ESG Initiatives for Becoming a Sustainable Corporation

The SCREEN Group promotes sustainable management, an approach to achieving sustainable growth by enhancing corporate value through the creation of shared value (CSV). CSV is the generation of both social value and economic value by accommodating social needs through business activities.
We regard sustainability strategy as part of our shared strategies applicable both to business growth and business foundation enhancement. To globally address long-term environmental, social, and governance (ESG) issues throughout our value chain, we have established Sustainable Value 2026, which sets forth the non-financial targets of Value Up Further 2026, our new medium-term management plan. By striving to achieve these targets, we will live up to the expectations and confidence of our diverse stakeholders and contribute to the sustainable development of society.

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Sustainable Value 2026

We formulated the new sustainability medium-term plan, Sustainable Value 2026, by backcasting from the non-financial indicator outcomes of the Management Grand Design while factoring in issues that emerged during the period of the previous plan as well as external demands and expectations related to ESG initiatives. To achieve the new plan’s targets, we will implement initiatives throughout the global supply chain aimed at further enhancing our corporate value.

Sustainable Value 2026 targets and initiatives (FY2025/03–FY2027/03)
Key issues	Targets for the final year (FY2027/03)	Initiatives
Reduce GHG emissions from business activities　(Scope 1, 2)	70% reduction compared with FY2019/03 (absolute volume) 15,170 metric tons CO₂e	Advance the use of renewable energy at facilities Consider solar power generation and power storage equipment, etc.
Reduce energy usage in business activities	8% reduction compared with FY2019/03 (per unit of net sales) 367 kWh/million yen	Continue advancing the adoption of energy-saving facilities
Reduce GHG emissions from the use of sold products (Scope 3 category 11)	48% reduction compared with FY2019/03 (per unit of gross profit) 13.5 metric tons CO₂e/million yen	Develop businesses with high added environmental value
Provide products with excellent energy-saving performance	Sales from Super Green Products: 3%	Promote the adaptation of mainstay products into Super Green Products
Realize societies in harmony with nature	Reinforce biodiversity-related initiatives	Implement employee education and external communications Cooperate with local communities
Reduce the volume of waste generated	8% reduction compared with FY2019/03 (per unit of net sales) 4.36 kg/million yen	Expand efforts to turn waste materials into valuable materials company-wide Continue to reduce waste generated
Promote effective water use	Water withdrawal: 8% reduction compared with FY2019/03 (per unit of net sales) 5.31 m³/million yen	Reinforce water resource management in product development and manufacturing
Comply with product regulations	Virgin PFAS usage: 15% reduction compared with FY2024/03	Make effective use of recycled materials Reinforce coordination in the supply chain
Reinforce environmental invention	Create environmental inventions that contribute to environmental impact reduction	Promote the creation and IP formalization of environmental inventions through business activities
Increase the number of female employees and the rate of female employees in management positions	Women among new graduate hires: 20% or more Management positions held by women: 5% or more	Offer discussion sessions for female students in STEM fields and expand internship opportunities Improve work environments to be accommodating of women in management positions and support their promotion
Promote the employment of people with disabilities	Employees with disabilities: 2.7% or more	Expand Parte (in-house organization for the employment of people with disabilities)
Promote employee wellness	Presenteeism: 81%	Strive toward stress-free workplaces Coordinate with work style reform and other personnel measures
Prevent occupational accidents	Occupational accidents: 33% reduction compared with FY2024/03	Promote data-driven measures and safety education for employees to change mindsets
Prevent IT incidents	Catastrophic (level 2-equivalent for the Group) information incidents and accidents: 0	Develop and apply rules and guidelines according to the danger level of group risks Expand training to enhance the capabilities of the Computer Incident Response Team (CIRT) Increase personnel with relevant certifications
Maintain and strengthen IT security	NIST SP 800-171 Level 2 (Advanced)-compliant	Improve information security policies Expand dedicated security organization Implement both rules- and technology-based measures Implement group and supplier evaluations
Reinforce BCP globally	Promote BCP at subsidiaries of business operating companies	Visit group companies, implement on-site surveys, and hold workshops
Reinforce BCP in the supply chain	Promote dialogue with suppliers based on risk analysis	Implement measures in cooperation with business operating companies
Promote social responsibility in the supply chain	Expand conflict mineral survey coverage: 120 companies	Build momentum through supply chain communication
Enhance disclosure	Respond to demands for and enhance ESG-related disclosure	Identify critical issues and respond to requests

The SCREEN Group has expanded the SDGs to address through its businesses from 8 to 15. Working as a united group, we will strive to advance value creation toward our future ideals for both society and the SCREEN Group.