SUSTAINABILITY STATEMENT SCOPE OF REPORTING This Statement discusses the sustainability strategies, performance, and targets of Kimlun Group FY2023, focusing on Kimlun Sdn Bhd (“KLSB”) and SPC Industries Sdn Bhd (“SPC”) which represent the Group’s Construction and Engineering segment and pre-cast concrete manufacturing business, unless otherwise stated. Construction projects which are less than RM20 million and with more than 90% completion rate as at 31 December 2023 are excluded, as our data collection efforts were focused on projects with a more significant size and activities. Combined, these two companies make up more than 95% of Kimlun Group’s revenue. The in-scope companies’ operations are carried out at our headquarters in Johor Bahru, 2 pre-cast manufacturing factories, 4 offices, and various construction sites. For the reporting on community contributions and employee-related performance data including employee training, employee turnover, workforce profile and diversity, the coverage is on the entire Kimlun Group. DATA VERIFICATION This Statement has not been subjected to internal review by the Group’s internal auditors nor has it been subjected to external, independent assurance. Nonetheless, the Management has undertaken the necessary steps to perform internal verification to enhance the accuracy and completeness of the sustainability data reported in this Statement. GOVERNANCE STRUCTURE Kimlun’s Board holds the ultimate responsibility in ensuring sustainability is considered and incorporated in the Company’s business strategies and that the Group’s governance structure supports the management of the Group’s sustainability-related issues and initiatives, including those relating to climate risks and opportunities. The Senior Management, represented by the Executive Committee that is composed of the executive directors of Kimlun and its wholly-owned subsidiaries, drives the development and implementation of sustainability strategies. The Executive Committee members provide leadership within their respective divisions and functions, including carrying out sustainability efforts and pursuing the sustainability targets set. The in-scope businesses, namely the Construction and Engineering segment and the pre-cast concrete manufacturing business, have also established their respective Business Division Sustainability Steering Teams to oversee the carrying out of sustainability efforts and continuous improvement. As with the Group’s risk management processes, sustainability-related risk management activities are overseen by the Audit and Risk Management Committee (“ARMC”). The ARMC is also responsible for supporting the Board in assessing the adequacy and effectiveness of the Group’s risk management and internal control system, including those relating to the management of sustainability risks. 027 Annual Report 2023
RkJQdWJsaXNoZXIy NDgzMzc=