2025 Q3 Consolidated

INDEPENDENT AUDITORS' REVIEW REPORT TRANSLATED FROM CHINESE

To the Board of Directors and Shareholders of Nak Sealing Technologies Corporation

Introduction

We have reviewed the accompanying consolidated balance sheets of Nak Sealing Technologies Corporation and subsidiaries (the "Group") as at September 30, 2025 and 2024, and the related consolidated statements of comprehensive income, of changes in equity and of cash flows for the three months and nine months then ended, and notes to the consolidated financial statements, including a summary of material accounting policies. Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, "Interim Financial Reporting" that came into effect as endorsed by the Financial Supervisory Commission. Our responsibility is to express a conclusion on these consolidated financial statements based on our reviews.

Scope of review

Except as explained in the following paragraph, we conducted our reviews in accordance with the Standard on Review Engagements 2410, "Review of Financial Information Performed by the Independent Auditor of the Entity" of the Republic of China. A review of consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Basis for qualified conclusion

As explained in Notes 4(3) and 6(5), the financial statements of certain insignificant consolidated subsidiaries and investment accounted for using equity method were not reviewed by independent auditors. Total assets of these subsidiaries amounted to

NT$150,505 thousand and NT$138,468 thousand, constituting 2.83% and 2.74% of the consolidated total assets as at September 30, 2025 and 2024, respectively, total liabilities amounted to NT$17,613 thousand and NT$15,799 thousand, constituting 1.35% and 1.45% of the consolidated total liabilities as at September 30, 2025 and 2024, respectively, and the total comprehensive income (loss) amounted to an income of NT$8,525 thousand, an income of NT$7,127 thousand, an income of NT$11,326 thousand, and an income of NT$23,071 thousand, respectively, constituting 3.26%, 3.77%, 2.68% and 3.91% of the consolidated total comprehensive income for the three months and nine months then ended, respectively.

Qualified conclusion

Except for the adjustments to the consolidated financial statements, if any, as might have been determined to be necessary had the financial statements of certain insignificant consolidated subsidiaries and investment accounted for using equity method been reviewed by independent auditors as described in the Basis for qualified conclusion section above, based on our reviews, nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Group as at September 30, 2025 and 2024, and of its consolidated financial performance for the three months and nine months then ended and its consolidated cash flows for the nine months then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, "Interim Financial Reporting" that came into effect as endorsed by the Financial Supervisory Commission.

Wu, Sung-Yuan Lai, Chih-Wei

For and on behalf of PricewaterhouseCoopers, Taiwan November 11, 2025

The accompanying consolidated financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles generally accepted in countries and jurisdictions other than the Republic of China. The standards, procedures and practices in the Republic of China governing the audit of such financial statements may differ from those generally accepted in countries and jurisdictions other than the Republic of China. Accordingly, the accompanying consolidated financial statements and independent auditors' report are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice.

As the financial statements are the responsibility of the management, PricewaterhouseCoopers cannot accept any liability for the use of, or reliance on, the English translation or for any errors or misunderstandings that may derive from the translation.

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

SEPTEMBER 30, 2025, DECEMBER 31, 2024 AND SEPTEMBER 30, 2024

(Expressed in thousands of New Taiwan dollars)

(Continued)

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

SEPTEMBER 30, 2025, DECEMBER 31, 2024 AND SEPTEMBER 30, 2024

(Expressed in thousands of New Taiwan dollars)

September 30, 2025 December 31, 2024 September 30, 2024

Liabilities and Equity Notes AMOUNT % AMOUNT % AMOUNT %

The accompanying notes are an integral part of these consolidated financial statements.

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

THREE MONTHS AND NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024

(Expressed in thousands of New Taiwan dollars, except earnings per share amounts)

Three months ended September 30 Nine months ended September 30

2025 2024 2025 2024

Items Notes AMOUNT % AMOUNT % AMOUNT % AMOUNT %

sales ( 831) - ( 9,258) ( 1)

5950 Net operating margin 401,603 40 393,907 40

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024

(Expressed in thousands of New Taiwan dollars)

Equity attributable to owners of the parent

Capital Reserves Retained Earnings

Unappropriated

Financial statements translation

differences of

Share capital -

Additional paid-

Premium from

retained

foreign

Non-controlling

Notes common stock in capital merger Legal reserve Special reserve earnings operations Total interest Total equity

Nine months ended September 30,2024

現流表不平

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS

NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024

(Expressed in thousands of New Taiwan dollars)

Nine months ended September 30

現流表不平

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS

NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024

(Expressed in thousands of New Taiwan dollars)

Nine months ended September 30

Notes 2025 2024

CASH FLOWS FROM INVESTING ACTIVITIES

The accompanying notes are an integral part of these consolidated financial statements.

NAK SEALING TECHNOLOGIES CORPORATION AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024

(Expressed in thousands of New Taiwan dollars, except as otherwise indicated)

1. History and Organization

   The Nak Sealing Technologies Corporation (the "Company") was established in August 1976. The Company and its subsidiaries (the "Group") are primarily engaged in the processing and manufacturing of each kind of oil seal, manufacturing rubber machinery and metal modules, and import and export businesses.

2. The Date of Authorisation for Issuance of the Financial Statements and Procedures for Authorisation These consolidated financial statements were authorised for issuance by the Board of Directors on November 11, 2025.

3. Application of New Standards, Amendments and Interpretations

   1. Effect of the adoption of new issuances of or amendments to International Financial Reporting Standards ("IFRS®") Accounting Standards that came into effect as endorsed by the Financial Supervisory Commission ("FSC")

      New standards, interpretations and amendments endorsed by the FSC and became effective from 2025 are as follows:

      Effective date by International Accounting

      New Standards, Interpretations and Amendments Standards Board Amendments to IAS 21, 'Lack of exchangeability' January 1, 2025

      The above standards and interpretations have no significant impact to the Group's financial condition and financial performance based on the Group's assessment.

   2. Effect of new issuances of or amendments to IFRS Accounting Standards as endorsed by the FSC but not yet adopted by the Group

      New standards, interpretations and amendments endorsed by the FSC effective from 2025 are as follows:

      Effective date by

      International Accounting

      New Standards, Interpretations and Amendments Standards Board

      Specific provisions of Amendments to IFRS 9 and IFRS 7, ' Amendments to the classification and measurement of financial instruments'

      Amendments to IFRS 9 and IFRS 7, 'Contracts referencing nature-

      dependent electricity'

      January 1, 2026

      January 1, 2026

      Effective date by International Accounting

      New Standards, Interpretations and Amendments Standards Board

      IFRS 17, 'Insurance contracts' January 1, 2023

      Amendments to IFRS 17, 'Insurance contracts' January 1, 2023

      Amendment to IFRS 17, 'Initial application of IFRS 17 and IFRS 9 -

      comparative information'

      January 1, 2023

      Annual Improvements to IFRS Accounting Standards-Volume 11 January 1, 2026

      The above standards and interpretations have no significant impact to the Group's financial condition and financial performance based on the Group's assessment.

   3. IFRS Accounting Standards issued by IASB but not yet endorsed by the FSC

      New standards, interpretations and amendments issued by IASB but not yet included in the IFRS Accounting Standards as endorsed by the FSC are as follows:

      Effective date by

      International Accounting

      New Standards, Interpretations and Amendments Standards Board

      Amendments to IFRS 10 and IAS 28, 'Sale or contribution of assets between an investor and its associate or joint venture'

      To be determined by International Accounting Standards Board

      IFRS 18, 'Presentation and disclosure in financial statements' January 1, 2027 (Note)

      IFRS 19, 'Subsidiaries without public accountability: disclosures' January 1, 2027

      Note：The FSC has announced in a press release on September 25, 2025 that public companies will apply IFRS 18 starting from the fiscal year 2028. Additionally, entities can choose to adopt IFRS 18 earlier based on their requirements after the FSC endorses IFRS 18.

      Except for the following, the Group expects that the above standards and interpretations have no significant impact to the Group's consolidated financial statements.

      IFRS 18, 'Presentation and disclosure in financial statements'

      IFRS 18, 'Presentation and disclosure in financial statements' replaces IAS 1. The standard introduces a defined structure of the statement of profit or loss, disclosure requirements related to management-defined performance measures, and enhanced principles on aggregation and disaggregation which apply to the primary financial statements and notes. The quantitative impact will be disclosed when the assessment is complete.

4. Summary of Material Accounting Policies

   The principal accounting policies adopted are consistent with Note 4 in the consolidated financial statements for the year ended December 31, 2024, except for the compliance statement, basis of preparation, basis of consolidation and additional policies as set out below. These policies have been consistently applied to all the periods presented, unless otherwise stated.

   1. Compliance statement

      1. The consolidated financial statements of the Group have been prepared in accordance with the

         Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Accounting Standard 34, 'Interim financial reporting' that came into effect as endorsed by the FSC.

      2. These consolidated financial statements are to be read in conjunction with the consolidated financial statements for the year ended December 31, 2024.

   2. Basis of preparation

      1. Except for the defined benefit liabilities recognised based on the net amount of pension fund assets less present value of defined benefit obligation, the consolidated financial statements of the Group have been prepared under the historical cost convention.

      2. The preparation of financial statements in conformity with International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations, and SIC Interpretations that came into effect as endorsed by the FSC (collectively referred herein as the "IFRSs") requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Group's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 5.

   3. Basis of consolidation

      1. Basis for preparation of consolidated financial statements:

         The basis for preparation of consolidated financial statements are consistent with those of the year ended December 31, 2024.

      2. Subsidiaries included in the consolidated financial statements:

         Name of

         Name of

         Main business

         September

         Ownership(%) December 31,

         September

         investor subsidiary activities 30, 2025 2024 30, 2024 Description

         NAK SEALING TECHNOLOGIES CORPORATION	SMOOTH TRACK ASSOCIATES LIMITED ("SMOOTH")	Engaged in general investment activities.	100	100	100	Note 1
         NAK SEALING TECHNOLOGIES CORPORATION	NAK SEALING PRODUCTS (THAILAND) CO., LTD.	Expanding market share in Southeast Asia through sales of seals and accessories.	100	100	100	Note 3
         NAK SEALING TECHNOLOGIES CORPORATION	SHOWMOST INTERNATIONAL CO., LTD. ("SHOWMOST")	Engaged in general investment activities.	100	100	100	Note 3
         NAK SEALING TECHNOLOGIES CORPORATION	Song Quan International Co., Ltd.	Manufacturing of rubber products.	100	100	100	Notes 2 and 4
         SHOWMOST INTERNATIONAL CO., LTD. ("SHOWMOST")	NAK SEALING TECHNOLOGIES INDIA PRIVATE LIMITED	Selling seals and accessories.	60	60	60	Note 3

         Name of

         Name of

         Main business

         September

         Ownership(%) December 31,

         September

         investor subsidiary activities 30, 2025 2024 30, 2024 Description

         SMOOTH TRACK ASSOCIATES LIMITED	NAK HONGKONG CO., LTD.	Engaged in general investment	100	100	100	Note 1
         ("SMOOTH")		activities.
         NAK HONGKONG CO., LTD.	KUNSHAN MAOSHUN SEALING PRODUCTS INDUSTRIAL CO., LTD.	Production and manufacturing of various types of seals and accessories.	100	100	100	Note 1

         Note 1: Significant subsidiaries.

         Note 2: Song Quan International Co., Ltd. increased its cash capital amounting to $15,000 thousand for the years ended December 31, 2025 and 2024. The effective date was set on February 3, 2025 and April 22, 2024, respectively. The registration for the change had been completed.

         Note 3: The financial statements of the entity as of and for the nine months ended September 30, 2025 and 2024 were not reviewed by the independent auditors as the entity did not meet the definition of a significant subsidiary.

         Note 4: Although the financial statements of the entity as of and for the nine months ended September 30, 2025 and 2024 did not meet the definition of a significant subsidiary, its financial statements were reviewed by the independent auditors.

      3. Subsidiaries not included in the consolidated financial statements: None.

      4. Adjustments for subsidiaries with different balance sheet dates: None.

      5. Significant restrictions: None.

      6. Subsidiaries that have non-controlling interests that are material to the Group: None.

   4. Classification of current and non-current items

      1. Assets that meet one of the following criteria are classified as current assets; otherwise they are classified as non-current assets:

         1. Assets that are expected to be realised, or are intended to be sold or consumed in the normal operating cycle;

         2. Assets that are held primarily for the purpose of trading;

         3. Assets that are expected to be realised within twelve months after the reporting period;

         4. Cash and cash equivalents, excluding restricted cash and cash equivalents and those that are to be exchanged or used to settle liabilities for at least twelve months after the reporting period.

      2. Liabilities that meet one of the following criteria are classified as current liabilities; otherwise they are classified as non-current liabilities:

         1. Liabilities that are expected to be settled in the normal operating cycle;

         2. Liabilities that are held primarily for the purpose of trading;

         3. Liabilities that are due to be settled within twelve months after the reporting period;

         4. It does not have the right at the end of the reporting period to defer settlement of the liability at least twelve months after the reporting period.

   5. Impairment of non-financial assets

      The Group assesses at each balance sheet date the recoverable amounts of those assets where there is an indication that they are impaired. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's fair value less costs to sell or value in use. When the circumstances or reasons for recognising impairment loss for an asset in prior years no longer exist or diminish, the impairment loss is reversed. The increased carrying amount due to reversal should not be more than what the depreciated or amortised historical cost would have been if the impairment had not been recognised.

   6. Employee benefits

      Pension cost for the interim period is calculated on a year-to-date basis by using the pension cost rate derived from the actuarial valuation at the end of the prior financial year, adjusted for significant market fluctuations since that time and for significant curtailments, settlements, or other significant one-off events.

   7. Current and deferred tax

      The interim period income tax expense is recognised based on the estimated average annual effective income tax rate expected for the full financial year applied to the pretax income of the interim period. If a change in tax rate is enacted or substantively enacted in an interim period, the Group recognises the effect of the change immediately in the interim period in which the change occurs. The effect of the change on items recognised outside profit or loss is recognised in other comprehensive income or equity while the effect of the change on items recognised in profit or loss is recognised in profit or loss.

5. Critical Accounting Judgements, Estimates and Key Sources of Assumption Uncertainty

There was no significant change in the reporting period. Please refer to Note 5 in the consolidated financial statements for the year ended December 31, 2024.

1. The Group transacts with a variety of financial institutions all with high credit quality to disperse credit risk, so it expects that the probability of counterparty default is remote.

2. The Group has no cash and cash equivalents pledged to others.

1. Financial assets at amortised cost

   Items September 30, 2025 December 31, 2024 September 30, 2024 Current items:

   Time deposits (with maturity

   date over three months)

   $ 141,169

   $ 237,599

   $ 119,715

   1. Amounts recognised in profit or loss in relation to financial assets at amortised cost are listed below:

      Three months ended September 30

      2025 2024

      Interest income

      $ 1,126

      $ 780

      Nine months ended September 30

      2025 2024

      Interest income

      $ 4,326

      $ 5,484

   2. Information relating to credit risk of financial assets at amortised cost is provided in Note 12(2). The counterparties of the Group's investments in certificates of deposit are financial institutions with high credit quality, so the Group expects that the probability of counterparty default is remote.

2. Notes and accounts receivable

   Notes receivable	September 30, 2025 $ 431,946	December 31, 2024 $ 346,439	September 30, 2024 $ 361,326
   	September 30, 2025	December 31, 2024	September 30, 2024
   Accounts receivable	$ 1,148,894	$ 1,087,548	$ 1,065,404
   Less: Allowance for uncollectible accounts	( 28,414)	( 26,833)	( 27,650)
   	$ 1,120,480	$ 1,060,715	$ 1,037,754

   1. The ageing analysis of accounts receivable and notes receivable that were past due but not impaired is as follows:

      September 30, 2025 December 31, 2024 September 30, 2024

      	Accounts receivable	Notes receivable		Accounts receivable	Notes receivable		Accounts receivable	Notes receivable
      Not past due	$ 995,928	$ 431,946		$ 922,562	$ 346,439		$ 905,080	$ 361,326
      1 to 30 days	101,775	-		90,192	-		98,846	-
      31 to 90 days	11,659	-		43,102	-		32,416	-
      91 to 180 days	13,821	-		8,722	-		9,706	-
      181 to 360 days	9,759	-		8,221	-		7,291	-
      Over 361 days	15,952	-		14,749	-		12,065	-
      	$ 1,148,894	$ 431,946		$ 1,087,548	$ 346,439		$ 1,065,404	$ 361,326

      The above ageing analysis was based on past due date.

   2. As of September 30, 2025, December 31, 2024 and September 30, 2024, and January 1, 2024, accounts receivable and notes receivable were all from contracts with customers. And as of January 1, 2024, the balance of receivables from contracts with customers amounted to $1,399,585 thousand.

   3. The Group assesses some of the notes receivable (which are bank drafts) discounted to the bank meets the requirements for the exclusion of financial assets, provided that the receiver (the accepting bank) refuses to pay and the Group is liable to pay, although the credit rating of the receiver (the accepting bank) mentioned above is good, in general, the Group does not expect the accepting bank to refuse payment. The Group has posted to the bank, but it has not yet matured, the following summary information is available:

      September 30, 2025 December 31, 2024 September 30, 2024

      Amount derecognized

      $ 46,007

      $ 50,301 $ -

   4. As of September 30, 2025, December 31, 2024, and September 30, 2024, the Group had outstanding discounted notes receivable amounting to $38,898 thousand, $42,480 thousand, and

      $105,785 thousand, respectively. The Group has a payment obligation should the drawers of the notes refuse to pay at maturity. However, in general, the Group does not expect that the drawers of the notes would refuse to pay for the notes at maturity. The liabilities arising on discounted notes receivable were presented as is provided in Note 6(9).

   5. The Group assesses that part of the notes receivable (which are bank acceptance bills) are endorsed and transferred to other parties, which meets the requirements for delisting financial assets. However, if the acceptor (the accepting bank) refuses to pay when due, the Group has the obligation to repay. However, the aforementioned acceptor (the acceptance bank) The credit rating of the accepting bank (the accepting bank) is good and it is estimated that almost all risks and rewards have been transferred. Under normal circumstances, the Group does not expect the acceptor (the accepting bank) to refuse payment, so it is removed. As of September 30, 2025, December 31, 2024 and September 30, 2024, the Group's delisted notes receivable that have been endorsed and transferred but have not yet matured were $19,666 thousand, $13,384 and $10,204

      thousand, respectively.

   6. As at September 30, 2025, December 31, 2024 and September 30, 2024, without taking into account any collateral held or other credit enhancements, the maximum exposure to credit risk in respect of the amount that best represents the Group's notes and accounts receivable were

      $431,946 thousand, $346,439 thousand and $361,326 thousand；$1,120,480 thousand, $1,060,715 thousand and $1,037,754 thousand, respectively.

   7. The Group has no notes and accounts receivable pledged to others as collateral.

   8. Information relating to credit risk is provided in Note 12(2).

3. Inventories

   September 30, 2025

   	Cost	Allowance for obsolescence and valuation loss	Book value
   Raw materials	$ 186,315	($ 8,619)	$ 177,696
   Work in progress	278,957	( 2,883)	276,074
   Finished goods	512,263	( 38,511)	473,752
   	$ 977,535	($ 50,013)	$ 927,522
   		December 31, 2024
   	Cost	Allowance for obsolescence and valuation loss	Book value
   Raw materials	$ 221,407	($ 6,388)	$ 215,019
   Work in progress	239,473	( 5,630)	233,843
   Finished goods	568,018	( 44,964)	523,054
   	$ 1,028,898	($ 56,982)	$ 971,916
   		September 30, 2024
   	Cost	Allowance for obsolescence and valuation loss	Book value
   Raw materials	$ 247,043	($ 4,877)	$ 242,166
   Work in progress	269,308	( 7,146)	262,162
   Finished goods	527,642	( 44,997)	482,645
   	$ 1,043,993	($ 57,020)	$ 986,973

   The cost of inventories recognised as expense for the period:

   Three months ended September 30

   		2025	2024
   Cost of goods sold Gain on reversal of market value decline and		$ 614,120	$ 577,993
   obsolete and slow-moving inventories	(	8,728)	-
   Others	(	239)	( 290)
   		$ 605,153	$ 577,703

   Nine months ended September 30

   2025 2024

   Cost of goods sold	$ 1,822,799	$ 1,743,953
   Gain on reversal of market value decline and
   obsolete and slow-moving inventories	( 6,472)	( 3,935)
   Others	( 483)	( 992)
   	$ 1,815,844	$ 1,739,026

   1. The Group reversed a previous inventory write-down because it sold certain inventories which were previously provided with allowance for the three months ended September 30, 2025 and nine months ended September 30, 2025 and 2024.

   2. On May 30, 2024, the Sixth Plant owned by the Group absorbed some fire damage, and a portion of the inventory in the plant was damaged. The Group has conducted a review and derecognized the inventory which were damaged by the fire amounting to $179 thousand. The related losses and actual insurance claims income are presented in net amount and are shown as losses under other gains and losses.

4. Investments accounted for using equity method

   The carrying amount of the Group's interests in all individually immaterial associates and the Group's share of the operating results are summarized below:

   Shareholding

   September 30, 2025 December 31, 2024 September 30, 2024 ratio

   KISH NAK OIL SEAL $ MFG.CO.,LTD.

   ("KISH NAK")

   - $ - $

   - 49%

   NAK TOTAL SEALING

   SOLUTIONS PTY LTD. ("NAK TOTAL")

   BUSINESS FRIEND LIMITED

   ("BUSINESS FRIEND") NAK INTERNATIONAL LTD. ("NAK

   14,947 13,993 15,156 49%

   861 1,000 960 33.34%

   INTERNATIONAL") 33,278 26,962 23,941 33.33%

   $ 49,086 $ 41,955 $ 40,057

   1. Share of profit of associates and joint ventures accounted for using equity method are as follows:

      Three months ended September 30

      Share of profit (loss) of associates and accounted for under equity method:	2025	2024
      KISH NAK OIL SEAL	$ -	$ -
      MFG.CO.,LTD. NAK TOTAL SEALING	( 64)	45
      SOLUTIONS PTY LTD.
      BUSINESS FRIEND LIMITED NAK INTERNATIONAL	( 50)	-
      LTD. ("NAK
      INTERNATIONAL")	1,492	172
      	1,378	217
      Other comprehensive income (loss), net of tax	1,994	( 664)

      Total comprehensive income (loss)

      $ 3,372

      ($ 447)

      Nine months ended September 30

      Share of profit/(loss) of associates and accounted for under equity method:		2025		2024
      KISH NAK OIL SEAL MFG.CO.,LTD. NAK TOTAL SEALING		$ - 1,411		$ 2,668 4,651
      SOLUTIONS PTY LTD.
      BUSINESS FRIEND LIMITED	(	69)	(	15)
      NAK INTERNATIONAL
      LTD. ("NAK

      Other comprehensive income (loss), net of tax	782	( 654)
      Total comprehensive income	$ 7,817	$ 11,221

      INTERNATIONAL") 5,693 4,571 7,035 11,875

   2. The investment profit or loss recognised for the above investments accounted for using equity method was based on associates' financial statements of the same reporting period which were not reviewed by the independent auditors.

5. Property, plant and equipment

   Beginning

   Nine months ended September 30, 2025

   Net

   exchange Ending

   balance Additions Decreases Transfers differences balance

   Cost

   Land	$ 615,387	$ - $ - $ - ($					53)	$ 615,334
   Land improvements	10,047	- - -					-	10,047
   Buildings and structures	1,051,379	1,667	(	12,801)	227	(	16,625)	1,023,847
   Machinery and equipment	1,321,261	86,048	(	6,391)	17,847	(	23,701)	1,395,064
   Transportation equipment	38,428	-	(	7)	-	(	447)	37,974
   Office equipment	94,169	21,586	(	5,089)	1,096	(	156)	111,606
   Other equipment Unfinished construction	644,670	30,674	(	19,844)	5,820	(	2,951)	658,369
   and equipment under
   acceptance 37,479		112,142	-		( 24,990)	( 323)		124,308
   $ 3,812,820		$ 252,117	($ 44,132)		$ -	($ 44,256)		3,976,549
   Accumulated depreciation
   and impairment
   Land improvements	$ 7,457	$ 301	$ -		$ - $ -			$ 7,758
   Buildings and structures	477,437	25,695	( 9,971)		- ( 5,627)			487,534
   Machinery and equipment	851,695	59,241	( 6,201)		- ( 11,909)			892,826
   Transportation equipment	33,085	1,495	-		- ( 395)			34,185
   Office equipment	79,917	10,596	( 5,047)		- ( 140)			85,326
   Other equipment	447,286	32,715	( 19,415)		- ( 1,475)			459,111
   	$ 1,896,877	$ 130,043	($ 40,634)		$ - ($ 19,546)			$ 1,966,740
   Book value	$ 1,915,943							$ 2,009,809

   Beginning

   Nine months ended September 30, 2024

   Net

   exchange Ending

   balance Additions Decreases Transfers differences balance

   Cost

   Land	$ 615,184	$ - $ - $ - $ 285					$ 615,469
   Land improvements	10,047	- - - -					10,047
   Buildings and structures	1,026,004	2,113	(	324)	3,065	14,764	1,045,622
   Machinery and equipment	1,209,420	122,315	(	52,347)	18,526	16,815	1,314,729
   Transportation equipment	37,043	271		-	14	405	37,733
   Office equipment	86,132	7,436	(	844)	2,400	664	95,788
   Other equipment Unfinished construction	623,782	31,943	(	30,502)	905	1,886	628,014
   and equipment under
   acceptance 32,180		24,944	-		( 24,910)	457	32,671
   $ 3,639,792		$ 189,022	($ 84,017)		$ -	$ 35,276	3,780,073
   Accumulated depreciation
   and impairment
   Land improvements	$ 7,056	$ 301	$ -		$ -	$ -	$ 7,357
   Buildings and structures	439,676	25,385	(	269)	-	4,898	469,690
   Machinery and equipment	830,182	55,341	(	46,375)	-	9,724	848,872
   Transportation equipment	30,030	2,200		-	-	360	32,590
   Office equipment	72,187	7,742	(	844)	-	553	79,638
   Other equipment	417,608	33,716	( 10,401)		-	1,029	441,952
   	$ 1,796,739	$ 124,685	($ 57,889)		$ -	$ 16,564	$ 1,880,099
   Book value	$ 1,843,053						$ 1,899,974

   1. Amount of borrowing costs capitalised as part of property, plant and equipment and the range of the interest rates for such capitalisation are as follows: None.

   2. Information about the property, plant and equipment that were pledged to others as collaterals is provided in Note 8.

   3. The aforementioned property, plant and equipment are all for own use.

   4. On May 30, 2024, the Sixth Plant owned by the Group absorbed some fire damage, and a portion of the equipment in the plant was damaged. The Group has conducted a review and derecognized the buildings and equipment which were damaged by the fire amounting to $13,026 thousand. The related losses and actual insurance claims income are presented in net amount and are shown as losses under other gains and losses.

6. Lease transactions－lessee

   1. The Group leases various assets including land, buildings and business vehicles. Rental contracts are typically made for periods of 1 to 50 year(s). Land has the rights of possession, use and income according to the agreement and the use of land shall not be changed arbitrarily. Other lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose covenants, but leased assets may not be used as security for borrowing purposes.

   2. The lease period of some transportation equipment leased by the Group does not exceed 12 months, and the underlying assets leased with low value are photocopiers and AED equipment.

   3. The carrying amount of right-of-use assets and the depreciation charge are as follows:

      	September 30, 2025	December 31, 2024		September 30, 2024
      	Carrying amount	Carrying amount		Carrying amount
      Land-use right	$ 45,500	$ 48,827		$ 49,334
      Buildings Transportation equipment	1,947	391		901
      (business vehicle)	437	757		884
      	$ 47,884	$ 49,975		$ 51,119
      Three months ended September 30
      		2025		2024
      		Depreciation charge		Depreciation charge
      Land-use right		$ 315		$ 341
      Buildings		356		510
      Transportation equipment (business vehicle)		99		98
      		$ 770		$ 949
      Nine months ended September 30
      		2025		2024
      		Depreciation charge		Depreciation charge
      Land-use right		$ 978		$ 1,007
      Buildings		1,143		1,604
      Transportation equipment (business vehicle)		302		286
      		$ 2,423		$ 2,897

   4. For the three months and nine months ended September 30, 2025 and 2024, the additions to right-of-use assets amounted to $989 thousand, $0 thousand, $2,700 thousand and $0 thousand, respectively.

   5. The information on profit and loss accounts relating to lease contracts is as follows:

      Three months ended September 30

      Items affecting profit or loss	2025	2024
      Interest expense on lease liabilities	$ 18	$ 22
      Expense on short-term lease contracts	169	327
      Expense on variable lease payments	45	81
      Expense on leases of low-value assets	31	-
      Nine months ended September 30
      Items affecting profit or loss	2025	2024
      Interest expense on lease liabilities	$ 56	$ 74
      Expense on short-term lease contracts	333	602
      Expense on variable lease payments	141	179
      Expense on leases of low-value assets	62	-

   6. For the three months and nine months ended September 30, 2025 and 2024, the Group's total cash outflow for leases were $858 thousand, $983 thousand, $2,569 thousand and $2,582 thousand, respectively.

7. Short-term borrowings

   Type of borrowings September 30, 2025 Interest rate range Collateral Bank borrowings

   Secured borrowings

   $ 150,000

   1.75% Property, plant and equipment

   Type of borrowings September 30, 2024 Interest rate range Collateral Bank borrowings

   Secured borrowings

   $ 50,000

   1.75% Property, plant and equipment

   1. No such situation as of September 30, 2025 and December 31, 2024.

   2. Information about the property, plant and equipment that were pledged to others as collaterals is provided in Note 8.

8. Other payables

   	September 30, 2025	December 31, 2024	September 30, 2024
   Wages and bonus payable	$ 140,285	$ 163,638	$ 148,907
   Processing fees payable Discounted notes receivable	54,247	47,853	51,476
   liability Employees' compensation and	38,898	42,480	-
   directors' remuneration payable	36,603	57,569	43,727
   Consumables expenses payable Payable on machinery and	32,914	28,320	27,925
   equipment	32,794	37,913	27,487
   Utility payable	10,134	7,356	8,491
   Repair and maintenance payable	5,501	3,502	2,887
   Insurance payable	4,891	4,894	5,283
   Other accrued expenses	48,711	57,115	43,183
   	$ 404,978	$ 450,640	$ 359,366

9. Long-term borrowings

   Borrowing period

   Type of borrowings and repayment term Collateral September 30, 2025

   Secured borrowings 2015.09.24~2030.10.20, the borrowing	Land and	$ 59,430
   is repayable starting from the 24th	structures
   month based on annuity method Less: Current portion		( 11,320)
   		$ 48,110
   Interest rate range		2.22%

   Borrowing period

   Type of borrowings and repayment term Collateral December 31, 2024

   Secured borrowings 2015.09.24~2030.10.20, the borrowing

   is repayable starting from the 24th month based on annuity method

   Less: Current portion

   Land and $ structures

   (

   $

   67,920

   11,320)

   56,600

   Interest rate range 2.22%

   Borrowing period

   Type of borrowings and repayment term Collateral September 30, 2024

   Secured borrowings 2015.09.24~2030.10.20, the borrowing

   is repayable starting from the 24th month based on annuity method

   Less: Current portion

   Land and $ structures

   (

   $

   70,750

   11,320)

   59,430

   Interest rate range 2.22%

   For information on guarantees provided for land and buildings, please refer to Note 8.

10. Pensions

    1. (a) The Company has a defined benefit pension plan in accordance with the Labor Standards Act, covering all regular employees' service years prior to the enforcement of the Labor Pension Act on July 1, 2005 and service years thereafter of employees who chose to continue to be subject to the pension mechanism under the Labor Standards Act. Under the defined benefit pension plan, two units are accrued for each year of service for the first 15 years and two unit for each additional year thereafter, subject to a maximum of 45 units. Pension benefits are based on the number of units accrued and the average monthly salaries and wages of the last 6 months prior to retirement. The Company contributes monthly an amount equal to 6% of the employees' monthly salaries and wages to the retirement fund deposited with Bank of Taiwan, the trustee, under the name of the independent retirement fund committee. Also, the Company would assess the balance in the aforementioned labor pension reserve account by the end of December 31, every year. If the account balance is insufficient to pay the pension calculated by the aforementioned method to the employees expected to qualify for retirement in the following year, the Company will make contributions for the deficit by next March.

       1. The pension costs under defined contribution pension plans of the Group for the three months and nine months ended September 30, 2025 and 2024, were $52 thousand, $175 thousand,

          $198 thousand and $558 thousand, respectively.

       2. Expected contributions to the defined benefit pension plans of the Company for the year ending December 31, 2025 amount to $5,538 thousand.

    2. (a) Effective July 1, 2005, the Company has established a defined contribution pension plan (the "New Plan") under the Labor Pension Act (the "Act"), covering all regular employees with

       R.O.C. nationality. Under the New Plan, the Company contributes monthly an amount based on 6% of the employees' monthly salaries and wages to the employees' individual pension accounts at the Bureau of Labor Insurance. The benefits accrued are paid monthly or in lump sum upon termination of employment.

       1. The Company's mainland China subsidiaries, KUNSHAN MAOSHUN SEALING PRODUCTS INDUSTRIAL CO., LTD. and Guangzhou Mt. Port Automotive Technology Limited Company, have a defined contribution plan. Monthly contributions to an independent fund administered by the government in accordance with the pension regulations in the People's Republic of China (PRC) are based on certain percentage of the contribution base for payments which is announced by the local government. Other than the monthly contributions, the Group has no further obligations. The contribution percentage for the nine months ended September 30, 2025 and 2024, was as follows:

          Nine months ended September 30

          2025 2024

          KUNSHAN MAOSHUN SEALING PRODUCTS INDUSTRIAL CO., LTD.

          16% 16%

       2. The pension costs under defined contribution pension plans of the Company for the three months and nine months ended September 30, 2025 and 2024 were $7,340 thousand, $9,549 thousand, $19,390 thousand and $25,070 thousand, respectively.

11. Share capital

    As of September 30, 2025, the Company's authorised capital was $1,000,000 thousand, and the paid-in capital was $831,613 thousand with a par value of $10 per share. All proceeds from shares issued have been collected.

12. Capital surplus

    Pursuant to the R.O.C. Company Act, capital surplus arising from paid-in capital in excess of par value on issuance of common stocks and donations can be used to cover accumulated deficit or to issue new stocks or cash to shareholders in proportion to their share ownership, provided that the Company has no accumulated deficit. Further, the R.O.C. Securities and Exchange Act requires that the amount of capital surplus to be capitalised mentioned above should not exceed 10% of the paid-in capital each year. Capital surplus should not be used to cover accumulated deficit unless the legal reserve is insufficient.

13. Retained earnings

    1. Under the Company's Articles of Incorporation, the current year's earnings, if any, shall first be used to pay all taxes and offset prior years' operating losses and then 10% of the remaining amount shall be set aside as legal reserve. The remainder, if any, to be retained or to be appropriated shall be proposed by the Board of Directors and resolved by the stockholders.

    2. The Company's dividend policy was summarised below: for the appropriation of earnings as proposed by the Board of Directors, the shareholders' total dividends should be more than 50% of accumulated distributable earnings, and the cash dividends should be more than 20% of the shareholders' total dividends. However, the appropriation ratio of retained earnings and the shareholders' dividends ratio could be adjusted by the resolution of the shareholders based on the actual profit and capital conditions of current year.

    3. Except for covering accumulated deficit or issuing new stocks or cash to shareholders in proportion to their share ownership, the legal reserve shall not be used for any other purpose. The use of legal reserve for the issuance of stocks or cash to shareholders in proportion to their share ownership is permitted, provided that the distribution of the reserve is limited to the portion in excess of 25% of the Company's paid-in capital.

    4. According to Jin-Guan-Zheng-Fa-Zi Letter No.1010012865, dated April 6, 2012, the net deduction of other shareholders' equity in the account that occurs in the current year, the same amount of special surplus reserve set aside from the current profit and loss as the undistributed earnings of the previous period shall not be distributed; however, the Company has set aside a special surplus reserve when applying IFRS for the first time. As for the surplus reserve, the difference between the amount already set aside and the net deduction of other equity items should be set aside as a special surplus reserve.

    5. (a) In accordance with the regulations, the Company shall set aside special reserve from the debit balance on other equity items at the balance sheet date before distributing earnings. When debit balance on other equity items is reversed subsequently, the reversed amount could be included in the distributable earnings.

       1. The amount previously set aside by the Company as special reserve on initial application of IFRSs in accordance with Jin-Guan-Zheng-Fa-Zi Letter No. 1010012865, dated April 6, 2012, shall be the same as the amount reclassified from accumulated translation adjustment under shareholders' equity to retained earnings for the exemptions elected by the Company. The special reserve increased as a result of retained earnings arising from the conversion adoption of IFRS by $6,326 thousand.

    6. The dividend distributions for the years 2024 and 2023, which was approved at the shareholders' meeting on June 13, 2025 and June 20, 2024, respectively, are as follows:

       Year ended December 31

       2024 2023

       Dividends per share

       Dividends per share

       Amount (in dollars) Amount (in dollars)

       Legal reserve $

       (Reversal of) provision

       for special reserve (

       74,061

       56,245)

       $ 99,018

       30,884

       Cash dividends 582,129 $

       7.0

       582,129 $

       7.0

    7. Please refer to Note 6(18) for information regarding employees' compensation that includes remuneration allocated to rank - and - file employees and directors' remuneration.

14. Other equity items

    Nine months ended September 30, 2025

    Foreign currency translation

    At January 1 Currency translation differences:	($	141,419)
    - Group	(	100,410)
    - Taxes		20,082
    - Associates		977
    - Taxes	( 195)
    At September 30	($ 220,965)

    Nine months ended September 30, 2024

    Foreign currency translation

    At January 1 Currency translation differences:	($ 197,664)
    - Group	80,485
    - Taxes	( 16,097)
    - Associates	( 818)
    - Taxes	164
    At September 30	($ 133,930)

15. Operating revenue

Three months ended September 30

2025 2024

Revenue from contracts with customers

$ 1,007,587

$ 980,868

Nine months ended September 30

2025 2024

Revenue from contracts with customers

$ 2,978,376

$ 2,924,784

A. Disaggregation of revenue from contracts with customers

The Group derives revenue from the transfer of goods at a point in time in the following major product lines:

Three months ended September 30, 2025

Taiwan China Others Complete Complete Complete

Oil seal rubber mix Others Oil seal rubber mix Others Oil seal rubber mix Others

Total

Revenue from contracts with customers

Timing of revenue recognition

At a point in time

$ 476,427

$ 476,427

$ 5,796

$ 5,796

$ 52,760

$ 52,760

$ 447,016

$ 447,016

$ 39

$ 39

$ 101

$ 101

$ 25,448

$ 25,448

$ - $ -

$ - $ -

$ 1,007,587

$ 1,007,587

Revenue from contracts

Three months ended September 30, 2024

Taiwan China Others Complete Complete Complete

Oil seal rubber mix Others Oil seal rubber mix Others Oil seal rubber mix Others

Total

with customers

Timing of revenue recognition At a point in time

$ 457,285

$ 457,285

$ 21,999

$ 21,999

$ 54,362

$ 54,362

$ 417,803

$ 417,803

$ - $ 101

$ - $ 101

$ 29,318

$ 29,318

$ - $ -

$ - $ -

$ 980,868

$ 980,868

Revenue from contracts

Nine months ended September 30, 2025

Taiwan China Others Complete Complete Complete

Oil seal rubber mix Others Oil seal rubber mix Others Oil seal rubber mix Others

Total

with customers

Timing of revenue recognition At a point in time

$ 1,374,123

$ 1,374,123

$ 20,136

$ 20,136

$ 176,883

$ 176,883

$ 1,330,817

$ 1,330,817

$ 39

$ 39

$ 101

$ 101

$ 76,277

$ 76,277

$ - $ -

$ - $ -

$ 2,978,376

$ 2,978,376

Revenue from contracts

Nine months ended September 30, 2024

Taiwan China Others Complete Complete Complete

Oil seal rubber mix Others Oil seal rubber mix Others Oil seal rubber mix Others

Total

with customers

Timing of revenue recognition At a point in time

$ 1,334,573

$ 1,334,573

$ 80,922

$ 80,922

$ 164,432

$ 164,432

$ 1,259,343

$ 1,259,343

$ 39

$ 39

$ 101

$ 101

$ 85,374

$ 85,374

$ - $ -

$ - $ -

$ 2,924,784

$ 2,924,784