SUNART RETAIL’s 2025/26 ESG Report Shows 16% Emissions Drop, 40.9% Clean Power and Strong Governance Upgrades

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SUNART RETAIL has published its ninth Environmental, Social and Governance (ESG) Report, covering the 12 months to 31 March 2026. Key disclosures track material progress in climate action, product responsibility, supply-chain oversight and workforce development.

Governance and Risk Management • A three-tier structure—Board, ESG Management Committee and ESG Working Group—guides strategy, execution and disclosure on 29 core ESG topics. • Eleven critical, 15 highly significant and three important topics were endorsed by the Board. • Integrity controls were tightened: 753 integrity reports were received and investigated, all 100 % of suppliers signed the “Integrity Pledge”, and 396 conflict-of-interest and gift declarations were filed. • Two emerging risks were added to the enterprise risk register: “Digital transformation and data security” and “Supply-chain stability”.

Climate and Environmental Performance • Scope 1 & 2 greenhouse-gas emissions fell 16 % year on year to 998,646.72 tCO₂e; total Scope 1-3 emissions were 1.09 million tCO₂e. • Clean electricity (photovoltaic, green-power trading and nuclear) contributed 40.9 % of total consumption. Rooftop solar output more than doubled to 55.11 million kWh, spanning 61 stores and four logistics warehouses. • Management-based energy-saving projects cut a further 10 million kWh. • Plastic-reduction and recycling programmes lowered waste-bag spending 17 % against budget and recycled 93,209 t of cardboard; 445 stores now sort waste on site. • Four environmental targets remain in place, including carbon neutrality for Scope 1 & 2 by 2030 and 100 % store waste sorting and cardboard recycling by the same date.

Product Safety and Customer Trust • No product recalls or data-privacy breaches were recorded. • Quality audits covered 100 % of hypermarkets, while a digital shelf-life and cold-chain monitoring platform handled 526 anomaly alerts. • Sales of traceable products reached RMB 2.53 billion, with 100 % of beef and 40.8 % of fresh aquatic products fully traceable. • A net promoter-score survey and complaint-handling system kept quality complaints to c.0.4 % of orders.

People and Inclusion • The group employed 62,415 full-time staff; women held 52.9 % of all management positions and 33.3 % of board seats. • Average training hours rose to 30.40 per employee, with 100 % coverage. • Employees with disabilities made up 1.55 % of the workforce. • Ten work-related fatalities and 217 injuries were reported; Sun Art Retail reiterated its “Zero Major Fire Accidents” red-line goal and expanded safety drills and training.

Supply-Chain Responsibility • All active suppliers signed the Integrity Commitment Letter; 4,805 suppliers hold HACCP certification and 4,357 carry ISO 22000. • Local sourcing expanded: geographic-indication meat, produce and seafood lines achieved notable sales gains, including RMB 55.04 million from cage-free poultry and RMB 136.51 million from free-range Australian beef. • Animal-welfare-certified suppliers generated 20 % of meat-category sales, with a target to reach 30 % by FY 2027.

Forward Plans The Board will keep climate resilience, energy transition, supply-chain risk and workforce safety as priority areas while pursuing the 2030 carbon-neutrality target and expanded animal-welfare commitments.

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