Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Social Responsibility
• Corporate Governance
• Working Environment
• Operational Management
• Public Welfare

Environmental Achievements

• Reduced waste water discharged by approximately 0.66 tons for each RMB10,000 of revenue (from 1.53 tons in 2016 to 0.87 tons in 2017).
• Reduced greenhouse gas emissions by approximately 0.04 tons of carbon dioxide equivalent for each RMB10,000 of revenue (from 0.19 tons in 2016 to 0.15 tons in 2017).
• Replaced high energy consumption and high pollution coal boilers with eco-friendly and energy-efficient boilers (natural gas boilers and electric energy storage boilers).
• Low-NOx combustion retrofit of existing boilers resulting in a >60% decrease in NOx emissions.

Social Achievements

• Organized various employee training sessions covering innovation management, brand strategy, performance management, and interdepartmental communication.
• Established an online learning platform ('E-learning') and WeChat application for employee training.
• Implemented a 'Master-and-Apprentice' talent cultivation model.
• Conducted charitable donations to the earthquake-stricken area in Jiuzhaigou County.
• Provided free clinical services and health consultations to the public.
• Sponsored the Second Session of National Aerobic Dance Competition.

Governance Achievements

• Adopted the principles and standards contained in the Corporate Governance Code (Appendix 14 to the Listing Rules).
• Established a dedicated internal audit department to identify and address risks and violations.
• Strictly followed the “Three Importance and One Large” system for decision-making on important matters.
• Implemented a system for monitoring and complaints channels to encourage employee feedback and reporting of irregularities.
• Board awarded the Green Governance Award.

Climate Goals & Targets

Environmental Challenges

• Potential risks related to product quality and safety.
• Potential risks related to supply chain management.
• Potential risks related to environmental pollution.

Mitigation Strategies

• Implemented strict quality control measures throughout the production process, from raw material procurement to finished product.
• Established supplier management systems, including supplier audits and evaluations.
• Complied with relevant laws and regulations regarding product safety and environmental protection.
• Implemented a system for reporting and monitoring adverse drug reactions.
• Established a risk management and internal control system.

Supply Chain Management

Responsible Procurement

• Established supplier management systems, including Management Regulations about Suppliers of Traditional Chinese Medicine Material, Management Regulations about Suppliers of Raw Material, Auxiliary Ingredient and Packaging Material, Management Regulations about Supplier Audit, Evaluation and Approval.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Environmental, Social and Governance Reporting Guide (Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited)

Third-party Assurance: Deloitte Touche Tohmatsu Certified Public Accountants LLP

Awards & Recognition

• Green Governance Award

Environmental Metrics

ESG Focus Areas

• Working environment
• Operational management
• Public welfare
• Environmental protection

Environmental Achievements

• Reduced exhaust gas pollutants from the source via usage of clean energy including natural gas, solar energy and other measures.
• All major production units are equipped with sewage treatment facilities.
• Emissions of various pollutants meet national and local environmental protection regulations.
• Noises arising from production are kept within standard range.

Social Achievements

• Established labour unions, providing a healthy working environment, smooth training and development path, and a comprehensive compensation and welfare system.
• Actively conducted various public welfare activities to help disadvantaged groups.
• Provided free clinical services and health consultancy, and distributed health-themed brochures.
• Donated medicines to disaster relief efforts.

Governance Achievements

• Adopted the principles and standards contained in the Corporate Governance Code set out in Appendix 14 to the Listing Rules.
• Established three special committees (Audit Committee, Remuneration Committee, and Nomination Committee).
• Strictly complied with “Three Importance and One Large” system.
• Strengthened supervision over managerial staff.
• Carried out anti-corruption education and training.

Climate Goals & Targets

Environmental Challenges

• Policy risk
• Operational risk
• Financial risk
• Potential illegal product promotions and counterfeiting of the Group’s products and Tong Ren Tang brand.

Mitigation Strategies

• Actively reviewed potential effects of identified risks on business operation and finance.
• Established internal audit functions to identify violations and risks.
• Updated risk list and countermeasures semi-annually.
• Established standard and effective risk management and internal monitoring system.
• Carried out a comprehensive self-check to strengthen internal management.
• Formulated the Management System on Internal Supervision Information Feedback.
• Established market observer patrol system to monitor and prevent infringements.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Established supplier management systems (Management Regulations about Suppliers of Traditional Chinese Medicine Material, Management Regulations about Suppliers of Raw Material, Auxiliary Ingredient and Packaging Material, Management Regulations about Supplier Audit, Evaluation and Approval).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited

Certifications: Null

Third-party Assurance: Deloitte Touche Tohmatsu Certified Public Accountants LLP

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Product Quality and Safety
• Employee Well-being
• Environmental Protection
• Social Responsibility
• Corporate Governance

Environmental Achievements

• Reduced pollution emissions in line with national and local environmental regulations.
• Used natural gas, solar energy, and other clean energy sources to reduce pollution.
• Implemented wastewater treatment facilities to treat wastewater from production and daily life.
• Implemented measures to control noise pollution within standard ranges.
• Implemented water recycling and reuse systems.

Social Achievements

• Donated medicines to support epidemic prevention and control.
• Participated in poverty alleviation and charitable activities.
• Provided employee training and development opportunities (1437 training sessions, 20081 participants, 27 hours per employee).
• Maintained 100% labor contract signing rate.
• Provided employee health checkups and supplementary medical insurance.

Governance Achievements

• Improved internal control system.
• Enhanced investor relations management.
• Strictly regulated information disclosure.
• Implemented a robust risk management system.
• Strengthened corporate governance structure.

Climate Goals & Targets

Environmental Challenges

• Impact of the COVID-19 pandemic on production and operations.
• Maintaining supply chain stability.
• Ensuring product quality and safety.

Mitigation Strategies

• Implemented strict epidemic prevention and control measures.
• Strengthened supply chain management and supplier audits.
• Enhanced quality control systems and processes.
• Improved risk management and internal control systems.

Supply Chain Management

Responsible Procurement

• Strict supplier management system based on GMP and relevant regulations.

Climate-Related Risks & Opportunities

Awards & Recognition

• 2021 China Listed Companies Forum Public Welfare Award
• 2021 Annual Sustainable Investment Value Star Company
• 2021 Main Board Star Company
• 2021 Annual TCM Business Quality Enterprise

Environmental Metrics

ESG Focus Areas

• 规范治理
• 产品质量
• 安全环保
• 扶贫捐赠
• 研发创新
• 职业健康安全
• 员工培训与发展
• 践行普惠医疗
• 员工权益及福利
• 社区公益活动
• 供应链管理
• 应对气候变化
• 生物多样性保护
• 绿色低碳发展
• 中医药文化传承

Environmental Achievements

• 100% 达标排放废水、废气
• 100% 合规处置固体废弃物
• 同仁堂科技获评国家级“绿色工厂”
• 2022 年度二氧化碳排放核查报告通过北京市生态环境局审定，2022 年度实际碳排放量 20,144 吨，政府当期核发配额 16,387 吨。公司按照市区两级碳排放管理要求，提前完成配额履约工作。

Social Achievements

• 持续开展药品捐赠活动，累计为张家口、赤峰及乌兰察布捐赠价值约 500 万元的药品
• 开展“同仁关爱防中风”活动
• 开展“中医药文化进校园”系列活动
• 员工社会保险覆盖率 100%
• 举办首届员工运动会

Governance Achievements

• 持续完善法人治理结构，充分发挥民主决策
• 有序推进大品种培育工作，保障经营业绩稳中有增
• 积极实施现金分红，与投资者共享高质量发展红利
• 完善公司治理结构，提升公司经营效率和治理能力
• 规范关联交易行为，保障公司与关联人所发生关联交易的合法性、公允性、合理性

Climate Goals & Targets

Environmental Challenges

• 可能发生的突发环境事件
• 原料药材质量控制
• 供应链稳定性
• 市场竞争加剧
• 人才培养和储备

Mitigation Strategies

• 制定各项突发环境事件应急预案
• 加强对供应商的质量监管，确保为顾客提供安全可靠的产品
• 加强与供应商的沟通合作，优化税务筹划和风险管理
• 加大科研投入力度，进一步激发企业的内生活力
• 制定科学的人才发展规划，招聘多元化人才

Supply Chain Management

Responsible Procurement

• 真种真管政策
• 集中采购数字化系统
• 供应链运营平台

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: 上海证券交易所《上海证券交易所上市公司自律监管指引第1号——规范运作（2023年12月修订）》, 中国社会科学院《中国企业社会责任报告指南（CASS—ESG 5.0）》, 全球报告倡议组织《GRI可持续发展报告标准（GRI Standards）》（2021年版）, 联合国可持续发展目标（SDGs）, 可持续发展会计准则委员会基金会SASB准则, 国务院国资委《关于中央企业履行社会责任的指导意见》

Certifications: 国家高新技术企业认证, 国家级绿色工厂称号（同仁堂科技）

Awards & Recognition

• 2022 年度持续投资价值和社会责任“星”公司
• 2023 年度行业标杆奖最佳医药工业
• 大兴区科普基地（同仁堂股份制药厂大兴生产基地）
• 2023 年度董事会之“星”和持续投资价值“星”公司
• （2023）全国企业党建创新优秀案例
• 北京市属国有控股上市公司 ESG 实践优秀案例
• 国有企业上市公司 ESG· 先锋 100 指数（2023）
• 标杆 2023 年度质量发展力品牌
• 2022-2023 年度北京市青年文明号（公司安牛班组）
• 年度传承创新企业
• 中国百强企业奖
• 最具品牌影响力上市公司
• 第十三届绩效改进论坛第六届企业技控大赛金奖（同仁堂科技）
• 国家级绿色工厂称号（同仁堂科技）
• “年度 ESG 先锋奖” （同仁堂科技）
• “ESG 先锋践行者”称号 （同仁堂科技）