Please note: this blog was published in February 2020 and its content is based on what was correct at the time of writing. As a result, some of the facts and opinions may no longer be current or relevant.
You spoke and we listened. One of the most prominent pieces of feedback from our recent Ethical survey was your request for more information on the companies we invest in, specifically the positive impact they’re having on the environment and local communities, as well as the way they operate.
So, we’ve decided to tell you more about the companies we include in your Ethical Investment Plan.
In this edition, we’ll take a look at Cochlear Ltd, which is held in the Stewart Investors Asia Pacific Sustainability fund.
The finance stuff 📈
Company value: £7.2 billion
Share price: £124.50
2019 Profits: £148.4 million
What does Cochlear do? 🤷
Australia-based company Cochlear is one of the leading providers of hearing implants, from bone conduction implants for less serious hearing problems, to devices for profound hearing loss. The company is aptly named after the snail-shaped organ within the ear that transfers sound vibrations into signals processed by the brain.
Founded in 1981, Cochlear has provided more than 550,000 implantable devices to people of all ages in over 100 countries to help them lead full and active lives.
What positive impact is Cochlear having? 🌱
Not only is the company striving to help people hear and be heard, as their tagline suggests, but Cochlear also cares about many of the factors we consider important in both supporting and investing in sustainability. Gender diversity and the environment are key pillars within the company's operations and Cochlear is working hard to help promote inclusion and sustainability. For instance, the Cochlear Women in Leadership Steering Group was launched to help develop gender equality and diversity within the company.
Cochlear's environmental aims revolve around energy efficiency and reduction of greenhouse gas emissions. The company is also on a mission to improve its supply chain to reduce any negative impact on the environment. With roughly £85million spent annually on research and development, Cochlear is constantly innovating to help make our future greener.
What Cochlear has to say 📣
"This year, as well as developing a new ESG framework, we’re proud to publish Cochlear’s first ESG Report. This report outlines how we aim to improve the impact we have on our communities, environment, employees, and reflects our commitment to high standards of corporate governance. We launched our global diversity and inclusion strategy this year and aim to foster employee wellbeing by creating a safe and inclusive workplace for our employees to contribute and realise their potential. Environmental sustainability is an important focus of our ESG framework. We have tracked our environmental performance in Australia for the last three years and have seen a reduction in our greenhouse gas emissions.”
2018-19 ESG Report, Dig Howitt, CEO & President, Cochlear Limited
What Stewart Investor think… 🤓
“We believe an impressively long-term and innovative culture will allow Cochlear to continue to develop industry leading technology and protect their dominant market share; a position they have held for the last forty years. Ageing demographics in developed markets, and growing penetration in developed markets should provide many more years of demand for the hearing improvement provided by Cochlear's devices.”
Stewart Investors Q3 2019 Quarterly Client Update
To wrap up 🎁
Cochlear’s approach to integrating sustainability alongside delivering products to help people all over the world is something all companies should aspire to achieve. Sustainability is gaining more and more traction each year with companies looking to improve their ethical standards - needless to say, if they want to do their bit for the planet, they could certainly take a leaf out of Cochlear’s book.
