Climate Change Data

Environmental Metrics

ESG Focus Areas

• Preventive healthcare
• Affordable and accessible healthcare
• Environmental sustainability
• Social responsibility
• Employee well-being
• Community development

Environmental Achievements

• Installed 232 KW rooftop solar power plant in Central Processing Laboratory and 65 KW in Corporate Office, ensuring 15% to 20% of total power consumption from renewable sources.
• Implemented Standard Operating Procedures for waste management to ensure proper separation, handling, storage and transportation of bio-medical wastes.

Social Achievements

• Processed over 1,85,000 COVID-19 tests in India by August 15, 2020.
• Played a significant role in containing the spread of COVID-19 in Dharavi slums, Mumbai.
• Distributed about 1,00,000 food packets to migrants, poor and their families during the COVID-19 pandemic.
• Provided free facemasks, sanitizers, face shields and PPE kits to various sections of society.
• Conducted a sustaining awareness campaign through television channels and newspapers about COVID-19.
• Introduced various channels such as Online clients (OLCs), BTECHs (Blood collection technician), Blood collection technician online clients (BOLCs) and Last mile executives (LMEs) to ensure wider, cost effective and timely service offerings to its patients.

Governance Achievements

• Full compliance with the requirements of Corporate Governance under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
• Established a Vigil Mechanism (Whistle Blower Policy) to report unethical behaviour, fraud, or violation of the Company’s Code of Conduct.
• Constituted a Corporate Social Responsibility Committee, Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee, and Risk Management Committee.

Climate Goals & Targets

Environmental Challenges

• Muted macroeconomy scenario due to liquidity crisis and weak global markets.
• Weak consumer sentiment and lower discretionary spending.
• COVID-19 pandemic and subsequent lockdown, leading to restrictions in movement of patients and specimens.
• Suspension of operations at Surat, Vadodara, and Jaipur centres of subsidiary Nueclear Healthcare Limited due to disputes with partners.
• Inability to scale business faster in newly opened Bengaluru and Coimbatore centres of Nueclear Healthcare Limited.

Mitigation Strategies

• Unique business model of operating in the B2B segment.
• Sustained focus on sticking to the basics and core strengths.
• Performing COVID-19 tests using RT-PCR technology, opening a new revenue stream.
• Taking corrective measures to minimise the damage caused by COVID-19.
• Maintaining a strong financial position with enough liquidity and no major fixed costs.
• Deepening regional penetration by onboarding smaller laboratories, dispensaries, clinics, hospitals and doctors.
• Expanding regional presence to 11 centres, adding two more regional processing laboratories at Bhubaneswar and Pune.
• Building own supply/service chain by inducting technicians and executives.
• Expanding offerings to widen addressable target population (e.g., Tuberculosis business).

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• CSR
• Employee Well-being
• Pandemic Response

Environmental Achievements

• Plans to install solar systems in Hyderabad, Delhi, and Gurugram laboratories; replacing conventional HVAC systems with energy-efficient VRF/VFD systems (30% more efficient).

Social Achievements

• Financial support to school students through scholarships and free lunches; distribution of raincoats to flood victims; vocational skill improvement plans; pensions to the elderly; COVID-19 related expenses; Total training man-hours exceeding 64,764; funding for employee higher education; share-based benefits for employees; work-from-home option for 60% of employees during the pandemic.

Governance Achievements

• Compliance with SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015; Board consists of seven directors (three promoter-directors, including a woman director, and four independent directors, including one independent woman director); regular board meetings; established a Vigil Mechanism (Whistle Blower Policy); formed a committee to address sexual harassment complaints; Secretarial Audit conducted.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and subsequent lockdowns impacting non-COVID business (especially wellness) in the first two quarters; stringent price regulations on COVID testing; major setback for radiology business (Nueclear Healthcare) due to lockdowns and prioritization of COVID testing.

Mitigation Strategies

• Proactive investment in HR, testing infrastructure, and network expansion; establishment of COVID processing laboratories; expansion of COVID testing lab capacity; revival of Nueclear Healthcare business; work with healthcare startups and online pharmacies to amplify home service orders; plans for four zonal processing laboratories and addition of 10 more RPLs; aggressive expansion of franchisee network.

Supply Chain Management

Responsible Procurement

• Use of ICMR-approved kits for COVID-19 testing; adherence to protocols provided by vendors and/or ICMR.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Indian Accounting Standards (Ind AS)

Certifications: College of American Pathologists (CAP), National Accreditation Board for Testing and Calibration Laboratories (NABL), ISO

Third-party Assurance: B S R & Co. LLP

Environmental Metrics

ESG Focus Areas

• Quality
• Environment
• Employee Well-being
• Community Engagement

Environmental Achievements

• Increased NABL accredited labs from 6 to 20
• 85% of samples processed in NABL accredited labs in March 2023
• Installed solar panels in three labs and registered office
• 25 labs have ETP installed
• Installed Sewage Treatment Plant at corporate office

Social Achievements

• Launched plus and pro series in Aarogyam package
• Introduced Aarogyam 24x7 non-fasting packages
• Launched Jaanch investigative packages
• Engaged with regional celebrities to create awareness about diabetes testing
• 42,936 learning hours clocked for employee development
• 658 employees hired, 45% freshers

Governance Achievements

• Appointment of Mr. Rahul Guha as Managing Director and Chief Executive Officer
• Reconstitution of Audit, Nomination & Remuneration, Stakeholder Relationship, and Risk Management Committees
• No penalties or strictures imposed by Stock Exchanges or SEBI

Climate Goals & Targets

Environmental Challenges

• Highly competitive and fragmented industry
• Negative publicity or harm to reputation
• Disruption in lab operations
• Delay or interruption in sample transportation
• Failure to attract and retain authorized service providers
• Failure of equipment or IT systems
• Changes in technologies
• Operational risk associated with molecular imaging business
• Changing laws, rules, regulations, and government policies

Mitigation Strategies

• Risk management strategies
• Diversifying investments
• Maintaining financial reserves
• Securing insurance coverage
• Conducting regular audits and assessments
• Implementing robust cybersecurity measures
• Employee training on best practices and incident response plans
• Competitive compensation and professional development opportunities
• Fostering a positive work environment
• Prioritizing employee health and safety

Supply Chain Management

Responsible Procurement

• Evaluation of supply chain partners on social and environmental parameters (child labor, human rights, environmental safety)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Ind AS

Certifications: NABL, CAP, ISO

Third-party Assurance: MSKA & Associates, Chartered Accountants

Environmental Metrics

ESG Focus Areas

• Employee Health and Well Being
• Climate Action
• Transparency in Governance
• Talent Management

Environmental Achievements

• Installed solar panels at the Head Office, fulfilling 20% of total energy needs during peak summer hours.
• Transitioned to an industrial electricity category, lowering the unit rate from ₹9 to ₹7.
• Replaced older AC units with energy-efficient VRF AC units.
• Installed effluent treatment plants in labs and sewage treatment plants at the head office.

Social Achievements

• Increased the number of NABL-accredited labs from 15 to 25; by March 2024, 95% of samples were processed in NABL-accredited labs.
• Conducted around 147 million tests (4% YoY growth) and processed around 22 million samples (8% YoY growth).
• Launched the brand ‘Jaanch’ for lifestyle challenges and health understanding.
• Revamped the gynaecology portfolio and relaunched it under the brand name ‘Her Check’.
• Launched the Troponin I Heart Attack Risk Test.
• Acquired 100% of Think Health Care to offer ECG at home services.
• Entered into a Joint Venture Agreement to set up lab operations in Tanzania (operational since April 2024).

Governance Achievements

• Implemented a robust Governance system to address bribery, corruption, and unethical behavior.
• Established a comprehensive Code of Conduct and Whistle Blower Policy.

Climate Goals & Targets

Environmental Challenges

• Highly competitive and fragmented industry.
• Negative publicity or harm to reputation.
• Disruption in lab operations or test offerings.
• Delays or interruptions in sample transportation.
• Failure to attract and retain authorized service providers.
• Equipment, IT, and technological system failures.
• Changes in technologies reducing demand for pathology testing services.
• Operational risks associated with the molecular imaging business.

Mitigation Strategies

• Investing in high-capacity machines and cutting-edge technologies.
• Strengthening the network of RPLs, SPLs, and authorized service providers.
• Increasing the number and service quality of authorized service providers.
• Focusing on private and public partnerships, particularly in TB and infectious diseases.
• Expanding into international markets (Tanzania).

Supply Chain Management

Climate-Related Risks & Opportunities