Stock Code:002431
Stock Code:002431
Address of Zhengzhou Office: 16-18th Floors Haihui Center at the
intersection of Dongfeng South Road and Kangning Street Zhengdong
New District Zhengzhou City Henan Province China 2024
Address of Guangzhou Office: 6th Floor Block B Zhuguang Xincheng
International Center No. 3 Qingyi Street Machang Road Tianhe District Palm Eco-Town Development Co. Ltd.Guangzhou City Guangdong Province China
002431@palm-la.com www.palm-la.com Environmental Social and Governance (ESG) ReportTable of Contents
Innovation for Empowerment:
About This Report 01 Steady Operations: Focusing on Acting in Good Faith:
Message from the Chairman 03 Enhancing Compliance Collaborative Industry
About Palm Eco-Town 07 Governance 01 Advancement 03 Building a ResponsibleSociety 05
Company Profile 07
Corporate Culture 07 Adhering to Party Building / 21 Deepening R&D and Innovation / 53 Supporting Rural Revitalization / 89
Organizational Structure 08
Advancing Steady Operations / 24 Strengthening Quality Management / 63 Responding to the “Belt and Road” Initiative / 90
Milestones 08
Strengthening Compliance Management / 30 Maintaining Stable Supply Chain / 66 Practicing Social Welfare / 92
Honors and Achievements 09
Performance in 2024 11 Protecting Data Privacy / 70
Sustainable Development
Governance 13 Green Design: Caring for Employees:
ESG Governance System 13 Creating a Harmonious 02 Ensuring SafetyCommunications with Stakeholders 15 Ecosystem and Health 04 Afterword to this Report
Management of Material Topics 16
Key Performance Form / 93
Indexes / 99
Responding to Climate Change / 35 Protecting the Rights and Interests of Reader Feedback / 101
Strengthening Environmental Compliance Employees / 73
Management / 40 Supporting Employee Growth / 77
Improving Resource Efficiency / 44 Safeguarding Safety Production / 81
Protecting Ecosystem and Biodiversity / 47About This Report
About This Report
Data Sources
This report is the second Environmental Social and Governance Report (“ESG Report” or “this report”) issued by Palm Data sources used in this report include the Company’s actual operational data public data from government agencies annual
Eco-Town Development Co. Ltd. (“Palm Eco-Town” “the Company” or “we”). In the principles of objectivity standardization financial data internal statistical reports third-party questionnaire surveys etc. The financial data in this report is presented
transparency and comprehensiveness this report elaborates on the Company’s environmental social and corporate gover- in RMB. For any discrepancy between this report and the financial statements the financial statements shall prevail.nance practice and performance in 2024.Definition
Term Interpretation
Palm Eco-Town the Company We Palm Eco-Town Development Co. Ltd.Yuzi Affordable Housing Henan Yuzi Affordable Housing Management and Operation Co. Ltd.Reporting Scope Palm Design Group Palm Design Group Co. Ltd.This report covers Palm Eco-Town and its branches and subsidiaries. Unless otherwise specified the scope of this report is SZSE Shenzhen Stock Exchange
consistent with that of the Company’s Annual Report.Country/Government The People’s Republic of China and its administrative agencies
CSRC China Securities Regulatory Commission
Reporting Period
This report covers a period from January 1 2024 to December 31 2024 (“Reporting Period”). To enhance the comparability and
foresight of this report some sections will appropriately refer back to previous years or include forward-looking statements.This report is released on an annual basis to coincide with the annual financial statements. Confirmation and Approval
This report was approved by the Company’s Board of Directors on April 24 2025 and was subsequently released in conjunction
Preparation Basis with the Annual Report. The Board pledges to exercise oversight over the contents of this report ensuring its absence of any
Shenzhen Stock Exchange
?
? ?? false records or misleading representations and assuming responsibility for its truthfulness accuracy and completeness.? - This report is published in Chinese with the English version derived from the Chinese translation. In the event of any
discrepancies between the two versions the Chinese version shall prevail.Shenzhen Stock Exchange ?
?? ? ?
?
State Council and the State-owned Assets Supervision and Administration Commission ?
?
?
??
?
? Access to the Report
China Enterprise Reform and Development Society
? ?? ? ?- This report is available for review and download on the official websites of the Company (www.palm-la.com) the website of
Shenzhen Stock Exchange (www.szse.cn) and the website of cninfo (www.cninfo.com.cn).? ? ? ? ? ?-
Global Reporting Initiative
?
?
-
01 02Message from the Chairman
Message from the Chairman
I. Implementing the ESG Philosophy and Defining Development Directions through Party Building
Leading reform in state-owned enterprises through Party building is an essential requirement for implementing the
spirit of the 3rd plenary session of the 20th CPC Central Committee. Guided by Party building we have deeply
integrated the ESG philosophy into our corporate development providing clear direction and uniting our strengths
Mountains Ahead for progress.
1.Learning policies to define direction and align with national development strategies. Party building
Together We Forge the Path serves as the soul of enterprise development and our guiding beacon. We closely follow the country’s strategic
goals in new urbanization rural revitalization ecological civilization and the digital economy. We integrate the
ESG philosophy into our “One Core Two Wings” development strategy which positions green urban and rural
construction as the core and rural revitalization and innovative businesses as the two wings collectively driving
Liu Jianghua Party Branch Secretary and Chairman the diversified growth of our operations. In the area of green urban and rural construction we focused on our
of Palm Eco-Town Development Co. Ltd. primary responsibilities and core business dedicating efforts to steadily advance the development of our three
major business segments: landscape construction engineering construction and planning and design. In the area
of rural revitalization we took high-standard farmland construction as the starting point leveraged collective
village economies as the foundation and prioritized the growth of modern large-scale agriculture. By coordinating
Looking back at 2024 Palm Eco-Town celebrat- the development of technological digital quality and branded agriculture we aimed to drive integrated progress
ed a significant milestone - its 40th anniversary. in industrial prosperity county strengthening and citizen enrichment ultimately fostering shared prosperity
“At forty one has no doubts.” This year was of between urban and rural areas. In the area of innovative businesses we actively explored emerging fields such as
extraordinary significance to us. Although the urban operations and digital technology to incubate advantages in these domains cultivate fresh growth
Company faced severe challenges with the momentum and build future core competitive strengths.strong support of our controlling shareholders 2.Learning from the Party’s history to seek solutions and gain wisdom and strength. The century-long
and the diligent efforts of our management and history of the Communist Party of China serves as a vivid and richly detailed textbook. By drawing lessons from
all employees we overcame great difficulties the Party’s history we found answers gained wisdom and strength and applied them to the Company’s realities.and challenges and implemented our strategic We continuously innovated our management ideas and methods strengthened technological innovation and the
decisions with practical actions ensuring the transformation of scientific achievements and reduced environmental impact during project execution. Moreover
Company’s stable development. we enhanced our management models to improve operational efficiency and corporate contributions to society.Through exploring innovative business models we fully leveraged the strategic resources of our controlling
Over the past year the Company made remark- shareholders and partners to collaboratively develop operational models for emerging fields.able progress in the field of ESG (Environmental
Social and Governance). We actively responded 3.Strengthening corporate culture with Party building and fostering innovation. Party building is
embedded in our strategy formulation and decision execution and is deeply integrated into the cultivation of our
to the country’s major development strategies
corporate culture. By strengthening our Party-building efforts we further advanced our corporate culture and
and remained committed to promoting sustain-
reinforced employee cohesion and unity. We focused on building a strong team of Party members and motivating
able development. We recognize that as a them to serve as role models in practice. Additionally we reinforced Party organizations by refining our
responsible corporate citizen we must lead by organizational systems and working mechanisms. Through enhancing our corporate culture we cultivated a
example in environmental protection social positive and progressive work environment.responsibility and corporate governance.At the same time we upheld cultural confidence by integrating China’s 5000-year cultural heritage into our project
designs while fully embodying the ecological philosophies of “promoting harmony between humanity and nature”
and “lucid waters and lush mountains are invaluable assets.” We drove innovation by drawing upon our cultural
inheritance thereby showcasing China’s unique charm and profound cultural legacy.
03 04Message from the Chairman
II. Enhancing ESG Management through Organizational Compliance and Structural Optimization IV. Supporting Chinese Modernization by Focusing on National Strategies
Organizational compliance is the cornerstone of a company’s stable development and a key to improving ESG In rural revitalization we remained committed to increasing agricultural efficiency boosting farmers’ incomes and
management. We were committed to building a more efficient and scientific organizational structure rejuvenating rural areas. Using high-standard farmland construction as an entry point we promoted agricultural
strengthening compliance management and ensuring that our ESG practices were more standardized and modernization and rural economic development through scientific planning technological innovation and
transparent. innovative business models. Additionally we emphasized the development of rural industries with local
characteristics and rural tourism and fostered the integration of primary secondary and tertiary rural industries
1.Optimizing organizational structure to enhance governance. As our business expanded optimizing the to inject new vitality into rural revitalization.
organizational structure became essential. We comprehensively reviewed and adjusted our current organizational
structure clarified the responsibilities and authorities of each department and enhanced communication and In environmental governance we fully implemented national strategies for ecological civilization construction and
coordination between departments. Additionally we strengthened team development to enhance employees’ integrated the green development philosophy into our corporate DNA. We established an environmental
professional skills and competencies in the ESG field. governance system that spans the entire life cycle - from planning and design to construction operations and
maintenance. During the early stages of our projects we relied on our Ecological Technology Research Institute to
2.Strengthening compliance management to ensure steady growth. We understood that standardized implement innovative BIM forward design and Low-Impact Development (LID) techniques. We integrated the
management was both an inherent requirement for corporate development and a key factor in maintaining sponge city philosophy into over 30 urban renewal projects and employed green infrastructure such as permeable
market competitiveness. We further enhanced our internal rules and regulations to ensure that all operations pavement and rain gardens achieving an annual rainwater reuse rate exceeding 65%. During the construction
adhered to established standards and were evidence-based. Moreover we continuously refined our internal phase we strictly implemented the “Six 100%” standard of green construction and innovatively employed an
control system strengthened the oversight and management of operations and bolstered risk management by intelligent dust monitoring system integrated with dust suppression equipment to dynamically control PM2.5implementing robust mechanisms and processes. We also reinforced our compliance culture and improved levels. In ecological restoration we developed a three-in-one model of “ecological revetment + subsurface flowemployees’ compliance awareness and capabilities thereby ensuring the Company’s steady growth. wetland + intelligent monitoring” successfully improving river water quality from Inferior to Class V to Class III. We
also pursued our “CarbonX 2025” goal by utilizing digital twin technology to build a carbon footprint tracking
III.Driving Win-Win Cooperation through Platform Construction and Innovation system. Our objective was to achieve an 8% annual reduction in carbon emission intensity across our entire
Platform construction is a key element in advancing ESG practices. We were dedicated to building an open industrial chain thereby contributing to building a modernization of harmony between humanity and nature.collaboration platform that fostered win-win cooperation. Through innovation-driven growth we actively Looking ahead we will remain unwavering in our commitment to the ESG development philosophy continuously
expanded ESG-related businesses by focusing on comprehensive innovation in business models systems responding to major national strategies and deeply advancing sustainable development. At the same time we will
operations and technology; exploring new commercial models and operational paths; refining our management further strengthen communication and collaboration with stakeholders enhance ESG management and practices
system and operational mechanisms; and ensuring platform stability and efficiency. In business development we and create greater value for both the Company and society.expanded into ESG-related areas such as green finance and sustainable development consulting to diversify our
platform ecosystem. In technological innovation we increased our investment in research and development to
achieve breakthrough results. In 2024 we carried out technological innovations in landscape plants ecological
restoration and green and low-carbon fields and conducted research in modern agriculture and green building
technologies. These efforts led to 48 patent applications 25 authorizations 6 plant variety rights authorizations
the issuance of multiple standards and construction methods and the publication of 15 papers. We also completed
the evaluation of 2 domestically leading scientific achievements. At the same time we maintained an open
attitude and pursued win-win cooperation in ESG. We further strengthened industry-university-research
collaborations with governments colleges and universities and scientific research organizations to drive
technological innovation and the transformation of achievements. We signed 3 new strategic cooperation
agreements secured approval for major science and technology projects and received multiple Science and
Technology Progress Awards. Additionally our subsidiaries Palm Design Group Co. Ltd. and Guangdong Sanhang
Smart Building Technology Co. Ltd. were both recognized as “National-Level Science and Technology SMEs.”
Furthermore we continued to deepen our cooperation with domestic and international enterprises and industry
associations to enhance our core competitiveness and industry influence. We also established close partnerships
with financial institutions to inject financial momentum into our sustainable development efforts.Beyond that we enhanced our customer service system to improve service quality and efficiency. We actively
participated in social welfare initiatives and environmental protection activities thereby contributing to social
harmony and environmental sustainability. Meanwhile we strengthened communication and collaboration with
stakeholders to further advance ESG practices.
05 06About Palm Eco-Town
About Palm Eco-Town Organizational StructureFirst-Level Organizational Structure Chart of Palm Eco-Town Development Co. Ltd.Company Profile General Meeting of Shareholders
Founded in 1984 and listed on the Shenzhen Stock Exchange in 2010 (Stock Code: 002431) Palm Eco-Town Development Co. Development and Strategy Committee
Ltd. is the 80th publicly listed company in Henan Province. As a national group-based enterprise Palm Eco-Town integrates Nomination Remuneration and Board of Directors Party Branch Committee Board of Supervisors
top-level planning design construction and comprehensive operations. As a national high-tech enterprise Palm Eco-Town Assessment Committee
remains committed to the principle of “making research serve practical purposes” and continuously conducts research Audit Committee
primarily in four key areas: landscape plants ecological restoration technologies four new engineering technologies and green Executive Management Safety Committee
and low-carbon technologies. The Company has made significant strides in these fields and achieved major breakthroughs in
several areas of research many of which are industry-leading and widely applied across various engineering projects.Guided by its “One Core Two Wings” green development strategy Palm Eco-Town has taken the lead in transitioning into
business areas such as rural revitalization green and low-carbon initiatives and new urbanization construction. The Company
is dedicated to providing high-quality and comprehensive solutions for green urban and rural construction rural revitalization
and urban operations.Upholding the philosophy that “lucid waters and lush mountains are invaluable assets” Palm Eco-Town remains true to its
commitment to craftsmanship. By refining its entire industry chain - investment financing management construction and
operations - the Company leverages its mature development strategies and strong brand advantages to get stronger do
better and grow bigger. Positioning itself with high goals high standards and high quality Palm Eco-Town continues to realize
its corporate blueprint and vision write an impressive chapter for the new era and make its rightful contribution to protecting Milestones
lucid waters and lush mountains and building a Beautiful China. Listing on the Shenzhen Stock Exchange
1984 The Company was listed on the Shenzhen Stock
2010 Exchange on June 10 2010 (stock code: 002431)
marking an important milestone in its development.Corporate Culture
Foundation of the Company Model output
Development Vision 2014
The Company was established as As its ecological town business entered
To become a world-leading comprehensive service provider in green urban and 2017one of the earliest private enterpris- the growth phase the Company
rural construction urban operations and rural revitalization. es engaged in ecological residential standardized the Palm Ecological Town
environment construction. model and promoted it externally.First strategic transformation
The Company introduced an ecological 2019
Mission Core Values town development strategy becoming
a pioneer in exploring the ecological
To provide clients with high-quality and Establishing integrity as the founda-
town model within the industry.comprehensive urban and rural construc- tion; adhering to fair just and trans-
tion urban operations and rural revital- parent business codes of conduct; Embarking on a new journey 2020
ization solutions and promote harmony earning the trust and recognition of Henan Yuzi Affordable Housing Management 2024
between humanity and nature. customers employees and society; and Operation Co. Ltd. a company with state
and driving sustainable corporate asset backing became the Company’s
development. controlling shareholder.Spirits Second strategic transformation
Distinctive Culture
Adhering to principles pursuing high The Company introduced the “One Core Two Wings” strategy to
quality and efficiency taking decisive Military culture school culture and support its high-quality development. High-quality transformation and development
action and embracing a pioneering and family culture The Company transitioned into new business areas including rural revitalization
enterprising spirit. green and low-carbon initiatives and new urbanization construction.
0708
Audit Management
Department
Discipline Inspection and
Supervision Department
General Office
Party-Mass Work and Human
Resources Department
Finance and Funding
Department
Risk Control and Legal
Department
PPP Management Center
Business Contract
Department
Investment Management
Department
Safety Technology
Department
Marketing and Customer
Service Department
Securities Development
DepartmentAbout Palm Eco-Town
Honors and Achievements
2023 Henan CSR Excellence 2023 AAA-Rated Credit 2024 AA-Rated Market &
Enterprise Enterprise Quality Credit Enterprise
State-owned Assets Supervision and Zhengzhou Municipal Bureau of China Association for Quality
Administration Commission of Henan Urban-Rural Development
Provincial People’s Government Department
of Industry and Information Technology of
Henan Province and Henan Daily
2023 Science and Technology
Awards (Planning & Design
2024 Most Socially Category) of the Chinese
2023 Henan Provincial
Responsible Listed Company Society of Landscape
Landscape Architecture
Planning & Design Awards -
Award Architecture -
First/Second/Third Prize First Prize/Second Prize
National Business Daily Chinese Society of Landscape Architecture Henan Society of Landscape Architecture
Gold Award of the 15th 4th Asia Habitat Landscape
IFLA AAPME Awards Yuanye Awards International Award - Silver Award &
2024 Competition Excellent Award
IFLA AAPME Organizing Committee of the Yuanye Landscape Week and the Organizing Committee of
Awards the Asia Habitat Landscape Award
09 10Performance in 2024
Performance in 2024
Social Performance
Governance Performance Environmental Performance
0 RMB 200000 0 100%
Total Number of Anti-corruption and Total Investment in Employee Training Number of Labor Social Insurance Coverage Rate
Anti-bribery Incidents Reported Discrimination Incidents
304.05 tCO2e
Total Emission of Greenhouse Gases
100%100%00
Percentage of Directors and Senior Managers
Coverage of Employee Training Number of Safety Total Number of
Participating in the Training on Anti-commercial Production Accidents Work-Related Deaths
Bribery and Anti-Corruption
0
Number of Incidents in which Major Administrative
0 Penalties were Imposed by Ecological and 1.42 100%
Number of Filed and Concluded Legal Environmental Authorities as a Result of（in RMB 100000000）
Environmental Incidents Investment in R&D Customer Complaint Resolution RateCases Regarding Corrupt Practices
11 12Sustainable Development Governance
Sustainable Development
Governance
Sustainable development is key to the long-term success of an enterprise. We integrate the philosophy of sustainable
development into our strategy and management identify and evaluate risks encountered during our management and
development processes actively seek and seize opportunities and explore a sustainable development strategy tailored to our
circumstances. Through continuous optimization of resource allocation and the promotion of technological innovation we
strive to create greater value for society while protecting the ecological environment and advancing sustainable development.ESG Governance System We adhere to the green In our project operations we development philosophy follow the guiding principlesthat “lucid waters and lush of “thriving industriesThe Board of Directors as the highest decision-making body for ESG governance is responsible for formulating ESG strategies
mountains are invaluable eco-friendly livability civilized
plans systems and policies ensuring their effective implementation and assuming full responsibility for all related policiessystems and information disclosure. Managers from various functional departments and subsidiaries have formed an ESG assets” and promote the rural customs effective
Reporting Working Group which is responsible for preparing our annual ESG report and for collecting and verifying pertinent advancement of ecological governance and enhancedinformation. During the Reporting Period to enhance ESG understanding among our management and functional departments civilization. In project living standards”. By
development construction Committing to Supportingand to improve employee competence and standards we engaged a third-party agency to conduct ESG-specific training. introducing highly adaptable environmental livelihood
and operation we prioritize protection improvemen industrial resources according
We have formulated a
?
to guide the conduction and implementation of our CSR-related work environmental protection to local conditions we aim to
normalize related practices proactively assume responsibilities toward the environment society and stakeholders and foster ensuring the preservation of Responsibility achieve sustainable
the harmonious and coordinated development of both the Company and society as a whole. Philosophies
the site’s original natural operations and address
character and preventing livelihood challenges such as
Case Study any form of destructive Practicing Valuing regional employment and
development. social welfare employee care income growth.Organization and Conduction of ESG Training Meetings
Upholding the philosophy of We advocate a healthy lifestyle“boundless enterprise that promotes both efficiencyboundless love” we actively and well-being consistently
engage in social welfare efforts focusing on our employees’
by launching various projects growth and development.and helping vulnerable groups. Through a variety of cultural
Additionally we contribute to activities we have normalized
national public welfare and institutionalized employee
development in areas such as care as an integral part of our
ecological protection social daily management
care and mechanisms helping
industry-university-research employees enhance their skills
collaboration. and realize their personal value.
13 14Sustainable Development Governance
Communications with Stakeholders Management of Material Topics
We place great emphasis on maintaining close communication and engagement with both internal and external stakeholders. In accordance with the assessment methods of domestic and international disclosure standards such as the
We actively establish diverse communication channels listen to stakeholders’ expectations and demands and respond ?
?
? ??? - and
proactively to collaboratively advance ESG practices and build a sustainable future. the ??? ?
the Company introduces the analytical perspectives of impact materiality and financial materiality. We
have identified five topics with financial materiality and 17 topics with impact materiality and provided crucial responses in this
report.Stakeholders Expectations and Demands Communication Channels Company Response
Information disclosure
Improve corporate governance Assessment Process of Material Topics
Performance briefing
Enhance information
Stable operation Investor survey
disclosure quality Step 1: Learn about the background of the Company
Enhanced return on investment General Meeting of
Strengthen investor
Shareholders Steady performance growth Shareholders
and investors communication Analyze the macro trends of the region where the Company operates the industry 01
Investor hotline
Boost profitability in which the Company operates and the Company’s business model and identify
irm.cninfo.com.cn the Company’s stakeholders as well as the impacts risks and opportunities it faces.Comply with employment laws and
Compensation and benefits regulations
Employee communication
Training and promotion Enhance the compensation and Step 2: Conduct preliminary issue screening
Employee training benefits system
Rights protection
Employees Employee care activities Strengthen the construction of talent
Occupational health and safety teams Identify 21 material topics and form an ESG topic pool for 2024 by reference to the 02
Ensure occupational health and safety guidelines of the Shenzhen Stock Exchange Global Reporting Initiative (GRI)
Product quality assurance Customer communication and
Strengthen quality management Standards UN Sustainable Development Goals (SDGs) as well as related topics in
High-quality products and feedback channels
Deepen R&D and innovation the same industry domestically and internationally.services After-sales service
Customers Firmly protect customers’ privacy
Protection of customers’ privacy Customer satisfaction surveys
Step 3: Assess the materiality of topics
Mutual trust and win-win
Bidding activities Enhance communication
cooperation
Supplier communication Conduct clean procurement Impact Materiality Assessment 03
Suppliers Stable partnerships Sort through the potential or actual positive and negative impacts of each topic on
Vigorously oppose unfair competition the external environment society and economy. Conduct a survey and analysis of
Fair competition
Industry cooperation activities Strengthen communication and stakeholders using a questionnaire. Based on the survey results expert opinions
Technical exchange
Industry partners Exhibitions and symposiums cooperation and the nature of the industry a total of 17 topics with high and medium impact Win-win cooperation
Actively promote industry collaboration materiality were identified.Media communication
Sustainable development Practice social welfare activities Financial Materiality AssessmentCommunity public welfare
Engagement in social welfare Identify and evaluate 5 topics of financial materiality by analyzing their impact Improve community environment
Communities and activities dependence and other factors combined with expert judgment and questionnaire
the public Rural revitalization activities
surveys conducted across departments within the Company to assess the likelihood
Implement national policies and potential financial impact of each topic.Implementation of national Respond to the Belt and Road Initiative
Support rural revitalization Step 4: Confirm material topics
policies Information disclosure
Promote green urban and rural
Governmental or Response to climate change Cooperate with supervision
regulatory agencies development Create a matrix of material topics based on the impact materiality and financial 04
Rural revitalization authorities Operate in compliance with laws
Pay taxes legally materiality assessment data from Step 3. Ensure that the relevant topics are Compliant operation
disclosed in a transparent balanced and comprehensive manner in the report.
15 16Sustainable Development Governance
2024 Topic Pool Matrix of Important Issues
Environmental Protection of the Rights and
Compliance Interests of Employees Response to Climate Change
Management Employee Training and Ecosystem and Biodiversity Protection
Pollutant Emissions Development
Occupational Health and Safety
Environmental Topics Social Topics Governance Topics Waste Disposal Safety and Quality of Products and
Energy Utilization Services
Innovation-Driven Development
Contribution to Society
Response to Climate Change Protection of the Rights and Anti-Bribery and Anti-Corruption Water Resource
Interests of Employees Utilization Rural Revitalization
Pollutant Emissions Anti-Unfair Competition Circular Economy Anti-Bribery and Anti-Corruption
Employee Training and
Waste Disposal Development Communications with Stakeholders
Environmental Compliance Occupational Health and Safety Due Diligence
Management
Innovation-Driven Development
Ecosystem and Biodiversity Protection
Safety and Quality of Products
Energy Utilization and Services
Water Resource Utilization Supply Chain Security
Circular Economy Data Security and Customer Data Security and Customer Privacy Protection
Privacy Protection Communications with Stakeholders Supply Chain Security
Contribution to Society Due Diligence
Rural Revitalization Anti-Unfair Competition
Note: The Company is not involved in scientific research technology development or other activities sensitive to technology
ethics; therefore “Science and Technology Ethics” has not been listed as a material topic. Additionally the Company does not
have accounts payable exceeding RMB 30 billion or accounting for over 50% of total assets nor has it disclosed overdue
payments to small and medium-sized enterprises through the National Enterprise Credit Information Publicity System; hence Average Importance to Company Finance Very high
“Equal Treatment of Small and Medium-Sized Enterprises” has not been listed as a material topic.
1718
Very high Importance of Economic Social and Environmental Impacts AverageSteady Operations: Enhancing Compliance Governance
Steady Operations:
Enhancing Compliance
Governance 01
The Company has always upheld the Party’s leadership fulfilled
its responsibilities in accordance with the law managed the
enterprise in a compliant manner continuously improved its
corporate governance structure enhanced various management
systems strengthened internal controls and risk management
and strictly observed business ethics to ensure steady operations
while committing to achieving sustainable development and
creating value for the Company.Responded Topics
Anti-Bribery and Anti-Corruption
Anti-Unfair CompetitionSteady Operations: Enhancing Compliance Governance
Adhering to Party Building Case Study
Organization of the Study of the Spirit of the 3rd Plenary Session of the 20th CPC Central
The Company adheres to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era Committee
thoroughly implements the guiding principles of the 20th National Congress of the CPC and the 3rd Plenary Session of the 20th
CPC Central Committee and upholds party building. It steadily advances party building tasks to achieve the mutual integration
and promotion of party building with production and operations thereby injecting momentum into the Company’s high-quality
development.Strengthening Organizational Construction
Based on the requirements of the
?
?? ??
? ? - and
other relevant documents and in line with the actual conditions of the Party branches the Company has formulated five party
building systems including the
?
?
?
?
?? the ?
? ?
??
and the ??
??
??
to continuously improve its Party
branch management system and further standardize and normalize the operations of Party branches. In 2024 the Company
convened 48 Party Branch Committee meetings with 166 agendas undergoing pre-decision review procedures ensuring all
operations advance orderly under the Party’s leadership.The Company places great emphasis on strengthening its Party member team. Through the “Three Meetings and One Lecture”
system and centralized training it has enhanced education for Party member development improving the ideological and
political qualities as well as the Party spirit of the team. During the Reporting Period there were 4 activists applying for Party
membership 2 prospective members 2 probationary members and 3 Party membership applicants which boosted the vitality
of the Party member team. By the end of the Reporting Period the Company had established 8 Party branches comprising a Advancing Strict Party Governance
total of 208 Party members.The Company has continuously deepened its Party integrity construction. By implementing the “Four Areas of Focus and FourEnhancing Theoretical Study Areas of Strengthening” it has effectively carried out Party discipline education to alert Party members clarify bottom lines
and instill a sense of reverence. At the same time it has consistently strengthened its ideological work by strictly implementing
The Company’s Party branches earnestly implement the “First Topic” and centralized theoretical study systems. They have the ideological work accountability system incorporating ideological learning into centralized study sessions for Party
formulated a detailed annual study plan and checklist to promote regular education. Additionally they have developed a work members and fully utilizing the Company’s OA system WeChat official account and other online platforms to publicize
plan for Party discipline study and education as well as for learning and implementing the spirit of the 3rd Plenary Session of comprehensive strict Party governance and Party integrity construction. Party branch members are strictly required to
the 20th CPC Central Committee focusing on key learning areas. At the same time they actively diversify educational meth- maintain political resolve enhance political sensitivity and actively promote positive energy. In 2024 the Company organized
ods by combining theoretical study with practical activities and integrating online and offline learning thereby deepening and four special sessions on ideological work and published 29 pieces of ideology-related content through its “Party Building”
solidifying theoretical understanding. section in the OA system.In 2024 the Company held 14 collective study sessions 4 special discussions 4 special Party lectures delivered by Party
members and 24 Party group meetings effectively strengthening the ideological and political education of Party cadres.Creating a Party Building Brand
The Company has established its exclusive Party building brand (LOGO) and forged
an innovative pathway for the deep integration of Party building under the motto
“Palm Eco-Town’s Dual Commitment: Integrity in Action Accountability in Execution”.In line with the specific conditions of its Party branches the Company has developed
a distinctive “Three-Three-Six” methodology for its Party building brand. By focusing
on the creation of an excellent Party building brand as the central approach the
Company actively advances the integration of Party work with business operations
consolidates its foundation cohesion and centripetal force and continuously
improves the quality and standard of Party building work providing a strong political
guarantee for the Company’s high-quality development.
21 22Leading reform in state-owned enterprises through Party building is an essential requirement for implementing the
spirit of the 3rd plenary session of the 20th CPC Central Committee. Guided by Party building we have deeply
integrated the ESG philosophy into our corporate development providing clear direction and uniting our strengths
for progress.
1.Learning policies to define direction and align with national development strategies. Party building
serves as the soul of enterprise development and our guiding beacon. We closely follow the country’s strategic
goals in new urbanization rural revitalization ecological civilization and the digital economy. We integrate the
ESG philosophy into our “One Core Two Wings” development strategy which positions green urban and rural
construction as the core and rural revitalization and innovative businesses as the two wings collectively driving
the diversified growth of our operations. In the area of green urban and rural construction we focused on our
primary responsibilities and core business dedicating efforts to steadily advance the development of our three
major business segments: landscape construction engineering construction and planning and design. In the area
of rural revitalization we took high-standard farmland construction as the starting point leveraged collective
village economies as the foundation and prioritized the growth of modern large-scale agriculture. By coordinating
the development of technological digital quality and branded agriculture we aimed to drive integrated progress
in industrial prosperity county strengthening and citizen enrichment ultimately fostering shared prosperity
between urban and rural areas. In the area of innovative businesses we actively explored emerging fields such as
urban operations and digital technology to incubate advantages in these domains cultivate fresh growth
momentum and build future core competitive strengths.
2.Learning from the Party’s history to seek solutions and gain wisdom and strength. The century-long
history of the Communist Party of China serves as a vivid and richly detailed textbook. By drawing lessons from
the Party’s history we found answers gained wisdom and strength and applied them to the Company’s realities.We continuously innovated our management ideas and methods strengthened technological innovation and the
transformation of scientific achievements and reduced environmental impact during project execution. Moreover
we enhanced our management models to improve operational efficiency and corporate contributions to society.Through exploring innovative business models we fully leveraged the strategic resources of our controlling
shareholders and partners to collaboratively develop operational models for emerging fields.
3.Strengthening corporate culture with Party building and fostering innovation. Party building is
embedded in our strategy formulation and decision execution and is deeply integrated into the cultivation of our
corporate culture. By strengthening our Party-building efforts we further advanced our corporate culture and
reinforced employee cohesion and unity. We focused on building a strong team of Party members and motivating
them to serve as role models in practice. Additionally we reinforced Party organizations by refining our
organizational systems and working mechanisms. Through enhancing our corporate culture we cultivated a
positive and progressive work environment.At the same time we upheld cultural confidence by integrating China’s 5000-year cultural heritage into our project
designs while fully embodying the ecological philosophies of “promoting harmony between humanity and nature”
and “lucid waters and lush mountains are invaluable assets.” We drove innovation by drawing upon our cultural
inheritance thereby showcasing China’s unique charm and profound cultural legacy.Steady Operations: Enhancing Compliance Governance
Through the “Party Building +” co-construction model the Company’s Party branches effectively integrate resources from
various sources to enhance the overall effectiveness of Party building work. They actively leverage the role of incumbent Party Advancing Steady Operations
members by engaging in joint construction activities with street communities and other Party organizations. For example by
establishing “Party Member Model Posts” and “Party Member Commandos” they promote substantial and effective Governance Structure
participation in community grassroots governance drive Party members to excel in their primary roles and pioneer new
initiatives through exemplary performance. In strict compliance with the requirements of the ? ? ?
? ?
? ? ?
?
In 2024 the Company held 18 Themed Party Day events with a total attendance of approximately 489. the ?
and other applicable laws and regulations the Company has formulated internal rules
and regulations such as the ?
?
?
?
?
Case Study ?
?
? ??
?
?
?
to continuously improve its corporate governance
structure and establish a mechanism characterized by clearly defined rights and responsibilities mutual collaboration and checks
Volunteer Fire Safety Inspection Service by the Company’s Party Branches and balances thereby ensuring the Company’s standardized operations. During the Reporting Period the Company’s General
Meeting of Shareholders Board of Directors Board of Supervisors and executive management strictly carried out management
decision-making and operational oversight in accordance with the governance norms and requirements for listed companies
established by the China Securities Regulatory Commission and the Shenzhen Stock Exchange. Meanwhile each specialized com-
mittee of the Board of Directors fulfilled its respective duties in accordance with the law.During the Reporting Period
The Company convened 6 General Meetings of Shareholders and deliberated and approved 18 proposals.The Board of Directors convened 12 meetings and deliberated and approved 47 proposals.The Board of Supervisors convened 4 meetings and deliberated and approved 18 proposals.The Audit Committee convened 9 meetings.The Development and Strategy Committee convened 1 meeting.The Nomination Remuneration and Assessment Committee convened 3 meetings.Our independent directors convened 6 special meetings.General Meeting of Shareholders
The convocation convening requisite qualifications for attend-
ees and voting procedures of the General Meeting of Sharehold-
ers comply with the provisions of the ? ? ?
? ?the
? ? and
other applicable laws and regulations. The Company treats all
shareholders equally by employing both on-site and online voting
methods in accordance with relevant regulations facilitating the
participation of minority shareholders and ensuring that every
shareholder can fully exercise their rights. Additionally significant
matters affecting the interests of minority investors are subject
to separate voting to effectively safeguard the rights and inter-
ests of minority investors.
23 24Steady Operations: Enhancing Compliance Governance
Board of Directors
The Board of Directors serves as the Company’s decision-making body and is accountable to the General Meeting of
Shareholders. All directors carry out their duties in strict accordance with the 1 1?
?
?the
? ?
?
?and the
? ?
. They actively participate in both the meetings of the Board of Directors
and the General Meeting of Shareholders and fulfill their responsibilities diligently. The Company established a special meeting
mechanism for independent directors. During the Reporting Period the independent directors independently fulfilled their Doctoral degreeMale 5
obligations by conducting advance reviews of matters such as related party transactions. Master’s degreeFemale
Gender 5 Education Bachelor’s degree
The Company’s Board of Directors has established three special committees: the Development and Strategy Committee the
Nomination Remuneration and Assessment Committee and the Audit Committee. Corresponding working rules have been
formulated for each. To ensure that the decision-making of the Board of Directors is both scientific and standardized each 10
committee includes at least 2 independent directors.The Number of Board of SupervisorsMembers Whether the Independent Specialized Committee (person) Independent Directors Director(s) Serves as (person) Chairman of the Committee The Board of Supervisors is the Company’s permanent supervisory body and is accountable to the General Meetings of
Shareholders. All supervisors strictly carry out their duties in accordance with the
? ? ?
and
Development and Strategy Committee 5 2 No other applicable regulations diligently supervising significant matters the Company’s financial conditions and the lawfulness
of the performance of duties by directors and officers. The Board of Supervisors is composed of 3 members: 2 non-employee
Nomination Remuneration and representatives and 1 employee representative.Assessment Committee 5 3 Yes
Audit Committee 3 2 Yes Management of Remuneration for Directors Supervisors and
other Officers
In accordance with the ?
?
and other applicable regulations and considering the income levels in the industry
Case Study and region where the Company operates as well as the Company’s actual operating conditions the Company has
comprehensively determined the remuneration scheme for directors (including independent directors) of the Sixth Board of
Directors supervisors and officers based on their fulfillment of responsibilities and annual performance. This scheme was
From December 13 to 15 2024 the Company’s independent directors visited a project site to conduct an
deliberated and approved in 2023. The Company’s directors and officers receive their compensation on an annual salary basis
on-site investigation of the Company’s asset management and operation project thereby deepening
with the allocation of remuneration and the incentive system for the variable portion determined by the Company’s overall
their understanding of and oversight over the Company’s business.annual operating performance as well as the operating performance during their tenure. Supervisors are compensated on a
fixed annual salary basis with a one-time payment issued at the end of the year in accordance with the ?
?
? .The Company has comprehensively considered factors such as age educational background and professional experience to Principles of the Remuneration Scheme
ensure a diversified composition of its Board of Directors while meeting its business needs. The current directors possess deep
industry expertise and extensive corporate management experience enabling them to make governance decisions from
Linking Compensation Prioritizing Efficiency while Providing Comprehensive
multiple perspectives. to Performance Considering Fairness Incentives
An individual’s annual salary The annual salary level
Diversity of the Board of Directors Fixed income and risk
should be tied to performance should not only motivate compensation short-term
targets a management personnel and and long-term incentives
Number of the members of the Board of Directors ?
should be key talents but also consider and material and
4
Independent directors executed and an appraisal the Company’s Director non-material rewards should
11 type Non-independent directors should be conducted to management conditions and be combined based on a 7 incentivize both the Company’s industry salary benchmarks. pragmatic transparent fair and the individual’s and scientific evaluation.
performance.
26
25Steady Operations: Enhancing Compliance Governance
Internal Control and Risk Control Tax Management
The Company has consistently adhered to lawful and compliant tax practices. It strictly observes national tax policies and
Internal Control regulations has implemented a Tax Management System and management processes for various taxes and has established
a ?
centered on comprehensive systems professional support and dynamic compliance. By integrating
The Company in accordance with the ?
and other applicable laws and regulations has internal controls with external communication the Company has developed a comprehensive mechanism that spans the entire
formulated systems such as the ?
? ?
to continuously improve its process from risk prevention to response effectively preventing and managing tax risks.internal control management system. The Company conducts annual evaluations of internal controls follows up on corrective
actions engages external firms to perform internal control audits and generates ?
To strengthen internal control and system development the Company has established specialized management systems and
?
to promote continuous internal control improvement enhance their effectiveness and bolster the internal control processes to standardize financial practices and mitigate potential risks. Concurrently it has implemented
Company’s risk prevention capabilities. comprehensive financial and accounting management systems to ensure the accuracy of tax filings through rigorous financial
record-keeping and accounting. When handling the final settlement of annual taxes and complex transactions the Company
During the Reporting Period the Company’s Internal Audit Department conducted internal audits in accordance with its work obtains professional compliance advice from tax advisors to avoid non-compliant practices resulting from policy
plan. These audits covered engineering audits economic responsibility audits special investigations as well as the audit misinterpretation. In response to significant changes in tax laws and policies the Company dynamically adjusts its tax
inspection and evaluations of the internal control management system. A total of 15 internal audits were performed 85 strategies and promptly revises contract provisions invoice management procedures and tax-specific management
issues were identified and 79 audit recommendations were proposed. processes. The Company conducts regular self-assessments of tax risks formulates risk response strategies in advance and
During the Reporting Period no significant or material deficiencies in the design or implementation of internal controls were reviews tax risks to take corrective actions while maintaining effective communication with tax authorities to stay informed
identified. of policy updates and mitigate risks stemming from information asymmetry.The Company places great importance on training its tax management personnel actively monitoring policy changes
organizing tax-related training sessions and promoting tax policies. Additionally it has introduced digital tax management
tools by incorporating a tax management module into its ERP system embedding tax rules to enable automatic alerts and
audits.Protection of the Rights and Interests of Investors
Investor Relations Management
The Company places great emphasis on protecting the rights and interests of investors and strictly complies with applicable
laws and regulations. It has established systems such as the ?
?
the ?
?
and the ? ? ?????????- ? to standardize its investor relations management. The Company
communicates with investors through various channels including on-site investor surveys performance briefings and its
official website to promptly address investor concerns and foster a strong trust relationship between the Company and its
investors.Risk Management
Key Performance
The Company continuously improves its risk prevention and control mechanisms by regularly conducting risk investigations to
identify and evaluate internal and external risks that may affect its operations and management such as those related to The Company hosted 2 on-site surveys for institutional investors conducted 1 online performance briefing for the
production operations external guarantees litigation and safety production. It formulates
?
proposes
countermeasures for identified risks manages risks dynamically and promptly addresses routine risk issues to ensure the Annual Report and interacted with investors 109 times on irm.cninfo.com.cn of the Shenzhen Stock Exchange
effective operation of its risk prevention and control mechanisms. Additionally by organizing seminars and conducting
achieving a 100% response rate.specialized training sessions the Company enhances risk prevention awareness and strengthens its ability to prevent and
mitigate risks thereby safeguarding its compliant operations.
27 28Steady Operations: Enhancing Compliance Governance
Case Study Strengthening Compliance
2023 Online Performance Briefing Management
Cultivation of a Culture of Compliance
The Company adheres to the principle of compliant operations
and incorporates compliance management into its business
practices. Through compliance training it enhances employees’
awareness of compliance. During the Reporting Period the Com-
pany invited external experts to deliver themed lectures to all
employees covering topics such as key provisions of the new
? ? ?
? approaches for clarify-
ing facts in construction engineering disputes legal due
diligence and critical aspects of transaction documents. These
training sessions provided employees with a more systematic
and in-depth understanding of legal knowledge further
strengthening their compliance awareness and professional
capabilities.Key Performance
Information Disclosure The Company conducted 4 legal training sessions.The Company strictly complies with the ?
?
Key Performance
?
?
and other applicable laws and regulations. It has
established systems such as the ?
?
?
The Company issued 4 Anti-Bribery and Anti-Corruption
and the Insider Information and
to regulate regular reports The Company advocates for integrity continuously promotes a culture of
external disclosure practices ensuring that information disclosures are timely integrity and strictly prohibits any form of corruption or fraudulent behav-
true accurate and complete. Additionally it strengthens insider information 121 ior. During the Reporting Period the Company continuously improved its management to prevent insider trading. The Company remains committed to interim system for preventing and controlling integrity risks strictly adhered to
enhancing its information disclosure management improving the quality of its announcements (excluding anti-corruption laws and regulations and revised its disciplinary and super-
disclosures and safeguarding the legitimate rights and interests of its investors. regular reports) visory systems including the ?
the ?
?
?
the ?
?
161
and the ?
?
. online documents
Protection of Creditors’ Rights and Interests (including regular reports The Company actively promoted a culture of integrity through various initia-
tives aimed at enhancing employees’ awareness of integrity and fostering a
The Company places great importance on protecting the rights and interests of interim announcements and
creditors. It strictly fulfills contracts signed with creditors and promptly communi- all externally disclosed
clean and upright working environment. During the Reporting Period the
Company organized 4 integrity training sessions held 9 integrity culture
cates significant information affecting their rights and interests to safeguard their documents such as
legal rights fully. During the Reporting Period the Company did not issue any pub- intermediary agency reports) events and conducted 4 disciplinary education sessions prior to major holi-
days to reinforce employee discipline. Additionally the Company carried out
licly traded bonds. With an issuer credit rating of AA and an issue credit rating of
comprehensive self-assessments of departments subsidiaries and project
AAA the Company actively expanded its financing channels maintained no over-
companies in accordance with the ?
? ? and to
due interest-bearing debts and did not incur any detriment to the interests or ensure that integrity risk prevention and control measures are implemented
rights of any creditor. at every level.
29 30Steady Operations: Enhancing Compliance Governance
Case Study
Integrity Culture Campaign
Integrity Culture Promotion Project
The Company actively promoted the integration of a culture of integrity into projects by organizing online
meetings for 5 pilot projects focused on this theme. During these meetings the Discipline Inspection and Super-
vision Department presented the work plan and clarified the responsibilities of each project team. Additionally
a themed training session titled “Adhering to Career Bottom Lines and Maintaining Integrity” was conducted to
strengthen the integrity awareness of project personnel. Following the meetings the Company displayed integ-
rity culture promotional boards at project sites to further embed a culture of integrity at the front line thereby
fostering a clean and upright working atmosphere.Anti-Unfair Competition
The Company strictly adheres to the ?? ? ? ?
? and the ?? ?
The Company actively promotes the dissemination and training of a culture of integrity steadily enhances ? ?
? . It participates in commercial competition in a fair just and transparent manner maintaining and
employees’ understanding of integrity and continuously fosters a clean and upright cultural environment. safeguarding a fair business environment. During the Reporting Period the Company did not face any litigation or major
These efforts aim to establish a solid defense against corruption by deterring preventing and disincentivizing administrative penalties related to unfair competition practices.corrupt behavior.Whistleblowing and Whistleblower Protection
The Discipline Inspection and Supervision Department serves as the Company’s independent supervisory body and is respon-
sible for handling and investigating complaints and reports ensuring independence and objectivity. It also strictly keeps
whistleblowers’ personal information and reported details confidential. For individuals who prefer not to report under their
Key Performance Case Study real names anonymity or the use of pseudonyms is allowed.The 2024 Seminar on the Significance and Reporting Methods
42 Key Points of Governance through employees signed the Commitment “Compliance and Discipline” in State-funded Reporting hotline 020-85189496/85189209 (Landline) 13825186571 (Mobile)
to Integrity Construction and the Enterprises Reporting email zljc2021@163.com
Commitment to Integrity.Reporting mailbox 17 th Floor Building 3A Haihui Center Zhengzhou City Henan Province China; 6th Floor Block B
Zhuguang Xincheng International Center Guangzhou City Guangdong Province China (east
183 side of the fire escape staircase)The Company posted a total of Reporting website https://www.palm-la.com/jjjc
integrity-related promotional messages on
its OA system. Correspondence 16-18 th Floors Building 3A Haihui Center at the intersection of Dongfeng South Road and
address Kangning Street Zhengdong New District Zhengzhou City Henan Province China (Discipline
Inspection and Supervision Department) Zip Code: 450000
32
31Green Design: Creating a Harmonious Ecosystem
Green Design: Creating a
Harmonious Ecosystem 02
The Company has consistently embraced the green develop-ment philosophy that “lucid waters and lush mountains areinvaluable assets” and actively responds to the national policy of
“carbon peaking and carbon neutrality.” It has established a
robust environmental management system advanced energy
conservation and emissions reduction efforts and extensively
developed technologies in landscape plant cultivation ecological
restoration low-carbon innovation and environmental protec-
tion. These initiatives aim to promote the construction of ecologi-
cal civilization and comprehensively advance harmony between
humanity and nature.Responded Topics
Response to Climate Change Environmental Compliance
Management Energy Utilization Water Resource Utilization
Pollutant Emission Waste Disposal Circular Economy Ecosystem
and Biodiversity ProtectionGreen Design: Creating a Harmonious Ecosystem
Responding Climate Change Strategy
In recent years climate-related risks have been intensifying and global environmental issues have become increasingly severe. Taking into account its operational conditions the Company integrates information and standards including external climate
Against this backdrop our country has implemented the “carbon peaking and carbon neutrality” policy aiming to achieve peak policies and industry reports to analyze physical risks transition risks and opportunities thereby initially identifying potential
carbon emissions and carbon neutrality through carbon reduction and sequestration. The Company actively responds to the climate-related risks and opportunities. For these identified risks and opportunities the Company evaluates their potential
challenges and opportunities posed by climate change by identifying climate-related risks and opportunities relevant to its impacts on its operations and development conducts further analysis of their primary financial impacts and the duration of
operations and formulating corresponding measures to gradually build long-term capacity to address climate change. such impacts and formulates corresponding measures to effectively address the challenges of climate change while seizing
opportunities brought by the green transition.Governance
The Company’s Board of Directors is responsible for comprehensive oversight and coordination while each functional and
business department is tasked with implementing and advancing climate change actions. Together these efforts
systematically promote the development of the Company’s climate change governance system.Risk Identification Checklist
Risk Type Risk Description Impact Duration Potential Financial Impact Response Measures
These risks include acute extreme weather events such as typhoons floods ·Enhance weather forecast monitoring strengthen measures to prevent
and blizzards which may cause damage to infrastructure and project structures extreme weather disasters and flexibly adjust project schedules in
Acute
Physical or trigger water and power outages resulting in work stoppages delayed proj- Short- and Increased operating costs;
response to weather changes;
Risks ect delivery and adverse effects on the Company’s operations and customer medium-term decreased operating income ·Purchase appropriate insurance for employees to enhance safety;
relationships. Employees may face safety risks or be unable to report for duty ·Develop and implement a detailed disaster emergency plan to ensure
during such events leading to labor shortages and reduced work efficiency. rapid resumption of operations.Physical Risks These risks include long-term climate change risks such as rising temperatures
Chronic and sea-level rise which may impact the Company’s business activities. Increased operating costs; Reasonably arrange working hours enhance protection for high-tempera-
Physical Long-termProlonged high temperatures could increase operational difficulties and nega- decreased operating income ture work and improve working conditions.Risks tively affect employee health.Domestic and international policies and requirements related to climate change
and energy management are continuously evolving placing higher demands on
Policy and Short- and Closely monitor the latest domestic and international climate-related
Legal Risks enterprises for low-carbon development. Noncompliance with local legal require-
Increased compliance costs
medium-term policies and regulations and respond in a timely manner.ments whether operational or disclosure-related could expose the Company to
regulatory penalties and other risks.Shifting market customer preferences toward lower-carbon environmentally
Short- medium- and Increased operating costs; Actively adopt eco-friendly materials and green building technologies and Market friendly products services and design concepts may lead to increased design incorporate low-carbon and environmentally friendly considerations into
Risks complexity and higher operating costs. The inability to meet customer demands long-term increased R&D costs designs.Transition Risks could adversely affect the Company’s business performance.Reputation As stakeholders place greater emphasis on climate change the Company’s Medium- and Increased management costs; Strengthen communication with stakeholders and promptly and accurate-
Risks reputation could suffer if timely improvements or enhancements are not made. long-term decreased operating income ly disclose the Company’s efforts to address climate change.
35 36Green Design: Creating a Harmonious Ecosystem
Support for the Carbon Peaking and
Opportunity Identification Checklist
Carbon Neutrality Goals
Opportunity Type Description Potential Financial Impact
The Company has long been committed to the development promotion and application of green low-carbon and
environmentally friendly technologies. By leveraging its platform advantages and collaborating with scientific research
institutions the Company has successfully developed multiple green technologies. In the design and construction phases of
By developing green low-carbon and envi-
projects the Company strictly complies with environmental regulations actively utilizes eco-friendly materials and green
ronmentally friendly technologies and
Products and Increased operatingservices the Company can enhance its building technologies and integrates environmentally friendly design and construction methods. These efforts facilitate the Services income
competitive advantage and improve profit- continuous adjustment and optimization of the industrial structure leading to the creation of a high-technology
ability. resource-efficient and low-pollution industrial structure thereby driving the green and low-carbon transformation of the
industrial agricultural and service sectors and advancing the achievement of carbon peaking and carbon neutrality goals.Carbon Sink Projects
Opportunity Type
As global attention to cl imate change The Company actively participates in carbon sink projects to enhance the carbon sequestration capacity of ecosystems.grows the demand for ecological gover- During the Reporting Period the Company further developed and utilized “low-carbon high-efficiency landscaping construc-nance and green low-carbon construction Increased operatingMarket tion technology” increased the development of new materials and diversified the application scenarios for related technolo-
Opportunities is likely to increase. By deepening its efforts income gies. These initiatives have effectively boosted environmental benefits and laid a solid foundation for achieving low-carbon
in landscape plant cultivation ecological development goals.restoration and green low-carbon technol-
ogies the Company can gain market share. Case StudyProject Closure Acceptance Carbon Sink Training for “Research on CarbonSource/Sink Accounting for Urban Green Spaces Based on the Whole Life Cycle”
Indicators and Goals In November 2024 the Company in collaboration with the Shanghai Academy of Landscape Architecture Science and Planning jointlycarried out the project closure acceptance for “Research on CarbonBased on its actual conditions the Company has established carbon reduction targets and implemented a series of Source/Sink Accounting for Urban Green Spaces Based on the Wholeadministrative measures to reduce greenhouse gas emissions and promote the achievement of these targets. Life Cycle” and organized related carbon sink training. Focusing on
the Longhu Outer Ring Park Project the related research and training
identified the primary sources of carbon sinks within the study area
Carbon Reduction Goals evaluated the carbon sink capacity proposed a scientific plan for
Significantly enhance the level of green construction effectively reduce energy consumption in construction constructing an urban green space carbon sink monitoring system
and clarified the methodology for carbon sink accounting for urban
and achieve reductions in carbon emissions by 2030. green spaces from sample plots to regional scales.Case Study
Key PerformanceProject Closure Acceptance and Carbon Sink Training for “Screening and Evaluation of Tree
304.05 Species with High Carbon Sequestration Capacity for Landscaping in Henan Province”Total emission of greenhouse gases tCO2e The Company in partnership with Henan Agricultural University established a Joint
304.05 Laboratory for Forestry Carbon Sink and in October 2024 carried out the project Indirect greenhouse gas emissions (Scope 2) tCO2e closure acceptance and carbon sink training for “Screening and Evaluation of TreeSpecies with High Carbon Sequestration Capacity for Landscaping in Henan Prov-ince”. By conducting the screening and evaluation of tree species with high carbon
sequestration capacity in urban landscaping across Henan Province the Company
comprehensively assessed the carbon sink capacities of common landscaping tree
species identified those with high carbon sequestration potential and accurately
The statistical scope covers the electricity consumption at the Zhengzhou headquarters and estimated the carbon storage of green spaces in Zhengzhou City. These efforts
the Guangzhou office. resulted in the creation of plant landscapes with high carbon sequestration capacity
and provided a theoretical basis for selecting tree species for afforestation and
estimating carbon storage in Zhengzhou City.
37 38Green Design: Creating a Harmonious Ecosystem
Extreme Weather Management Strengthening Environmental
In its project construction management the Company has refined its emergency response plans clarified responsibilities
and strengthened communication with meteorological departments to proactively guard against extreme weather. A Compliance Management
24-hour leadership duty system has been established to ensure smooth information flow and timely reporting of
emergencies disasters and subsequent response measures. Environmental Management System
The Company strictly complies with the ? ? ? ? ?
? and other applicable laws and
regulations and has established and continuously improved its environmental management system in accordance with the
GB/T24001 standard. It has developed an environmental management organizational framework led by the General Manager
with the Deputy General Manager in charge of production and the Technical Safety Department regional offices/subsidiaries
and project teams responsible for implementing specific responsibilities for the Company’s environmental management
efforts. This framework ensures that all activities and services related to the environment meet the Company’s environmental
management policies goals and indicators effectively reducing pollution and protecting the environment. During the
Torrential rain and Low temperatures rain snow Reporting Period the Company did not incur any major administrative penalties or face criminal charges from environmental Typhoons and strong wind intense downpours and freezing conditions authorities due to environmental incidents.Secure barricades temporary Clear drainage pipes and ditches Provide workers with cold-weather As of the end of the Reporting Period both the Company and its subsidiary Palm Design Group have obtained certification
structures and other facilities in before construction; establish water clothing and implement insulation under the GB/T 24001-2016/ISO 14001:2015 standard system.advance; clear items that could diversion ditches and collection wells measures for temporary facilities.be blown away by the wind; around foundation pits; and ensure Promptly clear accumulated snow and
and stabilize lifting equipment. that sufficient water pumps are water; apply anti-slip materials on
Suspend high-altitude and available. Suspend outdoor activities slippery surfaces; and inspect the stability
outdoor lifting operations during such as earthworks and concrete of equipment used for high-altitude
typhoons or high winds and pouring and cover excavated areas operations. Prohibit high-altitude work
promptly evacuate personnel to for protection. during severe weather ensuring that
safe indoor areas. indoor operations also adhere to safety
protocols.Emergency Response Plan
The Company has established an emergency response mechanism for sudden environmental incidents. Project teams are
responsible for identifying environmental risk factors such as chemical spills floods waterlogging heavy rains and severe
weather and implementing the necessary emergency preparedness and response measures in accordance with project
implementation and management requirements. An ? ?
? has been developed and
Flood Prevention Inspections On-site Flood Prevention Measures
emergency drills are regularly conducted in accordance with this plan. In the event of an incident the Company continuously
monitors the environmental impact and actively implements appropriate mitigation measures to minimize any adverse
effects to the environment.
39Green Design: Creating a Harmonious Ecosystem
Environmental Inspections Waste Gas Management
The Company has established a three-tier environmental inspection mechanism covering the corporate headquarters sub- Waste gas generated during the Company’s production and operational activities primarily includes dust from construction
sidiaries/regional offices and project teams. Inspection items include the key characteristics of operational activities related sites and emissions from construction vehicles and machinery. The Company strictly complies with applicable laws
to major environmental factors the implementation and effectiveness of environmental management plans and the effica- regulations and standards and has developed and implemented a series of measures to control and treat dust and harmful
cy of environmental protection facilities. Through routine patrols key project inspections and special inspections the Com- gas emissions. It is dedicated to minimizing the generation of dust and waste gas ensuring that atmospheric pollutants are
discharged in compliance with regulations and reducing impacts on the surrounding environment.pany examines the implementation and operation of its environmental management systems at its subsidiaries/regional
offices and project teams analyzes and summarizes the factors affecting its environmental management work and propos- Waste Gas Control and Treatment Measures
es corrective action plans to strengthen environmental management and promote continuous improvement. During the
reporting period the Company conducted a total of 202 inspections.Particle control Gas pollutant control
Regularly spray water on roads and material Strictly select building and decoration materials;
storage areas at construction sites to increase for instance in residential building decoration
air humidity promote dust particle settling and the use of asphalt or coal tar-based preserva-
reduce dust. tives is prohibited to reduce pollution at the
source.Strengthen control over the release of flame
Set up barricades around construction sites and retardants and ammonia from concrete admix-
Pollutant Emissions use fine-mesh enclosures dur ing bui ld ing tures during construction ensuring compliance construction to block dust from dispersing. with national standards.The Company strictly adheres to the? ? ?
? ? ? ? ? the ?
Utilize adsorbents such as activated carbon to
? ?
? ? ? ?
? the ? ? ?
? ? ?
Install bag filters cyclone dust collectors and capture harmful gases like benzene and formal-
? ? ? ?
and other applicable laws regulations and standards in carrying out environ-
similar equipment on dust-intensive facilities dehyde from waste gas.mental management work. It rigorously controls the generation and discharge of wastewater exhaust emissions solid such as concrete mixing stations and material
waste and noise during production and operations thereby reducing its environmental footprint. crushing units to capture and remove particulate Under the action of catalysts convert harmful
matter from waste gas. gases in waste gas into harmless substances
such as converting nitrogen oxides into nitrogen
Wastewater Discharge Management and water.The Company adheres to the principle of “separating rainwater from sewage” and discharges wastewater strictly in accor-
dance with relevant requirements. It employs a combination of physical chemical and biological treatment methods to
purify wastewater in a targeted manner and reduce wastewater discharge volumes.Wastewater Control Measures
When formulating construction plans fully consider reasonable technological or economically feasible methods to
reduce water consumption and the use of chemicals and oils thereby reducing the generation of wastewater at the Noise Pollution Management
source.The Company has formulated and implemented a series of noise reduction measures in strict accordance with the
Install sedimentation tanks at construction site wastewater outlets and adopt multiple treatment measures to purify requirements of ???
?????
?
and???
????
. It also
wastewater. Following treatment reuse the water or utilize treated wastewater for dust suppression promoting enhances the monitoring and recording of noise levels at construction site boundaries to ensure that noise emissions remain
water resource recycling and reducing discharge. Ensure treated wastewater is properly discharged into sewage within national standards. For projects in urban areas that may generate environmental noise pollution during construction
pipelines.the Company is required to report specific project details to the relevant environmental protection administrative authorities
Implement surface anti-leakage treatments to prevent oil from seeping splashing dripping or leaking thereby at least fifteen days before commencement.mitigating the risk of contamination to surrounding water bodies.
41 42Green Design: Creating a Harmonious Ecosystem
Improving Resource Efficiency
Source control
Preferably use low-noise construction equipment and techniques such as employing
hydraulic piling machines instead of diesel-powered ones; carry out regular
maintenance and service on high-noise equipment to ensure normal operation and Energy Management
reduce noise caused by equipment malfunctions. The Company’s primary energy consumption sources include purchased electricity gasoline and similar resources. It strictly
complies with the
?? ? ?
? and other applicable laws and regulations maintaining a
strong focus on energy management and efficiency. By implementing measures such as installing LED energy-saving lamps in
Pathway control
Set up sound barriers or enclosures at construction sites to block noise propagation; office restrooms the Company actively reduces its energy consumption. Looking ahead the Company will continue to
Noise Control arrange the construction layout reasonably so that high-noise equipment is as far strengthen energy management practices and pursue its energy management goals.Measures away as possible from residential areas and other sensitive locations.Time control Energy Management Target
Arrange construction schedules reasonably to avoid high-noise operations during
Reduce energy consumption by 30% compared with 2024 by 2030.nighttime (10:00 PM to 6:00 AM) and lunch breaks. In special cases where nighttime
construction is necessary obtain a nighttime construction permit in advance and
notify nearby residents.Key Performance
Lighting Pollution Management Total water consumption1658 tons Total purchased electricity 566618 kWh
The Company ensures that work schedules are planned reasonably to minimize nighttime construction whenever possible. For
necessary nighttime construction it strictly adheres to the requirements of construction administrative authorities and other
relevant bodies. It carefully controls the types and brightness of construction lighting adjusts the direction of light exposure as The statistical scope covers the Zhengzhou headquarters and the Guangzhou office.needed and implements shielding measures. These actions ensure sufficient illumination for construction activities while
minimizing disturbances to nearby residents.Water Resource Utilization
The water consumed in the Company’s daily operations and construction projects primarily comes from purchased municipal
water. Upholding the principle of water conservation the Company installs water-saving sensor faucets in offices and
restrooms to reduce water usage in its internal operations. For its projects it adopts water-saving technologies and equipment
to minimize water waste. The Company has successfully won bids and executed several high-standard farmland projects
including integrated water and fertilizer facilities. These initiatives effectively reduce water wastage caused by flood irrigation
methods in agriculture contributing to agricultural water conservation.
43 44Green Design: Creating a Harmonious Ecosystem
Case Study Dedicated temporary storage areas are set up for hazardous waste such as waste oil waste paint
and waste coatings. These materials are stored separately with anti-leakage measures to prevent
environmental contamination.Intelligent Irrigation System Promoting Efficient Water Conservation
Hazardous waste is collected and disposed of by qualified professional companies to ensure it is
The intelligent irrigation system is a standout feature of the rendered harmless.Company’s high-standard farmland construction projects. By Hazardous
waste
utilizing sensors buried in the soil the system continuously A waste management register is maintained to record details such as the quantities types and
monitors soil moisture temperature and crop growth. These disposal methods of waste ensuring that all waste management and disposal activities at
data points are wirelessly transmitted to a big data analysis construction sites comply with regulations.platform in the central control room in real-time. Based on
this information the intelligent irrigation system accurately Case Study
controls irrigation volume and timing to meet the actual
needs of crops achieving the dual goals of water conserva-
tion and efficiency. Compared to traditional irrigation meth- Creating a “Zero-Waste Construction Site” Project for the Henan Food Industrial Park
ods the intelligent irrigation system reduces water usage by The Henan Food Industrial Park Project aims to serve as a demonstration
over 30% while improving crop yields by 10% to 15%. project for a “zero-waste construction site.” By optimizing construction
plans and processes the project reduces construction waste generation at
its source. In addition through the implementation of smart site modules
such as an intelligent sprinkler system and an environmental monitoring
system the project enables real-time monitoring and management of the
Waste Disposal construction site effectively reducing resource waste and environmental
pollution. Furthermore a comprehensive waste recycling system is
Waste generated during the Company’s production and operations primarily includes construction waste domestic waste and established to sort and recycle recyclable waste thereby enhancing
hazardous waste. The Company strictly classifies waste in accordance with relevant regulations and implements measures resource utilization.such as continuously improving construction quality standards and promoting recycling and reuse. These efforts reduce waste
generation at its source enhance resource utilization minimize the production of solid waste and ensure its complete
Case Study
utilization and safe disposal.Henan Blood Center Project
For recyclable construction waste such as concrete blocks and bricks the waste is processed into A series of administrative measures have been implemented for
recycled aggregates which can be used to produce recycled concrete or serve as material for road the Henan Blood Center Project to effectively reduce waste
base construction. Additionally some construction waste is converted into environmentally friendly generation and increase resource utilization.bricks that after undergoing mature processing techniques achieve sufficient strength and
performance for use in non-load-bearing walls. ·Waste reuse: a centralized waste storage area is established on
the construction site for the sorted and unified collection of waste.Non-recyclable construction waste is safely disposed of in landfills in strict accordance with local Recyclable waste such as concrete pieces and stone fragments is
Waste Type
environmental protection requirements. processed into materials that can be used as sub-base layers in
buildings; crushed stone is used for backfilling drainage channels;
and mortar residue generated from masonry and plastering is
At construction sites different types of garbage bins are provided to classify domestic waste: screened and reused as an auxiliary additive for plastering mortar.These measures significantly improve resource utilization.Recyclable waste: items such as waste paper plastics and metals are regularly sold to recycling
·Improved construction quality standards: the construction quality of frameworks is enhanced to help avoid or reduce mortar
stations; leakage; the layout efficiency of formwork materials is improved to reduce the generation of scrap.Kitchen waste: this is collected centrally and processed by professional food waste treatment ·Resource conservation measures: non-archived paper is printed or photocopied double-sided and waste paper is eventually
companies; recycled along with other paper products. Refillable ink cartridges are used and spent cartridges are collected and recycled by
Domestic waste suppliers.Other waste is periodically transported to municipal waste treatment facilities for proper
processing.
45 46Green Design: Creating a Harmonious Ecosystem
Material Management Strategy
To strengthen material control the Company has developed the ?
? ?
?
?
Impact PotentialRisk Type Risk Description Duration Financial Impact Response Measures
??
? ? - based on its actual business model. This system clearly defines proce-
dures for the procurement storage use maintenance and scrapping of materials for self-operated construction projects.The Company also regularly inspects the management of materials by project teams to ensure that material management is
carried out in a standardized and effective manner. As consumer attention to ecological
Monitor consumer
and biodiversity protection grows the
For packaging materials generated during projects the Company strictly follows construction technical specifications to Long- Decreased preferences and actively Company may lose market share if it
achieve recycling whenever possible; packaging materials that cannot be recycled are stored in designated areas to prevent term operating income implement biodiversity does not promptly adapt to these
Market risks protection measures.environmental pollution. evolving preferences.Protecting Ecosystem and Opportunity Impact Potential
Opportunity Type Response Measures
Description Duration Financial Impact
Biodiversity
Governance For areas with damaged ecosystems Actively develop the Company can offer ecological resto- technologies for
The Company actively responds to the ? ? ??
?
and complies with applicable laws and ration services such as saline-alkali land landscaping plant
remediation and polluted soil remedia- cultivation and ecological
regulations including the ? ? ?
? ? ? and local ecological protection policies. It is Medium-
tion. These services not only help protect restoration; adhere to
actively developing ecological restoration technologies to minimize the direct and indirect impacts of its production activities termthe ecological environment but also sustainable development
on nature and biodiversity. At the same time the Company prioritizes enhancing the expertise of teams through specialized Products and enhance the Company’s social reputa- principles throughout the
technical training thereby improving employees’ awareness and capability in biodiversity protection. services tion and generate economic benefits. planning design
construction and
Increased operational processes;
Case Study operating income implement measures such
as green building and
Technical Training By actively fulfilling its biodiversity ecological restoration; and
protection responsibilities the Company participate in projects
In 2024 to protect valuable tree species and enrich germplasm resources the Company conducted technical
can establish a strong brand identity related to ecologicaltraining sessions including “Introduction to Palm Eco-Town’s Honors in the R&D of Multi-Season Camellia and and enhance its image as a corporate Long- restoration pollutionNew and Superior Varieties” “Key Points of Off-Season Planting and Maintenance Techniques for Landscaping Reputation citizen boost its market competitive- termprevention and controlPlants” and “Distribution and Cultivation Techniques of Major Grain Crops in Henan Province.” These sessions opportunities ness and consumer acceptance and
green and low-carbon
initiatives and urban
effectively enhanced employees’ awareness of species protection and local plant cultivation techniques attract more business opportunities and
ecology to protect the
thereby promoting plant diversity protection efforts. partnerships. ecological environment.
47 48Green Design: Creating a Harmonious Ecosystem
Risk and Opportunity Management Protection of Biological Genetic Diversity
Construction projects may affect native plant habitats disturb micro-ecosystems and disrupt the established ecological bal- The Company continuously carries out the development breeding and protection of new plant varieties to effectively enrich
ance. The Company assesses and identifies ecosystem diversity risks using scientific methods such as the Shannon-Wiener species diversity and contribute to the conservation of biodiversity.Index and Simpson Index and utilizes its proprietary ecological protection technologies to carry out ecological restoration
The Company has organized five domestic entities to carry out research on Magnolia germplasm innovation high-resistance
thereby enriching species diversity and bolstering ecological stability. germplasm screening and efficient safe breeding technologies. In doing so it has not only cultivated new varieties of
Simultaneously the Company continuously monitors ecological stability. In projects related to river and lake management or Magnoliaceae plants with high ornamental value and strong resistance thereby addressing challenges in cultivation and
comprehensive rural environmental improvements it conducts preliminary surveys of local plant and biological resources propagation but also achieved industrial-scale production of these new varieties. These efforts promote the upgrading of the
domestic Magnolia industry and the protective promotional utilization of native Magnolia resources. By employing techniques
analyzes the findings and incorporates them into project designs. Ecological restoration technologies are integrated into
such as natural variation selection distant and near hybridization as well as physical and chemical mutagenesis the
project plans and during construction these technologies or close-to-nature approaches are employed to enrich local spe-
Company has bred 16 new Magnoliaceae varieties. These include series such as dwarf multi-flowered varieties multi-season
cies resources ensure on-site species protection and achieve ecological balance. flowering varieties and evergreen cold-resistant varieties which have significantly enriched the genetic diversity of China’s
Magnolia resources. In addition the Company has established the most comprehensive joint germplasm resource garden in
China for both wild and cultivated Magnolia varieties. Through the introduction of inflorescence clusters seeds or seedlings
Protection of the Ecological Environment it has collected and preserved 135 wild-type species (including variants) of Magnoliaceae spanning 10 genera along with
210 cultivated varieties from both domestic and international sources. Moreover the Company has progressively conductedThe Company has developed a series of ecological protection technologies including the “Multi-Coupled Long-Term Low-Car- extensive field surveys and ex situ conservation of wild populations of several rare Magnolia species researching theirbon Water Ecological Restoration Technology” “Sponge City Green Space Water Landscape and Water Ecological Compre- endangered mechanisms and developing strategies for their protective and promotional utilization thereby providing a modelhensive Restoration Technology” and “Urban-Rural Green Space Landscape and Water Body Comprehensive Ecological Res- for the protective development and sustainable utilization of rare plants.toration Technology”. These innovations have been successfully applied in projects effectively enriching species diversity
enhancing ecosystem stability and improving the efficiency of ecological restoration.Case Study
Yellow River Ecological Corridor Demonstration Zone in the Kaifeng Section
The Kaifeng Yellow River Ecological Corridor Demonstration Zone Project is a core component of Henan Prov-
ince’s broader Yellow River Ecological Corridor Demonstration Project. Planned by the subsidiary Palm Design
Group and constructed by the Company the project employs advanced ecological restoration technologies to
mitigate the severe salinization and fragile ecology of the Yellow River beach area in the Kaifeng section. By
planting locally adapted native tree species such as paulownia cedar and willow， the project establishes amulti-layered multi-species ecological shelterbelt that effectively prevents wind erosion and sand fixation con-
serves soil and water and withstands extreme weather conditions. Key Performance
As of the end of 2024 the new varieties and key technologies developed by the Company have been promoted
and applied in over 100 greening projects across 15 provinces and cities nationwide.
10 demonstration bases have been established
the production and promotion area for the new and superior Magnolia varieties has reached 3450 mu
and a total of over 20 million Magnolia seedlings have been produced.
49 50Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Innovation for Empowerment:
Focusing on Collaborative
Industry Advancement 03
The Company closely aligned with its “One Core Two Wings”
development strategy continuously innovates and strengthens
its R&D to empower industry development. By consistently
enhancing its performance to earn customer trust and diversely
boosting its core competitiveness the Company actively collabo-
rates with partners to jointly pursue a path toward sustainable
development.Responded Topics
Innovation-Driven Development Safety and Quality of Products
and Services Supply Chain SecurityData Security and Customer
Privacy ProtectionInnovation for Empowerment:
Focusing on Collaborative Industry Advancement
Deepening R&D and InnovationThe Company adheres to the philosophy of “making research serve practical purposes and driving technologicalempowerment” continuously pursuing technological innovation in areas such as landscaping plants ecological restoration
green construction and modern agriculture. These efforts strengthen the Company’s core competitiveness and drive
high-quality development through innovation.R&D Governance System
The Company has established a robust R&D management framework and formulated management systems including the
?? ? ???? ?? ? ? ? ? ? ? ?
- and ? ? ? . These systems standardize R&D project management and establish an
innovation-oriented incentive system that provides tiered rewards to R&D teams and core personnel achieving breakthrough
technological results. This effectively stimulates employees’ proactivity and energizes the Company’s innovation drive. R&D Team
The Company has also established the Ecological Technology Research Institute which is responsible for initiating The Company continues to enhance its technological innovation workforce by recruiting top-tier talent and fully leveraging
implementing inspecting and approving R&D projects as well as managing achievement declarations and rewards.their expertise. As of the end of the Reporting Period the Company employs 111 R&D personnel accounting for 12.18% of
Additionally it oversees patents and trade secrets ensuring the smooth progress of the Company’s scientific and technological
its total workforce.R&D and intellectual property-related efforts while supporting the achievement of the Company’s development objectives.In 2024 the Company rigorously implemented project management in line with its incentive mechanisms. R&D personnel
applied for rewards multiple times under the relevant regulations and all approved rewards have been disbursed. 0.90%53.15% 46.85% 18.92%
18.02%
R&D Platform Construction
The Company has successively established 14 R&D platforms at the national provincial and municipal levels including the
Palm R&D and Promotion Center of the National Engineering Research Center for Floriculture the Henan Provincial Ecological By Gender By Academic
Landscaping Engineering Technology Research Center and the Guangdong Provincial Ecological Landscaping Engineering Qualification 62.16%
Technology Research and Development Center. Leveraging these platforms the Company has cultivated strong partnerships
with universities research institutes and scientific organizations. This has advanced the Company’s R&D innovation efforts
and facilitated the consistent launch of new products and technologies.Key Performance
Male 59 Below bachelor’s degree 20 Master’s degree 21
As of the end of the Reporting Period:
Female 52 Bachelor’s degree 69 Doctoral degree 1
The Company operates 1 national-level R&D platform 7 provincial-level R&D platforms and 6 municipal-level
R&D platforms;
The Company has been recognized as a National High-Tech Enterprise;
Its subsidiary Palm Design Group has been certified as both a National High-Tech Enterprise and a Specialized and
Sophisticated Enterprise Producing Novel and Unique Products in Guangdong Province.
53 54Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
R&D Strategy
The Company pays close attention to market trends technological advancements and other internal and external factors to
identify potential risks and opportunities in innovation and R&D. It also develops corresponding countermeasures to strengthen
its core competitiveness.Risk Type Risk Description Reporting Period Potential Financial Impact Response Measures
Monitor and promptly grasp market trends; conduct product R&D in accor-
The competitive environment and changing market demand may lead to a
Decreased operating dance with business needs; establish and improve an innovation and R&D
Market risks decline in market share if new products and technologies do not meet market Medium- and long-term
mechanism while continuously increasing R&D investment to enhance
expectations. income
internal R&D capabilities.The Company’s R&D efforts in its main business span multiple interdisciplinary
fields posing significant challenges in achieving breakthroughs in core technolo- Increased R&D
Actively introduce new talent accelerate the construction of R&D platforms
Medium- and long-term and continuously strengthen industry-university-research cooperation to drive
Technical risks gies. These complexities may lead to R&D cycles that are longer than initially investment costs breakthroughs in key technologies and facilitate achievement transformation.anticipated.Opportunity Type Opportunity Description Reporting Period Potential Financial Impact Response Measures
Policies advancing new urbanization rural revitalization and ecological resto- Proactively identify policy changes and align project R&D efforts with
Policy ration have created significant demand for projects such as smart agriculture Increased operating income and them; continuously advance the development of ecological restoration
opportunity transformation and urban green space development. Supported by these Long-term
policies the Company can enhance its innovation capacity and reputation lead- decreased R&D costs technologies and strategically plan modern agricultural technology deploy-
ing to substantial profitability. ment.Industrial
upgrade and The introduction of digital intelligent and green technologies can drive the Com- Increased operating income Actively apply information and digital technologies deepen smart empow-
transformation pany’s industrial transformation and upgrading. Long-term and decreased operating costs erment and accelerate the process of digital transformation.opportunity
55 56Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
R&D Risk Management Key Performance
Prior to initiating R&D projects project leaders conduct both online and offline research to gain insights into industry Investment in R&D: 1.42(in RMB 100000000)
development trends and the Company’s growth needs. They prepare an R&D project initiation report aligned with the
Company’s long-term development plans. Once the report is completed the Ecological Technology Research Institute The Company applied for 48 patents and published 15 papers;
organizes expert reviews adjusting R&D directions based on feedback to mitigate risks. Throughout the R&D process project
leaders employ dynamic management and prepare annual summary reports to monitor project progress and prevent R&D
risks. As of the end of the Reporting Period the Company held a total of 117 authorized patents including 22
invention patents 2 design patents and 93 utility model patents. In addition it holds 24 software
R&D Objectives copyrights and 202 trademarks.Aligned with strategic development goals the Company has established R&D objectives focusing on four key areas: patent
quantity patent transformation efficiency industry–university–research collaboration and government projects.Technology Achievement Awards
Objectives Achievements in 2024
Increase the number of patent applications year over year Over 10% year-over-year growth
Achieve a patent technology transformation efficiency of at least 95% Achieved
Expand and maintain no fewer than two industry–university–research
cooperative relationships annually Achieved First Prize in Science and Technology Progress Awards of the Second Prize in Science and Technology Progress Awards of
Chinese Society of Landscape Architecture the Chinese Society of Landscape Architecture
Apply for at least three government projects each year Achieved Comprehensive Research on Restoration Technologies for River Research on Key Technologies for Green Construction in
and Lake Green Corridors and Waterside Ecosystems Hardscape Projects
R&D Achievements
The Company is committed to plant germplasm innovation
ecological restoration technology R&D and green carbon
peaking and carbon neutrality technology R&D while also
actively advancing modern agricultural technology R&D.During the Reporting Period the Company steadi ly
increased its R&D investments and steadily implementedprojects such as “Magnoliaceae Plant Germplasm Innova-tion Breeding and Industrial Utilization” “Multi-CoupledFirst Prize in Science and Technology Achievement Award of Third Prize in Science and Technology Progress Awards of the
Long-Term Low-Carbon Water Ecological Restoration Tech- the Education Department of Henan Province Chinese Society of Landscape Architecturenology” and “High-Standard Farmland Construction”
Key Technologies and Applications for Targeted Collaborative Magnoliaceae Plant Germplasm Innovation Breeding and
achieving the effective transformation of its technological Management of Basin Water Environments Addressing Industrial Utilization
achievements. Multidimensional Pollution Pathways
57 58Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Key R&D Projects
Water Ecological Restoration Technology R&D
In 2024 the Company continued its research on water ecologicalDevelopment of New Plant Varieties restoration technology by integrating a “Multi-Coupled Long-TermLow-Carbon Water Ecological Restoration Technology”. In collabo-
* The Company has cultivated 80 new Magnolia varieties of which 16 have obtained national plant variety ration with the Institute of Biology Co. Ltd. Henan Academy ofrights 1 has obtained plant variety rights in the United States and 17 are registered with the International Mag- Sciences the Company conducted research on a “Microorganism -nolia Association. These achievements have injected new momentum into the revitalization and development of Native Plant Joint Restoration Technology for Black and OdorousChina’s magnolia industry. Water”. This technology leverages the characteristics of common
plants organisms and microorganisms in nature to build a
* For the first time in China the Company conducted a systematic study on the waterlogging tolerance of Mag- low-cost low-maintenance green ecological purification and
noliaceae plants. It also for the first time utilized nuclear and plastid data to establish a clearly defined phyloge- recycling system. It fills the gap in the Company’s product R&D for
netic framework for the Magnolia genus thereby testing the concept of a northern subtropical flora for Magnolia. microbial restoration of black and odorous water and provides a
systematic solution for the restoration of rural black and odorous
* The Company has established a key technology system for the industrialization of new and superior Magnolia
water.varieties overcoming challenges in standardized production. To date it has been granted 1 invention patent and
7 utility model patents and it has formulated 1 local standard. In this project the Company developed 2 types of multifunctional microbial agents for soil restoration and 2
* The Company has collected and preserved 135 wild-type species (including variants) of Magnoliaceae span- supporting substrates filed 6 patents (including 1 invention patent) and published 2 papers.ning 10 genera along with 210 cultivated varieties from both domestic and international sources. This effort has
resulted in the establishment of the most comprehensive joint germplasm resource garden for Magnolia varieties
in China.* The Company has built 10 demonstration bases with the production and promotion area for new and superior Precision Agriculture Management Technology
Magnolia varieties reaching 3450 mu. In addition over 20 million seedlings of these varieties have been pro-
duced. This technology employs unmanned aerial vehicle remote sensing the Internet of Things and other advanced tools
* Project teams have published a total of 42 related papers and compiled 2 professional books. to achieve comprehensive real-time monitoring and management of farmland. Through the system farmers can
observe crop growth conditions and monitor pest and disease occurrences enabling them to take timely actions for
scientific management. The application of precision agriculture management technology has enhanced agricultural
production efficiency reduced costs and risks and via high-standard farmland construction projects boosted crop
yields by over 20% in some demonstration areas thereby significantly increasing farmers’ incomes.
59 60Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Industry Collaboration and Advancement Case Study
As a leader in ecological co-construction in the industry the Company actively establishes a three-dimensional interactive
mechanism of “peer exchange – industry – university – research cooperation – standard formulation”. It actively participates in Annual Meeting and Industry Exhibition of the Chinese Society of Landscape Architecture
various industry-related academic exchange conferences promotes comprehensive technical cooperation with colleges and
universities and takes the lead in formulating multiple industry standards to inject vitality into industry development.In November 2024 the Company was invited to the
Annual Meeting and Industry Exhibition of the Chinese
Industry exchange Society of Landscape Architecture held for the first timeThe Company has joined 11 industry organizations. Via academic conferences exhibitions in South China under the theme “People’s Gardensand other platforms it shares its frontier technologies innovative philosophies and practical Shared Scenery.” The Company showcased its expertise
01 experience engages in discussions about industry trends and challenges and fosters robust and extensive practical experience in landscape planning information flow and intellectual dialogues. These efforts help propel technological and design engineering construction and integrated
advancements and support the overall growth of the industry. operations through rich visual presentations and videos.Company representatives actively participated in themat-
Industry–University–Research Cooperation ic forums and seminars discussing emerging issues and
Leveraging the strong research capabilities and abundant talent resources of partner development trends in the landscape architecture indus-
universities the Company has undertaken a series of joint projects in industry – university – try and sharing insights on the Company’s explorations
research collaboration. During the Reporting Period it partnered with institutions such as the and practices in transformation upgrading and green
02 Henan Academy of Sciences Zhengzhou University the Institute of Advanced Agricultural development.Sciences of Peking University and Henan Agricultural University. These collaborations have
accelerated the conversion of research breakthroughs into tangible production outputs
offering solid support for the Company’s product innovation and technological upgrading.Standard formulation
During the Reporting Period in cooperation with authoritative industry institutions and
enterprises the Company conducted in-depth research on sector needs and spearheaded
03 the formulation and publication of four enterprise standards. One such standard is the Protection of Intellectual Property Rights? ?? ? ? ? ?
? . Additionally the Company contributed to the issuance of three group standards
such as the Commonly ?
? ?
? ? ? ?
The Company places great emphasis on intellectual property management. To protect its own intellectual property rights and
to ensure it does not infringe on the rights of others it has formulated and implemented the ?
? ?
?
along with other relevant rules and regulations. In 2024 the Company’s R&D personnel routinely accessed the
official website of the China National Intellectual Property Administration to review patent application trends in related
industry fields. This proactive approach helps prevent potential intellectual property infringement incidents. The Company also
Key Industry–University–Research Projects engaged intermediary agencies to compile and review its intellectual property applications ensuring comprehensive oversight
of its IP portfolio. During the Reporting Period the Company held in-depth discussions with intellectual property agencies to
The Company partnered with the Shanghai Academy of Landscape Architecture Science and Planning to conduct consult on key technological aspects of IP applications. These interactions have significantly enhanced the expertise of its IP
“Research on Carbon Source/Sink Accounting for Urban Green Spaces Based on the Whole Life Cycle.” This project management team members project technicians and R&D personnel.filled a critical gap in urban green space carbon sink accounting and further enhanced the Company’s industry
influence. To further strengthen its IP management and to mitigate risks such as trademark infringement that can lead to economic
losses the Company supplemented the registration for 32 trademark categories across four trademarks. In addition it
Achievements: the Company established a comprehensive whole life cycle carbon accounting method for urban completed copyright registrations for trademarks in 16 sub-categories. Comprehensive investigations were also conducted on
green space construction published 2 research papers and formulated 1 standard related to urban green space enterprises suspected of trade name infringement. Following legal analysis to define the scope and scale of these
carbon sinks. infringements administrative and legal actions were taken; these efforts resulted in successful litigation and enforcement
thereby further safeguarding the Company’s IP rights and legal rights and interests.
61 62Innovation for Empowerment:
Focusing on Collaborative Industry AdvancementStrengthening Quality HeadquartersServing as the main body responsible for “group-level management and controlsegment-based operations and specialized development” the Headquarters employs a “stra-Management tegic decision-making + centralized control of key resources” model. It oversees strategic deci-sions and the centralized management of critical resources such as personnel finances and
materials from a macro perspective directing the development and resource allocation for
The Company has always adhered to the principles of excellence in craftsmanship building its brand on a foundation of the Company’s products and services.responsibility and earning trust through outstanding service. By continuously improving product quality strictly ensuring
engineering safety and enhancing service excellence the Company strives to deliver exceptional projects and services that
establish a positive corporate image and earn long-term customer trust. Product and Specialized subsidiariesService
Management In alignment with a “specialized operation” approach the subsidiaries are tasked with
Structure achieving professional objectives. They manage the production operational activities and
Quality Management System specific business functions of their affiliated entities thereby enhancing the professionalism
and refinement of the Company’s products and services.The Company upholds the business philosophy of “quality first with quality as thecornerstone” and strictly complies with the ISO 9001 quality management system.In combination with its own circumstances the Company has established a Regional offices
comprehensive framework of policies procedures and performance evaluation As regional management centers these offices are authorized to independently handle
systems that create a fully functional streamlined quality management system production and operational management activities. They can flexibly adjust products and
services to suit local market characteristics and customer needs thus enhancing market
with clearly delineated responsibilities. This framework bolsters management
responsiveness.capability strengthens governance and improves risk control providing robust
institutional support for the quality of its products and services. To date the
Company has passed the ISO 9001 quality management system certification.During the Reporting Period the Company did not incur any major quality ISO 9001 Quality Management System Quality Culture Development
incidents. Certificate
The Company attaches great importance to quality management and continually promotes quality culture through various
The Company has developed a ?
?
that defines the roles and authorities of various departments and initiatives including quality training sessions and Quality Month. These efforts are designed to boost overall quality awareness
positions involved in quality management to standardize and continuously improve quality management work. The legal among all employees and to nurture a strong quality culture exemplified by the “compete learn collaborate and excel” spirit.representative of the Company is designated as the first person responsible for the quality management of the Company and During the Reporting Period the Company conducted quality training following the ? ??
bears ultimate leadership responsibility for engineering quality. To further enhance engineering quality management the achieving excellent outcomes.Company has formulated and implemented quality control specifications such as the ?
? ?
??
? ? -
?? ? ?
. These measures ensure standardized control
across the entire project life cycle from project initiation to final acceptance. Additionally by relying on the
? Case Study
?
?
? ? ?
the Company has established rigorous quality acceptance and assessment
Quality Training on High-Standard Farmland
standards to reinforce supervision and management.To ensure engineering quality and deliver exemplary projects the Company places strong emphasis on
Based on its organizational structure and business orientation the Company has established a three-tier management system
enhancing the construction quality awareness and professional skills of its workforce. It has organized
to ensure that the products and services across each business line are developed and delivered in an orderly manner.comprehensive in-depth training sessions that cover the interpretation of policies regulations and
foundational knowledge related to high-standard farmland construction training on technologies and
processes relating to the construction of agricultural water facilities field roads and drainage systems and
detailed review of quality standards and norms including case studies and problem-solving methodologies.These initiatives empower construction personnel with the key technologies quality standards and
operational procedures necessary for high-standard farmland projects ensuring strict adherence during
project execution and reducing the incidence of quality issues.
63 64Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Case Study Maintaining Stable Supply Chain
2024 Quality Month The Company’s procurement activities cover construction projects; key equipment; critical materials; and services including
On September 24 2024 the Company hosted a Quality Month project observation event in Lankao Henan surveying design and operations. The Company strictly complies with all applicable laws and regulations fully standardizing
Province. The event brought together project teams from subsidiaries covering Henan Central China North the end-to-end process of supplier admission evaluation and exit. It continually improves the supply chain management
China and the general contracting platform. Through a format combining on-site observations with group system and actively collaborates with supplier partners aiming to minimize supply risks and ensure stable production and
discussions participants engaged in hands-on experiences and in-depth exchanges to explore new methods operations.and ideas for enhancing engineering quality.Supply Chain Management System
The Company strictly adheres to the requirements of the ? ? ?
? ? ? and the
? ?? ? ?
? . It has formulated systems such as the
?
? ?
? ?
??
? ? - and the
?
? ?
?
?
??
? ? -. These
measures clarify the roles and responsibilities for tendering procurement material management and supplier management
thereby standardizing work processes and procurement behaviors standardizing procurement work achieving systematic
supplier management and continuously enhancing the Company’s ability to prevent supply chain risks.The Company’s procurement management organization comprises the Procurement and Bidding Leading Group and the Bid
Evaluation Group. The Company’s General Manager serves as the Head of the Leading Group and bears full responsibility for
the management decision-making and coordination of the entire bidding and procurement process. The Bid Evaluation Group
is tasked with reviewing the bidding process for compliance assessing bidder qualifications and evaluating the rationality of
pricing. Meanwhile the Construction Management Center along with regional subsidiaries and project teams is responsible
for managing and evaluating suppliers.Protection of Customers’ Rights and Interests
Key Indicators
The Company has always made customer satisfaction the core objective of its operations. It has built a comprehensive
customer service system covering the entire service cycle and actively broadened its communication channels through online
platforms offline follow-up visits and questionnaires to gather customer feedback and suggestions. The Company is Total number of suppliers: 17465 ；
committed to maintaining strong customer relationships and continuously improving the quality and level of its service. At thesame time it has established a complaint management mechanism based on the principles of “seeking truth from factsfairness reasonableness and prompt resolution.” This mechanism standardizes the customer complaint handling procedures Total number of newly contracted suppliers that have signed the Integrity Agreement: 808 (achieving a
to maximize the fulfillment of legitimate customer demands and to resolve issues effectively. 100% signing rate among newly contracted suppliers).During the Reporting Period the Company received 21 customer complaints and achieved a 100% resolution rate.Customer Complaint Process
Collect complaint information Communicate with the complainant Implement the resolution plan
010203040506
Provide feedback
Verify the complaint details Report for handling and approval
on the outcomes
65 66Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Supply Chain Security Strategy
Potential Financial
Risk Type Risk Description Impact Duration
Impact Response Measures
Integrate supplier chain resources to enhance bargaining power and lower
Changes in market demand may lead to rising raw material prices and increased Increased procurement costs procurement costs.Market risks Short-term
procurement costs. and decreased sales revenue Generate procurement orders as planned to reduce material waste at the
source.Major suppliers may be unable to deliver normally due to natural disasters or
Strengthen the management of reserve suppliers for key raw materials
insufficient production capacity affecting project progress potentially causing Increased procurement costs Supply chain Short-term and establish long-term cooperation with high-quality suppliers to improve
delays or necessitating additional re-procurement thereby increasing procure- and decreased sales revenue
disruption supply chain stability.ment costs.Implement strict supplier admission management; regularly review and
Inadequate quality control by suppliers may result in product quality issues that monitor suppliers’ quality standards to ensure products meet required
Short- and Increased procurement costs
affect project construction progress or quality potentially damaging the Compa- specifications; set up acceptance teams to rigorously verify material quan-
Quality risks ny’s reputation and customer satisfaction and even leading to legal liabilities. medium-term and decreased sales revenue tities and conduct sample quality tests ensuring material quality and
safety.Potential Financial
Opportunity Type Opportunity Description Impact Duration Impact
Digital
transformation Through advanced technologies such as the Internet of Things and big data
of the supply Long-term Decreased operating costsanalytics supply chain management can be made intelligent and more efficient.chain
51 Prioritize suppliers that have obtained green certifications promote the use of
Green supply
renewable materials and the recycling of waste building materials and reduce
chain Long-term Increased operating income
construction the supply chain’s carbon footprint thereby enhancing the Company’s reputa-
tion. 52
Impact Risk and Opportunity Management Sustainable Supply Chain Management
The Company reviews and evaluates supplier qualifications reputation product and service quality as well as production and The Company is committed to establishing a fair transparent and sustainable supply chain management system. It requires
safety management practices to mitigate the risks posed by substandard suppliers. In addition a dedicated Acceptance Team suppliers to comply with applicable laws and regulations strengthens supplier admission and evaluation processes and
has been established to rigorously monitor material quality and safety. actively promotes the enhancement of suppliers’ own sustainable development capabilities to ensure the long-term
sustainability of the supply chain.
67 68Innovation for Empowerment:
Focusing on Collaborative Industry Advancement
Supplier Management Protecting Data Privacy
Admission of suppliers Supplier evaluation Supplier blacklist management Data Security Management
The Company has estab- The evaluation of new suppli- The relevant system stipu-
lished strict supplier admis- ers is based on criteria includ- lates that if a supplier engag- The Company attaches great importance to information security protection and strictly complies with the ? ?
sion criteria. Suppliers must ing basic qualifications on-site es in any prohibited behavior ? ?
? as well as other applicable laws and regulations. It has established policies and procedures such
upload prequalification doc- inspections of the supplier’s as defined by the system it as the ?
? ?
??
? ?
??
and ?
? ?
?
uments pr ior to bidding; operating premises assess- will be placed on the supplier ?
?￠
to rigorously regulate information management and usage. These efforts continually enhance
those that pass the prequali- ment of their management blacklist and will no longer be the Company’s information security management level and technical safeguards ensuring network security and the smooth
fication are added to the structure and reputation eval- eligible to participate in the operation of production and business activities. During the Reporting Period the Company did not experience any significantCompany’s “List of Qualified uations as well as ESG-related Company’s bidding processes. network security incidents.Suppliers.” management indicators such
as product and service quality
product ion pract ices and Information Security Protection Measures
safety and civilized manage-
ment.System encryption and access control Data backup and system protection
The Company encrypts all application system data The Company performs daily incremental back-
and interface transmissions. It strictly prohibits the ups at the operating system and data levels con-
Clean Procurement external disclosure of customer and employee per- ducts full backups weekly and carries out month-
The Company continuously strengthens the compliance awareness of its procurement personnel promotes clean procurement sonal informationcontrols internal access rigorous- ly recovery dri l ls. Al l business systems are
practices and signs the with suppliers to clearly define the ethical standards that both parties must adhere ly and permits privacy information queries only by secured with firewalls antivirus software bastion ?
employees authorized by the management. hosts and routine vulnerability scans.to in commercial activities. This ensures that the collaborative process is legal fair and transparent safeguarding the
Company’s high-quality development.Case Study Information security education Information security emergency drills
The Company conducts weekly information securi-
Special Training on Key Issues and Countermeasures in Compliance Management and ty education on its internal OA portal and regularly
Audit Inspections for the Bidding and Procurement of State-Owned Enterprises The Company restores production system data to provides information system operation security
test systems on a monthly basis and conducts
To drive lawful and compliant operations and standardize training for all employees. Over the year the Com- internal emergency drills every month.the tendering and bidding process hereby enhancing the pany held 6 training sessions that reached more
bidding and procurement capabilities of relevant profession- than 1400 participants.als improving procurement efficiency clarifying applicable
laws and regulations and mitigating legal and other opera-
tional risks the Company’s Human Resources Department
organized a three-day training session. This session focused
on “Strict Management” state-owned enterprise bidding Customer Privacy Protection
and procurement the cultivation of new quality productive
forces as well as the main issues and countermeasures in The Company places great emphasis on safeguarding customer information confidentiality and protecting customers’ privacy
compliance management and audit inspections during bid- rights. Throughout the entire application life cycle from requirements analysis to system implementation each application
ding and procurement for state-owned enterprises. undergoes joint evaluation by the Business Internal Control and IT departments before measures such as data encryption and
output desensitization are implemented.
69 70Caring for Employees: Ensuring Safety and Health
Caring for Employees:
Ensuring Safety and Health 04
The Company always adheres to a “people-oriented” philosophy
fostering an equal and inclusive corporate culture. It safeguards
the legitimate rights and interests of its employees prioritizes
talent development and provides effective incentive mechanisms
and comprehensive welfare benefits to create a safe and healthy
working environment thereby striving for the mutual progress of
the Company and its employees.Responded Topics
Protection of the Rights and Interests of Employees Employee
Training and DevelopmentOccupational Health and SafetyCaring for Employees: Ensuring Safety and Health
Protecting the Rights and 2.52% 0.11% 0.99%
Interests of Employees 8.56%
5.16%
23.60%
The Company insists on lawful employment and strictly complies with the ?? ? ?
? the ?
? ? ?
? and other applicable laws and regulations. It continuously refines its human
resource management system by formulating and implementing systems such as the ?
?
? ?
and ? ? ?
. By standardizing recruitment termination compensation By Academic
promotion work hours and leave and by signing labor contracts with employees in accordance with the law the Company Qualification By Job Level
respects and safeguards employees’ rights and interests while actively fostering harmonious and stable labor relations.The Company is committed to providing equal opportunities to every employee promoting inclusive employment and 93.85%
respecting diverse backgrounds. It strictly prohibits any form of discrimination based on gender ethnicity age nationality 65.20%
marital status or other factors thereby ensuring that all employees enjoy equal opportunities in recruitment compensation
training promotion and other aspects. During the Reporting Period there were no incidents of employing child labor or
Doctoral degree 1 Master’s degree 78 Senior management 9
forced labor and the labor contract signing rate was 100%.Bachelor’s degree 594 College degree 215 Middle management 47
Recruitment and Employment High school degree or below 23 Grassroots 855
The Company upholds the principles of fairness openness and impartiality and has established comprehensive recruitment
management policies that clearly define recruitment and selection processes ensuring procedural compliance and eliminat-
ing employment discrimination. It employs diversified recruitment channels including online recruitment on platforms such as 13.28%
51Job and Zhaopin.com internal and external referrals of outstanding talent and targeted headhunting services to attract
exceptional professionals from across society.As of the end of the Reporting Period the Company employed a total of 911 individuals including 7 employees with 9.88% 43.58%
disabilities and 23 employees from minority groups. In 2024 140 new employees were hired.
2.96% By Profession
40.07%59.93%19.87%
19.43%
27.22%
6.04%
Manufacturing 397 Technology 248 Administration 121
By Gender By Age Sales 55 Finance 90
57.74%
Protection of the Rights and Interests of Female Employees
Male 546 Under 30 years old 177 The Company strictly complies with all applicable national laws and regulations to actively safeguard the legal rights and
Female 365 30 (inclusive) to 40 (exclusive) interests of female employees during pregnancy childbirth and breastfeeding. It ensures that female employees receive
years old 526 their entitled paid leave for prenatal examinations maternity and breastfeeding with wages paid according to standard
40 (inclusive) to 50 (exclusive) rates. In 2024 on International Women’s Day female employees were granted a half-day off and received Women’s Day
years old 181 benefits.
50 years old or above 27
73 74Caring for Employees: Ensuring Safety and Health
Compensation and Benefits Employee Care
To further enrich employees’ cultural lives foster a positive corporate culture and enhance employee happiness the Company
Compensation Management organizes a variety of cultural and recreational activities.The Company highly values the contributions of its employees and has established systems such as the ?
? ?
and ?
? ?
? . It has built a compensation and performance management system
that links pay with performance ensuring that employee compensation is commensurate with job value individual perfor- Case Study
mance and market rates. The Company’s remuneration structure comprises fixed pay variable pay and benefits with vari-
able pay being linked to both Company performance and individual outcomes. This approach aims to align responsibility with
interests capability with value risk with return and performance with rewards thereby promoting the continuous stable Team Building Activity
and healthy development of the Company.The Company has established a clear performance appraisal and feedback mechanism. It conducts annual performance
appraisals that cover all employees to assess the achievement of key indicators and to objectively and fairly evaluate overall
performance across all levels. Additionally it has instituted a performance feedback and grievance procedure that allows
employees who disagree with their appraisal results to file an appeal in writing or via email to the Human Resources Depart-
ment within 3 working days of receiving their evaluation.Employee Benefits
The Company adopts diversified strategies to provide employee benefits. In addition to statutory benefits it offers compre-
hensive health benefits meal subsidies and organizes various employee events that enhance employees’ sense of belong-
ing recognition and cohesion.Democratic Management
The Company contributes to social insurance and housing funds for all employees;The Company adheres to the principles of “lawfulness compliance orderly advancement transparency fairness andThe Company ensures that employees enjoy statutory rest days public holidays and paid leave; justice.” It has established a democratic management system based on Employee Congresses and implements an employee
supervisory system in accordance with the law thereby ensuring that employees have the right to participate in manage-
The Company provides incentive allowances and education and training opportunities to encourage the ment decision-making. This approach further promotes the harmonious integration and collaborative development between
enhancement of professional skills; the Company and its employees. Additionally the Company’s Trade Union strictly complies with the ? ??
The Company offers communication and meal allowances; ? ?
? the
? ? ? ?
and the ?
?
?
? ?
? ?? as well as other applicable laws regulations and guidelines for daily
The Company supplies holiday benefits and organizes various management.cultural and entertainment activities;
The Company also places a high priority on communication with its employees by establishing multiple channels to listen to
The Company arranges annual physical examinations to grassroots voices thereby actively cultivating a positive corporate cultural atmosphere.ensure the physical and mental well-being of employees;
The Company purchases group commercial
insurance for employees thereby improving its Key Performance
insurance system and effectively reducing the
financial burden on employees’ families in the During the Reporting Period the Company’s Trade Union had 191 members convened 3 Employee Congresses
event of accidents or illness.and deliberated and approved 3 proposals.
75 76Caring for Employees: Ensuring Safety and Health
Supporting Employee Growth
Talent is the core driving force behind the Company’s development. The Company places great importance on talent
development by continuously enhancing its training system and building platforms that ensure systematic and sustainable
professional growth. It provides equal opportunities for promotion to all employees to meet their career development needs
and to reinforce the Company’s competitiveness in talent.Employee TrainingThe Company adheres to the philosophy that “the appreciation of human capital is paramount to that of other forms ofcapital” and encourages every employee to adopt a lifelong learning mindset to continuously enhance their abilities and
competencies. It actively creates comprehensive multi-tiered learning opportunities and growth spaces with the aim of
building a learning-oriented organization centered on “application-oriented learning”.To support these objectives the Company continually enhances its employee training system by integrating both online and Palm Eco-Town’s Cloud Academy
offline methods. It employs external experts in conjunction with internal instructors to deliver a diverse range of training
courses that cater to the development needs of different talent groups thereby continuously empowering employee growth
and advancement.Implementation of the Training System in 2024
Additionally to accelerate the building of a learning-oriented workforce and foster a positive learning environment the
Company has formulated the ?
? ?
?? ? ?? ￡
?
? ? -. These measures provide support and incentives for employees to upgrade their
academic qualifications and skills motivating them to continuously realize their potential and value.
010203
KEY PERFORMANCE
Training of new employee Special training courses Instructor team development
200000 The Company organized 5 The Company organized and The Company continuously culti-The Company invested RMB in employee training. induction and empowerment coordinated 61 special ized vates and maintains an internal
training sessions for new em- training sessions in alignment team of outstanding instructors
ployees through the Cloud with business initiatives cover- aligned with its business needs.Academy with a total of 72 ing 15 distinct professional cat- In accordance with established
trainees participating. These egories. These sessions accu- systems and standards it con-
Training Platform Construction sessions reached 20 different mulated a total training dura- ducts annual evaluations of
business units.。 tion of 5002 hours with 3900 instructor levels and awardsThe Company has actively developed an O2O learning ecosystem under the guiding principle of “providing employees withtrainee attendances recorded honor certificates. During theefficient and convenient training services.” It established an internal training and learning platform “Palm Eco-Town’s Cloudand a satisfaction rate of 90%. Reporting Period 4 new juniorAcademy (the ‘Cloud Academy’)” and implemented the ?
? ?
? ?
instructors were added bringing
? to ensure robust institutional support for the platform.the total number of certified
The Company continuously operates “Palm Eco-Town’s Cloud Academy” and has implemented a monthly premium course instructors to over 100.recommendation strategy as part of its operating model. It has built a comprehensive digital knowledge system that currently
offers over 700 courses more than 100 internal courses and 640 external courses ensuring the efficient dissemination and
reuse of premium knowledge while documenting every step of employee growth. Since the launch of the platform the Company
has conducted over 20 training projects cumulatively providing efficient digital training to more than 400 participants.
77 78Caring for Employees: Ensuring Safety and Health
Streamlined Promotion Pathways
Case Study
The Company has established a multidimensional employee development mechanism and constructed a scientific transparent
career progression matrix. Based on differences in job complexity and professional requirements the framework defines 21 job
Induction Training for New Employees in 2024 levels and eight major job sequences. In addition dynamic growth ladders ranging from 5 to 7 levels are established based on job
authority and responsibilities. This system supports both horizontal and vertical career development enabling employees to chart
clear developmental paths. Through promotion incentives the Company continuously motivates employees and helps them realize
To help new employees better integrate into the Palm
family and adapt to the organization’s development the their full potential and self-worth.Human Resources Department organized five rounds of Promotion and Development Pathways
induction training during the Reporting Period. The train-
ing curriculum encompassed four major modules: An Promotion Development
Overview of Palm Eco-Town’s Development and Corpo-
rate Culture Human Resource Management and Develop- Under certain conditions an employee
ment Mechanisms Company Systems and Process Man- may transfer to another business unit
agement and Financial Information Platform Construction An employee may be promoted one level wh i l e rema in ing i n the same job
- Expense Management. These sessions provided new within the same job tier that is the job Within-level Cross-unit and sequence. In this case the job level and
hires with a deeper understanding of the Company’s title remains unchanged while the level is promotion same-sequence sequence remain unchanged even
organizational structure systems processes corporate upgraded allowing adjustment to the
development though the business unit changes; after
new salary standard; the transfer and provided that promotion
culture and core values. criteria are met the employee’s level may
be adjusted upward by one tier;
When promotion conditions are met an Under certain conditions an employee
employee may advance to the next may transfer to another business unit and
Case Study h i g h e r l e v e l w i t h i n t h e s a m e j o b Vertical Cross-unit and switch to a different job sequence while sequence. This results in a change of the cross-sequence retaining the same job level. Once trans-
job title. In principle promotions follow a promotion development ferred provided that promotion criteria
level-by-level process; however in special are satisfied the employee’s level may be
Training for Human Resources Teams cases skip-level advancement may be adjusted upward by one tier.approved;
In 2024 the Company conducted targeted trainingfocused on “Risk Management in the Implementation ofHuman Resource Systems by HR Teams in Subsidiaries When promotion conditions are met anand the Application of HR Expertise in Business.” Upon employee may be exceptionally promot-
completion of the empowerment training an online ed into a management sequence and Within-unit and
examination was administered with an average score of assume managerial responsibilities. This cross-sequence promotion
80.8. This post-training assessment deepened partici- resu l ts in changes to both the job
sequence and the job level;
pants’ understanding of key concepts and more impor-
tantly enabled them to apply their knowledge to practi-
cal work. The initiative helped improve work efficiency
reduce employment risks and support the achievement
of the Company’s operational objectives. When promotion conditions are met an
employee may be promoted within the
same job sequence across different units. Cross-unit and
In this scenario the job sequence remains same-sequence
unchanged but both the job level and promotion
the business unit change.
79 80Caring for Employees: Ensuring Safety and Health
Safeguarding Safety Production Occupational Health and Safety Strategy
Reporting Potential
The Company deeply recognizes the critical importance of safety production and has always regarded it as a fundamental Risk Type Risk Description Financial Response MeasuresPeriod Impactprinciple of its operations. It fully embraces the philosophy of “giving first place to safety laying stress on prevention andtaking comprehensive measures” to provide employees with all-encompassing occupational health protection and is
steadfastly committed to creating a healthy and safe working environment. If the Company fails to establish a
sound occupat ional health and
safety management system or Increased
Occupational Health and Safety Governance Legal risks conduct necessary health check-ups Short- and medium-term compliance Continuously improve the occupa-risk assessments and preventive costs t i o n a l s a f e t y m a n a g e m e n t
Adhering to the principle of “specific accountability with comprehensive coverage” the Company has established an actions it may violate applicable system establish a dual preven-
laws and regulations.occupational health and safety management system that “reaches every corner horizontally and extends to all levels vertically”. tion mechanism for occupational
health and safety production
The Safety Technology Department serves as the primary responsible unit with designated agencies further subdividing safety implement the primary responsibil-
production functions. The Company has developed annual safety production key points and emergency response plans and ity of enterprises and sign the
Increased
established a hierarchical responsibility and cascading accountability mechanism. By continuously perfecting its safety In the event of a major safety acci- ?.dent or a significant occupational operating management system the Company has ingrained the consensus that safety responsibilities are paramount ensuring that all Operational disease incident in a project the Short- and costs; Actively conduct risk assessments
aspects of production and operations proceed safely and orderly. risks Company’s operations may be inter- medium-term decreased hazard investigations occupation-
rupted or delayed. operating al disease examinations and
income other efforts aiming to guarantee
Indicators and Goals safety production.The Company firmly adheres to the “Double Zero” target of “zero accidents and zero casualties” and commits to building a Formulate emergency p lans
safe Palm. strengthen drills and equip suffi-Increased c ient emergency rescue and
If a project results in personal injury operating
Reputation or even fatality subsequent expo- Medium- and fire-fighting facilities and appara-costs;
Objectives Achievement in the Reporting Period Risks sure may erode market trust in the long-term
tus.decreased
Company and damage its image. operating
income
100% special operators licensed Achieved
Zero work-related injuries Achieved
Opportunity
Type Opportunity Description Reporting Period Potential Financial Impact
Zero new occupational disease cases Achieved
Zero penalties for safety violations Achieved
Emerging technologies such as the Internet of
Technological Things big data and artificial intelligence can
Regular employee health check-ups Achieved
opportunity achieve real-time monitoring and early warning of
Medium- and Decreased operating costs
safety risks across all production stages thereby long-term
improving safety management efficiency.Key Performance
By delivering excellent occupational health and
safety production outcomes the Company can
The Company has achieved 100% coverage for safety production liability insurance as well as 100% Reputation establish a responsible corporate image and Medium- and
enhance customer trust. Providing a safe and long-term Increased operating income
coverage for work-related injury insurance. opportunities healthy work environment also helps attract and
retain top talent reducing employee turnover.
81 82Caring for Employees: Ensuring Safety and Health
Impact Risk and Opportunity Management Hazard Identification
According to the industry classification standards for listed companies established by the China Association for Public Com- The Company conducts hazard identifications using both online and offline methods. Patrol inspection reports and rectifica-
panies the Company belongs to the civil engineering and construction industry. This sector is characterized by complex work tion notices are promptly issued ensuring that all identified hazards are communicated to the relevant units for immediate
environments diverse job types and significant seasonal influences. At every stage of project execution there are inherent corrective action. The Company also closely monitors the implementation of these corrective actions to ensure full account-
occupational health and safety risks. In particular construction activities generate dust noise vibration high-altitude work ability. During the Reporting Period the Company organized 208 inspection sessions issued 165 patrol inspection reports
and chemical toxins factors that pose threats to employee health and safety. and rectification notices identified 333 safety issues and achieved a 100% hazard rectification rate.Case StudyCentering on the principles of “self-inspection scientific evaluation classification and grading Special Safety Production Inspectionand graded control” the Company has formulated and issued the
?
to establish a differentiated and dynamic risk management mechanism. Through To ensure safety and stability during the Spring Festival and
systematic inspections and scientific assessments the Company precisely classifies and the subsequent resumption of work the Company proactively
grades safety risks and then implements targeted control measures to effectively reduce the conducted a focused and comprehensive firefighting safety
incidence of accidents. Additionally the Company pays special attention to the source control inspection and rectification campaign. On February 7 2024
Safety risk grading
and control of occupational hazard factors thereby reducing instances of health damage and safeguard- senior management personally led a team to carry out a thor-
measures ing employee safety. This standardized risk control process provides an essential institutional ough safety inspection at the Phase I Project of the Henan
guarantee for the Company’s safety production efforts. Hospital of Cancer Hospital Chinese Academy of Medical
Sciences the South Campus of Henan Provincial People’s Hos-
pital and Henan Red Cross Blood Center in the Zhengzhou
Airport Economy Zone. This initiative was aimed at enhancing
The Company has developed and issued the ?
? ? ? the project’s safety prevention capabilities completely elimi-
?
? . This plan nating safety hazards and ensuring that no production safety
establishes a three-tier (Company regional offices and project teams) linkage mechanism for incidents occur.the operation of the dual prevention system. By combining safety risk assessments with
graded control measures the Company is able to accurately identify risk points and implement
differentiated responses. When integrated with hazard identification and remediation this
mechanism enables the dynamic monitoring and closed-loop management of safety hazards.To ensure the system’s effectiveness project managers are required to sign a Emergency Drills
Dual prevention
? ? ?
thereby fully assuming their responsibilities. Spanning
system the entire construction and production process and bolstered by intelligent management Following the principle of “giving first place to safety and laying stress on prevention” the Company continuously updates its
methods this system ensures traceability complete coverage and consistently controlled
?
? ?
and strengthens the conduct of emergency drills. These
safety hazards while significantly enhancing the Company’s inherent safety level and employ- measures are designed to minimize property loss and mitigate adverse impacts on construction projects ensuring that
ee behavioral safety. building constructions proceed safely and in an orderly manner.Stakeholder Safety Management
Implementation of Safety Production
The Company strictly enforces national safety production laws and the requirements set by superior competent authorities. It
The Company earnestly implements the important directives on safety production set forth by General Secretary Xi Jinping. It has formulated the ?
? ?
? which clearly outline regulations for subcontractor admission
rigorously enforces all relevant safety production management measures and provides a robust foundation for high-quality the allocation of safety personnel and the use of protective equipment. Additionally the Company organizes an annual
development through systematic hazard identifications regular emergency drills and comprehensive safety awareness special safety inspection and evaluation of subcontractors to ensure strict compliance with these measures. This initiative
training for all employees. helps to establish a long-term safety management mechanism for subcontractors effectively preventing safety incidents.
83 84Caring for Employees: Ensuring Safety and Health
Occupational Health Protection
Case Study
In strict compliance with the ? ? ?
? ? ? ? ?
the Company
adheres to the policy of “laying stress on prevention and combining prevention and treatment”. It implements an occupational
health management model that integrates classified management with comprehensive governance. Based on its certified 2024 Safety Production Month
occupational health and safety management system the Company has established a scientific and standardized mechanism
for the prevention and control of occupational diseases. This mechanism addresses three key dimensions: prevention at the On May 30 2024 the Company launched its 2024 Safety Production Month event at its Zhengzhou headquarterssource process control and hazard elimination. Additionally the Company conducts regular testing and evaluations of under the theme “Ensuring Everyone Have Safety Awareness and Know Emergency Response – Smoothening Lifeoccupational hazard factors provides personalized health protection plans for its employees and maintains detailed Passage”. The kick-off meeting was attended via video conference by the General Manager representatives from
occupational health records for dynamic tracking and management. the Technical Safety Department and the Construction Management Center as well as delegates from various
departments subsidiaries and project teams. Throughout Safety Production Month the Company organized a series
Safety Awareness Cultivation of activities including safety management observation exchanges emergency drills and safety knowledge
competitions designed to ensure that every employee deeply recognizes the importance of safety production and
The Company places great emphasis on cultivating safety awareness among employees as a core element of its safety internalizes a safety-first mindset with robust bottom-line thinking.production management. It has established a comprehensive safety education system characterized by “full participationcomplete coverage and all-round integration.” The Company also regularly conducts safety education and training and fosters
a robust safety culture significantly enhancing overall employee safety literacy through systematic and diverse initiatives.Case Study
Safety Education and Training
During the Reporting Period the Technical Safety Department meticulously organized and implemented the
2024 Annual Safety Training and Education Program. The program comprised 22 company-level safety courses
totaling 22 class hours with a total attendance of 1000. Course topics include among others: Safety Training
for Temporary Electric Power on Construction Sites Fire Safety Training Guidelines for Identifying High-Risk
Projects and Preparing Plans Prevention of Falls in Building and Municipal Engineering. The curriculum covered
a broad range of subjects such as applicable laws and regulations the Company’s safety management systems
emergency response plans specialized techniques for lifting and temporary electrical safety general safety
knowledge and reviews of frequently occurring case studies.
85 86Acting in Good Faith: Building a Responsible Society
Acting in Good Faith:
Building a Responsible
Society 05
The Company actively assumes corporate social responsibility by
fully leveraging its resource advantages and professional
expertise. It contributes to key areas such as ecological protection
rural revitalization and the Belt and Road Initiative. Moreover the
Company engages in public welfare activities such as flood
control and disaster relief to help create a more harmonious and
sustainable societal environment.Responded Topics
Contribution to Society Rural RevitalizationActing in Good Faith: Building a Responsible Society
Case Study
Supporting Rural Revitalization
Assistance for Rural Revitalization in Lankao County
Responding enthusiastically to the national call for “agriculture rural areas and farmers” the Company has seamlessly
Ecologyintegrated its corporate social responsibility efforts with its rural revitalization strategy. Under the “Green Rural RevivalProgram” banner the Company has developed a series of exemplary rural revitalization projects that substantially contribute
The overall project planning places a strong emphasis on environmental protection and restoration. With a focus
to modernizing agriculture and rural regions. Furthermore by promoting industry-driven initiatives providing technical support
on industrial upgrading and improving people’s livelihoods the Company strives to achieve a harmonious
and cultivating local talent the Company helps stimulate economic prosperity social progress and a more sustainable
coexistence between economic development and ecological conservation.ecological environment in rural areas.Leveraging its expertise in industrial planning project design construction and comprehensive operations the Company
offers holistic solutions for rural industry development igniting endogenous growth and vitality in rural areas and thereby Cultural and Tourism Development
significantly contributing to rural revitalization. In recent years the Company has been actively involved in developing
high-standard farmland and has consecutively secured contracts to develop over 1.2 million mu of such farmland.. These In Yifeng Town Lankao County the Company has pioneered
endeavors not only augment the Company’s revenue but also markedly enhance agricultural production efficiency and crop an integrated development model that unites farmland
yields ultimately increasing farmers’ incomes and driving robust rural economic development. gardens and villages. This innovative approach enables
villagers to generate additional income without leaving their
Case Study hometowns by operating cultural and creative outlets such
as boutique shops restaurants homestays bakeries and
Assistance for Rural Revitalization in Lankao County tea shops thus enriching the rural landscape and bolstering
community vitality.Agriculture
In Lankao County the Company has established 5 high-standard farmland demonstration projects covering more
than 210000 mu of arable land. By harnessing the potential of land resources and technological innovation
providing both immediate benefits and long-term self-sufficiency the large-scale development of high-standard
farmland transforms small plots into expansive fields and turns barren areas into fertile croplands. These Responding to the “Belt and Road”
initiatives effectively address issues of fragmented arable land and low levels of mechanization. Moreover the
accompanying construction of irrigation channels not only enhances watering efficiency and saves time and labor
but also significantly improves water utilization and strengthens previously weak agricultural infrastructure. Initiative
The Company actively supports the national “Belt and Road” initiative by fully leveraging its business advantages to engage
in environmental and landscape design projects across multiple countries along the route. These projects encompass urban
parks commercial districts residential developments hotels and other sectors contributing to economic and social
development while building bridges of friendship and connectivity.
89 90Acting in Good Faith: Building a Responsible Society
Case Study Practicing Social Welfare
Laos Saysettha Project
The Company actively fulfills its social responsibilities by encouraging employees to participate in initiatives such as
The Saysettha Low-Carbon Demonstration Zone project marks the first collaborative initiative between China emergency relief poverty alleviation community development and environmental protection. By demonstrating its corporate
and Laos to address climate change. This project offers valuable insights into achieving low-carbon sustainable commitment the Company spreads love and warmth throughout society. To regulate its external donation practices the
development in industrial parks along the “Belt and Road” adding a prominent new dimension of green Company has established the ?
? ?
? ? ensuring that assistance activities are carried out in a
low-carbon and mutually beneficial cooperation to the shared community of destiny between China and Laos. legal compliant efficient and transparent manner.Currently the development zone hosts 145 enterprises and serves as an essential platform for Chinese During the Reporting Period when natural disasters struck the Company responded swiftly providing practical support to
companies actively participating in the China-Laos community of shared destiny. Moreover the project has affected areas.created over 7000 local jobs in Laos making it not only the preferred destination for foreign investment but also
the first choice for local residents for employment leisure recreation and sports thereby significantly enhancing Case Study
the well-being of the Lao people and fostering mutual understanding between the peoples of China and Laos. Kind Support for Flood Control and Disaster Relief in Meizhou
In June 2024 Meizhou City in Guangdong Province was hit by severe flooding caused by heavy rains. In a race
against time to deliver disaster relief the Company promptly assumed its social responsibilities by donating 5000
jin of rice to Meixian offering immediate material support to those affected by the floods.Case Study
Regional Efforts for Post-Disaster Reconstruction Following Typhoon “Capricorn”
In September 2024 Typhoon “Capricorn” caused sudden devastation in multiple areas of Hainan Province. The
Company’s Hainan Regional Office Team united with an immense sense of responsibility and mission working
resolutely on the front lines of post-disaster reconstruction. Concurrently the team undertook a government-as-
signed project to repair a 7-kilometer stretch of coastal road (from Haikou South Port to Changbin Road). Upon
notification personnel and machinery were quickly deployed enabling the team to rapidly complete tree stabili-
zation and site clearance thereby restoring road access and ensuring safe unobstructed travel for local
residents.
91 92Afterword to this Report
Afterword to this Report Indicator Unit 2024
Number of Employees on Maternity Leave Person 57
Key Performance Form Return Rate from Maternity Leave % 100
The Number of Projects Approved by the Employee Congress Piece 3
Governance Performance Number of Projects Approved by the Trade Union Piece 3
Indicator Unit 2024 Proportion of Trade Union Members to In-Service Employees % 21
Remuneration for Directors Supervisors and Senior Managers (including current
and former members) In RMB 10000 489.30
Number of Employees Participating in Training on Anti-commercial Bribery and
Anti-Corruption Person 825
Total Duration of Training on Anti-Commercial Bribery and Anti-Corruption Hour 44.50
Average Duration of Training on Anti-Commercial Bribery and Anti-Corruption Hour 4.94 Employment
Number of Directors and Senior Managers Participating in the Training on Person 10
Anti-commercial Bribery and Anti-Corruption Indicator Unit 2024
Percentage of Directors and Senior Managers Participating in the Training on %
Anti-commercial Bribery and Anti-Corruption 100 Total Number of Employees Person 911
Total Duration of Training on Anti-Commercial Bribery and Anti-Corruption for Hour
Directors and Senior Managers 22.50 Number of Employees (by Gender)
Average Duration of Training on Anti-Commercial Bribery and Anti-Corruption for Hour/Person
Directors and Senior Managers 3.75 Number of Female Employees Person 365
Total Number of Anti-corruption and Anti-bribery Incidents Reported Times 0
Number of Male Employees Person 546
Number of Employees (by Age)
Social Performance Under 30 years old Person 177
Employees’ Rights and Interests 30 (inclusive) to 40 (exclusive) years old Person 526
Indicator Unit 2024 40 (inclusive) to 50 (exclusive) years old Person 181
Labor Contract Signing Rate % 100 50 years old or above Person 27
Social Insurance Coverage Rate % 100 Number of Employees (by Employee Level)
Number of Employees with Disabilities Person 7 Senior Management Person 9
Number of Employees of Minority Nationalities Person 23 Middle Management Person 47
Proportion of Female Managers % 34.00 Others Person 855
93 94Afterword to this Report
Employees Health and Safety
Number of Employees (by Education Level)
Doctoral degree Person 1 Indicator Unit 2024
Master’s degree Person 78 Identification and Rectification Rate of Hidden Danger % 100
Bachelor’s degree Person 594 Total Number of Work-Related Deaths Person 0
College degree Person 215 Total Number of Work-Related Injuries Person 0
High school degree or below. Person 23 Number of Safety Production Accidents Case 0
Number of Employees (by Function) Number of Security Emergency Drills Session 40
Manufacturing Person 397 Total Hours of Safety and Quality Training Hour 1200
Technology Person 248 Number of safety and Quality Training Sessions Session 22
Sales Person 55 Number of Participants in Safety and Quality Training Person 1100
Finance Person 90 Coverage Rate of Safety Production Liability Insurance % 100
Administration Person 121 Coverage Rate of Work-Related Injury Insurance for Employees % 100
Number of New Employees Person 140 Coverage Rate of Physical Examinations for Employees % 100
Number of New Employees (by Gender) Percentage of Special Operators Licensed % 100
Number of New Female Employees Person 50
Number of New Male Employees Person 90 Innovation-Driven Development
Number of New Employees (by Age)
Indicator Unit 2024
Under 30 years old Person 55
Investment in R&D in RMB 100000000 1.42
30 (inclusive) to 40 (exclusive) years old Person 69
Total R&D Team Members Person 111
40 (inclusive) to 50 (exclusive) years old Person 15
Number of Employees (by Academic Qualification)
50 years old or above Person 1
Bachelor’s degree Person 69
Employee Training and Development Doctoral degree Person 1
Indicator Unit 2024 Master’s degree Person 21
Investment in Employee Training in RMB 10000 20.00 Below bachelor’s degree Person 20
95 96Afterword to this Report
Number of Employees (by Gender) Supply Chain Security
Female Person 52
Indicator Unit 2024
Male Person 59
Ratio of R&D Personnel to Total Employees % 12.18 Total number of suppliers / 17465
Number of patent applications Piece 48 Percentage of New Suppliers that Have Signed the ? % 100
Cumulative Number of Granted Patents (In-Force Patents) Piece 117
Total Number of New Suppliers that Have Signed the ? / 808
Number of Incidents with Significant Risks and Impacts in the Supply Chain Piece 0
Patents (by Type)
Cumulative Number of Granted Invention Patents Piece 22 Environmental Performance
Cumulative Number of Granted Design Patents Piece 2
Indicator Unit 2024
Cumulative Number of Granted Utility Model Patents Piece 93
GHG Emissions tCO2e 304.05
Cumulative Number of Published Papers Piece 186
Total Purchased Electricity KWh 566618
Cumulative Number of Software Copyrights Piece 24
Total Water Consumption Ton 1658
Cumulative Number of Trademarks Piece 202
Number of Incidents in which Major Administrative Penalties
Specialized and Sophisticated Enterprise that Produces were Imposed by Ecological and Environmental Authorities as Piece 0
Novel and Unique Products / 1 a Result of Environmental Incidents
National High-Tech Enterprise / 2
Safety and Quality of Products and Services
Indicator Unit 2024
Product Percent of Pass % 100
Number of Customer Complaints Times 21
Customer Complaint Resolution Rate % 100
97 98Indexes
Indexes Disclosure Requirements Corresponding Sections of This Report
Innovation for Empowerment: Focusing on Collaborative Industry
Shenzhen Stock Exchange
?
? ??? Innovation-Driven Development Advancement - Deepening R&D and Innovation
-
Technology Ethics Not Applicable
Disclosure Requirements Corresponding Sections of This Report
Green Design: Creating a Harmonious Ecosystem - Responding to
Response to Climate Change Innovation for Empowerment: Focusing on Collaborative Industry
Climate Change Supply Chain Security
Advancement - Maintaining Stable Supply Chain
Green Design: Creating a Harmonious Ecosystem - Strengthening
Pollutant Emissions
Environmental Compliance Management Equal Treatment of Small and Medium-Sized Not Applicable
Enterprises
Green Design: Creating a Harmonious Ecosystem - Strengthening
Waste Disposal
Environmental Compliance Management Innovation for Empowerment: Focusing on Collaborative Industry
Safety and Quality of Products and Advancement - Strengthening Quality Management
Services
Green Design: Creating a Harmonious Ecosystem - Protecting
Ecosystem and Biodiversity Protection
Ecosystem and Biodiversity Innovation for Empowerment: Focusing on Collaborative Industry
Data Security and Customer Privacy Advancement - Protecting Data Privacy
Protection
Green Design: Creating a Harmonious Ecosystem - Strengthening
Environmental Compliance Management
Environmental Compliance Management
Employees Caring for Employees: Ensuring Safety and Health
Green Design: Creating a Harmonious Ecosystem - Improving
Energy Utilization
Resource Efficiency Steady Operations: Enhancing Compliance Governance -
Strengthening Compliance Management
Due Diligence
Caring for Employees: Ensuring Safety and Health - Protecting the
Green Design: Creating a Harmonious Ecosystem - Improving Rights and Interests of Employees
Water Resource Utilization
Resource Efficiency
Sustainable Development Governance - Communications with
Green Design: Creating a Harmonious Ecosystem - Improving Communications with Stakeholders
Circular Economy Stakeholders
Resource Efficiency
Acting in Good Faith: Building a Responsible Society - Supporting Steady Operations: Enhancing Compliance Governance -
Rural Revitalization Anti-Bribery and Anti-Corruption
Rural Revitalization Strengthening Compliance Management
Acting in Good Faith: Building a Responsible Society - Responding
to the “Belt and Road” Initiative
Anti-Unfair Competition Steady Operations: Enhancing Compliance Governance - Contribution to Society Acting in Good Faith: Building a Responsible Society - Practicing Strengthening Compliance Management
Social Welfare
99 100Reader Feedback
Which of the following stakeholders is most relevant to you in relation to Palm Eco-Town
□Employee □Client □Shareholder or Investor □Supplier or Partner □Government & Regulatory Authority
□Industry Association and Organization □Community Public & Media □Others________ (please specify)
Reader Feedback 1. Your overall assessment of this year’s sustainability report:□ Excellent □ Good □ Average □ Below Average □ Poor
Thank you for taking the time to read the 2. Do you think the information disclosed in the report is accurate clear and complete????? ? ?
We greatly value and eagerly □ Excellent □ Good □ Average □ Below Average □ Poor? - ? ??? ? ?
anticipate your opinions and suggestions on the Company’s sustainable
development efforts and management. Your feedback is an important foundation 3. Do you find the report readable
for our continuous improvement in sustainable development work and the □ Excellent □ Good □ Average □ Below Average □ Poor
enhancement of our sustainability management. We sincerely invite you to
complete the questions in the “Reader Feedback” section and share your 4. Do you think the report comprehensively reflects the Company’s significant impacts on the economy
responses with us through the modes provided below. Once again thank you for society and environment
your strong support of our sustainable development work. □ Excellent □ Good □ Average □ Below Average □ Poor
5. What is your evaluation of the report’s logical reasoning structural arrangement and layout design
□ Excellent □ Good □ Average □ Below Average □ Poor
Tel.: 0371-88927000 (Zhengzhou)/020-85189888 (Guangzhou)
6. Which topics in this year’s sustainability report most captured your attention
Fax: 0371-55075666 (Zhengzhou)/020-85189000 (Guangzhou)
Address of Zhengzhou Office: 16-18t h Floors Haihui Center at the intersection 7. What additional information would you like to see in the report
of Dongfeng South Road and Kangning Street Zhengdong New District
Zhengzhou City Henan Province China
8. Do you have any other comments regarding our sustainability report sustainability work or sustainable
Address of Guangzhou Office: 6t h Floor Block B Zhuguang Xincheng development management
International Center No. 3 Qingyi Street Machang Road Tianhe District
Guangzhou City Guangdong Province China
101102
沪公网安备31011802005267号
