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Hayleys PLC | Annual Report 2025/26

IN FULL CIRCLE

Communities

About Hayleys

The Hayleys Group is Sri Lanka's leading diversified conglomerate and a cornerstone of the country's economic development. With extensive business interests across 14 industry verticals and globally leading market positions, the Group has propelled Sri Lankan industries forward through an illustrious history of over 145 years — integrating itself with the socio-economic fabric of the nation and driving inclusive progress across diverse supply chains.

Chairman's Message

Reflections from the Chairman & Chief Executive

"As emerging avenues for growth began to take shape, we acted with a greater degree of boldness, moving decisively to strengthen our presence in new verticals as we lay the foundations for the continued evolution of our portfolio"

Strategy

Inclusive Business Models

The Group has always prioritised business models that support grassroot communities, thereby injecting economic value and driving empowerment.

Supplier Network

Inclusive Value Chains

Connecting rural communities to global supply chains, facilitating market linkages, building capacity and providing access to finance and resources.

20,862Suppliers
86%Small-scale
CSR Governance

Community Investment

All CSR initiatives are aligned to the Group Community Engagement policy but formulated and driven at Sector level. ESG Steering Committee has oversight.

Rs.444mnInvestment
668,859Beneficiaries
Procurement Policy

Sustainable Sourcing

Group-wide Procurement Policy sets clear guidelines on supplier management, sustainable procurement and spend management across all Group entities.

59%Local Payments
75%Screened

Social & Relationship Capital

Trusted Networks

Comprising relationships with supplier networks, customers, business partners and regulators, the Group's Social & Relationship capital is critical to the Group's ability to operate, grow and create value over the long term.

668,859
CSR Beneficiaries ▲ 50% target achieved
Rs.444M
CSR Investment ▲ Across 14 Sectors
20,862
Suppliers in Network ▲ 86% small-scale
Rs.57.4M
Supplier Development ▲ 5,512 suppliers

Supplier Network 2025/26

Sector Supplier / Value Chain Partner Number
Eco SolutionsFibre suppliers2,892
Hand ProtectionLatex suppliers4,893
PurificationCharcoal & coconut shell suppliers567
AgricultureOut-growers & smallholder farmers6,449
Construction MaterialsFabricators1,629
Consumer & RetailIndirect employment in branches>2,800
Energy, Mobility & ProjectsSub-contractors287
PlantationsEstate workers & suppliers>15,500
Group-wide CSR Policy ESG Steering Committee Oversight Quarterly Impact Monitoring

Stakeholder Engagement

01

Group-wide Procurement Policy — Guides all supplier interactions with ethical standards.

02

Inclusive supply chain model — Distributes economic value across communities.

03

Supplier development — Rs. 57.4mn invested in 2025/26.

01

Customer value proposition — Innovation and product stewardship.

02

785 new products — High-value-added segments.

03

95% complaints resolved — Robust after-sales service.

01

CSR governance — ESG Steering Committee oversight.

02

Community grievance — Confidential reporting channels.

03

Quarterly reporting — Impact monitored and reported.

Community Investment

CSR Programmes 2025/26

Purification & Hand Protection

Puritas Sath Diyawara

Leverages the Group's expertise in water purification to provide purified water to families in areas affected by chronic kidney disease (CKD).

21Projects
45,000Beneficiaries
Plantations

Home for Every Plantation Worker

Uplifting the living standards of employees and estate communities amounting to nearly 150,000 individuals.

>440,000Beneficiaries
Rs.112.5mnInvestment
Hand Protection

DPL Firstlight

Strategic supplier development programme ensuring a fair price for rubber latex for rubber smallholders.

4,893Total Farmers
Rs.3.51bnPayments
Purification

Haritha Angara

Encourages charcoal makers to engage in environmentally friendly charcoaling with technical support.

>500Suppliers
Rs.19mnInvestment
Skill Development

Vocational & Skill Development

Building human capital within communities through training academies and skill development initiatives.

6,014Out-growers
435Smallholder Farmers
Education

Sisu Divi Pahana

Providing nutritious midday meals to students across schools in underserved areas.

16Schools
>800Beneficiaries

Progress against Hayleys Lifecode

2030 Target: 50% increase in CSR beneficiaries

CSR Beneficiaries
668,859
Supplier Screening (target 40%)
75%

Key Achievements

  • ✓ 50% increase target achieved — 668,859 beneficiaries
  • ✓ 10 of 10 Sectors have grievance mechanisms
  • ✓ Rs. 57.4mn invested in supplier development
  • ✓ Rs. 444mn invested in community engagement

Way Forward

Community Impact

As the Group's portfolio evolves and its footprint grows, so too does its responsibility — and its opportunity — to create meaningful, lasting value for the communities it touches.

The Group's diverse and far-reaching supplier network is a defining feature of its operating model and enables the Group to inject significant value across communities, driving socio-economic empowerment.

Improve Supplier Screening

Targeting 40% of suppliers screened by 2030.

Enhance Customer Value

100% satisfaction survey coverage across all operations.

Grow CSR Impact

Sustain and grow CSR beneficiaries through sector-level programmes.

Digital Transformation

Data-driven monitoring of community impact.

Inclusive Supply Chains

Expansion into new regional markets and agricultural segments.

Strengthen ESG Reporting

Enhanced transparency through SLFRS S1 and S2 standards.