TPK — Interim / Quarterly Report 2016

Nov 15, 2016

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Disclaimer Statement

This presentation and release may contain ‘forward-looking statements’ which may include projections on future results of operations, financial condition and business prospects based on our own information and other sources.

The actual results of operations, financial condition and business prospects may differ from those explicitly or implicitly indicated in those forward-looking statements for a variety of reasons, including but not limited to market demand, price fluctuations, competition, supply chain issues, global economic conditions, exchange rate fluctuation and other risks and factors beyond TPK’s controls.

The forward-looking statements in this presentation, if any, only reflect the current view of TPK Holding Co., Ltd. as of the date of its release. TPK undertakes no obligation to update those forward-looking statements for events or circumstances that occur subsequently.

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Disclosure Notice

公告原則

• All financial numbers are prepared in accordance with IFRS which is approved by regulators in Taiwan

• All financial numbers are unaudited

• 本公司財務報表係依照臺灣主管機關認可之國際財務報 導準則編製

• 所有財務數字均為本公司自結數

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3Q16 Result Summary 2016年第三季營運簡報

NT$	Revenues	Net Profits	EPS
3Q16	26.2 bn	684 mn	1.97

• 3Q sequential revenue growth was primarily attributed to new product ramp-ups and seasonality for 2H.

• Operating profit driven by higher utilization, favorable product mix and effective operating cost control.

• New product launches and seasonal demand shall continue in 4Q subject to end demand.

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3Q16 Profit & Loss

2016年第三季損益表

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季損益表
Profit & Loss	QoQ 3Q15 YoY 3Q16 2Q16	2
(NT$ million) Revenues COGS Gross Profits Operating Expenses SG&A R&D Operating Profits Non-Op Inc/(Exp) Int Inc/(Exp) FX Gain/(Loss) Invest Inc/(Loss) Others Earnings Before Tax Income Tax Net Income (Parent) EPS (Parent) EBITDA	53.2% 34,235 (23.6%) (45,508) (11,272) (6,408) (5,855) (553) (17,680) (1,068) (104) (153) (50) (761) (18,748) (709) (19,390) (55.15) n.m. 1.97 (7.28) 3,444 (259) 990 (2,675) (299) 161 684 (2,499) (52) 60 56 69 (58) 131 (2,743) (284) 68 (230) (192) 26,168 17,085 (23,654) (18,673) 2,514 (1,588) (1,240) (1,155) (1,015) (944) (226) (211) 1,274
Margin: GM OM NM Op Exp	(32.9%) (51.6%) (56.6%) (18.7%) 4.9% (16.1%) 2.6% (14.6%) (4.7%) (6.8%) 9.6% (9.3%)

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Quarterly Sales

季營收

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NT$ mm
50,000
40,000
34,235 34,438
28,949
30,000
26,168
23,741
21,239
20,000
17,085
10,000
0
1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16
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Sales by Form Factors

營收結構

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＜ 7" 7" ≦ X ＜ 11" 11" ≦ X ＜ 16" X ≧ 16" Others
100%
11%
17%
17%
80% 26% 25%
30% 33%
21%
16%
24%
60%
18% 19%
29% 24%
40%
61% 61%
51% 49% 50%
20%
34%
30%
0%
1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16
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3Q16 Balance Sheet

2016年第三季資產負債表

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alance Sheet 資產負債表
Balance Sheet	2016/9/30 2016/6/30	5
(NT$ million) Cash Equivalents Debt Inv with no active market Receivables Inventories Current Assets Long-term Investments Property, Plant and Equipment Total Assets ST Loans Payables Current Liabilities Convertible Bonds LT Loans Total Liabilities Common Shares Non-Controlling Interest Total Shareholder's Equities	19,688 18,022 1,961 2,065 9,331 7,050 7,843 6,598 41,864 36,462 547 503 42,895 45,771 89,956 87,515 32,961 33,935 12,190 8,216 51,578 48,043 6,349 6,489 1,346 1,955 61,626 58,910 3,466 3,466 233 514 28,331 28,605
Ratio Analysis: Quick Ratio Current Ratio ROE (YTD Annualized) Net Debt to Equity	0.66 0.62 0.81 0.76 (7.9%) (16.5%) 0.74 0.85

Note: PP&E includes prepayments.

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TPK Proprietary & Copyright © All Rights Reserved

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新聞稿

TPK 公告 2016 年第三季自結營運成果

中華民國，台灣，台北， 2016 年 11 月 1 日 – TPK Holding Co., Ltd. 宸鴻科技（ TWSE: 3673 ）（ “ 宸鴻 ” 或 “ 本公司 ” ）今日公告 2016 年第三季自結營運成果。本季自結稅後淨 利為新台幣 6 億 8 仟 4 佰萬元，稅後稀釋每股淨利為新台幣 1.97 元。

2016 年第三季營運成果分析

， 第三季自結合併營收為新台幣 261.7 億元，較上季成長 53.2% ，較去年同期減少 23.6% 主要係客戶新產品開始量產及下半年旺季效應所致。受惠於整體產能利用率提升及較佳 之產品組合影響，本季營業毛利為新台幣 25.1 億元，營業毛利率達 9.6% 。

在銷售成本結構方面，因本季銷售金額大幅成長，帶動原料成本由第二季新台幣 138.2 億元，增加為新台幣 187.1 億元；人工成本亦由上季新台幣 17.4 億元，增加為新台幣 19.7 億元。第三季折舊攤提費為新台幣 20.0 億元。

本季營收較上季大幅增加的同時，第三季營業費用仍維持於新台幣 12.4 億元，與上季 新台幣 11.6 億元略同，持續反映本公司在費用控管之成效。本季淨利息費用約為新台 幣 2.3 億元。本季認列外幣兌換損失約為新台幣 5,200 萬元。受到莫蘭蒂颱風於 2016 年 9 月 15 日侵襲廈門之影響，本公司於第三季認列相關災害損失約新台幣 2.5 億元， 目前正與保險公司進行相關理賠之事宜。截至 2016 年 9 月 30 日，本公司員工總人數 由前一季底 29,737 人減少至 27,490 人。

資本結構及資本支出

本季資本支出約為新台幣 5.4 億元，為 2016 年前三季資本支出單季金額之最低。截至 2016 年 9 月 30 日，本公司帳上現金餘額為新台幣 196.9 億元。銀行借款餘額為新台 幣 319.8 億元，其中短期銀行借款為新台幣 306.4 億元（含一年內到期之長期借款）， 長期銀行借款為新台幣 13.5 億元；此外，人民幣短期債券餘額為新台幣 23.2 億元，另 應付海外可轉換公司債餘額為新台幣 63.5 億元（到期日為 2020 年），本公司未使用銀 行額度約為新台幣 406.5 億元。

註：本公司之財務數字係依照臺灣主管機關認可之國際財務報導準則編製。

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投資人關係聯絡人： 劉詩亮，財務長 王凱論，財務處長 Tel: +886.2.7727.1196 ir@tpk.com

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關於 TPK 宸鴻科技

TPK 為專業的觸控技術應用領導廠商，透過垂直整合的生產製程提供客戶全方位的觸控技術應 用解決方案，包括產品設計、研發到量產。公司持續專注於觸控技術的研發與創新，以維持技 術的領先地位，並透過新材質的開發、技術的提昇及製程的改善達到降低成本的效益，以期擴 大觸控技術在各種電子產品的應用並滿足客戶需求。本公司之主要生產基地位於中國廈門。

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3Q16 PROFIT & LOSS

Profit & Loss	QoQ 3Q15 YoY 3Q16 2Q16
(NT$ million) Revenues COGS Gross Profits Operating Expenses SG&A R&D Operating Profits Non-Op Inc/(Exp) Int Inc/(Exp) FX Gain/(Loss) Invest Inc/(Loss) Others Earnings Before Tax Income Tax Net Income (Parent) EPS (Parent) EBITDA	53.2% 34,235 (23.6%) (45,508) (11,272) (6,408) (5,855) (553) (17,680) (1,068) (104) (153) (50) (761) (18,748) (709) (19,390) (55.15) n.m. (23,654) (18,673) 2,514 (1,588) (1,240) (1,155) (1,015) (944) (226) (211) 1,274 26,168 17,085 (2,743) (284) 68 (230) (192) (52) 60 56 69 (58) 131 990 (2,675) (299) 161 684 (2,499) 1.97 (7.28) 3,444 (259)
Margin: GM OM NM Op Exp	(32.9%) (51.6%) (56.6%) (18.7%) 9.6% (9.3%) 4.9% (16.1%) 2.6% (14.6%) (4.7%) (6.8%)

3Q16 BALANCE SHEET

3Q16 BALANCE SHEET
Balance Sheet	2016/9/30 2016/6/30
(NT$ million) Cash Equivalents Debt Inv with no active market Receivables Inventories Current Assets Long-term Investments Property, Plant and Equipment Total Assets ST Loans Payables Current Liabilities Convertible Bonds LT Loans Total Liabilities Common Shares Non-Controlling Interest Total Shareholder's Equities	19,688 18,022 1,961 2,065 9,331 7,050 7,843 6,598 41,864 36,462 547 503 42,895 45,771 89,956 87,515 32,961 33,935 12,190 8,216 51,578 48,043 6,349 6,489 1,346 1,955 61,626 58,910 3,466 3,466 233 514 28,331 28,605
Ratio Analysis: Quick Ratio Current Ratio ROE (YTD Annualized) Net Debt to Equity	0.66 0.62 0.81 0.76 (7.9%) (16.5%) 0.74 0.85

Note: PP&E includes prepayments.

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