財務績效 | 裕隆汽車ESG

Financial Performance

Significance to Yulon Motor	We are committed to becoming a leader in the mobility value chain in the Chinese-speaking markets, so we have developed a service system that leads to the growth of economic profit and sales and strengthen our ability in asset management from the existing manufacturing model. As a result, we increase the Company’s competitiveness and provide a wider range of service value for stakeholders.
Policy and commitment	Under the trend of EV development, Yulon Motor continues to provide turnkey solutions for targeted global clients with the new business model of open platform and resource sharing to improve and stabilize its profitability. Yulon Motor has been active in the energy storage market and developing the green energy business platform in order to lead the trend of green transportation and energy, and this multi-dimensional and breakthrough business deployment will lead to the outstanding of the Company.
Goals	Short-term (2023-2024) To boost ability in smart manufacturing and new vehicle development and management, implement preventive quality management, and ensure new vehicle development timeline using digital billboards. To coordinate partners in the development of large power plants and to participate in Taipower’s ancillary service market To improve credit rating and lower the capital costs for developing manufacturing services and investing in energy storage business Medium-term (2025-2026) To improve communication efficiency between the Company and external personnel To keep close relations with capital market in order to increase the number of diverse funding channels and seek appropriate investment targets Long-term (after 2027) To root in Taiwan and aim at the world; to keep the most essential and critical R&D technologies and resources in Taiwan for both the existing manufacturing services and energy storage products that we have been actively involved in.
Achievement in the previous year	Goals of the previous year Achievement 1.On-time development of new vehicles: Nissan Kicks, Luxgen URX NEO 2.Operating revenue: NT$25,046,000 thousand 3.Diversification through new business development 1.On-time mass production and launch of new models: Nissan Kicks in Q3, Luxgen URX NEO in Q4 2.Operating revenue: NT$22,410,000 thousand with an 89.5% achievement rate mainly due to material shortage during the pandemic resulting in underperformed sales volume 3.Diversification through new business development: continued to develop the energy storage business
Responsible unit	Manufacturing service department, Business development department and Finance planning department
Specific actions	Used the preventive quality management approach and information billboards to reflect the timeline of new cars development in real time, so as to enhance management abilities in smart manufacturing and new cars development Lowered the capital costs for developing manufacturing services and investing in energy storage business so as to increase the credit rating

Challenges in the market

In 2022, due to the systemic risks such as the Russia–Ukraine war, the chip shortage in automotive supply chain and global inflation, the car prices went up in correlation with the costs of car materials. Impacted by both rising car prices and car shortage, the number of newly registered cars in 2022 dropped to 415 thousand from 435 thousand in 2021. Among which, the two major brands NISSAN and LUXGEN under Yulon Motor held the market shares of 6% and 0.6% in 2022, respectively. Looking forward to 2023, with the easing of the pandemic, the steady economic recovery and the supply of homemade cars more stable than that of imported cars, the local car market is estimated to have a scale of 450,000 cars sold for the whole year. Meanwhile, the Mainland China market already had 26.86 million cars sold last year and is expected to reach about 27.66 million cars sold this year. Yulon Motor will continue to actively boost the soundness of its business, create new business models and seek stable growth.

Production value and sales of Yulon Motor (Standalone)

Year/item	Yield (vehicle)	Output value (NTD thousand)	Sales volume (vehicle)	Sales value (NTD thousand)
2020	37,929	16,472,125	39,443	27,066,443
2021	30,460	13,858,110	31,928	22,637,485
2022	24,962	11,883,242	27,687	20,705,668

Operating revenues of Yulon Motor and its significant subsidiaries, and which as a percentage to the Group’s consolidated operating revenue

Unit: Thousand NTD

Year/company	Yulon Motor Co., Ltd.		Other (Luxgen Motor Co., Ltd.)		Others (Yulon Finance Corporation)
Year/company	Revenues	Proportion %	Revenues	Proportion %	Revenues	Proportion %
2020	28,271,894	34.23%	9,225,117	11.17%	29,632,864	35.88%
2021	24,310,315	31.15%	7,743,105	9.92%	31,962,181	40.95%
2022	22,410,271	29.07%	5,396,886	7.00%	36,556,719	47.43%

Consolidated condensed statement of comprehensive income of Yulon Motor

Unit: Thousand NTD

Item/company	Yulon Motor Co., Ltd.
Operating revenues	77,079,263
Gross profit (residual economic value)	27,456,297
Operating profit and loss	10,106,173
Gain or loss in current period	(1,188,037)
Payments to contributors	1,488,710
Earnings per share (NT$)	($4.80)
Employee salary and welfare	9,532,918
Payments (taxes) to government	81,000

Future business development plan

Timeline	Program	Description
Short-term development plan	1. Automobile value chain strategic transformation	1. Asset-light model and efficiency: the brand Luxgen is operated under an asset-light model, which integrates functional units in the value chain to improve operational efficiency. 2. Full opening up and diversified OEM: In response to the market demand and to achieve economies of scale, Yulon Motor is actively engaged in value chain strategic transformation, opening up its operations to get diversified customers and promoting its professional OEM services.
	2. Multi-brand manufacturing	To build a more comprehensive and mature product portfolio, effectively lift the capacity utilization rate and lower production costs, we will continue to make use of the resources shared within the entire value chain of Yulon Group while satisfying the new generation’s demands for cars in all aspects.
	3. Increase the satisfaction level of manufacturing services	We are committed to the enhancement of manufacturing quality, costs, delivery and service satisfaction of each brand and wishes to become the best professional automobile manufacturer who can create a win-win-win situation among the brands, Yulon Motors and consumers by furnishing the most competitive manufacturing quality.
	4. Activation of asset utilization	The YES!LIFE development project in Xindian was licensed in February 2022 and officially open for business in the second half of 2023.
	5. Internal process improvement	Continues to improve the effectiveness of risk management, control and monitoring processes through internal process improvement and audits. We also use the Kernel Objectives Management (KOM) system to grasp the implementation status of each department’s objectives, and hygiene to effectively improve the Company’s operational management performance and quality.
	6. Quality resource integration	Connecting the industrial supply chain with the assembly factory as the center, we will take the initiative to visit the suppliers for quality management, implement a comprehensive quality management system, form the operation mechanism of the quality value chain, and adopt a two-way control mode to drive the overall industrial value chain.
Long-term development plan	1.Alliances with ICT industry, solutions and eco-system services	1.Through the joint venture, Foxtron Vehicle Technologies, which the Company established with Hon Hai, we promote the new business model of MIH open platform and sharing in the global automobile industry, combining the complementary of both companies in vehicle research and development and ICT industry resources to provide overall solutions to our target customers. 2.With the advanced open platform and shared resources of JV, Luxgen will continue to cultivate its private brand, focus on brand sales and channels, and launch new products that are competitive and meet market demand.
Long-term development plan	2. Value chain strategic transformation and diversified manufacturing services	We will seek opportunities of collaboration other than four-wheeled passenger vehicles, including three-wheeled heavy motorcycle and energy storage container, and continuously assess and find other OEM opportunities.

Ethical Governance

Financial Performance

Financial Performance

Challenges in the market

Production value and sales of Yulon Motor (Standalone)

Operating revenues of Yulon Motor and its significant subsidiaries, and which as a percentage to the Group’s consolidated operating revenue

Consolidated condensed statement of comprehensive income of Yulon Motor

Future business development plan