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VK Company: VK publishes ESG report for 2021

August 15, 2022

VK publishes ESG report for 2021

VK Company Limited (LSE, MOEX: VKCO, hereinafter referred to as “VK” or “the Company”) publishes its annual ESG report for 2021. The Company has launched its own ESG Portal (in Russian) covering major events and news related to environmental, social and governance aspects of its sustainable development in the past year.

“VK’s strategic goal is to make people’s lives more comfortable, convenient and secure through our digital services. We pay close attention to cybersecurity, personal data protection and the overall quality of our services. We are also proactively developing online education to provide the greatest range of opportunities for our users,” said Vladimir Kirienko, CEO of VK (Russia). “One of the main goals of VK’s development is to help society, business and government in their digital transformation. While developing technologies and launching new products, we strive to minimize our environmental footprint. We believe that the principles of sustainable development which are systematically integrated into our strategy have a positive impact on the key aspects of our activity: creation and development of unique digital services, enlargement of our audience, improvement of the user experience for people with different needs and abilities, the well-being of our employees, as well as the business and society as a whole.

Highlights of the annual ESG report:

Environmental aspects:

  • More than 3,000 VK employees have started using our electronic document management system (28% of the total workforce)[1]
  • The number of donations for ecology-related projects on Dobro Mail.ru increased by 61% year-on-year
  • The average annual PUE[2] of an M-100 data center using a liquid cooling system was recorded at 1.04

Social aspects:

  • Charitable donations from VK staff and users totaled 188 million rubles, up 30% year-on-year
  • VK’s Day Against Cyberbullying Event Coverage Hits 130 Million Views
  • The share of women among top managers and team leaders reached 28%, while the share of women among all employees hired was 35% in 2021

Corporate governance :

  • The average response time of the VKontakte moderation team is 1.3 minutes
  • In 2021, the Company received no substantiated reports of breaches of ethical standards
  • The share of women on the board of directors of VK has reached 30%[3].

In 2021, VK conducted surveys to determine the company’s sustainability goals and priorities. Surveys were conducted among users, employees, shareholders, business partners and NGO communities. According to the results of the investigations, the material subjects were identified as follows: personal data protection, cybersecurity, online education, social initiatives, innovations and digitization, and product quality responsibility.

In each area of ​​sustainability, the company implements initiatives and projects aimed at making the lives of users and employees safer and more convenient.

In the domain of cybersecurity and personal data protection, in the fourth quarter of 2021, VK launched the VK Protect initiative which combines all the technical solutions that provide protection within the VK ecosystem. We also launched the Security Management Center to strengthen the security of VK ID user accounts.

VK tools initiative in the field of education, offering a range of free VK education projects for audiences of all ages, from preschoolers to professionals. In 2021, our IT Knowledge Day career guidance campaign focused on video game development reached over 290,000 children from 5,700 schools, with over 3 million viewers online. More than 3,500 students from 13 of Russia’s leading universities have participated in VK’s educational programs and workshops.

VK supports multiple social initiatives. More than 1.5 million users visited the Dobro Mail.ru website in 2021, donating more than 110 million rubles to partner funds and bringing the number of recurring charitable donations to 19,000 for the year . VK continued to develop its own charity fund “Kod Dobra”, which raised 96 million rubles for NGOs in 2021. VK supported more than 120 social NGOs in 2021, providing grants for advertising campaigns and assistance in their Implementation. For the third year in a row, VK held its Anti-Cyberbullying Day in 2021, garnering support from over 70 brands and doubling campaign coverage year on year to reach 130 million views.

Environmental initiatives are also very important for VK. In 2020, we devoted a separate segment to ecological projects on the Dobro Mail.ru website, and in 2021 we managed to raise 3.2 million rubles for ecology, which is 61% more than in 2020 In the summer of 2021, Dobro Mail.ru teamed up with WWF to raise over 500,000 RUB to fight forest fires in Yakutia and 200,000 RUB for a Greenpeace project to start a new forest nursery in the Kaluga region. Thanks to the support of Dobro Mail.ru (300,000 RUB), the Delpha Foundation managed to staff dolphin assistance teams. Studio BIT.GAMES supported their local ecological community ECOVES and helped clean up the territory around the Sursk reservoir in the Penza region.

About the ESG report:

The report is published in Russian and English. The qualitative and quantitative data in the report complies with the International Reporting Standards (GRI) and the Sustainability Accounting Standards Board (SASB). The Task Force on the Disclosure of Financial Information Related to Climate Change (TCFD) was used as a framework for the disclosure of ESG risks.

For more information, please contact:

Investors

Tatiana Volochkovich
Telephone: +7 495 725 6357 extension: 3434
E-mail: [email protected]

ESG

Ksenia Toporkova
Mobile: +7 926 838 70 89
E-mail: [email protected]

Hurry

Sergei Makarov
Mobile: +7 926 818 95 89
E-mail: [email protected]

About VK

VK is one of the biggest tech giants in Russia. VK’s products and services help millions of people with their daily online needs. Over 90% of Russian Internet users rely on VK for communication, playing video games, learning new skills, listening to music, watching and making videos, selling and buying goods, ordering food and more. The Company also develops a range of products and services for the digitization of business processes, from online promotion to predictive analytics, enterprise social networks, cloud services and business automation.