Environment

Aim for Impacting Everything We Do

Operational and Product Impact

Optimizing our design and production processes plays a major role in reducing the environmental impact of Penguin products. In each of our business segments, we use design standards that enhance energy efficiency, lower total cost of ownership, and reduce emissions—all while ensuring best-in-class product performance. We also seek out new ways to reduce waste and reuse materials in order to create high-quality products with less impact on the environment.

Our commitment to sustainability remains strong as we continue to develop innovative solutions to complex technical challenges. We are on track to meet our goal of achieving net-zero scope 1 and 2 emissions by 2030 and actively working to reduce our water and energy consumption.

Commitment into Action

Penguin Solution’s technologies employ liquid immersion cooling, which requires less energy compared to traditional air-based cooling methods.
SMART Modular’s DDR5 memory module uses low-voltage technology, which requires less energy to operate.
Cree LED’s products contain high-performance LED lighting technology that uses up to 90% less energy and lasts longer compared to traditional lighting.

Climate Action

At Penguin, we believe that we have a responsibility to mitigate the effects of climate change by limiting our environmental impact. Our goal of net-zero emissions by 2030 has prompted a deliberate focus on improving energy efficiency, reducing energy consumption, shifting to renewable energy sources, and investing in carbon offsets for those emissions that we are unable to eliminate from our operations.

In 2023, we made enormous strides in reducing our scope 1 and 2 emissions. Our scope 1 emissions fell by 91% and our market-based scope 2 emissions declined 74%, for a total reduction of more than 76% compared to 2022. A combination of energy efficiency measures and increased use of renewable energy helped us achieve these solid gains. As of 2023, over 78% of Penguin’s energy consumption came from renewable sources.

Water Management

Water is an essential resource for our business, our industry, and the communities where we live and work. We continually seek out innovative water management solutions at all of our facilities, with special attention to locations with the highest levels of water consumption and those that face the greatest water scarcity risks. We detail our water risks, management, and use practices annually in CDP’s questionnaire.

Waste Management

Responsible waste management begins at the source of waste production. With guidance from our Quality, Environmental, Health, and Safety (QEHS) team, we have implemented a waste management program that aligns with our company values, ESG goals, and quality management priorities. We continue to see success in our waste management initiatives, which include regular data collection and reporting on hazardous, non-hazardous, and e-waste.