carry out business and should have various abilities such as industry decision-making ability, risk management, and management ability, so as to make the board's decision-making forward-looking, objective and thoughtful, and enhance their professionalism through continuous arrangement of diversified training courses, faithfully execute the business and the duty of care of a good manager, and give full play to the functions of business decision-making and leadership and supervision.

The 2025 shareholders' meeting was fully re-elected to a total of six seats on the 12th board of directors, and the company's directors with employee status accounted for $33.33\%$ , independent directors accounted for $50\%$ , and the average age of all directors was 66 years old.

According to their academic experience, professional fields, and related backgrounds, individual directors are diversified as follows:

Diversified core projects Name	Basic composition									Industry experience		Professional competence
	Nationality	Gender	He also serves as an employee of the Company	Age				The tenure of independent directors		construction industry	Generally enterprise	business management	construction industry practice	financial economy
				41~50	51~60	61~70	71~80	<9 years	>9 years
Kuan-Cheng Mai	R.O.C.	Male					V			V	V	V	V	V
Mai Hsiu-Wei	R.O.C.	Male	V		V					V	V	V	V	V
Representative, Ding Yang Investment Co., Ltd. Tai-Lin Wei	R.O.C.	Male	V			V				V		V	V	V
Chun-Ming Yu Note	R.O.C.	Male				V			V				V
Meng-Han Chuang Note	R.O.C.	Male					V	V					V	V
Shu-Yuan Wu Note	R.O.C.	Female			V			V					V	V

Note: The re-elected independent director, Mr. Chun-Ming Yu, has already served three consecutive terms. However, the composition of the Company's independent directors must align with future business strategies and development while also taking professional expertise into consideration. Mr. Yu holds a master's degree from the Graduate Institute of Land Economics at National Chengchi University and has passed the national higher civil service examination in land administration. His areas of expertise include real estate economics, construction regulations, and taxation practices. During his tenure, he has provided recommendations at board meetings, clarified the legal compliance of real estate development projects, fulfilled his supervisory role, and assisted the Company in establishing and implementing corporate governance. He possesses the professional knowledge, skills, and overall competencies required for the performance of his duties. Furthermore, both prior to his appointment and throughout his term, he has met the requirements for independence. Accordingly, he is deemed to meet the qualifications for an independent director of the Company.

The diversity aspects, complementarity and implementation of the Company's directors include and exceed the standards set forth in Article 20 of the Corporate Governance Code. In the future, in addition to continuing to strive to increase the proportion of seats of any gender to one-third, the diversity policy will be added in a timely manner according to the operation, operation mode and development needs of the Board of Directors, including but not limited to basic conditions and values, professional knowledge and skills, etc., to ensure that the members of the Board of Directors should generally possess the knowledge, skills and literacy necessary to perform their duties

Explanation of gender diversity and improvement measures on the board of directors

The 12th Board of Directors of the Company has a total of six seats, including one female director, accounting for one-sixth of all directors, but the proportion of seats in either gender is less than one-third. The current status and future plans for gender diversity on the Board of Directors are explained as follows:

Explanation of the reasons for the gender diversity ratio

The company operates in the construction industry, and the nature of its business and talent sources have long been dominated by men, and the degree of female participation is relatively low.

The company's measures to enhance the gender diversity of directors in the future

In line with the trend of corporate governance and implementing the spirit of gender equality, the Company has included gender diversity as one of the considerations for director nomination and has planned the following specific measures:

When the company re-elects directors at the 2025 shareholders' meeting, it will elect a female director, accounting for one-sixth of all directors, and will move towards the goal of one-third of the gender ratio
Continue to discover and cultivate female talents with professional backgrounds and industry experience, and include them in the list of future director candidates to expand opportunities for women to participate in corporate governance
Review and revise the director nomination policies and standards, strengthen the principle of diversity, including gender, age, professional background, and industry experience, etc., to improve the overall operational effectiveness of the board of directors

The Company will continue to review and adjust the composition plan of the Board of Directors on a rolling basis to enhance the overall diversity and decision-making quality of the Board of Directors to strengthen corporate governance and sustainable development.

(2) Independence of the board of directors:

The board of directors of the Company has six directors, including three independent directors, and 50% of them are independent directors. The directors of the Company, Kuan-Cheng Mai and Hsiu-Wei Mai, are relatives within the second degree of kinship, accounting for two seats on the board of directors, which does not exceed half of the seats, which complies with Article 26-3, Paragraph 3 of the Securities and Exchange Act. In addition, the Company has established an audit committee, no supervisors, and the audit committee is composed of all independent directors, so Article 26-3, Paragraph 4 of the Securities and Exchange Act does not apply

March 31, 2026

| conditions
Name | Status of Independence (Note) | | | | | | | | | | | | He also serves as an independent director of other public companies |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
| Kuan-Cheng Mai | ✓ | | | | | | ✓ | ✓ | ✓ | | ✓ | ✓ | 0 |
| Hsiu-Wei Mai | | | | | | | ✓ | ✓ | ✓ | | ✓ | ✓ | 0 |
| Representative of Ding Yang Investment
Tai-Lin Wei | | | ✓ | ✓ | ✓ | | ✓ | ✓ | ✓ | ✓ | ✓ | | 0 |
| Chun-Ming Yu | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | 1 |
| Meng-Han Chuang | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | 1 |
| Shu-Yuan Wu | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | 0 |

Note: If each director meets the following conditions in the two years prior to election and during his tenure, please mark " " in the space below the code of each condition

(1) Employees who are not employees of the company or its affiliates.

(2) Directors or supervisors who are not directors or supervisors of the company or its affiliates (except for independent directors appointed by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).

(3) Natural person shareholders who are not themselves, their spouses, minor children, or those who hold more than 1% of the total issued shares of the company in the name of others or the top 10 shareholders.

(4) Spouse, relatives within the second degree of kinship, or direct blood relatives within the third degree of kinship who are not the managers listed in (1) or (2) or (3).

(5) Directors, supervisors, or employees of corporate shareholders who do not directly hold more than 5% of the total issued shares of the company, hold the top five shares, or appoint a representative to serve as a director or supervisor of the company in accordance with Article 27, Paragraphs 1 or 2 of the Company Act (except for independent directors established by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or local laws and regulations).

(6) Directors, supervisors, or employees of other companies whose directors, subsidiaries, or subsidiaries of the same parent company are not controlled by the same person (except for independent directors appointed by the company or its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).

(7) A director (director), supervisor (supervisor) or employee of another company or institution that is not the same person or spouse as the chairman, general manager, or equivalent position of the company (except for independent directors established by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).

(8) Directors (directors), supervisors (supervisors), managerial officers, or shareholders holding more than 5% of the shares of a specific company or institution that does not have financial or business dealings with the company (except for specific companies or institutions that hold more than 20% of the total issued shares of the company but not more than 50%, and are independent directors appointed by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).

(9) Professionals, sole proprietorships, partnerships, business owners, partners, directors (directors), supervisors (supervisors), managerial officers of companies or institutions who are not professionals who provide audits for companies or affiliates or whose cumulative remuneration does not exceed NT$50 in the past two years or whose cumulative remuneration does not exceed NT$50, and their spouses. However, this does not apply to members of the Remuneration and Compensation Committee, the Public Tender Offer Review Committee, or the Special Committee for M&A who perform their duties in accordance with the Securities and Exchange Act or the Mergers and Acquisitions Act.

(10) Do not have a spouse or kinship within the second degree of kinship with other directors.

(11) None of the circumstances under Article 30 of the Company Act.

(12) Article 27 of the Company Act stipulates that the government, legal person, or their representative shall be elected.

-12-

(2) General Manager, deputy general manager, assistant manager, and heads of various departments

Unit: shares; March 31, 2026

Job title	National-ity	Name	Gen-der	Electe Date	Shareholding		Shareholding of spouse and minor children		Shareholding in the name of others		Major educations and experiences	Concurrent positions in other companies now	Managerial officers with spouses or relatives with second degree of kinship			Preparation Note
					Number of shares	Share-holding ratio	Number of shares	Share-holding ratio	Number of shares	Share-holding ratio			Title	Name	Relation
General Manager	R.O.C.	Tai-Lin Wei	Male	1/1/2023	418,401	0.12%	0	-	0	-	(Please refer to page 7 of this annual report)	(Please refer to page 7 of this annual report)	None	-	-	None
Associate	R.O.C.	Hsiu-Wei Mai	Male	3/21/2013	6,837,918	1.94%	0	-	0	-	(Please refer to page 6 of this annual report)	(Please refer to page 6 of this annual report)	None	-	-	None
Finance Division Associate	R.O.C.	Yu-Juan Yeh	Female	3/10/2014	0	0%	0	-	0	-	Senior manager of Sunty Construction Enterprise Co., Ltd.Special assistant to the chairman of Hongruyang Biotechnology Co., Ltd.Chief of Finance Division, New Toyo Corporation	Supervisor/legal representative of Hsin Tung Yang Construction Co., Ltd.	None	-	-	None
Engineering Agency Associate	R.O.C.	Shi-Jun Li	Male	12/1/2021	121,000	0.03%	31,952	0.01%	0	-	Graduated from the Department of Architecture of Feng Chia UniversitySenior manager of Sunty Construction Enterprise Co., Ltd.	None	None	-	-	None
Research and Development Office Associate (Note 1).	R.O.C.	Zhe-Ming Xu	Male	8/12/2025	0	0%	0	-	0	-	ArchitectGraduated from the Department of Architecture of Tamkang UniversitySenior manager of the R&D department of Sunty Construction Enterprise Co., Ltd.	None	None	-	-	None

Note: The Company does not have a branch.
Note 1: The Company was approved by the board of directors on August 12, 2025, and Mr. Zhe-Ming Xu was promoted to associate director of the R&D Department.

(3) The chairman and the general manager or equivalent person (chief manager) are the same person, and they are each other's spouses or first-degree relatives: this is not the case.

II. The remuneration paid to directors, general managers, and deputy general managers in the most recent year (2025).

(1) Remuneration of general directors and independent directors

Unit: NT$ thousand; December 31, 2025

Job title	Name	Director's remuneration							A, B, C, and D and the proportion of net profit after tax	Part-time employees receive relevant remuneration									A, B, C, D, E, F and G as a % of the net profits after tax	Receive remuneration from re-invested enterprises or parent companies other than sub-subaries
		Rewards (A)		Retirement pension (B)		Directors' remuneration (C) (Note 1)		Business execution Fee (D)			Salary, bonuses, special expenses, etc. (E)		Retirement pension (F) (Note 2)		Employee compensation (G)
		standards	All companies in the financial report	standards	All companies in the financial report	standards	All companies in the financial report	standards	All companies in the financial report	standards	All companies in the financial report	standards	All companies in the financial report	standards	All companies in the financial report	Company		All companies in the financial report			standards	All companies in the financial report
																Cash Dividends	Stock dividends	Cash Dividends	Stock Dividends
Directors	Kuan-Chen Mai	240	840	0	0	568	793	10	10	818 0.4020%	1,643 0.8074%	5,409	5,409	0	0	0	0	0	0	6,227 3.0608%	7,051 3.4662%	None
	Mai Hsiu-Wei	240	360	0	0	426	650	10	10	676 0.3322%	1,020 0.5017%	2,700	2,700	73	73	400	0	400	0	3,849 1.8918%	4,193 2.0612%	None
	Ding Yang Investment Co., Ltd.	0	0	0	0	369	369	0	0	369 0.1814%	369 0.1814%	0	0	0	0	0	0	0	0	369 0.1814%	369 0.1814%	None
	Tai-Lin Wei, representative of Ding Yang Investment Co., Ltd.	240	360	0	0	0	0	10	10	250 0.1229%	370 0.1819%	4,504	4,504	180	180	500	0	500	0	5,434 2.6711%	5,554 2.7301%	None
Independent Director	Chun-Ming Yu	240	240	0	0	426	426	80	80	746 0.3667%	746 0.3667%	0	0	0	0	0	0	0	0	746 0.3667%	746 0.3667%	None
	Meng-Han Chuang	240	240	0	0	369	369	80	80	689 0.3387%	689 0.3387%	0	0	0	0	0	0	0	0	689 0.3387%	689 0.3387%	None
	Chi-Kuang Huang (Note 3)	100	100	0	0	0	0	44	44	144 0.0708%	144 0.0708%	0	0	0	0	0	0	0	0	144 0.0708%	144 0.0708%	None
	Shu-Yuan Wu (Note 3)	140	140	0	0	157	157	36	36	333 0.1637%	333 0.1637%	0	0	0	0	0	0	0	0	333 0.1637%	333 0.1637%	None
1. The policy, system, standards, and structure of the remuneration payment of independent directors, and the relationship with the amount of remuneration based on factors such as their responsibilities, risks, and time invested: In addition to receiving fixed monthly remuneration, independent directors of the Company shall conduct performance evaluations in accordance with the Company's "Regulations Governing the Evaluation of Directors' Performance", and shall distribute directors' remuneration accordingly based on the Company's operating results and personal performance 2. Remuneration received by directors of the company for providing services to all companies listed in the financial report in the most recent year (e.g., serving as a consultant for the parent company/all companies/invested enterprises that are not employees of the company) in the financial report: NT$0

Note 1: The distribution of directors' remuneration in the most recent year (2025) was approved by the board of directors (3/10/2026).
Note 2: Retirement pension includes the amount of retirement pension expenses and the actual amount of retirement pension paid in the current year.
Note 3: The board of directors of the company's 2025 annual shareholders' meeting was fully re-elected, and after the re-election, Chi-Kuang Huang stepped down as an independent director and Shu-Yuan Wu was appointed as a new independent director.

Remuneration scale table

The remuneration scale of each director of the Company shall be paid	Name of Director
	Total amount of the first four remunerations (A+B+C+D)		Total amount of the first seven remunerations (A+B+C+D+E+F+G)
	Company	All companies in the financial report I	Company	All companies J in the financial report
less than 1,000,000 yuan	Kuan-Chen Mai, Hsiu-Wei Mai, Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Ding Yang Investment Co., Ltd., Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Ding Yang Investment Co., Ltd., Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu
NT$ THOUSAND,000 (inclusive) ~ 2,000,000 (not included).	-	Kuan-Chen Mai, Hsiu-Wei Mai	-	-
NT$2,000,000 (inclusive) ~ 3,500,000 (not included).	-	-	-	-
NT$3,500,000 (inclusive) ~ 5,000,000 (not included).	-	-	Hsiu-Wei Mai	Hsiu-Wei Mai
NT$5,000,000 (inclusive) ~ 10,000,000 (not included).	-	-	Kuan-Chen Mai, Tai-Lin Wei	Kuan-Chen Mai, Tai-Lin Wei
NT$10,000,000 (inclusive) ~ 15,000,000 (not included).	-	-	-	-
NT$15,000,000 (inclusive) ~ 30,000,000 (not included).	-	-	-	-
NT$30,000,000 (inclusive) ~ 50,000,000 (not included).	-	-	-	-
NT$50,000,000 (inclusive) ~ 100,000,000 (not included).	-	-	-	-
NT$100,000,000 or more	-	-	-	-
Total	Kuan-Chen Mai, Hsiu-Wei Mai, Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Kuan-Chen Mai, Hsiu-Wei Mai, Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Kuan-Chen Mai, Hsiu-Wei Mai, Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu	Kuan-Chen Mai, Hsiu-Wei Mai, Ding Yang Investment Co., Ltd., Tai-Lin Wei Chun-Ming Yu, Meng-Han Chuang Chi-kuang Huang, Shu-Yuan Wu

-15-

(2) The remuneration of the general manager and deputy general manager
Unit: NT$ thousand; December 31, 2025

Job title	Name	Salary (A)		Retirement pension (B) (Note 1).		Innate and social expense (C)		Employee compensation (D) (Note 2).				A, B, C, and D and the proportion of net profit after tax		Receive remuneration from reinvested enterprises or parent companies other than subsidiaries
		Company	All companies in the financial report	Company	All companies in the financial report	Company	All companies in the financial report	Company		financial reports All companies		Company	financial reports All companies
								Cash bonus Interest amount	Stock red Interest amount	Cash bonus Interest amount	Stock red Interest amount
General Manager	Tai-Lin Wei	1,862	1,862	180	180	2,642	2,642	500	0	500	0	5,184 2.5482%	5,184 2.5482%	None
Deputy General Manager	Kuang-Wen Hsieh (Note 3).	993	993	61	61	593	593	0	0	0	0	1,647 0.8095%	1,647 0.8095%	None

Note 1: Retirement pension includes the amount of expense of retirement pension, and there is no actual payment to the general manager and deputy general manager retirement pension this year
Note 2: In the most recent year (2025), the board of directors (3/10/2026) resolved to distribute a total of NT$6,946 thousand in employee remuneration.
Note 3: Mr. Kuang-Wen Hsieh was dismissed from his position as Deputy General Manager of the Company on August 12, 2025. The remuneration information provided reflects the period prior to his dismissal.

Remuneration scale table

The remuneration level of each general manager of the company shall be paid	Names of the general manager and deputy general manager
	Company	All Company E in the financial report
less than 1,000,000 yuan	-	-
NT$ THOUSAND,000 (inclusive) ~ 2,000,000 (not included).	Kuang-Wen Hsieh	Kuang-Wen Hsieh
NT$2,000,000 (inclusive) ~ 3,500,000 (not included).	-	-
NT$3,500,000 (inclusive) ~ 5,000,000 (not included).	-	-
NT$5,000,000 (inclusive) ~ 10,000,000 (not included).	Tai-Lin Wei	Tai-Lin Wei
NT$10,000,000 (inclusive) ~ 15,000,000 (not included).	-	-
NT$15,000,000 (inclusive) ~ 30,000,000 (not included).	-	-
NT$30,000,000 (inclusive) ~ 50,000,000 (not included).	-	-
NT$50,000,000 (inclusive) ~ 100,000,000 (not included).	-	-
NT$100,000,000 or more	-	-
Total	Tai-Lin Wei, Kuang-Wen Hsieh	Tai-Lin Wei, Kuang-Wen Hsieh

Name of the managerial officer who distributed employee remuneration and the status of distribution

Unit: NT$ thousand; December 31, 2025

	Job title	Name	Stock amount (None)	Cash amount (None)	Total	The total amount accounts for net profit after tax (%)
The managerial officer	General Manager	Tai-Lin Wei	0	1,850	1,850	0.9094%
	Associate	Hsiu-Wei Mai
	Associate	Yu-Juan Yeh
	Associate	Shi-Jun Li
	Associate	Zhe-Ming Xu

Note: In the most recent year (2025), the board of directors (3/10/2026) resolved to distribute a total employee remuneration of NT$6,946,000.

(3) An analysis of the ratio of the total remuneration paid by the Company and all companies to the Company's directors, general managers, and deputy general managers in the most recent two years to the net profit after tax in individual or individual financial reports.

Unit: NT$ thousand; December 31, 2025

	2025 (individual).		2024(individual).		The number of differences
	Total remuneration	Accounting for net after tax Benefit the proportion	Total remuneration	Ratio of net profit after tax	Total remuneration	The ratio of increase or decrease in the proportion of net profit after tax
Company	19,437	9.5545%	57,250	8.4253%	(37,813)	1.13%
Consolidated statement of all companies	20,727	10.1883%	58,332	8.5844%	(37,605)	1.60%

The net profit after tax for the year decreased compared with last year, and the amount of remuneration for directors and employees also decreased.

The policies, standards, and composition of remuneration, procedures for determining remuneration, and the relationship between remuneration and operating performance and future risks are as follows:

(1). The remuneration of the directors of the Company is in accordance with Article 17 of the Articles of Incorporation, and the remuneration of all directors shall be determined by the board of directors meeting based on the value of their participation and contribution to the company's operations, regardless of whether the operating profit or loss is at the usual level of the industry, and currently includes fixed remuneration, carriage expenses and directors' remuneration. In addition, according to Article 20 of the company's articles of association, if the company has a net profit for the current period, no more than 3% shall be allocated as directors' remuneration. In addition to considering the overall operating performance of the company, the company's individual participation and contribution to the company's operations, such as serving as the chairman or convener of the meeting, participating in the company's daily operations, acting as a joint and several endorsement guarantor due to the company's financing needs, etc., the distribution rate is calculated based on the performance evaluation of the board of directors and members by the board of directors and the board member appraisal form, etc., and if the average total score reaches the standard, the director's remuneration shall be distributed in accordance with the provisions of the company's articles of association.

The Company's remuneration to managers, including salaries, bonuses, employee compensation, etc., is determined based on the position they hold, their responsibilities, and their business performance, taking into account the level of similar positions in the industry. In addition, if the company makes a profit in the current year, it shall allocate not less than 2% and not more than 10% for employee remuneration in ac

cordance with Article 20 of the Company's Articles of Association. The procedure for determining managers' remuneration is based on the manager's performance appraisal table, combined with the scoring results compiled from the strategic indicators of each department, and then distributed according to the employee dividend quota of the manager's compensation plan. If the standard is not met, it will be adjusted according to the ratio after being submitted to the board of directors for discussion by the Remuneration Committee.

Based on the above assessments, the main reason is that the remuneration of directors and related bonuses paid to employees has also decreased due to the decrease in operating income and net profit before tax compared to last year, resulting in an overall decrease of NT$37,813,000 in the remuneration of directors and general managers who hold concurrent positions, and a decrease in the average salary of full-time employees who do not hold supervisory positions.

(3). The review of the payment standards and systems related to the Company's remuneration policy is based on the overall operating conditions of the company, and the payment standards are approved based on the performance achievement rate and contribution to improve the overall organizational team effectiveness of the board of directors and management departments. In addition, the remuneration of the Company's management is competitively reserved in the industry with reference to the remuneration standards of the company's management to retain excellent management talents. The remuneration of managers is paid based on the value of their contribution to the company and operating performance to reduce the correlation of future risks. The performance objectives of the Company's managers are combined with risk control to ensure that possible risks within the scope of their responsibilities can be managed and prevented, and the results of the evaluation are based on actual performance and linked to the relevant human resources and related remuneration policies. The performance of the company's management is reflected in the company's profitability, and the management remuneration is related to the risk control performance.

III. Corporate governance operations

(1) The operation of the board of directors

In the most recent year (2025), the board of directors held 5 meetings, and the attendance of directors according to their tenure is as follows:

Job title	Name	The actual number of seats (at-tendance).	Number of delegated attendances	Practical Attendance rate (%)	Note
Chairman	Kuan-Cheng Mai	5	0	100%	Re-election after re-election
Vice Chairman	Hsiu-Wei Mai	5	0	100%
Director	Ding Yang Investment Co., Ltd. Representative: Tai-Lin Wei	5	0	100%
Independent Director	Chun-Ming Yu	5	0	100%
Independent Director	Meng-Han Chuang	5	0	100%
Independent Director	Chi-Kuang Huang	2	0	100%	He stepped down after being re-elected
Independent Director	Shu-Yuan Wu	3	0	100%	new appointment after re-election
Note: The Company has set up an audit committee, no longer has a supervisor, and the audit committee is composed of all independent directors. Independent directors attending each board meeting in person: 100%

Other matters to be recorded:

If any of the following circumstances occur in the operation of the board of directors, the date, period, content of the proposal, opinions of all independent directors, and the handling of the opinions of the company to independent directors shall be specified.

(1) Matters listed in Article 14-3 of the Securities and Exchange Act: Please refer to page 51 of this annual report.

(2) In addition to the foregoing, other resolutions of the board of directors that are objected to or qualified by independent directors and have a record or written statement: None of these matters.

-18-

Implementation of the director's recusal of the interest proposal

Meeting time	Name of Director	Contents of the motion	The reason for avoiding the interest	Voting status
3/11/2025 11th 14th Board of Directors	Recusal of Direc-tors: Chun-Ming Yu Chi-Kuang Huang Meng-Han Chuang	It is proposed to nominate and review three independent directors of the 12th board of directors of the company.	The content of this proposal involves the interests of independent directors themselves, and independent directors did not participate in the discussion and voting.	After consulting all the ordinary directors present, the chairman passed the bill without objection.
	Recusal of Direc-tors: Kuan-Cheng Mai Hsiu-Wei Mai Tai-Lin Wei	It is proposed to nominate three ordinary directors of the 12th board of directors of the Company.	The content of this proposal involves the interests of the general directors themselves, and the chairman appoints independent director Chun-Ming Yu as the acting chairman, and the general directors did not participate in the discussion and voting.	After consulting with all the independent directors present, the acting chairman passed the bill without objection.
	This case is discussed in stages Chi-Kuang Huang Chun-Ming Yu Meng-Han Chuang Kuan-Cheng Mai Hsiu-Wei Mai Tai-Lin Wei	I would like to present the company's 2024 director remuneration distribution case, and review the reasonableness of director remuneration and director performance evaluation standards.	This case is discussed in stages, and those involving the directors' own interests did not participate in the discussion and voting: 1. General directors discuss the distribution of remuneration for independent directors, and independent directors do not participate in the discussion and voting. 2. Independent directors discuss the distribution of remuneration for general directors, and the chairman appoints independent director Chun-Ming Yu as acting chairman, and ordinary directors do not participate in the discussion and voting.	After consulting with the chairman/acting chairman, all directors did not recuse themselves from attending, and passed the bill without objection.

The board of directors evaluates the implementation status

(1). The company is in accordance with the "Board of Directors Performance Evaluation Regulations" amended on 11/5/2020, and its evaluation procedures are as follows:

Evaluation period	During the assessment	Scope of assessment	Evaluation method	Evaluate the content
It is conducted once a year in the first quarter of each year, and the evaluation of the previous year is conducted.	On February 10, 2026, the performance of the board of directors, functional committees and individual directors was evaluated from January 1 to December 31, 2025.	Board of Directors, individual board members, and functional committees.	1. Board of Directors evaluation	1. The board of directors performance evaluation items include 5 major aspects (45 indicators): participation in the company's operations, improving the quality of board decision-making, board composition and structure, director election and continuing education, and internal control.
			2. Functional committee assessment	2. The performance evaluation items of functional committees include 5 major aspects (22 or 19 indicators): participation in the company's operations, awareness of the responsibilities of functional committees, improvement of the decision-making quality of functional committees, composition and selection of members of functional committees, and internal control
			3. Self-evaluation of board members	3. Directors' self-performance evaluation items include 6 major aspects (23 indicators): mastery of the company's goals

Evaluation period	During the assessment	Scope of assessment	Evaluation method	Evaluate the content
				and tasks, directors' awareness of responsibilities, degree of participation in the company's operations, internal relationship management and communication, directors' professional and continuous education, and internal control

(2). The performance evaluation forms under the Company's "Rules for Performance Evaluation of the Board of Directors" are conducted using a quantitative method across five rating levels: "Excellent," "Good," "Average," "Poor," and "Very Poor." The evaluation period covers the assessment year from January 1 to December 31, and the process must be completed before the end of the first quarter of the following year.

At the company's regular shareholders' meeting on 5/27/2025, a total of 6 directors were elected for the 12th term, and one female director was elected to implement the gender diversity policy. A total of 5 meetings were held in 2025, and the directors attended 100% in person and performed their duties seriously. 100% of the training hours reached more than 6 hours, which shows that the directors continue to enrich their new knowledge and actively maintain their core values and professional advantages.

The company completed the performance evaluation of the board of directors and functional committees in 2025 on 2/10/2026, and the evaluation results exceeded the standards, as explained below, and the board of directors reported the performance evaluation results of the board of directors on 3/10/2026:

(1) The overall Board of Directors performance evaluation yielded 42 "Excellent" ratings, demonstrating that the Board is actively involved in company operations. It effectively fulfills its duties in guiding and supervising corporate strategy, major business activities, and risk management, while establishing sound internal control systems. Item No. 15 (meeting frequency) and Items No. 29 and 33 (board diversity, specifically where neither gender has yet reached the one-third threshold) were rated "Good." With an average target achievement rate of 98.67%, the final evaluation result is classified as "Exceeds Standards."

(2) The individual board member evaluation yielded 22 "Excellent" ratings. Item No. 14 was rated "Good" or "Average" due to some directors holding concurrent positions as directors or supervisors in multiple companies. With an average target achievement rate of 98.98%, the overall evaluation result is classified as "Exceeds Standards." These results shall serve as a key reference for the future selection and appointment of directors.

Evaluation of the goals and implementation of strengthening the functions of the board of directors in the current year and the most recent year

(1). The election of chairman and vice chairman on 5/27/2025 will help strengthen the leadership structure and decision-making efficiency of the board of directors

(2). In order to implement the corporate governance system and strengthen the powers of the board of directors, the company revised the company's "Audit Committee Organizational Regulations" in March 2025 after taking into account the relevant laws and regulations of the competent authority, and continued to review the "Rules of Procedure for Board Meetings", "Rules on the Scope of Responsibilities of Independent Directors" and "Corporate Governance Code of Practice" and other systems to implement and give full play to the functions of the board of directors and establish a good independent director system

(3). Continue to implement the establishment of a board performance evaluation system, director training and further education, strengthen deliberation operations and communication transparency, all of which have achieved the goal. Evaluate and promote the third-party evaluation mechanism for board performance evaluation, expand the functions of professional committees, etc.

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The opinions of independent directors on major board resolutions and the handling of opinions of independent directors by the company

Board date/period	Major proposals	Opinions of independent directors	The company's handling of opinions on independent directors
11/11/2025 12th 3rd time Board meetings	Approved the company's 2026 annual operating plan and budget	Director Zhuang asked questions or suggestions on the following matters, the sales rate and unit price information of the case are suggested to be integrated and expressed in the list, whether the sales of the Sheng Yang Chengguang project are affected by the economy and the shape of the base, the estimated gross profit explanation, the increasing emphasis on corporate CAS, the quality control of construction contracts to companies other than Hsin Tung Yang Construction Company, the cost per square meter of the Sheng Yang International project, the future can select indicator cases to design different from the previous construction project façade, supplemented by night lighting, it is estimated that the new construction projects along the MRT joint opening line will be evaluated in the future, and it is recommended to participate in the National Excellence Construction Award for high-quality construction projects, which will help the company's corporate image	General Manager Wei and Associate Ye answered the matters raised. The case was approved by the chairman after consulting all the directors present, and was approved without objection

(2) The operation of the audit committee

For the professional qualifications of the appointed members of the Audit Committee, please refer to page 8 of this annual report
Audit committee's annual work focus

(1) The main purpose of the operation of the Company's audit committee is to supervise the following matters:

Fair presentation of the company's financial statements.
Appointment (dismissal) and independence of attesting accountants.
Effective implementation of the company's internal controls.
The company complies with relevant laws and rules.
Control of existing or potential risks of the company.

(2) The matters deliberated by the Audit Committee in 2025 mainly include:

Financial statement audit.
Internal control system and related policies and procedures.
Policies and procedures for the acquisition of major assets (including development projects and project contracting).
Annual audit plan.
Qualifications and independence of the attesting accountant.
Appointment, dismissal, or remuneration of the attesting CPA.

3. Audit Committee operation status and performance evaluation

In the most recent year (2025), the audit committee met 4 times, and the attendance of independent directors was as follows:

Job title	Name	Actual attendance	Actual attendance (%)	Note
Independent Director	Chun-Ming Yu	4	100%	Re-election after re-election
	Meng-Han Chuang	4	100%
	Chi-Kuang Huang	2	100%	He stepped down after being re-elected
	Shu-Yuan Wu	2	100%	new appointment after re-election

Other matters to be recorded:

In any of the following circumstances, the date and period of the Audit Committee's meeting, the content of the proposal, the objections, reservations, or material recommendations of independent directors, the results of the Audit Committee's resolutions, and the Company's handling of the Audit Committee's opinions:

(1) For the items listed in Article 14-5 of the Securities and Exchange Act, please refer to page 22 of this annual report.
(2) In addition to the aforementioned matters, other resolutions that have not been approved by the Audit Committee and approved by more than two-thirds of all directors: This is not the case.

Implementation of the independent director's recusal of the proposal of interest: None
Communication between independent directors and internal audit officers and accountants: Please refer to page 24 of this annual report.

Article 14-5 of the Securities and Exchange Act

Date	period	Contents of the motion	Independent directors' objections, reservations, or material recommendations	the results of the resolution and the Company's handling of the Audit Committee's opinions
3/10/2025	2nd session
The 13th	1. The company's 2024 annual business report and annual self-reported financial report.	None	After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
		2. The company's 2024 annual earnings distribution.	None	After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
		3. Amendment of some provisions of the Organizational Regulations of the Company's Audit Committee.	When the directors inquire about the relevance of the total number of articles of the Organization's Articles of Association to the proposed new Articles 8-1, 8-2, and 8, and explain the application of the amendments to the Regulations by inserting "1" and "2" in the new articles or deferring the original articles	Su Chunyan from the Audit Office and Chen Shihui from the Finance Department responded. After the chairman consulted all the members present, it was passed without objection and submitted to the board of directors for discussion
		4. The company's 2024 annual internal control system statement.	Directors Zhuang and Huang asked questions and suggestions on whether government policies affected customer loans and house delivery, whether the delay in the delivery of the house in the Li Sunty case caused breach of contract or customer demands for fines, how the company responded to the impact of labor shortages on the construction schedule, the company's internal control measures taken to delay the construction schedule of the construction plant, the reasons for the lack of work, the types of work shortages, and whether the lack of work continued.	Su Chunyan from the Audit Office and Associate Chef Ye from the Finance Office answered the questions raised. After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion
		5. Appoint a certified public accountant for the audit and certification of the financial statements of the Company's 2025 financial report and the independence and competency assessment of the accountant.	None	After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.

Date	period	Contents of the motion	Independent directors' objections, reservations, or material recommendations	the results of the resolution and the Company's handling of the Audit Committee's opinions
5/7/2025	2nd session 14th	1. The company's consolidated financial quarterly report for the first quarter of 2025.	None	After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
		2. Signed a contract with Hsin Tung Yang Construction Co., Ltd. for the new construction project of "Sunny Dexing East Road Case".	When directors, directors Huang and Zhuang, and the contract is signed, it should be clearly expressed that the starting date of the warranty period (calculated from 12 months after the license is obtained, and there is a difference between the calculation from 12 months after the license is obtained), how to control the risk of project costs, the reasons for the joint contracting of the crystallized glass on the exterior wall and risk control, the date of the approval of this case (May 104), whether the floor impact sound insulation regulations should not apply to this case (implemented in January 110), and the cost reasons and benefits of the sound insulation mat are still added.	Associate Li replied to the matters raised. After the chairman consulted all the members present, it was passed without objection and submitted to the board of directors for discussion
8/12/2025	3rd session 1st time	1. The company's consolidated financial quarterly report for the second quarter of 2025.	Director Zhuang and Director Yu asked questions on the current status of investment in mainland China, the gross profit margin of the current period compared with the same period last year, the source of gross profit in the current period, whether the superficial rights case is still collecting land rent, the phased sales period, etc., and suggested that high-quality cases can participate in the selection of the National Excellence Construction Award.	Associate Vice President Ye and Su Chunyan answered the matters raised. After consulting all the members present, the chairman passed it without objection and submitted it to the board of directors for discussion.
		2. Revise some items of the Company's "Approval Authority Table" and "Operation Hierarchical Authorization Regulations and Schedules".	Director Wu and Director Yu asked questions on whether the amendment was consulted by various units and whether the authorized amount was calculated on a per-time basis.	Su Chunyan replied to the matters raised. After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
11/11/2025	3rd session 2nd time	1. The company's consolidated financial quarterly report for the third quarter of 2025.	None	After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
		2. It is planned to approve the company's 2026 internal audit plan.	Director Zhuang audited whether this case covered financial items, such as sluggish capital allocation, selling prices falling short of expectations, etc.	Su Chunyan replied to the matters raised. After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.
		3. Amendment of the Company's internal control system "Payroll Cycle".	The revised explanation of the director's proposed amendment to the comparison table should include the reference in Explanation 1 of this case.	Su Chunyan replied to the matters raised. After consulting all the members present, the chairman passed the bill without objection and submitted it to the board of directors for discussion.

Audit Committee Performance Evaluation

During the assessment	Evaluation method	Evaluation criteria (content and items).	Evaluate the results	The date of submission to the Board of Directors
January 1 to December 31, 2025	Internal self-evaluation.	The audit committee performance evaluation scale includes 5 major aspects and 22 indicators: participation in the company's operations, awareness of the responsibilities of functional committees, quality of decision-making by functional committees, composition and selection of members of functional committees, and internal control. It is divided into 5 grades and quantitative methods, including "Excellent," "Good," "Average," "Poor," and "Very Poor."	The evaluation results were "excellent" in 22 items, with an average goal achievement rate of 100%, and the evaluation results exceeded the standard	3/10/2026 The 4th meeting of the 12th Board of Directors and the 2nd Audit Committee meeting of the 3rd session

Communication between independent directors and internal audit supervisors and accountants:

The Company's independent directors, internal audit officers, and accountants may directly communicate with each other at any time as needed, and communication channels shall be open.

Independent directors regularly hold audit communication meetings with the company's audit officer after the quarterly regular board meeting, and the audit officer will explain the audit business and audit results and follow-up status to the independent directors. The company's quarterly regular board of directors shall be present at the board of directors.

Independent directors regularly hold CPA communication meetings with the Company's attesting accountants before approving the annual financial report to explain the audit method and scope of financial statements, as well as updates to relevant laws and regulations, and fully discuss with each other. When auditing the annual financial report, the CPA attends the audit committee and fully discusses with each other.

This year's communication meetings are as follows:

Date	way	Communication objects	Major communication matters	Result
3/10/2025	Accountant Communication Meeting Audit Committee	Company Accountant	The accountant explained the scope of audit and key audit matters in the 113th annual financial report.	The CPA explains and exchanges opinions on the issues raised by the independent directors.
3/10/2025	Audit communication meeting	Company Audit supervisor	1. 2024/11-2025/01 Audit work report.
2. 2024 Self-assessment and implementation instructions for the assessment of internal control effectiveness.
3. Report on the impact of recent regulatory amendments on the company.	Explain the issues raised by the independent directors. The independent directors did not make any recommendations at this meeting.
5/7/2025	Audit communication meeting	Company Audit supervisor	1. 2025/02-03 Audit work report.
2. Explanation of endorsement guarantee and fund loan balance declaration information.
3. Explanation of litigation/non-litigation cases and enforcement status.
4. Grassroots employee compliance implementation report.
5. Explanation of the first ESG evaluation aspect indicators.	Explain the issues raised by the independent directors. The independent directors did not make any recommendations at this meeting.

Date	way	Communication objects	Major communication matters	Result
8/12/2025	Audit communica-tion meeting	Company Audit supervisor	1. 2025/4-2025/7 Audit work report. 2. Explanation of litigation and non-litigation cases and enforcement status. 3. Explanation of internal control corrections. 4. The impact of recent regulatory amendments on the company and the company's response. 5. Report on the execution status of related party transactions.	Director Yu reminded that attention should be paid to construction contracting quality control and project cost; the suggestions after the meeting have been forwarded to the head of the engineering office.
11/11/2025	Audit communica-tion meeting	Company Audit supervisor	1. 2025/8-2025/10 Audit work report. 2. 2026 annual audit plan and risk assessment report. 3. IFRS S1 and S2 Phased Integration - Implementation Plan Report. 4. Explanation of internal control corrections. 5. Report on the impact of recent regulatory amendments on the company.	Explain the issues raised by the independent directors. The independent directors did not make any recommendations at this meeting.

(3) The status of corporate governance operations and the reasons for differences from the Code of Practice on Corporate Governance of TWSE/GTSM listed companies

Item	operation situation			and the reasons for the discrepancy with the Code of Practice on Governance of Listed and OTC Listed Companies
	is	Nope	Summary description
1. Has the company established and disclosed a Code of Practice on Corporate Governance in accordance with the "Code of Practice on Corporate Governance for Listed and OTC Listings"?	✓		The Company has established the "Code of Practice on Corporate Governance" approved by the Board of Directors with reference to the "Code of Practice on Corporate Governance of Listed and OTC Listed Companies", which is disclosed on the Company's website and public information observatory.	There are no material differences.
2. The company's shareholding structure and shareholders' equity (1) Does the company have established internal operating procedures to handle shareholder suggestions, doubts, disputes, and litigation matters, and implements them in accordance with the procedures? (2) Does the company have a list of the major shareholders and ultimate controllers of the actual controlling company? (3) Has the company established and implemented risk control and firewall mechanisms with its affiliates? (4) Does the company have internal regulations prohibiting company insiders from using undisclosed information in the market to buy and sell securities?	✓		The Company has established internal operating procedures to handle shareholder suggestions, doubts, disputes and litigation matters, and implements them in accordance with the procedures. The Company maintains the list of major shareholders and ultimate controllers of major shareholders based on the register of shareholders provided by the shareholder service agency. The Company has been approved by the Board of Directors to formulate specific financial operation regulations such as the "Financial and Business Regulations for Affiliated Enterprises" and the "Regulations for Transactions with Specific Companies and Group Enterprises" to regulate transactions with affiliated companies. The Company has been approved by the Board of Directors to formulate the "Ethical Management Operating Procedures and Conduct Guidelines", which prohibits company insiders from using undisclosed information in the market to buy and sell securities.	There are no material differences. There are no material differences. There are no material differences. There are no material differences.

Item	operation situation			and the reasons for the discrepancy with the Code of Practice on Governance of Listed and OTC Listed Companies
	is	Nope	Summary description
3. The composition and responsibilities of the board of directors

(1) Has the Board of Directors formulated diversity policies, specific management objectives and implemented them regarding the composition of the members?

(2) In addition to the remuneration committee and audit committee established by law, does the company voluntarily set up other functional committees?

(3) Does the company establish regulations for the performance evaluation of the board of directors and its evaluation methods, conduct annual and regular performance evaluations, and submit the results of the performance evaluation to the board of directors, and use them as a reference for the remuneration of individual directors and the nomination for re-election?

(4) Does the company regularly evaluate the independence of attesting accountants? | ☑ | ☑ | For the composition of the Company’s Board of Directors to formulate diversity policies, specific management objectives and implementation, please refer to page 9 of this annual report.

The company currently does not have the need to set up other functional committees.

The Company has established the "Board Performance Evaluation Measures" approved by the Board of Directors, and conducts regular performance evaluations of the Board of Directors every year. Please refer to page 19 of this annual report.

The Board of Directors regularly evaluates the independence of the attesting accountants. Please refer to page 29 of this annual report. | There are no material differences.

is not yet been implemented in accordance with the laws and regulations.

There are no material differences.

There are no material differences. |
| 4. Does the TPEx listed company have appointed an appropriate number of corporate governance personnel and designated a corporate governance officer to be responsible for corporate governance-related affairs (including but not limited to providing directors and supervisors with information required to perform their duties, assisting directors and supervisors in complying with laws and regulations, handling matters related to meetings of the board of directors and shareholders' meetings in accordance with the law, handling company registration and change registration, and preparing minutes of board and shareholders' meetings, etc.)? | ☑ | | The company designated the Finance Department as the part-time unit of the company’s governance, and the board of directors approved the appointment of Ye Yujuan as the company’s governance director on May 5, 110, responsible for corporate governance-related affairs:
1. Handle matters related to meetings of the board of directors and shareholders' meetings in accordance with the law.
2. Prepare minutes of board of directors and shareholders' meetings.
3. Assist directors in taking office and continuing education.
4. Provide information necessary for directors to perform their duties.
5. Assist directors in complying with laws and regulations.
6. Report to the board of directors on the results of its review of whether the qualifications of independent directors at the time of nomination, election, and during their term of office comply with relevant laws and regulations.
7. Handle matters related to changes in directors.
8. Other matters stipulated in the company’s articles of incorporation or contract. | There are no material differences. |
| 5. Has the company established communication channels with stakeholders (including but not limited to shareholders, employees, customers, suppliers, etc.), and set up a stakeholder section on the company’s website to appropriately respond to important corporate social responsibility issues of concern to stakeholders? | ☑ | | The Company’s official website has set up a stakeholder area, which covers employees, customers, shareholders, suppliers, government agencies, communities, and non-profit organizations, all of which have their own communication channels to respond to important issues of concern and disclose their response methods. | There are no material differences. |
| 6. Does the company appoint a professional shareholder affairs agency to handle shareholders' meeting affairs? | ☑ | | The Company appointed Fubon Securities Co., Ltd. to handle the affairs of the shareholders’ meeting. | There are no material differences. |

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Item	operation situation			and the reasons for the discrepancy with the Code of Practice on Governance of Listed and OTC Listed Companies
	is	Nope	Summary description
7. Information disclosure (1) Has the company set up a website to disclose financial, business and corporate governance information?	✓		Company has set up a corporate website to disclose financial and business and corporate governance information.	There are no material differences.
(2) Does the company adopt other methods of information disclosure (such as setting up an English website, designating a dedicated person to be responsible for collecting and disclosing company information, implementing a spokesperson system, placing the company's website during the investor briefing, etc.)?	✓		The company has set up an English website, designated a dedicated person in the finance department to be responsible for the collection and disclosure of company information, and implemented a spokesperson system.	There are no material differences.
(3) Does the company announce and file its annual financial report within two months after the end of the fiscal year, and announces and reports its first, second, and third quarter financial reports and monthly operations before the specified deadline?		✓	The Company shall announce and file its annual financial report within the time limit specified in the Securities and Exchange Act.	Improve in a gradual and incremental manner.
8. Does the company have any other important information that is helpful for understanding the operation of corporate governance?	✓		As follows.	There are no material differences.

Other important information that is helpful for understanding the operation of corporate governance (including but not limited to employee rights, employee care, investor relations, supplier relations, rights of stakeholders, further education for directors and supervisors, implementation of risk management policies and risk measurement standards, implementation of customer policies, and the company's purchase of liability insurance for directors and supervisors, etc.).

1. The status of directors' further education

All directors of the Company completed at least six hours of continuing education courses in 2025, and will continue to arrange to participate in relevant courses every year in the future to improve and implement corporate governance and understand laws and regulations.

Job title	Name	Date of election	Date of further study	Organizer	Course Name	Training hours	Whether it com-plies with the regu-lations
Chairman	Kuan-Cheng Mai	5/27/2025	7/29/2025	Taiwan Institute of Finan-cial Research	Corporate Governance Forum - Seminar on Financial Fraud Prevention and Fair Treatment of Customers	3	Yes
			8/18/2025	Taiwan Institute of Finan-cial Research	Corporate Governance Forum - Money Laundering Prevention, Combating Terrorist Financing Management Trends in the Fi-nancial Industry and Deepening Internal Rating Law Challenges	3
			11/25/2025	Taiwan Institute of Finan-cial Research	Corporate Governance Forum - ESG + AI + Cybersecurity To- wards green technology and sustainable responsibility prac-tices	3
Vice Chairman	Hsiu-Wei Mai		9/26/2025	Taiwan Stock Exchange	2025 Insider Trading Prevention Publicity Conference	3	Yes
			10/31/2025	Taiwan Stock Exchange	2025 insider equity trading legal compliance publicity briefing	3
Representative of the director of the legal per-son	Tai-Lin Wei		9/26/2025	Taiwan Stock Exchange	2025 Insider Trading Prevention Publicity Conference	3	Yes
			10/31/2025	Taiwan Stock Exchange	2025 insider equity trading legal compliance publicity briefing	3
Independent Director	Chun-Ming Yu		9/26/2025	Taiwan Stock Exchange	2025 Insider Trading Prevention Publicity Conference	3	Yes
			10/31/2025	Taiwan Stock Exchange	2025 insider equity trading legal compliance publicity briefing	3
Independent Director	Meng-Han Chuang		9/3/2025	China Corporate Govern- ance Association	The road to sustainable inher- itance and AI application trans- formation	3	Yes
			12/17/2025	China Corporate Govern- ance Association	The impact of Trump tariffs 2.0 on the global economy	3
Independent Director	Shu-Yuan Wu		9/26/2025	Taiwan Stock Exchange	2025 Insider Trading Prevention Publicity Conference	3	Yes
		8/5/2025	National Federation of CPA Associations of the R.O.C.	Small and medium-sized enter- prise financial management consultant training accountant special class	120
		10/31/2025	Taiwan Stock Exchange	2025 insider equity trading legal compliance publicity briefing	3

The directors of the Company uphold the principle of high self-discipline, and may express their opinions and answer questions when the proposals listed by the board of directors involve the interests of the directors themselves or the legal persons they represent, and may not participate in the discussion and voting, and shall not participate in the discussion and voting, and shall not exercise their voting rights on behalf of other directors, please refer to page 19 of this annual report.
The company's purchase of liability insurance for directors

Insured objects	Insurance companies	Sum insured	Insurance period (from to date)
All directors	Mega Property Insurance	NT$1,500	From: November 01, 2024 to November01, 2025
			From: November 01, 2025 to November01, 2026

The Company's procedures for regularly evaluating the independence and competence of attesting accountants

Evaluation date	3/10/2026 The 12th 4th board of directors
During the assessment	2025 Since the fourth quarter of the financial statement certification accountant
	Independence assessment items
---	---

1	is not an employee of the company or its affiliates.
2	is not a director or supervisor of the company or its affiliates. However, this does not apply if the person is an independent director of the company or its parent company or a subsidiary of the com-pany in which the company directly or indirectly holds more than 50% of the voting rights.
3	Natural person shareholders who are not his/her spouse, minor children, or those who hold more than 1% of the total issued shares of the company or the top 10 shareholders in the name of others.
4	Spouse, relatives within the second degree of kinship, or direct blood relatives within the third degree of kinship of persons other than those listed in the preceding three subparagraphs.
5	Directors, supervisors, or employees who do not directly hold more than 5% of the total issued shares of the company, or directors, supervisors, or employees of the top five corporate shareholders holding shares.
6	Directors (directors), supervisors (supervisors), managerial officers, or shareholders holding 5% or more of the shares of a specific company or institution that does not have financial or business deal-ings with the company.
7	Professionals, sole proprietorships, partnerships, business owners, partners, directors (directors), su-pervisors (supervisors), managerial officers, and their spouses who do not provide business, legal, financial, accounting, or other services or consulting to the company or its affiliates.
8	None of the circumstances under Article 30 of the Company Act.
9	whether to obtain a statement of independence issued by a certified public accountant

$\boxtimes$ Whether to obtain AQLs information from the attesting accountant as a reference for evaluating the appointment or reappointment of the attesting accountant.
$\boxtimes$ whether the CPA has not been changed for seven consecutive years, or whether it has been subject to sanctions or circumstances that undermine its independence.

Evaluation results: The accountants listed in the evaluation table are independent and may be employed.

Managers participated in corporate governance-related education and training in the most recent year (2025) and as of the date of publication of the annual report:

March 31, 2026

Job title	Name	Date of election (inauguration).	Organizer	Course Name	further education hours
Associate Also serves as the chief corporate governance officer	Yu-Juan Yeh	3/10/2014 5/5/2021	China Corporate Govern-ance Association	Greenhouse Gas Management Practical Workshop and Sustainable Development Promotion Meeting.	9
			Accounting Research and Development Foundation of the R.O.C.	"Information security" vigilance and risk control practices that listed directors, supervisors, and senior executives should have.	3
			Accounting Research and Development Foundation of the R.O.C.	Analysis of the latest securities and financial tax laws and professional standards.	1
			Accounting Research and Development Foundation of the R.O.C.	Corporate ESG: Environmental, Social, and Governance - Analysis of Relevant Court Cases and Legal Liabilities.	3
			Accounting Research and Development Foundation of the R.O.C.	Analysis of the latest securities and financial tax laws and professional standards.	1

Intellectual property management plan linked to operational objectives and its implementation

(1). Intellectual property management plan

In order to strengthen the company's technological development in the construction industry and maintain the results of the company's efforts, the company efficiently integrates operational goals, R&D directions, and intellectual property strategies to strengthen and maintain the company's competitiveness through intellectual property.

(2). The company's current intellectual property management scope includes trade secrets and trademarks, and there are no copyrights or patents

(2-1) Trade secrets

The purpose of management is to prevent the leakage of the company's trade secrets, to ensure that the company maintains a competitive advantage in operations, and to control trade secret data.

(2-2) Trademarks

Trademark registration is a guarantee of legal status and an intangible asset for the company's sustainable operation. The company's management department personnel are responsible for trademark management and maintaining trademark assets.

(3). Execution status

The implementation status of intellectual property-related matters for this year (2025) is as follows, and it has been reported to the board of directors on March 10, 2026:

Although the company is in the construction industry, it still attaches great importance to the management and protection of intellectual property, covering intangible assets such as trade secrets and trademarks. In terms of trade secrets, we have established a hierarchical management and authority control mechanism for important information such as engineering planning, design drawings, cost estimates, contract content, and customer information. In addition to stipulating confidentiality clauses in employment contracts and signing confidentiality commitments, we also enhance employees' awareness of confidentiality through education and training and internal advocacy. In terms of trademarks, we regularly review registration and usage to ensure brand rights and market recognition.

In 2025, we continued to strengthen employee trade secret publicity and education and training, explaining that design drawings, engineering planning data, cost budgets, contract content, and customer information are important company assets and should be properly kept and used in accordance with the law. In addition to stipulating confidentiality clauses in the employment contract, it is also required to sign a confidentiality commitment to implement permission hierarchy and document access control to strengthen information security management. In 2025, there were no major infringement or leakage disputes, and the overall implementation of intellectual property and trade secret management was good.

(3-1) The management department is responsible for managing trademark application and maintenance business, and entrusts a professional trademark firm to handle the company's trademark registration, extension and other application procedures. At present, the company's Chinese and English trademarks and logos are registered for six items, and the latest exclusive period ranges from March 31, 2027.

(3-2) During the probationary period, new employees sign the "Employee Probationary Consent Form", stating that if there is any infringement of the company's intellectual property rights during the probationary period, resulting in the loss of property or reputation of the company, they are willing to be subject to appropriate legal punishment.

(3-3) Continue to conduct internal publicity through the Company's Employee Day to strengthen the awareness of the Company's employees on intellectual property, and regularly promote the importance of intellectual property management on the Company's Day every year.

Date	hours	Number of participants
2026/2/06	0.5 hours	64 (79.0%)
2025/1/22	0.5 hours	65 (85.5%)

Please explain the progress of improvements in the corporate governance evaluation results released by the Corporate Governance Center of the Taiwan Stock Exchange Corporation in the most recent year, and propose priority enhancement items and measures for those that have not yet improved.

The Company has reviewed the latest Corporate Governance Evaluation results released by the Corporate Governance Center of the Taiwan Stock Exchange Corporation. The Company was ranked within the 51%–65% tier among listed companies. For indicators that have been implemented in practice but were not sufficiently disclosed in the annual report or on the Company's website—resulting in no score being awarded in the evaluation—these will be prioritized for improvement in the following year, with a focus on enhancing the completeness and timeliness of information disclosure.

In addition, as the evaluation results indicate that the Company's performance in the sustainability dimension is relatively weaker, this area will be designated as a key focus for future improvement. The Company will progressively strengthen the establishment of relevant systems and the effectiveness of their implementation. For other indicators requiring improvement, the Company will take into account its current operational conditions and, with the enhancement of shareholder rights and interests as a core principle, will continue to promote improvements in compliance with applicable regulations, while considering necessity and cost-effectiveness.

Furthermore, in response to the adjustment of the Corporate Governance Evaluation system to an ESG evaluation framework starting from 2026, the Company will proactively adapt to the changes in the evaluation structure by strengthening the integrated management and information disclosure across environmental (E), social (S), and governance (G) aspects, in order to enhance its overall sustainable performance.

(4) The composition and operation of the remuneration committee

Information on the members of the remuneration committee

March 31, 2026

| By identity | conditions
Name | Professional Qualifications
and Experience | Independence (Note) | | | | | | | | | | He also serves, as a member of the remuneration committee of other public companies |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| | | | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | |
| Independent Director
Convenor | Chun-Ming Yu | Please refer to
Page 8 of this annual report | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | 1 |
| Independent Director | Meng-Han Chuang | | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | 1 |
| Independent Director | Shu-Yuan Wu | | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | ☑ | 0 |

Note: If each member meets the following conditions in the two years before election and during his or her tenure, please mark “” in the space below the code of each condition.

(1) Employees who are not employees of the company or its affiliates.
(2) Directors or supervisors who are not directors or supervisors of the company or its affiliates (except for independent directors appointed by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).
(3) Natural person shareholders who are not themselves, their spouses, minor children, or those who hold more than 1% of the total issued shares of the company in the name of others or the top 10 shareholders.
(4) Spouse, relatives within the second degree of kinship, or direct blood relatives within the third degree of kinship who are not the managers listed in (1) or (2) or (3).
(5) Directors, supervisors, or employees of corporate shareholders who do not directly hold more than 5% of the total issued shares of the company, hold the top five shares, or appoint a representative to serve as a director or supervisor of the company in accordance with Article 27, Paragraphs 1 or 2 of the Company Act (except for independent directors established by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or local laws and regulations).
(6) Directors, supervisors, or employees of other companies whose directors, subsidiaries, or subsidiaries of the same parent company are not controlled by the same person (except for independent directors appointed by the company or its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).
(7) A director (director), supervisor (supervisor) or employee of another company or institution that is not the same person or spouse as the chairman, general manager, or equivalent position of the company (except for independent directors established by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).
(8) Directors (directors), supervisors (supervisors), managerial officers, or shareholders holding more than 5% of the shares of a specific company or institution that does not have financial or business dealings with the company (except for specific companies or institutions that hold more than 20% of the total issued shares of the company but not more than 50%, and are independent directors appointed by the company and its parent company, subsidiary, or subsidiary of the same parent company in accordance with this Act or the laws and regulations of the local country).
(9) Professionals, sole proprietorships, partnerships, business owners, partners, directors (directors), supervisors (supervisors), managerial officers of companies or institutions who are not professionals who provide audits for companies or affiliates or whose cumulative remuneration does not exceed NT$50 in the past two years or whose cumulative remuneration does not exceed NT$50, and their spouses. However, this does not apply to members of the Remuneration and Compensation Committee, the Public Tender Offer Review Committee, or the Special Committee for M&A who perform their duties in accordance with the Securities and Exchange Act or the Mergers and Acquisitions Act.
(10) None of the circumstances under Article 30 of the Company Act.

Annual work focus of the remuneration committee

(1) The Company's Remuneration Committee faithfully performs its duties with the care of a good manager and submits its recommendations to the Board of Directors of the Company for discussion.

(2) The Company's Remuneration Committee reviews the policies, systems, standards, and structure of the Company's remuneration, performance evaluation, and remuneration of directors and managers every year. The Committee also reviews the performance evaluation standards of directors in the first quarter of each year, and calculates the remuneration distribution rights of the directors based on the results of individual performance evaluations and submits them to the Board of Directors for approval, and pays directors' remuneration based on the performance evaluation results.

Information on the operation of the remuneration committee

(1). The Company's Remuneration Committee consists of 3 members

(2). The term of office of the current committee members: May 27, 2025 to May 26, 2028, the most recent year (2025) and the remuneration committee meeting 5 times (A) as of the date of publication of the annual report, the qualifications and attendance of the members are as follows:

Job title	Name	Actual attendance Times (B).	Entrusted attendance times	Actual attendance (%) (B/A)	Note
Convenor	Chun-Ming Yu	5	0	100%	Re-election after re-election
Member	Meng-Han Chuang	5	0	100%
Member	Chi-Kuang Huang	2	0	100%	stepped down after being re-elected
Member	Shu-Yuan Wu	3	0	100%	new appointment after re-election
Other matters to be recorded:
1. If the board of directors does not adopt or amend the recommendations of the remuneration committee, it shall specify the date, period, content of the resolution, the results of the board resolution, and the company's handling of the remuneration committee's opinions (if the remuneration approved by the board of directors is better than the remuneration committee's recommendation, the circumstances and reasons for the discrepancy shall be stated): this is not the case
2. If a member has objections or reservations and has a record or written statement on the resolution of the Remuneration Committee, the date, period, content of the resolution, opinions of all members, and the handling of members' opinions shall be specified.

(3). The contents of the proceedings and resolutions of the most recent year (2025) and as of the date of publication of the annual report

Date	session	Agenda content	Resolution result
1/17/2025	The 8th of the 5th session	1. Review of manager performance appraisal and year-end bonuses, performance bonus distribution principles, and remuneration policies.	After the chairman consulted all the members present, the case was passed without objection and submitted to the board of directors for discussion.
3/10/2025	The 9th of the 5th session	1. The committee's 2024 performance evaluation report.
2. 2024 Employee remuneration and director remuneration distribution.
3. 2024 Directors' Remuneration Distribution Case, and review the reasonableness of directors' remuneration and director performance evaluation standards.

Compensation Committee performance evaluation

During the assessment	Evaluation method	Evaluation criteria (content and items).	Evaluate the results	The date of submission to the Board of Directors
January 1 to December 31, 2025	Internal self-evaluation	The Compensation Committee Performance Evaluation Scale includes 5 major aspects and 19 indicators: participation in the company's operations, awareness of the responsibilities of the functional committee, quality of decision-making by the functional committee, composition and selection of members of the functional committee, and internal control.It is divided into 5 grades and quantitative methods, including "Excellent," "Good," "Average," "Poor," and "Very Poor."	The evaluation results were "excellent" for 19 items, with an average goal achievement rate of 100%, and the evaluation results exceeded the standard.	3/10/2026 The 4th meeting of the 12th Board of Directors and the 3nd remuneration committee meeting of the 6rd session.

The Company does not have a nomination committee.

(5) The implementation of sustainable development promotion and the differences between the Code of Practice on Sustainable Development and the reasons for the differences with the Sustainable Development Code of Practice of TWSE/GTSM listed companies.

Promote the project	State of operation			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
	Yes	No	Summary description
1. Has the company established a governance structure to promote sustainable development, and set up a full-time (part-time) unit to promote sustainable development, which the board of directors authorizes senior management to handle, and the board of directors supervises it?	✓		1. Based on the concept of "taking from society and using it for society", the company regards sustainable development as one of the company's core values; In order to fulfill sustainable development and promote the balance and sustainable development of the economy, society, and environmental ecology, the company adopted the "Code of Practice for Sustainable Development of OTC and OTC Listed Companies" and relevant laws and regulations, and approved the company's sustainable development practice at the 3rd meeting of the 11th board of directors on November 8, 2022. The general manager signed the sustainable development statement and policy to demonstrate the company's commitment and determination to implement sustainable development and the compliance with related operations.	There are no material differences.

Promote the project	State of operation			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
	Yes	No	Summary description
			2. In order to promote and implement sustainable development management, the company established the "ESG Sustainability Task Force" to promote sustainable development in accordance with Article 7 of the "Code of Practice for Sustainable Development", and the board of directors authorized the general manager and the head of the management department to be responsible for project execution and control. The main task of the "ESG Sustainability Task Force" is to propose specific promotion plans and implementation based on the company's sustainable development policy; The members of the team are composed of representatives from various departments, including the Environmental Sustainability Group, the Corporate Governance Group, and the Social Participation Group, to operate issues of concern to different stakeholders and collaborate with departments to participate in ESG-related business planning, promotion, and implementation. In addition to reporting on the operation plan and implementation status at the company's executive meeting every month, the ESG supervisor regularly explains ESG-related strategies and implementation results to all colleagues at the company's employee day every six months, and the most recent annual employee day is February 6, 2026 and January 22, 2025. The ESG operation status of the 2025 has been reported to the board of directors on March 10, 2026, integrating sustainable development into the business strategy of the construction industry, and deepening long-term cultivation and moving towards sustainable development in a purposeful, systematic, and organized manner.3. The board of directors shall supervise sustainable development in accordance with the following principles: implementing corporate governance, safeguarding social welfare, developing a sustainable environment, and strengthening the disclosure of sustainable development information.
2. Does the company conduct risk assessments on environmental, social, and corporate governance issues related to the company's operations in accordance with the principle of materiality, and formulate relevant risk management policies or strategies?	✓		1. This disclosure information covers the company's sustainable development performance from January to December 2025. The risk assessment boundary is mainly based on the company. The company was approved by the board of directors on November 8, 2022 to formulate the company's "Sustainable Development Code of Practice" and "Risk Management Policies and Procedures", and the audit committee supervises risk management. The implementation of risk management in 2025 was reported to the board of directors on March 10, 2026.2. Analyze material ESG issues based on the materiality principle of the sustainability report, and evaluate material ESG issues based on the steps of identifying stakeholders, collecting sustainability issues, analyzing stakeholder concerns, analyzing operational impacts, and deciding to disclose material thematic matters.3. In accordance with the principle of materiality, 12 material issues related to the company's operations, including environmental, social, or corporate governance, are as follows:	There are no material differences.
			1. The ESG team is responsible for the ESG implementation of the ESG system in 2025. The ESG team is responsible for the implementation of the ESG system in 2024. The ESG team is responsible for the implementation of the ESG system in 2023. The ESG team is responsible for the implementation of the ESG system in 2022. The ESG team is responsible for the implementation of the ESG system in 2021. The ESG team is responsible for the implementation of the ESG system in 2020. The ESG team is responsible for the implementation of the ESG system in 2021. The ESG team is responsible for the implementation of the ESG system in 2022.
3. Is the company's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's ESG's E			1. The ESG team is responsible for the ESG implementation of the ESG system in 2025. The ESG team is responsible for the implementation of the ESG system in 2025. The ESG team is responsible for the implementation of the ESG system in 2024. The ESG team is responsible for the implementation of the ESG system in 2023. The ESG team is responsible for the implementation of the ESG system in 2022. The ESG team is responsible for the implementation of the ESG system in 2023.	There are no material differences.

Promote the project	State of operation	Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
Yes	No	Summary description

Corporate governance	Increase credit ratings and market value, in line with regulatory requirements and social expectations.
Operating performance	Reflect competitive advantages and growth potential, measuring sustainability and social contributions.
Integrity management	Ethical management is the cornerstone of building a good reputation, helping to build lasting customer relationships, improve competitiveness and reduce legal risks.
Land development	Create more development opportunities and profit margins while promoting regional development and contributions to social well-being.
Product quality	Important factors that affect competitiveness, reputation, and profitability, and protect customer rights and safety.
Green building	Green buildings focus on environmental protection, energy conservation, and health, and promoting green buildings helps companies achieve their sustainable development goals in three major aspects: economic, social, and environmental.
Service quality	Increase customer loyalty and reputation, establish the foundation of long-term cooperative relationships with customers, and continue product value and functionality through sales and services
Vendor management	Ways to ensure project quality and schedule, reducing costs and risks.
Talent cultivation	Strategies to enhance employees' workplace competitiveness and sustainable employment capabilities, and attract and retain outstanding talents.
Compensation and benefits	Motivate employees to work and efficiency, reflecting the company's care and respect for employees.
Occupational safety and health	Comply with regulations and standards, take necessary measures to reduce workplace risk factors, and improve employee physical and mental health and comfort.
Energy conservation and carbon reduction	Respond to the international community's concerns and actions on climate change, creating green business opportunities and cost-saving methods.
3. Environmental issues(1) Has the company established an appropriate environmental management system based on the characteristics of its industry?	✓
(2) Is the company committed to improving the efficiency of energy source use and using recycled materials with low impact on the environment?	✓

Promote the project	State of operation	Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
Yes	No	Summary description

(3) Does the company assess the potential risks and opportunities of climate change to the company now and in the future, and take relevant counter-measures?	✓
(4) Does the company count greenhouse gas emissions, water consumption, and total waste weight in the past two years, and formulate policies for greenhouse gas reduction, water use reduction, or other waste management?	✓
Office electricity consumption statistics
year	2025	2024
Electricity (unit: kWh)	256,117	198,290
Carbon emissions (metric tons of CO2e)	121.3995	93.98
Carbon emission intensity (metric ton CO2e/person)	1.492 (82 people)	1.237 (76 people)
Energy Consumption Gigajoule (GJ)	1,051.67	713.84
Annual growth rate gigajoule (GJ)	47.33%	2.27%
1. The reference source for the coefficient is the annual electricity carbon emission coefficient provided by the Energy Bureau of the Ministry of Economic Affairs Both 2024 and 2025 adopt a factor of 0.474 (unit: kg CO2e per kWh).2.1 kWh is equal to 360 joules, and 1 gigajoule is equal to 1 billion joules.
Water Resource Management:The water used by the company comes from the Taiwan Water Supply Company, and the water is only used for employees' office life, including drinking and cleaning the environment.
Water Usage Statistics
year	2025	2024
degree	1,307	1,239
Million liters (metric tons)	1.31	1.24
Water Density (metric tons/person)	0.016	0.0163
Annual growth rate	6%	6.72%

Promote the project	State of operation	Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
Yes	No	Summary description

General waste statistics
year	2025	2024
Non-recyclable (unit: metric tons)	1.96	1.86
Recyclable (Unit: Metric Ton)	1.23	1.43
1. The waste is calculated based on the actual weighing results of the cleaning personnel on working days, and the total amount of working days in the current year is added.
2. The main items of office recyclable waste are paper, aluminum cans and plastic bottles.

The above information covers the company's offices and does not include subsidiaries. The company has no branches or factories.

Energy Management Plan:
The company promotes energy-saving management policies through green office measures, including gradually replacing LED lighting equipment, setting up power-saving modes for office equipment, installing timer controllers for photocopiers and water dispensers, and promoting paperless and duplex printing to reduce office energy consumption. Through continuous publicity and management measures, we enhance employees' awareness of energy conservation and implementation effectiveness.

In terms of products and construction, the company has introduced green building design concepts in project development, using energy-saving equipment and green building materials to improve building energy efficiency and reduce energy consumption. At the same time, through the optimization of construction methods and the efficient use of resources, energy waste is reduced and overall operational efficiency is improved.

Water Resource Management:
The company promotes water resource management, implements water control and reduces office water consumption by promoting water conservation concepts and daily management measures. And continuously reviews water consumption to improve water resource efficiency.

In terms of engineering and products, during the design and construction of the project, water-saving equipment and water management measures were introduced, water-saving equipment was adopted, rainwater recycling and reuse systems were planned, and recycled water sources were prioritized for landscape irrigation to reduce tap water consumption. At the same time, water flow was optimized through construction management to avoid water waste.

Waste Management Policy:
The company promotes waste reduction and resource reuse policies, and in terms of operation management, it promotes green office measures, including paperless operations, double-sided printing, and paper recycling and reuse to reduce general waste generation. Through classified recycling and publicity, we improve the resource recovery rate and implement waste reduction management.

In terms of engineering and products, we promote waste classification management during the construction process, and reduce waste generation through construction method optimization and building material management. |

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Promote the project	State of operation
	Yes	No	Summary description
			How to take it:
1. All-round savings from electricity, water resources, and paper.
2. Reduce plastic use and waste generation.
3. Prioritize the purchase of environmentally friendly products and choose environmentally friendly places.
4. Beautify the office environment through planting and regular cleaning.
5. Cultivate employees' environmental awareness and promote a green lifestyle.

Objectives:
1. Continue to promote energy conservation and promote green office energy conservation and carbon reduction measures.
2. Organize 1-2 environmentally friendly or ecological protection activities.
3. The water saving rate and the electricity saving rate are 0.5 ‰ each.

Implementation Results:
1. Continue to promote green office work and complete the replacement of LED flat panel lamps in the hope of effectively improving future power saving benefits; in addition, during the maintenance process of the conference room, priority is given to the selection of environmentally friendly building materials.
2. Complete an ecological maintenance activity for Yongchunpi habitat to strengthen environmental protection awareness.
3. This year, electricity, water and waste generation all showed a slight upward trend, mainly due to the increase in the number of personnel of the company, which led to an increase in daily operating activities, including the frequency of office equipment use, lighting and air conditioning demand, as well as domestic water and resource consumption, which led to a slight increase in overall water, electricity and waste output, resulting in the failure to achieve the targets of electricity conservation and water conservation rate.

For specific policies, energy conservation and carbon reduction measures, and goals, please refer to the Company's Sustainability Report. | |
| 4. Social issues
(1) Does the company formulate relevant management policies and procedures in accordance with relevant laws and international human rights conventions? | ✓ | | The Company has formulated the "Human Rights Policy" as the basis for human rights governance approved by the Chairman of the Board of Directors, and is committed to safeguarding basic human rights, complying with the Universal Declaration of Human Rights (UDHR), the United Nations Guiding Principles on Business and Human Rights (UNGPs), the Ten Principles of the United Nations Global Compact, the International Covenant on Economic, Social and Cultural Rights (ICESCR), the OECD Guiding Framework for Multinational Enterprises, and the International Labour Organization's Declaration on Basic Principles and Rights at Work (ILO), and other international human rights standards, and abides by relevant labor laws and regulations of Taiwan, such as the Labor Standards Act, the Occupational Safety and Health Act, the Gender Equality Work Act, and the Personal Data Law, to eliminate any violations and violations of human rights.

The Company has established a human rights governance structure with the board of directors as the highest level, and the "ESG Sustainability Team" has established a cross-departmental human rights working | There are no material differences. |

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Promote the project	State of operation
	Yes	No	Summary description
			group, including corporate sustainability, human resources, information security, customer service, engineering, environmental protection, safety and health, legal affairs, and other functional organizations to systematically and effectively promote human rights management actions. In addition to regularly reporting progress to management, the governance unit also reports on human rights management actions and implementation results to the board of directors every year.
(2) Does the company formulate and implement reasonable employee welfare measures (including salary, vacation and other benefits, etc.), and appropriately reflect its operating performance or results in employee compensation?	☑		For the employee welfare measures, retirement system, and implementation status provided by the Company, please refer to Labor Relations on page 69 of this annual report.

The Company has established the "Bonus Allocation and Payment Regulations" approved by the chairman of the board of directors to appropriately reflect business performance or results in employee compensation, please refer to page 70 of this annual report. | There are no material differences. |
| (3) Does the company provide a safe and healthy working environment for employees, and regularly implements safety and health education for employees? | ☑ | | The company complies with Taiwan's current occupational safety and health regulations and other applicable safety and health regulations, is committed to creating a high-quality and safe working environment, and strictly requires all employees and all business-related contractors to comply with occupational safety and health regulations. Through the mechanism of full participation, we continue to strengthen the education and training of employees' occupational safety and health awareness, and strengthen the supervision and management of contractors to ensure that they effectively implement occupational safety and health protection measures and related training, so as to reduce occupational safety and health risks and deficiencies, and deeply embed the concept of "safety first" into the corporate culture.

The specific measures are as follows:
1. Occupational safety and health: including occupational safety and health education and training, first aid training courses and fire drills. | There are no material differences. |
| | | | time
Work items | |
| | | | 2025.05.22
2026.03.31

Office safety protection:
Access control and security systems, along with on-site security personnel, are in place at office premises.

During working hours, security personnel are present to manage access control. At night and on holidays, a security system is in operation, supported by a security company providing remote monitoring, alert notifications for abnormalities, and alarm deactivation services. For office floors without a reception desk, fingerprint recognition is used to control entry, effectively safeguarding the workplace and ensuring the personal safety of employees and visitors. | |

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Promote the project	State of operation			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
	Yes	No	Summary description
			3. Employee health and care: employee health check-ups, employee group medical insurance, employee cafeterias, etc.
4. Please refer to page 71 of this annual report for working environmental protection measures and related measures.
There have been no employee occupational accidents in the most recent year.
There have been no fires in recent years.
(4) Does the company establish an effective career development training program for employees?	✓		In order to strengthen the cultivation of diversified development and product positioning talents, improve the efficiency of organizational operation and communication, introduce pioneering elements, and shape a culture of value innovation, internal education and training plans are formulated and released every year. Professional courses for each function are mainly focused on cultivating market development, product positioning, and high-performance product discussions. At the same time, according to the needs of individual differences, we actively strengthen the professional and management skills required by personnel in their work, establish personalized learning, training, and ability development for employees, and combine them with job promotion.
Encourage employees to learn for life and continue to improve, providing various professional training in addition to internal learning courses, and also encouraging employees to actively participate in external learning and training.
Provide credit subsidies for employees studying in graduate schools, as well as education and training subsidies for employees who study computer science and foreign languages, as resources for employees to learn and grow independently	There are no material differences.
(5) Does the company comply with relevant laws and international standards, and formulate relevant policies and complaint procedures to protect the rights and interests of consumers or customers on issues such as customer health and safety, customer privacy, marketing, and labeling of products and services?	✓		The company has set up an after-sales service department and a customer service hotline to formulate relevant consumer rights protection policies and complaint procedures for each operation process.	There are no material differences.
(6) Does the company have established a supplier management policy that requires suppliers to comply with relevant regulations on issues such as environmental protection, occupational safety and health, or labor rights, and their implementation?	✓		In order to promote third-party suppliers to understand the spirit of social responsibility and cooperate with the company's social responsibility management activities, in order to achieve a green and sustainable social responsibility supply chain, the "Social Responsibility Supplier Management Procedures" have been established. Major suppliers are required to sign a social responsibility commitment statement when signing a contract to understand the supplier's implementation of corporate social responsibility by providing education and training or publicity.
Visits are conducted annually to important suppliers, and the results of the visits are recorded and the "Supplier Social Responsibility Risk Assessment and Assessment Review Form" (including labor human rights, health and safety, environmental protection, and ethics) is completed for assessment to confirm the company's corporate social responsibility implementation status.	There are no material differences.

Promote the project	State of operation			Deviations from the Sustainable Development Best Practice Principles for TWSE/TPEs Listed Companies and the Reasons
	Yes	No	Summary description
			Implementation situation:
In 2025, a total of 16 contracted suppliers for the year met the criteria for major suppliers, and all of them have signed the “Supplier Social Responsibility Policy Statement,” in compliance with Sunny Friend Development’s supplier social responsibility policy.
In 2025, six suppliers that had been contracted but not yet completed, and that met the criteria for significant supplier social responsibility risk assessment, were selected for evaluation; all were assessed by the relevant units as excellent suppliers.
In 2025, no human rights violations were reported, reported, and investigated.
5. Does the company refer to internationally accepted report preparation standards or guidelines to prepare sustainability reports and other reports that disclose the company’s non-financial information? Has the aforementioned report obtained the assurance or assurance opinion of a third-party verification unit?	☑		The Company prepares a sustainability report in accordance with the "Regulations Governing the Preparation and Filing of Sustainability Reports by Listed Companies" and approved by the Board of Directors. The report information also echoes domestic and international standards such as the United Nations Sustainable Development Goals (SDGs). In the future, it will stipulate the assurance of third-party certification units for sustainability reports.	There are no material differences.
6. If the company has its own sustainability code in accordance with the "Code of Practice on Sustainable Development of Listed and OTC Listed Companies", please describe the differences between its operation and the established code:
The company was approved by the board of directors on November 8, 2022 to formulate the company’s "Code of Practice for Sustainable Development", and abolished the original "Code of Practice for Corporate Social Responsibility", in accordance with the regulations of the "Code of Practice for Sustainable Development of Listed and OTC Listed Companies", which is not materially different from the Sustainable Development Code of Practice of Listed and OTC Listed Companies.

Other important information that is helpful for understanding the implementation of sustainable development:

(1) The systems and measures adopted by the Company for environmental protection, community participation, social contribution, and social responsibility activities, as well as their implementation.

High-performance housing: With healthy housing that takes into account sunlight, air and water, universal design considerations suitable for all ages, and reducing the impact on the global environment and energy consumption, it is expected to lead the development trend of future housing.
After-sales service: In addition to strict checks in the planning, design and construction process, we have also set up an after-sales service department to serve customers professionally and full-time, and practice the social responsibility of builders while operating the brand.
Employee care: Creating a stable and high-quality working environment, continuously cultivating and developing talents, and continuously providing an environment for learning and growth, so that employees' personal protection and opportunities can be satisfied in the organization and society, is the company's consistent belief to employees.

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Social participation and feedback: Insist on taking from the society and using it for the society, and by participating in social welfare activities, we are committed to cultivating the next generation, managing the community's humanities and caring for the environment. Giving a dedication to the land where the company takes root is the original intention and aspiration of the company. Based on the company's persistence in the construction industry and the cultivation of architectural talents, the company holds the campus real estate investment brick award event every year. Build the Sunty Cultural Center - a high-performance experience center, appealing for "permanent residence, energy saving, universality, and health". At the same time, we continue to sponsor public welfare organizations every year, or sponsor the graduation exhibition of architecture-related departments in colleges and universities through corporate donations.

In addition, Sheng Yang hopes to promote this intention to the campus that nurtures architectural talents, hoping to promote the built environment together, so it has continued to hold the Sun Sun Construction Investment Brick Award every year since 95. In 2025, entering its 17th session, it can continue to assist the school curriculum to connect with the industry, work with the school to cultivate industry talents, and through the holding of workshops, it can help students have a deeper understanding of the actual work of the industry, improve the overall quality of students, and provide integrated training opportunities for future society. At the same time, we continue to support architectural professional or life aesthetics activities through sponsorship, such as sponsoring the graduation exhibition of the Department of Architecture and the Institute of Construction Research of the university.

In addition, we also give full play to the power of local management of the enterprise, carefully arrange to invite aesthetic experts specializing in various fields such as music and health, and combine different themes such as music, floral teaching, and life lectures to hold various aesthetic activities and courses in various communities to give back to the development of community life aesthetics and enhance the sense of community identity. At the same time, cultural development is promoted by sponsoring cultural and artistic activities, such as concerts by bands such as Black Seeds, sponsoring and participating in ADA charity runs, sponsoring concerts and other social welfare activities.

(2) The company's implementation results of the company's excellent and healthy workplaces

Corporate sustainability goals

The company builds healthy and good houses with the business philosophy of "integrity and pragmatism, active innovation, and insistence on quality", and continuously develops exquisite living spaces that combine living safety, energy conservation, environmental protection, and low-carbon health as its corporate sustainability goal. In addition, we pay more attention to the health maintenance of employees, and invest in long-term care and care for employees' health check-ups, diet, medical insurance, and housing to promote employees' physical and mental health and improve their quality of life.

Overview of health activities

Regular employee health check-ups are conducted every year, with liver protection and cancer prevention screening in the first half of the year and full-body health check-ups in the second half of the year, and health concepts and employee health promotion through questionnaires and lectures. The employee cafeteria promotes low-carbon healthy eating, sets up a health management area, and encourages participation in health activities. At the same time, in the post-epidemic era, we continue to strengthen the environment of office and case reception centers, and promote the replacement of physical meetings with video conferences.

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Implementation of Climate-Related Information

project	Execution status
1. Describe the supervision and governance of the board of directors and management on climate-related risks and opportunities.	The Board of Directors oversees the governance of climate-related risks and opportunities, and at the management level, the Company has set up an ESG Sustainability Task Force, with the General Manager serving as the convener, to coordinate and promote the identification, assessment, and management of climate-related risks and opportunities, and incorporate climate issues into the operation and management of each unit through a cross-departmental collaboration mechanism. In addition, the Company has established a "Greenhouse Gas Inventory Team" to promote carbon inventory, data collection, and related management work, ensure the integrity of climate-related data, implement management mechanisms, and support climate risk management and the implementation of carbon reduction strategies. The ESG Sustainability Task Force regularly reports climate-related issues, risk assessment results, and implementation status to the board of directors, enabling the board to grasp changes in climate risks and opportunities, and conduct strategic guidance and decision-making.
2. Describe how the identified climate risks and opportunities affect the company's business, strategy, and finances (short-term, medium-term, and long-term).	Based on the results of climate change risk and opportunity identification, the Company evaluates its impact on operations, strategy, and finance through TCFD scenario analysis, and incorporates it into the Company's risk management and sustainable development strategy.
		Short-term	Medium term	long-term
	Yes business Impact	Rising carbon fee policies and energy prices have increased operating costs, high temperatures and extreme weather affect construction progress and site safety, and increased customer and market demand for green buildings affects product planning and sales strategies.	Building products need to meet low-carbon and energy efficiency standards, supply chains need to cooperate with carbon reduction (building materials, construction plants), and urban renewal and green building market demand continues to increase.	Climate change (flooding, high temperature, water shortage) affects land development and site selection, buildings need to have climate-resilient designs (flood control, heat resistance, water saving), and enterprises must transform to low-carbon building development models.
	Yes Strategy Impact	The introduction of "green building design", "low-carbon building materials", "renewable energy", "smart buildings" and "energy-saving equipment construction methods" and the applicability assessment of cases, the promotion of green office and energy-saving management measures, and the establishment of a greenhouse gas inventory mechanism.	Incorporate short-term applicability assessment items into new project planning and decision-making, and reflect them in project input costs accordingly. At the same time, carbon cost considerations and risk sharing mechanisms are introduced into project and procurement contracts to enhance climate risk response capabilities and overall cost management benefits.	Incorporate "sustainable buildings" into the core operating model, develop climate-resilient buildings and low-carbon building products, incorporate climate risks into investment decisions and land assessments, and establish a long-term net-zero transformation path.
	Yes Finance Impact	The purchase of heatstroke prevention and disaster prevention equipment and maintenance operations will increase operating costs, air conditioning and electricity consumption will increase energy costs, and green building design investment will increase labor costs and consulting costs.	Investing in energy-saving equipment and green building technologies increases capital expenditure, reduces long-term energy expenditures and increases asset value, and green building products have higher premiums and market competitiveness.	The increasing demand for low-carbon and resilient design of building materials may increase development, construction, and maintenance costs. In addition, products with green building and low-carbon advantages can also reduce management and maintenance costs through energy-saving design in the long run, helping to improve the conditions for obtaining funds (such as green financing).

project	Execution status
3. Describe the financial impact of extreme weather events and transition actions.	The Company identifies the financial impact of extreme weather events (such as heavy rainfall, high temperatures, typhoons) and transformation actions (such as carbon fee policies, energy conservation and carbon reduction, and green buildings) as follows: Extreme weather may lead to construction delays, delays in delivery, and equipment loss, increasing repair, manpower, and management costs. Transformation actions increase carbon fees, energy-saving equipment investment, and green building material costs, but can reduce long-term energy expenditures and enhance project value and market competitiveness. Overall, short-term costs rise can help improve operational efficiency and financial resilience in the long run.
4. Describe how the identification, assessment, and management processes of climate risks are integrated into the overall risk management system.	The Board of Directors is responsible for overseeing the governance of climate-related risks and opportunities, and is coordinated and promoted by the ESG Sustainability Task Force. In terms of risk management processes, the Company follows a systematic framework of "risk identification, risk assessment, risk response, and risk monitoring" to regularly identify climate-related physical risks and transition risks, and through internal education and training and workshops, each department evaluates the likelihood and impact of risks, and ranks material risks and opportunities accordingly. In response to the identified material climate risks, the Company has formulated specific response measures and incorporated them into the annual plans and operation management of each unit, including energy conservation and carbon reduction measures, green building design, construction management, and supply chain management, and continued to promote and implement them through the Greenhouse Gas Inventory Team and related control mechanisms. In addition, the Company has established a climate risk monitoring mechanism to regularly track risk changes and the implementation of response measures to ensure that climate risk management is effectively integrated into the overall risk management system of the company, and disclosure and feedback are provided through sustainability reports and internal management.
5. If scenario analysis is used to assess resilience to climate change risks, the scenarios, parameters, assumptions, analysis factors, and key financial impacts used should be described.	The company's resilience assessment in the face of climate change risks is based on the analysis period from 2025 to 2050, focusing on its operating bases in Taiwan. The physical risk is based on the low greenhouse gas emission scenario (SSP1-2.6) and high greenhouse gas emission scenario (SSP5-8.5) published by the United Nations Intergovernmental Panel on Climate Change (IPCC). The analysis shows that the headquarters is at a level 3 moderate risk of flooding. In addition, if the temperature rises by 1°C to 1.6°C in 2050, electricity bills are expected to increase, accompanied by the cost of heatstroke prevention facilities and occupational accident risks on construction sites. Transition risks refer to the IEANZE (net zero) and STEPS (established policy) scenarios. Under the NZE scenario, the carbon price in advanced economies is expected to reach US$250 in 2050, which will dramatically increase the cost of upstream construction raw materials. If we refer to the carbon price of Japan and South Korea (about US$75-105) according to the STEPS scenario, there will still be a certain impact on construction costs. For relevant analysis results, please refer to the Company's 2025 Sustainability Report.
6. If there is a transition plan to manage climate-related risks, explain the content of the plan, and the indicators and goals used to identify and manage physical risks and transition risks.	In response to climate change-related risks, the company promotes green building design and the application of green building materials in terms of transformation plans; at the same time, it introduces energy conservation and carbon reduction measures and green office work to strengthen energy efficiency. In addition, through the optimization of green building design technology and construction methods, environmental impact is reduced, and greenhouse gas inventory and management mechanisms are established to grasp the carbon emission status and serve as the basis for subsequent carbon reduction strategies. In terms of physical risk management, the Company has introduced relevant countermeasures in construction management and architectural design, such as strengthening site safety management, improving building weather-resistant design, and water-saving measures, in response to risks such as high temperatures, heavy rainfall, and extreme weathering, to reduce the impact of climate change on operations. In terms of indicators and targets, the Company has established indicators related to energy use and energy-saving management, continuously promoted power-saving measures and energy efficiency improvements, and grasped emissions through greenhouse gas inventory operations, and gradually planned carbon reduction targets and management mechanisms. At the same time, the application of green buildings and environmentally friendly building materials has been introduced into the operation as important implementation indicators for low-carbon transformation.

project	Execution status
7. If internal carbon pricing is used as a planning tool, the basis for price setting should be explained	The company is not a high-energy-consuming or energy-consuming enterprise, and currently does not use internal carbon pricing operations, and will evaluate the implementation schedule based on actual operational needs and carbon management in the future.
8. If climate-related targets are set, information such as the activities covered, the scope of greenhouse gas emissions, the planning schedule, and the progress of achieving them each year should be explained. If carbon offsets or renewable energy certificates (RECs) are used to achieve relevant goals, the source and quantity of carbon reduction credits or the number of renewable energy certificates (RECs) should be explained	1. For greenhouse gas emission information, please refer to page 45 of this annual report and the Company's 2025 Sustainability Report. 2. The company is not a high-energy-consuming or energy-consuming enterprise, and does not plan to use carbon offsets or renewable energy certificates to achieve climate-related goals at this stage.
9. Greenhouse gas inventory and assurance, reduction targets, strategies, and specific action plans.	Please explain below

1-1 The Company's greenhouse gas inventory and assurance status for the most recent two years

Greenhouse gas emissions (metric tons of CO2e), intensity (metric tons of CO2e/million dollars) and data coverage of the last two years.

1-1-1 Greenhouse gas inventory information

The individual inventory of the parent company has been conducted since 2025
Consolidated financial reports The subsidiary has been audited since 2026.

The Company has established a greenhouse gas inventory mechanism in accordance with the greenhouse gas inventory standards of the Greenhouse Gas Protocol (GHG Protocol) issued by the World Business Sustainability Development (WBCSD) and the World Resources Institute (WRI). Since 2025, the company's individual greenhouse gas emissions have been regularly audited every year, and since 2026, it has also covered consolidated financial reporting subsidiaries to fully grasp the use and emission status of greenhouse gases and verify the effectiveness of reduction actions. The greenhouse gas inventory data for 2025 is a summary of the company's greenhouse gas emissions in accordance with the Operation Control Act, which is explained as follows:

		2025		2024
		Emissions (tCO2e)	Intensity (Ton CO2e/Turnover NT$million)	Emissions (tCO2e)	Intensity (Ton CO2e/Turnover NT$million)
Company	Category 1 Direct greenhouse gas emissions	8.8864	0.1406
	Category 2 Indirect greenhouse gas emissions	121.3995
	Subtotal	130.2859
Consolidated financial reporting for all subsidiaries	Category 1 Direct greenhouse gas emissions	ON
	Category 2 Indirect greenhouse gas emissions	ON
	Subtotal	ON
Total		130.2859	0.1406

Note 1: Direct emissions (Scope 1, i.e., emissions directly from sources owned or controlled by the company) and indirect energy emissions (Scope 2, indirect greenhouse gas emissions from imported electricity, heat, or steam). The Company has not yet compiled statistics on other indirect emissions (Scope 3, i.e., emissions generated by the Company's activities, which are not indirect energy emissions, but from emission sources owned or controlled by other companies).
Note 2: The scope of direct emissions and indirect energy emissions data shall be handled in accordance with the schedule set forth in Article 10, Paragraph 2 of the Regulations Governing Matters to be Recorded in the Annual Reports of Public Companies.

1-1-2 Greenhouse gas assurance information

The company's individuals have been implementing conviction since 2026.
Consolidated financial reporting subsidiaries have been assured since 2027.

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

Greenhouse gas reduction base year and its data, reduction targets

The company completed the inventory in the 2025 using individual financial reports as the boundary, so the base year is 2025, and its Scope 1 and Scope 2 emissions are 8.8728 tons of CO2e and 120.6341 tons of CO2e, respectively, and the total greenhouse gas emissions are 129.5069 metric tons of CO2e. The greenhouse gas emission reduction target is to reduce carbon emissions by more than 0.5% per year.

Greenhouse gas reduction strategies and specific action plans

Please refer to page 38 of this annual report

Office: Implement the reuse of paper, and retain building materials such as cabinets, glass, curtains, and door leaves when relocating the office. Use energy-saving LED lighting, water-saving labels, and energy-saving equipment, and implement the office energy-saving lifestyle movement by turning off lights and setting the air conditioner to 27 degrees.

Product design: Plan green building projects according to the "Green Building Explanation and Evaluation Manual" issued by the Ministry of the Interior, test green buildings through quantitative standards, and successfully apply for green building label certificates (please refer to the company's sustainability report for details).
The company continues to promote the construction of a green office environment, and in the process of optimizing office space, environmentally friendly building materials are introduced for ceiling renewal operations, reducing the impact of operations on the environment and improving the overall quality of the office environment by selecting materials with low environmental impact.

Achievement of reduction targets

The company uses 2025 as the base year, and the relevant reduction results must be compared from the next year, and there is currently no greenhouse gas reduction data available for comparison.

(6) The status of the implementation of ethical management and the reasons for the discrepancy between the Code of Ethical Management and the Code of Ethical Management of the TPEx listed company.

Evaluation items	Operation
	Yes	No	Summary description
1. Formulate ethical management policies and plans
(1) Has the company formulated an ethical management policy approved by the board of directors, and clearly stated the ethical management policies and practices in its regulations and external documents, as well as the commitment of the board of directors and senior management to actively implement the management policy?	☑		1. In 2014, the Company formulated the "Ethical Management Operating Procedures and Conduct Guidelines" with reference to the "Code of Ethical Management for Listed and OTC Listed Companies", which was approved by the board of directors and submitted to the report of the regular shareholders' meeting, and was successively revised in 2015 and 2019 to specifically regulate the matters that the board of directors, management and employees should pay attention to when performing business

Specifying specific practices and preventing dishonest behavior includes, it is prohibited to provide or accept improper benefits, facilitation fees, illegal political donations, and charitable donations or sponsorships in accordance with relevant laws and regulations, internal operating procedures, directors, managers, and other stakeholders regarding the obligations and interests of the board of directors and the avoidance of interests, and trade secrets. | There are no material differences. |
| (2) Has the company established an assessment mechanism for the risk of unethical conduct, regularly analyzes and evaluates business activities with a high risk of unethical conduct within its business scope, and formulates a plan to prevent unethical conduct accordingly, covering at least the preventive measures in Article 7, Paragraph 2 of the "Code of Ethical Management for OTC Listed and OTC Listed Companies"? | ☑ | | 2. The Company has established an internal control system and internal audit system to effectively implement and deter various dishonest behaviors. | There are no material differences. |

Evaluation items	Operation			and the Code of Ethical Management for Listed and OTC Listed Companies Differences and reasons
	Yes	No	Summary description
(3) Does the company have plans to prevent unethical behavior, clearly define operating procedures, behavioral guidelines, and punishment and appeal systems for violations in each plan, implement them, and regularly review and revise the aforementioned plans?	☑		3. The company's business philosophy is integrity, pragmatism, positivity and innovation, and integrity is clearly listed as the top priority.	There are no material differences.
2. Implement ethical management
(1) Does the company evaluate the integrity record of its counterparties and specify the terms of good conduct in the contracts it signs with its counterparties?
(2) Does the company set up a dedicated unit under the board of directors to promote corporate ethical management, and regularly (at least once a year) report to the board of directors on its ethical management policies, plans to prevent unethical behavior, and supervise the implementation of the company's integrity management policies	☑		1. The company conducts credit investigation operations for all suppliers, and discusses the terms of good conduct in the contract according to the content of the transaction.
2. The Company instructs the Chairman's Office to be responsible for assisting the board of directors and management in formulating and supervising the implementation of ethical management policies and prevention plans according to the responsibilities and scope of each unit, ensuring the implementation of the ethical management code, and regularly reporting the implementation of the previous year in the first quarter of each year.

Evaluation mechanism and related actions:
Establish an assessment mechanism for the risk of unethical behavior, include it in the self-assessment of legal compliance, and implement compliance awareness through self-assessment.
The audit unit conducts risk-oriented audits and audits on an annual basis.
The Ethical Management Clause has been incorporated into the management of employee human resources policies.
When dealing with suppliers, evaluate the legality of the parties involved and fully understand the other party's ethical management status and compliance with corporate social responsibility policies. The contract clearly stipulates that both parties will abide by the relevant terms of ethical management and sustainable development, and that any form of corruption and bribery shall not be conducted in business activities. | There are no material differences. |
| (3) Has the company established a conflict of interest prevention policy, provided appropriate channels for statements, and implemented it? | ☑ | | 3. The "Ethical Management Procedures and Conduct Guidelines" and "Code of Ethical Conduct" formulated by the Company cover conflict of interest prevention policies, provide appropriate channels for statements, and implement them. | There are no material differences. |
| (4) Has the company established an effective accounting system and internal control system to implement ethical management, and the internal audit unit has formulated relevant audit plans based on the assessment results of the risk of unethical conduct, and based on the results of the assessment of the risk of unethical conduct, and based on this, has the company audited the compliance with the plan to prevent unethical conduct, or entrusted a certified public accountant to conduct the audit? | ☑ | | 4. The company's established effective accounting system and internal control system, internal auditors regularly audit in accordance with the audit plan, and have implemented ethical management to avoid fraud. | There are no material differences. |

Evaluation items	Operation			and the Code of Ethi- cal Management for Listed and OTC Listed Companies Differences and rea- sons
	Yes	No	Summary description
(5) Does the company regularly conduct internal and external education and training on ethical man- agement?	✓		5. The company regularly holds education and training on em- ployee days, with the theme of "Ethical Management Rules, Op- erating Procedures and Conduct Guidelines", compiling the eth- ical management code and important internal material infor- mation handling regulations, and promoting the matters that em- ployees should pay attention to when performing business through videos and case discussions.	There are no material differences.
3. The operation of the company's whistleblowing system(1) Has the company established a specific reporting and reward system, established channels to facil- itate reporting, and assigned appropriate person- nel to handle the report?	✓		1. The company's website has an external mailbox that can provide whistleblowers to report, and the identity of the whistleblower and the content of the report will be kept confidential. If there is a violation of the regulations on ethical management, the com- pany's internal personnel will sign the report for punishment in accordance with the provisions of the manpower regulations.	There are no material differences.
(2) Does the company establish standard operating procedures for accepting reports, follow-up measures to be taken after the investigation is completed, and related confidentiality mecha- nisms?	✓		2. The Company has established standard operating procedures for the investigation of reported matters and related confidentiality mechanisms.	There are no material differences.
(3) Does the company take measures to protect whis- tleblowers from being improperly dealt with due to reporting?	✓		3. The Company will keep the complainant and the content of the complaint strictly confidential and handle it properly.	There are no material differences.
4. Strengthen information disclosure(1) Does the company disclose the content and effec- tiveness of its ethical management code on its website and public information observatory?	✓		1. The Company has disclosed the content of the Company's Code of Ethical Management on the Company's website and public information observatory.	There are no material differences.
5.If the company has adopted its own ethical corporate management best practice principles based on the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies, please describe any deviations between the principles and their implementation: The Company's Board of Directors has approved the establishment of Procedures for Ethical Management and Guidelines for Conduct, which are in accordance with the "Ethical Corporate Management Best Practice Principles for TWSE/GTSM Listed Companies" to specifically regulate the mat- ters to which the Company's personnel should pay attention when performing business. There is no material difference from the Ethical Corporate Management Best Practice Principles for TWSE/GTSM Listed Companies.
6. Other important information that is helpful for understanding the company's ethical management operations: (e.g., the company's review and revision of its ethical management code, etc.). This year (2025), the implementation of the ethical management policy is as follows, and it has been reported to the board of directors on March 10, 2026. (1) The company's personnel supervisor explains the company's personnel-related rules and ethical management precautions when employees report to the company, and the signed labor contract covers loyalty and diligence obligations, confidentiality obligations, prohibition of part- time work... and other ethical management matters. The contract is properly kept by the company's personnel department. All new employees in 2025 have signed. (2) All directors and managerial officers of the Company have executed undertakings to comply with integrity and confidentiality in business operations. They undertake to perform their duties with the care of a prudent administrator and the duty of loyalty, and in accordance with the principle of good faith. They shall not disclose any material non-public internal information they become aware of to others, nor shall they inquire about or collect undisclosed material internal information of the Company that is unrelated to their duties from any person who pos- sesses such information. In addition, they shall not disclose to others any undisclosed material internal information obtained other than in the course of performing their duties. The Company properly retains the relevant undertakings. All directors elected in the 2025 board re-election and all newly appointed managerial officers have executed such undertakings.

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Evaluation items	Operation			and the Code of Ethical Management for Listed and OTC Listed Companies Differences and reasons
	Yes	No	Summary description

(3) Regularly hold education and training on Employee Day, with the theme of "Ethical Management Rules and Operating Procedures and Conduct Guidelines", compile the Ethical Management Code and important regulations for handling important internal information, and promote the matters that employees should pay attention to when executing business through videos and case discussions.

Date	Curriculum body	hours	Number of participants
2/6/2026	Ethical management code promotion and case sharing	0.5 hours	64 (79.0%)
1/22/2025	Ethical management code promotion and case sharing	0.5 hours	65 (85.5%)

(4) 2025 Cases accepted by reporting channels and non-reporting channels: None. There are no cases related to violations of ethical management under investigation.

(7) Other important information sufficient to enhance understanding of corporate governance operations: None

(8) Implementation status of the internal control system

Internal Control Statement: Please refer to the Public Information Observatory/Material Information Announcement/Announcement/Announcement inquiry
If a CPA is commissioned to conduct a special review of the internal control system, the CPA review report shall be disclosed: this is not the case.

(9) Important resolutions of the shareholders' meeting and the board of directors in the most recent year (2025) and as of the date of publication of the annual report

Annual/Board of Directors (Share-holders) Meeting	Date	Important resolutions
2025 shareholders' meeting	2025.05.27	1. Approval of the 2024 business report and final account book
2. Recognize the 2024 earnings distribution case
3. Approved the amendment of the company's articles of association
4. Comprehensive re-election of the 12th director
5. Approved the lifting of the non-competition restrictions for the 12th director
The 14th meeting of the 11th board of directors	2025.03.10	1. Approved the distribution of employee remuneration and director remuneration in 113
2. Approved the 2024 business report and annual financial statements
3. Approved the 2024 earnings distribution plan
4. Passed the amendment of some provisions of the Articles of Association
5. Approved the full re-election of the 12th board of directors at the regular shareholders' meeting
6. Approved the nomination and review of three independent directors of the 12th board of directors
7. Approved the nomination of three general directors of the 12th board of directors
8. Approved the lifting of the non-competition restrictions of the 12th directors
9. Approved the convening of the 2025 shareholders' meeting, the right of shareholders to propose, and the acceptance period for nominations of director candidates
10. Approved the amendment of some provisions of the Audit Committee's Organizational Regulations
11. Approved the 2024 internal control system statement
12. Approved the appointment of a certified public accountant and certified public accountant for the financial statement audit of the 2025 financial report and the independence assessment of the accountant
13. Approved the 2024 director remuneration distribution plan, and reviewed the reasonableness of director remuneration and director performance evaluation standards
14. Approved the amendment to the application for loan lines with federal commercial banks
15. Approved the loan line application and renewal with First Bank Chengdong Branch
16. Approved the renewal of the loan line with Taishin International Commercial Bank
The 15th meeting of the 11th board of directors	2025.05.07	1. Approved the consolidated financial quarterly report for the first quarter of 2025
2. Approved the signing of the contract for the new construction project of the "Sunny Dexing East Road Project" with Hsin Tung Yang Construction Co., Ltd.
3. Approved the renewal of the loan line between the Company and SinoPac Commercial Bank, Taiwan Small and Medium Enterprise Bank North Sanchong Branch, South China Commercial Bank Tianmu Branch and Shanghai Commercial Savings Bank Savings Bank
The 1st meeting of the 12th Board of Directors	2025.05.27	1. Elect the chairman and vice chairman of the 12th board of directors of the company
2. Appointed members of the Company's Remuneration Committee
The 2nd meeting of the 12th Board of Directors	2025.08.12	1. Approved the consolidated financial quarterly report for the second quarter of 2025
2. Approved the 2024 Sustainability Report
3. Approved the change of the company's deputy general manager
4. Approved the promotion of the company's managers
5. Approved the revision of the Company's "Approval Authority Table" and "Operational Hierarchical Authorization Regulations and Supplementary Tables"
6. Approved the application for a loan line with Mega International Commercial Bank
7. Approved the loan line application with the Bank of Taiwan
8. Approved the loan line application with Taishin International Commercial Bank
9. Approved the loan line renewal with Wang Dao Commercial Bank and Mega International Commercial Bank
The 3rd meeting of the 12th Board of Directors	2025.11.11	1. Approved the consolidated financial quarterly report for the third quarter of 2025
2. Approved the 2026 operation plan and budget
3. Approved the 2026 internal audit plan
4. Approved the revision of the Company's internal control system "Payroll Cycle"

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Annual/Board of Directors (Share-holders) Meeting	Date	Important resolutions
		5. Approved the loan line application between the Company and Shin Kong Commercial Bank Xinsheng South Road Branch6. Approved the renewal of the loan line between the Company and the Zhongxiao Branch of the Cooperative Bank of Commercial Bank, the Federal Commercial Bank and the Mega Bills Finance Company
The 4th meeting of the 12th Board of Directors	2026.03.10	1. Participated in the Taipei City Government's "7 land public urban renewal projects, including Land No. 479, Section 4, Zhongshan Section, Zhongshan District, Taipei City", and expanded the scope of integration after signing the contract2. Approved the signing of the contract for the new construction project of the "Sunty Three Gorges Joint Project" with Hsin Tung Yang Construction Co., Ltd.3. Approved the distribution of employee remuneration and director remuneration in 20254. Approved the 2025 business report and annual financial statements5. Approved the 2025 earnings distribution plan6. Approved the convening of the 2026 shareholders' meeting and the acceptance period of shareholders' proposal rights7. Approved the 2025 internal control system statement8. Approved the appointment of a certified public accountant for the audit and attestation of the financial statements of the 2026 financial report and the independence assessment of the accountant9. Approved the 2025-year director remuneration distribution plan, and reviewed the reasonableness of director remuneration and director performance evaluation standards10. Approved the loan line application between the Company and Mega International Commercial Bank Abroad, Zhongxiao Branch of Cooperative Bank Commercial Bank, Federal Commercial Bank and CTBC Commercial Bank11. Approved the application for loan line between the Company and First Bank Chengdong Branch and Taishin International Commercial Bank

(10) In the most recent year (2025) and as of the date of publication of the annual report, if the directors have different opinions on the important resolutions passed by the board of directors and have a record or written statement, the main content: None of this situation

IV. Information on the professional fees of the attesting CPAs

(1) The amount of audit and non-audit fees paid to the attesting CPA and its firms and affiliates, as well as the content of non-audit services

Unit: NT$ thousand

Name of the accounting firm	Accountant Name	CPA audit period	Audit Public funds	Non-audit public funds	Total
KPMG International	Yi-lian Han Tim Tzang	January 1 to December 31, 2025	2,520	Tax visa 610	3,130

If the CPA firm changes and the audit fees paid in the year of change are less than those paid in the year before the change: this is not the case
Audit expenses decrease by 10% or more compared to the previous year: This is not the case

V. Information on the replacement of CPA (For the last two years and subsequent periods): No such situation.

VI. The Chairman, general manager, or officers in charge of financial or accounting matters of the Company has worked in the firm of the CPA or its affiliated companies within the last year: No such situation.

VII. Any equity transfer or change in equity pledge by a director, supervisor, managerial officer, or shareholder with 10% stake or more during the most recent year (2025) or during the current year up to the date of publication of the annual report.

(I) Changes in shareholdings of directors, managers and major shareholders Please visit the MOPS website for more information.

the shares transfer:

MOPS > Single Company > Single Company > Equity Change/Securities Issuance > Equity Transfer Information Query > Post-Money Report Form for Insider Shareholding Change

https://mops.twse.com.tw/mops/#/web/query6_1

Changes in the shares pledge:

MOPS > Single Company > Single Company > Equity Change/Securities Issuance > Dissolution of Internal Personnel Pledge > Announcement of Dissolution of Internal Personnel Pledge

https://mopsov.twse.com.tw/mops/web/STAMAK03_1

(II) The counterparty to whom the shares are transferred is a related party: No such situation.
(III) The counterparty to whom the shares are pledged is a related party: No such situation.

Information on the relationship between the top 10 shareholders who are related parties, spouses, or relatives within the second degree of kinship
Unit: shares; March 31, 2026

Name	Shareholding by the individual		Shareholding of spouse and minor children		Total sharehold- ing in the name of others		The name of and relationship among the top 10 shareholders if anyone is a related party, a spouse or a relative within second degree of kinship of another		Remarks
	Number of shares	shareholding ratio	Number of shares	share- holding ratio	Num- ber of shares	share- holding ratio	Name	Relation
Cheng Yang Invest- ment Enterprise Co., Ltd.	41,303,941	11.72%	-	-	0	-	Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Hsiu-Wei Mai	6,837,918	1.94%	0	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	Company as a director	None
Shang Yang Invest- ment Co., Ltd.	41,234,312	11.70%	-	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Hsiu-Wei Mai	6,837,918	1.94%	0	-	0	-	(Please refer to page 54 of this annual report)		None

Name	Shareholding by the individual		Shareholding of spouse and minor children		Total shareholding in the name of others		The name of and relationship among the top 10 shareholders if anyone is a related party, a spouse or a relative within second degree of kinship of another		Remarks
	Number of shares	shareholding ratio	Number of shares	share-holding ratio	Num-ber of shares	share-holding ratio	Name	Relation
Hsin Tung Yang Real Estate Agency Co., Ltd.	41,081,767	11.66%	-	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Kuan-Chen Mai	5,037,363	1.43%	2,406,461	0.68%	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	Company as a director	None
Ding Yang Investment Co., Ltd.	40,738,478	11.56%	-	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Hsiu-Ren Mai	7,784,215	2.21%	0	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	Company as a director	None

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Name	Shareholding by the individual		Shareholding of spouse and minor children		Total shareholding in the name of others		The name of and relationship among the top 10 shareholders if anyone is a related party, a spouse or a relative within second degree of kinship of another		Remarks
	Number of shares	shareholding ratio	Number of shares	share-holding ratio	Number of shares	share-holding ratio	Name	Relation
Xing Yang Investment Co., Ltd.	30,856,309	8.76%	-	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Yuan Shang Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Hsiu-Ren Mai	7,784,215	2.21%	0	-	0	-	(Please refer to page 55 of this annual report)		None
Yuan Shang shares Ltd.	27,072,005	7.68%	-	-	0	-	Cheng Yang Investment Enterprise Co., Ltd. Shang Yang Investment Co., Ltd. Hsin Tung Yang Real Estate Agency Co., Ltd. Ding Yang Investment Co., Ltd. Xing Yang Investment Co., Ltd.	share a common director	None
							Hsiu-Ren Mai	Director	None
Representative: Kuan-Cheng Mai	5,037,363	1.43%	2,406,461	0.68%	0	-	(Please refer to page 55 of this annual report)	None	None
Cathay United Bank Custody Co., Ltd.. investment account	23,933,000	6.79%	-	-	-	-	None	None	None
Shi Yang Construction Co., Ltd.	23,300,653	6.61%	-	-	0	-	None	None	None
Representative: Song Xinde	0	0	0	0	0	0	None	None	None
Nian-Bang Qiu	9,377,000	2.66%	-	-	-	-	None	None	None
Hsiu-Ren Mai	7,784,215	2.21%	-	-	0	-	(Please refer to page 55 of this annual report)	Company as a director	None

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The number of shares held by the company, its directors, managerial officers, and enterprises directly or indirectly controlled by the company in the same invested enterprise, and the comprehensive shareholding ratio shall be calculated together

Unit: shares; March 31, 2026

Invest in the capital business (Note)	The company invests		directors, managerial officers, and enterprises that directly or indirectly control the investment		comprehensive investment
	number of shares	shareholding ratio	number of shares	shareholding ratio	number of shares	shareholding ratio
Hsin Tung Yang Construction Co., Ltd.	16,969,970	77.14%	800,607	3.64%	17,770,577	80.78%
Sunty Land Co., Ltd.	120,000	100.00%	0	0.00%	120,000	100.00%
Sunty International Land Co., Ltd.	4,880,000	100.00%	0	0.00%	4,880,000	100.00%

Note: All are subsidiaries of the Company

III. Information on capital raising activities

I. Capital and shares

(1) Source of share capital

Unit: NT$ thousand, thousand shares; March 31, 2026

Year and month	Issued Price	Approved share capital		Paid-in share capital		Remarks
		number of shares	Money	number of shares	Money	The source of the share capital		Assets other than cash are used to offset the share payment	Others
						Cash capital increase	Surplus to capital increase
82.3	10	500	5,000	500	5,000	5,000	0	0	-
91.6	10	25,000	250,000	10,000	100,000	70,000	25,000	0	Letter Jing-Shou-Shang-Zi No. 09101310080
92.6	10	25,000	250,000	14,093	140,930	0	40,930	0	Letter Tai-Cai-Zheng-Yi-Zi No. 092011642
93.7	10	25,000	250,000	18,488	184,880	0	43,950	0	Letter Jing-Guan-Zheng-Yi-Zi No. 0930132053
94.8	10	25,000	250,000	21,861	218,612	0	33,732	0	Letter Jing-Guan-Zheng-Yi-Zi No. 0940123606
95.8	10	25,000	250,000	23,154	231,543	0	12,931	0	Letter Jing-Guan-Zheng-Yi-Zi No. 0950130637
96.11	12	60,000	600,000	83,154	831,543	600,000	0	0	Private placement Letter Jing-Guan-Zheng-Fa-Zi No. 1000017419
101.4	13.8	150,000	1,500,000	123,154	1,231,543	400,000	0	0	Letter Jing-Guan-Zheng-Fa-Zi No. 1000065162
102.3	10	500,000	5,000,000	302,314	3,023,143	0	0	1,791,600 merger and capital increase	Letter Jing-Guan-Zheng-Fa-Zi No. 1010060567
82.12	25	500,000	5,000,000	352,314	3,523,143	500,000	0	0	Letter Jing-Guan-Zheng-Fa-Zi No. 1020044183

March 31, 2026

Shares	Approved share capital			Remarks
	Outstanding shares	unissued shares	Total
General shares	352,314,309 shares	147,685,691 shares	500,000,000 shares	The outstanding shares are Shares of listed companies

Note: The Company does not offer and issue securities through the blanket reporting system.

(2) List of major shareholders
Unit: shares; March 31, 2026

Name of substantial shareholder	Number of shares held	shareholding ratio
Cheng Yang Investment Enterprise Co., Ltd.	41,303,941	11.72%
Shang Yang Investment Co., Ltd.	41,234,312	11.70%
Hsin Tung Yang Real Estate Agency Co., Ltd.	41,081,767	11.66%
Ding Yang Investment Co., Ltd.	40,738,478	11.56%
Xing Yang Investment Co., Ltd.	30,856,309	8.75%
Yuan Shang Co., Ltd.	27,072,005	7.68%
Cathay United Bank Custody Co., Ltd.. investment account	23,933,000	6.79%
Shiyang Construction Co., Ltd.	23,300,653	6.61%
Nian-Bang Qiu	9,377,000	2.66%
Hsiu-Ren Mai	7,784,215	2.21%

Note: If there are fewer than 10 shareholders with a shareholding ratio of 5% or more, the names, amounts, and proportions of shareholders with a shareholding ratio of the top 10 shareholders shall be disclosed.

(3) The Company's dividend policy and implementation status

Dividend policy stipulated in the articles of association:

Article 20-1 of the Company's Articles of Incorporation states, "In order to continuously strengthen its financial structure and improve profitability, the Company adopts a residual dividend policy, retains the required funds, and distributes dividends from the remaining earnings. If there is a net profit for the current period in the company's annual final accounts, it shall first pay taxes to make up for losses, and if there is any remaining balance, 10% shall be set aside as statutory reserve reserve, and special surplus performance shall be set aside in accordance with the regulations of the competent authority. The balance shall be calculated by adding the accumulated undistributed earnings of the previous year and the adjustment of the undistributed earnings of the current year. The Company may determine the most appropriate dividend policy in accordance with its operating strategy and future capital planning, and distribute cash dividends and/or stock dividends, of which cash dividends shall not be less than 10% of the total shareholders' dividends.

Proposed dividend distribution at this shareholders' meeting:

The Company's 2025 earnings distribution proposal was approved by the Board of Directors on March 10, 2026. It is proposed to distribute a cash dividend of NT$0.5 per share to shareholders, with a total payout of NT$176,157,155. The proposal is subject to approval at the 2026 Annual General Meeting of Shareholders.

(4) The impact of the proposed free allotment of shares at this shareholders' meeting on the company's operating performance and earnings per share

The company did not have a free allotment of shares in 2025, so it is not applicable.

(5) Remuneration of employees and directors

The percentage or scope of employee and director remuneration as stipulated in the company's articles of association.

Article 20 of the Company's Articles of Association stipulates that if the company has a net profit for the current period, it shall set aside not less than 2% and not more than 10% for employee remuneration; and not more than 3% for director remuneration. However, if the company still has accumulated losses, it shall reserve the amount to make up for it in advance. Of the amount of employee remuneration mentioned in the preceding paragraph, not less than 10% shall be allocated for the distribution of remuneration to grassroots employees.

The basis for estimating the amount of employee and director remuneration for the current period, the basis for calculating the number of shares of employee remuneration distributed in stocks, and the accounting treatment if the actual distribution amount differs from the estimated amount.

The amount of employee remuneration and directors' remuneration of the Company in 2025 is NT$6,946,000, and the amount of directors' remuneration is NT$2,315,000, which is estimated based on the amount before tax net profit of the Company before deducting the remuneration of employees and directors for each period of the year multiplied by the distribution of employee remuneration and directors' remuneration stipulated in the Articles of Association of the Company, and is reported as the operating cost or operating expense of 2025. If there is a difference between the actual distribution of employee and director remuneration in 2025, and the estimated figure, it will be treated as a change in the accounting estimate, and the difference will be recognized as the profit or loss of 2025.

The board of directors approved the distribution of remuneration

(1) The amount of employee remuneration and director remuneration distributed in cash or stock. If there is a discrepancy from the estimated amount of the recognized expense year, the number of discrepancies, the reasons, and the status of handling shall be disclosed.

Unit: NT$

| Distribution status
Project Description | | Board of Directors
Distribution amount | Year of recognition of expenses
Estimated amount | The number of discrepancies, the reasons, and the handling situation |
| --- | --- | --- | --- | --- |
| Employee compensation | Cash | $6,946,000 | $6,946,000 | No difference |
| | stocks | 0 | 0 | No difference |
| Directors' remuneration | Cash | $2,315,000 | $2,315,000 | No difference |
| | stocks | 0 | 0 | No difference |

(2) The ratio of the amount of employee compensation distributed in stock to the total net profit after tax and total employee compensation reported in the individual or individual financial reports for the current period: N/A

The actual distribution of employee and director remuneration (including the number of shares, amount, and stock price) in the previous year (2024), and any discrepancies between the remuneration of employees and directors recognized and the number of differences, reasons, and handling status shall also be stated.

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Unit: shares; NT$

Distribution status			Actual distribution amount	Recognition Fee Amount	The number of discrepancies, the reasons, and the handling situation
Employee compensation	Cash		$23,086,000	$23,086,000	No difference
	stocks	Number of shares	0 shares	-	No difference
		Amount	0	0
		stock price	-	-
Directors' remuneration	Cash		$9,234,000	$9,234,000	No difference
	stocks	Number of shares	0 shares	-	No difference
		amount	0	0
		stock price	-	-

(6) The company's repurchase of the company's shares: None of this situation

II. Issuance of corporate bonds: No such situation.

III. Issuance of preferred shares: No such situation.

IV. Issuance of global depository receipts: No such situation.

V. Employee stock option plan and employee restricted stock: No such situation.

VI. Issuance of new shares in connection with mergers or acquisitions of shares of other companies: No such situation.

VII. Financing planning and implementation

(I) Planning content

Analysis of previous issues or private placements of marketable securities that have not yet been completed or have been completed within the last three years and the benefits of the plans have not yet been realized: None.

(II) Implementation status: None

IV. An overview of operations

Business content

(1) Business scope

The main content of the business, current product items, and business proportion

Main content of the business	Current product items	2025 amount (NT$thousand).	Operating ratio
Residential and building development business	Income from the sale of real estate	733,666	51.18%
civil engineering and construction engineering contracting industry, etc	Construction income	573,841	40.03%
Residential and building rental and sales business	rental income, etc	125,982	8.79%
Total		1,433,489	100.00%

Note: It is the consolidated operating income of the Company.

New product projects or services planned to be developed

The company will select cases to adopt the high-performance residential design of "permanent residence, environmental protection, universality, and health" to create product differentiation and irreplaceability, and establish the company's brand and popularity.

(2) Industry overview

Industry status and development

In 2025, Taiwan's housing market as a whole showed a significant cooling and structural adjustment. Internally, the central bank continues to adopt selective credit controls and stricter lending conditions, while externally, it faces rising geopolitical risks on both sides of the Taiwan Strait, coupled with uncertain factors in the international political and economic environment such as the pending reciprocal tariff policy of the United States, which has led to a sharp reduction in pre-sales and transaction volume. However, the domestic economy still maintains growth momentum, driven by strong exports and technology orders, which helps support the fundamentals of the real estate market. Looking forward to the future housing market, after the central bank decided to return mortgage control to the autonomous management of banks, there may be signs of easing the tightening of bank mortgages, and the market expects the housing market to continue to maintain a stable but cautious pattern under the adjustment of policy and capital environment. However, the future trend of mortgages and central bank credit control policies, as well as changes in the number of surplus houses for sale by builders, as well as the improvement of the treatment policy for surplus earth and stone in construction, will continue to affect the future performance of the housing market, and it is expected that the housing market will still be in the adjustment stage in the short term. Overall, the housing market still faces challenges such as supply and demand asymmetry, policy control, and capital costs, but with the support of economic fundamentals and the demand for self-occupied houses, the market outlook remains steady.

The correlation between upstream, midstream, and downstream industries

The construction investment industry is known as the locomotive industry, and its upstream industry covers various building materials supply industries, including individuals and companies that buy houses, as well as housing sales companies, book agencies, construction management companies and financial institutions.

The construction company acquires land from the landowner, then applies for loans from financial institutions, and then entrusts architects to plan and construct the construction company, and then sells it through the consignment company or directly with the buyer.

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3. Product development trends and competitive conditions

(1). Development trend

The products launched by real estate must be adjusted in line with each stage of the economic development environment of the market, so the future development trend is to diversify, refine and humanize products, overall planning and design of the community, suburbanization of residential construction, increase in residential safety needs, and the implementation of the building brand system.

(2). Competition

In addition, because customers mainly make rational first-time purchases and house changes, coupled with the significant trend of declining birthrate, they will gradually plan for small and medium-sized square footage products, and the project will be mainly focused on low-total price products. The long-term goal is to consider the rarity of land in the complete block of the greater Taipei area, which will greatly increase the cost of land acquisition and integration, and the difficulty of developing urban areas will increase.

(3) Technology and R&D overview

R&D expenses invested in the most recent year and as of the date of publication of the annual report:

Since the construction industry is not like the general manufacturing industry, especially the high-tech industry, which requires the research and development and design of new products, there has been no expenditure on R&D expenses in the recent year.

Successfully developed technology or product:

Introducing unique SI construction technology, the Skeleton & Infill structure and interior decoration system are separated from each other, and at the same time, a high-performance residential design that adopts "permanent living, environmental protection, universality, and health" is developed to create product differentiation and irreplaceability.

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

1. Short-term business development plan

(1). Considering that customers mainly buy rationally for the first time and change houses, coupled with the significant trend of declining birthrate, they will gradually plan for small and medium-sized square footage products, and the project will focus on low-priced products.
(2). Considering the company's current capital scale, human resource conditions, return on investment and capital turnover efficiency, short-term business development is still mainly based on investment, construction and sale of small and medium-sized cases in the greater Taipei area.

(3). Pay attention to the political and economic situation and changes in the real estate economy, and firmly grasp market information as the basis for product positioning and marketing strategies.
(4). Control the cost and quality of construction cases.
(5). Establish customer service and product after-sales service.

Long-term business development plan

(1). In the face of the increasing difficulty of obtaining land available for construction and development in Taipei City, the Company will adopt a flexible and diversified land development strategy, in addition to evaluating and developing investment targets such as real estate sales or related non-performing debt assets, and actively laying out selected cases of urban renewal projects in the greater Taipei area.
(2). The development scope will be expanded to areas outside of Greater Taipei, and further expand to the densely developed metropolitan area in the central and southern regions.
(3). In addition to improving quality and reducing costs, construction project management will continue to research and adopt high-performance residential design that is "permanently residable, environmentally friendly, universal, and healthy" to increase the company's product competitiveness and establish brand awareness.

Overview of the market and production and sales

(1) Market analysis

Sales area of main products: Mainly engaged in the development and construction of collective housing and real estate sales in the greater Taipei area

Calculate the year	Main case name	Sales region	Note
2025	Sunty Libo	Beitou District, Taipei City	Ready-made house
	Sunty Fulin	Shilin District, Taipei City	Pre-sale
	Sunty Glory Light	Wanhua District, Taipei City	Ready-made house
2026 Expected	Sunty Hui-Cui	Banqiao District, New Taipei City	Pre-sale
	Sunty Li-Ju	Shilin District, Taipei City	Pre-sale
	Sunty Guo-Xu	Zhonghe District, New Taipei City	Pre-sale
	Shidong Road project	Shilin District, Taipei City	Pre-sale
	Sunty International ONE 360	Xinyi District, Taipei City	Ready-made house

Market share

The company's main project locations in 2025 are "Sunty Libo", "Sunty Fulin" and "Sunty Glory Light" in Taipei City, and based on 2025 of Taipei City project volume released by the Taiwan Real Estate Research Center of Cathay Pacific Construction Company, the company's market share is less than 1%.

In addition, due to the regional and immovable nature of real estate, the product planning content is also special, so the competition situation is different from that of general industries, and most of them are competition between each other in the region. The company's main products are residential buildings, and the project locations are mainly in the Greater Taipei area, and its competitors include construction companies with brands in the Greater Taipei area. The company's good architectural brand image is deeply cultivated in the Greater Taipei area, and the customers are all high-quality customers in Taipei City, and due to the rigor of architectural planning and construction quality, it has long been deeply trusted and affirmed by customers, and it has also formed a common phenomenon that customers always follow the company's construction project purchase, and the area where the case is launched can be quite in line with the local prosperity and development trend.

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The future supply and demand situation and growth potential of the market

Although the issuance of building licenses in 2025 remained at a high level, due to the expectation of carbon fees and the double rise in construction materials, the pace of construction after developers applied for construction licenses tended to be cautious. In addition, according to the Cathay Pacific Real Estate Index, the amount of projects pushed by builders in 2025 was affected by the rise in housing prices and continued to climb to historical highs, but the number of saleable units did not increase proportionally compared with the amount of projects, indicating that the scale of a single project has shrunk, and small and medium-sized square meters are the mainstream of market supply, thereby lowering the total price band to cater to the threshold for buying a house.

The demand momentum is affected by the following: 1. Despite the rolling policy revision, the rigid demand of first-time buyers is still market confidence and changes in family structure, and the increase in single households and small families has pushed up the demand for small houses. 2. Local boom driven by the industrial chain, AI industry cluster effect: Affected by the expansion of semiconductors and AI supply chains, residential demand in specific areas (such as around science parks) is much higher than the national average. 3. Inflation expectation psychology, in the context of carbon fee collection and global inflation, asset preservation awareness allows funds to continue to flow into the real estate market as a long-term allocation to fight inflation.

Competitive advantages and development prospects, including favorable and unfavorable factors, and corresponding countermeasures.

(1). The company's competitive advantages

A. Professional management team

Since the launch of the first project, the planning and construction of each building has been the result of careful research and detailed quality requirements, and it is engaged in construction with the mentality of "living in it". In the choice of manufacturers, professionalism and quality are the basic requirements, so we can provide perfect buildings to customers.

B. Forward-looking land development

The company's planning department has a wealth of land information and a sound training system, so the planners have complete knowledge of land administration and legal affairs, and also have good communication and coordination skills and the ability to analyze the development potential of the lot, so they can identify the areas with value-added potential in advance and jointly build and develop with landlords, and also evaluate and develop investment targets such as real estate sales or related non-performing debt assets.

C. Successful product positioning

The company conducts detailed and accurate market research and analysis, launches products that meet market demand, and carries out product blue ocean strategies, introducing unique SI construction technology, Skeleton & Infill structure and interior decoration system adopt separate design, and at the same time develop high-performance residential design that adopts "permanent residence, environmental protection, universality, and health" to create product differentiation and irreplaceability.

(2). Favorable and unfavorable factors in development prospects, and corresponding countermeasures

A. Favorable factors for future development

(a). Real estate has the functions of value preservation and investment

Due to the small and densely populated land in Taiwan, which makes land more rare, coupled with the increasing population and the increase in land demand, it is becoming more and more difficult to obtain land.

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(b). The government promotes economic programs and major construction projects to boost the domestic economy

In order to actively improve the domestic economic environment and strengthen international competitiveness, the government is promoting private investment through the promotion of a number of major economic programs and the implementation of specific administrative measures, including the "Economic Revitalization Plan". In addition, the government is also actively promoting construction, such as high-speed railways and a number of land development projects, which will provide many construction opportunities to drive various industries to promote economic development and stimulate the real estate market.

(c). The Greater Taipei area actively promotes major public construction

The Taipei Metropolitan Area is the economic, social, political, and cultural area of Taiwan, and is currently carrying out a number of large-scale construction projects in the Greater Taipei Metropolitan Area, which will have a huge positive impact on the spatial structure or economic development of the Greater Taipei area, and have a positive incentive effect on the Company's business expansion and operation.

(d). The quality of life has improved, and the number of people changing houses has increased

With the evolution of the times, the desire to improve the quality of life is increasing, and home buyers pay attention to quality upgrades, and the demand for the overall planning level of the house has also increased. Home buyers no longer only need a living space, but begin to pay attention to factors such as housing quality, structural safety, living functions, and transportation convenience, mainly to pursue quality life, so the number of people changing houses will gradually increase, which is conducive to the promotion of the high-quality product market.

B. Unfavorable factors for future development and related countermeasures

(a). Land acquisition is not easy, and construction costs are higher

Land is one of the most important factors of production in the housing construction industry, and land is immutable and immovable. Land is limited in Taiwan, and in the natural growth of the population, the land available for building houses is decreasing day by day, and the cost of land acquisition is gradually increasing when land supply exceeds demand.

Countermeasures

Adopt a flexible and diversified land development strategy, in addition to evaluating and developing investment targets such as real estate sales, and then cooperate with the government's urban renewal and old community renewal plans to obtain land with lower costs.

(b). Project costs are increasing year by year

Due to the fluctuation of international oil prices and market supply and demand issues, the prices of some materials such as steel remain high, and due to the start of major government projects, the demand for manpower is strong, which has a crowding out effect with the demand for labor in the construction industry, resulting in rising wages and the phenomenon of difficult to find manpower.

Countermeasures

In order to cope with the continuous rise in various costs in the future and strengthen cost control, the Company not only strengthens land development and product planning to enhance the added value of products to resist the impact of external adverse factors, but also improves the operation process, strengthens internal management and shortens the construction period to reduce the impact of rising costs.

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(c). Concerns about interest rate rebounds

Currently, domestic interest rates are among the lowest in the world, and recent price rises have led to central bank raising interest rates and exchange rates as one of the means to avoid real negative interest rates and combat inflation. If interest rates rise, in addition to the increase in interest expenses of companies, the burden on other home buyers will also increase, affecting their demand for home purchases, and even causing a large number of borrowers or investors to sell their homes, thereby affecting prices.

Countermeasures

The Company intends to adopt a prudent financial strategy and raise funds through bank financing, cash capital increase and other financing strategies to ensure that the funds required for operation are safe. In terms of land development, it also adopts a prudent strategy and does not blindly follow the proposal to avoid causing financial pressure on the company. In terms of home buyers, due to the current abundant floating capital, it will not have a significant impact in the short term.

(2) The important use and manufacturing process of the main product

1. Important uses of the main products

Residential Buildings: Homes, Suites, Parking.

Commercial buildings: storefronts, shopping malls, offices, parking spaces.

2. Manufacturing process

(3) The supply status of major raw materials

Key Product Names	Availability
land	The company has a land developer and has built various other real estate development channels to proactively find suitable projects. And according to actual needs, we will cooperate with landlords in the form of joint construction or evaluate the buyout of self-built and operated prime areas for urban renewal, and there should be no shortage of supply sources.
construction projects and materials	The company's construction project is entrusted to the construction factory to adopt the principle of "contracting labor and materials", selecting qualified construction companies, and effectively controlling the project progress, construction quality and building material costs, and there is no shortage or interruption of supply.

(4) The names of customers who have accounted for 10% or more of the total purchases (sales) in any of the most recent two years, and the amount and proportion of purchases (sales).

Information on major sales customers in the most recent two years

Unit: NT$ thousand

project	2024				2025
	Name	amount	Ratio of net sales to the whole year (%)	relationship with the issuer	Name	amount	Ratio of net sales to the whole year (%)	relationship with the issuer
1	Other	4,679,558	100.00%	None	Other	1,433,489	100.00%	None
	Net sales	4,679,558	100.00%	-	Net sales	1,433,489	100.00%	-

Note 1: If the name of the customer who has sold more than 10% of the total sales in the most recent two years and the sales amount and proportion of the sales are listed, but the name of the customer or the transaction partner is an individual and not a related party due to the contract, the code name may be used
Note 2: As of the date of publication of the annual report, there is no financial information that has been audited, certified, or reviewed by a CPA for the most recent period
Note 3: Reasons for changes in the construction industry: The industry characteristics of the construction industry are mostly general customers, and the target sales targets are extremely scattered; in addition, the construction business is a project contractor, and it should be reasonable to change according to the progress of the project

Information on major suppliers for the most recent two years

Unit: NT$ thousand

Items	2024				2025
	Name	amount	% of net purchases for the whole year	relationship with the issuer	Name	amount	% of net purchases for the whole year	relationship with the issuer
1	Other	2,288,496	100.00%	None	Jinzang Construction Engineering Co., Ltd.	282,069	11.09%	None
					Other	2,260,344	88.91%	None
	Net purchases	2,288,496	100.00%	-	Net purchases	2,542,413	100.00%	-

Note 1: If the name of the supplier who has purchased more than 10% of the total purchase amount in the most recent two years and the purchase amount and proportion are listed, but the name of the supplier or the transaction partner is an individual and not a related party due to contractual agreements, the name may be used
Note 2: As of the date of publication of the annual report, there is no financial information that has been audited, certified, or reviewed by a CPA for the most recent period
Note 3: Reasons for changes in increase and decrease: Due to the characteristics of the industry, there is no continuity of suppliers in each year, and the construction project is a contracted project that uses contracting labor and materials, which will increase or decrease with the progress of the project
Note 4: At the time of preparation of the consolidated financial statements, the consolidated inter-business transactions were written off

The number of employees, average years of service, average age, and educational attainment distribution ratio of employees in the most recent two years and as of the date of publication of the annual report

year		At the end of 2024	At the end of 2025	As of March 31, 2026
Number of employees	Manager	6	6	6
	Sales personnel	5	5	5
	Developer	9	10	10
	Planner	7	7	7
	Engineering personnel	22	24	23
	General Staff	27	29	29
	Total	76	81	80
average age		47.4	47.9	47.93
Average years of service		10.9	11.13	11.35
Academic Degree Distribution Ratio (%)	PhD	0.00	0.00	0.00
	Master's degree	23.68	25.93	26.25
	University	72.37	70.37	70.00
	High school	3.95	3.70	3.75
	High school and below	0.00	0.00	0.00

Information on environmental protection expenditures

(1) In the most recent year (2025) and as of the date of publication of the annual report, the losses suffered due to environmental pollution (including compensation and environmental protection audit results for violations of environmental laws and regulations, the date of disposition, the number of the penalty, the provisions of the violation of laws and regulations, the content of the violation of laws and regulations, and the content of the disposition) shall be stated, and the estimated amount and countermeasures that may occur in the present and future shall be disclosed.

The Company's business has no environmental pollution problems, so it has not suffered losses due to environmental pollution, and it is expected that there will be no significant environmental protection capital expenditure in the future.

(2) In response to the implementation of the EU Restriction of Hazardous Substances Directive (ROHS): Not applicable.

Labor relations

(1) The company's various employee welfare measures, further education, training, and retirement systems and their implementation, as well as labor-management agreements and various measures to protect employee rights and interests.

Employee welfare measures

The company and the Employee Welfare Committee provide the following employee welfare measures:

(1) Labor insurance, national health insurance and group insurance (including occupational accident insurance, life insurance, injury and illness insurance, cancer and inpatient surgery health insurance, etc.).

(2) Education and training courses.

(3) Domestic and foreign tourism and recreational activities.

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(4) Bonus system and rewards for outstanding senior colleagues.
(5) Employee weddings, funerals, childbirth, hospitalization, and subsidies.
(6) Subsidies for employee cafeterias and meals.
(7) Employee health check.

2. Employee further education and training

In order to meet the needs of various professional skills and compliance with laws and regulations in the construction industry, the company has set continuous learning and development of employees as a key item in human resource management, and plans overall company training courses for the company's organizational strategy and personal performance development. In addition to arranging a variety of internal training, the company also encourages employees to actively participate in external training courses and on-the-job training.

The results of the company's education and training in the most recent year (2025) are as follows:

Course items	Total number of people	Total hours	Total cost (NT$ thousand)
Professional training	277	801	538
Management talent	68	475
General Training	92	170

3. Information related to the employee retirement system

The company does not have personnel under the old system of labor pension, and the old system accounts have been settled. The retirement system is handled in accordance with the "Labor Pension Act", and pension contributions are made monthly from the date of employment to the date of termination. The company contributes 6% of the employee's salary to the individual labor pension account established by the Labor Insurance Bureau, and employees can also voluntarily contribute within the range of 6%. The retirement system for appointing managers is also provided by the company to a special bank account on a monthly basis to protect their retirement rights.

According to the company's work rules, employees who meet one of the following conditions can apply for retirement: working for more than 15 years and reaching the age of 50, working for more than 20 years, or working for more than 10 years and reaching the age of 60. When employees apply for retirement, they should submit an application in accordance with the company's regulations and be reviewed by relevant units before being processed. In the most recent year and as of the date of publication of this annual report, the company has one employee retired.

The company regularly holds labor-management meetings, maintains harmonious labor-management relations at all times, and formulates comprehensive and comprehensive measures for employee incentives, communication, training, benefits, and retirement, and combines the interests of employees and the company.
The company attaches great importance to the health maintenance of employees, and has long invested in the care and care of employees' health check-ups, diet, medical insurance, and housing to promote employees' physical and mental health and improve their quality of life.

6. Salary policy

The Company's salary policy is based on the company's overall salary in the market positioning, peer salary surveys, and fairness within the company. Combined with organizational performance and employee performance appraisal, it appropriately reflects the contribution and participation of employees; strives for fairness, objectivity, and impartiality.

The principles for salary distribution are based on a fixed annual salary of 12 months. In addition, two months of salary are budgeted annually as year-end bonuses, and performance bonuses are allocated based on the Company's operating performance. After taking into account employees'

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seniority and annual performance evaluations, these bonuses are distributed to all employees to encourage collective efforts toward the Company's objectives.

Employee remuneration is allocated in accordance with the Articles of Incorporation. If the Company has current-year profits, not less than 2% and not more than 10% shall be appropriated as employee remuneration. Of the total employee remuneration, not less than 10% shall be allocated to entry-level employees. In 2026, the Company's Board of Directors resolved to appropriate 3% of 2025 profits as employee remuneration, of which 10% will be distributed to entry-level employees.

The Company and the personnel involved in financial information transparency have obtained relevant certificates specified by the competent authority

Job title	License
Audit supervisor	International internal auditor
(Certified Internal Auditor · CIA)

The Company has established the "Code of Ethical Conduct" and "Procedures for Handling Internal Material Information", and regularly lectures on "Information Security Management" and "Securities Market Overview and Securities Regulations" and other related courses to colleagues, covering laws and regulations related to the handling of internal material information and confidentiality, through education and training to inform all employees to avoid violations and insider trading
Protective measures for the working environment and employees' personal safety

(1) For the company's office safety protection measures, please refer to page 39 of this annual report

(2) The Company has established the "Workplace Sexual Harassment Prevention Measures, Complaints, and Disciplinary Measures" and set up a prevention hotline to prevent the occurrence of sexual harassment, create a friendly working environment, eliminate sexual or gender-related hostile factors in the work environment, and protect employees and service recipients from the threat of sexual harassment. If the sexual harassment is investigated and substantiated, the perpetrator will be punished appropriately depending on the severity of the circumstances.

Every year, we continue to conduct internal publicity through the company's colleagues day to strengthen the company's employees' awareness of workplace sexual harassment prevention, and the management department promotes management priorities. There have been no sexual harassment cases in 2025.

Date	hours	Number of participants
2026.02.06	0.5 hours	64 (79.0%)
2025.01.22	0.5 hours	65 people (86%)

(2) Losses suffered due to labor disputes in the most recent year and as of the date of publication of the annual report (including labor inspection results in violation of the Labor Standards Act, the date of the penalty, the number of the penalty, the provisions of the law and regulations, the content of the violation, and the content of the penalty) shall be stated, and the estimated amount and countermeasures that may occur in the present and future shall be disclosed.

This is not the case. The Company attaches great importance to employee welfare and development, and is committed to maintaining harmonious labor relations.

Information and communication security management

(1) Cyber security risk management framework, cyber security policies, specific management plans, and resources invested in cyber security management.

In order to effectively implement information security work, the company's organization, responsibilities and division of labor for information security work are as follows:

Designate the general manager to be responsible for the coordination and promotion of information security management matters, and coordinate the coordination and discussion of information security policies, plans, resource allocation, and other matters.

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The information office is responsible for planning and executing information security work according to the needs of information security management, and assigns information security supervisors and information security personnel.
If there is a shortage of information security manpower, ability, or experience, external scholars, experts, or private professional organizations and groups may be entrusted to provide information security consulting services.
Clearly divide the powers and responsibilities of the information processing department and business units.

If any deficiencies are found in the audit, the audited unit is immediately required to submit relevant improvement plans and report to the board of directors, and regularly track the effectiveness of the improvements to reduce internal information security risks. The audit office regularly reports to the board of directors on the status of the company's information security inspections and implementation.

Every year, accountants conduct information audits, and if deficiencies are found, they will request improvement measures and track the results of improvement.

In order to strengthen information security management, ensure the availability, integrity, and confidentiality of information, and consider the company's scale and business characteristics, the company currently entrusts external professional information security companies to assist and provide information security consulting services to avoid deliberate or accidental threats from internal and external threats.

The specific management methods of the company are as follows:

Internet information security control
The company erects a firewall.
The company's host and each personal computer install anti-virus software, and regularly update the virus code; regularly scan the computer system and data storage media for viruses.
Regularly review the logs of various network service items, and if abnormal attacks are found, track the cause of the abnormality or block it.
Internet spam blocking and Internet traffic analysis, and managing the bandwidth of various types of traffic.
Ensure that information flows.
The use of various network services is implemented in accordance with the information security policy.
Data access control
The computer equipment is kept by a dedicated person, and the account and password are set.
Grant access rights to information systems according to functions.
Transfer or resignation personnel cancel their original permissions and accounts.
Remove or overwrite confidential and sensitive data and copyrighted software before the equipment is scrapped.
Remote access to the management information system must be approved appropriately.
Response and recovery mechanism
Regularly review emergency response plans.
Regularly conduct system restoration drills every year.
Establish a system backup mechanism and implement off-site backup.
Regularly review computer network security control measures.
Publicity and inspection
Promote information security information at any time to enhance employees' awareness of information security.
Conduct regular cyber security inspections every year.

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(2) Enforcement status

The company implements information security management policies and goals, and establishes regular backup mechanisms and implements recovery plan drills to ensure the integrity and security of important systems and critical data. The implementation status of matters related to information security management in this year (2025) is as follows, and has been reported to the board of directors on March 10, 2026:

Manpower investment: Set up 1 information security supervisor and 1 information security personnel to maintain system operations, perform system backup and recovery plan drills, and perform system permission checks.

Firewall: Build a network firewall protection function. The cost of network information security management services in 2025 is about NT$200,000.

Software system: Build endpoint protection systems and anti-virus software. The cost of real-time forensic service for 2025 Managed Detection Response (MDR) endpoint intent threats is NT$395,000.

Internal audit: Conduct internal information security management procedure audits every year. In May 2025, electronic computer processing operations and information and communication security inspections were carried out, and the audit office reported to the board of directors on August 12, 2025.

Internal Publicity: Send information security promotion emails and strengthen the importance of information security in employee day meetings to enhance the awareness and importance of information security among all employees.

Colleagues Day Meeting Information Security Promotion

Date	Key information security promotion	hours	Number of participants
2025.01.22	Information objectives and information security promotion	0.5 hours	65 (85.5%)
2026.02.06	Ransomware and phishing letters	0.5 hours	64 (79.0%)

The information room conducts publicity based on recent common information security incidents

Date	Focus on publicity	information security risks
2025.04.08	Shut down after get off work, unknown letters, and disable "Remember Account Secrets"	Hacking springboards, fishing
2025.06.02	Reminder for shutdown after work and consecutive holidays	Hacker lurking attacks
2025.12.02	Hackers impersonate supervisors to send emails	Phishing letters
2025.12.09	Hackers impersonate supervisors to send emails	Phishing letters

(3) Losses, possible impacts, and countermeasures suffered due to major cyber security incidents in the most recent year and as of the date of publication of the annual report: The Company currently has no business losses resulting from major cyber security incidents.

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Important contracts

Contractual nature	parties	The start and end date of the contract	Main content	Restrictions
UNIDO contracting	Yifeng Construction Co., Ltd.	2018.01.24~2024.12.17 (Warranty expired).Waterproofing, exterior wall tiles, and stone materials are under warranty until 2027.12.17	"Sunny Li fang" construction contracting new project	None
	Yifeng Engineering Co., Ltd.	2018.02.22~2024.12.16 (Warranty expired).The water supply and drainage pipe is guaranteed until 2025.12.16	"Sunny Li fang" hydropower contracting new project	None
	Chenfeng Construction Co., Ltd.	2020.02.20 ~ The project is completed and the warranty period expires	"Li Sunny" construction contracting new project	None
	Qiaozheng Electromechanical Co., Ltd.	2020.12.11 ~ The project is completed and the warranty period expires	"Li Sunny" hydropower contracting new project	None
	Yifeng Construction Co., Ltd.	2020.03.16~2026.09.13 (Warranty expiration).The exterior wall covering and waterproof warranty is until 2029.09.13	"Sunny Guoyong - Lichi District" construction contracting new project	None
	Yifeng Engineering Co., Ltd.	2020.06.30~2026.05.13 (Warranty expired).The water supply and drainage pipe is guaranteed until 2027.05.13	"Sunny Guoyong - Lichi District" hydro-power contracting new project	None
	Yifeng Construction Co., Ltd.	2020.03.16~2025.10.05 (Warranty Expiration).The exterior wall covering and waterproof warranty are until 2028.10.06	"Sunny Guoyong - Regent District" construction contracting new project	None
	Yifeng Engineering Co., Ltd.	2020.06.30~2025.06.06 (Warranty expired).Water supply and drainage pipes are warranted until 2026.06.05	"Sunny Guoyong - Regent District" hydropower contracting new project	None
	Hsin Tung Yang Construction Co., Ltd.	2020.04.15~2026.02.28 (warranty expired).Water resistance warranty until 2029.02.28	"Ju Sunny" construction contracting new project	None
	Xing Yang Engineering Co., Ltd.	2020.08.03~2025.11.03 (warranty expired).The water supply and drainage pipe is guaranteed until 2026.11.03	"Ju Sunny" hydropower contracting new project	None
	Hsin Tung Yang Construction Co., Ltd.	2020.12.31 ~ The project is completed and the warranty period expires	"Sunny International 360" foundation and structure new project	None
	Hsin Tung Yang Construction Co., Ltd.	2023.03.24 ~ Project completion warranty expiration	"Sunny International 360" renovation project	None
	Xing Yang Engineering Co., Ltd.	2021.02.25 ~ The project is completed and the warranty period expires	"Sunny International 360" hydropower contracting new project	None
	Yifeng Construction Co., Ltd.	2021.06.25 ~ The project is completed and the warranty period expires	"Shipai Project" construction contracting new project	None
	Qinya Hydropower Engineering Co., Ltd.	2021.11.15 ~ The project is completed and the warranty period expires	"Shipai Project" water and electricity contracting new construction project	None
	Hsin Tung Yang Construction Co., Ltd.	2022.03.01~116.06.18 (warranty expired).Waterproof warranty until 119.06.19	"Sunny Yi ju" construction contracting new project	None
	Mingyang Engineering Co., Ltd.	2022.10.07~116.02.16 (warranty expired).The water supply and drainage pipe is warranted until 117.02.16	"Sunny Yi ju Project" water and electricity contracting new project	None
	Hsin Tung Yang Construction Co., Ltd.	2022.03.01 ~ The project is completed and the warranty period expires	"Kaifeng Street Project" construction contracting new project	None
	Zhenquan Industrial Co., Ltd.	2022.09.01 ~ Project completion warranty period	"Kaifeng Street Project" water and electricity contracting new construction project	None
	Hsin Tung Yang Construction Co., Ltd.	2024.02.15 ~ The project is completed and the warranty period expires	"Fulin Road Project" construction contracting new project	None
	Xing Yang Engineering Co., Ltd.	2024.09.10 ~ The project is completed and the warranty period expires	"Fulin Road Project" water and electricity contracting new project	None
	Jinzang Construction Engineering Co., Ltd.	2024.04.08 ~ The project is completed and the warranty period expires	"Chongqing North Road Project" construction contracting new construction project	None

Contractual nature	parties	The start and end date of the contract	Main content	Restrictions
	Jichen Engineering Co., Ltd.	2024.12.10 ~ The project is completed and the warranty period expires	"Chongqing North Road Project" water and electricity contracting new project	None
Contract of Appointment of Architect	Kim Yi-yong Architects	95.11.28~Application for license	"Sunty International 360" planning and design architect	None
	Jian Junqing Architects	98.11.20~ Application for license	"Yongji Project" planning and design architect	None
	Huang Mochun Architects	104.01~ Application for license	"Dexing East Road Project" planning and design architect	None
	Three major joint architects	2019.0 1.15 ~ Obtained the green building label	"Shilin Fulin Road Project" planning and design architect	None
	Zhou Menglong/Jian Zhicong/Ke Zhiming Architects	2019.08.28 ~ Obtained the green building label	"Guangxin Park AB Project" planning and design architect	None
	Three major joint architects	2021.03.16 ~ Obtained the green building label	"Chongqing North Road Project" planning and design architect	None
	Huang Mo-Chun / Zhang Ju-Yong / Chen Hao-Yun / Wu Hong-Sheng Architects & Associates	2022.0 1.19 ~ Obtained the green building label	"Yixian A Project" planning and design architect	None
	Contract Architects Firm	2022.0 3.15 ~ License application	"Songren Road Project" planning and design architect	None
	Gao Zhongting Architects	2023.02.06~ License application	"Zhonghe Jingfu Xiulang Project" planning and design architect	None
	Hsu Yiming Architects	2023.08.31~ Application for license	"Music Park Project" (Base A) planning and design architect	None
	Hsu Yiming Architects	2023.08.31~ Application for license	"Music Park Project" (Base B) planning and design architect	None
	Hsu Yiming Architects	2023.12.26~ Application for license	"Guangming Theater Project" planning and design architect	None
	Sanmon United Architects	2024.05.20~ License application	"Three Gorges Joint Project" planning and design architect	None
	Zhou Menglong / Jian Zhicong / Ke Zhiming Architects	2024.11.01~ Application for license	"Gongguan Section, Banqiao District Project" planning and design architect	None
Investment agreement	New Taipei City Government MRT Engineering Bureau	2023.12.01~118.02.28	"Three Gorges Joint Development Project" MRT development project investment contract	None
change im-plementer	Likai Construction Co., Ltd.	2019.12.31 ~ Substantive start of construction and administrative litigation judgment finalized	"Songren Road Project" change imple-menter agreement	None
Public office is renewed	Taipei City Housing and Urban Renewal Center	2026.01.23 ~ Handover	"Zhongshan Min'an Project" funded and assisted in the implementation of urban renewal project contracts	None
Superficial Rights Con-tract	Taiwan North District Office, State-owned Property Admin-istration, Ministry of Finance	The duration of superficial rights is 100.10.11~150.10.10	"Sunty Ascension Allegory" sets the superficial rights	None
Outsourcing agreement	Shiyang Construction Co., Ltd.	2024.11.20 ~ The construction of the house is completed and the manage-ment committee is established	"XinDian Shisizhang Projects" business consignment contract	None
Loan contract	Taipei Fubon Bank	2022.10.24-2026.10.24	Medium-term guaranteed loans	None
	CTBC Bank	2019.05.15-2026.05.15	Medium-term guaranteed loans	None
	CTBC Bank	2019.05.15-116.10.25	Medium-term loans	None
	South China Bank	2020.10.27-117.12.31	Medium-term guaranteed loans	None
	South China Bank	2023.12.31-117.12.31	Medium-term loans	None
	Cathay United Bank	2022.02.09-117.02.09	Medium-term guaranteed loans	None
	Mega Bank	2025.08.01-121.01.31	Medium-term loans	None
	TOTAL	2024.12.10 ~ The construction of the house is completed and the management committee is established	Medium-term guaranteed loans	None

parties	The start and end date of the contract	Main content	Restrictions
Mega Bank	2025.08.01-120.07.31	Medium-term loans	None
Cooperative Treasury Bank	2022.06.29-118.12.31	Medium-term loans	None
Shin Kong Bank	2025.11.06-121.05.06	Medium-term guaranteed loans	None
Taishin Bank	2025.03.31-2026.03.31	Short-term lending	None
Taishin Bank	2025.08.20-2026.08.20	Short-term lending	None
South China Bank	2025.05.23-2026.05.23	Short-term loans, short-term guaranteed loans	None
Taiwan Enterprise Bank	2025.06.24-2026.06.24	Short-term lending	None
Shanghai International Bank	2025.06.07-2026.06.07	Short-term lending	None
Royal Road Bank	2025.07.01-2026.06.30	Short-term lending	None
Mega Bank	2025.07.30-2026.07.29	Short-term lending	None
Commonwealth Bank	2026.01.21-116.01.20	Short-term lending	None
Commonwealth Bank	2023.12.06-118.11.29	Short-term lending	None
CTBC Bank	2025.12.17-2026.12.31	Short-term lending	None
First Bank	2025.02.10-2026.02.10	Short-term lending	None
Bank SinoPac	2025.05.28-2026.05.31	Short-term secured loans	None
Cooperative Treasury Bank	2025.11.17-2026.11.17	Short-term lending	None

Note: Lists contracts that are still in effect and expired in the most recent year as of the date of publication of the annual report

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V. A review and analysis of the company's financial position and financial performance, and a listing of risks

Financial status
Unit: NT$ thousand

yearItem	December 31, 113	December 31, 2025	Difference
			Money	%
Current assets	11,168,648	11,950,422	781,774	7.00%
Funds & Investments	264,881	273,566	8,685	3.28%
fixed assets
(Real Estate, Plant and Equipment)	91,971	90,297	(1,674)	-1.82%
Intangible assets	1,514	1,591	77	5.09%
Other assets	1,024,812	992,198	(32,614)	-3.18%
Total assets	12,551,826	13,308,074	756,248	6.03%
Current liabilities	5,786,639	6,638,020	851,381	14.71%
Non-current liabilities	314,380	275,586	(38,794)	-12.34%
total liabilities	6,101,019	6,913,606	812,587	13.32%
Share capital	3,523,143	3,523,143	0	0.00%
Capital reserve	802,671	802,671	0	0.00%
Retain surplus	2,088,813	2,028,931	(59,882)	-2.87%
Other Interests	639	0	(639)	-100.00%
Total shareholders' equity of the parent company	6,415,266	6,354,745	(60,521)	-0.94%
Non-controlling interests	35,541	39,723	4,182	11.77%
Total equity	6,450,807	6,394,468	(56,339)	-0.87%
Explanation of the main reasons for major changes and their impact:
In the current period, due to the investment in projects under construction, the use of funds increased, resulting in an increase in borrowings, and current liabilities and total liabilities increased compared with the same period last year.
If the impact is significant, the future response plan shall be explained: None.

2. Financial performance

Unit: NT$ thousand

yearItem	December 31, 113		December 31, 2025		Increase (de-crease) amount	Percentage of change(%)
	Subtotal	Total	Subtotal	Total
Sales revenue	4,679,558		1,433,489		(3,246,069)	-69.37%
Less: Sales return	0		0		0	-
Net sales revenue		4,679,558		1,433,489	(3,246,069)	-69.37%
Operating costs		3,208,241		972,086	(2,236,155)	-69.70%
Gross profit from operations		1,471,317		461,403	(1,009,914)	-68.64%
Operating expenses		549,430		278,242	(271,188)	-49.36%
Sales Expenses	225,262		32,501		(192,761)	-85.57%
Administrative expenses	322,140		243,393		(78,747)	-24.44%
Research Expenses	2,028		2,348		320	15.78%
Net operating profit		921,887		183,161	(738,726)	-80.13%
Non-operating income and ex-penses		(10,748)		58,761	69,509	-646.72%
Net profit before tax		911,139		241,922	(669,217)	-73.45%
Less: income tax expense		224,596		33,039	(191,557)	-85.29%
Net profit for the period		686,543		208,883	(477,660)	-69.57%
Other comprehensive income (net after tax).		2,952		309	(2,643)	-89.53%
Total comprehensive profit or loss for the period		689,495		209,192	(480,303)	-69.66%
Net profit attributable to the current period		686,543		208,883	(477,660)	-69.57%
Parent Company Owner	679,506		203,437		(476,069)	-70.06%
Non-controlling interests	7,037		5,446		(1,591)	-22.61%
Attribution of total comprehensive profit and loss		689,495		209,192	(480,303)	-69.66%
Parent Company Owner	681,976		203,475		(478,501)	-70.16%
Non-controlling interests	7,519		5,717		(1,802)	-23.97%
Explanation of the main reasons for the material change:The sales in the current period are the sales of existing houses of Sunty Libo and Sunty Glory Light, while in 2024, Sunty Yi Ju and Li Sunty pre-sale cases were handed over, due to the different sales conditions of the two phases, and affected by factors such as market environment, case size, product design and location, resulting in a decrease in revenue, cost and net profit compared with the previous period, resulting in changes in the related subjects of the two periodsThe expected sales volume and its basis, the possible impact on the company's future financial business and response plans:In response to changes in market supply and demand, economic environment, and tax system changes, we will maintain a prudent attitude in evaluating and developing high-quality cases in the future to operate steadily

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3. Cash flow

(1) Analysis of changes in cash flow in the most recent year (2025).

Item	2024	2025	increase (decrease) percentage
Cash flow ratio (%)	28.57	-25.01	-187.54%
Cash flow fairness ratio (%)	52.21	-1.37	-102.62%
Cash reinvestment ratio (%)	23.75	-33.55	-241.26%
Cash flow change analysis description:
In 2025, due to the increase in inventory compared with last year, the net cash outflow from operating activities resulted in a decrease in the above ratios compared to last year

(2) Improvement plan for insufficient liquidity: This is not the case

(3) Analysis of cash liquidity in the next year (2026).

Unit: NT$ thousand

| Opening cash balance
(1) | Cash inflows for the whole year
(2) | Cash outflow for the whole year
(3) | Cash surplus
(Deficient) amount
(1)+(2)-(3) | If the cash is insufficient
Remedies | |
| --- | --- | --- | --- | --- | --- |
| | | | | investment plan | financing plan |
| 933,129 | 7,060,386 | 7,550,865 | 442,650 | - | - |
| Cash flow analysis:
The Company expects to generate a net cash outflow of approximately NT$490,479 thousand in 2026, including the receipt of construction projects and the receipt of construction projects throughout the year
Remedies for cash shortfall: None | | | | | |

The impact of major capital expenditures on finance and business in the most recent year (2025): None.

The reinvestment policy for the most recent year (2025), the main reasons for its profit or loss, the change plan, and the investment plan for the next year:

(1) Reinvestment policy

The company's reinvestment enterprises in the most recent year are Hsin Tung Yang Construction Co., Ltd., Sunty International Land Co., Ltd., Sunty Land Co., Ltd., and Great Harbor Limited (reinvested in Chengdu Sunty Real Estate Development Co., Ltd.), all of which are invested in the industry in consideration of the needs of construction business development. Among them, Great Harbor Limited was resolved by the board of directors on October 21, 2025 to reduce the capital and return all shares of the company, and the record date for the capital reduction is October 31, 2025

(2) The main reasons for the profit or loss of the reinvestment and the improvement plan

This year, the company continued to promote fast, economical, good and excellent policies, and the projects under construction were made on schedule and with quality. Among them, Great Harbor Limited returned all capital contributions to the Company through a capital reduction on October 31, 2025. In accordance with International Financial Reporting Standards, this is treated as a disposal of an associate, and the gain on disposal of the investment amounted to NT$2,858 thousand.

Unit: NTS thousand, thousand shares; December 31, 2025

Investment company name	relationship with the Company	At the beginning of the period Investment Amount	End of the term Investment Amount	The number of shares at the end of the period	Share-holding proportion	Carrying amount	The profit and loss of the investee company for the period	investment gains or losses recognized during the period
Hsin Tung Yang Construction Co., Ltd.	A subsidiary of the Company	123,405	124,940	16,970	77.14%	138,239	84,407	15,732
Sunty International Land Co., Ltd.	A subsidiary of the Company	48,800	48,800	4,880	100.00%	437	(66)	(66)
Sunty Land Co., Ltd.	A subsidiary of the Company	1,200	1,200	120	100.00%	1,791	(32)	(32)
Great Harbor Limited	Affiliates of the Company (Note).	34,559	0	0	0.00%	0	20,128	6,442

Note: Great Harbor Limited reduced its capital on October 31, 2025 and refunded all shares of the company

(3) Investment plan for the next year: None

Analysis and assessment of risk matters for the most recent year (2025) and as of the date of publication of the annual report.

(1) The impact of interest rates, exchange rate changes, and inflation on the company's profit and loss, as well as future countermeasures.

the impact of interest rate changes on the company's profit and loss and future countermeasures The interest income and expenses of the Company and its subsidiary Hsin Tung Yang Construction Co., Ltd. are relatively small, so they have little impact on profit and loss. The Company and its subsidiaries maintain a good credit relationship with the banks and have good credit in the most recent year and as of the date of publication of the annual report, and the Company will pay close attention to changes in interest rates and global economic development trends in the future, and actively strive for the lowest interest rates with the banks and take necessary measures in a timely manner to avoid the risk of rising interest rates.

The impact of exchange rate changes on the company's profit and loss and future countermeasures.

The company's exchange profit in 2025 was 87 thousand yuan, accounting for 0.01% and 0.05% of the operating income and operating profit of the year, mainly due to the cash capital reduction and repatriation of the US dollar by Great Harbor Limited, due to the continuous increase in the US dollar exchange rate for 2025. There were no significant losses in foreign currency exchange between the Company and the investment company, indicating that the risk control ability of the Company and the investment company in response to exchange rate changes is still good and will not affect the normal operation of the Company and the investment company.

The impact of inflation on the company's profit and loss and future countermeasures

In recent years, prices have risen due to the continuous rise in raw material and energy prices, but the overall economy and industry are still showing stable growth, resulting in inflation still within control. In addition, the Company and its investment companies actively maintain good interactions with customers and suppliers, and adjust product prices and raw material inventories in a timely manner in response to price fluctuations to reduce the impact of inflation.

(2) Policies on engaging in high-risk, high-leverage investments, lending funds to others, endorsements, guarantees, and derivatives transactions, the main reasons for profits or losses, and future countermeasures.

The Company has adopted a prudent and conservative investment policy, and has not engaged in high-risk and high-leverage investments in the most recent year and as of the date of publication of the annual report, and has not lent funds to others or derivatives transactions.

In addition, the Company and its subsidiaries have established relevant regulations such as "Procedures for Lending Funds to Others", "Procedures for Endorsement and Guarantee", and "Procedures for Handling Acquisition or Disposal of Assets", which have been approved by the shareholders' meeting as a basis for future execution of related matters to strengthen control over transaction procedures.

(3) future R&D plans and expected R&D expenses

Considering that the construction industry is different from the general manufacturing or high-tech industry that requires the R&D and design of new products, the company and its subsidiaries mainly invest in human resource costs to plan products and construction management services that meet market demand to meet consumer demand for residential products.

(4) The impact of important domestic and international policy and legal changes on the company's financial and business and countermeasures

The Company and its subsidiaries are always aware of changes in policies and laws and regulations, and ask accountants to provide professional consultation to formulate necessary measures and countermeasures in a timely manner.

(5) The impact of technological changes (including cyber security risks) and industry changes on the Company's financial and business and response measures

The Company and its subsidiary Hsin Tung Yang Construction Co., Ltd. currently generate revenue and profits mainly from land development, investment and residential construction in the greater Taipei area.

In order to respond to technological and industrial changes (including cyber security risks), the Company and its investment companies keep abreast of market changes and actively obtain industry information through various methods for business expansion

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(6) The impact of corporate image changes on corporate crisis management and countermeasures

All colleagues and managers of the company and its subsidiaries operate the company steadily in line with the corporate values of 'integrity and pragmatism, active innovation, and adherence to quality'; for customers and the investing public, we have always maintained a "responsible" and "sincere" corporate image, and we will maintain a good corporate image in the future, and there should be no problem of changing the corporate image.

(7) Expected benefits, possible risks and countermeasures of M&A: None.

(8) Expected benefits, possible risks, and countermeasures for expanding the plant: None.

(9) Risks faced by purchasing or concentrating sales and countermeasures

The company mainly generates revenue and profit through land investment and residential construction, and the main purchase items are land, and the land purchase methods are extremely diversified, including bidding for the competent authority holding land assets, and also through private purchases or joint construction to carry out land development. In addition, due to the characteristics of the industry, in order to control the quality level of new construction cases, the project part is entrusted to qualified construction companies, because there are many general Grade A construction manufacturers in China, and there are many selective institutions or contractors such as hydropower, electromechanical and design, so the company does not have the risk of concentrated purchases. In addition, the sales targets of the company's construction projects are the general public and companies, so there is no problem of sales concentration. In addition, the main raw materials of the subsidiary Hsin Tung Yang Construction Co., Ltd. are steel bars, concrete, cement, sand, and red bricks, except for some of the materials supplied by the owner according to the contract, the main bulk building materials can be supplied domestically, and the company adheres to the concept of sustainable management, and has established good relationships and interactions with various third parties for many years, and the supply situation is normal, so there is no risk of concentration of major raw materials. In addition, its distributor is mainly contracting the parent company and obtaining factory and residential projects through bidding and bargaining, due to the limited scale of operation and the construction period of 3-5 years, so its income is concentrated in a few owners. Other subsidiaries are still in the planning stage, so there is no risk of purchase and sales concentration

(10) Impact, risks, and countermeasures of a large transfer or replacement of shares of directors, supervisors, or major shareholders holding more than 10% of the shares: None.

(11) Impact, risks and countermeasures of the change in management rights on the company: None

(12) litigation or non-contentious matters

The company, its directors, general managers, de facto responsible persons, major shareholders holding more than 10% of the shares, and subordinate companies in major litigation, non-litigation, or administrative disputes that have been decided or are still pending, and the outcome of which may have a material impact on shareholders' equity or securities prices:

The Company, the Company's directors, general managers, de facto responsible persons, major shareholders holding more than 10% of the shares, and subsidiary companies in the most recent year and as of the date of publication of the annual report are not material cases, and the results have not had a material impact on shareholders' equity or securities prices, and no circumstances have been found that affect the normal operation or business of the Company

(13) Other important risks and countermeasures: None.

Other important matters: None.

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VI. Other items deserving special mention

Information related to affiliates

Please refer to the Public Information Observatory/Single Company/Electronic Document Download/Affiliated Enterprises Three Books Table Zone

In the most recent year (2025) and as of the date of publication of the annual report, the status of private placement of securities: None of this situation
Other necessary supplementary explanations: None.
In the most recent year (2025) and as of the date of publication of the annual report, there has been an event that has a material impact on shareholders' equity or securities prices as defined in Article 36, Paragraph 3, Subparagraph 2 of the Securities and Exchange Act: None

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Sunty Development Co., Ltd.

Chairman: Kuan-Cheng Mai

AI assistant

SUNTY Annual Report 2025

52309_rns_2026-05-18_9dad1862-21b9-421e-b6c1-5d54ee119a22.pdf

Sunty Development Co., Ltd.

2025 Annual Report

II. A corporate governance report

2. Diversity and independence of the board of directors:

(一) Board Diversity:

III. Corporate governance operations

Other matters to be recorded:

(2) The operation of the audit committee

3. Audit Committee operation status and performance evaluation

1. The status of directors' further education

1-1 The Company's greenhouse gas inventory and assurance status for the most recent two years

1-1-1 Greenhouse gas inventory information

1-1-2 Greenhouse gas assurance information

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

Greenhouse gas reduction base year and its data, reduction targets

Greenhouse gas reduction strategies and specific action plans

Achievement of reduction targets

III. Information on capital raising activities

I. Capital and shares

3. Product development trends and competitive conditions

(1). Development trend

(2). Competition

(3) Technology and R&D overview

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

1. Short-term business development plan

(c). Concerns about interest rate rebounds

Countermeasures

(2) The important use and manufacturing process of the main product

1. Important uses of the main products

2. Manufacturing process

(3) The supply status of major raw materials

2. Employee further education and training

3. Information related to the employee retirement system

6. Salary policy

V. A review and analysis of the company's financial position and financial performance, and a listing of risks

2. Financial performance

3. Cash flow

AI assistant

SUNTY — Annual Report 2025

52309_rns_2026-05-18_9dad1862-21b9-421e-b6c1-5d54ee119a22.pdf

Sunty Development Co., Ltd.

2025 Annual Report

II. A corporate governance report

2. Diversity and independence of the board of directors:

(一) Board Diversity:

III. Corporate governance operations

Other matters to be recorded:

(2) The operation of the audit committee

3. Audit Committee operation status and performance evaluation

1. The status of directors' further education

1-1 The Company's greenhouse gas inventory and assurance status for the most recent two years

1-1-1 Greenhouse gas inventory information

1-1-2 Greenhouse gas assurance information

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

Greenhouse gas reduction base year and its data, reduction targets

Greenhouse gas reduction strategies and specific action plans

Achievement of reduction targets

III. Information on capital raising activities

I. Capital and shares

3. Product development trends and competitive conditions

(1). Development trend

(2). Competition

(3) Technology and R&D overview

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

1. Short-term business development plan

(c). Concerns about interest rate rebounds

Countermeasures

(2) The important use and manufacturing process of the main product

1. Important uses of the main products

2. Manufacturing process

(3) The supply status of major raw materials

2. Employee further education and training

3. Information related to the employee retirement system

6. Salary policy

V. A review and analysis of the company's financial position and financial performance, and a listing of risks

2. Financial performance

3. Cash flow

More from SUNTY

SUNTY Annual Report 2025