UCC — Interim / Quarterly Report 2021

Nov 15, 2021

==> picture [74 x 74] intentionally omitted <==

Universal Cement Corporation 2021 Q3 Institutional Investor Conference

Outline

==> picture [74 x 74] intentionally omitted <==

• Profile

 Summary on Operation – Q1 to Q3, 2021

 Prospect on Operation of 2022

Disclaimer： Financial information for Q3, 2021 disclosed in this report has been reviewed by external auditor and published on November 15, 2021.

Profile

==> picture [74 x 74] intentionally omitted <==

• Universal Cement Corporation

• Office address ： 10F., 125 Nan-king E. Rd., Sec. 2, Taipei, Taiwan

• Website ： www.ucctw.com

 Publicly listed on TWSE

Headquarter Hai-hu gypsum board plant UNEO Inc. Universal RMC IndustrialHsin-chu Plant Huan-chung Cement Int’l Universal RMC IndustrialWu-rhi Plant

• Code ： 1104

 Paid-in Capital ： NTD 6.5 Billion Market Value ： NTD 13.9 Billion (2021/09/30)  Number of employee ： 400  Chronicle ： 1960 ｜ Establishment of the Company 1963 ｜ Erection of first integrated cement plant 1971 ｜ Publicly listed on TWSE 1988 ｜ Erection of first ready-mix concrete plant 1991 ｜ Erection of first gypsum board plant 2012 ｜ Establishment of subsidiary UNEO Inc.

Yong-kang RMC Plant Tai-nan RMC Plant Kao-hsiung Port Transportatio Da-hu RMC Plant A-lien Cement Plant Lu-zhu gypsum board plant Nan-zi RMC Plant Hsiao-gang RMC Plant Feng-shan RMC Plant Chao-zhou RMC Plant

2

Consolidated Financial Performance for 1- 3 2021 Q Q ,

==> picture [74 x 74] intentionally omitted <==

• Consolidated revenue NT$4.36 Billion , representing growth of 12% comparing to same period last year, operating profit ratio of 10% , mainly attributing to the steady growth of sales of various sectors of building material.

• Non-operating profit NT$379 Million representing decease of 35% comparing to same period last year, mainly due to decrease of dividend income from Liu-ho Mechanic and other investment.

• Net profit after tax NT$749 Million representing decease of 15% comparing to same period last year, EPS NT$1.11 .

Net profit after taxNT$749 Million year,EPS NT$1.11.	representing dece	ase of 15% compari	ng to same perio
NT$ in million	Q1-Q3, 2021	Q1-Q3, 2020	YOY
Operating Income	4,358	3,887	12%
Gross Profit from Operation	779	614	27%
Operation Profit	455	302	51%
Non-operating income	379	586	-35%
Net profit before tax	834	889	-6%
Net profit after tax	749	881	-15%
EPS(in NT$)	1.11	1.33	-17%
Assets	24,274	23,132	5%
Liabilities	5,279	5,209	1%
Equity	18,995	17,923	6%

3

Consolidated Financial Ratio, Q1-Q3, 2021

==> picture [74 x 74] intentionally omitted <==

%	Q1-Q3, 2021	Q1-Q3, 2020	YOY
Gross Margin(%)	18%	16%	13%
Operating Margin(%)	10%	8%	25%
Net Profit after Tax(%)	17%	23%	-26%
Earnings per Share(NTD$)	1.11	1.33	-17%
Net Value per Share(NTD$)	29.06	27.42	6%
Return on Equity(%)	4%	5%	-20%
Return on Asset(%)	3%	4%	-18%
Current Ratio(%)	127%	108%	18%
Debt/Equity Ratio(%)	28%	29%	-4%

4

Monthl Revenue Trend y

==> picture [74 x 74] intentionally omitted <==

 21Q1-Q3 Revenue reached ten year high.

==> picture [629 x 328] intentionally omitted <==

----- Start of picture text -----

5.75
5.28
3.71
2.68 2.71
----- End of picture text -----

5

Recognition of investment income from Liu-ho Machinery

==> picture [74 x 74] intentionally omitted <==

 Profit from Liu-ho has dropped due to the escalation of cost of raw material and freight and rationing of power supply.

==> picture [463 x 313] intentionally omitted <==

6

Distribution of Dividend

==> picture [74 x 74] intentionally omitted <==

 The Board of Directors meeting, held on Mar. 23, 2021, has resolved to distribute a cash dividend of NTD$1.1 per share .

 Dividend payout ratio of 58％ ，dividend yield at 5% , vis-à-vis annual average share price.

==> picture [323 x 262] intentionally omitted <==

(NTD$)

7

Revenue and Sales Performance Q1-Q3 by Sector

==> picture [74 x 74] intentionally omitted <==

	Consolidated Sales	Consolidated Sales	Consolidated Sales	Consolidated Sales	Consolidated Sales	Consolidated Sales	Consolidated Sales
	Sector (NT$ Mil)		Q1-Q3, 2021	Q1-Q3, 2020		YOY (%)
	RMC		2,756	2,375		16%
	Cement		986	942		5%
	Gypsum Board		585	553		6%
	Other		31	17		82%
	Total		4,358	3,887		12%
	Consolidated Sales in Quantity
Sector		Q1-Q3, 2021			Q1-Q3, 2020		YOY (%)
RMC(‘000M3)		1,281			1,246		3%
Cement (‘000 mt)		414			394		5%
Gypsum Board (‘000 M2)		11,105			10,282		8%

8

Cement Sector ： Profitable Steadily

==> picture [74 x 74] intentionally omitted <==

• Demand for cement in domestic market grows steadily at rate of 5%.

• The goal of our cement sectors remains to meet the demand for our product to achieve a steady profit.

==> picture [592 x 306] intentionally omitted <==

9

： Ready-mixed Concrete Securing more projects

==> picture [74 x 74] intentionally omitted <==

• Despite the impact of pandemic on local market, building permit issued, in terms of area of the floor, has grown 16% comparing to same period last year.

• As of Sept. 2021, the total volume to be supplied is 2.38 million M3.

• Our RMC Team in Hsin-Chu region aims at securing commercial projects such as AI Smart Park and 2-nm Plant by TSMC.

• Our RMC Team in Taichung region aims at securing mega projects, Entertainment and Shopping Center in HSR Station and International Convention Center.

• Our RMC Team in Tainan, Kaohsiung and Ping-tung region aims at residential projects in Ping-shi section of East District, Tainan and major infrastructures, Senior Citizen Hospital by NCKU and Kao-hsiung Metro.

==> picture [38 x 28] intentionally omitted <==

----- Start of picture text -----

YOY
+16%
----- End of picture text -----

*Service Area ：

Hsin-Chu county & city, Taichung City, Tainan City, Kao-hsiung City, Pint-tung.

10

RMC sector sales structure

==> picture [74 x 74] intentionally omitted <==

＊ As of 3Q21

Area	Sales Volume (‘000 M3)	Percentage	Volume to be supplied (‘000 M3)	Percentage
Hsin-chu	75	6%	128	5%
Taichung	129	10%	214	9%
Tainan	452	35%	927	39%
Kao-hsiung	505	39%	927	39%
Ping-tung	121	9%	179	8%
Total	1,281	100%	2,375	100%

11

RMC Sector- b cate ories of ro ect y g p j

==> picture [74 x 74] intentionally omitted <==

＊ As of 3Q21

Projects	Residential	Industrial & Commercial	Civil Engineering	Infrastructu re	Total
Hsin-chu	63%	37%	0%	0%	100%
Taichung	63%	28%	2%	7%	100%
Tainan	54%	31%	2%	12%	100%
Kao- hsiung	50%	22%	11%	17%	100%
Ping-tung	60%	11%	10%	20%	100%

12

Active RMC Account-Hsin-Chu & Taichung

==> picture [74 x 74] intentionally omitted <==

==> picture [709 x 399] intentionally omitted <==

----- Start of picture text -----

Green Light Forest
Hsin-hsing
NO30 Residential, Nan-
Electronic Parking
Liao
Lot, Hu-Kou
TSMC F12 Plant Chu-Feng QMAX Resident by
Continental Engineering, Chu-
& Office Building
Hsin-Chu bei
City &
TSMC Zero Waste
County Forlin Temple, Bei-
Manufacturing Center Miao-Li
pu
County
Ju-jia Da-Qi
Residential,
Taiping
Taichung
City
Cathay THE PARK,
7th Redevelopment
Zone
Mitsui LaLaPort Shopping Center
----- End of picture text -----

13

Active RMC Tainan

==> picture [74 x 74] intentionally omitted <==

==> picture [716 x 352] intentionally omitted <==

----- Start of picture text -----

Asia-Pacific
International TSMC plant, Southern
Baseball Stadiums Taiwan Science Park
and Training Centers Bei-an Commercial
Tainan
District Urban
City
North Outer
Replanning project
Circle Project
Railway
Youth Public Housing,
Underground
Xiao-dong Rd.
Project, Tainan
Academia Sinica HSR Special Zone, National
Southern Campus Mega City by Dar-Li/
Residential
San-ye River
Hydraulic Mitsui Outlet Mall
Engineering
----- End of picture text -----

14

Active RMC Account-Kao-hsiung & Ping-tung

==> picture [74 x 74] intentionally omitted <==

Kin-men Bridge

Hsing-da Harbor Gasburning Unit

Nan-zi-han Residential by Hua-xiong, Nan-zi

==> picture [63 x 74] intentionally omitted <==

Residential by Shangguan, HSR Zouying Station

Peng-ding Technology Plant Kaohsiun Royal Ji-ping by Derg City wang, Qiao-tou District Chao-zhou Hsin-zhan Ping-tung County Residential by Wu-fu, Chao-zhou District Ju-de V & VI Residential , Dong-gang District

Hao-qing-song Residential by Shenghsin, Hsin-yuan Dist.

15

： Building Material Sector Diversified Application of um Board Gyps

==> picture [74 x 74] intentionally omitted <==

• Continuous effort in improving the performance of water-proof, fire-proof, thermalinsulation, noise-insulation and easy to install.

• By incorporating the Wall-panel system with Nichiha Fiber Cement Board, we developed diversified pre-fabrication solution that can be used for indoor decoration, wall panel, roof and floor and reduce the number of working hours and workforce and maintain consistent quality of work.

• Continuous promotion of reward for recycled

gypsum board with a 100% reuse rate.

Residential Hsiao-Zhishan, Taipei

==> picture [249 x 208] intentionally omitted <==

----- Start of picture text -----

南科AI_ROBOT自造基地廠辦
----- End of picture text -----

==> picture [236 x 296] intentionally omitted <==

----- Start of picture text -----

新應材南科廠
----- End of picture text -----

Building Material Sector - by type of project

==> picture [74 x 74] intentionally omitted <==

==> picture [623 x 338] intentionally omitted <==

----- Start of picture text -----

＊ Volume to be supplies till Q3, 2021
Type of Project Percentage
Housing 28%
Industrial and
32%
Commercial Building
Hotel 21%
Infrastructure 9%
Other 10%
Total 100%
----- End of picture text -----

17

==> picture [691 x 521] intentionally omitted <==

----- Start of picture text -----

|||
|---|---|
|Active Client – Buildin|Material Sector|
|g|
|Yulong City, Hsin-dian,|
|New Taipei|
|Centre of Excellence Office Building by|
|Hong-ru Office Building in|
|Hua-Gu Chuang-fu, Taipei|
|Fuduxin, New Taipei|
|Yamaha Motor Industry|
|An-hsin Resident No. 6|
|Headquarter, Hsin-Chu|
|by Chung-li, Taoyuan|
|Congregate|
|Taiwan Bai-he Industrial,|
|Housing by Kun-shan An-|
|Chang-hua|
|jing, Hsin-Chu|
|Yi-fang-ting Congregate|
|Housing by Hui-Yu,|
|Taichung|Le Meridien Hualien|
|Hotel, Hualien|
|Shui-li hotel,|
|Nantou|A-li-shan Indigo Hotel|
|Li-bao Hotel,|
|Chia-yi|
|Mitsui Outlet Mall, Tainan|
|Gang-shan Mall by|Hua-bang Electronic Plant Stage I,|
|Dali-Miller, Kao-hsiung|Kao-hsiung|
|MND Factory 205 Guangfu|
|Campus|
|18|

----- End of picture text -----

UNEO ： Su l of Force-Sensor pp y

Supply of Force-Sensor

 In collaboration with internationally renowned manufacturer of Smart Medical Monitoring Product to supply components for medical beds.

 In collaboration with major touch ID developers for next generation touch writing pad and supply both domestically and abroad.  In collaboration with manufacturers of stylus to supply comprehensive choices of components.

 In collaboration with international major manufacturers to develop next generation smart door with touching pad.

==> picture [143 x 95] intentionally omitted <==

==> picture [143 x 103] intentionally omitted <==

==> picture [143 x 97] intentionally omitted <==

==> picture [143 x 98] intentionally omitted <==

19

UNEO ： Inte ration of Force Sensor S stem g y

Total Solution Provider of Force Sensor System Solution  Supply of force sensor equipment with high precision to customers from both upstream and downstream of supply chain.

 Semi-conductor industry

 Panel industry

• Precision Process Industry

 In collaboration with international major provider of smart warehouse management service, develop total solution system for smart warehouse management.

==> picture [143 x 95] intentionally omitted <==

==> picture [143 x 103] intentionally omitted <==

==> picture [143 x 97] intentionally omitted <==

==> picture [143 x 98] intentionally omitted <==

20

Outlook 2022-Cautiously Optimistic

==> picture [74 x 74] intentionally omitted <==

• COVID-19 has limited impact on the operation of the Company in 2021, and we will keep monitoring the influence in the future.

 With Taiwan government’s continuous promotion of Foresight Project, the growth in public infrastructure is foreseeable. Demand for commercial building is expected to increase significantly due to the return of oversea Taiwanese business, foreign investment and relocation of farming land and factories. Residential building is expected to face increasing demand as a result of newly established factories in the vicinity. In light of factors above along with promotion of Urban Renewal Plan for Unsafe and old building, the overall sales is expected to see a growth.

 The new production line of Lu-zhu Gypsum Board plant and second production line from Da-hu RMC plant will be ready to contribute its production capacity in Q3, 2022.

21