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Daito Kentaku Recognized Globally for ESG Efforts

Daito Kentaku Corporation, based in Tokyo's Minato Ward, has made headlines by becoming the first Japanese company included in the globally recognized ESG investment index, the FTSE4Good Index Series. This is a significant achievement that underscores not only Daito Kentaku's commitment to environmental, social, and governance practices but also sets a benchmark for other companies in Japan and beyond.

Alongside being included in the FTSE4Good Index, Daito Kentaku continues to be part of two crucial ESG indices relevant to the domestic market, namely the FTSE JPX Blossom Japan Index and the FTSE JPX Blossom Japan Sector Relative Index. The company's ESG rating has also seen an improvement, rising from a score of 3.4 to 3.6 (out of 5), reflecting its ongoing rigorous efforts in ESG compliance and performance.

The FTSE indices serve as a crucial tool for investors looking to support companies that prioritize sustainability and ethical governance. They provide a framework for evaluating the performance of firms that excel in the aforementioned domains. The rigorous assessment criteria are grounded in international standards, including the United Nations' Sustainable Development Goals (SDGs).

The FTSE4Good Index Series, in particular, is known for its high standards in environment, social responsibility, and governance. Being recognized in this index places Daito Kentaku among the elite companies worldwide that have made substantial contributions to sustainability.

The continued inclusion in the FTSE JPX Blossom Japan Index and the Sector Relative Index underscores Daito Kentaku's dedication to sustainable development practices. These indices are recognized benchmarks for ESG investment in Japan, demonstrating the company’s commitment to corporate responsibility within the local context.

Daito Kentaku credits its improved rating and global recognition to several key initiatives implemented since the last assessment. These initiatives include:

• - Enhanced Climate Change Responses: Proactive measures to mitigate environmental impacts, including strategies for reducing carbon emissions and promoting sustainable construction practices.
• - Human Capital Management: Fostering employee growth and engagement through professional development programs and a supportive workplace environment.
• - Corporate Governance Reforms: Implementing transparent governance structures to enhance accountability and stakeholder engagement.
• - Community Engagement: Initiatives designed to address regional challenges through their renovation and resale business, contributing positively to local communities.

As Daito Kentaku moves forward, it plans to continue strengthening its efforts across environmental, social, and governance domains. This latest recognition serves as motivation for the company to enhance its contributions towards a sustainable society while also focusing on long-term corporate value growth.

Daito Kentaku's commitment to ESG principles illustrates its vision for a responsible and future-oriented business model, paving the way for other corporations to follow suit in adopting sustainable practices. By achieving these milestones, Daito Kentaku not only enhances its corporate profile but also plays a significant role in fostering a culture of sustainability that resonates within the community and the industry at large.

For further information about Daito Kentaku's sustainability efforts and ESG practices, you can explore their Annual Report 2025 and ESG Data Book 2025.