YFY : 4Q23_Earning Results

YFY Inc.

4Q23 Earnings

2024/03/15

1907.TW

Disclaimer

This presentation is prepared according to the reviewed financial statements by CPA and the financial numbers hereby were based on IFRS, please refer to the published financial statements for full content.

The presentation may contain forward-looking information and may differ materially from the actual results. YFY does not warrant as to the accuracy or completeness of such information and nor assume any undertaking further information becomes available or in light of changing circumstances. You shall not place undue reliance on any forward- looking information.

The presentation and its contents may not be reproduced to a third party without the prior written consent of YFY.

2

YFY Five Strategic Directions

		Continuous
		Development
Industry 4.1		of the Circular
	Economy
and	Renewable
Upstream/	Energy and
Downstream	Energy
Industrial	Management
Ecosystems
The
Saccharide	Investment
Economy and	in new
Development	innovation
of New	business
Materials

3

4Q23 and 2023 Financial Results

(NTD $M)

Revenue

Gross Profit

Operating Profit

None-Operating Income/Expenses

Profit Attributable to Parent Company

EPS (NTD)

4Q23	4Q22	Y/Y	2023	2022	Y/Y
19,726	19,350	1.9%	73,867	79,636	(7.2%)
3,200	2,394	33.7%	10,083	11,116	(9.3%)
600	(6)	-	137	1,147	(88.0%)
132	150	(12.1%)	2,425	2,440	(0.6%)
500	(56)	-	1,827	2,170	(15.8%)
0.30	(0.03)	-	1.10	1.31	(16.0%)

Net Profit Margin	2.5%	(0.3%)	2.5%	2.7%

4

Non-Operating Income/Expenses

(NTD $M)	4Q23	2023
Financial Costs	(243)	(1,062)
Interest Income	106	416
Share of Profit of Associates	197	1,256
FX Gains/Losses	(122)	227
Dividend Income	15	857
Other Income	179	731
Total	132	2,425

5

Revenue by Operating Segment

Others
3,172
16%	Forest, Pulp
	& Paper
Consumer	4,973
25%
Products

2,698

(NTD $M)

Others	Forest, Pulp &
10,956
Paper
15%
18,825
Consumer	25%
Products

10,214

14%

14%

Container Board

& Packing

8,883

45%

Container Board

& Packing

33,872

46%

Forest, Pulp and Fine Paper Business Group:

Including pulp, cultural paper, packaging paper, specialty paper, and cardboard.

Containerboard and Packaging Business Group:

Including industrial cardboard containers, colored cases, and food containers.

Consumer Product Business Group:

Household products including tissue paper, napkins, and cleaning products.

Others Business:

Products other than paper including specialty materials, RFID, packaging designs , and other services.

Note:

The performance of each segment was measured by operating profits of each business.

Revenue and profit among segments have been adjusted with intra-segment elimination to reconcile with consolidated financial statements.

6

Performance by Operation

(NTD $M)	4Q23	2023
Operating Segment
Forest, Pulp & Paper	47	(859)
Containerboard & Packaging	198	100
Consumer Products	380	1,130
Others	(25)	(234)
Operating Profit	600	137
Non-operating Incomes
Investments from equity method	196	1,256
(E Ink)
Dividend Income (SinoPac	15	857
Holdings)
Subtotal of Investments from
equity method and Dividend	211	2,113
Income

Note:

The performance of each segment was measured by operating profits of each business. Revenue and profit among segments have been adjusted with intra-segment elimination to reconcile with consolidated financial statements.

7

Diversified Business & Product Portfolio

The profits from Core Extended business formed a positive and

sustainable trend, and those business are driving for profit optimization.

Core Extended Business

Paper Business

Forest, Pulp and Paper BG

Containerboard & Packaging BG

Consumer Products BG

NTD MNet Profit Before Tax

5,000
4,000
3,586
3,000
2,562
2,000
1,000

-

2022

2023

(1,000)

Paper Business		Core Extended Business		Financial & other gains/losses

5,000

4,500

4,000

3,500

3,000

2,500

2,000

1,500

1,000

500

-

8

YFY Inc. Stable Growth from Diversified Business Strategy

Growth for the 7th consecutive years, 2023 net worth per share reached NT$35.22. CAGR at 9%. YFY follows five strategic directions, and enhances its resilience for macroeconomics uncertainty through its diversify products and services.

NTD $
40
								35.22
35							32.91
						30.84
30					27.09
25				23.64
		21.36
		20.01
	19.38
20
15
	2016	2017	2018	2019	2020	2021	2022	2023
				Net Worth Per Share

9

Cash Dividends

NT$0.90 cash dividend (close to 82% payout ratio) approved by Board. Cash dividend distribution for the 7th consecutive years.

NTD $
3.50
				3.14	3.13			81.8%
3.00
	69.0%					68.7%
2.50
61.9%
2.00				50.7%	47.8%	47.9%
1.50				1.38	1.50	1.50	1.31
										1.10
1.00	0.97	0.87
							0.90	0.90
0.50	0.60	0.60	0.70
	2017	2018		2019	2020	2021	2022	2023
				Earning per share		Cash dividend		Payout ratio

90.0%

80.0%

70.0%

60.0%

50.0%

40.0%

30.0%

20.0%

10.0%

0.0%

10