Health and Happiness (H&H) Group released its 2025 Sustainability Report, detailing material progress on environmental, social and governance (ESG) targets after a decade of annual disclosures.
Key 2025 Environmental Metrics • Scope 1 greenhouse-gas emissions fell 56% year-on-year to 1,127 tCO₂e, driven by lower vehicle fuel use and gas efficiency upgrades at the Changsha factory. • Scope 2 market-based emissions were reduced to zero as 100% of electricity consumption was covered with renewable sources; onsite solar generation rose to 5% of total electricity versus 3.4% in 2024. • Scope 3 emissions rose to 432,089 tCO₂e, reflecting stronger BNC sales and geographic expansion. Purchased goods and services accounted for 80% of the Scope 3 total. • Total energy use declined 5% to 19,630 MWh, while 94% of waste was recycled, reused or recovered. • Packaging containing recycled content increased to 16%, up four percentage points.
Supply-Chain and Financing Initiatives • By 2027, 52% of suppliers by spend are targeted to have science-based emission-reduction goals; 35% had such targets in place at end-2025. • A USD 540 million sustainability-linked loan was completed in November 2024, benchmarked to supplier engagement, renewable-energy use and recycled packaging thresholds; all 2024 KPI targets were met and independently verified by Sustainable Fitch.
Social Highlights • All legal entities achieved B Corp certification, scoring 92.5 points. • Great Place To Work® certification or equivalent was attained across every eligible region. • Women held 63% of management roles and 33% of board seats, meeting the group’s gender-balance target. • More than 1,000 team members in 16 regions took part in the annual World Community Day, contributing over 4,000 volunteer hours.
Governance and Transparency • ESG oversight sits with a dedicated board-level committee chaired by Non-executive Director Laetitia Albertini; climate-risk assessments are now embedded in the enterprise risk framework. • The group retained an MSCI “AA” ESG rating, an A+ Hang Seng/HKQAA rating and scored 56/100 in S&P Global’s 2025 Corporate Sustainability Assessment, seven points higher than 2024.
Product and R&D Developments • 234 new products were launched, all science-backed and assessed under a “Cost-Out, Sustainability-In” framework. • 100% of new formulated products in Mainland China were developed without added sugar. • R&D spend reached RMB 216.20 million, supporting initiatives in allergy relief, cellular longevity and pet nutrition.
2026–2027 Sustainability Targets • Maintain 100% renewable electricity and expand onsite generation. • Raise recycled content in plastics and cardboard to 2.5%; refresh supplier-sustainability assessments and joint action plans. • Convert remaining regions to B Corp–aligned practices and integrate diversity training into mandatory compliance modules.
H&H Group states that continued decarbonisation, responsible sourcing and product innovation will underpin long-term value creation across its adult, baby and pet nutrition businesses.