Climate Change Data

COMPUGATES HOLDINGS BERHAD

Climate Impact & Sustainability Data (2020, 2023)

Reporting Period: 2020

Environmental Metrics

ESG Focus Areas

  • Economic Performance
  • Managing Our Customers/Dealers
  • Business Conduct
  • Sustainable Business
  • Environmental Laws and Regulations
  • Energy Management
  • Recycled Materials
  • Occupational Health and Safety
  • Employee Training and Development
  • Diversity and Equal Opportunity
  • Employee Welfare

Environmental Achievements

  • Implemented switching-off centralised air-conditioning during lunch hour for office energy savings
  • Used recycled paper for photocopying, reused and recycled papers, envelopes, letterheads, files
  • Minimised paper use through emails and electronic communications
  • Organic farming with “MYOrganic” status, complying with Malaysian organic and Halal standards
  • Agarwood plantation to mitigate impact of depleting endangered species

Social Achievements

  • No workplace incidents in 2020
  • Provided personal accident and insurance coverage to employees
  • Continuous employee training and development programs, including workshops, seminars, conferences, in-house and on-the-job training
  • Designed programs to groom new talents
  • Workforce diversity: 57% male, 43% female
  • Established a Recreation Club for team building and employee interaction
  • Service awards for long-serving employees

Governance Achievements

  • Adherence to Malaysian Code on Corporate Governance 2017
  • Established a Whistleblowing Policy
  • Adopted an Anti-Bribery & Corruption Policy
  • Annual review of sustainability of strategic directions
  • Annual assessment of Directors, Board Committees, and Board performance

Climate Goals & Targets

Environmental Challenges

  • Market shortage of IT hardware products due to Movement Control Order (MCO), hampering ability to fulfil spike in demand
  • Challenging competitive market environment for trading and distribution business
  • Credit risk related to possible loss from unrecoverable receivables
  • Liquidity risk due to net current liabilities exceeding current assets
  • Impact of COVID-19 outbreak on trading and services segment
Mitigation Strategies
  • Expanding market reach to consumers via e-commerce platform
  • Implementing cost-saving strategies, reducing administrative expenses
  • Fundraising exercise through private placement of shares
  • Revamping business model to address gap between current assets and liabilities
  • Diversifying business into land development, Gaharu plantation, and online businesses
  • Mitigating exposure in vulnerable business segment by diversifying and unlocking value of landbank and agriculture-related businesses

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Main Market Listing Requirements in relation to the Sustainability Statement in Annual Report of Listed Issuers (Bursa Malaysia Securities Berhad)

Certifications: MYOrganic

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:31.82 tCO2e/year (2023)
Total Energy Consumption:75.23 MWh/year (2023)
Water Consumption:0.247 Megalitres/year (2023)

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Reduced GHG emissions for Scope 1 and Scope 2 by an unspecified amount between 2021 and 2023. Reduced energy consumption by an unspecified amount between 2022 and 2023. Reduced paper usage through e-invoicing.
  • Maintained "MYOrganic" certification.

Social Achievements

  • Zero substantiated complaints concerning human rights violations.
  • Provided employee welfare benefits (CNY Angpow, bereavement support, marriage allowance, long service award).

Governance Achievements

  • Compliance with Malaysia Code of Corporate Governance 2021.
  • Formalized Anti-Bribery and Anti-Corruption Policy.
  • Established Whistle Blowing Policy.
  • Yearly review on Risk Register.

Climate Goals & Targets

Long-term Goals:
  • Reduce GHG emissions for Scope 1 and Scope 2 by 5% by FYE 2026.
Medium-term Goals:
  • Increase participation of women in leadership roles to 20% by FYE 2030.
Short-term Goals:
  • Reduce water consumption by 10% by FYE 2024.
  • Reduce A4 paper usage by 10% by FYE 2025.
  • Reduce energy consumption by 2% by FYE 2024.

Environmental Challenges

  • Challenging operating environment with financial risks due to concentration in Trading and Service business (IT distribution) and cyclical demand.
  • Risks associated with property development industry (shortages of building materials, increased labor costs, labor shortages, purchaser defaults, increased financing costs).
  • Project risks in joint development of land (natural disasters, weather conditions, approval delays, material/labor shortages, disease outbreaks).
  • Risks inherent in property development and agarwood plantation industries (supply/demand changes, economic downturns, equipment costs, expertise availability, financing, technological changes).
Mitigation Strategies
  • Fundraising exercises (private placement) to improve financial position.
  • Business diversification (joint land development, agarwood plantation, online businesses).
  • Prudent financial policies, continuous operational review, resource management, cost control, monitoring material price trends.
  • Close monitoring of project progress, milestones, and deadlines in land transfer processes.
  • Prudent financial management and efficient operating procedures.

Supply Chain Management

Responsible Procurement
  • Supplier Competitive Price review

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS, Bursa Malaysia's Sustainability Reporting Guide (SRG)

Certifications: MYOrganic, Halal