Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Employee Development
• Supplier Relations
• Environmental Responsibility

Environmental Achievements

• Nearly half of the electricity used in the Group comes from renewable sources.

Social Achievements

• Introduction of structured employee surveys and performance appraisals.
• Addtech Business School trains about a hundred employees annually.

Governance Achievements

• Established a CSR Council.
• Created a Code of Conduct based on the UN’s Global Compact, ILO’s Core Conventions, and the OECD Guidelines for Multinational Enterprises.
• Published a sustainability report since 2011.

Climate Goals & Targets

Environmental Challenges

• Potential for improvement in age and gender distribution, diversity and career advancement among employees.
• Supply chain sustainability concerns.

Mitigation Strategies

• Introduced a structured dialogue and analysis process with the Group’s 30 largest suppliers and those in risk areas.
• Addtech Business School and various internal Group cooperation projects to increase internal knowledge transfer and employee growth.

Supply Chain Management

Supplier Audits: 30 largest suppliers and those in risk areas

Responsible Procurement

• Addtech’s Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Application Level C

Certifications: ISO 14001 (49 companies)

Environmental Metrics

ESG Focus Areas

• Economic value added
• Social value added
• Environmental value added

Environmental Achievements

• Reduced CO2 emissions in relation to net sales by almost 5% since 2014/2015
• Decreased energy consumption to 19.1 GWH (19.5 GWH previous year), a 27% decrease compared with 2014/2015
• Increased the use of renewable energy in the Group; more than half of the electricity used comes from renewable sources

Social Achievements

• Consistently achieved good results in employee surveys, indicating very satisfied employees
• Overall employee turnover was 13% (14% previous year)
• 62% (61% previous year) of employees participated in formal development reviews

Governance Achievements

• Further developed the Code of Conduct, clarifying guidelines for operations, employees, and suppliers
• Produced a separate Code of Conduct for Suppliers
• No cases of corruption were found

Climate Goals & Targets

Environmental Challenges

• Indirect environmental impact largely takes place at suppliers
• Uneven distribution in salaries of men and women (although data may be misleading due to lack of consideration for age, work period, experience, training, or productivity)
• Maintaining high ethical standards throughout the value chain

Mitigation Strategies

• Supplier evaluations to ensure ethical and sustainable practices
• Development of a Code of Conduct for Suppliers
• Ongoing work on energy analysis and updating in accordance with ISO 14001:2015

Supply Chain Management

Supplier Audits: Supplier evaluations conducted annually, with minimum requirements established for assessment within three years.

Responsible Procurement

• Code of Conduct for Suppliers

Climate-Related Risks & Opportunities

Opportunities

• Offering sustainable products and solutions that help customers reduce their environmental impact

Reporting Standards

Frameworks Used: GRI Standards: Core option

Environmental Metrics

ESG Focus Areas

• Climate change
• Gender equality
• Sustainable supply chain
• Sustainable business development

Environmental Achievements

• Reduced carbon dioxide intensity (target: 50% reduction by 2030, 30% achieved in 2024)
• Increased proportion of energy consumption from renewable sources to 72%

Social Achievements

• Increased proportion of women in leading positions to 20%
• 480 employees received further training through the Addtech Academy

Governance Achievements

• Compliance with the Swedish Code of Corporate Governance (with one deviation regarding quarterly auditor review)
• Annual assessment of the work of the Board of Directors

Climate Goals & Targets

Environmental Challenges

• Market challenges in building and installation, data and telecom, and electronics sectors
• Low willingness to invest in sawmill industry projects
• Economic situation, geopolitical conflicts, structural changes, and competition

Mitigation Strategies

• Focus on increasing added value, strengthening product mix, and profitable acquisitions
• Active risk management on strategic and operational levels
• Continuous development of businesses less dependent on specific markets
• Alignment of expenses with specific conditions

Supply Chain Management

Supplier Audits: 52% of purchase volume self-assessed based on Code of Conduct in 2024

Responsible Procurement

• Addtech’s Code of Conduct for suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Increased operating and capital costs due to more frequent damage to operations by extreme weather events

Transition Risks

• Higher taxes on carbon dioxide-intensive materials, products and services
• Disruptive changes in the market
• Higher prices for raw materials

Opportunities

• Growth in markets driving sustainable transition (renewable energy, electrification)

Reporting Standards

Frameworks Used: CSRD

Certifications: ISO 14001 (mentioned in relation to Finnchain)

Third-party Assurance: Deloitte AB

UN Sustainable Development Goals

• SDG 3
• SDG 7
• SDG 8
• SDG 9
• SDG 11
• SDG 12
• SDG 14

Addtech's companies offer technical solutions that contribute to various societal gains, including more energy-efficient transports and processes, production of renewable energy, cleaner emissions and safer workplaces.

Sustainable Products & Innovation

• Energy-efficient electrical solutions
• Electric motor solutions
• Waste management systems
• Water purification solutions
• Solar panel cover systems