SUSTAINABILITY STATEMENT
ABOUT THIS SUSTAINABILITY STATEMENT
This Sustainability Statement (“the Report” or “SS2026”) presents SAM Engineering and Equipment (M) Berhad (“SAMEE”)
and its subsidiaries’ (“SAMEE Group” or “the Group”) approach to managing sustainability-related risks and opportunities,
as well as our performance across key Economic, Environmental, Social and Governance (“EESG”) matters for the financial
year ended 31 March 2026.
At SAMEE Group, sustainability reflects our commitment to responsible business practices that support long-term value
creation. We integrate sustainability considerations into our operational management, risk oversight, and strategic planning
to strengthen resilience, support responsible resource management, and respond to evolving stakeholder expectations
across the markets in which we operate.
This Report should be read in conjunction with the Group’s Annual Report FY2026 to provide a comprehensive understanding
of our financial and non-financial performance.
REPORTING PERIOD, SCOPE AND BOUNDARY
This Sustainability Statement covers SAMEE Group’s sustainability performance for the financial year from 1 April
2025 to 31 March 2026 (“FY2026”), unless otherwise specified. Where relevant, disclosures are presented on a
rolling three-year basis to support trend analysis.
The reporting scope, unchanged from the previous year, is based on the operational control approach, covering
entities where SAMEE Group exercises operational control over management and sustainability-related activities.
The reporting boundary includes active operating entities within the Aerospace and Equipment Divisions across
Malaysia, Singapore and Thailand, covering the Group’s principal operations and owned properties as detailed in
the Particulars of Properties and Group Structure and Activities sections of AR2026.
REPORTING FRAMEWORKS AND
STANDARDS
This Statement has been prepared in accordance with the sustainability reporting requirements of Bursa Malaysia Securities
Berhad Main Market Listing Requirements (“MMLR”), with reference to recognised sustainability frameworks, standards,
and index criteria relevant to SAMEE Group’s regulatory obligations and operational context.
The Group’s disclosures are guided by the following frameworks and standards:
As a Group 1 company under Malaysia’s National Sustainability Reporting Framework (“NSRF”), the Group is progressively
aligning with IFRS Sustainability Disclosure Standards, beginning with TCFD- and IFRS S2-aligned climate disclosures in
SS2026. In line with this transition, the Group has adopted relevant SASB sector-specific metrics to support industry-aligned
performance disclosures and enhance comparability of sustainability information.
SAMEE Group also references the FTSE4Good Bursa Malaysia Index criteria to support continuous improvement in ESG
benchmarking following the Group’s inclusion in the FTSE4Good Bursa Malaysia Index in June 2025.
DATA QUALITY AND
ASSURANCE
Disclosures are prepared in line with GRI principles and
internal materiality judgements, supported by structured
internal reporting processes across operating entities.
Certain disclosures, particularly in emerging areas,
may be refined as data, methodologies and regulatory
expectations evolve. Where estimates are used, recognised
methodologies and assumptions are disclosed. Changes in
scope, coverage or prior-year restatements are indicated
to ensure transparency and comparability. Minor variances
may occur due to rounding.
The FY2026 Sustainability Statement has not been
externally assured but has undergone internal review
involving corporate functions and data owners, and
was subsequently reviewed and endorsed by Senior
Management and the Board.
REPORTING LIMITATIONS AND
REFERENCES
This Report contains forward-looking statements regarding
SAMEE Group’s strategic intent, operational projections
and anticipated outcomes made based on reasonable
assumptions and information available at the time of
publication. Actual results may differ due to inherent risks
and uncertainties.
Unless otherwise stated:
- “Company”, “Organisation” or “SAMEE” refers to SAM Engineering and Equipment (M) Berhad as the investment holding entity.
- “Group” or “SAMEE Group” refers collectively to SAM Engineering and Equipment (M) Berhad and its active subsidiaries included within the reporting scope.
- “we”, “us”, or “our” refer to SAMEE Group as defined above.
ACCESSIBILITY AND FEEDBACK
For enquiries or feedback, please contact investorrelations@sam-malaysia.com.
MESSAGE FROM THE CHIEF EXECUTIVE OFFICER
DEAR STAKEHOLDERS,
In FY2026, SAMEE Group continues to strengthen its sustainability
practices through the integration of responsible business principles into
operations, supported by established policies, governance structures and
performance initiatives. These efforts have progressed from foundational
governance and reporting to targeted operational initiatives, including
renewable energy deployment, resource efficiency and responsible
manufacturing, supporting safe, efficient and environmentally responsible
operations.
NG BOON KEAT
Executive Director and Chief Executive Officer
Our Sustainability Journey and Key Milestones:
FY2015-2018
Establishing Sustainability Foundations
- Sustainability Policy integrated into the Group’s corporate strategies in 2015
- Initial sustainability strategies developed to promote responsible business practices
- First Sustainability Report published in 2017, covering Economic, Environmental and Social (“EES”) pillars
FY2019-2020
Strengthening Governance and ESG Alignment
- Identification and formalisation of the Group’s initial 15 material sustainability topics
- Establishment of Sustainability Governance Structure
- Alignment of sustainability initiatives with the United Nations Sustainable Development Goals (“UNSDGs”)
FY2021-2022
Sustaining ESG Commitments Amid Challenges
- Sustaining Environmental, Social and Governance (“ESG”) and UNSDGs agendas during COVID-19 pandemic
- Expanded material sustainability topics to 16 in line with evolving priorities
FY2023-2024
Advancing Climate Mitigation and Adaptation
- Established GHG emissions intensity reduction target
- Installed solar energy systems and transitioned to zirconium production line utilising environmentally responsible processes
FY2025
ESG Recognition and Benchmarking
- Included in the FTSE4Good Bursa Malaysia (“F4GBM”) Index
FY2026
Advancing NSRF Adoption
- Conducted a Group-wide climate risk assessment
- Undertook an SASB sector applicability clinic to identify relevant industry-aligned sustainability performance indicators
- Published IFRS S2-aligned climate-related disclosures
A significant milestone achieved during FY2026 was the adoption of IFRS S2-aligned climate-related disclosures, in line with
Malaysia’s NSRF requirements for Group 1 companies.
Looking Ahead
SAMEE Group will continue to strengthen climate risk management, resource efficiency, workforce well-being, governance
practices and data quality, while enhancing disclosure alignment with evolving regulatory and industry expectations as we
continue to build a resilient and responsible organisation.
APPROACH TO SUSTAINABILITY
SUSTAINABILITY GOVERNANCE
SAMEE Group adopts a structured, tiered sustainability governance framework to integrate sustainability into strategic
decision-making, risk management and operational execution. This framework is supported by policies, terms of reference
and governance instruments that define commitments, roles and procedures for effective implementation and monitoring.
The following governance structure enables clear accountability at all levels, supporting the effective management of
sustainability-related risks and opportunities while reinforcing long-term value creation:
STAKEHOLDER ENGAGEMENT
The Group engages with a diverse range of stakeholders who are impacted by or have the ability to impact the Group’s
operations in the regular course of its business activities. The Group’s key stakeholders have been identified as Employees,
Management and Directors, Shareholders and Investors, Customers, Business Partners and Suppliers, Regulators,
Communities, and Media.
Stakeholders are prioritised based on their level of influence on, and dependence on, the Group. This supports targeted
engagement, effective communication and structured response to stakeholder concerns. The prioritisation matrix, derived
from the FY2025 materiality assessment, provides the basis for identifying engagement priorities and validating material
sustainability matters.
MATERIALITY ASSESSMENT
SAMEE conducts full materiality assessments every 3 to 5 years, with interim desktop reviews, to identify and prioritise key
Economic, Environmental, Social and Governance (“EESG”) matters. This process supports Management and the Board in
focusing on the most significant impacts, risks and opportunities aligned with stakeholder expectations and operational
priorities.
In FY2025, the Group conducted a comprehensive materiality assessment incorporating stakeholder engagement and
internal evaluation to confirm the continued relevance of its material topics.
Materiality Assessment Methodology
Materiality Matrix
ESG Scorecard
ISSB SUSTAINABILITY STATEMENT
Basis of Preparation and Framework Alignment
COMPLIANCE WITH THE IFRS SUSTAINABILITY DISCLOSURE STANDARDS
This ISSB Sustainability Statement for SAMEE is prepared with reference to the IFRS Sustainability Disclosure Standards
as issued by the International Sustainability Standards Board (“ISSB”). For the financial year ended 31 March 2026, which
is aligned with the reporting period of the related consolidated financial statements, the Group has applied IFRS S2
Climate-related Disclosures and the relevant IFRS S1 General Requirements for Disclosure of Sustainability-related Financial
Information only insofar as they relate to climate-related disclosures under IFRS S2, taking into account the NSRF and MMLR
of Bursa Malaysia Securities Berhad.
Our disclosures are structured around the four core pillars of the ISSB framework: Governance, Strategy, Risk Management,
and Metrics and Targets, ensuring a robust and globally comparable account of our climate-related risks and opportunities.
Connectivity with Financial Statements and Reporting Currency
The assessment of climate-related risks and opportunities includes qualitative and quantitative evaluations of their impacts
on SAMEE’s business model, strategy and financial position. This ensures that climate considerations are integrated into the
Group’s broader financial and operational planning.
The climate-related financial disclosures are presented in Ringgit Malaysia (“RM”), which aligns with the presentation
currency used in the consolidated financial statements.
IFRS SUSTAINABILITY DISCLOSURE STANDARDS AND TRANSITION RELIEFS
The Group has applied available transition reliefs under the IFRS Sustainability Disclosure Standards and Bursa Malaysia’s
Additional Transition Reliefs (“ATR”) to facilitate a phased reporting approach. During the initial adoption phase, disclosures
focus on climate-related risks and opportunities under IFRS S2. Certain Scope 3 GHG emission categories have not yet been
fully reported, as the Group continues to strengthen its data collection and reporting processes.
Reporting Boundary
The reporting boundary covers SAMEE’s operating landscape and subsidiaries across Malaysia, Singapore, and Thailand,
which comprises two core divisions, the Aerospace Division and the Equipment Division. This includes a comprehensive
assessment of both physical and transition risks and opportunities across the Group’s business segments.
For more details, please refer to the Reporting Period, Scope and Boundary section on page 29.
SIGNIFICANT JUDGEMENTS AND MEASUREMENT UNCERTAINTIES
The preparation of this Sustainability Statement requires SAMEE to make critical judgements, estimates, and assumptions
that affect the reported amounts of metrics, the identification of risks, and the disclosure of anticipated financial effects.
These judgements are made based on the best available information and historical experience. However, the inherent
complexity of climate modelling and the evolving nature of sustainability data mean that actual results may differ from these
estimates.
SIGNIFICANT JUDGEMENTS
Approach to Materiality Assessment
Significant judgement was applied in identifying the climate-related risks and opportunities (“CRROs”) that could reasonably
be expected to affect SAMEE’s prospects. These CRROs are identified through a dedicated Climate Risk Assessment
(“CRA”) that combines climate science with operational insights, supporting integration of climate considerations into the
Group’s precision engineering and aerospace manufacturing strategy.