Climate Change Data

Environmental Metrics

ESG Focus Areas

• Emissions
• Energy Consumption
• Employment and Labor Practices
• Occupational Health and Safety
• Employee Development
• Supplier Selection
• Quality Assurance and Product Safety
• Anti-Corruption
• Community Engagement

Environmental Achievements

• Reduced electricity consumption by 20%, resulting in a 26% reduction in total GHG emissions.

Social Achievements

• Zero customer complaints and zero product recalls.
• Zero work-related fatalities and injuries.
• 9% employee turnover rate (lower than the previous period).
• 413 hours of training provided to employees (average 14 hours per employee).

Governance Achievements

• Implemented a whistleblowing policy to prevent corruption.
• No cases of bribery, corruption, or conflicts of interest reported.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Prioritized suppliers closer to customers to reduce carbon footprint and logistics costs.
• Constructed and constantly updated a list of qualified suppliers to avoid over-reliance on single supplier.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 20 of the GEM Listing Rules)

Certifications: ISO 9001:2015

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Workplace and Employment
• Community Investment
• Supply Chain Management
• Anti-corruption

Environmental Achievements

• Zero non-compliance incidents with local environmental laws and regulations.
• Implemented a Green Office Policy to reduce energy and water consumption.
• Zero work-related fatality and injury resulting in loss days for three consecutive years.

Social Achievements

• Zero incidents of non-compliance relating to recruitment, promotion, working hours, compensation, dismissal, equal opportunity, diversity, anti-discrimination, and child labor.
• Organized a used clothing donation campaign, collecting 93 pieces of clothing.
• Donated RMB 5,000 to underprivileged children for books and learning materials.

Governance Achievements

• Adopted a whistle-blowing policy.
• Zero incidents of non-compliance with laws and regulations related to corruption, bribery, extortion, fraud, and money laundering.
• Conducted trainings on corruption and conflict of interest for directors and employees.

Climate Goals & Targets

Environmental Challenges

• Potential impact on business operations from severe climate change (flooding in Guangdong province).
• COVID-19 pandemic affecting original plans for service campaigns.

Mitigation Strategies

• Implemented a flood event emergency response plan, including work-from-home capabilities and multiple data backup sites.
• Launched a "Work from Home" regime during the COVID-19 pandemic.
• Provided online webinars and restricted business travel to minimize virus spread.

Supply Chain Management

Supplier Audits: 15 suppliers total (11 China, 3 Hong Kong, 1 Germany)

Responsible Procurement

• Robust and rigorous selection mechanism considering price, reputation, product quality, environmental, and social risks.
• Avoidance of suppliers with severe environmental or social impact.
• Effective communication to maintain long-term relationships with suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Flooding in Guangdong province due to heavy rainstorms.

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 20 of GEM Listing Rules)

Third-party Assurance: Not disclosed

Environmental Metrics

ESG Focus Areas

• Emissions
• Energy consumption
• Environmental stewardship
• Climate related risks and mitigation
• Employment and labour practices
• Occupational safety measures
• Employee Development
• Selection of suppliers
• Quality Control
• Whistle-blowing policy
• Donation and charity work

Environmental Achievements

• Reduced GHG emissions from 5.42 tonnes CO2e in 2019/20 to 6.06 tonnes CO2e in 2020/21 (increase attributed to increased electricity consumption)
• Reduced electricity intensity from 38.21 kWh/m² in 2019/20 to 27.03 kWh/m² in 2020/21
• Implemented a Green Office Policy to minimize resource consumption

Social Achievements

• Zero work-related fatality and injury resulting in loss days for three consecutive years (including 2020/21)
• Provided 287 hours of aggregate training and development activities for employees
• Implemented a 'Work from Home' regime during the COVID-19 pandemic
• Maintained an employee turnover rate of 9%

Governance Achievements

• Implemented a whistle-blowing policy
• Provided anti-bribery and corruption training to directors and employees
• Adhered to relevant laws and regulations regarding corruption, bribery, extortion, fraud, and money laundering; no incidents reported during the reporting period
• Complied with ISO9001 management standards

Climate Goals & Targets

Environmental Challenges

• Potential impact of severe climate change (flooding) on business operations
• COVID-19 pandemic impacting in-person training and community investment activities

Mitigation Strategies

• Implemented a flood event emergency response plan, including work-from-home capabilities and data backup sites
• Shifted training to online formats during the pandemic
• Donated masks, quarantine suits, and goggles to overseas Chinese during the pandemic

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Fair operating practices
• Consideration of environmental and social risks
• Avoidance of suppliers with severe environmental or social impact
• Use of a qualified supplier list to mitigate over-reliance on single suppliers
• Preference for sustainable, fair-trade, and environmentally friendly products

Climate-Related Risks & Opportunities

Physical Risks

• Flooding in Guangdong province

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 20 of the Rules Governing the Listing of Securities on GEM)

Certifications: ISO9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Certification of New High-tech Enterprise

Environmental Metrics

ESG Focus Areas

• Environment
• Operational Practices
• Supply Chain Management
• Workplace and Employment
• Community Investment

Environmental Achievements

• Reduced Scope 2 GHG emissions by 3% (from 6.06 to 5.85 tonnes CO2e)
• Reduced water consumption by 22% (from 104.25 to 80.96 m3)

Social Achievements

• Zero product recalls for four consecutive years
• Zero work-related fatalities and injuries resulting in lost days during the reporting period
• Provided 186 hours of aggregate training and development activities for employees

Governance Achievements

• No concluded legal cases regarding corrupt practices
• Compliance with relevant laws and regulations relating to corruption, bribery, extortion, fraud and money laundering

Climate Goals & Targets

Environmental Challenges

• Potential impact on business operations due to severe climate change (flooding in Guangdong province)
• COVID-19 pandemic impacting in-person training and community engagement activities

Mitigation Strategies

• Flood event emergency response plan, work-from-home capabilities, multiple data backup sites
• Implementation of flexible work arrangements, online webinars, restricted business travel, office safety measures (masks, sanitizers, temperature checks)

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• ESG concerns are considered in supplier selection
• Avoidance of suppliers with severe environmental or social impact
• Diversification of suppliers to mitigate risk of over-reliance

Climate-Related Risks & Opportunities

Physical Risks

• Flooding in Guangdong province

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ESG Reporting Guide (Appendix 20 of the GEM Listing Rules)

Certifications: ISO 9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Certification of New High-tech Enterprise