Environment: Protecting the climate and the environment

06.1

Blue Planet Commitment

GRI 3-3 Material topics
ESRS E1-2 §24 and §25 Climate change

Our Blue Planet Commitment (BPC) is our environmental sustainability strategy action plan. It is our programme to create long-term value for all stakeholders and contribute meaningfully to the future of our planet.

Guided by the findings of our double materiality assessment, the BPC programme is structured around four strategic pillars: decarbonisation, eco-design, transparency and energy efficiency. This commitment ensures that we proactively address the environmental impacts, risks and opportunities associated with our operations. It also guides many aspects of our operations and product development.

In support of the BPC, general and function-specific training programmes have been developed to foster a collaborative and inclusive effort, covering essential sustainability principles, carbon footprint awareness and workplace best practice. By the end of 2024 nearly 84% of our connected employees¹ had completed the general training.

We have also rolled out specialised modules tailored to specific functions, including engineering and sales teams, focusing on topics such as eco-design and compliance.

Our Blue Planet Commitment in a nutshell

06.1.1

Our 2024/25 action plan

ESRS E1-2 §24 and §25 Climate change

In line with the Hager Project 2030 strategy, our current focus aims to improve the short-term environmental attractiveness of our offer while continuing to prepare for the challenges posed by climate change and resource constraints.

We plan to:

• Improve the environmental profile of our solutions through accelerated product data transparency, enhanced eco-design, and clear communication of sustainability achievements.
• Strengthen organisational readiness for future regulations and standards by integrating circular economy principles and building a resilient climate transition plan.

In 2024 Hager made significant progress across all pillars of the Blue Planet Commitment.

We achieved a 20% reduction in our Scope 1 and 2 emissions realising substantial carbon savings through renewable energy and energy efficiency initiatives.

Our supply chain decarbonisation efforts are starting to pave the way for opportunities to lower emissions from purchased goods, and we strengthened responsible sourcing by integrating EcoVadis IQ plus into our sourcing risk management.

New eco-designed products and tools have been launched, helping to prevent plastic waste and further embedding sustainability into our product development, while our data and digitalisation advances have improved transparency with extended LCA coverage and supplier engagement.

We maintained compliance with evolving regulations and reinforced our internal sustainability network. These collective efforts were recognised with the EcoVadis Platinum rating, confirming our leadership in environmental performance.

Going forward the focus of our efforts is as follows:

• Building a strong sustainability/environmental IT backbone to ensure the availability, accuracy and accessibility of product data for regulatory reporting and customer transparency.
• Intensifying efforts to reduce Scope 3 emissions, refine emissions tracking, and explore opportunities to set up internal CO₂ – equivalent pricing mechanisms to drive low-carbon decisions across selected business activities.
• Advancing sustainable sourcing strategies, implementing systematised eco-design across all product lines, and optimising logistics for reduced environmental impact.
• Launching pilot projects for the circular economy and formalising new company rules for circular practices, thereby embedding circularity in all relevant business units.

06.2

Our Climate Transition Plan

ESRS E1 SBM-3 § 19 Climate change
ESRS E1 IRO-1 §20 & §21 Climate change

The Hager Climate Transition Plan provides a structured approach to managing climate-related risks and identifying opportunities for our business growth strategy. The plan focuses on the continuous monitoring of our GHG emissions across our operations, and emphasises the importance of understanding both physical and transition risks and the opportunities they present for our business.

The plan outlines pathways to reduce Scope 1 and 2 emissions through operational energy efficiency improvements, the rollout of a group-wide energy management system and clean energy, while also addressing Scope 3 emissions by acting on the design of our product portfolios and in collaboration with supply chain partners.

In addition to reducing our own footprint, Hager aims to support broader decarbonisation by offering solutions that contribute to avoided emissions. A transparent digital monitoring system supported by the Hager sustainability digital backbone and regular reporting ensure accountability and continuous improvement.

06.2.1

Climate physical risks²

ESRS 2 IRO-1 §20 and §21 Climate change
ESRS E1-9 §66 Climate change

Since 2023, in collaboration with FM Global³, we have conducted physical risk assessments of our operations, focusing on manufacturing and logistics sites. The assessments use a combination of engineering data from site visits and available scientific data on climate change.

The resulting analysis includes a breakdown of acute and chronic risks at the locations visited. Risks are evaluated according to three Representative Concentration Pathway (RCP) climate change scenarios, across the short (2030), intermediate, and long (2050) term.

RCP climate change scenarios describe the evolution of CO₂e concentration in the atmosphere in response to greenhouse gas (GHG) emissions and the radiative forcing induced thereby, which in turn affects global temperatures. For our assessment the three scenarios used were:

• RCP 2,6 (low) – radiative forcing is limited to 2,6 W/m²

  This scenario is considered the best case for limiting climate change impacts. It requires a major turnaround in climate policies and concerted worldwide action to reduce GHG emissions drastically.

• RCP 4,5 (intermediate) – radiative forcing is limited to 4,5 W/m²

  This scenario assumes a stabilisation of GHG emissions by 2050, declining afterwards.

• RCP 8,5 (high) – radiative forcing is assumed to increase up to 8,5 W/m²

  This scenario represents a possible worst-case scenario with a continued rise in GHG emissions.

We identified ten locations exposed to significant climate risk, representing 823,8M€ of property value, which is 28% of the total asset value of our business. Hazards include flooding, storm water, collapse risk, wind and freeze events. In response, site-specific climate resilience actions are now in place, including flood barriers, snow and freeze response plans, and emergency preparedness.

06.2.2

Climate transition risks and opportunities

ESRS 2 IRO-1 §20 and §21 Climate change

While physical risks highlight the direct consequences of climate change on Hager operations, transition risks stem from the evolving regulatory, technological and market landscape as the world shifts towards a low-carbon economy.

We conducted a prospective qualitative scenario analysis to identify the most relevant transition risks and opportunities across our core and transition business activities. We are currently developing the quantification of a selected set of these risks and opportunities.

The analysis is based on climate trajectories derived from the IPCC Sixth Assessment Report (AR6), covering global warming pathways, with a primary focus on scenarios consistent with the Paris Agreement objective of limiting global temperature rise to well below 2°C above pre-industrial levels, while pursuing efforts to limit the temperature increase to 1,5°C by 2100.

This integrated risk-opportunity analysis reinforces our long-term resilience and guides our ongoing transformation as part of our Blue Planet Commitment.

06.2.3

SBTi commitment

GRI 3-3 Material topics
ESRS E1-1 §14 and §16 Climate change
ESRS E1-4 §32, §33 and §34 Climate change
ESRS 2 §80 General disclosure

Decarbonisation is critical. Faced with an imminent and indisputable global climate emergency it is our responsibility to do everything we can to ensure our operations contribute to the vital goal of limiting global warming to a maximum of 1,5°C in line with the Paris Agreement.

Despite an alarming wave of recent data underscoring just how close we are to surpassing this widely cited threshold⁴ our commitment to climate mitigation remains unchanged. Accordingly, we are acting on multiple fronts to achieve our Science Based Targets initiative (SBTi) decarbonisation goals. Accordingly, we are acting on multiple fronts to achieve our Science Based Targets initiative (SBTi) decarbonisation goals. The SBTi confirmed that our Scope 1 and 2 targets are aligned with a 1,5°C pathway, and our Scope 3 targets with a well-below 2°C trajectory. In line with these commitments, we aim to reduce our Scope 1 and 2 GHG emissions by 50%, and our scope 3 GHG emissions by 25% – both by 2030, compared to our 2021 baseline. These targets were developed and submitted under SBTi criteria version 5.0, using the absolute contraction approach. Our GHG emissions are calculated in accordance with the GHG Protocol Corporate Standard, applying the operational control consolidation approach and including 100% of subsidiaries' emissions under operational control.

06.2.4

Our carbon footprint

06.2.4.1

Methodology

ESRS 2 BP-2 §10 General disclosures
ESRS 1-4 §34 Climate change
GRI 305-1, 305-2, 305-3 and 305-5 Emissions

Hager calculates and reports on our corporate carbon footprint following the GHG Protocol. The organisational boundary for our carbon footprint is set using the operational control approach⁵, encompassing all entities included in our consolidated financial statements.

The inventory covers Scope 1 (direct emissions from owned and controlled operations), Scope 2 (indirect emissions from purchased energy), and Scope 3 (all other indirect emissions from the value chain).

• For Scope 1 we include all direct fuel combustion and company vehicle emissions.
• For Scope 2 we calculate and disclose emissions using both the location-based and market-based methods, in accordance with the GHG Protocol, using average emission factors for the local electricity grid and residual mix emission factors. This dual reporting provides a more comprehensive view of our purchased energy emissions and enables stakeholders to better assess the impact of our renewable energy sourcing efforts and long-term energy investments.
• For Scope 3 we assess all significant categories⁶ including Purchased goods and services (3-1), Capital goods (3-2), Upstream energy (3-3), Upstream freight (3-4), Waste (3-5), Travel (3-6), Commuting (3-7), Downstream freight (3-10), Use of sold products (3-11), and End-of-life of sold products (3-12).

In calculating our emissions we consider all greenhouse gases covered by the Kyoto Protocol, including carbon dioxide (CO₂), methane (CH₄), nitrous oxide (N₂O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF₆), and nitrogen trifluoride (NF₃).

All reported emissions are presented in CO₂-equivalent terms, ensuring completeness and comparability in line with international standards.

Activity data is collected primarily from direct sources, such as energy meters, fuel invoices and business travel records, supported by our internal data management systems. Where primary data is unavailable (e.g., to determine the power consumption of some of our products over their lifetime or to recompute weight from purchased material) secondary data is used (such as industry averages or extrapolations), with the source and methodology documented for each instance.

Emissions are calculated by multiplying activity data by standardised emission factors, sourced from reputable databases including Ecoinvent⁷, ADEME⁸, EIME⁹, the IEA¹⁰ and the AIB¹¹. When available, supplier- or product-specific carbon footprint data is also incorporated to improve accuracy. The choice of emission factors is reviewed annually for scientific rigour and regional relevance.

The carbon footprint calculation undergoes a robust internal review process. Data is validated by our Sustainability team to ensure completeness and accuracy. Furthermore, our calculation methodology, emission factors and consolidated results are developed and reviewed with support from our external consultant Carbone 4¹².

This year we also engaged a third party to perform a limited assurance engagement on both our 2024 carbon footprint and our 2021 baseline year to strengthen the credibility and transparency of our climate reporting.

To maintain comparability and transparency, any changes to methodology, emission factors, or reporting boundaries from prior years are clearly identified and explained in our disclosures. Hager is committed to the ongoing enhancement of our data quality, the expansion of primary data sources and the continuous improvement of our carbon accounting processes. Furthermore, we are currently setting up systematic internal controls to support more reliable data collection, validation and reporting across all business units.

As part of this continuous improvement approach we have also identified certain gaps that we are actively addressing.

In the Use of sold products category (3-11) we continue to implement data quality controls and digital tools to make sure the carbon impact of our product references is properly modelled. A remediation plan is in place to gradually use better extrapolation scenarios and use primary data whenever possible.

In the Purchased goods and services category (3-1), while some procurement data might not be available and require extrapolation, we are continuously working to improve data quality and accuracy by strengthening our methodology through greater integration of supplier data and refinement of master data.

In the Downstream freight category (3-10) we plan to define delivery types and shipping conditions with more precision, and update the set of emission factors. Remediation plans will be implemented in our next reporting cycle, starting in the first quarter of 2026.

06.2.4.2

Our 2021 baseline

GRI 2-4 General disclosures
GRI 305-1 to 305-3 and 305-5 Emissions
ESRS E1-6 §47 Climate change
ESRS 2 BP-2 §14 General disclosures

We chose 2021 as our base year for monitoring and controlling the Hager decarbonisation progress as it was the first year we established robust data collection process and controls, enabling accuracy and completeness of emissions data across all relevant scopes. Since then we have made significant enhancements to the quality, granularity and availability of carbon-related data. These improvements have enabled us to reassess and refine the methodologies used in our carbon footprint calculations to better reflect the current level of accuracy and maturity of our approach to emissions management.

As part of this ongoing process to improve accuracy and consistency, during our latest review we found that certain previously applied methodologies were no longer adequate.

Consequently we revised our approach for 2024 and recalculated historical data to ensure methodological consistency and year-on-year comparability.

The most significant methodological changes focused on Scope 3 emissions, which now provide a more robust and realistic assessment of our value chain climate impact.

For Use of sold products (3-11) we have replaced previous simplified assumptions based on power loss and active phases with a new internal tool that calculates run-phase energy consumption more realistically, and upgraded our extrapolation model for greater accuracy. We have also improved the quality of the data used in our calculations by increasing the number of sources and undertaking more comparisons, resulting in a substantial increase of our reported emissions for this category. Moreover, to remain as close to real-world conditions as possible, we use emission factors and long-term electricity grid projections from the International Energy Agency (IEA). These projections, based on the Stated Policies Scenario¹³ (STEPS), enable us to account for expected changes in national electricity mixes over the entire lifetime of our products, based on the countries in which they are sold. We update these inputs annually to ensure alignment with the latest market trends and energy transition pathways.

For Direct purchases of goods and services (3-1) we refined procurement records and expanded our approach beyond relying solely on SAP data and generic emissions factors, by incorporating direct input from buyers and suppliers.

Other improvements include:

• A comprehensive integration of all business travel costs.
• Use of real battery capacity data in our Purchases, Use of sold products and End-of-life treatment categories.
• Update of emission factors, including the emission factor for our sold products’ end-of-life, resulting in a reduction of 220 ktCO₂e in this category (3-12).

Overall, these changes have increased transparency and data accuracy, reducing our Scope 3 emissions baseline by over 740 ktCO₂e compared to our initial SBTi baseline figures.

GHG emissions baseline

06.2.4.3

Emissions evolution overview

GRI 305-1 to 305-3 Emissions
ESRS E1-6 §44, §48, §49, §51 and §52 Climate change

By 2024 we achieved a 20% reduction in our Scope 1 and 2 location based GHG emissions compared to the 2021 baseline, confirming that we remain on track to meet our SBTi commitment. For Scope 3 emissions our latest assessment, based on a significantly improved and more robust calculation methodology, shows a 23% reduction compared to the baseline, whereas last year we reported a one percent increase.

We recognise that the change in our Scope 3 trajectory primarily reflects enhanced data quality, methodological updates, a decrease in production volumes and the global decarbonisation of the electricity grid, rather than the impact of new reduction measures.

To ensure we stay true to our efforts, commitment and transparency, we will continue to actively decarbonise our value chain and realign our targets with the SBTi, maintaining a focus on credible and measurable progress.

Our GHG emissions

06.2.5

Decarbonisation plan

ESRS E1-1 §14 & §16 Climate change
ESRS 2 §68 and §69 General disclosure
ESRS E1-3 §26, §28, §29 Climate change
GRI 305-5 Emissions

Hager has forecast GHG emissions across Scope 1, 2, and 3 by utilising harmonised, company-wide data sets. This integrated methodology ensures a consistent and accurate representation of our overall emissions profile.

Leveraging these forecasts, and through a detailed analysis of emissions sources, we have systematically identified the key decarbonisation levers required to meet our climate targets.

To guarantee consistency and transparency in our reporting, all company-specific emissions data are fully reconciled with group-level figures, thereby enabling robust and reliable tracking of our progress against corporate environmental objectives.

06.2.5.1

Scope 1 and 2 decarbonisation roadmap

To achieve our Scope 1 and 2 emissions reduction commitment of 50% by 2030 we have developed a detailed action plan focusing on three strategic pillars:

Based on the Scope 1 and 2 decarbonisation plan we have made significant investments in our manufacturing operations.

CO₂ emissions reduction over the years, 2021-2030, per main lever – in tCO₂e

06.2.5.2

Scope 3 decarbonisation roadmap and levers

In 2025 Hager will deliver a comprehensive Scope 3 decarbonisation roadmap. The roadmap will support our ambition to achieve a 25% reduction in Scope 3 emissions by 2030 compared to our 2021 baseline.

We have already initiated targeted actions aimed at CO₂e reduction, prioritising our two largest emissions sources: Purchased goods and services, and Use of sold products. Our actions and roadmap are based on the following strategic levers, identified to reduce upstream and downstream emissions across our value chain:

• Product optimisation through low-carbon design

  Reducing embedded emissions¹⁴ in our products through eco-design strategies focused on raw materials and components; this includes lowering component weight, integrating low-carbon materials such as recycled plastics, and partnering with suppliers to decarbonise their operations – particularly through renewable energy sourcing and enhanced emissions reporting. These measures apply to both new product development and the optimisation of existing product lines.

• Efficiency in the product use phase

  Recognising the significant emissions generated during the use phase of our products, we are improving energy efficiency through targeted design enhancements. These efforts aim to reduce energy consumption and power loss over the operational lifetime of our solutions, directly lowering the carbon footprint borne by customers.

• Grid decarbonisation scenario integration

  To reflect future decarbonisation of electricity systems we incorporate national grid emissions intensity forecasts into our product impact assessments. These forecasts are based on credible international and national energy transition scenarios, aligned with the International Energy Agency (IEA), ensuring that projected emissions from product use reflect evolving energy mixes across our markets.

• Low-carbon logistics and distribution

  Downstream transport emissions are being reduced through a structured transformation of our logistics operations. This includes shifting freight from air to sea, transitioning long-haul road transport to rail, improving load factors, minimising energy use across logistics activities, and increasingly deploying low-carbon transport solutions such as electric vehicles and alternative fuels.

• Management of business growth and activity scaling

  As Hager continues to grow, emissions associated with Scope 3 categories will evolve with changes in sales volumes, employee numbers, and global logistics flows. To maintain the integrity of our targets, emissions forecasts are adjusted for business growth, ensuring that both absolute and intensity-based reduction goals remain robust and credible.

• Sustainable commuting and business mobility

  In addition to the levers where action is already underway, we are exploring ways to reduce mobility-related emissions by encouraging low-carbon commuting options such as carpooling and public transport. Similarly, we are considering revisions to our corporate travel practices to reduce reliance on air travel and promote lower-emissions alternatives such as train journeys.

Among the key levers, the first one is directly linked to the Waste Electrical and Electronic Equipment (WEEE) we place on the market. In 2024, we sold approximately 380 million EEE products, with a total weight of nearly 100 kilotonnes. Although this represents a reduction in quantity and weight compared to previous years, it still constitutes a significant volume of WEEE introduced into the market. This underlines the importance of integrating low-carbon design principles and energy-efficiency improvements into our products.

Weight of EEE placed on the market (tonnes)

In line with the identified levers we are actively engaging with upstream partners to reduce embedded emissions in purchased goods and services. These efforts are already yielding reductions in value chain emissions, particularly through the use of recycled and renewable energy-based materials.

A notable success is our strategic partnership with Westlake Vinnolit¹⁵, a leading supplier of PVC (polyvinyl chloride). Through this collaboration we now source Green Vin, a low-carbon PVC manufactured using certified renewable electricity. This initiative has led to a 32% reduction in the carbon footprint per kilogramme of PVC, resulting in an overall decrease of 5.397 tCO₂e from our direct purchases. By maintaining product performance while significantly lowering emissions, this milestone reinforces our ambition to scale the use of sustainable raw materials across product categories.

06.2.6

Avoided emissions

Avoided emissions refers to the prevention of GHG emissions compared to a reference scenario. This comparison involves two situations: a baseline scenario, which estimates the GHG emissions that would occur if a project did not exist; and a project scenario, which reflects emissions with the project in place. A project is considered to avoid emissions if it results in a net decrease in CO₂e between the two scenarios.

At Hager we recognise that empowering our customers to improve their energy efficiency is integral to our sustainability strategy and long-term value creation. We are committed to providing innovative solutions, tailored expertise, and dedicated support to enable our customers to optimise their energy consumption, reduce costs and lower their environmental footprint.

By integrating energy-efficient technologies, data-driven insights and ongoing partnerships, we help our customers meet regulatory requirements and achieve their own climate and energy targets, thereby contributing collectively to the transition towards a low-carbon, resource-efficient economy.

Assessing the energy and GHG savings of our solutions is not native nor systematic at Hager. Nevertheless, preliminary estimates show that Hager products enable their end users to avoid emissions, especially through efficiency and low-carbon energy.

For example, motion detectors and manual switches help lower electricity use in buildings by controlling lighting based on presence or schedules, especially outside working hours. Programmable thermostats optimise heating and cooling, reducing energy consumption and associated emissions. Contactors shift electricity use to off-peak hours when carbon intensity is lower, further supporting emissions avoidance. Collectively these products offer measurable benefits, especially when implemented in existing buildings.

In addition to the solutions developed by Hager, two of our subsidiaries further extend our impact by offering complementary services that enhance energy efficiency and emissions avoidance. Through digital tools, real-time monitoring and expert guidance, they provide tailored support that enables clients to optimise their energy use at scale:

• Eficia makes impact through real-time energy efficiency management in buildings, with a focus on optimising heating, ventilation and air conditioning systems.
• advizeo complements these efforts by delivering digital energy management solutions supported by expert consultancy, typically enabling commercial clients to achieve energy savings of 10 to 20% across their building portfolios.

As we can see above, although advizeo and Eficia solutions result in higher absolute energy savings compared to Hager core products, the avoided emissions are greater for the latter. This is mainly because Hager core products are sold worldwide, including in countries with more carbon-intensive electricity grids. In contrast, advizeo and Eficia operate exclusively in markets where electricity has a much lower carbon intensity. Therefore, the amount of energy saved through Hager core products leads to higher avoided emissions on average.

Additionally, the avoided consumption calculated for advizeo includes not only electricity, but also other energy sources such as gas, fuel oil, heating and cooling networks, and so on, with electricity and gas representing the majority of the savings.

Going forward, we plan to multiply our impact by four until 2028. This means that our energy savings, currently estimated to be equivalent to the annual energy consumption of 350.000 households, will be the equivalent of 1.400.000 households by 2028.

06.2.7

Internal carbon price mechanism: a testing approach

We are currently testing and exploring internal carbon pricing mechanisms as a support tool to guide sustainable decision-making in two areas. In 2024/25 we have carried out two pilots:

• Evaluating renewable energy projects

  Internal carbon pricing helps to estimate the potential economic impact of future carbon taxes on energy prices. By integrating this factor into financial models we can better assess the long-term viability and competitiveness of renewable energy investments, ensuring they remain economically sound amid evolving carbon regulations.

• Shaping green product business plans

  Internal carbon pricing could also influence the development of alternative green products. By assigning a cost to carbon emissions, carbon discussions become part of the process of product development. This approach supports innovation and helps to align product strategies with environmental goals and market expectations.

Disclaimer: our internal carbon price testing project is used primarily to develop projections anticipating the effect of carbon tax regulations like the emissions trading systems¹⁷ on our business operations, including sourced materials, energy costs, buildings and transport.

06.3

Energy

GRI 3-3 Material topics

06.3.1

Methodology

GRI 302-1 Energy

Energy consumption data for Hager is consolidated in accordance with the requirements of the ISO 50001 energy management system. Data collection processes are standardised and implemented across all sites, with regular audits performed for sites with an annual energy consumption exceeding 5 GWh. This approach ensures the accuracy, reliability and completeness of reported energy data in line with regulatory expectations.

Consistent with our commitment to continuous improvement and transparency in sustainability reporting, we have enhanced the accuracy and coverage of our energy consumption data for the latest reporting year. Previously our disclosures focused primarily on the energy consumption of major operational sites, such as manufacturing facilities. In 2024 we have broadened the reporting scope to include more assets, including the full scope of our distribution centres, thereby reducing the need for extrapolation previously required when data was unavailable.

We have also refined our calculation methodologies. This includes the correction of unit mismatches in fuel calculations and updating the conversion factor for fuel consumption in company cars to better reflect the actual consumption rates of our fleet. We also differentiate our car fleet by engine type, enabling us to accurately account for energy consumption from electric vehicles and PHV (plug-in hybrid), as well as related capital goods.

06.3.2

Our energy mix

ESRS E1-5 §37, §39 and §40 Climate change
GRI 302-1 and 302-3 Energy

As part of our broader decarbonisation efforts we have continued to optimise our energy consumption and transition towards more sustainable energy sources. The tables here present a detailed breakdown of our total fuel and energy consumption over the past four years.

In 2024, our total energy consumption, including fuel consumption, amounted to 214,0 GWh, representing a significant decrease from 254,6 GWh in our 2021 base year – when we first implemented comprehensive energy data collection. Over the same period energy intensity improved from 113 GWh to 82 GWh per €1B revenue.

A major driver of this improvement has been the significant reduction in fuel-based energy consumption, which dropped from 130,4 GWh in 2021 to 83,3 GWh in 2024. In particular, natural gas use declined by more than 50% over the period.

In line with our decarbonisation strategy, while we significantly reduced our fuel consumption, we have steadily increased our use of electricity and renewable energy sources. Moreover, differences in our energy mix also play a significant role in our GHG emissions profile.

For example, our sites in France benefit from a lower emissions footprint due to the high share of nuclear power in the national grid, which is associated with lower GHG emissions. Therefore, alongside reducing total energy consumption, we are actively transitioning towards lower-emission energy sources, including renewables.

In this context, we increased our self-generated electricity from PV systems to nearly 3 GWh in 2024 (up from 1,25 GWh in 2021), with PV and biomass together covering around 3% of our overall demand in 2024.

06.4

Management of substances of concern and very high concern

In addition to reducing GHG emissions and improving energy management we have identified the responsible handling of hazardous substances – specifically, substances of concern (SoC) and substances of very high concern (SVHC) – as being critical for ensuring product safety, regulatory compliance and environmental protection.

We recently conducted a baseline quantification of SoC and SVHC across our product portfolio using product weight data, bill of materials (BOM) analysis, and supplier compliance information from our Assent platform. We calculated a total of approximately 48 tonnes of SoC/SVHC present in finished products manufactured during the reporting year.

Our quality control processes are designed to keep these substances within regulatory thresholds. However, emerging risks persist due to evolving legal requirements and the potential for such chemicals to contribute to environmental contamination, particularly affecting water quality.

In response to these risks we place utmost emphasis on regulatory compliance, meeting and anticipating the impact of all regulatory requirements, such as Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH), RoHS, Halogen, per- and polyfluoroalkyl substances (PFAS) and conflict minerals. We are also proactively collaborating with suppliers to mitigate the risks associated with hazardous substances, to improve transparency, minimise the use of high-risk substances, and promote safer alternatives where feasible.

This partnership approach supports continuous improvement in materials selection and process safety, while reinforcing our ability to respond to regulatory developments.

To reinforce this effort we collect data on the composition of all the components in our finished products, which then enables us to make informed decisions about our input materials. Our digital compliance platform Assent¹⁸ also supports us in managing supply chain data.

As a result we are able to map suppliers by material type, spend and compliance requirements, with particular focus on hazardous substances. Thus far we have collected data on chemicals, including SVHC, for 98,5% of Hager product components (for DQ90 – products representing 90% of our turnover sold in European Union), in compliance with REACH. We have also collected hazardous substances data for 93,7% of our DQ90 product components, in compliance with the latest version of RoHS.

By prioritising hazardous substances in our data strategy we aim to ensure compliance, as well as to enhance product safety, protect human health and reduce environmental impacts – particularly where emissions or discharges may affect water or soil. In support of this ambition we have launched targeted initiatives addressing specific substance groups and emissions-related risks. These include a PFAS management programme and an expanded focus on the presence of SoC and SVHC in emissions from our operations.

06.4.1

PFAS management programme

PFAS (per- and polyfluoroalkyl substances) are a group of persistent synthetic chemicals increasingly recognised for their potential environmental and health risks. In anticipation of stricter regulatory restrictions under REACH and other frameworks, Hager has initiated a structured PFAS management programme. This programme seeks to identify, monitor and progressively eliminate the use of PFAS in our product portfolio.

Our PFAS management programme covers the entire value chain, with a specific focus on both upstream supplier engagement and internal product stewardship. Through close supplier engagement and targeted data collection we are enhancing traceability and laying the groundwork for substitution strategies aligned with the precautionary principle.

Where PFAS have been identified we are actively collaborating with suppliers, research institutes and our engineering teams to research, validate and implement technically and economically viable alternatives. These partnerships enable us to evaluate alternative solutions, define feasible substitution pathways, and co-develop actionable roadmaps for the progressive elimination of PFAS from our products.

By embedding this programme into our Blue Planet Commitment we are anticipating evolving regulatory requirements and proactively reducing the environmental and health risks associated with PFAS. This approach ensures a rigorous and systematic transition away from PFAS, taking into account product performance, regulatory developments and supply chain realities – creating safer, more sustainable products for our customers, and a safer environment for our employees and the communities in which we operate.

06.4.2

Pollution to air, water and soil

As part of our broader commitment to pollution prevention under ESRS E2, Hager has launched a dedicated programme to manage the presence of pollutants, SoC and SVHC in emissions from our operations.

Started in 2024, this initiative focuses on identifying and mitigating potential emissions pathways that may lead to environmental contamination affecting air, water and soil quality. By standardising reporting practices across our sites, refining measurement methodologies and implementing preventive measures at selected sites, the programme supports our ambition to reduce the unintentional release of hazardous substances and reinforces our contribution to safer local ecosystems.

This comprehensive programme focuses on the following measures:

• Thorough assessment of our existing pollution management policies and practices across operational sites.
• Extensive mapping of our industrial processes to identify sources of pollution across our operations.
• Enhancing the accuracy and reliability of our pollutant measurements, enabling us to stay ahead of regulatory requirements and prepare for our obligations under the ESRS framework.
• Conducting a gap analysis to identify areas for improvement in our data management, techniques and policies.
• Development of a comprehensive roadmap for full ESRS E2 compliance, with an action plan that includes the allocation of resources, such as capital and operational expenditures, and the staffing required to meet regulatory expectations. We have prioritised initiatives that will enable us to report on our environmental performance in 2026 based on data from 2025.

In 2025 we began a pilot project to trial implementation of a transparency roadmap at three manufacturing locations: Arenzano, Obernai and Telford. These sites have been selected due to their unique production processes and importance for pollution monitoring.

The pilot project involves mapping operational processes and identifying the chemicals used or emitted at each location, assessing potential pollution sources, ensuring all relevant pollutants are adequately monitored, and standardising pollutant quantity data across the sites.

So far we have benchmarked key pollutants, such as VOCs, particulate matter and heavy metals against regulatory thresholds and industry norms, in line with ESRS E2-4 (Pollution to air, water and soil) and E2-5 (SoC and SVHC).

We are currently also developing environmental guidelines that standardise monitoring practices across all Hager sites. The guidelines will align with our broader environmental and sustainability policies, providing clear expectations for pollutant emissions monitoring.

06.5

Resource use and circularity

ESRS E5-5 §35, §36 and §40 Resource use and circularity
GRI 301 – Materials

We view the efficient use of resources and circularity as being fundamental for sustainability. These principles are a core pillar of our Blue Planet Commitment and E3 framework, and we are progressively embedding circular economy principles throughout our product portfolio and value chain.

The long-term environmental objective for Hager is to design products and materials in such a way as to maximise durability, repairability, reusability and recyclability, thereby reducing environmental impacts and promoting a sustainable value chain.

06.5.1

Circular economy principles in our inflows

GRI 301-1 and 301-2 Materials used

We are committed to progressively decoupling materials consumption from virgin resource extraction by increasing the share of secondary raw materials in our material inflows. In line with this ambition we have initiated actions to procure recycled materials for use in our products and packaging.

In 2024 the total mass of materials used to produce and package our primary products amounted to approximately 159 kilotonnes¹⁹, comprising metals, plastics, chemicals, PVC and packaging materials. During the same year, we integrated a total of approximately 1,5²⁰ kilotonnes of recycled materials into our operations. This includes:

• 1 kilotonne of recycled metals, representing 2,4% of total metals used.
• 0,5 kilotonne of recycled plastics, accounting for 0,7% of total plastics used.

While the current proportion of secondary raw materials remains limited, these efforts represent an important starting point. They are helping us build the internal capabilities, data systems and supplier partnerships needed to scale circular sourcing practices across the organisation.

We are now identifying further opportunities to substitute virgin inputs with recycled alternatives and support circularity across the value chain.

Total material inflows

06.5.2

Circular economy principles in our products²¹

Hager is progressively integrating circular economy principles across our product portfolio whenever possible, with a focus on extending product lifespans, improving repairability and enhancing end-of-life materials recovery. While these principles are not yet systematically applied across all product groups, we are taking targeted action on efficient resource use and circularity.

One such initiative is the Blue Loop project, which contributes to prolonging the lifecycle of Witty EV charging stations. The project enables on-site repairs, the use of refurbished components, and enhanced customer support. These efforts help to reduce waste and support the broader transition towards more sustainable e-mobility solutions.

Durability is a core characteristic of our products, with most key product groups – such as metering boards, distribution boards and switching devices – being designed for up to 30 years of use, which is comparable with industry norms. EV charging stations and energy management solutions are designed for up to 15 years of use, while building automation and door communication systems are designed for up to ten years of use.

Recyclability is an increasingly important focus within our resource strategy. Core product groups, such as metering boards, distribution boards, cable management and wiring accessories currently contain up to 95% recyclable content by mass, with most materials being mechanically recoverable.

Products such as EV charging stations and door communication systems also achieve high recyclability rates (up to 60% and 80% respectively). However, recyclability is lower for certain technically complex or miniaturised products, where the integration of materials limits recovery. Notably, all of our product packaging is 100% recyclable.

Another important initiative is the Eco Skirting Trunking pilot project, launched as part of our Tehalit SL product line. By integrating 30% recycled PVC into the skirting trunking system we have significantly reduced our reliance on virgin materials, while maintaining high standards of durability, functionality and aesthetics. Initially piloted in Heltersberg, the project is now being expanded to our production site in Arenzano, reflecting its technical feasibility and sustainability impact.

06.5.3

Advancing circularity across the value chain

We are advancing our commitment to a circular economy by developing a comprehensive circularity strategy, supported by external expertise.

The plan focuses on two pillars: defining where to embed circular economy principles within our product portfolio and business model and how to operationalise and scale these principles.

The strategy prioritises profitability, access to critical raw materials and sustainability impact. It includes product diagnostics, regulatory context analysis and value chain partnerships across key markets (Germany, France, Switzerland, Netherlands, UK).

06.6

Biodiversity and water

Safeguarding biodiversity is vital for sustaining life as we know it. The health of our ecosystems directly supports our own well-being, which is why it is imperative for Hager to evaluate our impact on biodiversity.

In 2024 we continued to work proactively to contribute to the resilience of ecosystems, enhancing our performance in every area, so as to help sustain an environment that thrives.

06.6.1

Our biodiversity footprint

GRI 304-1, 304-2 and 304-4 Biodiversity

In 2023 Hager built on the milestone that was our first organisational Biodiversity Footprint Assessment (BFA). We used the Global Biodiversity Score (GBS) methodology, designed to measure the impact of our activities on biodiversity by considering the main drivers of biodiversity loss, including land and sea use, direct exploitation, climate change, pollution and invasive species.

It distinguishes between two types of impacts: the dynamic footprint, which captures changes, consumption, or restoration activities during the year assessed, and the static footprint, which refers to persistent or long-term effects.

These impacts are quantified using the Mean Species Abundance (MSA/km²) metric, where 1 MSA/km² represents the destruction of one square kilometre of pristine natural ecosystem. This approach enables a comprehensive evaluation of both immediate and lasting effects on biodiversity.

The Biodiversity Footprint Assessment study revealed that:

• Nearly 90% of our biodiversity footprint comes from Scope 3 impacts (similar to our carbon footprint).
• Our biodiversity impact is in line with industry averages but still lower than that of our main competitors.
• Our impacts are primarily linked to pressures arising from climate change; thus, our climate strategy plays a central role in managing our biodiversity footprint.
• Only two of our facilities (Arenzano and Bliestkastel) are located within Key Biodiversity Areas (KBA). In these regions the level of pressure on biodiversity can lead to significant impacts. To mitigate any potential negative effects in these areas Hager is committed to taking all necessary measures to minimise risk.

We have also used the Integrated Biodiversity Assessment tool²² (IBAT) to identify protected environments and KBAs²³, and count critically endangered, endangered and vulnerable IUCN²⁴ red list species found within a 50km radius of our operational sites.

This process revealed that seven Hager sites are in proximity to protected areas. Also, many of our sites are close to habitats which host a total of 230 critically endangered, 604 endangered and 1.395 vulnerable species.

These important insights can now be factored into decision-making around site development, and will help to guide opportunities for positive biodiversity measures and enhancement. Looking ahead, we aim to conduct biodiversity assessments every three years and act upon these if necessary.

06.6.2

Water management

GRI 303-3 Water withdrawal

Of all the natural resources the earth provides, water is the most critical. The free availability of fresh, clean water is essential for life itself, so at Hager we take our water usage very seriously. Measures to prevent storage tank leakage and improve rainwater harvesting have been ongoing in 2024 and 2025.

In addition, a new initiative has been launched at our Obernai site to promote water circularity within the relay production section. This project enables the recycling and reuse of process water, resulting in an expected annual reduction of 1.920m³ in freshwater consumption.

The result of these initiatives has been a significant reduction in overall water consumption, from 292,3 ML in 2021 to 257,6 ML in 2024. This corresponds to a decrease of 24% in our water consumption intensity, with water use per unit of gross turnover falling from 130 m³/€ million in 2021 to 99 m³/€ million in 2024.

We have also conducted a water scarcity assessment, which revealed that two Hager manufacturing sites are situated in areas categorised as high or extremely high water stress basins. We are committed to reducing our water footprint in these areas, and actively implementing water efficiency initiatives.

Total water withdrawal (ML)

06.7

Waste management

GRI 306-3 to 306-4 Waste
ESRS E5-5 §38 Resource use and circularity

Waste reduction is essential for the mitigation of biosphere impacts. Improvements in our data collection methodology mean that Hager now has a clearer picture of the waste we generate, and its disposal. We now understand the total weight of waste generated in metric tonnes, and can break down this total by composition.

In 2024 we generated a total of 16 kt waste, including WEEE and hazardous waste (special industrial waste). 97% of the total waste generated was non-hazardous, with metal waste representing the largest share.

Compared to the baseline year 2021, the overall quantity of waste has decreased, with the most significant reduction observed in metal waste, which declined by around 35%. Similarly, the quantity of hazardous waste fell by approximately 38% compared to 2021, reflecting our continued efforts to reduce environmental impact and improve waste management practices.

In 2024 Hager managed a diverse range of waste streams with a focus on recycling and responsible disposal.

Of the total amounts of non-hazardous materials generated, 7,275 tonnes of metals, 527 tonnes of copper and 1,090 tonnes of cardboard were recycled. Only small residual quantities of these materials were incinerated or sent to landfill. Plastic waste showed a more varied distribution, with 1.648 tonnes recycled, 784 tonnes incinerated and 219 tonnes remaining at end-of-life, indicating a more complex recovery profile.

Other streams like wood and industrial waste were split between recycling and incineration, while categories such as mixed electronics, batteries and bio-waste were handled with no recorded end-of-life waste.

Hazardous waste, including 274 tonnes of special industrial waste, was primarily recycled, though 102 tonnes were incinerated. These figures, as shown in the table below, reflect current waste management practices and highlight areas for potential optimisation, particularly in plastic and mixed waste recovery.

Waste generated (tonnes)

2024 waste management