Sustainability Report 2018/19

Our Approach to Stakeholder Engagement In order to gain a better understanding of their expectations and views about the Group’s ESG issues, we have been regularly engaging stakeholders since the preparation of our first sustainability report. While maintaining an ongoing dialogue with stakeholders as part of our day-to-day operations, we have also put in place a three-year approach for regular engagement with an extensive group of stakeholders to review our material ESG topics. For the first time, we have formed an external review panel to evaluate reporting quality and content with the aim of strengthening our sustainability reporting practices. The panel comprises seven sustainability professionals from different areas, including corporate, academic, industry associations, investors and business partners. The input we have received from our panel has been invaluable in the compilation of this report. Materiality Analysis A total of 29 ESG topics were identified for the materiality analysis exercise in 2017/18. Accordingly, over 450 stakeholders were asked to rank the importance of the ESG topics and the results were then mapped onto a matrix to compare the relative importance and impact of the 29 issues on our stakeholders and our business. Based on results from last year, we have updated our materiality matrix with input from the external review panel and our senior management. Twenty-one material topics are identified and prioritized within the threshold of ‘high’ materiality level for this year, of which 20 material topics were adopted from the list in 2017/18. The addition is Climate Change Mitigation and Adaptation as a response to increased concerns over the impacts of climate change on SHKP’s operations, especially after devastations caused by super typhoon Mangkhut in Hong Kong. Compliance, Occupational Health and Safety, as well as Customer Privacy remain the top three material topics for the fourth consecutive year. The results have been referenced as a guide in the preparation of this report. The Environment People Customers Supply Chain Community Supporting the United Nations Sustainable Development Goals SHKP supports the United Nations’ Sustainable Development Goals (SDGs), which were adopted by United Nations Member States in 2015 as a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity by 2030. The Group has identified eight out of 17 SDGs that we believe are most relevant to our business and sustainability strategy. Over the long term, we are exploring ways to enhance our sustainability approaches in order to be better aligned with and contribute to the United Nations’ goals. The relevancy of the eight specific goals and the five core areas of focus of our sustainable development strategy are presented below. Our Approach to Sustainability Sun Hung Kai Properties Limited • Sustainability Report 2018/19 6