Integrated Report 2026

SustainabilityMain External Evaluations

Participation in Initiatives

Acquisition of near-term science-based target validation from the Science Based Targets initiative,
an international climate change initiative

PHC Group obtained Near-Term Science-Based Targets validation from the Science Based Targets initiative (SBTi) for our greenhouse gas (GHG) reduction targets for fiscal year 2030.

The SBTi is an international initiative that evaluates and validates science-based GHG emission reduction targets set by companies to meet the Paris Agreement goal of limiting the rise in global temperature to 1.5 degrees Celsius above pre-industrial levels.

sbt

Environmental disclosures through CDP

PHC Group obtained a “B” rating in the CDP’s* 2025 survey.

Going forward, we will continue our efforts to improve performance relating to global environmental issues.

  • *Carbon Disclosure Project: a nongovernmental organization managed by a charitable organization in the UK. Since its founding in 2000, CDP has operated a global disclosure system for investors, companies, countries, regions, and cities to manage climate, forest, and water-related impacts.
cdp

External Evaluations

Received Bronze Medal in EcoVadis Sustainability Assessment

PHC Group received a bronze medal for the first time in the 2025 sustainability assessment conducted by EcoVadis, an international rating organization for sustainability performance.

We achieved improvements in scores from the previous year in all four areas assessed by EcoVadis: Environment, Labor and Human Rights, Ethics, and Sustainable Procurement. As a result, the Group placed in the top 35% of assessed companies worldwide.

EcoVadis

Selected for Sustainability-Related Indexes

MSCI Japan ESG Select Leaders Index

This comprehensive ESG index, developed by Morgan Stanley Capital International (MSCI), comprises companies with strong ESG performance. PHC Group has been continuously selected for inclusion in the index since 2024.

Morningstar Gender Diversity Tilt Index (ex-REITs)

This index identifies companies based in Japan that incorporate gender diversity into their workplace culture and provide equal opportunities to employees regardless of gender. PHC Group has continued to be ranked in Group 1, the highest scoring group, since 2025.

FTSE Blossom Japan Sector Relative Index

This index comprises Japanese companies that take environmental, social, and governance considerations into account. PHC Group has been selected as a constituent of the index since June 2026.