This highlights the Group's impressive performance in sustainable development and the strong international recognition it has garnered.
The MSCI ESG rating is a global authoritative assessment system widely adopted by institutional investors. It annually conducts a comprehensive evaluation of listed companies included in its indices from the three dimensions of environment, social, and governance, aiming to measure enterprises' ability to manage long-term ESG risks. The rating is regarded not only as an authoritative reference indicator in the international capital markets, but also as an important tool for companies to enhance international recognition and optimize financing capabilities.
Hengan International's MSCI ESG rating has steadily improved in recent years, showing continuous positive performance. The 2025 rating results demonstrate that the Group significantly increased its scores on issues such as product carbon footprint, raw material sourcing, and chemical safety, all exceeding the industry average levels, fully reflecting the Company's excellence across multiple ESG dimensions.
As one of the Group's three core strategies, Hengan International practices responsibility with the pursuit of "long-termism", disclosing ESG Report for nine consecutive years and Climate-related Disclosure Report for three consecutive years, demonstrating its commitment and achievements in sustainable development through transparent public disclosures. In 2024, the Group launched the "GROWTH" ESG strategic framework, focusing on six core areas: Governance & Ethical Practices, Resource Conservation & Efficiency, Outstanding Customer Care, Workforce Wellbeing & Empowerment, Trusted Partnerships, and Health & Community Engagement, laying a solid foundation for its long-term vision of "achieving 100 billion in 100 years".
In 2025, Hengan International has boasted impressive performance across various prestigious international ESG indicators. At the end of August, S&P Global Corporate Sustainability Assessment (CSA) announced the Group's latest 2025 evaluation results, with its score climbing from 56 in 2024 to 62. By September 2025, the Group's score far exceeded the industry average of 32, outperforming 91% of its peers and ranking 9th globally.
Additionally, the Group has maintained an "A" rating in the Hang Seng ESG Rating released in September and has been included in the "Hang Seng Corporate Sustainability Benchmark Index" for two consecutive years as the only selected candidate in China's household paper and maternal and child hygiene products industry in 2025. Furthermore, the Group has been listed for three consecutive years in the S&P Global "Sustainability Yearbook (China Edition)" and recognized as the "Industry Mover", becoming a benchmark enterprise for ESG development in the household products industry.
In 2025, Hengan International's MSCI ESG rating elevated to "A," coupled with continuous breakthroughs across multiple ESG indicators, reflecting strong recognition from multiple international authoritative institutions. Looking forward, underpinned by the "GROWTH" strategy, the Group will deepen the integration and innovation of ESG and business development, achieving breakthroughs in key areas of environment, social, and governance, and striving to become a leading benchmark for sustainability in the industry.
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