Eternal Precision Mechanics Co., Ltd. · TWSE:7795
Eternal Precision Mechanics — Taishin Securities 2026 Q3 Global Investment Forum
26 slides from Eternal Precision Mechanics's conference presentation, Aug 26, 2026
Slide 1: Taishin Securities 2026 Q3 Global Investment Forum
Eternal Materials Group Taishin Securities 2026 Q3 Global Investment Forum 2026.08.26
Slide 2: Safe Harbor Notice
Safe Harbor Notice Except for statements in respect of historical matters, the statements in this presentation are “forward- looking statements”. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual performance, financial conditi
Slide 3: Contents
Contents 01 EPM COMPANY OVERVIEW 02 FINANCIAL ANALYSIS (2026H1-2025) 03 FUTURE MARKET OUTLOOK 04 CAPACITY & MAJOR CAPEX PLANS 05 ADVANCED PACKAGING INDUSTRY DEVELOPMENT & PRODUCT R&D 3
Slide 4: Company Overview
Company Overview Eternal Precision Mechanics Co., Ltd. Nikko-Materials Co., Ltd. (NM) Founded: 21,Oct. 2022 Founded: 30 Sep, 1997 Capital: TWD 788M (incl. IPO capital Capital: JPY 406M increase) President: Kazutoshi Iwata Chairman: Heng-Ning Liao Employees: 173 President: Kazutoshi Iwata Employe
Slide 5: Eternal Materials Group Structure
Eternal Materials Group Structure 61.70% Eternal Precision Mechanics 100% 100% 5
Slide 6: EPM Operating Locations
EPM Operating Locations Nikko-Materials (Chiryu Plant, Kodama Plant, Yokohama Office) • Mid-to-high-end equipment R&D, design, assembly, sales & technical Eternal Precision service center Mechanics (Guangzhou) • Administrative and other functional units located in Yokohama • Pre-laminating/single-st
Slide 7: EPM Major Shareholders
EPM Major Shareholders Top 10 shareholders hold a 61.70% Eternal Materials (Original shareholder of the Company) combined 72.80% Original shareholder 0.89% Kwang Yang Motor (Major shareholder of the original shareholder) 1.17% All Ring Tech. Specific shareholder from share 1.02% CBID-Innolux Fund II
Slide 8: Contents
Contents 01 EPM COMPANY OVERVIEW 02 FINANCIAL ANALYSIS (2026H1-2025) 03 FUTURE MARKET OUTLOOK 04 CAPACITY & MAJOR CAPEX PLANS 05 ADVANCED PACKAGING INDUSTRY DEVELOPMENT & PRODUCT R&D 8
Slide 9: EPM Revenue Analysis
EPM Revenue Analysis Japan subsidiary equipment sales are the main revenue source EPM revenue includes "equipment sales" and "carrier film" sales, but equipment revenue exceeds 90%; Japan is the assembly and sales centre for high-end products The Kaohsiung Dafa plant is the centre for high-end
Slide 10: EPM Equipment Sales Product Mix
EPM Equipment Sales Product Mix In 2026H1, high-end product shipments were affected by longer assembly time and customer new- plant installation schedules, so the high-end shipment ratio was only 35% (vs. 59% in 2025) High-end equipment shipments to Taiwan substrate customers are expected to inc
Slide 11: EPM Consolidated Sales and Profit
EPM Consolidated Sales and Profit In 2026H1, revenue, gross margin and net profit achievement were relatively low due to the product sales mix and Q1 employee stock subscription expense recognition Overall operations in 2026H2 are expected to grow significantly from H1 as a large volume of equip
Slide 12: EPM — Consolidated Contract Liabilities Analysis
EPM — Consolidated Contract Liabilities Analysis Revenue for Jan–Jul 2026 still grew YoY, and contract liabilities at the end of July were already several times higher than at the start of the year (Revenue recognition offsets contract liabilities) (Contract Liabilities, (Revenue, TWD 100M) TWD 100M
Slide 13: EPM Consolidated P&L Expense Analysis
EPM Consolidated P&L Expense Analysis Gross Margin 2025: 45%、2026Q1: 39%、2026Q2: 44% Gross margin is expected to return to or exceed 2025 levels in 2026H2, driven by an increased high-end product mix and price increases SG&A and R&D Expense Ratio Selling expenses are approximately 10% of revenue
Slide 14: Contents
Contents 01 EPM COMPANY OVERVIEW 02 FINANCIAL ANALYSIS (2026H1-2025) 03 FUTURE MARKET OUTLOOK 04 CAPACITY & MAJOR CAPEX PLANS 05 ADVANCED PACKAGING INDUSTRY DEVELOPMENT & PRODUCT R&D 14
Slide 15: AI Servers and CPUs Become the Strongest Growth Driver for High-End ABF
AI Servers and CPUs Become the Strongest Growth Driver for High-End ABF Substrate demand continues to grow, and capital expenditure will reach a new high AI & CPU demand growth, larger substrate area, more layers, and lower process yield are jointly amplifying substrate demand Global substrate m
Slide 16: 2026H2 Financial Results Will Reflect Market Conditions Quarter by Quarter
2026H2 Financial Results Will Reflect Market Conditions Quarter by Quarter 2026H2 revenue shipment volume is expected to grow multiple times over H1 2026H2 high-end equipment shipment ratio is expected to recover to about 30% (comparable to 2025 levels, but with the denominator being the 2026 es
Slide 17: Contents
Contents 01 EPM COMPANY OVERVIEW 02 FINANCIAL ANALYSIS (2026H1-2025) 03 FUTURE MARKET OUTLOOK 04 CAPACITY & MAJOR CAPEX PLANS 05 ADVANCED PACKAGING INDUSTRY DEVELOPMENT & PRODUCT R&D 17
Slide 18: 2027-28 Short-Term Capacity Expansion Plan
2027-28 Short-Term Capacity Expansion Plan Japan's NM responds via mid-term factory leasing and contracted assembly staff; the leased facility accommodates 10 units of 3-stage 90T assembly space The Guangzhou company completed a CNY 20M capital increase in H2, expanding assembly staff via leased
Slide 19: Japan Toyota New Plant Relocation Plan
Japan Toyota New Plant Relocation Plan A land-use change application is currently underway, with completion expected in mid-2029 The new plant will consolidate the existing Chiryu and Kodama plants; going forward, Japan NM will operate only the Toyota plant and the Yokohama office Capacity & Expan
Slide 20: Kaohsiung Headquarters New Office Acquisition & Relocation Plan
Kaohsiung Headquarters New Office Acquisition & Relocation Plan Plans to invest approximately TWD 350M of own funds to acquire a 510- ping (1,686 sq. m) downtown office for the headquarters relocation, expected to be completed by mid-2027 Shorter communication chain — 10 min from Eternal Materials
Slide 21: Contents
Contents 01 EPM COMPANY OVERVIEW 02 FINANCIAL ANALYSIS (2026H1-2025) 03 FUTURE MARKET OUTLOOK 04 CAPACITY & MAJOR CAPEX PLANS 05 ADVANCED PACKAGING INDUSTRY DEVELOPMENT & PRODUCT R&D 21
Slide 22: ABF Vacuum Laminator for Silicon Bridge Substrates
Existing IC Substrate Equipment Development — ABF Vacuum Laminator for Silicon Bridge Substrates Developing vacuum laminators for silicon bridge substrates / embedded components in collaboration with customers led by a major U.S. CPU maker and Japanese substrate makers, with shipments expected to be
Slide 23: Glass Substrate and Carrier Glass Equipment Development
Glass Substrate and Carrier Glass Equipment Development From 2022-2024, glass substrate transport and 3 stage vacuum lamination testing for 0.1mm- 1.8mm thickness were completed with a US manufacturer; testing and development for glass processing and inspection are now pending with 4 Japanese glas
Slide 24: 4 Stage Vacuum Laminator
4 Stage Vacuum Laminator Participating in Japanese company Resonac's Joint 3 project to develop a 4 stage vacuum laminator, developing future materials for advanced packaging vacuum lamination flatness requirements Source: The Company internal data & public website 24
Slide 25: Wafer-Level Vacuum Laminator
Wafer-Level Vacuum Laminator Continuing to design and develop Wafer ABF vacuum film-laminating equipment for Foundry, with the project expected to complete a test machine by 1Q2027 Source: The Company internal data 25
Slide 26: Thank You
() smi Thank You ETERNAL PRECISION MECHANICS
Eternal Precision Mechanics — Taishin Securities 2026 Q3 Global Investment Forum on 6ix