China Shengmu Organic Milk Limited released its tenth Environmental, Social and Governance (ESG) Report, covering the period from 1 January to 31 December 2025.

Environmental Performance • Total greenhouse-gas emissions fell to 592,980.93 tCO₂e, a 0.9% year-on-year decrease, while Scope 1 accounted for 489,876.00 tCO₂e and Scope 2 for 90,688.63 tCO₂e. • Energy use totaled 139.97 million GJ, with electricity representing 81.85% of consumption; energy intensity stood at 0.064 tce per RMB 10,000 of revenue. • The group’s desert-afforestation programme has turned 220 km² of desert into oasis and planted more than 98 million trees, underpinning its carbon-offset strategy. • Shengmu obtained a “Leadership” rating in CDP’s Forest Risk assessment, the highest level among Chinese dairy peers.

Social Indicators • Headcount reached 2,272, of which female employees made up 38% and ethnic minorities 34%. • Training investment covered 75,033 employee participations totaling 3,725.86 hours; average training time was 35.10 hours per employee. • Lost-time injury frequency was 0.23% per 200,000 working hours, with zero work-related fatalities reported. • Community contributions totaled USD 484.13 million to charities and rural-revitalisation projects, including RMB 3.48 million in direct donations.

Governance Highlights • The board links 5% of director bonuses to climate metrics and a further 5% to forest and water-security KPIs. • No corruption cases were recorded; all employees completed anti-corruption and business-ethics training. • Eight Shengmu pastures hold S-grade certification, and six CNAS-accredited testing centres ensure traceable product quality.

Financial Snapshot • Revenue reached USD 464.83 million, edging down 0.9% year on year, supported by an annual milk-yield per cow of 12.40 tonnes, up 2.9%.

Outlook The report reiterates Shengmu’s commitment to 1.5 °C-aligned science-based targets, aiming to cut total emissions by 514,300 tCO₂e by 2030 and achieve 100% green electricity usage across all pastures.