Climate Change Data

Daiwabo Holdings Co., Ltd.

Climate Impact & Sustainability Data (2022-03 to 2024-03, 2023, 2024, FY2023 (April 1, 2023 to March 31, 2024))

Reporting Period: 2022-03 to 2024-03

Environmental Metrics

Total Carbon Emissions:204,763 tCO2e (FY2022); 249,436 tCO2e (FY2023); 3,317,820 tCO2e (FY2024)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Not disclosed

Social Achievements

  • Not disclosed

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Not disclosed
Mitigation Strategies
  • Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed

Reporting Period: 2023

Environmental Metrics

ESG Focus Areas

  • Sustainable growth
  • Optimal business portfolio
  • Shareholder returns
  • Social value creation
  • Environmental consciousness

Climate Goals & Targets

Long-term Goals:
  • Sustainable enhancement of corporate value
Medium-term Goals:
  • Achieve optimal growth investment and shareholder returns

Environmental Challenges

  • Optimizing business portfolio for maximum value
  • Balancing growth investment and shareholder returns
Mitigation Strategies
  • Transfer of 85% of Daiwabo Co., Ltd. shares to Aspirant Group
  • Formulation of a new group purpose and growth strategy
  • Establishment of a capital allocation policy

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Period: 2024

Environmental Metrics

Total Carbon Emissions:6,900 tCO2e/year (Scope 1 and 2)
Scope 1 Emissions:1 0.0%
Scope 2 Emissions:6 0.2%
Scope 3 Emissions:3,310 tCO2e/year
Waste Generated:1,061 tons/year (industrial waste)

ESG Focus Areas

  • Society & Industry
  • Environment
  • People
  • Governance

Environmental Achievements

  • Achieved zero violations of environmental laws or regulations.
  • Reduced total Scope 1 and 2 emissions (Japan) by 22% compared to FY2013 (9% reduction compared to the previous fiscal year).

Social Achievements

  • Maintained 100% attendance rate for in-house human rights training.
  • Increased percentage of females in managerial positions compared to the previous term.
  • Improved employee engagement in all survey items compared to the previous year in the IT Infrastructure Distribution Business.

Governance Achievements

  • Maintained a majority of independent outside directors (62.5%).
  • Achieved zero serious legal violations and zero serious accidents.
  • Zero compliance violations.

Climate Goals & Targets

Long-term Goals:
  • Carbon neutrality by 2050.
Medium-term Goals:
  • Reduce CO2 emissions to achieve carbon neutrality by 2050.
  • Reduce total Scope 1 and 2 emissions (Japan) by 31% compared to FY2013 by FY2030.
  • Reduce CO2 emissions relating to the active trading of products and services of suppliers that promote decarbonization (Scope 3, category 1) by 17.5% compared to FY2023 by FY2030.
  • Increase percentage of females in managerial positions to 3% or higher by fiscal 2030.
  • Achieve ¥50.0 billion in consolidated operating income in fiscal 2030.

Environmental Challenges

  • Sluggish growth in orders in the energy industry for wind power due to a downturn in the Chinese economy.
  • Low growth in the education market for PCs.
  • Potential impact of climate change, human rights issues, and other issues on our business.
  • Rising commodity prices due to tightening of supply-demand relations for renewable energy.
  • Insufficient compliance with environmental information disclosure practices.
  • Stagnation of operations at business sites due to disasters.
  • Stagnation of supply chain operations due to regions affected by disaster.
  • Rising average temperatures and an increase in the number of extremely hot days.
  • Instability in the upstream supply chain.
  • Increased air conditioning costs due to rising temperatures.
Mitigation Strategies
  • Sales promotions considering recovery in demand in aircraft engine and railroad industries.
  • Preparation for capturing demand in FY2024 and later, including continued information gathering.
  • Formulating appropriate countermeasures and steadily implementing risk management.
  • Securing inventory by having large warehouses and proposing alternative products utilizing multi-vendor functions.
  • Reviewing sales strategies as appropriate, including passing of higher costs on to product prices.
  • Continuation of business through teleworking and correspondence to different locations through multi-base network, strengthening of BCP measures.
  • Strengthening of BCP measures at production sites against wind, flood, and other disasters.
  • Leveraging the strengths of multi-vendors to secure multiple purchasing routes, and securing inventory thanks to having large warehouses.
  • Development of a comfortable work environment at logistics centers and factories.
  • Leveraging the strengths of multi-vendors to secure multiple purchasing routes, and securing inventory thanks to having large warehouses.
  • Consideration of investment in automation of logistics centers and utilization of robots under adverse conditions.

Supply Chain Management

Supplier Audits: 39 companies (approximately 80% of the group’s total transaction volume) surveyed using the CSR Procurement Self-Assessment Questionnaire (SAQ) of Global Compact Network Japan (GCNJ). 100% response rate.

Responsible Procurement
  • Daiwabo Group CSR Procurement Guidelines (June 2023).

Climate-Related Risks & Opportunities

Physical Risks
  • Natural disasters (heavy rain, flooding)
  • Rising temperatures
Transition Risks
  • Increased costs of regulatory compliance (carbon pricing)
  • Increased investment and R&D costs for environmentally conscious technologies
  • Rising commodity prices
  • Rising raw material costs for products with low environmental impact
  • Reputational risk due to delayed response
Opportunities
  • Reduction of energy costs by improving production and transportation efficiency
  • Growth of earnings by providing products and services that contribute to climate change mitigation and adaptation
  • Increase in demand for materials, parts, and solutions required for environmentally conscious equipment
  • Better corporate image by promoting disclosure of climate-related information

Reporting Standards

Frameworks Used: GRI Standards, International Integrated Reporting Framework, Sustainable Development Goals (SDGs), TCFD recommendations

Sustainable Products & Innovation

  • Energy-saving, hydraulic-free, and automated products

Reporting Period: FY2023 (April 1, 2023 to March 31, 2024)

Environmental Metrics

ESG Focus Areas

  • Partnership
  • Diversity & Respect
  • Gratitude & Passion
  • Sincerity & Fairness
  • Environmental
  • Social
  • People

Social Achievements

  • Improved employee well-being through initiatives described in the report, aiming for improved productivity, human resource retention, and legal compliance.

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI standards, Ministry of Economy, Trade and Industry, Value Co-Creation Guidance 2.0, Ministry of the Environment, Environmental Reporting Guidelines