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Cryomax Cooling System Corp.

Stock Code1587

3Q 2020 Operating Results

Disclaimer

• This presentation contains insights into future operations.Opinions of future operations are based on manyassumptions. Some of them are likely to be beyond thecompany’s control such as changes of economy trend.Therefore, forecasts mentioned in the report may haverisks and uncertainties.

• The actual results of the company's future developmentcould be changed due to some uncontrollable factors whichmight be different from the current opinions.

• The forward-looking statements contained in thispresentation based on our best knowledge as of the reportdate, and we undertake no obligation to update theforward-looking statements to reflect subsequent events orcircumstances, except as required by law.

Company Profile

Established on August 22, 1984

Paid-in Capital TWD NT $653,566,180

Company Name Cryomax Cooling System Corporation

Employees 622 employees

Chairman Andy Liu

HeadquarterNo.28 Gongqu Rd., Fangyuan Township, Changhua County ,

Taiwan

Subsidary China & United States

Main Business

Specializes in manufacturing, developing and

selling all kinds of automotive radiators , cooling

systems and related components.

1

1984 Formation of Cryomax, start the production for copper radiator

1990 Tooling Center Established

1994 Approval from Military, and start supplying for military vehicles including Hummer

1999 Establishment of complete Aluminum Radiator Manufacturing

2006 Establishment of China Factory (in Dongguan)

Establishment of CRYOMAX USA (Marketing Center and California warehouse)

2007 Establishment of the warehouse in the U.S. (Virginia warehouse)

TS16949 certification (Cryomax Taiwan)

2010 Cryomax approved as a OTC listing company

2011 Cooperation with DENSO Japan. Access to DENSO technology. Produce and supply

radiators to DENSO companies.

2013 Establishment of the China Factory (in Nanjing), and achieving a fully one-stop

production.

2016 Rewarded the only certification for U.S. Toyota OES

2017 Became the aluminum and HD radiator partner with a famous German OE client

2018 Listed in Taiwan Stock Exchange in April 16th.

Milestones

2

Global Operation Site

Cryomax Taiwan

(Headquarter)

Cryomax Nanjing

Cryomax DongGuanAmerica Office- LA

America Office-VA

3

Organization

4

Cryomax Group

Cryomax Taiwan

Date of Establishment:

8-22-1984

Headquarter

R&D Department

Manufacturing

Size of factory:

32,166/m2

Cryomax DongGuan

Date of Establishment:

04-10-2006

Tooling Center and

Manufacturing

Size of factory:

7,900/m2

Cryomax Nanjing

Date of Establishment:

05-29-2013

Manufacturing Center

One-stop production

Size of factory:

39,092/m2

Cryomax USA

Date of Establishment:

05-15-2006

Marketing Center (U.S.)

Warehouses(CA/VA)

Size of factory:

3,251/m2

CONDENSER

RADIATOR: copper/aluminum

RADIATOR: Plastic-Aluminum/copper/aluminum

OIL COOLER: plate / Concentric oil cooler/

motor oil cooler

PASSENGER CAR

TRUCK/HEAVY DUTY/BUS

INDUSTRIAL

HEATER

EXCHANGER

INVERTER

COOLER

RADIATOR: Copper/aluminum, oil/water/gas transmission oil cooler

EXTERNAL OIL

COOLER 5

Product - Radiators

Stamping Tooling6Injection Mold

Major Production of Mold and Tooling

Injection Mold Stamping Tooling

Production – Mold and Tooling

Professional

Molding

Factory

Product Application

7

Thermal Cycle

Original

Design

Manufacture

Assembly

(Product) (Application)

Large projectorProjector radiator

• Patent under examination

in 2020：An invention

patents(review) & two

utility model

patent(Approved)

Auto Parts Market

Vehicle Assembly

Repair Service

Original design and Manufacture (ODM)

Original Equipment Manufacturing (OEM)

Original Equipment Service (OES)

After Market(AM)

8

Auto Parts Market Breaks Down

• DENSO• MAHLE• VALEO

Cryomax

Molds

&

spare

parts

Radiator assembly

&

CM radiator(self-

brand)

Main supplier Cryomax

Customer：Denso Group & others

資料來源：Inkwood Research – GROWING POPULARITY OF PURE ELECTRIC VEHICLES WILL LEAD TO EXPANSION OF THE GLOBAL AUTOMOTIVE HEAT EXCHANGER MARKET 9

The aftermarket

is not influenced

by economic

conditions

10

S u p p l i e r

DENSO

DENSO/Taiwan

Cryomax

Competitors in China

/Cryomax Nanjing

(One stop production)

Cryomax Market’s Position

High Price

(OES)

Middle Price

(AM)

Low Price

(AM)

Operating Results Summary

Currency: TWD NT Thousands

2020 2020 2019

3Q / Sep. 2Q / Jun. 3Q / Sep.

Operating Revenues 512,397 373,402 399,431

Net Income Attributable to

Stockholders of the Parent37,151 96,143 -3,362

EPS(NTD) 0.56 1.46 -0.05

Cash and Cash Equivalents 346,700 303,033 295,868

Total Assets 2,625,737 2,544,842 2,547,335

Total Liabilities 1,375,020 1,338,119 1,349,570

Total Equity 1,250,717 1,206,723 1,197,765

11

Statement of Comprehensive Income – QoQ

Currency: TWD NT Thousands

2020 2019

3Q / Sep. % 3Q / Sep. %

Operating Revenues 512,397 100 399,431 100

Gross profit 142,982 28 85,938 22

Operating Expenses 84,981- 17- 84,276- 21-

Operating Income 58,001 11 1,662 0

Net Non-operating Income and Expenses 3,709- 1- 3,500- 1-

Income Tax Expense 17,141- 3- 1,524- 0-

Net Income 37,151 7 3,362- 1-

Net Income Attributable to

Stockholders of the Parent37,151 7 3,362- 1-

EPS(NTD) 0.56 0.05-

12

Statement of Comprehensive Income – YoY：9 Months

Currency: TWD NT Thousands

2020 2019

Jan.~Sep. % Jan.~Sep. %

Operating Revenues 1,240,316 100 1,131,021 100

Gross profit 315,485 25 254,255 22

Operating Expenses 238,393- 19- 237,167- 21-

Operating Income 77,092 6 17,088 2

Net Non-operating Income and Expenses 93,799 8 7,143- 1-

Income Tax Expense 31,420- 3- 5,966- 1-

Net Income 139,471 11 3,979 0

Net Income Attributable to

Stockholders of the Parent139,471 11 3,979 0

EPS(NTD) 2.12 0.08

13

Financial Results

Year

Item2017 2018 2019 Sep 2020

Operating revenue 1,353,380 1,460,985 1,516,467 1,240,316

Gross profit (loss) 288,272 326,134 342,043 315,485

Gross Margin (%) 21.30% 22.32% 22.56% 25.44%

Net operating

income (loss)31,995 46,475 25,279 77,092

Operating

Margin(%)2.36% 3.18% 1.67% 6.22%

EPS 0.27 0.58 0.05 2.12

Currency: TWD NT Thousands；%

14

Regional Revenue Ratio

0

20

40

60

80

2017 2018 2019 Sep-20

U.S. Taiwan Europe Asia Other

%

15

2017 2018 2019 Sep 2020

NT$ 000 % NT$ 000 % NT$ 000 % NT$ 000 %

U.S. 683,718 51 825,356 56 918,795 61 836,699 67

Taiwan 295,161 22 277,205 19 253,250 17 181,711 15

Europe 116,452 9 109,085 8 74,949 5 36,341 3

Asia 171,669 12 179,475 12 199,885 13 141,530 11

Other 86,380 6 69,864 5 69,588 4 44,035 4

Total 1,353,380 100 1,460,985 100 1,516,467 100 1,240,316 100

Currency: TWD NT Thousands；%

2020 Business Growth Trend

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2018 109,424 81,732 104,698 107,286 129,793 128,613 120,072 130,331 124,475 149,062 150,047 125,452

2019 117,220 84,588 126,594 129,316 148,132 125,740 142,265 123,848 133,318 121,352 130,538 133,556

2020 128,019 94,524 131,974 106,226 105,127 162,049 155,055 163,865 193,477 186,584

Growth

Rate9% 12% 4% -18% -29% 29% 9% 32% 45% 54%

-50,000

0

50,000

100,000

150,000

200,000

250,000

16

Currency: TWD NT Thousands；%

Cryomax’s Core Competitiveness

17

Quality、Lead time、

Technical 、 production and

marketing advantages

Cryomax participates in

global network of DENSOLong-term

Partnership

• One stop production(in house) → Delivery

time advantages.

• Self-made components and molds

→Quality advantages.

• Technical background advantages

→ Denso & Mahle• Location wise advantages →Taiwan and

China factories located long trading

advantages

• CM USA

1. Further radiators equipment and manufacturing process to complete the mass production of condensers；

2. Existing customer orders growth and new customer development for radiators；

3. Cooperation and development of cross-field application products；

4. The capacity of both sides of the strait are increased and overseas manufacturing base will be evaluated.；

5. Shortening the delivery time continuously to increase market competitiveness。

18

Future development goals

Thank you