The performance of ESG management has become an important factor in measuring the sustainability of listed companies, and ESG reports are receiving increasing attention as an important way to systematically explain the ESG management of companies. Recently, Sino Biopharm (HK.1177) released its ESG report for the sixth consecutive year, specifically specifying the key development direction of strengthening the construction of "Responsible Sino Biopharm". In 2021, Sino Biopharm has established a systematic ESG governance structure led by the Group Board of Directors' strategy, guided by the Group's management, strictly implemented by the heads of member companies, and participated by all staff at the executive level. In 2021, Sino Biopharm has established a systematic ESG governance structure led by the Group Board of Directors' strategy, co-guided by the Group's management, strictly implemented by the heads of member companies, and participated by all staff at the executive level.

In order to respond more precisely to the concerns of stakeholders, Sino Biopharm has conducted in-depth research on stakeholder opinions during the preparation of this report, and given comprehensive and systematic responses on key topics such as key ESG risks and anti-corruption, clarified responsible management objectives, and effectively enhanced the transparency of the report.

In terms of ESG risk management, in 2021, the Group will make comprehensive assessments and contingency plans for risks such as business ethics, safety and environmental protection, climate change, product quality and adverse drug reactions, labor and employment, finance and taxation, intellectual property rights and cyber security.

In terms of anti-corruption, the Group actively carries out the construction and propagation of an integrity culture, and requires all employees to attend anti-bribery training when they join the Group. A member company of the Group, CTTQ, has formulated the "Fireplace Rules of CTTQ Pharmaceutical Group" to regulate and guide employees to properly handle possible conflict of interest matters at work and raise the anti-corruption awareness of all employees; Beijing Tide, a member company of the Group, has conducted a total of 12 special training sessions on business ethics and anti-corruption covering all executives, new employees and marketing centers, with a total of 2,466 participants.

Miss Tse, Theresa Y Y, Chairwoman of the Board of Directors of Sino Biopharm, said that Sino Biopharm attaches great importance to corporate compliance and is committed to creating a transparent and honest business environment, providing customers with assured products and services, and achieving continuous and stable growth in marketing revenue while continuously improving customer experience.

The Group's efforts have continued to yield positive feedback, with Sino Biopharm being awarded the "Most Socially Responsible Listed Company in 2021" at the Global Investment Trends Forum 2022 and the 6th Golden Hong Kong Stock Awards Ceremony.

Diversified Talent Structure and Younger Reserve

The report shows that Sino Biopharm attaches importance to staff training and development, and constantly improves the construction of talent teams. In 2021, the ratio of male to female employees of the Group is 53.99% and 46.01% respectively, and the percentage of female in the senior management of the Group is 30%. At the same time, the Group attaches importance to the reserve of young talents, and under the model of combining the old with the young, more and more young employees are getting the opportunities to be promoted to management positions. Besides, in 2021, the number of employees under the age of 40 among the middle management of the Group accounts for nearly 70%.

Sino Biopharm respects the equal rights of women and is continuously committed to eliminating gender inequality. While safeguarding the basic rights and interests of female employees, it cares for the physical and mental health of female employees, empowers female employees and creates an inclusive and warm workplace environment for women.

Miss Tse, Theresa Y Y pointed out that Sino Biopharm is committed to creating long-term value. The company takes the UN Sustainable Development Goals (SDGs) as an important direction for its ESG work, and considers its own characteristics to actively respond to relevant goals such as poverty eradication, good health and well-being, quality education, gender equality, affordable clean energy and climate action to promote a virtuous cycle of corporate development and help achieve the SDGs.