Climate Change Data

Environmental Metrics

ESG Focus Areas

• Social Responsibility

Environmental Achievements

• New CloudGate 4.0 product line will be built in Belgium, lowering transport costs and carbon footprint.

Social Achievements

• Innolumis opened a second assembly location at Afeer in Winschoten, employing people with a distance to the regular labor market.
• Socially responsible reduction of personnel.

Governance Achievements

• Implementation of a Corporate Governance Charter.
• Compliance with Belgian Corporate Governance Code (apply or explain).

Climate Goals & Targets

Environmental Challenges

• Limited cash position.
• High debt burden.
• Delayed introduction of new CloudGate products due to certification issues.
• Decreased sales of CloudGate products.
• Decreased sales of engineering services by Danlaw Inc.
• Delayed delivery of some large projects and decreased portfolio of new projects for SAIT BV.
• Recruiting and retaining skilled technical personnel.
• Maintaining existing employees and adapting to technological changes.
• Ensuring 24/7 availability of IT systems and support.
• Managing cyber risks.
• Finding new markets outside of the Netherlands for Crescent Lighting.
• Dependence on Chinese suppliers for aluminum parts.
• Potential for increased guarantee costs for defective luminaires.
• Dependence on third-party suppliers for wireless data communication services.
• Dependence on third-party manufacturers for product production.
• Potential for supply chain disruptions.
• Risk of product defects.
• Risk of not developing commercially successful new products.
• Risk of non-compliance with regulations.
• Risk of misjudging customer demand.
• Risk of dependence on a single supplier for components.
• Risk of losing access to necessary third-party technology.
• Risk of losing existing license agreements.
• Risk of infringing on intellectual property rights.
• Risk of increased hacking and security incidents due to the growth of IoT.
• Cyclical nature of the telecom market for Aardingen Maro Bvba.
• Inherent risks of project business for SAIT BV.

Mitigation Strategies

• Secured additional credit financing from Belfius, partially guaranteed by Gigarant.
• Restructured short-term financial debt to long-term debt.
• Obtained additional credit line to repay overdue debts.
• Additional credit line from Van Zele Holding NV as a buffer.
• Introduction of new products in Q2 2019.
• Shift towards solutions and software.
• Additional financing from reference shareholders (Van Zele Holding NV and Alychlo NV).
• Negotiations with suppliers to agree on or revise payment plans.
• Continuous recruitment and training of ICT professionals.
• Proactive management of cyber risks.
• Investment in target markets and assessment of market barriers.
• Diversification of supply chain.
• Thorough product testing and quality control.
• Insurance coverage for product recalls.
• Improved procurement process.
• Strategic meetings to adapt to changing market conditions.
• Regular backups of ERP systems.
• Monthly performance monitoring and management meetings.

Supply Chain Management

Responsible Procurement

• Ethical sourcing practices (excluding weapons, animal products, etc.)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS

Sustainable Products & Innovation

• CloudGate 4.0
• CloudGate Mini
• CloudGate Micro