Climate Change Data

Environmental Metrics

ESG Focus Areas

• Product Quality
• Healthcare Service Quality
• Resources Conservation and Recycling
• Staff Occupational Health and Safety Management
• Remuneration and Welfare
• Career Development of Employees
• Innovation
• Internationalization
• Social Responsibility

Environmental Achievements

• Energy consumption intensity decreased by 19.2% year-on-year.
• Water consumption intensity decreased by 24.1% year-on-year.
• 563,100 tons of water recycled internally.
• Annual energy savings were over RMB7.00 million.

Social Achievements

• Organized over 500 recreational and sports activities for employees.
• Completed over 35 charitable donations.
• Healthcare service subsidiaries held over 90 public health seminars and health consultations.
• Average customer satisfaction rating of healthcare service member enterprises over 92%.

Governance Achievements

• Improved corporate governance structure and internal management.
• Established a CSR leading group and task force.
• Implemented a comprehensive CSR management system.
• Received various awards for corporate social responsibility and investor relations.

Climate Goals & Targets

Environmental Challenges

• Maintaining high quality standards across all subsidiaries and products.
• Balancing rapid growth with sustainable development.
• Managing environmental impacts of operations.
• Ensuring compliance with laws and regulations.

Mitigation Strategies

• Implemented strict quality control systems and EHS management systems.
• Integrated CSR strategy into all business segments.
• Increased investment in environmental protection facilities and emission reduction projects.
• Established a comprehensive compliance and honest system.

Supply Chain Management

Supplier Audits: 58 supplier audits

Responsible Procurement

• Established supplier management system
• Implemented green supply chain project
• Conducted credit checking on suppliers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GB/T 36000, GRI G4, ESG Reporting Guide under Listing Rules (Stock Exchange)

Certifications: ISO 14001, OHSAS 18001, ISO 15189, WHO-PQ

Third-party Assurance: SGS

Awards & Recognition

• Best Social Responsibility Brand Award
• Golden Bee • Leadership Enterprises Award
• Responsibility Innovation Best Case Award for the Year
• Excellent Enterprise Award of “Corporate Social Responsibility of Listed Companies”

Environmental Metrics

ESG Focus Areas

• Environmental protection
• Social responsibility
• Corporate governance

Environmental Achievements

• Reduced comprehensive energy consumption intensity by 1.35% year-on-year.
• Reduced carbon emissions by 10,114 tons through energy-saving measures.
• Purchased green electricity of 14,699,769 kWh, reducing carbon emissions by 8,383 tons.
• Achieved the carbon emission intensity target for 2023.
• Achieved the comprehensive energy consumption intensity target for 2023.
• Achieved the sewage discharge intensity target for 2023.
• Achieved the COD emission intensity target for 2023.
• Achieved the total waste intensity target for 2023.
• Achieved the hazardous waste intensity target for 2023.
• Reduced hazardous waste landfill volume by 21% year-on-year.

Social Achievements

• Launched the “Payment by Efficacy Value Plan” for Yi Kai Da®, reducing patients’ financial burden.
• Yi Kai Da® successfully treated more than 600 LBCL patients in China.
• Established more than 160 Yi Kai Da® qualified treatment centers.
• Yi Kai Da® was included in the urban customized commercial supplementary insurance in more than 100 provinces and municipalities and 75 commercial insurances.
• Launched various recruitment programs and attracted talents.
• Carried out four series of training programs, providing employees with a comprehensive platform for improving their capabilities and skills.
• Issued the “Employee Diversity Policy” and implemented an equal pay policy.
• Employee turnover rate decreased by 2.93 percentage points compared to last year.
• Provided various in-house training and development programs for employees.
• Launched the program of “Caring for Women’s Health — Pink Blue Ribbon Charity Tour”, expanding the screening coverage for breast cancer and cervical cancer among women in Xishuangbanna, Yunnan.

Governance Achievements

• Established a three-tier ESG governance structure.
• Incorporated ESG sustainable development indicators into the performance assessment for senior management.
• Established the Carbon Neutrality Committee.
• Improved internal control and risk management systems.
• Established an integrity management system and reporting channels to protect whistleblowers.
• Provided employees with anti-corruption and business ethics training.
• Conducted more than 50 audits, covering key processes such as R&D, sales, procurement and expenses.

Climate Goals & Targets

Environmental Challenges

• Climate change risks (physical risks: rising average temperatures, frequent occurrence of extreme weather; transition risks: increased pricing of greenhouse gas emissions, requirements and regulation of the existing products and services).
• Supply chain disruptions.

Mitigation Strategies

• Formulated a comprehensive risk management strategy against climate change.
• Invested RMB13.476 million in various energy-saving and emission reduction measures.
• Improved energy utilization efficiency, adjusted energy structure, and promoted renewable energy.
• Promoted multi-sourcing and localization of core materials to support product stability.

Supply Chain Management

Supplier Audits: 1,114 suppliers audited in 2023; 23 green supply chain audits.

Responsible Procurement

• Supplier Code of Conduct
• Anti-Commercial Bribery Agreement
• Supplier Quality Requirements
• Green supply chain audits

Climate-Related Risks & Opportunities

Physical Risks

• Rising average temperatures
• Frequent occurrence of extreme weather

Transition Risks

• Increased pricing of greenhouse gas emissions
• Requirements and regulation of existing products and services

Reporting Standards

Frameworks Used: GRI Standards 2021, Hong Kong Stock Exchange’s Environmental, Social and Governance Reporting Guide

Certifications: ISO 14001, ISO 45001, ISO 50001, ISO 9001, ISO/IEC 17025, ISO 13485:2016

Third-party Assurance: SGS

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 7: Affordable and Clean Energy
• Goal 9: Industry, Innovation and Infrastructure
• Goal 10: Reduced Inequalities
• Goal 13: Climate Action

Initiatives contribute to these goals through drug accessibility, renewable energy use, R&D innovation, fair pricing policies, and climate change mitigation.

Sustainable Products & Innovation

• New generation of Pei Jin®
• Yi Xin Tan®
• Bei Wen®
• Argesun®

Awards & Recognition

• 2023 MSCI ESG A Rating
• 2023 Top 30 ESG Excellence Practices
• 2023 Outstanding Responsible Company
• 2023 Most Admired Chinese Companies
• 2023 Emerging Awarded Enterprise of China’s Excellence Management Company
• 2023 Top 25 Global Pharmaceutical Companies in R&D Pipeline Size
• 2023 Rank 1 in China’s Biopharmaceutical R&D Strength
• 2023 Rank 2 in China’s Comprehensive Drug R&D Strength
• 2022 CSR Report 5-Star Excellence