YL — Call Transcript 2022

Apr 13, 2022

1

TW ： 2201

==> picture [56 x 69] intentionally omitted <==

YULON MOTOR CO., LTD. Investor Conference

==> picture [668 x 116] intentionally omitted <==

==> picture [720 x 9] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

2

==> picture [56 x 69] intentionally omitted <==

Disclaimer Statement

1. This document is provided by Yulon Motor Co., Ltd. (the “Company"). Except for the numbers and information included in the Company's financial statements, the information contained in this document has not been audited or reviewed by any accountant or independent expert. The Company makes no express or implied representations or warranties as to the fairness, accuracy, completeness, or correctness of such information or opinions. This document is provided as of the date herein and will not be updated to reflect any changes hereafter. The Company, its affiliates and their representatives do not accept any responsibility or liability for any damage caused by their negligence or any other reasons, nor do they accept responsibility or liability for any loss or damages arising from the use of this document or the information contained herein or anything related to this document.

2. This document may contain forward-looking statements, including but not limited to all statements that address activities, events or developments that the Company expects or anticipates to take place in the future based on the projections of the Company toward the future, and various factors and uncertainness beyond the Company's control. Therefore, the actual results may differ materially from those contained in the forward-looking statements.

3. This document is not and cannot be construed as an offer to purchase or sell securities or other financial products or solicitation of an offer. ‡

4. The copyright of this document is owned by the Company and / or our affiliates and may not be directly or indirectly reproduced, redistributed or forwarded to any other person and may not be published in whole or in part for any purpose.

Copyright © Yulon Motor, All rights reserved.

==> picture [720 x 9] intentionally omitted <==

3

==> picture [56 x 69] intentionally omitted <==

Agenda

Agenda Time Speaker - Opening Chien Hui Li – Senior Vice President Financial Results & Future 10 min Chien Hui Li – Senior Vice President Prospects Chien Hui Li – Senior Vice President Q&A 20 min Wen Yi Lo – Assistant Vice President Hsun-Kuei Hsieh– Department Manager

==> picture [720 x 9] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

4

==> picture [56 x 69] intentionally omitted <==

Auto Sales in Taiwan Through the Years

==> picture [666 x 196] intentionally omitted <==

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

TIV volume (unit: 10K) Growth rate (%)
50.0 43.5 20%
45.0 41.4 41.1 43.0 42.3 42.7 44.4 43.4 43.6 (F)
40.0 36.8 37.0 15%
35.5 12.0%
35.0 31.9 -29.3%
30.0 10%
6.4%
25.0 15.5%
20.0 5%
15.0
-30.3% -10.5% -0.7% 10.1
10.0 0%
5.0 1.0% 11.9% 0.5%
0.0 -2.6% -2.3% -5%
-10.5%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Jan.~Mar.
----- End of picture text -----

1. The sales volume of Taiwan from January to March in 2022 is 101K units which decrease 14% compared to 2021. New car sales were affected by factors such as shortage of automotive core chips and efficiency of logistics and freight.

2. It is expected that the economy will grow steadily and the supply of automotive parts will be stabilized. The overall Taiwan automotive market is estimated to be 436K units in 2022, and slight growth 0.5% compared to 2021.

Copyright © Yulon Motor, All rights reserved.

==> picture [720 x 9] intentionally omitted <==

5

Auto Sales in Mainland China Through the Years

==> picture [663 x 231] intentionally omitted <==

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

TIV volume (unit: 10K) Growth rate (%)
32.4%
3,500.0 35.0%
2,888.0
30.0%
3,000.0 2,802.8 2,808.1
2,576.9 2,531.1 2,627.5 2,750(F) 25.0%
2,459.8
2,500.0 2,198.4 [2,349.2 ] 20.0%
13.9% 13.9%
2,000.0 1,806.2 1,850.5 1,930.6 15.0%
6.9% 4.7% 10.0%
1,500.0 2.5% 4.3% 3.0% 3.8% 4.7%
5.0%
-1.8%
-2.8%
1,000.0 0.0%
650.9
-8% -5.0%
500.0
-10.0%
0.0 -15.0%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Jan.~Mar.
----- End of picture text -----

※The heavy trucks are included in TIV calculation

• 1.The sales volume of Mainland China from January to March in 2022 is 6.509 million units, include 5.545 million units passenger car which is increased 9% on New car sales were affected factors such as tax cuts and fee

• year year. by reductions by the public sector, and stimulate consumption policies .

• 2.Due to new model launch and the supply of automotive parts stabilization. It is estimated to be 27.5 million units in 2022, and 4.7% increase rate year on year.

Copyright © Yulon Motor, All rights reserved.

==> picture [720 x 9] intentionally omitted <==

6

==> picture [56 x 69] intentionally omitted <==

Consolidated Comprehensive Income Statements

(NT $ Million)

==> picture [659 x 342] intentionally omitted <==

==> picture [720 x 9] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

7

==> picture [56 x 69] intentionally omitted <==

Consolidated Balance sheet Statements

(NT $ Million)

	Amount % Amount % Amount % Consolidated Consolidated Consolidated 2021Q4 2020Q4 Difference
Current assets Noncurrent assets	234,854 72% 215,187 71% 19,667 9% 89,009 28% 86,136 29% 2,873 3%
Total Assets 323,863 100% 301,323 100% 22,540 7% ―Excluding TAC 103,724 100% 108,695 100% (4,971) -5%
Current liabilities 226,995 70% 201,010 66% 25,985 13% Noncurrent liabilities 26,168 8% 35,438 12% (9,270) -26%
Total Liabilities 253,163 78% 236,448 78% 16,715 7% ―Excluding TAC 46,682 45% 55,679 51% (8,997) -16%
Share capital 10,000 3% 10,000 3% 0 0% Capital surplus 6,578 2% 6,564 2% 14 0% Retained earnings 36,025 11% 32,147 11% 3,878 12% Other equity 18,097 6% 16,164 5% 1,933 12%
Total Equity 70,700 22% 64,875 22% 5,825 9% ―ExcludingTAC 57,042 55% 53,016 49% 4,026 8%

Copyright © Yulon Motor, All rights reserved.

==> picture [720 x 9] intentionally omitted <==

8

==> picture [56 x 69] intentionally omitted <==

Consolidated Cash Flow Statements

(NT $ Million)

==> picture [647 x 251] intentionally omitted <==

==> picture [720 x 9] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

9

「Carbon neutral」 energy storage production line

1. In response to climate change, net zero carbon emissions,integrationintelligence manufactured and sustainable business strategy, build the "carbon neutral" energy storage production line, and cooperate with strategic partners to develop the overseas market of the energy storage ecosystem.

2. The detail practices of green energy, low energy consumption and low carbon is as below. It is expected to complete the carbon neutral pilot operation field in 2023.

==> picture [479 x 260] intentionally omitted <==

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

區段1 OEE
區段1用量履歷
每一製品 看板1
用量履歷
EMS 區段2用量履歷
電力用量 … 區段2 OEE
每一製品 OEE 看板2
看板DB
區段1通過量履歷 用量履歷
ALC
區段2通過量履歷
區段…
製程通過量 OEE
…
每一製品
/ 產品 ID 看板…
用量履歷
排碳量計算
----- End of picture text -----

==> picture [720 x 9] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

10

==> picture [56 x 69] intentionally omitted <==

Commercial Real Estate Development - Xindian

1. The Shopping mall building floors are B3 ~ 8F, about 43,000 pings. B1F ~ 4F will be rented by Eslite, 5F ~ 6F will be rented for shopping mall, 7F ~8F for cinema.

2. The Shopping mall planning and decoration engineering are currently in progress. It will open in H1 2023.

==> picture [284 x 160] intentionally omitted <==

==> picture [282 x 160] intentionally omitted <==

==> picture [284 x 160] intentionally omitted <==

==> picture [283 x 160] intentionally omitted <==

Copyright © Yulon Motor, All rights reserved.

10

11

==> picture [56 x 69] intentionally omitted <==

THANK YOU FOR WATCHING

==> picture [720 x 9] intentionally omitted <==

11

Copyright © Yulon Motor, All rights reserved.