Gulf Cables and Electrical Industries demonstrates a maturing ESG profile in its third consecutive GRI-aligned sustainability report, with particular strength in occupational health and safety (ISO 45001 certified by TÜV Rheinland with strong metrics and a 30% incident reduction) and waste/circular economy management (ISO 14001 certified, 88% recycling rate, copper remelting and cable drum recovery). The company has established a credible GHG baseline across all three scopes with quantified net-zero (2035) and reduction targets, and documented energy efficiency programs delivering a 9.07% electricity reduction. Key weaknesses persist in governance and diversity: an all-male Board with only 25% independence, very low and declining female workforce representation (3%), no anti-corruption training delivery, and a disclosed CMA regulatory violation with a non-monetary sanction. Supply chain ESG screening is internally inconsistent and largely aspirational, and no external assurance exists over the ESG data. Overall the company shows solid disclosure discipline and operational environmental and safety performance, offset by governance, diversity and assurance gaps that constrain higher scoring.
Year-over-Year Analysis
vs 2024
Gulf Cables continued to strengthen its ESG disclosure and operational performance in 2025, building on its prior-year BBB rating. The Environmental pillar advanced through the first-time establishment of Scope 1 and selected Scope 3 emissions alongside a 9.07% Scope 2 reduction and continued ISO 14001-backed waste circularity. Social performance was anchored by a third-party certified safety system and a 15% increase in training hours, though gender diversity regressed slightly. Governance remained stable with mature reporting and committee structures, but persistent diversity gaps, a disclosed CMA violation and absence of external assurance limited further gains. The trajectory is one of steady, disclosure-led improvement with governance and diversity as the primary drag.
Environmental
The Environmental pillar strengthened as the company expanded its GHG inventory to all three scopes for the first time, delivered a 9.07% reduction in Scope 2 electricity emissions, and maintained robust ISO 14001-certified waste circularity with an 88% recycling rate; renewable energy remains 0% and external assurance is still absent.
Social
Social performance was solid and stable, led by an ISO 45001-certified safety system with a 30% incident reduction and a 15% rise in training hours to 23 per employee; however, female workforce representation declined from 23 to 21 employees (3%), keeping diversity a weak point despite improved Kuwaitization (5.11%).
Governance
Governance scores remained broadly stable YoY, with continued strong GRI-aligned reporting, four specialized board committees and an independent 2025 internal-controls assessment; persistent constraints include 25% board independence, zero female directors, no anti-corruption training delivery and a disclosed CMA non-monetary sanction.
Key Improvements
E1: Established first-time Scope 1 and selected Scope 3 inventory with quantified net-zero and reduction targets — 2025 was set as the baseline year for Scope 1 (752.93 tCO2e) and selected Scope 3 (5,681.90 tCO2e), with a 9.07% Scope 2 reduction and net-zero-by-2035 and 25%-reduction-by-2030 targets disclosed.
E2: Documented energy efficiency programs delivered measurable savings — The Q2 2025 LED upgrade cut lighting energy 25% (~1,655,000 kWh) and electricity consumption fell 9.07% versus 2024, supported by an ISO 50001-principles energy management system.
S4: Training hours increased 15% with full performance-review coverage — Average training rose from 20 to 23 hours per employee (16,553 total hours), and 100% of employees received a performance and career development review during the period.
S3: Kuwaitization improved and pay equity maintained at 1:1 across all levels — Kuwaitization rose to 5.11% from 4.78% (37 local employees, up from 34), with a 1:1 female-to-male basic salary ratio reported at every employment level.
Key Regressions
S3: Female workforce representation declined year on year — Female headcount fell from 23 in 2024 to 21 in 2025 (3% of workforce), with zero female Board members and no quantified diversity targets in place.
G2: Disclosed CMA regulatory violation and one non-monetary sanction — A CMA inspection report with associated regulatory violations was communicated to the Board, resulting in one non-monetary sanction, which prevents meeting the zero-violations threshold.
G1: ESG data remains without external assurance — The report explicitly states information and data have not been subjected to external assurance (Boursa/GCC G9: No), a continuing data-quality limitation.
Outlook
If Gulf Cables advances board and workforce diversity, delivers anti-corruption training, obtains external ESG assurance and operationalizes supplier ESG screening, it is well positioned to move beyond its current BBB profile. The strong safety and environmental foundations provide a credible platform for continued, disclosure-led improvement.
Strengths
ISO 45001-certified occupational health and safety system (TÜV Rheinland) with full metrics, zero fatalities, 100% workforce coverage and a demonstrated 30% reduction in recordable incidents.
Strong waste and circular economy performance: ISO 14001 certification, 88% recycling/diversion rate, zero hazardous waste, copper remelting and cable drum recovery programs.
Established three-scope GHG baseline using the GHG Protocol with quantified net-zero (2035) and reduction targets, supported by documented energy efficiency programs delivering a 9.07% electricity reduction.
Areas for Improvement
Board and workforce diversity: all-male Board (0% female), only 25% independence, and very low, declining female workforce representation (3%) with no diversity targets.
Anti-corruption training: no training delivered to governance body or employees despite 100% policy communication; address the disclosed CMA regulatory violation and pursue external ESG assurance.
Supply chain ESG integration: resolve the internal conflict between the claimed 60% environmental assessment and the GRI index stating no supplier screening is conducted, and operationalize the planned Supplier Code of Conduct.
Cables Contributes USD 2 Million to Kuwait Emergency Response Fund
Gulf Cables and Electrical Industries (Cables) contributed USD 2 million to the Kuwait Emergency Response Fund, launched on 5 July 2025 by the Kuwait Fund for Arab Economic Development to strengthen national preparedness.
USD 2 million Contribution amount
Kuwait Fund for Arab Economic Development
GG130 Jun 2026
Cables Publishes 2025 Sustainability Report Aligned with GRI Standards
Gulf Cables and Electrical Industries published its 2025 Sustainability Report titled "Embracing Sustainable Growth" on 30 June 2026 — its third such report and the first prepared in accordance with GRI Standards 2021. Disclosures are aligned with the Boursa Kuwait ESG Reporting Guide, GCC Capital Markets indicators, the UN SDGs, and Kuwait Vision 2035. The report covers prior-year (2025) performance across emissions, energy, recycling, safety, and community investment.
