龍燈環球農業科技有限公司 股票代號： 4141 2017年第4季法人說明會 2018.03.31

2017 review and 2018 Prospect 回顧與展望 Prepared by: IR / Anderson Date: 2018.03

併購狂潮 AG merger mania Changing Supplier/Customer Landscape DuPont + Dow Bayer + Monsanto BASF + Liberty Link (草銨膦大豆) FMC + SU’s (磺醯脲類) Distributor Mergers across the world 全球經銷商整合 Seed company Mergers across the world 全球種子公司整合 加陽 嘉吉

拉美恢復緩慢 Slower recovery Phillips McDougall 2018.01 國際農作物價格仍在為持在低檔，不利於農民之收益，尤其是巴西市場，通路庫存仍然很高。 Phillips McDougall :On the negative side crop prices remained low, adversely affecting farmer incomes, and product inventories in some markets, notably Brazil, remained high.

公司近年業績概況 Business performance Phillips McDougall 2018.01 2016Q4 & 2017 Jan Feb 2017Q4 & 2018 Jan Feb portion YOY 歐洲 11,562 15,031 13.0% 30.00% 中國區 37,909 46,817 31.2% 23.50% 北美區NAFTA 15,382 18,534 16.3% 20.50% 巴西 25,727 28,223 20.8% 9.70% 阿根廷 10,512 9,954 5.5% -5.30% 拉丁美洲 9,408 8,760 7.4% -6.89% 亞太區 5,416 4,840 3.3% -10.63% 中東非洲 4,669 3,782 2.6% -18.99% TOTAL 120,584 135,943 100% 12.74% 81.3%

Strengths 優勢

中國環保督查風暴 China environmental storm

健安環:品質:工藝流程:銷售庫存與營運計畫 HSE : QUALITY : PROCESSES : SIOP SAP ISO S&OP 龍燈天津作物科技 Quality Products & Services 優質產品和優質服務 Quality Processes & Systems 優質工藝流程和系統 Conduct Portfolio Review Synchronize Forecast and Financial Outlook Demand Planning Inventory Planning Supply Planning Synchronize Supply Capacity Develop S&OP Plan Conduct Executive S&OP Meeting Sales and Operations Planning 1 2 3 4 5 Supply Chain Manufacturing Process Distribution Channels Regional Structures Product Offerings

昆山企業環保信用評價 2017年7月，昆山市政府頒布境內447家參評企業之環保燈號， 其中26家被評為綠色企業，257家被評為藍色企業，131家黃色企業， 26家紅色企業與7家黑色企業。 江蘇龍燈被評為 藍色企業中的第27家，排名略優於國際大廠先正達蘇州廠。 序號 企業名稱 25 南寶樹脂（中國）有限公司 26 光洋化學應用材料科技（昆山）有限公司 27 江蘇龍燈化學有限公司 28 先正達（蘇州）作物保護有限公司 29 昆山龍燈瑞迪製藥有限公司 30 昆山司達福紡織有限公司 綠色表示很好，企業環境管理達到了先進水準； 藍色表示較好，企業環境管理達到了要求； 黃色表示一般，企業污染排放雖然能達到要求，但環境管理力度不夠； 紅色表示較差，污染物排放未達到國家標準，或發生過重大污染事故； 黑色表示很差，企業污染物排放嚴重超過國家標準，對環境造成嚴重影響。

Kunshan Corporate environmental protection credit evaluation 2017 July, Kunshan’s government has announced Environmental protection credit evaluation of 447 Corporates including 26 green level corporates, 257 blue level corporates, 131 yellow level corporates and 7 black level corporates. JRC is rating 27 in blue level corporates, better than Syngenta Suzhou plant .   Campany 25 NANPAO RESINS CHEMICAL GROUP 26 SOLAR Company 27 JiangSu Rotam Chemistry 28 Syngenta (Suzhou) Crop Protection Co., Ltd. 29 Kunshan Rotam Reddy Pharmaceutical Co., Ltd 30 Kunshan Sidafu Textile limited company Green level: Advance, corporate Environmental Management reached the advanced level Blue level: Good, corporate Environmental Management meets the requirements Yellow level: Normal, While corporate pollution emissions can meet the requirements, but environmental management is not enough Red level: Bad, Pollutant discharge has not reached the national standard, or there has been a major pollution accident Black level: Failed, Pollutant emissions from corporates have exceeded the national standards seriously, causing severe environmental impacts

技術引領發展 龍燈技術演變 Rotam technology EVOLUTION 種子和性狀 GM Insects Current business model High quality products Technology Independent Regulatory Manufacturing Core geographies Trait & Seeds Partnerships Agronomic Solutions Other Geographies Base Business Model Precision Ag Bio-Control Agents GM Insects Acto-biotics (iRNA) Bio-stimulants & PN Animal Health 生物刺激素和肥料 生物防治 動物保健 轉基因昆蟲 RNA干擾技術 精准農業 種子和性狀 戰略合作夥伴 農業解決方案 其他地区 基本業務模式

Opportunities 機遇

原材料成本指数 2014 – 2018 Rw index 过去式的生产动态时期 过渡时期 新常态 Abamectin Imidachloprid Methomyl Chlorothalonil Tebuconazole Glyphosate Avg. of 5 ex Glyphosate 過渡時期 中央環保督查和企業停工停產導致極其嚴重的原藥和中間體供應中斷 Supply Disruption of TGAI & intermediates 生產商緊急投鉅資升級工廠和生產設備以滿足HSE規定 Huge Investment to upgrade facilities and be compliant 從原藥、中間體到包材價格迅速上漲 Rapid Price Increases 新常態 一系列化工品將會供小於求，穩定在一個少量缺貨的水準 Stabilizing at small shortage level 市場價格將會反應出生產商為滿足HSE規定投資後的生產成本 Price reflecting true cost 成規模的專業生產商將會是勝利者 Professional Manufacturers of Scale are winners 生產商將會適應從有計劃的穩定的市場需求中獲利 Planned & stable demand

終端市場價格指數 2014 – 2018 Price index China Brazil Europe USA 過渡時期 過去式的生產動態時期 過渡時期 新常態 China Brazil Europe USA 過渡時期 大範圍缺貨和漲價領市場吃驚 Shortage, price increases, surprised 不同市場在不同時機受到影響，這與其管道庫存和季節性的不同相關 Different Markets at different timing (inventory and seasonality) 中國市場最先受到影響，接著是美國市場China is early reflector of change followed by US in 17 & early 18 歐洲市場的影響更多在東歐和南歐於2018年春季到來 EU impact felt more in East/South in spring 18 巴西市場在2017年受到部分影響，主要影響將體現在2018年 Brasil partial effect in 2017 main 2018 新常態 市場價格將反應HSE合規生產商的真實成本，並逐漸供應不足 Market Prices reflect HSE true cost. Undersupply over time 市場將會適應更長的計畫週期，並在季節到來前更早的下訂單 Market accepts longer planning cycle with earlier ordering of Materials vs season. 相對貿易型供應商，市場將更加認可類似龍燈的主流後專利供應商的價值 Market recognizes the value of Mainstream Post Patent suppliers like Rotam over Trading linked Suppliers

全球市場新增登記 NEW REGN. APPROVALS 藥證 內容 Key new approvals in 2017: Congratulations to 3 Key regions created the new records on new approvals! EU:34 , Brazil: 13, China :24, USA: 11 歐洲區 選擇性除草劑 M 取得歐洲區九個國家登記 EU selective herbicide M approved in 9 EU countries. 選擇性除草劑 F 取得歐洲區五個國家登記 EU selective herbicide F approved in 5 EU countries. 非選擇性複配除草劑 G+ D 取得歐洲區兩個國家登記 EU non-selective herbicide G + D approved in 2 EU countries 巴西地區 取得殺蟲劑 P 乳劑、殺蟲劑 F 種衣劑、殺菌劑 P 水懸劑 Brazil insecticide P EC, F FS and fungicide P SC 美國地區 取得殺線蟲劑 O 液劑、選擇性複配除草劑M+R 可濕性粒劑、選擇性複配除草劑 M+A+M 乳劑 USA pesticide for Nematoda O SL, selective herbicide combination M+ R WG, selective herbicide combination M+ A+ M SE 8

歐洲新增登記 NEW REGN. APPROVALS 歐洲藥證 成果 EU new approvals in 2017: 34 選擇性除草劑 M 取得歐洲區九個國家登記 EU selective herbicide M approved in 9 EU countries. 選擇性除草劑 F 取得歐洲區五個國家登記 EU selective herbicide F approved in 5 EU countries. 非選擇性複配除草劑 G+ D 取得歐洲區兩個國家登記 EU non-selective herbicide G + D approved in 2 EU countries EU Market by Product Sector 2016 (%) Rotam EU by Product Sector 2017 (%) Herbicides 43% Insecticides 14% Fungicides 39% Others 4% Fungicides 38% Herbicides 36% Insecticides 26% Phillips McDougall 2017.06

巴西新增登記 NEW REGN. APPROVALS 巴西藥證 成果 Brazil new approvals in 2017: 13 取得殺蟲劑 P 乳劑、殺蟲劑 F 種衣劑、殺菌劑 P 水懸劑 Brazil insecticide P EC, F FS and fungicide P SC Latin America Market by Product Sector 2016 (%) Rotam Latin America by Product Sector 2017(%) Fungicides 12% Herbicides 7% Herbicides 36% Insecticides 81% Insecticides 32% Phillips McDougall 2017.06

中國市場新增登記 NEW REGN. APPROVALS 中國登記 成果 2017年關鍵新增登記 Key new approvals in 2017 24個新增登記創下過去6年來的新記錄 Created the new record on new approvals (24) in past 6 years. 中國區 Herbicide 選擇性除草劑F可濕性粒劑 WG 廣效複配殺菌劑 C +Teb 水懸劑SC Fugicide 殺菌劑 P 可濕性粒劑WG 殺菌劑 I 水乳劑EW 殺菌劑 C 可濕性粒劑WG Insecticide 複配水稻殺蟲劑N+P可濕性粒劑WG 殺線蟲劑 F 水乳劑EW 蔬果複配殺蟲劑L+ C 水懸劑SC 殺蟲劑 F 可濕性粉劑WP 複配殺蟲劑B +I 水懸劑SC 複配殺蟲劑 D +C 油懸劑OD 複配殺蟎劑 A +Et 水懸劑 SC 複配殺蟲劑B +T水懸劑 SC 殺蟲螨劑 C 水劑SC Others 3% Fungicides 22% Herbicides 38% Insecticides 37% Phillips McDougall 2017.06

Exchange RIsk 匯率風險

Variation of BRL had been slow down 巴西經濟趨穩定 More stable of Brazil's economic 巴西幣走勢已回穩 Variation of BRL had been slow down 巴西GDP成長率轉強 GPD had be increased 巴西通貨膨脹率低檔 Lower inflation rate

巴西三大主要出口原料走勢 Price Trend of Major export in Brazil 中國鐵礦砂進口價格緩步回升China's import price of iron ore slight rises 近月布蘭特原油價格走勢 Brent crude oil prices in recent months 芝加哥黃豆價格走勢 Soybean price in CBOT

龍燈--巴西業務策略 Rotam – strategy of Brazil region 控制巴西業務比重 Control the portion of brazil (千美元;K USD) 2014 2015 2016 2017 巴西地區營收 Sales of Brazil 113,011 80,169 61,121 52,015 % 31.98% 23.10% 19.60% 16.59% 維持高毛利率 Maintain High GP Margin -降低低毛利率產品銷售Reduce low GP Margin old product -加強高毛利率新產品的推廣Promote High GP Margin new product.

Argentina sales potion Low Lights / Special Topics (if any) USD/CNY 阿根廷利率 Argentina interest rate 阿根廷佔營收比重 Argentina sales potion 2015 5.26% 2016 7.76% 2017 8.37%

財務及營運概況 Financial & Operating Results

第四季合併損益表 Consolidated P/L (Q4) 2016巴西匯兌金額

2017全年合併損益表 Consolidated P/L (Full year)

地區別銷售 Sales by region 2016 Q4 Sales 2017 Q4 Sales USD 91 M NTD 2.9 Bn

地區別銷售成長 Growth on Sales by Region 2017Q4 over 2016Q4 歐洲 Europe +41% 北美 NAFTA +27% 中國 China +24% 拉丁美洲 Latin America +5%

季度營收 QUARTERLY SALES Sales (NTD’000)

毛利率 GROSS PROFIT MARGIN

費用比率 EXPENSE RATIO

負債比率 GEARING RATIO

負債比率與競爭者比較 GEARING RATIO COMPARE TO COMPETITORS *：2017Full Year results **：Q2(Jul-Sep) ***：New Adama is the combination of Adama and Sanoda in Jun-17, the gearing ratio of Sanoda in 2016 was 32.83% Source：各公司財報

藥證 REGISTRATIONS 藥證相關的無形資產數據：跟Loretta拿

Q&A