Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Social Responsibility
• Governance

Environmental Achievements

• Installed LED lights, saving RMB 0.296 million annually in electricity costs.
• Implemented waste management procedures leading to effective waste handling.
• Complied with all applicable environmental laws and regulations and emission standards.
• Developed and implemented environmental and social management framework.

Social Achievements

• Maintained a leading position in smart secure payment solutions.
• Provided employees with a fair, safe, healthy, and enjoyable work environment.
• Offered annual free health checks for employees.
• Conducted trainings on confidentiality for all employees.
• No reports of violation of labor laws and regulations.

Governance Achievements

• Established an “Anti-Fraud Whistleblowing Management System”.
• Required all suppliers to comply with the Group’s anti-bribery policy.
• No corruption cases or related violations observed.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Annual assessments of over 100 suppliers

Responsible Procurement

• Supplier Evaluation and Control Procedures considering safety, occupational health, and environmental factors.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 27 to the Listing Rules)

Certifications: ISO 14001, ISO 27001, China UnionPay Quality Management System Certificate

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Environmentally-friendly cards

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Management
• Occupational Health and Safety
• Supply Chain Management
• Anti-Corruption
• Community Investment

Environmental Achievements

• Obtained ISO 14001 environmental management system certification.
• Implemented electricity saving management and regulations system.
• Established new wastewater treatment facility in Zhuhai plant.
• VOCs emissions far below local regulations standards.
• Reduced waste generation through advanced smart card production process.

Social Achievements

• Obtained OHSAS 18001 occupational health and safety management certification.
• Implemented comprehensive internal and external employee training programs.
• No violations of labor laws and regulations reported.
• Supported charitable organizations focusing on poverty alleviation through donations.
• Supported educational programs through partnerships with domestic universities.

Governance Achievements

• Established strict rules governing information confidentiality.
• Implemented Anti-Fraud Whistleblowing Management System.
• No issues relating to bribery, blackmail, fraud, money laundering or any misconduct found.

Climate Goals & Targets

Environmental Challenges

• Minimizing environmental impact from production processes.
• Ensuring occupational health and safety of employees.
• Managing environmental and social risks in the supply chain.

Mitigation Strategies

• Implemented environmental management system guided by ISO 14001.
• Implemented electricity saving measures and wastewater treatment.
• Regularly reviewed partnerships with suppliers to ensure quality and environmental practices.
• Implemented occupational health and safety management system guided by OHSAS 18001.
• Provided comprehensive employee training and safety measures.

Supply Chain Management

Supplier Audits: Regular assessment of existing suppliers; annual assessment for new suppliers.

Responsible Procurement

• Supplier Evaluation and Control Procedures implemented.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: HKEX ESG Reporting Guide

Certifications: ISO 14001, OHSAS 18001, ISO 27001, ISO 9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Environmentally-friendly cards with better decomposable materials.

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environment Protection
• Employee Welfare and Safety
• Supply Chain Management
• Information Security and Privacy
• Anti-corruption
• Community Investment

Environmental Achievements

• Successfully renewed ISO14001 Environmental Management System Certificate
• Implemented waste management system, significantly reducing environmental impact
• Implemented energy efficiency initiatives, reducing energy consumption

Social Achievements

• Successfully renewed ISO27001 Information Security Management System Certificate
• Organized physical examinations for all staff
• Provided training programs for employees on various aspects including human resource management and psychological safety

Governance Achievements

• Established Anti-Fraud Reporting Management System
• Complied with all relevant laws and regulations

Climate Goals & Targets

Environmental Challenges

• Increased electricity and water consumption due to the construction of Zhuhai Fintech Center

Mitigation Strategies

• Implemented stringent project management control procedures for the Zhuhai Fintech Center construction, including measures to reduce resource waste and mitigate environmental damage

Supply Chain Management

Supplier Audits: Initial assessment on new suppliers and annual assessments on existing suppliers

Responsible Procurement

• Supplier Evaluation and Control Procedures

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: HKEX ESG Reporting Guide

Certifications: ISO9001, ISO27001, OHSAS18001

Sustainable Products & Innovation

• Environmentally-friendly cards with better decomposable materials

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Employee Policy
• Operation Management
• Community Contribution
• Supply Chain Management
• Anti-Corruption

Environmental Achievements

• Upgraded VOCs exhaust gas processing system, increasing processing efficiency by 40%
• Gradually replacing high-VOCs printing ink with eco-friendly UV ink
• Successfully renewed ISO14001 Environmental Management System Certificate

Social Achievements

• Successfully renewed ISO45001 Occupational Health and Safety Management System Certificate
• Successfully obtained Intellectual Property Management System Certification in 2019
• Successfully passed the certification of ISO/IEC 20000 IT Service Management System in May 2020
• No work-related fatality occurred in 2020
• No occurrence of any recall of the Group’s products sold or delivered due to safety and health concerns in 2020

Governance Achievements

• Established an effective ESG management framework with responsibilities assigned to the Board, Management, and employees
• Established Anti-Fraud Reporting Management System
• No issues relating to bribery, blackmail, fraud, money laundering or any misconduct which may have a material impact on the Group during the year

Climate Goals & Targets

Environmental Challenges

• Impact of extreme weather events on business continuity
• Reducing resource usage and minimizing environmental impact from operations

Mitigation Strategies

• Developed business continuity plans for natural disasters
• Implemented a series of management procedures for energy and resource consumption control, including timely adjustments to electricity supply and usage, energy-saving projects, regular vehicle inspections, and promotion of public transportation and teleconferencing
• Established environmental management system under ISO14001 standards
• Implemented waste disposal control procedures to reduce waste and mitigate negative environmental impacts

Supply Chain Management

Supplier Audits: Initial assessment on new suppliers and annual assessments on existing suppliers

Responsible Procurement

• Supplier Evaluation and Control Procedures
• Regular supply chain risks assessment

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (super typhoons, floods)

Reporting Standards

Frameworks Used: HKEX ESG Reporting Guide

Certifications: ISO 9001, ISO 27001, ISO 45001, ISO 14001

Sustainable Products & Innovation

• Eco-friendly cards with better decomposable materials

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Employee Policy
• Operation Management
• Community Contribution

Environmental Achievements

• Upgrading VOCs exhaust gas processing system, increasing processing efficiency by 40%
• Successfully renewed the ISO9001 Quality Management System Certificate and ISO27001 Information Security Management System Certificate
• Successfully obtained the Intellectual Property Management System Certification in 2019 and ISO/IEC20000 IT Service Management System certification in 2020, and CMMI L5 certification in 2021

Social Achievements

• Won the Award for Best Corporate Governance (G) Case in the 2021 China Best ESG Selection and the “Outstanding Corporate Social Responsibility Award” in the 9th “Outstanding Corporate Social Responsibility Awards” Selection
• No work-related fatality occurred in the past 3 years and there was no lost day recorded due to work injury
• Launched Goldpac Learning College online, with a total of 284 courses

Governance Achievements

• Established an effective ESG governance structure with clear responsibilities for the Board, Management, and employees
• Implemented anti-corruption training for directors, management, and employees
• No material issues relating to bribery, blackmail, fraud, money laundering or any misconduct

Climate Goals & Targets

Environmental Challenges

• Extreme weather events (super typhoons, floods, epidemics) posing risks to assets and operations
• Long-term climate shifts (chronic heat waves, rising sea levels) impacting data center cooling demands
• Policy and legal risks from carbon peak and carbon neutrality measures
• Market risks from failing to meet growing demand for green products

Mitigation Strategies

• Developed business continuity plans for natural disasters
• Closely monitor climate change related trends, policies and regulations
• Developed a number of “eco-friendly cards” and implemented a number of projects
• Actively monitor climate change issues, continuously assess related risks and opportunities, and take actions to control risks and seize opportunities

Supply Chain Management

Supplier Audits: 37 new supplier assessments conducted

Responsible Procurement

• Supplier Evaluation and Control Procedures
• Anti-corruption commitment from suppliers
• Environmental and health considerations in procurement

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (super typhoons, floods, epidemics)
• Chronic heat waves and rising sea levels

Transition Risks

• Policy and legal risks from carbon peak and carbon neutrality measures
• Market risks from failing to meet growing demand for green products

Opportunities

• Development of energy-efficient products and eco-friendly cards

Reporting Standards

Frameworks Used: Hong Kong Stock Exchange ESG Reporting Guide

Certifications: ISO9001, ISO27001, ISO/IEC20000, CMMI L5, OHSAS18001 (upgraded to ISO45001)

Sustainable Products & Innovation

• Fingerprint biometric smartcard
• Cryptocurrency hardware wallet
• Eco-friendly card

Awards & Recognition

• Award for Best Corporate Governance (G) Case in the 2021 China Best ESG Selection
• Outstanding Corporate Social Responsibility Award in the 9th Outstanding Corporate Social Responsibility Awards Selection
• 2020 Zhuhai Best Software Technology Innovation Product (GoldAudit)