VIA Technologies : Financial Document

VIA Technologies, Inc. and Subsidiaries

Consolidated Financial Statements for the Six Months Ended June 30, 2023 and 2022

VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (In Thousands of New Taiwan Dollars)

			June 30, 2023						December 31, 2022				June 30, 2022
ASSETS			Amount	%					Amount	%					Amount	%
CURRENT ASSETS
Cash and cash equivalents	$	12,156,935		47		$	11,850,296		49	$	11,835,861		52
Financial assets at fair value through profit or loss - current			375,680	2					382,613	2					317,190	2
Financial assets at amortized cost - current			294,641	1					103,071	-					60,000	-
Notes and accounts receivable			557,634	2					445,645	2					631,982	3
Other receivables			116,020	-					34,492	-					40,562	-
Inventories			3,250,785		13					2,857,115		12				1,887,463		8
Other current assets			1,497,303		6					1,313,929		5					952,160	4
Total current assets			18,248,998		71					16,987,161	70				15,725,218		69
NON-CURRENT ASSETS
Financial assets at fair value through profit or loss - non-current			1,813,600		7					1,769,876		7					1,694,447		7
Financial assets at fair value through other comprehensive income -
non-current			1,110,859		4					1,072,567		5					1,024,766		5
Investments accounted for using the equity method			225,669	1					244,482	1					92,884	-
Property, plant and equipment			1,993,245		8					1,989,134		8					1,983,215		9
Right-of-use assets			206,166	1					239,587	1					268,593	1
Investment properties, net			1,794,824		7					1,847,568		8					1,884,594	8
Intangible assets			110,516	1					72,016	-					82,743	-
Deferred tax assets			90,380	-					79,143	-					57,039	-
Other assets - non-current			74,763	-					80,813	-					120,886	1
Total non-current assets			7,420,022		29					7,395,186		30				7,209,167		31
TOTAL	$	25,669,020		100		$	24,382,347		100	$	22,934,385		100
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Financial liabilities at fair value through profit or loss - current	$	-		-		$	1,861	-		$	-		-
Contract liabilities - current			4,271,877		17					2,080,007		9					1,322,904	6
Notes and accounts payable			652,033	2					926,511	4					831,626	4
Other payables			1,737,193	7					1,731,268		7					1,701,624		7
Current tax liabilities			200,361	1					303,715	1					326,005	1
Provisions - current			112,031	-					290,786	1					114,754	1
Lease liabilities - current			42,897	-					52,466	-					98,284	-
Current portion of long-term borrowings			1,019,274		4					1,399,352		6					860,000	4
Other current liabilities			199,144	1					272,352	1					190,844	1
Total current liabilities			8,234,810		32					7,058,318		29				5,446,041		24
NON-CURRENT LIABILITIES
Long-term borrowings			2,330,000		9					2,010,000		8					1,792,000		8
Long-term bills payable			-		-					-		-					986,753	4
Deferred tax liabilities			189,318	1					192,906	1					198,576	1
Lease liabilities - non-current			94,726	-					114,530	-					149,744	1
Net defined benefit liabilities			310,033	1					308,755	1					354,483	1
Other non-current liabilities			123,661	1					141,130	1					45,725	-
Total non-current liabilities			3,047,738		12					2,767,321		11				3,527,281	15
Total liabilities			11,282,548		44					9,825,639		40				8,973,322		39
EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY
Share capital			4,982,699		20					4,970,099		20				4,954,539		22
Capital collected in advance			2,249	-					12,037	-					20,949	-
Capital surplus			1,254,113		5					1,241,826		5					1,229,124		5
Retained earnings
Legal reserve			749,725	3					749,725	3					749,725	3
Special reserve			176,605	-					910,285	4					910,285	4
Unappropriated earnings			5,585,815	22					4,908,847		20				4,652,347		20
Other equity			259,272	1					207,098	1					(36,687)	-
Total equity attributable to owners of the Company			13,010,478		51					12,999,917		53				12,480,282	54
NON-CONTROLLING INTERESTS			1,375,994		5					1,556,791		7					1,480,781		7
Total equity			14,386,472		56					14,556,708		60				13,961,063		61
TOTAL	$	25,669,020		100		$	24,382,347		100	$	22,934,385		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)

		For the Three Months Ended June 30					For the Six Months Ended June 30
	2023			2022			2023			2022
		Amount	%				Amount	%				Amount	%				Amount	%
OPERATING REVENUE	$ 3,150,779		100	$ 2,289,001		100	$ 5,195,346	100	$ 4,497,220	100
OPERATING COSTS		2,259,629		72	1,458,494		64	3,720,151	72	2,726,445	61
GROSS PROFIT		891,150	28	830,507	36	1,475,195	28	1,770,775	39
OPERATING EXPENSES
Selling and marketing
expenses	195,045	6	191,874	8	380,913	7	365,252	8
General and administrative
expenses	172,698	5	148,545	7	323,122	6	294,889	6
Research and development
expenses	496,185	16	484,080	21	937,599	18	1,022,907	23
Expected credit loss	-	-	339	-	-	-	2,579	-
Total operating
expenses	863,928	27	824,838	36	1,641,634	31	1,685,627	37
PROFIT (LOSS) FROM
OPERATIONS	27,222	1	5,669	-	(166,439)	(3)	85,148	2
NON-OPERATING INCOME
AND EXPENSES
Interest income	117,456	4	11,024	1	233,198	4	17,235	1
Other income	74,150	2	91,498	4	111,792	2	190,319	4
Other gains and losses	23,853	1	16,922	1	35,144	1	(89,058)	(2)
Finance costs	(19,946)	(1)	(16,497)	(1)	(39,036)	(1)	(31,321)	(1)
Share of profit or loss of
associates	(3,625)	-	1,303	-	(15,729)	-	77	-
Total non-operating
income and
expenses	191,888	6	104,250	5	325,369	6	87,252	2
PROFIT BEFORE INCOME
TAX	219,110	7	109,919	5	158,930	3	172,400	4
INCOME TAX EXPENSE	(87,366)	(3)	(160,225)	(7)	(105,000)	(2)	(228,918)	(5)
NET PROFIT (LOSS) FOR
THE PERIOD		131,744	4	(50,306)	(2)	53,930	1	(56,518)	(1)
																					(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)

					For the Three Months Ended June 30							For the Six Months Ended June 30
					2023						2022							2023							2022
			Amount	%				Amount	%				Amount	%					Amount	%
OTHER COMPREHENSIVE
INCOME (LOSS)
Items that will not be
reclassified subsequently
to profit or loss:
Unrealized gain or loss
on investments in
equity instruments at
fair value through
other comprehensive
income	$			24,219	1	$	(17,988)	(1)	$		6,291		-	$	(12,815)	-
Items that may be
reclassified subsequently
to profit or loss:
Exchange differences on
translating foreign
operations					108,760	3				261,287	11					47,529		1				656,775	14
Share of the other
comprehensive (loss)
income of associates					(1,476)	-				(821)	-					(1,240)		-				1,787	-
Other comprehensive
income for the
period, net of
income tax					131,503		4				242,478	10					52,580		1				645,747	14
TOTAL COMPREHENSIVE
INCOME FOR THE
PERIOD	$			263,247		8	$	192,172	8	$		106,510		2	$	589,229	13
NET PROFIT (LOSS)
ATTRIBUTABLE TO:
Owners of the Company	$			97,558	3	$ (163,006)	(7)	$		18,040		-	$ (294,028)	(6)
Non-controlling interests					34,186	1				112,700	5					35,890		1				237,510	5
		$			131,744		4	$	(50,306)	(2)	$		53,930		1	$	(56,518)	(1)
TOTAL COMPREHENSIVE
INCOME
ATTRIBUTABLE TO:
Owners of the Company	$			224,305		7	$	88,360	4	$		69,914		1	$	358,753	8
Non-controlling interests					38,942	1				103,812	4					36,596		1				230,476	5
		$			263,247		8	$	192,172	8	$		106,510		2	$	589,229	13
EARNINGS (LOSS) PER
SHARE
From continuing operations
Basic				$	0.20				$	(0.33)				$	0.04					$	(0.59)
Diluted			$	0.19				$	(0.33)			$	0.04					$	(0.59)

(Concluded)

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VIA TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (In Thousands of New Taiwan Dollars)

																	Equity Attributable to Owners of the Company
																															Other Equity
																															Unrealized Gain
																																	or Loss on
																													Exchange	Financial Assets
																											Differences on		at Fair Value					Total Equity
																	Retained Earnings								Translating	Through Other		Unearned	Attributable to
					Capital Collected													Unappropriated			Foreign	Comprehensive		Employee	Owners of the	Non-controlling
	Share Capital		in Advance	Capital Surplus	Legal Reserve	Special Reserve			Earnings		Operations			Income		Benefits			Company			Interests	Total Equity
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 six months ended June 30, 2022			-				-				-			-			-			(294,028)					-			-		-			(294,028)			237,510		(56,518)
Other comprehensive income (loss) for the six months ended June 30,
2022			-				-				-			-			-			-					658,167			(5,386)		-			652,781			(7,034)		645,747
Total comprehensive (loss) income for the six months ended June 30, 2022			-				-				-			-			-			(294,028)					658,167			(5,386)		-			358,753			230,476		589,229
Cash dividends distributed by the subsidiary			-				-				-			-			-			-					-			-		-			-			(325,580)		(325,580)
Change in capital surplus from investments in associates			-				-				102			-			-			-					-			-		-			102			-		102
Share-based payment transaction			-				-				10,539			-			-			-					-			-		-			10,539			-		10,539
Issuance of shares from exercise of employee share options			10,430			(3,932)			18,247			-			-			-					-			-		-			24,745			-		24,745
Changes in percentage of ownership interests in the subsidiary			-				-				(9,831)			-			-			-					-			-		-			(9,831)			16,937		7,106
Recognition of employee share options issued by the subsidiary			-				-				377			-			-			-					-			-		-			377			288		665
BALANCE, JUNE 30, 2022		$	4,954,539			$	20,949			$	1,229,124		$	749,725	$	910,285	$	4,652,347			$	(8,803)	$	(27,884)	$	-	$	12,480,282	$	1,480,781	$	13,961,063
BALANCE, JANUARY 1, 2023	$	4,970,099		$	12,037		$	1,241,826	$	749,725	$	910,285	$	4,908,847			$	266,586	$	(58,445)	$	(1,043)	$	12,999,917	$	1,556,791	$	14,556,708
Appropriation of 2022 earnings
Special reserve			-				-				-			-			(733,680)			733,680					-			-		-			-			-		-
Cash dividends distributed by the Company			-				-				-			-			-			(74,752)					-			-		-			(74,752)			-		(74,752)
Net profit for the six months ended June 30, 2023			-				-				-			-			-			18,040					-			-		-			18,040			35,890		53,930
Other comprehensive income for the six months ended June 30, 2023			-				-				-			-			-			-					46,365			5,509		-			51,874			706		52,580
Total comprehensive income for the six months ended June 30, 2023			-				-				-			-			-			18,040					46,365			5,509		-			69,914			36,596		106,510
Cash dividends distributed by the subsidiary			-				-				-			-			-			-					-			-		-			-			(225,851)		(225,851)
Change in capital surplus from investments in associates			-				-				(2,144)			-			-			-					-			-		300			(1,844)			-		(1,844)
Share-based payment transaction			-				-				2,684			-			-			-					-			-		-			2,684			-		2,684
Issuance of shares from exercise of employee share options			12,600			(9,788)			15,377			-			-			-					-			-		-			18,189			-		18,189
Changes in percentage of ownership interests in the subsidiary			-				-				(3,799)			-			-			-					-			-		-			(3,799)			8,327		4,528
Recognition of employee share options issued by the subsidiary			-				-				169			-			-			-					-			-		-			169			131		300
BALANCE, JUNE 30, 2023		$	4,982,699			$	2,249			$	1,254,113	$	749,725	$	176,605	$	5,585,815			$	312,951	$	(52,936)	$	(743)	$	13,010,478	$	1,375,994	$	14,386,472

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