Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced water and electricity consumption per unit of product.
• All products passed ROHS testing requirements.

Social Achievements

• Launched "Red Sea Plan 2.0" to support offline merchants.
• Increased employee benefits (health checkups, holiday gifts, etc.)
• Implemented employee satisfaction surveys and acted on feedback.
• Established grievance mechanisms (7*24 hotline, online channels).

Governance Achievements

• Improved internal control system.
• Implemented a new equity incentive plan.
• Complied with relevant laws and regulations regarding corporate governance.

Climate Goals & Targets

Environmental Challenges

• Tight supply chain for core materials, causing product delivery delays and increased costs.
• Increased foreign exchange risk due to higher overseas sales.
• Potential risks associated with the establishment of an insurance company.
• Potential risks associated with the increasing proportion of overseas revenue.

Mitigation Strategies

• Communicated with suppliers and planned production to mitigate material shortages.
• Used forward foreign exchange hedging tools to manage foreign exchange risk.
• Strengthened financial management and risk control systems.
• Diversified revenue streams and expanded into new markets to reduce reliance on any single region.

Supply Chain Management

Responsible Procurement

• Supplier code of conduct

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Company Governance
• Green Production Development
• Rights Protection
• Social Welfare

Environmental Achievements

• Implemented energy-saving and emission-reduction measures, including using energy-efficient equipment in offices and pursuing clean production audits.
• Developed energy-efficient products like smart POS and cloud speakers, reducing resource consumption during production, transportation, and use.

Social Achievements

• Launched a merchant fee reduction program, reducing fees by 54,47.60 million yuan and covering 197 cities.
• Provided various employee benefits, including regular health checkups, holiday gifts, and various activities.
• Actively participated in community service and charitable activities, such as donating to education in impoverished areas and supporting public health initiatives.

Governance Achievements

• Established a robust corporate governance structure with a board of directors, supervisory board, and management team.
• Implemented a comprehensive risk management system and a strong compliance program.
• Improved information disclosure quality, achieving an A-class rating from the Shenzhen Stock Exchange.

Climate Goals & Targets

Environmental Challenges

• Faced challenges due to a complex macroeconomic environment.

Mitigation Strategies

• Seized opportunities for company transformation, expanded into overseas markets, strengthened channel construction, and rapidly iterated products and services.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: 深圳证券交易所《上市公司社会责任指引》, 国务院国资委《关于中央企业履行社会责任的指导意见》, 全球报告倡议组织《可持续发展报告标准（GRI Standards）》, 中国社会科学院《中国企业社会责任报告指南（CASS CSR4.0）》

Certifications: ISO45001, ISO14001, ISO9001, ISO/IEC27001

Sustainable Products & Innovation

• Smart POS
• Cloud speakers
• Aggregate payment products
• Merchant integrated SaaS solutions
• Merchant online marketing solutions

Awards & Recognition

• 专精特新小巨人企业
• 2021年度金融科技行业最佳支付科技成果奖“金松奖”