FocalTech uses AI innovation as a driving force to implement ESG sustainable actions, hoping to operate steadily in the semiconductor industry, expand positive influence, and create an inclusive and sustainable future.

 

In 2024, the global economy stabilized and consumer demand gradually recovered. FocalTech consolidated the mobile phone market and expanded into non-mobile phone fields such as tablets, laptops and automotive electronics to achieve significant growth. The annual shipment volume increased by 26% year-on-year, far higher than the market average.

 

Benefiting from the growth of AMOLED shipments, net profit after tax increased by more than 60% year-on-year.The company performed well in the AMOLED touch, notebook module and automotive markets,demonstrating the advantages of diversified technology integration.

 

Focaltech continues its existing sustainable strategic direction, focusing on the six major aspects of "sound governance","partners' prosperity", "protecting the green environment", "friendly workplace","social care" and "innovative value breakthrough",steadily promoting ESG development and continuously implementing corporate social responsibility commitments.

 

FocalTech Chairman

  

 

Steady Governance

In the corporate governance evaluation, Focaltech has been ranked in the top 6% to 20% of listed companies for eight years until 2024, fully demonstrating the external recognition of corporate governance practices. We will continue to improve the governance system to lay a solid foundation for the company's long-term and stable development. The company has also recruited Mr. Duan Xingjian and Mr. Lai Junhao as independent directors to strengthen the professionalism, independence and diversity of the board of directors. In the most recent board of directors, independent directors accounted for half of all directors.

 

In the future, the company will continue to uphold the principle of "professionalism first, talent for the right position", and will consider the industry experience, professional ability and contribution to the long-term development of the company of the director candidates. It is hoped that a diverse and inclusive board composition can be achieved in a step-by-step manner to promote innovation and sustainable value.

 

Focaltech believes that corporate governance is the foundation of sustainable business operations. We always adhere to the core values ​​of focusing on our business and operating with integrity, and strictly abide by laws and regulations to protect the rights and interests of shareholders and take into account the interests of all stakeholders. At the same time, the company continues to encourage all colleagues to implement corporate ethics, establish a sound governance structure, and fulfill its commitment to sustainable development with practical actions.

  

Partners For Common Prosperity

With customer success and teamwork as its core business philosophy, Focaltech works with suppliers to improve technology and processes, and is committed to meeting the diverse needs and expectations of customers. In response to international environmental trends and the sustainable standards of brand customers, the company has established a green product management system and has been recognized by international manufacturers.

 

In addition, the company actively promotes the sustainable development of the supply chain. Not only has it collaborated with its partners to obtain international certifications such as ISO 9001, ISO 14001, ISO 45001, ISO 14064-1, ISO 27001, ISO 26262, and corporate social responsibility standards such as compliance with HSF green product requirements and conflict mineral economic requirements, but it has also implemented carbon emission management and energy-saving measures, and formulated a "Supplier Code of Conduct" that requires all suppliers to sign and implement.

 

In 2024, FocalTech also won many awards including the Corporate Social Responsibility Award from its customer GoPro, the China IC Semiconductor Billboard, and the TCSA Taiwan Corporate Sustainability Foundation.

 

The company regards customers and suppliers as long-term partners, and through close collaboration, jointly builds a win-win sustainable ecosystem to continuously improve product service quality and customer satisfaction.

  

Protect The Green Environment

Focaltech supports net zero carbon emissions and is committed to energy-saving measures within the company. In recent years, in addition to the actual investment of NTD7.4 million in PLC control systems, panel lights, and computer room circulation systems, it also promotes the concept of saving electricity to employees. By moving to the newly purchased Hsinchu factory, it has improved energy efficiency and significantly reduced electricity consumption by 21.66% in 2024 compared to 2023, which truly reflects the company's efforts.

 

In addition, according to the timetable of the "Sustainable Development Roadmap for Listed Companies" formulated by the Financial Supervisory Commission, the ISO 14064-1 inventory and verification will be completed in 2024 in advance.

 

As a member of the global semiconductor product supply chain, the company has the obligation to assume the responsibility of environmental sustainability. Through the formulation and implementation of environmental safety and health policies, and the continuous promotion of greenhouse gas inventory, we comply with the requirements of laws and regulations on business activities that affect the environment and safety and health, reduce the negative impact of corporate operations on the environment, and provide products that meet customers' environmental protection and energy-saving requirements. The development of energy-saving products is also growing year by year.

 

In the future, in order to promote the goal of environmental sustainability, we will continue to work hard and improve on product design, launch more energy-saving and low-environmental-burden products, and do our part for the sustainable development of the environment.

 

The company also implements climate change risk and opportunity analysis and response in accordance with the requirements of TCFD and the Financial Supervisory Commission, and will continue to implement ISO 14064-1 third-party verification every year. It also collects a list of green power manufacturers, pays attention to the green power market, evaluates the possibility of purchasing green power in the future to replace the current main power consumption, reduces Category 2 carbon emissions, and pays attention to the carbon rights trading market.

 

Friendly Workplace

The total amount of employee welfare subsidies for 2024 is approximately NT$60,564,527, allowing all employees of approximately 450 people to enjoy various benefits after work. Because talent is not only a company's asset, but also the foundation of a company's sustainable development.

 

Focaltech's emphasis on talent is fully reflected in the workplace environment and conditions provided by the company. In 2024, it not only won the Best Employer Award for Growth Enterprises, but also attached great importance to the physical and mental health, personal growth and work-family balance of its employees, with the goal of enabling talents to develop sustainably within the company.

 

In addition, harmonious labor-capital relations are also conducive to the long-term and stable development of the company. There are various communication mechanisms within the company to give full play to the opinions of colleagues. It is also committed to ensuring a safe working environment, respect for employees, and environmental protection and ethical operations. Focaltech also promotes human rights policies and gender equality and friendliness to ensure and implement the "RBA Responsible Business Alliance Code of Conduct".

 

In addition, Focaltech has invested a total of NT$22.93 million in talent cultivation and development in Taiwan from 2021 to 2024 to cultivate semiconductor talents. Its partners include the School of Semiconductors at Tsinghua University, Yang-Ming Chiao Tung University, National Taiwan University of Science and Technology, National Sun Yat-sen University, etc., and continues to encourage talents to invest in the semiconductor industry.

 

Social Care

Focaltech practices ESG to create an inclusive and sustainable society and continues to shoulder corporate social responsibility. It has supported the Xihan'er Foundation for two consecutive years. It not only calls on employees to donate, but also actively participates in various public welfare activities to implement the concept of corporate sustainability in practical actions. In 2024, the company will create a more friendly growth and employment environment for people with disabilities through product sales, volunteer services and environmental improvement projects, demonstrating the company's commitment to social inclusion.

 

In terms of social responsibility, the company encourages employees to support the charity sale of the Xihaner Foundation, so that the children in the sheltered workshop can gain more exposure and sales opportunities through independent creation. In addition, the company's volunteer team is called on to accompany the children in the Xihaner Workshop to sew handicrafts, promote interaction and communication between the disabled and the general public, and cultivate a social culture of tolerance and respect.

  

Focaltech also continues to pay attention to the working environment of the sheltered workshop, calling on volunteers to participate in the "Warm Room" renovation project to help assemble floors and bookcases, providing children with a safer and more comfortable working and resting space. By improving infrastructure, the safety and applicability of the workplace are enhanced, and the life care of the disabled is further supported. Focaltech's public welfare actions not only reflect corporate social responsibility (CSR), but also deepen the spirit of ESG. Through long-term investment and practical actions, it promotes the social participation and self-reliance of the disabled, and works together to create a more inclusive and sustainable future.

  

Innovation Value Breakthrough

Looking ahead, FocalTech will continue to move towards its sustainable vision of net zero carbon emissions by 2050 and actively introduce advanced technologies to improve IC design performance and R&D efficiency.

 

In 2025, emerging applications such as AI, high-performance computing and electric vehicles will drive the next wave of growth momentum in the semiconductor industry. However, rising global geopolitical risks, changes in tariff policies, exchange rate fluctuations and intensified market competition still bring many challenges and uncertainties to economic and industrial development.

 

In the face of changing circumstances, Focaltech has established solid technical strength and market foundation, and will continue to promote product diversification and global market layout to strengthen operational resilience. At the same time, we will focus on high value-added applications and product portfolio optimization to enhance overall profitability and long-term competitiveness.

 

The company will also adhere to the principle of prudent operation, actively embrace the global sustainable development and digital transformation trends, deepen ESG core values, introduce AI to enhance operational efficiency, and steadily advance towards the long-term goal of net zero carbon emissions.

 

In the future, Focaltech will work hand in hand with all employees, customers and supply chain partners to jointly meet challenges, expand opportunities, and achieve the dual value of corporate growth and social sustainability.