Climate Change Data

Environmental Metrics

ESG Focus Areas

• Service quality and customer satisfaction
• Customer information and privacy protection
• Anti-corruption
• Energy conservation, emission reduction and green operation
• Employee health and safety
• Employee communication and care
• Employee training and development
• Employee compensation and benefits
• Community development and social impact
• Supply chain management

Environmental Achievements

• Passed ISO 14001:2015/GB/T 24001-2016 environmental management system certification
• Implemented Resource Management Procedures to reduce resource consumption and improve efficiency
• Established Solid Waste disposal Regulations to reduce environmental pollution
• Implemented Wastewater, Waste Gas and Noise Treatment Regulations to improve the surrounding environment
• Achieved a garbage classification rate of more than 75% and a recycling rate of more than 90% in Chashan Country Garden Community
• Implemented energy-saving measures such as using LED lighting and optimizing water pumps, resulting in reduced energy and water consumption.

Social Achievements

• Launched the “Support the Green Home” activity to advocate green and environmental protection
• Implemented the “Phoenix Butler” service, providing comprehensive support to property owners
• Provided first aid training to property managers, benefiting more than 1 million property owners
• Launched the “Dare to Love Family Festival” to promote community harmony
• Carried out poverty alleviation activities in various regions across the country, including education aid, employment-based poverty alleviation, and consumption-based poverty alleviation.
• Developed a “property management capability development program” for employee training and development, including the “Rocket Force Talent Program” with a nearly 100% success rate.

Governance Achievements

• Established a Sustainability Working Group to oversee sustainability initiatives
• Implemented a comprehensive risk management and internal control system
• Established a zero-tolerance policy for corruption and implemented anti-corruption measures
• Developed the Information Security Management Specification to protect customer information and privacy
• Implemented a hierarchical management and control system for appeals to improve service quality and customer satisfaction.

Climate Goals & Targets

Environmental Challenges

• Maintaining high service quality standards with rapid business expansion
• Managing environmental risks associated with operations
• Ensuring employee health and safety
• Addressing stakeholder expectations and needs
• Maintaining a fair and transparent supply chain

Mitigation Strategies

• Investing in IT projects to improve efficiency and service quality
• Implementing a green management system and energy-saving measures
• Providing comprehensive employee health and safety training
• Conducting stakeholder engagement activities to understand their concerns
• Developing a supplier integrity cooperation system to ensure fair and open bidding processes

Supply Chain Management

Supplier Audits: 1,685 suppliers (environmental, engineering, safety, and material categories)

Responsible Procurement

• Supplier Integrity Cooperation Notes
• Measures for the Development and Management of Material Purchasing Suppliers
• Measures for Warehousing Management of Community Value-added Partners

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: HKEx ESG Reporting Guide

Certifications: ISO 14001:2015/GB/T 24001-2016

Third-party Assurance: PricewaterhouseCoopers (financial information only)

Awards & Recognition

• Ranked No.1 among Chinese Community Service Providers in 2018 (YIHAN)
• First among TOP 100 Property Management Companies in China (China Index Academy)

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Social Responsibility
• Governance

Environmental Achievements

• Implemented energy conservation measures (e.g., utilizing natural wind, powering off when leaving the office, upgrading water pumps) resulting in a total energy consumption of 438,170.30 ‘000 kWh and water consumption of 28,144,265.96 cubic meters in 2019.
• Upgraded sewage treatment system in ZhiLanWan Residential Area, Guangzhou.
• Launched “FUN Fluorescent Running” event during Earth Hour.

Social Achievements

• Provided Platinum Phoenix Butler services to nearly 3,900 homeowners.
• Launched Community Safety Convention Program, collecting over 140,000 signatures.
• Implemented effective measures to combat COVID-19 epidemic, receiving 562 commendations from government departments and 1,653 silk banners from homeowners.
• Implemented “Shared Landscape Governance” event, with over 10,000 homeowner participants.
• Carried out various community cultural activities (e.g., “Kids Having the Say” Car Trunk Creative Bazaar, “Gourmet Festival”), with millions of participants.
• Implemented poverty alleviation programs, including Party-based, Education-based, Employment-based, and Consumption-based approaches.
• Provided approximately 66,000 hours of health and safety training to employees.
• Implemented employee care activities (e.g., “Absolute Happiness” cultural activities, family visit day).

Governance Achievements

• Established a Sustainable Development Working Group to support ESG reporting.
• Established a Risk Management Committee and implemented risk management and internal control systems.
• Implemented anti-corruption training for all employees and established reporting channels.
• Obtained ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certifications.
• Conducted a materiality assessment to identify key ESG issues.

Climate Goals & Targets

Environmental Challenges

• Expanding the breadth and depth of ESG disclosures due to limitations in internal information collection procedures.
• Managing environmental and social risks in operations.
• Maintaining high standards of corporate governance.

Mitigation Strategies

• Gradually expanding the scope of environmental KPIs in future reports.
• Continuously monitoring environmental and social risks through risk assessment and communication.
• Improving communication mechanisms with stakeholders and establishing a more standardized operational system.

Supply Chain Management

Supplier Audits: 1,377 suppliers as of 2019. Strict supplier assessment conducted.

Responsible Procurement

• Notes on Supplier Integrity and Cooperation
• Measures for the Development and Management of Supplier Procurement for Property Companies
• Measures for the Management of Community Value-Added Partners

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: HKEx ESG Reporting Guide

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018

Third-party Assurance: PWC

Sustainable Products & Innovation

• Smart community products (smart access control, intelligent security monitoring, smart elevator)

Awards & Recognition

• MSCI ESG A rating
• Numerous awards from government agencies, industry institutions, and media

Environmental Metrics

ESG Focus Areas

• Sustainable Development Governance
• Stakeholder Engagement
• Humanistic Community, Outstanding Reputation
• Opening up for a Win-win Cooperative Platform
• People Oriented, Being the Standard of Excellent Employer
• Fulfilling Environmental Protection, Safeguarding Ecological Environment
• Sincerely Contributing Back, Being a Good Social Enterprise

Environmental Achievements

• Built an energy consumption control platform and retrofitted energy-efficient lighting fixtures to reduce energy consumption
• Exercised strict control over water consumption in the communities, and upgraded and renovated domestic water pumps to conserve water resources
• Implemented community waste separation to protect environmental resources
• Formulated Procedures for Identification Assessment of Environmental Factors and Prevention and Control to address climate change and extreme weather challenges

Social Achievements

• Launched the “Life Trust” project, providing temporary custody of package/green plant/vacant house, as well as childcare, house and home maintenance and other services for property owners
• Launched the “City Service Partner Programme”, signing contracts with more than 40 city partner representatives to integrate city development resources, resulting in 30 city service products
• Conducted employee health and safety trainings and formulated the “Blue, Green, Orange, Yellow and Red” Five-color Risk Management Mechanism to safeguard employee health and safety
• Organized online and offline training on various subjects, with approximately 1.4 million participants and 500,000 training hours in total

Governance Achievements

• 100% of directors received anti-corruption training
• 12 subsidiary companies conducted internal control training and completed self-assessment
• Required all employees to sign the Letter of Commitment Relating to Integrity and Self-discipline
• Established a Risk Management Committee to undertake the responsibilities of risk identification, risk analysis and response

Climate Goals & Targets

Environmental Challenges

• Climate change and extreme weather challenges
• Supply chain disruptions (implied)
• Maintaining high service quality and customer satisfaction across a large scale operation

Mitigation Strategies

• Developed alternative sourcing strategies (implied through supplier management)
• Implemented a three-level quality inspection mechanism
• Formulated Procedures for Identification Assessment of Environmental Factors and Prevention and Control
• Improved internal controls and risk management systems
• Strengthened supplier management mechanisms and communication platforms

Supply Chain Management

Responsible Procurement

• Rules for Operation and Management of Bicai Mall (for Suppliers)
• Administrative Measures for Access, Withdrawal and Evaluation of Material Suppliers in Bicai Mall

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather (flooding, heavy rainfall)
• Community safety
• Public facilities and equipment damage

Reporting Standards

Frameworks Used: Appendix 27 Environmental, Social and Governance Reporting Guide to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited

Certifications: ISO 14001:2015, ISO 9001:2015, ISO 45001:2018

Sustainable Products & Innovation

• Property robots (building services, outdoor cleaning, commercial cleaning, hand-held sweeping)

Awards & Recognition

• Best ESG Company
• Top 500 Property Services Enterprises in China on Overall Strength: 1st Rank in 2021
• 2021 Impact Award in China’s AI Industry
• 2021 China AI Breakthrough Award
• Outstanding Urban Renewal Operator
• 2021 TOP 10 China Property Service Employers with Brand Influence

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Social Responsibility
• Governance

Environmental Achievements

• Reduced energy consumption by 8.49 million kWh annually after retrofitting 360,000 lights.
• Saved 1,180 kWh of electricity after upgrading 95 water pumps.
• Implemented garbage sorting in 446 projects.

Social Achievements

• Launched a survey on employees’ sense of happiness, recording a year-on-year increase of 4.8 percentage points.
• Provided various online and offline training courses for employees.
• Supported rural industry development and facilitated rural revitalization with RMB 13.33 million in sales in 2022 and over RMB 39.83 million over the past five years.
• Donated approximately RMB 3.91 million in 2022.

Governance Achievements

• Established an emergency mechanism in response to extreme weather.
• Implemented anti-corruption training for 100% of directors and 8 equity subsidiaries.
• Required all employees to sign the Letter of Commitment Relating to Integrity and Self-discipline.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to extreme weather events (e.g., the strongest "dragon boat water" in Guangdong Province).
• COVID-19 pandemic impacting operations.

Mitigation Strategies

• Established an emergency mechanism to respond to extreme weather events.
• Actively cooperated with the government to implement pandemic prevention and control measures.
• Provided property management services to more than 350 projects during the Shanghai COVID-19 outbreak.

Supply Chain Management

Supplier Audits: 9,081 suppliers managed under the Bicai Mall.

Responsible Procurement

• Bicai Mall 2.0 online procurement platform
• Supplier audits and assessments
• Integrity Partnership Agreement

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons
• Rainstorms
• High temperatures
• Floods
• Snowstorms
• Sandstorms

Transition Risks

• Tightening environmental policies
• Higher technical requirements for green property management

Opportunities

• Development of energy-efficient products and services
• Exploring more market opportunities in green property and environmentally-friendly services.

Reporting Standards

Frameworks Used: Appendix 27 Environmental, Social and Governance Reporting Guide to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018

Sustainable Products & Innovation

• Property management service robots (R40Pro, T180, H50)
• Smart community platform ("Tianshi Cloud")

Awards & Recognition

• A in MSCI ESG Assessment
• Constituent to FTSE4Good Index
• Pioneer Enterprise in Pandemic Prevention and Control
• China (Greater Bay Area) Property Management Brand (Service) Model Award

Environmental Metrics

ESG Focus Areas

• Service quality and customer satisfaction
• Promoting the development of intelligent property services
• Employee health and safety
• Integrity culture and business ethics development
• Green operation and environmental impact
• Community development

Environmental Achievements

• Water consumption intensity decreased by 35% compared to 2022
• Energy consumption intensity decreased by 17% compared to 2022
• Total greenhouse gas emissions intensity decreased by 45% compared to 2022
• Waste emission intensity decreased by 74% compared to 2022
• Installed more than 16 thousand charging piles for electric vehicles

Social Achievements

• Customer Satisfaction reached 93.97%
• Year-on-year increase of 3.99 percentage points in employees’ sense of happiness
• Held over 26 thousand seasonal activities themed on happiness and health
• 100% training coverage for new joiners
• Cumulative turnover exceeding RMB46.68 million from consumption activity supporting farmers

Governance Achievements

• Anti-corruption training covered 100% of directors
• Conducted a total of 10 internal audit projects
• No corruption incident reports were filed or concluded

Climate Goals & Targets

Environmental Challenges

• Potential risks from extreme weather events (typhoons, floods, etc.)
• Tightening environmental policies
• Higher technical requirements for green property management

Mitigation Strategies

• Established a three-level response mechanism for extreme weather
• Implemented emergency response plans
• Included climate risks in the risk management system
• Formulated green development goals (water efficiency, waste reduction, energy efficiency, emission reduction)

Supply Chain Management

Responsible Procurement

• Administrative Measures for Access of Material Suppliers in Bicai Mall
• Administrative Measures for Evaluation of Material Suppliers in Bicai Mall
• Administrative Measures for Exit of Material Suppliers from Bicai Mall
• Administrative Measures for Service Procurement Suppliers of Bicai Mall

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons, rainstorms, high temperatures, floods, heavy snow, sandstorms, sea level rise, rising mean temperatures, water stress

Transition Risks

• Tightening environmental policies, higher technical requirements for green property management

Opportunities

• Development of energy-efficient products and environment-friendly services

Reporting Standards

Frameworks Used: Appendix C2 Environmental, Social and Governance Reporting Guide to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, ISO 27001

Sustainable Products & Innovation

• Resident Zero building cleaning robot

Awards & Recognition

• 2023 ESG Sustainable Development Summit for Listed Property Enterprises (EH ESG Rating AA)
• 21st Youth Model Unit Award (Two-Star level)
• Integrity Benchmarking Enterprise
• 2023 National Exemplary Case for User Experience Innovation
• 2023 China Property Management Customer Satisfaction Model Enterprise
• 2023 China Property Enterprise Digital Power Top 30
• 2023 Enterprise Service Leading Project
• AI Technology Brand Award of the Golden Goose Award