Climate Change Data

Environmental Metrics

Environmental Achievements

• ISO 14000 accreditation for HR-UV printing at Albe de Coker
• Reduced powder usage by 5% with HR-UV at Albe de Coker
• Use of alcohol-free dampening systems and recycled materials at FP Pack
• Chemical-free plates at FP Pack
• Austrian Ecolabel and EU Ecolabel at Friedrich VDV
• FSC, SFI, and PEFC certifications at Meredith-Webb

Social Achievements

• Brasilgrafica's focus on employee pride and responsibility
• FP Pack's focus on employee potential
• Friedrich VDV's commitment to employee well-being and sustainability

Climate Goals & Targets

Environmental Challenges

• Shrinking global market for conventional sheetfed and web offset presses
• Fragile economic environment in some parts of the world
• Continuing structural change in the print industry

Mitigation Strategies

• Realignment of KBA Group business activities
• Comprehensive restructuring program
• Creation of largely autonomous divisions
• Focus on digital printing and packaging market

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• Cadrat d’Or

Environmental Metrics

ESG Focus Areas

• Sustainability
• Digitalization
• Modularity

Environmental Achievements

• Aiming to reduce carbon emissions of production plants by 75% by 2025 and be completely carbon-neutral from 2030 onwards.

Social Achievements

• No redundancies for operational reasons at German sites in 2021 and 2022 due to progress in achieving personnel targets under P24x.
• Continued apprenticeship program despite difficult global economy.

Governance Achievements

• New Management Board remuneration system approved by shareholders.
• New Supervisory Board remuneration system approved by shareholders.

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic
• Supply chain constraints
• Increased cost of material and energy
• War in Ukraine and sanctions on Russia and Belarus

Mitigation Strategies

• P24x efficiency program
• Reduction of net working capital
• Obtained a KfW loan
• Moderate price adjustment for product range
• Remote maintenance technology
• Constructive collaboration with employee representatives

Supply Chain Management

Responsible Procurement

• Ongoing intensive market monitoring
• Securing parts by accumulating inventories
• Back-up solutions for single-source suppliers
• Manufacturing strategic components internally
• Long-term supplier relationships
• Group-wide category management
• Bundling purchasing volumes
• Long-term supply contracts

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Third-party Assurance: PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft

Sustainable Products & Innovation

• VariJET 106 digital press
• RotaJET digital printing press
• CorruCUT presses
• Rapida 145 and 164 large-format sheetfed offset presses
• MetalStar 4 sheet metal printing presses
• alphaJET 5X inkjet printer

Environmental Metrics

ESG Focus Areas

• Climate protection
• Carbon-neutral production
• Renewable energy
• Circular economy
• Social responsibility
• Diversity
• Anti-discrimination

Environmental Achievements

• Commissioned a photovoltaic system producing around 200,000 kWh of electricity per year for the Würzburg plant.
• Implemented a new water heating system with solar thermal modules at the Koenig & Bauer vocational school in Würzburg.
• Replaced around 8% of gas consumption at headquarters using waste heat from a new melting furnace.
• Developed an energy management system for the printing and packaging industry to help customers save energy and reduce costs.

Social Achievements

• Training of refugees, including those from Ukraine.
• Integration of employees from different countries and cultures.
• Established the Green Dot Award to honor visionary leaders in sustainable printing (first winner: Andres Kull, CEO of Kroonpress).

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• High order backlogs.
• Challenges with skilled labor.
• High energy prices.
• Supply chain constraints.
• Higher material costs (partially offset by price increases).

Mitigation Strategies

• Variable approach to energy supplies and independence from pipeline gas.
• Implementation of the P24x efficiency improvement program.
• Successful negotiations with suppliers and optimized use of cash discounts.
• Minor use of short-time working at three locations.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Close market monitoring and extensive supply chain management.
• Securing parts availability through increased inventories.
• Back-up solutions for single-source suppliers.
• Manufacturing strategic components internally.
• Long-term supplier relationships.
• Group-wide category management and long-term supply contracts.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Stricter climate policies

Opportunities

• Development potential of special applications, such as packaging and industrial printing.
• Growing importance of digital printing in the packaging sector.
• Transformations in digital products, processes, and services.

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: Null

Third-party Assurance: PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• VisuEnergy X energy management system
• CorruCUT High Board Line rotary die cutter
• SPC 130 FlexLine ECO+ (Koenig & Bauer Durst)
• High-speed inkjet printing unit (Koenig & Bauer Kammann)
• Mobile hot stamping station K29 S (Koenig & Bauer Kammann)

Awards & Recognition

• Steinbeis Foundation transfer award (2019 for Kyana project)

Environmental Metrics

ESG Focus Areas

• Sustainability

Environmental Achievements

• Reduced energy consumption in sheetfed offset printing presses by up to 35% with VariDryBlue + technology
• Reduced consumption of printing substrates and consumables by up to 30% with QualiTronic inline measurement and inspection systems
• Reduced gas costs in metal printing presses by up to 70% with HighEcon dryer technology
• Reduced ink consumption in engraved steel printing presses by up to 25% using a special ink application method

Social Achievements

• Increased apprenticeship ratio to 5.9% (previous year: 4.6%)
• Offers permanent employment contracts to all young people who successfully complete apprenticeships

Governance Achievements

• Shareholders voted for all resolutions proposed by the Management Board and Supervisory Board

Climate Goals & Targets

Environmental Challenges

• Persistently difficult market environment with high investment restraint
• Muted order intake in the third quarter of 2023
• Temporary weakness in the market for corrugated board
• Fluctuations in order intake due to government and big-ticket printing press business

Mitigation Strategies

• Spotlight focus program to improve costs at the Holding company and in the Digital & Webfed and Special segments
• Measures to boost revenue in profitable areas and restructure unprofitable areas
• Optimization and earnings-enhancement project “D&W 2.0”
• Excellence project “BNSx”

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• VisuEnergy X energy management system
• VariDryBlue + technology
• QualiTronic inline measurement and inspection systems
• HighEcon dryer technology

Awards & Recognition

• Green Dot Award