VIA Technologies : Financial Document

Via Technologies, Inc. and Subsidiaries

Consolidated Financial Statements for the

Nine Months Ended September 30, 2022 and 2021

VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (In Thousands of New Taiwan Dollars)

			September 30, 2022				December 31, 2021				September 30, 2021
			(Reviewed)						(Audited)						(Reviewed)
ASSETS			Amount	%					Amount	%					Amount	%
CURRENT ASSETS
Cash and cash equivalents	$	12,253,645		50		$	10,479,747		48	$	8,079,049		45
Financial assets at fair value through profit or loss - current			373,404	1					538,496	3					206,763	1
Financial assets at amortized cost - current			168,900	1					1,546,144		7					1,134,550		6
Accounts receivable, net			457,373	2					654,595	3					596,865	3
Accounts receivable - related parties			2,305	-					2,750	-					8,508	-
Other receivables			20,915	-					30,375	-					32,387	-
Inventories			2,270,089		9					1,611,635		7					1,272,289		7
Other current assets			1,372,799		6					265,390	1					313,772	2
Total current assets			16,919,430		69					15,129,132		69				11,644,183		64
NON-CURRENT ASSETS
Financial assets at fair value through profit or loss - non-current			1,749,544		7					1,636,818		8					1,514,363		8
Financial assets at fair value through other comprehensive income - non-current			1,112,199		5					670,115	3					478,878	3
Investments accounted for using equity method			261,173	1					131,681	1					133,133	1
Property, plant and equipment			1,974,400		8					1,979,612		9					2,006,336		11
Right-of-use assets			260,117	1					280,968	1					352,908	2
Investment properties, net			1,901,360		8					1,852,026		8					1,862,210		10
Intangible assets			72,841	-					64,223	-					57,173	-
Deferred tax assets			67,069	-					36,269	-					22,010	-
Refundable deposits			117,449	1					104,282	1					100,616	1
Other assets - non-current			6,310	-					15,824	-					17,812	-
Total non-current assets			7,522,462		31					6,771,818		31				6,545,439		36
TOTAL	$	24,441,892		100		$	21,900,950		100	$	18,189,622		100
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Notes payable	$	616	-		$	729	-		$	567	-
Accounts payable			645,321	3					920,756	4					788,491	4
Accounts payable - related parties			18,816	-					33,695	-					21,267	-
Other payables			1,556,281		6					1,724,845		8					1,369,087		8
Current tax liabilities			280,379	1					349,695	2					243,924	1
Provisions - current			239,898	1					139,684	1					55,975	-
Lease liabilities - current			89,888	1					86,420	-					90,870	1
Current portion of long-term borrowings			530,000	2					950,000	4					1,180,000		7
Other current liabilities			2,257,786		9					500,744	2					575,835	3
Total current liabilities			5,618,985		23					4,706,568		21				4,326,016		24
NON-CURRENT LIABILITIES
Long-term borrowings			2,172,000		9					1,165,000		5					1,169,000		7
Long-term bills payable			707,320	3					1,101,484		5					977,262	5
Deferred tax liabilities			200,276	1					195,270	1					197,628	1
Lease liabilities - non-current			134,041	-					178,306	1					197,368	1
Net defined benefit liabilities			354,792	1					353,817	2					340,994	2
Credit balance of investments accounted for using the equity method			60	-					32	-					4		-
Other non-current liabilities			436,200	2					50,866	-					50,627	-
Total non-current liabilities			4,004,689		16					3,044,775		14				2,932,883		16
Total liabilities			9,623,674		39					7,751,343		35				7,258,899		40
EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY
Share capital			4,966,029		21					4,944,109		23				4,943,959		27
Capital collected in advance			8,075	-					24,881	-					374	-
Capital surplus			1,242,397		5					1,209,690	6					1,209,783		7
Retained earnings
Legal reserve			749,725	3					354,878	1					354,878	2
Special reserve			910,285	4					595,929	3					595,929	3
Unappropriated earnings			4,856,577		20					6,150,928	28				3,038,365		17
Other equity			547,119	2					(689,468)	(3)				(644,380)	(4)
Total equity attributable to owners of the Company			13,280,207		55					12,590,947		58				9,498,908		52
NON-CONTROLLING INTERESTS			1,538,011		6					1,558,660		7					1,431,815		8
Total equity			14,818,218		61					14,149,607		65				10,930,723		60
TOTAL	$	24,441,892		100		$	21,900,950		100	$	18,189,622		100

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VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In Thousands of New Taiwan Dollars, Except Earnings (Loss) Per Share) (Reviewed, Not Audited)

		For the Three Months Ended September 30					For the Nine Months Ended September 30
	2022			2021				2022			2021
		Amount	%				Amount	%				Amount	%				Amount	%
OPERATING REVENUE	$ 2,595,420		100	$ 1,875,839		100	$ 7,092,640	100	$ 5,063,311		100
OPERATING COSTS		1,736,924		67	1,081,707			58	4,463,369	63	2,868,745		57
GROSS PROFIT		858,496	33	794,132		42	2,629,271	37	2,194,566		43
OPERATING EXPENSES
Selling and marketing
expenses	187,212	7	172,305		9	552,464	8	531,636		10
General and administrative
expenses	151,425	6	153,972		8	446,314	6	426,955		8
Research and development
expenses	447,106	17	669,748		36	1,470,013	21	2,204,429		44
Expected credit loss	45	-	196		-	2,624	-	1,776		-
Total operating
expenses	785,788	30	996,221		53	2,471,415	35	3,164,796		62
PROFIT (LOSS) FROM
OPERATIONS	72,708	3	(202,089)		(11)	157,856	2	(970,230)		(19)
NON-OPERATING INCOME
AND EXPENSES
Interest income	37,540	1	6,203		-	54,775	1	13,404		-
Other income	74,555	3	39,551		2	264,874	4	138,810		3
Other gains and losses	129,070	5	(9,885)		-	40,012	1	2,227,488		44
Finance costs	(16,529)	(1)	(13,330)		(1)	(47,850)	(1)	(37,914)		(1)
Share of profit or loss of
associates	2,124	-	337		-	2,201	-	(4,371)		-
Total non-operating
income and
expenses	226,760	8	22,876		1	314,012	5	2,337,417		46
PROFIT (LOSS) BEFORE
INCOME TAX	299,468	11	(179,213)		(10)	471,868	7	1,367,187		27
INCOME TAX EXPENSE	(37,129)	(1)	(57,662)		(3)	(266,047)	(4)	(245,258)		(5)
NET PROFIT (LOSS) FOR
THE PERIOD	262,339	10	(236,875)		(13)	205,821	3	1,121,929		22
OTHER COMPREHENSIVE
INCOME AND LOSS
Items that will not be
reclassified subsequently
to profit or loss:
Unrealized loss on
investments in equity
instruments at fair
value through other
comprehensive income	(2,435)	-	(5,588)		-	(15,250)	-	(8,909)		-
																						(Continued)

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VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In Thousands of New Taiwan Dollars, Except Earnings (Loss) Per Share) (Reviewed, Not Audited)

			For the Three Months Ended September 30						For the Nine Months Ended September 30
			2022						2021							2022						2021
			Amount	%					Amount	%					Amount	%					Amount	%
Items that may be
reclassified subsequently
to profit or loss:
Exchange differences on
translating foreign
operations	$	584,044		23	$	(12,334)		(1)	$	1,240,819	17	$	(263,466)		(5)
Share of the other
comprehensive income
(loss) of associates			764	-				(969)		-				2,551	-				(3,552)		-
Other comprehensive
income (loss) for the
period, net of
income tax			582,373		23				(18,891)		(1)				1,228,120	17				(275,927)		(5)
TOTAL COMPREHENSIVE
INCOME (LOSS) FOR
THE PERIOD	$	844,712		33	$	(255,766)		(14)	$	1,433,941	20	$	846,002		17
NET PROFIT (LOSS)
ATTRIBUTABLE TO:
Owners of the Company	$	204,230		8	$	(344,370)		(19)	$	(89,798)	(1)	$	835,912		16
Non-controlling interests			58,109	2				107,495		6				295,619	4				286,017		6
		$	262,339		10	$	(236,875)		(13)	$	205,821	3	$	1,121,929		22
TOTAL COMPREHENSIVE
INCOME (LOSS)
ATTRIBUTABLE TO:
Owners of the Company	$	788,036		31	$	(362,362)		(19)	$	1,146,789	16	$	562,241		11
Non-controlling interests			56,676	2				106,596		5				287,152	4				283,761		6
		$	844,712		33	$	(255,766)		(14)	$	1,433,941	20	$	846,002		17
EARNINGS (LOSS) PER
SHARE
From continuing operations
Basic		$	0.41			$	(0.70)				$	(0.18)			$	1.69
Diluted	$	0.41				$	(0.70)				$	(0.18)			$	1.66

(Concluded)

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VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(In Thousands of New Taiwan Dollars)

(Reviewed, Not Audited)

															Equity Attributable to Owners of the Company
																												Other Equity
																														Unrealized Gain or
																														Loss on Financial
																														Assets at Fair
																												Exchange	Value Through		Total Equity
																	Retained Earnings						Differences on			Other	Attributable to
					Capital Collected in													Unappropriated		Translating	Comprehensive	Owners of the	Non-controlling
	Share Capital			Advance	Capital Surplus	Legal Reserve	Special Reserve			Earnings	Foreign Operations			Income			Company			Interests	Total Equity
BALANCE, JANUARY 1, 2021	$	4,933,034		$	18,824		$	1,168,504	$	-	$	-	$	3,548,777		$	(360,861)	$	(9,848)	$	9,298,430	$	1,275,997	$	10,574,427
Appropriation of 2020 earnings
Legal reserve			-				-				-			354,878			-			(354,878)				-			-			-			-		-
Special reserve			-				-				-			-			595,929			(595,929)				-			-			-			-		-
Cash dividends distributed by the Company			-				-				-			-			-			(395,517)				-			-			(395,517)			-		(395,517)
Net profit for the nine months ended September 30, 2021			-				-				-			-			-			835,912				-			-			835,912			286,017		1,121,929
Other comprehensive loss for the nine months ended September 30, 2021			-				-				-			-			-			-				(266,882)			(6,789)			(273,671)			(2,256)		(275,927)
Total comprehensive income (loss) for the nine months ended September 30,
2021			-				-				-			-			-			835,912				(266,882)			(6,789)			562,241			283,761		846,002
Cash dividends distributed by the subsidiary			-				-				-			-			-			-				-			-			-			(128,956)		(128,956)
Change in capital surplus from investments in associates			-				-				108			-			-			-				-			-			108			-		108
Share-based payment transaction			-				-				23,521			-			-			-				-			-			23,521			-		23,521
Issuance of shares from exercise of employee share options			10,925				(18,450)			16,278			-			-			-				-			-			8,753			-		8,753
Recognition of employee share options issued by the subsidiary			-				-				1,372			-			-			-				-			-			1,372			1,013		2,385
BALANCE, SEPTEMBER 30, 2021		$	4,943,959			$	374			$	1,209,783		$	354,878	$	595,929	$	3,038,365		$	(627,743)	$	(16,637)	$	9,498,908	$	1,431,815	$	10,930,723
BALANCE, JANUARY 1, 2022	$	4,944,109		$	24,881		$	1,209,690	$	354,878	$	595,929	$	6,150,928		$	(666,970)	$	(22,498)	$	12,590,947	$	1,558,660	$	14,149,607
Appropriation of 2021 earnings
Legal reserve			-				-				-			394,847			-			(394,847)				-			-			-			-		-
Special reserve			-				-				-			-			314,356			(314,356)				-			-			-			-		-
Cash dividends distributed by the Company			-				-				-			-			-			(495,350)				-			-			(495,350)			-		(495,350)
Net (loss) profit for the nine months ended September 30, 2022			-				-				-			-			-			(89,798)				-			-			(89,798)			295,619		205,821
Other comprehensive income (loss) for the nine months ended September 30,
2022			-				-				-			-			-			-				1,242,618				(6,031)			1,236,587			(8,467)		1,228,120
Total comprehensive (loss) income for the nine months ended September 30,
2022			-				-				-			-			-			(89,798)				1,242,618				(6,031)			1,146,789			287,152		1,433,941
Cash dividends distributed by the subsidiary			-				-				-			-			-			-				-			-			-			(325,580)		(325,580)
Change in capital surplus from investments in associates			-				-				132			-			-			-				-			-			132			-		132
Share-based payment transaction			-				-				14,290			-			-			-				-			-			14,290			-		14,290
Issuance of shares from exercise of employee share options			21,920				(16,806)			27,706			-			-			-				-			-			32,820			-		32,820
Changes in percentage of ownership interests in the subsidiary			-				-				(9,987)			-			-			-				-			-			(9,987)			17,347		7,360
Recognition of employee share options issued by the subsidiary			-				-				566			-			-			-				-			-			566			432		998
BALANCE, SEPTEMBER 30, 2022		$	4,966,029			$	8,075			$	1,242,397	$	749,725	$	910,285	$	4,856,577		$	575,648	$	(28,529)	$	13,280,207	$	1,538,011	$	14,818,218

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