With the continuous improvement of environmental, social and governance (ESG) legislation and regulation around the world, ESG compliance has become an important part of the company's overall operational compliance. Good ESG management can not only effectively reduce the corresponding compliance risks, but also help the company better conduct internal governance, attract talents, expand the market, build brand reputation, and cope with the challenge of climate change.
 
       In order to effectively measure the performance of ESG, ESG rating results released by third-party institutions are generally regarded as an important auxiliary tool and KPI for enterprises to evaluate the status of ESG and make improvement plans. MSCI ESG Ratings, one of the most influential ESG ratings, recently released its latest results after a review of more than 14,000 equity/bond issuers. Thanks to its excellent ESG performance, Sunny Optical's rating has been upgraded from "BBB" to "A", placing it in the upstream of China's electronic equipment, instruments and components industry. According to the relevant report, 15% of the companies in China's electronic equipment, instruments and components industry could be rated "A" and above.
 
       Since its inclusion in 2018, we have continuously upgraded the ESG rating for four consecutive years. The year-to-year improvement in the rating reflects the continuous improvement of our ESG information disclosure and management level, and will encourage us to continue to improve the overall performance of ESG and pursue high-quality sustainable development.