Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Maintained ISO 9000, ISO 14000, and ISO 45001 certifications.
• Reduced manufacturing waste from 483 tonnes to 407 tonnes.
• Reduced water consumption from 226,840 cubic meters to 252,104 cubic meters.
• Reduced electricity consumption from 60,938,000 kWh to 89,696,000 kWh.

Social Achievements

• Provided 12,352 hours of employee training (compared to 552 hours in FY2021).
• Maintained a relatively consistent employee count despite challenges.
• Contributed RM143,800 to the local community.
• Implemented a 3R (reduce, reuse, recycle) initiative.

Governance Achievements

• Adopted a Board Diversity Policy.
• Established an Integrity Policy.
• Implemented a Whistleblowing Policy.
• Maintained a robust corporate governance framework.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions.
• Foreign labor shortages.
• Movement Control Orders (MCOs) and phases of the National Recovery Plan (NRP).
• Sharp escalation in material costs.

Mitigation Strategies

• Optimized productivity for customers.
• Invested approximately RM94.39 million in new facilities and technology.
• Improved operational efficiency and productivity.
• Adhered to dividend payout policy of at least 50% of annual profit after tax.

Supply Chain Management

Responsible Procurement

• Six Sigma program
• 8 Disciplines Program

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Bursa Malaysia Securities Berhad Sustainability Reporting Guide, 2nd Edition, Practice Note 9 of Main Market Listing Requirements, Updated Malaysian Code of Corporate Governance, Global Reporting Initiative (GRI)

Certifications: ISO 9000, ISO 14000, ISO 45001

Environmental Metrics

ESG Focus Areas

• Governance
• Economic
• Environmental
• Social

Environmental Achievements

• Electricity consumption decreased by approximately 18% compared to the previous year.
• Consumed a total of 1,814,352 kg of R-PET and R-PP, representing 19% of total resin consumption.
• Scope 1 and Scope 2 GHG emissions monitoring and disclosure commenced.

Social Achievements

• Provided a total of 16,912 training hours to employees.
• Implemented Productivity-Linked Wage System (“PLWS”) at Syarikat Sin Kwang Plastic Industries Sdn Bhd.
• Provided a total of 8,789 training hours on health and safety training.
• Contributed a total of RM199,936 to non-profit organisations, schools and underprivileged individuals.
• Organised blood donation drives, collecting around 100 blood donation bags.
• Participated in community cleaning programmes.

Governance Achievements

• Recorded ZERO cases of bribery and corruption.
• Recorded ZERO cases of non-compliance with major laws and regulations.
• Recorded ZERO substantiated cases of cybersecurity breaches.
• Board oversight on climate risks and opportunities incorporated.

Climate Goals & Targets

Environmental Challenges

• Challenging operating environment impacted by the lingering effects of the global pandemic, inflation, and the Russia-Ukraine conflict.
• Increased scheduled waste generation due to the introduction of new models and assembly lines.
• Higher water consumption at Syarikat Sin Kwang Plastic Industries Sdn Bhd due to its significant manufacturing operations.

Mitigation Strategies

• Increased investments to cater for future growth (approximately RM13.53 million in non-EMS and RM100.58 million in EMS).
• Implementation of the Six Sigma Programme to reduce waste generation.
• Continuous monitoring of energy consumption and exploration of cutting-edge technologies and transition to energy-efficient facilities.
• Implementation of water conservation measures and exploration of further opportunities for reducing water footprint.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• ESG screening system for suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, TCFD recommendations, Bursa Malaysia’s Sustainability Reporting Guide (3rd edition)

Certifications: ISO 14001, ISO 9001, ISO 45001

Third-party Assurance: Internal

UN Sustainable Development Goals

• SDG 8
• SDG 12
• SDG 13
• SDG 16

Aligned focus areas with specific UN SDG goals.

Sustainable Products & Innovation

• Recyclable products

Awards & Recognition

• Not disclosed