Climate Change Data

Filtronic plc

Climate Impact & Sustainability Data (2023, 2024)

Reporting Period: 2023

Environmental Metrics

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Reduced energy usage per £ of revenue generated
  • Improved use of sustainable resources by operational site
  • Reduced paper and packaging waste
  • Invested in newer, more efficient machinery
  • NetPark and Manchester sites supplied with 100% sustainable energy

Social Achievements

  • Launched an apprenticeship program
  • Maintained graduate recruitment scheme
  • Expanded Employee Assistance Programme (WeCare) to include additional mental health and financial advice
  • Introduced increased flexibility in working practices
  • Conducted a full equal pay audit

Governance Achievements

  • Achieved IASME Governance Gold cyber security accreditation
  • Reviewed and approved Group Policies
  • Undertook a series of penetration tests

Climate Goals & Targets

Long-term Goals:
  • Net Zero carbon target (pending UK government flow down)
Medium-term Goals:
  • Develop a clear EDI strategy and communicate it
  • Promote Filtronic as a female-friendly workplace
  • Gain IASME Cyber Assurance Level 2
  • Scope and plan for ISO27001
Short-term Goals:
  • Implement LED lighting
  • Energy saving equipment
  • Education sessions in high-energy consumption areas
  • Convert Leeds site to 100% sustainable energy
  • Implement improvement actions from employee engagement survey

Environmental Challenges

  • Global semiconductor component shortages
  • Macroeconomic headwinds (inflationary pressures, extended lead times)
  • Reliance on key customers
  • Talent acquisition and retention
Mitigation Strategies
  • Leveraged balance sheet to secure inventory early
  • Strengthened business development function
  • Invested in engineering and sales and marketing resources
  • Implemented a new talent management strategy
  • Improved manufacturing efficiencies and automation of operating processes

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: QCA Governance Code 2018, UN Sustainable Development Goals

Certifications: ISO9001, ISO14001, IASME Governance Gold, Cyber Essentials Plus, JOSCAR

Reporting Period: 2024

Environmental Metrics

Total Carbon Emissions:86.87 tCO2e/year
Scope 1 Emissions:86.87 tCO2e/year
Scope 2 Emissions:0 tCO2e/year
Renewable Energy Share:100% at Sedgefield and Manchester; Leeds converted to 100% in 2024
Carbon Intensity:3.42 tCO2e/£M revenue (2024); 5.24 tCO2e/£M revenue (2023)

ESG Focus Areas

  • Sustainable commercial enterprise
  • Sustainable culture and organisation
  • Sustainable environmental impact

Environmental Achievements

  • 35% reduction in Scope 1 and Scope 2 emissions from FY2023 baseline
  • Converted Leeds site to 100% sustainable energy
  • Removed single-use plastics from operations
  • Switched several administrative processes from paper to digital

Social Achievements

  • Implemented a one-off bonus of £1,000 pro rata for all staff
  • General pay award above inflation for all employees
  • Inflation-busting award to manufacturing operatives
  • Supported North East STEM Foundation and UTC Durham
  • Launched new apprenticeship program

Governance Achievements

  • Achieved IASME Governance Gold certification (top 3% of applicants)
  • Added new Anti-Competition and Anti-Trust policy
  • Undertook cyber security exercises with the National Cyber Security Centre
  • Implemented annual re-election of directors

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Increase frequency of communication
  • Assess current benefits suite
  • Implement improvements from employee engagement survey
  • Expand apprenticeship program
  • Create a knowledge sharing environment
  • Continue to upskill employees
Short-term Goals:
  • Implement LED lighting
  • Energy saving equipment purchases
  • Convert Leeds site to 100% sustainable energy
  • Promote electric vehicle scheme
  • Further develop a clear EDI strategy
  • Implement ISO27001

Environmental Challenges

  • Reliance on key customers (three largest customers represent 84% of turnover)
  • Rapid technology changes impacting competitiveness
  • Difficulty in recruiting and retaining suitably qualified personnel
  • Potential for project delays or failure to meet specifications
  • Uncertainty in forecasting market movements and product longevity
  • Cyber security risks and data integrity issues
Mitigation Strategies
  • Strengthened business development function
  • Close collaboration with customers and suppliers
  • Thorough review of engineering development at various milestones
  • Project management team to ensure compliance
  • Protection of intellectual property through patents
  • Competitive remuneration package and long-term incentive plan
  • Regular communication with employees
  • Robust cyber security framework, including accreditations and penetration tests
  • Regular reviews of network security arrangements and employee training

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Goals

Certifications: IASME Governance Gold, Cyber Essentials Plus, DART

Awards & Recognition

  • King’s Award for Enterprise in Innovation