Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Implemented energy and water saving practices, resulting in low consumption levels. Water-efficient sensor taps were installed.
• Recycling of used papers, adoption of energy saving measures, exchange of unsold inventory for new products or credit with major suppliers, adoption of electronics waste disposal procedures and donation of old computers to a school in a remote area of China.

Social Achievements

• Implemented an annual self-appraisal program to provide incentive and motivation to staff.
• Adopted a Restricted Share Unit (RSU) Scheme to reward employee fidelity.
• Provided social insurance and commercial insurance to employees.
• Provided both internal and external training opportunities for various levels of employees.

Governance Achievements

• Established an audit committee.
• Established a remuneration committee.
• Established a nomination committee.
• Adopted a whistleblowing policy.
• Developed an information disclosure policy.

Climate Goals & Targets

Environmental Challenges

• Intense competition in China’s electronic components procurement market.
• Reliance on third-party courier service providers for product delivery.
• Uncertainties regarding the growth and sustained profitability of e-commerce in China.
• Dependence on companies in China that engage in electronics manufacturing.
• Potential challenges in managing relationships with approximately 11,020 suppliers.

Mitigation Strategies

• Expanding SME customer base through social media and new business applications.
• Enhancing the marketplace platform to complement direct sales.
• Improving customer loyalty and increasing purchases per customer.
• Fostering the development of an ecosystem serving the electronics manufacturing value chain.
• Pursuing strategic partnerships and acquisition opportunities.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Open and fair competition to ensure socially responsible and environmentally sustainable suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 to Listing Rules of the Hong Kong Stock Exchange

Third-party Assurance: Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental compliance
• Investment in environmental protection
• Greenhouse gas emissions
• Waste management
• Salary and welfare
• Health and safety protection
• Employee diversity
• Training and career development
• Product safety
• Product quality
• Intellectual property rights
• Supply chain management
• Community development
• Charitable donations and community service

Environmental Achievements

• Reduced air and GHG emissions slightly compared to 2018
• Decreased electricity and petrol usage compared to 2018
• Decreased water usage compared to 2018

Social Achievements

• Implemented an annual self-appraisal program to incentivize employees
• Adopted the Restricted Share Unit (RSU) scheme to reward employee fidelity
• Provided internal transfer opportunities for employees
• Provided free body check-ups for employees annually
• Organized leisure activities for employees to ease work pressure

Governance Achievements

• Received recognition for “Most Valuable Small & Mid-Cap Company of 2018”
• Established various anti-corruption policies, including a whistle-blowing policy and an AMLCFT policy
• Established policies and procedures for handling complaints

Climate Goals & Targets

Environmental Challenges

• Disruptions to supply chains and normal business operations due to the COVID-19 pandemic
• Intense competition in China's electronic components procurement market
• Reliance on third-party courier service providers
• Credit risks associated with providing credit facilities to customers
• Reliance on credit facilities from banks to fund working capital

Mitigation Strategies

• Careful monitoring of ongoing developments to manage risks and respond to market opportunities
• Developing advanced market analytics tools to improve online and offline platforms
• Investing in customer services, order fulfillment, and delivery capabilities
• Developing new complementary services to offer a complete range of products and solutions
• Pursuing strategic partnerships and acquisition opportunities

Supply Chain Management

Supplier Audits: Regular intervals

Responsible Procurement

• Establishing and implementing a policy to ensure the standard of goods and services supplied
• Verifying supplier’s certifications, qualifications and reputation
• Evaluating supplier performance at regular intervals

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited)

Third-party Assurance: Not disclosed

Awards & Recognition

• Most Valuable Small & Mid-Cap Company of 2018