In response to European disclosure regulations, NX Group has identified material issues based on the concept of double materiality, taking into account both the financial impact of environmental and social issues on NX and the impact of NX’s activities on the environment and society.
The identified Material Issues are periodically reevaluated in line with the business planning cycle and in response to changes in regulations or the business environment. Going forward, the Group will continue to reevaluate them regularly based on international trends, and review the issues that the Group should address.
NX Group is engaged in sustainability management mainly via the Sustainability Promotion Division of NIPPON EXPRESS HOLDINGS, INC.
Furthermore, the Sustainability Promotion Committee, which is charged with promoting sustainability in the Group, has expanded participation from just the executive officers of NIPPON EXPRESS HOLDINGS, INC. to now include sustainability promotion officers at all Group companies.
The Group is working to further accelerate and improve the efficiency of initiatives for sustainability overall, including the issue of climate change.
At NX Group, the Sustainability Promotion Division formulates sustainability strategies, conducts monitoring, evaluation, reporting, and improvement, while considering the progress of initiatives for each key issue (materiality) and social conditions, and updates the sustainability strategies accordingly.
Sustainability initiatives are implemented by the department in charge of each Material Issue, which promotes the transformation of the business portfolio and business model while incorporating sustainability strategies into the business of each Group company.
With the goal of strengthening the sustainability infrastructure that provides the foundation for the above-mentioned process, our Group monitors key performance indicators (KPIs) that use Sustainability Promotion Committee meetings and Sustainability Conference gatherings as milestones. Also, in order to hasten the promotion of our sustainability management, we will include in our director compensation plan such performance indicators as consolidated sales revenues along with such indicators as non-financial information related to ESGs. Our plan is to put these into operation first at NIPPON EXPRESS HOLDINGS, INC. and Nippon Express Co., Ltd. following the results from fiscal 2024, and then put them into operation for the entire Group following the results from fiscal 2025. Furthermore, in terms of efforts toward dissemination throughout the company, we have set dissemination targets for fiscal 2024 broken down by position and are conducting training and the like.
SBTi is a joint initiative of the United Nations Global Compact (UNGC), the World Resources Institute (WRI), and the World Wide Fund for Nature (WWF) to evaluate corporate greenhouse gas emission reduction targets. In June 2025, NX Group’s greenhouse gas (GHG) emission reduction targets for FY2030 were certified by the Science Based Targets initiative (SBTi) as near-term science-based targets.
TCFD, or Task Force on Climate-Related Financial Disclosures, was established by the Financial Stability Board (FSB) at the request of the G20 to examine how climate-related information should be disclosed and how financial institutions should respond. We have declared our support of the TCFD recommendations as an organization.
GX League is a group of companies that boldly take on the challenge of transitioning to carbon neutrality and are successful in international business that are leading GX (green transformation). We support GX League activities and are working toward the realization of GX.
The principal ESG investment indices for which NIPPON EXPRESS HOLDINGS, INC. has been selected are as follows. (As of March 2025)
Among the stocks that constitute MSCI Nihonkabu IMI indexes, stocks with high ESG ratings in each industry are selected. This index is used by the Government Pension Investment Fund for Japan (GPIF) as one of its selection guidelines for ESG investment.
This index selects companies that it expects to attain sustainable, long-term growth by calculating a score based upon disclosed information about the ratio of women employed and in management positions, and about diversity. This index is used by the Government Pension Investment Fund for Japan (GPIF) as one of its selection guidelines for ESG investment.
This is formulated by S&P Dow Jones Indices based on carbon emissions data provided by environmental assessment company Trucost. This uses the TOPIX stock universe, and determines the weighting of its constituent stocks with a focus on levels of environmental information disclosure and carbon efficiency (carbon emissions per unit of sales).
In addition to FTSE Russell’s ESG ratings, this selective ESG composite index screens using an assessment of the magnitude of a company’s nvironmental impact and its management of climate change risk.
Indexes are designed to make it possible to make investments focusing on companies that have strong gender diversity policies embedded in their corporate culture and ensure equal opportunities to employees, regardless of their gender.
We received a B rating in the Climate Change Program conducted by CDP, an international non-profit in environmental disclosure, in 2024.
In the EcoVadis sustainability assessment, which promotes the sustainability of supply chains around the world, we were given a total score of 51 points for 2024.
NX GROUP considers it important to have two-way communication with a wide range of stakeholders in order to create a prosperous future and enhance corporate value by solving social issues through sustainability management.
