Overview

In view of the global climate crisis, Kuaishou has integrated green operations into its business practices. In 2024, we carried out climate scenario analysis for the first time. We combined environmental and economic prediction data from international agencies for different temperature rise scenarios. This helped us identify climate-related risks and opportunities for businesses and assessed respective cyclic impacts. Through cross-departmental efforts, we collected quantitative data from various business units on risk occurrence probabilities and impact severity, prioritize risks and opportunities, which provided a basis for climate-response decisions. Additionally, in 2024, we disclosed Scope 3 emissions data for the first time, reflecting our awareness on low-carbon operations across the value chain. On carbon reduction, we successfully achieved carbon emission quotas from local authorities. Operationally, we advanced low carbon projects such as distributed new energy and source-grid-load-storage integration. In 2024, our self-built data center, Kuaishou Intelligent Cloud Ulanqab Data Center, acquired 411,779 MWh of green power and green power certificates, accounting for 87.1% of its annual electricity consumption, resulting in a carbon emissions reduction by 220,960.6 tons of CO2. These measures helped lowering the Company’s overall carbon footprint effectively.

Kuaishou is dedicated to offering products and services that balance stability and efficiency, and to fulfilling our platform responsibilities. We are committed to protecting the information security of our customers and partners, and to firmly uphold the regulatory standards and ethical baseline for user privacy protection. In 2024, Kuaishou obtained certifications such as ISO 27001 for Information Security Management Systems, ISO 27701 for Privacy Information Management Systems, and ISO 27017 for Cloud Service Information Security Management Systems, covering 100% of its business areas.

Kuaishou’s platform operates e-commerce compliantly and governs product content, with standardized marketing management. We are committed to creating a healthy, sustainable ecosystem and ensuring a safe and smooth user experience. In 2024, Kuaishou revised 77 internal process and system rules to standardize service standards. Also, Kuaishou has built an omni-channel for user complaint response system, cutting the complaint response time by 17% year-on-year through process optimization. In minor protection, the platform has continuously enhanced the minor protection system, which included the establishment of a dual mechanism of account real-name authentication and joint management by guardians. Meanwhile, graded control measures for internet behavior have been deployed. The platform has also developed educational content libraries and participated in the development of industry standards for minor internet protection and built a framework for internet content governance.

Kuaishou’s platform integrates employee development into its corporate development plan. We have established a diversified workplace management system and implemented a staff career path planning mechanism to support the implementation of the Company's talent strategy. We have also implemented an employee health and safety management system, and enhanced our employee welfare system. These efforts ensure that employees are aware of the Company's care and support, thereby enhancing their happiness and job satisfaction. In 2024, we have upgraded our talent management system through strengthening the annual talent review process, focused on identifying high-potential individuals, and devised customized development plans for them. In addition, we have been constantly improving our internal training system, broadening our talent reserves, and providing strong support for employees' career development.

Kuaishou actively practices supply chain management, focusing on supplier compliance and implementing responsible and green procurement. We have incorporated the ESG assessment system into supplier lifecycle management. Using standardized audit tools, we require suppliers to meet criteria such as labor protection and human rights, ensuring employee health and workplace safety, environmental protection, anti-corruption, and data security and privacy protection. In 2024, Kuaishou introduced a General Purchase Agreement (GPA) template. It clarifies rights and obligations in different cooperation scenarios, securing a higher level of legal binding, and we have achieved a 100% GPA signing rate for market procurement suppliers.

Kuaishou, with a strong sense as a corporate citizenship, has long been dedicated to social contribution. Guided by the mission of "connecting good faith with technology and creating shared platform value," Kuaishou embraces inclusive technology. Leveraging its platform strengths, it focuses on key areas like rural revitalization, intangible heritage preservation, elderly care, women's employment, and minor protection, actively fulfilling its social responsibilities. In 2024, Kuaishou's public welfare projects donated RMB 4.741 million and dedicated 37,482 hours of voluntary services. Through these initiatives, Kuaishou has garnered extensive recognition and compliments from wide society.

In 2024, Kuaishou continued to deepen its sustainable development strategy. Based on its business strengths, it further enhanced its governance system efficiency, and earnestly fulfilled its responsibilities towards users, employees, partners, and all sectors of society. In ESG governance capacity building, Kuaishou has been continuously improving its three-level structure of “governance, management, and implementation layers”, with the Corporate Governance Committee, being authorized by the board of directors, to coordinate the formulation of ESG strategy. Meanwhile, we strengthened integrity culture through multiple anti-corruption trainings across levels and covered 100% of new employees in integrity and compliance training provisions. We have also integrated our supply chain partners into our compliance system. In 2024, we signed the Integrity Commitment with 6,028 suppliers, promoting business ethics deep into the industrial chain.