New Huo Technology Holdings Limited

Climate Impact & Sustainability Data (2021-09-30 to 2023-03-31, 2022)

Disposal of equity interests in Target Companies to reduce debt burden
Focus on core businesses: technology solution services and virtual asset ecosystem services
Share subscription to repay outstanding loans

Total Carbon Emissions:1839.45 tCO2e/year

Scope 1 Emissions:20.32 tCO2e/year

Scope 2 Emissions:1783.95 tCO2e/year

Scope 3 Emissions:35.18 tCO2e/year

Total Energy Consumption:3555.23 MWh/year

Water Consumption:12903.73 m3/year

Waste Generated:6.56 tonnes/year

Total GHG emissions intensity (tCO2e per employee) decreased by approximately 14.80% compared to last financial year.
Hazardous wastes disposal intensity (tonnes per employee) has decreased by approximately 33.33% in comparison to last financial year.
Total energy consumption intensity (MWh per employee) has decreased by approximately 16.82% compared to last financial year.
Total water consumption intensity (cubic meters per employee) has decreased by approximately 18.48% in comparison to last financial year.
Packaging material usage intensity (tonnes per employee) has decreased by approximately 5.56% in comparison to the last financial year.

Launched three gifts campaigns for children in poverty, with nearly 10,000 children benefiting.
Jointly launched the first digital collection with RAEX Oasis for charity, raising nearly $90,000.
Organized the “Meta Universe Charity Auction”, donating all profits to the Beijing Angel Mom Charity Foundation’s Starfire Charity Fund.
Implemented 5S Management in its manufacturing facilities to promote safe and efficient workplaces.

Established an ESG governance structure comprising the Board and a Taskforce.
Maintained close communication with key stakeholders, including shareholders, customers, suppliers, and employees.
Established an Anti-corruption Policy and Code of Prevention of Bribery and Confidentiality.

Short-term Goals:

Reduce GHG emissions intensity (tCO2e per employee) over the next 3 years.
Reduce hazardous waste intensity (tonnes per employee) over the next 3 years.
Reduce total energy consumption intensity (MWh per employee) over the next 3 years.
Reduce total water consumption intensity (cubic meters per employee) over the next 3 years.
Reduce total non-hazardous wastes intensity (tonnes per employee) over the next 3 years.

Global economic downturn and bear market in virtual assets impacting cloud-based services revenue.
Loss of major clients in SaaS business.
High operating costs and change of business planning leading to the dissolution of New Huo Trust US.
Increased frequency and severity of extreme weather events disrupting operations.
Stringent climate legislations and regulations increasing compliance costs and risks.

Implemented emission reduction measures to meet Level 3 of the second period under the “Atmospheric Pollutant Emission Limits”.
Implemented measures to reduce energy consumption, including phasing out energy-inefficient equipment.
Implemented water-saving measures, including using induction water switches and flow restriction measures.
Implemented flexible working arrangements and precautionary measures during bad weather.
Regularly monitors existing and emerging trends, policies and regulations relevant to climate change.

Supplier Audits: All suppliers engaged by the Group have been reviewed through the supplier management system.

Stringent climate legislations and regulations increasing compliance costs and risks.

Frameworks Used: ESG Reporting Guide (Appendix 27 of the Rules Governing the Listing of Securities)

Certifications: ISO14001:2015