Sustainability medium-term plan

Our sustainability strategy forms the core of our sustainable management. We have positioned it as a shared strategy applicable to both business growth and business foundation enhancement under Value Up Further 2026, our medium-term management plan for achieving the goals of the Management Grand Design. Based on this strategy, we are implementing global initiatives throughout the value chain.
More specifically, we have formulated Sustainable Value 2026, our medium-term plan for enhancing social value under Value Up Further 2026. In line with this plan, we are implementing a variety of initiatives organized into the three categories of environment, social, and governance (ESG).
Under environment, we have established the Environmental Policy based on the principle of “establishment of friendly environment for people and our planet.” Aiming to protect the natural environment for future generations, we work to contribute to decarbonization, the creation of a sound material cycle, and the sustainable development of a society in harmony with nature.
Under social, we have established the Human Rights Policy and Occupational Safety and Health Policy in alignment with international human rights standards, including the UN Global Compact and Universal Declaration of Human Rights. The entire Group works together on related initiatives spanning a broad range of issues, including respect for human rights, health and productivity management, human capital management, social responsibility in the supply chain, and social contribution.
In terms of governance, we recognize that maintaining robust corporate governance, enhancing and strengthening risk management that reflects environmental changes, and fostering compliance awareness among employees are all essential for the Group to grow sustainably and fulfill its social responsibility. As such, we strive to maintain and enhance corporate governance.

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Sustainable Value 2026

While the SCREEN Group’s ESG initiatives are broadranging, and we strive to comprehensively address each of these areas, we have designated 19 priority ESG issues in order to more effectively advance initiatives. These priority issues were selected mainly to align with the outcome targets of the Management Grand Design, the targets of Sustainable Value 2023 (the previous medium-term plan) that we fell short of, and the topics we want to (or need to, based on broader social factors) prioritize under Sustainable Value 2026. We plan to flexibly revise them going forward, on an ongoing basis, in light of changes in social and other sustainability-related conditions.

Progress of Sustainable Value 2026

In the fiscal year ended March 31, 2025, the first year of Sustainable Value 2026, we met our targets for 17 of the plan’s 19 key issues. The Sustainability Committee and related organizations will continue to advance a PDCA cycle as the Group works in unison toward ongoing improvement.


Key issues	Targets for the final year (FY2027/03)	Main initiatives	FY2025/03 results and future outlook
Reinforce green invention	Create green inventions that contribute to environmental impact reduction	IP portfolio management Global IP strategy AI-related/green invention enhancement Promote the creation and rights acquisition of green inventions through business activities	The number of patents held (including AI-related and green inventions and global patent holdings) exceeded the target Improved patent quality as evaluated by objective IP indicators
Provide products with excellent energy-saving performance	Sales from Super Green Products: 3%	Promote the adaptation of mainstay products into Super Green Products	Sales from Super Green Products: 0.6% Advanced the development and sales expansion of Super Green Products
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.	56.6% reduction compared with FY2019/03 (absolute volume) 21,961 metric tons CO₂e Expanded sites using renewable energy
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	55.7% reduction compared with FY2019/03 (per unit of gross profit) 11.5 metric tons CO₂e/million yen Promoted sales of environmentally friendly, high added value products
Reduce the weight 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	47.6% reduction compared with FY2019/03 (per unit of net sales) 2.48 kg/million yen Reduced weight of waste generated through conversion of plastic and other waste to valuable materials
Reduce energy usage in business activities	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	33.5% reduction compared with FY2019/03 (per unit of net sales) 265 kWh/million yen Raised energy efficiency through operational improvements
Realize societies in harmony with nature	Reinforce biodiversity-related initiatives	Implement employee education and external communications Cooperate with local communities	Bioassay testing at the Hikone Site found the water quality good in terms of toxicity to aquatic organisms Continued collaboration with communities, including SCREEN Forest conservation activities
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	33.9% reduction compared with FY2019/03 (per unit of net sales) 3.81 m³/million yen Identified areas for improvement through the visualization of water use at business sites
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	Optimized designs to used recycled materials Continued efforts to survey and understand the PFAS content of products Human resources
Prevent occupational accidents	Occupational accidents: 33% reduction compared with FY2024/03 (26 or fewer¹) 1. Revised the scope to occupational accidents where company negligence is recognized as a cause	Promote data-driven measures and safety education for employees to change mindsets	Occupational accidents: 17.5% reduction compared with FY2024/03 Implemented inter-site cross-check safety patrols Implemented regular safety education and drills for employees
Promote employee wellness	Presenteeism: 81%	Strive toward stress-free workplaces Coordinate with work style reform and other personnel measures	Presenteeism: 80.4% Implemented wellness promotion and mental healthcare measures Verified the effects of initiatives to improve future measures
Promoting the employment of people with disabilities	Employees with disabilities: 2.7% or above	Expand Parte (in-house organization for the employment of people with disabilities)	Employees with disabilities: 2.9% (as of June 1, 2025) Expanded Parte and held seminars on improving work environments and communication for working with people with disabilities
Increase the number of female employees and the rate of female employees in management positions	Women among new graduate hires: 20% or above Management positions held by women: 5% or above	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	Women among new graduate hires: 19.9% (April 2025 hires) Took a multifaceted approach with seminars by female employees as well as videos and brochures about the careers of role model employees Management positions held by women: 4.5% Launched cross-company mentoring to support women’s careers and close the gender gap
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	Made a periodic review of information security-related rules Monitored and dealt with information security through a dedicated security organization Rolled out cybersecurity solutions
Prevent IT incidents	Catastrophic 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	Catastrophic information incidents and accidents: 0 Implemented cyber incident drills Implemented information security education
Reinforce BCP globally	Promote BCP at subsidiaries of business operating companies	Visit group companies, implement on-site surveys, and hold workshops	Implemented on-site surveys and disaster drills at subsidiaries outside Japan as planned Continued efforts to enhance and reinforce the Group’s overall ability to maintain business continuity
Reinforce BCP in the supply chain	Promote dialogue with suppliers based on risk analysis	Implement measures in cooperation with business operating companies	Surveyed the status of BCPs through discussions with suppliers, identified issues, and formulated responses, fulfilling the annual plan Coordinated with business operating companies to promote measure reinforcement
Promote social responsibility in the supply chain	Expand conflict mineral survey coverage: 120 companies	Build momentum through supply chain communication	Conflict mineral survey coverage: 81 companies Reinforced seminars and online information to promote understanding among suppliers
Enhance disclosure	Respond to demands for and enhance ESG-related disclosure	Identify critical issues and respond to requests	Formulated and updated decarbonization transition plans and disclosed them in TCFD disclosure Continued efforts to promptly respond to disclosure requirements in and outside Japan, such as those of the SSBJ

Supporting the achievement of the Sustainable Development Goals

As part of efforts to achieve the 10-year vision included in the Management Grand Design, the SCREEN Group has designated 15 of the SDGs established by the United Nations as key targets to work toward through its business. Furthermore, under Sustainable Value 2026, our medium-term plan for enhancing social value, we have designated specific aims for addressing environmental (E), social (S), and governance (G) issues and are implementing initiatives accordingly. In addition, the Group engages in ongoing efforts aligned with the UN Global Compact and international initiatives related to climate change, such as the Task Force on Climate-related Financial Disclosures (TCFD) and the Science Based Targets initiative (SBTi).