KATO (HK) HLDGS 2026 ESG Report: Capacity Jumps 40%, Carbon Intensity Down 15%, Zero Workplace Injuries Recorded

Bulletin Express
07/30

KATO (HK) HLDGS released its FY2026 Environmental, Social and Governance (ESG) Report covering the 12 months to 31 March 2026 and focusing on Hong Kong operations. Key highlights follow.

Capacity Expansion • Residential care footprint grew to 13 homes and 4 day-care centres (FY2025: 11 homes, 4 centres). • Total residential places rose 40.1 % to 1,930 (FY2025: 1,378). • First mainland China facility opened in Guangdong in March 2026; environmental data will be included from next year. • Medical and laboratory services were divested during the period.

Environmental Performance • Total greenhouse-gas (GHG) emissions fell 5.3 % to 1,635.35 tCO₂e; GHG intensity improved 15.2 % to 4.62 tCO₂e per million revenue. • Electricity remained the dominant source of emissions: Scope 2 emissions were 1,476.26 tCO₂e (–6.3 % YoY). • Air-emission volumes rose with higher towngas use: NOx at 8.21 kg (+28 %) and SOx at 0.04 kg (+33 %), reflecting increased cooking capacity at expanded sites. • Hazardous waste (chemical & clinical) totalled 304 kg, equal to 0.86 kg per million revenue. • Non-hazardous waste rose to 655.56 tonnes (FY2025: 516.99 tonnes) as resident numbers increased; intensity moved to 1.85 t per million revenue. • Electricity consumption increased 9.4 % to 4,341.93 MWh; intensity edged down 4.5 % to 12,265 kWh per million revenue. • Ten-year targets (baseline FY2022) call for a 5 % cut in air-emission, GHG and electricity intensities by FY2032; current GHG intensity is 6 % above baseline but trending lower year-on-year.

Social Indicators • Headcount rose 12.1 % to 656 to support business growth; 82 % of staff are female. • Overall staff turnover eased to 16.4 % (FY2025: 17.8 %). • Zero work-related fatalities or injuries were reported (FY2025: nil injuries). • Training reached 100 % of employees; average 6 training hours per person. • Anti-corruption briefing delivered to staff; no corruption cases recorded.

Governance & Risk • Board oversees ESG strategy with regular metric reviews. • Climate-risk mapping identifies acute weather events and long-term heat stress as primary physical risks; technology upgrades, regulation and market preferences highlighted as transition risks. • No breaches of environmental, labour, safety, data-privacy or anti-corruption regulations were reported in the period.

Community Investment • HK$0.67 million directed to elderly care, youth development and cultural programmes during the year.

Outlook Management will continue strengthening ESG risk controls, incorporate the new Guangdong facility in future disclosures and pursue a 5 % reduction in key emission intensities by FY2032, while targeting further operational efficiencies and resident-care enhancements.

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