THINKING — Investor Presentation 2022

Apr 26, 2022

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THINKING ELECTRONIC INDUSTRIAL CO., LTD.

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2021 Q4

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2022/4/26

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Disclaimer

This presentation is prepared according to information available at the time the presentation was made. Financial or other related information may contain forward-looking statements about the company and its subsidiaries. The information is subject to significant risks and uncertainties, and actual results may differ materially from those contained in any forward-looking statements.

The presentation is exclusively for the purpose of providing information, and not for the purpose of investment advice. The company does not undertake obligations of accuracy and completeness of the information and any losses caused by using the information of the presentation.

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Milestone

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Factories of THINKING

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Yichang Factory Changzhou Factory Yilan Factory
Kaohsiung 1 [st] Factory
Major Product Major Product Major Product
Major Product
JiangXi Factory
Kaohsiung 2 [nd] Factory
Dongguan Factory
Front-End
Major Product
Major Product
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THINKING Products

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Over-Temperature
Protection
NTC Thermistor PTC Thermistor Temperature Sensor
Over-Current
Protection
NTC ICL PTC Thermistor Polymer PTC Thermistor
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Over-Voltage
Protection General Primary ESD Spark Gap Thyristor Surge
TVS Diode
Protection Protection Protection Protector Suppressor
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Major Markets

Information and Communication Technology

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Telecom Power Supply
Consumer
Electronics Computer
Home Appliances and Lighting
Home Appliances Lighting
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Automotive and Industrial

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Automotive Industrial
(10%)
Medical and Others
Other
Medical applications
Distributor
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THINKING ELECTRONICS
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Core Technology

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SMD type product ● ● Laminating & stacking
●
● Printing
Lead type product
● Sintering
Sensor assembly ●
● Surface finishing
Material design ● ● Packaging
Material processing ● ● Measurement
● Automation
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Commitment to R&D

Focused R&D to capitalize on opportunity in growing markets such as 5G, EV, Medical, Industrial

Annual R&D

Unit: Million NTD

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300 4.5%
4.0%
250
3.5%
200 3.0%
2.5%
150
2.0%
100 1.5%
1.0%
50
0.5%
0 0.0%
2016 2017 2018 2019 2020 2021
R&D % of sales
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Technical Support

THINKING AE team provides comprehensive technical support.

Technical Consultation: Discussion of technical problems with customers

Product Selection Suggestion: Selecting products in accordance with customer’s needs

Circuit Design Assistance: Discussion of circuit design for problems that customers encounter

Application Example: Application experience sharing with customers

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Operation Overview: Revenue and EPS of Recent Years

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Operation Overview: Yearly Consolidated Income Statement

Unit: Million NTD

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Operation Overview: Gross Margin Improvement

Improvement in gross profit margin driven supported by increased R&D spend to enter higher margin, fast growing industries, including EV, 5G, Medical, Industrial.

Continuous improvement culture focused on improving efficiency and increasing productivity in response to sharp escalation in wages and raw materials.

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Gross Profit
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Unit: Million NTD

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3500 50.0%
45.0%
3000
40.0%
2500 35.0%
30.0%
2000
25.0%
1500
20.0%
1000 15.0%
10.0%
500
5.0%
0 0.0%
2016 2017 2018 2019 2020 2021
Gross Profit % of sales
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Operation Overview: Consolidated Balance Sheets

Unit: Million NTD

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Operation Overview: Analysis of Financial Ratios

Unit: Million NTD

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Vision

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Contribution to Human Life in

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Medical

Automotive Telecom Industrial

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Q&A

Mission Statement: Contribute to safety and operation efficiency of electronics

T Think K Keen S Service

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THANK YOU!

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THINKING

THINKING ELECTRONICS