Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced greenhouse gas emissions to 295 tons of carbon dioxide equivalent, with a density of 0.01 tons of carbon dioxide equivalent per square meter of gross floor area.
• Obtained ISO 14001 certification for environmental management systems.

Social Achievements

• Implemented health and safety policies, including risk assessments and specialized training for workers.
• Encouraged internal promotion and provided on-the-job training and external courses for employee development.
• Established a safety management committee to oversee health and safety policies.
• Organized fundraising events and donated to charities and social enterprises through "Sundart Cheers".

Governance Achievements

• Complied with the Code Provisions, except for two independent non-executive directors' absence from the last annual general meeting and one independent non-executive director and the non-executive director's absence from the extraordinary general meeting.
• All directors confirmed compliance with the Model Code for Securities Transactions.

Climate Goals & Targets

Environmental Challenges

• Economic downturn in Macau in 2016 impacting the Macau fitting-out market.
• Delays in progress of some projects in Macau.
• New projects in the PRC still in early stages.
• Decrease in sales of wooden furniture to Hong Kong, Macau, and the Philippines.

Mitigation Strategies

• Maintained a solid financial status through established reputation and long business relationships.
• Continued to obtain sizeable new projects.
• Expanded fitting-out business into the PRC market through acquisition.
• Dongguan Sundart focused on re-engineering and pre-fabrication services for fitting-out projects.

Supply Chain Management

Supplier Audits: Annual

Responsible Procurement

• Selection of environmentally friendly materials (FSC-certified wooden products, low VOC coatings)
• Supplier assessment process (background, product quality, business compliance)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 to the Listing Rules

Certifications: ISO 14001, ISO 9001, OHSAS 18001

Environmental Metrics

ESG Focus Areas

• Compliance with laws and regulations
• Emissions of pollutants and greenhouse gas
• Disposal and management of waste
• Resource recovery
• Use of energy
• Use of Water resources
• Green building
• Environmental impact from construction
• Biological diversity
• Noise pollution
• Remuneration and benefits
• Equal opportunity and anti-discrimination
• Occupational health and safety
• Development and training
• Child or forced labour
• Selection and monitoring of suppliers and subcontractors
• Environmentally friendly and safe raw materials
• Project quality and product safety
• After-sales services and handling of complaints
• Protection of customer privacy
• Prevention of bribery, extortion and money laundering
• Community investment

Environmental Achievements

• Obtained ISO 14001 Environmental Management System certification
• Implemented waste management guidelines reducing non-hazardous waste (protective materials 259.3 tons, paper 16.29 tons, toner cartridges 0.15 tons in 2018)
• Implemented noise management guidelines
• Implemented exhaust gas and dust management measures
• Implemented sewage management guidelines
• Incorporated green building concepts into projects

Social Achievements

• Established a comprehensive human resources policy
• Provided training programs for employees
• Implemented occupational health and safety policies and obtained OHSAS 18001 Occupational Health and Safety Management System certification
• Implemented equal opportunities and anti-discrimination policies
• Implemented policies to forbid child or forced labour
• Organised community investment activities through "Sundart Cheers"

Governance Achievements

• Established an effective risk management and internal control system
• Established Board Committees (Audit, Remuneration, Nomination, Internal Control)
• Complied with the Code Provisions (except for one minor deviation)
• Complied with the Model Code for Securities Transactions by Directors
• Implemented policies and procedures for handling and dissemination of inside information

Climate Goals & Targets

Environmental Challenges

• Non-recurring contracts and dependence on continuing success in project tendering
• Reliance on a few major customers
• Need to adapt to market conditions and customer preferences
• Potential for cost overruns or losses due to inaccurate estimations
• Market risks associated with investments

Mitigation Strategies

• Leveraging positive brand image and long-term customer relationships
• Prudent financial management
• Close monitoring of market conditions and customer preferences
• Strengthening management and budget control
• Close monitoring of investment performance and risk management actions as needed

Supply Chain Management

Supplier Audits: Annual assessments

Responsible Procurement

• Selection of environmentally friendly materials (e.g., FSC-certified wood)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 to the Listing Rules

Certifications: ISO 9001, ISO 14001, OHSAS 18001