Multi-axis execution supports the next growth phase

Research evidence excerpt

Multi-axis execution supports the next growth phase

tise across both customized and high-volume EPS (NT$)** 6.04 11.60 16.02 19.45

production. As demand from new applications emerges, we believe it can leverage Prior EPS (NT$)** - - - -

EPS (NT$)§ 6.71 10.68 13.70 16.62

these capabilities across a broader range of end markets. Revenue, net (NT$ mn) 7,823 9,564 11,684 13,289

EBITDA (NT$ mn) 1,697 2,240 2,916 3,450

Multi-axis machining matters: Mgmt highlighted a single multi-axis machine can P/E 18.6 15.7 11.4 9.4

EV/EBITDA 6.2 8.1 6.1 5.0

replace ~6 conventional automatic lathes, significantly reducing production cycle Div yld (%) 3.7 2.3 4.4 6.1

times (e.g., from 3 minutes to 10 seconds) while improving dimensional consistency Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

by reducing intermediate processing steps. Higher output per production footprint framework** = Based on consensus methodology

also enhances scalability and supports mass-production requirements. §e == MorganConsensusStanleydataResearchis providedestimatesby Refinitiv Estimates

What differentiate PMX’s multi-axis machining lines? Beyond equipment

investment, PMX's competitive advantage also reflects years of manufacturing

know-how. This includes process optimization, tooling design, material selection,

and proprietary machine programming, which help improve both productivity and

yield. Importantly, substantial upfront investment requires sufficient equipment

utilization to generate attractive returns, reinforcing barriers to entry that extend Morgan Stanley does and seeks to do business with

beyond technological capabilities alone. companies covered in Morgan Stanley Research. As a result,

investors should be aware that the firm may have a conflict of