Q2 2026 Sino-American Silicon Products Inc Earnings Call

August 7, 2026

Speaker #1: Any independent compute and reports we get. A quick reminder: please keep your audio on mute to ensure a smooth and interactive session. We have established the two methods for you to post questions during the event.

Speaker #1: You'll see the slido feature for written questions, and utilize Sino Webex can duration function for live spoken inquiries. First, this slido, which is a text-based question, throughout the meeting you can input your questions using the slido feature in the Webex.

Speaker #1: Simply access slido and type in your question. Our presenters will monitor slido regularly to address your written questions. To ensure the efficient use of time, we encourage you to type in your questions at the meeting start.

Speaker #1: The second method is live voice questions. Towards the end of the meeting, we will open the floor for live voice questions. If you wish to speak directly, please use the Webex raise hand function to indicate your intention.

Speaker #1: Once you raise your hand, kindly be ready to accept the host's invitation to unmute your microphone when prompted. This will allow you to verbally post your question to the panel.

Speaker #1: Before we begin, I would like to remind you that today's discussion may contain forward-looking statements. Please be aware that these statements are subject to various risks and uncertainties.

Speaker #1: What you could call the actual results could differ materially from our original interpretations. Please refer to the same cover notice in our presentation. Now, without further delay, I would like to pass the floor to our third person, Ms. Doris Hsu.

Speaker #2: Thank you, Leah. Good afternoon, everyone. Thank you very much for joining. It's a second quarter 2023 learning call. Today, Leah and I will walk you through our financial performance and recent business development.

Speaker #2: Leah will also address several frequently asked questions we have already received recently. While I will answer your questions during today's live Q&A session as well, first of all, let me walk you through how these developments were reflected in our second quarter performance.

Speaker #2: Please, if you have already presentation slides, please turn to page 4. In the second quarter of reported consolidated revenues empty 21.1 billion, up 8.96% QoQ.

Speaker #2: First half revenue totals 40.583 billion, representing a 2.26 YOY increase. First half gross profits margin was 22.9%. Operating margin operating margin first half of 2026 was 11.2%, while net profits net profit margin reached 17.4%.

Speaker #2: EPS reached 3.19 MT per share for the second quarter, and 5.02 MT per share for the first half. Second quarter EPS was also the third highest for the same period in the company's history.

Speaker #2: Highlighting the strength of our diversified business portfolio and the benefits of our long-term strategy. Next, let me update you the operation highlights of our subsidiaries and affiliates.

Speaker #2: We are very pleased to see our long-term investments and diversified business delivered tangible results with growing contributions and and synergies across semiconductors, automotive components, and renewable energy.

Speaker #2: This further strength strengthens our confidence in the group's future growth. I will walk you through the business highlights of our subsidiaries and affiliate companies.

Speaker #2: Let me start from SAS Renewable Energy. In renewable energy, we achieved several key milestones this quarter. Including our collaboration with URE to expand into the US market, SGE successfully SGE successfully listing on the emerging stock board.

Speaker #2: And continuing progressing in product traceability and low-carbon manufacturing. Through our dual-track strategy in manufacturing and services, we continue to strengthen our renewable energy platform and capture long-term opportunities from the energy transition.

Speaker #2: Next, I will introduce SUNR Sun, this is this is our manufacturing business followed by SGE, which is our renewable energy service business. First, let me introduce Sun, SUN.

Speaker #1: In Energy, we achieved several key milestones this quarter, including our collaboration with URE to expand into the U.S. market, SGE successfully listing on the Emerging Stock Board, and continuing progress in product traceability.

Doris Hsu: energy, we achieved several key milestones this quarter, including our collaboration with URE to expand into the US market. SGE successfully listing on the Emerging Stock Board, and continued progress in product traceability and low carbon manufacturing. Through our dual strategy in manufacturing and services, we continue to strengthen our renewable energy platform and capture long-term opportunities from the energy transition. Next, I will introduce SUM, our sun. This is our manufacturing business, followed by SGE, which is our renewable energy service business. First, let me introduce SUM, S-U-M. The company continues to strengthen its presence in Taiwan while expanding its footprint, its rooftop solar, and high safety product portfolio, with fire resistant modules already in mass production. In overseas markets, the sun is expanding into high-value applications such as low Earth orbit satellites and net zero in energy buildings, leveraging its high quality, traceable, and compliant products.

Speaker #2: The company continues to strengthen its presence in Taiwan while expanding its footprint. Its rooftop rooftop solar and high safety product portfolio, with fire resistance resistance modules already in mass production.

Speaker #1: Low-carbon manufacturing. Through our dual-track strategy in manufacturing and services, we continue to strengthen our renewable energy platform and capture long-term opportunities from the energy transition.

Speaker #2: In overseas markets, Sun is expanding into high-value applications such as low-earth orbits, satellites, and net-zero in energy buildings, leveraging its high-quality traceable and compliant products.

Speaker #1: Next, I will introduce SUNR's fund. This is our manufacturing business, followed by SGE, which is our renewable energy service business. First, let me introduce SUN, S-U-M.

Speaker #2: Next is SGE, which is our service company. SGE corporate net-zero and green electricity demand continue to grow. SGE has built an integrated energy service platform, covering power generation, green power retail, energy storage, and energy saving solutions provided.

Speaker #1: The company continues to strengthen its presence in Taiwan while expanding its footprint. Its rooftop, so rooftop solar and high safety product portfolio, with fire-resistant modules, is already in mass production.

Speaker #2: This year, SGE was successfully listed on the emerging stock board. Its cumulative green power contract value has already exceeded exceeded MT 100 billion MT.

Speaker #1: In overseas markets, Sun is expanding into high-value applications such as low-Earth orbit satellites and net-zero energy buildings, leveraging its high-quality, traceable, and compliant products.

Speaker #2: With over 85% of the of the revenue under contract of more than 10 years, providing very strong long-term visibility. SGE also continues to expand its renewable energy resources and corporate customers corporate customer base and become Taiwan's first private company to sign an offshore wind power purchase agreement.

Speaker #1: Next is SGE, which is our service company. SGE corporate net-zero and green electricity demand continue to grow. SGE has built an integrated energy service platform, covering power generation, green power retail, energy storage, and energy-saving solutions providing.

Doris Hsu: Next is SGE, which is our service company. As corporate net zero and green electricity demand continue to grow, SGE has built an integrated energy service platform covering power generation, green power retail, energy storage, and energy saving solutions providing. This year, SGE was successfully listed on the Emerging Stock Board. Its cumulative green power contract value has already exceeded TWD 100 billion, with over 85% of the revenue under contracts of more than 10 years, providing very strong long-term visibility. SGE also continues to expand its renewable energy resources and corporate customer base, and become Taiwan's first private company to sign an offshore wind power purchase agreement. With green electricity demand continuing to rise, we see very strong long-term growth potential for the business. Next, let me move to GlobalWafers.

Speaker #2: With green electricity demand continuing to rise, we see very strong long-term growth potential for the business. Next, let me move to global waivers. First half revenue reached global waiver first half revenue reached 29.29.2 billion MT.

Speaker #1: This year, SGE was successfully listed on the emerging stock board. Its cumulative green power contract value has already exceeded $100 billion, with over 85% of the revenue under contracts of more than 10 years, providing very strong long-term visibility.

Speaker #2: Down 7.6% while the semiconductor market continued to recover. With demand expanding from AI to broader AI market applications, our brownfield facility remains fully loaded, fully utilized.

Speaker #1: SGE also continues to expand its renewable energy resources and corporate customer base, and has become Taiwan's first private company to sign an offshore wind power purchase agreement.

Speaker #2: While greenfield facilities continue to advance customer qualifications and gradually ramp up mass production, we also continue to deepen our long-term customer partnerships, including our recently announced 10-year strategic collaboration with Micron, while expanding high-value added products such as SOI, SCADA nitrite, second carbide, and square waivers.

Speaker #1: With green electricity demand continuing to rise, we see very strong long-term growth potential for the business. Next, let me move to Global Wafers. First half revenue reached Global Wafer first half revenue reached $29.2 billion down 7.6%, while the semiconductor market continued to recover.

Speaker #2: As our global expansion progresses, our global manufacturing footprint will provide further support for future growth. Turning to AWSB, first half revenue reached 2.5 billion MT, representing a 44.4% YOY increase.

Doris Hsu: GlobalWafers H1 revenue reached TWD 29.2 billion, down 7.6%, while the semiconductor market continued to recover with demand expanding from AI to broader end market applications. Our brownfield facility remains fully loaded, fully utilized. While greenfield facilities continue to advance customer qualifications and gradually ramp up mass production. We also continue to deepen our long-term customer partnership, including our recently announced 10-year strategic collaboration with Micron, while expanding high value added products such as SOI, gallium nitride, silicon carbide, and square wafers. As our global expansion progresses, our global manufacturing footprint will provide further support for future growth. Turning to AWSC. H1 revenue reached TWD 2.5 billion, representing a 44.4% YOY increase. Both revenue and EPS reached their 2nd highest levels for the same period.

Speaker #1: With demand expanding from AI to broader end-market applications, our brownfield facility remains fully loaded and fully utilized, while greenfield facilities continue to advance customer applications and gradually ramp up mass production.

Speaker #2: Both revenue and EPS reached their second highest levels for the same period. This performance was supported supported by continued customer collaboration with advanced technologies adopted in mid to mid to high-end smartphones.

Speaker #1: We also continue to deepen our long-term customer partnerships, including our recently announced 10-year strategic collaboration with Micron, while expanding high-value-added products such as SOI, gallium nitride, silicon carbide, and square wafers.

Speaker #2: Further optimized product mix and reducing the impact of weakness in the low-end smartphone market. In addition to smartphones, demand for Wi-Fi applications is drawn or UAVs continue to grow.

Speaker #1: As our global expansion progresses, our global manufacturing footprint will provide further support for future growth. Turning to AWSC, first half revenue reached $2.5 billion.

Speaker #2: With GAM offline Wi-Fi power amplified becoming an important source of demand. Meanwhile, as AI data centers and the high-speed optical communications markets continue to expand rapidly, demand for LD or laser diode and PD photodiodes which are used for optical signal transmission continue to increase.

Speaker #1: Representing a 44.4% worldwide increase. Gross revenue and EPS reached their second-highest levels for the same period. This performance was supported by continued customer collaboration with advanced technologies adopted in mid- to high-end smartphones.

Doris Hsu: This performance was supported by continued customer collaboration with advanced technologies adopted in mid to high-end smartphones, further optimize the product mix and reducing the impact of weakness in the low-end smartphone market. In addition to smartphones, demand for Wi-Fi applications in drone or UAVs continue to grow, with gallium arsenide, Wi-Fi power amplifier becoming an important source of demand. Meanwhile, as AI data centers and the high-speed optical communications market continue to expand rapidly, demand for LD or laser diodes and PD photodiodes, which are used for optical signal transmission, continue to increase. Laser diodes convert electricity signals into optical signals for high speed transmission, while photodiodes receive optical signals and convert them back into electrical signals. Together, they are core components for optical transceiver modules.

Speaker #1: Further optimized product mix and reduced the impact of weakness in the low-end smartphone market. In addition to smartphones, demand for Wi-Fi applications in drones or UAVs continued to grow, with gallium-arsenide Wi-Fi power amplifiers becoming an important source of demand.

Speaker #2: Laser diodes convert electricity signals into optical signals for high-speed transmission, while photodiodes receive optical signals and convert them back into electrical signals. Together, they are core components for comprehensive optical transceiver modules.

Speaker #1: Meanwhile, as AI data centers and the high-speed optical communications market continued to expand rapidly, demand for LD, or laser diodes, and PD photodiodes, which are used for optical signal transmission, continued to increase.

Speaker #2: AWSB now is working with multiple international customers with a certain product already delivered for customers sampling, while other projects continue to progress through development and qualification.

Speaker #1: Laser diodes convert electrical signals into optical signals for high-speed transmission, while photodiodes receive optical signals and convert them back into electrical signals. Together, they are core components of optical transceiver modules.

Speaker #2: Next, turn to Exxon. First half revenue reached 4.1 billion, down 4.9% YOY. While demand from global OEM in tier one customers remains stable, ICE and HEV applications continue to support product demand.

Speaker #1: AWSC is now working with multiple international customers, with certain products already delivered for customers' sampling, while other projects continue to progress through development and qualification.

Speaker #2: Exxon continues to strengthen its presence in both automotive and industrial markets. While developing new products, including second carbide, power module, second carbide IBM, and high-voltage semiconductors, with a growing design-in pipeline and continued design win achievements, the company is reinforcing its automotive business while expanding into high growth applications such as AI data centers, server power supplies, energy storage, industrial automation, and new energy building building its next wave of growth.

Doris Hsu: AWSC now is working with multiple international customers with a certain product already delivered for customer sampling, while other projects continue to progress through development and qualification. Next, turn to Actron. H1 revenue reached TWD 4.1 billion, down 4.9% YOY. While demand from global OEM and tier 1 customers remained stable, ICE and HEV applications continued to support product demand. Actron continues to strengthen its presence in both automotive and industrial markets while developing new products including silicon carbide power modules, silicon carbide IPMs, and high voltage semiconductors. With a growing design-in pipeline and continued design win achievements, the company is reinforcing its automotive business while expanding into high growth applications such as AI data center, server power supply, energy storage, industrial automation, and new energy, building its next wave of growth. Next, let me introduce our specialty chemical company, TSC.

Speaker #1: Next, turn to Extron. First half revenue reached $4.1 billion, down 4.9% worldwide. While demand from global OEM and Q1 customers remained stable, ICE and HEV applications continued to support product demand.

Speaker #1: Extron continues to strengthen its presence in both automotive and industrial markets while developing new products, including silicon carbide power modules, silicon carbide IPMs, and high-voltage semiconductors. With a growing design-in pipeline and continued design win achievements, the company is reinforcing its automotive business while expanding into high-growth applications such as AI data centers, server power supplies, energy storage, industrial automation, and new energy—building its next wave of growth.

Speaker #2: Next, let me introduce our specialty chemical company, TSC. TSC's second quarter standalone revenue reached a record high of 320 million MT. While first half standalone revenue grew 29.7% YOY to 630 million despite a high comparison base, including HJT consolidated revenue reached 1.75 billion MT.

Speaker #1: Next, let me introduce our specialty chemical company, PSC. PSC's second-quarter standalone revenue reached a record high of $320 million, while first half standalone revenue grew 29.7% year-over-year to $630 million worldwide, despite a high comparison base.

Speaker #2: Of 262.8% YOY, 262% YOY up. With both revenue and EPS reaching all-time highs, supported by advanced process capability, expansion in AI-related AI AI-related demand.

Speaker #2: Shipments of side-sided and AHF these two are our main products continue to grow. AHF, Taiwan's first locally produced product of its kind, qualified for advanced process applications.

Doris Hsu: TSC's Q2 standalone revenue reached a record high of TWD 320 million. While H1 standalone revenue grew 29.7% YOY to TWD 630 million despite the high comparison base, including HJT, consolidated revenue reached TWD 1.75 billion, up 262% YOY. With both revenue and EPS reaching all-time highs. Supported by advanced process capability expansion and AI related demand, shipments of disilane and AHF, these two are our main products, continue to grow. AHF, Taiwan's first locally produced product of its kind, qualified for advanced process applications, saw strong demand. While the company's first precursor product continues to progress through customers' qualification. The acquisition of HJT has also expanded TSC into semiconductor equipment parts, cleaning and coating service. Looking ahead, capacity utilization is expected to remain near 100% fully loaded in H2.

Speaker #1: Including HJT, consolidated revenue reached $1.75 billion, up 262.8% worldwide, with both revenue and EPS reaching all-time highs. Supported by advanced process capability and expansion in AI-related demand, shipments of die silicon and AHF—these two are our main products—continue to grow.

Speaker #2: So strong demand. While the company's first precursor product continues to progress through customers' qualifications, the acquisition of HJT has also expanded TSC into semiconductor equipment parts.

Speaker #2: Parts cleaning and coating service. Looking ahead, capacity utilization is expected to remain near 4 in the second half. Near 100% fully loaded in the second half.

Speaker #1: AHF, Taiwan's first locally produced product of its kind, qualified for advanced process applications. There is strong demand, while the company's first precursor product continues to grow through customer qualification.

Speaker #2: Annualized test landing capacity is expected to increase from 26 tons to 30 tons in Q4 2026. And further to 40 tons in the first half 2027.

Speaker #1: The acquisition of HJT has also expanded TSC into semiconductor equipment parts, parts cleaning, and coating services. Looking ahead, capacity utilization is expected to remain near full in the second half, nearly 100% fully loaded.

Speaker #2: With the second 20-ton production line, also under planning, AHF capacity is also planned to double from 10 to 20 tons next year. With new products, new capacity expansion, and integrated service, TSC continue to build its second growth curve.

Speaker #1: Annualized, dye silicon capacity is expected to increase from 26 tons to 30 tons in Q4 2026, and further to 40 tons in the first half of 2027.

Speaker #2: HJT HJT second quarter revenue reached 400 million, up 5.7% QQ, supported by growing demand for advanced semiconductor manufacturing and advanced packaging. Capacity utilization remaining at 4 capacity.

Speaker #1: With the second 20-ton production line also under planning, AHF capacity is also planned to double from 10 to 20 tons next year. With new products, new capacity expansion, and integrated service, TSC continues to build its second growth curve.

Doris Hsu: Annualized disilane capacity is expected to increase from 26 tons to 30 tons in Q2 2026, and further to 40 tons in H1 2027, with a second 20-ton production line also under planning. AHF capacity is also planned to double from 10 tons to 20 tons next year. With new products, new capacity expansion and integrated service, TSC continue to build its second growth curve. HJT. HJT's Q2 revenue reached TWD 400 million, up 5.7% QOQ, supported by growing demand for advanced semiconductor manufacturing and advanced packaging. Capacity utilization remained at full capacity. To meet growing customers' demand, HJT is expanding its Hsinchu and Tainan facilities, with new capacity expected to come online from Q2 2026 and contribute further in 2027. As capacity expands and customer qualification progress, HJT is well positioned to capture long-term growth opportunities from AI, advanced semiconductor manufacturing and advanced packaging.

Speaker #2: To meet growing customers' demand, HJT is expanding its Hsinchu and Tainan facilities. With new capacity expected to come online from Q4 2026 and contribute further in 2027.

Speaker #1: HJT's second-quarter revenue reached $400 million, up 5.7% quarter-over-quarter, supported by growing demand for advanced semiconductor manufacturing and advanced packaging. Capacity utilization remains at full capacity.

Speaker #2: As capacity expands and customer qualification progress, HJT is well positioned to capture long-term growth opportunities from AI. Advanced semiconductor manufacturing and advanced packaging. Overall, our SAS affiliated companies remain focused on advanced semiconductor manufacturing and high-value added products as our strategic initiatives initiatives continue to deliver results.

Speaker #1: To meet growing customer demand, HJT is expanding its Hsinchu and Tainan facilities. With new capacity expected to come online from Q4 2026 and contribute further in 2027, as capacity expands and customer qualification progresses, HJT is well positioned to capture long-term growth opportunities from AI.

Speaker #2: We remain confident in the group's long-term growth. Let me briefly highlight several industry trends closely related to our business portfolio. Driven by AI data centers, electrification, and industrial growth, global electricity global electricity demand is expected to increase by around 20% over the next decade.

Speaker #1: Advanced semiconductor manufacturing and advanced packaging. Overall, our SAS affiliate companies remain focused on advanced semiconductor manufacturing and high value-added products, as our strategic initiative continues to deliver results.

Speaker #1: We remain confident in the group's long-term growth. Let me briefly highlight several industry trends closely related to our business portfolio. Driven by AI data centers, electrification, and industrial growth, global electricity demand is expected to increase by around 20% over the next decade.

Speaker #2: Supporting continuous growth in renewable energy powering infrastructure and semiconductor and semiconductor will remain a key source of new power generation while Taiwan's 58 gigawatt renewable energy target by 2035 will further support will further support long-term green power demand.

Doris Hsu: Overall, our SAS affiliated companies remain focused on advanced semiconductor manufacturing and high value added products. As our strategic initiatives continue to deliver results, we remain confident in the group's long-term growth. Let me briefly highlight several industry trends closely related to our business portfolio. Driven by AI data center, electrification and industrial growth, global electricity demand is expected to increase by around 20% over the next decade. Supporting continued growth in renewable energy, powering infrastructure and semiconductor will remain a key source of new power generation, while Taiwan's 58 GW renewable energy target by 2035 will further support long-term green power demand. Meanwhile, the rapid expansion of LEO satellites and high-speed communications is creating new demand for satellite communications, space grade solar products, optical components, and advanced semiconductors, with the global satellite fleet expected to reach around 70,000 over the next five years.

Speaker #1: Supporting continued growth in renewable energy, power infrastructure and semiconductors will remain a key source of new power generation, while Taiwan’s 58-gigawatt renewable energy target by 2035 will further support long-term green power demand.

Speaker #2: Meanwhile, the rapid expansion of LEO satellites and high-speed communications is creating new demand for satellite communications space-grade solar products optical components and advanced semiconductors.

Speaker #2: With the global satellite fleet, expected to reach around 70,000 over the next five years. With our diversified portfolio across global wafers, Sun, SGE, TSC, Estron, and AWC, SAS is well positioned to capture these long-term growth opportunities.

Speaker #1: Meanwhile, the rapid expansion of LEO satellites and high-speed communications is creating new demand for satellite communications, space-grade solar products, optical components, and advanced semiconductors within the global satellite fleet.

Speaker #1: Expected to reach around 70,000 over the next five years. With our diversified portfolio across GlobalWafers, some SGE, TSC, Extron, and AWC, SAS is well positioned to capture these long-term growth opportunities.

Speaker #2: This concludes my remarks. Thank you very much for your attention. I will now hand the presentation over to Leah who will provide more details on the group's overall operating performance and adjacent key topics of interest to investors.

Speaker #2: Thank you very much again, Leah Peace.

Speaker #1: This concludes my remarks. Thank you very much for your attention. I will now hand the presentation over to Leah, who will provide more details on the group's overall operating performance and address some key topics of interest to investors.

Speaker #1: Thank you, Doris. Please turn to page 17. There is discipline in the long-term investments. SAS has built a diversified portfolio across semiconductors, automotive components, and renewable energy.

Speaker #1: With strong market conditions in each business, more importantly, we continue to create opportunities through shared resources. Complementary technologies and the market collaboration allowing our business to support each other and strengthening the group's competitiveness and the long-term growth.

Speaker #1: Thank you very much again, Leah. Please go ahead.

Doris Hsu: With our diversified portfolio across GlobalWafers, Sun, SGE, TSC, Actron, and AWSC, SAS is well positioned to capture these long-term growth opportunities. This concludes my remarks. Thank you very much for your attention. I will now hand the presentation over to Leah, who will provide more details on the group's overall operating performance and address some key topics of interest to investors. Thank you very much again. Leah, please.

Speaker #2: Thank you, Doris. Please turn to page 17. Three disciplines in long-term investment: SAS has built a diversified portfolio across semiconductors, automotive components, and renewable energy.

Speaker #2: With strong market positions in each business, more importantly, we continue to create group synergies through shared resources, complementary technologies, and market collaboration, allowing our businesses to support each other and strengthening the group's competitiveness and long-term growth.

Speaker #1: In page 18, this slide highlights the solid performance of our key group of companies. All of which maintain a healthy growth in maintenance in the first half of 2026.

Speaker #1: Global wafers delivered a strong sequential growth with second quarter revenue increase increased at 8.8% QQ and achieving the second highest first-half revenue. Extra maintains stable operating performance despite the challenging market environment.

Speaker #2: On page 18, this slide highlights the solid performance of our key group of companies, all of which maintained a healthy growth momentum in the first half of 2026.

Leah Peng: Thank you, Doris. Please turn to page 17. Through disciplined long-term investment, SAS has built a diversified portfolio across semiconductors, automotive components, and renewable energy, with strong market positions in each business. More importantly, we continue to create group synergies through shared resources, complementary technologies, and market collaboration, allowing our business to support each other and strengthening the group's competitiveness and the long-term growth. In page 18, this slide highlights the solid performance of our key group of companies, all of which maintained a healthy growth momentum in H1 2026. GlobalWafers delivered a strong sequential growth, with Q2 revenue increased 8.8% QOQ, and achieving the second highest H1 revenue. Actron maintained stable operating performance despite a challenging market environment. AWSC continued to perform well, recording its second highest H1 revenue for the same period, reflecting resilient demand in advanced wireless semiconductor applications.

Speaker #2: GlobalWafers delivered strong sequential growth, with second-quarter revenue increasing 8.8% quarter-over-quarter and achieving the second-highest first-half revenue. Extron maintained stable operating performance despite a challenging market environment.

Speaker #1: AWSC continue to perform well. Recording its second highest first-half revenue for the same period reflecting resilience demand in advanced wireless semiconductor fabrication. TSC, Taiwan Specialty Chemicals, achieved a record high first-half revenue demonstrating strong growth momentum and increasing contribution to the group.

Speaker #2: AWSC continued to perform well, recording its second-highest first-half revenue for the same period, reflecting resilient demand in advanced wireless semiconductor applications. TSC, Taiwan's specialty chemicals division, achieved high first-half revenue, demonstrating strong growth momentum and increasing contribution to the group.

Speaker #1: In page 19, this slide highlights the strong profitability of our key group companies in the first half of 2026. Global wafer second quarter EPS nearly doubled compared to Q1.

Speaker #1: Extra continue to deliver stable profitability. AWSC recorded its second highest first-half EPS on record for the same period reflecting sustained business momentum. TSC achieved a record high first-half EPS further demonstrating its strong growth trajectory.

Speaker #2: On page 19, this slide highlights the strong profitability of our key group companies in the first half of 2026. GlobalWafers' second-quarter EPS nearly doubled compared to Q1.

Speaker #2: Extron continued to deliver stable profitability. AWSC recorded its second-highest first-half EPS on record for the same period, reflecting sustained business momentum. TSC achieved a record-high first-half EPS, further demonstrating its strong growth trajectory.

Speaker #1: Overall, the group continues to benefit from multiple growth drivers. Supporting growth enemies resilience and the long-term value creation. And page 21 releases HUM SAS solar manufacturing business continues its transformation into a high-value customized cell solution provider.

Leah Peng: TSC, Taiwan Specialty Chemicals, achieved a record high H1 revenue, demonstrating strong growth momentum and an increasing contribution to the group. In page 19, this slide highlights the strong profitability of our key group companies in H1 2026. GlobalWafers' Q2 EPS nearly doubled compared to Q1. Actron continued to deliver stable profitability. AWSC recorded its second highest H1 EPS on record for the same period, reflecting sustained business momentum. TSC achieved a record high H1 EPS, further demonstrating its strong growth trajectory. Overall, the group continues to benefit from multiple growth drivers, supporting both earnings resilience and long-term value creation. In page 21, Sun, SAS's solar manufacturing business, continues its transformation into a high-value customized cell solution provider.

Speaker #2: Overall, the group continues to benefit from multiple growth drivers, supporting gross earnings resilience and long-term value creation. On page 21, it is AUN, SAS’s solar manufacturing business, which continues its transformation into a high-value, customized cell solution provider.

Speaker #1: Leveraging depreciated technologies accessible and compliant low carbon supply chain and high-value added products HUN is strengthening its position in Taiwan's rooftop solar market while expanding into overseas opportunities.

Speaker #2: Leveraging differentiated technologies, a traceable and compliant low-carbon supply chain, and high value-added products, AUN is strengthening its position in Taiwan's rooftop solar market while expanding into overseas opportunities.

Speaker #1: Each product have been successfully adopted in advanced applications such as zero energy building and low earth orbit satellites. With the diversified customer base and the application portfolio, HU will continue to enhance its operational resilience and the long-term growth potential.

Speaker #2: Its products have been successfully adopted in advanced applications such as zero-energy buildings and low-Earth orbit satellites, with a diversified customer base and application portfolio.

Speaker #1: Next, latest turn to Shisheng Green Energy or SGE this is SAS group's integrated renewable energy platform and the one-stop green energy solution provider. A corporate net zero goals are 100 commitments and AI-driven power demand growth.

Speaker #2: AUN continues to enhance its operational resilience and long-term growth potential. Next, let us turn to Shisheng Green Energy, or SGE, which is SAS Group's integrated renewable energy platform and one-stop green energy solution provider.

Leah Peng: Leveraging differentiated technologies, a traceable and compliant low carbon supply chain, and high value-added products, Sun is strengthening its position in Taiwan's rooftop solar market while expanding into overseas opportunities. Its products have been successfully adopted in advanced applications such as zero energy buildings and low Earth orbit satellites. With a diversified customer base and application portfolio, Sun continues to enhance its operational resilience and long-term growth potential. Next, let us turn to Susen Green Energy, or SGE. This is SAS Group's integrated renewable energy platform and a one-stop green energy solution provider. As corporate net zero goals, RE100 commitments, and AI-driven power demand grow, green energy power procurement is becoming increasingly strategic. Since joining the Emerging Stock Board in June, SGE has strengthened its position as a one-stop green energy provider, integrating power generation, electricity sales, energy storage, and energy-saving services.

Speaker #1: Green energy power procurement is becoming increasingly strategic. Since joining the emerging stock board in June, SGE has strengthened its position as a one-stop green energy provider.

Speaker #2: As corporate net zero goals, RE100 commitments, and AI-driven power demand grow, green energy power procurement is becoming increasingly strategic. Since joining the emerging stock board in June, SGE has strengthened its position as a one-stop green energy provider, integrating power generation, electricity cells, energy storage, and energy services.

Speaker #1: Integrating power generation, electricity cells, energy storage, and energy services. Energy saving services. This integrated platform helps customers improve energy efficiency power resilience and energy management while building long-term partnerships and a solid base of growth.

Speaker #2: Energy-saving services—this integrated platform helps customers improve energy efficiency, power resilience, and energy management, while building long-term partnerships and a solid base for growth.

Speaker #1: SGE is currently the second largest renewable power retailer in Taiwan and is well positioned to further strengthen its market position as additional offshore wind power supplies comes online in the coming years.

Speaker #2: SGE is currently the second-largest renewable power retailer in Taiwan and is well positioned to further strengthen its market position as additional offshore wind power supplies come online in the coming years.

Speaker #1: More importantly, SG has evolved beyond a traditional EPC focus business model into a comprehensive energy solution platform. By integrating power generation, electricity resells, energy storage, and energy efficient services, SG become a one-stop partner supporting customers throughout their energy transition journey.

Speaker #2: More importantly, SGE has evolved beyond the traditional EPC-focused business model into a comprehensive energy solution platform. By integrating power generation, retail, energy storage, and energy efficiency services, SGE becomes a one-stop partner, supporting customers throughout their energy transition journey.

Speaker #1: For the RE100. This integrated platform not only enhances customers' business but also creates opportunities to expand into higher value added services further enhancing long-term growth potential.

Leah Peng: This integrated platform helps customers improve energy efficiency, power resilience, and energy management while building long-term partnerships and a solid base of growth. SGE is currently the second largest renewable power retailer in Taiwan and is well positioned to further strengthen its market position as additional offshore wind power supply comes online in the coming years. More importantly, SGE has evolved beyond a traditional EPC-focused business model into a comprehensive energy solution platform. By integrating power generation, retail, energy storage, and energy efficient services, SGE become a one-stop partner supporting customers throughout their energy transition journey for the RE100. This integrated platform not only enhances customer stickiness but also creates opportunities to expand into higher value-added services, further enhancing long-term growth potential. In addition, the majority of SGE's customers are leading semiconductor and technology companies.

Speaker #2: For the RE100, this integrated platform not only enhances customer stickiness but also creates opportunities to expand into higher value-added services, further enhancing long-term growth potential.

Speaker #1: In addition, the majority of SG's customers are leading semiconductor and technology companies. Supported by long-term contracts and the high quality counterparties, SGE benefits from strong earnings visibility and the recurring cash flow generation over the long run.

Speaker #2: In addition, the majority of SGE's customers are leading semiconductor and technology companies. Supported by long-term contracts and high-quality counterparties, SGE benefits from strong earnings visibility and recurring cash flow generation over the long run.

Speaker #1: Providing a solid foundation that is less sensitive to economic cycles. As a result, SG is increasingly transitioning from a project-based renewable energy company toward an infrastructure-like platform supporting high stable long-term cash flows.

Speaker #2: Providing a solid foundation that is less sensitive to economic cycles, as a result, SGE is increasingly transitioning from a project-based renewable energy company toward an infrastructure-like platform supported by stable, long-term cash flows.

Speaker #1: This transfer page 25 for the quarter's financial highlights our Q2 revenue growth 9% QQ supported by steady core growth and increasing benefits from the group's diversified business.

Speaker #2: Let's turn to page 25 for the quarter's financial highlights. Our Q2 revenue rose 9% quarter-over-quarter, supported by steady core growth and increasing benefits from the group's diversified business.

Speaker #1: Gross margin edged down due to a high depreciation from global wafers new capacity. Higher steel tonic share prices also generated valuation gains lifting the pre-tax profit as a result our net profit increased 70% QQ amount-wise and EPS improved significantly from 1.83 per share to 3.19 per share.

Speaker #2: Gross margin edged down due to higher depreciation from GlobalWafers' new capacity. Higher Steeltronic share prices also generated valuation gains, lifting the pre-tax profit.

Leah Peng: Supported by long-term contracts and high-quality counterparties, SGE benefits from strong earnings visibility and recurring cash flow generation over the long run, providing a solid foundation that is less sensitive to economic cycles. As a result, SGE is increasingly transitioning from a project-based renewable energy company toward an infrastructure-like platform supported by stable long-term cash flows. Please turn to page 25 for the quarter's financial highlights. Our Q2 revenue rose 9% QOQ, supported by steady core growth and increasing benefits from the group's diversified business. Gross margin edged down due to higher depreciation from GlobalWafers' new capacity. Higher Siltronic share prices also generated valuation gains, lifting the pre-tax profit. As a result, our net profit increased 17% QOQ month-wise, and the EPS improved significantly from TWD 1.83 per share to TWD 3.19 per share, up by 74% sequentially. Please turn to page 26 for our H1 2026 financial highlights.

Speaker #2: As a result, our net profit increased 17% quarter-over-quarter amount-wise, and EPS improved significantly from $1.83 per share to $3.19 per share, up by 474% sequentially.

Speaker #1: Up by 474% sequentially. Please turn to page 26 for our first half 2026 financial highlights. Despite the challenging industry environment, SAS delivered a solid top-line growth with first-half revenue increase increase 2.3% YOY to 1840.5 billion.

Speaker #2: This turns to page 26 for our first half 2026 financial highlights. Despite the challenging industry environment, SAS delivered solid top-line growth, with first-half revenue increasing 2.3% year-over-year to $2,040.5 billion.

Speaker #1: While profitability was impacted by higher depreciation from global wafers expansion projects, earnings improved significantly. A diversified business contribution increased and valuation gains from steel tonic supported bottom-line performance.

Speaker #2: While profitability was impacted by higher depreciation from GlobalWafers' expansion projects, earnings improved significantly as diversified business contributions increased, and valuation gains from Steeltronic supported bottom-line performance.

Speaker #1: As a result, our first half net profit doubled YOY increasing by 100% to 7.1 billion. EPS also more than doubled rising from 2.73 per share in the first half of 2025 to 85.02 in the first half of 2026.

Speaker #2: As a result, our first-half net profit doubled year over year, increasing by 100% to $7.1 billion. EPS also more than doubled, rising from $2.73 per share in the first half of 2025 to $25.02 in the first half of 2026.

Speaker #1: Please turn to page 27. This table illustrates our underlying operating performance by excluding the impact of global wafers major extension projects and the fair value changes related to our steel tonic investments.

Leah Peng: Despite the challenging industry environment, SAS delivered a solid top-line growth, with H1 revenue increased 2.3% YOY to TWD 40.5 billion. While profitability was impacted by higher depreciation from GlobalWafers expansion projects, earnings improved significantly as diversified business contribution increased, and the valuation gains from Siltronic supported bottom line performance. As a result, our H1 net profit doubled YOY, increasing by 100% to TWD 7.1 billion. EPS also more than doubled, rising from TWD 2.73 per share in H1 2025 to TWD 5.02 in H1 2026. Please turn to page 27. This table illustrates our underlying operating performance by excluding the impact of GlobalWafers major expansion projects and the fair value changes related to our Siltronic investment. On this basis, H1 gross margin would have been 31.3%, compared with the reported 22.9%, highlighting the strong profitability of our existing operations.

Speaker #2: Please turn to page 27. This table illustrates our underlying operating performance by excluding the impact of GlobalWafers' major expansion projects and fair value changes related to our Steeltronic investment.

Speaker #1: On this basis, first half gross margin would have been 31.3% compared with the reported 2022.9%. Highlighting the strong profitability of our existing operations. The current margin dilution primarily reflects the higher depreciation and runbound cost associated with our major capacity extension projects in US, Italy, and Japan.

Speaker #2: On this basis, first-half gross margin would have been 31.3%, compared with the reported 22.9%, highlighting the strong profitability of our existing operations. The current margin dilution primarily reflects the higher depreciation and rental costs associated with our major capacity expansion projects in the US, Italy, and Japan.

Speaker #1: While these investments have a temporary impact on our in our expected to strengthen our long-term competitiveness. Extend our global manufacturing footprint and support further future growth opportunities.

Speaker #2: While these investments have a temporary impact on our profitability, they are strategically important in our exit to strengthen our long-term competitiveness, expand our global manufacturing footprint, and support further future growth opportunities.

Speaker #1: As new capacity utilization gradually improves with the risk-based investment will create substantial long-term value and enhance our earnings potential. Now I would like to address both the questions we have received from investors recently and those we anticipate will be raised.

Speaker #2: As new capacity utilization gradually improves, we believe these investments will create substantial long-term value and enhance our earnings potential.

Speaker #1: Okay.

Speaker #2: Now, I would like to address both the questions we have received from investors recently and those we anticipate will be raised.

Speaker #1: Okay. The first question is regarding SAS outlook. How do you view the second half 2026? Okay. In our viewpoint, we believe that SAS will continue to strengthen our zero energy.

Speaker #1: Okay, the first question is regarding SAS outlook. How do you view the second half of 2026? Okay. In our viewpoint, we believe that SAS will continue to strengthen our dual-energy, or dual-engine, strategies of manufacturing and energy services, with advanced solar manufacturing, green power cells, and energy services.

Leah Peng: The current margin dilution primarily reflects the higher depreciation and ramp-up costs associated with our major capacity expansion projects in the US, Italy, and Japan. While these investments have a temporary impact on our profitability, they are strategically important and are expected to strengthen our long-term competitiveness, expand our global manufacturing footprint, and support further future growth opportunities. As new capacity utilization gradually improves, we believe this investment will create substantial long-term value and enhance our earnings potential. Now, I would like to address both the questions we have received from investors recently and those we anticipate will be raised. Okay. The first question is regarding SAS outlook. How do you view the H2 2026?

Speaker #1: Our dual engine strategy of manufacturing and energy services with advanced solar manufacturing, wind power cells, and energy services and semiconductor business will continue to be the key growth pillars therefore it will further strengthen our global presence across both semiconductor and renewable energy industries.

Speaker #1: The semiconductor business will continue to be one of our key growth pillars. Therefore, we will further strengthen our global presence across both the semiconductor and renewable energy industries.

Speaker #1: Our manufacturing side, SAS, will continue to focus on high-value, differentiated applications, including low Earth orbit satellites, space applications, premium rooftop solutions, and other specialized applications.

Speaker #1: Our manufacturing size SAS will continue to focus on high value different applications including low earth orbit satellites space applications premier rooftop solutions and other specialized applications.

Speaker #1: Through continuous product upgrades and market depreciations, SAS targets to enhance product value and profitability. At the same time, we will establish solar module manufacturing capacity in the US through the joint venture with URE.

Speaker #1: Through continuous product upgrades and market depreciation SAS targets to enhance the product value and profitability. At the same time we will establish solar module manufacturing capacity in US through the joint venture with URE.

Leah Peng: In our viewpoint, we believe that SAS will continue to strengthen our dual engine strategy of manufacturing and energy services, with advanced solar manufacturing, green power sales, and energy services and semiconductor business will continue to be the key growth pillars. We will further strengthen our global presence across both semiconductor and renewable energy industries. On the manufacturing side, SAS will continue to focus on high-value different applications, including low Earth orbit satellites, space applications, premium rooftop solutions, and other specialized applications. Through continuous product upgrades and market differentiations, SAS targets to enhance the product value and profitability. At the same time, we will establish solar module manufacturing capacity in the US through the joint venture with URE, using localized manufacturing as the first step to build its customer base supply chain operational footprint in the US market.

Speaker #1: Using localized manufacturing in the first step to build its customer-based supply chain and operational footprint in the US market. With this decision, we have to carefully evaluate Q3 to investigate the scenario, and we will make the best decision.

Speaker #1: Using localized manufacturing of the first batch builds its customer base supply chain of the operational footprint in the US market. This decision we have to carefully evaluate the Q2 investigation scenario and we will make the best decision.

Speaker #1: And in the energy services, we have evolved beyond the traditional manufacturing business into green power cells, energy management, and solar asset operation and maintenance services.

Speaker #1: And in the energy services we have evolved beyond the traditional manufacturing business including power cells. Energy management and solar asset operation and the maintenance service.

Speaker #1: Supported by the continuous growth of RE100 commitment, supply chain decarbonization, and AI-driven data center electricity demand, corporate demand for reliable, traceable, long-term renewable power is expected to continue to increase.

Speaker #1: Supported by continuous growth of RE100 commitments supply chain decarbonization and AI-driven data center electricity demand corporate demand for reliable traceable long-term renewable power is expected to continue the temporary decrease.

Speaker #1: So, we will further integrate solar, wind, hydro, and other renewable energy resources to expand our product portfolio and customer base. We will gradually extend the green power cells and energy management capabilities developed in Taiwan to overseas markets.

Speaker #1: So we will further integrate the solar wind hydro and other renewable energy resources to expand our cross supply portfolio and the customer base. And we will gradually expand the wind power cells and energy management capability developed in Taiwan for overseas markets.

Speaker #1: In addition to the continued growth of the core business, our affiliate companies—including GlobalWafers, AWSC, QSC, and Actron—I think that we will continue to benefit from the long-term trends in AI, HPC, advanced semiconductor manufacturing, and optical communications. So, we will leverage our highly overlapping global customer base and long-standing customer relationships for introductions, market expansion, and customer qualifications, through the existing customer relationships across opportunities.

Leah Peng: This decision, we have to carefully evaluate the 201 investigation scenario, then we will make the best decision. In the energy services, we have evolved beyond the traditional manufacturing business into green power sales, energy management, and solar as operation and maintenance service. Supported by continuous growth of our RE100 commitment, supply chain decarbonization, and AI-driven data center electricity demand, corporate demand for reliable, traceable, long-term renewable power is expected to continue and increase. We will further integrate the solar, wind, hydro, and other renewable energy resources to extend our product portfolio and the customer base. We will gradually extend the green power sales and energy management capability developed in Taiwan to overseas markets. In addition to the continued growth of the core business, our affiliate companies include GlobalWafers, AWSC, PSC, and Actron.

Speaker #1: In addition to the continued growth of the core business our affiliate companies include global wafers AWSC CSC and Exxon I think that we will continue to benefit from the long-term trends in AI HPC advanced semiconductor manufacturer optical communications.

Speaker #1: So we will leverage a highly overlapping global customer base and long-standing customer relationships to accelerate the new product introductions market expansion and the customer qualifications through the existing customer relationships cross selling opportunities.

Speaker #1: And technology collaboration, so we will further maximize our group synergies. The next question is regarding HGE. How was HGE's financial performance last year? As its electricity retail business continues to expand, what are the prospects for its future contribution to the SAS Group?

Speaker #1: And technology collaboration. So we will further maximize our gain continuity. The next question is regarding HGE. How was HGE's financial performance last year? Its electricity retail business continues to extend.

Speaker #1: HGE delivered outstanding growth in 2025, with consolidated revenue reaching $1.8 billion. This is more than 200% year-over-year. Solar's strong performance was mainly driven by a substantial increase in renewable electricity trading demand.

Speaker #1: For our prospects for this future contribution to SAS Group. HGE delivered outstanding growth in 2025 with consolidated revenue reaching 1.8 billion. This is a more than 200% YOY solar strong performance was mainly driven by substantial increase in renewable electricity trading demand.

Leah Peng: I think that we will continue to benefit from the long-term trends in AI, HPC, advanced semiconductor manufacturing, optical communications. We will leverage a highly overlapping global customer base and long-standing customer relationships to accelerate new product introductions, market expansion, and customer qualifications through the existing customer relationships, cross-selling opportunities, and technology collaboration. We will further maximize our group synergy. The next question is regarding SGE. How was SGE's financial performance last year as its electricity retail business continues to expand? What are the prospects for its future contribution to SAS Group? SGE delivered outstanding growth in 2025, with consolidated revenue reaching TWD 1.8 billion. This is more than 200% YOY. The strong performance was mainly driven by a substantial increase in renewable electricity trading demand and the rapid expansion of its power sales business.

Speaker #1: In the rapid expansion of its power cells business, electricity cells now account for approximately more than 80% of HGE's total revenue, making it the company's primary revenue contributor.

Speaker #1: And the rapid extension of its power cells business. Electricity cells now account for approximately more than 80% of HGE's total revenue making it the company's primarily revenue contribution.

Speaker #1: As renewable power transfer volumes continue to increase, long-term contracts progressively enter their fulfillment phases, and higher value-added services—such as energy storage efficiency solutions and energy management—continue to expand.

Speaker #1: As renewable power transfer volumes continue to increase long-term contracts progressively enter their fulfillment phases and the higher value added service such as energy storage.

Speaker #1: We expect that operating leverage and the economies of sale will become increasingly evident, supporting the further improvement in the operating margin over time. Overall, HGE's contribution to SAS Group will continue to enlarge because it will lie in its ability to expand the group's revenue base and generate larger, more predictable sustainable recurring earnings.

Speaker #1: Efficiency solutions and energy management continue to extend. We expect that operating leverage and the economies of sale to become increasingly evident supporting the further improvement in the operating margin over time.

Speaker #1: Overall HGE's contribution to SAS Group will continue to enlarge. Currently we would like in this ability to expand the group's revenue base and generate larger more predictable sustainable recurring earnings we believe is a we believe HGE's true value in building an energy service platform with recurring revenue and the stable cash flow generation and the long-term growth potential.

Speaker #1: We believe it's a we believe HGE's true value in building an energy service platform with recurring revenue and a stable cash flow generation and long-term growth potential.

Leah Peng: Electricity sales now account for approximately more than 80% of SGE's total revenue, making it the company's primary revenue contribution. As renewable power transfer volumes continue to increase, long-term contracts progressively enter their fulfillment phases, and the higher value-added service such as energy storage, efficiency solutions, and energy management continue to expand. We expect that operating leverage and the economies of scale to become increasingly evident, supporting the further improvement in the operating margin over time. Overall, SGE's contribution to SAS Group will continue to enlarge because it will lie in its ability to expand the group's revenue base and generate larger, more predictable, sustainable, recurring earnings. We believe SGE's true value in building an energy service platform with recurring revenue, a stable cash flow generation, and long-term growth potential.

Speaker #1: As the global energy transition continues to accelerate, HGE will become an increasingly important growth engine and a contributor to the SAS Group's future profitability.

Speaker #1: As the global energy transition continues to accelerate HGE will become an increasingly important growth engine and a contributor to the SAS Group's future profitability.

Speaker #1: Okay. So next, the question is: how does SAS view the revenue contribution and growth outlook of SAS's solar energy business in light of evolving renewable energy policies, and considering the adjustments and changes in project development?

Speaker #1: Okay. So next question comes is that how does SAS view the revenue contribution and growth outlook of SAS solar energy business? In light of the evolving renewable energy policies we inherit adjustments and changes in project development.

Speaker #1: Okay. So we believe that the market valuation focus on SAS will increasingly shift beyond solar manufacturing alone. Instead, investors could evaluate how SAS is building a renewable energy platform through a combination of long-term green power service cash flows and advanced manufacturing applications, such as low Earth orbit and zero-energy house.

Speaker #1: Okay. So we believe that the market stimulation focus on SAS will increasingly shift beyond the solar manufacturing alone. Instead investors could evaluate how SAS is building a renewable energy platform through a combination of long-term wind power service cash flows advanced manufacturing initiatives and the high value nature applications such as low earth orbit.

Speaker #1: Together, these initiatives are creating a business platform that offers both sustainable growth and earnings stability, which we believe will become key drivers for our next phase of group development.

Leah Peng: As the global energy transition continues to accelerate, SGE will become an increasingly important growth engine and a contributor to the SAS Group's future profitability. Okay. Next, the question is that how does SAS view the revenue contribution and growth outlook of SAS's solar energy business in light of the evolving renewable energy policies, feed-in tariff adjustments, and changes in project development? Okay. We believe that the market valuation focus on SAS will increasingly shift beyond the solar manufacturing alone. Instead, investors could evaluate how SAS is building a renewable energy platform through a combination of long-term green power service cash flows, advanced manufacturing initiatives, and high-value applications such as low Earth orbit and the zero energy house. Together, these initiatives are creating a business platform that offers both sustainable growth and earnings stability, which we believe will become key drivers for our next phase of group growth.

Speaker #1: Growth. Despite recent adjustments to renewable energy policies, feed-in tariff schemes, and project development timelines across various markets, we remain positive on the long-term outlook for both the solar and energy service industries.

Speaker #1: And the fuel energy house. Together this initiatives are creating a business platform that offers both sustainable growth and earning stability which we believe will become a key driver for our next phase of group.

Speaker #1: Growth. Despite recent adjustments of renewable energy policies it inherits things and the project development timelines across various markets we remain positive on the long-term outlook for both solar and energy service industries.

Speaker #1: Following the recognition of our renewable energy business in 2025, we have established a dual-engine strategy of manufacturing and services. So, we believe this will be a promising year for SAS.

Speaker #1: Following the recognition of our renewable energy business in 2025 we have established a fuel engine strategy of manufacturing and services so we believe this will be a promising year for SAS.

Speaker #1: Okay, so I think that is all the questions we have received so far. Now, we will start to address the questions we received from Slido.

Speaker #1: So the first question is, how does SAS view TSC's future growth prospects?

Speaker #1: So I think that is all my questions will be completed so far. So now we will start to address the questions we received from Slido so the first question is how does SAS view P&E's future growth prospects?

Speaker #2: Yes, yes, the manager answered this question. TSC is a very important group, a very important subsidiary company in SAS Group. Its performance is very good. It's very unique because all the products are for advanced semiconductors, and most of them are basically 100% or a very high percent imported to Taiwan instead of being supplied locally.

Speaker #2: Yes. Yes. Let me answer this question. P&E is a very important group a very important subsidy company in SAS Group. Its performance is very good.

Leah Peng: Despite recent adjustments of renewable energy policies, feed-in tariff schemes, and the project development timelines across various markets, we remain positive on the long-term outlook for both solar and energy service industries. Following the recognition of our renewable energy business in 2025, we have established a dual engine strategy of manufacturing and services. We believe this will be a promising year for SAS. Okay. I think that is all my questions we have received so far. Now we will start to address the questions we received from Slido. The first question is how does SAS view TSC's future growth prospects?

Speaker #2: But we are one of the very few locally-made, high-end semiconductor chemical companies. So the TSC, its success was starting from Dai Dai, and very sensitive products for advanced applications.

Speaker #2: It's very unique because that the product is all the products are for advanced semiconductor and most of them are basically 100% or very high percentage exported to Taiwan instead of local supply.

Speaker #2: But now it's not only Dai Dai, and also even very advanced precursors in Asia for a lot of new products. And these are the products generating revenue or under qualification, and on top of these products, actually TSC has several more very important specialty chemicals under development.

Speaker #2: But we are one of the very few local made high-end semiconductor chemical company. So the P&E its success was starting from side balance very separately product for advanced applications.

Speaker #2: But now it's not only side balance but also even very advanced precursor and AHF a lot of new products and these are the products generating revenue are underpopulation.

Speaker #2: And though all of those are very promising and very difficult and very critical for the many semiconductor manufacturing process and manufacturing industry in Taiwan, so we think that TSC is very important because of, number one, the performance, financial performance, and number two, it's the critical, the critical, the importance of the product.

Doris Hsu: Yes. Let me answer this question. TSC is a very important subsidiary company in SAS Group. Its performance is very good. It's very unique because all the products are for advanced semiconductors, and most of them are basically 100% or very high percentage imported to Taiwan instead of local supply. We are one of the very few local-made, high-end semiconductor chemical company. The TSC, its success was starting from disilane, a very sensitive product for advanced applications. But now it's not only disilane, but also even very advanced precursor and AHF, a lot of new products. These are the products generating revenue or under qualification. On top of these products, actually, TSC has several more very important specialty chemical under development. All those are very promising and very difficult and very critical for the advanced semiconductor manufacturing industry in Taiwan.

Speaker #2: And the on top of this products actually TSB has several more very important chemical specialty chemical under the and though all of those are very promising and very difficult and very critical for many semiconductor manufacturing process manufacturing industry in Taiwan.

Speaker #2: It's very critical for the Taiwanese local semiconductor market as well. And number three is that there's a lot of leverage together with the SAS Group because many of the group companies are serving similar customers, and those customers know not only the products but also the company very well.

Speaker #2: So we think that TSB is very important because of number one the performance financial performance and number two it's critical the critical the the importance of the product it's very critical for Taiwan local semiconductor market as well.

Speaker #2: So here I want to summarize that TSC is a very important company, and we believe that TSC will continue to grow rapidly and steadily over the next several years.

Speaker #2: And number three is that a lot of leverage together with SAS Group because all many of the group companies are serving same similar customers and those customers know not only the products but also the company very well.

Speaker #2: Great presentation, but I hope that the case can be somewhere around 22. Revenue-wise, that's our expectation, and that's the goal for the management team as well.

Speaker #2: So here I want some conclude that TSB is a very important company and we believe that TSB will keep growing rapidly steadily in the next several more years.

Speaker #2: And I believe that we are very confident that we can achieve this. Okay, so the TSC. The next one is that.

Speaker #1: What are HGE's key milestones following its listing on the emerging stock board?

Speaker #2: Our expectation is that I hope that the trigger can be somewhere around 20 to 30% revenue wise that's our expectation and that's the goal for management team as well.

Speaker #2: Yes. HGE's SAS is the very first service company in SAS in the past 45 years. Its performance is very good. HGE performance is very good.

Doris Hsu: We think that TSC is very important because of, number one, the financial performance, and number two is the importance of the product. It's very critical for Taiwan local semiconductor market as well. Number three is that a lot of leverage together with SAS Group, because many of the group companies are serving similar customers, and those customers know not only the products, but also the company very well. Here I want to conclude that TSC is a very important company, and we believe that TSC will keep growing rapidly, steadily in the next several more years. Our expectation is that I hope that the CAGR can be somewhere around 20% to 30% revenue-wise. That's our expectation, and that's the goal for management team as well. I believe that we are very confident we can achieve this. Okay, that's TSC. Next one is-

Speaker #2: And I believe that we have we are very confident that we can achieve this. Okay. So the TSB and next one is that.

Speaker #2: As we as Leah and myself introduced this a bit earlier, we talk about that HGE has already secured the contract over 100 billion NT already on hand.

Speaker #1: Why are HG's key milestones following existing on the emerging stock board?

Speaker #2: Yes. HGE's our SAS is the very first service company in SAS in the past 45 years. Its performance is very good. SG performance is very good.

Speaker #2: And 85% of the contracts are for more than 10 years, so the business will be really very strong. So, the milestone is that it's now listing on the Emerging Stock Board.

Speaker #2: As we as Leah and myself introduced this earlier we talked about that SG has already secured the contract over 100 billion SG already on hand in 85% of the contracts are more than 10 years so the business feasibility is very high.

Speaker #2: That's where HGE is now. So the next milestone is, of course, we hope that we will make a further step forward. I hope that we will become at least a company that's—of course, obviously, this is our goal as well.

Speaker #2: And not only the revenue-wise, we hope that we will keep growth year by year. So I think this company will grow very rapidly and what's even more important is that this company will be able to serve a lot of a lot of companies industry companies in Taiwan to reach the company's RE goals.

Speaker #2: So the milestone it's now it's now lifting on the emerging stock board that we're that we're SGE now. So next milestone is of course is we hope that we will make further further steps forward.

Leah Peng: What are SGE's key milestones following its listing on the Emerging Stock Board?

Speaker #2: I hope that we'll become at least a company. That's that's of course obviously this is our goal as well. And not only this revenue wise we hope that we will keep very high trigger growth year by year.

Doris Hsu: Yes. SGE is the very first service company in SAS in the past 45 years. Its performance is very good. SGE performance is very good. As Leah and myself introduced just a bit earlier that we talked about that SGE has already secured the contract, over TWD 100 billion already on hand, and 85% of the contracts are more than 10 years. The business visibility is very high. The milestone, it is now listing on the Emerging Stock Board. That is where SGE is now. Next milestone is, of course, we hope that we will make further step forward. Hope that we will become a listed company. That's, of course, obviously this is our goal as well. Not only this, revenue-wise, we hope that we will keep a very high CAGR growth year by year.

Speaker #2: Which is very important, so HGE will be the key partner for many great companies in Taiwan. So I think that's HGE's milestone—being a listed company.

Speaker #2: So I think this company will grow very rapidly and what's even more important is that this company will be able to serve a lot of a lot of companies industry companies in Taiwan to reach each company's RE goals and which is very important so SG will be the key partners for many great companies in Taiwan.

Speaker #2: It's more likely, after the Emerging Stock Board, I think it's more likely that we will—I hope that we'll be—listing on the Taipei Exchange or through any different arrangement, because definitely we want to be listed. And then, next is that we hope that we'll continue to keep very good growth every year.

Speaker #1: Okay, then thank you, Doris. The next question is that surprise competition in the solar manufacturing market continues. How does SAS maintain its gross margin in this competitive environment?

Speaker #2: So I think that's that's SG's milestone. Yes. This big company is more likely that after emerging stock board I think it's more likely that we will grow and I hope that we'll be lifting having exchange or any different arrangements definitely won't be listed and then next is that we hope that we'll continuously keep very good trigger every year.

Speaker #2: Yes, this is a very good question. The solar industry is not easy. The solar manufacturing industry—the business of solar manufacturing—is even more difficult than the average industry.

Speaker #2: How can SAS be competitive? I think the most important strategy, which we are applying now, is differentiation. We are working on niche products—mainly, most of our capacity and resources are for niche. Several times in the earnings call and public information, we have explained that we are basically not serving ordinary solar cells.

Doris Hsu: I think this company will grow very rapidly, and what is even more important is that this company will be able to serve a lot of industry companies in Taiwan to reach each company's RE goals, which is very important. SGE will be the key partners for many great companies in Taiwan. I think that's SGE's milestone, be a listed company. After Emerging Stock Board, I hope that we will be listed in Taipei Exchange or any different arrangements. Definitely we want to be listed. Next is that we hope that we will continuously achieve very good CAGR every year.

Speaker #1: Okay. Then thank you sir. The next question is that price competition in the solar manufacturing market continues. How does SAS maintain its gross margin and competitiveness?

Speaker #2: Yes. This is a very good question. Solar industry is not easy. Solar manufacturing industry the business is for solar manufacturing even more difficult than all these all the the average industry.

Speaker #2: We serve high-end, special high-end products like the overseas U.S. market or other markets—very difficult, advanced niche markets: rooftop, or even space products, space solars, space solar products.

Speaker #2: How can SAS be competitive? I think the most important strategy where we are we are applying now is differentiation. We are working for niche product many most of our capacity and resources are for niche product.

Speaker #2: As we explained several times in the earnings call and company information we explained that we are serving basically not for ordinary ordinary solar cell.

Speaker #2: So, differentiate ourselves and try to approach a niche market. That's the way for us to be more competitive, because competitiveness is not only coming from the cost or price, but also from technology and quality.

Leah Peng: Okay. Thank you, George. The next question is that as price competition in the solar manufacturing market continues, how does SAS maintain its gross margin and the competitiveness?

Speaker #2: We serve for high-end special high-end products like overseas US market or the other market very difficult advanced niche market rooftop or even the the space products space solar space solar products.

Speaker #2: So we differentiate ourselves by focusing on the niche market and more advanced, more challenging products. That's what we're doing, and so far we're doing pretty well.

Doris Hsu: Yes, this is a very good question. Solar industry is not easy. Solar manufacturing industry, the businesses for solar manufacturing is even more difficult than all the average industry. How can SAS be competitive? I think the most important strategy we are applying now is differentiation. We are working for niche product. Most of our capacity and resources are for niche product. As we explained several times in the earnings call and public information, we explained that we are serving, basically not for ordinary solar cell. We serve for special high-end products like the overseas US market or the other market. Very difficult, advanced niche market, rooftop or even the space solar products. Differentiate ourselves to try to approach a niche market. That's the way for us to be more competitive because the competitiveness is not only coming from the cost or price, but also from technology and quality.

Speaker #1: All right. Next question is that as competition in the electricity retail market remains intense, what are HGE’s deficiencies and competitive advantages?

Speaker #2: So differentiation to try to approach niche market that's the way that's the way for us to be more competitive because the competitiveness is not only coming from the cost or price but also from technology quality.

Speaker #2: HGE has very good connections with most of the semiconductor companies and high-tech companies in Taiwan, or with the higher power consuming companies in Taiwan.

Speaker #2: So we differentiate ourselves with focus on niche market and be more that more chance to products. That's what that's what we're doing. And so far we're doing pretty well.

Speaker #2: So HGE focused on the focus on the relationship with these specific big company who are consuming huge volume of electricity. Work with them and because HGE team they are they are very different from the ordinary renewable energy retailer company because HGE not only not only it's not only a green power retail company, but also they provide a lot of solutions including that how to how to improve your power efficiency.

Speaker #1: The next question is that competition in the electricity retail market remains intense. What are HGE's efficiency competitive advantages?

Speaker #2: SGE has very good connection with most of the semiconductor companies and high-tech companies in Taiwan or higher the company high power consuming companies in Taiwan.

Speaker #2: So SGE focused on this focused on the relationship with these specific big companies who are consuming huge volume of electricity. Work with them and because SGE team they they are very different from the ordinary renewable energy retail companies because SGE not only a not only it's not only a green power retail company but also they provide a lot of solutions including that how to how to improve your power efficiency.

Speaker #2: That means that HGE support their customer their customer to save energy. That's part of their contribution as well. And HGE not only to to do the electricity retail, but also support provide a lot of power energy storage solution to customers as well.

Doris Hsu: We differentiate ourselves. We focus on niche market and more advanced, more challenging product. That's what we're doing, and so far we're doing pretty well.

Speaker #2: So it's a total solution provider instead of a renewable energy retailer. That's how HGE differentiate itself from the other peers company. And that's why HGE, although it's very new, very young, but it has very good relationship with many of the customer and which prove that it's very competitive.

Leah Peng: The next question is that as competition in the electricity retail market remains intense, what are SGE's efficiency competitive advantages?

Doris Hsu: SGE has very good connection with most of the semiconductor companies and high-tech companies in Taiwan, or the highly power consuming companies in Taiwan. SGE focus on the relationship with these specific big companies who are consuming huge volume of electricity, work with them. Because SGE, they are very different from the ordinary renewable energy retailer company because SGE is not only a green power retail company, but also they provide a lot of solutions, including how to improve your power efficiency. That means that SGE support their customer to save energy. That's part of their contribution as well. SGE not only to do the electricity retail, but also provide a lot of power energy storage solution to customer as well. It's a total solution provider instead of a renewable energy retailer.

Speaker #2: That means that SGE support their customers their customers to save energy. That's part of their contribution as well. And SGE not only to to do the electricity retail but also support provide a lot of power energy storage solution to customers as well.

Speaker #2: It's not only the price, but also the total solution—a platform providing a lot of value-add contribution to our customer. I hope I understood.

Speaker #2: I answer your question well.

Speaker #1: All right. Thank you, Doris. And I would also like to add more color to this. HGE has an AI smart platform named Zeus. It can integrate diversified energy sources, unlike other retail companies, which may mainly focus on solar.

Speaker #2: So it's a solar solution provider instead of a renewable energy retailer. That's how SGE I think differentiate itself from the other peers company and that's why SGE although is very very young but it has very good relationship with many of the customers and which puts that it's very competitive.

Speaker #1: HGE can integrate different energy sources like wind, solar, or hydro, and together with green electricity consulting and the solutions for RE100, SBTi, and the C10.

Speaker #2: It's not only the price but also the total solution apart from providing a lot of value add contribution to our customers. I hope I understood.

Speaker #1: So this will create a one-stop energy service ecosystem and enhance the customer stickiness. In addition, a very big difference that HGE has is that it is supported by SAS Group, which will provide a solid financial foundation, group credit profile, and the semiconductor customer base, along with the long-standing B2B service experience.

Speaker #2: I save a question one.

Speaker #1: All right. Thank you sir. And I would also like more college students for this. SGE has AI smart platform plan to do. So it can integrate diversified energy sources.

Speaker #1: Among other retail companies which may mainly focus on solar. SGE can integrate different energy sources like wind solar or hydro. And together with the green electricity consulting and the solutions for RB100 SVTI and.

Speaker #1: So, from high-tech semiconductor customers, a green electricity supplier must provide not only electricity, but also fulfillment capabilities, risk management, and long-term service reliability.

Doris Hsu: That's how SGE differentiates itself from the other peers company. That's why SGE, although it is very new, very young, it has very good relationship with many of the customer. Which proves that it is very competitive. It is not only the price, but also the total solution platform providing a lot of value add contribution to our customer. I hope I answered your question well.

Speaker #1: So we think that these are the key advantages that differentiate HGE from other typical electricity retailers.

Speaker #1: So this will create a one stop energy service ecosystem and enhance the customers business. In addition a very different that's a big difference that SGE has is that it is supported by SAS Group which will provide a solid financial foundation to credit profile and the semiconductor customer base and the long standing B2B services experience.

Speaker #2: Thank you, Leah.

Speaker #1: Thank you.

Speaker #2: Yes.

Speaker #1: So, next is about HJP, which is a subsidiary of TSC, focusing on the cleaning and closing service of advanced manufacturing and advanced equipment. How does HJP view the future development trends of the advanced process and advanced packaging markets?

Speaker #1: So from high-tech to semiconductor customers a green electricity supply must provide not only electricity but also fulfillment facilities which management and long term service liabilities.

Speaker #1: What will be the company's key growth drivers and technology development priorities over the next several years?

Leah Peng: Thank you, George. I would also like more colors to this. SGE has an AI smart platform named Zeus. It can integrate diversified energy sources. Unlike other retail companies which may mainly focus on solar, SGE can integrate different energy sources like wind, solar, or hydro. Together with the green electricity consulting and the solutions for RE100, SBTi, and the CBAM. This will create a one-stop energy service ecosystem and enhance the customer stickiness. In addition, a big difference that SGE has is that it is supported by SAS group, which will provide a solid financial foundation, good credit profile, and the semiconductor customer base, and the longstanding B2B service experience.

Speaker #2: Yeah, this is a super good question. Actually, both are key for HJT. In the past, over the past several decades, the advanced process or semiconductor foundry or IBM process—that was the key business focus.

Speaker #1: So we think that these are the key advantage that differentiate SGE from other typical electricity retailers.

Speaker #2: Thank you. Yeah. Very good.

Speaker #1: Okay. So next is about HJT which is a subsidiary of TST. Focusing on the cleaning and coffee service offer since the new center represents a equipment.

Speaker #2: Now, now, the process—now the advanced process, also the packaging. Advanced packaging is a very important new market and is rapidly growing. So that's a—for HJT, in the next, I think, the next one decade or even a couple of decades, the focus—there are two focuses.

Speaker #1: How does HJT view the future development trends of advanced process and advanced packaging market? What will be the company's key growth drivers and technology development priorities over the next several years?

Speaker #2: Yeah. It's a super good question. Actually both are the key for HJT. In the past past several decades the advanced product or semiconductor foundry or ITM process that that was the key business focus.

Speaker #2: One is advanced package advanced packaging and another one is advanced process. Both of these two are the focus. As we explained earlier that HJG now is conducting expansion in Tainan and Shinju also these two areas are making very aggressive making expansions and all the expansion tools are for advanced packaging or advanced process.

Leah Peng: From high-tech to semiconductor customers, a green electricity supplier must provide not only electricity, but also fulfillment capabilities, risk management, and the long-term service reliability. We think that these are the key advantages that differentiate SGE from other typical electricity retailers.

Speaker #2: But now not only the process not only the advanced process but also the packaging. Advanced packaging is a very important new market which is very important and rapidly growing.

Speaker #2: So, I think that advanced packaging and advanced process are not only the driving power for HJG's future growth, but also for the whole ecosystem, the whole semiconductor supply chain. I think these are the core for future growth.

Doris Hsu: Thank you, Leah. Very good.

Leah Peng: Thank you.

Leah Peng: Yes.

Leah Peng: Next is about HJT, which is a subsidiary of THC, focusing on the cleaning and coating service of advanced semiconductor equipment. How does HJT view the future development trends of the advanced process and advanced packaging markets? What will be the company's key growth drivers and technology development priorities over the next several years?

Speaker #2: So that's a for for HJT they in the next I think the next one decade or even a couple decades the focus are two two focuses.

Speaker #2: Thank you.

Speaker #1: Thank you. Okay, next question. In recent years, investors have increasingly viewed SAS as a semiconductor materials group rather than a traditional solar company.

Speaker #2: One is advanced package advanced packaging and the other one is advanced process. Both of these two are the focus. As we explained earlier that HJD now is conducting expansion in China and in the future also these two areas are making very great making expansions in all the expansion tools are for advanced packaging or advanced process.

Doris Hsu: That is a super good question. Actually, both are the key for HJT. In the past several decades, the advanced process or semiconductor foundry or IDM process, that was the key business focus. Now, not only the advanced process, but also the packaging. Advanced packaging is a very important new market, and it's rapidly growing. For HJT, I think the next one decade or even a couple of decades, the focuses are two. Two focuses. One is advanced packaging, and another one is advanced process. Both of these two are the focus. As we explained earlier, that HJT now is conducting expansion in Tainan and Hsinchu. These two areas are very aggressively making expansions, and all the expansion tools are for advanced packaging or advanced process.

Speaker #1: Does this U.S. module investment signal a renewed commitment to solar manufacturing?

Speaker #2: Yeah, thank you very much for a very important observation. Yes, which is true. As a matter of fact, SAS has two key focuses. One is definitely the semiconductor-related business, and especially semiconductor materials.

Speaker #2: So and I think that advanced packaging advanced process now is the driving power for HJT's future growth but also for the whole ecosystem the whole supply chain semiconductor supply chain.

Speaker #2: I think these two are the core for future growth. Thank you.

Speaker #1: Thank you. Okay. And in recent years investors have increasingly viewed SAS as a semiconductor material group rather than a traditional solar company. Does this viewing model investors signal a renewed commitment to solar manufacturing?

Speaker #2: That's the number one focus. And the second focus is renewable energy. So in Chinese we say it's '算力和电力', so that means both the computing power and the electricity supply.

Speaker #2: And that's for the next several years; we will remain both of these two. So I would say that the move to the US, the US module investment, is not—it's not only for renew—renews commitment to solar manufacturing.

Speaker #2: Yeah. Thank you very much for a very important observation. Yes. Which is true. Matter of fact SAS has two key focus. One is semiconductor related business and or especially semiconductor material.

Speaker #2: It's of course it's a it's a commitment of US to solar manufacturing but I would more I will put it this way that I think it's not only for it's not only a a a new commitment renewed commitment to solar manufacturing but also it's it's a very important very important move to present that we are our solar manufacturing is not only a local solar player.

Doris Hsu: I think that advanced packaging and advanced process are not only the driving power for HJT's future growth, but also for the whole ecosystem, the whole semiconductor supply chain. I think these two are the core for future growth. Thank you.

Speaker #2: That's the that's number one focus. And the second focus is that renewable energy. So in Chinese we say it's a sunny so it means that the computing power and also the electricity supply.

Leah Peng: Thank you. Okay. Next question. In recent years, investors have increasingly viewed SAS as a semiconductor material group rather than a traditional solar company. Does this US module investment signal a renewed commitment to solar manufacturing?

Speaker #2: We are now a global player, so that's the first step for SAS solar business moving to a global presence. That's our view. No matter global or Taiwan only, I think renewable energy is very important.

Speaker #2: And that's the next several years we will begin both of these two. So I would say that the move to the US the US market investment it's not it's not only for renew renews commitment to solar manufacturing.

Speaker #2: So that's why we want to make a move to the US. And it's not only for module. Actually, by having this investment and this move to the US, we hope that we learn more about the US solar market, and then we can figure out how we can work very closely with Taiwanese companies in the US or US semiconductor companies.

Doris Hsu: Yeah. Thank you very much for a very important observation. Yes, which is true. Matter of fact, SAS has two key focuses. One is definitely semiconductor-related business and especially semiconductor material. That's the number one focus. The second focus is renewable energy. In Chinese, we say it's the 孙力 and 电力. That means that the computing power and also the electricity supply. The next step from here, we will remain both of these two. I would say that the move to the US, the US module investment, it's not only for a renewed commitment to solar manufacturing. Of course, it's a commitment to US.

Speaker #2: It's of course it's a it's a commitment to US to solar manufacturing but I would more I would put it this way that I think it's not only for it's not only a a new commitment renewed commitment to solar manufacturing but also it's it's a very important very important move to present that we our solar manufacturing is not only a local solar player.

Speaker #2: We can develop—maybe we can develop more B2B business in the US as well. But this is just the first move for us into a global market.

Speaker #2: We are now a global player as well. That's the first step for SAS solar business moving to a global presence. That's that's our view.

Speaker #2: Thank you.

Speaker #1: Okay, so how should investors view this strategic growth of the project within the long-term growth plan over the next three to five years? I think you mean the potential joint venture that you are in.

Speaker #2: Now with this global or Taiwan only I think renewable energy is very important so that's why we want to make the move to US.

Speaker #2: Yeah. I think I think this is just next to that question. So I mean that using strategic role of this project this project means the project of the JV with URE for to build a module application a module module line in the US.

Speaker #2: And it's not only for module actually buying having this investment this move to the US we hope that we learn more about the US solar market and then we can figure out that how we can work very closely with Taiwanese company in the US or even a lot of US semiconductor company we can develop maybe we can develop more B2B business in US as well.

Doris Hsu: solar manufacturing, but I would put it this way, that I think it's not only a renewed commitment to solar manufacturing, but also it's a very important move to present that our solar manufacturing is not only a local solar player. We are now a global player as well. That's the first step for SAS' solar business, moving to a global presence. That's our view. Whether it's global or Taiwan only, I think renewable energy is very important. That's why we want to make a move to the US. It's not only for module. Actually, by having this investment, this move to the US, we hope that we learn more about the US solar market and then we can figure out how we can work very closely with Taiwanese companies in the US, or even semiconductor companies. Maybe we can develop more B2B business in the US.

Speaker #2: If I don't if I understand you correctly I think my answer here is that I hope that our our investors will will understand that the strategic role is that we are not we are SAS is not only focal in many many many investors view that SAS maybe just a folding company holding a lot of great company which is true but we SAS is more than company holding a lot of good companies.

Speaker #2: But this is just the first move for us to the to a global market. Thank you.

Speaker #1: Okay. How should investors view these strategic growth of these projects within SAS Group and for Spain over the next three to five years? I think you missed the potential joint interest which you are.

Speaker #2: We have our own core businesses, which we are doing very well, and those are for computing power and also for renewable energy.

Speaker #2: Yeah. I think I think this next two questions I mean that we use strategic role of this project this project means the project of the GD which I you are to build a module application a module module one in the US.

Speaker #2: So, we just want to have our investors understand that SAS's long-term growth plan would be not only from semiconductor material, but also from solar, and not only from the local solar market, but also overall overseas solar markets.

Speaker #2: If I don't if I understand you correctly I think my answer here is that I hope that our our investors will will understand that as a strategic role is that we are not we are SAS is not only a whole goal.

Speaker #1: Okay, thank you, Garish. The next question is about AWSC. AWSC continues to diversify its operations. Which non-PA applications does the company view as offering the most attractive medium- to long-term growth opportunities?

Doris Hsu: as well. This is just the first move for us to a global market. Thank you.

Leah Peng: Okay, how should investors view the strategic role of this project within SAS' long-term growth plan over the next three to five years? I think you mean the potential joint venture with URE?

Speaker #2: The many many many investors view that SAS may be just a holding company holding a lot of great companies which is true. So we SAS is more than company holding a lot of two companies.

Speaker #2: Yes. PA is still very important gamma sign power amplifier. This is a this is still a very important market for AWSC. But we hope that AWSC can diversify a little bit not only power power amplifier but also for me long-term we have not only power power power application power amplifier but also some other RF related product especially Wi-Fi and also optical related optical optical related.

Speaker #2: We have our own core business which are we are doing very well and those are for computing computing power and also for renewable energy.

Doris Hsu: Yeah, I think this is just next to that question. I mean that view the strategic role of this project. This project means the project of the JV with URE to build a module line in the US. If I understand you correctly, I think my answer here is that I hope that our investors will understand that the strategic role is that SAS is not only a focal. Many investors view that SAS may be just a holding company, holding a lot of great companies, which is true, but SAS is more than a company holding a lot of good companies. We have our own core business, which we are doing very well, and those are for computing power and also for renewable energy.

Speaker #2: So we just want to have our investors understand that SAS is going to growth plan will be not only in from semiconductor material but also from solar and not only from local solar market but also overall overseas solar market.

Speaker #1: Thank you so much. The next question is about AWS AWSP continues to diversify operations. Which nonkey applications does the company view as offering the most effective medium to long term growth opportunities?

Speaker #2: I hope that we will expand several big industries, and that's our goal. We are going to expand our clean room further to prepare for the next new growth.

Speaker #2: Yes. PA is still very important Gamma by Power Enterprise. This is the this is still a very important market for AWSP. So we hope that AWSP can diversify a little bit not only in power power enterprise but also for me long term we have not only power power power application power enterprise but also some other RF related product especially wifi and also optical related optical optical related components.

Speaker #1: Yeah, and I would like to echo stories that the second area that AWSC could focus on is like that. So, in addition to automotive applications, we think that AWSC also sees promising opportunities in emerging markets such as drones and robotics.

Doris Hsu: We just want to have our investors understand that the SAS's long-term growth plan will be not only from semiconductor material, but also from solar, and not only from local solar market, but also overseas solar market.

Speaker #1: So the demand growth in the low altitude economy, automation, and intelligent sensing, like that, is expected to play a very important role as a key sensing component.

Speaker #1: So, under the regulations issued by the Civil Aviation Administration, the low-altitude economy generally refers to activities conducted in airspace below 300 meters.

Leah Peng: Yes. Thank you, Doris. The next question is about AWSC. As AWSC continues to diversify its operations, which non-PA applications does the company view as offering the most attractive medium to long-term growth opportunities?

Speaker #1: So, we think that this will be a promising area that AWSC could focus on. Yeah. Okay, so next—thank you, Lynn. Next question: What is the current progress of ASU's cooperation with CIP's Home Office One offshore wind project?

Speaker #2: I hope that we will we will expand several big business units successful as power enterprise and that's our goal and that is why we are going to expand our clean room further to prepare for the next next new growth.

Doris Hsu: Yes. PA is still very important. Gallium nitride power amplifier. This is still a very important market for AWSC. We will hope that AWSC can diversify a little bit, not only power amplifier, but also for near long-term, we have not only power application, power amplifier, but also some other RF related products, especially Wi-Fi, and also optical related components. I hope that we will expand several big businesses as successful as power amplifier. That's our goal. That is we are going to expand our claim further to prepare for the next product, next new growth.

Speaker #1: What specific impact will this cooperation have on future power curling volume, electricity retail market share, and long-term revenue growth?

Speaker #1: Yeah. And I would like to echo with Doris that the second area that AWSP could focus on is like a so in addition to automotive applications do you think that AWSP also should promise opportunities in emerging markets such as drones and robotics?

Speaker #2: Phase one, this is definitely a very important source for our renewable energy. We have a lot of solar power projects on hand.

Speaker #1: So the demand growth for the low altitude economy automation and the intelligence sensing like I is expected to play a more important role as a key sensing component.

Speaker #2: That's for sure. But that's not enough. We have more demand than more demand than we can supply. So formula phase one this offshore wind is super important for us.

Speaker #1: So under the regulations issue issued by the Civil Aviation Ministry the low altitude economy generally refers to the activities conducted in airspace below 300 meters.

Speaker #2: So far, CIP overall performance is very smooth, and since everything is on schedule, this is very important not only for the volume of the renewable energy supply but also for the differentiation of the supply.

Speaker #1: So we think that this will be a promising area that AWSP could focus on. Yeah. Okay. So Megan. Next question. How did the current progress of SG's cooperation with CIG's home phase one offshore wind project what specific impact will this cooperation have on future power cloning bodies electricity retail managers and long term revenue growth?

Speaker #2: Solar power has this—almost has the same time zone for the power generation. But when you have offshore wind, that's a very good fit because of the different time difference, and seasonality is different.

Leah Peng: Yeah. I would like to echo Doris that the second area that AWSC could focus on is LiDAR. In addition to automotive applications, we think that AWSC also sees promising opportunities in emerging markets such as drones and robotics. The low-altitude economy, automation, and intelligence sensing, LiDAR is expected to play a more important role as a key sensing component. Under the regulations issued by the Civil Aviation Administration, the low-altitude economy generally refers to the activities conducted in airspace below 300 meters. We think that this will be a promising area that AWSC could work on. Yeah. Okay. Next.

Speaker #2: So, we believe that our goal is to be a 24/7 renewable energy supply. If you want to be a 24/7 supplier, then you need not only one kind of power—you need maybe not only solar but also wind power, and even aqua, even some other hydro, hydropower, or even in the future maybe we need to think about some other renewable energy sources.

Speaker #2: Well for me on phase one this is definitely a very important source for our renewable energy. It we have a lot of solar power projects on hand.

Speaker #2: That's for sure. But that's not enough. We have more demand than more demand than we can supply. So for me our phase one this offshore wind is super important for us.

Speaker #2: So we believe that this Formula Phase One offshore wind project will not only improve our total volume of renewable energy, but also will improve the balance and stability of our supply as a 24/7 renewable energy power supply.

Speaker #2: So far CIG overall performance is very smooth and since everything on schedule so this is very important not only for the volume of the renewable energy supply but also for the differentiation of the supply.

Doris Hsu: Good.

Leah Peng: Thank you. Next question. What is the current progress of SGE's cooperation with CIP's Formosa Phase One offshore wind project? What specific impact will this cooperation have on future power selling volume, electricity retail market share, and long-term revenue growth?

Speaker #2: Solar power has the almost the same time time zone for the power generation. But when you have offshore wind that's a very good fit because different time different time difference season seasonality is different.

Speaker #1: Also, we think that the CIP project is progressing as expected, and it is scheduled to begin trial power supply in the second half of 2027.

Doris Hsu: Formosa Phase One, this is definitely a very important source for our renewable energy. We have a lot of solar power projects on hand, that's for sure, but that's not enough. We have more demand than we can supply. Formosa Phase One, this offshore wind is super important for us. So far, CIP overall performance is very smooth and seems everything on schedule. This is very important not only for the volume of the renewable energy supply, but also for the differentiation of the supply. Solar power almost has the same time zone for the power generation. When you have offshore wind, that's a very good fit because different times, different seasons, seasonality is different. We believe that our goal is to be a 24/7 renewable energy supplier. If you want to be a 24/7 supplier, you need not only one kind of power.

Speaker #1: So, we think this will further strengthen around-the-clock, next-adult-state, 24/7 green electricity supply abilities. So, we can better solar power with offshore wind.

Speaker #2: So we believe that our goal is to be a 24/7 renewable energy supply. We want to be a 24/7 supplier that you need not only one kind of power you need maybe not only solar but also wind power and even aqua even some other hydro hydropower or even in the future maybe we need to think about some other some other renewable energy source.

Speaker #1: HG can diversify its energy sources and improve the stability and predictability of green electricity supply. Okay, so now the floor is open for the next question.

Speaker #1: So, if you have any inquiries, simply use the Webex Raise Hand feature. Once acknowledged, please be ready to accept the host's invitation to unmute your microphone and share your thoughts with us.

Speaker #2: So we believe that this this for me our phase one offshore wind project will will not only improve our total volume of our renewable energy but also will improve our the balance stability of our supply as a 24/7 renewable energy power supplier.

Speaker #1: To make sure that everyone has the opportunity to participate, please limit yourself to two questions at a time. Okay, so if you have any questions, please unmute yourself.

Speaker #1: And accept our invitation.

Speaker #3: Hi. Could you hear me?

Speaker #1: Also we think that CIG project still is progressing as expected and it is scheduled to begin trial power supply in the second half of 2027.

Speaker #1: Yeah, please go ahead. Thank you.

Speaker #3: Oh, thank you. Hi Doris and Dia. I just want to ask, why should investors choose SAS as a long-term investment? Thank you.

Doris Hsu: You need maybe not only solar, but also wind power, and even some other hydro power, or even in the future, maybe we need to think about some other renewable energy sources. We believe that this Formosa 1 offshore wind project will not only improve our total volume of our renewable energy, but also will improve the balance and stability of our supply as a 24/7 renewable energy power supplier.

Speaker #1: So we think this will further strengthen around 24/7 electricity supply capability. So we can buy the solar power with offshore wind. SG can diversify its wind resources and improve the stability and predictability of wind electricity supply.

Speaker #1: Okay, thank you. I will answer first, and Doris, please feel free to supplement if my answer is not sufficient. We think that SAS has evolved from a traditional silicon wafer and solar company into a diversified technology group spanning semiconductor materials, renewable energy services, and automotive components. Actually, I think we can cover the AI supply chain quite extensively.

Speaker #1: Okay. So now the floor is now open for the last question. So if you have any inquiries simply using the web expression feature once acknowledged please be ready to accept the first invitation to use the microphone and share your thoughts with us.

Speaker #1: So, in simple terms, SAS is transforming from a traditional solar manufacturer into a technology group. So we think that the core investment value of SAS lies in its diversified portfolio and the good energy.

Speaker #1: To make sure that everyone has the opportunity to participate please leave yourself to two questions at a time. Okay. So if you have any questions please unmute yourself.

Leah Peng: Doris, we think that CIP project, it is progressing as expected, and it is scheduled to begin trial power supply in H2 2027. We think this will further strengthen the around the clock, like Adam said, the 24/7 green electricity supply capabilities. When we combine the solar power with offshore wind, SGE can diversify its energy sources and improve the stability and predictability of green electricity supply. Now the floor is now open for the last question. If you have any inquiries, simply using the Webex Raise Hand feature. Once acknowledged, please be ready to accept the host invitation to unmute your microphone and share your thoughts with us. To make sure that everyone has the opportunity to participate, please limit yourself to two questions at a time.

Speaker #1: SAS can benefit from multiple long-term trends, including AI-driven semiconductor material demand, energy transition or EV power electronics, and the global supply chain restructuring.

Speaker #1: And accept our invitation.

Speaker #3: Hi. Could you hear me?

Speaker #1: Yes. Please go ahead. Thank you.

Speaker #1: So, through our affiliated companies across wafer materials, specialty chemicals, and power devices, we have a lot of green energy services.

Speaker #3: Oh thank you. Hi Doris and Bea. I just want to ask that why should investors choose SAS as a long term investment? Thank you.

Speaker #1: So SAS has built complementary capabilities across key value chains. So we think that SAS plays the role of strategic integrator and resource coordinator, helping to connect technologies, customers, foundings, and overseas market resources. So this will enable each business not only to grow independently but also to support one another as part of a broader group platform.

Speaker #1: Okay. Thank you. I will first answer and Doris you feel free to supplement this my answer is not the question. So we think that SAS has evolved from a traditional system wafer and solar companies into a diversified technology group standing semiconductor materials renewable energy services and automotive components and actually I think we can cover the AI supply chain quite a lot.

Speaker #1: We believe that SAS is entering a new phase of transformation. As the contribution from higher-value business continues to rise, we think that renewable energy services will scale up, and demand from the semiconductor and AI supply chain will continue. SAS will be positioned to move beyond the market's traditional perception of solar manufacturing and toward a more resilient, diversified technology group with long-term value creation potential.

Speaker #1: So in simple terms SAS is transforming from a traditional solar manufacturer into a technology group. So we think that the core investment value of SAS likely is diversified portfolio and a good solution.

Leah Peng: If you have any questions, please unmute yourself and accept our invitation.

[Analyst]: Hi. Could you hear me?

Leah Peng: Yeah. Please go ahead. Thank you.

[Analyst]: Thank you. Hi, Doris and Dia. I just want to ask that why should investors choose SAS as a long-term investment? Thank you.

Speaker #1: SAS can benefit from multiple long term trends including AI driven semiconductor material demand energy transition or EV power electronics and global supply chain restructuring.

Speaker #1: We view SAS as a synergy enabler because we can complement each affiliate and help them to grow larger. So this, I think, is a good reason why you should invest in SAS.

Speaker #1: So through our affiliated companies across wafer materials specialty chemicals power devices we have we can we have a lot of great energy services. So SAS has built complementary capabilities across key variations.

Leah Peng: Okay, thank you. I will first answer. Doris, please feel free to supplement if my answer is not sufficient. We think that SAS has evolved from a traditional silicon wafer and solar company into a diversified technology group spanning semiconductor materials, renewable energy service, and automotive components. Actually, I think we can cover the AI supply chain quite a lot. In simple terms, SAS is transforming from a traditional solar manufacturer into a technology group. We think that the core investment value of SAS lies in this diversified portfolio and the group synergy. SAS can benefit from multiple long-term trends, including AI-driven semiconductor material demand, energy transition, or EV power electronics, and the global supply chain restructuring. Through our affiliated companies across wafer materials, specialty chemicals, and power devices, we have a lot of green energy services.

Speaker #2: Yes, and another very good reason is that SAS is self-priced—it's not about the value. So I think if you check and compare with all the good companies in our group, our ownership versus their market cap, you will find that SAS is really a very good target for you to invest in for the long term. Not only the operation, the product, the business field SAS is in, but also the stock price performance and overall company history is very stable and trustworthy. Thank you very much for your very good questions.

Speaker #1: So we think that SAS plays a role of strategic integrator and resource coordinator helping to connect technology to customers. Founding and overseas market resources.

Speaker #1: So this will enable each business not only to grow independently but also to support one and another as part of the border group platform.

Speaker #1: We believe that SAS is entering a new phase of transformation. So as the contribution from higher value business continue to rise we think that renewable energy service will show up and demand from semiconductor and AI supply chain continue.

Speaker #1: Okay. Thank you, ladies and gentlemen. We would like to express our sincere appreciation to all of you for your valuable participation today. The earnings call now concludes.

Speaker #1: And so SAS is well positioned to move beyond the market's traditional perception of solar manufacturing. And for the more resilient diversified technology groups with long term value creation potential.

Speaker #1: Thank you, and have a wonderful evening and weekend. Thank you.

Leah Peng: SAS has built complementary capabilities across key value chains. We think that SAS plays the role of strategic integrator and resource coordinator, helping to connect technologies, customers, funding, and overseas market resources. This will enable each business not only to grow independently, but also to support one another as part of a broader group platform. We believe that SAS is entering a new phase of transformation. As the contribution from higher value business continues to rise, we think that renewable energy service will scale up, and demand from semiconductor and the AI supply chain continues. SAS is well positioned to move beyond the market's traditional perception of solar manufacturing and toward a more resilient, diversified technology group with long-term value creation potential. We view SAS as a synergy enabler because we can complement each affiliate and help them to grow larger.

Speaker #1: We view SAS as a synergy enabler because we can complement each affiliate and help them to grow larger. So this I think this is a this is a good reason why we we should invest SAS.

Speaker #2: Yes. Another very good reason is that SAS uprising is another value. So so I think if you check if you compare with all the good companies in our our ownership versus their market cap you will find that SAS is really a very good target for using to invest for long term.

Speaker #2: Not only is the operation the product the business feels SAS is is is in but also the stock price performance and overall company history is very stable and trustworthy.

Speaker #2: Thank you very much for very good questions.

Speaker #1: Okay. Thank you. The recent gentleman we would like to express our sincere appreciation to all of you for your valuable participation today. So the earnings call concludes now.

Leah Peng: I think this is a good reason why you should invest in SAS.

Speaker #1: Thank you and have a wonderful evening and weekend. Thank you.

Doris Hsu: Yes. Another very good reason is that SAS stock price is under-valuing. I think if you compare with all the group companies in our group, our ownership versus their market cap, and you will find that SAS is really a very good target for you to invest for long term. Not only the operation, the product, the business field SAS is in, but also the stock price performance and overall company history is very stable and trustworthy. Thank you very much for a very good question.

Speaker #2: Thank you very much. Have a nice weekend. Thank you. Bye bye.

Leah Peng: Okay. Thank you. Ladies and gentlemen, we would like to express our sincere appreciation to all of you for your valuable participation today. The earnings call concludes now. Thank you, and have a wonderful evening and weekend. Thank you.

Doris Hsu: Thank you very much. Have a nice weekend. Thank you. Bye bye.

Leah Peng: Bye bye.

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Q2 2026 Sino-American Silicon Products Inc Earnings Call

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