Slide 1: 1Q 2018 Investor Conference
ASUSTeK 1Q 2018 Investor Conference
Slide 2: Disclaimer
Disclaimer ASUSTeK’s presentation contains forward-looking statements subject to significant risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements. The forward-looking statements in this release reflect the current belief of ASUS as of t
Slide 3: Agenda
Agenda • 1Q 2018 Financial Result • Business Highlights • Strategy & Outlook •Q&A Confidential
Slide 4: 1Q 2018 Financial Result
1Q 2018 Financial Result 7 tS INSEARCH OF INCREDIBLE
Slide 5: 1Q 2018 Brand I/S
1Q 2018 Brand I/S (unaudited brand consolidated financials) in NT$ Mn 2018 1Q 2017 4Q QoQ 2017 1Q YoY Net Revenue 90,056 103,944 -13% 98,206 -8% COGS (77,480) (89,719) -14% (85,055) -9% Gross Profit 12,577 14,225 -12% 13,151 -4% Operating Expenses (8,517) (10,257) -17% (9,342) -9% Operating Profit 4
Slide 6: 1Q 2018 Non-OP Items
1Q 2018 Non-OP Items (unaudited brand consolidated financials) Non-OP Items 2018 1Q 2017 4Q QoQ 2017 1Q YoY Interest Income (net) 300 219 37% 241 25% Investment Income (144) (206) 30% (9) -1453% Ask ey (505) (455) -11% (137) -268% Others 361 250 44% 128 182% Exchange Gain/(Loss) 1,173 963 22% 495 13
Slide 7: 1Q 2018 Brand B/S
1Q 2018 Brand B/S in NT$ Mn Mar 31, 2018 Dec 31, 2017 QoQ Mar 31, 2017 YoY Cash & equivalents 70,783 67,377 5% 68,304 4% Accounts receivable 65,917 75,223 -12% 72,207 -9% Inventories 77,983 76,110 2% 82,961 -6% Current Assets 222,896 227,154 -2% 229,275 -3% Long-term investments 72,997 72,547 81,971
Slide 8: Business Highlights
Business Highlights 7 tS INSEARCH OF INCREDIBLE
Slide 9: Product Mix
Product Mix 1Q 2018 4Q 2017 IOT IOT 3% 3% Component Component 25% 19% PC PC 61% Mobile 63% Mobile 15% 11% Confidential
Slide 10: Region Mix
Region Mix 1Q 2018 4Q 2017 Americas Americas 19% 22% EURP EURP 34% 38% ASIA ASIA 47% 40% Confidential
Slide 11: 2Q 2018 Business Outlook
2Q 2018 Business Outlook • PC QoQ -10% ± 2.5% • Mobile QoQ +30% ± 5% • Component QoQ -20% ± 5% Confidential
Slide 12: Strategy & Outlook
Strategy & Outlook 7 tS INSEARCH OF INCREDIBLE
Slide 13: al at
al at Gif 4 - = ee oP Innovation - Agility an
Slide 14: Connected Service & New Retail
Connected Service & New Retail BATE RPE, PoC Sonne » OMart Enterprise = ........ " D . (ABC) & y ; a Mobile |OT
Slide 15: Modern PC
Modern PC Fashion * Performance * Experience ZenBook 2in1 VivoBook X Series Brand Position + Profitable Growth Sustaining by attacking Leading Innovation »+ WOW Experience
Slide 16: Profitable Growth (PC)
Profitable Growth (PC) ASUS Rev YoY > 5% (TAM YoY 0~1%)
Slide 17: X Series
Position Building Brand Position + Profitable Growth — Sustaining by attacking 2016 17% 83% 2017 25% 75% 2018 35% 65% a
Slide 18: Fashion
Fashion Thin Light Narrow Bezel Expressive Color Ergonomic Hinge Design
Slide 19: Performance
Performance SSD (PCle x4) Gaming-Grade GPU Optane Cache Fast Charging 5G (mmWave)
Slide 20: Experience
Windows Hello Cortana Stylus Incredible Audio Cool & Quiet Always Connected Experience
Slide 21: Republic of Gamers
ld REPUBLIC OF G a m I n gq GAMERS » Gaming Ecosystem Hardware ~Join The Republic - 8 Product Lines _ Gaming Team (RW) - Aura sync (Software) ~ Gaming Community
Slide 22: Gaming BU
a REPUBLIC OF Gaming BU GAMERS Profitable Growth ASUS Rev YoY >10% ~ 30%
Slide 23: Gaming Ecosystem
ad Gaming Ecosystem REPUBLIC OF GAMERS Hardware * Build ecosystem « Volume driver * Motherboard » Keyboard » VGA - Mouse * Display - Headset - Router T-shirt ~ Hat * Chair Bag
Slide 24: Gaming Seamless Integration
Gaming Seamless Integration AURA Sync
Slide 25: Gaming Seamless Integration
Gaming Seamless Integration AURA Sync AUR SYNC G — i“ Notebook Desktop
Slide 26: Gaming Esport lifestyle
Gaming Esport lifestyle ee ae SIAR) Wave] GD aurttannivns TH ws JUIN™= REPLALIC BITES aA ke | ARG ely LEAGUES 7 f Games em
Slide 27: 大中華區LPL春季季後賽聯盟前四強
大中華區LPL春季季後賽聯盟前四強 進入2018洲際賽
Slide 28: 2018 NA LCS Spring Playoffs No.3
IES LCS BK Echo Fox an ALTEC ADRIAN C018 NA LCS Spring Playoffs No.3
Slide 29: RWT(PUBG) 戰隊首次參與賞金賽
RWT(PUBG) 戰隊首次參與(虎牙天命杯 · 絕地求生) 賞金賽 隊伍排名第一
Slide 30: Phone
Phone Zenfone Zenfone Zenfone Max Pro@
Slide 31: Phone (TW)
Phone (TW) yi
Slide 32: Phone (India)
Phone (India) 4/23 Zenfone Max Pro Launch Event 4/17 aSOs Flipkart Partnership Event Strong Partnership with Flipkart Google Trend in India 1st 30K sold in 2 minutes!! WE xy? PHOTO
Slide 33: Phone (Indonesia)
Phone (Indonesia) 4/23 Launch Event Google Trend in Indonesia 1st 4K sold in 30 seconds!! WE xy? PHOTO
Slide 34: ROG Phone
ROG Phone REDEFINE your Gaming Expectations COMING SOON in Computex WE xy? PHOTO
Slide 35: ASUSTeK
ASUSTeK 1Q 2018 Investor Conference