1. Solid State System (3S) Y2016 Forth Quarter Investor Conference
鑫創科技：3259
Y2016 Forth Quarter
Investor Conference
Mar. 9, 2017

2. Agenda
Q4 FY16 Financial Results
Q1 FY17 Guidance
Q&A

3. Safe Harbor Statement

4. Q4 FY16 Income Statement 4Q16 3Q16 4Q15 QoQ(%) YoY(%) Sales 168,591
NT$K
4Q16
3Q16
4Q15
QoQ(%)
YoY(%)
Sales
168,591
166,998
116,560 1 45
Gross Profit
66,215
51,521
35,861 29 85
Selling Expenses
15,479
17,343
14,620
G&A Expenses
7,546
8,462
9,804
R&D Expenses
44,920
47,585
51,502
Operating Income
(1,730)
(21,869)
(40,065) 92 96
Non-operating Income& Exp.
1,781
439
1,301
Income Before Tax 51
(21,430)
(38,764)
Net Income
6,297
(33,871)
129
119
EPS(NT$)
0.07
(0.27)
(0.42)
Weighted Avg. Outstanding Shares
80,860

5. FY16 Income Statement 2016 2015 YoY(%) Sales 643,069 482,374 33
NT$K
2016
2015
YoY(%)
Sales
643,069
482,374 33
Gross Profit
213,784
147,304 45
Selling Expenses
67,610
61,129
G&A Expenses
33,263
38,032
R&D Expenses
193,313
223,132
Operating Income
(80,402)
(174,989) 54
Non-operating Income& Exp.
4,099
6,034
Income Before Tax
(76,303)
(168,955)
Net Income
(70,057)
(164,062) 57
EPS(NT$)
(0.87)
(2.17)
Weighted Avg. Outstanding Shares
80,860
75,709

6. Q4 FY16 Balance Sheet Summary
NT$K
4Q16
3Q16
4Q15
Current Assets
463,045
487,797
561,876
Cash and Cash Equivalents
69,684
103,205
184,340
Accounts Receivable
72,462
64,079
50,964
Inventory
124,440
124,223
129,665
Other Financial Assets – Current
188,754
187,339
187,550
Other Current Assets
7,705
8,951
9,357
Non-current Assets
262,871
255,364
271,955
Total Assets
725,916
743,161
833,831
Total Liabilities
59,299
83,913
98,229
Total Stockholders' Equity
666,617
659,248
735,602

7. Q4 FY16 Cash Flow Summary 4Q16 3Q16 4Q15 Operating Cash Flow (6,550)
NT$K
4Q16
3Q16
4Q15
Operating Cash Flow
(6,550)
(15,934)
(43,482)
Investment Cash Flow
(8,971)
(5,678)
7,804
Financing Cash Flow
(18,000)
16,950 -
Net increase in Cash & Equivalents
(33,521)
(4,662)
(35,678)
Cash & Equivalents at the Beginning of the Period
103,205
107,867
220,018
Cash & Equivalents at the End of the Period
69,684(Note)
184,340
Note：Time deposits with original maturities of more than three months amounting
to $170 Million as of December 31,2016.

8. Q1 FY17 Guidance
Based on our current business outlook, the Company expects:
Consolidated Q1 revenue will be Lower than Q4
Consolidated Q1 gross profit margin will be Lower than Q4
Consolidated Q1 operating profit will be Lower than Q4

9. Solid State System：3259 Contact Us (Investors)：03-552-6533
Solid State System：3259