Reflecting on 2025, capital market evaluations and investor engagement shifted from traditional business strategy and financial performance toward ESG risk tracking and sustainability-focused engagement, driven by growing sustainability awareness and stricter regulatory expectations.

Challenges Facing Traditional Communication: Structural changes in capital flows 

As global capital shifts to emerging technology stocks, traditional industries face mounting capital allocation pressure. Declining investor engagement and the limits of financial data are prompting investors to reassess traditional industry value.

Opportunities to Transform: ESG Engagement as the means of profound dialogues

Despite declining in-person visits, FENC sees strong momentum in ESG engagement, which is experiencing exponential growth compared with past years.

1. Engagement Events During Reporting Year： In 2025, 24 ESG engagement events were held as in-depth communication efforts with investors, including formal emails, phone calls, investor conferences, shareholder meetings and press conferences with the Taiwan Stock Exchange Corporation.
2. Engagement Format：Formal emails, phone calls, investor conferences, shareholder meetings and press conferences with the Taiwan Stock Exchange Corporation.
3. Engagement Target：Domestic life, property and casualty insurance companies, banks, investment trusts, securities firms and media.
4. Communication Level： Management

Investor Concern	Key Point of FENC’s Response
Primary focus on the progress of risk control and improvement following occupational incidents at FENC sites	FENC fundamentally improves safety across all FENC production sites by incorporating AI-powered early warning; conducting comprehensive review and refinement of equipment and facilities; integrating management systems. In addition, the Company encourages the reporting of near-misses as part of its culture to enhance the fundamental safety at all plants.
FENC’s past R&D in alternative low-carbon raw materials, operational performance and future plans	FENC develops recycling technologies that tackle waste from the land, ocean and air,  creating circular applications for waste PET bottles and fibers by transforming them into high-end products. In the future, FENC will continue developing carbon capture technologies to convert factory waste gas into innovative raw materials.
FENC’s evaluation mechanism, regular audit and improvement plan for suppliers’ sustainability performance	FENC’s suppliers are required to sign the Supplier Code of Conduct and Corporate Social Responsibility Commitment Statement, and critical suppliers are required to complete the supplier ESG survey. On-site inspections and quarterly audits and meetings are conducted. FENC adopts a dynamic management approach that prioritizes coaching with contract termination as an option.
ESG assessments, a core aspect of investors’ due diligence due to the influence of the  Reference Guidelines for Recognition of Sustainable Economic Activities	Currently, in terms of standards concerning the industries in which FENC is involved, the coverage of the Reference Guidelines for Recognition of Sustainable Economic Activities is limited. It also does not cover overseas production and revenues. Thus, the applicability is low. However, FENC will align the disclosure of its sustainable economic activities with future regulatory amendments approved by the authority.