Climate Change Data

SIMULA TECHNOLOGY INC.

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:4,895.6322 tCO2e/year (2022)
Scope 1 Emissions:140.0691 tCO2e/year (2022)
Scope 2 Emissions:4,895.6322 tCO2e/year (2022)
Water Consumption:80,277 tons/year (2022)
Waste Generated:117 tons/year (2022)

ESG Focus Areas

  • Environmental Protection
  • Employee Welfare
  • Corporate Governance

Environmental Achievements

  • Reduced greenhouse gas emissions from 5,765.5391 tCO2e/year in 2021 to 4,895.6322 tCO2e/year in 2022. Reduced water consumption from 83,966 tons in 2021 to 80,277 tons in 2022. Reduced business waste from 155.835 tons in 2021 to 117 tons in 2022.
  • Implemented energy-saving policies such as turning off power when not in use and using air compressors for hot water.

Social Achievements

  • Provided various employee welfare measures including labor insurance, health insurance, group insurance, festival gifts, birthday coupons, year-end dinners, wedding and funeral subsidies, meal subsidies, regular medical checkups, and childcare allowance.
  • Implemented comprehensive training programs for employees, totaling 1025 hours in 2022 with 700 participants. Average training hours per employee was 14.64 hours.

Governance Achievements

  • Established an Audit Committee and a Remuneration Committee.
  • Implemented a risk management system and a firewall between the Company and its affiliates.
  • Established operating procedures for handling material information and preventing insider trading.

Climate Goals & Targets

Long-term Goals:
  • Master key technologies and establish technology integration to become a total solution provider.
Medium-term Goals:
  • Develop niche products and markets through Qisda's resources
  • Maintain presence in electric vehicle, smart healthcare, and heavy-duty industrial industries.
Short-term Goals:
  • Automate key product production (ELD, USB4, Pogo, etc.)
  • Promote generalized application of key industry products.

Environmental Challenges

  • Slow inventory turnover from major customers in Q4 2022, resulting in a slight decrease in quarterly shipment amounts.
  • Global economic uncertainties, including geopolitical factors, pandemics, supply chain bottlenecks, inflation, and weak consumer demand.
  • Exchange rate fluctuations impacting revenue and profit.
Mitigation Strategies
  • Actively pursuing high-value-added industries such as automotive, medical, and industrial.
  • Developing automated production methods to reduce costs and increase profits.
  • Maintaining close cooperation with customers to jointly develop new products.
  • Implementing foreign exchange hedging strategies to minimize exchange rate risk.

Supply Chain Management

Responsible Procurement
  • Supplier Management Measures

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather, flooding
Opportunities
  • Development of energy-efficient products