SHKP Sustainability Report 2024/25

100 Our Reporting Approach Message from the Sustainability Steering Committee Our Business Our Approach to Sustainability Value Created for the ENVIRONMENT Value Created for PEOPLE Value Created for CUSTOMERS Value Created for SUPPLY CHAIN Value Created for COMMUNITY Appendix V Sun Hung Kai Properties Limited | Sustainability Report 2024/25 GRI Standards Indicator Details UNGC’s Ten Principles Reference (Page number) Remarks/Omission GRI 203: Indirect Economic Impacts (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Value Created for Supply Chain (62-71); Value Created for Community (72-81) Indirect economic impacts include jobs supported in the supply chain and community initiatives. 203-1 Infrastructure investments and services supported Value Created for Supply Chain (62-71); Value Created for Community (72-81) Weworkcloselywithgovernmentand localcommunitieswhendeveloping propertiesandmusttake intoconsiderationthe impactofourdevelopmentson localtrafficconditionsandotherinfrastructure.Whileourinvestmentsarecommercial, wegobeyondregulatoryrequirementstobuildhigh-qualityproperties. GRI 204: Procurement Practices (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Value Created for Supply Chain (62-71) 204-1 Proportion of spending on local suppliers Value Created for Supply Chain (62-71) Local suppliers are defined as suppliers in Hong Kong. GRI 205: Anti-corruption (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 10 Value Created for People (40-48); Value Created for Supply Chain (62-71) We circulate our Sustainability Report to inform our stakeholders on anti- corruption issues. 205-2 Communication and training about anti-corruption policies and procedures Principle 10 Value Created for People (40-48); Value Created for Supply Chain (62-71) During the reporting year, all directors received additional anti-corruption training material and 22,802 (74%) of our full-time employees received anti- corruption training. 205-3 Confirmed incidents of corruption and actions taken Principle 10 Appendix III – Performance Tables (86-97) A legal case regarding fraudulent practices during 2017-2021 was concluded against a former employee of SHKP’s franchise hotel during the reporting year. The individual, a former accountant from the Four Seasons Hotel Hong Kong, was convicted and sentenced to six and a half years’ imprisonment following legal proceedings that concluded in April 2025. GRI 206: Anti-competitive Behaviour (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Value Created for Supply Chain (62-71); Appendix III – Performance Tables (86-97) We circulate our Sustainability Report to inform our stakeholders on anti- competitive behaviour issues. 206-1 Legal actions for anti-competitive behaviour, anti-trust, and monopoly practices N/A During the reporting year, there were no legal proceedings involving anti- competitive behaviour, or involving anti-trust and monopoly practices in Hong Kong. Environmental Topics GRI 301: Materials (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7,8,9 Value Created for the Environment (15-39); Appendix III – Performance Tables (86-97) We circulate our Sustainability Report to inform our stakeholders on environmental issues. 301-1 Materials used by weight on volume Appendix III – Performance Tables (86-97) Within our operations, the use of packaging material for finished products is not material to the majority of the Group’s business. The major materials we use are for construction-related activities. Although timber is not a key material used, in general, most of the timber we use comes from sources that are certified as sustainable. GRI 302: Energy (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7,8,9 Value Created for the Environment (15-39); Appendix III – Performance Tables (86-97) We circulate our Sustainability Report to inform our stakeholders on environmental issues. 302-1 Energy consumption within organization Appendix III – Performance Tables (86-97) 302-3 Energy intensity Appendix III – Performance Tables (86-97) 302-4 Reduction of energy consumption Value Created for the Environment (15-39) GRI 303: Water and Effluents (2018) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7 Value Created for the Environment (15-39); Appendix III – Performance Tables (86-97) More details can be found in our Environmental Policy . 303-1 Interactions with water as a shared resource Value Created for the Environment (15-39) Most of our businesses are not water-intensive. Municipal water is the only source for entities covered in this report. All water discharged from our operations was transported to the local municipal wastewater systems. 303-2 Management of water discharge- related impacts Value Created for the Environment (15-39) See remarks for 303-1 above. 303-3 Water withdrawal Value Created for the Environment (15-39); Appendix III – Performance Tables (86-97) 303-5 Water consumption Appendix III – Performance Tables (86-97) See remarks for 303-1 above. GRI Standards Indicator Details UNGC’s Ten Principles Reference (Page number) Remarks/Omission GRI 304: Biodiversity (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7,8 Value Created for the Environment (15-39) We strictly comply with all legal requirements during development and performed all the necessary biodiversity assessment as required by the government. During the reporting year, we did not identify any significant biodiversity- related risks in our operations. 304-1 Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas Value Created for the Environment (15-39) 304-2 Significant impacts of activities, products and services on biodiversity Value Created for the Environment (15-39) 304-3 Habitats protected or restored Value Created for the Environment (15-39) 304-4 IUCN Red List species and national conservation list species with habitats in areas affected by operations Value Created for the Environment (15-39) One incense tree – classified as ‘vulnerable’ by the IUCN – was conserved and incorporated into the planning and landscape design of the St Michel project. GRI 305: Emissions (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7,8,9 Value Created for the Environment (15-39) We circulate our Sustainability Report to inform our stakeholders on environmental issues. 305-1 Direct (Scope 1) GHG emissions Appendix III – Performance Tables (86-97) Direct emissions include fuel, diesel, petrol, natural gas and refrigerant. The methodology for estimating greenhouse gas emissions comes from the Guidelines to Account for and Report on Greenhouse Gas Emissions and Removals for Buildings in Hong Kong – 2010 edition and Guidelines for Calculation Methods and Reporting of Greenhouse Gas Emissions from Industrial and Other Industrial Enterprises (Trial). We also measure our greenhouse gas emissions with reference to the Greenhouse Gas Protocol. 305-2 Energy indirect (Scope 2) GHG emissions Appendix III – Performance Tables (86-97) See remarks for 305-1 above. Indirect emissions include purchased electricity and town gas. For indirect GHG emissions (scope 2) –market-based, the emission factors for purchased electricity are illustrated by referring to the information released by CLP and HEC in 2024, and that for purchased towngas is adopted from Towngas in 2024. As for indirect GHG emissions (scope 2) – location-based, the emission factors for purchased electricity referenced the territory-wide default value fromHKEx’s ‘Appendix 2: Reporting Guidance on Environmental KPIs’. The emission factors for purchased heating on the mainland refer to Guidelines for Calculation Methods and Reporting of Greenhouse Gas Emissions from Industrial and Other Industrial Enterprises (Trial). 305-3 Other indirect (Scope 3) GHG emissions Value Created for the Environment (15-39); Appendix III – Performance Tables (86-97) We measure our greenhouse gas emissions with reference to the Greenhouse Gas Protocol. 305-4 GHG emissions intensity Appendix III – Performance Tables (86-97) 305-5 Reduction of GHG emissions Appendix III – Performance Tables (86-97) GRI 306: Waste (2020) GRI 3: Material Topics 2021 3-3 Management of material topics Principle 7,8,9 Value Created for the Environment (15-39); Value Created for Supply Chain (62-71) We circulate our Sustainability Report to inform our stakeholders on environmental issues. 306-1 Waste generation and significant waste-related impacts Value Created for the Environment (15-39) During the reporting year, the Group generated no significant hazardous waste. 306-2 Management of significant waste-related impacts Value Created for the Environment (15-39) See remarks for 306-1 above. 306-3 Waste generated Appendix III – Performance Tables (86-97) See remarks for 306-1 above. 306-4 Waste diverted from disposal Appendix III – Performance Tables (86-97) 306-5 Waste directed to disposal Appendix III – Performance Tables (86-97) General waste are sent to landfill while construction and demolition waste are sent to public fill, sorting facilities or landfill. Hazardous waste are collected and recycled by licensed collectors. GRI 308: Supplier Environmental Assessment (2016) GRI 3: Material Topics 2021 3-3 Management of material topics Our Approach to Sustainability (5-14) We circulate our Sustainability Report to inform our stakeholders of environmental issues. 308-1 New suppliers that were screened using environmental criteria Value Created for Supply Chain (62-71) During the reporting year, around 46% of our total procurement took environmental considerations into account. We are collecting such data for new suppliers and will disclose once the data is available.