Dear Shareholders,

Looking back on the past year, President Chain Store Corporation (PCSC) continued to move forward with steady, measured steps amid a rapidly evolving business landscape. As each year drew to a close, the warm melody of our "i Sharing Christmas festival” once again resonated throughout cities—a reminder of another year of dedication and progress. 2025 marked the 10th anniversary of "i Sharing," symbolizing our long-standing commitment to giving back to society and enriching the lives of our customers. Our ability to sustain this momentum in a fast-changing environment is a testament to the collective efforts of all our entire team, as well as the resilience and adaptability forged through years of overcoming challenges.

As a around-the-clock lifestyle services provider, PCSC is committed to building a comprehensive platform that meets our customers where they are. Beyond merely offering products and services, we provide a reliable and convenient support system that people can trust. Whether acting as vital "refueling stops" for the "Shovel Supermen" (unsung heroes of the Hualien flood recovery) or serving as safe havens in extreme heat or cold, our role may evolve, but our commitment to the essence of service never wavers.

Driven by the collective efforts of PCSC and its subsidiaries, our consolidated revenue in 2025 reached NT$350.7 billion, with net profit after tax totaling NT$13.3 billion.

Operating Performance
On store operations, 7-ELEVEN Taiwan continues to drive format innovation through retail experimentation. In 2025, we debuted "OPEN! FUNLAND," a new recreational retail concept that integrates IP characters, anime, and pop-culture elements. Furthermore, we launched the first stand-alone flagship for “!+? CAFE RESERVE + TEA”, offering premium, highly customizable tea beverages that elevate the brand.

On digital retail, our smart retail footprint expanded with the launch of X-STORE 9 at National Central University. This location features an upgraded AI-powered "Grab & Go" solution and Taiwan’s first automated micro-fulfillment center for in-store pickups, validating the appeal of smart retail among young consumers in campus settings. We also continued to diversify our retail formats with Taiwan’s first "LOFT SELECT" hybrid lifestyle store. Through our integrated commercial facility operations, we now manage 67 locations across seven key commercial segments, including highway service areas, transportation hubs, and tech campuses. Notably, the fully renovated Qingshui Service Area now offers a distinctive, lifestyle-oriented experience featuring curated brand partnerships, further enriching our service offerings.

On products and services, we remain focused on fresh and ready-to-eat offerings. Our differentiated brands, such as Simple Fit, Veggie Selection, and Star Rated Cuisine, meet customers’ expectations for health, quality, and flavor. The year 2025 marked the 30th anniversary of 7-Eleven Onigiri. From the original pork floss flavor, we have since introduced over 100 varieties inspired by both international and local cuisines. Our self-serve hot food section also expanded, now offering sweet potatoes, steamed corn, tea eggs, humanely sourced braised eggs, and—at select stores—steamed-and-roasted potatoes, giving customers more convenient meal options throughout the day. In our coffee business, CITY PRIMA exceeded 7,000 locations. Through interactive programs such as the "Product Wishing Well," customers participated in product development, leading to viral hits like the "Flip Pudding." This approach improved product success rates while strengthening brand loyalty.

On digital development and membership, 2025 marked a pivotal milestone in deepening member value. Through the “uniopen PRIMA” subscription model, we now offer differentiated membership services that further embed our brand into members’ daily lives. The launch of the Uniopen cobrand credit card integrated the OPENPOINT ecosystem, enabling members to earn and redeem points across a wide range of settings spanning our various businesses. By leveraging a single-entry point to connect multi-service platforms, we not only enhanced the customer experience but also gained deeper customer insights, laying the foundation for the continued optimization of our lifestyle service offerings. Supported by diverse services and channels—including i-Pre-order, i-Group Buy, iOPEN Mall, Smart FUN vending machines, Myship, and delivery services—our toal membership surpassed 19 million, demonstrating the sustained effectiveness of our online-to-offline omnichannel strategy.

As of the end of 2025, PCSC and its subsidiaries operated a combined network of 13,891 stores. Overseas, 7-ELEVEN Philippines expanded its store count to 4,491, deepening its presence in the Visayas and Mindanao regions, while operations in Shanghai and Zhejiang, China grew steadily to exceed 600 stores. In Taiwan, Cosmed accelerated store openings and enhanced store quality, capturing trends in health supplements, skincare, and cosmetics while refining its pharmacy operations and product mix. Starbucks Taiwan reinforced its positioning as a “third place,” creating deeper customer engagement through exclusive experiences. One example was the opening of Taiwan’s first flagship store—Starbucks Reserve DREAM PLAZA Taipei. Books.com launched its first brick-and-mortar store, offering readers a new gathering space with round-the-clock services. Transnet strengthened its offerings for cross-border e-commerce, and independent online store platforms, while expanding into pharmaceutical logistics and warehousing, further improving operational efficiency. DREAM PLAZA officially opened as a new integrated destination, bringing together retail, dining, and lifestyle services across the Group. It also serves as a key platform for observing consumer trends and refining our service design.

As businesses within the group grow steadily, we continue to strengthen the backend infrastructure that supports our overall operations. In 2025, the Xinshi Logistics Park in Tainan became fully operational. As our first 24-hour facility integrating ambient, chilled, and frozen temperature zones, this smart logistics hub significantly enhances our operational stability and scheduling flexibility. By ensuring more timely and accurate product delivery, it provides a robust foundation for our front-end services and market expansion.

Sustainable Development
While pursuing operational growth, we remain committed to embedding sustainability into our corporate governance and daily operations. Our long-term ESG efforts have continued to earn recognition: PCSC remains the only Taiwanese retailer included in the Dow Jones Best-in-Class World Index (DJBICI)—for the sixth consecutive year. We achieved an A rating from MSCI ESG and remain a constituent of both the MSCI and FTSE4Good Index series, among other domestic and international sustainability benchmarks.

On corporate governance, the Sustainability Development Committee and the Integrity, Risk, and Cybersecurity Management Committee—both under the Board—are composed entirely of independent directors, strengthening governance independence and oversight. We have refined our risk management processes and established robust anti-corruption policies. Following the ISO 20400 Sustainable Procurement framework, we continued to optimize supplier management and enhance ESG performance across our supply chain throughout 2025.

On the environmental front, PCSC continues to deepen its commitment to plastics and carbon reduction, food waste management, sustainable procurement, and biodiversity preservation. We expanded our Earth Hour initiative across retail networks in both Taiwan and the Philippines. We deployed high-efficiency smart recyclers, collecting significant volumes of PET bottles and batteries. We also rolled out smart tablets and AI-powered ordering systems across our Taiwan stores to minimize paper consumption and boost operational efficiency.

On the social front, we worked with non-profit organizations to launch emergency fundraising campaigns in response to disasters such as the Myanmar earthquake and the Hualien Guangfu flooding. Beyond financial contributions, we deployed OPEN! Mobile Convenience Stores and mobilized over 100 employees to support community recovery efforts. We also launched Muslim-friendly stores and multilingual services, while continuing to refine workplace policies that reflect our corporate culture of diversity, equity, and inclusion.

Business Prospects
Managing a business is a long journey that demands patience and discipline. In the face of global economic volatility and rapid demographic shifts, PCSC remains committed to our core strategies—innovation, operational excellence, and integration. We continue to diversify our product mix, enhance the digital engagement, and expand our membership ecosystem—meeting customers' evolving needs across all aspects of daily life through our seamlessly integrated online-to-offline service network.

We remain committed to our mission: to be the premier retailer providing unrivaled convenience, while upholding our role as a responsible corporate citizen. We are dedicated to creating sustainable, long-term value for our customers, franchisees, employees, and shareholders. By pursuing a “quadruple-win” strategy that prioritizes all stakeholders—our franchisees, employees, shareholders, and the public—we are making steady progress toward realizing our long-term vision.