Rakon Limited
Climate Impact & Sustainability Data (2024)
Reporting Period: 2024
Environmental Metrics
Total Carbon Emissions:6000 tCO2e/year (FY24)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:4249 MWh/year (FY24)
Water Consumption:11031 m3/year (FY24)
Waste Generated:22.62 tons/year (FY24)
Carbon Intensity:Increased in FY24 due to lower sales volumes and smaller production runs.
ESG Focus Areas
- Sustainable products
- Sustainable operations
- Ethical supply chain
- An engaged, healthy, diverse and capable workforce
- Risk management
Environmental Achievements
- Implementing a sustainability management software platform to facilitate the collection, calculation, analysis and reporting of Scope 1, 2 and 3 greenhouse gas emissions across Rakon’s global operations.
- Preparing our first mandatory climate-related disclosure as a reporting entity under the External Reporting Board’s (XRB) Aotearoa New Zealand Climate Standards (NZCS).
- Engaging with global teams to develop their understanding of climate change and expectations from stakeholders including regulators, customers and shareholders.
- Exploring vision and opportunities for execution of sustainability in practice on a large scale at our new Manufacturing Centre of Excellence in Bengaluru, India.
Social Achievements
- Fostering health and safety and well-being practices and consistent reporting across global operations for healthy workforce and safe workplaces.
- Regular employee engagement surveys across global teams.
- Focus on Rakon’s Supplier Code of Conduct and procurement terms and conditions to support an ethical and sustainable supply chain including addressing quality, environment, climate change, business practices, labour practices, management systems and governance.
- Continued contribution to local communities through staff-initiated activities that reflect staff interest and values.
Governance Achievements
- Regular engagement with the Board and Committees reflecting their oversight responsibilities and strategic focus on ESG and climate-related matters.
- Recognition of the importance of understanding, monitoring and addressing Rakon’s climate- related risks and opportunities.
- Investment in software platform that enables reliable and repeatable measurement of emissions and other environmental data. Data will inform initiatives and support reporting.
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Growth of AI computing hardware product portfolio.
- Become a top 3 player in space subsystems.
Short-term Goals:
- Accelerated transfer of high-priority space and telco products from France and New Zealand into the new Indian facility.
Environmental Challenges
- Cyclical slowdown impacting telecommunications and positioning segments due to customers working through stockpiled inventory and deferred 5G capex.
- Increased competition and price erosion in the consumer positioning segment.
- Uncertainty as to when mobile operators will recommence deferred investment in 5G networks.
Mitigation Strategies
- Optimisation of manufacturing cost structures, including accelerated transfer of production to the Indian facility.
- Focus on optimising inventory.
- Streamlining operations globally.
- 13% reduction in global workforce.
- Efficiency initiatives driving further cost savings.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Supplier Code of Conduct
- Conflict Minerals Statement
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: NZX Listing Rules, Recommendations for investor reporting
Certifications: ISO 14001 (Auckland, Bengaluru), ISO 45001 (Bengaluru)
Third-party Assurance: PricewaterhouseCoopers
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed