Risk
Management
With a view to boosting corporate governance and responding to the needs of stakeholders, Gamania has established the “Risk Management Committee” in August 2023 upon the approval of the Board of Directors, in order to build a total risk management and control system pursuant to the provisions of the “Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies”to identify and manage risks in all aspects of business administration, and further achieve sustainable management.
To respond to risks in an effective manner, the Auditing Office not only has three lines of defense of internal control in place with the respective roles, functions and scope of responsibilities thereof clearly defined, but also conducts annual audits and prepares an audit progress control sheet and a summary of findings and improvements. These practices help maintain Gamania’s sound corporate image and safeguard businesses against risks to allow more stable growth.
The Company’s Risk Management Committee operates under the authority of the Board of Directors. The Chairman of the Board serves as the Chair of the Committee, while the Chief Financial Officer acts as the convener. The Committee is composed of the highest-ranking executives from each department, who serve as risk management committee members. The Committee assigns personnel from each unit as risk management officers and collaborates with relevant personnel from operational units to implement risk management procedures effectively. The Risk Management Committee meets at least twice a year. It is responsible for establishing the Company’s risk management policies and framework and formulating corresponding risk management strategies and implementation methods based on industry-specific risk characteristics to enhance the effective operation of risk control mechanisms. The Risk Management Committee also regularly reports to the Board on the implementation and overall effectiveness of the risk management system to ensure that operating units effectively implement the system.
Through professional judgment and systematic analysis, the Company regularly identifies and assesses risks that could significantly impact operations, finances, or corporate reputation. This serves as a crucial reference for formulating risk countermeasures and allocating resources, thus enabling early planning to reduce potential impacts. Below are the top two identified risks:
Note: Certain risk items (such as the risk of reduced gaming time) appear under both major risks and emerging risks. Based on its professional judgment, the Risk Management Committee has listed these items in both categories in view of the continuing and potential nature of their impact on the Company.
Based on the Company’s identification of ten material risks, combined with external environmental analysis and reference to emerging risks identified by benchmark enterprises and peers in the same industry, suggestions from risk-responsible supervisors and personnel have been collected to determine the Company’s emerging risks for 2025. Meanwhile, risk mitigation measures are developed and reported to the Risk Management Committee for early planning and response.
