Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Human Rights
• Community Culture
• Stakeholder Communication
• Employee Well-being
• Local Community Development
• Customer Commitment

Environmental Achievements

• Reduced non-hazardous waste by 92.5% compared to the previous year.

Social Achievements

• Maintained a harmonious working atmosphere through regular staff gatherings and additional staff activities.
• Provided medical insurance and additional benefits to employees.

Governance Achievements

• Established an enterprise risk management framework.
• Appointed APEC RISK MANAGEMENT LIMITED to perform an independent internal control review.

Climate Goals & Targets

Environmental Challenges

• Decrease in purchase orders from major customers headquartered in the UK due to weak global demand, geopolitical tensions, and economic downturn.
• Increase in unit production costs due to smaller order quantities and shorter production lead times.
• Increase in electricity and water consumption due to business needs.

Mitigation Strategies

• Developed supply chain management in Cambodia to lower production costs.
• Implemented cost control measures to increase operating efficiency.
• Developed a new major customer targeting the US market.
• Promotes electricity preservation and other measurements among employees to reduce indirect GHG emissions, especially electricity consumption.
• Encourages employees to use as much paper as possible on demand and to encourage double-sided printing as a way to reduce carbon emissions from waste paper.
• Encourages the employees to have the concept of water conservation to save water including but not limited to turn off taps when leaving the toilets.
• Committed to decreasing the number of business trips.

Supply Chain Management

Supplier Audits: Number of suppliers where SMETA audits are implemented upon customer request.

Responsible Procurement

• Stringent selection criteria for suppliers.
• Regular assessment of environmental and social impact of suppliers.
• Preference for suppliers with less negative environmental impact.
• Consideration of suppliers’ experience, reputation, technology, financial strength, human resources, efficiency, quality control efficiency and code of ethics.

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons
• Heavy rain and flooding
• Thunder and lightning
• Sustained high temperature

Transition Risks

• Regulatory changes affecting products and services.

Reporting Standards

Frameworks Used: Appendix 27 of the Listing Rules of the Stock Exchange

Environmental Metrics

ESG Focus Areas

• Emissions
• Waste Management
• Use of Resources
• Environment and Natural Resources
• Climate Change
• Employment
• Occupational Health and Safety
• Development and Training
• Employment Standards
• Management of Supply Chain
• Product Liability and Quality of Services
• Anti-corruption
• Community Investment

Environmental Achievements

• Slight decrease in total emissions to 144.122 tCO2e in 2024 from 145.36 tCO2e in 2023. Reduction in Scope 2 emissions from electricity purchases.
• Nearly all non-hazardous waste (36.4 tonnes) was reused onsite.

Social Achievements

• Zero work-related fatalities and zero lost days due to work injuries in 2024, 2023, and 2022.
• Increased average employee training hours to 3.09 in 2024 from 3.04 in 2023.
• No reported incidents of child labor or forced labor.

Governance Achievements

• No legal cases regarding corrupt practices.
• Implemented robust quality control measures resulting in no product recalls due to safety or health reasons.

Climate Goals & Targets

Environmental Challenges

• Weakened global economy and reduced buying demand from brands and retailers.
• Decrease in sales orders from major UK customers.
• Increased marketing expenses to enhance influencer collaboration.
• Increase in trade receivables from a UK customer, resulting in impairment loss.
• Reliance on several major customers with no long-term contracts.
• Intense competition in the market.
• Exposure to credit risk from customers.
• Fluctuations in raw material prices and availability.
• Customer sensitivity to social responsibility and compliance standards.

Mitigation Strategies

• Leveraging integrated supply chain management and diversified cooperation with influencers.
• Optimizing influencer collaboration collections and providing relevant products.
• Entering into a new institutional catering business.
• Optimizing customer and supplier portfolio to increase gross profit margin.
• Prevailing cost control measures to increase operating efficiency.
• Strengthening customized apparel designing and sourcing services.
• Exploring new business opportunities through business network.
• Optimizing supplier base to strengthen supply chain management services.
• Exploring suitable investment opportunities.
• Ongoing credit evaluation of customers’ financial conditions.
• Close monitoring of liquidity position.
• Implementing measures to prevent and reduce the adverse impact of extreme weather (Typhoons, heavy rainfall, etc.)
• Implementing measures to mitigate the adverse effects of persistent high temperatures.

Supply Chain Management

Supplier Audits: SMETA audits upon customer request

Responsible Procurement

• Supplier Selection Criteria
• Bans on child and forced labor
• Non-discrimination policies
• Safe working conditions
• Environmentally friendly products and services
• Adherence to internal environmental requirements
• Strict compliance with laws

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (Typhoons, heavy rainfall, flooding)
• Persistent high temperatures

Transition Risks

• Government regulations on products and services

Reporting Standards

Frameworks Used: Appendix 27 of the Stock Exchange’s Listing Rules