Silitech Technology Corporation and Subsidiaries

Consolidated Financial Statements for the
Three Months Ended March 31, 2026 and 2025 and
Independent Auditors' Review Report

INDEPENDENT AUDITORS' REVIEW REPORT

The Board of Directors and Shareholders
Silitech Technology Corporation

Introduction

We have reviewed the accompanying consolidated balance sheets of Silitech Technology Corporation and its subsidiaries (collectively, the "Group") as of March 31, 2026 and 2025, the related consolidated statements of comprehensive income, changes in equity and cash flows for the three months then ended, and the notes to the consolidated financial statements, including material accounting policies (collectively referred to as the "consolidated financial statements"). Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 "Interim Financial Reporting" endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our reviews.

Scope of Review

Except as explained in the Basis for Qualified Conclusion paragraph, we conducted our reviews in accordance with the Standards on Review Engagements of the Republic of China 2410 "Review of Financial Information Performed by the Independent Auditor of the Entity". A review of the consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Basis for Qualified Conclusion

As disclosed in Note 12 to the consolidated financial statements, the total carrying amounts of investments accounted for using the equity method was NT$1,452,527 thousand as of March 31, 2026. The share of gain of associates accounted for using the equity method was NT$33,966 thousand for the three months ended March 31, 2026. The amounts of the related equity-method investments, as well as the additional disclosures in Note 30 to the consolidated financial statements, were based on the investees' financial statements for the same periods, which had not been reviewed by independent auditors.

Conclusion

Based on our reviews, except for adjustments, if any, as might have been determined to be necessary had the financial statements of the equity-method investees as described in the preceding paragraph been reviewed, the nothing has come to our attention that caused us to believe that the

accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Group as of March 31, 2026 and 2025, and its consolidated financial performance and its consolidated cash flows for the three months then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 "Interim Financial Reporting" endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

The engagement partners on the reviews resulting in this independent auditors' review report are Yen-Chun Chen and Chien-Wei Chen.

Deloitte & Touché
Taipei, Taiwan
Republic of China
April 28, 2026

Notice to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to review such consolidated financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors' review report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors' review report and consolidated financial statements shall prevail.

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In Thousands of New Taiwan Dollars)

| | March 31, 2026 | | December 31, 2025 | | March 31, 2025
(After measurement period adjustments) | |
| --- | --- | --- | --- | --- | --- | --- |
| | Amount | % | Amount | % | Amount | % |
| ASSETS | | | | | | |
| CURRENT ASSETS | | | | | | |
| Cash and cash equivalents (Note 6) | $ 669,406 | 13 | $ 698,646 | 14 | $ 835,363 | 16 |
| Financial assets at fair value through profit or loss (FVTPL) - current (Note 7) | 11,910 | - | 3,341 | - | - | - |
| Financial assets at amortized cost - current (Note 9) | 124,764 | 2 | 207,630 | 4 | 159,929 | 3 |
| Trade receivables, net (Note 10) | 408,869 | 8 | 382,866 | 8 | 494,512 | 10 |
| Trade receivables from related parties, net (Notes 10 and 28) | 2,246 | - | 3,131 | - | 773 | - |
| Other receivables | 36,244 | 1 | 29,152 | 1 | 51,109 | 1 |
| Other receivables from related parties (Note 28) | 68 | - | 1,437 | - | 2,382 | - |
| Current tax assets | 12,131 | - | 4,987 | - | 175 | - |
| Inventories (Note 11) | 310,787 | 6 | 255,578 | 5 | 242,943 | 5 |
| Other current assets (Note 16) | 76,572 | 2 | 59,538 | 1 | 52,131 | 1 |
| Total current assets | 1,652,997 | 32 | 1,646,306 | 33 | 1,839,317 | 36 |
| NON-CURRENT ASSETS | | | | | | |
| Financial assets at FVTPL - non-current (Note 7) | 57,566 | 1 | 55,463 | 1 | 57,003 | 1 |
| Financial assets at fair value through other comprehensive income (FVTOCI) - non-current (Note 8) | 143,041 | 3 | 146,103 | 3 | 143,817 | 3 |
| Financial assets at amortized cost - non-current (Note 9) | 1,227,559 | 24 | 1,118,376 | 22 | 942,609 | 19 |
| Investments accounted for using the equity method (Note 12) | 1,501,828 | 29 | 1,474,057 | 30 | 1,601,281 | 31 |
| Property, plant and equipment (Note 14) | 483,938 | 9 | 438,199 | 9 | 442,984 | 9 |
| Other Intangible assets | 3,687 | - | 4,090 | - | 2,580 | - |
| Deferred tax assets | 52,054 | 1 | 67,880 | 1 | 31,589 | 1 |
| Refundable deposits | 1,691 | - | 1,588 | - | 7,911 | - |
| Other non-current assets (Note 16) | 44,343 | 1 | 62,759 | 1 | 5,924 | - |
| Total non-current assets | 3,515,707 | 68 | 3,368,515 | 67 | 3,235,698 | 64 |
| TOTAL | $ 5,168,704 | 100 | $ 5,014,821 | 100 | $ 5,075,015 | 100 |
| LIABILITIES AND EQUITY | | | | | | |
| CURRENT LIABILITIES | | | | | | |
| Short-term borrowings (Note 17) | $ 700,000 | 14 | $ 630,000 | 13 | $ 1,459,279 | 29 |
| Trade payables | 336,392 | 7 | 298,622 | 6 | 323,176 | 7 |
| Trade payables to related parties (Note 28) | - | - | 8,051 | - | 4,963 | - |
| Other payables (Note 18) | 290,179 | 6 | 322,688 | 7 | 315,708 | 6 |
| Other payables to related parties (Note 28) | 1,251 | - | 501 | - | 970 | - |
| Current tax liabilities | 9,707 | - | 9,707 | - | 11,688 | - |
| Provisions - current (Note 19) | 16,268 | - | 16,400 | - | 16,629 | - |
| Other current liabilities | 24,925 | - | 19,292 | - | 36,051 | 1 |
| Total current liabilities | 1,378,722 | 27 | 1,305,261 | 26 | 2,168,464 | 43 |
| NON-CURRENT LIABILITIES | | | | | | |
| Net defined benefit liabilities - non- current (Notes 4 and 20) | 31,907 | - | 33,095 | - | 33,709 | - |
| Guarantee deposits | 324 | - | 315 | - | 320 | - |
| Deferred tax liabilities | 38,437 | 1 | 37,508 | 1 | 46,445 | 1 |
| Total non-current liabilities | 70,668 | 1 | 70,918 | 1 | 80,474 | 1 |
| Total liabilities | 1,449,390 | 28 | 1,376,179 | 27 | 2,248,938 | 44 |
| EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY (Note 21) | | | | | | |
| Share capital | | | | | | |
| Ordinary shares | 1,000,000 | 19 | 1,000,000 | 20 | 680,000 | 13 |
| Capital surplus | 1,193,133 | 23 | 1,193,133 | 24 | 630,074 | 13 |
| Retained earnings | | | | | | |
| Legal reserve | 1,126,107 | 22 | 1,126,107 | 22 | 1,120,368 | 22 |
| Special reserve | 173,591 | 3 | 173,591 | 4 | 306,131 | 6 |
| Unappropriated earnings | 453,621 | 9 | 403,766 | 8 | 199,659 | 4 |
| Total retained earnings | 1,753,319 | 34 | 1,703,464 | 34 | 1,626,158 | 32 |
| Other equity | ( 227,138 ) | ( 4 ) | ( 257,955 ) | ( 5 ) | ( 110,155 ) | ( 2 ) |
| Total equity | 3,719,314 | 72 | 3,638,642 | 73 | 2,826,077 | 56 |
| TOTAL | $ 5,168,704 | 100 | $ 5,014,821 | 100 | $ 5,075,015 | 100 |

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche review dated April 28, 2026)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	For the Three Months Ended March 31
	2026		2025 (After measurement period adjustments)
	Amount	%	Amount	%
OPERATING REVENUE (Notes 22 and 28)	$ 527,357	100	$ 607,512	100
COST OF GOODS SOLD (Notes 11, 26 and 28)	(469,056)	(89)	(529,957)	(87)
GROSS PROFIT	58,301	11	77,555	13
OPERATING EXPENSES (Notes 26 and 28)
Selling and marketing expenses	(13,359)	(3)	(14,203)	(2)
General and administrative expenses	(39,069)	(7)	(38,946)	(7)
Research and development expenses	(11,245)	(2)	(9,280)	(2)
Expected credit reversal (loss)	951	-	(57)	-
Total operating expenses	(62,722)	(12)	(62,486)	(11)
(LOSS) PROFIT FROM OPERATIONS	(4,421)	(1)	15,069	2
NON-OPERATING INCOME AND EXPENSES (Note 23)
Gain arising from derecognition of financial assets at amortized cost	(10)	-	-	-
Expected credit loss	(272)	-	(14)	-
Interest income	17,551	3	16,309	3
Other income	389	-	10,508	2
Other gains and losses	6,274	1	3,238	1
Share of profit of associates accounted for using equity method	35,320	7	2,297	-
Finance costs	(2,909)	-	(3,406)	(1)
Total non-operating income and expenses	56,343	11	28,932	5
PROFIT BEFORE INCOME TAX	51,922	10	44,001	7
INCOME TAX EXPENSE (Notes 4 and 24)	(2,067)	(1)	(6,667)	(1)
NET PROFIT FOR THE PERIOD	49,855	9	37,334	6
OTHER COMPREHENSIVE INCOME (LOSS)
Items that will not be reclassified subsequently to profit or loss:
Unrealized loss on investments in equity instruments at fair value through other comprehensive income	(3,062)	(1)	(70)	-
	(3,062)	(1)	(70)	-
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translating the financial statements of foreign operations	42,349	8	79,383	13
Income tax relating to items that may be reclassified subsequently to profit or loss (Note 24)	(8,470)	(1)	(15,877)	(2)
	33,879	7	63,506	11

(Continued)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	For the Three Months Ended March 31
	2026		2025
(After measurement period adjustments)
	Amount	%	Amount	%
Other comprehensive income for the period, net of income tax	30,817	6	63,436	11
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD	$ 80,672	15	$ 100,770	17
EARNINGS PER SHARE (IN NEW TAIWAN DOLLARS; Note 25)
Basic	$ 0.50		$ 0.55
Diluted	$ 0.50		$ 0.55

The accompanying notes are an integral part of the consolidated financial statements.
(With Deloitte & Touche review dated April 28, 2026)

(Concluded)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(In Thousands of New Taiwan Dollars)

	Share Capital			Retained Earnings			Other Equity
	Ordinary Shares (In Thousands)	Amount	Capital Surplus	Legal Reserve	Special Reserve	Unappropriated Earnings	Exchange Differences on Translating Foreign Operations	Unrealized Loss on Financial Asset at FVTOCI	Total Equity
BALANCE AT JANUARY 1, 2025	68,000	$ 680,000	$ 630,074	$ 1,120,368	$ 306,131	$ 162,325	$ (24,613)	$ (148,978)	$ 2,725,307
Net profit for the three months ended March 31, 2025 (After measurement period adjustments)	-	-	-	-	-	37,334	-	-	37,334
Other comprehensive income (loss) for the three months ended March 31, 2025, net of income tax (After measurement period adjustments)	-	-	-	-	-	-	63,506	(70)	63,436
Total comprehensive income (loss) for the three months ended March 31, 2025	-	-	-	-	-	37,334	63,506	(70)	100,770
BALANCE AT MARCH 31, 2025	68,000	$ 680,000	$ 630,074	$ 1,120,368	$ 306,131	$ 199,659	$ 38,893	$ (149,048)	$ 2,826,077
BALANCE AT JANUARY 1, 2026	100,000	$ 1,000,000	$ 1,193,133	$ 1,126,107	$ 173,591	$ 403,766	$ (111,193)	$ (146,762)	$ 3,638,642
Net profit for the three months ended March 31, 2026	-	-	-	-	-	49,855	-	-	49,855
Other comprehensive income (loss) for the three months ended March 31, 2026, net of income tax	-	-	-	-	-	-	33,879	(3,062)	30,817
Total comprehensive income (loss) for the three months ended March 31, 2026	-	-	-	-	-	49,855	33,879	(3,062)	80,672
BALANCE AT MARCH 31, 2026	100,000	$ 1,000,000	$ 1,193,133	$ 1,126,107	$ 173,591	$ 453,621	$ (77,314)	$ (149,824)	$ 3,719,314

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche review dated April 28, 2026)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands of New Taiwan Dollars)

	For the Three Months Ended March 31
	2026	2025 (After measurement period adjustments)
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before income tax	$ 51,922	$ 44,001
Adjustments for:
Depreciation expenses	16,180	15,596
Amortization expenses	537	405
Expected credit (reversal) loss	(679)	71
Net gain on financial assets at FVTPL	(2,084)	(913)
Finance costs	2,909	3,406
Loss arising from derecognition of financial assets at amortized cost	10	-
Interest income	(17,551)	(16,309)
Share of profit of associates for using the equity method	(35,320)	(2,297)
Net loss on disposal of property, plant and equipment	-	307
Write-downs of inventories	-	1,278
Gain on lease modification	-	(1,186)
Gain recognized in bargain purchase transaction	-	(8,055)
Changes in operating assets and liabilities
Trade receivables	(25,052)	22,763
Trade receivables from related parties	885	(61)
Other receivables	(8,229)	(4,869)
Other receivables from related parties	1,369	7,086
Inventories	(55,209)	11,704
Other current assets	(17,034)	(9,658)
Trade payables	37,770	(27,763)
Trade payables to related parties	(8,051)	(21,597)
Other payables	(34,616)	(1,125)
Other payables to related parties	750	411
Provisions	(132)	429
Other current liabilities	5,632	(375)
Net defined benefit liabilities-non current	(1,188)	(402)
Cash generated from operations	(87,181)	12,847
Interest received	17,912	18,742
Interest paid	(2,742)	(2,250)
Income tax paid	(125)	(4,237)
Net cash (used in) generated from operating activities	(72,136)	25,102

(Continued)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands of New Taiwan Dollars)

	For the Three Months Ended March 31
	2026	2025 (After measurement period adjustments)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of financial assets at amortized cost	(86,612)	-
Proceeds from financial assets at amortized cost	85,235	91,829
Purchase of financial assets at FVTPL	(11,755)	-
Proceeds from financial assets at FVTPL	3,377	-
Acquisition of long-term investment for using the equity method	-	(1,504,418)
Payments for property, plant and equipment	(51,491)	(8,201)
Proceeds from disposal of property, plant and equipment	-	2,011
Increase in refundable deposits	(103)	(1,012)
Payments for intangible assets	(88)	(905)
Decrease (increase) in other non-current assets	18,416	(3,945)
Net cash used in investing activities	(43,021)	(1,424,641)
CASH FLOWS FROM FINANCING ACTIVITIES
Increase in short-term borrowings	70,000	1,443,804
Increase (decrease) in guarantee deposits received	10	(886)
Repayment of the principal portion of lease liabilities	-	(2,214)
Net cash generated from financing activities	70,010	1,440,704
EFFECTS OF EXCHANGE RATE CHANGES ON THE BALANCE OF CASH AND CASH EQUIVALENTS HELD IN FOREIGN CURRENCIES	15,907	16,721
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	(29,240)	57,886
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD	698,646	777,477
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD	$ 669,406	$ 835,363

The accompanying notes are an integral part of the consolidated financial statements.

(With Deloitte & Touche review dated April 28, 2026)

(Concluded)

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE THREE MONTHS ENDED MARCH 31, 2026 AND 2025 (In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

GENERAL INFORMATION

Silitech Technology Corporation (the “Company”) was established in October 2001 and listed on the Taiwan Stock Exchange in March 2004, and is mainly engaged in the manufacture and sale of modules and rubber (plastic) products.

The consolidated financial statements of the Company and its subsidiaries, hereinafter collectively referred to as the Group, are presented in the Company’s functional currency, the New Taiwan dollar.

APPROVAL OF FINANCIAL STATEMENTS

The consolidated financial statements were approved by the Company’s board of directors and authorized for issue on April 28, 2026.

APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

a. Initial application of the amendments to the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, the “IFRSs”) endorsed and issued into effect by the Financial Supervisory Commission (FSC)

The initial application of the IFRSs endorsed and issued into effect by the FSC did not have any material impact on the Group’s accounting policies:

b. The IFRS Accounting Standards in issue but not yet endorsed and issued into effect by the FSC

New, Amended and Revised Standards and Interpretations	Effective Date Announced by IASB (Note1)
Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets between an Investor and its Associate or Joint Venture”	To be determined by IASB
IFRS 18 “Presentation and Disclosure in Financial Statements”	January 1, 2027 (Note 2)
IFRS 19 “Subsidiaries without Public Accountability: Disclosures” (including the 2025 amendments to IFRS 19)	January 1, 2027
Amendments to IAS 21 “Translation to a Hyperinflationary Presentation Currency”	January 1, 2027

Note 1: Unless stated otherwise, the above IFRS Accounting Standards are effective for annual reporting periods beginning on or after their respective effective dates.

Note 2: On September 25, 2025, the FSC announced that IFRS 18 will take effect starting from January 1, 2028. Domestic entities could elect to apply IFRS 18 for an earlier period after the endorsement of IFRS 18 by the FSC.

IFRS 18 “Presentation and Disclosures in Financial Statements” and consequential amendments

IFRS 18 will supersede IAS 1” Presentation of Financial Statements”. The main changes comprise:

To classify items of income and expenses presented in the statement of profit or loss into the

operating, investing, financing, income taxes and discontinued operations categories, the Group shall assess whether it has specified main business activities of investing in particular types of assets and providing financing to customers.

The statement of profit or loss shall present totals and subtotals for operating profit or loss, profit or loss before financing and income taxes and profit or loss.
Provides guidance to enhance the requirements of aggregation and disaggregation: The Group shall identify the assets, liabilities, equity, income, expenses and cash flows that arise from individual transactions or other events and shall classify and aggregate them into groups based on shared characteristics, so as to result in the presentation in the primary financial statements of line items that have at least one similar characteristic. The Group shall disaggregate items with dissimilar characteristics in the primary financial statements and in the notes. The Group labels items as 'other' only if it cannot find a more informative label.
Disclosures on Management-defined Performance Measures (MPMs): When in public communications outside financial statements and communicating to users of financial statements management's view of an aspect of the financial performance of the Group as a whole, the Group shall disclose related information about its MPMs in a single note to the financial statements, including the description of such measures, calculations, reconciliations to the subtotal or total specified by IFRS Accounting Standards and the income tax and non-controlling interests effects of related reconciliation items.

In addition, the following consequential amendments have been made to IAS 7 "Statement of Cash Flows":

The Group shall use operating profit or loss as the starting point when presenting cash flows from operating activities under the indirect method.
Interest and dividends received by the Group shall be classified as investing activities, while interest and dividends paid shall be classified as financing activities. However, if, after assessment, the Group has a specific main operating activity, it shall determine how to classify dividends received, interest received and interest paid in the statement of cash flows by referring to how it classifies dividend income, interest income and interest expense in the statement of profit or loss. The total of each of these cash flows shall be classified in a single category in the statement of cash flows.

As of the date the consolidated financial statements were authorized for issue, the Group is continuously assessing the possible impact that the application of other standards and interpretations will have on the Group's financial position and financial performance and will disclose the relevant impact when the assessment is completed.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a. Statement of compliance

These interim consolidated financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IAS 34 "Interim Financial Reporting" as endorsed and issued into effect by the FSC. Disclosure information included in these interim consolidated financial statements is less than the disclosure information required in a complete set of annual consolidated financial statements.

b. Basis of preparation

The consolidated financial statements have been prepared on the historical cost basis except for financial instruments which are measured at fair value and net defined benefit liabilities which are measured at the present value of the defined benefit obligation less the fair value of plan assets.

10 -

The fair value measurements, which are grouped into Levels 1 to 3 based on the degree to which the fair value measurement inputs are observable and based on the significance of the inputs to the fair value measurement in its entirety, are described as follows:

1) Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities;

2) Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for an asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and

3) Level 3 inputs are unobservable inputs for an asset or liability.

c. Basis of consolidation

The consolidated financial statements incorporate the financial statements of the Company and the entities controlled by the Company (i.e., its subsidiaries). Income and expenses of the subsidiaries acquired or disposed of during the period are included in the consolidated statements of comprehensive income from the effective dates of acquisitions up to the effective dates of disposals, as appropriate. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the Company. All intra-group transactions, balances, income and expenses are eliminated in full upon consolidation. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.

Changes in the Group's ownership interests in subsidiaries that do not result in the Group losing control over the subsidiaries are accounted for as equity transactions. The carrying amounts of the Group's interests and the non-controlling interests are adjusted to reflect the changes in their relative interests in the subsidiaries. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received is recognized directly in equity and attributed to the owners of the Company.

See Note 13 and Table 4 for detailed information on the subsidiaries (including the percentages of ownership and main businesses).

d. Other significant accounting policies

Except for the following, refer to the summary of other significant accounting policies section of the consolidated financial statements for the year ended December 31, 2025.

1) Retirement benefits

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

2) Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax. Interim period income taxes are assessed on an annual basis and calculated by applying to an interim period's pre-tax income the tax rate that would be applicable to expected total annual earnings.

11 -

12 -

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The consolidated financial statements adopt the critical accounting judgments and key sources of estimation uncertainty are the same as those in the consolidated financial statements for the year ended December 31, 2025.

6. CASH AND CASH EQUIVALENTS

	March 31, 2026	December 31, 2025	March 31, 2025
Cash on hand	$ 150	$ 225	$ 143
Checking accounts and demand deposits	222,421	216,633	193,293
Cash equivalents
Time deposits	446,835	481,788	641,927
	$ 669,406	$ 698,646	$ 835,363

The market rate intervals of cash in the bank at the end of the reporting period were as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Time deposits	1.36%-3.67%	1.40%-3.92%	1.40%-4.394%

7. FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS ("FVTPL")

	March 31, 2026	December 31, 2025	March 31, 2025
Financial assets at FVTPL - current
Financial assets mandatorily classified as at FVTPL
Non-derivative financial assets
Mutual funds	$ 11,910	$ 3,341	$ -
Financial assets at FVTPL - non-current
Financial assets mandatorily classified as at FVTPL
Non-derivative financial assets
Mutual funds	$ 2,251	$ 2,211	$ 6,864
Limited partnership	55,315	53,252	50,139
	$ 57,566	$ 55,463	$ 57,003

8. FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME ("FVTOCI")

	March 31, 2026	December 31, 2025	March 31, 2025
Non-current
Domestic investments
Listed preferred shares	$130,824	$133,676	$130,507
Unlisted ordinary shares	12,217	12,427	13,310
	$143,041	$146,103	$143,817

These investments in equity instruments are held for medium to long-term strategic purposes. Accordingly, the management elected to designate these investments in equity instruments as at FVTOCI.

9. FINANCIAL ASSETS AT AMORTIZED COST

	March 31, 2026	December 31, 2025	March 31, 2025
Current
Foreign corporate bond (b)	$ 124,772	$ 207,802	$ 160,056
Less: Allowance for impairment loss	(8)	(172)	(127)
	$ 124,764	$ 207,630	$ 159,929
Non-current
Time deposits with original maturities of more than 3 months (a)	$ 46,320	$ 44,968	$ 45,787
Foreign corporate bond (b)	1,182,806	1,074,516	897,911
Less: Allowance for impairment loss	(1,567)	(1,108)	(1,089)
	$1,227,559	$1,118,376	$ 942,609

a. As of March 31, 2026 and December 31, 2025 and March 31, 2025, the interest rate intervals of time deposits with original maturity dates of more than 3 months both were 3.10%.

b. The Group purchased 2~10 year corporate bonds, with the maturity period from 2025 to 2034, the coupon rate was 1.25% to 5.80%, and the effective interest rate was 1.08%~5.80%.

The Group’s exposure and the external credit ratings are continuously monitored. The Group reviews changes in bond yields and other public information and makes an assessment whether there has been a significant increase in credit risk since the last period to the reporting date.

In determining the expected credit losses for debt instrument investments, the Group considers the historical probability of default and loss given default of each credit rating supplied by external rating agencies, the current financial condition of the debtors and the future prospects of the industries.

10. TRADE RECEIVABLES

	March 31, 2026	December 31, 2025	March 31, 2025
Trade receivables
At amortized cost
Gross carrying amount	$ 411,258	$ 387,230	$ 495,683
Less: Allowance for impairment loss	(143)	(1,233)	(398)
	$ 411,115	$ 385,997	$ 495,285

The average credit period of sales of goods was 60-90 days and no interest was charged on trade receivables. In order to minimize credit risk, the management of the Company has regularly evaluated credit approvals and performed other monitoring procedures to ensure that follow-up action is taken to recover overdue debts. In addition, the Group reviews the recoverable amount of each individual trade debt at the end of the reporting period to ensure that adequate allowance is made for possible irrecoverable amounts. In this regard, the management believes the Group’s credit risk was significantly reduced.

The Group estimates expected credit losses according to the prescribed approach, which permits the recognition of lifetime expected losses for all trade receivables. The expected credit losses on trade

receivables are estimated using an allowance matrix, which takes into consideration the historical credit loss experience with the respective debtor, the current financial position of the debtor, economic condition of the industry in which the customer operates and industry outlooks. As the Group's historical credit loss experience does not show significantly different loss patterns for different customer segments, the provision for loss allowance based on past due status is not further distinguished according to the Group's different customer base.

The Group writes off a trade receivable when there is information indicating that the debtor is experiencing severe financial difficulty and there is no realistic prospect of recovery, e.g. when the debtor has been placed under liquidation or when the trade receivables are over 240 days past due, whichever occurs earlier. For trade receivables that have been written off, the Group continues to engage in enforcement activity to attempt to recover the receivables due. Where recoveries are made, these are recognized in profit or loss.

The following table details the loss allowance of trade receivables based on the Group's provision matrix.

March 31, 2026

	Not Past Due	Up to 60 Days	61 to 210 Days	Over 210 Days	Total
Expected credit loss rate	-	0.33%	40%	-	-
Gross carrying amount	$ 406,025	$ 4,916	$ 317	$ -	$ 411,258
Loss allowance (Lifetime ECLs)	-	(16)	(127)	-	(143)
Amortized cost	$ 406,025	$ 4,900	$ 190	$ -	$ 411,115
December 31, 2025
	Not Past Due	Up to 60 Days	61 to 210 Days	Over 210 Days	Total
Expected credit loss rate	-	0.83%	40.66%	-	-
Gross carrying amount	$ 381,943	$ 2,301	$ 2,986	$ -	$ 387,230
Loss allowance (Lifetime ECLs)	-	(19)	(1,214)	-	(1,233)
Amortized cost	$ 381,943	$ 2,282	$ 1,772	$ -	$ 385,997
March 31, 2025
	Not Past Due	Up to 60 Days	61 to 210 Days	Over 210 Days	Total
Expected credit loss rate	-	0.41%	69.81%	100%	-
Gross carrying amount	$ 490,158	$ 5,068	$ 265	$ 192	$ 495,683
Loss allowance (Lifetime ECLs)	-	(21)	(185)	(192)	(398)
Amortized cost	$ 490,158	$ 5,047	$ 80	$ -	$ 495,285

The movements of the loss allowance of trade receivables are as follows:

	For the Three Months Ended March 31
	2026	2025
Balance at January 1	$ 1,233	$ 334
Expected credit (reversal) loss	(951)	57
Difference on foreign exchange translation	(139)	7
Balance at March 31	$ 143	$ 398

11. INVENTORIES, NET

	March 31, 2026	December 31, 2025	March 31, 2025
Raw materials	$ 176,741	$ 138,503	$ 122,885
Finished goods	48,433	54,087	39,939
Work in progress	82,088	56,222	75,724
Supplies	3,352	2,974	4,350
Merchandise	173	32	45
Inventory in transit	-	3,760	-
	$ 310,787	$ 255,578	$ 242,943

The cost of inventories recognized as cost of goods sold included the inventory write-downs.

	For the Three Months Ended March 31
	2026	2025
Inventory write-downs	$ -	$ 1,278

12. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

	March 31, 2026	December 31, 2025	March 31, 2025 (After measurement period adjustments)
Investment in associates
Significant associates	$1,452,527	$1,425,881	$1,552,924
FDK Corporation
Associates that are not individually material
PSA Japan Investment G.K.	49,301	48,176	48,357
	$1,501,828	$1,474,057	$1,601,281

Significant associates was as follows :

Name of Associate	Main Business	Business Location	Percentage of Ownership & Voting Rights (%)
			March 31, 2026	December 31, 2025	March 31, 2025
FDK Corporation	Manufacture and sale of various batteries and electronic devices	Japan	45	45	45

Fair values (Level 1) of investments in associates with available published price quotations were summarized as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Name of Associate
FDK Corporation	$ 1,455,545	$ 1,097,109	$ 1,367,731

In March 2025, the Group acquired 45% equity of FDK Corporation, a significant associate, for JPY 6,754,419,000, and accounts for the investment using the equity method. The purchase price allocation ("PPA") report was obtained during the first quarter of 2026. Based on the PPA report, the Group

retrospectively adjusted the provisional amounts recognized at the acquisition date. Accordingly, a gain on bargain purchase of $8,055 thousand was recognized for the three months ended March 31, 2025, and the comparative information was restated.

13. SUBSIDIARIES

Subsidiaries Included in the Consolidated Financial Statements

Investor	Investor	Main Business	Percentage of Ownership (%)			Remark
			March 31, 2026	December 31, 2025	March 31, 2025
The Company	Silitech (BVI) Holding Ltd.	Investment activities	100	100	100
The Company	Silitech Technology Corp. Sdn. Bhd.	Manufacture of plastic and computer peripheral	100	100	100
The Company	Silitech Electronics Sdn. Bhd.	Manufacture of telecommunications and communications equipment	100	100	100
The Company	Silitech Japan Investment G.K.	Investment activities	100	100	100	a
Silitech (BVI) Holding Ltd	Silitech (Bermuda) Holding Ltd.	Investment activities	100	100	100
Silitech (Bermuda) Holding Ltd.	Silitech Technology Corporation Limited	Manufacture of plastic and computer peripheral products	100	100	100
Silitech Technology Corporation Limited	Xurong Electronic (Shenzhen) Co., Ltd.	Sale of touch panels and plastic and rubber assembly	100	100	100

Remark:

a. The parent company established Silitech Japan Investment G.K. in March 2025, holding 100% of the equity.

Subsidiaries Excluded from the Consolidated Financial Statements: None.

14. PROPERTY, PLANT AND EQUIPMENT, NET

	Freehold Land	Buildings	Machinery Equipment	Testing Equipment	Transportation Equipment	Leasehold Improvements	Office Equipment	Other Equipment	Total
Cost
Balance at January 1, 2026	$ 251,880	$ 471,121	$ 562,011	$ 65,477	$ 17,911	$ -	$ 105,468	$ 19,194	$ 1,493,062
Additions	-	2,790	47,187	1,653	-	-	-	1,801	53,431
Disposals	-	-	(221)	(3,687)	-	-	(232)	(70)	(4,210)
Effects of foreign currency exchange differences	5,656	6,574	10,206	823	290	-	1,129	105	24,783
Balance at March 31, 2026	$ 257,536	$ 480,485	$ 619,183	$ 64,266	$ 18,201	$ -	$ 106,365	$ 21,030	$ 1,567,066
Accumulated depreciation
Balance at January 1, 2026	$ -	$ 388,480	$ 454,254	$ 56,807	$ 13,887	$ -	$ 94,560	$ 16,241	$ 1,024,229
Depreciation expenses	-	3,978	8,846	746	408	-	1,616	586	16,180
Disposals	-	-	(221)	(3,687)	-	-	(232)	(70)	(4,210)
Effects of foreign currency exchange differences	-	5,228	8,743	723	234	-	1,042	87	16,057
Balance at March 31, 2026	$ -	$ 397,686	$ 471,622	$ 54,589	$ 14,529	$ -	$ 96,986	$ 16,844	$ 1,052,256
Accumulated impairment
Balance at January 1, 2026	$ -	$ 13,266	$ 12,787	$ 4,417	$ -	$ -	$ 164	$ -	$ 30,634
Effects of foreign currency exchange differences	-	238	-	-	-	-	-	-	238
Balance at March 31, 2026	$ -	$ 13,504	$ 12,787	$ 4,417	$ -	$ -	$ 164	$ -	$ 30,872
Net Balance at March 31, 2026	$ 257,536	$ 69,295	$ 134,774	$ 3,260	$ 3,672	$ -	$ 9,215	$ 4,186	$ 483,938
Cost
Balance at January 1, 2025	$ 241,600	$ 462,408	$ 558,846	$ 81,071	$ 17,707	$ 26,143	$ 117,698	$ 18,420	$ 1,523,893
Additions	-	-	3,323	955	-	-	1,324	-	5,602
Disposals	-	-	(16,599)	(20,112)	-	(26,249)	(15,154)	(780)	(78,894)
Effects of foreign currency exchange differences	4,769	5,246	8,936	705	231	106	973	88	21,054
Balance at March 31, 2025	$ 246,369	$ 467,654	$ 554,506	$ 62,619	$ 17,938	$ -	$ 104,841	$ 17,728	$ 1,471,655
Accumulated depreciation
Balance at January 1, 2025	$ -	$ 370,348	$ 441,346	$ 70,452	$ 12,127	$ 25,327	$ 103,494	$ 15,480	$ 1,038,574
Depreciation expenses	-	3,526	6,906	444	403	78	1,623	357	13,337
Disposals	-	-	(9,888)	(16,980)	-	(25,508)	(15,131)	(780)	(68,287)
Transfers from accumulated impairment	-	-	55	22	-	-	-	-	77
Effects of foreign currency exchange differences	-	4,082	7,483	622	168	103	906	71	13,435
Balance at March 31, 2025	$ -	$ 377,956	$ 445,902	$ 54,560	$ 12,698	$ -	$ 90,892	$ 15,128	$ 997,136

(Continued)

17 -

	Freehold Land	Buildings	Machinery Equipment	Testing Equipment	Transportation Equipment	Leasehold Improvements	Office Equipment	Other Equipment	Total
Accumulated impairment
Balance at January 1, 2025	$ -	$ 13,836	$ 18,396	$ 7,278	$ -	$ -	$ 186	$ -	$ 39,696
Disposals	-	-	( 5,418 )	( 2,849 )	-	-	( 22 )	-	( 8,289 )
Transfer to accumulated depreciation	-	-	( 55 )	( 22 )	-	-	-	-	( 77 )
Effects of foreign currency exchange differences	-	177	17	11	-	-	-	-	203
Balance at March 31, 2025	$ -	$ 14,013	$ 12,940	$ 4,418	$ -	$ -	$ 164	$ -	$ 31,535
Net Balance at March 31, 2025	$ 246,369	$ 75,685	$ 95,664	$ 3,641	$ 5,240	$ -	$ 13,785	$ 2,600	$ 442,984

(Concluded)

As a result of the life cycle of some products, the estimated future cash flows expected to arise from the related equipment decreased due to equipment idling caused by insufficient capacity. The Group carried out a review of the recoverable amount of the related equipment and determined that the carrying amount had exceeded the recoverable amount. As of March 31, 2026, December 31, 2025 and March 31, 2025, the impairment losses recognized were $30,872 thousand, $30,634 thousand and $31,535 thousand, respectively. For the three months ended March 31, 2026, the impairment loss decreased due to the disposal of equipment amounting were $8,289 thousand.

The above items of property, plant and equipment are depreciated on a straight-line basis over their estimated useful lives as follows:

Buildings
Plant structures	24-45 years
Electricity and building accessories	5-10 years
Machinery equipment	5-10 years
Testing equipment	3-10 years
Transportation equipment	5 years
Leasehold Improvements	3 years
Office equipment	3 years
Other equipment	2 years

15. LEASE ARRANGEMENTS

a. Right-of-use assets

	For the Three Months Ended March 31
	2026	2025
Depreciation charge for right-of-use assets
Buildings	$ -	$ 2,259
Machinery equipment	$ -	$ 2,259

b. Material lease activities and terms

The Group leases certain buildings for product manufacturing and for dormitories with lease terms of 3 years. The Group agreed with the lessor to terminate the lease contract early in January 2025.

d. Other lease information

	For the Three Months Ended March 31
	2026	2025
Expenses relating to short-term leases and low-value asset leases	$ 913	$ 746

For the Three Months Ended
March 31

	2026	2025
Total cash outflow for leases	$ 913	$ 3,154

The Group's leases of certain office equipment qualify as short-term leases and low-value asset leases. The Group has elected to apply the recognition exemption and, thus did not recognize right-of-use assets and lease liabilities for these leases.

OTHER ASSETS

	March 31, 2026	December 31, 2025	March 31, 2025
Current
Prepayments for tax	$ 20,885	$ 20,516	$ 21,676
Payment in advance	472	1,100	2,034
Input tax	4,543	3,528	3,456
Others	50,672	34,394	24,965
	$ 76,572	$ 59,538	$ 52,131
Non-current
Prepayments for equipment	$ 44,343	$ 62,759	$ 5,924

BORROWINGS

	March 31, 2026	December 31, 2025	March 31, 2025
Short-term borrowings
Unsecured borrowings	$700,000	$630,000	$1,459,279

As of March 31, 2026, December 31, 2025 and March 31, 2025, the interest rates on bank revolving loans were 1.83% to 1.92% and 1.85% to 1.925% and 0.93% to 1.99%, respectively.

OTHER PAYABLES

	March 31, 2026	December 31, 2025	March 31, 2025
Payroll and Bonus	$ 140,581	$ 164,825	$ 133,407
Employees’ leave	23,585	22,717	21,827
Tooling	16,920	23,430	20,221
Utilities/postal fees and telecommunications	8,239	7,641	7,983
Equipment	7,276	5,336	1,541
Service	6,705	10,689	24,012
Insurance	6,211	5,838	5,871
Others	80,662	82,212	100,846
	$ 290,179	$ 322,688	$ 315,708

19 -

19. PROVISIONS

	March 31, 2026	December 31, 2025	March 31, 2025
Current
Returns, allowances and warranties	$ 16,268	$ 16,400	$ 16,629

The provision of customer returns, allowances and warranties was based on historical experience, management's judgments and other known reasons estimated product returns, allowances and warranties may occur in the year. The provision was recognized as cost of goods sold and a reduction of operating income in the year when the related goods were sold.

20. RETIREMENT BENEFIT PLANS

Employee benefits expense in respect of the Group's defined retirement benefit plans were $732 thousand and $701 thousand for the three months ended March 31, 2026 and 2025, respectively, and were calculated using the respective year's actuarially determined pension cost discount rate as of December 31, 2025 and 2024.

21. EQUITY

a. Share capital

Ordinary shares

	March 31, 2026	December 31, 2025	March 31, 2025
Number of shares authorized (in thousands)	300,000	300,000	300,000
Amount of shares authorized	$ 3,000,000	$ 3,000,000	$ 3,000,000
Number of shares issued and fully paid (in thousands)	100,000	100,000	68,000
Amount of shares issued	$ 1,000,000	$ 1,000,000	$ 680,000

On April 18, 2025, the Board of Directors of the Company resolved to issue 32,000,000 common shares through cash capital increase, with each share having a par value of NT$10. The cash capital increase plan was approved by the Financial Supervisory Commission (FSC) on May 19, 2025 (Approval No. 1140342125). The issue price was set as NT$27.50 per share. The record date for the capital increase was August 12, 2025, and the amendment registration was completed on September 22, 2025.

b. Capital surplus

	March 31, 2026	December 31, 2025	March 31, 2025
May be used to offset a deficit, distributed as cash dividends, or transferred to share capital
Additional paid-in capital in excess of par-common stock	$ 1,193,133	$ 1,193,133	$ 630,074

Such capital surplus may be used to offset a deficit; in addition, when the Company has no deficit, such capital surplus may be distributed as cash dividends or transferred to share capital (limited to a certain percentage of the Company's paid-in capital).

c. Retained earnings and dividend policy

According to the Company’s dividend policy, if there is a net profit after tax upon the final settlement of accounts of each fiscal year, the Company shall first offset any previous accumulated losses (including adjustment of unappropriated earnings, if any) and set aside a legal reserve at 10% of the net profit, unless the accumulated legal reserve is equal to the total paid-in capital of the Company; then, it shall set aside or reverse a special reserve in accordance with the relevant laws or regulations or as requested by the authorities in charge. The remaining net profit, plus the beginning unappropriated earnings (including adjustment of unappropriated earnings, if any), shall be distributed as dividends to shareholders according to the distribution plan proposed by the board of directors and submitted to the shareholders in the shareholders’ meeting for approval. For the policies on the distribution of compensation of employees and remuneration of directors, refer to Note 26 (b) Employee benefits expenses.

According to the Company’s dividend policy of the Company’s Articles, the Company cooperates with present and future development plans in mind and simultaneously takes into consideration the investment environment, international or domestic competition, and shareholders’ interests. When there is no cumulative loss, the Company shall distribute dividends to shareholders at a percentage of no less than 30% of the net profit after tax. Dividends could be distributed either through cash or shares, and cash dividends distributed shall not be less than 50% of the total dividends distributed for the year.

In case there are no earnings for distribution in a certain year, or the earnings of a certain year are significantly less than the earnings actually distributed by the Company in the previous year, or considering the financial, business or operational factors of the Company, the Company may allocate a portion or all of its reserves for distribution in accordance with relevant laws or regulations or the orders of the authorities in charge.

Appropriation of earnings to the legal reserve shall be made until the legal reserve equals the Company’s paid-in capital. The legal reserve may be used to offset deficit. If the Company has no deficit and the legal reserve has exceeded 25% of the Company’s paid-in capital, the excess may be transferred to capital or distributed in cash.

With respect to the book net amount of other deductions from equity for the period in which it arises, the Company shall allocate an equivalent amount of special reserve shall be allocated from the amount of the after-tax net profit for the period, plus items other than after-tax net profit for the period, that are included in the undistributed earnings of the period. If there remains any insufficiency, it shall be allocated from the undistributed earnings of the previous period.

With respect to the cumulative net amount of other deductions from equity in a preceding period, the Company shall allocate an amount of special reserve equal to the amount allocated to undistributed earnings for the preceding period.

The appropriation of earnings for 2025 resolved in the board of directors on April 16, 2026 and the appropriation of earnings 2024 resolved in the shareholders’ meetings on June 18, 2025 was as follows:

	Appropriation of Earnings
	2025	2024
Legal reserve	$ -	$ 5,739
Special reserve	$ 84,364	$ (132,540)
Cash dividends	$ 60,000	$ 20,400
Cash dividends per share (NT$)	$ 0.60	$ 0.30

The appropriation of earnings for 2025 will be resolved by the shareholders in their meeting to be held on May 29, 2026.

20 -

21 -

22. REVENUE

According to IFRS 15, the type of customer contract revenue is identified as “product sales revenue”. The Company’s core technology is to integrate rubber, plastic, optical and other components, which are widely used in industries and products such as mechanical integration components and automotive components.

	For the Three Months Ended March 31
	2026	2025
Customer contract revenue
Product operating revenue	$ 527,357	$ 607,512

23. NON-OPERATING INCOME AND EXPENSES

a. Interest income

	For the Three Months Ended March 31
	2026	2025
Bank deposits	$ 3,783	$ 3,298
Financial assets at amortized cost	13,768	13,011
	$ 17,551	$ 16,309

b. Other income

	For the Three Months Ended March 31
	2026	2025 (After measurement period adjustments)
Rental income	$ 4	$ 236
Gain on Lease modification	-	1,186
Gain recognized in bargain purchase transaction	-	8,055
Others	385	1,031
	$ 389	$ 10,508

c. Other gains and losses

	For the Three Months Ended March 31
	2026	2025
Loss on disposal of property, plant and equipment	$ -	$ (307)
Foreign currency exchange gain	3,173	3,637
Net gain on financial assets as at FVTPL	2,084	913
Others	1,017	(1,005)
	$ 6,274	$ 3,238

d. Finance costs

	For the Three Months Ended March 31
	2026	2025
Interest on lease liabilities	$ -	$ 194
Interest on borrowings	2,909	3,212
	$ 2,909	$ 3,406

e. Gain or loss on foreign currency exchange

	For the Three Months Ended March 31
	2026	2025
Foreign exchange gain	$ 10,733	$ 8,424
Foreign exchange loss	( 7,560)	( 4,787)
Net foreign exchange gain	$ 3,173	$ 3,637

24. INCOME TAX

a. Income tax recognized in profit or loss

The major components of tax expense are as follows:

	For the Three Months Ended March 31
	2026	2025
Current tax
In respect of the current period	$ -	$ 4,543
Adjustments for prior year	(7,019)	-
Deferred tax
In respect of the current period	9,086	2,124
Income tax expense recognized in profit or loss	$ 2,067	$ 6,667

b. Income tax recognized in other comprehensive loss

	For the Three Months Ended March 31
	2026	2025
Deferred tax
In respect of the current period:
Translation of foreign operations	$( 8,470)	$(15,877)

c. Income tax assessments

The income tax returns of the Company through 2024 have been assessed by the tax authorities.

25. EARNINGS PER SHARE

Unit: NT$ Per Share

	For the Three Months Ended March 31
	2026	2025 (After measurement period adjustments)
Basic earnings per share	$ 0.50	$ 0.55
Diluted earnings per share	$ 0.50	$ 0.55

The net profit and weighted average number of ordinary shares outstanding used in the computation of earnings per share are as follows:

Net profit for the period

For the Three Months Ended March 31
	2026	2025
(After measurement period adjustments)
	$ 49,855	$ 37,334
	Unit: In Thousand Shares
	For the Three Months Ended March 31
	2026	2025
Number of shares
Weighted average number of ordinary shares used in the computation of basic earnings per share	100,000	68,000
Effect of potentially dilutive ordinary shares: Employees’ compensation	132	57
Weighted average number of ordinary shares used in the computation of diluted earnings per share	100,132	68,057

If the Company settles the bonuses or remuneration paid to employees in cash or shares, the Company presumed that the entire amount of the bonuses or remuneration would be settled in shares and the resulting potential shares were included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, if the effect is dilutive. The dilutive effect of the potential shares is included in the computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

26. ADDITIONAL INFORMATION ON EXPENSES

a. Depreciation and amortization

	For the Three Months Ended March 31
	2026	2025
An analysis of depreciation by function
Recognized in operating costs	$ 13,225	$ 12,783
Recognized in operating expenses	2,955	2,813
	$ 16,180	$ 15,596
An analysis of amortization by function
Recognized in operating costs	$ 216	$ 108
Recognized in operating expenses	321	297
	$ 537	$ 405

b. Employee benefits expense

	For the Three Months Ended March 31
	2026	2025
Post-employment benefits (Note 20)
Defined contribution plans	$ 8,380	$ 9,546
Defined benefit plans	732	701
	9,112	10,247
Other employee benefits	174,239	188,069
	$ 183,351	$ 198,316

Enpoyee benefits expense summarized by function
Recognized in operating costs
Recognized in operating expenses

For the Three Months Ended
March 31
2026 2025
$ 145,863 $ 160,227
37,488 38,089
$ 183,351 $ 198,316

In compliance with the Articles, the Company accrues the distribution of employees' compensation and remuneration of directors at rates of 2% to 10% and no higher than 3%, respectively, of net profit before income tax, employees' compensation and remuneration of directors. In accordance with the amendment to the Securities and Exchange Act in August 2024, the Company adopted an amendment to its Articles of Incorporation at the 2025 shareholders' meeting, stipulating that no less than 50% of the employee compensation allocated for the year shall be distributed to non-executive employees. The compensation of employees and the remuneration of directors for the three months ended March 31, 2026 and 2025 were as follows:

Estimation ratio

	For the Three Months Ended March 31, 2026	For the Three Months Ended March 31, 2025
Employees' compensation	3%	3%
Remuneration of directors	2%	2%
Amount	For the Three Months Ended March 31, 2026	For the Three Months Ended March 31, 2025
Employees' compensation	$ 1,599	$ 942
Remuneration of directors	$ 1,066	$ 628

If there is a change in the amounts after the annual consolidated financial statements are authorized for issue, the differences are recorded as a change in the accounting estimate, and will be adjusted in next year.

The appropriations of compensation of employees and remuneration of directors for 2025 and 2024, which were approved by the Company's board of directors on February 24, 2026 and February 20, 2025, respectively, are as follows:

Amount

For the Year Ended December 31
	2025	2024
	Cash	Cash
Employees' compensation	$ 4,301	$ 2,106
Remuneration of directors	$ 2,867	$ 1,404

There was no difference between the actual amounts of the compensation of employees and the remuneration of directors paid and the amounts recognized in the consolidated financial statements for the years ended December 31, 2025 and 2024.

Information on compensation of employees and remuneration of directors resolved by the Company's board of directors is available at the Market Observation Post System website of the Taiwan Stock Exchange.

25 -

27. FINANCIAL INSTRUMENTS

a. Fair value of financial instruments that are not measured at fair value

The management considers that the carrying amounts of financial assets and financial liabilities not measured at fair value approximate their fair values or their fair values cannot be measured reliably.

b. Fair value of financial instruments that are measured at fair value on a recurring basis

1) Fair value hierarchy

March 31, 2026

	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Mutual funds	$ 11,910	$ 2,251	$ -	$ 14,161
Limited partnership	-	-	55,315	55,315
	$ 11,910	$ 2,251	$ 55,315	$ 69,476
Financial assets at FVTOCI
Investments in equity instruments
- domestic listed preferred shares	$130,824	$ -	$ -	$130,824
- domestic unlisted ordinary shares	-	-	12,217	12,217
	$130,824	$ -	$ 12,217	$143,041
December 31, 2025
	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Mutual funds	$ 3,341	$ 2,211	$ -	$ 5,552
Limited partnership	-	-	53,252	53,252
	$ 3,341	$ 2,211	$ 53,252	$ 58,804
Financial assets at FVTOCI
Investments in equity instruments
- domestic listed preferred shares	$133,676	$ -	$ -	$133,676
- domestic unlisted ordinary shares	-	-	12,427	12,427
	$133,676	$ -	$ 12,427	$146,103
March 31, 2025
	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Mutual funds	$ -	$ 6,864	$ -	$ 6,864
Limited partnership	-	-	50,139	50,139
	$ -	$ 6,864	$ 50,139	$ 57,003

(Continued)

26 -

	Level 1	Level 2	Level 3	Total
Investments in equity instruments
- domestic listed preferred shares	$130,507	$ -	$ -	$130,507
- domestic unlisted ordinary shares	-	-	13,310	13,310
	$130,507	$ -	$ 13,310	$143,817

There were no transfers between Levels 1 and 2 as of the three months ended March 31, 2026 and 2025.

2) Reconciliation of Level 3 fair value measurements of financial instruments:

For the Three Months Ended March 31, 2026

Financial Assets	Financial Assets at FVTPL	Financial Assets at FVTOCI	Total
Balance at January 1	$ 53,252	$ 12,427	$ 65,679
Recognized in income (loss)	2,063	-	2,063
Recognized in other comprehensive income (loss)	-	(210)	(210)
Balance at March 31	$ 55,315	$ 12,217	$ 67,532

For the Three Months Ended March 31, 2025

Financial Assets	Financial Assets at FVTPL	Financial Assets at FVTOCI	Total
Balance at January 1	$ 49,226	$ 13,439	$ 62,665
Recognized in income (loss)	913	-	913
Recognized in other comprehensive income (loss)	-	(129)	(129)
Balance at March 31	$ 50,139	$ 13,310	$ 63,449

3) Valuation techniques and inputs applied for Level 2 fair value measurement

Financial Instruments	Valuation Techniques and Inputs
Mutual funds	Using the median price of observable similar market transactions or the price of similar tools provided by the mutual fund management company.

4) Valuation techniques and inputs applied for the purpose of Level 3 fair value measurement

The fair values of unlisted equity securities and limited partnership - ROC were based on the fair value of net assets to determine the expected present value of the investment expectably.

c. Categories of financial instruments

	March 31, 2026	December 31, 2025	March 31, 2025
Financial assets
Financial assets at FVTPL	$ 69,476	$ 58,804	$ 57,003
Financial assets at amortized cost (1)	2,470,847	2,442,826	2,494,588
Financial assets at FVTOCI
Equity instruments	143,041	146,103	143,817
Financial liabilities
Amortized cost (2)	1,329,461	1,261,491	2,104,416

1) The balances include financial assets measured at amortized cost, which comprise cash and cash equivalents, investments in debt instruments, trade receivables, other receivables and guarantee deposits.

2) The balances include financial liabilities measured at amortized cost, which comprise short-term borrowings, trade payables, other payables and guarantee deposits.

d. Financial risk management objectives and policies

The Group’s corporate treasury function provides services to the business, coordinates access to domestic and international financial markets, and monitors and manages the financial risks relating to the operations of the Group through internal risk reports which analyze exposures by degree and magnitude of risks. These risks include currency risk, interest rate risk, credit risk and liquidity risk. In order to reduce financial risk, the Group is committed to identify, assess and avoid the uncertainty of the market and reduce the potential downside effects against the Group’s financial performance due to market fluctuations.

The corporate treasury function is reviewed by the Group’s board of directors and audit committee in accordance with related rules and internal control systems. The Group should implement the overall financial management objective as well as observe the levels of delegated authority and ensure that those with delegated authority carry out their duties.

1) Market risk

The Group’s activities exposed it primarily to the financial risks of changes in foreign currency exchange rates (see (a) below) and interest rates (see (b) below). The Group entered into a variety of derivative financial instruments to manage its exposure to foreign currency risk.

a) Foreign currency risk

The Group’s primary operating activities and foreign operations were in foreign currencies, which exposed the Group to foreign currency risk. Exchange rate exposures were managed within approved policy parameters utilizing derivative financial instruments (including forward exchange contracts and currency swap contracts). The Group could reduce but would be unable to eliminate the effect caused by foreign currency risks under the use of derivative financial products.

The Group’s derivative financial instruments did not qualify under hedged items due to the fact that such products were due within one year of the initial transaction.

27 -

The carrying amounts of the Group's foreign currency denominated monetary assets and monetary liabilities (including those eliminated on consolidation) at the end of the reporting period and carrying amount of derivatives with foreign currency risk exposure are set out in Note 29.

Sensitivity analysis

The following table details the Group's sensitivity to a 5% increase and decrease in the NTD against each relevant currency. The sensitivity analysis included only outstanding foreign currency denominated monetary items at the end of reporting period, and the impact on pre-tax profit and the equity.

	USD Impact		EUR Impact
	For the Three Months Ended March 31		For the Three Months Ended March 31
	2026	2025	2026	2025
Profit or loss	$ 17,957	$ 12,790	$ 1,092	$ 2,055
	MYR Impact		JPY Impact
	For the Three Months Ended March 31		For the Three Months Ended March 31
	2026	2025	2026	2025
Profit or loss	$ (6,512)	$ (3,061)	$ -	$ (22,789)

This was mainly attributable to the exposure on outstanding receivables, payables and bank loans in foreign currencies which were not in cash flow hedges at the end of the reporting period.

b) Interest rate risk

Interest rate risk refers to the risk of the changes in the fair value of financial instruments and cash flow as a result of changes in the market rate.

The carrying amounts of the Group's financial assets and financial liabilities with exposure to interest rate at the end of the reporting period are as follows:

	March 31, 2026	December 31, 2025	March 31, 2025
Fair value interest rate risk
Financial assets	$ 1,799,158	$ 1,807,793	$ 1,744,465
Financial liabilities	700,000	630,000	1,459,279
Cash flow interest rate risk
Financial assets	176,756	165,068	159,534

Sensitivity analysis

The sensitivity analyses were determined based on the Group's exposure to interest rates for both derivative and non-derivative instruments held for a quarter at the end of the reporting period. If interest rates had been 10 basis points higher and all other variables were held constant, the Group's profit or loss would have been as follows:

Market Rate Change Impact
For the Three Months Ended
March 31
2026 2025

Profit or loss
$ 44 $ 40

2) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a financial loss to the Group. The Group is exposed to credit risk from trade receivables, deposits and other financial instruments. Business-related credit risk is managed separately from financial-related credit risk.

a) Business-related credit risk

To maintain the quality of receivables, the Group has established operating procedures to manage credit risk.

For individual customers, risk factors considered include the customer's financial position, credit agency rating, the Group's internal credit rating and transaction history as well as current economic conditions that may affect the customer's ability to pay. The Group also has the right to use some credit protection enhancement tools, such as requiring advance payments, to reduce the credit risks involving certain customers.

As of March 31, 2026, December 31, 2025 and March 31, 2025, the Group's top ten customers collectively accounted for 88%, 88% and 69% of total trade receivables, respectively. The credit concentration risk of the remaining accounts receivable is relatively insignificant.

b) Financial-related credit risk

Credit risk from bank deposits and other financial instruments are measured and monitored by the Group's finance department. However, since the Group's counterparties are all reputable financial institutions and government agencies, there are no significant financial-related credit risks.

3) Liquidity risk

The objective of liquidity risk management is to maintain sufficient operating cash and cash equivalents in order to ensure that the Group has financial flexibility.

Liquidity and interest rate risk tables for non-derivative financial liabilities

The following table details the Group's remaining contractual maturities for its non-derivative financial liabilities with agreed repayment periods. The table has been drawn up based on the undiscounted cash flows of financial liabilities from the earliest date on which the Group can be required to pay. The table includes both interest and principal cash flows. Specifically, bank loans with a repayment on demand clause were included in the earliest time band regardless of the probability of the banks choosing to exercise their rights. The maturity dates for other non-derivative financial liabilities were based on the agreed repayment dates.

29 -

March 31, 2026

	On Demand or Less than 1 Year	1-3 Years	Over 3 Years to 5 Years	Over 5 Years	Total
Non-derivative financial liabilities
Non-interest bearing liabilities	$ 629,137	$ -	$ -	$ 324	$ 629,461
Fixed interest rate instruments	700,000	-	-	-	700,000
	$1,329,137	$ -	$ -	$ 324	$1,329,461
December 31, 2025
	On Demand or Less than 1 Year	1-3 Years	Over 3 Years to 5 Years	Over 5 Years	Total
Non-derivative financial liabilities
Non-interest bearing liabilities	$ 631,176	$ -	$ -	$ 315	$ 631,491
Fixed interest rate instruments	630,000	-	-	-	630,000
	$1,261,176	$ -	$ -	$ 315	$1,261,491
March 31, 2025
	On Demand or Less than 1 Year	1-3 Years	Over 3 Years to 5 Years	Over 5 Years	Total
Non-derivative financial liabilities
Non-interest bearing liabilities	$ 644,817	$ -	$ -	$ 320	$ 645,137
Fixed interest rate instruments	1,459,279	-	-	-	1,459,279
	$2,104,096	$ -	$ -	$ 320	$2,104,416

28. TRANSACTIONS WITH RELATED PARTIES

Balances and transactions between the Company and its subsidiaries, which are related parties of the Company, had been eliminated on consolidation and are not disclosed in this note. The details of transactions between the Group and other related parties are disclosed below.

a. Related parties and their relationships

Related Party	Relationship with the Group
Walsin Technology Corporation	The Company’s major institutional shareholder
INFO-TEK Corporation	Other related party
VVG INC.	Other related party
Lite-On Technology Corporation	The Company’s major institutional shareholder
PSA Charitable Foundation	Other related party
INPAQ Technology Co., Ltd.	Other related party

b. Sales of goods

Item	Related Party Category	For the Three Months Ended March 31
		2026	2025
Sales of goods	The Company’s major institutional shareholder	$ 1,082	$ 629
	Other related party	1,271	-
		$ 2,353	$ 629

The sales of goods to related parties were made at the Company’s usual conditions which had no significant difference with other non-related parties.

c. Purchases

	For the Three Months Ended March 31
Related Party Category	2026	2025
Other related party	$( 103)	$ 4,801

The purchases from related parties were made at the Company’s usual conditions which had no significant difference with other non-related parties.

d. Other income and operating expenses

Item	Related Party Category	For the Three Months Ended March 31
		2026	2025
Operating expenses	The Company’s major institutional shareholder	$ 2,636	$ 1,376
Other income (Recognized as operating expenses deductions)	Other related party	$ 195	$ 235

Note: For charity and community participation, the Company’s board of directors held on February 24, 2026 and February 20, 2025 resolved to donate the PSA Charitable Foundation with a limit amount of NT$1 million for 2026 and 2025, respectively. It is for the foundation to handle various charitable public welfare activities.

e. Receivables from related parties (excluding loans to related parties)

Item	Related Party Category	March 31, 2026	December 31, 2025	March 31, 2025
Trade receivables	The Company’s major institutional shareholder	$ 1,505	$ 1,956	$ 773
	Other related party	741	1,175	-
		$ 2,246	$ 3,131	$ 773
Other receivables	Other related party-INFO-TEK Corporation	$ 68	$ 1,417	$ 2,382
	Other related party	-	20	-
		$ 68	$ 1,437	$ 2,382

The outstanding trade receivables from related parties are unsecured.

f. Payables to related parties (excluding borrowings from related parties)

Item	Related Party Category	March 31, 2026	December 31, 2025	March 31, 2025
Trade payables	Other related party	$ -	$ 8,051	$ 4,963
Other payables	The Company’s major institutional shareholder	$ 1,112	$ 117	$ 970
	Other related party	139	384	-
		$ 1,251	$ 501	$ 970

The outstanding trade payables to related parties are unsecured.

g. Compensation of key management personnel

	For the Three Months Ended March 31
	2026	2025
Short-term employee benefits	$ 3,065	$ 1,649
Termination benefits	22	22
	$ 3,087	$ 1,671

The remuneration of directors and key executives was determined by the remuneration committee with regard to the performance of individuals and market trends.

29. SIGNIFICANT ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES

The Group's significant financial assets and liabilities denominated in foreign currencies aggregated by the foreign currencies other than functional currencies of the entities in the Group and the related exchange rates between the foreign currencies and the respective functional currencies are as follows:

March 31, 2026

	Foreign Currency (In Thousands)	Exchange Rate	Carrying Amount (In Thousands)
Financial assets
Monetary items
USD	$ 7,023	31.9450 (USD:NTD)	$ 224,361
USD	936	6.8946 (USD:RMB)	29,901
USD	4,987	4.0120 (USD:MYR)	159,319
EUR	327	36.5642 (EUR:NTD)	11,950
EUR	326	4.5921 (EUR:MYR)	11,909
MYR	1,838	0.2493 (MYR:USD)	14,633

(Continued)

	Foreign Currency (In Thousands)	Exchange Rate	Carrying Amount (In Thousands)
Non-monetary items
Associates accounted for using the equity method
JPY	7,251,761	0.2003 (JPY:NTD)	1,452,527
JPY	246,110	0.0063 (JPY:USD)	49,301
Financial liabilities
Monetary items
USD	250	31.9450 (USD:NTD)	7,988
USD	1,454	4.0120 (USD:MYR)	46,456
EUR	55	4.5921 (EUR:MYR)	2,022
MYR	18,194	0.2493 (MYR:USD)	144,867
December 31, 2025
	Foreign Currency (In Thousands)	Exchange Rate	Carrying Amount (In Thousands)
Financial assets
Monetary items
USD	$ 7,169	31.3800 (USD:NTD)	$ 224,964
USD	1,080	6.9808 (USD:RMB)	33,877
USD	5,140	4.0350 (USD:MYR)	161,285
EUR	978	36.8652 (EUR:NTD)	36,072
EUR	243	4.7403 (EUR:MYR)	8,974
MYR	2,847	0.2478 (MYR:USD)	22,140
Non-monetary items
Associates accounted for using the equity method
JPY	7,083,363	0.2013 (JPY:NTD)	1,425,881
JPY	239,881	0.0064 (JPY:USD)	48,176
Financial liabilities
Monetary items
USD	277	31.3800 (USD:NTD)	8,685
USD	1,838	4.0350 (USD:MYR)	57,689
EUR	31	4.7403 (EUR:MYR)	1,114
MYR	18,101	0.2478 (MYR:USD)	140,769
			(Continued)

March 31, 2025

	Foreign Currency (In Thousands)	Exchange Rate	Carrying Amount (In Thousands)
Financial assets
Monetary items
USD	$ 1,898	33.1550 (USD:NTD)	$ 62,918
USD	1,740	7.2387 (USD:RMB)	57,682
USD	6,226	4.4170 (USD:MYR)	206,434
EUR	641	35.5786 (EUR:NTD)	22,816
EUR	557	4.7399 (EUR:MYR)	19,820
JPY	67,334	0.2230 (JPY:NTD)	15,015
JPY	2,060,166	0.0067 (JPY:USD)	459,417
MYR	1,089	0.2264 (MYR:USD)	8,172
Non-monetary items
Associates accounted for using the equity method
JPY	6,927,659	0.2230 (JPY:NTD)	1,544,869
JPY	217,690	0.0067 (JPY:USD)	48,357
Financial liabilities
Monetary items
USD	269	33.1550 (USD:NTD)	8,937
USD	191	7.2387 (USD:RMB)	6,324
USD	1,688	4.4170 (USD:MYR)	55,975
JPY	2,111,393	0.2230 (JPY:NTD)	470,841
JPY	2,060,000	0.0067 (JPY:USD)	459,380
EUR	43	4.7399 (EUR:MYR)	1,543
MYR	9,243	0.2264 (MYR:USD)	69,382

The Group is mainly exposed to the USD, EUR, MYR and JPY. The following information was aggregated by the functional currencies of the entities in the Group, and the exchange rates between the respective functional currencies and the presentation currency are disclosed. The significant realized and unrealized foreign exchange gain (loss) are as follows:

For the Three Months Ended March 31

	2026		2025
Functional Currency	Exchange Rate	Net Foreign Exchange Gain (Loss)	Exchange Rate	Net Foreign Exchange Gain (Loss)
NTD	1 (NTD:NTD)	$ 4,048	1 (NTD:NTD)	$ 4,184
USD	31.5296 (USD:NTD)	(170)	32.796 (USD:NTD)	94
RMB	4.5623 (RMB:NTD)	(544)	4.5095 (RMB:NTD)	(371)
MYR	7.9928 (MYR:NTD)	(161)	7.3955 (MYR:NTD)	(270)
		$ 3,173		$ 3,637

35 -

30. SEPARATELY DISCLOSED ITEMS

a. Information on significant transactions:

1) Financing provided: See Table 1 attached.

2) Endorsements/guarantees provided: None.

3) Significant marketable securities held (excluding investment in subsidiaries, associates and jointly controlled entities): See Table 2 attached.

4) Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital: None.

5) Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: None.

6) Intercompany relationships and significant intercompany transactions: See Table 3 attached.

b. Information on investees: See Table 4 attached.

c. Information on investments in mainland China:

1) Information on any investee company in mainland China, showing the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, net income of investees, investment income or loss, carrying amount of the investments at the end of the period, repatriations of investment income, and limit on the amount of investments in the mainland China area: See Table 5 attached.

2) Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses: See Table 6 attached.

a) The amount and percentage of purchases and the balance and percentage of the related payables at the end of the period.

b) The amount and percentage of sales and the balance and percentage of the related receivables at the end of the period.

c) The amount of property transactions and the amount of the resultant gains or losses.

d) The balance of negotiable instrument endorsements or guarantees or pledges of collateral at the end of the period and the purpose.

e) The highest balance, the end of period balance, the interest rate range, and total current period interest with respect to the financing of funds.

f) Other transactions that have a material effect on the profit or loss for the period or on the financial position, such as the rendering or receipt of services.

31. SEGMENT INFORMATION

The Group is organized and managed as a single reportable business segment. The Group’s main operations are the manufacture and sale of rubber (plastic) products, and is considered as a single segment. The basis of information reported to the chief operating decision maker is the same as the consolidated financial statements. Because the basis of segment information reported to the chief operating decision maker is the

same as the consolidated financial statements, the segment revenue and results for the three months ended March 31, 2026 and 2025 can be referred to in the consolidated statements of comprehensive income and the segment assets and liabilities as of March 31, 2026 and 2025 can be referred to in the consolidated balance sheets.

36 -

TABLE 1

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

FINANCING PROVIDED TO OTHERS

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

NO.	Lender	Borrower	Financial Statement Account	Related Party	Highest Balance for the Period	Balance as of March 31, 2026	Actual Borrowing Amount	Interest Rate	Nature of Financing	Business Transaction Amount	Reasons for Short-term Financing	Allowance for Impairment Loss	Collateral		Financing Limit for Each Borrower	Aggregate Financing Limit	Note
													Item	Value
1	Silitech Technology Corporation Sdn. Bhd.	Silitech Electronics Sdn. Bhd.	Other Receivables from Related Parties	Yes	135,361 (MYR17,000)	135,361 (MYR 17,000)	111,474 (MYR 14,000)	Not exceeding 5%	Short-Term Financing	-	Capital expenditure and operational turnover	-	None	-	630,581	630,581

Note: According to the Company's Procedures for Regulations Governing Loaning of Funds:
1. The total amount available for loan to others shall not exceed $40\%$ of the net worth of the Company as stated in the most recent financial statement.
2. In loaning funds to a subsidiary where the Company holds less than $50\%$ of its common shares directly or indirectly, the aggregate amount of loans and the maximum amount permitted to such a single subsidiary shall not exceed $5\%$ of the net worth of the Company as stated in the most recent financial statement. For a subsidiary where the Company holds more than $50\%$ of its common shares directly or indirectly, the aforementioned restriction shall not be applicable; however, the aggregate amount of loans and the maximum amount permitted to such a single subsidiary shall not exceed $40\%$ of the net worth of the Company as stated in the most recent financial statement.
3. Unless otherwise specified in the previous section, in loaning funds to a company or proprietor where the Company has business transactions, the aggregate amount of loans and the maximum amount permitted to such a single company shall not exceed $5\%$ of the Company's net worth as stated in the most recent financial statement, and the maximum amount permitted to such a single company shall not exceed the total amount of business transactions with such a borrower in one year. In loaning funds to a company or proprietor where short-term financing is needed, the aggregate amount of loans and the maximum amount permitted to such a single company shall not exceed $5\%$ of the Company's net worth as stated in the most recent financial statement.
4. Loaning funds between overseas companies in which the Company's directly and indirectly holds $100\%$ of the voting shares or loaning funds to the Company from a foreign company in which the Company's directly and indirectly holds $100\%$ of the voting shares is not limited to $40\%$ of lender's net worth as stated in its most recent financial statements. Silitech Technology Corporation Sdn. Bhd. loan funds to a foreign company in which the Company's directly and indirectly holds $100\%$ of the voting shares, the aggregate amount of loans and the maximum amount permitted to such a single company shall not exceed $60\%$ of the net worth of each company as stated in the most recent financial statement.

TABLE 2

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SIGNIFICANT MARKETABLE SECURITIES HELD

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Name of Held Company	Type and Name of Marketable Securities	Relationship with the Held Company	Financial Statement Account	March 31, 2026
				Shares/Units (In Thousands)	Carrying Value (Foreign Currencies in Thousands)	Percentage of Ownership (%)	Fair Value (Foreign Currencies in Thousands)
Silitech Technology Corporation	Ordinary shares
	Hotai Finance Co., Ltd. Preferred Shares B	-	Financial assets at FVTOCI- non-current	1,000	$ 97,800	1	$ 97,800
	Limited Partnership
	NEXUS CVC Partners Fund LP	-	Financial assets at FVTPL- non-current	-	55,315	-	55,315
Silitech (Bermuda) Holding Ltd.	Corporate bond
	Honda Motor Co Ltd	-	Financial assets at amortized cost- non-current	-	126,450	-	-
	Corporate bond
	HSBC Holdings Plc	-	Financial assets at amortized cost- non-current	-	US$ 1,637		-
	Prudential Funding Asia Plc	-	"	-	US$ 2,351		-
	BPCE SA	-	"	-	US$ 2,429		-
	Sumitomo Mitsui Trust Bank Ltd	-	"	-	US$ 1,806		-
	Saudi Arabian Oil	-	"	-	US$ 1,811		-
	Nestle Holdings Inc	-	"	-	US$ 2,058		-
Woodside Finance Ltd	-	"	-	US$ 4,565		-
	Broadcom Inc	-	"	-	US$ 2,745		-

Note: For information regarding investments in subsidiaries and related parties, please refer to Table 4 and 5.

TABLE 3

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

INTERCOMPANY RELATIONSHIPS AND SIGNIFICANT INTERCOMPANY TRANSACTIONS

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars)

No. (Note 1)	Company Name	Counterparty	Nature of Relationship (Note 2)	Intercompany Transaction
				Financial Statement Item	Amount	Terms	Percentage of Consolidated Net Revenue or Total Assets (%) (Note 3)
0	Silitech Technology Corporation	Silitech Technology Corporation Sdn. Bhd.	a.	Management service revenue	$ 7,467	Determined by contract	1
1	Silitech Technology Corp. Sdn. Bhd	Silitech Electronics Sdn. Bhd	c.	Other receivables	114,157	No significant difference	2

Note 1: The Parent Company and its subsidiaries are coded as follows:
a. The Parent Company is coded "0".
b. The subsidiaries are coded consecutively beginning from "1" in the order presented in the table above.

Note 2: Nature of relationships are coded as follows:
a. From the Parent Company to its subsidiary.
b. From a subsidiary to its Parent Company.
c. Between subsidiaries.

Note 3: The percentage calculation is based on the consolidated total operating revenue or total assets. For balance sheet items, each item's end-of-period balance is shown as a percentage to the consolidated total assets as of March 31, 2026. For profit or loss items, cumulative amounts are shown as percentages to consolidated total operating revenue for the three months ended March 31, 2026.

Note 4: The table above only discloses related-party transactions which are material.

TABLE 4

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

NAMES, LOCATIONS, AND RELATED INFORMATION OF INVESTEES

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount			Balance as of March 31, 2026			Net Income (Losses) of the Investee	Share of Profits/(Losses) of Investee
				March 31, 2026	December 31, 2025		Number of Shares	Percentage of Ownership (%)	Carrying Value
Silitech Technology Corporation	Silitech (BVI) Holding Ltd.	British Virgin Islands	Investment activities	US$ 29,028	US$ 29,028	29,028,390	100	$ 1,352,032	US$ 394	$ 12,420	Subsidiary (Note 1)
	Silitech Technology Corporation Sdn. Bhd.	Malaysia	Manufacture of computer peripheral products	US$ 23,154	US$ 23,154	21,400,000	100	1,050,969	MYR 485	3,879	Subsidiary (Note 1)
	Silitech Electronics Sdn. Bhd.	Malaysia	Manufacture of telecommunications and communications equipment	US$ 3,018	US$ 3,018	40,000,000	100	25,793	(US$ 575)	(11,735)	Subsidiary (Note 1)
	Silitech Japan Investment G.K.	Japan	Investment activities	JPY 1,000	JPY 1,000	-	100	56	(JPY 404)	(82)	Subsidiary (Note 1)
	FDK Corporation	Japan	Manufacture and sale of various batteries and electronic devices	JPY 6,754,419	JPY 6,754,419	15,527,400	45	1,452,527	JPY 374,218	33,966	Associate
Silitech (BVI) Holding Ltd.	Silitech (Bermuda) Holding Ltd.	Bermuda	Investment activities	US$ 28,978	US$ 28,978	28,978,390	100	US$ 41,829	US$ 429	N/A	Sub-subsidiary (Note 1)
Silitech (Bermuda) Holding Ltd.	Silitech Technology Corporation Limited	Hong Kong	Manufacture of plastic and computer peripheral products	US$ 8,000	US$ 8,000	62,400,000	100	US$ 4,131	RMB 242	N/A	Sub-subsidiary (Note 1)
	PSA Japan Investment G.K.	Japan	Investment activities	US$ 1,437	US$ 1,437	-	3	US$ 1,543	JPY 224,520	N/A	Associate

Note 1: All amounts have been eliminated upon consolidation.
Note 2: Refer to Table 5 for information on investments in mainland China.

40 -

TABLE 5

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor Company	Main Businesses and Products	Total Amount of Paid-in Capital	Method of Investment	Accumulated Outflow of Investments from Taiwan as of January 1, 2026	Investment Flows		Accumulated Outflow of Investments from Taiwan as of March 31, 2026	Net Income (Losses) of the Investor Company	Percentage of Ownership (%)	Share of Profits/(Losses) (Note 2)	Carrying Amount as of March 31, 2026	Accumulated Inward Remittance of Earnings as of March 31, 2026	Note
					Outflow	Inflow
Xarong Electronic (Shenzhen) Co., Ltd.	Sale of touch panels and plastic and rubber assemblies	$ 89,446 (US$ 2,800)	Note 1	$ 203,354	$ -	$ -	$ 203,354	$ 936 (RMB 205)	100	$ 936 (RMB 205)	$ 56,237 (RMB 12,141)	$ 4,203,260 (US$ 122,919) (RMB 71,822)
Silitech Technology (Suzhou) Co., Ltd.	Manufacture and sale of automotive parts	-	Note 1	1,118,075 (US$ 35,000)	-	-	1,118,075 (US$ 35,000)	-	-	-	-	1,257,246 (US$ 8,796) (RMB 214,783)	Note 6
Accumulated Investments in Mainland China as of March 31,2026	Investment Amounts Authorized by the Investment Commission, MOEA	Upper Limit on Investment
---	---	---
$ 1,417,264 (Note 4)	$ 1,573,954 (Note 4)	$7,692,094 (Note 3)
(US$ 38,000)	(US$ 42,905)
(NT$ 203,354)	(NT$ 203,354)

Note 1: Indirect investment in mainland China through holding companies located in a third country.
Note 2: All the financial statements used as basis for calculating the investment amounts were not reviewed by the independent auditors.
Note 3: The Company's upper limit on investments in China (calculated based on the higher of 60% of Silitech Technology Corporation's net worth or consolidated net worth of $80 million, plus accumulated inward remittance of share capital or earnings from subsidiaries in mainland China): $3,719,314 (net worth) × 60% + $5,460,506 = $7,692,094.
Note 4: Investment amounts approved by the Ministry of Economic Affairs, R.O.C. are as follows:

Name of Investor	Order No.	Approved Amount
Xarong Electronic (Shenzhen) Co., Ltd.	091030841	NT$ 203,354
Silitech Electronic (Changsha) Ltd. (liquidated in October 2010)	093032599	US$ 3,000
Silitech Technology (Suzhou) Co., Ltd. (liquidated in January 2020)(Note 6)	10930007090	US$ (43,000)
Silitech Technology (Suzhou) Co., Ltd. (liquidated in January 2020)(Note 6)	09600170390	US$ 20,000
Silitech Technology (Suzhou) Co., Ltd. (liquidated in January 2020)(Note 6)	09600164790	US$ 2,000
Silitech Technology (Suzhou) Co., Ltd. (liquidated in January 2020)(Note 6)	09500326290	US$ 11,000
Silitech Technology (Suzhou) Co., Ltd. (liquidated in January 2020)(Note 6)	09700434630	US$ 45,000
Silitech Plating (Shenzhen) Co., Ltd. (liquidated in September 2012)	09500004400	US$ 605
Suzhou Xulong Mold Producing Co., Ltd. (liquidated in May 2018)(Notes 5 and 7)	09700063560	US$ 1,200
Suzhou Xulong Mold Producing Co., Ltd. (liquidated in May 2018)(Notes 5 and 7)	10000321080	US$ 1,500
Silitech Surface Treatment (Shenzhen) Co., Ltd. (liquidated in December 2012)	09900449200	US$ 1,600

Note 5: Including accumulated investments of US$2,700 thousand which are not from Taiwan (R.O.C).
Note 6: Silitech Technology (Suzhou) Co., Ltd. was dissolved after liquidation in January 2020. The share capital of RMB21,720 thousand was remitted to Silitech (Bermuda) Holding Ltd.
Note 7: Suzhou Xulong Mold Producing Co., Ltd. was dissolved after liquidation in May 2018. The share capital of US$58 thousand was remitted to Silitech Technology Corporation Limited and was approved on June 25, 2018 by Order No. 10730038150.
Note 8: All intercompany investments have been eliminated upon consolidation.

TABLE 6

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SIGNIFICANT TRANSACTIONS WITH INVESTEE COMPANIES IN MAINLAND CHINA, EITHER DIRECTLY OR INDIRECTLY THROUGH A THIRD PARTY, AND THEIR PRICES, PAYMENT TERMS, AND UNREALIZED GAINS OR LOSSES

FOR THE THREE MONTHS ENDED MARCH 31, 2026

(Amounts in Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Transaction Type	Purchase/Sale		Price	Transaction Details		Notes/Accounts Receivable (Payable)		Unrealized
		Amount	Percentage (%)		Payment Terms	Comparison with Normal Transactions	Ending Balance	Percentage (%)
Xurong Electronic (Shenzhen) Co., Ltd. (Note)	Purchase	$ 168	-	No significant difference	90 days	90-120 days	$ (340)	-	$ -

Note: Eliminated upon consolidation.

AI assistant

Silitech Technology Corp. — Interim / Quarterly Report 2026

52313_rns_2026-07-01_79e18e60-a426-4504-a3dc-5fb6e978f0b8.pdf

Introduction

Scope of Review

Basis for Qualified Conclusion

Conclusion

Notice to Readers

CONSOLIDATED BALANCE SHEETS

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

6. CASH AND CASH EQUIVALENTS

7. FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS ("FVTPL")

8. FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME ("FVTOCI")

9. FINANCIAL ASSETS AT AMORTIZED COST

10. TRADE RECEIVABLES

11. INVENTORIES, NET

12. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

13. SUBSIDIARIES

Remark:

Subsidiaries Excluded from the Consolidated Financial Statements: None.

14. PROPERTY, PLANT AND EQUIPMENT, NET

15. LEASE ARRANGEMENTS

19. PROVISIONS

20. RETIREMENT BENEFIT PLANS

21. EQUITY

22. REVENUE

23. NON-OPERATING INCOME AND EXPENSES

24. INCOME TAX

25. EARNINGS PER SHARE

26. ADDITIONAL INFORMATION ON EXPENSES

27. FINANCIAL INSTRUMENTS

Sensitivity analysis

b) Interest rate risk

Sensitivity analysis

28. TRANSACTIONS WITH RELATED PARTIES

29. SIGNIFICANT ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES

30. SEPARATELY DISCLOSED ITEMS

31. SEGMENT INFORMATION

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

FINANCING PROVIDED TO OTHERS

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE THREE MONTHS ENDED MARCH 31, 2026

SILITECH TECHNOLOGY CORPORATION AND SUBSIDIARIES

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Silitech Technology Corp. Interim / Quarterly Report 2026