8Cicor’s Environmental Footprint

TCFD: Metrics and Targets

8.1 Climate Adaptation and Climate Change Mitigation

GRI 3-3: Management of Material Topics
GRI 302: Energy 2016
GRI 305: Emissions 2016
TCFD: Governance
TCFD: Strategy
TCFD: Risk Management

Climate adaptation and mitigation are key material topics in the Company’s sustainability strategy and reporting framework. The Company’s climate mitigation approach involves reducing the Company’s greenhouse gas (GHG) emissions to limit global warming. Emissions generated by one’s own operations can cause negative impacts on the environment. The Company aims to reduce its GHG emissions continuously to achieve a balanced carbon footprint. Cicor aims to establish full communication on sustainability-aligned targets during 2025. In 2024 the Company aimed to improve its data accuracy for group-wide emission drivers, strengthening its efforts towards a reduced carbon footprint. These efforts include:

• Transitioning to renewable energy sources across operations
• Improving energy efficiency through advanced technologies and process optimisations
• Setting Cicor sustainability targets to align with the Paris Agreement and achieving a reduced and balanced carbon footprint

These initiatives contribute to minimising the Company’s carbon footprint, enhancing resource efficiency, and fostering innovation in sustainable product design. Cicor has implemented several measures to combat global warming, such as replacing outdated equipment and maximising energy efficiency for the Company’s systems; these also constitute part of the Company’s business continuity considerations.

Cicor’s climate adaptation approach focuses on preparing the Company’s business to withstand the impacts of climate change. Conducting climate risk assessments to identify vulnerabilities in the Company’s operations, supply chain, and infrastructure is a part of the Company’s environmental journey. This includes actively implementing climate risks to the Company’s risk management portfolio and addressing short-, mid- and long-term strategies in 2025 to lower these risks.

By addressing climate adaptation and mitigation in tandem, Cicor acknowledges the double materiality of climate-related issues. These efforts not only reduce the Company’s environmental impact but also protect the Company organisation’s financial performance and future viability. Cicor’s goals are tracked and reported in alignment with frameworks ensuring transparency and accountability in its approach to climate action.

8.2 Energy Consumption

GRI 3-3: Management of material topics
GRI 302: Energy 2016
TCFD: Risk Management

Energy consumption has a significant environmental impact, particularly through its contribution to greenhouse gas emissions and climate change. Reducing energy use and transitioning to cleaner energy resources not only minimises the Company’s environmental footprint but also demonstrates the Cicor commitment to responsible resource management. By prioritising energy efficiency and renewable energy, Cicor aims to reduce its impact on the environment, address stakeholder concerns about sustainability, and contribute to a more stable and secure energy future. Effective energy management is essential for controlling operational costs and mitigating risks associated with energy price volatility and supply disruptions. Inefficient energy use can lead to higher expense and increased exposure to regulatory penalties as governments tighten emission and energy efficiency standards. Conversely, investments in energy efficiency and renewable energy sources can reduce costs, enhance operational resilience, and provide a competitive advantage in an increasingly carbon-conscious market.

The Company’s new reporting system for environmental data can share a wider range of data along environmental metrics. The Company’s total energy consumption in 2024 was lowered by 16% in comparison with net sales as of end of December 2024. It is therefore in line with the Company’s aim to reduce its energy consumption by 5% annually in relation to its net sales. Additionally, the renewable energy ratio along the company sites is shared with 28%, an increase of 9% compared to 2023. Cicor aims to have a group-wide renewable energy ratio of 50% by 2030. Of special mention is the Company site in Newport, sharing a ratio of 98% as renewables along Scope 1 and Scope 2. The site aims to be the first carbon-neutral site in its own operations among Cicor’s 2025 sites.

8.3 Advancing Emissions Reporting

GRI 3-3: Management of material topics
GRI 305: Emissions 2016
TCFD: Strategy

For the Company’s future environmental reporting, Cicor updated its internal reporting system, aiming to share more accurate data about its GHG emission scopes. Cicor aims to share specific reduction targets along these scope categories during 2025. For the first time Company vehicles have been added to scope 1 reporting. Further, scope 2 is shared as market and location-based emissions. Sharing the impact of the Power Purchase Agreements across the sites supports lowering Cicor’s emissions by 261.66 tCO₂eq. As part of the Company’s scope 3 emissions, Cicor included the categories purchased goods and services along the categorisation EMS and AS, referring to the Cicor company entity classification, whereby Cicorel SA in (Boudry, Switzerland), Reinhard Microtech AG (Wangs, Switzerland) and Reinhardt Microtech GmbH (Ulm, Germany) are defined as AS companies. Additionally, business travels emissions for the Cicor Management Team were calculated in a spend-based approach. The Company aims to improve these reporting structures during 2025. Cicor also plans to integrate its upstream and downstream transportation as part of the scope 3 calculations in 2025. The emission evaluation for waste was calculated based on location.

The absolute consumption and emission values increased significantly in 2024 compared to 2023, as Cicor was on the one hand significantly more productive, and on the other the environmental reporting was detailed and improved across the sites to enable more accurate reporting. The scope 1 and 2 carbon intensity of the Company’s operations are to 30 tCO₂e/CHF million. Even with the company’s growth with acquisitions the carbon intensity has been lowered from 31 tCO₂e/CHF million in 2023 to 30 tCO₂e/CHF million in 2024.

By aligning the reporting system the Cicor emission data has become more accurate and transparent. Additionally a change of the calculation methodology was made for the calculation of stationary combustion data in scope 1 to support the accuracy and transparency level of the Company’s emissions and fugitive emissions were added as part of the calculation. A restatement of previous data is not possible.

The Company plans to communicate its aligned Scope 1, Scope 2 and Scope 3 mid- and long-term targets in 2025 as part of its sustainability strategy and commitment. These targets will be added up to the commitment of the Company to reduce its energy consumption annually and increasing its renewable energy ratio.

8.4 Resource Inflows and Usage

GRI 3-3: Management of material topics
GRI 306: Waste 2020

With a focus on sustainable sourcing, Cicor sources only from certified suppliers, ensuring that the Company’s inflow of resources meets environmental and social governance criteria. The Company continually assesses its material footprint and works to minimise the Company’s impact through reduced consumption and supplier engagement.

Water is a critical resource for the Company’s operations. In 2024, Cicor recorded a total water consumption of 106 167 cubic meters. On average, the Cicor sites consume 5 587.7 cubic meters of water annually. In 2023, the average can be assessed as 5 162.13 cubic meters of water. The decrease of 3% can be explained by the updated reporting structure for 2024. The Company aims to reduce its overall water consumption annually across its sites.

As a company, Cicor is committed to the principles of the circular economy. In 2024, Cicor generated 1 157.35 tons of waste, of which 57% was recycled. The Company’s initiatives include a waste diversion program aimed at reducing landfill contributions. Cicor is also working to reduce single-use plastics across its operations and encourage suppliers to adopt similar practices.

The waste generation along the different waste types has been evaluated for 2024 for future comparison and actions to reduce waste consumption. On average, the Company’s sites produced 61 metric tons of waste. In 2023, the average was evaluated at 60 metric tons of waste. The slight increase in the waste contribution can be explained by the updated and more stringent reporting structure. Additionally, sites improved their waste management to be able to share more accurate data about their waste generation. Cicor aims to reduce its waste generating and also to improve its recycling methods annually.

Understanding the broader impact of the Company’s supply chain is essential for sustainable practices. The Company engages with suppliers to assess the sustainability of their resourcing inflows and ensure adherence to responsible sourcing standards. The Company recognises that its responsibility extends beyond its immediate operations and into the communities and ecosystems Cicor impacts. As Cicor looks to the future, the Company is committed to continual improvement in managing resourcing inflows and usage, reducing the Company’s environmental footprint, and contributing to a sustainable economy.