Recently, PUBLIC FIN HOLD (00626) released its "2025 Environmental, Social and Governance Report," systematically disclosing the Group's latest progress in environmental management, social responsibility, and corporate governance. The report is prepared in accordance with the HKEX's ESG Reporting Code and covers the Group's principal operations in Hong Kong, including its three subsidiaries, Public Bank (Hong Kong), Public Finance, and Winton, as well as various offices and branches. Accompanied by a key performance table and a content index, the overall disclosure structure is relatively complete.

According to the report, this year's materiality assessment revealed that the six most significant issues jointly identified by internal and external stakeholders are: Business Ethics and Anti-corruption, Customer Privacy and Data Security, Sound Governance Structure, Management of Legal and Regulatory Environment, Human Rights and Labour Rights, and Customer Satisfaction. This indicates that the Group's current ESG strategy remains centered on robust compliance and risk management.

Regarding the governance dimension, the Group has established a "top-down" three-tier governance structure to oversee ESG and corporate culture-related matters. The report discloses that multiple committee meetings concerning ESG and climate-related issues were held in 2025, and an ESG risk acceptance criteria checklist and an ESG exclusion list were implemented. During the reporting period, there were no concluded corruption cases brought against the Group or its employees, nor any significant violations related to marketing and promotion. 100% of all employees completed ESG training, with compliance and anti-corruption training coverage also reaching 100%. Overall, the governance and compliance management system appears relatively robust.

In the environmental dimension, using 2022 as the base year, the Group disclosed phased emission reduction results: for 2025, total greenhouse gas (GHG) emissions decreased by 15.18% compared to the base year, GHG emission intensity dropped by 21.05%, total energy consumption intensity decreased by 12.97%, water consumption intensity fell by 20.77%, and total non-hazardous waste generated decreased by 39.76%. The reduction in GHG emissions notably surpassed the original target of 3%, indicating that energy-saving measures in operations have achieved phased results.

The Group also committed to supporting its parent company, Public Bank Group, in its goal to achieve net-zero emissions by 2050. It has initiated climate risk stress tests and scenario analysis to identify physical and transition risks over the short, medium, and long terms.

In terms of green finance, the Group continues to develop green finance solutions to support clients in their sustainable transformation within a rapidly growing market environment, combining environmental benefits with financial viability. For example: Public Bank (Hong Kong) participated in MTR Corporation's landmark HKD 30 billion 7-year green syndicated loan; Public Finance launched green personal loans to support customers in adopting sustainable lifestyles, including purchasing electric or hybrid vehicles, installing household renewable energy systems, and acquiring energy-efficient products.

However, the report has yet to disclose the amount and percentage of assets or business activities involving climate-related opportunities, nor does it disclose key metrics such as financed emissions. The Group stated that it has assessed the proportion of assets affected by physical risks and is gradually quantifying the financial impacts arising from the identified climate transition risks and opportunities.

Regarding the social dimension, as of the end of 2025, 60% of full-time employees were female and 40% were male, with women holding 8.3% of senior management positions. In 2025, employee training coverage reached 100%, with an average training duration of 40.25 hours per person. During the reporting period, one work-related injury case occurred, resulting in 18.5 lost workdays. The Group continues to comply with the Hong Kong Monetary Authority's Cybersecurity Fortification Initiative (C-RAF) 2.0 standards; cybersecurity training completion rate was 100%; 95% of complaints were resolved within 24 hours, and customer satisfaction reached 4.9 out of 5.

In stakeholder governance, feedback received from stakeholder surveys in 2025 increased by 71% compared to 2024, suggesting improved stakeholder engagement and trust. Furthermore, the Group actively fulfilled its social responsibilities. For instance, Public Bank (Hong Kong) donated HKD 5 million to the "Tai Po Fook Yee Wai Assistance Fund" established by the Government of the Hong Kong Special Administrative Region to support residents affected by a fire incident.

In summary, PUBLIC FIN HOLD's 2025 ESG Report demonstrates robust performance in content completeness and disclosure compliance, with a clear governance structure and tangible progress in operational emission reduction. However, as a financial institution, there remains room for improvement in its current disclosure regarding financed emissions, the proportion of green assets, and the financial quantification of climate scenarios.

Author：Qinger