Climate Change Data

Nexteq PLC

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:37,503 kg CO2e (UK)
Total Energy Consumption:164,441 kWh (UK)

ESG Focus Areas

  • Environmental impact reduction
  • Employee well-being
  • Charitable contributions
  • Governance framework improvement
  • Supplier ethical practices

Environmental Achievements

  • Increased use of video conferencing to reduce air travel
  • Over 10% of UK workforce using EVs for commuting
  • Litter collection from beaches in Taiwan

Social Achievements

  • 100% of suppliers signed to Supplier Code of Conduct, 95% audited for compliance
  • UNICEF selected as Charity of the Year, with company donations and fundraising events raising $28,600
  • Employee assistance programs providing access to legal, financial, and counselling services

Governance Achievements

  • Appointment of two new independent non-executive directors
  • Annual Board evaluation process implemented

Climate Goals & Targets

Environmental Challenges

  • Global component shortages impacting production and pricing
  • Supply chain disruptions
  • Competition in the display products market
  • Dependency on key gaming customers
  • Cyber risks
Mitigation Strategies
  • Strategic stock purchase program
  • Negotiation with suppliers and price increases with customers
  • Product redesign and alternative sourcing
  • Diversification of revenue streams through new products and markets
  • Investment in new product categories
  • Enhanced cyber security measures

Supply Chain Management

Supplier Audits: 95% of suppliers audited for compliance

Responsible Procurement
  • Supplier Code of Conduct based on Responsible Business Alliance principles

Climate-Related Risks & Opportunities

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:154,851 kg CO2e
Renewable Energy Share:100% of electricity in UK offices
Total Energy Consumption:727,234 kWh

ESG Focus Areas

  • Climate Action
  • Decent Work and Economic Growth
  • Responsible Consumption and Production
  • Peace, Justice and Strong Institutions
  • Quality Education

Environmental Achievements

  • Company was Carbon Neutral in 2023
  • Procured 100% renewable electricity tariff to reduce market-based emissions
  • Implemented low-cost options such as reducing boiler temperatures, adding solar control reflective window sheets and sensor lighting at UK locations
  • Implemented behavioural change initiatives within the workplace for reduction of emissions

Social Achievements

  • Introduced an employee volunteering policy, exceeding the target of ten days’ volunteering per annum by completing 22 days’ volunteering
  • Set up a charity committee with local representatives from all offices to support local communities and causes
  • Undertook an annual employee engagement survey with a 70% response rate, earning ‘Great Place to Work’ accreditation with 77% positive feedback
  • Implemented a global restructuring programme in December 2023, ensuring employees were treated with empathy and respect, with severance packages exceeding legal requirements and support for finding new roles

Governance Achievements

  • Completed annual strategy review in July 2023
  • Implemented a controls self-assessment programme covering all sites
  • All Directors will stand for re-election annually at the AGM to comply with the revised QCA Corporate Governance Code

Climate Goals & Targets

Long-term Goals:
  • Achieve Net Zero emissions by 2050
Medium-term Goals:
  • Achieve mid-teen adjusted profit before tax margins
  • Double-digit revenue growth
  • Double-digit EPS growth

Environmental Challenges

  • Weakened demand for many of our customers’ end products due to higher interest rates and inflation
  • Geopolitical tensions between Taiwan and China
  • Acute component shortages experienced in the prior two years
  • Highly competitive marketplace for display products
  • Risk of losing key employees
Mitigation Strategies
  • Established a second manufacturing facility in Malaysia
  • Focused on higher value products and a stable operating expense base
  • Unwound working capital tied up in inventory
  • Developed unique solutions that modernise human machine interaction (HMI) and control of broadcast equipment
  • Executive officers are subject to long-term contracts; key staff have contractual arrangements designed to develop and incentivise

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct based on Responsible Business Alliance Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Sustainable Development Goals (SDGs)

UN Sustainable Development Goals

  • Goal 8
  • Goal 12
  • Goal 4
  • Goal 13
  • Goal 16

Alignment to five SDGs identified as material to the business

Awards & Recognition

  • Great Place to Work accreditation