FRONTKEN CORPORATION BERHAD 200401012517 (651020-T) ANNUAL REPORT 2025 24 SUSTAINABILITY REPORT (CONT’D) Collectively, the world confronted prolonged conflicts, diverse natural disasters, heightened political tensions, and widespread supply chain disruptions, alongside the realities of high inflation and economic slowdown. Yet, within these challenges lie opportunities for innovation, transformation, and growth. Frontken Group has responded proactively, adapting to these shifting realities to strengthen our position for long‑term success. As we navigate this new era, our focus extends beyond immediate challenges to encompass critical priorities such as responsible innovation, climate change mitigation, environmental stewardship, and shared prosperity. It is clear that the global business community must undergo profound industrial transformation — fostering collaboration, embracing responsible technologies, and re‑shaping operations to meet the demands of a complex future. Key imperatives include accelerating innovation, embedding sustainability into business models, reducing carbon emissions, and transitioning toward renewable energy sources. To succeed, businesses must uphold compliance with laws and regulations, maintain the highest ethical standards, and integrate sustainability into their core strategies. At Frontken Group, we are committed to contributing to this transformation — championing responsible practices, driving innovation, and making a positive impact on the global stage. Together, through sustainable operations and responsible innovation, we can build a more resilient, equitable, and prosperous future. FRONTKEN GROUP: DRIVING SUSTAINABLE VALUE CREATION At Frontken Group, we continuously evolve our business operations, focusing on our innovation efforts on areas where our technologies, processes, systems, and capabilities can drive meaningful change and accelerate progress. We understand the dynamic nature of our stakeholders, customers, and supply chains, and we are dedicated to addressing climate change risks, clean water challenges, circular economy principles, and fostering green innovation and sustainable production practices. During the fiscal year 2025 meetings of the Sustainability Committee, members engaged in ongoing discussions to enhance our specific business materiality assessment, refine enterprise risk management processes, and strengthen internal control systems. These endeavours are part of our commitment to fine-tune sustainability development priorities and management strategies in response to the evolving risk landscape and challenges confronting our employees, customers and stakeholders.
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