Daiichi Sankyo

Carbon per million dollars of revenue. The legacy industry-standard reference (CDP, MSCI). Useful for cross-sector context, but distorted by margin — high-margin firms appear artificially efficient. Read alongside the operational and asset intensities for the full picture.

OpEx (operating expenditure) is the running cost of the business — staff, services, energy, materials. This shows how carbon-intensive operations are per million dollars of spend. Removes the margin distortion that revenue-based ratios introduce.

EVIC (Enterprise Value Including Cash) is the firm's total capital footprint — equity + debt + cash + minority interest. The EU's standard intensity measure (SFDR PAI 3) — answers: how much carbon does each million of capital deployed in this business produce?

PP&E (Property, Plant & Equipment) plus leased real-estate assets is the firm's physical infrastructure on the balance sheet. This shows the carbon intensity of that physical footprint — uses Scope 1+2+3 for consistency with the other headline intensities. Surfaces stranded-asset risk for asset-heavy firms.

Member of RE100 with a target of 100% renewable electricity by FY2030 and FY2025 KPI of ≥60% (already achieved). Renewable electricity utilization reached 80.0% in FY2023 (up from 9.4% in FY2021 and 78.1% in FY2022). Approach combines on-site solar (Pfaffenhofen Plant Germany 580 MWh/yr; Shanghai Plant ~540 MWh/yr; Onahama Plant ~4,000 MWh/yr), conversion of European plant to biomass wood pellets for steam in FY2023, and renewable electricity contracts. Group also opened its first Nearly ZEB-certified building at Onahama in March 2023 (78% energy reduction).

Report does not describe a removals or offsets programme. Strategy is framed around absolute Scope 1+2 reduction (49.8% vs FY2015) plus supplier engagement on Scope 3 Cat 1, en route to FY2050 net zero. Ecological Footprint metric tracks 'CO2 absorption area' as an indicator but is not used as a credit/removal mechanism.

• Renewable electricity procurement at manufacturing sites

  Conversion of plants to renewable electricity is the dominant Scope 1+2 lever: Pfaffenhofen has used 100% renewable electricity since 2014; Shanghai plant added solar in Jan 2023 cutting 300 tCO2/yr; on-site solar systems at Onahama (4,000 MWh/yr) and elsewhere. Result: Scope 2 fell from 103,150 tCO2 in FY2021 to ~24,000 tCO2 in FY2022-23.

• Net Zero Energy Buildings and energy efficiency

  First Nearly ZEB-certified building (Onahama new office, March 2023) cuts standard building energy by 78% (51.9% from savings, 26.9% from on-site generation via solar + high-efficiency HVAC, water heating, lighting). Listed levers across value chain include DX utilization, green chemistry, next-gen batteries, EVs and hydrogen.

• Fuel switching to biomass and hydrogen at plants

  FY2023 conversion to biomass wood pellets for steam production at the Pfaffenhofen plant in Germany. Long-term plan explicitly lists hydrogen utilization and bioplastics as value-chain decarb levers across R&D, pharmaceutical technology, supply chain and offices.

• Supplier engagement on 1.5°C targets (Scope 3 Cat 1)

  FY2025 KPI is for >70% of business partners to set 1.5°C-aligned targets. Currently strengthening engagement to address rising Cat 1 emissions, which grew from 0.5M to 3.9M tCO2e between FY2021 and FY2023 due partly to methodology revision. CO2 intensity-per-sales target: -15% vs FY2020 by FY2025.

• Sustainable Procurement Survey of suppliers (Tier 1 and Non-Tier 1)

  Triennial Sustainable Procurement Survey covering six areas including environmental management. FY2020-FY2022 cycle: 399 of 403 surveyed suppliers responded (99%); 30 key partners took environmental training. Retrospective assessment of ~1,200 raw materials extended survey to Non-Tier 1 suppliers at five main Japanese plants.