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SYSCOM Interim / Quarterly Report 2025

Dec 22, 2025

52093_rns_2025-12-22_1cba8a97-7ad2-4fd8-9db3-514ebc4cf1d2.pdf

Interim / Quarterly Report

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Stock Code: 2453

Syscom Computer Engineering Co. and Subsidiaries

Consolidated Financial Statements for the Six Months Ended June 30, 2025 and 2024 and Independent Auditors’ Review Report

Address: 6th Floor, No. 115, Emei Street, Wanhua District, Taipei City TEL: (02)2191-6066

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China.

If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ review report and consolidated financial statements, the Chinese version shall prevail.

  • 1 -

§ Table of Contents §

§ Table of Contents §
Item
Page
1. Cover
1
2. Table of Contents
2
3. Independent Auditors’ Review Report
3～4
4. Consolidated Balance Sheets
5
5. Consolidated Statements of Comprehensive Income
6～7
6. Consolidated Statements of Changes in Equity
8
7. Consolidated Statements of Cash Flows
9～10
8. Notes to Consolidated Financial Statements
(1) General
11
(2) The Date and Procedures of Authorization of
Financial Statements
11
(3) Application of New and Revised Standards and
Interpretations
11～12
(4) Summary of Significant Accounting Policies
12
(5) Critical Accounting Judgments and Key
Sources of Estimation and Uncertainty
13
(6) Explanation of Significant Accounts
13～33
(7) Related Parties Transactions
33～34
(8) Assets Pledged as Collateral
35
(9) Significant Contingent Liabilities and
Unrecognized Commitments
35
(10) Significant Disaster Loss
-
(11) Other Matters
-
(12) Significant Events after Reporting Period
-
(13) Significant Assets and Liabilities Denominated
in Foreign Currencies
35～36
(14) Separately Disclosed Items
A. Information about significant transactions
36、38～40
B. Information on investees
36、41
C. Information on investment in mainland
China
36～37、42
(15) Segment Information
37		 Notes to Financial
Statements
-
-
-
-
-
-
-
1
2
3
4
5
6-25
26
27
28
-
-
-
29
30
30
30
31
  • 2 -

INDEPENDENT AUDITORS’ REVIEW REPORT

The Board of Directors and Shareholders Syscom Computer Engineering Company

Introduction

We have reviewed the accompanying consolidated balance sheets of Syscom Computer Engineering Company and its subsidiaries (collectively, the “Group”) as of June 30, 2025 and 2024, the related consolidated statements of comprehensive income for the three months ended June 30, 2025 and 2024 and for the six months ended June 30,2025 and 2024, the consolidated statements of changes in equity and cash flows for the six months then ended, and the related notes to the consolidated financial statements, including a summary of significant accounting policies. Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting,” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our reviews.

Scope of Review

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

Basis for Qualified Conclusion

As disclosed in Note 11 to the consolidated financial statements, the financial statements of non-significant subsidiaries included in the consolidated financial statements referred to in the first paragraph were not reviewed. As of June 30, 2025 and 2024 combined total assets of these non-significant subsidiaries were NT$344,607 thousand and NT$371,952 thousand, respectively, both representing 8% of the consolidated total assets, and combined total liabilities of these subsidiaries were NT$233,796 thousand and NT$228,269 thousand, respectively, both representing 10% of the consolidated total liabilities; for the three months ended June 30, 2025 and 2024 and for the six months ended June 30,2025 and 2024, the amounts of combined total comprehensive loss of these subsidiaries were NT$21,196 thousand, NT$5,113 thousand, NT$28,783 thousand and NT$26,497 thousand, respectively, representing (34)%, (7)%, (20)% and (18)%, respectively, of the consolidated total comprehensive income. As disclosed in Note 12 to the consolidated financial statements, as of June 30, 2025 and 2024, investments accounted for using the equity method were NT$68,596 thousand and NT$67,357 thousand, respectively, and for the three months ended June 30, 2025 and 2024 and for the six months ended June 30, 2025 and 2024, the comprehensive income(loss) of these equity-method investments were NT$(991) thousand, NT$330 thousand, NT$(1,984) thousand and NT$386 thousand, respectively, which were calculated on the basis of financial statements that have not been reviewed. In addition, the information related to the subsidiaries and investee companies mentioned in Note 30 have also not been reviewed.

Qualified Conclusion

Based on our reviews, except for the adjustments, if any, as might have been determined to be necessary had the financial statements of the non-significant subsidiaries, the investments

  • 3 -

accounted for using the equity method as described in the preceding paragraph been reviewed, nothing has come to our attention that caused us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Group as of June 30, 2025 and 2024, its consolidated financial performance for the three months ended June 30, 2025 and 2024, and of its consolidated financial performance and its consolidated cash flows for the six months ended June 30, 2025 and 2024 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 “Interim Financial Reporting”endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

The engagement partners on the reviews resulting in this independent auditors’ review report are Pei-De Chen and Liu Wen-Ling.

Deloitte & Touche Taipei, Taiwan Republic of China

August 11, 2025

Notice to Readers

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

For the convenience of readers, the independent auditors’ review report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors’ review report and consolidated financial statements shall prevail.

  • 4 -

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

JUNE 30, 2025, DECEMBER 31, 2024 AND JUNE 30, 2024

Code

1100
1110
1136
1140
1150
1172
1200
1220
130X
1410
1479
11XX

1517
1535
1550
1600
1755
1821
1840
1990
15XX
1XXX

Code

2100
2110
2130
2150
2170
2200
2230
2280
2399
21XX

2572
2580
2640
2645
25XX
2XXX

3110
3200
3310
3320
3350
3300
3400
31XX
36XX

3XXX
 ASSETS
CURRENT ASSETS
Cash and cash equivalents (Note 6)
Financial assets at fair value through profit or loss - current
Financial assets at amortized cost - current (Notes 8 and 27)
Contract assets - current (Note 20)
Notes receivable
Accounts receivable (Notes 9 and 26)
Other receivables
Current tax assets
Inventories (Note 10)
Prepayments
Other current assets
Total current assets
NON-CURRENT ASSETS
Financial assets at fair value through other comprehensive
income - non-current (Note 7)
Financial assets at amortized cost - non-current (Notes 8
and 27)
Investments accounted for using the equity method
(Note12)
Property, plant and equipment (Notes 13 and 26)
Right-of-use assets (Note 14)
Intangible assets (Note 15)
Deferred tax assets
Other non-current assets
Total non-current assets
TOTAL
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term borrowings (Notes 16 and 27)
Short-term bills payable (Note 16)
Contract liabilities - current (Note 20)
Notes payable
Accounts payable (Note 26)
Other payables (Note 17)
Current tax liabilities
Lease liabilities - current (Notes 14 and 26)
Other current liabilities
Total current liabilities
NON-CURRENT LIABILITIES
Deferred tax liabilities
Lease liabilities - non-current (Notes 14 and 26)
Net defined benefits liabilities - non-current (Note 4)
Guarantee deposits received
Total non-current liabilities
Total liabilities
EQUITY ATTRIBUTABLE TO OWNERS OF THE
COMPANY (Note 19)
Share capital - ordinary shares
Capital surplus
Retained earnings
Legal reserve
Special reserve
Unappropriated earnings
Total retained earnings
Other equity
Total equity of the owners of the Company
Non-controlling interests (Note 19)
Total equity
TOTAL		 June 30,2025
Amount
％
$ 706,320
16
-
-
268,943
6
723,636
16
1,698
-
808,569
18
2,417
-
534
-
593,690
14
498,375
11
99,419

2
3,703,601
83
48,102
1
187,288
4
68,596
1
353,557
8
35,943
1
5,993
-
14,026
-
69,575

2
783,080
17
$ 4,486,681
100
$ 241,438
5
49,973
1
463,105
10
883
-
1,005,895
22
472,138
11
42,478
1
26,545
1
29,222

1
2,331,677
52
10,264
-
9,244
-
51,372
1
15,137

1
86,017

2
2,417,694
54
1,000,000
22
1,959

-
386,109
9
17,619
-
625,517
14
1,029,245
23
27,921

1
2,059,125
46
9,862

-
2,068,987
46
$ 4,486,681
100		 (In Thousands of New Taiwan Dollars)
December 31,2024
June 30,2024
Amount
％
Amount
％
$ 733,387
15
$ 651,568
15
463
-
11,840
-
250,277
5
249,589
6
858,494
18
674,551
15
2,866
-
23,186
1
1,157,180
24
822,191
19
8,403
-
8,532
-
493
-
307
-
457,662
9
621,012
14
479,218
10
392,803
9
85,124

2

110,570

2
4,033,567
83
3,566,149
81
49,063
1
42,197
1
211,034
4
200,080
5
70,937
2
67,357
1
366,735
8
366,764
8
59,139
1
80,407
2
2,531
-
2,863
-
16,090
-
9,149
-
70,434

1

71,144

2
845,963
17

839,961
19
$ 4,879,530
100
$ 4,406,110
100
$ 176,651
4
$ 168,739
4
-
-
-
-
611,197
12
485,081
11
150
-
338
-
1,248,869
26
1,083,010
24
468,442
10
431,500
10
27,405
-
39,533
1
47,738
1
46,876
1
17,762

-

26,547

1
2,598,214
53
2,281,624
52
10,535
-
10,357
-
12,247
-
34,358
1
56,406
1
29,245
1
17,877

1

15,921

-
97,065

2

89,881

2
2,695,279
55
2,371,505
54
1,000,000
21
1,000,000
23
1,783

-

1,797

-
358,096
7
358,096
8
17,619
-
17,619
1
765,101
16

623,838
14
1,140,816
23

999,553
23
30,144

1

21,470

-
2,172,743
45
2,022,820
46
11,508

-

11,785

-
2,184,251
45
2,034,605
46
$ 4,879,530
100
$ 4,406,110
100		 (In Thousands of New Taiwan Dollars)
December 31,2024
June 30,2024
Amount
％
Amount
％
$ 733,387
15
$ 651,568
15
463
-
11,840
-
250,277
5
249,589
6
858,494
18
674,551
15
2,866
-
23,186
1
1,157,180
24
822,191
19
8,403
-
8,532
-
493
-
307
-
457,662
9
621,012
14
479,218
10
392,803
9
85,124

2

110,570

2
4,033,567
83
3,566,149
81
49,063
1
42,197
1
211,034
4
200,080
5
70,937
2
67,357
1
366,735
8
366,764
8
59,139
1
80,407
2
2,531
-
2,863
-
16,090
-
9,149
-
70,434

1

71,144

2
845,963
17

839,961
19
$ 4,879,530
100
$ 4,406,110
100
$ 176,651
4
$ 168,739
4
-
-
-
-
611,197
12
485,081
11
150
-
338
-
1,248,869
26
1,083,010
24
468,442
10
431,500
10
27,405
-
39,533
1
47,738
1
46,876
1
17,762

-

26,547

1
2,598,214
53
2,281,624
52
10,535
-
10,357
-
12,247
-
34,358
1
56,406
1
29,245
1
17,877

1

15,921

-
97,065

2

89,881

2
2,695,279
55
2,371,505
54
1,000,000
21
1,000,000
23
1,783

-

1,797

-
358,096
7
358,096
8
17,619
-
17,619
1
765,101
16

623,838
14
1,140,816
23

999,553
23
30,144

1

21,470

-
2,172,743
45
2,022,820
46
11,508

-

11,785

-
2,184,251
45
2,034,605
46
$ 4,879,530
100
$ 4,406,110
100		 (In Thousands of New Taiwan Dollars)
December 31,2024
June 30,2024
Amount
％
Amount
％
$ 733,387
15
$ 651,568
15
463
-
11,840
-
250,277
5
249,589
6
858,494
18
674,551
15
2,866
-
23,186
1
1,157,180
24
822,191
19
8,403
-
8,532
-
493
-
307
-
457,662
9
621,012
14
479,218
10
392,803
9
85,124

2

110,570

2
4,033,567
83
3,566,149
81
49,063
1
42,197
1
211,034
4
200,080
5
70,937
2
67,357
1
366,735
8
366,764
8
59,139
1
80,407
2
2,531
-
2,863
-
16,090
-
9,149
-
70,434

1

71,144

2
845,963
17

839,961
19
$ 4,879,530
100
$ 4,406,110
100
$ 176,651
4
$ 168,739
4
-
-
-
-
611,197
12
485,081
11
150
-
338
-
1,248,869
26
1,083,010
24
468,442
10
431,500
10
27,405
-
39,533
1
47,738
1
46,876
1
17,762

-

26,547

1
2,598,214
53
2,281,624
52
10,535
-
10,357
-
12,247
-
34,358
1
56,406
1
29,245
1
17,877

1

15,921

-
97,065

2

89,881

2
2,695,279
55
2,371,505
54
1,000,000
21
1,000,000
23
1,783

-

1,797

-
358,096
7
358,096
8
17,619
-
17,619
1
765,101
16

623,838
14
1,140,816
23

999,553
23
30,144

1

21,470

-
2,172,743
45
2,022,820
46
11,508

-

11,785

-
2,184,251
45
2,034,605
46
$ 4,879,530
100
$ 4,406,110
100		 (In Thousands of New Taiwan Dollars)
December 31,2024
June 30,2024
Amount
％
Amount
％
$ 733,387
15
$ 651,568
15
463
-
11,840
-
250,277
5
249,589
6
858,494
18
674,551
15
2,866
-
23,186
1
1,157,180
24
822,191
19
8,403
-
8,532
-
493
-
307
-
457,662
9
621,012
14
479,218
10
392,803
9
85,124

2

110,570

2
4,033,567
83
3,566,149
81
49,063
1
42,197
1
211,034
4
200,080
5
70,937
2
67,357
1
366,735
8
366,764
8
59,139
1
80,407
2
2,531
-
2,863
-
16,090
-
9,149
-
70,434

1

71,144

2
845,963
17

839,961
19
$ 4,879,530
100
$ 4,406,110
100
$ 176,651
4
$ 168,739
4
-
-
-
-
611,197
12
485,081
11
150
-
338
-
1,248,869
26
1,083,010
24
468,442
10
431,500
10
27,405
-
39,533
1
47,738
1
46,876
1
17,762

-

26,547

1
2,598,214
53
2,281,624
52
10,535
-
10,357
-
12,247
-
34,358
1
56,406
1
29,245
1
17,877

1

15,921

-
97,065

2

89,881

2
2,695,279
55
2,371,505
54
1,000,000
21
1,000,000
23
1,783

-

1,797

-
358,096
7
358,096
8
17,619
-
17,619
1
765,101
16

623,838
14
1,140,816
23

999,553
23
30,144

1

21,470

-
2,172,743
45
2,022,820
46
11,508

-

11,785

-
2,184,251
45
2,034,605
46
$ 4,879,530
100
$ 4,406,110
100
Amount
$ 706,320

-
268,943
723,636

1,698
808,569

2,417
534
593,690

498,375

99,419

3,703,601

48,102
187,288
68,596
353,557
35,943
5,993
14,026
69,575

783,080

$ 4,486,681

$ 241,438
49,973
463,105

883
1,005,895

472,138

42,478
26,545
29,222

2,331,677

10,264
9,244
51,372
15,137

86,017

2,417,694

1,000,000

1,959

386,109
17,619
625,517

1,029,245

27,921

2,059,125

9,862

2,068,987

$ 4,486,681
 Amount
$ 733,387

463
250,277
858,494

2,866
1,157,180

8,403
493
457,662
479,218

85,124

4,033,567

49,063
211,034
70,937
366,735
59,139
2,531
16,090
70,434

845,963

$ 4,879,530

$ 176,651
-
611,197

150
1,248,869

468,442

27,405
47,738
17,762

2,598,214

10,535
12,247
56,406
17,877

97,065

2,695,279

1,000,000

1,783

358,096
17,619
765,101

1,140,816

30,144

2,172,743

11,508

2,184,251

$ 4,879,530
 Amount
$ 651,568

11,840
249,589
674,551

23,186
822,191

8,532
307
621,012

392,803
110,570

3,566,149

42,197
200,080
67,357
366,764
80,407
2,863
9,149
71,144

839,961

$ 4,406,110

$ 168,739
-
485,081

338
1,083,010

431,500

39,533
46,876
26,547

2,281,624

10,357
34,358
29,245
15,921

89,881

2,371,505

1,000,000

1,797

358,096
17,619
623,838

999,553

21,470

2,022,820

11,785

2,034,605

$ 4,406,110
 ％

































































15
-
6
15
1
19
-
-
14
9

2
81
1
5
1
8
2
-
-

2
19
100
4
-
11
-
24
10
1
1

1
52
-
1
1

-

2
54
23

-
8
1
14
23

-
46

-
46
100

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche auditors’ review report dated August 11, 2025)

  • 5 -

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

For the Three Months EndedJune 30 Three Months EndedJune 30 Three Months EndedJune 30 For the Six Months Six Months EndedJune 30
2025 2024 2025 2024
Code Amount ％ Amount ％ Amount ％ Amount ％
OPERATING REVENUE
(Notes 20 and 26)
4100
Sales
 $ 1,259,946 74 $ 1,144,704
 74 $ 2,354,598
 74 $ 2,203,876
 75
4600
Maintenance revenue		 444,491 26 399,662
 26 818,561
 26 735,714
 25
4300
Rental revenue
 4,269
-		 4,269
 - 8,514
-		 8,538
 -
4000
Total operating revenue
 1,708,706 100 1,548,635
 100 3,181,673
 100 2,948,128
 100


OPERATING COSTS (Notes
10, 18, and 21)
5110
Cost of goods sold		 964,010 56 849,674
 55 1,829,064
 57 1,644,011
 56
5600
Maintenance costs		 302,232 18 287,155
 18 538,832
 17 530,900
 18
5300
Rental costs
 3,341
-		 3,230
 - 6,678
-		 6,483
 -
5000
Total operating costs
 1,269,583 74 1,140,059
 73 2,374,574
 74 2,181,394
 74

5900
GROSS PROFIT
 439,123 26 408,576
 27 807,099
 26 766,734
 26


OPERATING EXPENSES
(Notes 9, 18, 21, and 26)
6100
Selling and marketing
expenses 322,921 19 298,747
 19 530,075
 17 496,635
 17
6300
Research and development
expenses 44,659 3 57,306 4 96,112 3 125,272 4
6450
Expected credit loss
 ( 37)
-		 19
 - 6
-		 13
 -
6000
Total operating expenses
 367,543 22 356,072
 23 626,193
 20 621,920
 21

6900
PROFIT FROM OPERATIONS		 71,580
4		 52,504
 4 180,906
6		 144,814
 5


NON-OPERATING INCOME
AND EXPENSES
7100
Interest income (Note 21)		 4,209 - 3,619 - 7,514 - 6,321 -
7010
Other income (Notes 21 and
26) 7,784 1 20,462 1 11,867 - 35,390 1
7020
Other gains and losses (Note
21) (
3,707 )
-		 (
1,086 )
-		 (
3,424 )
-		 3,997
-
7050
Finance costs (Notes 21 and
26) (
3,452 )
-		 (
3,886 )
-		 (
6,856 )
-		 (
7,895 )
-
7060
Share of profit or loss of
associates and joint
ventures (Note 12) ( 794)
-		 433
 - ( 1,918)
-		 550
 -
7000
Total non-operating
income and expenses 4,040
1		 19,542
 1 7,183
-		 38,363
 1

7900
PROFIT BEFORE INCOME
TAX 75,620 5 72,046 5 188,089 6 183,177 6

7950
INCOME TAX EXPENSE
(Notes 4 and 22) 16,151
1		 15,321
 1 40,185
1		 42,113
 1

8200
NET PROFIT
 59,469
4		 56,725
 4 147,904
5		 141,064
 5
(Continued)
  • 6 -
Code
OTHER COMPREHENSIVE
INCOME
8310
Items that will not be
reclassified subsequently
to profit or loss:
8316
Unrealized (loss) gain
on investments in
equity instruments at
fair value through
other comprehensive
income(Note 19)
8360
Items that may be
reclassified subsequently
to profit or loss:
8361
Exchange differences on
translating the
financial statements
of foreign
operations(Note 19)
8370
Share of the other
comprehensive
income of associates
and joint ventures
accounted for using
the equity
method(Note 19)

8300
Total other
comprehensive
income, net of income
tax

8500TOTAL COMPREHENSIVE
INCOME

NET INCOME
ATTRIBUTABLE TO:
8610
Owners of the Company

8620
Non-controlling interests

8600


TOTAL COMPREHENSIVE
INCOME (LOSS)
ATTRIBUTABLE TO:
8710
Owners of the Company

8720
Non-controlling interests

8700


EARNINGS PER SHARE (Note
23)
9710
Basic

9810
Diluted
 For the Three Months EndedJune 30
2025
2024
Amount
％
Amount
％
$ 5,818
-
$ 14,279
1

(
2,757 )
-
471
-

(
197)

-
(
103)

-

(
2,954)

-

368

-


2,864

-

14,647

1

$ 62,333

4
$ 71,372

5

$ 59,553
3
$ 56,930
4

(
84)

-
(
205)

-

$ 59,469

3
$ 56,725

4

$ 62,995
4
$ 71,506
5

(
662)

-
(
134)

-

$ 62,333

4
$ 71,372

5

$ 0.60
$ 0.57

$ 0.59
$ 0.57
 For the Three Months EndedJune 30
2025
2024
Amount
％
Amount
％
$ 5,818
-
$ 14,279
1

(
2,757 )
-
471
-

(
197)

-
(
103)

-

(
2,954)

-

368

-


2,864

-

14,647

1

$ 62,333

4
$ 71,372

5

$ 59,553
3
$ 56,930
4

(
84)

-
(
205)

-

$ 59,469

3
$ 56,725

4

$ 62,995
4
$ 71,506
5

(
662)

-
(
134)

-

$ 62,333

4
$ 71,372

5

$ 0.60
$ 0.57

$ 0.59
$ 0.57
 For the Three Months EndedJune 30
2025
2024
Amount
％
Amount
％
$ 5,818
-
$ 14,279
1

(
2,757 )
-
471
-

(
197)

-
(
103)

-

(
2,954)

-

368

-


2,864

-

14,647

1

$ 62,333

4
$ 71,372

5

$ 59,553
3
$ 56,930
4

(
84)

-
(
205)

-

$ 59,469

3
$ 56,725

4

$ 62,995
4
$ 71,506
5

(
662)

-
(
134)

-

$ 62,333

4
$ 71,372

5

$ 0.60
$ 0.57

$ 0.59
$ 0.57
 For the Three Months EndedJune 30
2025
2024
Amount
％
Amount
％
$ 5,818
-
$ 14,279
1

(
2,757 )
-
471
-

(
197)

-
(
103)

-

(
2,954)

-

368

-


2,864

-

14,647

1

$ 62,333

4
$ 71,372

5

$ 59,553
3
$ 56,930
4

(
84)

-
(
205)

-

$ 59,469

3
$ 56,725

4

$ 62,995
4
$ 71,506
5

(
662)

-
(
134)

-

$ 62,333

4
$ 71,372

5

$ 0.60
$ 0.57

$ 0.59
$ 0.57
 For the Six Months Six Months EndedJune 30 EndedJune 30
2025 ％
-


-

-


-


-


4

3


-


3

4


-


4


 2024 2025 ％

-


-

-


-


-


5

5


-


5

5


-


5


 2024
Amount
$ 5,818
(
2,757 )
(
197)

(
2,954)


2,864

$ 62,333

$ 59,553
(
84)

$ 59,469

$ 62,995
(
662)

$ 62,333

$ 0.60
$ 0.59		 Amount
$ 14,279
471

103)

368

14,647

$ 71,372

$ 56,930

205)

$ 56,725

$ 71,506

134)

$ 71,372

$ 0.57
$ 0.57		 Amount
( $ 961 )
(
1,690 )
(
66)

(
1,756)

(
2,717)

$ 145,187

$ 148,429
(
525)

$ 147,904

$ 146,206
(
1,019)

$ 145,187

$ 1.48
$ 1.48		 Amount
$ 9,171
986

164)

822

9,993

$ 151,057

$ 142,602

1,538)

$ 141,064

$ 152,344

1,287)

$ 151,057

$ 1.43
$ 1.42		 ％

(




(


(
(




(


(


 -
-

-

-

-

5
5

-

5
5

-

5

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche auditors’ review report dated August 11, 2025)

(Concluded)

  • 7 -

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

FOR THE SIX MONTHS ENDED JUNE 30,2025 AND 2024

( In Thousands of New Taiwan Dollars, except Dividend Per Share)

C o d e
A1
BALANCE AT JANUARY 1, 2024

Appropriation of the 2023 earnings
B1
Legal reserve
B5
Cash dividends - NT$2.4 per share
D1
Net profit for the six months ended June 30, 2024
D3
Other comprehensive income (loss) for the six
months ended June 30, 2024, net of income tax
D5
Total comprehensive income (loss) for the six
months ended June 30, 2024
M7
Changes in ownership interests in subsidiaries
O1
Cash dividends from subsidiary

Z1
BALANCE AT JUNE 30, 2024

A1
BALANCE AT JANUARY 1, 2025

Appropriation of the 2024 earnings
B1
Legal reserve
B5
Cash dividends - NT$2.6 per share
D1
Net profit for the six months ended June 30, 2025
D3
Other comprehensive income (loss) for the six
months ended June 30, 2025, net of income tax
D5
Total comprehensive income (loss) for the six
months ended June 30, 2025
C3
Unclaimed dividends
M5
Actual acquisition and disposition of interests in
subsidiaries
O1
Cash dividends from subsidiary

Z1
BALANCE AT JUNE 30, 2025
 Equity attributable to o wners ofthe Company Total
$ 2,114,207

-

240,000 )
142,602

9,742

152,344


3,731 )
-

$ 2,022,820

$ 2,172,743

-

260,000 )
148,429


2,223)

146,206

52
124

-

$ 2,059,125
 Non-controlling
interests
$ 3,097

-
-

(
1,538 )

251

(
1,287)

10,008
(
33)

$ 11,785

$ 11,508

-
-

(
525 )
(
494)

(
1,019)

-
(
613 )
(
14)

$ 9,862
 Totalequity
Share capital -
ordinary shares
$ 1,000,000

-
-

-

-


-

-

-

$ 1,000,000

$ 1,000,000

-
-

-

-


-

-
-

-

$ 1,000,000
 Capitalsurplus
$ 1,797

-
-
-

-


-

-

-

$ 1,797

$ 1,783

-
-
-

-


-

52
124

-

$ 1,959
 Retained earnings Unappropriated
earnings
$ 752,580

(
27,613 )
(
240,000 )
142,602

-


142,602

(
3,731 )

-

$ 623,838

$ 765,101

(
28,013 )
(
260,000 )
148,429

-


148,429

-
-

-

$ 625,517
 Other equity
Exchange
differences on
translating the
financial statements
of foreign
operations
Unrealized gain or
loss on financial
assets at fair value
through other
comprehensive
income
( $ 9,900 )
$ 21,628

-
-
-
-

-
-

571

9,171


571

9,171

-
-


-

-

($ 9,329)
$ 30,799

( $ 7,521 )
$ 37,665

-
-
-
-

-
-
(
1,262)
(
961)

(
1,262)
(
961)

-
-
-
-

-

-

($ 8,783)
$ 36,704
Exchange
differences on
translating the
financial statements
of foreign
operations

( $ 9,900 )

-
-
-

571


571

-

-

($ 9,329)

( $ 7,521 )

-
-
-
(
1,262)

(
1,262)

-
-

-

($ 8,783)
Legal reserve
$ 330,483

27,613
-
-
-

-

-
-

$ 358,096

$ 358,096

28,013
-
-
-

-

-
-
-

$ 386,109
 Special reserve
$ 17,619

-

-

-

-


-

-


-

$ 17,619

$ 17,619

-

-

-

-


-

-
-

-

$ 17,619







































(
(


(



(
(



 (



(
(
(
(

(





(
(
(


(



(
(
(

(
(


(
(
(
(
(
(


(


(
(

(
(
 $ 2,117,304
-

240,000 )
141,064
9,993
151,057
6,277

33)
$ 2,034,605
$ 2,184,251
-

260,000 )
147,904

2,717)
145,187
52

489 )

14)
$ 2,068,987

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche auditors’ review report dated August 11, 2025)

  • 8 -

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE SIX MONTHS ENDED JUNE 30,2025 AND 2024

(In Thousands of New Taiwan Dollars)

Code
CASH FLOWS FROM OPERATING
ACTIVITIES
A10000
Income before income tax

A20010
Adjustments for:

A20100
Depreciation expenses

A20200
Amortization expenses

A20300
Expected credit loss

A20400
Net gain on financial assets at fair value
through profit or loss
A20900
Finance costs

A21200
Interest income

A22300
Share of profit or loss of associates and joint
ventures accounted for using the equity
method
A22500
Gain on disposal of property, plant and
equipment
A23800
Write-downs of inventories (reversal of
write-downs of inventories)
A24100
Net gain on foreign currency exchange

A30000
Changes in operating assets and liabilities

A31125
Contract assets

A31130
Notes receivable

A31150
Accounts receivable

A31180
Other receivables

A31200
Inventories

A31230
Prepayments

A31240
Other current assets

A32125
Contract liabilities

A32130
Notes payable

A32150
Accounts payable

A32180
Other payables

A32230
Other current liabilities

A32240
Net defined benefits liabilities

A33000
Cash (used in) generated from operations

A33100
Interest received

A33300
Interest paid

A33500
Income tax paid

AAAA
Net cash used in from operating activities
 For the Six Months EndedJune 30 For the Six Months EndedJune 30 For the Six Months EndedJune 30
2025
$ 188,089
57,303
2,195
6

3 )
6,856

7,514 )
1,918

283 )

3,714 )

188 )
134,858
1,168
340,184
5,825

133,114 )

19,157 )

5,258 )

148,092 )
733

239,593 )

255,826 )
11,460

5,034)

67,181 )
7,546

6,338 )

23,115)

89,088)		 2024

(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(
(		 $ 183,177
56,835
419
13

1,383 )
7,895

6,321 )

550 )

88 )
33

144 )

191,229 )

11,124 )
607,686

2,179 )

148,056 )
22,094

5,922 )
19,751
207

371,094 )

227,308 )
8,482

12,702)

71,508 )
6,339

7,667 )

19,675)

92,511)

(Continued)

  • 9 -
Code
CASH FLOWS FROM INVESTING
ACTIVITIES
B00050
Proceeds (acquisition) from sale of financial
assets at amortized cost
B00200
Proceeds from sale of financial assets at fair value
through profit or loss
B02700
Payments for property, plant and equipment
B02800
Proceeds from disposal of property, plant and
equipment
B03700
Increase in refundable deposits

B04500
Payments for intangible assets
B06100
Decrease in lease receivable
BBBB
Net cash used in from investing activities
CASH FLOWS FROM FINANCING
ACTIVITIES
C00100
Increase (decrease) in short-term borrowings
C00500
Proceeds from short-term bills payable
C03100
Increase (decrease) in guarantee deposits received
C04020
Repayment of the principal portion of lease
liabilities
C05400
Acquisition of interests in subsidiaries
C05500
Partial disposal of interests in subsidiary without a
loss of control
C05800
Change in non-controlling interests
C09900
Unclaimed dividends
CCCC
Net cash generated (used in) from financing
activities
DDDD
EFFECTS OF EXCHANGE RATE CHANGES ON THE
BALANCE OF CASH AND CASH EQUIVALENTS
HELD IN FOREIGN CURRENCIES
EEEE
NET DECREASE IN CASH AND CASH
EQUIVALENTS
E00100
CASH AND CASH EQUIVALENTS AT THE
BEGINNING OF THE PERIOD
E00200
CASH AND CASH EQUIVALENTS AT THE END OF
THE PERIOD		 For the Six Months EndedJune 30 For the Six Months EndedJune 30 For the Six Months EndedJune 30
2025
$ 5,080
466

21,719 )
748

9,169 )

5,701 )
991

29,304)
84,486
49,959

2,740 )

25,434 )

500 )
11
-
52
105,834

14,509)

27,067 )
733,387
$ 706,320		 2024

(

(
(

(
(
(
(


(
(

 (
(
(
(

(
(
(

(

(

 $ 36,189 )
-

35,063 )
435

27,443 )

947 )
-

99,207)

32,026 )
-
1,150

24,251 )
-
-
6,277
-

48,850)
7,642

232,926 )
884,494
$ 651,568

The accompanying notes are an integral part of the consolidated financial statements. (With Deloitte & Touche auditors’ review report dated August 11, 2025)

(Concluded)

  • 10 -

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES Notes to Consolidated Financial Statements For the Six Months Ended June 30, 2025 and 2024

(Amounts in thousands of NTD, unless otherwise indicated)

1. General

SYSCOM COMPUTER ENGINEERING CO. (the"Company")was incorporated in July 1975. The Company mainly leases and sells computer systems and designs computer software. It also provides services for the integration of computer information systems and maintenances of computer hardware. The Company's shares have been listed on the Taiwan Stock Exchange since May 22, 2001.

The consolidated financial statements are presented in the Company’s functional currency, the New Taiwan dollar.

The Company and its subsidiaries are hereinafter collectively referred to as the "The Group ".

  1. The Date and Procedures of Authorization of Financial Statements

The consolidated financial statements were approved by the Board of Directors on August 11, 2025.

  1. Application of New and Revised Standards and Interpretations (1) Initial application of the amendments to the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, the “IFRS Accounting Standards”) endorsed and issued into effect by the Financial Supervisory Commission (FSC).

The Group has assessed that the application of the revised IFRS Accounting Standards endorsed and issued into effect by the FSC did not have material impact on the Group’s accounting policies.

  • (2) The IFRS Accounting Standards endorsed by the FSC for application starting from 2026
New/Revised/Amended Standards and Interpretations
Amendments to IFRS 9 and IFRS 7 “Amendments to the
Classification and Measurement of Financial
Instruments”
Amendments to IFRS 9 and IFRS 7 “Contracts
Referencing Nature-dependent Electricity”
Annual Improvements to IFRS Accounting Standards -
Volume 11
IFRS 17 “Insurance Contracts”
Amendments to IFRS 17
Amendments to IFRS 17 “Initial Application of IFRS 17
and IFRS 9 - Comparative Information”		 Effective Date
Announced bythe IASB
January 1, 2026
January 1, 2026
January 1, 2026
January 1, 2023
January 1, 2023
January 1, 2023

As of the date the consolidated financial statements were authorized for issue, the Group is continuously assessing the possible impact of the application on the Group’s financial position and financial performance and will disclose the relevant impact when the assessment is completed.

  • (3) IFRSs issued by the IASB but not yet endorsed and issued into effect by the FSC
New/Revised/Amended Standards and Interpretations
Amendments to IFRS 10 and IAS 28 “Sale or Contribution
of Assets between an Investor and its Associate or Joint
Venture”
IFRS 18 “Presentation and Disclosure in Financial
Statements”		 Effective Date Announced by
the IASB(Note)
To be determined by IASB
January 1, 2027

-11-

Effective Date Announced by New/ Revised /Amended Standards and Interpretations the IASB (Note) IFRS 19 “Subsidiaries without Public Accountability: January 1, 2027 Disclosures”

Note : Unless stated otherwise, the above IFRS Accounting Standards are effective for annual reporting periods beginning on or after their respective effective dates. IFRS 18 “Presentation and Disclosures in Financial Statements”

IFRS 18 will supersede IAS 1” Presentation of Financial Statements”. The main changes comprise:

  • Items of income and expenses included in the statement of profit or loss shall be classified into the operating, investing, financing, income taxes and discounted operations categories.

  • The statement of profit or loss shall present totals and subtotals for operating profit or loss, profit or loss before financing and income taxes and profit or loss.

  • Provides guidance to enhance the requirements of aggregation and disaggregation: The Group shall identify the assets, liabilities, equity, income, expenses and cash flows that arise from individual transactions or other events and shall classify and aggregate them into groups based on shared characteristics, so as to result in the presentation in the primary financial statements of line items that have at least one similar characteristic. The Group shall disaggregate items with dissimilar characteristics in the primary financial statements and in the notes. The Group labels items as ‘other’ only if it cannot find a more informative label.

  • Disclosures on Management-defined Performance Measures (MPMs): When in public communications outside financial statements and communicating to users of financial statements management’s view of an aspect of the financial performance of the Group as a whole, the Group shall disclose related information about its MPMs in a single note to the financial statements, including the description of such measures, calculations, reconciliations to the subtotal or total specified by IFRS Accounting Standards and the income tax and non-controlling interests effects of related reconciliation items.

Except for the above impact, as of the date the consolidated financial statements were authorized for issue, the Group is continuously assessing the possible impact of the application of other standards and interpretations on the Group’s financial position and financial performance and will disclose the relevant impact when the assessment is completed.

4. Summary of Significant Accounting Policies (1) Statement of Compliance

These interim consolidated financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IAS 34 “Interim Financial Reporting” endorsed and issued into effect by the FSC. The consolidated financial statements do not present all the disclosures required for a complete set of annual consolidated financial statements prepared under the IFRSs endorsed and issued into effect by the FSC.

(2) Basis of Preparation

The consolidated financial statements were prepared on the historical cost basis, except for financial instruments measured at fair value and net defined benefit liabilities recognized at the present value of the defined benefit obligation less the fair value of plan assets. The evaluation of fair value could be classified into Level 1 to Level 3 by the observable intensity and importance of the related input value:

  • A. Level 1 input value: refers to the quotation of the same asset or liability in an active market as of the evaluation (before adjustment).

  • B. Level 2 input value: refers to the direct (the price) or indirect (inference of price) observable input value of asset or liability further to the quotation of Level 1.

  • C. Level 3 input value: the unobservable input value of asset or liability.

(3) Basis of Consolidation

The consolidated financial statements include the financial statements of the Company and entities controlled by the Company (subsidiaries). The subsidiaries’ financial statements have been properly adjusted to make the accounting policies consistent with the accounting

-12-

policies of the Group. In preparing the consolidated financial statements, all intra-group transactions, account balances, gains and losses have been eliminated. The total comprehensive income of the subsidiaries is attributable to the shareholders and non-controlling interests of the Company, even if this results in a loss balance for the non-controlling interests.

When a change in the Group 's ownership interest in a subsidiary does not result in a loss of control, it is treated as an equity transaction. The carrying amounts of the Group and non-controlling interests have been adjusted to reflect the changes in their relative interests in subsidiaries. The difference between the adjustment of the non-controlling interests and the fair value of the consideration paid or received is recognized directly in equity attributable to shareholders of the Company.

Please refer to Note 11 and Tables 4 and 5 for details of subsidiaries, shareholding percentage and principal businesses.

  • (4) Other significant accounting policies

Except for the following, please refer to the consolidated financial statements for the year ended 2024.

  • A. Defined benefits of retirement

Pension cost for an interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior financial year, adjusted for significant market fluctuations for the current period, and for amendments in significant plans, settlements, or other significant one-off events.

  • B. Income tax expense

  • Income tax expense represents the sum of the tax currently payable and deferred tax. The interim period income tax expense is accrued using the tax rate that would be applicable to expected total annual earnings, that is, the estimated average annual effective income tax rate applied to the pre-tax income of the interim period.

5. Critical Accounting Judgments and Key Sources of Estimation and Uncertainty

In the application of the Group’s accounting policies, the management is required to make judgments, estimates and assumptions which are based on historical experience and other factors that are not readily apparent from other sources. Actual results may differ from these estimates.

The consolidated financial statements for critical accounting judgments and key sources of estimation uncertainty are consistent with the consolidated financial statements for the year ended December 31, 2024.

6. Cash and cash equivalents

Cash and cash equivalents
Cash on hand

Checking accounts and demand
deposits

Cash equivalents (investments
with original maturities of
less than 3 months)

Time deposits

Repurchase agreements

 June 30,
2025
$ 873
388,905
93,680
222,862
$ 706,320		 December 31,
2024
$ 1,003
466,339
99,315

166,730
$ 733,387		 June 30,
2024






$ 822
476,934
78,740
95,072
$ 651,568

-13-

7. Financial assets at fair value through other comprehensive income

Investments in equity
instruments-non-current
Domestic investments
Listed shares
Unlisted shares		 June 30,
2025
$ 46,507
1,595
$ 48,102		 December 31,
2024
$ 47,468

1,595
$ 49,063		 June 30,
2024






$ 40,602
1,595
$ 42,197

These investments in equity instruments are not held for trading. Instead, they are held for medium to long-term strategic purposes. Accordingly, the management elected to designate these investments in equity instruments as at FVTOCI as they believe that recognizing short-term fluctuations in these investments’ fair value in profit or loss would not be consistent with the Group’s strategy of holding these investments for long-term purposes.

8. Financial assets at amortized cost

Financial assets at amortized cost
Pledged time deposits

Time deposits with original
maturities of more than 3
months


Current

Non-current

Total
 June 30,
2025
$ 297,976
158,255
$ 456,231
$ 268,943
187,288
$ 456,231		 December 31,
2024
$ 349,765

111,546
$ 461,311
$ 250,277

211,034
$ 461,311		 June 30,
2024















$ 344,228
105,441
$ 449,669
$ 249,589
200,080
$ 449,669

Refer to Note 27 for information relating to financial assets at amortized cost pledged as security.

Based on the Group’s assessment, the credit risk of the above-mentioned financial assets at amortized cost is not expected to be high and has not increased since initial recognition. The Group does not expect to recognize any credit loss resulting from default events on financial assets at amortized cost that are possible within 12 months after the reporting date. Accordingly, no impairment loss was recognized as of June 30, 2025, December 31, 2024 and June 30, 2024.

9. Accounts receivable

Accounts receivable
At amortized cost

Accounts receivable

Less:Allowance for impairment
loss
 June 30,
2025

$ 817,982

9,413)
$ 808,569
 December 31,
2024

$ 1,166,602

9,422)
$ 1,157,180
 June 30,
2024


(

(

(
 $ 830,456
8,265)
$ 822,191

The average credit period of sales of goods was 30 to 120 days. No interest was charged on accounts receivable.

In order to minimize credit risk, the management of the Group has delegated a team responsible for determining credit limits, credit approvals and other monitoring procedures to ensure that follow-up action is taken to recover overdue debts. In addition, the Group reviews the recoverable amount of each individual trade debt at the end of the reporting period to

-14-

ensure that adequate allowance is made for possible irrecoverable amounts. In this regard, the management believes the Group’s credit risk was significantly reduced.

The Group measures the loss allowance for all accounts receivables at an amount equal to lifetime ECLs. The expected credit losses on accounts receivable are estimated by reference to past default experience of the debtor, an analysis of the debtor’s current financial position, past experience with collecting payments, observable changes in national or local economic conditions that correlate with defaults on receivables, as well as indicators of the industry in which the debtors operate.

The Group writes off a accounts receivable when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery, e.g. when the debtor has been placed under liquidation. For accounts receivable that have been written off, the Group continues to engage in enforcement activity to attempt to recover the receivables due. Where recoveries are made, these are recognized in profit or loss.

Considering the above conditions, the Groupe assesses the credit risk of individual customers based on the aging schedule of accounts receivable (based on invoice date). The following table details the loss allowance of accounts receivable. June 30, 2025

June 30, 2025
Gross carrying amount

Loss allowance (Lifetime
ECL)

Amortized cost

December 31, 2024
Gross carrying amount

Loss allowance (Lifetime
ECL)

Amortized cost

June 30, 2024
Gross carrying amount

Loss allowance (Lifetime
ECL)

Amortized cost
 Less than
60 Days		 61 to 90
Days		 91 to120
Days		 Over 120
Days		 Total


$ 671,973
-

$ 671,973

Less than
60 Days
(
 $ 40,165

461)

$ 39,704

61 to 90
Days
(
 $ 22,825

71)

$ 22,754

91 to120
Days
(
 $ 83,109

8,881)

$ 74,138

Over 120
Days
(
 $ 817,982

9,413)
$ 808,569
Total


$ 1,034,542
-

$ 1,034,542

Less than
60 Days

$ 55,815
-

$ 55,815

61 to 90
Days

$ 19,452
-

$ 19,452

91 to120
Days
(
 $ 56,793

9,422)

$ 47,371

Over 120
Days
(
 $ 1,166,602

9,422)
$ 1,157,180
Total


$ 689,023
-

$ 689,023

$ 55,208
-

$ 55,208

$ 11,049
-

$ 11,049
(
 $ 75,176

8,265)

$ 66,911
(
 $ 830,456

8,265)
$ 822,191
The movements of the loss allowance of accounts receivable were as follows:
For the Six Months EndedJune 30
2025
2024
Balance at January 1
$ 9,422
$ 8,243
Impairment of loss allowance
6
13
Foreign exchange gains and losses
(
15)

9
Balance at June 30
$ 9,413
$ 8,265		 The movements of the loss allowance of accounts receivable were as follows:
For the Six Months EndedJune 30
2025
2024
Balance at January 1
$ 9,422
$ 8,243
Impairment of loss allowance
6
13
Foreign exchange gains and losses
(
15)

9
Balance at June 30
$ 9,413
$ 8,265		 The movements of the loss allowance of accounts receivable were as follows:
For the Six Months EndedJune 30
2025
2024
Balance at January 1
$ 9,422
$ 8,243
Impairment of loss allowance
6
13
Foreign exchange gains and losses
(
15)

9
Balance at June 30
$ 9,413
$ 8,265		 The movements of the loss allowance of accounts receivable were as follows:
For the Six Months EndedJune 30
2025
2024
Balance at January 1
$ 9,422
$ 8,243
Impairment of loss allowance
6
13
Foreign exchange gains and losses
(
15)

9
Balance at June 30
$ 9,413
$ 8,265		 The movements of the loss allowance of accounts receivable were as follows:
For the Six Months EndedJune 30
2025
2024
Balance at January 1
$ 9,422
$ 8,243
Impairment of loss allowance
6
13
Foreign exchange gains and losses
(
15)

9
Balance at June 30
$ 9,413
$ 8,265
2025
$ 9,422
6
15)
$ 9,413		 2024

(

$ 8,243
13
9
$ 8,265
10. Inventories
Commodities
Prepayments for contracts
Inventories in transit
Maintenance materials
Total		 June 30,
2025		 December 31,
2024
$ 255,721
195,488
5,228

1,225
$ 457,662		 June 30,
2024


$ 321,275
188,043
83,896
476
$ 593,690

$ 355,781
222,808
41,658
765
$ 621,012

-15-

The commodities mainly consisted of computer hardware and software. Prepayment for contracts are the cost incurred to date related to computer hardware, software and labor.

The cost of inventories recognized as cost of goods sold for the three months and six months ended June 30, 2025 and 2024 were $964,010 thousand, $849,674 thousand, $1,829,064 thousand and $1,644,011 thousand respectively. The cost of goods sold related to the inventories which included the write-down of inventories (reversal of write-down of inventories), totaling ($736) thousand, $557 thousand, ($3,714) thousand and $33 thousand, respectively. The reversals of previous write-downs resulted from the sale of these inventories.

11. Subsidiaries

(1) Subsidiaries included in the consolidated financial statements The consolidated entities were as follows:

Investor
The Company






Coach Technology
Management Inc.

Casemaker Inc. and
SYSCOM INTERNA-
TIONAL INC.

 Investee
Casemaker Inc.

SYSCOM
INTERNATIONAL
INC.(SYSCOM)

Coach Technology
Management Inc.

Syscom Computer
(Thailand)Co., Ltd.

Wisemaker Technology
Co.

Netmaker Technology
Co., Ltd.

Syscom Computer
(Thailand)Co., Ltd.

Syscom Computer
(Shenzhen)Co., Ltd.

Xian Linan Computer Co.,
Ltd.(Xian Linan)
 Nature of
Activities
Sales of computer software,
hardware and related products.

Investments in other businesses

Diagnostic consulting for corporate
management, domestic and
foreign investment referral, and
computerized design consulting
Development and maintenance of
software and other businesses
Sales of computer software,
hardware and related products.
Information software, data
processing and electronic
information supply services
Development and maintenance of
software and other businesses
Computer equipment software
development, sales of
selfdeveloped technical
achievements services, computer
system integration and network
wiring engineering
Development and manufacture of
computer equipment and
computer software; sale of
self-manufactured products and
provision of technical services		 Proportion of Ownership (%)
June
30,2025
December
31,2024
June
30,2024

100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
97.50%
97.50%
97.50%
92.47%
92.47%
92.47%
99.28%
99.28%
99.24%
88.07%
86.60%
86.60%
0.54%
0.54%
0.54%
98.27%
98.27%
98.27%
79.23%
79.23%
79.23%		 Proportion of Ownership (%)
June
30,2025
December
31,2024
June
30,2024

100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
97.50%
97.50%
97.50%
92.47%
92.47%
92.47%
99.28%
99.28%
99.24%
88.07%
86.60%
86.60%
0.54%
0.54%
0.54%
98.27%
98.27%
98.27%
79.23%
79.23%
79.23%		 Description
June
30,2025
100.00%
100.00%
97.50%
92.47%
99.28%
88.07%
0.54%
98.27%
79.23%
December
31,2024
100.00%
100.00%
97.50%
92.47%
99.28%
86.60%
0.54%
98.27%
79.23%
A
A
A
A
A、C
A、D
A
A
A、B

  • A. The subsidiaries are not significant subsidiaries. The financial statements have not been reviewed by CPAs.

  • B. Xian Lian increased its capital by US$1,500 thousand in February 2024, the Company subscribed for cash capital increase of indirect subsidiary, Xian Lian Company through SYSCOM. The investments amounted to US$1,300 thousand. The Company’s percentage of ownership in Xian Lian increased to 79.23%.

  • C. In November 2024 and April 2025, the Company acquired additional 1 thousand shares of Wisemaker Technology Co. from an unrelated party for $35 thousand and 5 thousand ,respectively; after the acquisition of further interests, the Company’s percentage of ownership in Wisemaker Technology Co. increased to 99.28%.

  • D. In April 2025, the Company disposed of 1 thousand shares of Netmaker Technology Co., Ltd. for $11 thousand. In June 2025, the Company acquired 50 thousand shares from non-controlling shareholders in an amount of $495 thousand; following the above transactions, the Company’s percentage of ownership in Netmaker Technology Co., Ltd. increased to 88.07%.

  • (2) Subsidiaries excluded from the consolidated financial statements: None.

  • (3) Subsidiaries with material non-controlling interests: None.

-16-

12. Investments accounted for using the equity method

Investments in associates

Investments in joint ventures


(1)
Investments in associates
Associates that is not
individually materiality
Unlisted companies
DBMaker Japan Inc.		 June 30,
2025
$ 12,236
56,360
$ 68,596
June 30,
2025
$ 12,236		 December 31,
2024
$ 14,145

56,792
$ 70,937
December 31,
2024
$ 14,145		 June 30,
2024




$ 11,543
55,814
$ 67,357
June 30,
2024
$ 11,543

As at the end of the reporting period, the		 proportions of ownership and voting rights in proportions of ownership and voting rights in
associates held by the Group were as follows:
June 30,
December 31,		 June 30,
Name of the company
2025		 2024 2024
DBMaker Japan Inc.
49.89%		 49.89% 49.89%

Refer to Table 4 “Information on Investees” for the nature of activities, principal place of business and country of incorporation of the associates.

(2) Investments in joint ventures

Investments in joint ventures
June 30,
2025
December 31,
2024
June 30,
2024
Joint venture that is not
individually material
CloudMaster Co., Ltd.

$ 56,360

$ 56,792

$ 55,814
At the end of the reporting period, the proportion of ownership and voting rights in
jointly controlled entity held by the Group was as follows:
June 30,
2025
December 31,
2024
June 30,
2024
CloudMaster Co., Ltd.
50.00%
50.00%
50.00%		 June 30,
2024
50.00%

At the end of the reporting period, the proportion of ownership and voting rights in jointly controlled entity held by the Group was as follows:

Refer to Table 4 “Information on Investees” for the nature of activities, principal place of business and country of incorporation of the Joint venture.

In March 2013, under the authorization of the Investment Commission of the Ministry of Economic Affairs, the Group incorporated CloudMaster under the joint venture agreement and had 50% of ownership. CloudMaster provides services in information software, data processing and electronic information. Under the joint venture agreement, in the meetings of the board of directors and the shareholders of CloudMaster, majority rule shall prevail. However, the Group’s seat in CloudMaster’s board of director does not exceed half of the board. Besides, under CloudMaster’s policies, significant strategic decisions should be made by unanimous agreement of the shareholders of both entities, and the Group has no right to obtain the variable rewards which is unavailable to CloudMaster’s shareholders and does not have direct ability to affect the rewards from investing in CloudMaster. As a result, the Group has no control over CloudMaster.

The investments accounted for using the equity method and the share of profit or loss and other comprehensive income of those investments were calculated based on the joint venture’s financial statements that have not been reviewed by CPAs.

-17-

13. Property, plant and equipment

Property, plant and equipment
Assets used by the Group

Assets leased under operating
leases

(1)
Assets used by the Group
Land

Computer equipment

Buildings

Maintenance equipment

Leasehold improvements

Others

 June 30,
2025
$ 342,093

11,464
$ 353,557

June 30,
2025
$ 122,144
100,717
41,453
54,556
12,689
10,534
$ 342,093		 December 31,
2024

$ 352,694


14,041

$ 366,735

December 31,
2024
$ 123,552
106,735
43,248
55,195
14,853

9,111
$ 352,694		 June 30,
2024






$ 350,296
16,468
$ 366,764
June 30,
2024






$ 123,417
107,024
44,200
55,225
10,476
9,954
$ 350,296

Except for the recognition of depreciation expenses, the Group’s property, plant and equipment did not have significant addition, disposal and impairment for the six months ended June 30, 2025 and 2024.Depreciation expenses were depreciated on a straight-line basis over the estimated useful life of the asset:

basis over the estimated useful life of the asset:
Buildings
Maintenance equipment
Computer equipment
Leasehold improvements
Others
- Office equipment
-Transportation equipment

Assets leased under operating leases
June 30,
2025
Leased equipment

$ 11,464
 December 31,
2024

$ 14,041
 39 to 60 years
6 years
3 to 6 years
3 to 10 years
3 to 8 years
5 years
June 30,
2024


$ 16,468

(2) Assets leased under operating leases

Operating leases relate to leases of equipment with lease terms between 1 to 3 years. The lessees do not have bargain purchase options to acquire the assets at the expiry of the lease periods.

The maturity analysis of lease payments receivable under operating lease payments was as follows:

as follows:
Year 1
Year 2		 June 30,
2025
$ 8,561
67
$ 8,628		 December 31,
2024
$ 16,787

12
$ 16,799		 June 30,
2024






$ 16,934
8,356
$ 25,290

Except for the recognition of depreciation expenses, the Group’s Leased equipment did not have significant addition, disposal and impairment for the six months ended June 30, 2025 and 2024.

The equipment leased under operating leases are depreciated on a straight-line basis over 3 to 6 years estimated useful lives.

-18-

14. Lease agreements (1) Right-of-use assets

se agreements
Right-of-use assets
Carrying amounts
Buildings
 June 30,
2025
$ 35,943
 December 31,
2024

$ 59,139
 June 30,
2024

$ 80,407
Addition of right-of-use assets
Depreciation charge for
right-of-use assets
Buildings
 For the Three Months Ended
June 30
2025
2024


$ 12,145
$ 12,166
 For the Three Months Ended
June 30
2025
2024


$ 12,145
$ 12,166
 For the Three Months Ended
June 30
2025
2024


$ 12,145
$ 12,166
 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30
2025
$ 12,145
 2025
$ 1,899

$ 24,367
 2024



$ 9,395
$ 24,313

Except for the aforementioned addition and recognized depreciation, the Group did not have significant sublease or impairment of right-of-use assets during the six months ended June 30, 2025 and 2024.

(2) Lease liabilities

Lease liabilities
Carrying amounts
Current

Non-current
 June 30,
2025
$ 26,545
$ 9,244		 December 31,
2024
$ 47,738
$ 12,247		 June 30,
2024


$ 46,876
$ 34,358

The ranges of discount rate for lease liabilities were 1.04%-7.60%, 1.04%-7.64% and 0.75%-7.64% per annum as of June 30, 2025, December 31, 2024 and June 30, 2024, respectively.

(3) Material leasing activities and terms

As lessee, the Group leases buildings for the use as offices and dormitory with lease terms of 2 to 10 years. All lease contracts with lease terms over 5 years specify that lease payments will be adjusted every 5 years on the basis of changes in market rental rates. The Group does not have bargain purchase options to acquire the leasehold buildings at the end of the lease terms.

(4) Other lease information Lease-out arrangements under operating leases for freehold property, plant, and equipment were set out in Note 13.

Expenses relating to short-term
leases

Expenses relating to variable
lease payments not included
in the measurement of lease
liabilities

Total cash outflow for leases		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30
2025
$ 2,671

$ 123
 2024 2025
$ 5,340

$ 256

$ 31,709)
 2024


$ 2,557

$ 159

(

(		 $ 4,956
$ 297
$ 30,558)

As lessee, the Group leases certain buildings and leasehold improvements which qualify as short-term leases. The Group has elected to apply the recognition exemption and thus, did not recognize right-of-use assets and lease liabilities for these leases.

-19-

15. Intangible assets

ngible assets
Goodwill

Computer software

 June 30,
2025
$ 593
5,400
$ 5,993		 December 31,
2024
$ 593

1,938
$ 2,531		 June 30,
2024






$ 593
2,270
$ 2,863

Except for the recognition of amortization expenses, the Group’s intangible assets did not have significant addition, disposal and impairment for the six months ended June 30, 2025 and 2024. Computer software is being depreciated on a straight-line basis and will be amortized over 1 to 10 years.

16. Loans

  • (1) Short-term borrowings
Loans
Short-term borrowings
Unsecured borrowings
Line of credit borrowings
 June 30,
2025
$ 241,438		 December 31,
2024
$ 176,651		 June 30,
2024
$ 168,739

The range of interest rates on bank revolving loans was 2.05%- 6.87%, 4.45%- 7.23% and 7.30%-7.84% per annum as of June 30, 2025, December 31, 2024 and June 30, 2024, respectively.

  • (2) Short-term bills payable
Short-term bills payable
Commercial paper

Less: Unamortized discounts on
bills payable

 June 30,
2025
$ 50,000
27)
$ 49,973		 December 31,
2024
$ -

-

$ -		 June 30,
2024

(



$ -
-
$ -

Outstanding short-term bills payable were as follows: June 30, 2025

17. PromissoryInstitution
Nominal Amount
Commercial paper
Dah Chung Bills Finance
Corporation
$ 50,000

Other payables
Payables for dividends
Payables for salaries or bonus
Payables for insurance
Payables for pension
Payable for compensation of
employees
Payables for value-added tax
Payables for annual leave
Others
Discoun
Discoun		 t Amount
CarryingAmount
Interest Rate
27
$ 49,97
2.008%
June 30,
2025
December 31,
2024
$ 260,014
$ -
90,405
341,689
43,475
20,782
29,548
17,451
17,297
11,500
18,560
44,851
343
2,267
12,496

29,902
$ 472,138
$ 468,442		 Interest Rate StartingDate
2025/06/25
June 30,
2024		 EndingDate
$














-20-

18. Retirement benefits plans

For the three months and six months ended, June 30, 2025 and 2024, relevant pension costs for defined benefit plans which were determined by the pension cost rates of actuarial valuation as of December 31, 2024 and 2023 were as follows:

valuation as of December 31, 2024 and 2023 were as follows:
For the Three Months Ended
June 30
For the Six Months Ended
June 30
2025
2024
2025
2024
Operating costs
$ 15
$ 21
$ 29
$ 39
Operating expenses

256

174

508

357
$ 271
$ 195
$ 537
$ 396
Equity
Share capital - ordinary shares
June 30,
2025
December 31,
2024
June 30,
2024
Number of authorized shares
(in thousands)

157,000

157,000

157,000
Amount of authorized shares $ 1,570,000
$ 1,570,000
$ 1,570,000
Number of issued and fully
paid shares (in thousands)
100,000

100,000

100,000
Amount of issued and fully
paid shares
$ 1,000,000
$ 1,000,000
$ 1,000,000		 For the Six Months Ended
June 30
2025

2024
$ 39
357
$ 396
June 30,
2024



157,000
1,570,000
100,000
1,000,000
$
$

  1. Equity

  2. (1) Share capital - ordinary shares

Fully paid ordinary shares, which have a par value of $10, carry one vote per share and carry a right to dividends.

  • (2) Capital surplus

Such capital surplus arise from the difference between consideration paid or received and the carrying amount of the subsidiaries’ net assets during actual acquisition or disposal under equity transactions and from donated assets.

  • (3)

Retained earnings and dividend policy

In accordance with the Company's Articles of Incorporation, if the Company made profit in a fiscal year, the profit shall be first utilized for paying taxes, offsetting losses of previous years, setting aside as legal reserve 10% of the remaining profit, unless the legal reserve has reached the Company’s total paid-up capital. The remaining profit shall be set aside or reverse a special reserve in accordance with the laws and regulations, and then any remaining profit together with any undistributed retained earnings shall be used by the Company’s board of directors as the basis for proposing a distribution plan. The board of directors is authorized to adopt a special resolution to distribute dividends and bonuses in cash and a report of such distribution should be submitted in the shareholders’ meeting. However, other additional distribution should be resolved in the shareholders’ meeting for distribution of dividends and bonus to shareholders. For the policies on distribution of employees’ compensation and remuneration of directors, refer to “employee’s compensation and remuneration of directors ” in Note 21,(7).

The Company distributes both cash and share dividends, taking into account its profitability, future capital expenditure requirements and cash position. The distribution of cash dividends should not be less than 10% of the total dividends of the year. The Company may raise the percentage of cash dividend distribution only if the Company’s earnings and cash position are strong.

An appropriation of earnings to the legal reserve shall be made until the legal reserve equals the Company ’ s paid-in capital. The legal reserve may be used to offset deficits. If the Company has no deficit and the legal reserve has exceeded 25% of the Company’s paid-in capital, the excess may be transferred to capital or distributed in cash.

Pursuant to existing regulations, the Company is required to set aside additional special reserve equivalent to the net debit balance of the other equity interests. Any special reserve

-21-

appropriated may be reversed to the extent that the net debit balance reverses and is thereafter distributed.

The appropriations of earnings and dividends per share for 2024 and 2023 were approved in the shareholders’ meetings on June 11, 2025 and June 12, 2024, respectively, were as follows:

were as follows:
Legal reserve
Cash dividends
Cash dividends per share (NT$)		 2024
$ 28,013
$ 260,000
$ 2.6		 2023




$ 27,613
$ 240,000
$ 2.4

The above cash dividends were approved by the board of directors on March 12, 2025 and March 12, 2024, respectively, and the remaining appropriations of earnings were approved by the shareholders’ meeting on June 11, 2025 and June 12, 2024, respectively. (4) Special reserve

On the first-time adoption of IFRSs, the Company appropriated for special reserve, the amount that was the same as the cumulative translation differences transferred to retained earnings, which was $17,619 thousand.

  • (5) Other equity interests

  • A. Exchange differences on translating the financial statements of foreign operations

Balance at January 1
Exchange differences on
translating the financial
statements of foreign
operations
Share from associates and joint
venture accounted for using
the equity method
Balance at June 30
Unrealized gain (loss) on financial
Balance at January 1
Unrealized gain - equity
instruments
Balance at June 30		 For the Six Months EndedJune 30 For the Six Months EndedJune 30 For the Six Months EndedJune 30
2025
2024
$ 7,521 )
( $ 9,900 )

1,196 )
735
66)
(
164)
$ 8,783)
($ 9,329)
at FVTOCI
For the Six Months EndedJune 30		 2024
(
(
(
(
assets
2025
$ 37,665
961)
$ 36,704		 2024

(

$ 21,628
9,171
$ 30,799
  • B. Unrealized gain (loss) on financial assets at FVTOCI

-22-

(6) Non-controlling interests

For the Six Months Ended June 30

Balance at January 1
Share in loss for the period
Other comprehensive income (loss)
during the period
Exchange difference on
translating the financial
statements of foreign
operations
Effective acquisition of partial
interest in a subsidiary by
the parent company (Note
11)
Changes in ownership
interests in subsidiaries
(Note 24)
Cash dividends from
subsidiaries
Balance at June 30		 2025
$ 11,508

525 )

494 )

613 )
-
14)
$ 9,862		 2024

(
(
(
(
(
(
 $ 3,097

1,538 )
251
-
10,008
33)
$ 11,785

20. Revenue

Revenue
Revenue from contracts with
customers
Contract revenue and
revenue from sale of
goods

Revenue from rendering of
services
Rental income
Rental income from
equipment

 For the Three Months Ended
June 30
2025
2024
$ 1,259,946 $ 1,144,704
444,491
399,662

4,269

4,269

$ 1,708,706
$ 1,548,635
 For the Six Months Ended
June 30
2025
$ 1,259,946
444,491
4,269

$ 1,708,706
 2025
$ 2,354,598

818,561
8,514

$ 3,181,673
 2024











$ 2,203,876

735,714
8,538
$ 2,948,128

(1) Contract information Revenue from contracts with customers

Contract revenue comes from rendering of computer software and hardware integration services according to contract, which is recognized by reference to the stage of completion of contract activity. The consideration promised is paid by customers based on the schedule in the contract.

Revenue from the sale of goods is recognized when performance obligations are satisfied. The performance obligations are satisfied when customers obtained control and right of use of the promised good and bear inventory risks.

Revenue from rendering of services

Revenue from rendering of services comes from maintenance services. The Group requires partial payments from the customers when the contract is signed. Revenue is recognized on a straight-line basis during the contract period.

-23-

(2)
Contract balances
Accounts receivable (Note 9)

Contract assets

System integration
services

Less:Allowance for
impairment loss

Contract assets - current
Contract liabilities
System integration
services
 June 30,
2025
$ 808,569

$ 723,636

-

$ 723,636

$ 463,105
 December 31,
2024
$ 1,157,180

$ 858,494

-

$ 858,494

$ 611,197
 June 30,
2024












$ 822,191
$ 674,551
-
$ 674,551
$ 485,081

The changes in the balance of contract assets and contract liabilities primarily result from the timing difference between the Group’s performance and the respective customer’s payment. Except for adjustments resulting from the changes in the measure of progress, there was no significant change in the current period.

(3) Revenue from contracts with customers For the Six Months Ended June 30, 2025

For the Six Months Ended June 30, 2025
Type of products or services
Contract revenue and
revenue from sale of goods
Revenue from rendering of
services
Rental income

 Reportable segment
Business
segments of the
Company
$ 2,273,752

805,011

8,514

$ 3,087,277
 Business
segments of the
entities controlled
bythe Company
$ 80,846

13,550

-

$ 94,396
 Total






$ 2,354,598
818,561
8,514
$ 3,181,673

For the Six Months Ended June 30, 2024

For the Six Months Ended June 30, 2024
Type of products or services
Contract revenue and
revenue from sale of goods
Revenue from rendering of
services
Rental income

 Reportable segment
Business
segments of the
Company
$ 2,125,202

725,517

8,538

$ 2,859,257
 Business
segments of the
entities controlled
bythe Company
$ 78,674

10,197

-

$ 88,871
 Total






$ 2,203,876
735,714
8,538
$ 2,948,128

-24-

21. Net profit

  • (1) Interest income
Interest income
Bank deposits

Other income
Marketing incentive
income

Rental income
Government grants
Others

 For the Three Months Ended
June 30
2025
2024
$ 4,209
$ 3,619

For the Three Months Ended
June 30
2025
2024
$ 5,596
$ 8,058

1,540
901
-
10,194
648

1,309

$ 7,784
$ 20,462
 For the Six Months Ended
June 30
2025
2024
$ 7,514
$ 6,321
For the Six Months Ended
June 30		 2024
2025
$ 5,596

1,540
-
648

$ 7,784
 2025
$ 7,661

2,917
12
1,277

$ 11,867
 2024








$ 10,033
2,687
20,544
2,126
$ 35,390

  • (2) Other income

  • (3) Other gains and losses

Other gains and losses
Net foreign exchange
(loss)gains

Net (loss)gains on fair value
changes of financial assets
mandatorily classified as at
FVTPL
Net gains on disposal of
property, plant and
equipment
Others


Finance costs
Interest on bank loans

Interest on lease liabilities
 For the Three Months Ended
June 30
2025
2024
( $ 3,841 ) ( $ 858 )
1 (
258 )
59
88

74
(
58)

($ 3,707)
($ 1,086)

For the Three Months Ended
June 30
2025
2024
$ 3,184 $ 3,403

268

483

$ 3,452
$ 3,886
 For the Six Months Ended
June 30
2025
2024
$ 2,276 ) $ 2,705

3
1,383

283
88

1,434)
(
179)
$ 3,424)
$ 3,997
For the Six Months Ended
June 30		 2024
(


(
(
2025

2025
$ 6,253
603

$ 6,856
 2024


$ 3,184
268

$ 3,452

$ 6,879

1,016
$ 7,895

  • (4) Finance costs

  • (5) Depreciation and amortization

Depreciation and amortization
An analysis of depreciation by
function
Operating costs

Operating expenses


An analysis of amortization by
function
Operating expenses
 For the Three Months Ended
June 30
2025
2024
$ 5,433 $ 5,258

23,224

23,370

$ 28,657
$ 28,628

$ 1,399
$ 251
 For the Six Months Ended
June 30
2025
$ 5,433
23,224

$ 28,657

$ 1,399
 2025
$ 10,595
46,708

$ 57,303

$ 2,195
 2024












$ 10,273
46,562
$ 56,835
$ 419

-25-

(6) Employee benefits expenses

Employee benefits expenses
Short-term employee benefits
Salary

Labor and health Insurance
Others


Post-employment benefits
(Note 18)
Defined contribution plans
Defined benefits plans


Total employee benefits
expense

An analysis of employee
benefits expense by
function
Operating costs

Operating expenses

 For the Three Months Ended
June 30
2025
2024

$ 414,460 $ 383,801

39,597
36,599

20,112

18,684


474,169

439,084


17,739
16,818

271

195


18,010

17,013

$ 492,179
$ 456,097

$ 189,345 $ 166,965

302,834

289,132

$ 492,179
$ 456,097
 For the Six Months Ended
June 30
2025
$ 414,460

39,597
20,112

474,169


17,739
271

18,010

$ 492,179

$ 189,345
302,834

$ 492,179
 2025
$ 706,485

82,599
38,652

827,736


35,261
537

35,798

$ 863,534

$ 357,279
506,255

$ 863,534
 2024









































$ 658,072

76,829
36,181
771,082

33,004
396
33,400
$ 804,482
$ 306,923
497,559
$ 804,482

(7) Employees’ compensation and remuneration of directors According to the Articles of Incorporation of the Company, the Company accrued employees’ compensation at rates of no less than 3%. In accordance with the amendment to the Securities and Exchange Act in August 2024, the Company resolved the amendment to its Articles of Incorporation at the 2025 Meeting of Shareholders to stipulate that the compensation for grassroots employees shall be no less than 20% of the employee compensation amount set aside in that year. The employees’ compensation in the amounts of $2,305 thousand, $2,242 thousand, $5,797 thousand and $5,720 thousand, both representing 3% of net profit before tax for the three and six months ended June 30, 2025 and 2024, respectively. The Company did not accrue remuneration of directors for the six months ended June 30, 2025 and 2024.

If there is a change in the amounts after the annual financial statements are authorized for issue, the differences are recorded as a change in the accounting estimate.

The appropriations of employees’ compensation and remuneration of directors for 2024 and 2023 that were resolved by the board of directors on March 12, 2025 and March 12, 2024, respectively. The employees’ compensation amounted to $11,500 thousand and $10,300 thousand, respectively. The Company did not accrue remuneration of directors for the years ended December 31, 2024 and 2023.

There is no difference between the actual amounts of employees’ compensation and remuneration of directors paid and the amounts recognized in the financial statements for the years ended December 31, 2024 and 2023.

Information on the employees’ compensation resolved by the Company’s board of directors in 2025 and 2024 is available at the Market Observation Post System website of the Taiwan Stock Exchange.

-26-

22. Income tax

  • (1) Income tax recognized in profit or loss

The major components of income tax expense were as follows:

ome tax
Income tax recognized in profit or loss
The major components of income tax expense were as follows:		 ome tax
Income tax recognized in profit or loss
The major components of income tax expense were as follows:
For the Three Months Ended
June 30
2025
2024
Current tax
In respect of the
current period
$ 18,669 $ 15,102
Adjustments for prior
years
(
2,468 )
122 (
Deferred tax
In respect of the
current period
(
50)

97

Income tax expense
recognized in profit or
loss
$ 16,151
$ 15,321

Income tax assessments
The Company and subsidiaries’ income tax returns have
authority are as follows:
Name of the company
Year
The Company
Netmaker Technology Co., Ltd.
Wisemaker Technology Co.
Coach Technology Management Inc.		 For the Six Months Ended
June 30
2025
$ 40,860


2,468 )
1,793

$ 40,185

been assessed
of assessment		 2024
$ 37,627

1,221

3,265
$ 42,113
by the tax
The Company
Netmaker Technology Co., Ltd.
Wisemaker Technology Co.
Coach Technology Management Inc.		 2023
2023
2023
2023

(2) Income tax assessments The Company and subsidiaries’ income tax returns have been assessed by the tax authority are as follows:

  1. Earnings per share

The earnings and weighted average number of ordinary shares outstanding in the computation of earnings per share were as follows:

Net profit for the period

Net profit for the period
Earnings used in the computation
of basic earnings per share

Earnings used in the computation
of diluted earnings per share

Shares
Weighted average number of
ordinary shares used in the
computation of basic earnings
per share
Effect of potentially dilutive
ordinary shares:
Employees’ compensation
Weighted average number of
ordinary shares used in the
computation of diluted earnings
per share




For the Three Months
EndedJune 30
2025
2024
$ 59,553
$ 56,930

$ 59,553
$ 56,930


For the Three Months
EndedJune 30		 For the Six Months Ended
June 30
2025
2024
$ 148,429
$ 142,602
$ 148,429
$ 142,602
(Thousand shares)
For the Six Months Ended
June 30		 2024





2025



2024 2025 2024


100,000
101
100,000

90


100,090


100,000
174

100,174


100,000
163
100,163
100,101

-27-

Since the Group offered to settle compensation paid to employees in cash or shares, the Group assumed the entire amount of the compensation will be settled in shares and the resulting potential shares were included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, as the effect is dilutive. Such dilutive effect of the potential shares is included in the computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

24. Equity transactions with non-controlling interests

In Februrary 2024, the Group subscribed for new shares issued by Xian Linan Computer Co., Ltd. at a percentage different from its original ownership percentage, and consequently the shareholding in Xian Linan Computer Co., Ltd. increased. Please refer to Note 11.

In April 2025, the Group disposed of part of its interest in Netmaker Technology Co., Ltd. In April and June 2025, the Group acquired interest in Wisemaker Technology Co. and Netmaker Technology Co., Ltd., and consequently the shareholding in above companies increased. Please refer to Note 11.

The above transactions were accounted for as equity transactions, since the Group did not cease to have control over its subsidiary.

For the Six Months Ended June 30,2025

For the Six Months Ended June 30,2025
Netmaker
Technology
Co.,Ltd.
Wisemaker
Technology Co.
Consideration paid
( $ 484 ) ( $ 5 )
The proportionate share of the carrying
amount of the net assets of the
subsidiaries transferred to non-controlling
interests

610
$ 3
Differences recognized from equity
transactions
$ 126
($ 2)

Line items adjusted for equity transactions
Capital surplus - difference between
consideration received or paid and the
carrying amount of the subsidiaries’ net
assets during actual disposal or
acquisition
$ 126
($ 2)
For the Six Months Ended June 30,2024

Consideration received

The proportionate share of the carrying amount of the net assets of the subsidiary
transferred to non-controlling interests


Differences recognized from equity transactions


Line items adjusted for equity transactions


Unappropriated earnings
 Total
( $ 489 )

613
$ 124
$ 124
Xian Linan
Computer Co.,
Ltd.


$ 6,277

(
10,008)


($ 3,731)
($ 3,731)		 Total








  1. Financial instruments

  2. (1) Fair value of financial instruments not measured at fair value

The Group’s management believes the carrying amounts of financial assets and financial liabilities recognized in the financial statements approximate their fair values.

-28-

Therefore, the carrying amounts of balance sheet is a reasonable basis for estimating the fair value.

(2) Fair value of financial instruments measured at fair value on a recurring basis Fair value hierarchy

Fair value hierarchy
June 30, 2025
Financial assets at FVTOCI
Investments in equity instruments
at FVTOCI
Listed shares

Unlisted shares

Total

December 31, 2024
Financial assets at FVTPL
Fund beneficial certificates

Financial assets at FVTOCI
Investments in equity instruments
at FVTOCI
Listed shares

Unlisted shares

Total

June 30, 2024
Financial assets at FVTPL
Fund beneficial certificates


Financial assets at FVTOCI

Investments in equity instruments
at FVTOCI

Listed shares

Unlisted shares

Total
 Level 1
$ 46,507
-

$ 46,507

Level 1
$ 463

$ 47,468
-

$ 47,468

Level 1
$ 11,840

$ 40,602
-

$ 40,602
 Level 2
$ -
-

$ -

Level 2
$ -

$ -
-

$ -

Level 2
$ -

$ -
-

$ -
 Level 3


$ -
1,595

$ 1,595

Level 3

$ -




$ -
1,595

$ 1,595

Level 3

$ -

$ -
1,595

$ 1,595
 Total










$ 46,507
1,595
$ 48,102
Total
















$ 463
$ 47,468
1,595
$ 49,063
Total
















$ 11,840
$ 40,602
1,595
$ 42,197

There were no transfers between Levels 1 and 2 for the six months ended June 30, 2025 and 2024.

  • (3) Categories of financial instruments
Financial assets
Mandatorily classified as at
FVTPL

Financial assets at amortized
cost (Note 1)

Financial assets at FVTOCI

Equity instruments

Financial liabilities

Financial liabilities at
amortized cost (Note 2)
 June 30,
2025
$ -

1,975,948
48,102
1,770,327		 December 31,
2024
$ 463

2,364,851
49,063
1,894,112		 June 30,
2024
$ 11,840
1,955,146
42,197
1,683,587

-29-

  • Note 1: The balances include financial assets measured at amortized cost, which comprise cash and cash equivalents, debt investments, notes receivable, accounts receivable, lease receivable and other receivables.

  • Note 2: The balances include financial liabilities measured at amortized cost, which comprise short-term loans, Short-term bills payable, notes payable, accounts payable and other payables.

  • (4) Financial risk management objectives and policies

The Group’s major financial instruments include equity and debt investments, accounts receivable, accounts payable, borrowings and lease liabilities. The Group’s Corporate Treasury function provides services to the business, coordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the Group through internal risk reports which analyze exposures by degree and magnitude of risks. These risks include market risk (including currency risk and interest rate risk), credit risk and liquidity risk.

A. Market risk

The Group’s activities expose it primarily to the financial risks of changes in foreign currency exchange rates (see a. below) and interest rates (see b. below).

  • a. Foreign currency risk

The Group have foreign currency sales and purchases, which exposes the Group to foreign currency risk.

The carrying amounts of the Group’s foreign currency denominated monetary assets and monetary liabilities at the end of the reporting period are set out in Note 29.

Sensitivity analysis

The Group is mainly exposed to USD and JPY.

The following details the Group’s sensitivity to a 10% increase and decrease in New Taiwan dollars (the functional currency) against the relevant foreign currencies. The sensitivity rate of 10% used when reporting foreign currency risk internally to key management personnel and representing management’s assessment of the reasonably possible change in foreign exchange rates. The sensitivity analysis included only outstanding foreign currency denominated monetary items and foreign currency forward contracts designated as cash flow hedges and adjusts their translation at the end of the reporting period for a 10% change in foreign currency rates. A positive number below indicates an increase in pre-tax profit with the New Taiwan dollar strengthening 10% against the relevant currency. For a 10% weakening of the New Taiwan dollar against the relevant currency, there would be an equal and opposite impact on pre-tax profit, and the balances below would be negative.

USD
JPY		 Profit or Loss Profit or Loss
For the Six Months EndedJune 30
2025
$ 11,778
(
553 )		 2024
$ 11,085
(
932 )

b.

The above effect of exchange rate changes was mainly attributable to the exposure outstanding on foreign currency cash, receivables, payables and borrowings, which were not hedged at the end of the reporting period Interest rate risk

The Group is exposed to interest rate risk because the Group borrow funds at both fixed and floating interest rates. The risk is managed by the Group by maintaining an appropriate mix of fixed and floating rate borrowings.

-30-

The carrying amount of the Group’s financial assets and financial liabilities with exposure to interest rates at the end of the reporting period were as follows:

follows:
Fair value interest rate
risk
- Financial assets

- Financial liabilities
Cash flow interest rate
risk

- Financial assets

- Financial liabilities		 June 30,
2025
$ 755,693


85,762


401,786

241,438		 December 31,
2024
$ 719,248

59,985
468,996
176,651		 June 30,
2024
$ 616,941
81,234
476,875
168,739

Sensitivity analysis

The sensitivity analysis below was determined based on the Group’s exposure to interest rates for non-derivative instruments at the end of the reporting period. For floating rate assets and liabilities, the analysis was prepared assuming the amount of each liability outstanding at the end of the reporting period was outstanding for the whole year. A 25 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the reasonably possible change in interest rates

If interest rates had been 25 basis points higher/lower and all other variables were held constant, the Group’s pre-tax profit for the six months ended June 30, 2025 and 2024 would increase/decrease by $200 thousand and $385 thousand, respectively.

  • B. Credit risk

Credit risk refers to the risk that counterparty will default on its contractual obligations resulting in financial loss to the Group. As at the end of the reporting period, the Group’s maximum exposure to credit risk, which would cause a financial loss to the Group due to the failure of counterparties to discharge its obligation and due to the financial guarantees provided by the Group, could arise from the carrying amount of the respective recognized financial assets as stated in the consolidated Balance Sheet.

The Group adopted a policy of only dealing with creditworthy counterparties. Before trading with new customers, the Group assessed the credit quality of potential customer by internal credit checking and set the credit limit which is reassessed annually.

  • C. Liquidity risk

The Group manages liquidity risk by monitoring and maintaining a level of cash and cash equivalents deemed adequate to finance the Group’s operations and mitigate the effects of fluctuations in cash flows. In addition, management monitors the utilization of bank borrowings and ensures compliance with loan covenants.

The Group relies on bank borrowings as a significant source of liquidity. As of June 30, 2025 ,December 31, 2024 and June 30, 2024, the Group had available unutilized short-term bank loan facilities set out in b. below.

  • a. Liquidity and interest risk rate table for non-derivative financial liabilities The following table details the Group’s remaining contractual maturity for

  • its non-derivative financial liabilities with agreed repayment periods. The table has been drawn up based on the undiscounted cash flows of financial liabilities from the earliest date on which the Group can be required to pay. The table included both interest and principal cash flows. Specifically, bank loans with a repayment on demand clause were included in the earliest time band regardless

-31-

of the probability of the banks choosing to exercise their rights. The maturity dates for other non-derivative financial liabilities were based on the agreed repayment dates. June 30, 2025

repayment dates.
June 30, 2025
Payment on
demand or less
than 1 month 1～3 months 3 months～1year 1～5years More than 5years
Non-derivative financial
liabilities
Non-interest bearing $ - $ 1,477,292
 $ -
 $
-		 $ -
Lease liabilities 4,178 8,230 15,456
 9,546 -
Variable interest rate
liabilities 71,023 1,937 174,863 - -
Fixed interest rate liabilities 50,000 -
 -
 - -
$ 125,201 $ 1,487,459
 $ 190,319
 $
9,546		 $ -
Additional information about the maturity analysis for lease liabilities:
Less than 1year 1 to 5years 5 to 10years
Lease liabilities $ 27,864 $ 9,546 $ -
December 31, 2024
Payment on Payment on
demand or less
than 1 month 1～3 months
 3 months～1year 1～5 years More than 5years
Non-derivative financial
liabilities
Non-interest bearing $ - $ 1,716,354
 $ -
 $ - $ -
Lease liabilities 4,225
8,427
 36,266
 12,738 -
Variable interest rate
liabilities 40,326
70,241
 69,902
 - -
$ 44,551 $ 1,795,022
 $ 106,168
 $ 12,738 $ -
Additional information about the maturity analysis for lease liabilities:
Less than 1year 1 to 5years 5 to 10years
Lease liabilities $ 48,918
 $ 12,738
 $ -
June 30, 2024
Payment on
demand or less
than 1 month 1～3 months
 3 months～1year 1～5 years More than 5years
Non-derivative financial
liabilities
Non-interest bearing
 $ -
 $ 1,513,323
 $ -
 $ - $ -
Lease liabilities
 4,234 8,132 36,123
 35,071 -
Variable interest rate
liabilities
 1,110
37,791
 136,819
 - -
$ 5,344
 $ 1,559,246
 $ 172,942
 $ 35,071 $ -
Additional information about the maturity analysis for lease liabilities:
Less than 1year 1 to 5years 5 to 10years
Lease liabilities $ 48,489
 $ 35,071
 $ -

The amounts included above for variable interest rate instruments for both non-derivative financial assets and liabilities is subject to change if changes in variable interest rates differ from those estimates of interest rates determined at the end of the reporting period.

-32-

b. Financing facilities

Financing facilities
Unsecured bank
financing facilities,
reviewed annually
and payable on
demand:
Amount used

Amount unused
June 30,
2025
$ 1,117,536

2,522,669

$ 3,640,205
 December 31,
2024
$ 1,089,626

1,916,371

$ 3,005,997
 June 30,
2024






$ 866,501
1,838,082
$ 2,704,583

26. Related Party Transactions

Transactions and balances between the Company and its subsidiaries, which were related parties of the Company, had been eliminated on consolidation and are not disclosed in this note. Besides as disclosed elsewhere in the other notes, details of transactions between the Group and other related parties were disclosed below.

  • (1) Related-party and its relationship
Related-party and its relationship
Relatedparty
Furly Investment Co., Ltd.(Furly
Investment)
Chuan Gao Investment Co., Ltd.(Chuan
Gao Investment)
DBMaker Japan Inc.
CloudMaster Co., Ltd.( CloudMaster)		 Relationship
Substantive related party
Substantive related party
Associate
Joint ventures
  • (2) Operating revenue (sales, maintenance and rental revenue)
Related PartyCategories
Associate

Joint ventures

 For the Three Months Ended
June 30

2025
2024
$ 2,918 $ 6,016

675

441

$ 3,593
$ 6,457
 For the Three Months Ended
June 30

2025
2024
$ 2,918 $ 6,016

675

441

$ 3,593
$ 6,457
 For the Three Months Ended
June 30

2025
2024
$ 2,918 $ 6,016

675

441

$ 3,593
$ 6,457
 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30
2025
$ 2,918
675

$ 3,593
 2025
$ 5,733
1,350

$ 7,083
 2024








$ 8,615
1,877
$ 10,492
  • (3) Receivables from related parties (excluding loans to related parties)
Line Item

Accounts

receivable
 Related Party
Categories		 June 30,
2025
$ 5,877
658
$ 6,535		 December 31,
2024		 December 31,
2024

June 30,
2024
Associate

Joint ventures






$ 16,232
226
$ 16,458		 $ 11,152
66
$ 11,218

The outstanding accounts receivable from related parties are unsecured. For the six months ended June 30, 2025 and 2024, no impairment loss was recognized on accounts receivable from related parties.

-33-

(4) Payables to related parties (excluding loans
Line
Item
Related Party
Categories
Accounts
Associate


payable
Joint ventures

Substantive related
party



 Payables to related parties (excluding loans
Line
Item
Related Party
Categories
Accounts
Associate


payable
Joint ventures

Substantive related
party



 from related parties)
June 30,
2025
December 31,
2024
$ 801
$ 3,654
10
3,668
9

12
$ 820
$ 7,334		 June 30,
2024




$ 1,120
6
4
$ 1,130

The outstanding accounts payable from related parties are unsecured.

(5) Acquisitions of property, plant and equipment

For the Six Months Ended June 30

(6) Related PartyCategories
Associate
Lease agreement
Line Item
Related Party Categories
/Name
Lease liabilities
Substantive related party
Chuan Gao Investment
Furly Investment		 2025 -

December 31,
2024
$ 26,332

17,645
$ 43,977		 2024 2024
$ June 30,
2025
$ 13,912
8,869
$ 22,781		 $ $ 2,242
June 30,
2024







$ 38,414
26,330
$ 64,744
Line Item
Finance costs		 Related Party
Categories/Name		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Six Months Ended
June 30
2025
2024
$ 191 $ 442

131

314
$ 322
$ 756		 For the Six Months Ended
June 30
2025
2024
$ 191 $ 442

131

314
$ 322
$ 756		 For the Six Months Ended
June 30
2025
2024
$ 191 $ 442

131

314
$ 322
$ 756		 For the Six Months Ended
June 30
2025
2024
$ 191 $ 442

131

314
$ 322
$ 756
2025

2024 2025 2024
Substantive related party
Chuan Gao Investment

Furly Investment

$ 80
54		 $ 206
146		 $ 191
131

$ 322

$ 442
314
$ 134 $ 352 $ 756

(7) Rental expenses

Line Item
Operating

expenses		 Related Party
Categories/Name		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Six Months Ended
June 30
2025
2024
$ 3,456 $ 3,317

1,067

939
$ 4,523
$ 4,256		 For the Six Months Ended
June 30
2025
2024
$ 3,456 $ 3,317

1,067

939
$ 4,523
$ 4,256		 For the Six Months Ended
June 30
2025
2024
$ 3,456 $ 3,317

1,067

939
$ 4,523
$ 4,256		 For the Six Months Ended
June 30
2025
2024
$ 3,456 $ 3,317

1,067

939
$ 4,523
$ 4,256
2025

2024 2025 2024
Substantive related party
Chuan Gao Investment

Furly Investment

$ 1,728
533		 $ 1,728
536		 $ 3,456
1,067

$ 4,523

$ 3,317
939
$ 2,261 $ 2,264 $ 4,256
  • (8) Rental income
Line Item Related Party
Categories/Name
Joint venture
CloudMaster
 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Three Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30
2025
$ 410
 2024 2025
$ 843
 2024
Other income $ 118
 $ 532

(9) Compensation of key management personnel

Short-term employee benefits
Post-employment benefits

 For the Three Months Ended
June 30
2025
2024
$ 72,454 $ 72,386

3,490

3,412

$ 75,944
$ 75,798
 For the Three Months Ended
June 30
2025
2024
$ 72,454 $ 72,386

3,490

3,412

$ 75,944
$ 75,798
 For the Three Months Ended
June 30
2025
2024
$ 72,454 $ 72,386

3,490

3,412

$ 75,944
$ 75,798
 For the Six Months Ended
June 30		 For the Six Months Ended
June 30		 For the Six Months Ended
June 30
2025
$ 72,454
3,490

$ 75,944
 2025
$ 139,570
6,951

$ 146,521
 2024








$ 135,266
6,682
$ 141,948

The remuneration of directors and key executives was determined by the Remuneration Committee based on the performance of individuals and market trends .

-34-

27. Assets Pledged as Collateral

The assets pledged as collaterals for system design contract, bank loans and for product warranty were as follows:

warranty were as follows:
Pledge deposits (classified as
financial assets at amortized
cost)
 June 30,
2025
$ 297,976		 December 31,
2024
$ 349,765		 June 30,
2024
$ 344,228
  1. Significant Contingent Liabilities and Unrecognized Commitments As of June 30, 2025, for the contracts with customers , the Group issued guarantee notes and had bank guarantee amounting to $122,747 thousand and $826,098 thousand, respectively.

29. Significant Assets and Liabilities Denominated in Foreign Currencies

The Group’s significant financial assets and liabilities denominated in foreign currencies aggregated by the foreign currencies other than functional currencies and the related exchange rates between foreign currencies and respective functional currencies were as follows: June 30, 2025

June 30, 2025
Financial assets
Monetary items
USD
JPY
Non-monetary item
JPY
Financial liabilities
Monetary items
USD
JPY
December 31, 2024
Financial assets
Monetary items
USD
JPY
Non-monetary items
JPY
Financial liabilities
Monetary items
USD
JPY		 Foreign currency
$ 2,025
31,124
60,153
6,045
3,936
Foreign currency
$ 959
79,459
67,388
7,221
17,408		 Exchange rate
29.3
0.2034
0.2034
29.3
0.2034
Exchange rate
32.785
0.2099
0.2099
32.785
0.2099		 Carryingamount
$ 59,346
6,331
12,236
177,130
801
Carryingamount
$ 31,427
16,678
14,145
236,737
3,654

-35-

June 30, 2024

June 30, 2024
Financial assets
Monetary items
USD
JPY
Non-monetary items
JPY
Financial liabilities
Monetary items
USD
JPY		 Foreign currency
$ 1,973
51,755
57,228
5,389
5,553		 Exchange rate
32.45
0.2017
0.2017
32.45
0.2017		 Carryingamount
$ 64,032
10,439
11,543
174,885
1,120

The significant realized and unrealized foreign exchange gains (losses) were as follows: For the Three Months Ended June 30

Foreign
currency
USD

USD

JPY
 2025 Net
exchange
(loss) gain
( $ 4,770 )
723
204		 2024
Exchange rate
30.823(USD: NTD)

7.191(USD: RMB)
0.0499(JPY : RMB)		 Exchange rate
32.354(USD: NTD)

7.108(USD: RMB)

0.0459(JPY : RMB)
 Net
exchange
(loss) gain
$ 119
(
570 )
(
406 )
Foreign
currency
USD

USD

JPY
 For the Six Months EndedJune 30 For the Six Months EndedJune 30 For the Six Months EndedJune 30
2025 Net
exchange
(loss) gain
( $ 4,352 )
1,164
910		 2024
Exchange rate
31.859(USD: NTD)

7.184(USD: RMB)
0.0487(JPY : RMB)		 Exchange rate
31.901(USD: NTD)

7.105(USD: RMB)

0.0470(JPY : RMB)
 Net
exchange
(loss) gain
$ 3,612
(
289 )
(
617 )

  1. Separately Disclosed Items

  2. (1) Information on significant transactions:

    • A. Financing provided to others: None.

    • B. Endorsements/guarantees provided (Table 1).

    • C. Significant marketable securities held (excluding investment in subsidiaries, associates and joint ventures) (Table 2).

    • D. Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital: None.

    • E. Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: None.

    • F. Other: Intercompany relationships and significant intercompany transactions: (Table 3).

  3. (2) Information on investees: (Table 4).

  4. (3) Information on investments in Mainland China:

    • A. Information on any investee company in mainland China, showing the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, investment income or loss, carrying amount of the investment at the end of the period, repatriations of investment income, and limit on the amount of investment in the mainland China area (Table 5).

-36-

  • B. Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses: None.

  • a. The amount and percentage of purchases and the balance and percentage of the related payables at the end of the period.

  • b. The amount and percentage of sales and the balance and percentage of the related receivables at the end of the period.

  • c. The amount of property transactions and the amount of the resultant gains or losses.

  • d. The balance of negotiable instrument endorsements or guarantees or pledges of collateral at the end of the period and the purposes.

  • e. The highest balance, the end of period balance, the interest rate range, and total current period interest with respect to financing of funds.

  • f. Other transactions that have a material effect on the profit or loss for the year or on the financial position, such as the rendering or receipt of services.

31. Segment Information

Information reported to the chief operating decision maker for the purpose of resource allocation and assessment of segment performance focuses on the types of goods or services delivered or provided. The Group’s reportable segments were the operating segments of the Company and the entities controlled by the Company.

  • (1) Segment revenue and results
Reportable segment
Business segments of the
Company

Business segments of the
entities controlled by
the Company
Elimination of
inter-segment revenue
Total of reportable segments

Non-operating income and
expense
Net profit before tax		 Segment revenue
For the Six Months Ended
June 30
2025
2024
$ 3,089,400 $ 2,861,423

121,062
108,281


28,789)
(
21,576)

$ 3,181,673
$ 2,948,128

 Segment revenue
For the Six Months Ended
June 30
2025
2024
$ 3,089,400 $ 2,861,423

121,062
108,281


28,789)
(
21,576)

$ 3,181,673
$ 2,948,128

 Segmentprofit or loss Segmentprofit or loss
For the Six Months Ended
June 30
2025
$ 3,089,400
121,062

28,789)

$ 3,181,673
 2025 2024
$ 156,712
(
12,355 )

457

144,814

38,363
$ 183,177

(

(
 $ 191,876
(
11,224 )

254
180,906

7,183
$ 188,089

Segment revenue reported above represents revenue generated from external customers and inter-segment transactions.

(2) Total segment assets and liabilities

Segment assets
Business segments of the Company

Business segments of the entities
controlled by the Company

Total

Segment liabilities
Business segments of the Company

Business segments of the entities
controlled by the Company

Total
 June 30,
2025
$ 4,141,481

345,200

$ 4,486,681

$ 2,183,898

233,796

$ 2,417,694
 December 31,
2024
$ 4,494,302

385,228

$ 4,879,530

$ 2,438,808

256,471

$ 2,695,279
 June 30,
2024















$ 4,033,565
372,545
$ 4,406,110
$ 2,143,236
228,269
$ 2,371,505

-37-

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES Endorsements/Guarantees Provided

For the Six Months Ended June 30, 2025

Table 1

(In Thousands of New Taiwan Dollars and Foreign Currency)

No. Endorser/
Guarantor		 Endorsee/
Guarantee		 Limits on
Endorsement/
Guarantee Given
on Behalf of
Each Party		 Maximum Amount
Endorsed/
Guaranteed During
the Period		 Outstanding
Endorsement/
Guarantee at the
End of the Period
(Note 2)		 Actual Borrowing
Amount		 Amount Endorsed/
Guaranteed by
Collateral		 Ratio of
Accumulated
Endorsement
/Guarantee to
Net Equity in
Latest
Financial
Statements
(%)
Aggregate
Endorsement/
Guarantee Limit		 Endorsement
/Guarantee
Given by
Parent on
Behalf of
Subsidiaries		 Endorsement
/Guarantee
Given by
Subsidiaries
on Behalf of
Parent		 Endorsement
/Guarantee
Given on
Behalf of
Companies in
Mainland
China
Name Relationship
0 Syscom
Computer
Engineering
Co.		 Syscom Computer
(Shenzhen) Co., Ltd.
Netmaker Technology Co.,
Ltd.
Coach Technology
Management Inc.
Syscom Computer
(Thailand)Co., Ltd.		 Note 1
Note 1
Note 1
Note 1		 20% of the net
worth
$411,825
Same as above
Same as above
Same as above		 $ 266,630
( USD
9,100 )
85,000
15,000
13,604
(THB
15,000)		 $ 231,470
( USD
7,900 )
85,000
15,000
13,604
(THB
15,000)		 $ 166,808
( USD
5,693 )
-
-
4,535
(THB
5,000)		 $ -
-
-
-		 11.24
3.89
0.73
0.66		 50% of the net
worth
$1,029,563
Same as above
Same as above
Same as above		 Yes
Yes
Yes
Yes		 No
No
No
No		 Yes
No
No
No

Note 1 : The company in which the public company directly and indirectly holds more than 50% of the voting shares. Note 2 : The above amounts were translated into New Taiwan dollar at the prevailing exchange rate as of June 30, 2025.

-38-

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES Significant Marketable Securities Held June 30, 2025

June 30, 2025
Table 2 (In Thousands of New Taiwan Dollars and in thousands of Shares(Thousands of Units))
Holding Company Name Type and name of marketable securities Relationship with the Holding
Company		 Financial Statement Account June 30, 2025 Note
Number of
shares/units		 Carrying amount Percentage of
Ownership (%)		 Fair value
SYSCOM COMPUTER
ENGINEERING CO.		 Stocks
Turn Cloud Technology Service Inc.		 － Financial assets at fair value through
other comprehensive income -
non-current		 205 $ 44,524 0.90 $ 44,524

Note 1: The securities referred to in this table include stocks, bonds, mutual funds and securities derived from the above - mentioned items within the scope of International Financial Reporting Standard No. 9 “Financial Instruments”. Note 2: This table is the securities that the company judges and must be listed in accordance with the principle of significance.

-39-

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES

Intercompany Relationships and Significant Intercompany Transactions and Subsidiary and Between Subsidiaries For the Six Months Ended June 30, 2025

Table 3 (In Thousands of New Taiwan Dollars) (In Thousands of New Taiwan Dollars) (In Thousands of New Taiwan Dollars)
No. Name of the trader Counterparty of the transaction Relationship with the
trader
(Note)		 Transaction details
Account on the financial statements Amount Trading terms As a percentage of
consolidated total
revenue or total assets
0
1
1		 The Company
The Company
The Company
The Company
The Company
The Company
The Company
The Company
Casemaker Inc.
Xian Linan Computer Co.,Ltd.		 Netmaker Technology Co.
Netmaker Technology Co.
Netmaker Technology Co.
Netmaker Technology Co.
Netmaker Technology Co.
Wisemaker Technology Co.
Wisemaker Technology Co.
Syscom Computer(Thailand)Co., Ltd.
Syscom Computer (Shenzhen) Co., Ltd.
Syscom Computer(Shenzhen)Co.,Ltd.		 1
1
1
1
1
1
1
1
2
2		 Prepayment for purchases
Accounts payable
Sales revenue
Cost of goods sold
Maintenance costs
Other receivables
Cost of goods sold
Account receivable
Sales revenue
Sales revenue		 $ 4,202
5,130
1,392
8,436
1,792
1,930
12,847
2,554
6,001
1,699		 General trading terms
General trading terms
General trading terms
General trading terms
General trading terms
General trading terms
General trading terms
General trading terms
General trading terms
General tradingterms		 -
-
-
-
-
-
-
-
-
-

(In Thousands of New Taiwan Dollars)

Note: 1.Parent to subsidiary. Note: 2.Subsidiary to subsidiary.

-40-

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES Information on Investees

For the Six Months Ended June 30, 2025

Table 4

(In Thousands of New Taiwan Dollars/Thousands of Shares)

Investor Company Investee Company Location Main Businesses and Products Original investment amount Original investment amount As ofJune 30,2025 As ofJune 30,2025 Net Income (Loss) of
the Investee(Note)		 Share of Profit (Loss) Note
June 30, 2025 December 31, 2024 Number of
Shares
(Thousands)		 Percentage of
Ownership
Carrying amount
SYSCOM COMPUTER
ENGINEERING CO.
Coach Technology
Management Inc.		 Coach Technology Management Inc.
Casemaker Inc.
SYSCOM INTERNATIONAL INC.
Netmaker Technology Co., Ltd.
Wisemaker Technology Co.
DBMaker Japan, Inc.
Syscom Computer(Thailand)Co., Ltd.
Cloudmaster Co., Ltd.
Syscom Computer(Thailand)Co., Ltd.		 Taipei City
California,
U.S.A.
Cayman
Islands
Taipei City
Taipei City
Tokyo,
Japan
Thailand
Taipei City
Thailand		 Diagnostic consulting for corporate
management, domestic and foreign
investment referral, and computerized
design consulting.
Sales of computer software, hardware
and related products.
Investments in other businesses
Information software, data processing
and electronic information supply
services
Sales of computer software, hardware
and related products.
Development and sales of computer
system software and hardware
Development and maintenance of
software and other businesses
Information software, data processing
and electronic information supply
services
Development and maintenance of
software and other businesses
$ 19,200
USD
1,300
USD
7,400
19,247
42,231
JPY
53,260
THB
33,134
65,000
THB
200		 $ 19,200
USD
1,300
USD
7,400
18,763
42,226
JPY
53,260
THB
33,134
65,000
THB
200		 1,950
1,300
7,400
2,903
2,681
5
3,440
6,500
20		 97.50
100.00
100.00
88.07
99.28
49.89
92.47
50.00
0.54		 $ 5,162
93,602
(
98,223 )
36,567
57,115
12,236
8,087
56,360
47		 ( $ 1,404 )

199
(
14,724 )

2,833

1,044
(
3,112 )

790
(
731 )

790		 ( $ 1,369 )

199
(
14,724 )

2,453

1,036
(
1,552 )

731
(
366 )
Not applicable		 Subsidiary
Subsidiary
Subsidiary
Subsidiary
Subsidiary
Equity-method
investee
Subsidiary
Equity-method
investee
Subsidiary

Note: The foreign currency amount of the net income of the investee is expressed in New Taiwan dollars at the average exchange rate of the six months ended June 30,2025.

-41-

SYSCOM COMPUTER ENGINEERING CO. AND SUBSIDIARIES Information on Investments in Mainland China

For the Six Months Ended June 30, 2025

Table 5

(In Thousands of New Taiwan Dollars/foreign currency)

Investee Company Main Businesses and
Products		 Paid-in capital Method of
Investment		 Accumulated Outward
Remittance for
Investment from
Taiwan as of
January1,2025		 Accumulated Outward
Remittance for
Investment from
Taiwan as of
January1,2025
Remittance of Funds
Remittance of Funds		 Accumulated Outward
Remittance for
Investment from
Taiwan as of
June 30,2025
Net Income (Loss) of
the Investee
% Ownership
of Direct or
Indirect
Investment		 Investment Gain
(Loss)		 Carrying Amount as
of
June 30, 2025
Accumulated
Repatriation of
Investment Income
as of June 30, 2025		 Note
Outward Inward
Syscom Computer
(Shenzhen)Co., Ltd.
Xian Linan Computer
Co., Ltd.		 Computer equipment
software
development, sales of
self-developed
technical
achievements services,
computer system
integration and
network wiring
engineering.
Development and
manufacture of
computer equipment
and computer
software; sale of
self-manufactured
products and
provision of technical
services.
$ 131,850
( USD
4,500 )
111,340
( USD
3,800 )		 Note 1
Note 1		 $ ( USD
( USD		 122,181

4,170 )
82,567

2,818 )		 $ -
-		 $ -
-		 $ 122,181
( USD
4,170 )
82,567
( USD
2,818 )		 ( $ 13,184 )
( (USD
414 ))
(Note 2)
(
3,386 )
( (USD
106 ))
(Note 2)		 98.27%
79.23%		 ( $ 12,955 )
( (USD
407 ))
(Note 2)
(
2,683 )
( (USD 84))
(Note 2)		 ( $ 127,951 )
( (USD
4,367 ))
(Note 2)
22,984
( USD
784 )
(Note 2)		 $ -
-
Accumulated Outward Remittance for Investment
in Mainland China as of
June 30,2025		 Investment Amounts Authorized by Investment
Commission, MOEA		 Upper Limit on the Amount of Investment
Stipulated by Investment Commission, MOEA
(Note 3)
$ 204,748
(USD
6,988)		 $ 204,748
(USD
6,988) (Note 1(II))		 $ 1,235,475
12,781
(USD
436) (Note 1(I))

Note 1: Investment methods are classified into the following two categories:

(I) An investee of CASEMaker, Inc., a wholly owned subsidiary of Syscom Computer Engineering Company and capital increase from capital surplus.

(II) An investee of Syscom International Inc., a wholly owned subsidiary of Syscom Computer Engineering Company.

Note 2: Amount was recognized based on the financial statements which were not reviewed by CPAs on June 30, 2025. Note 3: According to the "Principles for the Review of Investment or Technical Cooperation in the Mainland Area" stipulated by the Investment Commission of the Ministry of Economic Affairs (MOEAIC), the upper limit is calculated as follows: 60% of the shareholders’ equity = $2,059,125 × 60% = $1,235,475

Note 4: The foreign currency amounts of original investment amount and carrying value are expressed in New Taiwan dollars at exchange rate as of June 30, 2025. The foreign currency amount of net income is expressed in New Taiwan dollars at average exchange rate for the six months ended June 30, 2025.

-42-

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