Billion Electric Co., Ltd2019 Investor Conference

19 Nov 2019

Disclaimer

• The financial numbers hereby are based on International Financial Reporting Standards (IFRS) and audited.

• Predictive information referred to in this briefing, including operating outlook and business projections, is based on the Company's information from internal and external sources.

• The outlook for the future in this briefing is the company's view of the future so far. For these views, in the future, if there is any change or adjustment, the company is not responsible for revisiting or updating at any time.

Operating andFinancial Performance

Consolidated Income StatementUnit: NT $ thousand 108/7/1 - 9/30 107/7/1 - 9/30 108/1/1 - 9/30 107/1/1 - 9/30Consolidated income

statement items Amount % Amount % Amount % Amount %

Operating income 148,726 100 209,446 100 482,513 100 591,761 100

Operating margin 50,220 34 73,807 35 168,516 35 203,388 34

Gains(Losses) from Operations (5,610) (4) 7,249 4 (14,977) (3) 716 -

Non-operating income and expenses (9,100) (6) (11,719) (6) 1,312 - 14,389 2

Net Loss fromContinuing Operations (15,853) (10) (20,777) (10) (17,770) (4) (3,559) (1)

Loss fromDiscontinued Operations

- - (25,471) (12) - - (50,780) (8)

Net Loss (15,853) (10) (46,248) (22) (17,770) (4) (54,339) (9)

EPS (0.17) (0.46) (0.20) (0.55)

Consolidated Balance SheetUnit: NT $ thousand 108/9/30 107/12/31 107/9/30Balance sheet items Amount % Amount % Amount %

Cash and cash equivalents 780,187 37 942,977 43 1,031,959 41 Notes and Accounts

receivable 73,390 3 106,688 5 123,095 5

Inventories 138,454 7 146,415 7 157,773 6 Non-current Assets Held for

Sale - - - - 489,411 20

Real estate, plant and equipment 541,859 26 512,084 24 496,772 20

Total assets 2,114,493 100 2,181,851 100 2,508,342 100 Liabilities Directly Associated

with Non-current Assets Held for Sale

- - - - 129,425 5

Current liabilities 351,668 17 472,003 21 998,993 40 Non-current liabilities 282,039 13 236,854 11 209,397 8

Total liabilities 633,707 30 708,857 32 1,208,390 48 Total equity 1,480,786 70 1,472,994 68 1,299,952 52

Current ratio 342.70% 290.78% 189.63%Debt ratio 29.97% 32.49% 48.17%

Consolidated Revenue By Products

Unit: NT $ thousand

Product 108/1-9 % of Total revenuethis year

107/1-9 % of Total revenuelast year

Increase(Decrease)

Amount %

Communication 268,050 56% 310,877 53% (42,827) -14%

Power 88,302 18% 172,279 29% (83,977) -49%

Solar Energy 126,161 26% 108,605 18% 17,556 16%

Total 482,513 100% 591,761 100% (109,248) -18%

Product and Industry Prevision

- Power & Energy Management Division

Product Lines

Power Supply Unit

Penetration into largest MNCs’ supply chains

Product development targeting vehicle, medical and industrial applications

Create a portfolio of standardized products to enlarge market shares.

To offer more flexible customized service and meet customers’ demand

LED Driver To keep closer partnership with key customers to acquire more street lighting tenders

Received several tender orders and have been fulfilling shipments successively

Cooperation with EGB on developing products for multiple projects

Product and Industry Prevision

- Communication Division

Product Lines - 1

The LTE Fixed-Wireless-Broadband market was valued at USD 17.9 billion in 2018 and is expected to reach USD 65.4 billion by 2024, at a CAGR of 24.5% over the 2019～2024 period. There will be a great room for growth.

The availability of high-bandwidth LTE applications is getting popular, since the coverage of LTE networks is increasing in many countries.

Significant demands for all kinds of applications, such as network access in rural area, the use of LTE as a primary or backup network (retails/ business / Kiosk / banking). The applications for smart bus, public safety, remote measurement and remote monitoring applications are also in highly demanded.

With the opening of 5G networks, more applications will be emerging, and the rapid growth of the 5G CPE market can be expected.

Product Lines - 2

Outdoor LTE routers, bring secure, high performance mission-critical cellular connectivity to outside locations and harsh environments. It is expected that the demand of LTE routers is continuously growing, since the speed of LTE has been increasing and more spectrum have been released.

The multi-interface routers (LTE and Ethernet), design as a primary or backup network for retails, business, Kiosk, and banking). Considering the DSL is the most common in some countries, we provide connectivity options from traditional wired options to wireless options.

In-home routers, design for superior home networking services with connection scalability. We cooperate with suppliers to develop competitive products as well.

LTE CPE Devices

Product Lines - 3

M2M routers with dual LTE, Wi-Fi Hotspot and anti-vibration are designed to support superior high-performance, service reliability, and secure connectivity. They can be used for smart bus, police car, fire truck, etc.

M2M routers with single/dual LTE and VPN are mainly used in outdoor Kiosk (bicycle rental/charging station), etc., to support LTE as the primary or backup network application.

M2M routers with VPN, RS-232/RS-485, and explosion-proof are specially design for remote measurement and monitoring. Such as installed in natural gas field, the M2M routers use LTE network to transmit remote measurement and monitoring information back to the central control center.

M2M Industrial Standard Devices

Product Lines - 4

The 5G features high performance, low latency and high capacity. The 5G standard includes Sub-6GHz and mmWave frequency bands, which need to be supported with different access devices. Due to the higher data rate of 5G, wired and wireless LAN also need to be upgraded too.

The 5G Sub-6GHz Indoor Router will use the latest 5G chipsets and support the 2.5 GHz Ethernet Interface and Wi-Fi 6 (802.11ax) Wireless LAN.

The 5G mmWave Outdoor Router will support both Sub-6GHz and mmWave bands, providing a high data rate of Fixed Wireless Broadband (FWB) service to meet the speed requirements of the emerging applications.

5G CPE Devices

Marketing

North America Market

Set up a branch office in Texas, USA. Expand its market with its own brand.

Promote products to telecom channel by getting certification from major US telecom operators (AT & T / Verizon / T-Mobile / Sprint).

Alliances with major LTE and 5G providers to provide quality products and services to telecom customers.

Global Market

Other than North American market, we also work with distributors in Southeast Asia, Australia, South America, Middle East, South Africa and Europe, mainly to expand markets with own brand.

This year, we’ve been certified by several telecommunications providers; next year we will continue to actively cooperate with the global target telecom operators.

Solar PV Division and Billion Watts(Subsidiary)Product and Market Outlook

Product - Market Background and Outlook

●The demand for green energy continues to rise in the global industrial trend. More and more countries have declared the policy goal of eliminating nuclear power and coal power and continue to move towards the goal of green power. Contract manufacturing accounted for most of the Taiwanese industry, and international organizations such as RE100 and CRS have started to promote green power. The industry's demand for green power continues to increase, including the promotion of FIT rates and the establishment of green power certificates such as T-Rec. It is expected that Taiwan's solar PV market will continue to grow.

●The government continues to subsidize and promote the release of solar power plants. In addition to the 10% green power requirements of large power users, it will also include new plants and the continuous promotion of the green ground-mounted solar power plants for all. Land release and inventory operations have also been strengthened. The goal is still to achieve the construction of 20GW solar power plant by 2025. Billion Watts focuses on the role of professional green energy equipment and service providers, including inverter equipment agent; providers of professional monitoring system and ESS system. Billion Watts can also provide professional O&M services and asset management. We look forward to serving the future green energy industry as a professional service and equipment provider.

Distributor of Solar Inverters

●Billion Watts has been the main distributor of SolarEdge inverters and optimizers for three consecutive years. SolarEdge is the world's only optimized solution that can increase power generation and increase profitability. After the demonstration in the past two years, SolarEdge indeed has a significant effect and continues to improve its market share in Taiwan. Last year, SolarEdge ranked the sixth in Taiwan inverters, and it is expected that 2020 will continue to ferment.

● Since the beginning of this year, the company has continued to be the distributor of Sungrow, a reputable inverter brand that was ranked as the second largest inverter in the world. Although it has been delayed in 2019 due to the application for VPC (Voluntary Product Certification) and the slow development of ground-mounted solar power plant in Taiwan, it is expected that medium to large size PV power plant will continue to be released in 2020, enabling Sungrow and medium-sized inverters to gain a large market share.

Product-Professional PV Monitoring System

●The Smart Router, Sensor, Meter and other IoT hardware developed by our company are applied to the complete structure of our own cloud system to develop monitoring system for solar power plant. In addition to the adoption by three large institutional solar power plant investors, the installation quantity of about 120MW has been achieved at the same time.

●Our company cooperates with Raycatch from Israel to develop AI-enabled solar power plant analysis management software. In addition to co-applying for the bilateral R&D project between Taiwan and Israel, we have cooperated with ITRI ( Industrial Technology Research Institute) to introduce advanced analytic features and functionalities

Pixel View

Product – Energy Management System (EMS)

●We have completed the initial development of EMS(Energy Management System) and successfully integrated PCS (Power Control System), BMS (Battery Management System) and other important modules. We are the distributor of PCS of Sungrow & Sinexcel, BMS of Powerwise Tech, and other leading players in the power sector. We have successfully started to build a commercial grade energy storage plant and that our first utility-scale storage project will be launched by the end of this year.

●From next year, Taiwan will start to carry out the bidding of power auxiliary service system. Company needs to be able to provide the planning and the delivery of integrated solutions from EMS, PCS, BMS to the whole battery cabinet. This will lead Taiwan to enter the future ESS market such as frequency modulation and demand response.

Energy Storage System and EMS

Product - O&M / Asset Management

●We have set up our own FAE office in Yunlin, and now we have a multi-functional engineering (FAE) team with more than 10 members. Our FAE team will assist in providing BoS-level professional O&M services of solar power plant, and we have successfully accumulated more than 50MW maintenance experience. We have also provided maintenance services (O&M) for large asset management service providers.

● Through being the agent of the inverter equipment, and the collection of real-time information from the monitoring system, Billion is the professional service and equipment provider that has the most data about the solar power plant. We are introducing the international standard with the goal to educate the Taiwanese investors in the market. Billion will continues to provide maintenance and asset management service for the 20 years power plant life cycle.

O&M / Asset Management

Solar Power Plant Investment(Special Purpose Vehicle)

Sheico51.92+891.49kWp

Gukeng1237.5kWp

Billion Watts55.755kWp

Juh Hwa451.35kWp

Ho Hung120.36kWp

Chin Hsing748.71kWp

Gukeng2138.72kWp

Fu Erl Ta67.85+19.47kWp

Rong Chung333.75kWp

Jyu Yue96.17kWp

Honmyue499.73kWp

Mony225.97kWp

Goodweld295kWp

Min Joint129.21kWp

Billion Electric2,540 kWp

Billion Sun Power3,205 kWp

Billion Watts56 kWp

Totally 5,801 kWp

Ave. IRR > 12%

5

11

1

Summary of Solar Power PlantsCGPC

1437.9kWp

Sheet1

盛達電業股份有限公司

2013年 EGB KPI 單位：千個 /千元人民币

EG-B接單產品別合 計占比%

PEM變壓器2,0016%

電源供應器 (PSU, Open frame)11,98535%

LED driver ＆ LCMS19,95059%

C+SGDSL (VPN, 3g, SHDSL, Zigbee, etc.)12,97881%

Smart Grid (BPL, AMI, EoC, etc.)2,99318%

合 計49,906

單位：千個 /千元人民币

Sheet2

Sheet3

H.H.(Kaohsiung) 120kWp

R. C. (Kaohsiung) 334kWpC. H. (Chiayi) 749kWp J. H. (Tainan) 451kWp

Sheico (Yilan) 891kWp

H.Y. (Changhua) 500kWp

Mony (Tainan) 226kWp

Photos of Solar Power Plants

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Billion Electric Co., Ltd�2019 Investor ConferenceDisclaimer投影片編號 3Consolidated Income StatementConsolidated Balance SheetConsolidated Revenue By Products投影片編號 7Product Lines投影片編號 9Product Lines - 1Product Lines - 2Product Lines - 3Product Lines - 4Marketing投影片編號 15Product - Market Background and OutlookDistributor of Solar InvertersProduct-Professional PV Monitoring SystemProduct – Energy Management System (EMS)Product - O&M / Asset Management 投影片編號 21Summary of Solar Power Plants投影片編號 23投影片編號 24