TECO Electric & Machinery Co. Celebrates Sustainability Achievement
The release of the results from the 2024 Dow Jones Sustainability Index (DJSI) has brought exciting news for TECO Electric & Machinery Co. This esteemed company has been recognized once again for its exceptional commitment to sustainability, securing a spot on the Emerging Markets Index for the fifth consecutive year. Among electromechanical stocks in emerging markets, TECO ranked first in the ESG evaluation and made impressive strides in its overall scoring.
Consistent Performance and Recognition
Through hard work and a dedication to ethical practices, TECO Electric & Machinery Co. has not only maintained its position but also climbed to the second place globally within the electromechanical category. This accomplishment comes as no surprise, given the company's focused efforts towards integrating sustainable practices in its operations, which resonate with a growing global emphasis on environmental responsibility.
Outstanding Areas of Achievement
TECO achieved remarkable scores in crucial evaluation categories such as Business Ethics, Supply Chain Management, and Environmental Policy & Management. The company received a “very high” rating for its information disclosures. These achievements reflect the effective governance practices put into place by the leadership team, particularly by Chairman Morris Li, who is committed to driving initiatives around electrification, intelligence, and green energy solutions.
Long-Term Commitment to Sustainability
TECO's commitment to sustainability is evident in its steady improvement in DJSI evaluations. As part of this year’s efforts, the company aligned its revenue classification with EU Taxonomy guidelines, confirming that over half of its consolidated revenue in the most recent fiscal year stemmed from sustainable products. This marks a significant leap from the previous year's figures, underlining TECO's evolution in the sustainability arena.
Sustainable Product Contributions
The focus on sustainable offerings is particularly notable in the following business segments:
- Green Mechatronic Solutions: The segment related to efficient low-voltage motors, rated IE3 or higher, comprised an impressive 74.7% of group revenue.
- Air and Intelligent Life: This category, featuring green household appliances, accounted for 60.0% of the group's income.
- Intelligent Energy: This segment, which covers green engineering applications like offshore wind power, generated 53.0% of revenue, displaying the fastest growth among sustainable products.
Exemplary Corporate Governance
TECO Electric & Machinery Co. consistently excels in social and corporate governance, having been placed within the top 5% of Taiwan's corporate governance evaluations on nine occasions in recent years. The company has taken various initiatives toward enhancing diversity and inclusion in its workplace starting in 2023. This includes the implementation of Key Performance Indicator (KPI) metrics focused on gender diversity and the promotion of Diversity, Equity, and Inclusion (DEI) goals. Moreover, TECO has directly tied managerial bonuses to sustainability KPIs, encompassing greenhouse gas emissions and performance in green supply chain management.
Future Outlook for TECO
TECO Electric & Machinery Co. is driven by a vision to bring innovative solutions that not only meet current demands but also shape a sustainable future. With a robust risk governance framework, the company incorporates rigorous risk oversight and auditing at the board level to ensure compliance and maintain its leadership position in the electromechanical industry.
Frequently Asked Questions
What recognition did TECO Electric & Machinery Co. achieve recently?
TECO was recognized in the DJSI Emerging Markets Index for the fifth consecutive year.
Which areas did TECO excel in during the DJSI evaluation?
TECO excelled in Business Ethics, Supply Chain Management, and Environmental Policy & Management.
How much revenue did TECO generate from sustainable products?
In the latest fiscal year, 54.6% of TECO's consolidated revenue came from sustainable products.
What initiatives has TECO implemented for governance and diversity?
TECO has introduced KPI metrics for gender diversity and linked managerial bonuses to sustainability performance.
What is TECO's vision for the future?
TECO aims to drive innovation and foster sustainable solutions in electrification and green energy sectors.
