Communication between Audit Committee, Independent Directors, and the Chief Internal Auditor:

• • After submitting the audit report and follow-up report, the Chief Internal Auditor hands over audit items for review to all independent directors before the end of following month. Should independent directors be interested in further understanding of the status of the audit and follow-up results, they would contact the Chief Internal Auditor at any time. The Chief Internal Auditor would sit in board meetings to report the audit findings and to answer questions. Accountants maintain good communication with each audit committee member and would also sit in board meetings to answer questions when necessary.
• • Aside from attending Audit Committee meetings and answering questions, the Chief Internal Auditor also had separate interviews with each independent director. A total of four interviews were held in FY2025. At the interviews, the Chief Internal Auditor reported the audit progress and details regarding audit implementation.
• Summaries of interviews are as follows:

Items	Description	Names of independent directors interviewed, time of interview, and suggestions
		Hung Ching Lee	Dr. Pisin Chen	Chi Chih Lu	Wan Wan Lin
		2025.01.06	2025.05.16	2025.07.30	2025.11.14
Description of the audit plan	Audit plan for the parent company and each subsidiary for the current year was submitted to the independent directors for review and suggestion on additional audit items.	NA	NA	NA	NA
Description of work progress	Describe audit team’s auditing items, methods, and progress prior to the review meeting.	NA	NA	NA	NA
Description of audit progress	• Audit plan was submitted to the independent directors for review. • As of the end of this interview, no major flaws were identified in FY2025 planned audits.	NA	NA	NA	NA
Other discussion items	• Suggestions or items that require further attention in auditing. • Other recommendations or corrections to be made.	NA	NA	NA	NA

• Relevant works have been enclosed in the annual audit plan, as well as the regular and irregular execution items. No significant anomalies or violations were found during the annual audit this year. Therefore, there was no matter to be reported to independent directors immediately.

Communication Between Independent Directors and Accountants:

Date	Attendees	Communication Items	Explanation From Accountants
2025/12/18	• Independent Directors: Hung Ching Lee Wan Wan Lin Chi Chih Lu • CPA: Tsao Jen Wu Shu-Ling Lien • Chief Internal Auditor: Pei-Ming Chen • Corporate Governance Officer: Tracy Li • Finance Center: Chao-Chin Hsu Hsin-Yi Chien	CPA Mr. Wu: Brief overview of the amendments to financial reporting under IFRS 18	• The regulatory authorities originally scheduled implementation for 2027, with the legislative intent to supersede IAS 1. However, considering practical implementation factors, the mandatory adoption is now deferred to 2028, with retrospective adjustments starting in 2027. For overseas subsidiaries, the applicable adoption years still need to be closely monitored. Should the host country adhere to the original timeline, then dual financial statements should be prepared to satisfy the consolidation requirements for the parent company. • To address investor needs and enhance the consistency, comparability, and transparency of corporate financial statements, subsequent alignments and amendments to domestic regulations, such as the Regulations Governing the Preparation of Financial Reports by Securities Issuers (hereinafter referred to as the "Regulations"), are required. Consequently, the specific details remain subject to further verification and confirmation. • There will be major changes to financial reporting and disclosure requirements, which differ materially from existing standards: - Statement of Profit or Loss: This area will experience the most significant impact as the overall structure is redesigned into five primary categories: Operating, Investing, Financing, Income Taxes, and Discontinued Operations. Among these, the first three categories are newly defined. Revenues and expenses will be reclassified into these categories using an income-oriented approach, bringing disclosures closer to the presentation format of the Statement of Cash Flows. - Statement of Financial Position: The primary change pertains to Goodwill as its nature is intangible assets, which is different from tangible assets, therefore Goodwill must now be disclosed separately. - Statement of Cash Flows: The starting point for the indirect method reconciliation will shift from “Profit Before Tax” to “Operating Profit.” Classification criteria must be adjusted to ensure consistency with the new categories in the Statement of Profit or Loss. - Statement of Changes in Equity: changes are relatively limited in scope. - Notes to the Financial Statements: if operating expenses are presented by function, then additional disclosures into the five specific nature expenses must be disclosed, including depreciation, amortization, employee benefits, impairment losses of non-financial assets, and inventory write-downs/reversals. The latter two nature expenses categories are newly added requirements. The disclosure must encompass the portion recognized as expenses but also the portion capitalized as assets. Furthermore, a new disclosure requirement for Management-defined Performance Measures (MPMs) is included, which must include the specific metrics, definitions of valuation, and a clear explanation of the calculation methodologies for all related data. - Supplemental notes on Statement of Profit or Loss: the reform introduces pivotal changes to the Statement of Profit or Loss. The classification of income and expenses now depends on the entity’s main business activities, with items categorized into three new primary categories, including Operating, Investing, and Financing. This replaces the traditional distinction between "Operating" and "Non-operating" income line items. For instance, Operating Profit will be clearly defined into “Operating”, “Financing”, and “Income Taxes” categories. Share of profit or loss from equity-method investees must now be consistently classified within the “Investing” category. Classifying gains and losses based on the nature of the income source will necessitate significant adjustments to Company’s accounting systems and the Chart of Accounts (COA). These changes will also extend to the calculation methodologies of financial ratios disclosed on MOPS. Lastly, the treatment of foreign exchange gains and losses has become a focal point of discussion. Impacts on export-oriented companies are more significant, as FX gains and losses must now be disaggregated and allocated to their respective categories based on the underlying cause of the transaction.
		Independent Director Mr. Lu: How will the presentation of foreign exchange gains and losses be adjusted? Are there differences between long-term and short-term investments?	CPA Mr. Wu & CPA Ms. Lien: • Foreign exchange gains and losses must be classified according to their source. Long-term and short-term investments are both categorized under the “Investing” category, with no significant distinction between the two. FX gains and losses from borrowings are also classified under Investing; however, FX related AP/AR from operations are allocated to the “Operating” category. Consequently, FX gains and losses must be disaggregated by source in advance, and the accounting system must also make the corresponding adjustments.
		Independent Director Ms. Lin: The adjustment poses a more significant impact on the financial industry, making it challenging to complete the transition on schedule. In contrast, the complexity for the manufacturing sector is relatively lower. What are the differences in accounting treatments between the Operating and Investing categories? Specifically, should items be recognized on a gross basis or a net basis? It appears that the existing standards have not been updated in conjunction with the implementation of the new standard. Is this the case?	CPA Mr. Wu & CPA Ms. Lien: • Revenue is presented on gross basis, while investing and financing activities are presented on net basis. Currently, the Regulations have not yet been amended (no amendments have been made as of now, an initial draft may be expected next year). We will continue to monitor the progress closely. • The disparity between the new accounting treatments and the traditional financial reporting will inevitably impact the structure of internal management reports. A far greater challenge lies in aligning these changes with management's specific needs and reading habits. • The regulatory updates still require the integration of existing laws and regulations. This case involves multi-party consultations and negotiations between the IFRS Committee, the Top Four accounting firms, as well as relevant regulatory bodies. Numerous implementation details remain to be clarified, such as the categorization of FX, and the consolidated presentation of subsidiaries with different functional currencies. Our accounting firm will continue to monitor regulatory developments closely to develop responsive strategies and recommendations. • The alignment of management reporting poses another significant challenge for the Company, as the new presentation format departs from the traditional methods that management is accustomed to.
		Independent Director Mr. Lee: How do CPA firms align their services with regulatory timelines to best assist companies with compliance? What internal mechanisms are employed within the firm to maintain auditing quality?	CPA Mr. Wu: First of all, strengthen education and training: • External Communication: inform customers in advance of regulatory changes or implementation progress. Collaborate with customers to co-develop contingency plans. • Internal Communication: have partners and relevant personnel to engage in consultations and participate in regulatory training courses. As the regulations have not yet been finalized, establishing an internal communication platform and dedicated section is recommended to provide regulatory updates and facilitate discussions. Lastly, from system integration prospective: • Having gone through the IFRS adoption, Quanta has established solid response mechanisms and capabilities. The accounting personnel possess extensive experience and professional competence. Aided by our CPA firm's routine meetings and ongoing communications, we trust necessary reminders and discussions are all well communicated. We thus anticipate smooth coordination and alignment. • From the perspective of systems level integration, Quanta is a high-tech company that possesses sufficient technical capabilities to adapt changes. Our firm has already aligned with Quanta’s IT team’s requirements to intensify the discussions over necessary adjustments and corresponding measures starting in 2026.
		Independent Director Mr. Lee: Having served our company for many years, what key areas of improvement would you recommend Quanta to focus on?	CPA Mr. Wu: In light of the company's rapid expansion, the oversight of Quanta’s subsidiaries, particularly those overseas, has become increasingly critical. Consequently, there may be room for improvement on the integration of cross-border regulations and the recruitment of specialized personnel. Beyond the parent company, subsidiaries must also develop sufficient adaptive capabilities, we thus recommend Quanta may seek assistance from external professional institutions when necessary.