Topoint — Interim / Quarterly Report 2026

Jun 1, 2026

Topoint Technology Co., Ltd. and Subsidiaries

Consolidated Financial Statements for the Three Months Ended March 31, 2026 and 2025 and Independent Auditors’ Review Report

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INDEPENDENT AUDITORS' REVIEW REPORT

The Board of Directors and Shareholders
Topoint Technology Co., Ltd.

Introduction

We have reviewed the consolidated balance sheets of Topoint Technology Co., Ltd. and its subsidiaries (hereinafter referred to as "Topoint Group") as of March 31, 2026 and 2025; the related consolidated statements of comprehensive income, changes in equity and cash flows for the three months then ended, and the 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

We conducted our reviews in accordance with the Standards on Review Engagement No. 2410 "Review of 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.

Conclusion

Based on our reviews, we did not discover matters which would lead us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of Topoint Group as of March 31, 2026 and 2025, and its consolidated financial performance and cash flows for the three months then ended 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.

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The engagement partners on the reviews resulting in this independent auditors’ review report are Wan-I Liao and Cheng-Tai Liang.

Deloitte & Touche
Taipei, Taiwan
Republic of China

May 14, 2026

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.

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

MARCH 31, 2026, DECEMBER 31, 2025 AND MARCH 31, 2025

(In Thousands of New Taiwan Dollars)

ASSETS	March 31, 2026		December 31, 2025		March 31, 2025
	Amount	%	Amount	%	Amount	%
CURRENT ASSETS
Cash and cash equivalents (Note 6)	$ 2,079,260	23	$ 1,813,992	23	$ 1,837,556	25
Financial assets at fair value through profit or loss (Notes 7 and 32)	33,378	-	23,719	-	46,358	1
Financial assets at amortized cost (Note 8)	478,542	5	689,017	9	445,980	6
Notes receivable (Notes 10 and 24)	191,653	2	144,011	2	150,855	2
Accounts receivable, net (Notes 10 and 24)	1,288,374	14	1,227,497	15	908,896	12
Accounts receivable - related parties (Notes 24 and 33)	239,105	3	271,586	3	176,316	3
Other receivables (Note 10)	32,353	-	25,710	-	36,744	1
Current tax assets (Note 4)	1,482	-	1,295	-	1,260	-
Inventories (Note 11)	1,166,293	13	920,900	12	815,465	11
Prepayments (Note 12)	125,446	1	86,878	1	89,340	1
Other current assets (Notes 17 and 34)	7,078	-	7,298	-	5,237	-
Total current assets	5,642,964	61	5,211,903	65	4,514,007	62
NON-CURRENT ASSETS
Financial assets at fair value through other comprehensive income (Notes 9 and 32)	90,873	1	64,888	1	54,216	1
Property, plant and equipment (Notes 14 and 34)	2,297,558	25	2,291,091	29	2,149,715	29
Right-of-use assets (Note 15)	103,457	1	108,594	1	137,644	2
Intangible assets (Note 16)	10,569	-	9,594	-	13,936	-
Deferred tax assets (Note 4)	88,045	1	79,063	1	72,209	1
Other non-current assets (Note 17)	1,041,627	11	200,387	3	392,273	5
Total non-current assets	3,632,129	39	2,753,617	35	2,819,993	38
TOTAL	$ 9,275,093	100	$ 7,965,520	100	$ 7,334,000	100
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term borrowings (Notes 18 and 34)	$ 140,515	2	$ 491,095	6	$ 466,011	6
Financial liabilities at fair value through profit or loss (Notes 7 and 32)	3,223	-	2,364	-	1,253	-
Contract liabilities (Note 24)	1,930	-	15,018	-	809	-
Notes payable	-	-	-	-	1,892	-
Accounts payable (Note 20)	660,841	7	557,129	7	336,281	5
Accounts payable - related parties (Note 33)	2,437	-	2,130	-	1,343	-
Other payables (Note 21)	1,159,889	12	870,379	11	912,238	13
Current tax liabilities (Note 4)	126,207	1	101,713	1	67,382	1
Lease liabilities (Note 15)	23,573	-	26,758	1	28,130	-
Current portion of long-term borrowings (Note 18)	51,174	1	47,010	1	7,780	-
Other current liabilities	11,873	-	7,112	-	7,070	-
Total current liabilities	2,181,662	23	2,120,708	27	1,830,189	25
NON-CURRENT LIABILITIES
Long-term borrowings, net of current portion (Note 18)	140,728	2	141,030	2	116,698	1
Lease liabilities (Note 15)	34,015	-	36,740	-	62,344	1
Bonds payable (Note 19)	637,673	7	-	-	-	-
Net defined benefit liabilities (Notes 4 and 22)	1,176	-	1,290	-	1,963	-
Guarantee deposits received	13,639	-	14,656	-	13,457	-
Deferred tax liabilities (Note 4)	250,938	3	223,280	3	194,145	3
Total non-current liabilities	1,078,169	12	416,996	5	388,607	5
Total liabilities	3,259,831	35	2,537,704	32	2,218,796	30
EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY (Note 23)
Share capital	1,450,425	16	1,420,425	18	1,421,805	19
Capital surplus	1,838,752	20	1,317,507	16	1,228,872	17
Retained earnings
Legal reserve	573,975	6	573,975	7	552,893	8
Special reserve	177,630	2	177,630	3	368,401	5
Unappropriated earnings	1,489,897	16	1,609,733	20	1,109,424	15
Total retained earnings	2,241,502	24	2,361,338	30	2,030,718	28
Other equity	( 149,927 )	( 2 )	( 277,795 )	( 4 )	( 128,543 )	( 2 )
Total equity attributable to owners of the Company	5,380,752	58	4,821,475	60	4,552,852	62
NON-CONTROLLING INTERESTS	634,510	7	606,341	8	562,352	8
Total equity	6,015,262	65	5,427,816	68	5,115,204	70
TOTAL	$ 9,275,093	100	$ 7,965,520	100	$ 7,334,000	100

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

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025

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

	Three Months Ended March 31
	2026		2025
	Amount	%	Amount	%
OPERATING REVENUE (Notes 24 and 33)	$1,344,023	100	$ 894,112	101
LESS: SALES RETURNS	155	-	1,057	-
SALES DISCOUNTS AND ALLOWANCES	4,303	-	5,687	1
NET OPERATING REVENUE	1,339,565	100	887,368	100
OPERATING COSTS (Notes 11, 25 and 33)
Operating costs	849,478	64	658,345	74
GROSS PROFIT	490,087	36	229,023	26
OPERATING EXPENSES (Note 25)
Selling and marketing	50,116	4	38,975	4
General and administrative	121,513	9	84,306	10
Research and development	46,451	3	36,910	4
Total operating expenses	218,080	16	160,191	18
OTHER OPERATING INCOME AND EXPENSES (Note 25)	( 2,499 )	-	3,490	-
PROFIT FROM OPERATIONS	269,508	20	72,322	8
NON-OPERATING INCOME AND EXPENSES
Interest income	5,670	1	5,593	1
Other income	3,408	-	4,721	-
Gain on valuation of financial instruments at fair value through profit or loss, net	2,500	-	361	-
Other expenses	( 276 )	-	( 211 )	-
Foreign exchange gain, net (Note 25)	( 1,910 )	-	( 1,077 )	-
Interest expense	( 9,249 )	( 1)	( 6,305 )	( 1)
Total non-operating income and expenses	143	-	3,082	-
				(Continued)

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025

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

	Three Months Ended March 31
	2026		2025
	Amount	%	Amount	%
PROFIT BEFORE INCOME TAX	$ 269,651	20	$ 75,404	8
INCOME TAX EXPENSE (Notes 4 and 26)	( 80,219 )	( 6 )	( 20,624 )	( 2 )
NET PROFIT	189,432	14	54,780	6
OTHER COMPREHENSIVE INCOME (LOSS)
Items that will not be reclassified subsequently to profit or loss:
Remeasurement of defined benefit plans	2,474	-	2,469	-
Unrealized gain (loss) on investments in equity instruments at fair value through other comprehensive income	25,985	2	( 6,474 )	( 1 )
Income tax relating to items that will not be reclassified subsequently to profit or loss	( 495 )	-	( 494 )	-
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation to the financial statements of foreign operations	97,730	8	49,660	6
Total other comprehensive income (loss)	125,694	10	45,161	5
TOTAL COMPREHENSIVE INCOME	$ 315,126	24	$ 99,941	11
NET PROFIT ATTRIBUTED TO:
Owners of the Company	$ 168,685	13	$ 51,896	6
Non-controlling interests	20,747	1	2,884	-
	$ 189,432	14	$ 54,780	6
TOTAL COMPREHENSIVE INCOME ATTRIBUTED TO:
Owners of the Company	$ 287,372	22	$ 102,958	11
Non-controlling interests	27,754	2	( 3,017 )	-
	$ 315,126	24	$ 99,941	11
EARNINGS PER SHARE (Note 27)
Basic	$ 1.17		$ 0.36
Diluted	$ 1.14		$ 0.36

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

(Concluded)

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025

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

	Equity Attributable to Owners of the Company (Note 23)
	Share Capital (Note 23)	Capital Surplus (Note 23)	Retained Earnings (Notes 4 and 23)			Other Equity			Total	Non-controlling Interests (Note 23)	Total Equity
			Legal Reserve	Special Reserve	Unappropriated Earnings	Exchange Differences on Translation to the Financial Statements of Foreign Operations	Unrealized Gain (Loss) on Financial Assets at Fair Value Through Other Comprehensive Income	Unearned Employee Compensation
BALANCE AT JANUARY 1, 2025	$ 1,421,805	$ 1,228,872	$ 552,893	$ 368,401	$ 1,226,170	( $ 201,497 )	$ 23,867	$ -	$ 4,620,511	$ 565,369	$ 5,185,880
Appropriation of 2024 earnings
Cash dividends distributed by the Company (NT$1.20 per share)	-	-	-	-	( 170,617 )	-	-	-	( 170,617 )	-	( 170,617 )
Net profit for the three months ended March 31, 2025	-	-	-	-	51,896	-	-	-	51,896	2,884	54,780
Other comprehensive income (loss) for the three months ended March, 31, 2025, net of income tax	-	-	-	-	1,975	55,350	( 6,263 )	-	51,062	( 5,901 )	45,161
Total comprehensive income (loss) for the three months ended March 31, 2025	-	-	-	-	53,871	55,350	( 6,263 )	-	102,958	( 3,017 )	99,941
BALANCE AT MARCH 31, 2025	$ 1,421,805	$ 1,228,872	$ 552,893	$ 368,401	$ 1,109,424	( $ 146,147 )	$ 17,604	$ -	$ 4,552,852	$ 562,352	$ 5,115,204
BALANCE AT JANUARY 1, 2026	$ 1,420,425	$ 1,317,507	$ 573,975	$ 177,630	$ 1,609,733	( $ 233,126 )	$ 29,614	( $ 74,283 )	$ 4,821,475	$ 606,341	$ 5,427,816
Appropriation of 2025 earnings
Cash dividends distributed by the Company (NT$2 per share)	-	-	-	-	( 290,085 )	-	-	-	( 290,085 )	-	( 290,085 )
Equity component of convertible bonds issued	-	170,245	-	-	-	-	-	-	170,245	-	170,245
Share-based payment transactions	-	-	-	-	-	-	-	11,160	11,160	-	11,160
Net profit for the three months ended March 31, 2026	-	-	-	-	168,685	-	-	-	168,685	20,747	189,432
Other comprehensive income (loss) for the three months ended March, 31, 2026, net of income tax	-	-	-	-	1,979	91,827	24,881	-	118,687	7,007	125,694
Total comprehensive income (loss) for the three months ended March 31, 2026	-	-	-	-	170,664	91,827	24,881	-	287,372	27,754	315,126
Issuance of ordinary shares for cash	30,000	351,000	-	-	-	-	-	-	381,000	-	381,000
Changes in percentage of ownership interests in subsidiaries	-	-	-	-	( 415 )	-	-	-	( 415 )	415	-
BALANCE AT MARCH 31, 2026	$ 1,450,425	$ 1,838,752	$ 573,975	$ 177,630	$ 1,489,897	( $ 141,299 )	$ 54,495	( $ 63,123 )	$ 5,380,752	$ 634,510	$ 6,015,262

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

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025
(In Thousands of New Taiwan Dollars)

	Three Months Ended March 31
	2026	2025
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before income tax	$ 269,651	$ 75,404
Adjustments for:
Depreciation	90,973	93,075
Amortization	879	1,343
Gain on valuation of financial instruments at fair value through profit or loss, net	( 2,500 )	( 361 )
Interest expense	9,249	6,305
Interest income	( 5,670 )	( 5,593 )
Compensation cost of share-based payments	11,160	-
Loss (gain) on disposal of property, plant and equipment, net	2,499	( 3,490 )
Inventory valuation loss	1,877	420
Net changes in operating assets and liabilities
Financial assets mandatorily classified as at fair value through profit or loss	114	-
Notes receivable	( 47,642 )	( 8,996 )
Accounts receivable	( 61,109 )	33,318
Accounts receivable - related parties	32,481	25,224
Other receivables	( 8,640 )	( 1,734 )
Inventories	( 246,545 )	( 68,687 )
Prepayments	( 38,568 )	( 23,055 )
Other current assets	220	345
Contract liabilities	( 13,088 )	353
Notes payable	-	( 24 )
Accounts payable	103,712	19,738
Accounts payable - related parties	307	149
Other payables	( 41,493 )	( 90,174 )
Other current liabilities	4,761	847
Net defined benefit assets	( 375 )	( 465 )
Cash generated from operations	62,253	53,942
Interest received	5,987	3,478
Interest paid	( 5,841 )	( 6,305 )
Income tax paid	( 38,495 )	( 13,857 )
Net cash generated from operating activities	23,904	37,258

(Continued)

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025
(In Thousands of New Taiwan Dollars)

	Three Months Ended March 31
	2026	2025
CASH FLOWS FROM INVESTING ACTIVITIES
Payment for financial assets at amortized cost	$ -	($ 104,058)
Proceeds from disposal of financial assets at amortized cost	210,475	-
Payment for financial assets at fair value through profit or loss	( 6,826)	( 45,840)
Payments for property, plant and equipment (Note 30)	( 868,555)	( 112,007)
Proceeds from disposal of property, plant and equipment (Note 30)	3,560	3,512
(Increase) decrease in refundable deposits	( 2,087)	433
Payments for intangible assets	( 1,825)	( 3,111)
Decrease in other non-current assets	12	157
Net cash used in investing activities	( 665,246)	( 260,914)
CASH FLOWS FROM FINANCING ACTIVITIES
(Decrease) increase in short-term borrowings	( 350,666)	18,384
Proceeds from issuance of bonds	806,126	-
Proceeds from long-term borrowings	21,702	-
Repayments of long-term borrowings	( 13,155)	-
(Decrease) increase in guarantee deposits received	( 1,017)	151
Repayments of the principal portion of lease liabilities	( 6,361)	( 8,176)
Issuance of ordinary shares for cash	381,000	-
Net cash generated from financing activities	837,629	10,359
EFFECTS OF EXCHANGE RATE CHANGES ON THE BALANCE OF CASH HELD IN FOREIGN CURRENCIES	68,981	37,883
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	265,268	( 175,414)
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF PERIOD	1,813,992	2,012,970
CASH AND CASH EQUIVALENTS AT THE END OF PERIOD	$ 2,079,260	$ 1,837,556

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

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TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE THREE MONTHS ENDED MARCH 31, 2026 and 2025

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

1. GENERAL INFORMATION

Topoint Technology Co., Ltd. (the "Company") was incorporated in 1996. On May 10, 2000, the Securities and Futures Commission (SFC) approved the Company's application to become a public company. Since December 21, 2004, the Company's shares have been traded on the Taipei Exchange (TPEx). Later, when the Company's shares ceased to be traded over the counter, the Company's shares became listed on the Taiwan Stock Exchange (TWSE) in January 2008. The Company mainly manufactures and markets micro-drills for printed circuit boards (PCBs), numerically controlled drilling machines for PCBs and peripheral equipment used in the manufacture of PCB.

The consolidated financial statements of the Company and its subsidiaries (collectively referred to as the "Group") are presented in the Company's functional currency, the New Taiwan dollar.

2. APPROVAL OF FINANCIAL STATEMENTS

The consolidated financial statements were approved by the Company's board of directors on May 14, 2026.

3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

(1) Initial application of 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) of the Republic of China

Amendments to IFRS 9 and IFRS 7 "Amendments to the Classification and Measurement of Financial Instruments"

The adoption of the Amendments to IFRS 9 and IFRS 7 "Amendments to the Classification and Measurement of Financial Instruments" did not have a material impact on the Group's accounting policies.

(2) IFRS Accounting Standards in issue but not yet endorsed and issued into effect by the FSC

New, Amended and Revised Standards and Interpretations	Effective Date Announced by IASB (Note 1)
Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets between An Investor and Its Associate or Joint Venture”	To be determined by IASB
IFRS 18 “Presentation and Disclosure in Financial Statements”	January 1, 2027 (Note 2)
IFRS 19 “Subsidiaries without Public Accountability: Disclosures” (including amendments in 2025)	January 1, 2027
Amendments to IAS 21 “Translation to a Hyperinflationary Presentation Currency”	January 1, 2027

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Note 1: Unless stated otherwise, the above IFRS Accounting Standards are effective for annual reporting periods beginning on or after their respective effective dates.

Note 2: On September 25, 2025, the FSC announced that companies in Taiwan shall apply IFRS 18 starting from January 1, 2028, and may elect early adoption upon the FSC’s endorsement of IFRS 18.

IFRS 18 “Presentation and Disclosure in Financial Statements” and related amendments

IFRS 18 will replace IAS 1 “Presentation of Financial Statements.” Major changes in the new standard are as follows:

• The Group shall assess whether investing in certain types of assets and providing financing to customers constitute specified main business activities. Based on such assessment, income and expense items in the statement of profit or loss shall be classified into the categories of operating, investing, financing, income taxes, and discontinued operations.
• Income and expense items on the statement of profit or loss shall be classified into categories of operating, investing, financing, income taxes and discontinued operations.
• Subtotals and totals of operating profit or loss, profit or loss before financing and income taxes and profit or loss shall be presented on the statement of profit or loss.
• The Standard provides enhanced guidance on aggregation and disaggregation: The Group shall identify assets, liabilities, equity, income, expenses and cash flows that arise from individual transactions or other events, and group and aggregate them based on shared characteristics for line items in the primary financial statements to share at least one characteristic. Items with different characteristics shall be disaggregate in the primary financial statements and the notes. Only when the Group cannot find an appropriate descriptive label would “others” be used.
• Disclosures about management-defined performance measures are added: For public communications outside financial statements and the communication of management’s view on an aspect of the Group’s financial performance with the financial statement users, information associated with the management-defined performance measures shall be disclosed in a single note to the financial statements, including a description of the measures, how they are calculated, the reconciliation of the measures to subtotals or totals specified by the IFRS Accounting Standards, and the income tax and non-controlling interests effects of relevant reconciliation items.

Furthermore, the following related amendments have been made to IAS 7 “Statement of Cash Flows”:

• When preparing cash flows from operating activities using the indirect method, the Group shall start the reconciliation from operating profit or loss.
• Interest and dividends received shall be classified as investing activities, while interest and dividends paid shall be classified as financing activities. If the Group determines that it has specific main business activities, it shall consider the categories in which dividend income, interest income, and interest expense are presented in the statement of profit or loss when determining their classification in the statement of cash flows. However, each of these cash flows must be classified consistently in a single category of the statement of cash flows.

As of the date the consolidated financial statements were authorized for issue, the Group is continuously assessing impact that the application of aforementioned amendments to standards and interpretations will have on the Group’s financial position and financial performance and will disclose the relevant impact when the assessment is completed.

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4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Statement of Compliance

The 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. They do not include all disclosures of IFRS Accounting Standards required in annual financial statements.

Basis of Preparation

The consolidated financial statements have been prepared on the historical cost basis, except for financial instruments which are measured at fair values and the net defined benefit asset and the net defined benefit liability which are measured at the present value of the defined benefit obligations less the fair value of plan assets.

The fair value measurements, which are grouped into Levels 1 to 3 based on the degree to which the fair value measurement inputs are observable and based on the significance of the inputs to the fair value measurement in its entirety, are described as follows:

(1) Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities;

(2) Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and

(3) Level 3 inputs are unobservable inputs for the asset or liability.

Basis of Consolidation

The consolidated financial statements incorporate the financial statements of the Company and the entities controlled by the Company (i.e., its subsidiaries).

When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the Group. All intra-group transactions, balances, income and expenses are eliminated in full upon consolidation. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.

Changes in the Group’s ownership interests in subsidiaries that do not result in the Group losing control over the subsidiaries are accounted for as equity transactions. The carrying amounts of the Group’s interests and the non-controlling interests are adjusted to reflect the changes in their relative interests in the subsidiaries. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received is recognized directly in equity and attributed to the owners of the Company.

See Note 13 and Tables 6 and 7 for the detailed information of subsidiaries (including the percentages of ownership and main businesses).

Details of Other Significant Accounting Policies

Except for descriptions set out below, please refer to the consolidated financial statements for the year ended December 31, 2025 for a summary of significant accounting policies.

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(1) Defined benefit retirement benefit plan

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

(2) Income tax expense

Income tax expense represents the sum of the tax currently payable and deferred tax. Income tax of an interim period is calculated on an annual basis, i.e., applying the expected tax rate applicable to the annual earnings to the net profit before income tax of the interim period.

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Please refer to the critical accounting judgements and key sources of estimation uncertainty section in the consolidated financial statements for the year ended December 31, 2025 for details.

6. CASH AND CASH EQUIVALENTS

	March 31, 2026	December 31, 2025	March 31, 2025
Cash on hand	$ 1,595	$ 1,606	$ 1,705
Checking accounts and demand deposits	1,121,576	792,786	690,070
Cash equivalents
Time deposits	956,089	1,019,600	1,145,781
	$ 2,079,260	$ 1,813,992	$ 1,837,556

The market interest rate intervals of demand deposits and time deposits at the end of reporting period were as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Demand deposits	0.030%~0.705%	0.001%~0.725%	0.001%~1.00%
Time deposits	0.30%~3.58%	0.30%~3.60%	0.45%~2.60%

7. FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS

	March 31, 2026	December 31, 2025	March 31, 2025
Financial assets mandatorily classified as at FVTPL
Hybrid financial assets
Structured deposits (2)	$ 31,488	$ 23,701	$ 46,358 (Continued)

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	March 31, 2026	December 31, 2025	March 31, 2025
Derivative financial assets (not under hedge accounting)
Convertible bond options (Note 19)	$ 1,890	$ -	$ -
Forward exchange contracts (1)	-	18	-
	$ 33,378	$ 23,719	$ 46,358
Financial liabilities held for trading
Derivative financial liabilities (not under hedge accounting)
Forward exchange contracts (1)	$ 3,223	$ 2,364	$ 1,253
			(Concluded)

(1) At the end of the reporting period, outstanding forward exchange contracts not under hedge accounting were as follows:

	Currency	Maturity	Notional Amount (In Thousands)
March 31, 2026
Sell	USD/NTD	2026.04.07	USD	80 /NTD	2,508
Sell	USD/NTD	2026.04.07	USD	200 /NTD	6,224
Sell	USD/NTD	2026.04.08	USD	440 /NTD	13,590
Sell	USD/NTD	2026.05.07	USD	63 /NTD	1,967
Sell	USD/NTD	2026.05.07	USD	150 /NTD	4,694
Sell	USD/NTD	2026.05.07	USD	730 /NTD	22,621
Sell	USD/NTD	2026.06.04	USD	1,200 /NTD	37,336
Sell	USD/NTD	2026.06.05	USD	180 /NTD	5,706
Sell	USD/NTD	2026.07.03	USD	770 /NTD	23,878
Sell	JPY/NTD	2026.07.22	JPY	2,160 /NTD	435
Sell	USD/NTD	2026.08.05	USD	700 /NTD	22,040
Sell	USD/NTD	2026.09.04	USD	560 /NTD	17,694
December 31, 2025
Sell	JPY/NTD	2026.01.21	JPY	720/NTD	148
Sell	JPY/NTD	2026.02.13	JPY	3,300/NTD	680
Sell	USD/NTD	2026.01.06	USD	325/NTD	9,824
Sell	USD/NTD	2026.01.06	USD	157/NTD	4,747
Sell	USD/NTD	2026.02.05	USD	141/NTD	4,266
Sell	USD/NTD	2026.02.05	USD	100/NTD	3,116
Sell	USD/NTD	2026.02.06	USD	450/NTD	13,415
Sell	USD/NTD	2026.03.05	USD	160/NTD	4,977
Sell	USD/NTD	2026.03.05	USD	110/NTD	3,419
Sell	USD/NTD	2026.03.06	USD	550/NTD	16,709
Sell	USD/NTD	2026.04.07	USD	200/NTD	6,224
Sell	USD/NTD	2026.04.08	USD	440/NTD	13,590
Sell	USD/NTD	2026.05.07	USD	730/NTD	22,621
Sell	USD/NTD	2026.06.04	USD	1,200/NTD	37,336

---

	Currency	Maturity	Notional Amount (In Thousands)
March 31, 2025
Sell	JPY/NTD	2025.04.23	JPY	1,777/NTD	381
Sell	JPY/NTD	2025.05.20	JPY	1,568/NTD	324
Sell	JPY/NTD	2025.06.23	JPY	3,100/NTD	668
Sell	JPY/NTD	2025.07.23	JPY	2,200/NTD	486
Sell	USD/NTD	2025.04.02	USD	89/NTD	2,878
Sell	USD/NTD	2025.04.07	USD	244/NTD	7,714
Sell	USD/NTD	2025.05.05	USD	90/NTD	2,912
Sell	USD/NTD	2025.05.07	USD	320/NTD	10,256
Sell	USD/NTD	2025.06.03	USD	100/NTD	3,239
Sell	USD/NTD	2025.06.05	USD	340/NTD	11,123
Sell	USD/NTD	2025.07.04	USD	200/NTD	6,486
Sell	USD/NTD	2025.08.06	USD	280/NTD	9,122

The Group entered into forward exchange contracts to manage exposures to exchange rate fluctuations of foreign currency denominated assets and liabilities. The purpose of its financial hedging strategy is to avoid price volatility of primary markets.

(2) The Group entered into 90 to 181 days structured time deposit contract. The structured time deposit contract includes an embedded derivative instrument which is not closely related to the host contract. The entire contract is assessed and mandatorily classified as at FVTPL since it contains a host that is an asset within the scope of IFRS 9.

8. FINANCIAL ASSETS AT AMORTIZED COST

	March 31, 2026	December 31, 2025	March 31, 2025
Current
Time deposits with original maturities of more than three months	$ 478,542	$ 689,017	$ 445,980
The market interest rate intervals of financial assets at amortized cost were as follows:
	March 31, 2026	December 31, 2025	March 31, 2025
Time deposits with original maturities of more than three months	0.85%~1.80%	0.85%~3.50%	1.00%~3.50%

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• 15 -

9. FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

Investments in equity instruments

	March 31, 2026	December 31, 2025	March 31, 2025
Non-current
Domestic investments
Listed shares
Ordinary shares - Zhen Ding Technology Holding Limited	$ 74,628	$ 51,318	$ 37,404
Unlisted shares
Ordinary shares - Chipboard Technology Corporation	16,245	13,570	16,812
	$ 90,873	$ 64,888	$ 54,216

10. NOTES RECEIVABLES, TRADE RECEIVABLES AND OTHER RECEIVABLES

	March 31, 2026	December 31, 2025	March 31, 2025
Notes receivables
At amortized cost	$ 191,653	$ 144,011	$ 150,855
Trade receivables
At amortized cost
Gross carrying amount	$ 1,301,513	$ 1,240,404	$ 922,038
Less: Loss allowance	13,139	12,907	13,142
	$ 1,288,374	$ 1,227,497	$ 908,896
Other receivables
Bank retention accounts	$ 14,885	$ 11,790	$ 9,217
Interest receivable	3,672	3,989	13,481
Receivable from disposal of equipment	-	1,680	-
Purchase of equipment on other’s behalf	-	-	5,935
Others	13,796	8,251	8,111
	$ 32,353	$ 25,710	$ 36,744

(1) Notes receivable

The average credit period of notes receivable was 90 to 120 days. In determining the recoverability of a note receivable, the Group considered any change in the credit quality of the note receivable since the date credit was initially granted to the end of the reporting period. The notes receivable that are past due recognized 100% allowance for bad debt. As of the reporting date, the Group had no notes receivables that were past due.

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(2) Trade receivable

A. At amortized cost

The average credit period of sales of goods was 90 to 150 days. No interest was charged on trade receivables. The Group adopts a policy of only dealing with entities that are rated the equivalent of investment grade or higher and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from default. The Group uses other publicly available financial information and its own trading records to rate its major customers. The Group’s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread among approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved annually.

The Group applies the simplified approach to providing for expected credit losses prescribed by IFRS 9, which permits the use of lifetime expected loss provision for all trade receivables. The expected credit losses on trade receivables are estimated using a provision matrix by considering the past default experience of the debtor and an analysis of the debtor’s current financial position, adjusted for general economic conditions of the industry in which the debtors operate, while also taking into account GDP forecasts and industry outlooks. As the sales counterparties of the entities within the Group differ, customer groups are further categorized by individual company, and expected credit loss rates are determined based on the aging of trade receivables.

The Group writes off a trade receivable when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery. For trade receivables 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.

The following table details the loss allowance of accounts receivable based on the Group’s provision matrix.

March 31, 2026

	Not Past Due	Less than 60 Days	61 to 90 Days	91 to 120 Days	121 to 180 Days	181 to 360 Days	Individually Assessed	Total
Expected credit loss rate	0%	0%	-	-	-	-	100%
Gross carrying amount	$ 1,284,222	$ 4,152	$ -	$ -	$ -	$ -	$ 13,139	$ 1,301,513
Loss allowance (Lifetime ECL)	-	-	-	-	-	-	( 13,139)	( 13,139)
Amortized cost	$ 1,284,222	$ 4,152	$ -	$ -	$ -	$ -	$ -	$ 1,288,374

December 31, 2025

	Not Past Due	Less than 60 Days	61 to 90 Days	91 to 120 Days	121 to 180 Days	181 to 360 Days	Individually Assessed	Total
Expected credit loss rate	0%	0%	-	0%	-	-	100%
Gross carrying amount	$ 1,220,316	$ 7,176	$ -	$ 5	$ -	$ -	$ 12,907	$ 1,240,404
Loss allowance (Lifetime ECL)	-	-	-	-	-	-	( 12,907)	( 12,907)
Amortized cost	$ 1,220,316	$ 7,176	$ -	$ 5	$ -	$ -	$ -	$ 1,227,497

March 31, 2025

	Not Past Due	Less than 60 Days	61 to 90 Days	91 to 120 Days	121 to 180 Days	181 to 360 Days	Individually Assessed	Total
Expected credit loss rate	0%	0%	0%	-	-	-	100%
Gross carrying amount	$ 890,329	$ 18,131	$ 436	$ -	$ -	$ -	$ 13,142	$ 922,038
Loss allowance (Lifetime ECL)	-	-	-	-	-	-	( 13,142)	( 13,142)
Amortized cost	$ 890,329	$ 18,131	$ 436	$ -	$ -	$ -	$ -	$ 908,896

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The movements of the loss allowance of trade receivables were as follows:

	Three Months Ended March 31
	2026	2025
Balance at January 1	$ 12,907	$ 13,042
Foreign exchange gain (loss)	232	100
Balance at March 31	$ 13,139	$ 13,142

B. At FVTPL

For accounts receivable from related parties, the Group will sell them to banks without recourse. The sale will result in derecognizing these trade receivables because the Group will transfer the significant risks and rewards relating to them. These trade receivables are classified as at FVTPL because the objective of the Group’s business model is neither to collect contractual cash flows nor achieved by collecting contractual cash flows and selling financial assets.

Factored trade receivables for the three months ended March 31, 2026 and 2025 were as follows:

For the three months ended March 31, 2026

Counterparties	Receivables Sold	Receivables Sold at March 31, 2026	Advances Received	Not Yet Received as of March 31, 2026	Retention	Interest Rates for Advances Received (%)	Credit Line
Mega International Commercial Bank	$ 148,785	$ 148,785	$ 133,900	$ 7	$ 14,878	4.85	US$ 7,000 thousand

For the three months ended March 31, 2025

Counterparties	Receivables Sold	Receivables Sold at March 31, 2025	Advances Received	Not Yet Received as of March 31, 2025	Retention	Interest Rates for Advances Received (%)	Credit Line
Mega International Commercial Bank	$ 92,092	$ 92,092	$ 82,875	$ 9	$ 9,208	5.19	US$ 3,000 thousand

The above credit line may be used on a revolving basis.

The above factored accounts receivables have not been received and the retention amounts were reclassified to other receivables - bank retention accounts.

(3) Other receivables

The Group assesses other receivables for impairment when there is objective evidence of receivable being impaired.

As of the reporting date, the Group had no other receivables that were past due; thus, no loss allowance was recognized.

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• 18 -

11. INVENTORIES

	March 31, 2026	December 31, 2025	March 31, 2025
Finished goods	$ 368,587	$ 339,646	$ 350,013
Raw materials	469,384	306,639	241,727
Supplies	194,083	172,776	154,154
Work in process	96,651	66,272	53,747
Merchandise	37,588	35,567	15,824
	$ 1,166,293	$ 920,900	$ 815,465

The nature of cost of goods sold is as follows:

	Three Months Ended March 31
	2026	2025
Cost of inventories sold	$ 842,975	$ 656,780
Inventory write-downs	1,877	420
Inventory loss for market price	4,626	1,145
	$ 849,478	$ 658,345

12. PREPAYMENTS

	March 31, 2026	December 31, 2025	March 31, 2025
Prepaid value-added tax	$ 61,719	$ 46,750	$ 49,256
Prepaid purchases	40,472	23,162	25,081
Prepayment for expense	23,255	16,966	15,003
	$ 125,446	$ 86,878	$ 89,340

13. SUBSIDIARIES

(1) Subsidiaries included in the consolidated financial statements

Entities included in the consolidated financial statements were as follows:

Investor	Investee	Nature of Activities	Proportion of Ownership (%)			Note
			March 31, 2026	December 31, 2025	March 31, 2025
Topoint Technology Co., Ltd.	Topoint Technology Co., LTD. (B.V.I.)	International investment	100	100	100
	Unipoint Technology Co., Ltd.	Processing print circuit board	61.76	61.76	61.76
	Warpspeed Corporation (B.V.I.)	International trade	100	100	100
	Topoint Japan Co., Ltd.	Selling electronic components	100	100	100
	Unipoint Technology Holdings Co., Ltd. (B.V.I.)	International investment	100	100	100
						(Continued)

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Investor	Investee	Nature of Activities	Proportion of Ownership (%)			Note
			March 31, 2026	December 31, 2025	March 31, 2025
	Raypoint Precision Tools Co., Ltd.	International trade	100	100	100
	Drilltek Corporation	Processing print circuit board	58.72	58.72	58.72
	Cosmos Vacuum Technology Corporation	Vacuum coating and router bits	62.33	62.33	61.86	Note 1
	Topoint Technology (Thailand) Co., Ltd.	Manufacturing, selling and processing micro-drills for printed circuit boards	99.94	99.92	99.92	Note 2
Topoint Technology Co., LTD. (B.V.I.)	Shanghai Topoint Precision Technology Co., Ltd.	Manufacturing and selling precision equipment and measurement facilities	100	100	100	Note 3
	Sharpoint Technology (Suzhou) Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	100	Note 4
	Sharpoint Electronics (Huaian) Co., Ltd.	Testing of drill bits and mounting plate blot holes	-	-	100	Note 5
	Shanghai IntelliBrightPoint Electronic Co., Ltd.	Sales electronic products and electronic components	100	100	100
Shanghai Topoint Precision Technology Co., Ltd.	Kunshan Restek Technology Co., Ltd.	Manufacturing, processing and selling print circuit board	75	75	75
	Chengdu Raypoint Precision Tools Co., Ltd.	Cutting tools	100	100	100
	Shanghai Ringpoint Nano Material Co., Ltd.	Processing metal products	75	75	75
Shanghai IntelliBrightPoint Electronic Co., Ltd.	Kunshan Topoint Technology Co., Ltd.	Drilling bits	100	100	100
	Sharpoint Technology (Qinhuangdao) Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	100
	Sharpoint Technology (Shenzhen) Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	100
	Sharpoint Electronics (Huaian) Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	-	Note 5
Sharpoint Electronics (Huaian) Co., Ltd.	Winpoint Electronics (Huaian) Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	100
Sharpoint Technology (Qinhuangdao) Co., Ltd.	Huangshi Topoint Technology Co., Ltd.	Testing of drill bits and mounting plate blot holes	100	100	100
Unipoint Technology Co., Ltd.	Topmicron Investment Ltd.	International investment	100	100	100
Cosmos Vacuum Technology Corporation	H&N Technology Co., Ltd.	International trade	100	100	100
	Cosmos Integration Corp.	International investment	100	100	100
Cosmos Integration Corp.	Universal Technology Corp.	International investment	100	100	100
Universal Technology Corp.	Cosmos Electronic Technology (Kunshan) Co., Ltd.	Vacuum coating and router bits	100	100	100

Note 1: In November 2025, the parent company acquired 180,200 ordinary shares of Cosmos Vacuum Technology Corporation from unrelated parties for $2,207 thousand in cash. As the Group did not increase its investment proportionately to its existing shareholding, its ownership interest increased from 61.86% to 62.33%, and capital surplus increased by $481 thousand accordingly.
Note 2: In February 2026, the parent company acquired 15,000,000 ordinary shares of Topoint Technology (Thailand) Co., Ltd. through a cash capital increase. As the Group did not increase its investment proportionately to its existing shareholding, its ownership interest increased from 99.92% to 99.94%, and retained earnings decreased by $415 thousand accordingly.
Note 3: Shanghai Topoint Precision Technology Co., Ltd. approved the cash dividend distribution of RMB 25,000 thousand in the board of directors' meeting on April 8, 2025.
Note 4: Sharpoint Technology (Suzhou) Co., Ltd. approved the dividend distribution of RMB 1,627 thousand in the board of directors' meeting on October 14, 2025.

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Note 5: Sharpoint Electronics (Huaian) Co., Ltd. approved an earnings distribution of RMB 10,122 thousand in the board of directors' meeting on April 8, 2025. In June 2025, Shanghai IntelliBrightPoint Electronic Co., Ltd. acquired 100% of the shares of Sharpoint Electronics (Huaian) Co., Ltd. from Topoint Technology Co., Ltd. (B.V.I.). This transaction constitutes a reorganization under common control, and the related accounting treatment does not recognize any gain or loss.

(2) Details of subsidiaries that have material non-controlling interests

Name of Subsidiary	Principal Place of Business	Proportion of Ownership and Voting Rights Held by Non-controlling Interests
			March 31, 2026	December 31, 2025	March 31, 2025
Unipoint Technology Co., Ltd.	Taoyuan City		38.24%	38.24%	38.24%
Cosmos Vacuum Technology Corporation	New Taipei City		37.67%	37.67%	38.14%
	Profit (Loss) Allocated to Non-controlling Interests		Non-controlling Interests
	Three Months Ended March 31		March 31, 2026	December 31, 2025	March 31, 2025
Name of Subsidiary	2026	2025
Unipoint Technology Co., Ltd.	$ 2,743	$ 290	$ 287,951	$ 285,210	$ 271,404
Cosmos Vacuum Technology Corporation	$ 17,191	$ 4,465	$ 250,483	$ 222,134	$ 185,806

The summarized financial information of subsidiaries below represents the amounts before intragroup elimination:

Unipoint Technology Co., Ltd. and Subsidiaries

	March 31, 2026	December 31, 2025	March 31, 2025
Current assets	$ 662,593	$ 658,278	$ 562,111
Non-current assets	143,741	155,664	205,812
Current liabilities	( 49,305 )	( 62,239 )	( 44,560 )
Non-current liabilities	( 4,019 )	( 5,865 )	( 13,625 )
Equity	$ 753,010	$ 745,838	$ 709,738
Equity attributable to:
Owners of Unipoint Technology Co., Ltd.	$ 465,059	$ 460,628	$ 438,334
Non-controlling interests of Unipoint Technology Co., Ltd.	287,951	285,210	271,404
	$ 753,010	$ 745,838	$ 709,738
		Three Months Ended March 31
		2026	2025
Revenue		$ 57,068	$ 53,013
Profit for the period		$ 7,172	$ 757
			(Continued)

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• 21 -

	Three Months Ended March 31
	2026	2025
Profit attributable to:
Owners of Unipoint Technology Co., Ltd.	$ 4,429	$ 467
Non-controlling interests of Unipoint Technology Co., Ltd.	2,743	290
	$ 7,172	$ 757
Net cash inflow (outflow) from:
Operating activities	$ 25,271	$ 23,267
Investing activities	( 909 )	416
Financing activities	( 2,658 )	( 2,615 )
Net cash inflow	$ 21,704	$ 21,068
Dividends paid to non-controlling interests of Unipoint Technology Co., Ltd.	$ -	$ -
		(Concluded)
Cosmos Vacuum Technology Corporation and Subsidiaries
	March 31, 2026	December 31, 2025
Current assets	$ 897,093	$ 777,075
Non-current assets	172,035	158,900
Current liabilities	( 384,132 )	( 322,863 )
Non-current liabilities	( 33,202 )	( 26,040 )
Equity	$ 651,794	$ 587,072
Equity attributable to:
Owners of Cosmos Vacuum Technology Corporation	$ 401,311	$ 364,938
Non-controlling interests of Cosmos Vacuum Technology Corporation	250,483	222,134
	$ 651,794	$ 587,072
	Three Months Ended March 31
	2026	2025
Revenue	$ 211,505	$ 114,478
Profit for the period	$ 45,635	$ 11,706
Profit attributable to:
Owners of Cosmos Vacuum Technology Corporation	$ 28,444	$ 7,241
Non-controlling interests of Cosmos Vacuum Technology Corporation	17,191	4,465
	$ 45,635	$ 11,706
		(Continued)

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	Three Months Ended March 31
	2026	2025
Net cash inflow (outflow) from:
Operating activities	$ 40,425	$ 39,603
Investing activities	( 26,848 )	( 20,710 )
Financing activities	( 2,225 )	( 1,068 )
Net cash inflow	$ 11,352	$ 17,825
Dividends paid to non-controlling interests of Cosmos
Vacuum Technology Corporation	$ -	$ -
		(Concluded)

14. PROPERTY, PLANT AND EQUIPMENT

	March 31,2026		December 31,2025		March 31,2025
		Assets used by the Group		$ 2,297,558		$ 2,291,091
	Land	Buildings	Machinery and Equipment	Transportation Equipment	Office Equipment	Miscellaneous Equipment	Equipment to Be Inspected or under Construction
Cost
Balance at January 1, 2026	$ 183,280	$1,100,404	$ 7,046,118	$ 35,566	$ 24,850	$ 544,461	$ 41,393
Additions	-	-	54,038	2,577	851	7,328	7,963
Disposals	-	-	( 207,600)	( 2,213)	( 5)	( 896)	-
Reclassification	-	-	3,199	-	-	1,493	( 4,692)
Effect of foreign currency exchange differences	( 2,546)	12,445	84,224	339	328	4,593	( 241)
Balance at March 31, 2026	180,734	1,112,849	6,979,979	36,269	26,024	556,979	44,423
Accumulated depreciation and impairment
Balance at January 1, 2026	-	500,577	5,757,077	20,178	16,548	390,601	-
Depreciation expense	-	11,918	56,705	1,218	813	13,207	-
Disposals	-	-	( 203,261)	( 2,213)	( 6)	( 855)	-
Effect of foreign currency exchange differences	-	9,528	64,643	249	225	2,547	-
Balance at March 31, 2026	-	522,023	5,675,164	19,432	17,580	405,500	-
Carrying amount at March 31, 2026	$ 180,734	$ 590,826	$ 1,304,815	$ 16,837	$ 8,444	$ 151,479	$ 44,423
Carrying amount at December 31, 2025 and January 1, 2026	$ 183,280	$ 599,827	$ 1,289,041	$ 15,388	$ 8,302	$ 153,860	$ 41,393
Cost
Balance at January 1, 2025	$ 178,026	$ 846,084	$ 7,152,425	$ 30,847	$ 23,580	$ 513,093	$ 137,745
Additions	1,011	14,042	35,106	1,193	195	11,810	9,508
Disposals	-	-	( 36,247)	( 752)	-	( 2,241)	-
Reclassification	-	-	80	1,419	-	-	( 1,499)
Effect of foreign currency exchange differences	2,342	4,973	30,302	353	186	2,185	3,100
Balance at March 31, 2025	181,379	865,099	7,181,666	33,060	23,961	524,847	148,854
Accumulated depreciation and impairment
Balance at January 1, 2025	-	473,861	5,883,878	18,646	13,867	344,259	-
Depreciation expense	-	8,237	61,534	895	779	13,148	-
Disposals	-	-	( 36,233)	( 745)	-	( 2,240)	-
Effect of foreign currency exchange differences	-	438	27,563	164	80	1,020	-
Balance at March 31, 2025	-	482,536	5,936,742	18,960	14,726	356,187	-
Carrying amount at March 31, 2025	$ 181,379	$ 382,563	$ 1,244,924	$ 14,100	$ 9,235	$ 168,660	$ 148,854

Impairment loss was not recognized nor reversed for the three months ended March 31, 2026 and 2025.

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The items of property, plant and equipment are depreciated on a straight-line basis over the estimated useful lives of the assets:

Buildings
Main buildings	10-50 years
Elevators	8-15 years
Decorating constructions	3-10 years
Machinery and equipment	1-15 years
Transportation equipment	1-10 years
Office equipment	2-8 years
Miscellaneous equipment	1-14 years

Refer to Note 34 for the carrying amount of property, plant and equipment pledged by the Group to secure borrowings.

15. LEASE ARRANGEMENTS

(1) Right-of-use assets

	March 31, 2026	December 31, 2025	March 31, 2025
Carrying amount
Land use right	$ 46,220	$ 45,012	$ 47,540
Buildings	56,072	62,187	87,909
Transportation equipment	1,165	1,395	2,195
	$ 103,457	$ 108,594	$ 137,644
		Three Months Ended March 31
		2026	2025
Additions to right-of-use assets		$ -	$ 7,761
Depreciation charge for right-of-use assets
Land use right		$ 320	$ 322
Buildings		6,562	7,820
Transportation equipment		230	340
		$ 7,112	$ 8,482

Except for the additions and the depreciation expenses listed above, there was no indication of impairment of the right-of-use assets and no significant sublease for the three months ended March 31, 2026 and 2025. In addition, on March 31, 2025, the Company early terminated certain lease contracts, resulting in a reduction of right-of-use assets by $455 thousand.

(2) Lease liabilities

	March 31, 2026	December 31, 2025	March 31, 2025
Carrying amount
Current	$ 23,573	$ 26,758	$ 28,130
Non-current	$ 34,015	$ 36,740	$ 62,344

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Range of discount rates for lease liabilities was as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Buildings	1.60%~3.60%	1.60%~3.60%	1.85%~3.60%
Transportation equipment	1.14%~1.90%	1.14%~1.90%	1.14%~4.75%

(3) Material lease-in activities and terms

The Group leases certain transportation equipment with lease terms of 3 years. The Group does not have bargain purchase options to acquire transportation equipment at the end of the lease terms.

The Group also leases certain buildings for the use of plants, office spaces and dormitories with lease terms of 2 to 10 years. The Group does not have bargain purchase options to acquire buildings at the end of the lease terms.

The land use right is amortized by the straight-line method over 49 to 50 years.

(4) Other lease information

	Three Months Ended March 31
	2026	2025
Expenses relating to short-term leases	$ 76	$ 62
Expenses relating to low-value asset leases	$ 86	$ 93
Total cash outflow for leases	($ 6,909)	($ 9,102)

The Group's leases of certain transportation equipment and buildings for the use of plants and dormitories quality as short-term leases and leases of certain office equipment qualify as low-value asset leases. The Group has elected to apply the recognition exemption and thus does not recognize right-of-use assets and lease liabilities for these leases.

16. INTANGIBLE ASSETS

	March 31, 2026	December 31, 2025	March 31, 2025
Computer software	$ 5,451	$ 4,476	$ 5,558
Goodwill	5,118	5,118	8,378
	$ 10,569	$ 9,594	$ 13,936

Movements in computer software were as follows:

	Computer Software
Cost
Balance at January 1, 2026	$ 27,218
Additions	1,825
Effect of foreign currency exchange differences	( 155)
Balance at March 31, 2026	28,888
	(Continued)

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• 25 -

	Computer Software
Accumulated amortization
Balance at January 1, 2026	$ 22,742
Amortization expense	879
Effect of foreign currency exchange differences	( 184 )
Balance at March 31, 2026	23,437
Carrying amount at March 31, 2026	$ 5,451
Carrying amount at December 31, 2025 and January 1, 2026	$ 4,476
Cost
Balance at January 1, 2025	$ 21,845
Additions	3,111
Effect of foreign currency exchange differences	96
Balance at March 31, 2025	25,052
Accumulated amortization
Balance at January 1, 2025	18,074
Amortization expense	1,343
Effect of foreign currency exchange differences	77
Balance at March 31, 2025	19,494
Carrying amount at March 31, 2025	$ 5,558
	(Concluded)

Impairment loss was not recognized nor reversed for the three months ended March 31, 2026 and 2025.

The intangible assets are amortized on a straight-line basis over the following estimated useful lives of the assets:

Computer software

1-5 years

17. OTHER ASSETS

	March 31, 2026	December 31, 2025	March 31, 2025
Current
Restricted deposits	$ 4,104	$ 4,088	$ 4,074
Payment on behalf of others	1,532	1,418	1,115
Others	1,442	1,792	48
	$ 7,078	$ 7,298	$ 5,237
			(Continued)

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	March 31, 2026	December 31, 2025	March 31, 2025
Non-current
Prepayments for land and buildings	$ 551,090	$ -	$ -
Prepayments for equipment	435,251	149,911	348,609
Refundable deposits	22,473	20,386	21,942
Net defined benefit asset	24,300	21,565	12,097
Long-term prepaid expenses	8,513	8,525	9,625
	$ 1,041,627	$ 200,387	$ 392,273 (Concluded)

The restricted deposits pledged as collateral are set out in Note 34.

Prepayments for land and buildings mainly consisted of the Group's purchase of land and buildings located in Zhongli District, Taoyuan City, as approved by the board of directors on February 3, 2026, with the transfer of ownership completed in April 2026.

18. BORROWINGS

(1) Short-term borrowings

	March 31, 2026	December 31, 2025	March 31, 2025
Unsecured borrowings	$ 125,515	$ 476,095	$ 451,011
Secured borrowings (Note 34)	15,000	15,000	15,000
	$ 140,515	$ 491,095	$ 466,011
Interest rate	2.02%-4.89%	2.02%-4.85%	1.62%-5.42%

(2) Long-term borrowings

	March 31, 2026	December 31, 2025	March 31, 2025
Unsecured borrowings
Mega International Commercial Bank	$ 191,902	$ 188,040	$ 124,478
Less: Current portion	( 51,174 )	( 47,010 )	( 7,780 )
Long-term borrowings	$ 140,728	$ 141,030	$ 116,698

Mega International Commercial Bank: Topoint Technology (Thailand) Co., Ltd. utilized the borrowing facility in 2024 through 2026, with borrowing periods from November 2024 to November 2029 and from December 2024 to December 2029, respectively. The credit agreement is an unsecured loan with a grace period of 12 months from the first utilization date, then every three months thereafter, there will be 16 installments in total.

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Related information as of March 31, 2026, December 31, 2025 and March 31, 2025 is as follows:

	Credit Line	Amount to Be Paid	Interest Rate	Repayment
March 31, 2026
Unsecured borrowing	$ 166,294 (THB 170,000 thousand)	$ 137,015 (THB 140,069 thousand)	2.965%	Principal after the grace period with the principal as the first installment in February 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.
Unsecured borrowing	58,692 (THB 60,000 thousand)	54,887 (THB 56,110 thousand)	2.904%	Principal after the grace period with the principal as the first installment in March 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.
December 31, 2025
Unsecured borrowing	170,323 (THB 170,000 thousand)	149,691 (THB 149,407 thousand)	2.965%	Principal after the grace period with the principal as the first installment in February 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.
Unsecured borrowing	60,114 (THB 60,000 thousand)	38,349 (THB 38,276 thousand)	3.282%	Principal after the grace period with the principal as the first installment in March 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.
March 31, 2025
Unsecured borrowing	167,314 (THB 170,000 thousand)	118,234 (THB 120,132 thousand)	3.7958%~ 3.8002%	Principal after the grace period with the principal as the first installment in February 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.
Unsecured borrowing	59,052 (THB 60,000 thousand)	6,244 (THB 6,344 thousand)	3.7958%	Principal after the grace period with the principal as the first installment in March 2026, and every three months thereafter. There will be 16 installments in total, which will be evenly amortized on a thereafter basis.

19. BONDS PAYABLE

	March 31, 2026	December 31, 2025	March 31, 2025
Domestic unsecured convertible bonds	$ 637,673	$ -	$ -

On January 20, 2026, the parent company issued its second domestic unsecured convertible bonds with a term of five years and an aggregate principal amount of $700,000 thousand at 115.16% of face value, bearing a coupon interest rate of 0%, for total proceeds of $806,126 thousand. The bonds will mature on January 20, 2031. KGI Bank Co., Ltd. serves as the trustee for the bondholders. Bondholders may convert the bonds into ordinary shares of the parent company from the day following the expiration of three months after the issuance date (April 21, 2026) through the maturity date (January 20, 2031). The initial conversion price was NT$203.5 per share. In addition, pursuant to the terms and conditions governing the issuance and conversion of the second unsecured convertible bonds, during the period from April 21, 2026 to December 11, 2030, if the closing price of the parent company's ordinary shares exceeds the then-current conversion price by 30% for 30 consecutive business days, or if the outstanding principal amount of the bonds falls below 10% of the original aggregate principal amount, the parent company may redeem the bonds in cash at face value. These convertible bonds contain both liability and equity components. Bondholders are

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entitled to exercise a put option on January 20, 2029 (the third anniversary of the issuance date), which serves as the put option base date. Bondholders may request the parent company to redeem the bonds in cash at face value by providing written notice to the parent company’s stock affairs agent within the 40-day period prior to the put option base date.

The equity component of the convertible bonds is recognized under equity as “capital surplus - share options.” The effective interest rate of the liability component upon initial recognition was 1.98%.

Proceeds from issuance	$ 806,126
Equity component	( 170,245 )
Financial liabilities at FVTPL - convertible bond options	( 1,330 )
Liability component at issuance date	634,551
Interest calculated at an effective interest rate of 1.98%	3,122
Liability component of convertible bonds as of March 31, 2026	$ 637,673

Financial assets at FVTPL - convertible bond options were financial instruments measured at fair value through profit or loss. For the three months ended March 31, 2026, the Company recognized a valuation gain of $3,220 thousand arising from changes in fair value.

20. ACCOUNTS PAYABLE

	March 31, 2026	December 31, 2025	March 31, 2025
Accounts payable – operating	$ 660,841	$ 557,129	$ 336,281

The average credit period for purchases was 90 to 150 days. The Group has established financial risk management policies to ensure that all payables are repaid within pre-agreed credit periods.

21. OTHER PAYABLES

	March 31, 2026	December 31, 2025	March 31, 2025
Accrued payroll and employee benefits	$ 303,397	$ 369,926	$ 314,426
Dividends payable	290,085	-	170,617
Payable for purchase of equipment	203,604	162,972	205,556
Compensation of employees and remuneration of directors	174,506	147,229	90,813
Payable for annual leave	11,679	15,113	13,615
Others	176,618	175,139	117,211
	$ 1,159,889	$ 870,379	$ 912,238

22. RETIREMENT BENEFIT PLANS

(1) Defined contribution plan

The Company, Unipoint Technology Co., Ltd., Drilltek Corporation and Cosmos Vacuum Technology Corporation adopted a pension plan under the Labor Pension Act (LPA), which is a Republic of China state-managed defined contribution plan. Under the LPA, an entity makes monthly contributions to employees’ individual pension accounts at 6% of monthly salaries and wages.

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The employees of the Group's subsidiaries in mainland China are members of a state-managed retirement benefit plan operated by the government of mainland China. The subsidiary is required to contribute a specified percentage of payroll costs to the retirement benefit scheme to fund the benefits.

Topoint Technology (Thailand) Co., Ltd. is a member of a state-managed retirement benefit plan operated by the government of Thailand. The subsidiary is required to contribute a specified percentage of payroll costs to the retirement benefit plan to fund the benefits.

The only obligation of the Group with respect to the retirement benefit plan is to make the specified contributions.

Topoint Technology Co., Ltd. (B.V.I.), Warpspeed Corporation (B.V.I.), Unipoint Technology Holdings Co., Ltd. (B.V.I.), Raypoint Precision Tools Co., Ltd., Topoint Japan Co., Ltd., Topmicron Investment Ltd., H&N Technology Co., Ltd., Cosmos Integration Corp., and Universal Technology Corp. do not have employee retirement policies in place.

Pension expenses for these defined contribution plans are classified under the following accounts:

	Three Months Ended March 31
	2026	2025
Operating costs	$ 16,695	$ 13,709
Operating expenses	$ 6,169	$ 5,328

(2) Defined benefit plan

Pensions under defined benefit plan is calculated using the actuarially determined pension cost rates as of December 31, 2025 and 2024 and recognized in the following item:

	Three Months Ended March 31
	2026	2025
Operating expenses (profit)	$ 29	($ 63)

1. EQUITY

(1) Share capital - ordinary shares

	March 31, 2026	December 31, 2025	March 31, 2025
Registered shares (thousands)	300,000	300,000	300,000
Registered capital	$ 3,000,000	$ 3,000,000	$ 3,000,000
Issued shares (thousands)	145,043	142,043	142,181
Issued capital	$ 1,450,425	$ 1,420,425	$ 1,421,805

The par value of the issued ordinary shares is NT$10. Each share entitles its holder to a right to vote and to receive dividends.

Of the authorized capital, a total of 30,000 thousand shares should be reserved for employee share option plan, preference shares with warrant and bonds with warrant attached.

On May 27, 2025, the Company's shareholders' meeting resolved to issue 670 thousand restricted ordinary shares with a par value of NT$10 per share, at an issue price of NT$10 per share. The issuance

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was approved by the FSC and became effective on August 6, 2025. Subsequently, the board of directors resolved on November 7, 2025 to set November 17, 2025 as the record date for the capital increase.

In April 2025, the Company repurchased 808 thousand treasury shares in order to safeguard the Company's credit standing and shareholders' interests. These shares were subsequently cancelled in November 2025.

On November 7, 2025, the board of directors resolved to issue 3,000 thousand new shares through a cash capital increase, with a par value of NT$10 per share and an issue price of NT$127 per share. The issuance was approved by the FSC and became effective on December 23, 2025. The board of directors resolved to set January 6, 2026 as the record date for the capital increase.

On November 7, 2025, the board of directors resolved to issue the second domestic unsecured convertible bonds, with a total principal amount of $700,000 thousand, at a par value of NT$10 thousand per bond, with a coupon rate of 0% and a term of five years. The subscription proceeds were fully collected on January 16, 2026.

(2) Capital surplus

	March 31, 2026	December 31, 2025	March 31, 2025
May be used to offset a deficit, distributed as cash dividends, or transferred to share capital (A)
Issuance of ordinary shares	$ 1,535,076	$ 1,184,076	$ 1,190,843
Exercise of employee share options	8,992	8,992	8,992
Expiry of employee share options	8,408	8,408	8,408
May be used to offset a deficit only
Changes in percentage of ownership interest in subsidiaries (B)	21,110	21,110	20,629
May not be used for any purpose
Employee restricted shares	75,710	75,710	-
Convertible bond share options	170,245	-	-
Employee share options	19,211	19,211	-
	$ 1,838,752	$ 1,317,507	$ 1,228,872

A. Such capital surplus may be used to offset a deficit; in addition, when the Company has no deficit, such capital surplus may be distributed as cash dividends or transferred to capital (limited to a certain percentage of the Company's paid-in capital and once a year).

B. Such capital surplus arises from the effect of changes in ownership interest in subsidiaries resulting from equity transactions other than actual disposals or acquisitions, or from changes in capital surplus of subsidiaries accounted for using the equity method.

(3) Retained earnings and dividend policy

Under the dividend policy as set forth in the Articles of Incorporation, where 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, setting aside or reversing a special reserve in

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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, which should be resolved in the shareholders' meeting for distribution of dividends and bonus to shareholders. To distribute dividends and bonuses in cash, the board of directors is authorized to adopt a special resolution, and a report of such distribution should be submitted in the shareholders' meeting.

For the conditions on distribution of compensation of employees and remuneration of directors, refer to compensation of employees and remuneration of directors in Note 25, (4).

To meet the requirements for future operational expansion and financial structure and to satisfy the shareholders' need for cash inflow, the Company's dividend policy states that total dividends should be at least 20% of net income and cash dividends should be at least 10% of total dividends.

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.

When a special reserve is appropriated for cumulative net debit balance reserves from the prior period, the special reserve is only appropriated from the prior unappropriated earnings.

The appropriations of earnings for 2025 and 2024 proposed and approved in the board of directors' meeting and shareholders' meetings on March 6, 2026 and May 27, 2025, respectively, were as follows:

	Appropriation of Earnings		Dividends Per Share (NT$)
	Year Ended December 31		Year Ended December 31
	2025	2024	2025	2024
Legal reserve	$ 39,193	$ 21,082
Special reserve reversed	( 25,882 )	( 190,771 )
Cash dividends	290,085	170,617	$ 2.00	$ 1.20

The above appropriations of cash dividends have been resolved by the Company's board of directors on March 6, 2026 and February 26, 2025, respectively. The other proposed appropriations for 2024 have been resolved by the shareholders' meeting on May 27, 2025. The other proposed appropriations for 2025 will be resolved in the shareholders' meeting on May 27, 2026.

(4) Other equity items

A. Exchange differences on translation to the financial statements of foreign operations

Exchange differences relating to the translation of the results and net assets of the Group's foreign operations from their functional currencies to the Group's presentation currency (i.e., New Taiwan dollars) were recognized directly in other comprehensive income and accumulated in the foreign currency translation reserve. Exchange differences previously accumulated in the foreign currency translation reserve (in respect of translating both the net assets of foreign operations and hedges of foreign operations) were reclassified to profit or loss on the disposal of the foreign operation.

B. Unrealized gain/(loss) on financial assets at FVTOCI

	Three Months Ended March 31
	2026	2025
Balance at January 1	$ 29,614	$ 23,867
		(Continued)

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	Three Months Ended March 31
	2026	2025
Recognized for the period
Unrealized gain/(loss)	$ 24,881	($ 6,263)
Balance at March 31	$ 54,495	$ 17,604
		(Concluded)

C. Unearned employee compensation

The Company's shareholders' meeting resolved on May 27, 2025 to issue restricted shares to employees. Refer to Note 29 for further details.

	Three Months Ended March 31, 2026
Balance at January 1	($ 74,283)
Arising during the period	11,160
Balance at March 31	($ 63,123)

(5) Non-controlling interests

	Three Months Ended March 31
	2026	2025
Balance at January 1	$ 606,341	$ 565,369
Attributable to non-controlling interests:
Share of profit for the period	20,747	2,884
Exchange difference arising on translation of foreign entities	5,903	( 5,690 )
Unrealized gain/(loss) of financial assets at FVTOCI	1,104	( 211 )
Increase in non-controlling interests	415	-
Balance at March 31	$ 634,510	$ 562,352

1. REVENUE

(1) Contact balances

	March 31, 2026	December 31, 2025	March 31, 2025	January 1, 2025
Notes receivables (Note 10)	$ 191,653	$ 144,011	$ 150,855	$ 141,859
Accounts receivable (Note 10)	$1,288,374	$1,227,497	$ 908,896	$ 942,114
Accounts receivable - related parties (Note 33)	$ 239,105	$ 271,586	$ 176,316	$ 201,540
Contract liabilities
Sale of goods	$ 1,930	$ 15,018	$ 809	$ 456

The changes in the balance of contract liabilities primarily result from the timing difference between the Group's performance and the respective customer's payment.

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Revenues of the reporting period recognized from the beginning balance of contract liabilities with performance obligations satisfied are as follows:

	Three Months Ended March 31
	2026	2025
From the beginning contract liabilities
Sale of goods	$ 15,018	$ 456
(2) Disaggregation of revenue
	Three Months Ended March 31
	2026	2025
Precision metal products and processing services	$ 1,289,237	$ 863,180
Others	50,328	24,188
	$ 1,339,565	$ 887,368
(3) Partially completed contracts
Expected schedule for revenue recognition is as follows:
	March 31, 2026	December 31, 2025
Sale of goods
- In 2025	$ -	$ -
- In 2026	1,930	15,018
	$ 1,930	$ 15,018

25. NET PROFIT

Net profit includes the following items:

(1) Depreciation and amortization expenses

	Three Months Ended March 31
	2026	2025
An analysis of depreciation by function
Operating costs	$ 76,891	$ 78,998
Operating expenses	14,082	14,077
	$ 90,973	$ 93,075
An analysis of amortization by function
Operating costs	$ 218	$ 236
General and administrative expenses	661	1,107
	$ 879	$ 1,343

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(2) Other operating income and expenses

	Three Months Ended March 31
	2026	2025
(Loss) gain on disposal of property, plant and equipment	($ 2,499)	$ 3,490

(3) Employee benefit expenses

	Three Months Ended March 31
	2026	2025
Post-employment benefit (Note 22)
Defined contribution plans	$ 22,864	$ 19,037
Defined benefit plans	29	( 63 )
	22,893	18,974
Other employee benefits	347,644	249,159
Share-based payments	11,160	-
Total employee benefit expenses	$ 381,697	$ 268,133
An analysis of employee benefit expense by function
Operating costs	$ 245,617	$ 182,072
Operating expenses	136,080	86,061
	$ 381,697	$ 268,133

(4) Compensation of employees and remuneration of directors

In accordance with the Company's Articles of Incorporation, the Company accrues compensation of employees at a rate no less than 1% and no higher than 25% and remuneration of directors at a rate no higher than 3% of net profit before income tax, compensation of employees, and remuneration of directors. Pursuant to the amendments to the Securities and Exchange Act in August 2024, the Company amended its Articles of Incorporation at the 2025 annual shareholders' meeting to specify that no less than 20% of the total employee compensation for the year shall be allocated to non-executive employees. The compensation of employees and remuneration of directors for the three months ended March 31, 2026 and 2025 were as follows:

Accrual rate

	Three Months Ended March 31
	2026	2025
Compensation of employees	15.0%	15.0%
Remuneration of directors	2.5%	2.5%
Amount
	Three Months Ended March 31
	2026	2025
Compensation of employees	$ 37,793	$ 11,731
Remuneration of directors	6,299	1,955

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

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The compensation of employees and remuneration of directors for the years ended December 31, 2025 and 2024 which have been approved by the Company's board of directors on March 6, 2026 and February 26, 2025, respectively, were as follows:

Amount

	For the Year Ended December 31
	2025	2024
	Cash	Cash
Compensation of employees	$ 87,337	$ 59,767
Remuneration of directors	14,556	9,961

There was no difference between the actual amounts of compensation of employees and remuneration of directors paid and the amounts recognized in the consolidated financial statements for the years ended December 31, 2025 and 2024.

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

(5) Gain/(loss) on foreign currency exchange

	Three Months Ended March 31
	2026	2025
Foreign currency exchange gains	$ 10,157	$ 6,405
Foreign currency exchange losses	( 12,067 )	( 7,482 )
Net loss	($ 1,910 )	($ 1,077 )

26. INCOME TAXES

(1) Major components of tax expense recognized in profit or loss

Major components of income tax expense are as follows:

	Three Months Ended March 31
	2026	2025
Current tax
In respect of the current period	$ 62,802	$ 16,343
Adjustments for prior year	-	70
Deferred tax
In respect of the current period	17,417	4,211
Income tax expense recognized in profit or loss	$ 80,219	$ 20,624

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(2) Income tax recognized in other comprehensive income

	Three Months Ended March 31
	2026	2025
Deferred tax
In respect of the current period
Remeasurement on defined benefit plan	$ 495	$ 494

(3) Income tax assessments

Income tax returns of the Company and Unipoint Technology Co., Ltd. through 2023 have been examined and cleared by the tax authorities.

Income tax returns of Drilltek Corporation and Cosmos Vacuum Technology Corporation through 2024 have been examined and cleared by the tax authorities.

27. EARNINGS PER SHARE

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

Net Profit

	Three Months Ended March 31
	2026	2025
Net profit attributable to owners of the Company	$ 168,685	$ 51,896
Net profit for the computation of basic earnings per share	$ 168,685	$ 51,896
Effect of potentially dilutive ordinary shares:
After-tax interest and valuation gain (loss) on convertible bonds	( 78 )	-
Net profit for the computation of diluted earnings per share	$ 168,607	$ 51,896

Weighted average number of ordinary shares outstanding (in thousand shares)

	Three Months Ended March 31
	2026	2025
Weighted average number of ordinary shares in computation of basic earnings per share	144,206	142,181
Effect of potentially dilutive ordinary shares:
Compensation of employees	425	1,506
Convertible bonds	3,440	-
Restricted shares granted to employees	89	-
Weighted average number of ordinary shares in computation of diluted earnings per share	148,160	143,687

The Group may settle compensation paid to employees in cash or shares; therefore, the Group assumes the entire amount of the compensation will be settled in shares and the resulting potential shares will be included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, if the effect is dilutive. Such dilutive effect of the potential shares was included in the

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computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

28. EQUITY TRANSACTIONS WITH NON-CONTROLLING INTERESTS

On November 17, 2025, the Group acquired the equity of Cosmos Vacuum Technology Corporation from non-controlling interests, and the ownership interest increased from 61.86% to 62.33%.

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

29. SHARE-BASED PAYMENT ARRANGEMENTS

(1) Restricted shares to employees

On May 27, 2025, the Company’s annual shareholders’ meeting approved the issuance of 670 thousand restricted shares to employees, with a total par value of $6,700 thousand, to be issued for consideration. On November 7, 2025, the board of directors resolved that the record date for the capital increase would be November 17, 2025. Before the vesting conditions are satisfied, the rights attached to the restricted shares granted to employees are subject to the following restrictions:

A. Prior to satisfaction of the vesting conditions, employees who have been granted the restricted shares may not sell, pledge, transfer, gift, create any encumbrance on, or otherwise dispose of the restricted shares, except by inheritance.

B. Prior to satisfaction of the vesting conditions, the rights to attend shareholders’ meetings, make proposals, speak, vote, and participate in elections are the same as those attached to the Company’s issued ordinary shares. Such rights shall be exercised by the trustee in accordance with the trust custody agreement.

C. For restricted shares granted under the Plan, prior to satisfaction of the vesting conditions, other rights, including but not limited to the entitlement to cash dividends, stock dividends, distributions from legal reserve and capital surplus, and subscription rights in cash capital increases, are identical to those of the Company’s issued ordinary shares. The related procedures shall be executed in accordance with the trust custody agreement.

D. During the book closure periods for stock dividends, cash dividends, cash capital increases, the shareholders’ meeting pursuant to Paragraph 3, Article 165 of the Company Act, or other statutory book closure periods up to the record date for rights distribution, the timing and procedures for lifting restrictions on vested shares for employees who meet the vesting conditions during such periods shall be handled in accordance with the trust custody agreement or relevant regulations.

The vesting conditions of the restricted shares granted to employees are such that, after the shares are granted, the restrictions on the employees’ rights to receive the shares will be lifted according to the following schedule and proportions based on the number of shares granted:

30% after 1 year of service and achievement of individual and corporate performance/operating targets

35% after 2 years of service and achievement of individual and corporate performance/operating targets

35% after 3 years of service and achievement of individual and corporate performance/operating targets

Individual performance is defined as an average rating of A+ or above in the two most recent performance evaluations in the year preceding the vesting date. The Company’s operating performance

• 37 -

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targets are based on earnings per share (EPS), return on equity (ROE), and ESG indicators. Target values and corresponding weightings are established for each indicator. If the target value of an indicator is achieved, the number of shares vesting for the year will be calculated based on the corresponding weighting. If the target value is not achieved, the weighting assigned to that indicator will be 0% for that year. The performance measurement year refers to the fiscal year of the most recent audited annual financial statements prior to the vesting date, and the performance indicators are calculated based on the corresponding audited consolidated financial statements.

For restricted shares for which the vesting conditions are not satisfied, the Company has the right to repurchase such shares without consideration (including any stock dividends received thereon) and cancel them accordingly.

The fair value of the restricted shares issued as described above was NT$123 per share, measured using a market-based approach. Based on the vesting conditions, the total amount of compensation cost is estimated at $82,410 thousand and will be recognized on a straight-line basis over the vesting period. For the three months ended March 31, 2026, the Company recognized compensation cost of $11,160 thousand arising from the restricted share plan.

30. PARTIAL CASH TRANSACTIONS

(1) Non-cash transaction

For the three months ended March 31, 2026 and 2025, the Group entered into the following partial cash investing activities, which were not reflected in the consolidated statements of cash flows:

	Three Months Ended March 31
	2026	2025
Cash paid for property, plant and equipment acquisition
Increase in property, plant and equipment	$ 72,757	$ 72,865
Changes in prepayments for land and building	285,340	-
Net change in prepayments for equipment	551,090	34,246
Net change in payable for purchase of equipment	( 40,632 )	4,896
Cash paid	$ 868,555	$ 112,007
Cash received from disposal of property, plant and equipment
Disposal of property, plant and equipment	$ 1,880	$ 3,512
Changes in other receivables	1,680	-
Cash received	$ 3,560	$ 3,512

(2) Changes in liabilities arising from financing activities

For the three months ended March 31, 2026

	Beginning Balance	Cash Flows	Non-cash Changes				Ending Balance
			Foreign Exchange	Interest	Liability Component	Equity Component
Short-term borrowings	$ 491,095	($ 350,666)	$ 86	$ -	$ -	$ -	$ 140,515
Long-term borrowings	188,040	8,547	( 4,685 )	-	-	-	191,902
Guarantee deposits received	14,656	( 1,017 )	-	-	-	-	13,639
Lease liabilities	63,498	( 6,361 )	451	-	-	-	57,588
Convertible bonds	-	806,126	-	3,122	( 1,330 )	( 170,245 )	637,673
	$ 757,289	$ 456,629	($ 4,148 )	$ 3,122	($ 1,330 )	($ 170,245 )	$ 1,041,317

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For the three months ended March 31, 2025

	Beginning Balance	Cash Flows	Non-cash Changes			Ending Balance
			New Leases	Termination of Leases	Foreign Exchange
Short-term borrowings	$ 447,452	$ 18,384	$ -	$ -	$ 175	$ 466,011
Long-term borrowings	121,708	-	-	-	2,770	124,478
Guarantee deposits received	13,306	151	-	-	-	13,457
Lease liabilities	91,069	(8,176)	7,761	(455)	275	90,474
	$ 673,535	$ 10,359	$ 7,761	($ 455)	$ 3,220	$ 694,420

31. CAPITAL RISK MANAGEMENT

The Group manages its capital to ensure that entities in the Group will be able to continue as going concerns while maximizing the return to shareholders through the optimization of the debt and equity balances.

32. FINANCIAL INSTRUMENTS

(1) Fair value of financial instruments that are not measured at fair value

As of March 31, 2026

	Fair Value
	Carrying Amount	Level 1	Level 2	Level 3	Total
Financial liabilities
Financial liabilities at amortized cost	$ 637,672	$ -	$ 634,830	$ -	$ 634,830
- Bonds payable

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

A. Fair value hierarchy

March 31, 2026

	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Structured deposit	$ -	$ 31,488	$ -	$ 31,488
Accounts receivable - related parties	-	-	57,531	57,531
Convertible bond options	-	1,890	-	1,890
Other receivables	-	-	14,885	14,885
	$ -	$ 33,378	$ 72,416	$105,794
Financial assets at FVTOCI
Listed shares	$ 74,628	$ -	$ -	$ 74,628
Unlisted shares	-	-	16,245	16,245
				(Continued)

---

	Level 1	Level 2	Level 3	Total
	$ 74,628	$ -	$ 16,245	$ 90,873
Financial liabilities at FVTPL
Derivative financial instrument	$ -	$ 3,223	$ -	$ 3,223
(Concluded)
December 31, 2025
	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Derivative financial assets	$ -	$ 18	$ -	$ 18
Structured deposit	-	23,701	-	23,701
Accounts receivable - related parties	-	-	77,038	77,038
Other receivables	-	-	11,790	11,790
	$ -	$ 23,719	$ 88,828	$ 112,547
Financial assets at FVTOCI
Listed shares	$ 51,318	$ -	$ -	$ 51,318
Unlisted shares	-	-	13,570	13,570
	$ 51,318	$ -	$ 13,570	$ 64,888
Financial liabilities at FVTPL
Derivative financial instrument	$ -	$ 2,364	$ -	$ 2,364
March 31, 2025
	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Structured deposit	$ -	$ 46,358	$ -	$ 46,358
Accounts receivable - related parties	-	-	50,903	50,903
Other receivables	-	-	9,217	9,217
	$ -	$ 46,358	$ 60,120	$ 106,478
Financial assets at FVTOCI
Listed shares	$ 37,404	$ -	$ -	$ 37,404
Unlisted shares	-	-	16,812	16,812
	$ 37,404	$ -	$ 16,812	$ 54,216
Financial liabilities at FVTPL
Derivative financial instrument	$ -	$ 1,253	$ -	$ 1,253

---

There were no transfers between Levels 1 and 2 for the three months ended March 31, 2026 and 2025.

B. Reconciliation of Level 3 fair value measurements of financial instruments

For the three months ended March 31, 2026

Financial Assets	Financial Assets at FVTPL	Financial Assets at FVTOCI	Total
	Financial Instruments	Equity Instruments
Balance at January 1, 2026	$ 88,828	$ 13,570	$ 102,398
Recognized in unrealized gain (loss) on financial assets at FVTOCI	-	2,675	2,675
Purchases	206,316	-	206,316
Settlements	( 222,728 )	-	( 222,728 )
Balance at March 31, 2026	$ 72,416	$ 16,245	$ 88,661

For the three months ended March 31, 2025

Financial Assets	Financial Assets at FVTPL	Financial Assets at FVTOCI	Total
	Financial Instruments	Equity Instruments
Balance at January 1, 2025	$ 64,466	$ 17,323	$ 81,789
Recognized in unrealized gain (loss) on financial assets at FVTOCI	-	( 511 )	( 511 )
Purchases	142,995	-	142,995
Settlements	( 147,341 )	-	( 147,341 )
Balance at March 31, 2025	$ 60,120	$ 16,812	$ 76,932

C. Valuation techniques and assumptions applied for the purpose of measuring fair value

The fair values of financial assets and financial liabilities are determined as follows:

a. The fair values of listed shares are determined at their closing price at the end of the reporting period.
b. Foreign currency forward contracts are measured using quoted forward exchange rates and yield curves derived from quoted interest rates matching maturities of the contracts. The use of estimates and hypotheses of valuation method the Group adopts is in consistent with the market participants, when pricing such financial instruments.
c. For accounts receivable - related parties and other receivables that are measured at FVTPL, the fair value is measured according to the original invoice amount and the effect of discounting is immaterial.
d. Structured deposits are measured using discounted cash flows. Future cash flows are estimated based on contract forward rates, discounted at a rate that reflects the credit risk.

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e. The fair value of convertible bond options is estimated using the binomial convertible bond valuation model. The significant unobservable input used is stock price volatility. An increase in stock price volatility would result in an increase in the fair value of these derivatives.

f. The fair values of domestic unlisted equity investments are determined using the market approach, which references the transaction prices of comparable companies engaged in the same or similar business, their stock prices in active markets, the price multipliers implicit in those prices, and considers liquidity discounts to determine the value of the target company. The significant unobservable inputs are as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Discount for lack of marketability	25%	25%	25%

If the inputs to the valuation model were changed to reflect reasonably possible alternative assumptions while all the other variables were held constant, the fair value of the shares would increase (decrease) as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Discount for lack of marketability
5% increase	($ 1,083)	($ 660)	($ 784)
5% decrease	$ 1,083	$ 660	$ 784

(3) Categories of financial instruments

	March 31, 2026	December 31, 2025	March 31, 2025
Financial assets
Fair value through profit or loss
Mandatorily classified as at FVTPL	$ 105,794	$ 112,547	$ 106,478
Financial assets at amortized cost (Note 1)	4,236,871	4,082,985	3,496,227
Financial assets at FVTOCI	90,873	64,888	54,216
Financial liabilities
Fair value through profit or loss
Held for trading	3,223	2,364	1,253
Amortized cost (Note 2)	2,013,590	1,576,505	1,136,241

Note 1: The balances included financial assets measured at amortized cost, which comprise cash and cash equivalents, financial assets at amortized cost, notes receivable, net accounts receivable, part of accounts receivable - related parties and part of other receivables.

Note 2: The balances included financial liabilities measured at amortized cost, which comprise short-term borrowings, notes payable, accounts payable, accounts payable - related parties, part of other payables, bonds payable and long-term borrowings.

(4) Financial risk management objectives and policies

The Group's major financial instruments include equity investments, accounts receivable, accounts payables, borrowings and lease liabilities. The Group's Corporate Treasury function 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, interest rate risk and other price risk), credit risk and liquidity risk.

A. Market risk

The Group's operating activities expose it primarily to the financial risks of fluctuations in foreign currency exchange rates, interest rates, and other market prices.

There has been no change to the Group's exposure to market risks or the manner in which these risks were managed and measured.

a. Foreign currency risk

Several subsidiaries of the Company had foreign currency sales and purchases, which exposed the Group to foreign currency risk. Approximately 20% of the Group's sales were denominated in currencies other than the functional currency of the entity in the Group making the sale, while almost 8% of costs were not denominated in the functional currency of the entity in the Group.

The carrying amounts of the Group's foreign currency denominated monetary assets and monetary liabilities (including those eliminated on consolidation) and the carrying amounts of the derivatives exposing to foreign currency risk at the end of the reporting period are set out in Notes 7 and 36.

Sensitivity analysis

The Group was mainly exposed to U.S. dollars, Japanese yen and Euros.

The following table details the Group's sensitivity to a 1% increase and decrease in New Taiwan dollars (the functional currency) against the relevant foreign currencies. 1% is the sensitivity rate used when reporting foreign currency risk internally to key management personnel and represents management's assessment of the reasonably possible change in foreign exchange rates. A positive number below indicates an increase in pre-tax profit associated with New Taiwan dollars strengthen 1% against the relevant currency. For a 1% weakening of New Taiwan dollars against the relevant currency, there would be an equal and opposite impact on pre-tax profit and the balances below would be negative.

	U.S. Dollars				Japanese Yen
	USD:NTD		USD:RMB		JPY:NTD
	Three Months Ended March 31		Three Months Ended March 31		Three Months Ended March 31
	2026	2025	2026	2025	2026	2025
Profit (loss)	($ 216)	($ 240)	$ 238	$ 235	($ 46)	($ 2)
	Euros
	EUR:RMB		EUR:NTD
	Three Months Ended March 31		Three Months Ended March 31
	2026	2025	2026	2025
Profit (loss)	($ 72)	($ 70)	$ 3	($ 121)

This was mainly attributable to the exposure outstanding on U.S. dollars, Japanese yen and Euros cash in the bank, bank loans, receivables and payables at the end of the reporting period.

• 43 -

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b. Interest rate risk

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

	March 31, 2026	December 31, 2025	March 31, 2025
Fair value interest rate risk
Financial assets	$ 1,440,144	$ 1,714,115	$ 1,587,402
Financial liabilities	695,261	63,498	90,474
Cash flows interest rate risk
Financial assets	1,120,167	791,376	698,503
Financial liabilities	332,417	679,135	590,489

Sensitivity analysis

The sensitivity analyses below were 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 the asset and liability outstanding at the end of the reporting period was outstanding for the whole period. A 25 basis point increase or decrease was used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the reasonably possible change in interest rates.

Had interest rates been 25 basis points higher/lower and all other variables been held constant, the Group’s pretax profit for the three months ended March 31, 2026 and 2025 would have decreased by $492 thousand and $68 thousand, respectively, which was mainly attributable to the Group’s exposure to interest rates on its demand deposits and variable-rate borrowings.

c. Other price risk

The Group was exposed to equity price risk through its investments in equity securities. Equity investments are held for strategic rather than trading purposes. The Group does not actively trade these investments.

Sensitivity analysis

The sensitivity analysis below was determined based on the exposure to equity price risks at the end of the reporting period.

If equity prices had been 5% higher/lower, pre-tax other comprehensive income for the three months ended March 31, 2026 and 2025 would have increased/decreased by $4,543 thousand and $2,711 thousand, respectively, as a result of the changes in fair value of financial assets at FVTOCI.

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 of the end of the reporting period, the Group’s maximum exposure to credit risk, which will cause a financial loss to the Group due to failure of counterparties to discharge an obligation, is primary from the book value of its financial assets.

The Group adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults.

• 44 -

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The Group’s concentration of credit risk of 50.14%, 45.60% and 37.24% in total trade receivables as of March 31, 2026, December 31, 2025 and March 31, 2025, respectively, were related to the Group’s five largest customers.

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. As of March 31, 2026, December 31, 2025 and March 31, 2025, the available borrowing facilities were $1,887,470 thousand, $1,554,713 thousand and $1,738,435 thousand, respectively.

The Group manages liquidity risk by maintaining adequate bank balance and banking facilities, and continuously monitoring forecast and actual cash flows as well as the maturity profiles of financial assets and liabilities.

a. Liquidity and interest rate risk tables for non-derivative financial liabilities

The Group’s noninterest-bearing liabilities pertaining on non-derivative financial liabilities are paid in succession within one year.

The following table details the Group’s remaining maturity for its borrowings with agreed repayment periods. The tables have 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.

March 31, 2026

	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years	More than 5 Years
Non-derivative financial liabilities
Variable interest rate liabilities	$ 18,648	$ 73,310	$ 105,922	$ 153,068	$ -
Fixed interest rate liabilities	-	-	-	637,672	-
Lease liabilities	3,958	6,716	15,566	33,182	-
	$ 22,606	$ 80,026	$ 121,488	$ 823,922	$ -
December 31, 2025
	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years	More than 5 Years
Non-derivative financial liabilities
Variable interest rate liabilities	$ 356,727	$ 56,937	$ 127,730	$ 141,174	$ -
Lease liabilities	2,376	7,129	18,437	37,703	-
	$ 359,103	$ 64,066	$ 146,167	$ 178,877	$ -

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March 31, 2025

	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years	More than 5 Years
Non-derivative financial liabilities
Variable interest rate liabilities	$ 326,307	$ 63,803	$ 90,300	$ 125,211	$ -
Lease liabilities	2,374	8,941	18,692	64,445	-
	$ 328,681	$ 72,744	$ 108,992	$ 189,656	$ -

b. Liquidity and interest rate risk table for derivative financial liabilities

The following table details the Group's liquidity analysis of its derivative financial instruments. The table is based on the undiscounted contractual net cash inflows and outflows on derivative instruments that settle on a net basis, and the undiscounted gross inflows and outflows on those derivatives that require gross settlement.

March 31, 2026

	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years
Gross settled
Foreign exchange forward contracts
Inflows	$ 22,322	$ 72,324	$ 64,047	$ -
Outflows	( 23,016 )	( 74,050 )	( 64,850 )	-
	($ 694)	($ 1,726)	($ 803)	$ -

December 31, 2025

	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years
Gross settled
Foreign exchange forward contracts
Inflows	$ 14,719	$ 46,582	$ 79,771	$ -
Outflows	( 15,297 )	( 48,012 )	( 80,109 )	-
	($ 578)	($ 1,430)	($ 338)	$ -

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March 31, 2025

	On Demand or Less than 1 Month	1-3 Months	3 Months to 1 Year	1-5 Years
Gross settled
Foreign exchange forward contracts
Inflows	$ 10,973	$ 28,522	$ 16,094	$ -
Outflows	( 11,442 )	( 29,127 )	( 16,273 )	-
	($ 469 )	($ 605 )	($ 179 )	$ -

(5) Transfers of financial assets

For factored trade receivables for the three months ended March 31, 2026 and 2025, refer to Note 10.

33. TRANSACTIONS WITH RELATED PARTIES

Balances, transactions, incomes and expenses between the Company and its subsidiaries, which are related parties of the Company, have been eliminated on consolidation and are not disclosed in this note. Besides information disclosed elsewhere in the other notes, details of transactions between the Group and other related parties are disclosed below.

(1) The Group's related parties

Related Party

Relationship with the Group

Other related parties

Unimicron Technology Corporation

Unimicron Technology (Shenzhen) Corp.

Unimicron Technology (Kunshan) Corp.

Unimicron-FPC Technology (Kunshan) Inc.

Unimicron Technology (Suzhou) Corp.

Unimicron-Carrier Technology (Huangshi) Inc.

Unimicron Technology (Huangshi) Corp.

Unimicron (Thailand) Co., Ltd.

The parent company of the equity-method investor of Unipoint Technology Co., Ltd.

Investee of Unimicron Technology Corporation

Investee of Unimicron Technology Corporation

Investee of Unimicron Technology Corporation

Investee of Unimicron Technology Corporation

Investee of Unimicron Technology Corporation

Subsidiary of Unimicron Technology Corporation

(2) Operating revenue

Related Party Category/Name

Three Months Ended March 31

2026	2025

Other related parties

Unimicron Technology Corporation

Others

$ 244,730	$ 185,606
34,616	15,125
$ 279,346	$ 200,731

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(3) Purchases of goods

Related Party Category/Name	Three Months Ended March 31
	2026	2025
Other related parties	$ 3,586	$ 2,875

The sales prices and payment terms to related parties were not significantly different from those sales to third parties.

(4) Receivables from related parties

Related Party Category/Name	March 31, 2026	December 31, 2025	March 31, 2025
Accounts receivable
Other related parties
Unimicron Technology Corporation	$ 185,816	$ 230,104	$ 144,753
Others	53,289	41,482	31,563
	$ 239,105	$ 271,586	$ 176,316

The accounts receivable from related parties are unsecured. For the three months ended March 31, 2026 and 2025, no impairment loss was recognized for accounts receivables from related parties.

(5) Payables to related parties

Related Party Category/Name	March 31, 2026	December 31, 2025	March 31, 2025
Other related parties	$ 2,437	$ 2,130	$ 1,343

The accounts payable to related parties are unsecured.

(6) Compensation of key management personnel

	Three Months Ended March 31
	2026	2025
Short-term employee benefits	$ 15,236	$ 7,876
Post-employment benefits	27	27
Share-based payments	1,499	-
	$ 16,762	$ 7,903

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

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• 49 -

34. ASSETS PLEDGED AS COLLATERAL OR FOR SECURITY

The following assets were provided as collateral for bank borrowings and financing facilities:

	March 31, 2026	December 31, 2025	March 31, 2025
Property, plant and equipment	$ 136,855	$ 137,959	$ 141,142
Restricted deposits	4,104	4,088	4,074
	$ 140,959	$ 142,047	$ 145,216

35. SIGNIFICANT SUBSEQUENT EVENTS: None.

36. 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 of the entities in the Group and the related exchange rates between foreign currencies and respective functional currencies were as follows:

March 31, 2026

	Foreign Currency	Exchange Rate	Carrying Amount
Financial assets
Monetary items
USD	$ 15,205	31.995 (USD:NTD)	$ 486,497
USD	479	6.9194 (USD:RMB)	15,327
JPY	27,926	0.2005 (JPY:NTD)	5,599
EUR	197	8.3351 (EUR:RMB)	7,219
Financial liabilities
Monetary items
USD	9,458	31.995 (USD:NTD)	302,599
USD	1,222	6.9194 (USD:RMB)	39,112
JPY	3,067	0.2005 (JPY:NTD)	615
EUR	8	36.710 (EUR:NTD)	301
December 31, 2025
	Foreign Currency	Exchange Rate	Carrying Amount
Financial assets
Monetary items
USD	$ 11,264	31.43 (USD:NTD)	$ 354,015
USD	351	7.0288 (USD:RMB)	11,018
JPY	19,286	0.2008 (JPY:NTD)	3,873
EUR	197	8.2521 (EUR:RMB)	7,256
EUR	177	36.90 (EUR:NTD)	6,527
			(Continued)

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• 50 -

	Foreign Currency	Exchange Rate	Carrying Amount
Financial liabilities
Monetary items
USD	$ 5,379	31.43 (USD:NTD)	$ 169,061
USD	1,068	7.0288 (USD:RMB)	33,553
JPY	2,100	0.2008 (JPY:NTD)	422
EUR	8	36.90 (EUR:NTD)	303
CHF	100	8.8592 (CHF:RMB)	3,942
			(Concluded)
March 31, 2025
	Foreign Currency	Exchange Rate	Carrying Amount
Financial assets
Monetary items
USD	$ 8,003	33.205 (USD:NTD)	$ 265,750
USD	474	7.1782 (USD:RMB)	15,750
JPY	14,858	0.2227 (JPY:NTD)	3,309
EUR	194	7.7759 (EUR:RMB)	6,977
EUR	346	35.970 (EUR:NTD)	12,447
Financial liabilities
Monetary items
USD	5,618	33.205 (USD:NTD)	186,533
USD	824	7.1782 (USD:RMB)	27,355
JPY	5,222	0.2227 (JPY:NTD)	1,163
EUR	10	35.970 (EUR:NTD)	349

For the three months ended March 31, 2026 and 2025, (realized and unrealized) net foreign exchange losses were $1,910 thousand and $1,077 thousand, respectively. It is impractical to disclose net foreign exchange gains (losses) by each significant foreign currency due to the variety of the foreign functional currency transactions and currencies of the Group entities.

37. SEPARATELY DISCLOSED ITEMS

(1) Information about significant transactions and (2) investees:

A. Financing provided to others: Table 1
B. Endorsements/guarantees provided: Table 2
C. Material marketable securities held (excluding investment in subsidiaries, associates and joint ventures): Table 3
D. Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital: Table 4
E. Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: Table 5

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F. Intercompany relationships and significant intercompany transactions: Table 9
G. Information on investees (excluding investees in mainland China): Table 6

(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 7
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:

a. The amount and percentage of purchases and the balance and percentage of the related payables at the end of the period: Table 8
b. The amount and percentage of sales and the balance and percentage of the related receivables at the end of the period: Table 8
c. The amount of property transactions and the amount of the resultant gains or losses: None
d. The balance of negotiable instrument endorsements or guarantees or pledges of collateral at the end of the period and the purposes: Table 2
e. The highest balance, the end of period balance, the interest rate range, and total current period interest with respect to financing of funds: Table 1
f. Other transactions that have a material effect on the profit or loss for the period or on the financial position, such as the rendering or receipt of services: None

1. SEGMENT INFORMATION

Information reported to the chief operating decision maker for the purpose of resource allocation and assessment of segment performance focuses on regional operating performance. Specifically, the Group's reportable segments under IFRS 8 "Operating Segments" were as follows: Taiwan area, mainland China area and other areas. These segments mainly process PCBs and design, manufacture and sell related cutting equipment.

(1) Segment revenues and results

Items	Three Months Ended March 31, 2026
	Taiwan	Mainland China	Others	Elimination	Total
Revenues from external customers	$ 658,495	$ 635,759	$ 45,311	$ -	$1,339,565
Intersegment revenues	$ 140,743	$ 226,935	$ -	($ 367,678)	$ -
Segment income (loss)	$ 92,245	$ 161,383	$ 16,320	($ 297)	$ 269,651

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• 52 -

Three Months Ended March 31, 2025

Items	Taiwan	Mainland China	Others	Elimination	Total
Revenues from external customers	$ 401,522	$ 481,814	$ 4,032	$ -	$ 887,368
Intersegment revenues	$ 92,712	$ 138,030	$ -	($ 230,742)	$ -
Segment income (loss)	($ 15,257)	$ 99,749	($ 8,658)	($ 430)	$ 75,404

(2) Segment total assets

	March 31, 2026	December 31, 2025	March 31, 2025
Taiwan	$ 4,625,220	$ 3,564,934	$ 3,647,408
Mainland China	3,703,273	3,563,817	3,433,102
Others	946,600	836,769	253,490
Consolidated total assets	$ 9,275,093	$ 7,965,520	$ 7,334,000

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TABLE 1

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

FINANCING PROVIDED TO OTHERS

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Lender	Borrower	Financial Statement Account	Related Parties	Maximum Balance for the Period (Note 2)	Ending Balance (Note 2)	Actual Borrowing Amount	Interest Rate (%)	Nature of Financing	Business Transaction Amount	Reason for Short-term Financing	Allowance for Bad Debt	Collateral		Financing Limit for Each Borrowing Company	Financing Company's Financing Amount Limit	Note
													Item	Value
1	Topoint Technology Co., Ltd. (B.V.I.)	Topoint Japan Co., Ltd.	Other receivables	Yes	$ 16,376 (JPY 80,000 thousand)	$ 16,040 (JPY 80,000 thousand)	$ 12,030 (JPY 60,000 thousand)	1.61	Short-term financing	$ -	Operating turnover	$ -	-	$ -	$ 5,380,752 (Note 1)	$ 5,380,752 (Note 1)	Note 3
2	Shanghai Topoint Precision Technology Co., Ltd.	Chengdu Raypoint Precision Tools Co., Ltd.	Other receivables	Yes	17,109 (RMB 3,700 thousand)	17,109 (RMB 3,700 thousand)	11,560 (RMB 2,500 thousand)	4.75	Short-term financing	-	Operating turnover	-	-	-	5,380,752 (Note 1)	5,380,752 (Note 1)	Note 3
			Other receivables	Yes	67,510 (RMB 14,600 thousand)	67,510 (RMB 14,600 thousand)	46,239 (RMB 10,000 thousand)	4.75	Short-term financing	-	Operating turnover	-	-	-	5,380,752 (Note 1)	5,380,752 (Note 1)	Note 3
3	Sharpoint Electronics (Huaiian) Co., Ltd.	Winpoint Electronics (Huaiian) Co., Ltd.	Other receivables	Yes	36,992 (RMB 8,000 thousand)	36,992 (RMB 8,000 thousand)	-	4.75	Short-term financing	-	Acquisition of equipment	-	-	-	5,380,752 (Note 1)	5,380,752 (Note 1)	Note 3
4	Sharpoint Technology (Suzhou) Co., Ltd.	Sharpoint Electronics (Huaiian) Co., Ltd.	Other receivables	Yes	138,718 (RMB 30,000 thousand)	138,718 (RMB 30,000 thousand)	92,479 (RMB 20,000 thousand)	2.30	Short-term financing	-	Operating turnover	-	-	-	5,380,752 (Note 1)	5,380,752 (Note 1)	Note 3

Note 1: The maximum financing allowed for a foreign company in which the lender directly and indirectly held 100% voting shares of is limited to the net value of the lender as of March 31, 2026.
Note 2: The maximum balance for the period and ending balances were approved by the board of directors.
Note 3: Eliminated from the consolidated financial statements.
Note 4: The total interest for the current period amounts to $756 thousand.

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TABLE 2

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

ENDORSEMENT/GUARANTEE PROVIDED

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorssee/Guarantee		Limit on Endorsement/ Guarantee Given on Behalf of Each Party	Maximum Amount Endorsed/ Guaranteed During the Period (Note 4)	Outstanding Endorsement/ Guarantee at the End of the Period (Note 4)	Actual Borrowing Amount	Amount Endorsed/ Guaranteed by Collateral	Ratio of Accumulated Endorsement/ Guarantee to Net Equity in Latest Financial Statements (%) (Note 3)	Aggregate Endorsement/ Guarantee Limit	Endorsement/ Guarantee Given by Parent on Behalf of Subsidiaries (Note 5)	Endorsement/ Guarantee Given by Subsidiaries on Behalf of Parent (Note 5)	Endorsement/ Guarantee Given on Behalf of Companies in Mainland China (Note 5)	Note
		Name	Relationship
0	Topoint Technology Co., Ltd.	Topoint Technology Co., Ltd. (B.V.I.)	b.	$ 3,228,451 (Note 2)	$ 95,985 (US$ 3,000 thousand)	$ 95,985 (US$ 3,000 thousand)	$ 8,274 (US$ 259 thousand)	$ -	1.78	$ 5,380,752 (Note 2)	Y	-	-	Note 6
		Topoint Technology (Thailand) Co., Ltd.	b.	3,228,451 (Note 2)	403,120 (THB 400,000 thousand)	378,486 (THB 386,921 thousand)	191,903 (THB 196,179 thousand)	-	7.03	5,380,752 (Note 2)	Y	-	-	Note 7

Note 1: Relationships between the endorsement/guarantee provider and the guaranteed party:
a. The Company in relation to business.
b. A company in which endorsement/guarantee provider holds directly and indirectly over 50% of voting shares.
c. A company holds directly and indirectly over 50% voting shares of endorsement/guarantee provider.
d. A company directly and indirectly holds more than 90% voting shares of endorsement/guarantee provider.
e. Based on contract projects among their peers in accordance with contract provisions which need mutual insurance company.
f. Owing to the joint venture funded by the shareholders on its endorsement of its holding company.
g. Companies in the same industry provide among themselves joint and several security for a performance guarantee of a sales contract for pre-construction homes pursuant to the Consumer Protection Act for each other.

Note 2: The maximum of total endorsement/guarantee provided is limited to the net value of the Company as of March 31, 2026. The maximum endorsement/guarantee provided for a single party is limited to 60% of the net value of the Company as of March 31, 2026.

Note 3: The rate is calculated in accordance with the financial statements of the endorsement/guarantee provider.

Note 4: The maximum balance for the period and ending balance were approved by the board of directors.

Note 5: Indicate "Y" if the endorsement/guarantee is given by parent on behalf of subsidiaries, given by subsidiaries on behalf of parent or given on behalf of companies in mainland China.

Note 6: Topoint Technology Co., Ltd. provides endorsement guarantee to Topoint Technology Co., Ltd. (B.V.I.) for short-term operating turnover purpose.

Note 7: Topoint Technology Co., Ltd. provides endorsement guarantee to Topoint Technology (Thailand) Co., Ltd. for short-term operating turnover purpose.

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TABLE 3

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

MATERIAL MARKETABLE SECURITIES HELD

MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	March 31, 2026				Note
				Number of Shares	Carrying Amount	Percentage of Ownership (%)	Fair Value
Topoint Technology Co., Ltd. (the “Company”)	Shares
Zhen Ding Technology Holding Limited	-	Financial assets at fair value through other comprehensive income (FVTOCI)	363,000	$ 74,628	0.4	$ 74,628	Note 1
Drilltek Corporation	Shares
Chipboard Technology Co., Ltd.	-	Financial assets at fair value through other comprehensive income (FVTOCI)	663,000	16,245	7.73	16,245	Note 1

Note 1: The fair value of listed shares of the financial assets at FVTOCI was calculated on the closing price of the shares as of March 31, 2026. If there is no market for unlisted shares, the estimated market value is assessed based on the fair value evaluation method.
Note 2: The marketable securities listed in this table are those the Company has determined should be disclosed in accordance with the principle of materiality.
Note 3: For the information of the investment in subsidiaries, refer to Tables 6 and 7.

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TABLE 4

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Related Party	Relationship	Transaction Details				Abnormal Transaction		Notes/Accounts Receivable or Payable		Note
			Purchase/Sale	Amount	% to Total (Note 1)	Payment Terms	Unit Price	Payment Terms	Ending Balance	% to Total (Note 1)
Topoint Technology Co., Ltd.	Unimicron Technology Corporation	Other related parties	Sales	$ 151,859	31	Based on mutual agreement	Based on mutual agreement	Based on mutual agreement	$ 57,531	13	-

Note 1: The rate is calculated in accordance with the financial statements of individual companies.

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TABLE 5

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Related Party	Relationship	Ending Balance (Note 1)	Turnover Ratio (Times)	Overdue		Amounts Received in Subsequent Periods	Lost Allowance
					Amount	Action Taken
Shanghai Topoint Precision Technology Co., Ltd.	Sharpoint Electronics (Huaian) Co., Ltd.	Indirectly owned subsidiary	$ 102,132	2.98	$ -	-	$ -	$ -

Note 1: Eliminated from the consolidated financial statements.

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TABLE 6

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

NAMES, LOCATIONS, AND OTHER INFORMATION OF INVESTEES (EXCLUDING INVESTEES IN MAINLAND CHINA)

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor Company	Investee Company	Location	Main Businesses and Products	Investment Amount	March 31, 2026	Net Income (Loss) of the Investee	Share of Profit (Loss) (Notes 7 and 8)
March 31, 2026	December 31, 2025	Number of Shares	%	Carrying Amount (Notes 7 and 8)
Topoint Technology Co., Ltd.	Topoint Technology Co., Ltd. (B.V.I.)	British Virgin Islands	International investment	$ 1,870,763	$ 1,870,763	7,501	100
Unipoint Technology Co., Ltd.	Republic of China	Processing print circuit board	305,299	305,299	30,696,297	61.76	461,397
Warpspeed Corporation (B.V.I.)	British Virgin Islands	International trade	1,569	1,569	50,000	100	3,152
Topoint Japan Co., Ltd.	Japan	Selling electronic components	7,667	7,667	600	100	(5,998)
Unipoint Technology Holdings Co., Ltd. (B.V.I.)	British Virgin Islands	International investment	-	-	-	100	15
Raypoint Precision Tools Co., Ltd.	Republic of Seychelles	International trade	1,511	1,511	50,000	100	(3,850)
Drilitek Corporation	Republic of China	Processing print circuit board	123,482	123,482	7,692,816	58.72	107,504
Cosmos Vacuum Technology Corporation	Republic of China	Vacuum coating and router bits	301,838	301,838	23,900,288	62.33	402,253
Topoint Technology (Thailand) Co., Ltd.	Thailand	Manufacturing, selling and processing micro-drills for printed circuit boards	655,540	501,490	69,956,400	99.94	599,238
Unipoint Technology Co., Ltd.	Topmicron Investment Ltd.	Independent State of Samoa	International investment	-	-	-	100
Cosmos Vacuum Technology Corporation	H&N Technology Co., Ltd.	St. Kitts Nevis	International trade	6,939 (US$ 200 thousand)	6,939 (US$ 200 thousand)	200,000	100
Cosmos Integration Corp.	St. Kitts Nevis	International investment	241,571 (US$ 7,422 thousand)	241,571 (US$ 7,422 thousand)	7,422,000	100	417,066
Cosmos Integration Corp.	Universal Technology Corp.	St. Kitts Nevis	International investment	215,793 (US$ 6,630 thousand)	215,793 (US$ 6,630 thousand)	6,630,000	100

Note 1: Investment gain is the investee's net gain of $80,609 thousand minus unrealized profits of $4,256 thousand from upstream and side stream intercompany transactions.
Note 2: Investment gain is the investee's net gain of $4,429 thousand plus realized profits of $9 thousand from upstream and side stream intercompany transactions.
Note 3: Investment loss is the investee's net loss of $3,728 thousand minus amortization of premium of $418 thousand.
Note 4: Investment gain is the investee's net gain of $28,444 thousand plus realized profits of $796 thousand from upstream intercompany transactions and minus amortization of premium of $43 thousand.
Note 5: Investment gain is the investee's net gain of $34,552 thousand minus unrealized profits of $34 thousand from upstream intercompany transactions.
Note 6: The investees' financial statements used as basis for calculating investment gains (losses) recognized have all been reviewed.
Note 7: Eliminated from the consolidated financial statements.
Note 8: For information on investee companies in mainland China, refer to Table 7.

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TABLE 7

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

INFORMATION ON INVESTMENT IN MAINLAND CHINA

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor Company	Investor Company	Main Businesses and Products	Paid-in Capital	Method of Investment	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2026	Remittance of Funds		Accumulated Outward Remittance for Investment from Taiwan as of March 31, 2026	Net Income (Loss) of the Investor (Note 10)	Ownership % of Direct or Indirect Investment	Investment Gain (Loss) (Notes 10 and 16)	Carrying Amount as of March 31, 2026 (Notes 10 and 16)	Accumulated Repatriation of Investment Income as of March 31, 2026	Note
						Outflow	Inflow
Topoint Technology Co., Ltd. (the "Company")	Shanghai Topoint Precision Technology Co., Ltd.	Manufacturing and selling precision equipment and measurement facilities	$ 1,443,066 (US$ 44,200 thousand) (Note 1)	Indirect: Through an investment company registered in a third region (Note 2)	$ 914,337 (US$ 27,300 thousand)	$ -	$ -	$ 914,337 (US$ 27,300 thousand)	$ 71,165	100	$ 71,165	$ 2,168,908	$ 1,708,923 (US$ 54,451 thousand)
	Sharpoint Technology (Suzhou) Co., Ltd.	Testing of drill bits and mounting plate bolt holes	177,872 (US$ 6,000 thousand)	Indirect: Through an investment company registered in a third region (Note 2)	177,872 (US$ 6,000 thousand)	-	-	177,872 (US$ 6,000 thousand)	188	100	188	184,933	68,002 (US$ 2,137 thousand)
	Shanghai IntelliBrightPoint Electronic Co., Ltd.	Sales services of electronic products and components	872,803 (RMB 153,858 thousand)	Indirect: Through an investment company registered in a third region (Note 2)	98,572 (US$ 3,029 thousand)	-	-	98,572 (US$ 3,029 thousand)	9,457	100	9,457	816,790	-
Shanghai Topoint Precision Technology Co., Ltd.	Kanshan Restek Technology Co., Ltd.	Manufacturing, processing and selling printed circuit board	30,480 (US$ 1,000 thousand)	Other (Note 3)	- (Note 3)	-	-	- (Note 3)	-	75	-	6	-
	Chengdu Raypoint Precision Tools Co., Ltd. (Note 13)	Cutting equipment	453,943 (RMB 97,000 thousand)	Other (Note 13)	16,934 (US$ 555 thousand)	-	-	16,934 (US$ 555 thousand)	(4,476)	100	(4,476)	184,469	-
	Shanghai Ringpoint Nano Material Co., Ltd.	Processing metal products	58,660 (RMB 12,000 thousand)	Other (Note 3)	- (Note 3)	-	-	- (Note 3)	12,838	75	9,629	100,336	-
Shanghai IntelliBrightPoint Electronic Co., Ltd.	Kanshan Topoint Technology Co., Ltd. (Note 14)	Drilling bits	97,228 (RMB 20,800 thousand)	Other (Note 5)	- (Note 5)	-	-	- (Note 5)	8,357	100	8,357	151,973	-
	Sharpoint Technology (Shenzhen) Co., Ltd. (Note 14)	Testing of drill bits and mounting plate bolt holes	147,583 (US$ 5,000 thousand)	Other (Note 4)	147,583 (US$ 5,000 thousand)	-	-	147,583 (US$ 5,000 thousand)	(818)	100	(818)	74,999	-
	Sharpoint Technology (Qinhuangdao) Co., Ltd. (Note 14)	Testing of drill bits and mounting plate bolt holes	250,222 (US$ 7,800 thousand)	Other (Note 4)	250,222 (US$ 7,800 thousand)	-	-	250,222 (US$ 7,800 thousand)	(1,479)	100	(1,479)	280,721	149,911 (US$ 4,749 thousand)
	Sharpoint Electronics (Huaiian) Co., Ltd. (Note 12)	Testing of drill bits and mounting plate bolt holes	260,412 (US$ 8,400 thousand)	Other (Note 6)	259,808 (US$ 8,400 thousand)	-	-	259,808 (US$ 8,400 thousand)	3,354	100	3,354	275,165	102,173 (US$ 3,181 thousand)
Sharpoint Electronics (Huaiian) Co., Ltd.	Winpoint Electronics (Huaiian) Co., Ltd.	Testing of drill bits and mounting plate bolt holes	57,598 (RMB 12,650 thousand)	Other (Note 7)	- (Note 7)	-	-	- (Note 7)	(4,899)	100	(4,899)	55,557	-
Sharpoint Technology (Qinhuangdao) Co., Ltd.	Huangshu Topoint Technology Co., Ltd.	Testing of drill bits and mounting plate bolt holes	151,732 (RMB 35,000 thousand)	Other (Note 8)	- (Note 8)	-	-	- (Note 8)	(6,018)	100	(6,018)	141,004	-
Cosmos Vacuum Technology Corporation	Cosmos Electronic Technology (Kanshan) Co., Ltd.	Vacuum coating and router bits	231,752 (US$ 7,130 thousand)	Indirect: Through an investment company registered in a third region (Note 9)	217,775 (US$ 6,700 thousand)	-	-	217,775 (US$ 6,700 thousand)	34,552	100	34,552	401,493	-

(Continued)

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Investor Company Name	Accumulated Outward Remittance for Investment in Mainland China as of March 31, 2026	Investment Amounts Authorized by Investment Commission, MOEA	Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA (Note 15)
Topoint Technology Co., Ltd. (the “Company”)
Cosmos Vacuum Technology Corporation	$ 1,865,328
(US$ 58,084 thousand)
217,775
(US$ 6,700 thousand)	$ 2,370,125
(US$ 74,148 thousand) (Note 11)
241,271
(US$ 7,422 thousand)	$ 3,228,451
395,317

Note 1: The amount includes the capitalization of retained earnings of US$16,700 thousand of Shanghai Topoint Precision Technology Co., Ltd. and US$200 thousand invested by Topoint Technology Co., Ltd. (B.V.I.).

Note 2: The investment company registered in a third region is Topoint Technology Co., Ltd. (B.V.I.).

Note 3: Invested and established by the owned fund of Shanghai Topoint Precision Technology Co., Ltd.

Note 4: Invested and established by Topoint Technology Co., Ltd. (B.V.I.), a company registered in a third region, and in December 2024, full ownership was transferred to Shanghai IntelliBrightPoint Electronic Co., Ltd.

Note 5: Invested and established by the owned fund of Shanghai Topoint Precision Technology Co., Ltd. and in December 2024, full ownership was transferred to Shanghai IntelliBrightPoint Electronic Co., Ltd.

Note 6: Invested and established by Topoint Technology Co., Ltd. (B.V.I.), a company registered in a third region, and in June 2025, full ownership was transferred to Shanghai IntelliBrightPoint Electronic Co., Ltd.

Note 7: Invested and established by the owned fund of Sharpoint Electronics (Huaiian) Co., Ltd.

Note 8: Invested and established by the owned assets of Sharpoint Technology (Qinhuangdao) Co., Ltd.

Note 9: The investment company registered in a third region is Universal Technology Corp.

Note 10: Calculated based on the investees' financial statements reviewed by the independent auditors of the Company for the same period.

Note 11: Investment amounts authorized by Investment Commission under the Ministry of Economic Affairs (MOEA) included the capitalization of retained earnings of US$16,700 thousand of Shanghai Topoint Precision Technology Co., Ltd., RMB100 thousand invested by Topoint Technology Co., Ltd. (B.V.I.), US$200 thousand invested by Topoint Technology Co., Ltd. (B.V.I.) and US$771 thousand for purchasing Unipoint Technology Holdings Co., Ltd. (B.V.I.) from Unipoint Technology Co., Ltd.

Note 12: The investment from Topoint Technology Co., Ltd. (B.V.I.) and Shanghai Topoint Precision Technology Co., Ltd. was US$8,400 thousand (84%) and US$1,600 thousand (16%), respectively. In December 2024, Sharpoint Electronics (Huaiian) Co., Ltd. returned the entire original investment cost of the 16% equity interest held by Shanghai Topoint Precision Technology Co., Ltd.; therefore, Topoint Technology Co., Ltd. (B.V.I.) held 100% ownership of Sharpoint Electronics (Huaiian) Co., Ltd. Topoint Technology Co., Ltd. (B.V.I.) disposed of 100% of the equity to Shanghai IntelliBrightPoint Electronic Co., Ltd. in June 2025; therefore, Shanghai IntelliBrightPoint Electronic Co., Ltd. held 100% ownership of Sharpoint Electronics (Huaiian) Co., Ltd.

Note 13: The investment from Topoint Technology Co., Ltd. (B.V.I.) and Shanghai Topoint Precision Technology Co., Ltd. was RMB6,000 thousand (10%) and RMB54,000 thousand (90%), respectively. Topoint Technology Co., Ltd. (B.V.I.) disposed of 10% of the equity to Shanghai Topoint Precision Technology Co., Ltd. in March 2021; therefore, Shanghai Topoint Precision Technology Co., Ltd. held 100% ownership of Chengdu Raypoint Precision Tools Co., Ltd. In March 2021, the borrowing was converted into capital of RMB37,000 thousand, and the registration of changes was completed in March 2021.

Note 14: Topoint Technology Co., Ltd. (B.V.I.) disposed of 100% of the equity to Shanghai IntelliBrightPoint Electronic Co., Ltd. in December 2024; therefore, Shanghai IntelliBrightPoint Electronic Co., Ltd. held 100% ownership of Kanshan Topoint Technology Co., Ltd., Sharpoint Technology (Shenzhen) Co., Ltd. and Sharpoint Technology (Qinhuangdao) Co., Ltd.

Note 15: According to rules of the Investment Commission under the MOEA, since the Company's issued capital is between $80,000 thousand and $5,000,000 thousand, the upper limit on the Company's investment is at the higher of 60% of the net worth or $80,000 thousand.

Note 16: Eliminated from the consolidated financial statements.

(Concluded)

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TABLE 8

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

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

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars)

No.	Investor Company	Investee Company	Transaction Type	Amount	% to Total Sales or Purchase	Transaction Details		Notes/Accounts Receivable (Payable)		Unrealized Gain/(Loss)	Note
						Payment Terms	Comparison with Normal Transactions	Ending Balance	% to Total
0	Topoint Technology Co., Ltd.	Shanghai Topoint Precision Technology Co., Ltd.	Sales	$ 1,342	1	Based on mutual agreement	Based on mutual agreement	$ 8,753	2	$ 21,248	Note 1
			Purchase	8,057	2	Based on mutual agreement	Based on mutual agreement	( 4,252)	3	194	Note 1
		Sharpoint Technology (Qinhuangdao) Co., Ltd.	Sales	116	1	Based on mutual agreement	Based on mutual agreement	53	1	8	Note 1
1	Raypoint Precision Tools Co., Ltd.	Shanghai Topoint Precision Technology Co., Ltd.	Sales	72,149	100	Based on mutual agreement	Based on mutual agreement	45,357	100	-	Note 1

Note 1: Eliminated from the consolidated financial statements.

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TABLE 9

TOPOINT TECHNOLOGY CO., LTD. AND SUBSIDIARIES

INTERCOMPANY RELATIONSHIPS AND SIGNIFICANT TRANSACTIONS

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars)

No. (Note 1)	Company	Counterparty	Flow of Transactions (Note 2)	Transaction Details
				Financial Statement Account	Amount (Note 5)	Transaction Terms (Note 3)	% to Consolidated Sales or Total Assets (Note 4)
0	Topoint Technology Co., Ltd.	Raypoint Precision Tools Co., Ltd.	a	Accounts receivable - related parties	$ 19,993	-	-
				Sales	60,138	-	4
		Shanghai Topoint Precision Technology Co., Ltd.	a	Accounts receivable - related parties	8,753	-	-
				Inventories	194	-	-
				Accounts payable - related parties	4,252	-	-
				Deferred credits	110,576	-	1
				Sales	1,342	-	-
				Realized profit	17,257	-	1
				Unrealized profit	21,248	-	2
				Cost of goods sold	13,191	-	1
		Gain on disposal of property, plant and equipment	3,589	-	-
		Topoint Japan Co., Ltd.	a	Accounts receivable - related parties	4,670	-	-
				Deferred credits	1,828	-	-
				Sales	2,307	-	-
				Realized profit	1,387	-	-
				Unrealized profit	1,827	-	-
				Cost of goods sold	1,828	-	-
				Rental revenue	301	-	-
		Other income	301	-	-
		Unipoint Technology Co., Ltd.	a	Accounts receivable - related parties	312	-	-
				Refundable deposits	300	-	-
				Guarantee deposits received	3	-	-
				Deferred credits	75	-	-
				Sales	277	-	-
				Realized profit	51	-	-
				Unrealized profit	74	-	-
				Cost of goods sold	255	-	-
				Rental revenue	9	-	-
				Other income	1,800	-	-
		Sharpoint Technology (Shenzhen) Co., Ltd.	a	Accounts receivable - related parties	1,176	-	-
				Sales	209	-	-
				Cost of goods sold	35	-	-
				Deferred credits	35	-	-
				Realized profit	120	-	-
				Unrealized profit	35	-	-
		Sharpoint Technology (Qinhuangdao) Co., Ltd.	a	Accounts receivable - related parties	53	-	-
				Deferred credits	645	-	-
				Sales	116	-	-

(Continued)

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| No.
(Note 1) | Company | Counterparty | Flow of Transactions
(Note 2) | Transaction Details | | | |
| --- | --- | --- | --- | --- | --- | --- | --- |
| | | | | Financial Statement Account | Amount
(Note 5) | Transaction Terms
(Note 3) | % to Consolidated Sales or Total Assets (Note 4) |
| | | | | Cost of goods sold | $ 8 | - | - |
| | | | | Realized profit | 13 | - | - |
| | | | | Unrealized profit | 8 | - | - |
| | | | | Other income | 95 | - | - |
| | | Sharpoint Technology (Suzhou) Co., Ltd. | a | Deferred credits | 332 | - | - |
| | | | | Cost of goods sold | 73 | - | - |
| | | | | Other income | 47 | - | - |
| | | Kunshan Topoint Technology Co., Ltd. | a | Deferred credits | 1,396 | - | - |
| | | | | Gain on disposal of property, plant and equipment | 103 | - | - |
| | | Drilltek Corporation | a | Accounts receivable - related parties | 14,503 | - | - |
| | | | | Accounts payable - related parties | 213 | - | - |
| | | | | Deferred credits | 1,020 | - | - |
| | | | | Sales | 11,461 | - | 1 |
| | | | | Other income | 240 | - | - |
| | | | | Cost of goods sold | 954 | - | - |
| | | | | Realized profit | 587 | - | - |
| | | | | Unrealized profit | 1,020 | - | - |
| | | Cosmos Vacuum Technology Corporation | a | Other income | 240 | - | - |
| | | | | Cost of goods sold | 24,985 | - | 2 |
| | | | | Accounts receivable - related parties | 2,044 | - | - |
| | | | | Accounts payable - related parties | 30,858 | - | - |
| | | | | Sales | 2,769 | - | - |
| | | Sharpoint Electronics (Huaian) Co., Ltd. | a | Accounts receivable - related parties | 3,080 | - | - |
| | | | | Sales | 1,894 | - | - |
| 1 | Topoint Technology Co., Ltd. (B.V.I.) | Topoint Japan Co., Ltd. | c | Accounts receivable - related parties | 12,030 | - | - |
| | | | | Interest income | 48 | - | - |
| 2 | Raypoint Precision Tools Co., Ltd. | Shanghai Topoint Precision Technology Co., Ltd. | c | Accounts receivable - related parties | 45,357 | - | - |
| | | | | Sales | 72,149 | - | 5 |
| 3 | Shanghai Topoint Precision Technology Co., Ltd. | Topoint Technology Co., Ltd. | b | Accounts receivable - related parties | 4,252 | - | - |
| | | | | Inventories | 21,248 | - | - |
| | | | | Machinery and equipment | 102,092 | - | 1 |
| | | | | Accumulated depreciation | 21,994 | - | - |
| | | | | Accounts payable - related parties | 8,753 | - | - |
| | | | | Sales | 8,057 | - | 1 |
| | | | | Cost of goods sold | 21,994 | - | 2 |
| | | Sharpoint Technology (Qinhuangdao) Co., Ltd. | c | Accounts receivable - related parties | 14,266 | - | - |
| | | | | Sales | 10,036 | - | 1 |
| | | | | Accounts payable - related parties | 68 | - | - |
| | | | | Cost of goods sold | 59 | - | - |
| | | Sharpoint Technology (Shenzhen) Co., Ltd. | c | Accounts receivable - related parties | 8,877 | - | - |
| | | | | Sales | 6,782 | - | 1 |
| | | Huangshi Topoint Technology Co., Ltd. | c | Accounts receivable - related parties | 51,063 | - | 1 |
| | | | | Sales | 1,452 | - | - |
| | | | | Interest income | 510 | - | - |
| | | | | Accounts payable - related parties | 279 | - | - |
| | | | | Cost of goods sold | 244 | - | - |

(Continued)

---

| No.
(Note 1) | Company | Counterparty | Flow of Transactions
(Note 2) | Transaction Details | | | |
| --- | --- | --- | --- | --- | --- | --- | --- |
| | | | | Financial Statement Account | Amount
(Note 5) | Transaction Terms
(Note 3) | % to Consolidated Sales or Total Assets (Note 4) |
| | | Kunshan Topoint Technology Co., Ltd. | c | Accounts receivable - related parties | $ 6,384 | - | - |
| | | | | Rental revenue | 65 | - | - |
| | | | | Sales | 4,604 | - | - |
| | | Sharpoint Electronics (Huaian) Co., Ltd. | c | Accounts receivable - related parties | 102,132 | - | 1 |
| | | | | Sales | 71,383 | - | 5 |
| | | Winpoint Electronics (Huaian) Co., Ltd. | c | Sales | 9,598 | - | 1 |
| | | | | Accounts receivable - related parties | 13,526 | - | - |
| | | Shanghai Ringpoint Nano Material Co., Ltd. | c | Accounts receivable - related parties | 201 | - | - |
| | | | | Accounts payable - related parties | 31,013 | - | - |
| | | | | Rental revenue | 181 | - | - |
| | | | | Sales | 962 | - | - |
| | | | | Cost of goods sold | 27,012 | - | 2 |
| | | Cosmos Electronic Technology (Kunshan) Co., Ltd. | c | Accounts payable - related parties | 54,405 | - | 1 |
| | | | | Accounts receivable - related parties | 1,007 | - | - |
| | | | | Cost of goods sold | 29,192 | - | 2 |
| | | | | Sales | 877 | - | - |
| | | Chengdu Raypoint Precision Tools Co., Ltd. | c | Accounts receivable - related parties | 11,607 | - | - |
| | | | | Interest income | 127 | - | - |
| | | Topoint Technology (Thailand) Co., Ltd. | c | Accounts receivable - related parties | 10,194 | - | - |
| | | | | Sales | 23,318 | - | 2 |
| 4 | Unipoint Technology Co., Ltd. | Drilltek Corporation | c | Accounts receivable - related parties | 119 | - | - |
| | | | | Cost of goods sold | 77 | - | - |
| | | | | Other income | 113 | - | - |
| | | | | Cost of goods sold | 70 | - | - |
| 5 | Sharpoint Technology (Qinhuangdao) Co., Ltd. | Shanghai IntelliBrightPoint Electronic Co., Ltd. | c | Accounts payable - related parties | 36 | - | - |
| | | | | Cost of goods sold | 102 | - | - |
| | | Winpoint Electronics (Huaian) Co., Ltd. | c | Accounts receivable - related parties | 199 | - | - |
| | | | | Sales | 35 | - | - |
| | | | | Rental revenue | 104 | - | - |
| | | Kunshan Topoint Technology Co., Ltd. | c | Accounts payable - related parties | 10,450 | - | - |
| | | | | Cost of goods sold | 6,826 | - | 1 |
| 6 | Sharpoint Technology (Shenzhen) Co., Ltd. | Shanghai IntelliBrightPoint Electronic Co., Ltd. | c | Accounts payable - related parties | 36 | - | - |
| | | | | Other expenses | 102 | - | - |
| | | Kunshan Topoint Technology Co., Ltd. | c | Accounts receivable - related parties | 51 | - | - |
| | | | | Rental revenue | 66 | - | - |
| 7 | Sharpoint Technology (Suzhou) Co., Ltd. | Sharpoint Electronics (Huaian) Co., Ltd. | c | Accounts receivable - related parties | 92,556 | - | 1 |
| | | | | Interest income | 71 | - | - |
| 8 | Kunshan Topoint Technology Co., Ltd. | Shanghai IntelliBrightPoint Electronic Co., Ltd. | c | Accounts payable - related parties | 37 | - | - |
| | | | | Other expenses | 102 | - | - |
| | | Sharpoint Electronics (Huaian) Co., Ltd. | c | Accounts receivable - related parties | 180 | - | - |
| | | | | Accounts payable - related parties | 51 | - | - |
| | | Sharpoint Technology (Shenzhen) Co., Ltd. | c | Cost of goods sold | 66 | - | - |
| 9 | Sharpoint Electronics (Huaian) Co., Ltd. | Winpoint Electronics (Huaian) Co., Ltd. | c | Accounts payable - related parties | 190 | - | - |

(Continued)

---

| No.
(Note 1) | Company | Counterparty | Flow of
Transactions
(Note 2) | Transaction Details | | | |
| --- | --- | --- | --- | --- | --- | --- | --- |
| | | | | Financial Statement Account | Amount
(Note 5) | Transaction
Terms
(Note 3) | % to
Consolidated
Sales or Total
Assets (Note 4) |
| | | | | Accounts receivable - related parties
Sales
Cost of goods sold | $ 63
55
166 | -
-
- | -
-
- |
| 10 | Winpoint Electronics (Huaian) Co., Ltd. | Huangshi Topoint Technology Co., Ltd. | c | Accounts payable - related parties | 309 | - | - |
| 11 | Shanghai Ringpoint Nano Material Co., Ltd. | Cosmos Electronic Technology (Kunshan) Co., Ltd. | c | Accounts receivable - related parties
Sales | 898
782 | -
- | -
- |
| 12 | Cosmos Vacuum Technology Corporation | Cosmos Electronic Technology (Kunshan) Co., Ltd. | c | Accounts payable - related parties
Deferred credits
Cost of goods sold
Unrealized loss
Gains on disposal of property, plant and equipment | 3,699
368
3,561
44
5 | -
-
-
-
- | -
-
-
-
- |
| 13 | Cosmos Electronic Technology (Kunshan) Co., Ltd. | Topoint Technology (Thailand) Co., Ltd. | c | Accounts receivable - related parties
Sales | 7,124
5,257 | -
- | -
- |
| 14 | H&N Technology Co., Ltd. | Cosmos Electronic Technology (Kunshan) Co., Ltd. | c | Inventories | 949 | - | - |

Note 1: Companies are numbered as follows:
a. The number of Topoint Technology Co., Ltd. (“Topoint”) is “0.”
b. Subsidiaries are numbered from “1” onward.

Note 2: The flow of transactions is as follows:
a. From Topoint to the subsidiary.
b. From the subsidiary to Topoint.
c. Between subsidiaries.

Note 3: The prices and terms for related-party transactions were based on mutual agreements.

Note 4: If the transaction amounts are related to the balance sheet accounts, the percentages are those of the period-end balances to the consolidated total assets. If the transaction amounts are related to the income statement accounts, the percentages are the year-to-date amounts to the consolidated total sales.

Note 5: Eliminated from the consolidated financial statements.
(Concluded)