In 2020, we set ambitious sustainability performance targets for 2025, focusing on addressing our 12 highest priority material issues. These strategic goals serve as the foundation for driving F&NHB’s sustainability efforts, underscoring our commitment to creating meaningful, long-term value for our stakeholders.
As we conclude our 2025 sustainability targets, we are pleased to report that we have achieved nine out of the twelve targets set in 2020, with the majority surpassing their original targets. The remaining three targets - Water Stewardship, Energy and Employee Safety, Health and Wellbeing, were not fully achieved. However, two of these demonstrated significant progress compared to baseline performance.
The table below provides an overview of the targets and corresponding outcomes for each material topic:
| Material Issue | 2025 target | 2025 results | Result |
|---|---|---|---|
| Product Quality & Safety | Achieve 100% of our plants and production processes certified with the Food Safety System Certification scheme 22000 (FSSC22000 scheme) and Halal Standard (or equivalent) | All our plants and production processes are certified with the FSSC22000 scheme and Halal Standard. |  |
| Innovation | Achieve 10% product innovation for commercialised products from 2020 baseline | 11% of commercialised products in FY2025 were new innovations. | |
| Supply Chain Stewardship | 100% of our active key suppliers to accept and comply with F&N’s Supplier Code of Practice (SCOP) | All our active key suppliers have accepted and complied with F&N’s SCOP. | |
| Nutrition | At least two third of beverage and dairy products comply with the Nutritional Guidelines | Two thirds of our ready-to-drink beverage and dairy portfolio comply with the Nutritional Guidelines, through the Healthier Choice endorsement. | |
| Community Development and Inclusive Growth | Increase the number of annual community programmes to 11 | A total of 12 community programmes were organised in the year. | |
| Human Capital Development | Provide an average of at least 18 hours of training to executivelevel employees and 11 hours of training to non-executives | Executive-level employees received an average of 33.18 hours of training, while non-executive employees received an average of 15.42 hours. | |
| Employee Safety, Health and Wellbeing | Reduce the Lost Time Injury Frequency Rate (LTIFR) to 0 | Our LTIFR stood dropped from 1.97 in 2020 to 0.33, through proactive safety measures. |  |
| Climate Change | Reduce the Group’s greenhouse gas (GHG) emissions intensity ratio at our plants by 8% from a 2020 baseline | The Group’s GHG emissions intensity ratio at our plants improved by 8% from the 2020 baseline, due to the strategic investment in solar rooftop systems across facilities in Malaysia and Thailand. | |
| Energy | Reduce the Group’s energy intensity ratio at our plants by 8% from a 2020 baseline |
We recorded a 1.8% increase in energy intensity ratio at our
plants compared
to the 2020 baseline, primarily due to the strategic expansion
of our
Malaysia facilities and the establishment of a new plant in
Thailand, replacing
the former Pak Chong plant.
However, excluding these expansion projects between 2020 and 2025, our Malaysia operations achieved an 8% reduction in energy intensity ratio compared to the baseline. |
 |
| Water Stewardship | Reduce the Group’s water intensity ratio at our plants by 8% from a 2020 baseline |
Our water intensity ratio at our plants improved by 0.4%
compared to the
2020 baseline.
Performance was impacted by the strategic expansion of our Malaysia facilities and the establishment of a new plant in Thailand, which replaced the former Pak Chong plant. However, excluding these expansion projects undertaken between 2020 and 2025, our Malaysia operations achieved an 8% reduction in water intensity ratio compared to the baseline year. |
|
| Waste Management | Reduce the solid waste sent to landfill by 30% from a 2020 baseline | We achieved a 95% reduction in solid waste sent to landfill compared to the 2020 baseline, a significant milestone in our waste management journey. | |
| Product Packaging | Increase the recycled content in our beverage and dairy packaging to 25% | Our beverage and dairy packaging contain 29% recycled content. | |