Stock Symbol: 2537

WE & WIN Development Co., LTD.

Financial Statements for the Years Ended December 31, 2025 and 2024 and Independent Auditors’ Report

Company address: 36F., No.68, Sec. 5, Zhongxiao E. Rd., Xinyi Dist., Taipei City 110060, Taiwan (R.O.C.)

Tel: (02)27229898

Table of Contents

Item	Page
■ Cover	1
■ Table of Contents	2
■ Accountant’s Audit Report	3~7
■ Balance Sheet	8
■ Statement of Comprehensive Income	9
■ Statement of Changes in Equity	10
■ Cash Flow Statement	11~12
■ Notes to Financial Report
1. Company history	13
2. Approval of the date and procedure of the financial report	13
3. Application of newly issued and revised standards and interpretations	13~15
4. Summary of significant accounting policies	15~26
5. Major sources of uncertainty in major accounting judgments, estimates and assumptions	26~27
6. Explanation of important accounting items	27~42
7. Related party transaction	42~45
8. Pledged assets	46
9. Significant contingent liabilities and unrecognized contractual commitments	46~49
10. Major disaster loss	49
11. Significant post-period events	50
12. Other	50~51
13. Note to Disclosure Matters
(1) Information about major transactions	51~52
(2) Information about re-investment business	52
(3) Information about China Investment	52
14. Department Information	53
■ List of important accounting items	54~61

Accountant's Audit Report

For public review of Board of Directors of WE & WIN Development Co., LTD.:

Opinion

We have audited the Balance sheet of WE & WIN Development Co., LTD. December 31, 2025 and 2024, and the statement of comprehensive income, statement of changes in equity and cash flow statement from January 1 to December 31, 2025 and 2024, as well as individual notes to financial report (including summary of significant accounting policies).

In accordance with the accountant’s opinion, based on the audit results of the accountant and the audit reports of other accountants (please refer to the other matters paragraph), the individual financial reports present fairly in all major aspects are in accordance with the securities issuer’s financial report preparation standards and approved by the Financial Supervision and Administration Commission. Recognize and publish the effective International Financial Reporting Standards, International Accounting Standards, Interpretations and Interpretation Announcements to adequately express the financial status of WE & WIN Development Co., LTD. on December 31, 2025 and 2024, and financial performance and cash flow from January 1 to December 31, 2025 and 2024.

Basis for Opinion

The accountant performs the audit work in accordance with the accountant’s auditing and visa financial statement rules and generally accepted auditing standards. The accountant’s responsibilities under these standards will be further explained in the accountant’s responsibility section for reviewing individual financial reports. In accordance with the professional ethics of accountants, the personnel subject to independence regulations of the accounting firm’s affiliated firms have maintained aloof independence from WE & WIN Development Co., LTD. and performed other responsibilities under the regulations. Based on the audit results of the accountant and the audit reports of other accountants, the accountant believes that sufficient and appropriate audit evidence has been obtained as a basis for expressing the audit opinion.

Other matters

Listed in WE & WIN Development Co., LTD.’s investment using the equity method, the financial report on the investment using the equity method has not been audited by this accountant, but by other accountants. Therefore, in the opinions expressed by this accountant on the individual financial reports, the amounts listed in the financial reports of the investee companies are based on the audit reports of

other accountants. The amount of investment recognized by the equity method in these investee companies on December 31, 2025 and 2024 accounted for 0.78% and 0.57% of the total assets. The share of profits of affiliated companies using the equity method recognized from January 1 to December 31, 2025 and 2024 accounted for (4.98) % and (0.58%) of pre-tax net profit, respectively.

Key audit matters

Key audit matters refer to the most important matters in the audit of WE & WIN Development Co., LTD.'s 2025 individual financial reports based on the professional judgment of the accountant. These matters have been responded to in the process of auditing individual financial reports as a whole and forming audit opinions. The accountant does not express opinions on these matters alone. The accountant judged that the key audit matters that should be communicated in the audit report are as follows:

1. Income recognition

For accounting policies related to Income recognition, please refer to the individual Notes to Financial Report 4 (14) about income recognition; for details, please refer to the individual Notes to Financial Report 6 (12) about revenue from customer contracts.

Description of key audit matters:

WE & WIN Development Co., LTD. real estate income is the main source of income for operations, and the risk of material misrepresentation lies in the authenticity of income recognition. Since operating income involves the operating performance of the management, the management may not recognize the income early or deferred in accordance with the regulations to achieve the expected net profit, which may affect the profit and loss and may have a major misstatement. Therefore, the income recognition test is one of the important evaluation matters for the accountant to perform the WE & WIN Development Co., LTD. financial report audit.

Corresponding audit procedures:

Perform control tests on the sales and collection operations cycle, evaluate the control to prevent and detect errors and fraud in income recognition;
Perform verification tests, sample inspections of sales contracts and real estate transfer registration documents with customers, and check sales data and general ledger details to assess whether WE & WIN Development Co., LTD.'s income recognition policy is handled in accordance with relevant bulletins;
The cut-off test is performed on operating income to confirm whether the income is listed in the appropriate period.

Inventory evaluation

For the accounting policies for inventory evaluation, please refer to the individual Notes to Financial Report 4 (6) Inventory. For the accounting estimates and assumption uncertainties of inventory evaluation, please refer to the individual Notes to Financial Report 5 (1) Inventory evaluation. For details, please refer to the individual Notes to Financial Report 6 (2) Inventory.

Description of key audit matters:

The inventory of WE & WIN Development Co., LTD. is an important asset for operations, and its amount accounts for 83% of the total assets; the inventory evaluation is handled in accordance with the International Accounting Standards Bulletin No. 2, if the net realizable value evaluation is inappropriate, it will cause false expression in financial reports. Therefore, the inventory evaluation test is one of the important evaluation items for the accountant to perform the WE & WIN Development Co., LTD. financial report audit.

Corresponding audit procedures:

Understand the internal operating procedures and accounting treatment of WE & WIN Development Co., LTD. for the subsequent measurement of inventories, and obtain the assessment data of the net realizable value of inventories on the financial reporting date, sample and check the market price of the previously disclosed information, and compare it with the most recent transaction price or the contract price recently sold by WE & WIN Development Co., LTD. or the actual real estate price registered to the Ministry of the Interior; or obtain a case-by-case investment return analysis table, check whether the net realizable value of the inventory is reasonable.

Responsibilities of management and governance units for individual financial reports

The management's responsibility is to prepare and express individual financial reports in accordance with the financial report preparation standards of securities issuers and the International Financial Reporting Standards, International Accounting Standards, Interpretations and Interpretations approved and issued by the Financial Regulatory Commission, and to maintain and maintain the individual financial reports. Necessary internal control related to the preparation of the report to ensure that individual financial reports do not contain material false expressions due to fraud or errors.

When preparing individual financial reports, the management's responsibilities also include assessing the ability of WE & WIN Development Co., LTD. to continue operations, disclosure of related matters, and the adoption of the accounting basis for continuing operations, unless the management intends to liquidate WE & WIN Development Co., LTD. or stop doing business, or there is no practical and feasible plan other than liquidation or closure.

The governance unit (including the audit committee) of WE & WIN Development Co., LTD. is responsible for supervising the financial reporting process.

Accountant’s responsibility for auditing individual financial reports

The purpose of this accountant’s audit of individual financial reports is to obtain reasonable conviction as to whether the individual financial reports as a whole contain any material false expressions caused by fraud or errors, and to issue an audit report. Reasonable certainty is a high degree of certainty, but the audit work carried out in accordance with auditing standards cannot guarantee that the material false expressions in individual financial reports will be detected. Misrepresentation may result from fraud or errors. If the individual amounts or aggregated figures that are misrepresented can be reasonably expected to affect the economic decisions made by individual financial report users, they are considered to be significant.

The accountant uses professional judgment and maintains professional suspicion when conducting audits in accordance with auditing standards. The accountant also performs the following tasks:

Identify and evaluate the risk of material misrepresentation of individual financial reports due to fraud or errors; design and implement appropriate countermeasures for the assessed risks; and obtain sufficient and appropriate audit evidence as the basis for audit opinions. Because fraud may involve collusion, forgery, deliberate omission, false statement or violation of internal control, the risk of not detecting a major false expression caused by fraud is higher than that caused by error.
Obtain the necessary understanding of the internal control related to the audit to design an appropriate audit procedure under the circumstances, but its purpose is not to express an opinion on the effectiveness of WE & WIN Development Co., LTD.’s internal control.
Evaluate the appropriateness of the accounting policies adopted by the management and the reasonableness of accounting estimates and related disclosures.
Based on the obtained audit evidence, make a conclusion of the appropriateness of the management’s continued operation accounting basis and whether there are major uncertainties in the event or situation that may cause major doubts about the ability of WE & WIN Development Co., LTD. to continue to operate. If the accountant believes that there are significant uncertainties in these events or circumstances, he must remind the users of individual financial reports in the audit report to pay attention to the relevant disclosures in the individual financial reports, or amend the audit opinions when such disclosures are inappropriate. The accountant’s conclusion is based on the audit evidence obtained as of the date of the audit report. However, future events or circumstances may cause WE & WIN Development Co., LTD. to no longer have the ability to continue operations.

Evaluate the overall expression, structure and content of individual financial reports (including relevant notes), and whether individual financial reports are appropriate to express relevant transactions and events.
Obtain sufficient and appropriate audit evidence for the financial information of the investee company that adopts the equity method to express opinions on individual financial reports. The accountant is responsible for the guidance, supervision and execution of the inspection case, and is responsible for forming the audit opinion of WE & WIN Development Co., LTD.

The matters communicated between the accountant and the governance unit include the planned audit scope and time, as well as major audit findings (including significant deficiencies in internal control identified during the audit process).

The accountant also provides the governance unit with a statement that the personnel of the firm's affiliated firm subject to independence regulations have complied with the independence of the accountant's professional ethics, and communicates with the governance unit all relationships that may be considered to affect the independence of the accountant and other matters (including related protective measures).

Based on the matters communicated with the governance unit, the accountant decides the key audit matters for the audit of WE & WIN Development Co., LTD.'s 2025 individual financial report. The accountant states these matters in the audit report, unless the law does not allow specific matters to be disclosed publicly, or in very rare cases, the accountant decides not to communicate specific matters in the audit report, because the negative effects of this communication can be reasonably expected to be greater than the public interest promoted.

KPMG Taiwan

Accountant : Huang Hsin Ting

Zou Yi Yun

Visa document number approved by the securities authority March 11, 2026

No. Financial-Supervisory-Securities-Auditing-1100333824

No. Financial-Supervisory-Securities-Auditing 1130332775

WE & WIN Development Co., LTD.
Balance Sheet
December 31, 2025 and 2024
Unit: Thousands of New Taiwan Dollars

	Asset	2025.12.31		2024.12.31			Liabilities and equity		2025.12.31		2024.12.31
		Amount	%	Amount	%		Current liabilities:	%	Amount	%	Amount	%
Current assets:							Short-term loans (Note 6 (5))	$ 7,950,712	43	7,226,211	42
1100	Cash and cash equivalents (Note 6 (1))	$ 292,706	2	490,709	3	2100	Short-term notes payable (Note 6 (5))	512,600	3	497,100	3
1170	Notes receivable and accounts receivable (Note 6 (12) and 7)	31,962	-	14,910	-	2111	Contract liabilities-current (Note 6 (12) and 9)	2,417,909	13	2,219,423	13
1200	Other receivables (Notes 6 (15), 7 and 9)	24,137	-	28,005	-	2130	Notes payable (Note 7)	10,844	-	23,472	-
1220	Income tax assets for the current period	-	-	3,527	-	2150	Accounts payable (Note 6 (6) and 7)	589,978	3	459,905	3
1320	Inventory (applicable to the construction industry) (Notes 6 (2), 7 and 8)	15,378,727	83	13,789,532	81	2170	Other payables (Note 6 (8))	135,909	1	178,647	1
1410	Prepayments	216,698	1	120,650	1	2200	Income tax liabilities for the current period	21,989	-	65,053	-
1476	Other financial assets-current (note 6 (4) and 8)	1,316,743	7	1,194,855	7	2230	Lease liabilities-current	13,026	-	11,037	-
1479	Other current assets-other	234,876	1	220,855	1	2280	Bonds payable, current portion (Note 6 (7))	1,499,393	7	499,725	3
1480	Incremental cost of obtaining a contract-current	482,461	3	514,759	3	2321	Other current liabilities-other	96,703	1	38,853	-
		17,978,310	97	16,377,802	96
Non-current assets:							Non-current liabilities:	13,249,063	71	11,219,426	65
1550	Investments using the equity method (Note 7)	144,826	1	96,858	1
1600	Real estate, plant and equipment	1,675	-	3,658	-	2530	Corporate bonds payable (Note 6 (7))	840,698	5	1,498,162	9
1755	Right-of-use asset	10,310	-	22,434	-	2580	Lease liabilities-non-current	-	-	13,026	-
1760	Net investment property (Note 8)	75,976	-	77,000	-
1975	Net defined benefit assets-non-current (Note 6 (8))	1,968	-	1,451	-
1980	Other financial assets-non-current (Note 6 (4) and 8)	303,909	2	534,676	3
1990	Other non-current assets-other	7,150	-	7,014	-
		545,814	3	743,091	4
						3110	Common stock	3,005,579	16	3,005,579	18
						3200	Capital reserve	564,882	3	564,882	3
						3300	Retained earnings	863,902	5	819,818	5
							Total equity	4,434,363	24	4,390,279	26
Total assets		$ 18,524,124	100	17,120,893	100

Chairman: Su, Yung-Yi

(Please read the Notes to Financial Report attached)

President: Lee, Chih-Ming

Chief Accountant: Tseng, Chin-Ching

WE & WIN Development Co., LTD.
Statement of Comprehensive Income
January 1 to December 31, 2025 and 2024

Unit: Thousands of New Taiwan Dollars

	2025		2024
		Amount	%	Amount	%
4000	Operating income (note 6 (12) and 7)	$ 1,255,647	100	2,213,711	100
5000	Operating costs (Notes 6 (2) and 7)	926,906	74	1,534,876	69
	Operating margin	328,741	26	678,835	31
	Operating expenses (Notes 6 (8), (13) and 7):
6100	Marketing expenses	63,693	5	100,848	5
6200	Management costs	103,111	8	112,446	5
		166,804	13	213,294	10
	Operating net profit	161,937	13	465,541	21
	Non-operating income and expenses:
7100	Interest income (Note 6 (14) and 7)	15,214	1	15,142	1
7020	Other benefits and losses (Note 6 (3), (14) and 7)	(1,062)	-	12,334	-
7050	Finance costs (Note 6 (14))	(93,571)	(8)	(93,597)	(4)
7060	Share of profits and losses of affiliated companies recognized using the equity method	(3,917)	-	(2,309)	-
		(83,336)	(7)	(68,430)	(3)
7900	Net profit before tax	78,601	6	397,111	18
7950	Less: income tax expense (Note 6 (9))	34,949	3	82,289	4
8200	Net profit for the period	43,652	3	314,822	14
8300	Other comprehensive profit and loss:
8310	Items not reclassified to profit or loss
8311	Measure on defined benefit plans (Note 6 (8))	432	-	38	-
8349	Income tax related to items not reclassified	-	-	-	-
		432		38
8300	Other comprehensive profit and loss for the current period (net after tax)	432	-	38	-
8500	Total comprehensive profit and loss for the current period	$ 44,084	3	314,860	14
9750	Basic earnings per share (NTD) (Note 6 (11))	$	0.15		1.05
9850	Diluted earnings per share (NTD) (Note 6 (11))	$	0.15		1.04

(Please read the attached Notes to Financial Report)

Chairman: Su, Yung-Yi
President: Lee, Chih-Ming
Chief Accountant: Tseng, Chin-Ching

WE & WIN Development Co., LTD.
Statement of Changes in Equity
January 1 to December 31, 2025 and 2024
Unit: Thousands of New Taiwan Dollars

	Common stock	Capital reserve	Retained earnings			Total equity
			Legal reserve	Undistributed earnings	Total
Balance as of January 1, 2024	$ 3,005,579	564,732	239,983	264,975	504,958	4,075,269
Net profit for the period	-	-	-	314,822	314,822	314,822
Other comprehensive profit and loss of the current period	-	-	-	38	38	38
Total comprehensive profit and loss for the current period	-	-	-	314,860	314,860	314,860
Change in other additional paid-in capital :
Exercise of disgorgement	-	150	-	-	-	150
Balance as of December 31, 2024	3,005,579	564,882	239,983	579,835	819,818	4,390,279
Net profit for the period	-	-	-	43,652	43,652	43,652
Other comprehensive profit and loss of the current period	-	-	-	432	432	432
Total comprehensive profit and loss for the current period	-	-	-	44,084	44,084	44,084
Appropriation and distribution of retained earnings:
Legal reserve appropriated	-	-	31,486	(31,486)	-	-
Balance as of December 31, 2025	$ 3,005,579	564,882	271,469	592,433	863,902	4,434,363

(Please read the attached Notes to Financial Report)

Chairman: Su, Yung-Yi
President: Lee, Chih-Ming
Chief Accountant: Tseng, Chin-Ching

WE & WIN Development Co., LTD.
Cash Flow Statement
January 1 to December 31, 2025 and 2024

Unit: Thousands of New Taiwan Dollars

	2025	2024
Cash flow from operating activities:
Net profit before tax for the current period	$ 78,601	397,111
Adjustment items:
Income expense item
Depreciation expense	15,131	15,553
Amortization expense	119	119
Interest expense	93,571	93,597
Interest income	(15,214)	(15,142)
Share of losses of affiliated companies recognized using the equity method	3,917	2,309
Gains on disposals of investment property	-	(4,205)
Others	4,000	150
Total income and expense items	101,524	92,381
Changes in assets and liabilities related to business activities:
Net changes in assets related to business activities:
(Increase) in Notes and accounts receivable	(17,052)	(14,842)
(Increase) decrease in Other receivables	(132)	21,300
(Increase) in Inventory	(1,397,341)	(764,555)
(Increase) in Prepayments	(99,763)	(28,055)
Decrease in Other financial assets—current	294,700	9,768
(Increase) in Other current assets	(14,021)	(14,367)
Decrease (increase) in the incremental cost of obtaining the contract	32,298	(164,294)
(Increase) in net defined benefit assets	(85)	(77)
Total net changes in assets related to business activities	(1,201,396)	(955,122)
Net changes in liabilities related to operating activities:
Increase in Contract liabilities	198,486	504,581
(Decrease) in Notes payable	(12,628)	(37,234)
Increase in Accounts payables	130,073	52,353
(Decrease) increase in Other payables	(51,329)	64,706
Increase in Other current liabilities	57,850	1,373
Total net changes in liabilities related to operating activities	322,452	585,779
Total net changes in assets and liabilities related to business activities	(878,944)	(369,343)
Total adjustment items	(777,420)	(276,962)
Cash flow from operations	(698,819)	120,149
Interest charged	15,214	15,142
Interest paid	(279,249)	(240,954)
Income tax paid	(74,486)	(7,992)
Net cash flow from operating activities	(1,037,340)	(113,655)

WE & WIN Development Co., LTD.
Cash Flow Statement
January 1 to December 31, 2025 and 2024

Unit: Thousands of New Taiwan Dollars

	2025	2024
Cash flow from investing activities:
Obtain an investment using the equity method	(51,885)	(26,728)
Disposals of investment property	-	20,701
(Increase) in other financial assets-current and non-current	(185,821)	(4,299)
(Increase) in other non-current assets	(136)	-
Net cash outflow from investing activities	(237,842)	(10,326)
Cash flow from financing activities:
Increase in short-term loans	1,580,857	1,278,376
(Decrease) in short-term loans	(858,141)	(1,197,955)
Increase in short-term notes payable	15,500	313,100
Issuance of Corporate Bonds	850,000	-
Redemption of Bonds	(500,000)	-
Repayment of lease liabilities	(11,037)	(10,826)
Net cash inflow from financing activities	1,077,179	382,695
(Decrease) increase in current cash and cash equivalents	(198,003)	258,714
Balance of beginning cash and cash equivalent	490,709	231,995
Balance of cash and cash equivalent at the end of the period	$ 292,706	$ 490,709

(Please read the attached Notes to Financial Report)
Chairman: Su, Yung-Yi
President: Lee, Chih-Ming
Chief Accountant: Tseng, Chin-Ching

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

WE & WIN Development Co., LTD.
Notes to Financial Report
2025 and 2024
(Unless otherwise specified, all amounts are in thousands of New Taiwan Dollars)

Company history

WE & WIN Development Co., LTD. (hereinafter referred to as “the company”) was established with the approval of the Ministry of Economic Affairs on August 19, 1987, and its shares were officially listed for trading on September 6, 1996.

The company’s original name was CHUEN CHYR Construction Co., Ltd., changed its name to CHUEN CHYR Development Co., Ltd. on June 30, 1998, and was renamed Digital CHUEN CHYR Network Service Co., Ltd. on May 23, 2000. It was renamed Chunchi Development Co., Ltd. on July 4, 2006, and was renamed WE & WIN Development Co., LTD. by a resolution of the shareholders meeting on June 19, 2008. The main business projects are residential and building development, leasing and sales, real estate trading, and computer equipment installation.

Approval of the date and procedure of the financial report

This financial report was approved and released by the board of directors on March 11, 2026.

Application of newly issued and revised standards and interpretations

(1) The impact of the newly issued and revised standards and interpretations approved by the Financial Supervision Commission has been adopted

The company has applied the following newly revised International Financial Reporting Standards since January 1, 2025, and has not had a significant impact on financial reporting.

Amendment to International Accounting Standard No. 21 on "Lack of Exchangeability"

(2) The impact of not adopting the International Financial Reporting Standards recognized by the FSC

The company assesses the application of the following newly revised International Financial Reporting Standards effective from January 1, 2026, and will not have a significant impact on financial reporting.

International Financial Reporting Standard No. 17 "insurance contract" and Amendment to International Financial Reporting Standard No. 17.
International Financial Reporting Standard No. 9 and amendment to International Financial Reporting Standard No. 7 on "Classification and measurement of Financial Instruments".
Annual Improvements of International Financial Reporting Standard, Accounting Standard.
International Financial Reporting Standard No. 9 and amendment to International Financial Reporting Standard No. 7 on "Nature-Dependent Electricity contracts".

(3) Newly issued and revised standards and interpretations not yet approved by the FSC

The following standards and interpretations issued and amended by the IASB, but not yet endorsed by the FSC, may be relevant to the Company:

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Newly Issued or Amended Standards	Major Amendments	Effective Date Issued by the Board
International Financial Reporting Standard No. 18" Presentation and disclosure of Financial Statements"	The new standard introduces three categories of income and expenses, two subtotals in the statement of profit or loss, and a single note on management performance measures. These three revisions enhance and refine the guidance on disaggregating information in financial statements, laying the foundation for providing users with better and more consistent information, and will impact all companies.

• A More Structured Statement of Profit or Loss: Under the current standards, companies use different formats to present their operating results, making it difficult for investors to compare financial performance across companies. The new standard adopts a more structured statement of profit or loss by introducing a newly defined subtotal, "Operating Profit," and requiring that all income and expenses be classified into three distinct categories based on a company’s primary business activities.

• Management Performance Measures (MPM): The new standard introduces a definition for management performance measures and requires companies to disclose them in a single note within the financial statements. For each measure, companies must explain why it provides useful information, how it is calculated, and how it reconciles with amounts recognized under IFRS.

• More Disaggregated Information: The new standard includes enhanced guidance on how companies should group information in financial statements. This guidance covers whether specific information should be included in the primary financial statements or further disaggregated in the notes. | 2027/1/1
Note: The FSC issued a press release on September 25, 2025, announcing that Taiwan will adopt IFRS 18 "Presentation and Disclosure in Financial Statements" starting from the fiscal year 2028. Entities may choose early adoption of the standard upon endorsement by the FSC. |

The Company is currently assessing the impact of the aforementioned standards and interpretations on its financial position and operating results. The relevant impact will be disclosed upon completion of the evaluation.

The Company expects that the following newly issued and amended standards, which have not yet been endorsed, will not have a material impact on its financial statements.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

International Financial Reporting Standard No. 10 and amendment to International Accounting Standard No. 28 on "Sale or Contribution of Assets between an Investor and its Associate or Joint Venture".
International Financial Reporting Standard No. 19 "Subsidiary without Public accountability: Disclosures" and amendment to International Financial Reporting Standard No. 19.
Amendment to International Accounting Standard No. 21 on "translation into the presentation currency of a hyperinflationary economy".

4. Summary of significant accounting policies

The major accounting policies used in this financial report are summarized below. The following accounting policies have been consistently applied to all presentation periods in this financial report.

(1) Declaration of compliance

This financial report is in accordance with Regulations Governing the Preparation of Financial Reports by Securities Issuers (hereinafter referred to as Preparation "Regulations") and FSC approved and issued effective international financial reporting standards, international accounting standards, interpretations and interpretation announcements (hereinafter referred to as "FSC approved International Financial Reporting Standards").

(2) Preparation basis

I. Basis of measurement

Except for the following important items in the Balance sheet, this financial report is prepared on the basis of historical cost:

(I) Net definite benefit liabilities (or assets) are measured by subtracting the present value of definite benefit obligations from the fair value of pension fund assets.

II. Functional currency and Presentation currency

The company uses the currency of the main economic environment in which it operates as its functional currency. This financial report is expressed in the company's functional currency, expressed in New Taiwan dollars. All financial information expressed in New Taiwan Dollars is in thousands of New Taiwan Dollars.

(3) Classification criteria for distinguishing between current and non-current assets and liabilities

The company is mainly engaged in the contracting of construction projects and the lease and sale of real estate. Its business cycle is usually longer than one year. The assets and liabilities related to construction projects are based on the business cycle of 3 to 5 years as the basis for dividing current and non-current; the rest; The criteria for dividing current and non-current assets and liabilities are as follows:

Assets that meet one of the following conditions are classified as current assets, and all other assets that are not current assets are classified as non-current assets:

I. Those who expect to realize the asset or intend to sell or consume it during the normal business cycle of the company.
II. Holding the asset mainly for trading purposes;
III. The asset is expected to be realized within twelve months after the reporting period; or
IV. The asset is cash or cash equivalents (defined as International Accounting Standard No. 7), Unless the asset is restricted from being exchanged or used to settle liabilities for at least

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

twelve months after the reporting period.

Liabilities that meet one of the following conditions are classified as current liabilities, and all other liabilities that are not current liabilities are classified as non-current liabilities:

I. It is expected that the liability will be settled during the normal business cycle of the company;
II. Holding the liability mainly for trading purposes;
III. It is expected that the liability will be settled within twelve months after the reporting period; or
IV. The entity does not have the right to defer the settlement of the liability for at least twelve months after the reporting period as of the end of the reporting period.

(4) Cash and cash equivalents

Cash includes cash on hand and demand deposits. Equivalent cash refers to a short-term and highly liquid investment that can be converted into fixed cash at any time with little risk of value changes. Time deposits that meet the aforementioned definition and whose holding purpose is to meet short-term cash commitments rather than investment or other purposes are listed in cash equivalents.

Bank overdrafts are those that can be repaid immediately and are part of the company's overall cash management. They are listed in the Cash flow statement as a component of cash and cash equivalents.

(5) Financial tool

Accounts receivable and debt securities issued are originally recognized when they arise. All other financial assets and financial liabilities were originally recognized when the company became a party to the contractual terms of financial instruments. Financial assets (except for accounts receivable that do not contain significant financial components) or financial liabilities that are not measured at fair value through profit or loss are originally measured at fair value plus transaction costs directly attributable to the acquisition or issuance. Accounts receivable that do not contain significant financial components are originally measured at transaction prices.

I. Financial assets

Where the purchase or sale of financial assets conforms to conventional transactions, the company shall uniformly adopt the transaction date accounting treatment for all purchases and sales of financial assets classified in the same way.

At the time of initial recognition, financial assets are classified into: financial assets measured at amortized cost.

The company will only reclassify all affected financial assets from the first day of the next reporting period when it changes its business model for managing financial assets.

(I) Financial assets measured at amortized cost

When financial assets meet the following conditions at the same time and are not designated to be measured at fair value through profit and loss, they are measured at amortized cost:

The financial asset is held under the business model for the purpose of collecting contractual cash flow.
The contract terms of the financial asset generate cash flow on a specific date, which is entirely the interest on the payment of the principal and the amount of principal in circulation.

These assets are subsequently measured by adding or subtracting the accumulative amortization amount calculated using the effective interest method to the originally

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

recognized amount, and adjusting the amortized cost measurement of any allowance loss. Interest income, foreign currency exchange profit and loss, and impairment losses are recognized in profit and loss. When de-listing, the profit or loss is included in the profit and loss.

(II) Impairment of financial assets

The company recognizes an allowance loss for the expected credit loss of financial assets (Including cash and cash equivalents, financial assets measured at amortized cost, notes and accounts receivable, other receivables, deposits and other financial assets, etc.) measured at amortized cost.

The following financial assets are measured by the amount of expected credit losses for twelve months, and the rest are measured by the amount of expected credit losses during the duration:

The credit risk of the judgment debt securities at the reporting date is low; and
The credit risk of other debt securities and bank deposits (that is, the risk of default in the expected duration of financial instruments) has not increased significantly since initial recognition.

The allowance loss for accounts receivable is measured by the amount of expected credit loss during the duration.

Expected credit loss during the lifetime refers to the expected credit loss arising from all possible defaults during the expected lifetime of a financial instrument.

Twelve-month expected credit loss refers to the expected credit loss (or a shorter period, if the expected duration of the financial instrument is shorter than twelve months) incurred by a financial instrument that may default within twelve months after the reporting date.

The longest period for measuring expected credit losses is the longest contract period during which the company is exposed to credit risk.

In determining whether the credit risk has increased significantly since the initial recognition, the company considers reasonable and verifiable information (which can be obtained without excessive cost or investment), including qualitative and quantitative information, and based on the company's historical experience, credit assessment and analysis of forward-looking information.

If the contract payment is overdue for more than 30 days, the company assumes that the credit risk of the financial asset has increased significantly.

If the contract payment is overdue for more than 90 days, or the borrower is unlikely to fulfill its credit obligation to pay the full amount to the company, the company will regard the financial asset as breach of contract.

If the credit risk rating of the financial instrument is equivalent to the "investment grade" defined by the world (for Standard & Poor's investment grade BBB-, Moody's investment grade Baa3 or China Credit Ratings investment grade twA, or higher). The company considers the credit risk of the debt securities to be low.

Expected credit loss is the probability-weighted estimate of the credit loss during the expected life of the financial instrument. Credit loss is measured by the present value of all short-term cash receipts, that is, the difference between the cash flow that the company can receive in accordance with the contract and the cash flow that the company expects to receive. Expected credit losses are discounted at the effective interest rate of financial assets.

In each report day, the company assesses whether financial assets are credit-impaired based on amortized cost. When one or more events that have an adverse effect

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

on the estimated future cash flow of a financial asset have occurred, the financial asset has been credit-impaired. Evidence that financial assets have been credit-impaired includes observable information about the following matters:

Major financial difficulties of the borrower or issuer;
Breach of contract, such as delay or overdue for more than 90 days;
Due to economic or contractual reasons related to the borrower's financial difficulties, the company gives the borrower a concession that the borrower would not otherwise consider;
The borrower is likely to file for bankruptcy or other financial reorganization; or
The active market for the financial asset disappeared due to financial difficulties.

The allowance loss for financial assets measured at amortized cost is deducted from the asset's carrying amount.

When the company cannot reasonably expect the recovery of financial assets as a whole or part, it directly reduces the total book value of its financial assets. For corporate accounts, the company individually analyzes the timing and amount of write-off based on whether it is reasonably expected to be recoverable. The company expects that the amount that has been written off will not be materially reversed. However, financial assets that have been written off can still be enforced to comply with the company's procedures for recovering overdue amounts.

(III) Derecognition of financial assets

The company only terminates the contractual rights from the cash flow of the asset, or the financial asset has been transferred and almost all the risks and rewards of the asset's ownership have been transferred to other companies, or almost no ownership has been transferred or retained. When all risks and rewards are not kept under the control of the financial assets, the financial assets are only derecognized.

The company signs a transaction to transfer financial assets, and if it retains all or almost all risks and rewards of the ownership of the transferred assets, it will continue to be recognized on the balance sheet.

II. Financial liabilities and equity instruments

(I) Classification of liabilities or equity

The liabilities and equity instruments issued by the company are classified as financial liabilities or equity based on the substance of the contractual agreement and the definition of financial liabilities and equity instruments.

(II) Equity transaction

An equity instrument refers to any contract that recognizes the remaining equity of the company after deducting all its liabilities from its assets. The equity instruments issued by the company are recognized at the amount obtained after deducting the cost of direct issuance.

(III) Financial liabilities

Financial liabilities are classified as amortized cost or measured at fair value through profit and loss. If financial liabilities are held for trading, derivatives, or designated at the time of initial recognition, they are classified as measured at fair value through profit or loss. Financial liabilities measured at fair value through profit and loss are measured at fair value, and related net benefits and losses, including any Interest expense, are recognized in profit and loss.

Other financial liabilities are subsequently measured at the cost after amortization using the effective interest method. Interest expense and exchange profit and loss are recognized in profit and loss. Any profit or loss at the time of derecognition is also

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

recognized in profit and loss.

(IV) Derecognition of financial liabilities

The company derecognizes financial liabilities when contractual obligations have been fulfilled, cancelled or expired. When the financial liability terms are modified and there is a significant difference in the cash flow of the liabilities after the modification, the original financial liabilities are derecognized, and the new financial liabilities are recognized at fair value on the basis of the modified terms.

When derecognizing financial liabilities, the difference between its book value and the total consideration paid or payable (including any transferred non-cash assets or liabilities assumed) is recognized as profit or loss.

(V) Offset between financial assets and liabilities

Financial assets and financial liabilities are only offset when the company currently has legally enforceable rights to offset and intends to settle on a net amount or to realize assets and repay liabilities at the same time, and then they are offset and expressed in the balance sheet as a net amount.

(6) Inventory

Inventory is measured by the lower of cost and net realizable value. Cost includes the necessary expenses incurred to bring it to the available location and state. The development cost of the premises includes construction costs, land costs, borrowing costs and project costs incurred during the development period. When the inventory cost is higher than the net realizable value, the cost should be reduced to the net realizable value, and the amount of the reduction should be recognized as the cost of goods sold in the current period. Net realizable value refers to the estimated selling price under normal operations after deducting the estimated costs that will be required to complete the project and the estimated costs required to complete the sale. The method for determining the net realizable value is as follows:

I. Land for construction: The net realizable value is estimated by the management authority based on the current market conditions.
II. Construction in progress: The net realizable value is calculated based on the estimated selling price (according to the prevailing market conditions) reduced to the costs and sales expenses to be invested to completion.
III. Premises for sale: the net realizable value is the estimated selling price (according to the prevailing market conditions) minus the estimated cost incurred when selling the premises.

(7) Non-current Assets Held for Sale

Non-current assets are classified as held for sale when it is highly probable that they will be recovered through a sale rather than through continued use. Prior to reclassification to held for sale, the assets are re-measured according to the Company's accounting policies. After reclassification as held for sale, the assets are measured at the lower of their carrying amount and fair value less costs to sell. Impairment losses recognized on the original classification as held for sale, as well as any subsequent gains or losses arising from remeasurement, are recognized in profit or loss. However, any reversal of gains cannot exceed the cumulative impairment losses previously recognized.

When investment property is classified as held for sale, depreciation is no longer recognized.

(8) Investments in Associates

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Associates refers to the company that has significant influence on its financial and operating policies, but is not a controlling or joint controller.

If the original accounting treatment for obtaining Associates has not been completed before the reporting date of the transaction, the company will recognize the incomplete accounting treatment items at a tentative amount, and retrospectively adjust or recognize additional assets or liabilities during the measurement period to reflect the new information obtained during the measurement period on the facts and circumstances that existed on the date of acquisition. The measurement period shall not exceed one year from the date of acquisition.

The contingent consideration included in the transfer consideration is recognized at its fair value on the date of acquisition. If the change in the fair value of the contingent consideration after the acquisition is a measurement period adjustment, it is a retrospective adjustment of the acquisition cost and a relative adjustment of goodwill. The adjustment of the measurement period is an adjustment made by the company to obtain additional information about the facts and circumstances existing on the acquisition date after the acquisition date, and the measurement period does not exceed one year from the acquisition date. For changes in fair value of contingent consideration that are not adjusted during the measurement period, the accounting treatment depends on the classification of contingent consideration. Contingent consideration classified as equity shall not be re-measured, and its subsequent settlement shall be adjusted within equity. Other contingent consideration is measured at fair value on each reporting day after the date of acquisition, and changes in fair value are recognized as profit or loss.

The company adopts the equity method for the equity of Associates. Under the equity method, the original acquisition is recognized based on cost, and investment costs include transaction costs. The book value of the investment in Associates includes the goodwill identified at the time of the original investment, minus any accumulated impairment losses.

This financial report covers the period from the date of significant influence to the date of loss of significant influence. After adjustments are made for consistency with the company's accounting policies, the company recognizes the profit and loss of each investment in the Associates and other amount of comprehensive profit and loss based on the proportion of equity. When the Associates have non-profit and loss and other comprehensive profit and loss of equity changes that do not affect the company's shareholding ratio, the company will attributable to the company's share of the Associates' share of the equity changes and recognize it as capital reserve based on the shareholding ratio.

The unrealized benefits and losses arising from the transaction between the company and Associates are only recognized in the corporate financial statements within the scope of the rights and interests of non-related parties to the Associates.

When the company's proportionately recognized Associates' loss share equals or exceeds its interest in Associates, it will stop recognizing its losses, and only within the scope of legal obligations, constructive obligations, or payments on behalf of the investee company, recognizing additional losses and related liabilities.

(9) Investment Property

Investment Property refers to the immovable property held for rent earning or asset appreciation or both, but not for normal business sale, production, provision of goods or labor, or for administrative management purposes. Investment Property is originally measured by cost, and subsequently measured by cost minus accumulated depreciation and accumulated impairment. Its depreciation method, service life and residual value shall be

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

treated in accordance with the provisions of real estate, plant and equipment.

The profit or loss of Investment Property’s disposal (calculated as the difference between the net disposal price and the carrying amount of the item) is recognized in the profit and loss.

The rental income of Investment Property is recognized as other profit and loss according to the straight-line method during the lease period. The incentive to lease it is recognized as part of the lease income during the lease period.

(10) Real estate, plant and equipment

I. Recognition and measurement

Real estate, plant and equipment items are measured by cost (including capitalized borrowing costs) minus accumulated depreciation and any accumulated impairment.

When the significant components of real estate, plant and equipment have different service life, they are treated as separate items (main components) of real estate, plant and equipment.

Real estate, plant and equipment dispenses profits or losses are recognized in profit and loss.

II. Follow-up cost

Subsequent expenditures are only capitalized when their future economic benefits are likely to flow into the company.

III. Depreciation

Depreciation is calculated by subtracting the residual value from the cost of the asset, and the straight-line method is used to recognize it in the profit and loss within the estimated useful life of each component.

Land is not depreciated.

The estimated service life of the current period and the comparative period are as follows:

(I) Transportation Equipment 5 years
(II) Office equipment 5 years
(III) Other equipment 5~6 years

The company reviews the depreciation method, service life and residual value on each reporting day, and adjusts it appropriately if necessary.

(11) Lease

The company assesses whether the contract belongs to or contains a lease on the date of contract establishment. If the contract transfers control over the use of the identified asset for a period of time in exchange for consideration, the contract belongs to or contains a lease.

I. Lessee

The company recognizes the right-of-use asset and the lease liability on the lease start date. The right-of-use asset is measured based on the original cost. The cost includes the original measurement amount of the lease liability and adjustments paid on or before the lease start date. Any lease payments, plus the original direct costs incurred and the estimated costs for dismantling, removing the underlying assets and restoring the location or underlying assets, and deducting any lease incentives received.

Right-of-use asset is subsequently depreciated using the straight-line method, whichever is earlier, from the lease start date to the end of the useful life of the right-of-use asset or when the lease period expires. In addition, the company regularly assesses whether the right-of-use asset has been impaired and deals with any impairment losses that

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

have occurred, and coordinates the adjustment of the right-of-use asset when the lease liability is remeasured.

Lease liabilities are measured based on the original value of the present value of the lease payments not yet paid on the lease start date. If the implicit interest rate of the lease is easy to determine, the discount rate is that interest rate. If it is not easy to determine, the company's incremental borrowing interest rate is used. Generally speaking, the company uses its incremental borrowing interest rate as the discount rate.

Lease payments included in the measurement of lease liabilities include:

(I) Fixed benefits, including substantive fixed benefits;
(II) The lease payment depends on a change in an index or rate, and the index or rate on the lease start date is used as the original measurement;
(III) The amount of the expected residual value guarantee to be paid; and
(IV) The exercise price or the penalty to be paid when the purchase option or lease termination option is reasonably determined.

The subsequent lease liabilities are accrued interest using the effective interest method, and the amount is measured when the following situations occur:

(I) Changes in the index or rate used to determine lease payments result in changes in future lease payments;
(II) There is a change in the amount of residual value guaranteed to be paid;
(III) There is a change in the evaluation of the option to purchase the underlying asset;
(IV) The estimation of whether to exercise the extension or termination option is changed, and the assessment of the lease period is changed;
(V) Modification of the lease object, scope or other terms.

When the lease liability is remeasured due to changes in the index or rate used to determine the lease payment, changes in the amount of residual value guarantee, and changes in the evaluation of the purchase, extension or termination options, the book value of the right-of-use asset is adjusted accordingly. When the Carrying amount of the right-of-use asset is reduced to zero, the remaining remeasured amount is recognized in the profit and loss.

For lease modifications that reduce the scope of the lease, the book value of the right-of-use asset is reduced to reflect the partial or full termination of the lease, and the difference between it and the remeasured amount of the lease liability is recognized in the profit and loss.

The company expresses the right-of-use asset and lease liabilities that do not meet the definition of Investment Property as separate items in the Balance sheet.

For short-term leases of office equipment and other low-value underlying asset leases, the company chose not to recognize right-of-use assets and lease liabilities, and instead recognized related lease payments as expenses on a straight-line basis during the lease period.

II. Lessor

The company's transaction as a lessor is to classify the lease contract according to whether it transfers almost all the risks and rewards attached to the ownership of the underlying asset on the date of establishment of the lease. If it is, it is classified as a financial lease, otherwise it is classified as an operating lease. In the assessment, the company considers relevant specific indicators including whether the main part of the economic life of the underlying asset is covered during the lease period.

If the company is a sublease lessor, the main lease and sublease transactions are handled separately, and the right-of-use asset generated by the main lease is used to assess

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

the classification of sublease transactions. If the main lease is a short-term lease and the recognition exemption applies, its sublease transaction should be classified as an operating lease.

If the agreement contains lease and non-lease components, the company uses IFRS 15 to allocate the consideration in the contract.

(12) Impairment of non-financial assets

The company assesses on each reporting date whether there are signs that the carrying amount of non-financial assets (except inventories and deferred income tax assets) may be impaired. If there are any signs, estimate the recoverable amount of the asset. Goodwill means that impairment tests are conducted on a regular basis every year.

For the purpose of impairment testing, a group of assets that are mostly independent of cash inflows from other individual assets or asset groups are regarded as the smallest identifiable asset group. The goodwill obtained by a business merger is allocated to each cash-generating unit or group of cash-generating units that are expected to benefit from the merger synergy.

The recoverable amount is the higher of the fair value of an individual asset or cash-generating unit minus the cost of disposal and its value in use. When assessing the value in use, the estimated future cash flows are converted to the present value at a pre-tax discount rate, which should reflect the current market's assessment of the time value of money and the specific risks of the asset or cash-generating unit.

If the recoverable amount of an individual asset or cash-generating unit is lower than the Carrying amount, an impairment loss is recognized.

The impairment loss is immediately recognized in the profit and loss, and first reduces the Carrying amount of the cash-generating unit's amortized goodwill, and then reduces the Carrying amount of each asset in proportion to the book value of the other assets in the unit. Goodwill impairment losses will not be reversed. Non-financial assets other than goodwill can only be reversed within the scope of the book value (excluding depreciation or amortization) determined when the asset had not been recognized for impairment losses in the previous year.

(13) Borrowing cost

In order for an asset to reach a usable or saleable state, a considerable amount of work must be passed. The borrowing costs incurred during this period that can be directly attributable to the acquisition, construction or manufacture of an asset should be capitalized as the cost of the asset. All other borrowing costs are expensed in the current period. The cost of borrowing is composed of interest and other related costs incurred by borrowing.

(14) Recognition of income

I. Income from customer contracts

Income is measured by the consideration that is expected to be entitled to the transfer of goods or services. The company recognizes income when the control of goods or services is transferred to the customer and the performance obligations are met. The company's main income items are explained as follows:

(I) Land development and real estate sales

The company develops and sells residential real estate, and often sells real estate during construction or in advance. The company recognizes income when the control of real estate is transferred. Due to contract restrictions, the real estate usually has no other purpose for the company. Therefore, the company transfers the legal ownership of the real estate to the customer, and the date of the actual delivery of the real estate shall

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

prevail. However, only one item was completed before the reporting date. If another item is actually completed in the subsequent period, income is also recognized.

Revenue is measured based on the transaction price of the contract agreement. If it is a sale of existing homes, in most cases, the consideration can be collected when the legal ownership of the real property is transferred. In a few cases, the payment of the account can be deferred according to the contract agreement, but the deferred period does not exceed twelve months. Therefore, the transaction price is not adjusted to reflect the impact of significant financial components. In the case of pre-sale of real estate, the payment is usually received in installments during the period from the signing of the contract to the transfer of the real estate to the customer. If the contract contains a significant financial component, the transaction price is adjusted during the period according to the project loan interest rate of the construction project to reflect the time value of money influences. Receipts in advance are recognized as contract liabilities, and when the time value of money is adjusted, Interest expense and contract liabilities are recognized. The accumulated amount of contract liability is transferred to income when the real estate is transferred to the customer.

Some contracts include multiple delivery items, such as the sale of residential real estate and decoration services. The decoration services are regarded as a separate performance obligation, and the transaction price is shared on the basis of the stand-alone selling price. If there is no directly observable price, the stand-alone selling price is estimated based on the expected cost plus profit. Decoration services are recognized during the financial reporting period for the provision of labor services, which is determined on the basis of the proportion of the project costs incurred so far to the estimated total contract costs.

(II) Financial components

The company expects that the time between the transfer of goods or services to customers in all customer contracts and the time between the customer's payment for the goods or services will not exceed one year or the impact of financial composition is not significant to individual contracts. Therefore, the company does not adjust the currency time value of the transaction price.

II. Cost of customer contracts

(I) Incremental cost of obtaining the contract

If the company expects to recover the incremental costs of obtaining customer contracts, the company recognizes these costs as assets. The incremental cost of obtaining the contract is the cost incurred in obtaining the customer contract and will not be incurred if the contract is not obtained. The cost of obtaining the contract that will occur regardless of whether the contract is obtained is recognized as an expense when incurred, unless the cost is clearly chargeable to the customer regardless of whether the contract has been obtained.

The company adopts the practical expedient practice of the standard. If the incremental cost of obtaining the contract is recognized as an asset and the amortization period of the asset is within one year, it is recognized as an expense when the incremental cost occurs.

(15) Employee Benefits

I. Defined contribution plans

The contribution obligations of Defined contribution plans are recognized as expenses during the period when employees provide services. The amount of advance payment will result in the refund of cash or the reduction of future payments, and it will be

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

recognized as an asset.

II. Defined benefit plan

The company’s net obligations for defined benefit plans are calculated based on the current value of the future benefits earned by the employee’s services in the current or previous periods for each benefit plan, deducting the fair value of any plan assets.

The defined benefit obligation is calculated annually by qualified actuaries using the projected unit benefit method. When the calculation result is likely to be beneficial to the company, the recognized asset is limited to the present value of any economic benefits that can be obtained in the form of refunding the withdrawal from the plan or reducing the plan in the future. When calculating the present value of economic benefits, any minimum funding requirements are considered.

Remeasurements of the net defined benefit liability, including actuarial profit and loss, return on plan assets (excluding interest), and any changes in the impact of the asset limit (excluding interest) are immediately recognized in other comprehensive profit and loss and accumulated in retained earnings. The company determines the net interest expense (income) of net defined benefit liability (assets), using the net defined benefit liability (assets) and discount rate determined at the beginning of the annual reporting period. The net interest expense and other expenses of the defined benefit plan are recognized in profit and loss.

When the plan is revised or reduced, the amount of changes in the welfare related to the previous service cost or the reduced benefit or loss is immediately recognized as profit and loss. The company recognizes the settlement profit and loss of the defined benefit plan when the settlement occurs.

III. Short-term employee benefits

Short-term employee benefit obligations are recognized as expenses when the service is provided. If the company has the current statutory or constructive payment obligation due to the past service provided by the employee, and the obligation can be estimated reliably, the amount shall be recognized as a liability.

(16) Income tax

Income tax includes current and deferred income tax. Except for those related to business combination, directly recognized in equity or other comprehensive profit and loss items, current income tax and deferred income tax shall be recognized in profit and loss.

Current income tax includes the estimated income tax payable or tax refund receivable calculated based on the taxable income (loss) of the current year, and any adjustments to the income tax payable or tax refund receivable in previous years. The amount is the best estimate of the expected payment or receipt based on the statutory tax rate on the reporting date or the tax rate of the substantive legislation after reflecting the uncertainty (if any) related to income tax.

Deferred income taxes are measured and recognized for the temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases. Temporary differences arising from the following circumstances are not recognized for deferred income tax:

I. The assets or liabilities that are not originally recognized in a business combination transaction and (i) do not affect accounting profits and taxable income (loss) at the time of the transaction, (ii) Furthermore, there are no corresponding taxable and deductible temporary differences generated.

II. Due to the temporary differences arising from investment in subsidiaries, Associate and interests in Joint Ventures, the company can control the timing of the reversion of the

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

temporary differences and is likely to not revert in the foreseeable future; and

III. Taxable temporary differences arising from the original recognition of goodwill.

For unused taxable losses and unused tax deductions in the later stages of deduction, and deductible temporary differences, they are recognized as deferred tax assets to the extent that future taxable income is likely to be available for use. It will be reassessed on each reporting day, and the relevant income tax benefits will be adjusted to the extent that it is not likely to be realized; or the original reduced amount will be reversed to the extent that it is likely to have sufficient taxable income.

Deferred income tax is measured by the tax rate when the expected temporary difference is reversed, based on the statutory tax rate or the substantive legislative tax rate on the reporting date.

The company only offsets deferred income tax assets and deferred income tax liabilities when the following conditions are met at the same time:

I. Have the legal enforcement power to offset the current income tax assets and current income tax liabilities; and
II. Deferred income tax assets and deferred income tax liabilities are related to one of the following taxpayers to income tax levied by the same tax authority:

(I) The same taxpayers; or
(II) Different taxpayers, but each taxpayers intends to settle the current income tax liabilities and assets on a net basis in each future period during the expected recovery of significant amounts of deferred income tax assets and the expected settlement of deferred income tax liabilities, or realize assets and liabilities at the same time.

(17) Earnings per share

The company lists the basic and diluted earnings per share attributable to holders of the company's common equity. The company's basic earnings per share is calculated by dividing the profit and loss attributable to the company's common equity holders by the weighted average number of common shares outstanding for the period. Diluted earnings per share is calculated after adjusting the profit and loss attributable to ordinary equity holders of the company and the weighted average number of ordinary shares outstanding, respectively, after adjusting the effects of all potential diluted ordinary shares. The company's potentially diluted ordinary shares include compensation to employees based on share-based payments.

(18) Department Information

The operating department is an integral part of the company and engages in operating activities that may earn income and incur expenses (including income and expenses related to transactions between other components of the company). The operating results of all operating departments are regularly reviewed by the company's chief operating decision makers to make decisions about the allocation of resources to the departments and evaluate their performance. Each operating department has its own financial information.

Major sources of uncertainty in major accounting judgments, estimates and assumptions

When the management compiles this financial report, it is necessary to make judgments and estimates regarding the future, including climate-related risks and opportunities., which will affect the adoption of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from estimates.

Management continuously reviews estimates and underlying assumptions, which are aligned with the Company's risk management and climate-related commitments. Changes in estimated values are recognized in the period of change and are deferred for affected future periods.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

The following assumptions and estimated uncertainties have a significant risk of causing significant adjustments to the carrying amount of assets and liabilities in the next financial year. The relevant information is as follows:

(1) Inventory evaluation

Since inventory must be measured at the lower of cost and net realizable value, the company assesses the amount of inventory at the reporting date because it has no market sales value, and offsets the cost of inventory to net realizable value. This inventory evaluation is mainly based on the current market conditions, so there may be major changes due to rapid changes in the industry. Please refer to Note 6 (2) for details of inventory evaluation and estimation.

The company uses market-observable input values as much as possible when measuring its assets and liabilities. The level of fair value is based on the input value used in the valuation technique. Please note 6 (15) for the classification.

For relevant information on the assumptions used to measure fair value, please refer to Note 6 (15), Financial Instruments.

6. Explanation of important accounting items

(1) Cash and cash equivalents

	2025.12.31	2024.12.31
Cash in hand and petty cash	$ 519	480
Demand deposit	267,175	487,445
Cash equivalents	19,950	-
Check Deposit	5,062	2,784
Cash and cash equivalents listed in the Cash flow statement	$ 292,706	490,709

Please refer to Note 6 (15) for the disclosure of interest rate risk and sensitivity analysis of the company's financial assets and liabilities.

(2) Inventory

	2025.12.31	2024.12.31
Advance land payment	$ 322,082	472,068
Construction land	3,913,993	3,639,142
Under construction	9,490,239	8,615,801
Property for sale	1,652,413	1,062,521
	$ 15,378,727	13,789,532
Expected to be recovered in more than twelve months	$ 13,726,314	12,727,011

I. In 2025 and 2024, the inventory cost recognized as cost of goods sold and expenses were NT$925,881 thousand and NT$1,533,809 thousand respectively.
II. No inventory depreciation loss and inventory write-down reversal were recognized in 2025 and 2024.
III. On December 31, 2025 and 2024, the company's inventory is provided as a pledge guarantee, please Note 7 and 8 for details.

(3) Non-current assets held for sale and liabilities directly associated with non-current assets held for sale. On March 9, 2024, the Company entered into a real estate sale agreement, by which the asset was reclassified from investment property to non-current assets held for sale at NT$16,495 thousand, with the corresponding liabilities of NT$5,320 thousand also reclassified. The Company subsequently completed the transfer of ownership and handover procedures in the second quarter of 2024, recognizing a gain on disposal of NT$4,205 thousand (recorded under other gains and losses).

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

(4) Other financial assets

	2025.12.31	2024.12.31
Current:
Account of pre-sale house values trust	$ 673,877	938,803
Ordinary corporate bond security deposit	593,805	177,217
Green Building Deposit	-	25,253
Co-construction deposit	24,963	34,148
Other	24,098	19,434
Total	$ 1,316,743	1,194,855
Non-Current:
Ordinary corporate bond security deposit	$ 303,909	534,676

On December 31, 2025 and 2024, the other financial assets of the company—the situation where the current is provided as a pledge guarantee, please refer to Note 8 for details.

(5) Short-term loans and short-term notes payable

	2025.12.31	2024.12.31
Mortgaged loans	$ 7,950,712	7,226,211
Short-term notes payable	512,600	497,100
Total	$ 8,463,312	7,723,311
Unused quota	$ 679,042	784,734
Interest rate range	2.32%~3.5%	2.32%~3.34%

Please refer to Note 8 for details of the company's asset setting mortgage for bank borrowing and guarantee situation of short-term notes payable.

(6) Accounts payable

	2025.12.31	2024.12.31
Payable to the construction contractor	$ 561,974	459,243
Land purchase payable and other	28,004	662
	$ 589,978	459,905

(7) Bonds payable/Bonds payable, current portion

I. The company's Bonds payable details are as follows:

	2025.12.31	2024.12.31
Guaranteed general corporate bonds	$ 2,340,091	1,997,887
Less: Portion due within one year	(1,499,393)	(499,725)
Secured Corporate Bonds	$ 840,698	1,498,162

II. Issuance and Repayment of Corporate Bonds

The Company issued the 1st and 2nd secured straight corporate bond issuances in fiscal year 2025 in the principal amounts of NT$500,000 thousand and NT$350,000 thousand, bearing coupon rates of 2.15% and 1.90%, respectively, with interest payable annually, a tenor of five years, and bullet repayment of principal at maturity. Additionally, the Company redeemed the 1st secured straight corporate bond issuance originally issued in fiscal year 2020 in the principal amount of NT$500,000 thousand. No corporate bonds were issued or redeemed during fiscal year 2024.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

III. Collateral for Corporate Bonds

The Company has pledged assets as collateral for the corporate bonds payable. Please refer to Note 8 for further details.

IV. The main information of the company’s corporate bonds is as follows:

Item	The second guaranteed general corporate bond in 2020
1. Total issuance	500,000 thousand
2. Issue date	2021.01.13
3. Coupon rate	Fixed annual interest rate 0.62%
4. Period	2021.01.13~2026.01.13
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	HUA NAN COMMERCIAL BANK, LTD
Item	The first guaranteed general corporate bond in 2021
---	---
1. Total issuance	300,000 thousand
2. Issue date	2021.06.25
3. Coupon rate	Fixed annual interest rate 0.57%
4. Period	2021.06.25~2026.06.25
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	Taiwan Cooperative Bank
Item	The second guaranteed general corporate bond in 2021
---	---
1. Total issuance	300,000 thousand
2. Issue date	2021.10.14
3. Coupon rate	Fixed annual interest rate 0.57%
4. Period	2021.10.14~2026.10.14
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	Agricultural Bank of Taiwan Co, Ltd.
Item	The third guaranteed general corporate bond in 2021
---	---
1. Total issuance	400,000 thousand
2. Issue date	2021.11.01
3. Coupon rate	Fixed annual interest rate 0.57%
4. Period	2021.11.01~2026.11.01
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	Taiwan Cooperative Bank, Agricultural Bank of Taiwan Co, Ltd.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Item	The first guaranteed general corporate bond in 2025
1. Total issuance	500,000 thousand
2. Issue date	2025.05.29
3. Coupon rate	Fixed annual interest rate 2.15%
4. Period	2025.05.29~2030.05.29
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	Agricultural Bank of Taiwan Co, Ltd.
Item	The second guaranteed general corporate bond in 2025
---	---
1. Total issuance	350,000 thousand
2. Issue date	2025.11.26
3. Coupon rate	Fixed annual interest rate 1.9%
4. Period	2025.11.26~2030.11.26
5. Repayment method	The principal shall be repaid once at the expiry of five years from the date of issuance.
6. Assurance agency	HUA NAN COMMERCIAL BANK, LTD

(8) Employee Benefits

I. defined benefit plan

The adjustment between the present value of the company’s defined benefit obligation and the fair value of plan assets is as follows:

	2025.12.31	2024.12.31
Present value of defined benefit obligation	$ 6,398	6,203
Fair value of plan assets	(8,366)	(7,654)
Net defined benefit liability (asset)	$ (1,968)	(1,451)

The company’s Employee Benefits liabilities are as follows:

	2025.12.31	2024.12.31
Paid leave liabilities	$ 1,849	1,230

The defined benefit plan of the company is transferred to the special account of labor retirement reserve fund of Bank of Taiwan. The retirement payment of each employee subject to the Labor Standards Law is calculated based on the base number of years of service and the average salary of the six months before retirement.

(I) Composition of Plan assets

The retirement fund allocated by the company in accordance with the Labor Standards Law is coordinated and managed by the Bureau of Labor Funds, MOL (hereinafter referred to as the Bureau of Labor Funds). The minimum income allocated shall not be lower than the income calculated based on the two-year fixed deposit interest rate of the local bank.

As of the reporting date, the company’s Taiwan Bank Labor Retirement Reserve

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Special Account has a balance of NT$8,366 thousand. The information on the use of labor pension fund assets includes fund return rate and fund asset allocation. Please refer to the information published on the website of Bureau of Labor Funds.

(II) Changes in the present value of defined benefit obligation

The changes in the present value of the company's defined benefit obligation in 2025 and 2024 are as follows:

	2025	2024
Defined benefit obligation on January 1	$ 6,203	5,560
Current service cost and interest	99	73
Net defined benefit liability (asset) re-measurement
—Experience profit (loss) of defined benefit obligation	6	334
—Actuarial profit (loss) due to changes in financial assumptions	90	236
Defined benefit obligation on December 31	$ 6,398	6,203

(III) Changes in the fair value of plan assets

The changes in the fair value of the company's defined benefit plan assets in 2025 and 2024 are as follows:

	2025	2024
Fair value of plan assets on January 1	$ 7,654	6,896
Interest income	122	90
Net defined benefit liability(asset) re-measurement
—Return on plan assets (excluding interest income calculated by discount rate)	528	608
Amount allocated to the plan	62	60
Fair value of plan assets on December 31	$ 8,366	7,654

(IV) Expenses recognized as profit and loss

The details of the company as expenses 2025 and 2024 are as follows:

	2025	2024
Net interest of net defined benefit liability (asset)	$ (23)	(17)
Management costs	$ (23)	$ (17)

(V) Actuarial assumptions

The important actual assumptions used by the company to determine the present value of the defined benefit obligation on the end of the financial report are as follows:

	2025.12.31	2024.12.31
Discount Rate	1.200%	1.600%
Future increase in salary	2.500%	2.500%

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

The company expects to pay NT$0 thousand to the defined benefit plan within one year after the 2025 reporting date.

The weighted average duration of the defined benefit plan is 3 years.

(VI) Sensitivity Analysis

The changes in the main actual assumptions adopted in December 31, 2025 and 2024 will affect the present value of the defined benefit obligation as follows:

	Impact on defined benefit obligation
	Increase by 0.25%	Decrease by 0.25%
December 31, 2025
Discount Rate (Change 0.25%)	(59)	59
Future increase in salary rate (Change 0.25%)	57	(57)
December 31, 2024
Discount Rate (Change 0.25%)	(69)	70
Future increase in salary rate (Change 0.25%)	67	(66)

The above-mentioned sensitivity analysis is based on the analysis of the impact of a single hypothesis change under the condition that other hypotheses remain unchanged. In practice, many changes in assumptions may be linked. Sensitivity Analysis is consistent with the method used to calculate the net defined benefit liability of the balance sheet.

The methods and assumptions used in compiling Sensitivity Analysis in this issue are the same as those in the previous period.

II. Defined contribution plans

The company's defined contribution plans are in accordance with the provisions of the Labor Pension Regulations, and are allocated to the individual labor pension account of the Bureau of Labor Insurance at a contribution rate of 6% of the labor's monthly salary. Under this plan, after the company allocates a fixed amount to Bureau of Labor Insurance, there is no statutory or constructive obligation to pay additional amounts.

The company's retirement pension expenses under the company's 2025 and 2024 definite provision of pension plans were NT$1,701 thousand and NT$1,626 thousand, which have been allocated to the Bureau of Labor Insurance.

(9) Income tax

I. The company's income tax expense details in 2025 and 2024 are as follows:

	2025	2024
Current income tax expense
Current Period Production	$ 25,616	$ 66,433
Unrealized revaluation	7,854	15,829
Underprovision of prior year income tax	1,479	27
Income Tax Expenses for Continuing Business Units	$ 34,949	$ 82,289

The relationship between the company's 2025 and 2024 income tax expenses and pre-tax net profit is adjusted as follows:

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

	2025	2024
Net profit before tax	$ 78,601	397,111
Income tax calculated based on the domestic tax rate of the company’s location	15,720	79,422
Non-deductible expenses	-	559
Investment losses and impairment losses recognized by the equity method	783	462
Land tax-free income	(11,106)	(28,201)
Loss carryforward amount	-	(11,761)
Timing differences between accounting and tax recognition	(9,269)	13,461
Land value increment tax	7,854	15,829
Retained Earnings Plus 5%	14,169	-
Finance and tax difference in Interest capitalization	14,032	13,514
The gap with the underestimation of previous year	1,479	27
Other	1,287	(1,023)
	$ 34,949	82,289

II. Situation of income tax verification

The income tax settlement declaration of the company's profitable business has been approved by the auditing agency until 2023.

(10) Capital and other rights

On December 31, 2025 and 2024, the company's total rated share capital is NT$3,500,000 thousand, and the denomination per share is NT$10. The issued shares are all 300,558,000 ordinary shares, and the payment for all issued shares has been received.

I. Capital reserve

The content of the company's capital reserve balance is as follows:

	2025.12.31	2024.12.31
Issuing stock premium	$ 508,311	508,311
Lapsed stock options	50,896	50,896
Income received from gifts	930	930
Other	4,745	4,745
	$ 564,882	564,882

According to the provisions of the Company Act, the capital reserve must be given priority to cover the losses before it can be issued to new shares or cash based on the shareholders' original shares in proportion to the realized capital reserve. The "realized capital reserve" mentioned in the preceding paragraph includes the excess of the issuance of stocks in excess of the par value and the proceeds from the receipt of donations. In accordance with the issuer's securities offering and issuance guidelines, the total amount of capital reserve that can be refilled each year shall not exceed 10% of the paid-in capital.

II. Retained earnings

According to the company's articles of association, if the company's annual final accounts have net profit after tax for the current period, it shall first make up for the accumulated losses and set aside 10% as a legal reserve in accordance with the law. The special reserve shall be set according to the company's operating needs or legal requirements. If there are earnings, together with the undistributed earnings at the beginning of the period, the board of directors shall draft a distribution proposal and

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

submit it to the shareholders meeting for resolution.

The Company authorizes distribution of the distributable dividends and bonuses or legal reserve and additional paid-in capital in whole or in part paid in cash after a resolution has been adopted by a majority vote at a meeting of the Board of Directors attended by two-thirds of the total number of directors; and in addition thereto a report of such distribution shall be submitted to the shareholders' meeting. The submission of proposal to the shareholders' meeting for resolution and distribution as prescribed in the preceding paragraph shall not apply.

The company is in the construction industry and is currently in the stage of business expansion. The board of directors should consider the company's future capital planning and capital needs when formulating the profit distribution proposal. When dividends are distributed to shareholders, it can be done in cash or stocks, of which cash dividends shall not be less than 10% of the total dividends of shareholders.

(I) Legal reserve

When the company has no losses, it may be approved by the shareholders' meeting to issue new shares or cash with legal reserve, but only if the reserve exceeds 25% of the paid-in capital.

(II) Distribution of earnings

The Company resolved the earnings distribution plan for fiscal year 2024 at the Annual General Meeting of Shareholders on June 25, 2025. In accordance with applicable regulations, a legal reserve of NT$31,486 thousand was appropriated. The remaining distributable earnings for fiscal year 2024 were retained without distribution, taking into consideration the Company's overall operational development and future capital planning. The company decided not to distribute dividends in 2023 through the general meeting of shareholders on June 26, 2024. the amount of dividends distributed to owners is as follows:

(11) Earnings (loss) per share

The calculation of the company's basic earnings (loss) per share and diluted earnings per share is as follows:

	2025	2024
Basic earnings per share:
Net profit attributable to holders of the company's common equity	$ 43,652	314,822
The weighted average number of shares outstanding	300,558	300,558
	$ 0.15	1.05
Diluted earnings per share:
Net profit (diluted) attributable to holders of ordinary equity of the company	$ 43,652	314,822
The weighted average number of shares outstanding	300,558	300,558
The effect of dilutive potential ordinary shares
Impact of employee bonus stock	331	783
The weighted average number of common shares outstanding (diluted)	300,889	301,341
Diluted earnings per share	$ 0.15	1.04

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

(12) Income from customer contracts

I. Income details

	2025	2024
Main product:
Sales of real estate	$ 1,249,373	2,207,409
Lease Income	6,274	6,302
Total	$ 1,255,647	2,213,711

II. Contract balance

	2025.12.31	2024.12.31	2024.1.1
Notes receivable	$ 25,165	-	-
Accounts receivable	6,797	14,910	68
Minus: allowance for loss	-	-	-
Total	$ 31,962	14,910	68
Contract liabilities-sales of real estate	$ 2,417,909	2,219,423	1,714,842

The opening balance of contract liabilities on January 1, 2025 and 2024, recognized as revenue in 2025 and 2024, is NT$340,172 thousand and NT$297,772 thousand, respectively.

The changes in contract liabilities are mainly due to the difference between the time when the company transfers goods or services to customers to meet the performance obligations and the time when customers pay. There are no other major changes.

(13) Bonuses of Employees, Directors and Supervisors

The Company amended its Articles of Incorporation pursuant to a resolution passed at the shareholders' meeting on June 25, 2025. In accordance with the amended Articles of Incorporation, According to the articles of association of the company, if there is any profit during the year (referring to the profit before tax minus the profit before the distribution of employee bonus stock and directors' remuneration), no less than 1% shall be allocated for employee bonus stock and no more than 3% for directors remuneration. However, when the company still has accumulated losses, it shall reserve the compensation amount in advance. No less than 3% of the aforesaid employment compensation shall be distributed to the non-executive employees. The employee bonus stock mentioned in the preceding paragraph can be obtained by stock or cash, and it shall be implemented by the resolution of the board of directors and reported to the shareholders meeting. The payment objects of employee bonus stock may include employees of affiliated companies who meet the conditions set by the board of directors. In accordance with the Articles of Incorporation prior to the amendment, According to the articles of association of the company, if there is any profit during the year (referring to the profit before tax minus the profit before the distribution of employee bonus stock and directors' remuneration), no less than 1% shall be allocated for employee bonus stock and no more than 3% for directors remuneration. However, when the company still has accumulated losses, it shall reserve the compensation amount in advance. The employee bonus stock mentioned in the preceding paragraph can be obtained by stock or cash, and it shall be implemented by the resolution of the board of directors and reported to the shareholders meeting. The payment objects of employee bonus stock may include employees of affiliated companies who meet the conditions set by the board of directors.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

The company's employee bonus stock withdrawal amounts in 2025 and 2024 are NT$2,310 thousand and NT$9,550 thousand, and the directors' remuneration withdrawal amounts are NT$1,329 thousand and NT$7,200 thousand. It is estimated based on the company's pre-tax net profit for the period before deducting bonuses of employees and directors multiplied by the employee bonus stock and directors' remuneration distribution rate stipulated in the company's articles of association, and presented as operating expenses for the period. If the board of directors decides to pay the stock for employee compensation, the calculating basis for the number of shares will base on the closing price of ordinary shares on the day before the decision of the board of directors. related information can be inquired at the public information observatory. There is no difference between the amount of bonuses of employees and directors distributed by the aforementioned board resolution and the estimated amount in the company's financial reports in 2025 and 2024.

(14) Non-operating income and expenses

I. Interest income

The company's other income details are as follows:

	2025	2024
Interest on bank deposits	$ 15,133	14,058
Other	81	1,084
	$ 15,214	15,142

II. Other benefits and losses

The company's other benefits and losses are detailed as follows:

	2025	2024
Gains on disposals of investment property	$ -	4,205
Other benefits and losses	(1,062)	8,129
	$ (1,062)	12,334

III. Financial costs

The company's financial costs are detailed as follows:

	2025	2024
Interest expense
Bank loan and Corporate Bonds	$ 255,189	$ 218,408
Lease Liability Interest	357	568
Financial related fees and deposit interest	27,858	23,720
Other	2,021	-
Subtotal	285,425	242,696
Minus: interest capitalization	(191,854)	(149,099)
	$ 93,571	$ 93,597
Capitalized interest rate	2.51%~2.89%	2.43%~2.67%

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

(15) Financial Instruments

I. Type of financial Instruments

Financial asset

	2025.12.31	2024.12.31
Financial asset measured by cost after amortization:
Cash and cash equivalents	$ 292,706	490,709
Net notes and accounts receivable	31,962	14,910
Net of other receivables	24,137	28,005
Other financial assets (including current and non-current)	1,620,652	1,729,531
Refundable deposits (Accounting other Non-current assets)	7,150	7,014
Total	$ 1,976,607	2,270,169

Financial liabilities

	2025.12.31	2024.12.31
Financial liabilities measured by cost after amortization:
Short-term loan	$ 7,950,712	$ 7,226,211
Short-term notes payable	512,600	497,100
Notes payable, accounts payable and other payables	736,731	662,024
Lease liabilities (including current and non-current)	13,026	24,063
Bonds payable (including part due within one year)	2,340,091	1,997,887
Guarantee deposit received (Accounting other current liabilities-other)	8,345	2,521
Total	$ 11,561,505	$ 10,409,806

II. credit risk

(I) credit risk exposures

The book value of financial asset represents the maximum amount of credit exposures.

(II) Concentration of credit risk

The company's customer base is large and unrelated, so the concentration of credit risk is low.

(III) Credit risk of accounts receivable

The company's notes receivable and accounts receivable are based on the expected credit loss during the lifetime to measure the allowance loss.

The company's other financial assets measured at amortized cost include other receivables and certificates of deposit, etc., except for the capital loan and other receivables of the Metropolitan Living Development reinvested by the company, NT$50,000 thousand. In the case of bounced tickets in the third quarter in 2019, it is assessed that its credit risk has increased, and the allowance for other receivables is measured according to the expected credit loss amount during the duration. The rest is due to the time deposit certificate held by the company, the transaction object and the other party performing the contract. Financial institutions with investment grade and above are all at low credit risk. Therefore, the amount of expected credit loss for twelve months is used to measure the allowance loss during the period (how the

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

company determines the credit risk is low, please refer to Note 4 (5)).

On December 31, 2025 and 2024, the company assessed that the above financial asset must be provided for the loss amount of NT$50,000 thousand.

The changes in the allowance loss for financial asset measured at amortized cost in 2025 and 2024 are as follows:

	12 months Expected credit loss	Credit loss during the duration-credit impairment	Total
Balance as of December 31, 2025 (Opening Balance)	$ -	50,000	50,000
Balance as of December 31, 2024 (Opening Balance)	$ -	50,000	50,000

III. Liquidity risk

The following table shows the contract expiry date of financial liabilities, including estimated interest but not the impact of the net agreement

	Carrying amount	Contract cash flow	Within 6 months	6-12 months	1-2 years	2-5 years	More than 5 years
December 31, 2025
Non-derivative financial liabilities
Lease liability	$ 13,026	13,136	6,181	6,955	-	-	-
Floating interest rate instruments	7,950,712	8,318,153	743,495	2,072,790	1,299,400	4,202,468	-
Fixed interest rate instruments	2,852,691	2,970,888	823,650	1,238,388	17,400	891,450	-
Liabilities without interest	745,076	745,076	429,311	10,000	41,155	210,391	54,219
	$ 11,561,505	12,047,253	2,002,637	3,328,133	1,357,955	5,304,309	54,219
December 31, 2024
Non-derivative financial liabilities
Lease liability	$ 24,063	24,530	6,087	5,307	13,136	-	-
Floating interest rate instruments	7,226,211	7,697,810	989,290	213,955	2,533,965	3,960,600	-
Fixed interest rate instruments	2,494,987	2,529,969	12,721	1,008,448	1,508,800	-	-
Liabilities without interest	664,545	664,545	426,370	27,848	64,480	120,477	25,370
	$ 10,409,806	10,916,854	1,434,468	1,255,558	4,120,381	4,081,077	25,370

The company does not expect the cash flow analysis on the due date to occur significantly earlier, or the actual amount will be significantly different.

Bank loans and loans from non-financial organizations are important source of capital for the Company. The Company applies for loans and has its stocked merchandises and

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

real estate assets for investment; please refer to note 8 for details. Based on the experience in the past, before the due date of solvency, the Company applies an extension of the loans and has the aforementioned assets as mortgage. The managerial personnel continuously monitor the use of loans and ensure the implementation of articles in the loan contract and make the cash statements for the future. It is expected that there is little risk for the Company to have difficulty raising the capital needed to fulfill the conditions in the contract.

IV. Currency risk: None.

V. Interest rate analysis

The carrying amount of the financial asset and financial liabilities that the company was exposed to interest rate risk insurance on the reporting day is as follows:

	Carrying amount
	2025.12.31	2024.12.31
Fixed interest rate instruments:
Financial liabilities	$ 2,852,691	2,494,987
Variable interest rate tools:
Financial asset	$ 1,859,840	2,154,551
Financial liabilities	7,950,712	7,226,211
	$ (6,090,872)	(5,071,660)

The following Sensitivity Analysis is determined based on the interest rate exposure of derivative and non-derivative tools on the reporting day. For floating-rate liabilities, the analysis method is based on the assumption that the amount of liabilities out of circulation at the reporting date will be out of circulation throughout the year. The rate of change used by the company when reporting interest rates internally to key management is an increase or decrease of $0.5\%$ in interest rates, which also represents management's assessment of the reasonably possible range of changes in interest rates.

If the interest rate increases or decreases by $0.5\%$ , and all other variables remain unchanged, the company's after-tax net (loss) profit in 2025 and 2024 will decrease or increase by NT$24,363 thousand and NT$20,287 thousand, mainly due to the company's change in interest rates of the loan.

I. Fair value information

(I) Financial Instruments not measured by fair value

Except as listed in the table below, the carrying amount of financial assets and financial liabilities that are not measured by fair value by the company is close to their fair value, so there is no need to disclose their fair value information.

	2025.12.31		2024.12.31
	Carrying amount	Carrying amount	Carrying amount	Fair value
Financial liabilities:
Bonds payable (Including maturity within one year)	$ 2,340,091	$ 2,358,836	$ 1,997,887	1,971,834

(II) Fair value valuation technique of financial Instruments not measured by fair value Financial liabilities measured by amortized cost: if there is a transaction or market

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

maker's quotation data, the latest transaction price and quotation data will be used as the basis for evaluating the fair value; if there is no market value for reference, the evaluation method will be used to estimate. The fair value of ordinary corporate bonds payable is measured by the second-level input value. The fair value is calculated based on the weighted average NT$100 price of the over-the-counter trading center on the reporting day.

(III) Financial Instruments measured by fair value

The company uses market-observable input values as much as possible when measuring its assets and liabilities. The level of fair value is classified as follows based on the input value used in the valuation technique:

Level 1: Public quotation (unadjusted) of the same asset or liability in an active market.
Level 2: Except for the public quotes included in the first level, the input parameters of assets or liabilities are observable directly (that is, prices) or indirectly (that is, derived from prices).
Level 3: The input parameters of assets or liabilities are not based on observable market data (non-observable parameters).

(16) Financial risk management

I. Summary

The company is exposed to the following risks due to the use of financial instruments:

(I) Credit risk
(II) Liquidity risk
(III) Market risk

This note expresses the company's risk information on the above-mentioned risks, the company's objectives, policies and procedures for measuring and managing risks. For further quantitative disclosure, please refer to the notes of the financial report.

II. Risk management structure

The board of directors is solely responsible for overseeing the company's risk management structure, in order to be responsible for the development and control of the company's risk management policies, and regularly report its operations to the board of directors.

The establishment of the company's risk management policy is to identify and analyze the risks faced by the company, set appropriate risk limits and controls, and supervise the compliance of risks and risk limits. Risk management policies and systems are regularly reviewed to reflect market conditions and changes in the company's operations. The company develops a disciplined and constructive control environment through training, management standards and operating procedures, so that all employees understand their roles and responsibilities.

III. Credit risk

Credit risk is the risk of financial loss caused by the company's customers or financial Instruments' counterparties failing to fulfill contractual obligations. It mainly comes from the company's accounts receivable from customers.

(I) Accounts receivable and other receivables

The company's credit risk exposure is mainly affected by the individual conditions of each customer. The company's customers are scattered across a broad consumer

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

base. In order to reduce the credit risk of accounts receivable, the company requires customers to directly disburse their bank loans to the company from their lending bank, so the credit risk can be effectively controlled.

The company has set up allowance for doubtful accounts to reflect the estimation of the losses incurred in the corresponding accounts receivable and other receivables and investments. The main components of an allowance account include specific loss components related to individual significant exposures, and combined loss components established for similar asset groups that have occurred but have not been identified. The combined loss allowance account is determined based on historical payment statistics of similar financial assets.

(II) Investment

The credit risk of bank deposits and other financial instruments is measured and monitored by the company's financial department. Since the company's trading partners and other parties are creditworthy banks and financial institutions, corporate organizations and government agencies with investment grade and above, there is no major performance concerns, so there is no major credit risk.

(III) Guarantee

As of December 31, 2025 and 2024, the company has not provided any endorsement guarantee.

IV. Liquidity risk

Liquidity risk refers to the risk that the company cannot deliver cash or other financial assets to settle financial liabilities and fail to perform related obligations. The company's method of managing liquidity is to ensure that the company has sufficient liquidity to meet the due liabilities under normal and stressful situations as much as possible, without causing unacceptable losses or causing the company's reputation to suffer risk of damage.

V. Market risk

Market risk refers to the risk that changes in market prices, such as changes in interest rates and equity instrument prices, affect the company's income or the value of financial Instruments held. The goal of market risk management is to control the risk of market risk within a tolerable range and to optimize the return on investment.

(17) Capital management

The company's capital management goal is to ensure the ability to continue operations, to continue to provide shareholder compensation and other stakeholders' benefits, and to maintain the best capital structure to reduce capital costs.

In order to maintain or adjust the capital structure, the company may adjust the dividends paid to shareholders, reduce capital to return shareholders' shares, issue new shares or sell assets to settle liabilities.

The company, like its peers, controls capital on the basis of debt-to-capital ratio. The ratio is calculated by dividing net liabilities by total capital. Net liabilities are the total liabilities listed in the balance sheet minus cash and cash equivalents. Total capital is the total component of equity (that is, equity, Capital reserve, retained earnings and other equity) plus net liabilities.

The company's capital management strategy in 2025 is the same as in 2024. The management authority uses appropriate net liabilities (total equity plus net liabilities) or other financial ratios to determine the company's optimal capital and ensure that financing can be carried out at a reasonable cost. The debt-to-equity ratios for December 31, 2025 and 2024 are as follows:

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

	2025.12.31	2024.12.31
Total liabilities	$ 14,089,761	12,730,614
Minus: Cash and cash equivalents	(292,706)	(490,709)
Net liabilities	13,797,055	12,239,905
Total equity	4,434,363	4,390,279
Adjusted capital	$ 18,231,418	16,630,184
Debt-to-equity ratio	75.68%	73.60%

7. Related party transaction

(1) Name and relationship of related parties

The related parties that have transactions with the company during the period covered by this financial report are as follows:

Name of related parties	Relationship with the company
WE & WIN Investment Co., LTD.	The chairman of the company is the same as the chairman of this company
WE & WIN Diversification Co., LTD.	"
Lee Chih-Ming Architect office	The general manager of the company is the same as the person in charge of the firm
Metropolitan Living Development Co., LTD.	Associate of the company
Good life Co., LTD.	"
Yunzan Construction Co., Ltd.	"
WE & WIN International Hospitality Co., LTD.	The chairman of the company has a close relationship with the chairman of this company
Lian Li Construction LTD.	"
WE & WIN Kenting Co., LTD.	"
Mei-Li Construction Co.,Ltd.	The director of the company is the same as the chairman of this company
Tseng ○○	Key management personnel of the company
Yang ○○	The director of the company

(2) Other transaction of related party

I. Sales transaction

(I) Sell merchandise to related parties
Name of related parties	Subject matter	Total contract price (excluding tax)	Amount charged	Revenue
2025.12.31
Other related parties	Xiande	$ 6,250	825	5,976
	Section, Kaohsiung
2024.12.31
Other related parties	WE&WIN Shi-Yu	$ 12,300	12,300	12,112

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

The price of selling the premises to related parties is not significantly different from the general sales price, and the payment terms are not significantly different from those of non-related parties.

II. Purchase transaction

(I) Purchase labor services from related parties

	2025	2024
Other related parties—Administration fee, service fee	$ 2,800	4,867

The purchase conditions of related parties are nothing more than related party transaction for comparison.

(II) Contracted Construction Projects

Type of related parties	Item	Total contract price (excluding tax)	Current Period Billable Amount:		Cumulative Billable Amount:
			2025	2024	2025	2024
Other related parties—Meili Construction Co., Ltd.	Kaohsiung Siwei case	$ 223,810	59,650	120,896	180,546	120,896
Affiliated company–Yunzan Construction Co., Ltd..	WE&WIN Yuan-Lang	3,013,571	383,451	316,473	699,924	316,473
”	No. 77, Beitou Xinzhoumei Section	379,667	-	-	-	-
		$ 3,393,238	383,451	316,473	699,924	316,473

The purchases from related parties mentioned above are based on the company's established procedures for soliciting bids, negotiating prices, and project budgeting to determine the contract prices. Payments are made periodically according to the contract terms based on the progress of the project. The transaction prices and payment terms are not significantly different from those of similar transactions in the industry.

III. Receivable /Payable to related parties

The details of the payment due to related parties by the company are as follows:

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Item	Type of related parties	2025.12.31	2024.12.31
Notes receivable and Accounts receivable	Other related parties:
	Yang ○○(Note)	$ 5,425	$ -
	Other related parties	32	32
		$ 5,457	$ 32
Other receivable	Other related parties	$ 2,591	-
Notes payable	Other related parties	$ 9	9
Accounts payable	Other related parties	$ 18,055	$ 37,399
Accounts payable	Affiliated company	35,569	32,076
		$ 53,624	$ 69,475

Note: The amount was fully recovered on January 7, 2026.

IV. Acquisition of financial assets

The details of the parties involved in the cash capital increase in 2025 and 2024 are summarized as follows:

Related	Ledger Account	Number of Shares Traded (Shares)	Transaction Subject	Amount of Capital Increase
Persons
Category
Related	Investments using the equity method	5,188,591	Good life Co., LTD.	$ 51,885
Company
Related	Ledger Account	Number of Shares Traded (Shares)	Transaction Subject	Amount of Capital Increase
Persons
Category
Related	Investments using the equity method	2,672,731	Good life Co., LTD.	$ 26,728
Company

V. Loan to related parties

The actual expenditures of the company's capital loans and related parties are as follows:

	2025.12.31	2024.12.31
Associate- Metropolitan Living Development Co., LTD.	$ 50,000	50,000

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

The company's capital loaner are unsecured loans, and interest is charged monthly at an annual interest rate of 5%. If the payment was overdue, interest was calculated at an annual interest rate of 10% in 2020, and interest was calculated at an annual interest rate of 20% starting from January 1st, 2021. However, since it exceeds the statutory limit of 16% as specified in Article 205 of the Civil Code, it is calculated at 16%. Interest income in 2025 and 2024 are NT$ 41 thousands and NT$ 45 thousands.

After evaluating the company's financial status in 2019, an expected credit impairment loss of NT$50 million was listed. On July 3rd, 2020, the company received a payment order between the company and the debtor Metropolitan Life Development Co., Ltd. issued by the Kaohsiung District Civil Court confirmed on June 22nd, 2020. On December 14th, 2020, it obtained the credit certificate from Shilin District Court.

Other receivables on December 31st, 2025 and 2024 are all NT$ 0.

VI. Financing to Related Parties

In August 2023, the Company's Board of Directors resolved to apply for revolving working capital financing from another related party, Lian Li Construction Co., LTD. with a total limit of NT$639,000,000. The Company provided land for construction use, located at Lots 107 and 108 in Xinzhou Subsection, Beitou District, Taipei City, valued at NT$276,934,000 as collateral, and set a second-priority mortgage of NT$767,000,000 for the company. As of December 31, 2025 and 2024, the actual amount borrowed are all NT$ 0.

VII. Lease

The company leases Kaohsiung office to other related parties and signs a five-year lease contract. The total annual contract value is NT$36 thousand (tax included). The rental costs for 2025 and 2024 are both NT$34 thousand.

VIII. Other

Item	Type of related parties	2025.12.31	2024.12.31
Expenses of other business	Other related parties:	$ 376	278
n	Affiliated company	27	-
		$ 403	278
Income from other services	Other related parties	$ 367	367

(3) Key management transactions

Remuneration of key management personnel includes:

	2025	2024
Short-term Employee Benefits	$ 12,752	23,458

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

8. Pledged assets

The details of the book value of the assets provided by the company as pledge guarantee are as follows:

Asset Name	Pledge guarantee subject	2025.12.31	2024.12.31
Inventory	Loans from financial institutions and Financing provided to related parties with accompanying guarantees	$ 14,883,667	13,003,592
Other financial asset
- Current	Price trust account, green building guarantee and co-construction deposit, and Secured Corporate Bonds etc.	1,316,743	1,194,855
Investment Property	Loans from financial institutions	71,415	72,439
Other financial asset
- non-current	Ordinary corporate bond guarantee	303,909	534,676
		$ 16,575,734	14,805,562

9. Significant contingent liabilities and unrecognized contractual commitments

(1) The sales contract prices signed by the company with customers for the cases launched are as follows:

	2025.12.31	2024.12.31
Signed sales contract price (excluding tax)	$ 10,438,245	10,522,257
Amount collected as agreed (without tax)	$ 2,417,909	2,219,423

(2) The total price of the main contract signed by the company for the project under construction is as follows:

	2025.12.31	2024.12.31
The price of the signed construction contract (without tax)	$ 8,959,586	9,378,016
Amount not yet denominated (without tax)	$ 5,340,757	6,762,055

(3) The total price of the land sale and purchase contract signed by the company for the purchase of land is as follows:

	2025.12.31	2024.12.31
The total price of the signed sale and purchase agreement	$ 846,780	$ 1,096,530
Amount not yet paid	$ 608,768	$ 708,532

(4) As of December 31, 2025, the company's construction projects and projects were successfully constructed and delivered. The trust registration cases are as follows:

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

Item	trustee	Date of contract	Trust scope
Beitou Taoyuan Case	Land Bank	2012.04.26~Until the date when the purpose of the trust is completed	Property rights trust
WE&WIN Guang Yu	Land Bank	2013.07.17~Until the date when the purpose of the trust is completed	Land trust, Real Estate Development Trust
WE&WIN Da-Shi	Land Bank	2016.08.20~Until the date when the purpose of the trust is completed	n
WE&WIN Yuan-Lang	Land Bank	2018.12.19~Until the date when the purpose of the trust is completed	n
WE&WIN Ju Chuan	Land Bank	2022.03.17~Until the date when the purpose of the trust is completed	n
No. 77, Beitou Xinzhoumei Section	Land Bank	2022.08.25~Until the date when the purpose of the trust is completed	Land trust
Taipower Renai Road Case	Land Bank	2022.12.01~Until the date when the purpose of the trust is completed	Price trust
Taishan section	China Real Estate Management	2024.03.29~Until the date when the purpose of the trust is completed	Land trust
We & Win Intelligent Technology Commercial Building	Hua Nan Bank	2025.07.25~Until the date when the purpose of the trust is completed	Land trust, Real Estate Development Trust

(5) The details of the joint construction contract signed between the company and the landlord on December 31, 2025 and 2024 are as follows:

Project name 2025.12.31	Landlord	Land number	The nature of joint construction	Estimated completion year
WE&WIN Guang Yu	Ten people including Lu	Qingsheng Section, Zhongli District, Taoyuan City	Jointly built and allocate houses	2027
WE&WIN Yuan-Lang	Eleven people including Li, Lin, Zhang, Chen and the landlord	Sixin Section, Xindian District, New Taipei City	Jointly built and sold separately	2029
Taipower case	Taiwan Power Co., Ltd.	Linyi Section, Zhongzheng District, Taipei City	Jointly built and allocate houses	2027
Beitou Xinzhoumei 34 Case	Nine people including Lin	Xinzhoumei Section, Beitou District, Taipei City	n	Undecided
WE&WIN Ju Chuan	Mr./Ms. Yeh and the other 17 people	Jen Hsin Section, San Chong District, New Taipei City	n	2029
The Case Xindian Shisichang	Mr./Ms. Chen and the other three people	Da Feng Section, Xindian District, New Taipei City, and so on.	n	Undecided
No. 77, Beitou Xinzhoumei	Mr./Ms. He and the other three people	Xinzhoumei Section, Beitou District, Taipei City	n	2029
Tainan Annan Kegong Case	Hi-Yes Construction Co., Ltd. And Xi-hua Construction Co., Ltd.	Kegong Section, Annan District, Tainan City	Joint investment and building	Undecided
No. 261 Zhixing Section, Wanhua District	China Man-Made Fiber Corporation	No. 261 Zhixing Section, Wanhua District	Jointly built and allocate house	n
Taishan section	Seven people including Lee.	Section 2, Taishan Section, Taishan District, New Taipei City	n	n
Taishan section	Two people including Lee.	Section 2, Taishan Section, Taishan District, New Taipei City	n	n
Wanzi Zhen, Area 2, Jianguo Section	Mr.Chang	Jianguo Section, Xinzhuang District, New Taipei City	n	n
Wugu Wang Section, Sanchong District	China Man-Made Fiber Corporation	Wugu Wang 1st Section, Sanchong District, New Taipei City	n	n
Xinmin Old Street Public Urban Renewal	Taoyuan City Government	Taoyuan Section, Taoyuan District, Taoyuan City	n	n
Wugu Commercial Office Urban Renewal Project	Young Sun Chemical Works LTD.	Yushi Section, Wugu District, New Taipei City	n	n

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

| Project name
2024.12.31 | Landlord | Land number | The nature of joint
construction | Estimated
completion year |
| --- | --- | --- | --- | --- |
| WE&WIN Guang Yu | Ten people including Lu | Qingsheng Section, Zhongli District,
Taoyuan City | Jointly built and
allocate houses | 2027 |
| WE&WIN Da-Shi | Fifteen people including Chen | Sanchong Section, Sanchong District,
New Taipei City | 〃 | 2025 |
| WE&WIN Yuan-Lang | Eleven people including Li, Lin,
Zhang, Chen and the landlord | Sixin Section, Xindian District, New
Taipei City | Jointly built and
sold separately | 2028 |
| Taipower case | Taiwan Power Co., Ltd. | Linyi Section, Zhongzheng District, Taipei
City | Jointly built and
allocate houses | 2027 |
| Beitou Xinzhoumei 34
Case | Nine people including Lin | Xinzhoumei Section, Beitou District,
Taipei City | 〃 | Undecided |
| WE&WIN Ju Chuan | Mr./ Ms. Yeh and the other 17
people | Jen Hsin Section, San Chong District,
New Taipei City | 〃 | 2028 |
| The Case Xindian
Shisichang | Mr./Ms. Chen and the other three
people | Da Feng Section, Xindian District, New
Taipei City, and so on. | 〃 | Undecided |
| No. 77, Beitou
Xinzhoumei | Mr./Ms. He and the other three
people | Xinzhoumei Section, Beitou District,
Taipei City | 〃 | 〃 |
| Tainan Annan Kegong
Case | Hi-Yes Construction Co., Ltd.
And Xi-hua Construction Co.,
Ltd. | Kegong Section, Annan District,
Tainan City | Joint investment and
building | 〃 |
| No. 261 Zhixing
Section, Wanhua
District | China Man-Made Fiber
Corporation | No. 261 Zhixing Section, Wanhua District | Jointly built and
allocate house | 〃 |
| Taishan section | Seven people including Lee. | Section 2, Taishan Section, Taishan
District, New Taipei City | 〃 | 〃 |
| Taishan section | Two people including Lee. | Section 2, Taishan Section, Taishan
District, New Taipei City | 〃 | 〃 |
| Wanzi Zhen, Area 2,
Jianguo Section | Mr.Chang | Jianguo Section, Xinzhuang District, New
Taipei City | 〃 | 〃 |
| Wugu Wang Section,
Sanchong District | China Man-Made Fiber
Corporation | Wugu Wang 1st Section, Sanchong
District, New Taipei City | 〃 | 〃 |

(6) Other unrecognized contractual commitments:

Item	Subject	2025.12.31	2024.12.31
Guarantee notes received	Outsourcing engineering and equipment procurement, etc.	$ 832,748	$ 859,313
Guaranteed notes submitted	Purchase of construction land	$ 42,570	$ 42,570

(7) ☐ Real Estate Co., Ltd. (referred to as the plaintiff) on September 12, 2016 through the Taoyuan District Court to the company for a total of NT$106 million and an annual interest rate from the day following August 15, 2016 to the settlement date 5 % calculated by interest. The reason was that the company planned to build pre-sale houses on 11 lands, including the Xiapu Section, Wukuo Section, Dayuan District, Taoyuan City. The plaintiff took the initiative to propose an underwriting plan, build a reception center, and put forward sales planning proposals, etc., all paid during the period is approximately NT$106 million. The company received a civil complaint from the Taoyuan District Court on October 11, 2016. Although the plaintiff claimed that the company should appoint him to sell and advance related expenses, he requested to repay the related expenses, but the parties did not have written the appointment contract and any exchange documents record the advancement. The judgment of this case was pronounced on July 6, 2020. The plaintiff's lawsuit and the false execution petition were rejected. The litigation costs were borne by the plaintiff, but the plaintiff has filed an appeal. Taiwan High Court Transfer to Mediation. According to the lawyer's opinion, there is no matter that will materially affect the company's finances.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

(8) On February 7, 2024, the Company filed a lawsuit with the Civil Division of the Shilin District Court against Zhimin Wang and six other landowners regarding the Beitou Taoyuan case, seeking the return of the amount of NT$25,414. After evaluation, the Company determined that no impairment is expected for the amount, and the land owned by the landowners is also under trust management by the Land Bank, with no significant impact on the Company’s financial position.

(9) In accordance with the Financial Supervisory Commission’s letter dated September 5, 2012, Financial Supervisory Bandars Note No. 10100274650, the article 8 of the matters needing attention when handling the pre-sale housing real estate development trust and the price trust business was negotiated. On December 31, 2025, the pre-sale house price trust signed by the company and the bank, the collection information of each special account is as follows:

I. WE&WIN Da-Shi
(I) Amount of advance receipt that should be delivered to the trust: NT$353,168 thousand.
(II) Amount of advance receipt actually delivered to the trust: NT$353,168 thousand.
(III) The amount and date the company should deliver to the trust are consistent with the actual delivery of the trust, and there is no delay in the delivery of the trust.

II. WE&WIN Yuan-Lang
(I) Amount of advance receipt that should be delivered to the trust: NT$1,336,280 thousand.
(II) Amount of advance receipt actually delivered to the trust: NT$1,336,280 thousand.
(III) The amount and date the company should deliver to the trust are consistent with the actual delivery of the trust, and there is no delay in the delivery of the trust.

III. WE&WIN Ju Chuan
(I) Amount of advance receipt that should be delivered to the trust: NT$213,070 thousand.
(II) Amount of advance receipt actually delivered to the trust: NT$213,070 thousand.
(III) The amount and date the company should deliver to the trust are consistent with the actual delivery of the trust, and there is no delay in the delivery of the trust.

IV. WE&WIN Guang Yu
(I) Amount of advance receipt that should be delivered to the trust: NT$524,830 thousand.
(II) Amount of advance receipt actually delivered to the trust: NT$524,830 thousand.
(III) The amount and date the company should deliver to the trust are consistent with the actual delivery of the trust, and there is no delay in the delivery of the trust.

V. WE&WIN Intelligent Technology Commercial Building
(I) Amount of advance receipt that should be delivered to the trust: NT$62,120 thousand.
(II) Amount of advance receipt actually delivered to the trust: NT$62,120 thousand.
(III) The amount and date the company should deliver to the trust are consistent with the actual delivery of the trust, and there is no delay in the delivery of the trust.

Major disaster loss: None.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

11. Significant post-period events:

The Company resolved to issue the 1st secured straight corporate bond issuance in fiscal year 2026 at the Board of Directors meeting on November 5, 2025, bearing a coupon rate of 1.88% and in the principal amount of NT$250,000 thousand. The aforementioned corporate bond was approved and became effective upon filing with the Taipei Exchange on January 2, 2026, and the fundraising was completed on January 12, 2026.

12. Other

(1) The functions of Employee Benefits, Depreciation, Depletion and Amortization expense are summarized as follows:

| Function
Nature | 2025 | | | 2024 | | |
| --- | --- | --- | --- | --- | --- | --- |
| | Belonging to operating costs | Belonging to operating costs | Belonging to operating costs | Belonging to operating costs | Belonging to operating expenses | Total |
| Employee Benefits expenses | | | | | | |
| Salary expenses | - | 30,192 | 30,192 | - | 45,538 | 45,538 |
| Labor and health insurance expenses | - | 3,608 | 3,608 | - | 3,282 | 3,282 |
| Pension expenses | - | 1,678 | 1,678 | - | 1,609 | 1,609 |
| Directors’ remuneration | - | 6,408 | 6,408 | - | 12,606 | 12,606 |
| Other Employee Benefits expenses | - | 1,978 | 1,978 | - | 2,418 | 2,418 |
| Depreciation expense | 1,024 | 14,107 | 15,131 | 1,066 | 14,487 | 15,553 |
| Amortization expense | - | 119 | 119 | - | 119 | 119 |

Additional information on the number of employees and Employee Benefits of the company in 2025 and 2024 are as follows:

	2025	2024
number of workers	41	41
Number of directors who are not part-time employees	6	6
Average Employee Benefits expenses	$ 1,213	1,510
Average employee salary expenses	$ 1,005	1,301
Average situation of employee salary expenses’ adjustment	(22.75)%	42.03%
Supervisor’s remuneration	$ -	-

The company's salary and remuneration policy (including directors, managers and employees) are as follows:

The company's directors, managers and employees' remuneration policies are based on market conditions, company operating conditions, personnel's professional qualifications, and relevant regulations and methods (such as Articles 16 and 19 of the Articles of Association, employees' and Directors' remuneration methods, salary Management measures and company performance management measures, etc.) shall be implemented.

The remuneration of directors is determined annually in accordance with the aforementioned company regulations, and with reference to the degree of participation and contribution of the directors to the company's operations, after review by the remuneration committee, the board of directors resolves and approves reasonable remuneration.

The remuneration of the company's managers and employees includes recurring salaries and benefits for fixed items, bonuses and Employee bonus stock for variable items. The remuneration

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

for variable items is evaluated based on comprehensive considerations such as the company's operating profitability and personal performance. The remuneration items of managers also need to be reviewed by the remuneration committee, and then approved by the board of directors.

(1) Other: In 2024, the Company donated NT$200 thousand respectively to various foundations, social groups, and other legal entities. The donations were aimed to help improve the environment and various research and development initiatives.

13. Note to Disclosure Matters

(1) Information about major transactions

In 2025, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, the Company shall disclose Information about major transactions as follows:

I. Loan funds to others:

Unit: Thousands of New Taiwan Dollars

No.	The company that lends the funds	The object of the loan	Subjects	If it is related parties	The highest amount of the current period	Ending balance	Actual spending amount	Interest rate range	The nature of the loan	Business transaction amount	Reasons why short-term financing is necessary	Allowance for loss	Guarantee		Loan and limit of funds for individual objects	Fund loan and total limit
												Amount	Name	Value
0	Our company	Metropolitan Living Development	Other receivables	Yes	50,000	50,000	50,000	20% (Note)	2	-	Operating turnover	50,000	-	-	443,436	886,873

(Note) Both parties agreed upon 20%, however, as it exceeds the statutory limit of 16% as specified in Article 205 of the Civil Code, it is calculated at 16%.

Note 1: The nature of the fund loan is as follows:

(1) Those who have business contacts.
(2) There is a need for short-term financing.

Note 2: The company's Procedure for Lending Funds sets the limits for total amount of funds lent and individual objects as follows:

The total loan amount of the company shall not exceed 40% of the company's net value.
There is a need for short-term financing of funds between companies or between banks, and the total amount of funds loaned to others shall not exceed 20% of the company's net worth, and the amount of individual loans shall not exceed a percentage of the company's net worth Ten of them are limited.
The company or bank number with which the company has business dealings, the individual loan amount and the total loan amount shall not exceed the business transaction amount between the two parties, and the total loan amount shall not exceed 20% of the company's net worth Is limited. The term "business transaction amount" refers to the maximum amount of purchases or sales between the two parties in the most recent fiscal year, whichever is higher.
The authorized amount of the company's or its subsidiaries' capital loans to a single enterprise shall not exceed 10% of the company's or its subsidiaries' most recent net value of financial statements.

Note 3: In January 2019, the company lent funds to the Metropolitan Living Development Co., Ltd. (hereinafter referred to as "MLD") The repayment was overdue due to the financial difficulties of Metropolitan, and there was no property to be detained. Therefore, the company will check MLD's assets every year, and continue to negotiate the repayment. In addition, according to the principle of conservative and stable income, the relevant interest income will be recognized as interest income. Please refer to Appendix 7 for other explanations.

II. Endorsement guarantee for others: None.
III. Status of holding securities at the end of the period (excluding investment subsidiaries, Associate and Interests in Joint Ventures): None.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

IV. If the amount of purchase or sale with related parties reaches NT$100 million or more than 20% of the paid-in capital:

Unit: Thousands of New Taiwan Dollars

Companies engaged in purchases (sales) of goods	Trading partners	relationship	Transaction Details				Conditions of the transaction that differ from typical transactions and the reasons for such differences.		Receivables (Payables) from Notes and Accounts		Note
			Purchases (Sales) of Goods	Amount	Percentage of Total Purchases (Sales)	Credit Period	Unit Price	Credit Period	Balance	Percentage of Total Receivables (Payables) from Notes and Accounts
Our company	Yunzan Construction Co., Ltd.	Affiliated company	Purchase	383,451	17 %	Payment in installment according to the contract	-	no significant difference	(35,569)	(6)%

V. Receivables from related parties amounting to NT$100 million or more than 20% of the paid-in capital: None.

VI. Business relations and important transactions between parent and subsidiary companies: None.

(2) Information about re-investment business:

The company's reinvestment business information for 2025 is as follows (excluding China's investee company):

VII. Unit: Thousands of shares/NT$ thousand

Name of investment company	Name of investee company	Area	Main business items	Original investment amount		Hold at the end of the period			Current profit and loss of invested company	Investment profit and loss recognized in the current period
				At the end of the period	At the end of the previous period	Number of shares	Ratio	Carrying amount
Our company	Metropolitan Living Development	Taiwan	Catering and hotel industry	214,936	214,936	10,459	26.43%	-	(36,818)	-
Our company	Good life Co., LTD.	Taiwan	The BOT Project in Kaohsiung Aozihdi Parking Area	138,546	86,661	13,855	15.57%	134,044	(9,235)	(1,393)
Our company	Yunzan Construction Co., Ltd.	Taiwan	Construction and residential and commercial real estate development	15,000	15,000	3,000	30.00%	10,782	7,365	(2,524)

Note: The net worth of Metropolitan Living Development Co., LTD. in December 31st, 2025 and 2024 was negative. The company has no defined or presumed obligations to it. Therefore, the balance of the investment using equity is recognized to be zero.

(3) Information about China Investment: None.

WE & WIN Development Co., LTD. Notes to Financial Report (Continued)

14. Department Information

The reportable department of the company is a professional construction unit, mainly engaged in residential and building development, lease and sale, real estate sales, and computer equipment installation. In addition, the department’s profit and loss, department assets and department liabilities information are consistent with the financial statements. Please refer to the Balance sheet and statement of comprehensive income.

WE & WIN Development Co., LTD.
List of Inventory
December 31, 2025
Unit: Thousands of New Taiwan Dollars

Item	Amount	Mortgage or guarantee provided
Prepaid land payment:
No. 26, Beitou Xinzhoumei Section	$ 76,954	None
Taipower Case	144,450	〃
Tainan Yuantian Case	123,562	〃
No. 77, Beitou Xinzhoumei Section	3,316	〃
Jen Hsin Section of San Chung District	3,800	〃
	322,082
Land for construction:
WE&WIN Dajiang Case
(Wukuicuo Section, Taoyuan City)	293,122	Mortgage for Hua Nan Bank
No. 107 and 108, Beitou Xinzhoumei Section	276,934	Mortgage for Farglory Life
No. 34, Beitou Xinzhoumei Section	354,528	Mortgage for BANK SINOPAC
Case of Kaohsiung Fengshan	1,265,018	Mortgage for Land Bank
Tainan Annan Kegong Case	937,736	〃
North Side of Luzhou	110,832	Mortgage for Hwa Tai Bank
The case of Yuan Bei Section, Tainan	306,208	Mortgage for Hua Nan Bank
No. 10, Beitou Xinzhoumei Section	36,625	Mortgage for DBS Bank
Tangzai Canal in Tai Shan District, Xin Zhuang, New Taipei City	16,776	〃
Cadastral number 877, Qionglin Section, Xin Zhuang District	15,431	〃
Cadastral number 829, Qionglin Section, Xin Zhuang District	18,959	〃
Cadastral number 821, Qionglin Section, Xin Zhuang District	16,142	〃
Taipower Renai Road Case	250,025	Mortgage for Land Bank
Other	15,657	None
	3,913,993
Building under construction:
We & Win Guang-Yu	1,268,896	Mortgage for Land Bank
Kaohsiung Siwei case	1,161,622	Mortgage for Yuanta Bank
WE&WIN Yuan-Lang	2,639,600	Mortgage for Land Bank
Taipower Renai Road Case	597,324	〃
No. 26, Beitou Xinzhoumei Section	3,298,885	Mortgage for Hua Nan Bank
We & Win Ju-Chuan	367,591	Mortgage for Land Bank
No. 77, Beitou Xinzhoumei Section	86,509	None
Other	69,812	None
	9,490,239

Item	Amount	Mortgage or guarantee provided
Property for sale:
WE&WIN Shi-Jie	60,519	Mortgage for Ta Ching BILLS
WE&WIN Liang	291,310	Mortgage for MEGA BILLS
WE&WIN Tianmu	343,026	Mortgage for Ta Ching BILLS
WE&WIN Da-Shi	957,558	Mortgage for Land Bank
	1,652,413
Total inventory	$ 15,378,727

WE & WIN Development Co., LTD.
List of other financial assets-current
December 31, 2025
Unit: Thousands of
New Taiwan Dollars

For related information, please refer to Note 6 (4)

WE & WIN Development Co., LTD.

List of short-term loan

December 31, 2025

Unit: Thousands of
New Taiwan Dollars

Type of loan	explanation	Ending balance	Contract period	Interest rate range	Financing amount	Mortgage or guarantee
Land Bank	Mortgage for loan	156,000	2022.11.08~2027.11.08	Note	156,000	Under construction
"	"	469,282	2024.06.18~2028.06.18	"	469,294	"
"	"	96,330	2025.05.27~2027.05.28	"	96,330	Property for sale
"	"	62,947	2021.04.27~2028.04.08	"	125,800	Under construction
"	"	413,490	2023.09.01~2028.09.01		462,000	"
"	"	174,400	2025.01.08~2030.01.08		174,400	Construction land
"	"	884,000	2018.04.18~2026.04.18	"	884,000	Under construction
"	"	733,354	2021.07.02~2026.07.02	"	783,106	"
"	"	63,400	2024.06.28~2029.06.28	"	63,400	"
"	"	421,300	2022.01.03~2027.01.03	"	505,600	Construction land
"	"	600,000	2022.01.05~2027.01.05	"	720,000	"
Hua Nan Bank	"	1,665,984	2023.04.10~2028.04.10	"	1,670,000	Under construction
"	"	330,000	2023.06.29~2028.04.10	"	330,000	"
"	"	295,000	2024.11.28~2028.04.10	"	298,466	"
"	"	104,705	2024.08.13~2026.08.13	"	136,675	Construction land
"	"	24,450	2025.11.07~2026.11.07	"	300,000	Pledged Deposits
Yuanta Bank	"	660,250	2022.01.03~2029.01.31	"	660,250	Under construction
BANK SINOPAC	"	181,260	2021.01.06~2026.01.06	"	181,260	Construction land
Hwa Tai Bank	"	76,260	2025.03.05~2026.03.05	"	76,260	"
"	"	248,000	2025.08.18~2026.08.18	"	248,000	"
DBS bank	"	60,300	2025.04.30~2026.03.31	"	63,930	"
Farglory Life	"	229,000	2023.01.16~2026.01.16	"	229,000	"
		7,950,712			8,633,771
Ta Ching BILLS	"	155,600	2025.09.26~2026.09.26	"	155,600	Property for sale
"	"	125,000	2025.09.26~2026.09.26	"	125,000	"
MEGA BILLS	"	232,000	2025.10.21~2026.10.20	"	232,000	"
		512,600			512,600
Total		$ 8,463,312			9,146,371

Note: Interest rate range 2.32%~3.50%.

WE & WIN Development Co., LTD.
List of contract liabilities
December 31, 2025
Unit: Thousands of
New Taiwan Dollars

Item	Summary	Amount	Note
Advance payment for premises	WE&WIN
Yuan-Lang	$ 1,276,421
	WE&WIN
Da-Shi	245,012
	We & Win
Guang-Yu	513,977
	WE&WIN Ju-Chuan	204,255
	We & Win
Tianmu	124,272
	Other	53,972	The amount of each item does not exceed 5% of the amount of the subject
		$ 2,417,909

WE & WIN Development Co., LTD.
List of Company Bonds Payable
December 31, 2025
Unit: Thousands of New Taiwan Dollars

Bond name	Trustee	Issued date	Date of interest payment	interest rate	Amount					Repayment method	Guarantee situation
					Total issuance	Sold back Number	Ending balance	Unamortized premium (discount)	Book amount
Guaranteed first ordinary corporate bond in 2020	TAIPEI FUBON BANK	2020.11.27	annually	0.62%	$ 500,000	(500,000)	-	-	-	Repayment of principal at maturity	-
Guaranteed second ordinary corporate bond in 2020	〃	2021.01.13	〃	〃	500,000	-	500,000	-	500,000	〃	Bank deposits (Other financial assets-current)
Guaranteed first ordinary corporate bond in 2021	〃	2021.06.25	〃	0.57%	300,000	-	300,000	(134)	299,866	〃	〃
Guaranteed second ordinary corporate bond in 2021	〃	2021.10.14	〃	〃	300,000	-	300,000	(185)	299,815	〃	〃
Guaranteed third ordinary corporate bond in 2021	〃	2021.11.01	〃	〃	400,000	-	400,000	(288)	399,712	〃	〃
Guaranteed first ordinary corporate bond in 2025	Land Bank of Taiwan Co., Ltd.	2025.05.29	〃	2.15%	500,000	-	500,000	(4,816)	495,184	〃	Bank deposits (Other financial assets-non-current)
Guaranteed second ordinary corporate bond in 2025	TAIPEI FUBON BANK	2025.11.26	〃	1.90%	350,000	-	350,000	(4,486)	345,514	〃	〃
minus : corporate bonds payable – current portion					(1,500,000)	-	(1,500,000)	607	(1,499,393)	〃	〃
					$ 1,350,000	(500,000)	8250,000	(9,302)	840,698

WE & WIN Development Co., LTD.
List of operating income
January 1 to December 31, 2025
Unit: Thousands of
New Taiwan Dollars

Item	Quantity	Amount
Land Income		$ 912,943
Building Income		336,430
Rental income		6,274
		$ 1,255,647

List of operating costs

Item	Quantity	Amount
Land Cost		$ 517,614
Building Cost		408,268
Lease cost		1,024
		$ 926,906

WE & WIN Development Co., LTD.
List of operating expenses
January 1 to December 31, 2025
Unit: Thousands of
New Taiwan Dollars

Item	Marketing expenses	Management expenses	Total
Salary	$ -	41,381	41,381
Tax	-	14,727	14,727
Commission expense	40,483	-	40,483
Advertising fee	21,750	2	21,752
Depreciation	-	14,107	14,107
Service expenses	-	7,065	7,065
Other (Note)	1,460	25,829	27,289
	$ 63,693	103,111	166,804

Note: The amount of each item does not exceed 5% of the amount of the subject

AI assistant

WE & WIN — Audit Report / Information 2026

52146_rns_2026-05-20_a4cd3fd5-e76f-427c-b2eb-9fa3ca414242.pdf

WE & WIN Development Co., LTD.

Financial Statements for the Years Ended December 31, 2025 and 2024 and Independent Auditors’ Report

Accountant's Audit Report

Opinion

Basis for Opinion

Other matters

Key audit matters

1. Income recognition

Accountant’s responsibility for auditing individual financial reports

4. Summary of significant accounting policies

(II) Impairment of financial assets

(IV) Derecognition of financial liabilities

(V) Offset between financial assets and liabilities

(6) Inventory

(7) Non-current Assets Held for Sale

(8) Investments in Associates

II. Lessor

(II) Financial components

II. Cost of customer contracts

(I) Incremental cost of obtaining the contract

(15) Employee Benefits

I. Defined contribution plans

II. Defined benefit plan

III. Short-term employee benefits

(16) Income tax

6. Explanation of important accounting items

(8) Employee Benefits

(I) Composition of Plan assets

(II) Changes in the present value of defined benefit obligation

(III) Changes in the fair value of plan assets

(IV) Expenses recognized as profit and loss

(V) Actuarial assumptions

(VI) Sensitivity Analysis

II. Defined contribution plans

(9) Income tax

II. Situation of income tax verification

(10) Capital and other rights

I. Capital reserve

II. Retained earnings

(12) Income from customer contracts

(13) Bonuses of Employees, Directors and Supervisors

(15) Financial Instruments

I. Type of financial Instruments

Financial asset

Financial liabilities

II. credit risk

III. Liquidity risk

7. Related party transaction

II. Purchase transaction

III. Receivable /Payable to related parties

IV. Acquisition of financial assets

V. Loan to related parties

VI. Financing to Related Parties

VII. Lease

VIII. Other

(3) Key management transactions

8. Pledged assets

9. Significant contingent liabilities and unrecognized contractual commitments

11. Significant post-period events:

12. Other

13. Note to Disclosure Matters

(1) Information about major transactions

14. Department Information

More from WE & WIN

WE & WIN Audit Report / Information 2026