Climate Change Data

Linc Limited

Climate Impact & Sustainability Data (2017-18, 2023-24)

Reporting Period: 2017-18

Environmental Metrics

ESG Focus Areas

  • Sustainability
  • Responsible Corporate Citizenship
  • Workplace Safety
  • Employee Well-being
  • Ethical Business Practices

Environmental Achievements

  • Reduced outsourcing percentage over the past five years from 75% to 45%
  • Commissioned a state-of-the-art integrated facility in Umbergaon

Social Achievements

  • Grew from 10 workers to 1,000+ and from one country to 40+ over the years (including contract workers)
  • Spent ₹39.80 lakhs in FY2017-18 on CSR initiatives in the fields of education, healthcare and sport
  • Undertook periodic learning and development initiatives for the benefit of employees
  • Laid a keen emphasis on health and safety

Governance Achievements

  • Complied with the requirements of Corporate Governance in terms of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
  • Established a Whistle Blower Mechanism
  • Put in place a Policy against Sexual Harassment of Women at Workplace

Climate Goals & Targets

Medium-term Goals:
  • Leverage the full value of Umbergaon plant
  • Increase output and value-addition
  • Boost value-added product in-sourcing
  • Moderate costs and bolster qualitative consistency
  • Develop power brands to enhance product differentiation
  • Strengthen the proportion of high value products with enhanced visibility
Short-term Goals:
  • Increase proportion of revenues from pens priced ≥₹10
  • Enhanced margins
  • Increase output of the successful Pentonic brand
  • Improved profitability
  • Escalate brand spending

Environmental Challenges

  • Impact of GST implementation on domestic business
  • Import restrictions in major export markets (Middle East and Africa)
  • Increase in polymer prices following an increase in crude prices
  • Imposition of tariff barriers by Egypt and Turkey on exported writing instruments
  • US sanctions against Iran and military conflicts in Yemen affecting exports
  • Reluctance among distributors and dealers to keep high levels of inventory
  • Evolving consumer needs
Mitigation Strategies
  • Commissioning of the Umbergaon facility in Gujarat
  • Launching new products to enhance presence in the value-added segment
  • Strengthened data aggregation and mining for informed decisions
  • Assisted trade partners with GST compliance
  • Moderated transit delays following the commissioning of the Umbergaon facility
  • Leveraged logistical efficiencies following GST implementation
  • Expanded the value-added range of products
  • Concentrated on launching products with relatively lower raw material costs and higher margins

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Period: 2023-24

Environmental Metrics

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Reduced plastic waste by replacing Pentonic’s individual plastic wrapper packaging with paper boxes.
  • Moderated dust emissions and prevented effluents from contaminating external water bodies.

Social Achievements

  • Promoted workforce diversity, employing approximately 1,600 women.
  • Supported a small but significant specially abled workforce, offering them comprehensive training.

Governance Achievements

  • Created a strong Board, comprising professionals and industrialists of standing.
  • Established a Whistle Blower Mechanism.

Climate Goals & Targets

Medium-term Goals:
  • Expect Pentonic to exceed 50% of total revenue in the next 2-3 years
Short-term Goals:
  • Increase the number of Pentonic products from four to seven during the current financial year

Environmental Challenges

  • Supply chain disruptions due to raw material volatility
  • Increased competition in the stationery market
  • Consumer shifts towards online shopping
  • Geopolitical tensions disrupting operations and leading to business downturns
  • Economic challenges such as high freight rates, currency devaluation and forex shortages affecting international shipments and exports
Mitigation Strategies
  • Increased digital marketing and e-commerce investments
  • Optimized logistics to improve delivery efficiency
  • Launched 10 new products to meet evolving consumer needs
  • Expanded into new export markets
  • Focused on advanced planning and shorter lead times for high-demand products
  • Explored alternate shipping routes and emphasized higher-value products
  • Introduced new products and tailored packaging for specific markets
  • Reduced non-moving inventory and adopted a made-to-order approach
  • Implemented targeted marketing campaigns and adjusted pricing strategies

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

  • Pentonic