UNITECH — Interim / Quarterly Report 2024

Dec 2, 2024

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Stock Code:2367

UNITECH PRINTED CIRCUIT BOARD CORPORATION AND SUBSIDIARIES

Consolidated Financial Statements

With Independent Auditors’ Review Report For the Six Months Ended June 30, 2024 and 2023

Address: No. 3, Lane 4, Zhongshan Road, Tucheng District, New Taipei City Telephone: (02)2268-5071

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ review report and consolidated financial statements, the Chinese version shall prevail.

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Table of contents

Contents 1. Cover Page 2. Table of Contents 3. Independent Auditors’ Review Report 4. Consolidated Balance Sheets 5. Consolidated Statements of Comprehensive Income 6. Consolidated Statements of Changes in Equity 7. Consolidated Statements of Cash Flows 8. Notes to the Consolidated Financial Statements (1) Company history (2) Approval date and procedures of the consolidated financial statements (3) New standards, amendments and interpretations adopted (4) Summary of material accounting policies (5) Significant accounting assumptions and judgments, and major sources of estimation uncertainty (6) Explanation of significant accounts (7) Related-party transactions (8) Pledged assets (9) Significant commitments and contingencies (10) Losses Due to Major Disasters (11) Subsequent Events (12) Other (13) Other disclosures (a) Information on significant transactions (b) Information on investees (c) Information on investment in mainland China (d) Major shareholders (14) Segment information

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KPMG

台北市110615信義路5段7號68樓(台北101大樓) 電 話 Tel + 886 2 8101 6666 68F., TAIPEI 101 TOWER, No. 7, Sec. 5, 傳 真 Fax + 886 2 8101 6667 Xinyi Road, Taipei City 110615, Taiwan (R.O.C.) 網 址 Web kpmg.com/tw

Independent Auditors’ Review Report

To the Board of Directors of Unitech Printed Circuit Board Corporation:

Introduction

We have reviewed the accompanying consolidated balance sheets of Unitech Printed Circuit Board Corporation and its subsidiaries as of June 30, 2024 and 2023, and the related consolidated statements of comprehensive income for the three months and six months ended June 30, 2024 and 2023, as well as the changes in equity and cash flows for the six months ended June 30, 2024 and 2023, and notes to the consolidated financial statements, including a summary of significant accounting policies. Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “ Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our reviews.

Scope of Review

Except as explained in the Basis for Qualified Conclusion paragraph, we conducted our reviews in accordance with the Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” of the Republic of China. A review of the 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 conducted in accordance with the Standards on Auditing of the Republic of China and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Basis for Qualified Conclusion

As stated in note 4(b), the consolidated financial statements included the financial statements of non-significant subsidiaries, which were not reviewed by independent auditors. These financial statements reflect total assets amounting to $1,046,993 thousand and $1,111,149 thousand, constituting 4.30% and 4.97% of consolidated total assets as of June 30, 2024 and 2023, respectively, total liabilities amounting to $301 thousand and $203 thousand, constituting 0.00% of consolidated total liabilities as of June 30, 2024 and 2023, respectively, and total comprehensive income (loss) amounting to $10,451 thousand, $(22,861) thousand, $14,460 thousand and $(57,225) thousand, constituting 1.75%, (23.48)%, 1.33% and 13.30% of consolidated total comprehensive income (loss) for the three months and six months ended June 30, 2024 and 2023, respectively.

Furthermore, as stated in note 6(g), the investments accounted for using equity method of Unitech Printed Circuit Board Corporation and its subsidiaries in its investee companies of $915,737 thousand and $981,635 thousand as of June 30, 2024 and 2023, respectively, and its related share of loss of associates accounted for using equity method of $(230) thousand, $(20,250) thousand, $(8,291) thousand and $(25,414) thousand for the three months and six months ended June 30, 2024 and 2023, respectively, were recognized solely on the financial statements prepared by these investee companies, but not reviewed by independent auditors.

KPMG, a Taiwan partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

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Qualified Conclusion

Except for the adjustments, if any, as might have been determined to be necessary had the financial statements of consolidated subsidiaries and equity accounted investee companies described in the Basis for Qualified Conclusion paragraph above been reviewed by independent auditors, based on our reviews, nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of Unitech Printed Circuit Board Corporation and its subsidiaries as of June 30, 2024 and 2023, and of its consolidated financial performance for the three months and six months ended June 30, 2024 and 2023, as well as its consolidated cash flows for the six months ended June 30, 2024 and 2023 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “ Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

The engagement partners on the reviews resulting in this independent auditors’ review report are Horng, ShyhGang and Hsu, Ming-Fang.

KPMG

Taipei, Taiwan (Republic of China) August 13, 2024

Notes to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with the 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 accepted and applied in the Republic of China.

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ review report and consolidated financial statements, the Chinese version shall prevail.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries

Consolidated Balance Sheets

June 30, 2024, December 31, 2023, and June 30, 2023 (Expressed in Thousands of New Taiwan Dollars)

June 30, 2024 Assets Amount % Current assets: 1100 Cash and cash equivalents (note 6(a)) $ 1,504,138 6 1110 Current financial assets at fair value through profit or loss (notes 6(b)and (v)) 19,616 - 1150 Notes receivable, net (notes 6(d) and (t)) 11,804 - 1170 Accounts receivable, net (notes 6(d) and (t)) 5,360,186 22 1200 Other receivables 106,757 - 1210 Other receivables-related parties (note 7) 310 - 1310 Inventories (note 6(e)) 2,441,440 10 1410 Prepayments 137,847 1 1476 Other financial assets-current 4,372 - 1479 Other current assets 6,573 - Total current assets 9,593,043 39 Non-current assets: 1517 Financial assets at fair value through other comprehensive income non-current (notes 6(c) and 7) 473,221 2 1550 Investments accounted for using equity method, net (notes 6(g) and 8) 915,737 4 1600 Property, plant and equipment (notes 6(h), (v), 8 and 9) 12,605,914 53 1755 Right-of-use assets (notes 6(i) and 8) 226,803 1 1780 Intangible assets (note 6(j)) 111,724 - 1840 Deferred tax assets 296,091 1 1915 Prepayments for business facilities (note 9) 17,479 - 1920 Refundable deposits (note 8) 41,304 - 1990 Other non-current assets 50,112 - Total non-current assets 14,738,385 61 Total assets $ 24,331,428 100	December 31, 2023 Amount % 866,459 4 20,481 - 11,815 - 4,023,205 19 68,533 1 637 - 2,347,852 11 89,521 - 3,404 - 9,284 - 7,441,191 35 435,752 2 912,683 4 11,710,642 55 369,179 2 123,484 1 302,660 1 10,906 - 60,682 - 63,970 - 13,989,958 65 21,431,149 100	June 30, 2023 Amount % 787,372 4 14,378 - 13,108 - 4,368,860 20 64,319 - 6,225 - 2,340,951 10 135,039 1 3,858 - 6,193 - 7,740,303 35 492,976 2 981,635 4 12,206,821 55 344,927 2 132,058 1 293,651 1 29,153 - 60,390 - 82,173 - 14,623,784 65 22,364,087 100 June 30, 2024 Liabilities and Equity Amount % Current liabilities: 2100 Short-term borrowings (notes 6(l) and 8) $ 3,229,360 13 2110 Short-term notes and bills payable (note 6(k)) 19,980 - 2170 Accounts payable 2,870,431 12 2200 Other payables (note 6(m)) 1,146,327 5 2280 Current lease liabilities (note 6(o)) 49,976 - 2322 Current portion of long-term borrowings (notes 6(n) and 8) 1,794,073 7 2399 Other current liabilities 44,532 - Total current liabilities 9,154,679 37 Non-Current liabilities: 2540 Long-term borrowings (notes 6(n) and 8) 3,913,621 16 2570 Deferred tax liabilities 172,249 1 2580 Non-current lease liabilities (note 6(o)) 45,884 - 2640 Net defined benefit liability, non-current 136,569 1 Total non-current liabilities 4,268,323 18 Total liabilities 13,423,002 55 Equity attributable to owners of parent(note 6(r)): 3110 Ordinary shares 6,694,072 28 3200 Capital surplus 3,034,834 12 Retained earnings: 3310 Legal reserve 176,123 1 3350 Unappropriated retained earnings 835,768 3 Total retained earnings 1,011,891 4 Other equity: 3410 Exchange differences on translation of foreign financial statements 209,248 1 3420 Unrealised gains (losses) from financial assets at fair value through other comprehensive income 196,457 1 3445 Gains (losses) on remeasurements of defined benefit (238,076) (1) Total other equity 167,629 1 Total equity 10,908,426 45 Total liabilities and equity $ 24,331,428 100	June 30, 2024		December 31, 2023	December 31, 2023		June 30, 2023 Amount % 2,288,567 10 - - 2,202,364 10 1,274,036 4 69,729 - 1,297,154 6 33,248 - 7,165,098 30 4,621,088 21 179,152 1 160,489 1 144,064 1 5,104,793 24 12,269,891 54 6,694,072 30 3,037,149 14 347,938 2 48,013 - 395,951 2 (37,368) - 242,338 1 (237,946) (1) (32,976) - 10,094,196 46 22,364,087 100
					Amount	%
					2,013,190 - 2,141,794 1,019,775 80,374 1,812,496 41,472
					7,109,101
					4,021,200 171,517 163,366 141,963
					4,498,046
					11,607,147
					6,694,072
					3,035,358

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income

For the three months and six months ended June 30, 2024 and 2023

(Expressed in Thousands of New Taiwan Dollars , Except for Earnings Per Common Share)

4000 Operating revenue, net(note 6(t)) 5110 Cost of sales(notes 6(e), (j), (o), (p) and 12) Gross profit from operations Operating expenses:(notes 6(d), (j), (o), (p), (u), 7 and 12) 6100 Selling expenses and administrative expenses 6300 Research and development expenses 6450 Expected credit loss Total operating expenses Net operating profit (loss) Non-operating income and expenses(notes 6(b), (f), (g), (h), (o) and (v)): 7100 Interest income 7010 Other income 7020 Other gains and losses, net 7050 Finance costs, net 7060 Share of loss of associates accounted for using equity method, net Total non-operating income and expenses Profit (loss) from continuing operations before tax 7950 Less: Income tax expenses (income) (note 6(q)) Profit (loss) 8300 Other comprehensive income: 8310 Items that may not be reclassified subsequently to profit or loss 8316 Unrealized gains (losses) from investments in equity instruments measured at fair value through other comprehensive income 8320 Share of other comprehensive income of associates accounted for using equity method, components of other comprehensive income Items that may not be reclassified subsequently to profit or loss 8360 Items that may be reclassified subsequently to profit or loss 8361 Exchange differences on translation of foreign financial statements Items that may be reclassified subsequently to profit or loss 8300 Other comprehensive income (after tax) Comprehensive income Profit (loss) attributable to: Owners of parent Comprehensive (loss) income attributable to: Owners of parent Earnings (loss) per share (NT dollars)(note 6(s)) Basic earnings (loss) per share (NT dollars) Diluted earnings (loss) per share (NT dollars)	For the three months ended June 30 2024 2023 Amount % Amount % $ 5,129,163 100 4,031,496 100 4,056,903 79 3,579,188 89 1,072,260 21 452,308 11 477,879 9 404,590 10 35,830 1 26,315 1 4,762 - 7,095 - 518,471 10 438,000 11 553,789 11 14,308 - 12,123 - 4,991 - 20,701 - 9,910 - 31,713 1 321,811 8 (64,215) (1) (49,722) (1) (230) - (20,250) - 92 - 266,740 7 553,881 11 281,048 7 (6,086) - 9,919 - 559,967 11 271,129 7 (11,072) - (46,250) (1) (3,755) - - - (14,827) - (46,250) (1) 49,646 1 (127,532) (3) 49,646 1 (127,532) (3) 34,819 1 (173,782) (4) $ 594,786 12 97,347 3 $ 559,967 11 271,129 7 $ 559,967 11 271,129 7 $ 594,786 12 97,347 3 $ 594,786 12 97,347 3 $ 0.84 0.40 $ 0.84 0.40	For the six months ended June 30 2024 2023 Amount % Amount % 9,292,462 100 7,494,395 100 7,539,277 81 6,955,518 93 1,753,185 19 538,877 7 865,355 9 791,940 10 69,567 1 48,918 1 7,446 - 7,390 - 942,368 10 848,248 11 810,817 9 (309,371) (4) 15,322 - 5,640 - 56,752 - 30,023 - 93,845 1 292,740 4 (122,203) (1) (101,804) (2) (8,291) - (25,414) - 35,425 - 201,185 2 846,242 9 (108,186) (2) 10,474 - 16,227 - 835,768 9 (124,413) (2) 17,636 - (201,589) (3) (53) - - - 17,583 - (201,589) (3) 231,597 3 (104,211) (1) 231,597 3 (104,211) (1) 249,180 3 (305,800) (4) 1,084,948 12 (430,213) (6) 835,768 9 (124,413) (2) 835,768 9 (124,413) (2) 1,084,948 12 (430,213) (6) 1,084,948 12 (430,213) (6) 1.25 (0.19) 1.25 (0.19)
	2024 Amount % $ 5,129,163 100 4,056,903 79 1,072,260 21 477,879 9 35,830 1 4,762 - 518,471 10 553,789 11 12,123 - 20,701 - 31,713 1 (64,215) (1) (230) - 92 - 553,881 11 (6,086) - 559,967 11 (11,072) - (3,755) - (14,827) - 49,646 1 49,646 1 34,819 1 $ 594,786 12 $ 559,967 11 $ 559,967 11 $ 594,786 12 $ 594,786 12 $ 0.84 $ 0.84	2024 Amount % 9,292,462 100 7,539,277 81 1,753,185 19 865,355 9 69,567 1 7,446 - 942,368 10 810,817 9 15,322 - 56,752 - 93,845 1 (122,203) (1) (8,291) - 35,425 - 846,242 9 10,474 - 835,768 9 17,636 - (53) - 17,583 - 231,597 3 231,597 3 249,180 3 1,084,948 12 835,768 9 835,768 9 1,084,948 12 1,084,948 12 1.25 1.25

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries

Consolidated Statements of Changes in Equity For the six months ended June 30, 2024 and 2023 (Expressed in Thousands of New Taiwan Dollars)

Balance at January 1, 2023 Loss Other comprehensive income Comprehensive income Appropriation and distribution of retained earnings: Legal reserve Cash dividends on ordinary share Changes in equity of associates accounted for using equity method Balance at June 30, 2023 Balance at January 1,2024 Profit Other comprehensive income Comprehensive income Appropriation and distribution of retained earnings: Legal reserve used to offset accumulated deficits Changes in equity of associates accounted for using equity method Balance at June 30, 2024					Equity attributable	Equity attributable	Equity attributable	to owners of parent	to owners of parent	to owners of parent	to owners of parent		Total equity attributable to owners of parent	Total equity
	Ordinary shares		Capital surplus		Retained earnings			Total other equity interest
								Exchange differences on translation of foreign financial statements		Unrealized gains (losses) from financial assets at fair value Gains (losses) on through other comprehensive income remeasurements of defined benefit
					Legal reserve	Unappropriated retained earnings
	$ 6,694,072 - - - - - - $ 6,694,072 $ 6,694,072 - - - - - $ 6,694,072		3,037,149		306,606		413,712		66,843		(237,946) - - - - - - (237,946) (238,123) - 47 47 - - (238,076)		10,724,363 (124,413) (305,800) (430,213) - (200,822) 868 10,094,196 9,824,002 835,768 249,180 1,084,948 - (524) 10,908,426	10,724,363 (124,413) (305,800) (430,213) - (200,822) 868 10,094,196
			- -		- -
			-		-
			- - -		41,332 - -
			3,037,149		347,938
			3,035,358		347,938									9,824,002
			- -		- -									835,768 249,180 1,084,948 - (524) 10,908,426
			-		-
			-

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries

Consolidated Statements of Cash Flows

For the six months ended June 30, 2024 and 2023

(Expressed in Thousands of New Taiwan Dollars)

Cash flows from (used in) operating activities: Profit (Loss) before tax Adjustments: Adjustments to reconcile profit (loss): Depreciation expense Amortization expense Expected credit loss Interest expense Interest income Share of loss of associates accounted for using equity method Loss on disposal of property, plant and equipment Gain on disposal of non-current assets held for sale Net profit on financial assets at fair value through profit or loss Other items Total adjustments to reconcile profit Changes in operating assets and liabilities: Notes receivable Accounts receivable Other receivables Other receivables-related parties Inventories Prepayments Other financial assets-current Other current assets Accounts payable Other payables Other current liabilities Net defined benefit liability Total changes in operating assets and liabilities Total adjustments

For the six months ended June 30 2024 2023 $ 846,242 (108,186) 735,519 771,459 33,904 35,467 7,446 7,390 122,203 101,804 (15,322) (5,640) 8,291 25,414 5,713 4,275 - (200,629) (135) (286) (4) (4) 897,615 739,250 11 (1,819) (1,344,427) (40,323) (38,012) 2,310 327 396 (93,588) 379,338 (48,704) (39,633) (968) (108) 2,711 5,554 728,637 (224,148) 11,464 (220,793) 1,786 (42,085) (5,394) (50,399) (786,157) (231,710) 111,458 507,540

2024 $ 846,242 735,519 33,904 7,446 122,203 (15,322) 8,291 5,713 - (135) (4) 897,615 11 (1,344,427) (38,012) 327 (93,588) (48,704) (968) 2,711 728,637 11,464 1,786 (5,394) (786,157) 111,458

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries

Consolidated Statements of Cash Flows

For the three months and six months ended June 30, 2024 and 2023

(Expressed in Thousands of New Taiwan Dollars)

Cash inflow generated from operations Interest received Interest paid Income taxes paid Net cash flows from operating activities Cash flows from (used in) investing activities: Acquisition of financial assets at fair value through other comprehensive income Proceeds from disposal of financial assets at fair value through profit or loss Proceeds from disposal of non-current assets classified as held for sale Acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Decrease in refundable deposits Acquisition of intangible assets Increase in other non-current assets Net cash flows used in investing activities Cash flows from (used in) financing activities: Increase in short-term borrowings Decrease in short-term borrowings Increase in short-term notes and bills payable Decrease in short-term notes and bills payable Proceeds from long-term borrowings Repayments of long-term borrowings Increase (decrease) in guarantee deposits received Payment of lease liabilities Net cash flows from (uesd in) financing activities Effect of exchange rate changes on cash and cash equivalents Net increase in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements Originally Issued in Chinese)

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

June 30, 2024 and 2023

(Expressed in Thousands of New Taiwan Dollars, Unless Otherwise Specified)

(1) Company history

Unitech Printed Circuit Board Corporation (the “Company”) was incorporated on December 31, 1984, with registered address of No. 3, Lane 4, Zhongshan Road, Tucheng District, New Taipei City, Taiwan, as a company limited by shares under the Company Act of the Republic of China (R.O.C.). The major business activities of Unitech Printed Circuit Board Corporation and subsidiaries (the “Gruop”) are the design, manufacture and sale of PCB.

(2) Approval date and procedures of the consolidated financial statements:

These consolidated financial statements were authorized for issue by the Board of Directors on August 13, 2024.

(3) New standards, amendments and interpretations adopted:

• (a) The impact of the International Financial Reporting Standards (“IFRSs”) endorsed by the Financial Supervisory Commission, R.O.C. (“FSC”) which have already been adopted.

The Group has initially adopted the following new amendments, which do not have a significant impact on its consolidated financial statements, from January 1, 2024:

• ●Amendments to IAS 1 “Classification of Liabilities as Current or Non-current”

• ●Amendments to IAS 1 “Non-current Liabilities with Covenants”

• ●Amendments to IAS 7 and IFRS 7 “Supplier Finance Arrangements”

• ●Amendments to IFRS 16 “Lease Liability in a Sale and Leaseback”

• (b) The impact of IFRS issued by the FSC but not yet effective

The Group assesses that the adoption of the following new amendments, effective for annual period beginning on January 1, 2025, would not have a significant impact on its consolidated financial statements:

• ●Amendments to IAS21 “Lack of Exchangeability”

(Continued)

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Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

• (c) The impact of IFRS issued by IASB but not yet endorsed by the FSC

The following new and amended standards, which may be relevant to the Group, have been issued by the International Accounting Standards Board (IASB), but have yet to be endorsed by the FSC:

Standards or Interpretations IFRS 18 “Presentation and Disclosure in Financial Statements”

Content of amendment Effective date per IASB The new standard introduces three categories of income and expenses, two income statement subtotals and one single note on management performance measures. The three amendments, combined with enhanced guidance on how to disaggregate information, set the stage for better and more consistent information for users, and will affect all the entities. January 1, 2027

• ●A more structured income statement: under current standards, companies use different formats to present their results, making it difficult for investors to compare financial performance across companies. The new standard promotes a more structured income statement, introducing a newly defined ‘operating profit’ subtotal and a requirement for all income and expenses to be allocated between three new distinct categories based on a company’ s main business activities.

• ●Management performance measures (MPMs): the new standard introduces a definition for management performance measures, and requires companies to explain in a single note to the financial statements why the measure provides useful information, how it is calculated and reconcile it to an amount determined under IFRS Accounting Standards.

• ●Greater disaggregation of information: the new standard includes enhanced guidance on how companies group information in the financial statements. This includes guidance on whether information is included in the primary financial statements or is further disaggregated in the notes.

(Continued)

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Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The Group is evaluating the impact on its consolidated financial position and consolidated financial performance upon the initial adoption of the abovementioned standards or interpretations. The results thereof will be disclosed when the Group completes its evaluation.

The Group does not expect the following other new and amended standards, which have yet to be endorsed by the FSC, to have a significant impact on its consolidated financial statements:

• ●Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture”

• ●IFRS 17 “ Insurance Contracts” and amendments to IFRS 17 “ Insurance Contracts”

• ●IFRS 19 “Subsidiaries without Public Accountability: Disclosures”

• ●Amendments to IFRS 9 and IFRS 7 “Amendments to the Classification and Measurement of Financial Instruments”

• ●Annual Improvements to IFRS Accounting Standards—Volume 11

(4) Summary of material accounting policies:

(a) Statement of compliance

These consolidated financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Report by Securities Issuers (“ the Regulation” ) and guidelines of IAS 34 “Interim Financial Reporting” which are endorsed and issued into effect by FSC, and do not include all of the information required by the Regulations and International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations and SIC Interpretations endorsed and issued into effect by the FSC (hereinafter referred to IFRS endorsed by the FSC) for a complete set of the annual consolidated financial statements.

Except the following accounting policies mentioned below, the material accounting policies adopted in the consolidated financial statements are the same as those in the consolidated financial statement for the year ended December 31, 2023. For the related information, please refer to note 4 of the consolidated financial statements for the year ended December 31, 2023.

(b) Basis of consolidation

• (i) List of subsidiaries in the consolidated financial statements

Name of investor	Name of subsidiary	Principal activity		Shareholding December 31, 2023 June 30, 2023 % 100.00 % 100.00 - % 100.00 % 100.00 Note 1 % 6.10 % 6.10 -
			June 30, 2024
The Company The Company The Company	Unitech Electronics International Limited (Unitech BVI) DA-TAI Investment Co., Ltd. Unitech Electronics International (HK) Limited (Unitech HK)	General investing General investing General investing	% 100.00 % 100.00 % 6.10

(Continued)

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Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Name of investor	Name of subsidiary	Principal activity		Shareholding December 31, 2023 June 30, 2023 % 100.00 % - - % 93.90 % 93.90 - % 100.00 % 100.00 - % 21.33 % 21.33 - % 78.67 % 78.67 -
			June 30, 2024
The Company Unitech BVI Unitech HK Unitech HK Shanghai Unitech Electronics Co., Ltd.	UNITECH PCB (THAILAND) CO., LTD. (Unitech Thailand) Unitech Electronics International (HK) Limited (Unitech HK) Shanghai Unitech Electronics Co., Ltd. Shanghai Unitech Electronics (Nontong) Co., Ltd. Shanghai Unitech Electronics (Nontong) Co., Ltd.	Manufactureing of electronics General investing Manufactureing of electronics Manufactureing of electronics Manufactureing of electronics	% 100.00 % 93.90 % 100.00 % 21.33 % 78.67

Note 1: The Company is a non-significant subsidiary whose financial statements have not been reviewed.

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

• (c) Classification of current and non-current assets and liabilities

An asset is classified as current under one of the following criteria, and all other assets are classified as non current.

• (i) It is expected to be realized, or intended to be sold or consumed, in the normal operating cycle;

• (ii) It is held primarily for the purpose of trading;

• (iii) It expects to realize the asset within twelve months after the reporting period; or

• (iv) The asset is cash or a cash equivalent (as defined in IAS 7) unless the asset is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period.

A liability is classified as current under one of the following criteria, and all other liabilities are classified as non current.

• (i) It is expected to be settled in the normal operating cycle;

• (ii) It is held primarily for the purpose of trading;

• (iii) It is due to be settled within twelve months after the reporting period; or

• (iv) It does not have the right at the end of the reporting period to defer settlement of the liability for at least twelve months after the reporting period.

(Continued)

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Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(d) Non-current assets held for sale

On March 3, 2023, the Group’s board of directors resolved to sell certain land, plant and equipment. Therefore, the Group has applied the accounting policy related to non-current assets held for sale from January 1, 2023 onwards.

Non-current assets or disposal groups comprising assets and liabilities that are highly probable to be recovered primarily through sale rather than through continuing use, are reclassified as held for sale. Immediately before classification as held for sale, the assets, or components of a disposal group, are remeasured in accordance with the Group’s accounting policies. Thereafter, generally, the assets or disposal groups are measured at the lower of their carrying amount and fair value less costs to sell.

Any impairment loss on a disposal group is first allocated to goodwill, and then to the remaining assets and liabilities on a pro rata basis, except that no loss is allocated to assets not within the scope of IAS 36 – Impairment of Assets. Such assets will continue to be measured in accordance with the Group’s accounting policies.

Impairment losses on assets initially classified as held for sale and any subsequent gains or losses on remeasurement are recognized in profit or loss. Gains are not recognized in excess of the cumulative impairment loss that has been recognized.

Once classified as held for sale, property, plant and equipment are no longer amortized or depreciated.

(e) Income taxes

The income tax expenses have been prepared and disclosed in accordance with paragraph B12 of IAS 34, "Interim Financial Reporting".

Income tax expenses for the period are measured by multiplying together the pre-tax income for the interim reporting period and the management’s best estimate of effective annual tax rate. This should be recognized fully as tax expense for the current period.

The temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their respective tax bases shall be measured based on the tax rates that have been enacted or substantively enacted at the time of the asset or liability is recovered or settled, and be recognized directly in equity or other comprehensive income as tax expense.

(f) Employee benefits

The pension cost for the interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior fiscal year, adjusted for significant market fluctuations since that time and for significant curtailments, settlements, or other signifticant one-off events.

(Continued)

13

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(5) Significant accounting assumptions and judgments, and major sources of estimation uncertainty:

The preparation of the consolidated financial statements in conformity with the Regulations and IFRS Accounting Standards (in accordance with IAS 34 “Interim Financial Reporting” and endorsed by the FSC) requires management to make judgments, estimates and assumptions that affect the application of the accounting policies and the reported amount of assets, liabilities, income and expenses. Actual results may differ from these estimates.

The preparation of the consolidated interim financial statements, estimates and underlying assumptions are reviewed on an ongoing basis which are in conformity with the consolidated financial statements for the year ended December 31, 2023. For related information, please refer to note 5 of the consolidated financial statements for the year ended December 31, 2023.

(6) Explanation of significant accounts

Except for the following disclosures, there were no material differences in the disclosures of significant accounts between the interim consolidated financial statements for the current period and the consolidated financial statements for the year ended December 31, 2023. Please refer to note 6 of the consolidated financial statements for the year ended December 31, 2023.

• (a) Cash and cash equivalents

Cash in stock Bank deposits Time deposits	June 30, 2024 $ 1,226 1,263,749 239,163 $ 1,504,138	December 31, 2023 1,694 797,797 66,968 866,459	June 30, 2023
			1,516 692,436 93,420
			787,372

Please refer to note 6(w) for the interest rate risk and sensitivity analysis of the financial assets and liabilities of the Group’s.

• (b) Financial assets at fair value through profit or loss

Mandatorily measured at fair value through profit or loss: Non-derivative financial assets Open End Funds	June 30, 2024 $ 19,616	December 31, 2023 20,481	June 30, 2023
			14,378

For the three months and six months ended June 30, 2024 and 2023, the net profit of the financial assets at fair value through profit or loss of the Group’s were $67 thousand, $42 thousand, $135 thousand and $286 thousand, respectively.

For the six months ended June 30, 2023, the Group’s held the financial products from bank with expected return rate of 1.65%.

(Continued)

14

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

As of June 30, 2024, December 31, 2023 and June 30, 2023, the financial assets at financial assets at fair value through profit or loss of the Group’s had not been pledged.

• (c) Financial assets at fair value through other comprehensive income

Listed common shares Unlisted common shares	June 30, 2024 $ 362,537 110,684 $ 473,221	December 31, 2023 339,660 96,092 435,752	June 30, 2023
			385,900 107,076
			492,976

• (i) Equity investments at fair value through other comprehensive income

The Group’s designated the investments shown above as equity securities at fair value through other comprehensive income because these equity securities represent those investments that the Group’s intends to hold for long-term strategic purposes.

There were no disposals of strategic investments and transfers of any cumulative gain or loss within equity relating to these investments for the six months ended June 30, 2024 and 2023.

• (ii) For credit risk and market risk, please refer to note 6(w).

• (iii) As of June 30, 2024 and 2023 the financial assets at fair value through other comprehensive income of the Group’s had not been pledged.

• (d) Notes and accounts receivable

Notes receivable Accounts receivable Less: Loss allowance	June 30, 2024 $ 11,804 5,379,737 (19,551) $ 5,371,990	December 31, 2023 11,815 4,035,734 (12,529) 4,035,020	June 30, 2023 13,108 4,377,729 (8,869) 4,381,968

(Continued)

15

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The Group’s applies the simplified approach to provide for its expected credit losses, i.e. the use of lifetime expected loss provision for all receivables. To measure the expected credit losses, notes and accounts receivables have been grouped based on shared credit risk characteristics and the days past due, as well as the incorporated forward-looking information, including that of macroeconomic and relevant industry information. The loss allowance provisions were determined as follows:

Current 1 to 90 days past due 91 to 180 days past due More than 181 days past due Current 1 to 90 days past due 91 to 180 days past due More than 181 days past due Current 1 to 90 days past due 91 to 180 days past due More than 181 days past due		June 30, 2024
	Gross carrying amount Weighted-average loss rate $ 5,246,055 0.03% 126,195 0.95% 2,950 20.58% 16,341 100% $ 5,391,541 December 31, 2023		Loss allowance provision
			1,407 1,196 607 16,341
			19,551
		Weighted-average loss rate 0.04% 1.37% 30.04% 98.86% June 30, 2023	Loss allowance provision
			1,489 4,853 4,622 1,565
			12,529
		Weighted-average loss rate 0.00% 0.04% 0.68% 43.06%	Loss allowance provision
			78 50 209 8,532
			8,869

The movement in the allowance for notes and accounts receivable were as follows:

Balance at January 1 Impairment losses recognized Amounts written off Effect of exchange rate changes Balance at June 30	For the six months ended June 30 2024 2023 $ 12,529 2,162 7,446 7,390 (426) (683) 2 - $ 19,551 8,869
	2024 $ 12,529 7,446 (426) 2 $ 19,551

(Continued)

16

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

As of June 30, 2024, December 31, 2023 and June 30, 2023, notes and accounts receivable of the Group had not been pledged.

(e) Inventories

Raw materials and supplies Work in progress Finished goods Merchandise inventory Allowance to reduce inventory to market	June 30, 2024 $ 487,833 1,425,011 365,408 346,957 2,625,209 (183,769) $ 2,441,440	December 31, 2023 348,529 1,200,470 542,693 435,534 2,527,226 (179,374) 2,347,852	June 30, 2023 361,683 1,375,556 427,873 439,734 2,604,846 (263,895) 2,340,951

For the three months and six months ended June 30, 2024 and 2023, the Group’s recognized the cost of sales of $4,191,736 thousand, $3,672,378 thousand, $7,759,296 thousand and $7,102,838 thousand, respectively.

The details of the cost of sales were as follow:

(Gain) losses on valuation of inventories Revenue from sales of scraps	For the three months ended June 30 2024 2023 $ (2,517) 3,883 (132,316) (97,073) $ (134,833) (93,190)	For the six months ended June 30 2024 2023 2,411 35,368 (222,430) (182,688) (220,019) (147,320)
	2024 $ (2,517) (132,316) $ (134,833)	2024 2,411 (222,430) (220,019)

As of June 30, 2024, December 31, 2023 and June 30, 2023, inventories of the Group had not been pledged.

(f) Non-current assets held for sale

On March 13, 2023, the Group entered into a sales and purchase agreement with an outside buyer to dispose its idle plants and dormitories in Yilan, for a total contract price of $677,078 thousand, based on a resolution approved during its board meeting held in March 3, 2023. The above transaction was completed in May, 2023, resulting in a gain on disposal of $200,629 thousand to be recognized as other gains and losses.

(Continued)

17

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(g) Investments accounted for using equity method

A summary of the Group’s’s financial information for investments accounted for using the equity method at the reporting date were as follows:

Associates	June 30, 2024 $ 915,737	December 31, 2023 912,683	June 30, 2023
			981,635

(i) Associates

The Group’s’s financial information for investments accounted for using the equity method that were individually insignificant were as follows:

Carrying amount of individually insignificant associates’ equity	June 30, 2024 $ 915,737	December 31, 2023 912,683	June 30, 2023
			981,635

The Group’s’s share of the net income of associates were as follows:

Attributable to the Group’s: Loss Other comprehensive income Comprehensive income	For the three months ended June 30 2024 2023 $ (230) (20,250) (1,079) (11,166) $ (1,309) (31,416)	For the six months ended June 30 2024 2023 (8,291) (25,414) 11,869 (27,577) 3,578 (52,991)
	2024 $ (230) (1,079) $ (1,309)	2024 (8,291) 11,869 3,578

• (ii) Guarantee

As of June 30, 2024, December 31, 2023 and June 30, 2023, investments accounted for using the equity method of the Group’s had been pledged as collateral. Please refer to note 8.

(iii) The unreviewed financial statements of investments accounted for using equity method

Investments accounted for by using the equity method, and the share of profit or loss and other comprehensive income of those investments were calculated based on the financial statements that had not been reviewed.

(Continued)

18

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(h) Property, plant, and equipment

The cost, depreciation, and impairment of the property, plant and equipment of the Group’s for the six months ended June 30, 2024 and 2023, were as follows:

Cost or deemed cost: Balance at January 1, 2024 Additions Disposals Reclassification Effect of movements in exchange rates Balance at June 30, 2024 Balance at January 1, 2023 Additions Disposals Reclassification Effect of movements in exchange rates Balance at June 30, 2023 Deprecation and impairments loss: Balance at January 1, 2024 Deprecation Disposals Effect of movements in exchange rates Balance at June 30, 2024 Balance at January 1, 2023 Deprecation Disposals Reclassification Effect of movements in exchange rates Balance at June 30, 2023 Carrying Value: Balance on January 1, 2024 Balance on June 30, 2024 Balance on January 1, 2023 Balance on June 30, 2023	Land $ 573,925 - - 955,242 (2,175) $ 1,526,992 $ 407,228 - - 166,697 - $ 573,925 $ - - - - $ - $ - - - - - $ - $ 573,925 $ 1,526,992 $ 407,228 $ 573,925	Buildings and constructions 5,806,011 - - 3,028 168,827 5,977,866 5,885,080 - - (187,263) (73,849) 5,623,968 1,105,916 115,689 - 22,302 1,243,907 1,052,710 107,782 - (162,297) (6,832) 991,363 4,700,095 4,733,959 4,832,370 4,632,605	Machinery equipment 15,005,001 - (40,917) 199,176 129,864 15,293,124 14,499,024 - (145,908) 398,628 (55,449) 14,696,295 10,124,272 451,656 (33,686) 31,917 10,574,159 9,348,823 466,406 (141,315) - (10,234) 9,663,680 4,880,729 4,718,965 5,150,201 5,032,615	Office facilities 344,879 6 (3,329) 21,382 606 363,544 328,834 - (2,360) 18,285 (281) 344,478 285,527 11,241 (3,240) 360 293,888 270,169 11,253 (2,360) - (134) 278,928 59,352 69,656 58,665 65,550	Other facilities 4,898,064 1,365 (4,633) 11,465 759 4,907,020 4,910,742 2,014 (241,438) 181,649 (347) 4,852,620 3,843,022 128,656 (4,369) 487 3,967,796 3,804,277 144,913 (241,092) - (232) 3,707,866 1,055,042 939,224 1,106,465 1,144,754	Testing equipment 279,688 - - (72,811) - 206,877 515,829 39,629 - (197,880) - 357,578 - - - - - - - - - - - 279,688 206,877 515,829 357,578	Construction in progress 161,811 284,330 - (51,429) 15,529 410,241 474,976 116,304 - (182,134) (9,352) 399,794 - - - - - - - - - - - 161,811 410,241 474,976 399,794	Total 27,069,379 285,701 (48,879) 1,066,053 313,410 28,685,664 27,021,713 157,947 (389,706) 197,982 (139,278) 26,848,658 15,358,737 707,242 (41,295) 55,066 16,079,750 14,475,979 730,354 (384,767) (162,297) (17,432) 14,641,837 11,710,642 12,605,914 12,545,734 12,206,821

(i) Guarantee

As of June 30, 2024, December 31, 2023 and June 30, 2023, the property, plant and equipment of the Group’s had been pledged as collateral for short-term and long-term borrowings. Please refer to note 8.

(Continued)

19

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(ii) Acquistion of machinery and equipment

For the three months and six months end June 30, 2024 and 2023, the information of the Group acquisition of machinery and equipment were as below:

Capitalization interest rate Capitalized borrowing cost	For the three months ended June 30 2024 2023 2.47%~3.71% 2.02%~4.69%	For the three months ended June 30 2024 2023 2.47%~3.71% 2.02%~4.69%	For the six months ended June 30 2024 2023 2.30%~4.59% 1.75%~4.69%	For the six months ended June 30 2024 2023 2.30%~4.59% 1.75%~4.69%
	2024 2.47%~3.71%		2024 2.30%~4.59%
				1.75%~4.69%
	$ 2,927	22,563	5,488	43,224

(i) Right-of-use-assets

The Group’s leases assets including land and buildings, office facilities and transportation facilities. Information about leases for which the Group’s as a leasee is represented below:

Cost: Balance at January 1, 2024 Additions Disposals Effect on movements of exchange rates Balance at June 30, 2024 Balance at January 1, 2023 Additions Disposals Effect on movements of exchanges rates Balance at June 30, 2023 Accumulated depreciation: Balance at January 1, 2024 Deprecation Disposals Effect on movements of exchange rates Balance at June 30, 2024 Balance at January 1, 2023 Depreciation Disposals Effect on movements of exchange rates Balance at June 30, 2023	Land $ 415,164 630,695 (900,657) 7,304 $ 152,506 $ 571,333 482,891 (633,434) (3,346) $ 417,444 $ 148,395 1,478 (132,423) 851 $ 18,301 $ 205,838 15,894 (87,272) (334) $ 134,126	Buildings and constructions 67,669 5,915 (8,700) - 64,884 151,268 6,833 (8,763) - 149,338 13,772 14,978 (4,126) - 24,624 131,672 14,492 (8,763) - 137,401	Office facilities 16,888 1,657 - - 18,545 16,187 543 - - 16,730 12,544 2,353 - - 14,897 8,421 2,045 - - 10,466	Transportation facilities 55,350 6,314 (13,429) - 48,235 48,760 6,992 - - 55,752 30,180 5,833 (12,917) - 23,096 18,491 6,045 - - 24,536	Other assets 34,343 8,187 (4,965) - 37,565 19,696 6,550 (1,694) - 24,552 15,344 3,635 (4,965) - 14,014 11,208 2,629 (1,477) - 12,360	Total 589,414 652,768 (927,751) 7,304 321,735 807,244 503,809 (643,891) (3,346) 663,816 220,235 28,277 (154,431) 851 94,932 375,630 41,105 (97,512) (334) 318,889

(Continued)

20

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Carrying amount: Balance at January 1, 2024 Balance at June 30, 2024 Balance at January 1, 2023 Balance at June 30, 2023	Land $ 266,769 $ 134,205 $ 365,495 $ 283,318	Buildings and constructions 53,897 40,260 19,596 11,937	Office facilities 4,344 3,648 7,766 6,264	Transportation facilities 25,170 25,139 30,269 31,216	Other assets 18,999 23,551 8,488 12,192	Total 369,179
						226,803
						431,614
						344,927

As of June 30, 2024, December 31, 2023 and June 30, 2023, the Right-of-use-assets of the Group’s had been pledged as collateral for long-term borrowings. Please refer to note 8.

(j) Intangible assets

The information on movement of the intangible assets of the Group for the six months ended June 30, 2024 and 2023, was as follows:

Costs: Balance at January 1, 2024 Additions Disposals Balance at June 30, 2024 Balance at January 1, 2023 Additions Balance at June 30, 2023 Accumulated amortization: Balance at January 1, 2024 Amortization Disposals Balance at June 30, 2024 Balance at January 1, 2023 Amortization Balance at June 30, 2023 Carrying amount: Balance at January 1, 2024 Balance at June 30, 2024 Balance at January 1, 2023 Balance at June 30, 2023

Computer Software $ 201,702 1,884 (3,396) $ 200,190 $ 196,160 7,368 $ 203,528 $ 78,218 13,644 (3,396) $ 88,466 $ 58,090 13,380 $ 71,470 $ 123,484 $ 111,724 $ 138,070 $ 132,058

(Continued)

21

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(i) Amortization

For the three months and six months ended June 30, 2024 and 2023, the amortization of intangible assets were included in the statement of comprehensive income was as follows :

Operating cost Operating expense	For the three months ended June 30 2024 2023 $ 1,140 1,113 $ 5,619 5,608	For the six months ended June 30	For the six months ended June 30
	2024 $ 1,140 $ 5,619	2024 2,260 11,384	2023
			2,124
			11,256

• (k) Short-term notes and bills payable

Short-term notes and bills payable
June 30, 2024 Short-term notes and bills payable $ 20,000 Less:discounts payable on short-term notes (20) $ 19,980	December 31, 2023 - - -	June 30, 2023 - -
		-

For the six months ended June 30, 2024 and 2023, the Group had both the additional short-term notes and bills payable amounting to $119,909 thousand and $130,044 thousand, respectively; also, the repayments of $99,929 thousand and $130,044 thousand, had the interest rates ranging from 2.10%~2.20% and 2.00%~2.10%, maturing in July 2024 and May 2023, respectively.

(l) Short-term borrowings

The short-term borrowings were summarized as follows:

Letters of credit Unsecured bank loans Secured bank loans Total Unused short-term credit lines Range of interest rates	June 30, 2024 $ - 3,079,350 150,010 $ 3,229,360 $ 3,781,848 1.95%~3.85%	December 31, 2023 - 1,863,190 150,000 2,013,190 5,169,973 1.82%~4.09%	June 30, 2023
			32,104 2,106,463 150,000
			2,288,567
			3,865,951
			0.90%~4.61%

For the collateral for short-term borrowings, please refer to note 8.

(Continued)

22

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(m) Other payables

Expense payables Salary payables Equipment payables Others Total	June 30, 2024 $ 304,175 359,108 295,230 187,814 $ 1,146,327	December 31, 2023 253,874 438,206 188,453 139,242 1,019,775	June 30, 2023
			309,233 326,270 326,770 311,763
			1,274,036

• (n) Long-term borrowings

The long-term borrowings were summarized as follows:

Unsecrued bank loans Secured bank loans Other long-term payables Less: current portion Total Unused long-term credit lines Range of interest rates	June 30, 2024 $ 788,040 4,919,654 - (1,794,073) $ 3,913,621 $ 3,013,018 2.08%~4.20%	December 31, 2023 361,500 5,472,196 - (1,812,496) 4,021,200 757,021 1.95%~4.20%	June 30, 2023 499,472 5,400,865 17,905 (1,297,154) 4,621,088 956,092 1.95%~7.54%

• (i) Collateral for long-term borrowings

For the collateral for long-term borrowings, please refer to note 8.

• (ii) The details of loans were as follows:

Except for the following disclosure, for other relevant information, please refer to note 6(m) of the Group’s consolidated financial report for the year ended December 31, 2023.

The Group entered into a syndicated credit agreement (hereafter referred to as syndicated credit agreement) with a group of banks leading by Bank of Taiwan on March 27, 2023, the principal contents of which are summarized below:

• 1) The group of banks consists of:

Bank of Taiwan (leading bank, credit facility management bank and secured equity interest management bank), Changhwa Commercial Bank, Taiwan Business Bank, Taiwan Cooperative Bank, First Commercial Bank (the aforementioned banks are the joint leading banks), Land Bank of Taiwan, Mega International Commercial Bank, Taipei Fubon Commercial Bank, Bank SinoPac and The Shanghai Commercial & Savings Bank.

(Continued)

23

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

• 2) The total credit facility is NT$3.6 billion to meet the borrower’s repayment of existing financial institution liabilities and to enhance the borrower’ s medium-term working capital.

• 3) The credit duration, the withdrawn period and the settlement method:

• a) This credit duration: five years from the date of first withdrawn (of which credit A includes a grace period of 18 months). The first use of loan by borrower must be before May 20, 2023, otherwise that date shall be deemed to be the first draw up date.

• b) Withdrawn period of this credit:

  • i) Credit A: It is a medium term (secured) loan, and the credit facility amounted to NT$2.4 billion may be withdrawn for multiple times but not on a recurring basis. The withdrawn period of credit A is six months from its first withdrawn, and upon the expiry of the Credit A, the unused Credit A facility is automatically canceled and cannot be used again.

  • ii) Credit B: It is a medium term loan, and the credit facility amounted to NT$1.2 billion may be withdrawn for multiple times and on a recurring basis.

• c) Settlement method:

  • i) Credit A: The first repayment date of this credit shall be the date on which 18 months have elapsed from first withdrawn date, and every six months thereafter shall be deemed as a repayment period, then the credit is amortized in total of eight installments. The principal balance of credit A outstanding at the expiration of withdrawn period shall be evenly repaid in each repayment date.

  • ii) Credit B: To fully settle the principal of credit that has been withdrawn upon its expiration according to the credit period of each loan appropriated and to withdraw the outstanding principal balance on a recurring basis as agreed in this credit. When the outstanding principal balance is used on a recurring basis, the newly appropriated amount shall be able to directly pay for the portion already due.

    • In any situation, the Group shall fully settle all its outstanding principal, interests and other payables and expenses upon the expiration of this credit.

• 4) Under the syndicated credit agreement, the Group shall provide, during the credit period, the audited annual consolidated financial statements and the consolidated financial statements for the first, second and third quarters as reviewed by the accountants. Restrictions rules on specific financial ratios such as current ratio, debt ratio, interest protection multiplier and tangible net value shall be calculated based on the consolidated annual financial statements audited by the accountants. It shall be inspected one time per year or as often as the management Bank deems necessary.

(Continued)

24

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

• 5) The above borrowings are provided by the Group with promissory notes, machinery and equipment, factory and building as collateral for this credit case and the related parties are acting as joint guarantors.

• 6) The Group made its first withdrawn on April 28, 2023.

(o) Lease liabilities

The carrying values of the Group’s’s lease liabilities were as follows:

Current Non-current	June 30, 2024 $ 49,976 $ 45,884	December 31, 2023 80,374 163,366	June 30, 2023
			69,729
			160,489

For the maturity analysis, please refer to note 6(w).

The amounts recognized in profit or loss were as follows:

Interest on lease liabilities Expenses relating to leases of low value assets and short term leases	For the three months ended June 30 2024 2023 $ 481 1,163 $ 2,952 2,472	For the six months ended June 30	For the six months ended June 30
	2024 $ 481 $ 2,952	2024 983 5,363	2023
			2,244
			5,744

The amounts recognized in the statement of cash flows for the Group’s were as follows:

Total cash outflow for leases	For the six months ended June 30	For the six months ended June 30
	2024 $ 33,292	2023
		52,705

• (i) Real estate leases

The Group’s leases land and buildings for its office space and employee accommodation . The leases of office space and employee accommodation typically run for two to ten years. Some leases include an option to renew the lease for an additional period of the same duration after the end of the contract term.

The Group’s expects the relative proportions of fixed and variable lease payments to remain broadly consistent in future years.

(ii) Other leases

The Group’s leases office facilities and transportation facilities, with lease terms of one to four years. In some cases, the Group’s has options to purchase the assets at the end of the contract term; in other cases, it guarantees the residual value of the leased assets at the end of the contract term.

(Continued)

25

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The Group’ s also leases office facilities and parking space with lease terms of one to four years. These leases are short term or leases of low value items. The Group’s decides to apply recognition exemption, and has selected not to recognize right-of-use assets and lease liabilities for these leases.

(p) Employee benefits

(i) Defined benefit plans

There was no material volatility of the market, no material reimbursement and settlement or other material one-time events since prior fiscal year. As a result, the pension cost in the accompanying interim period was measured and disclosed according to the actuarial report as of December 31, 2023, and 2022.

The expenses recognized in profit or loss for the Group were as follows:

Operating cost Operating expense	For the three months ended June 30 2024 2023 $ 543 765 $ 1,679 2,486	For the six months ended June 30	For the six months ended June 30
	2024 $ 543 $ 1,679	2024 1,056 3,389	2023
			1,470
			5,033

(ii) Defined contribution plans

Defined contribution plans
Operating cost Operating expense	For the three months ended June 30 2024 2023 $ 42,504 40,198 $ 9,330 9,121	For the six months ended June 30
	2024 $ 42,504 $ 9,330	2024 83,855 18,650	2023
			84,193
			18,880

(q) Income tax

The components of income tax expense (income) were as follows:

For the three months ended June 30 2024 2023 Current tax expense Adjustments for prior periods $ 759 (1) Deferred tax expense (income) Origination and reversal of temporary differences (6,845) 9,920 Income tax expense (income) $ (6,086) 9,919	For the six months ended June 30	For the six months ended June 30
	2024 759 9,715 10,474	2023
		(1
		16,228
		16,227

(i) There were no income tax recognized in equity or other comprehensive income.

(ii) The Company’s income tax returns had been examined by the tax authorities through the years to 2021.

(Continued)

26

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(r) Capital and other equitiy

Except for the following disclosure, there were no significant changes in the capital and other equity of the Group between the six months ended June 30, 2024 and 2023. For other relevant information, please refer to note 6(q) of the consolidated financial report for the year ended December 31, 2023.

(i) Capital surplus

The balances of capital surplus were as follows:

Additional paid-in capital Changes in equity of investment in associates accounted for using equity method Unclaimed cash dividend	June 30, 2024 $ 2,879,453 154,760 621 $ 3,034,834	December 31, 2023 2,879,453 155,284 621 3,035,358	June 30, 2023
			2,879,453 157,189 507
			3,037,149

(ii) Retained earnings

According to the Company’s Article, net earnings should be used to offset the prior year’s deficits, if any, before paying any income taxes. 10% of retained earnings will be as legal reserve. The rest of the amount and undistributed surplus will be allocated on the basis of the allocation plan proposed by the Board of Directors and submitted to stockholders for approval.

Due to demand of expanding business, coordinating with Company’s long-term financial plan for sustainable development and stable economic development, The Group adopts Residual Dividend Policy. The main purpose for this policy is to measure financial demand that based on budget of future capital. The steps of distributions are as below: (1) The best capital budget. (2) Determine the financing required to meet the capital budget in the preceding paragraph. (3) Determine the amount of financing required to be financed by retained surplus (the remaining can be financed by cash increase or corporate bonds). (4) The remaining surplus can be distributed to shareholders in the form of dividends after retaining an appropriate amount according to operational needs. The distribution of future dividends takes into account the use of funds, and draws up an appropriate ratio of cash to stock dividends for the current year, in which cash dividends are 50% to 100%, and stock dividends are 50% to zero.

1) Legal reserve

When a company incurs no loss, it may pursuant to a resolution by a shareholders’ meeting, distribute its legal reserve by issuing new shares or by distributing cash, and only the portion of legal reserve which exceeds 25% of capital may be distributed.

(Continued)

27

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

2) Special reserve

In accordance with the requirements issued by the FSC, a portion of earnings shall be allocated as special reserve during earnings distribution. An equivalent amount of special reserve shall be allocated from the net profit in the period and the undistributed prior period earnings. A portion of undistributed prior-period earnings shall be reclassified to special earnings reserve (and does not qualify for earnings distribution) to account for cumulative changes to the net reduction of other shareholders’ equity pertaining to prior periods. Amounts of subsequent reversals pertaining to the net reduction of other shareholders’ equity shall qualify for additional distributions.

3) Earnings distribution

Earnings distribution for 2023 was resolved by the general meeting of shareholders held on June 26, 2024. There was no earnings distribution for the year ended December 31, 2022 due to losses.

The earnings distribution for 2022 was resolved by the general meeting of shareholders held on June 15, 2023 as follow:

held on June 15, 2023 as follow:
		2022
		Amount per
		share	Total amount
Dividends distributed to ordinary shareholders:
Cash	$	0.30	200,822

(iii) Other comprehensive income accumulated in reserves, net of tax

Balance at January 1, 2024 Exchange differences on foreign operations: The Company Unrealized gains (losses) from financial assets measured at fair value through other comprehensive income: The Company Subsidiary Associate Remeasurement of defined benefits plan: Associate Balance at June 30, 2024	Exchange differences on translation of foreign financial statements $ (22,349) 231,597 - - - - $ 209,248	Unrealized gains (losses) from financial assets measured at fair value through other comprehensive income 178,921 - 3,044 14,592 (100) - 196,457	Gains (losses) on remeasurement of defined benefits plan (238,123) - - - - 47 (238,076)	Total (81,551) 231,597 3,044 14,592 (100) 47 167,629

(Continued)

28

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Balance at January 1, 2023 Exchange differences on foreign operations: The Company Unrealized gains (losses) from financial assets measured at fair value through other comprehensive income: The Company Subsidiary Associate Balance at June 30, 2023	Exchange differences on translation of foreign financial statements $ 66,843 (104,211) - - - $ (37,368)	Unrealized gains (losses) from financial assets measured at fair value through other comprehensive income 443,927 - (175,100) (2,690) (23,799) 242,338	Gains (losses) on remeasurement of defined benefits plan (237,946) - - - - (237,946)	Total 272,824 (104,211) (175,100) (2,690) (23,799) (32,976)

(s) Earnings (loss) per share

The calculation of basic earnings (loss) per share and diluted earning (loss) per share were as follow:

For the three months ended June 30 2024 2023 Basic earnings (loss) per share: Profit (loss) attributable to ordinary shareholders of the Company $ 559,967 271,129 Weighted average number of ordinary shares (in thousand of shares) 669,407 669,407 $ 0.84 0.40 Diluted earnings (loss) per share: Profit (loss) attributable to ordinary shareholders of the Company $ 559,967 271,129 Weighted average number of ordinary shares (basic) 669,407 669,407 Effect of employee share bonus 325 - Weighted average number of ordinary shares (diluted) (in thousand of shares) 669,732 669,407 $ 0.84 0.40

For the six months ended June 30 2024 2023 835,768 (124,413) 669,407 669,407 1.25 (0.19) 835,768 (124,413) 669,407 669,407 496 - 669,903 669,407 1.25 (0.19)

2024 835,768 669,407 1.25 835,768 669,407 496 669,903 1.25

(Continued)

29

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

There was no potential ordinary shareholders which had diluted for the six months ended June 30, 2023.

(t) Revenue from contracts with customers

• (i) Details of revenue

Major products / Services lines: 2 Layers 4 Layers 6 Layers 8 Layers More than 10 Layers Others	For the three months ended June 30 2024 2023 $ 63,081 78,570 515,907 370,929 750,455 671,508 1,683,373 916,809 2,084,634 1,988,989 31,713 4,691 $ 5,129,163 4,031,496	For the six months ended June 30	For the six months ended June 30
	2024 $ 63,081 515,907 750,455 1,683,373 2,084,634 31,713 $ 5,129,163	2024 127,325 842,159 1,442,319 2,824,930 3,977,222 78,507 9,292,462	2023
			173,970 831,460 1,428,998 1,665,992 3,368,586 25,389
			7,494,395

(ii) Contract balances

Notes receivable Accounts receivable Less: allowance for impairment	June 30, 2024 $ 11,804 5,379,737 (19,551) $ 5,371,990	June 30, 2023 11,815 4,035,734 (12,529) 4,035,020	January 1, 2023 13,108 4,377,729 (8,869) 4,381,968

Please refer to note 6(d) for the disclosure of notes and accounts receivable and their impairment.

(u) Employee compensation and directors’ remuneration

In accordance with the articles of incorporation the Company should contribute 1% to 5% of the profit as employee compensation and less than 3% as directors’ remuneration when there is profit for the year. However, if the Company has accumulated deficits, the profit should be reserved to offset the deficit.

(Continued)

30

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The Company estimated employee compensation for the three months and six months ended June 30, 2024 and 2023 to be $11,988 thousand, $0 thousand, $18,315 thousand, and $0 thousand, respectively. The directors’ remuneration during these periods were $7,992 thousand, $0 thousand, $12,210 thousand, and $0 thousand, respectively. These amounts were calculated using the Company’s pre-tax income for each period before deducting the remunerations of employees and directors, multiplied by the proposed percentages of remunerations of employees, directors, and supervisors as stated in the Company’ s Articles of Incorporation. These remunerations were expensed under operating costs or expenses for each period. If there are any subsequent adjustments to the actual remuneration amounts after the annual shareholders’ meeting, the adjustments will be regarded as changes in accounting estimates and will be reflected in profit or loss in the following year.

Due to the loss in 2023, the Company did not accrue the remuneration to employee and directors. For the year ended December 31, 2022, the Company estimated its employee remuneration amounting to $9,000 thousand and directors’ remuneration amounting to $4,500 thousand. The amounts, as stated in the financial statements, were identical to those of the actual distributions. Relevant information can be inquired at the Public Information Observatory.

(v) Non-operating income and expenses

(i) Interest income

The details of interest income were as follows:

Interest income from bank deposits Other interest income	For the three months ended June 30 2024 2023 $ 11,830 4,989 293 2 $ 12,123 4,991	For the six months ended June 30	For the six months ended June 30
	2024 $ 11,830 293 $ 12,123	2024 15,026 296 15,322	2023
			5,635 5
			5,640

• (ii) Other income

The details of other income were as follows:

Compensation income Design income Subsidy Other income	For the three months ended June 30 2024 2023 $ 9,444 465 6,820 5,455 755 2,541 3,682 1,449 $ 20,701 9,910	For the six months ended June 30	For the six months ended June 30
	2024 $ 9,444 6,820 755 3,682 $ 20,701	2024 10,575 20,854 13,659 11,664 56,752	2023
			3,694 14,087 3,487 8,755
			30,023

(Continued)

31

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(iii) Other gains and losses

The details of other gains and losses were as follows:

Foreign exchange gains Gains on lease modification Gains on disposals of non-current assets held for sale Net gains on financial assets at fair value through profit Losses on disposals of property, plant and equipment Miscellaneous disbursements	For the three months ended June 30 2024 2023 $ 41,338 125,108 4 4 - 200,629 67 42 (4,357) (3,760) (5,339) (212) $ 31,713 321,811	For the six months ended June 30 2024 2023 111,888 98,527 4 4 - 200,629 135 286 (5,713) (4,275) (12,469) (2,431) 93,845 292,740
	2024 $ 41,338 4 - 67 (4,357) (5,339) $ 31,713	2024 111,888 4 - 135 (5,713) (12,469) 93,845

(iv) Financial costs

The details of finance costs were as follows:

Interest expense on borrowings Handling fee Interest expense on lease liabilities Other Less: interest capitalization	For the three months ended June 30 2024 2023 $ 66,458 70,258 192 864 481 1,163 11 - (2,927) (22,563) $ 64,215 49,722	For the six months ended June 30 2024 2023 126,416 141,029 281 1,755 983 2,244 11 - (5,488) (43,224) 122,203 101,804
	2024 $ 66,458 192 481 11 (2,927) $ 64,215	2024 126,416 281 983 11 (5,488) 122,203

(Continued)

32

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(w) Financial instruments

Except for the following paragraph, there were no significant changes in the fair value of the Group’s financial instruments and its exposure to credit risk, liquidity risk and market risk due to the financial instruments. For relevant information, please refer to note 6(w) of the consolidated financial report for 2023.

(i) Liquidity risk

The following table shows the contractual maturities of financial liabilities, including estimated interest payments and excluding the impact of netting agreements.

Carrying amount June 30, 2024 Non-derivative financial liabilities Short-term borrowings $ 3,229,360 Short-term notes and bills payable 19,980 Accounts payable 2,870,431 Other payables 1,146,327 Leases liabilities 95,860 Current portion of long-term borrowings 1,794,073 Long-term borrowings 3,913,621 Guarantee deposits received 29,059 $ 13,098,711 December 31, 2023 Non-derivative financial liabilities Short-term borrowings $ 2,013,190 Accounts payable 2,141,794 Other payables 1,019,775 Leases liabilities 243,740 Current portion of long-term borrowings 1,812,496 Long-term borrowings 4,021,200 Guarantee deposits received 27,785 $ 11,279,980	Contractual cash flows 3,263,750 20,000 2,870,431 1,146,327 97,776 1,817,497 4,197,515 29,059 13,442,355 2,044,556 2,141,794 1,019,775 257,672 1,847,779 4,341,125 27,785 11,680,486	Within 12 months 3,263,750 20,000 2,870,431 1,146,327 50,888 1,817,497 103,117 29,059 9,301,069 2,044,556 2,141,794 1,019,775 88,167 1,847,779 105,944 27,785 7,275,800	1-5 years - - - - 46,888 - 3,849,771 - 3,896,659 - - - 169,505 - 4,235,181 - 4,404,686	Over 5 years
				- - - - - - 244,627 -
				244,627
				- - - - - - -
				-

(Continued)

33

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

June 30, 2023 Non-derivative financial liabilities Short-term borrowings Accounts payable Other payables Leases liabilities Current portion of long-term borrowings Long-term borrowings Guarantee deposits received	Carrying amount $ 2,288,567 2,202,364 1,274,036 230,218 1,297,154 4,621,088 23,761 $ 11,937,188	Contractual cash flows 2,309,363 2,202,364 1,274,036 236,947 1,332,149 4,920,928 23,761 12,299,548	Within 12 months 2,309,363 2,202,364 1,274,036 72,775 1,332,149 812,913 23,761 8,027,361	1-5 years - - - 164,172 - 4,108,015 - 4,272,187	Over 5 years
					- - - - - - -
					-

The Group does not expect the cash flows included in the maturity analysis to occur significantly earlier or at significantly different amounts.

(ii) Currency risk

• 1) Exposure to foreign currency risk

The Group’s’s significant exposure to foreign currency risk were as follows:

	F	inancial assets: Monetary items USD JPY CNY inancial liabilities: Monetary items USD JPY CNY		June 30, 2024				December 31, 2023
			Foreign currency $ 223,943 286 J 51,895 $ 85,771 2,100 J 23,594	Exchange rate USD/TWD 32.45 PY/TWD 0.20 CNY/TWD 4.45 USD/TWD 32.45 PY/TWD 0.20 CNY/TWD 4.45	TWD		Foreign currency 157,468 578 93,838 69,455 290,042 46,106	Exchange rate
					7,266,954 58 230,672 2,783,282 424 104,876			USD/TWD 30.71 JPY/TWD 0.22 CNY/TWD 4.33 USD/TWD 30.71 JPY/TWD 0.22 CNY/TWD 4.33
	F

• 2) Sensitivity ananlysis

The Group’s’s exposure to foreign currency risk arises from the translation of the foreign currency exchange gains and losses on cash and cash equivalents, accounts receivable and other receivables, borrowings, and accounts payable and other payables that are denominated in foreign currency. A weakening (strengthening) of 1% of the NTD against the USD, JPY and CNY as of June 30, 2024 and 2023, the net profit before tax in 2024 would have increased (decreased) by $46,091 thousand; the net loss before tax in 2023 would have decreased (increased) by $38,388 thousand. The analysis assumes that all other variables remain constant.

(Continued)

34

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

• 3) Foreign exchange gain and loss on monetary items

Since the Group’ s has many kinds of functional currency, the information on foreign exchange loss on monetary items is disclosed by total amount. For the three months and the six months ended June 30, 2024 and 2023, foreign exchange gain (loss) (including realized and unrealized portions) amounted to $41,338 thousand, $125,108 thousand, $111,888 thousand and $98,527 thousand, respectively.

• (iii) Interest rate risk

Please refer to the notes on liquidity risk management and interest rate exposure of the Group’s financial assets and liabilities.

The following sensitivity analysis is based on the exposure to the interest rate risk of derivative and non derivative financial instruments on the reporting date. Regarding assets with variable interest rates, the analysis is based on the assumption that the amount of assets outstanding at the reporting date was outstanding throughout the year. The rate of change is expressed as the interest rate increases or decreases by 1% when reporting to management internally, which also represents the Group management’s assessment of the reasonably possible interest rate change.

If the interest rate had increased or decreased by 1%, the Group’s net profit before tax would have decreased or increased by $37,187 thousand for the six months ended June 30, 2024, the Group’s net loss before tax would have increased or decreased by $36,925 thousand for the six months ended June 30, 2023 with all other variable factors remaining constant. This was mainly due to the Group’s deposits and borrowings at variable rates.

(iv) Other market price risk

For the six months ended June 30, 2024 and 2023, the sensitivity analyses for the changes in the securities price at the reporting date were performed using the same basis for the profit and loss as illustrated below:

Prices of securities at the reporting date Increasing 1% Decreasing 1%	For the six months ended June 30 2024 2023 Other comprehensive income after tax Other comprehensive income after tax $ 4,732 4,930 $ (4,732) (4,930)
	2024 Other comprehensive income after tax $ 4,732 $ (4,732)

(Continued)

35

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(v) Fair value of financial instruments

• 1) Fair value hierarchy

The fair value of financial assets and liabilities at fair value through profit or loss and financial assets at fair value through other comprehensive income is measured on a recurring basis. The carrying amount and fair value of the Group’s financial assets and liabilities, including the information on fair value hierarchy were as follows; however, except as described in the following paragraphs, for financial instruments not measured at fair value whose carrying amount is reasonably close to the fair value, and lease liabilities, disclosure of fair value information is not required:

Financial assets at fair value through profit or loss Financial assets at fair value through other comprehensive income Financial assets measured at amortized cost Cash and cash equivalents Notes receivable, net Accounts receivable, net Other receivables Other receivables-related parties Other financial asset-current Refundable deposits Subtotal Financial liabilities measured at amortized cost Short-term notes and bills payable Borrowings Accounts payable Other payables Lease liabilities Guarantee deposits receiverd Subtotal		June 30, 2024	June 30, 2024	June 30, 2024
	Book Value $ 19,616 $ 473,221 1,504,138 11,804 5,360,186 106,757 310 4,372 41,304 $ 7,028,871 $ 19,980 8,937,054 2,870,431 1,146,327 95,860 29,059 $ 13,098,711		Fair value
		Level 1 19,616 362,537	Level 2 - -	Level 3 Total - 19,616 110,684 473,221

(Continued)

36

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Financial assets at fair value through profit or loss Financial assets at fair value through other comprehensive income Financial assets measured at amortized cost Cash and cash equivalents Notes receivable, net Accounts receivable, net Other receivables Other receivables-related parties Other financial asset-current Refundable deposits Subtotal Financial liabilities measured at amortized cost Borrowings Accounts payable Other payables Lease liabilities Guarantee deposits received Subtotal		December 31, 2023	December 31, 2023	December 31, 2023
	Book Value $ 20,481 $ 435,752 866,459 11,815 4,023,205 68,533 637 3,404 60,682 $ 5,034,735 $ 7,846,886 2,141,794 1,019,775 243,740 27,785 $ 11,279,980		Fair value
		Level 1 20,481 339,660	Level 2 - -	Level 3 Total - 20,481 96,092 435,752

(Continued)

37

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Financial assets at fair value through proift or loss Financial assets at fair value through other comprehensive income Financial assets measured at amortized cost Cash and cash equivalents Notes receivable, net Accounts receivable, net Other receivables Other receivables-related parties Other financial asset-current Refgundable deposits Subtotal Financial liabilities measured at amortized cost Borrowings Accounts payable Other payables Lease liabilities Guarantee deposits received Subtotal		June 30, 2023	June 30, 2023	June 30, 2023
	Book Value $ 14,378 $ 492,976 787,372 13,108 4,368,860 64,319 6,225 3,858 60,390 $ 5,304,132 $ 8,206,809 2,202,364 1,274,036 230,218 23,761 $ 11,937,188		Fair value
		Level 1 14,378 385,900	Level 2 - -	Level 3 Total - 14,378 107,076 492,976

2) Valuation techniques for financial instruments not measured at fair value

If a financial instrument has a quoted price in an active market, the quoted price is used as fair value. The quoted price of a financial instrument obtained from major exchanges and over-the counter markets are the basis used to determine the fair value of a listed company’s stock and the quoted prices in an active market.

A financial instrument is regarded as being quoted in an active market if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service or regulatory agency and those prices represent actual and regularly occurring market transactions on an arm’s-length basis. If these conditions can not be reached, then the market is non-active. In general, a market with low trading volume or high bid-ask spreads is an indication of a non-active market.

(Continued)

38

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

The Group uses the following method in determining the fair value of its financial struments without a quoted price in an active market:

Financial assets at FVOCI non-current is investments in domestic non-listed stock. The market approach of comparable business based on multiple of the equity value of investments is used to estimate fair value. The estimation of the fair value of equity instruments has been adjusted due to the effect of the discount arising from the lack of marketability.

• 3) There were no transfers between Levels of the fair value hierarchy for the six months ended June 30, 2024 and 2023.

• 4) Schedule of Changes in Level 3

Balance at January 1 Recognized in other comprehensive income Balance at June 30	For the six months ended June 30 2024 Fair value through other comprehensive income 2023 Fair value through other comprehensive income $ 96,092 109,766 14,592 (2,690) $ 110,684 107,076
	2024 Fair value through other comprehensive income $ 96,092 14,592 $ 110,684

• 5) Quantified information on significant unobservable inputs (Level 3) used in fair value measurement

The Group’s financial instruments that use Level 3 inputs to measure fair value included “fair value through other comprehensive income – equity investments”.

Quantified information of significant unobservable inputs was as follows:

Inter-relationship between significant unobservable inputs Valuation Significant and fair value Item technique unobservable inputs measurement Financial assets at Comparable ‧Price-Earnings value ‧Higher the rate, fair value through public and multiplier higher the fair other comprehensive company (2024.6.30:1.06 、 value income-equity method 2023.12.31:1.02 、 ‧Lack of market investments without 2023.6.30:1.09) liquidity, the higher an active market ‧Lack of market liquidity the discount, the discount rate lower the fair value (2024.6.30:9.74% 、 2023.12.31:11.05% 、 2023.6.30:9.02%)

(Continued)

39

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

• 6) Fair value measurements in Level 3 – sensitivity analysis of reasonably possible alternative assumptions.

The Group’ s measurement on the fair vlaue of financial instruments may change if different valuation models or inputs were used. For fair value measuerments in Level 3, changing one or more of the assumptions would have the following effects on other comprehensive income:

June 30, 2024 Financial assets fair value through other comprehensive income December 31, 2023 Financial assets fair value through other comprehensive income June 30, 2023 Financial assets fair value through other comprehensive income	Input Value multiplier Liquidity discount rate Value multiplier Liquidity discount rate Value multiplier Liquidity discount rate	Change in A	Other Compehase income	Other Compehase income
			favour unfavour $ 5,200 5,200 $ 584 584 $ 4,722 4,722 $ 584 584 $ 4,935 4,935 $ 531 531
		5% 5% 5% 5% 5% 5%		5,200 584 4,722 584 4,935 531

(x) Financial risk management

The financial risk management objectives and policies of the Group have not changed significantly from those disclosed in note 6(x) of the consolidated financial report for the year ended December 31, 2023.

(y) Capital management

The capital management objectives, policies and procedures of the Group are consistent with those disclosed in the consolidated financial report for the year ended December 31, 2023; in addition, there are no significant changes in the summary quantitative information of capital management items and those disclosed in the consolidated financial report for the year ended December 31, 2023. For relevant information, please refer to note 6(y) of the consolidated financial report for the year ended December 31, 2023.

(Continued)

40

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(z) Investing and financing activities not affecting current cash flow

Short-term notes and bills payable Long-term borrowings (including current portion) Short-term borrowings Lease liabilities Guarantee deposits received Total liabilities from financing activities Long-term borrowings(including current portion) Short-term borrowings Lease liabilities Total liabilities from financing activities	2024.1.1 $ - 5,833,696 2,013,190 243,740 27,785 $ 8,118,411 2023.1.1 $ 6,705,226 1,627,615 315,303 $ 8,648,144	Cash flows 19,980 (172,006) 1,117,381 (26,946) 249 938,658 Cash flows (753,947) 694,171 (44,717) (104,493)	Non-cash	changes Lease payment change - - - (120,934) - (120,934) changes lease payment change - - (40,368) (40,368)	June 30, 2024
			Exchange rate changes - 46,004 98,789 - 1,025 145,818 Non-cash
					19,980 5,707,694 3,229,360 95,860 29,059
					9,081,953
					June 30, 2023
			Exchange rate changes (33,037) (33,219) - (66,256)
					5,918,242 2,288,567 230,218
					8,437,027

(7) Related-party transactions

(a) Parent company and ultimate controlling company

The Company is both the parent company and the ultimate controlling party of the Group’s.

(b) Names and relationship with related parties

The followings are entities that have had transactions with related party during the periods covered in the consolidated financial statements.

Name of related party Relationship with the Group CHANG, YUAN-MING President of the company Fulltech Fiber Glass Corp. An associate Ideal Bike Corporation The entity’s president is the second immediate family of the president of the Company Unitech Printed Circuit Humanities and The entity’s president is the first immediate family Education Foundation of the president of the Company

Unitech Printed Circuit Humanities and Education Foundation Taiwan Green Foods & Eco-agriculture Development Foundation

The entity’s president is the first immediate family of the president of the Company

(Continued)

41

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Name of related party Taiwan Federation of commerce

The Business Development Foundation of the Chinese Straits

Relationship with the Group The entity’s chairman is the first immediate family of the president of the Company The entity’s Vice-president is the president of the Company

• (c) Significant transactions with related parties

• (i) Acquisitions of financial assets

Category of related party	Accounting item	For the six months ended June 30	For the six months ended June 30
		Object of the transaction Acquisition of price Stocks $ 19,833
Ideal Bike Corporation	Financial assets at fair value through other comprehensive income non- current

• (ii) Loans and guarantee to Related Parties

For the six months ended June 30, 2024 and 2023, the president had provided a guarantee for loans to the Group’s.

• (iii) As of June 30, 2024, December 31, 2023 and June 30, 2023, other receivables raised due to collection and payment and various expense between the Group’ s and related parties were $310 thousand, $637 thousand and $278 thousand respectively which were recongnized other receivables-related parties.

• (iv) On June 30, 2023, the cash dividend receivables of the Group amounting in $5,947 thousand from related parties which was recongnized other receivables-related parties. There was no such transaction on June 30, 2024.

• (v) Donations

Unitech Printed Circuit Humanities and Education Foundation Other related parties Total	For the three months ended June 30 2024 2023 $ 2,000 1,300 250 500 $ 2,250 1,800	For the six months ended June 30	For the six months ended June 30
	2024 $ 2,000 250 $ 2,250	2024 2,000 250 2,250	2023
			2,300 500
			2,800

The Group’s donations to related parties were recognized “selling expenses and administrative expenses”.

(Continued)

42

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(d) Key management personnel compensation

Key management personnel compensation comprised:

Short-term employee benefits	For the three months ended June 30 2024 2023 $ 11,826 11,497	For the six months ended June 30	For the six months ended June 30
	2024 $ 11,826	2024 22,273	2023
			22,441

(8) Pledged assets

The carrying values of pledged assets were as follows:

Pledged assets	Object	June 30, 2024 $ 1,175,550 1,690,006 134,205 1,851,488 16,800 151,000 $ 5,019,049	December 31, 2023 407,228 1,713,674 129,231 2,038,146 35,950 150,500 4,474,729	June 30, 2023
Land Building and construction Right-of-used assets Machinery equipments Certificate of deposit (Note 1) Stock (Note 2)	Short-term and long-term borrowings Short-term and long-term borrowings Long-term borrowings Long-term borrowings Bureau of Costoms’ endorsement and Letzer Industrial Park deposit Short-term borrowings			407,228 1,663,541 129,909 2,081,976 35,950 165,000
				4,483,604

“ ” (Note1) Classified into the account of Refundable deposits .

“ ” (Note2) Classified into the account of Investment accounted for using equity method .

(9) Significant commitments and contingencies:

• (a) As of June 30, 2024, December 31, 2023 and June 30, 2023, the machinery equipment agreement entered by the Group had the material amounts of $357,401 thousand, $390,128 thousand and $643,986 thousand, respectively; of which, the payments of $249,979 thousand, $317,474 thousand and $516,518 thousand, respectively.

• (b) The Group’s’s outstanding standby letter of credit were as follows:

USD JPY	June 30, 2024 $ 615 $ 31,450	December 31, 2023 811 332,850	June 30, 2023
			1,494
			332,850

(Continued)

43

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(10) Losses Due to Major Disasters:None

(11) Subsequent Events:

The Company’s subsidiary, UNITECH PCB (THAILAND) CO., LTD., obtained board approval on July 16, 2024, to enter into a construction contract with Fah Chun Development Co., Ltd. in Thailand. The total contract value was THB 710,480 thousand. As of the date of this financial report, the contract had been signed.

(12) Other:

• (a) A summary of current-period employee benefits, depreciation, and amortization, by function, is as follows:

follows:
By funtion By item	For the three months ended June 30
	2024			2023
	Cost of Sale	Operating Expense	Total	Cost of Sale	Operating Expense	Total
Employee benefits
Salary	854,687	224,606	1,079,293	767,993	152,796	920,789
Labor and health insurance	76,213	12,574	88,787	76,610	12,334	88,944
Pension	43,047	11,009	54,056	40,963	11,607	52,570
Remuneration of directors	-	9,386	9,386	-	1,355	1,355
Others	35,909	18,787	54,696	33,720	17,698	51,418
Depreciation	348,635	20,309	368,944	367,630	20,694	388,324
Amortization	9,015	8,072	17,087	8,197	10,285	18,482
	For the six months ended June 30
By funtion By item	2024			2023
	Cost of Sale	Operating Expense	Total	Cost of Sale	Operating Expense	Total
Employee benefits
Salary	1,634,877	391,323	2,026,200	1,483,891	304,381	1,788,272
Labor and health insurance	149,818	29,488	179,306	158,473	29,491	187,964
Pension	84,911	22,039	106,950	85,663	23,913	109,576
Remuneration of directors	-	14,994	14,994	-	2,780	2,780
Others	67,342	37,700	105,042	63,632	34,996	98,628
Depreciation	695,680	39,839	735,519	729,965	41,494	771,459
Amortization	17,694	16,210	33,904	15,892	19,575	35,467

(b) Seasonality of Operation

The Group’s’s operation was not affected by seasonality or cyclicality factors.

(Continued)

44

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(13) Other disclosures:

• (a) Information on significant transactions:

The following was the information on significant transactions required by the “ Regulations Governing the Preparation of Financial Reports by Securities Issuers” for the Group’s:

(i) Loans to other parties:

Number	Name of lender	Name of borrower	Account name	Related party	Highest balance of financing to other parties during the period	Ending balance	Actual usage amount during the period	Range of interest rates during the period	Purposes of fund financing for the borrower	Transaction amount for business between two parties	Reasons for short-term financing	Allowance for bad debt	Collateral	Collateral	Individual funding loan limits	Maximum limit of fund financing	Note
													Item	Value
1	Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nontong) Co., Ltd.	Other receivable s-related parties	Yes	188,454	93,345	93,345	3.45%	2	-	General operating and retrrn the loan	-	-	-	3,711,136	3,711,136	Note 1

Note 1: This transaction has been eliminated when the consolidated financial report is prepared.

Note 2: The total amount available for loan of the Company shall not exceed 20% of its net worth; and the individual amount available for financing purposes shall not exceed 10% of the Company’s net worth.

For a subsidiary who, directly or indirectly, holds the entire shares of a foreign subsidiary, the maximum amount available for loan should not exceed the net worth of subsidiary which is lender.

Note 3: The filling method of capital loan and nature is as follows:

(1) Fill in 1 for those who has business relations.

• (2) Fill in 2 if there is a need for short-term financing.

(ii) Guarantees and endorsements for other parties:

No. (Note 1)	Name of guarantor	Counter-party of guarantee and endorsement	Counter-party of guarantee and endorsement	Limitation on amount of guarantees and endorsements for a specific enterprise (Note 3 and 5)	Highest balance for guarantees and endorsements during the period	Balance of guarantees and endorsements as of reporting date	Actual usage amount during the period	Property pledged for guarantees and endorsements (Amount)	Ratio of accumulated amounts of guarantees and endorsements to net worth of the latest financial statements	Maximum amount for guarantees and endorsements (Note 4 and 6)	Parent company endorsements/ guarantees to third parties on behalf of subsidiary	Subsidiary endorsements/ guarantees to third parties on behalf of parent company	Endorsements/ guarantees to third parties on behalf of companies in Mainland China
		Name	Relationship with the Company (Note 2)
0	The Company	Unitech BVI	2	5,454,213	288,000	100,000	-	-	% 0.92	8,726,741	Y	N	N
0	The Company	Shanghai Unitech Electronics (Nantong) Co., Ltd.	2	5,454,213	1,712,047	1,699,795	949,452	-	% 15.58	8,726,741	Y	N	Y
1	Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nantong) Co., Ltd.	2	3,711,136	1,339,754	929,259	795,909	-	% 25.04	7,422,271	Y	N	Y

Note1: The numbers filled in for the loans provided by the Company or subsidiaries are as follows:

(a)The Company is ‘0’.

(b)The subsidiaries are numbered in order starting from ‘1’.

Note2: 7 forms of relationships in which corporate guarantees exist are defined as follows:

• (a) Entities have business relations with Company.

(b) The Company directly or indirectly holds more than 50% of voting shares of its subsidiaries.

• (c) Investees directly or indirectly own more than 50% of voting shares of the Company

• (d) The Company directly or indirectly holds 90% of voting shares of its subsidiaries.

• (e) Entities have construction contract agreements with the Company.

• (f) The reason for the Company jointly invested in the entities is to provide proportionate endorsements.

• (g) The Company has contractual pre-sale house agreements with its related parties under the Consumer Protection Law.

Note3: The Company’s aggregate amount allows endorsement or guarantee that does not exceed 50% of its net worth in June 30, 2024. Note4: The Company’s aggregate amount allows endorsement or guarantee that does not exceed 80% of its net worth in June 30, 2024. Note5: The Subsidiaries aggregate amount to one company allows endorsement or guarantee that does not exceed 100% or its net worth in June 30, 2024. Note6: The Subsidiaries aggregate total amount allows endorsement or guarantee that does not exceed 200% of its net worth in June 30, 2024.

(Continued)

45

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(iii) Securities held as of June 30, 2024 (excluding investment in subsidiaries, associates and joint ventures):

(Amounts in Thousands of New Taiwan Dollars/Shares)

Name of holder	Category and name of security	Relationship with company	Account title	Ending balance	Ending balance	Ending balance	Ending balance	Note
				Shares/Units (thousands)	Carrying value	Percentage of ownership (%)	Fair value
The Company	Ideal Bike Corporation	Related party	Financial assets at fair value through other comprehensive income non-current	36,254	362,537	% 11.10	362,537	-
DA TAI Investment Co., Ltd.	ANCAD, INC	-	"	26	-	% 2.02	-	-
DA TAI Investment Co., Ltd.	Taiwan First Biotechnology Corporation	-	"	5,306	110,684	% 4.00	110,684	-
DA TAIInvestment Co.,Ltd.	Jih Sun Money Market Fund	-	Current financial assets at fair value through profit or loss	1,277	19,616	% -	19,616	-

• (iv) Individual securities acquired or disposed of with accumulated amount exceeding the lower of NT$300 million or 20% of the capital stock: None.

• (v) Acquisition of individual real estate with amount exceeding the lower of NT$300 million or 20% of the capital stock:

Name of company	Name of property	Transaction date	Transaction amount	Status of payment	Counter- party	Relationship with the Company	If the counter-party is a related party, disclose the previous transfer information	If the counter-party is a related party, disclose the previous transfer information	If the counter-party is a related party, disclose the previous transfer information	If the counter-party is a related party, disclose the previous transfer information	References for determining price	Purpose of acquisition and current condition	Others
							Owner	Relationshi p with the Company	Date of transfer	Amount
The Company	Land	2024.01.16	1,132,332 (Note 1)	Paid in full	Industrial Developme nt Bureau, Ministry of Economic Affairs	None	Not applicable	Not applicable	Not applicable	Not applicable	Note 2	Overall planning of operation	None

Note 1: The total transaction amount, after deducting the rent paid of $364,098 thousand and the advance payment for land costs of $9,037 thousand results in an actual payment amount of $759,197 thousand.

Note 2: The price was based on a letter from the Industrial Development Bureau, Ministry of Economic Affairs.

• (vi) Disposal of individual real estate with amount exceeding the lower of NT$300 million or 20% of the capital stock: None.

• (vii) Related-party transactions for purchases and sales with amounts exceeding the lower of NT$300 million or 20% of the capital stock:

Name of company	Related party	Nature of relationship	Transaction details	Transaction details	Transaction details	Transaction details	Transactions with terms different from others	Transactions with terms different from others	Notes/Accounts receivable (payable)	Notes/Accounts receivable (payable)	Note
			Purchase/ Sale	Amount	Percentage of total purchases/sales	Payment terms	Unit price	Payment terms	Ending balance	Percentage of total notes/accounts receivable (payable)
The Company	Shanghai Unitech Electronics (Nantong) Co., Ltd.	Subsidiary	Purchase	1,864,315	% 39.18	The payment terms are based on the loose funds.	-	The payment terms are based on the loose funds.	(1,461,924)	(42.18)%	Note 1
Shanghai Unitech Electronics (Nantong) Co., Ltd.	The Company	The Parent Company	Sale	(1,864,315)	% (80.24)	The collection are based on the loose funds.	-	The collection are based on the loose funds.	1,461,924	81.32%	Note 1

Note 1: This transaction have been eliminated when the consolidated financial report is prepared.

(Continued)

46

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(viii) Receivables from related parties with amounts exceeding the lower of NT$100 million or 20% of the capital stock:

Name of company	Counter-party	Nature of relationship	Ending balance	Turnover rate	Overdue	Overdue	Amounts received in subsequent period	Allowance for bad debts	Note
					Amount	Action taken
Shanghai Unitech Electronics (Nantong) Co., Ltd.	The Company	The parent company	Account Receivable- related party 1,461,924	2.77	-	-	326,042 (USD 9,714 thousand) (CNY 4,458 thousand)	-	Note 1
Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nantong) Co., Ltd.	Subsidiary	Account Receivable- others 102,115	-	-	-	-	-	Note 1

Note 1: The transaction have been eliminated in the preparation of the consolidated financial statements.

• (ix) Trading in derivative instruments: None.

• (x) Business relationships and significant intercompany transactions:

No. (Note 1)	Name of company	Name of counter-party	Nature of relationship (Note 2)	Intercompany transactions	Intercompany transactions	Intercompany transactions	Intercompany transactions
				Account name	Amount	Trading terms (Note 4)	Percentage of the consolidated net revenue or total assets
0	The Company	Shanghai Unitech Electronics (Nantong) Co., Ltd.	1	Sales	41,768	-	0.45%
0	The Company	Shanghai Unitech Electronics (Nantong) Co., Ltd.	1	Accounts Receivable	228	-	-%
1	Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nantong) Co., Ltd.	3	Other Receivables	102,115	-	0.42%
1	Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nantong) Co., Ltd.	3	Other Income	34,157	-	0.37%
1	Shanghai Unitech Electronics Co., Ltd.	Shanghai Unitech Electronics (Nantong) Co., Ltd.	3	Interest Income	1,691	-	0.02%
2	Shanghai Unitech Electronics (Nantong) Co., Ltd.	The Company	2	Sales	1,864,315	-	20.06%
2	Shanghai Unitech Electronics (Nantong) Co., Ltd.	The Company	2	Accounts Receivable	1,461,924	-	6.01%
3	Unitech BVI	Unitech HK	3	Other Receivables	2,705	-	0.01%

Note 1: Company numbering as follow:

• (1). Parent company 0

• (2). Subsidiaries starting from 1.

Note 2: Relationship:

(1). Transaction between the Parent Company and the subsidiary.

(2). Transaction between the subsidiary and the Parent Company.

(3). Transaction between the subsidiary and the subsidiary.

Note 3: Only disclouse sales, revenues and receivables.

Note 4: The prices and terms of payment for intercompany sales are not materially different from those for ordinary sales. For the rest of the transactions, since there are no similar transactions, the terms of the transactions are determined by mutual agreement.

Note 5: The above transactions have been eliminated in the preparation of the consolidated financial statements.

(Continued)

47

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(b) Information on investees:

The following is the information on investees for the six months ended June 30, 2024 (excluding information on investees in Mainland China):

(Unit: thousand shares)

Name of investor	Name of investee	Location	Main businesses and products	Original investment amount	Original investment amount	Balance as of June 30, 2024	Balance as of June 30, 2024	Balance as of June 30, 2024	Net income (losses) of investee	Share of profits/losses of investee	Note
				June 30, 2024	December 31, 2023	Shares	Percentage of wnership	Carrying value
The Company	Unitech BVI	British Virgin Islands	Reinvestment	2,793,183	2,793,183	4.34	% 100.00	4,427,629	124,165	122,679	Note 1
The Company	DA-TAI Investment Co., Ltd.	Taipei	General investment	820,019	820,019	82,000	% 100.00	1,046,692	(12,001)	(12,001)	Note 1
The Company	Unitech Thailand	Thailand	Manufacturing and sale of PCB	199,958	67,269	2,253	% 100.00	196,873	(739)	(739)	Note 1 and 2
The Company	Unitech HK	Hong Kong	Reinvestment	153,980	153,980	5,000	% 6.10	248,337	132,300	8,067	Note 1
DA-TAI Investment Co., Ltd.	Fulltech Fiber Glass Corp.	Taipei	Manufacturing of glass and glass products	600,684	600,684	60,655	% 13.06	915,737	(63,016)	(8,291)	-
Unitech BVI	Unitech HK	Hong Kong	Reinvestment	2,480,927	2,480,927	77,000	% 93.90	4,433,927	132,300	124,233	Note 1

Note 1: The transaction have been eliminated in the preparation of the consolidated financial statements.

Note 2: The company increased the capital to Unitech Thailand THB 150,000 thousand in March 2024.

(c) Information on investment in mainland China:

(i) The names of investees in Mainland China, the main businesses and products, and other information:

(In Thousands of New Taiwan Dollars)

Name of investee	Main businesses and products	Total amount ofpaid-in capital	Method of investment (Note 1)	Accumulated outflow of investment from Taiwan as of January 1, 2024	Investment flows	Investment flows	Accumulated outflow of investment from Taiwan as of June 30, 2024	Net income (losses) of the investee	Percentage of ownership	Investment income (losses) (Note 2 and 3)	Book value (Note 3)	Accumu-lated remittance of earnings in currentperiod
					Outflow	Inflow
Shanghai Unitech Electronics Co., Ltd.	Manufacturing and sale of PCB	2,474,777	( 2 )	2,480,927	-	-	2,480,927	104,243	100.00%	104,243	3,711,136	-
Shanghai Unitech Electronics (Nantong) Co., Ltd.	Manufacturing and sale of PCB	4,486,960	( 3 )	937,800 (Note 4)	-	-	937,800	131,540	100.00%	131,540	4,565,271	-

(ii) Limitation on investment in Mainland China:

Company Name	Accumulated Investment in Mainland China as of June 30, 2024 (Note 5)	Investment Amounts Authorized by Investment Commission, MOEA (Note 5)	Upper Limit on Investment (Note 6)
The Company	4,052,875 (USD 124,896 thousand)	4,052,875 (USD 124,896 thousand)	6,545,056

Note 1: Three ways to investment in mainland China

(1) Direct investment

(2) Indirect investment through holding companies

(3) Others

Note 2: The recognition of gain and loss on investment based on the audit financial report which was assured by R.O.C. Accountant.

Note 3: The intercompany transactions have been eliminated from consolidation.

Note 4: The amount includes the capitalization of retained earnings amounting to USD 27,000 thousand.

Note 5: As of June 30, 2024, exchange rate USD/NTD 1:32.45

Note 6: Calulated based on 60% of hte Company’s net worth.

(Continued)

48

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

(iii) Significant transactions:

The significant inter-company transactions with the subsidiary in Mainland China, which were eliminated in the preparation of consolidated financial statements for the six months ended June 30, 2024, are disclosed in “Information on significant transactions”.

• (d) Major shareholders:

(Unit: share)	(Unit: share)	(Unit: share)
Shareholding Shareholder’s Name	Shares	Percentage
GUO-LING INVESTMENT CO.LTD	42,836,450	% 6.39

(14) Segment information:

• (a) Information about reportable segments and their measurement and reconciliations.

The Group’s engaged in the production and sales of PCB, thus there is no disclosure of industrial financial information.

The Group’s’s operating segment information and reconciliation are as follows:

Revenue: Revenue from external customers Intersegment revenue Total revenue Reportable segment profit or loss Revenue: Revenue from external customers Intersegment revenue Total revenue Reportable segment profit or loss	For the three months	For the three months	ended June 30, 2024	ended June 30, 2024
	Domestic PCB and other Oversea PCB $ 4,888,455 240,708 514 1,009,746 $ 4,888,969 1,250,454 $ 459,340 94,541 For the three months		Reconciliation and elimination Total - 5,129,163 (1,010,260) - (1,010,260) 5,129,163 - 553,881 ended June 30, 2023	Total
				5,129,163 -
				5,129,163
				553,881
	Domestic PCB and other $ 3,763,715 711 $ 3,764,426 $ 119,332	Oversea PCB 267,781 946,937 1,214,718 161,716	Reconciliation and elimination - (947,648) (947,648) -	Total
				4,031,496 -
				4,031,496
				281,048

(Continued)

49

Unitech Printed Circuit Board Corporation and Subsidiaries Notes to the Consolidated Financial Statements

Revenue: Revenue from external customers Intersegment revenue Total revenue Reportable segment profit or loss Reportable segment assets Revenue: Revenue from external customers Intersegment revenue Total revenue Reportable segment profit or loss Reportable segment assets	For the six months ended June 30, 2024 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 8,805,597 486,865 - 9,292,462 41,768 1,836,563 (1,878,331) - $ 8,847,365 2,323,428 (1,878,331) 9,292,462 $ 725,222 121,020 - 846,242 $ 22,477,292 9,247,671 (7,393,535) 24,331,428 For the six months ended June 30, 2023 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 6,936,663 557,732 - 7,494,395 5,018 1,779,149 (1,784,167) - $ 6,941,681 2,336,881 (1,784,167) 7,494,395 $ (277,233) 169,047 - (108,186) $ 20,997,805 7,966,908 (6,600,626) 22,364,087	For the six months ended June 30, 2024 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 8,805,597 486,865 - 9,292,462 41,768 1,836,563 (1,878,331) - $ 8,847,365 2,323,428 (1,878,331) 9,292,462 $ 725,222 121,020 - 846,242 $ 22,477,292 9,247,671 (7,393,535) 24,331,428 For the six months ended June 30, 2023 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 6,936,663 557,732 - 7,494,395 5,018 1,779,149 (1,784,167) - $ 6,941,681 2,336,881 (1,784,167) 7,494,395 $ (277,233) 169,047 - (108,186) $ 20,997,805 7,966,908 (6,600,626) 22,364,087	For the six months ended June 30, 2024 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 8,805,597 486,865 - 9,292,462 41,768 1,836,563 (1,878,331) - $ 8,847,365 2,323,428 (1,878,331) 9,292,462 $ 725,222 121,020 - 846,242 $ 22,477,292 9,247,671 (7,393,535) 24,331,428 For the six months ended June 30, 2023 Domestic PCB and other Oversea PCB Reconciliation and elimination Total $ 6,936,663 557,732 - 7,494,395 5,018 1,779,149 (1,784,167) - $ 6,941,681 2,336,881 (1,784,167) 7,494,395 $ (277,233) 169,047 - (108,186) $ 20,997,805 7,966,908 (6,600,626) 22,364,087
	Domestic PCB and other $ 6,936,663 5,018 $ 6,941,681 $ (277,233) $ 20,997,805	Oversea PCB 557,732 1,779,149 2,336,881 169,047 7,966,908	Reconciliation and elimination - (1,784,167) (1,784,167) - (6,600,626)