Initiatives to Reduce GHG Emissions

Among the seven material issues of the Joshin Group, we have positioned “Contributing to a prosperous society in harmony with the global environment” as one of our key priorities. In particular, as an interim target toward achieving carbon neutrality, we set a fiscal 2030 GHG emission reduction target of 42.0% for Scopes 1 and 2 compared to fiscal 2021, and our application to the SBT initiative was officially accepted. We will continue our efforts to achieve these GHG emission reductions ahead of schedule, just as we have done to date.

GHG* Emissions (Scope 1 and 2)

Despite a slight year-on-year increase in FY2025, GHG emissions remain on track to meet the FY2030 target of a 42% reduction from FY2021 levels. We will continue to reduce GHG emissions (Scope 1 and 2) by increasing the ratio of self-generated renewable energy and expanding the use of renewable energy.

* GHG: greenhouse gas

Identifying GHG Emissions in the Supply Chain

For indirect GHG emissions (Scope 3) in the supply chain throughout the Joshin Group, carry out initiatives for acquiring primary data with suppliers in order to satisfy IFRS S2, which was developed in order to provide a global baseline for system disclosure based on the primary voluntary disclosure that was previously used for sustainability disclosure.

Scope 3 category

Fiscal 2025 calculation results

CO2 calculation results (t-CO2)

Percentage (%)

1

Purchased products and services

1,096,663

24.30%

2

Capital goods

15,791

0.30%

3

Fuel

2,523

0.10%

4

Transportation and delivery (upstream)

19,473

0.40%

5

Waste generated from operations

4,710

0.10%

6

Business travel

119

0.00%

7

Employer commuting

1,714

0.00%

8

Leased assets (upstream)

Not applicable because they are already calculated in Scopes 1 and 2

9

Transportation and delivery (downstream)

Not applicable because consolidated with Category 4

10

Processing of products sold

Not applicable because the Company does not process sold products

11

Use of products sold

3,370,540

74.50%

12

Disposal of products sold

6,773

0.20%

13

Leased assets (downstream)

3,005

0.10%

14

Franchises

76

0.00%

15

Investment

261

0.00%

Total

4,521,648

100%