Recently, Sino-Securities Index Information Service (Shanghai) Co., Ltd. (“Sino-Securities”) updated its ESG rating data and released multiple lists. In particular, Proya has received an “AA” ESG Rating and been recognized as “Top 20 in ESG Performance among A-share Listed Companies in Consumer Staples Sector for 2024 (No. 1)” and “Top 100 in ESG Outstanding Performance among A-share Listed Companies for 2024 (No. 51)”.

In its ESG ratings, Sino-Securities classifies the ESG performance of constituent stocks of the CSI 300 Index into nine levels, ranging from best to worst: AAA, AA, A, BBB, BB, B, CCC, CC, and C, respectively. The calculation of Sino-Securities ESG rating index is quantitative and well-documented. With reference to the development experience of mainstream foreign ESG systems, Sino-Securities has developed a ESG rating standard with Chinese characteristics from three aspects: environment, society and governance. The standard also considers China’s realities and capital market characteristics. According to the ESG rating data from Sino-Securities as of April 30, 2024, companies with “AA” and above ratings accounted for approximately 2% of all A-share companies. Proya has received an “AA” Rating from Sino-Securities ESG ratings, ranking first among the consumer staples sector under Sino-Securities’ tier 1 sector classification and first among personal care products under GICS’s tier 3 industry classification.

Proya fully recognizes its responsibility to contribute to global sustainability. We have disclosed our Sustainability & Environmental, Social, and Governance (ESG) Report for four consecutive years. In 2022, we developed our first strategic plan for sustainable development (2022-2025) under the theme “Beauty Aspirations for a Shared Future”. Undergoing extensive internal and external stakeholder research, we assessed our operating and development environment, social impacts and risks, as well as opportunities. This strategic plan focuses on three pillars of sustainable development: sustainable business, sustainable value chain, sustainable social ecosystem. We are committed to advancing our sustainable development goals through comprehensive ESG management. Looking ahead, we will continue to gain experience, achieving our ultimate goals step by step. We are committed to maintaining standardized internal governance to facilitate our high-quality development and steadily progress on the path of sustainable development.