Chuck Lee

2016/03/02

Hele Electronics Co., Ltd

R&D

A company with complete industrial chain

Production

和乐电子

Marketing

Intelligence/Wireless/Audio

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Wirelessness—extension

of audio

Mono Bluetooth headset

Stereo Bluetooth Headphones

Wired headphones

Bluetooth speaker

Market demands

for wearable intelligent products

Voice control & cellphone companion

Bluetooth functions for healthy sports

(Heart rate, pedometer, temperature monitoring etc.)

Wearable intelligent products for kids

APP+ software extension

Voice remote control of the whole room

Smart homes devices

“Knowing more about

Bluetooh, music and you”Relying on the idea of “knowing more about Bluetooh, music and

you”, QCY products perfectly integrate delicacy, comfort, endurance and cost performance.

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Slogan of QCY:

Just enjoy it !Our products have been popular with and trusted by global

consumers, making QCY No. 1 brand of Bluetooth products in China.

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Company Profile

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R&D team

1215,000

square metres

1,200Max: 40,000

pcs

Over 50 pcs, for QC &

inspection

Production

lines

Plant area

Staff number

Daily capacity

Equip-ment

Over 70members

Organization Chart of R&D Dept.GM

Design Director

Manager

StructuralMgr

Electrionic Mgr

SoftwareMgr

Test Team Leader

PM Design Mgr

Str Engr EE SWE SW Test Tech

APP Engr（IOS）

TEDCC Team

LeaderPE

Str Tech PCB layoutEngr

Asst. Engr Test Tech DCC Clerk NP Engr

Elec Tech

ID Designer UI DesignerCMF

DesignerPackage Designer

APP Engr（Android）

Asst. Designer

Asst. Designer

Asst. Designer

-----------------------------------------------------------------------------------------

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Project Procedures

ID assurance

Appearance prototype

Structure prototype

EP

FEP

PP

MP

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Factory

Modern Production Lines

Production Equipments

Production Equipments

Warehouse

Organization Chart of Quality Dept.

QA Manager

OQC Team Leader

QCSupervisor

IPQC Team Leader

IQCSupervisor

IQC Team Leader

QASupervisor

OQCInspector

IPQC Inspector

IPQC Inspector

IQCTech

-------------

CQE SQE Lab TechPQE

RMA Analysis

Tech

IPQC Team Leader

------------- ClerkClerk

Incoming Inspection Standards

CRI=0 MAJ=0.4 MIN=0.65

AQL（GB/T2828)G-Ⅱ

Production Flow Chart

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Pre-Production Preparation

First ArticleProduction

Regular Production

Product Inspection

PStorageackage &

NG

NG

QC inspection

QC inspection

Working peer wonders, witnessing changeable situation of the industry

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2011 2012 2013 2015

Birth of QCY, sales volume reached 900 thousand pcs

within 3 months

Sales volume reached 4 million pcs at Tmall.com, exceeding foreign brands like Jabra and Plantronics

Sales reached US$11 million,

won “Top Shop Award”of Tmall

No.1 sales volume for 3 successive

years at Tmall.com, No.2 at JD. com.

Sales reached US$24 million

2014

Sales reached US$63 million,

hot selling worldwide

Sales surging for 4 successive years

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Sales of 2012

US$2 million Sales of 2013

US$11 millionA year-on-yeargrowth of 580%

Sales of 2014

US$24 million Sales of 2015

US$63 millionA year-on-yeargrowth of 250%

A year-on-yeargrowth of 200%

Cooperate with Xiaomi to establish Lanmi Science and Technology Co., Ltd.

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Lanmi became core accessory supplier of Xiaomi and finished A

round financing.

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A round valuation : US$5 million

AA round financing：

US$5 milion

A

Powerful supplier chain of QCY

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CSR chipset Mitsubishi antenna ALPS switch RF mic Future Power battery

UK Japan Japan Korea China

International professional certifications

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BQB

CE RoHS

FCC

Public praise coming from high quality

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＞3% 365 days＜1%Avg.RMA of industry

Warranty periodRMA of QCY

Persisting in originality & innovation

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Appearance patentsInventivepatents

Utility modelpatents

9 29 8

QCY is the only brand in China that has gained appearance patentsfor its all products, ensuring marketing rights and interests for all

channels

Worldwide sales network

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Cooperative brands

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Covering middle, high and low end brands of Bluetooth headsets

和乐电子

Middle-end brand High-end brands Low-end brand

Increasing usage scenarios of wireless audio devices

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Man-machine

INTERACTIONTHE SENSOR VOICE CONTROL

Focusing on the future, making plans for developments of home audio and wireless

wear

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Intelligent tools Peripherals

HOME AUDIO WIRELESS WEAR

Future

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Each of our Bluetooth headsets is vigorous with its own story. You can use them toremotely control cellphones, exchange battry power between the two and monitorhealth etc. We are inspired by each other to create intelligentized products for themarket reconstruction of Bluetooth products. With rich brand marketing resources ofQCY, we sincerely invite you to share the great business opportunities andachievements!