Ellipsiz : 2022 Sustainability Report

ANNUAL REPORT 2022

ELLIPSIZ LTD	17
ANNUAL REPORT 2022

SUSTAINABILITY

REPORT

BOARD STATEMENT

The Board of Directors (the "Board") of Ellipsiz Ltd ("Ellipsiz" or the "Company", and together with its subsidiaries, the "Group") is pleased to present its Sustainability Report for the financial year ended 30 June 2022 ("FY2022"). This report sets out our Group's environmental, social and governance ("ESG") initiatives, plans and performances, and our ongoing commitment to sustainable development, with a focus on ESG topics which are material to the Group and our key stakeholders.

The Board is responsible for overseeing the business and corporate affairs of the Group, including sustainability matters. As part of its strategic formulation, the Board has considered sustainability issues and determined the ESG factors which are material to the Group. The Board believes that a responsible business approach is integral to our long-term success and considers sustainability as part of our business strategy. We are committed to adopting sustainable practices across our operations, empowering individuals, enriching communities, and thereby creating a positive impact on the environment and society.

As a business that strives towards growth and development, we remain vigilant in emerging trends and new developments that may present business opportunities. The changing business environment may offer opportunities for us to improve our sustainability and business performance. Our sustainability approach recognises the need to enhance our sustainability performance in order to increase our competitiveness. We are aware of the increasing importance of ESG factors among our key stakeholders and the business landscape, and we aim to align our sustainability initiatives with our business strategy.

It has been over two years since the COVID-19 pandemic first struck. The global economy is facing slow and piecemeal signs of recovery. FY2022 was a year marked by continued uncertainty and rapidly evolving external environments, underscoring the need for organisations to remain agile and resilient. In FY2022, we forayed into the agri-food industry by investing in ISE Foods Holdings Pte Ltd, to develop and operate the 4th egg farm in Singapore which will deploy state-of-the-art technologies and environmentally-sustainable practices. We believe the investment will enable us to, amongst others, contribute positively and directly to the nation-wide movement in Singapore towards sustainability development.

In line with the requirement of Rule 720(7) of the listing manual of the Singapore Exchange Securities Trading Limited ("SGX-ST"), all our Board members had attended sustainability training course(s) as prescribed by the SGX-ST, to better equip themselves with the knowledge on sustainability matters.

The Group has in place internal controls to ensure the accuracy and completeness of our disclosures in the report and moving forward, we will also subject our sustainability reporting process to internal review in compliance with Rule 711B(3) of the listing manual of the SGX-ST.

We thank our staff, partners and stakeholders for their continuous support in our sustainability journey over the years. As we continue on our sustainability drive, we aim to build a sustainable business for generations to come. We continue to keep abreast of developments in our industry, actively and regularly engaging our key stakeholders, build upon our existing sustainability framework, and seek to further inculcate good sustainable practices within our business so as to improve our overall sustainability performance.

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ABOUT US

Ellipsiz was founded as a leading provider of integrated solutions in the electronics industry. Over the years, it has become one of the leading engineering and service solutions providers, serving customers in the semiconductor and electronics manufacturing industries across Asia. Our current key business is in providing distribution and services solutions ("DSS") and distributing a wide range of manufacturing, testing and inspection/measurement equipment to customers in the semiconductor, electronics manufacturing and telecommunication industries.

The Group operates its DSS business via a basic supply chain structure, where the lead company forms a series of relationships with companies that buy and sell a wide range of equipment and products. We operate and provide our product and service solutions to customers in various countries, including Singapore, Taiwan, China and Malaysia. As a result, our business and its future growth are dependent on the political, economic, regulatory and social conditions of these countries. The Group's efforts to streamline, consolidate and integrate various distribution and service solutions business over the past few years have unlocked further cross-marketing and cross-leveraging opportunities between East Asia and Southeast Asia operations. This has created invaluable synergies across markets and distribution networks.

To establish a foothold in the agri-food industry, we invested in ISE Foods Holdings Pte Ltd in June 2022, to develop and operate the 4th egg farm in Singapore with a view to, amongst others, provide for long-term sustainable growth for the Group. The investment is also in line with Singapore's "30 by 30" food security goal to produce 30% of its nutritional needs locally by 2030 and the vision to strengthen and safeguard food security and sustainability in Singapore.

Our Vision and Mission

We aim to be the best creator of value for our customers, business partners and stakeholders in markets that we participate in. To enable our customers and business partners to achieve their goals optimally, we offer innovative and integrated solutions.

VISION	MISSION
We aim to be the best creator	To enable our customers and
of value for our customers,	business partners to achieve
business partners and	their goals optimally,
stakeholders in markets	we offer innovative and
that we participate in	integrated solutions

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ANNUAL REPORT 2022

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Our values

Our core values keep the inner workings of our brand in check. They shape our culture and define our beliefs and practices, allowing us to achieve the results we desire and to continually develop and improve our services for our customers.

VALUES

RESPECT FOR	INTEGRITY	CUSTOMER FOCUS	ENTREPRENEURSHIP
INDIVIDUAL

MERITOCRACY	ACHIEVEMENT	PROFIT & LIQUIDITY
	ORIENTATED	FOCUS

ABOUT THIS REPORT

This report provides an overview of our approach towards sustainability as well as our sustainability performance and progress in FY2022, with a focus on the Group's material ESG topics, set out in the section entitled "Our Sustainability Approach". It is prepared in line with the sustainability reporting requirements of the listing manual of the SGX-ST, and is developed with reference to the Global Reporting Initiative ("GRI") Standards. We have selected GRI Standards as our sustainability reporting framework as we believe it provides robust guidance, is highly relevant and reflects global best practice for sustainability reporting.

Reporting Scope

Our reporting scope covers the Company and the Group's DSS operations in Singapore, Taiwan, China and Malaysia, which is consistent with our report for the previous financial years. We also provide information on the process adopted for identification of the material ESG topics covered by this report. Data presented in this report has been drawn from the Group's operations included within the reporting scope. Moving forward, we will continually review our reporting framework and reporting scope so as to improve and enhance our overall sustainability reporting.

If you wish to provide feedback on this report, please reach out to us at [e-mail].

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SUSTAINABILITY

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OUR SUSTAINABILITY APPROACH

Sustainability Governance

The Board is responsible for overseeing sustainability matters, and is supported by a team comprising certain senior management and key executives of the Group. The team reviews, assesses and makes recommendations to the Board on sustainability matters. It initiates, drives, and monitors various aspects of the Group's sustainability practices to ensure effective integration of ESG initiatives into the business operations and corporate objectives.

Figure 1 Group's Sustainability Governance

BOARD OF DIRECTORS

ENVIRONMENTAL

SENIOR MANAGEMENT

Environmental

Compliance

KEY EXECUTIVES

SOCIAL

Talent Attraction

FINANCE

and Retention

Diversity and Equal

HUMAN RESOURCE

Opportunity

LEGAL AND COMPLIANCE	GOVERNANCE
	Economic
	Performance
	Anti-Corruption