KENANGA INVESTMENT BANK BERHAD 46 INTEGRATED ANNUAL REPORT 2025 SUSTAINABILITY STATEMENT WHY IT MATTERS We recognise that our environmental footprint—driven by energy, water, waste and value chain emissions—presents climate-related risks relevant under IFRS S2. Strengthening resource efficiency and managing Scope 1, 2 and material Scope 3 GHG emissions enhance operational resilience, support climate transition preparedness and reflect our commitment to responsible business practices. Other Key Environmental Activities • Added three (3) electrical vehicles (“EV”) (Denza D9) to the Group’s corporate fleet, marking its first adoption of EVs to reduce carbon emissions and enhance energy management initiatives. • Increased subscription to Tenaga Nasional Berhad’s Green Electricity Tariff scheme, whereby current renewable energy mix usage at Kenanga Tower is at 90%. • In 2025, the Group further advanced its decarbonisation efforts by installing solar photovoltaic panels on the rooftop of Kenanga Tower. • Energy consumption was reduced to 19,809.2 GJ, representing a slight decrease from 20,055.8 GJ in 2024. • Water consumption increased by 12% at Kenanga Tower and decreased by 11% across the Group’s branch offices. • A total of 165,430 clients adopted e-statements in 2025, representing an adoption rate of 63.23%. • Continued organising the annual #GreenAtWork campaign to strengthen employee engagement and embed environmental responsibility into everyday workplace behaviours. Key Risks: • Sustainability and climate risks arising from transition and physical impacts • Credit, market, and operational risks arising from climate-related disruptions to portfolios and operations Key Opportunities: • Strong regulatory compliance builds trust, attracts investors and supports alignment with industry standards, while robust climate risk assessments protect long-term value and strengthen portfolios. In addition, investing in energy-efficient technologies reduces costs and enhances operational sustainability. CLIMATE IMPACT ISSB-referenced Sustainability Statement This year, the Group reports under the IFRS Sustainability Disclosure Standards for the first time for the annual reporting period ended 31 December 2025. For this initial year of application, the Group has applied IFRS S2 Climate-related Disclosures for the reporting period commencing 1 January 2025. As of 31 December 2025, no other IFRS Sustainability Disclosure Standards have been issued by the International Sustainability Standards Board. The IFRS Sustainability Disclosure Standards include transition reliefs for entities in their first year of application. In addition, the Main Market Listing Requirements provide further reliefs for issuers listed on Bursa Malaysia’s Main Market. The Group has applied these reliefs, including the exemption from presenting comparative information for the first reporting period. The Group has also elected to apply the transition relief that permits disclosures to focus solely on climate-related risks and opportunities and to limit the scope of reporting to its principal businesses. For more information on our environmental initiatives, refer to Environmental Stewardship chapter, from pages 65 to 101 of our Sustainability Report 2025.
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