As the AI wave sweeps across the globe, every technology company is grappling with a fundamental question: can growth and responsibility coexist? LENOVO GROUP has presented its answer. The company's 20th ESG report, released today, is more than a simple compilation of data; it narrates a story of "how promises become reality"—from covering 90% of operational electricity with renewable energy to AI-driven green manufacturing, culminating in the announcement of a new set of targets for 2030.
LENOVO GROUP (HKSE: 992) (ADR: LNVGY) has officially released its Environmental, Social, and Governance Report for the 2025/2026 fiscal year. This marks the company's 20th annual ESG report and serves as the final report card for its first generation of long-term, company-wide ESG goals. The report also unveils LENOVO GROUP's next-generation ESG objectives for 2030, signifying that the company has completed a crucial phase of its commitments with quantifiable achievements and is embarking on the next leg of its sustainability journey with even higher ambitions.
The ESG report systematically details the company's measurable progress in environmental protection, social impact, and corporate governance. It elaborates on how the company, with its hybrid AI strategy as a core driver, integrates responsible innovation into every facet of its global operations while sustaining business growth. This spans from renewable energy practices at its manufacturing bases in China to using AI to enhance product lifecycle sustainability, and extending technological capabilities to broader areas of sustainable innovation and social value. Currently, AI transformation is profoundly influencing corporate ESG practices. As a leader in the global AI ecosystem, LENOVO GROUP guides the deep integration of AI and ESG with a "human-centric AI" philosophy, ensuring technology genuinely serves a sustainable future.
Completion of First-Generation ESG Goals
Since initiating its first long-term ESG Key Performance Indicator system in the 2021/2022 fiscal year, LENOVO GROUP has spent five years fully delivering on its public commitments across the three pillars of environment, social, and governance, transforming quantitative targets into verifiable outcomes.
In environmental governance, the company is steadily progressing towards its 2050 net-zero emissions target. By the 2025/2026 fiscal year, it successfully achieved: over 90% of global operational electricity sourced from renewables; 100% of personal computer products containing post-consumer recycled materials; recycling and reusing over 800 million pounds of end-of-life products; cumulatively using 300 million pounds of post-consumer recycled plastics in products; reducing single-use plastics in smartphone packaging by over 50%; and sourcing 60% of packaging materials from recycled content. Based on this continuous environmental performance improvement, the company again received an 'A' Leadership rating in the 2025 CDP Climate Change questionnaire.
Regarding social impact, between 2021 and 2026, LENOVO GROUP's global philanthropic initiatives cumulatively benefited 25 million people across technology, education, and health, exceeding its five-year target. The company's annual "Love On" global volunteer service month set a new record in its ninth year, with growing employee participation. As FIFA's official technology partner, the company deeply integrated technology with sports philanthropy, launching inclusive programs for disadvantaged groups in multiple regions, extending the spirit of the game to broader communities. Furthermore, over 75% of the company's products are reviewed by inclusive design experts to ensure suitability for people of varying abilities and needs. Its sustained investment in diversity and inclusion has earned the company multiple international recognitions from organizations like Disability:IN, Workplace Pride, and the Human Rights Campaign.
In strengthening corporate governance and responsible operations, the company employs innovative mechanisms to continuously enhance the sustainability performance of its manufacturing operations. Internally, its Hefei Industrial Base and Monterrey Manufacturing Base in Mexico have been selected as Global Lighthouse Factories, becoming benchmarks for its smart manufacturing and global supply chain capabilities.
Hybrid AI Fuels Sustainable Innovation
In the 2025/2026 fiscal year, hybrid artificial intelligence was a key theme in both the company's sustainability and overall business strategy. As a leader in the global AI ecosystem, LENOVO GROUP understands AI's value lies not just in the technology itself, but in transforming data and knowledge into actionable insights that boost production efficiency while enabling responsible, scalable application. This philosophy permeates the company's ESG practices—AI is becoming a core engine for delivering sustainable commitments, not merely a tool for business growth.
In sustainable operations, the company systematically applies AI and digital transformation to green manufacturing and environmental management: leveraging AI to improve factory operational efficiency, capturing energy-saving opportunities through real-time data insights, and optimizing carbon emissions tracking and management across its global supply chain. The LENOVO ESG Navigator platform embodies this practice, deeply integrating AI capabilities with ESG management to transform sustainability from qualitative goals into quantifiable, trackable operational metrics.
In product and infrastructure innovation, the company launched its next-generation Neptune liquid cooling technology, significantly reducing data center energy consumption and enabling more efficient, energy-saving operations for enterprise clients. The scaled deployment of this technology not only helps clients reduce the carbon footprint of their IT infrastructure but also demonstrates the strategic depth of embedding green design principles into its full-stack AI product portfolio.
New ESG Targets for 2030 Announced
The ESG report concurrently announces LENOVO GROUP's new generation of long-term ESG targets, guiding the company's ESG priorities and performance management for the next phase.
In the climate domain, the company commits to sourcing 100% of its global operational electricity from zero-carbon sources by 2030, continuing its long-term commitment to achieve net-zero emissions by 2050. Regarding resource efficiency, it aims to use 200,000 tonnes of sustainable materials in packaging and products and achieve the recycling and reuse of 160,000 tonnes of end-of-life products by 2030. In social impact, the company aims to positively impact the lives of 30 million people through philanthropic projects and partnerships. For inclusivity, it is committed to increasing the proportion of women in its global senior leadership and providing inclusive design training for all employees. In governance, the company pledges to continuously enhance its responsible AI program and improve sustainability performance.
Against the backdrop of accelerating AI evolution and profound global shifts, AI and ESG have become crucial pillars for LENOVO GROUP as a sustainably competitive global technology enterprise. Looking ahead, the company will leverage the certainty of ESG to navigate the uncertainties of globalization, adhering to its "human-centric AI" philosophy and collaborating with customers, partners, and global communities to build a smarter, more resilient tomorrow.