Lindab International

The role of the administrative, management and supervisory bodies

Composition of the Board of Directors

The Annual General Meeting of May 14, 2024 resolved that the Board of Directors should comprise seven members with no deputies. The CEO attends Board meetings in a reporting capacity. Parts of the Executive Management participate in Board meetings.

Board members elected by the Annual General Meeting (as of May 14, 2024):

Employee representatives:

• Pontus Andersson (Born: 1966, Elected: 1995, Unionen)
• Ulf Jönsson (Born: 1966, Elected: 2022, IF Metall)

Of the Board members elected by the Annual General Meeting, three are women and four are men (42.9% and 57.1%, respectively).

Board Committees with sustainability oversight

Audit Committee:

• Members: Viveka Ekberg (Chairwoman), Anette Frumerie, Marcus Hedblom
• Met 7 times in 2024
• Responsibilities include deepening and streamlining the Board's supervisory responsibility with regard to internal control, auditing, internal auditing, risk management, accounting and financial reporting
• The committee continuously submits oral and written reports to the Board of Directors
• Maintains ongoing dialogue imposing sustainability reporting requirements
• Reviews internal control and sustainability reporting

Remuneration Committee:

• Members: Peter Nilsson (Chairman), Per Bertland
• Met 6 times in 2024
• Monitors and assesses remuneration structures and levels for the CEO and Executive Management

Board remuneration

Total remuneration paid to Board members in 2024 amounted to SEK 5,232k (4,944k in 2023).

Breakdown of remuneration (SEK k):

Fees to Board members include:

• SEK 1,400k to the Chairman of the Board
• SEK 550k to each elected Board member
• SEK 26k to each employee representative
• SEK 225k to Chairman of Audit Committee
• SEK 110k to each ordinary member of Audit Committee
• SEK 150k to Chairman of Remuneration Committee
• SEK 60k to each ordinary member of Remuneration Committee

Responsibilities of the Chairman of the Board

The Chairman of the Board:

• Leads the work of the Board
• Monitors operations in dialogue with the CEO
• Is responsible for ensuring that other Board members receive the information and documentation required for quality discussions and decision-making
• Represents the company in matters of ownership

Responsibilities of the Board of Directors

The Board of Directors must:

• Ensure that the organisation and management of the Group, and the guidelines for the administration of its affairs, are appropriate
• Ensure that internal control is satisfactory
• Adopt strategies, targets and instruments of internal control
• Decide on particularly important matters
• Issue financial reports
• Assess operational management
• Ensure succession planning is in place
• Supervise the work of the CEO by monitoring operations on an ongoing basis
• Ensure quality of internal financial reporting through instructions to the CEO and instructions on financial reporting
• Has overall responsibility for the company's sustainability work
• Is involved in decisions on sustainability strategies, policies and targets together with the Executive Management
• Has overall responsibility for sustainability risk assessments

Work of the Board of Directors

The work of the Board of Directors is regulated by rules of procedure adopted annually. The Board of Directors held 14 meetings in 2024.

Main topics at Board meetings in 2024:

• January: Acquisitions
• February: Year-end Report, dividend, Auditors' Report, acquisitions, financing and credit facilities
• March: Annual Report, Corporate Governance Report, Sustainability Report
• May: Interim Report, acquisitions, presentation of Region North Europe, constitutive meeting, refinancing
• June: Forecast, capital allocation, sustainability (Science Based Targets), acquisitions, IS/IT update
• July: Interim Report, acquisitions, internal audit and internal control
• September: Strategy and business plan, sustainability, acquisitions, health and safety
• October: Sustainability, IT strategy, Interim Report, acquisitions
• December: Strategic evaluation, budget, long-term targets, dividend policy, sustainability, risk management

Financial performance was reported and followed up at each ordinary meeting. The Board held one meeting with the Auditor without company management in attendance. Members of the Executive Management attended all Board meetings.

Sustainability expertise and training

Lindab has a Corporate Governance Committee whose main task is to ensure good corporate governance within the Group, covering three main areas: sustainability, internal control and compliance.

The Board receives regular updates on sustainability matters:

• Sustainability topics addressed at multiple Board meetings throughout 2024 (June, September, October, December)
• Science Based Targets initiative discussed
• Sustainability reporting requirements reviewed
• Climate and environmental policy governance

Specific roles assigned

Executive Management (as of December 31, 2024):

Gender distribution in Executive Management: 7 men, 1 woman

Sustainability governance:

• Board of Directors has overall responsibility for sustainability work
• Sustainability plan affects strategy implementation in every area
• Executive Management involved in sustainability decisions on strategies, policies and targets
• Sustainability risks integrated into risk assessment process
• Follow-ups take place twice a year at company level
• Some targets monitored monthly (e.g., LTIF - Lost Time Injury Frequency)

Sustainability-related remuneration

For 2024, the near-term incentive program includes two sustainability targets corresponding to 10 percent of variable remuneration.

Independence and effectiveness

Independence assessment:

• All seven Board members elected by the Annual General Meeting are assessed as independent in relation to the company, company management and major shareholders
• The Nomination Committee has made the assessment that the Board meets the applicable independence requirements set out in the Swedish Corporate Governance Code

Board evaluation:

• The work of the Board of Directors and the CEO was assessed during the financial year
• The Nomination Committee noted that the Board and the work of the Board are functioning well
• This assessment showed the work of the CEO and the Board of Directors to be effective

Diversity policy:

• The Board has adopted an equal treatment policy ensuring no discrimination on the basis of gender, religion, ethnicity or other similar grounds
• The Nomination Committee's policy is to achieve diversity and gender balance in the Board
• Rule 4.1 of the Swedish Corporate Governance Code applied as diversity policy
• The Nomination Committee believes that the composition of the Board has been appropriate in view of the company's business, stage of development and other circumstances
• The Board has met requirements of diversity and breadth in terms of skills, experience and background

Corporate Governance structure

Lindab's corporate governance is based on:

• Articles of Association
• Companies Act
• Annual Accounts Act
• Nasdaq Stockholm regulations
• Swedish Corporate Governance Code
• Other applicable laws and regulations in Sweden

Internal governance documents include:

• Board of Directors' rules of procedure
• Instructions for committees and CEO
• Code of Conduct
• Multiple policies (Anti-Corruption, Antitrust, Climate and Environmental, Equal Opportunity, Occupational Health and Safety, etc.)

Frequency of sustainability discussions

Based on the documented Board meeting topics:

• Sustainability explicitly addressed at least 4 Board meetings in 2024 (June, September, October, December)
• Sustainability Report reviewed in March
• Climate targets (Science Based Targets) discussed in June
• Sustainability integrated into strategy discussions (September)
• Risk management including sustainability risks (December)
• Audit Committee maintains ongoing dialogue on sustainability reporting requirements throughout the year

Integration of sustainability-related performance in incentive schemes

Remuneration policy approach

Lindab's Remuneration Policy is based on the Group's vision and values and market practice, and complies with applicable laws. Remuneration is linked to financial, sustainable and qualitative targets for Lindab. The Remuneration Committee is responsible for deciding on and designing the incentive program.

Roles covered

The sustainability targets apply to:

• Executive Management and Group functions (for Scope 1 and 2 GHG emissions target)
• All employees who are part of the near-term incentive program (for LTIF target)

Short-term incentive (STI) scheme

Sustainability KPIs and weighting

For 2024, the short-term incentive program included two sustainability targets corresponding to 10 percent of variable remuneration:

1. Greenhouse gas emissions in Scope 1 and Scope 2

• Target structure: No compensation is paid for a 0 percent reduction, and full compensation is paid for an absolute reduction of 8 percent in 2024 compared with 2023. Between these levels, compensation is paid on a straight-line basis, which means that a progressively larger reduction leads to proportionally higher compensation.
• Performance period: Annual (2024)
• Applies to: Executive Management and Group functions
• 2024 Performance: Lindab reduced emissions in Scope 1 and 2 by 42 percent, resulting in full compensation.

2. Work-related accidents (Lost Time Incident Frequency, LTIF)

• Target structure: 25 percent compensation is paid for an LTIF of 7 and full compensation is paid for an LTIF of 4. Between these levels, compensation is paid on a straight-line basis, which means that a progressively larger reduction leads to proportionally higher compensation.
• Performance period: Annual (2024)
• Applies to: All employees who are part of the near-term incentive program
• 2024 Performance: The LTIF amounted to 3.6 in 2024, resulting in full compensation.

2025 incentive program

Lindab's incentive program for 2025 will continue to be linked to emission reductions in Scope 1 and 2 and the LTIF workplace accident target.

Integration with loan financing

From January 2025, Lindab has linked its existing credit facility agreement (SEK 4,050 million and EUR 120 million) to three sustainability targets. The interest margin is adjusted based on the achievement of the targets:

• Safer working environment: An improvement in workplace safety through a reduction in LTIF
• Reduced emissions within Scope 1 and Scope 2: A continuous decrease in the company's direct and indirect greenhouse gas emissions related to its operations
• Reduced emissions from purchased steel (part of Scope 3): A reduction in emissions associated with the purchased steel used in Lindab's products

This means that part of the financing terms are now directly dependent on progress in the area of sustainability, creating an additional incentive to achieve the targets.

Strategy, business model and value chain

Lindab is a leading European ventilation company offering solutions for energy-efficient ventilation and a healthy indoor climate. The products are recognised for high quality, ease of installation and durability. Lindab also has an extensive offering of roofs, walls and rainwater systems, mainly in the Scandinavian markets.

Vision: To be the market-leading ventilation company in Europe, specialised in air distribution and air diffusion.

Purpose: For a better climate - Create healthy buildings, Reduce customers' environmental impact, Drive a sustainable business.

Strategy: Lindab's strategy is focused on five areas that set the framework and direction for our operations and that enable us to achieve our vision and targets:

• Quality: Lindab has well-known brands that are all synonymous with high quality. Customers know that the products are easy to install and can be trusted. Our employees also have the appropriate expertise, making us a knowledgeable partner who customers can turn to with their ventilation and construction projects.

• Efficient: We have a high level of expertise in advanced production methods, enabling Lindab to manufacture high-quality products efficiently. Increased automation is helping to improve both efficiency and safety. We intend to make use of digital channels to the market and systems support in our operations. Lindab is working to achieve continuous improvements throughout the company.

• Local: Lindab aims to be located close to its customers and offer what is in demand in each market. This means the offering is different in different parts of Europe, depending on what ventilation installers and tinsmiths demand. We believe in local production in order to reduce transportation and provide the best service.

• Trusted: We deliver what we promise, on time. Customers should always be able to rely on Lindab to have the products they need in stock. Trust in Lindab has been built up over many years through our entrepreneurial spirit, with each employee taking responsibility and solving problems as they arise.

• Market leader: Lindab wants to be the best, and preferably the largest, at what we do. We focus on selected markets in Europe where we can create strong customer relationships and specialise in the parts of the offering where we have high expertise and long experience.

Strategic direction:

1. Enhancing the current product portfolio - Achieving economies of scale within Lindab's existing business areas through efficiency improvements, organic growth and complementary acquisitions.
2. Growth in technical ventilation products - Strengthening Lindab's position by relying on attractive products and sales capacity through strategic acquisitions and own development.
3. Exploring new growth opportunities - Broadening Lindab's scope through acquisitions in complementary product areas and new geographical regions.

Business Model and Value Chain:

Lindab's value chain is based on proximity to customers and offering what is in demand in each market, focusing on high-quality products that have a long life span and are always in stock. A combination of central efficiency and local flexibility results in competitive, high-quality products that are supplied close to customers through own pro-shops and distribution centres.

Value Chain Components:

• Raw materials and Sourcing: Centralised sourcing of steel makes the sourcing process efficient and offers Lindab benefits such as a secure supply of raw materials. Sourcing of other goods takes place at central, regional and local levels depending on the scale and what is most appropriate.

• Product development: Customer-centred product development results in products and digital services that streamline construction, improve energy-efficiency and reduce resource consumption.

• Production: Centralised production enables a high degree of automation and the use of other advanced production technologies, resulting in cost-effective manufacturing. Local production of customised and bulky products close to customers ensures flexibility, lower transport costs and a lower environmental impact.

• Distribution: Maintaining our own distribution network allows us to guarantee good availability through our own pro-shops and distribution centres, where staff with the appropriate expertise can assist customers.

• Delivery: Lindab's high rate of delivery compliance of 98 percent is an important competitive factor when delivering to construction projects.

Geographic Presence: At the end of the year, Lindab was present in approximately 200 locations around Europe in 20 countries, in several places with production facilities, warehouses and pro-shops. In addition, Lindab has limited operations in the US.

Net sales by business area:

• Ventilation Systems: 77%
• Profile Systems: 23%

Net sales by region:

• Western Europe: 44%
• Nordic Region: 42%
• Central Europe: 10%
• Other markets: 4%

Interests and views of stakeholders

Stakeholder engagement approach

Lindab strives to maintain strong relationships through a transparent, open and long-term dialogue with stakeholders. The dialogue is essential to successfully identify challenges and expectations. Lindab takes the stakeholder perspective into account in strategy updates and for the assessment of material sustainability matters. The dialogue takes place on a continual basis through surveys and meetings, supplemented with in-depth interviews with experts and actors from the value chain. An open dialogue is maintained, especially in the case of significant changes, to ensure that relevant aspects are taken into account in the decision-making process. The continuous stakeholder dialogue helps Lindab to identify and manage material matters in an efficient and proactive way.

At the same time, stakeholder dialogues present certain challenges. Different stakeholder groups have different priorities, which can lead to conflicting expectations and trade-offs in strategic decisions. In addition, the availability of reliable information varies and it can be difficult to make sure that all the relevant perspectives are included. Changing legal requirements, market trends and external factors also affect the content and direction of the dialogue, which means that flexibility and adaptability are required.

Stakeholder perspectives also play a central role in sustainability reporting, whereby feedback from customers, investors, employees and suppliers is used to validate the content. Lindab's sustainability organisation monitors dialogues and the Executive Management is kept continually informed about sustainability matters through regular meetings and as part of the work on the double materiality assessment, to ensure that strategic decisions are based on current and relevant stakeholder perspectives. In 2023, several interviews were conducted as part of the double materiality assessment, which provided in-depth insights into relevant sustainability matters. Lindab adapts the strategy based on insights from stakeholder dialogues. For example, feedback from stakeholders has had an impact on Lindab's sustainability targets, the prioritisation of energy-efficient products and investments in fossil-free production. By continually integrating the stakeholders' perspectives in the strategy work, Lindab is able to enhance value creation and minimise business risks.

Key stakeholder groups and engagement

Suppliers

Why engage: To achieve the targets, the same sustainability ambitions are needed in the supply chain as at Lindab.

How engaged: Lindab gathers feedback from suppliers through the Supplier Program. Long-term partnerships relating to strategic issues and daily dialogues take place through local purchasing offices. On-site audits provide feedback, especially regarding suppliers in high-risk countries, about suppliers' quality and sustainability work, and a deeper understanding of common issues. Structured interviews were held with suppliers in 2023, and a continuous dialogue continued in 2024.

Integration into strategy: Collaboration with partners improves sustainability by introducing materials with a lower climate impact and through the implementing of innovative energy-efficient solutions. The suppliers' expertise helps Lindab to stay at the forefront.

Customers (installers and consultants)

Why engage: Lindab's sustainability efforts must be aligned with customer expectations and help customers to achieve their targets.

How engaged: Lindab receives feedback from customers through activities carried out by the sales and marketing organisation, ranging from discussions with key account managers to everyday conversations between customers in shops and local customer managers. Lindab organises and participates in network meetings. Data are also gathered from customer surveys and customer analyses. Structured interviews were held with installers and consultants in 2023, and a continuous dialogue continued in 2024.

Integration into strategy: Customer insights play a key role in raising the market's awareness of the importance of energy-efficient products with a low climate impact that create a good indoor climate.

Developers, property owners and architects

Why engage: The choices and needs of indirect customers influence operations and drive sustainability efforts.

How engaged: Lindab has initiated an in-depth dialogue with developers, property owners and architects to jointly implement pilot projects in order to test new products and business models. Structured interviews were held with developers, property owners and architects in 2023, and a continuous dialogue continued in 2024.

Integration into strategy: The close cooperation enables Lindab to continue to develop and offer an attractive and sustainable product range that meets current and future requirements. The circular transition requires cooperation throughout the value chain, where the demands of end customers play a crucial role.

Employees

Why engage: Sustainability work helps to attract, motivate and develop employees.

How engaged: Lindab maintains an ongoing dialogue with representatives from different parts of the Group about matters such as the working environment. Employee representatives are also included in Lindab's Board of Directors. Employee surveys and performance and development talk are carried out to drive continuous improvements and develop our sustainability work. The focus is particularly on promoting channels for open and daily communication. Employees are given the opportunity to comment, ask questions and propose initiatives via webinars and the intranet. Lindab endeavours to make the intranet available to everyone, including all production staff and newly acquired companies.

Integration into strategy: Lindab integrates employee insights into strategic and operational initiatives at local, regional and Group level.

Investors and owners

Why engage: Investors and owners drive sustainability work forward, with a focus on environmental, social and governance aspects.

How engaged: The Group's strategy and earnings are communicated to existing and potential investors, analysts and the media. Dialogue takes place through various channels, such as presentations of quarterly reports, meetings with investors, seminars, Capital Markets Days, the website, analysis reports and press releases. Structured interviews were held with investors in 2023. There was dialogue with banks in 2024 as part of the preparations for sustainability-linked loans.

Integration into strategy: Investors' and owners' requirements have particularly affected Lindab's reporting of greenhouse gas emissions through reporting in accordance with the Carbon Disclosure Project (CDP), the Task Force on Climate-related Financial Disclosures (TCFD) and the EU Taxonomy.

Engagement with own workforce

Lindab evaluates the impact, risks and opportunities related to its own workforce through a double materiality assessment (pages 153–157). This method identifies the most significant issues for both Lindab and stakeholders.

Lindab is working towards a close and open dialogue with employees, union representatives and other stakeholders to better understand their needs and expectations. Performance and Development Talks (PDT) as well as employee surveys help to identify potential problems at an early stage. This approach allows the right measures to be taken to prevent unwanted negative impacts, while meeting sustainability targets without compromising employee well-being.

The HR organisation supports managers by offering systems and guidance to ensure continuous dialogue with employees. Through internal communication and managers, employees are provided with clear information about how to share their views and give feedback, ensuring that they are involved in the work to improve the working environment.

Engagement with workers in the value chain

Lindab evaluates the impacts, risks and opportunities in the value chain through a double materiality assessment (page 153–157), which provides an in-depth understanding of the impact on workers. The assessments are based on international standards such as the OECD due diligence guidance and the UN guiding principles on human rights.

Involving workers is important to gain a better understanding of the working environment, and is also a natural part of on-site supplier audits. Employees, and external stakeholders, are encouraged to report suspected violations of Lindab's Code of Conduct and other policies, including human rights violations. If negative impacts occur, Lindab contacts value chain workers, legitimate representatives or credible proxies.

Lindab's Supplier Program

Lindab's Supplier Program helps to identify and address negative impacts and reinforce positive effects. Corruption Perceptions Index (CPI) and Human Freedom Index (HFI) are used to determine risks based on the supplier's geographical location. In the future, Lindab plans to also consider the type of industry in the risk classification to determine where deeper analyses are required. Lindab's whistleblowing system, WhistleB, is also an important source for the identification of negative impacts.

Lindab's supplier evaluation method consists of three steps:

1. Signing of Lindab's Supplier Code
2. Self-assessment form
3. On-site audit if the supplier is located in a high-risk country

The results are translated into customised plans designed to help suppliers to improve their social and environmental footprints. The evaluation is adapted according to the supplier's risk classification and the type of delivery concerned. Suppliers are expected to hold their own suppliers to the same high standards.

Step 1 aims to ensure compliance with legal requirements and high ethical standards through the signing of Lindab's Supplier Code or the supplier's own Lindab approved Code of Conduct.

Step 2: the supplier conducts a self-assessment covering quality, environment, health and safety and human rights. If the results are below the acceptance level, an action plan is created that the supplier must implement within a reasonable time. The supplier is approved when the results meet the acceptance level. The aim is to ensure that suppliers meet Lindab's requirements in terms of quality, social responsibility and environmental standards.

Step 3 involves on-site audits for suppliers operating in high-risk countries. Suppliers are selected for auditing based on their geographical risk level and the results of previous self-assessments. The audit is divided into two parts: quality and sustainability. Following the audit, an action plan is created to help the supplier to improve results. If the results are above the acceptance level, the audit is concluded, but if they are below this level, actions and Lindab's approval are required before final approval is given.

The Supplier Program is an ongoing process of re-evaluating existing suppliers based on the risk associated with their geographical location. Other factors, such as problems identified, may lead to a new evaluation taking place earlier than after the end of the next fixed interval.

For suppliers in high-risk countries, all such suppliers whose purchase amount is at least EUR 25,000 are audited. The corresponding amount for low- and medium-risk countries is at least EUR 100,000. In addition, all strategic suppliers are audited even if the expected purchase amount is below the thresholds referred to above. In order to be classified as certified, suppliers must have successfully completed all the relevant steps in the evaluation. No certified suppliers are assessed to have remaining significant risks. No incidents involving the violation of human rights were brought to Lindab's attention in 2024.

The Supplier Program evaluates the work of suppliers in several areas:

• Health and safety
• Employment and working conditions including wages and working hours
• Social dialogue, freedom of association and negotiation
• Non-discrimination and fair treatment
• Forced labour
• Child labour
• Environment and climate
• Quality
• Business ethics
• Evaluation of own suppliers

Share of certified suppliers: The share of certified suppliers increased from 73 percent to 91 percent in 2024. The target is to reach 100 percent, which was not fully achieved in 2024. In 2025, Lindab will explore systems that can streamline and facilitate.

Lindab's Supplier Code: 98 percent of the suppliers have signed Lindab's Supplier Code or has their own supplier code, approved by Lindab. Work towards reaching 100 percent is continuing.

Material impacts, risks and opportunities and their interaction with strategy and business model

Resilience in Lindab's strategy and business model

Lindab's strategy and business model are designed to ensure resilience and long-term success by managing material environmental, social and governance-related impacts while capitalising on opportunities for sustainable growth. Part of the strategy is to manage climate-related risks, including the transition to decarbonised solutions, and the strengthening of the supply chain through partnerships and certifications. Investments in energy-efficient solutions and decarbonised materials increase Lindab's ability to meet legal requirements and customer expectations. Lindab closely monitors stakeholders' needs and regulatory changes to ensure a balanced transition. A balanced transition will mean growth for Lindab.

As an attractive employer, Lindab strongly believes that committed and contented employees are a key factor for success. Sustainability work is driven by defined action plans that ensure that the targets set are effectively achieved. These plans, together with the associated resources, are presented in the respective sections of the report. A detailed analysis of resilience in Lindab's strategy in relation to climate change is presented on pages 173–174 under the heading Interaction with strategy and business model.

Financial implications

For Lindab, the sustainable transition is a strategic opportunity to bolster its market position and drive profitable growth. In Lindab's view, focus on energy-efficient products will have a positive impact on the Group, but the effects on the financial statements are difficult to assess in both the short and long term. At present, however, the climate risks and opportunities identified are not expected to have a material impact on Lindab's financial statements in the short or medium term, as good opportunities are available to Lindab to adapt the offering to market demand. For more information about the impact of climate-related factors on the financial statements, see Note 4 on pages 97–98.

In the longer term, the financial statements are expected to be positively affected by the sustainable transition. The extent of the effects will depend. However, on a wide range of future factors, such as access to decarbonised steel, regulatory requirements and customer demand and willingness to pay. Lindab has prepared scenario analyses in accordance with the TCFD guidelines. The analyses highlight potential impacts on financial performance in two future climate-related scenarios; see more on pages 179–180.

Lindab's growth strategy includes continued strategic acquisitions in the ventilation area to complement Lindab's offering with new technology, new customer segments and new markets. At the same time, its focus on product development remains a priority, with the aim of offering customers solutions that have a low climate impact throughout the product lifecycle. These strategies are central to and a part of the business's activities, their purpose being to achieve the financial targets and create long-term value for both customers and shareholders.

In 2024, Lindab signed a long-term credit agreement that, in January 2025, was linked to a number of sustainability targets; see the commentary on the Group's statement of financial position on page 78 and Note 34 page 127.

Material impacts, risks and opportunities

Climate change (E1)

Pollution (E2)

Circular economy (E5)

Own workforce (S1)

Workers in the value chain (S2)

Business conduct (G1)

Refer to page 217 for methodology for assessing and identifying material impacts, risks and opportunities.

Interaction with strategy and business model

Climate change (E1.SBM-3)

The construction industry's transition presents both challenges and business opportunities for Lindab. Its assessment is that the climate risks identified will not affect Lindab's financial position in the short and medium term. However, the business opportunities are considered significant, especially within energy-efficiency and the offering of products made from decarbonised steel. The strategy and the sustainability plan address climate change to ensure financial success in the short, medium and long term. Through conscious consideration in decision-making processes and operations, Lindab is navigating the challenges of climate change and striving to enhance its market-leading position in the ventilation industry, with a focus on forward-looking and adaptable business practices. Lindab also considers the actions' social impact in the transition plan. Lindab is increasing its resilience through investments in skills development, a safe working environment and cooperation with suppliers and customers.

Lindab conducts an annual resilience analysis as part of the company's strategic planning and climate risk management. This analysis is closely linked to the work on the double materiality assessment and is based on data collection from the businesses and the value chain, scenario analyses of future climate developments and, where necessary, external consultations. The critical assumptions are based on the transition to fossil-free energy, technological progress and increased demand for sustainable products. Uncertainties exist regarding political decisions, access to fossil-free materials and the pace of transition among customers and suppliers. The resilience analysis covers both Lindab's own operations and the value chain, where critical suppliers and raw materials are prioritised.

The resilience of Lindab's strategy for the factors identified is presented below:

Own workforce (S1.SBM-3)

Refer to page 147 under the heading Resilience in Lindab's strategy and business model.

Workers in the value chain (S2.SBM-3)

Refer to page 147 under the heading Resilience in Lindab's strategy and business model.

Description of the process to identify and assess material impacts, risks and opportunities

Double materiality assessment methodology

Lindab conducts an annual review of the dual materiality assessment to ensure that it reflects changes in the external environment, own operations and the value chain. The double materiality assessment forms the basis for Lindab's sustainability plan and targets, and the reporting of impacts, risks and opportunities.

The work on double materiality is a continuous process that keeps pace with Lindab's development and changes in the outside world. The assessment is based on stakeholder dialogue, business environment analyses, market trends and strategic priorities. Lindab considers the overall picture to understand the effects of the operations, and also the impact on the company's results. Double materiality means that both financial risks and opportunities and Lindab's impact on people and the environment are taken into account. The process is based on Lindab's own activities and the upstream and downstream value chain.

In the most recent review, Lindab took into account the clarified guidelines for double materiality assessments published by EFRAG. The acquisitions of Airmaster and Vicon were already included in the original assessment, while the other acquisitions made in 2024 complement Lindab's product range and geographical areas without affecting the results of the assessment. The macro trends in Lindab's largest markets are estimated to continue to develop in line with expectations. The uncertain political situation may have an impact, but the extent of the impact is difficult to assess at this stage. The results of the double materiality assessment, completed at the end of 2023, are therefore deemed to remain valid for 2024.

The Board approves the results of the double materiality assessment on an annual basis. The sustainability plan has been updated to align with the CSRD and Lindab's increasing maturity in the sustainability field. Lindab's growth strategy for 2027 is aligned with the risks and opportunities that have been identified.

Steps in the process for annual updates or updates following structural changes

1. Preparation and scoping: To ensure a meaningful assessment, the value chain and stakeholders are mapped and reviewed, the focus being identifying any changes. The materiality thresholds and assessment criteria for likelihood, financial impact and severity are updated as necessary. Severity is based on three dimensions: scale, scope and irremediable character.

2. Mapping of impacts, risks and opportunities: All the aspects identified are reviewed and supplemented with others if necessary. It is then established whether the impacts, risks or opportunities are actual or potential and where in the value chain they occur. The time aspect is also assessed, short term being defined as less than one year, medium term as between one and five years, and long term as more than five years. Lindab's link to each topic is analysed and categorised as directly caused, contributed to or linked to.

3. Assessment: Information is collected from stakeholders to form part of the basis for assessing the impacts, risks and opportunities identified. If stakeholders raise new aspects, these are included in the assessment. Each new aspect is assessed according to the established assessment scales, while aspects that were previously assessed are carefully reviewed to ensure that the assessment is still accurate and up to date.

4. Validation and reporting: The results of the assessment are presented to the Executive Management, Group functions and the Board of Directors. Finally, the Board approves the results as part of the formal process.

Inputs to the assessment

Stakeholder dialogue: The dialogue is essential to successfully identify challenges and expectations. Lindab takes the stakeholder perspective into account in strategy updates and for the assessment of material sustainability matters. The dialogue takes place on a continual basis through surveys and meetings, supplemented with in-depth interviews with experts and actors from the value chain. Stakeholder perspectives also play a central role in sustainability reporting, whereby feedback from customers, investors, employees and suppliers is used to validate the content.

In 2023, several interviews were conducted as part of the double materiality assessment, which provided in-depth insights into relevant sustainability matters. Stakeholders consulted include:

• Suppliers (through the Supplier Program, long-term partnerships, on-site audits, structured interviews in 2023)
• Customers (installers and consultants) (through sales and marketing activities, network meetings, customer surveys, structured interviews in 2023)
• Developers, property owners and architects (pilot projects, structured interviews in 2023)
• Employees (employee surveys, performance and development talks, whistleblowing channel)
• Investors and owners (quarterly reports, meetings, seminars, structured interviews in 2023)
• Community
• Legislators and authorities

Internal knowledge: Internal subject matter experts from different markets and areas and Group functions provide insights within their respective fields.

External information sources: External experts in the environment and human rights have provided insights within their respective fields.

Sector benchmarks and guidance: Lindab links all the impacts, risks and opportunities assessed to the relevant ESRS standards for each topic.

Assessment criteria

Lindab uses seven-point scales to enable a detailed analysis and alignment with other risk management work. The scales and associated criteria were developed in accordance with the requirements of ESRS 1.

For impact materiality:

• Likelihood: The probability that the impact will happen. If the event has already occurred, it is considered to be actual and so the likelihood criterion is not applied.
• Scale: The size of the impact the effect has on the environment or people. Level 1 means no significant impact, while level 7 means a major and long-term impact.
• Scope: How widespread the impact is, based on parameters such as the percentage of facilities affected, geographical spread or the percentage of employees affected. Level 1 means a limited impact affecting a few individuals or a very limited location, while level 7 means a global impact.
• Irremediable character: How difficult it is to repair the damage, in terms of both cost and time. The irremediable character of an impact is prioritised over likelihood when assessing human rights impacts. Level 1 means that an impact that can be remediated in the short term without external assistance, while level 7 means an irremediable impact. Lindab has not identified any potential or actual negative impacts that are so severe that it significantly affects the assessment.

For financial materiality:

• Financial effect: The financial significance of the risks and opportunities identified at Group level. The financial effect is assessed primarily in relation to the operating profit. Level 1 means no impact, while level 7 means a significant impact of more than 30 percent.

Materiality assessment

Level five and higher on the seven-point scale are considered to be material. The assessment takes into account both likelihood and severity or financial effect, and a scale is used to determine what is considered to be material based on the overall effect.

• Material positive impact: The assessment is based on likelihood (potential or actual) and severity. Severity is assessed according to scale and scope, which are given equal weight. For potential positive effects, severity and likelihood are given equal weight.
• Material negative impact: The assessment is based on likelihood (potential or actual) and severity. Severity is assessed according to scale, scope and irremediable character, which are given equal weight. For potential negative effects, severity and likelihood are given equal weight, but if the severity is very high, this takes precedence over likelihood.
• Material risk or opportunity: The assessment is based on potential likelihood and financial effect, which are given the same weight. The assessment takes into account the potential scope of the financial effects based on various triggers such as EBITDA, CapEx and OpEx. As it can be difficult to quantify the exact value of risks and opportunities, the financial quantification is supplemented with qualitative assessments.
• Reporting of information: For each material impact, risk and opportunity, Lindab performs a materiality assessment to determine the information whose reporting is considered to be material.

Value chain mapping

The assessments cover actual or potential positive and negative impacts, as well as potential risks and opportunities for both the organisation and the value chain, where relevant and possible. The assessments of the value chain are based on internal knowledge and external information sources.

The assessment is focused mainly on tier 1 suppliers, which Lindab is more able to exert an influence over. Risks further down the supply chain are also taken into account, but if they arise independently of Lindab's operations they are considered to be outside our control.

Lindab intends to integrate other risk assessments with double materiality analysis to gain a more comprehensive understanding of impacts, risks and opportunities. Lindab's overall risk management, and the most material risks identified, are presented in Note 3 on page 92, and in the Corporate Governance Report under the heading Risk Management on pages 62–63.

Frequency of review

Lindab conducts an annual review of the dual materiality assessment. The most recent assessment was completed at the end of 2023, and the results are deemed to remain valid for 2024.

Materiality threshold

Level five and higher on the seven-point scale are considered to be material.

Material sustainability matters identified

The results of the double materiality assessment are compiled in a matrix in which all the sustainability factors are important, but some are considered to be more material. The factors that have been found to be material are:

E1 Climate change:

• 1.2 Climate change mitigation
• 1.3 Energy

E2 Pollution:

• 2.5 Substances of concern and substances of very high concern
• 2.6 Microplastics

E5 Resource use and circular economy:

• 5.1 Resource inflows, including resource use
• 5.2 Resource outflows
• 5.3 Waste

S1 Own workforce:

• 1.1 Working conditions
• 1.2 Equal treatment and opportunities for all

S2 Workers in the value chain:

• 2.1 Working conditions

G1 Business ethics:

• 1.1 Corporate culture
• 1.6 Corruption and bribery

Topic-specific methodologies

For each material topic, Lindab applies specific methodologies for assessing and identifying material impacts, risks and opportunities:

Climate change (E1.IRO-1): Lindab assesses climate-related impacts, risks and opportunities throughout its operations and value chain through double materiality assessments and climate scenario analyses. Physical climate risks are evaluated as part of work on insurance or through external risk audits for the properties where Lindab operates. Increasing emissions, rising temperatures, extreme weather events and rising sea levels are taken into account. The potential financial impact on assets and operations is assessed, and the results consolidated at Group level to identify material risks. The work takes into account both acute and chronic risks.

Lindab uses the GHG Protocol to measure and report emissions and energy use in Scope 1, 2 and relevant Scope 3 categories, based on operational control. Transition risks, including regulatory changes and market shifts towards sustainable products, are continuously assessed. Climate scenario analyses in accordance with the Task Force on Climate-related Financial Disclosures' (TCFD) recommendations are used to assess and report on physical and transitional risks and opportunities.

Pollution (E2.IRO-1): Lindab assesses pollution-related impacts, risks and opportunities throughout its operations and value chain through double materiality assessments and climate scenario analyses. Physical climate risks are evaluated as part of work on insurance or through external risk audits. Lindab continuously analyses transition risks, such as changing regulations and market requirements for sustainable products, to proactively identify and manage impacts, risks and opportunities.

Resource use and circular economy (E5.IRO-1): Lindab assesses impacts, risks and opportunities in the value chain through double materiality assessments and climate scenario analyses. The use of virgin materials contributes to high Scope 3 emissions, while waste accounts for a smaller share, as most of it is recycled. Life cycle analyses of products show the areas that have the greatest environmental impact, virgin materials being the biggest factor, but waste also contributes. Lindab continuously assesses transition risks, such as regulatory changes and changes in the market with regard to sustainable products. Regulations such as the EU Taxonomy and the Ecodesign for Sustainable Products Regulation (ESPR) promote circular products. Lindab involves stakeholders to assess and identify impacts, risks and opportunities.

Own workforce (S1.IRO-1): Lindab evaluates the impact, risks and opportunities related to its own workforce through a double materiality assessment. This method identifies the most significant issues for both Lindab and stakeholders. The areas identified are prioritised to maximise positive impacts and minimise negative impacts. Lindab's approach involves several steps, including stakeholder dialogues and regular internal evaluations. Lindab maps and analyses the impacts, risks and opportunities in areas such as the working environment, working conditions, health and safety, diversity, ethics and compliance, as well as external factors such as changes in legislation and market trends.

Workers in the value chain (S2.IRO-1): Lindab evaluates the impacts, risks and opportunities in the value chain through a double materiality assessment, which provides an in-depth understanding of the impact on workers. The assessments are based on international standards such as the OECD due diligence guidance and the UN guiding principles on human rights.

Lindab's Supplier Program helps to identify and address negative impacts and reinforce positive effects. Corruption Perceptions Index (CPI) and Human Freedom Index (HFI) are used to determine risks based on the supplier's geographical location. In the future, Lindab plans to also consider the type of industry in the risk classification to determine where deeper analyses are required. Lindab's whistleblowing system, WhistleB, is also an important source for the identification of negative impacts.

Business ethics (G1.IRO-1): Lindab assesses impacts, risks and opportunities throughout the value chain through a double materiality assessment. The assessment covers geographical risks, such as countries' levels of corruption and business ethics, based on recognised indices such as the Corruption Perceptions Index (CPI). The nature of the business is reviewed to ensure that business models, processes and products comply with Lindab's guidelines. Cooperation with and analyses of customers and suppliers are crucial for Lindab's business ethics, sustainability and transparency requirements to permeate the value chain. By applying these criteria, together with internal due diligence and annual risk assessments, Lindab endeavours to operate responsibly and build trust with both internal and external stakeholders.

Transition plan for climate change mitigation

Scope of the plan

The transition plan covers Lindab's entire value chain and consists of two parts:

1. Scope 1 and 2 emissions (1% of total emissions) - direct emissions from own operations and purchased electricity, covering all Group entities
2. Scope 3 emissions (99% of total emissions) - value chain emissions including upstream (purchased goods and services, upstream transportation) and downstream (use of sold products)

The plan covers all geographical markets where Lindab operates across Europe and the United States.

Target year(s) for net zero / carbon neutral

Near-term targets (2030):

• Reduce absolute Scope 1 and 2 greenhouse gas emissions by 56 percent by 2030 from base year 2022 (market-based method)
• Reduce absolute Scope 3 GHG emissions from purchased goods and services, upstream transportation and distribution, waste generated in operations and use of sold products by 25 percent by 2030 from base year 2022

Long-term targets (2050):

• Achieve net-zero greenhouse gas emissions throughout the value chain by 2050
• Reduce absolute Scope 1, 2 and 3 greenhouse gas emissions by 90 percent by 2050 from base year 2022

Scope 1, 2, 3 reduction milestones with baseline years

Base year: 2022

Scope 1 and 2:

• Base year 2022: 20,856 tonnes CO2e
• Commitment 2030: Reduce by 11,684 tonnes CO2e (56% reduction)
• Ambition 2030: Reduce by 12,938 tonnes CO2e (67% reduction)
• Target 2030: 9,177 tonnes CO2e
• Actual 2024: 12,158 tonnes CO2e (42% reduction achieved)

Scope 3:

• Base year 2022: 943,000 tonnes CO2e (for categories included in near-term targets)
• Target 2030: 707,000 tonnes CO2e (25% reduction)
• Actual 2024: 869,486 tonnes CO2e (8% reduction achieved)

Milestones:

• 100% fossil-free electricity in own operations by 2030
• Emissions from purchased steel (based on expected volume) should decrease by 101 ktons of CO2e by 2030 from base year 2022 (43% of purchased steel decarbonised)
• 50% of all freight transport financed by Lindab powered by renewable fuels or electricity by 2030, 100% by 2040
• 100% of company cars powered by renewable fuels or electricity by 2030
• 100% of first-tier suppliers sustainability certified annually

Alignment with 1.5°C / SBTi validation status

Lindab's greenhouse gas emission reduction targets were approved by the Science Based Targets initiative (SBTi) in 2024. The targets aim to limit warming to 1.5°C in line with the Paris Agreement and the EU's climate objectives.

The targets cover CO2, CH4 and N2O and are central to Lindab's Climate and Environmental Policy.

Key levers / decarbonization pillars

Own operations (Scope 1 and 2):

1. Transition to fossil-free electricity

   • Largest driver of emission reductions
   • Karlovarska (largest production unit in Czech Republic) switched to renewable electricity in 2024
   • All companies in Sweden and Germany now use renewable electricity
   • Potential to reduce total operational emissions by 52%
   • Solar power installations (1 MWp capacity in Prague covering 30% of electricity consumption)

2. Company cars powered by electricity or renewable fuel

   • 55% of company cars powered by electricity, hybrid or renewable fuel in 2024 (up from 50% in 2023)

3. Energy-efficiency

   • Energy consumption decreased to 6.7 MWh per SEK million in 2024 from 7.1 in 2023
   • Optimizing production processes and buildings
   • Upgrading lighting, heating and cooling systems

Value chain (Scope 3):

1. Transition to decarbonised steel (largest impact - 11% of Scope 3)

   • Emissions from purchased steel to decrease by 101 ktons CO2e by 2030
   • 43% of purchased steel to be decarbonised by 2030
   • Partnerships with SSAB, Stegra, Arcelor, TATA Steel Netherlands and Salzgitter
   • First delivery of fossil-free steel from SSAB received December 2023
   • 0.2% of steel purchases were decarbonised in 2024
   • Steel accounts for 50% of Lindab's total GHG emissions

2. Renewable fuel and intermodal transport solutions

   • 50% renewable transport by 2030, 100% by 2040
   • Four trucks in UK switched to HVO fuel (90% emission reduction)
   • 90% of carriers signed Environmental Requirements for Carriers

3. Partnerships with suppliers and customers

   • Supplier evaluation program
   • 100% first-tier suppliers to be sustainability certified
   • 91% of suppliers certified as of 2024

4. F-gas replacement

   • Reducing emissions by 75,000 tonnes CO2e
   • Compliance with F-Gas Regulation EU/517/2014

5. Local and on-site production

   • Mobile production facilities to reduce transport needs
   • Two mobile facilities operational in Sweden

CapEx / investment commitments

Decarbonised steel:

• 43% decarbonised steel results in increased operating costs of approximately SEK 146 million per year (based on 2023 volumes and price differential between recycled and traditional steel)
• Potential acquisitions and growth from 2024 not included in this estimate
• Legislation expected to introduce taxes on traditional steel by 2035, reducing price gap

Fossil-free electricity:

• Agreement on unbundled Energy Attribute Certificates (EACs)
• Costs recognized as other operating expenses as incurred
• No specific CapEx amount disclosed

Solar energy:

• 1 MWp solar installation at Karlovarska, Czech Republic (largest in Prague area)
• Specific investment amount not disclosed

Transport transition:

• Operating costs expected for renewable fuel and electric vehicles
• No material cost increases expected as this is industry standard
• Specific CapEx not disclosed

General: The transition plan is financed through the annual financial budget process approved by Executive Management and Board of Directors. Specific total CapEx/OpEx commitments are not itemized separately in financial statements but are included in Notes 17 (Intangible assets), 18 (Property, plant and equipment), 19 (Right-of-use assets) and 10 (Other operating expenses).

Locked-in emissions and stranded asset analysis

Lindab has assessed that:

• No potential locked-in greenhouse gas emissions from material or significant assets or products that jeopardize the 2050 target have been identified
• No investments linked to oil, gas or coal
• The industry is not excluded from EU benchmarks for adaptation to the Paris Agreement
• No major additional investment needs identified to meet current and future environmental requirements
• No adjustments needed to remaining useful lives or provisions related to climate commitments
• Impairment losses recognized in Q4 2024 related to restructuring of profile operations in Eastern Europe were not related to environmental requirements but to strategic focus on ventilation
• Physical climate risks assessed as having limited impact on operations in short and medium term
• No formal commitments regarding environmental liabilities requiring provisions as of December 31, 2024

Cash flow forecasts for goodwill impairment testing reflect investment plans to maintain operating capacity and are aligned with Lindab's strategy considering environmental objectives.

Use of carbon credits / removals

Lindab does not currently use carbon credits and has no carbon capture activities.

The company's main focus is on reducing direct emissions.

Future considerations:

• Lindab is considering using carbon removal technologies, such as carbon capture and storage, to neutralize unavoidable emissions in the value chain and reach net zero by 2050
• When such technologies are used, they must meet high standards to ensure credibility and effectiveness
• Emissions that cannot be eliminated by 2050 will be offset by solutions that benefit both people and the environment
• Potential exists for carbon capture and storage, with progress expected in these technologies by 2050

Internal carbon pricing

Lindab does not currently apply internal carbon pricing systems.

However:

• Emission reduction targets are monitored at Group level twice a year
• As of 2024, emission reduction targets are included in the incentive scheme for senior executives
• From January 2025, sustainability targets are linked to existing credit agreements of SEK 4,050 million and EUR 120 million

Governance and monitoring

The Board of Directors has overall responsibility for sustainability work and evaluates impacts, risks, opportunities and targets. The transition plan was adopted by the Executive Management and Board of Directors in 2024.

Progress is monitored through:

• Bi-annual sustainability data reporting at company level, aggregated at Group level
• Internal reports with detailed sustainability data for each company
• Financial budget process approved by Executive Management and Board

Just transition considerations

Lindab's vision of a just transition emphasizes the need for a sustainable climate transition that benefits society and biodiversity. The company works with employees, communities and partners across the value chain to jointly understand and manage trade-offs, helping to mitigate negative effects and increase positive results.

Policies related to climate change mitigation and adaptation

Lindab has identified two main policies that address climate change mitigation and adaptation:

Code of Conduct

Scope: Internal operations and external stakeholders (employees and external parties)

Approval and oversight: Board of Directors

Key content:

• Forms the basis for Lindab's sustainability work
• Defines how Lindab and its employees act internally and towards external stakeholders

Public availability: Not specified in the excerpts

Links to international standards: Not specified in the excerpts

Monitoring: Not specified in the excerpts

Climate and Environmental Policy

Scope: Own operations

Approval and oversight: Board of Directors (greenhouse gas emission reduction targets were adopted by the Board in 2024)

Key content:

• Climate change mitigation
• Climate adaptation
• Energy-efficiency
• Promotion of renewable energy
• Reducing emissions throughout the value chain in line with the Paris Agreement and science-based targets
• Phasing out fossil energy in favour of fossil-free energy
• Optimising resource use through more efficient production
• Managing climate risks through annual risk assessments and adaptation strategies
• Focus on products with low climate impact that contribute to energy-efficient buildings with a healthy indoor climate

Public availability: Not specified in the excerpts

Links to international standards:

• Paris Agreement (1.5°C warming limit)
• EU climate objectives
• Science Based Targets initiative (SBTi) - targets verified by SBTi

Monitoring:

• Recalculation principles defined in the policy for base year adjustments when identified errors affect outcome by more than 5% for Scope 1 and 2 or Scope 3
• Annual risk assessments

Supplier Code of Conduct

Scope: Value chain (suppliers)

Approval and oversight: Not specified in the excerpts

Key content:

• Clarifies Lindab's requirements for suppliers
• Applied through a supplier evaluation program

Public availability: Suppliers must sign the code (100% target for first-tier suppliers annually)

Links to international standards: Not specified in the excerpts

Monitoring: Tracked through supplier certification (100% target for first-tier suppliers to be sustainability certified annually)

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Governance structure:

• Board of Directors has overall responsibility for sustainability work and evaluates impacts, risks, opportunities and targets
• CEO, Executive Management and Group Sustainability Manager drive the strategy and regularly monitor the work
• Sustainability data reported biannually at company level and aggregated at Group level
• Sustainability plan centrally coordinated but operationally integrated in business areas and Group functions
• Each company responsible for implementing targets
• From 2024, emission reduction targets included in incentive scheme for senior executives
• From January 2025, sustainability targets linked to credit agreements of SEK 4,050 million and EUR 120 million

Actions and resources in relation to climate change policies

Overview

Lindab has taken, and plans to take, actions within its own operations and in the value chain to mitigate climate change. The actions expected to have the greatest impact on the fulfilment of the targets are presented below.

Actions in own operations

• Transition to fossil-free electricity
• Company cars powered by electricity or renewable fuel
• Energy-efficiency

Actions in the value chain

• Partnerships with suppliers and customers
• Transition to decarbonised steel
• Renewable fuel and intermodal transport solutions
• Deployment of fossil-free electricity in Europe
• Replacing of F-gases with high emission values

Integration with incentive schemes and financing

Integration of sustainability-related performance in incentive schemes and loan structures (E1.GOV-3)

• From 2024, absolute greenhouse gas emission reduction targets have been linked to executive remuneration.
• Since January 2025, Lindab has linked sustainability targets to existing credit agreements of SEK 4,050 million and EUR 120 million. Part of the financing terms are now directly dependent on progress in sustainability.
• The credit agreements are linked to the LTIF, Scope 1 and 2 and decarbonised steel targets.

Transition plan and resources

Lindab's transition plan supports the strategy and business model in the work to limit global warming to 1.5°C and achieve climate neutrality by 2050, in line with the Paris Agreement and the EU's climate objectives. The plan describes actions to achieve Lindab's near-term targets verified by SBTi.

Resource allocation:

• The transition plan has been integrated in Lindab's strategy and is being financed through the annual financial budget process, which is approved by the Executive Management and the Board of Directors.
• No specific quantified capex or opex amounts disclosed for individual actions.

Scope and time horizon:

• The transition plan consists of two parts:
  • Part 1: Scope 1 and 2 emissions (1% of total emissions)
  • Part 2: Scope 3 emissions (99% of total emissions)
• Near-term targets: 2030 (Scope 1+2: -56%, Scope 3: -25%)
• Long-term target: Net-zero by 2050

Expected outcomes:

• Scope 1+2 emissions reduction of 56% by 2030 (base year 2022)
• Scope 3 emissions reduction of 25% by 2030 (base year 2022)
• Net-zero emissions by 2050

Climate Change Mitigation Targets

Greenhouse Gas Emission Reduction Targets:

Lower CO2e emissions – own activities Lindab is committed to reduce absolute scope 1 and 2 greenhouse gas emissions with 56 percent by 2030 from the base year 2022. Market-based method. The target boundary includes land-related emissions and removals from bioenergy feedstocks.

Target: -56% by 2030 (from 2022 baseline) Outcome 2024: -42% (from 20,856 tonnes in 2022 to 12,158 tonnes in 2024)

The positive trend is mainly due to several Group companies switching to renewable electricity, which has a significant effect on Scope 2 emissions. Lindab's climate targets have been approved by the Science Based Targets initiative (SBTi).

Lower CO2e emissions – the value chain Lindab is committed to reducing absolute Scope 3 greenhouse gas emissions from purchased goods and services, upstream transportation, waste generated in operations and the use of sold products 25 percent by 2030 from the base year 2022.

Target: -25% by 2030 (from 2022 baseline) Outcome 2024: -8% (from 942,688 tonnes in 2022 to 869,486 tonnes in 2024)

This trend is mainly the result of a decrease in the volume of raw materials purchased, which in turn is a result of the current recession.

Long-term Net-Zero Target: Lindab is committed to reduce absolute scope 1, 2 and 3 greenhouse gas emissions with 90 percent by 2050 from the base year 2022. Lindab has an overall target of achieving net-zero greenhouse gas emissions throughout the value chain by 2050.

Additional Climate Targets:

Renewable Electricity: Lindab will use 100 percent fossil-free electricity in its own operations by 2030.

Decarbonised Steel: Emissions from purchased steel, based on expected volume, should decrease by 101 ktons of CO2e by 2030 from the base year 2022. This would mean that 43 percent of the purchased steel is decarbonised.

Sustainable Transportation:

• 50 percent of all freight transport financed by Lindab, between Lindab's facilities and to the customer, will be powered by renewable fuels or electricity by 2030, and 100 percent by 2040.
• 100 percent of Lindab's company cars will be powered by renewable fuels or electricity by 2030.

Science Based Targets Initiative Approval: The Science Based Targets initiative (SBTi) is an international organisation for science based climate targets in line with the Paris Agreement's target of limiting global warming to 1.5°C. Following a process of submitting data-supported targets for external validation, including a long-term net-zero target, it was announced in 2024 that these targets had been approved by the SBTi.

Energy consumption and mix

Total energy consumption

Lindab's total energy consumption in 2024 was 89,929 MWh (2023: 93,230 MWh; 2022: 99,343 MWh), representing a 12% decrease between 2022 and 2024. The reduction is primarily attributed to investments in more modern production technology and lower production volumes.

Energy intensity

Energy consumption per SEK million of net sales decreased from 7.6 MWh/SEK m in 2022 to 7.1 MWh/SEK m in 2023 and 6.7 MWh/SEK m in 2024.

Disaggregated energy consumption by source

Renewable electricity share

In 2024, 79% of Lindab's electricity consumption came from renewable sources, an increase from 45% in 2022. The chart on page 178 shows the breakdown of electricity with Energy Attribute Certificates (EAC-c), own produced electricity, and non-renewable electricity.

Scope and methodology

Scope: Includes energy consumption at all Lindab facilities where the company has operational control.

Direct energy: Includes all fuel consumption in manufacturing, heating, and owned or leased vehicles. Data collected from supplier invoices or meter readings. For company cars and vehicles, consumption is based on quantity of fuel or distance travelled with average consumption assumptions. Where primary data on business vs. personal kilometres is unavailable, assumptions are made based on results from other companies with primary data.

Indirect energy: Includes purchased electricity, district heating and cooling. Consumption data collected directly from suppliers or via meter readings. For electricity, origin-labelled renewable electricity is assigned 0g CO₂e/MWh; residual mix uses Association of Issuing Bodies (AIB) 2023 or U.S. Energy Information Administration (EIA) 2023 factors. District heating/cooling uses BEIS 2023 or local supplier-specific factors. Electric vehicle charging at Lindab's own stations may be used for both personal and business travel, potentially leading to marginal double-counting of electricity; the impact is considered immaterial.

Nuclear energy: Only included as part of the national electricity mix where companies have not yet switched to renewable electricity through partnership with Becour. Nuclear is classified as non-renewable electricity.

Renewable electricity procurement: Since 2023, Lindab has partnered with Becour for contractual purchasing of renewable electricity bundled with instruments or unbundled instruments (Guarantee of Origin Energy Attribute Certificates and Cancellation Certificates). In 2024, Lindab also invested in solar panels at selected sites, including a 1 MWp photovoltaic plant at Karlovarska in the Czech Republic.

Data coverage: The uncertainty for direct and indirect energy consumption is not considered significant (page 179).

Gross Scopes 1, 2, 3 and Total GHG emissions

Scope 1 and 2 Emissions (tonnes CO₂e)

Change vs. base year 2022: -42% reduction in absolute Scope 1 and 2 emissions.

No sub-breakdown of Scope 1 by emission source (stationary combustion, mobile combustion, process emissions, fugitive emissions) is disclosed.

Location-based Scope 2 is not disclosed in the report.

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Scope 3 Emissions (tonnes CO₂e)

Scope 3 categories covered: The target states Scope 3 includes "purchased goods and services, upstream transportation and distribution, waste generated in operations and use of sold products" (GHG Protocol categories 1, 4, 5, 11). No further disaggregation by individual category is provided in the report.

Change vs. base year 2022: -8% reduction in absolute Scope 3 emissions (categories 1, 4, 5, 11).

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Total GHG Emissions (tonnes CO₂e)

Note: Scope 3 total reflects only categories 1, 4, 5, and 11 per the company's target boundary.

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GHG Intensity

No GHG intensity metric (e.g. tCO₂e per SEK million revenue, tCO₂e per employee, tCO₂e per m² product) is disclosed in the report.

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Biogenic CO₂ Emissions

Not disclosed separately.

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Regulated Emissions (EU ETS or similar)

Not disclosed.

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Methodology and Scope Notes

• Scope 1 and 2: Market-based method applied. The target boundary includes land-related emissions and removals from bioenergy feedstocks.
• Scope 3: The target includes purchases of direct materials and transportation between Lindab's sites and to the customer paid for by Lindab. The Scope 3 figure represents absolute emissions from purchased goods and services, upstream transportation, waste generated in operations, and use of sold products.
• Science Based Targets initiative (SBTi): Lindab's emission reduction targets have been approved by SBTi. The targets are:
  • 56% reduction in Scope 1 and 2 by 2030 (base year 2022)
  • 25% reduction in Scope 3 (categories 1, 4, 5, 11) by 2030 (base year 2022)
  • 90% reduction in Scope 1, 2 and 3 by 2050 (base year 2022)
  • Net-zero greenhouse gas emissions throughout the value chain by 2050
• Acquisitions: Newly acquired companies are included in the emissions inventory. The report notes that the share of certified suppliers increased to 91% in 2024, with certification covering suppliers added through acquisitions during their first year as part of the Group.

Anticipated financial effects from material physical and transition risks and potential climate-related opportunities

Phase-in exemption statement

Given the state of transition, Lindab is not providing quantitative information about the financial effects of material physical and transition risks or potential climate-related opportunities.

Qualitative assessment of anticipated financial effects

The company sees the sustainable transition as a strategic opportunity to bolster its market position and drive profitable growth. The risks and opportunities identified are managed through Lindab's double materiality assessment and risk management process.

Methodology

TCFD (Task Force on Climate-related Financial Disclosures) scenario analyses have been carried out to highlight the potential impact in different future climate-related scenarios and the results are presented on pages 179–180.

For more information about the impact of climate-related factors on the financial statements, see Note 4 on pages 97–98.

Time horizons

The assessment is that the climate risks identified will not affect Lindab's financial position in the short and medium term. However, the business opportunities are considered significant, especially within energy-efficiency and the offering of products made from decarbonised steel.

Material physical risks

Lindab has no material physical climate-related risks.

Material transition risks and opportunities

Policies related to pollution

Lindab's pollution-related policies are embedded within its broader sustainability governance framework. The company explicitly states that policies for managing identified impacts, risks and opportunities related to pollution consist of the Code of Conduct, Climate and Environmental Policy, Supplier Code, and Environmental Requirements for Carriers.

Climate and Environmental Policy

Key content and principles:

• Energy-efficient products that promote energy-efficient buildings and healthy indoor environments
• Reducing greenhouse gas emissions throughout the value chain, in line with the Paris Agreement
• Prioritising circularity, resource efficiency and the reduction of pollution
• Focuses on Lindab's own operations and includes actions such as low-emission transport, reduced air pollution through local production, the use of decarbonised materials and safe waste management
• Environmental impacts are monitored, and risk assessments are carried out to protect air, water and soil, especially for facilities near sensitive areas or where local permits require this
• Mapping of hazardous substances ensures safe handling and enables substitution
• Prioritises cooperation with stakeholders, transparency and strict compliance with environmental legislation

Governance:

• The policy was comprehensively updated in 2024, renamed from "Quality and Environmental Policy" to "Climate and Environmental Policy"
• Addresses material climate- and environment-related areas and includes accounting policies linked to Lindab's Science Based Targets
• Approved by the Board of Directors and reviewed annually

Public availability:

• Available on Lindab's intranet and website

Scope:

• Covers own operations with focus on climate change mitigation, climate adaptation, energy-efficiency and promotion of renewable energy

Code of Conduct

Key content and principles:

• Defines how Lindab as a company acts toward employees, customers, business partners, suppliers, competitors and authorities
• Sets out the basic principles for how Lindab is supposed to conduct its business and how employees are expected to act
• Forms the basis for all sustainability work and takes precedence over other policies
• Emphasises that laws and regulations are complied with and ethical values are respected

Links to international standards:

• Based on the UN Global Compact and supports its ten principles
• Based on the OECD Guidelines for Multinational Enterprises
• Based on the UN Guidelines for Human Rights

Governance:

• Approved by the Board of Directors and reviewed annually
• Managers are expected to act as role models and help employees follow the Code of Conduct

Scope:

• Everyone who works at or represents Lindab must understand and follow the Code of Conduct

Public availability:

• Available on Lindab's intranet and website

Supplier Code

Key content and principles:

• Used for impacts, risks and opportunities in the value chain through supplier evaluation program
• Clarifies Lindab's requirements for its suppliers
• Covers environmental requirements including pollution-related aspects
• Self-assessment survey enhances cooperation with suppliers
• During site audits, waste systems and hazardous waste management are reviewed to reduce the risk of improper management
• Suppliers are expected to comply with environmental legislation and contribute to global sustainability through the precautionary principle, environmental responsibility initiatives and the development of sustainable technologies

Governance:

• Part of Lindab's supplier evaluation program
• Suppliers are required to sign the Supplier Code

Scope:

• Applies to first-tier suppliers
• Target: Annually, for 100 percent of Lindab's first-tier suppliers to be sustainability certified (suppliers in low and medium risk countries with a spend of at least 100 kEURO and in high risk countries with a spend of at least 25 kEUR)

Environmental Requirements for Carriers

Key content and principles:

• Updated in 2023
• Describes how Lindab and its suppliers will jointly reduce emissions
• Clarifies what data need to be reported in order to monitor progress
• Customised self-assessment survey enhances cooperation with carriers to further reduce air pollution

Scope:

• Applies to transportation suppliers
• Target: 100 percent of the transportation agreements between Lindab and first-tier suppliers must include environmental requirements by 2025

Governance:

• Approved by CEO as a directive that supports the sustainability work focused on the value chain

Implementation and monitoring

Governance structure:

• The Board of Directors has overall responsibility for sustainability work and evaluates impacts, risks, opportunities and targets
• When policies are developed and updated, the needs and requirements of stakeholders in Lindab's value chain and environment are taken into account
• Each company within the Group is responsible for ensuring that operations are conducted in accordance with Lindab's policies (decentralised governance model)
• Companies within the Group may supplement existing policies with more stringent requirements

Monitoring:

• Sustainability data are reported bi-annually at company level and aggregated at Group level
• Supplemented with an internal report with detailed sustainability data for each company
• Updates are communicated by e-mail to local companies for further dissemination
• Scheduled training for employees related to policies is not currently being provided
• Training related to Lindab's policies will be included in the digital training platform Lindab Academy
• During the year, there were no significant cases of non-compliance with laws and regulations at Lindab

Certification:

• Larger production units are ISO 14001 (Environmental Management System) certified
• 11 companies are ISO 14001 certified, representing 43 percent of net sales

Actions and resources related to pollution

Lindab has implemented and is planning further actions in both its own operations and in the value chain to reduce negative impacts related to pollution, while at the same time reinforcing the positive impacts.

Own operations

• Transportation powered by electricity or renewable fuel
• Local and on-site production

The value chain

• Cooperation with transportation suppliers
• Transportation powered by electricity or renewable fuel
• Intermodal transport

Detailed actions and resources

Resources to promote electricity-powered transport, the use of renewable fuels, intermodal transport, and the reduction of pollution from raw materials, are presented as part of Lindab's transition plan (referenced on page 171). The results of the transport actions, besides GHG emission reductions, are presented on page 184 under the heading Transport transition.

Cooperation with suppliers

Description: Lindab's Environmental Requirements for Carriers were published in 2023 and clarify how Lindab will reduce emissions, together with suppliers, and specify more clearly what kind of data need to be reported to measure progress.

Scope: Value chain (upstream - first-tier suppliers)

Resources:

• Actions such as eco-driving and route optimisation also help to reduce operating costs
• Lindab does not expect any material cost increases, as this work is already an industry expectation
• A number of the suppliers share Lindab's sustainability ambitions, and the requirements set are in line with their plans
• For some, the requirements present challenges that may require investment by the supplier

Targets: 100 percent of the transportation agreements between Lindab and first-tier suppliers must include environmental requirements by 2025

Status: 90 percent of transport contracts include Lindab's Environmental Requirements for Carriers (increase from 61 percent in 2023)

Links to SDGs: Global goals referenced

Local production

Description: Lindab's strategy is to be close to customers, which means moving the production of bulky products from centralised to local units. This reduces transport needs, increases flexibility, enables faster deliveries and reduces waste. On-site production of circular ventilation ducts is particularly suited to large projects and dimensions.

Scope: Own operations

Resources:

• Lindab already applies this methodology by operating small production units for bulky products in locations where it already has operations
• These locations are selected based on both the sustainability and financial benefits

Expected outcomes: This action is expected to reduce transport pollution and Scope 3 emissions

Status: Lindab has two mobile production facilities in Sweden. There are plans to expand the concept to other markets, for implementation where it is considered to be useful and value-creating

Time horizon: By 2030

Specialised manufacturing

Description: Lindab actively works to use resources efficiently, including energy, materials and expertise. Consolidating specialist expertise and centralising the manufacture of suitable products creates opportunities for optimal development and increased resource efficiency. Lindab has started to evaluate the advantages of large-scale and specialised production. This means that locally manufactured or purchased products can be replaced by more efficient, centralised production whereby resources and expertise are consolidated at shared facilities. At the same time, having a local presence remains a priority, and bulky products will continue to be manufactured locally.

Scope: Own operations

Resources:

• Implementation may involve some investment linked to production and operating costs for product development
• The emission reductions and investments expected by 2030 need to be quantified

Expected outcomes: The action is expected to reduce transport pollution and Scope 3 emissions

Status: Lindab currently has 105 production sites

Time horizon: By 2030

Note on resource allocation

CapEx refers to investments while OpEx refers to operating costs. It is not possible to refer to specific information in the financial statements as such detailed information about sustainability-related investments and operating costs is not included. The items are/will be included in Note 17 on pages 113–114, Note 18 on page 115, Note 19 on page 116 and Note 10 on page 108.

Targets related to pollution

Lindab's pollution targets adopted by the Board of Directors are directly linked to the emission reduction targets adopted in 2024 and approved by the Science Based Targets initiative. The targets aim to limit global warming to 1.5°C and achieve climate neutrality by 2050 in line with the Paris Agreement and the EU's climate objectives.

Targets to reduce pollution

Note: These targets are focused on reducing air pollution from fossil-fuelled transport, mainly relating to emissions of greenhouse gases and other harmful gases and particulate matter. The targets are not currently covered by specific directives or legal requirements. As the targets are only linked to the current/target year, measurement against a base year is not meaningful for several targets.

Pollution of air, water and soil

Emissions to air

Lindab's E2-4 disclosure focuses primarily on transport-related air pollution and climate-related emissions rather than quantified pollutant-specific emissions to air, water, or soil.

Transport and air pollution: Transport, especially using fossil-fuelled vehicles, is identified as a source of air pollution including nitrogen oxides, volatile organic compounds (VOCs) and particulate matter. Bulky parts in Lindab's product range affect load capacity optimization and transport needs.

Manufacturing of raw materials: During the production of raw materials, including steel, air pollutants such as particulate matter and VOCs may be released upstream.

On-site production: On-site production minimizes transport needs and emissions, enabling faster deliveries and reduced waste. Lindab offers this on a small scale with considerable customer interest.

Emissions to water

No quantified emissions or discharges to water are disclosed.

Water consumption (own operations):

Of this consumption, 81 percent is used by production units in Grevie and Förslöv in Sweden, and in Karlovarska in the Czech Republic. There is currently no water stress in these regions.

Emissions to soil

No quantified emissions to soil are disclosed.

Soil pollution context: In 2024, there were no emissions of hazardous substances that could harm people, soil, water or biodiversity. Lindab conducts operations that result in traces of soil pollution, including an area underneath the former production hall in Grevie, Sweden for which investigations suggest the levels found do not require any action with regard to current operations. The company is following a monitoring program to monitor the pollutants.

E-PRTR disclosure

Lindab explicitly states that ESRS E2-4 paragraph 28 (amount of each pollutant listed in Annex II of the E-PRTR Regulation emitted to air, water and soil) is "Not material" and therefore not disclosed.

Waste management

Waste by type and management method:

Note: Metal waste and waste data referenced on page 191 for hazardous waste and radioactive waste.

Policies and targets

Lindab's policies include the Code of Conduct, Climate and Environmental Policy, Supplier Code and Environmental Requirements for Carriers. The Climate and Environmental Policy focuses on low-emission transport, reduced air pollution through local production, use of decarbonised materials and safe waste management.

Pollution-related targets:

• 50 percent of all freight transport financed by Lindab to be powered by renewable fuels or electricity by 2030, and 100 percent by 2040
• 100 percent of Lindab's company cars to be powered by renewable fuels or electricity by 2024
• 100 percent of transportation agreements between Lindab and first-tier suppliers must include environmental requirements by 2025
• Annually, 100 percent of Lindab's first-tier suppliers to be sustainability certified

No specific legal or regulatory emissions limits are mentioned for these transport-related targets.

Substances of concern and substances of very high concern

Management approach

Chemicals and hazardous substances in products are reviewed through building product declarations, of which data collection from suppliers is a key component. Lindab uses very limited quantities of substances of very high concern. Products containing substances of very high concern are reported to the SCIP (Substance of Concern in Products) database, which aims to promote substitution and the circular economy. Substances of very high concern are present mainly in electronic products, where certain homogeneous metals contain lead.

Lindab endeavours to use materials that promote a healthy working environment, reduce environmental impact and contribute to sustainable buildings. Building product declarations report product content and provide guidelines for disassembly and waste management. All suppliers must fulfil the requirements of Lindab's forthcoming Materials Guide for the management of prohibited and restricted substances in delivered products. The substitution of harmful substances complies with legal requirements and supports Lindab's sustainability work, although it may entail increased operating costs.

DNSH 5 – Pollution prevention and control (Taxonomy)

Lindab complies with the relevant laws and provides building product declarations for most of its range to disclose the materials contained in its products. Lindab endeavours to use safer and more environmentally friendly materials to minimise its environmental impact and promote sustainable buildings. Lindab does not significantly harm any of the following five sub-criteria: persistent organic pollutants, mercury, ozone depleting substances, substances in electrical and electronic equipment and certain hazardous substances.

DNSH 4 – Transition to a circular economy (Taxonomy)

Production and product development units evaluate the availability of, and when possible, adopt technologies that support the requirements of the three sub-criteria: reuse, design, and waste management. Lindab's main material is steel, which is the world's most recycled material. To fulfil the criteria for the traceability of substances, Lindab is working with suppliers to reduce the presence of hazardous substances.

Note: No quantitative tonnage data for substances of concern (SoC) or substances of very high concern (SVHC) are disclosed. The company confirms it uses "very limited quantities" of SVHC and reports these products to the SCIP database in compliance with REACH requirements.

Policies related to water and marine resources

Lindab International has assessed ESRS E3-1 requirements related to water and marine resources as not material.

The company's materiality assessment determined that the following specific disclosure requirements are not material:

• Water and marine resources (paragraph 9)
• Dedicated policy (paragraph 13)
• Sustainable oceans and seas (paragraph 14)

As a result of this materiality assessment, the company has not disclosed a dedicated policy related to water and marine resources or sustainable oceans and seas.

Water consumption

Total water consumption

Lindab's total water consumption for own operations is presented below. Of this consumption, 81 percent is used by the production units in Grevie and Förslöv in Sweden, and in Karlovarska in the Czech Republic.

Water consumption in areas of water stress

The production units in Grevie and Förslöv, in Sweden, and Karlovarska, in the Czech Republic, are the biggest consumers of water. These regions are currently not under water stress and are therefore not considered to have a significant impact.

There is currently no water stress in the regions where the three main production units operate (representing 81% of total water consumption).

Water intensity

Not disclosed.

Water withdrawal by source

Water withdrawal is reported as:

• Drinking water (municipal supply): 41,877 m³ (2024)
• Own well (groundwater): 153,025 m³ (2024)

Water discharge

Not disclosed.

Water recycled and reused

Not disclosed (noted as not material in disclosure requirements table).

Policies related to biodiversity and ecosystems

Lindab has assessed the following biodiversity and ecosystems policy areas as not material:

• Sustainable land/agriculture practices or policies (ESRS E4-2 paragraph 24 (b))
• Sustainable oceans/seas practices or policies (ESRS E4-2 paragraph 24 (c))
• Policies to address deforestation (ESRS E4-2 paragraph 24 (d))

No specific policies related to biodiversity and ecosystems are disclosed, as the company has determined these matters are not material to its operations.

Impact metrics related to biodiversity and ecosystems change

Operations in or near protected areas

Lindab has operations in 20 countries and more than 200 locations, 11 of which are close to protected areas. Its impact is assessed as low, and environmental impact assessments have been carried out for facilities with larger production volumes. The necessary actions have been taken to minimise the impact risk.

Activities within a 10km radius of protected areas are mapped. Of the more than 200 locations, 11 production facilities are located near protected areas.

Assessment context

Lindab's impact from operations near protected areas is assessed as low. Environmental impact assessments have been carried out for facilities with larger production volumes.

The impact from the value chain is assessed as greater and is especially linked to the mining industry.

Resource Use and Circular Economy Policies

Circular Economy Approach: Lindab's sustainability plan includes a focus area on "Circular economy with a high degree of reuse" under the perspective "Reduce the environmental impact from our customers." The company is designing products with long lifetime that can be upgraded, refurbished or recycled, and collaborating within the industry to create circular flows with a focus on reducing environmental impact.

Steel Recovery and Circularity: Steel recovery is efficient, as 100 percent can be recovered without it losing its specific properties. When renovating, the steel in the ventilation products can be easily recovered. Some ventilation products are suitable for reuse.

Reuse Initiatives: The possibility of reuse is an important part of the circular offering. Lindab has seen growing demand from construction and property companies that want to reuse ventilation ducts for renovations, which is why an internal project group was started up at Lindab Sweden in 2024. The Group worked out the structure of the path from the dismantling of an air duct system to complete reassembly. A collaboration with Stadsfastigheter in Malmö was very important in this work, as they dismantled 19 ventilation ducts of different dimensions according to instructions from Lindab. The ducts were then tested on site at Lindab's premises to determine what quality assurance measures needed to be taken and to estimate the cost of producing a reusable straight duct. We have identified the requirements for the dismantling and acceptance of reusable air duct systems, the tests that need to be carried out and the reconditioning process required.

Material Efficiency: Lindab has a long tradition of manufacturing circular ventilation ducts and the amount of steel used to make them has been gradually reduced. In 2024, extensive production, installation, airtightness and transportation tests were carried out to verify that quality and functionality are not compromised in Lindab's standard ducts made from even thinner sheet metal. As this is gradually implemented in the different markets, we will reduce our steel consumption for the manufacturing of circular ducts by 13 percent, which would correspond to around 4,200 tonnes for the reference year 2024, while making installers' jobs easier thanks to the reduced weight.

Waste Reduction Target: Reduce the share of metal waste from own production by 9 percent by 2030, compared to 2023.

Future Target: A measurable target will be set after Lindab Materials Guide has been implemented.

Actions and resources related to resource use and circular economy

Metal Waste Reduction Activities: At Lindab's unit in Haderslev, Denmark, all indoor containers now have a QR code that is scanned when they are emptied. The department, material type and weight are recorded and a Power BI report identifies any problems with specific types of metal waste. The ability to target activities and initiatives, combined with engagement and ideas from employees, is essential for successful metal waste reduction.

Material Reduction in Product Design: Extensive production, installation, airtightness and transportation tests were carried out in 2024 to verify that quality and functionality are not compromised in Lindab's standard ducts made from even thinner sheet metal. This will reduce steel consumption for the manufacturing of circular ducts by 13 percent, corresponding to around 4,200 tonnes for the reference year 2024, while making installers' jobs easier thanks to the reduced weight.

Reuse Program Development: An internal project group was started at Lindab Sweden in 2024 to develop reuse opportunities. The Group worked out the structure of the path from the dismantling of an air duct system to complete reassembly. A collaboration with Stadsfastigheter in Malmö involved dismantling 19 ventilation ducts of different dimensions according to instructions from Lindab. The ducts were then tested on site at Lindab's premises to determine quality assurance measures and estimate costs for producing reusable straight ducts.

Industry Collaboration: Collaborating within the industry to create circular flows with a focus on reducing environmental impact.

Lindab Materials Guide: Development of the Lindab Materials Guide is planned for publication during 2025 to support circular economy initiatives.

Targets related to resource use and circular economy

Metal Waste Reduction Target: Reduce the share of metal waste from own production by 9 percent by 2030, compared to 2023.

Steel Consumption Reduction: As this is gradually implemented in the different markets, we will reduce our steel consumption for the manufacturing of circular ducts by 13 percent, which would correspond to around 4,200 tonnes for the reference year 2024.

Future Measurable Target: A measurable target will be set after Lindab Materials Guide has been implemented (planned for 2025).

Long-term Circular Economy Goals:

• Designing products with long lifetime that can be upgraded, refurbished or recycled
• Collaborating within the industry to create circular flows with a focus on reducing environmental impact
• 100% steel recovery efficiency without losing specific properties

E5-4 Resource Inflows

Lindab reports resource inflows under ESRS E5-4 on page 190 of the Sustainability Report. Efficient resource management and the increased use of recycled materials are essential to preserving natural resources, reducing environmental impacts and managing waste sustainably, while also providing economic benefits. Lindab uses large quantities of raw materials, and steel accounts for the largest share of both consumption and Scope 1, 2 and 3 emissions.

The prioritisation of raw materials and components is based on their relative consumption, impact on emissions and customer demand. Packaging materials have a smaller impact than raw materials, due to lower consumption; wood and cardboard account for the largest share. Lindab's boxes are either reused or made from recycled materials and are FSC Mix certified.

Purchases of raw and packaging materials increased slightly in 2024 compared with 2023. In 2023, purchases decreased as a result of lower order volumes, allowing greater use of existing stock. In 2024, the situation stabilised in several markets, although some are continuing to face challenges due to a changing economic environment. Lindab is working on transitioning to more recycled steel, but the recession and high material costs have been challenging during 2024. Lindab only buys biofuel for energy production and transport.

Raw Materials

Packaging Materials

Recycled Material in Metals in 2024

Accounting Policies

Raw materials – purchased quantity: Purchased quantity refers to the total quantity of materials that Lindab purchased during a specific period, regardless of whether they are new or recycled. Data are based on assumptions and metrics, such as annual raw material reporting and purchasing statistics. The reporting of other raw materials started in 2024, which means that there are no comparable data for 2023. Components and finished products for further distribution are not included in the tables, as data collection at this level is challenging. The new ERP system is expected to make this easier in the future.

Raw materials – recycled quantity: Recycled quantity refers to the quantity of material that comes from recycled raw materials purchased by Lindab during a specific period. Data are currently collected about the share of recycled material in metals. Lindab is investigating options for efficiently collecting similar data for more material types.

Packaging materials – purchased quantity: Data are based on a combination of assumptions and direct measurements. Assumptions are based on average values derived from measurements, such as the annual reporting of packaging materials. Purchased quantity refers to the total quantity of materials that Lindab purchased during a specific period, regardless of whether they are new or recycled.

Recycled material in metals: The percentage of recycled steel per metal type is based on data from Environmental Product Declarations (EPDs), material certificates from suppliers and information from trade associations such as Worldsteel and Worldstainless. The purchased material mix shows the breakdown of the steel grades that Lindab purchased in 2024.

Resource outflows

Lindab designs products in accordance with current standards to minimise installation waste and thereby contribute to a more resource-efficient process. Products are recognised for high quality, ease of installation and durability.

Product durability and design:

• Products are designed with long lifetime that can be upgraded, refurbished or recycled
• Ventilation ducts and systems are designed to be durable with high precision manufacturing
• Depreciation periods for buildings: 15–50 years; Plant and machinery: 5–15 years; Vehicles and technical equipment: 3–10 years (indicating expected service lives)

Recyclability:

• Steel recovery is efficient, as 100 percent can be recovered without it losing its specific properties
• Lindab offers selected products made from recycled steel as part of its standard range
• In 2024, Lindab delivered the world's first ventilation products made from fossil-free steel
• Cardboard boxes used for packaging are made from recycled materials, and some markets have packaging return schemes

Reuse and refurbishment:

• Lindab has take-back schemes for certain products, such as ventilation machines and decentralised units, whereby the products are refurbished and resold
• Projects are under way in several markets to expand take-back services and enable reuse
• An internal project group worked out the structure of the path from the dismantling of an air duct system to complete reassembly, working with Stadsfastigheter in Malmö to test dismantling and reuse of 19 ventilation ducts of different dimensions

Design improvements:

• Extensive production, installation, airtightness and transportation tests were carried out in 2024 to verify that quality and functionality are not compromised in Lindab's standard ducts made from even thinner sheet metal
• Implementation will reduce steel consumption for the manufacturing of circular ducts by 13 percent, which would correspond to around 4,200 tonnes for the reference year 2024

Recyclable material content:

• 0.2 percent of the volume of steel raw material purchased has been decarbonised (2024)
• Recycled material in metals is tracked as a metric

Target:

• Published EPDs for 50 percent of sales from own manufactured products that are globally available by 2025 (44% achieved in 2024)
• A measurable target for circularity will be set after Lindab Materials Guide has been implemented

Anticipated financial effects from resource use and circular economy-related impacts, risks and opportunities

Local production

Lindab's strategy is to be close to customers, which means moving the production of bulky products from centralised to local units. This reduces transport needs, increases flexibility, enables faster deliveries and reduces waste. On-site production of circular ventilation ducts is particularly suited to large projects and dimensions.

Lindab already applies this methodology by operating small production units for bulky products in locations where it already has operations. These locations are selected based on both the sustainability and financial benefits.

This action is expected to reduce transport pollution and Scope 3 emissions.

Lindab has two mobile production facilities in Sweden. There are plans to expand the concept to other markets, for implementation where it is considered to be useful and value-creating.

Specialised manufacturing

Lindab actively works to use resources efficiently, including energy, materials and expertise. Consolidating specialist expertise and centralising the manufacture of suitable products creates opportunities for optimal development and increased resource efficiency. Lindab has started to evaluate the advantages of large-scale and specialised production. This means that locally manufactured or purchased products can be replaced by more efficient, centralised production whereby resources and expertise are consolidated at shared facilities. At the same time, having a local presence remains a priority, and bulky products will continue to be manufactured locally.

Financial effects:

Implementation may involve some investment linked to production and operating costs for product development. The emission reductions and investments expected by 2030 need to be quantified.

The action is expected to reduce transport pollution and Scope 3 emissions.

Lindab currently has 105 production sites.

Reference to financial statements

CapEx refers to investments while OpEx refers to operating costs. It is not possible to refer to specific information in the financial statements as such detailed information about sustainability-related investments and operating costs is not included. The items are/will be included in Note 17 on pages 113–114, Note 18 on page 115, Note 19 on page 116 and Note 10 on page 108.

Waste

Overview: Manufacturing and material management generate waste both within Lindab's operations and in the upstream value chain. Most of this waste, such as metal waste from steel processing, is recycled, while a smaller part is landfilled. The waste is sorted in accordance with legal requirements in cooperation with local waste management companies.

Metal waste reduction:

• At Lindab's unit in Haderslev, Denmark, all indoor containers now have a QR code that is scanned when they are emptied
• The department, material type and weight are recorded and a Power BI report identifies any problems with specific types of metal waste
• The ability to target activities and initiatives, combined with engagement and ideas from employees, is essential for successful metal waste reduction

Target:

• Reducing the share of metal waste from Lindab's own production by 9 percent by 2030, compared with 2023
• The ratio of metal waste has increased by 3 percent compared with 2023 (2024 status)

Downstream waste:

• Lindab designs products in accordance with current standards to minimise installation waste
• Waste from packaging materials and some installation waste occurs downstream
• When the products reach the end of their life cycle, or if the circumstances of the buildings' use change, they are dismantled for further processing
• The products are usually classified as waste and recycled, taking into account the rules on waste applicable in each market

Waste management approach:

• Lindab's own waste, which mostly consists of steel, is managed according to the waste hierarchy and taken care of by local waste management companies in accordance with the applicable regulations
• Improper waste management may lead to increased costs and environmental risks, which is why Lindab's supplier evaluation program sets requirements for effective waste management
• Lindab is working to reduce waste, focusing on metal waste, hazardous waste and landfill

Metrics tracked:

• Waste, type and quantity by waste management method

Note: Quantitative waste data tables (total tonnes, hazardous vs non-hazardous split, disposal methods) are referenced as metrics but detailed numerical breakdowns are not disclosed in the excerpts provided.

Policies related to own workforce

Code of Conduct: Work on Lindab's Code of Conduct continued in 2024. All employees have been introduced to the code of conduct through their annual performance and development talk or a separate distribution, and have confirmed that they have read the document and understood its contents. The Code of Conduct is part of the introduction program for new recruits. A Lindab Academy training course on the Code of Conduct has been developed and will be launched in 2025.

Core Values: Lindab's core values guide the organization:

• Customer success: We believe that our customers' success drives our success. We achieve this by leading the development of solutions in our core segments.
• Down to earth: We strive for long-lasting relationships built on an uncomplicated, humble and trustworthy approach. Efficient and fast decision-making is an important part of this.
• Neatness and order: Neatness and order throughout impacts efficiency, as well as the company's general image, and contributes to a sense of pride among employees.

Employee Strategy: Lindab's long-term goal is to be an attractive employer with skilled and motivated employees. Our employee strategy is linked to Lindab's five global strategic areas:

• Quality: We offer our employees support, development opportunities and a pleasant, neatness and order working environment, which helps to create motivation and pride in the company.
• Efficient: Through modern working methods, a culture of internal and external collaboration and a down-to-earth way of thinking, we create safer, more enjoyable and more efficient workplaces.
• Local: We strive to create local and global partnerships, in order to increase opportunities for our employees to grow internally within the Lindab Group.
• Trusted: Lindab takes responsibility for providing its employees with good leaders and the right conditions for a safe and inclusive workplace that enables personal growth.
• Market leader: As our employees are the most skilled and committed people in the market, the right conditions are in place for us to be part of our customers' success.

Decentralised Responsibility: We believe in decentralised responsibility whereby each subsidiary can quickly adapt its operations. Since 1959, trust in Lindab has been built up through our entrepreneurial spirit, where every employee is able to take responsibility and solve any problems as they arise. This puts the focus on implementation and on delivering results.

Taking action on material impacts on own workforce

Lindab has implemented and is planning further actions in both its own operations and in the value chain to reduce negative impacts on its own workforce, while at the same time reinforcing the positive impacts. The actions expected to have the greatest effect on the targets' attainment are listed in each section.

Lindab strives to ensure that its operations and the sustainable transition do not have an negative impact on employees by following established policies and conducting double materiality assessment. Lindab is working towards a close and open dialogue with employees, union representatives and other stakeholders to better understand their needs and expectations. Performance and Development Talks (PDT) as well as employee surveys help to identify potential problems at an early stage. This approach allows the right measures to be taken to prevent unwanted negative impacts, while meeting sustainability targets without compromising employee well-being.

Acquisition due diligence: Prior to each acquisition, a due diligence process is carried out, which includes an analysis of both the workforce and the working environment of the acquired company. This process ensures that Lindab can identify potential risks and opportunities, and take action to harmonise and improve the working environment across the Group.

Actions and Resources

The results of the actions implemented have had a positive impact and contributed to the meeting of the motivated employee target for the fifth year in a row. The fact that 90 percent of employees recommend Lindab as an employer requires continuous improvement. The planned measures are expected to continue to promote employee satisfaction and strengthen Lindab's position as an attractive employer, making Lindab more competitive in the labour market.

Lindab Pulse Survey

• Description: Regular employee surveys covering the entire Group, including newly acquired companies. Surveys are voluntary and anonymous to ensure honest responses.
• Scope: Own operations (global)
• Resources: CapEx/OpEx approximately SEK 200 thousand per year for measurement tool
• Target: Each year, be recommended as an employer by at least 90 percent of employees
• Status: 90 percent of employees recommend Lindab as an employer. Response rate for 2024 was 77 percent (highest ever)

Activity plans

• Description: Following completion of the Lindab Pulse Survey, companies and departments within the Group put together activity plans to follow up on results and further improve the working environment, working conditions and job satisfaction. Work carried out on the platform for the employee survey.
• Scope: Own operations (global)
• Resources: Not specified
• Target: Lindab is endeavouring to ensure that all departments within the Group work on activity plans to improve the working environment
• Status: Following the 2024 Pulse Survey, 305 activities have been documented so far

Performance and development talks

• Description: Carried out continuously with the aim of improving each employee's work situation and promoting development. In 2024, Lindab started a project to review the process and system for performance and development talks to improve data, ensure better measurement methods and increase availability of materials.
• Scope: Own operations (global)
• Resources:
  • Existing system: approximately SEK 1.5 million per year
  • New system: under implementation, costs not yet estimated
• Target: All white-collar employees participate in the performance and development talk process each year, and all employees will participate in the process from 2027 onwards
• Status: 91 percent of white-collar employees invited had performance and development talks in 2024

Equal opportunities in recruitment

• Description: Increased cooperation with external recruitment companies to reach a broader and more equal target group. Project initiated in 2024 to develop a global recruitment process and Group-common recruitment system. The system will also facilitate internal mobility and provide better overview of high potential women employees.
• Scope: Own operations (global)
• Resources:
  • External recruitment companies: costs not currently consolidated at Group level
  • New system: under implementation, costs not yet estimated
• Target: By 2030, Lindab should have the same proportion of women and men in senior management positions as the Lindab Group as a whole
• Status: In 2024, 23 percent women and 77 percent men within the Group. In senior management positions: 22 percent women and 78 percent men (roughly same distribution as previous years)

Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities

Employee Satisfaction Target: Each year, be recommended as an employer by at least 90 percent of the employees.

Target: 90% Outcome 2024: 90%

Working at Lindab should be enjoyable. We aim for at least 90 percent of our employees to recommend Lindab as an employer. This is measured in the Lindab Pulse Survey every year. Lindab must be an employer that is able to both attract new talent and retain the right skills. In 2024, 90 percent of Lindab's employees recommended us as an employer, which means that we achieved our target for the fifth year in a row.

Gender Diversity Target: By 2030, Lindab should have the same proportion of women and men in senior management positions as the Lindab Group as a whole.

Staff Turnover Target: Lindab should have an annual staff turnover rate of 5–10 percent.

Health and Safety Targets:

• Reduce the number of workplace accidents per hours worked (LTIF) to 4 or below by 2026.
• Long-term vision of zero accidents.

Target: <4.0 LTIF by 2026 Outcome 2024: 3.6 LTIF

In 2024, the LTIF decreased to 3.6, compared with 9.0 in 2023. The measures implemented in 2023 have had a positive impact, helping to reduce risky behaviours and create a safer working environment. Developments are closely monitored to achieve further improvement.

Characteristics of the undertaking's employees

At the end of the year, Lindab had 5,123 employees in more than 200 locations.

Average number of employees: 5,147 (2024), compared to 4,960 (2023), 4,801 (2022), 4,534 (2021), and 4,546 (2020).

The company has experienced steady growth in employee numbers, reflecting business expansion through acquisitions and organic growth.

Characteristics of non-employees in the undertaking's own workforce

Not disclosed.

Lindab does not provide specific information about the number, type, or characteristics of non-employee workers (such as contractors, agency workers, or self-employed individuals) in its own workforce in the sustainability report excerpts. The report references employee data in S1-6 and states that 'All employee data are based on actual data and own employees,' but does not separately quantify or characterize non-employee workers.

Collective bargaining coverage and social dialogue

Overview

48 percent of Lindab Group employees are covered by collective bargaining agreements. Conditions for employees that are not covered by a collective bargaining agreement are determined by local legislation and stipulated in their employment contracts. Information about significant organisational changes is communicated in good time to employee representatives, or directly to employees whose employment is significantly affected. Lindab complies with local legislation and/or collective bargaining agreements.

Collective bargaining coverage by country

Freedom of association

At Lindab, all employees have the right to freedom of association and the power to negotiate freely with their employer. As legislation on trade union independence varies between countries, the approach to managing freedom of association and union negotiations may differ. Lindab respects the right of every employee to form and join a trade union, organise themselves and participate in collective or individual bargaining. This also includes the right to refrain from joining a trade union.

Social dialogue and employee engagement

Lindab strives to create a working environment characterised by an open atmosphere in which every individual feels welcome and encouraged to share their ideas and opinions. In the 2024 employee survey, 77 percent of respondents said that they feel safe sharing their opinions and that their department is characterised by trust and openness.

Accounting policies

Metric: Percentage of employees covered by collective bargaining agreements

Basis of calculation: Every company reports each year whether they have collective bargaining agreements and which groups of employees are covered.

Uncertainty: The uncertainty is not considered to be significant.

Diversity metrics

Gender Diversity Target: By 2030, Lindab should have the same proportion of women and men in senior management positions as the Lindab Group as a whole.

Note: Specific diversity metrics and current gender distribution data are not provided in the available report sections.

Adequate wages

Lindab addresses adequate wages under ESRS S1-10, cross-referenced to the section "Fair wages and equal pay for work of equal value" on page 202.

Benchmark and methodology

Lindab states: "Lindab recognises its employees' value by ensuring fair and equal pay" and emphasizes that "the working environment should be balanced and each individual should feel fairly rewarded for their commitment and performance."

The company's approach is based on:

• Annual salary surveys in Swedish, Norwegian and Finnish operations "in accordance with current legislation and collective bargaining agreements"
• Objective salary setting with trade union consultation
• Action plans developed in consultation with employees' immediate managers to address any differences
• Compliance with "prevailing national legislation and collective bargaining agreements" in other countries

Lindab explicitly states it "constantly strives to attract, develop and retain qualified employees by offering secure employment, fair wages and a good working environment."

Living wage benchmark

No explicit living wage benchmark (such as Fair Wage Network, WageIndicator, Anker Methodology, or similar) is disclosed. The methodology relies on:

• Legal minimum wage compliance
• Collective bargaining agreements
• Internal salary surveys

Coverage and scope

No specific percentage of workforce assessed against a living wage benchmark is provided. The disclosure covers the Group globally, with salary survey practices varying by country (Swedish, Norwegian and Finnish operations specifically mentioned for annual surveys; other countries follow "prevailing national legislation and collective bargaining agreements").

Future developments

Lindab states: "In 2025, Lindab will create a common job architecture for the entire Group. A global job architecture will increase Lindab's ability to evaluate every position based on the same principles, and increase the possibility of transparency in the setting of wages, in order to better comply with the Pay Transparency Directive."

Additional information

Lindab notes that it "does not currently consolidate differences in pay at Group level." A remuneration report comparing CEO wage development with average employee remuneration is prepared for the annual general meeting.

Personnel costs are referenced in Note 6 on page 102.

Social protection

Coverage and scope

Lindab is working to improve the conditions required for health from three perspectives: promoting, preventing and remedying/rehabilitating. Healthcare is offered to employees to inspire them to maintain, change and/or improve their personal health, to show the importance of balance in life and to underscore employees' own responsibility for their health. Each subsidiary is responsible for providing wellness services to its employees.

Social protection against major life events

Social protection for employees in the event of major life events varies according to local legislation.

Sweden (largest employee base):

• All employees are covered by social protection in the event of:

  • Sickness
  • Unemployment
  • Occupational injuries and acquired disabilities
  • Parental leave
  • Retirement

• This protection is partly covered by Lindab, but is mainly provided through public benefits, insurance and schemes.

Healthcare services in Sweden:

• Lindab is affiliated with Falck, which offers services whereby employees can call in sick and receive advice from trained healthcare professionals
• A wellness allowance is also offered to all permanent employees, and to those with a fixed-term contract of more than six months
• If an injury has already occurred, a rehabilitation plan is drawn up and adapted to each case

Future disclosure plans

Lindab plans to start collecting information about social protection for employees in other countries in 2025.

Training and skills development metrics

Performance and development talks coverage

Note: In 2024, 91 percent of the white-collar employees invited had performance and development talks. Lindab is currently unable to present PDT's broken down by gender for all employees. From 2027 onwards all employees will be invited to this process.

Training program availability

Lindab Academy covered 29 companies and approximately 1,764 employees in 2024. A total of 187 courses are available through Lindab Academy.

Number of training courses by category

Methodology note

As not all employees in the Group have access to Lindab Academy, which is the system for the monitoring of training-related data, figures for the number of training hours completed cannot be reported. A Group project has been initiated to implement a Group-common HR system, through which all employees are expected to have access to the online part of Lindab Academy within one to two years.

Health and safety metrics

Work-related accidents (LTIF)

Workplace accidents, employed and temporary staff (2024 vs 2023)

Days lost

In 2024, 699 days were lost due to workplace accidents; the corresponding figure in 2023 was 1,044 days.

Coverage and methodology

Health and safety management system coverage: 15% of employees are covered by a certified health and safety system. Companies certified include AC Manufacturing, Irish Ventilation & Filtration, Lindab Factory Karlovarska, Lindab Ireland, Lindab Romania and Lindab Slovakia. Several companies have management systems and are preparing for certification.

All companies use a common incident and accident reporting system (TIA). Workplace accidents and incidents cover Lindab's own employees and contracted staff. For LTA, the injury must be confirmed by a doctor, and it is the doctor who will issue a sick note due to the injury. Lindab does not record work-related ill health in cases where legislation restricts the possibility of collecting such information.

The LTIF target is ≤4.0 by 2026, with a long-term vision of zero accidents.

Work-life balance metrics

Work-life balance (S1-15)

Work-life balance is crucial for employees' well-being. All Lindab employees have the right to take leave for family reasons. Reporting on employees taking leave due to family reasons is not yet consolidated at Group level.

Reasonable workloads and good working hours promote both physical and mental health, create a work-life balance, increase work engagement and reduce the risk of fatigue and sick leave. Lindab strives to create a healthy work environment that not only increases employee well-being, but also drives increased productivity and long-term success for the company.

Employee satisfaction with workload

Source: Lindab Pulse Survey

Family-related leave

No quantitative metrics on entitlement to or take-up of family-related leave (maternity, paternity, parental, or family care leave) are disclosed. The company states that reporting on employees taking leave due to family reasons is not yet consolidated at Group level.

Return-to-work rate after parental leave

Not disclosed.

Compensation metrics

Pay gap

Not disclosed.

Remuneration ratio

Lindab does not disclose a specific CEO-to-median employee remuneration ratio in the sustainability report.

However, remuneration information is provided in the financial statements. In 2024:

• CEO (Ola Ringdahl) total remuneration: SEK 12,417,935
• Other Executive Management (8 individuals) total remuneration: SEK 20,502,825

The remuneration breakdown for the CEO includes:

• Fixed wage including holiday pay: SEK 7,855,080
• Variable remuneration: SEK 1,990,393
• Pensions: SEK 2,345,782
• Benefits: SEK 226,680

The company states that a remuneration report comparing the CEO's wage development with the average remuneration of other employees is prepared and presented at the annual general meeting, but the actual ratio is not disclosed in this report.

Methodology

The sustainability report references ESRS S1-16 in the disclosure requirements table (page 220) and cross-references to "Fair wages and equal pay for work of equal value: 202". However, that section does not contain the specific metrics required under S1-16 (unadjusted gender pay gap percentage or annual total remuneration ratio). The company notes that it does not currently consolidate pay differences at Group level and that personnel costs are presented in Note 6.

Incidents, complaints and severe human rights impacts

Lindab has zero tolerance for all forms of violence and harassment. This commitment is clearly stated in Lindab's Code of Conduct and Equal Opportunity Policy, which describe how Lindab deals with these issues.

Monitoring and reporting

At Group level, situations involving discrimination, harassment and human rights violations are followed and monitored through the whistleblowing system and the employee survey, Lindab Pulse Survey. However, incidents and reports beyond these channels are not consolidated at the Group level.

Incidents of discrimination and harassment

The 2024 Lindab Pulse Survey included questions about discrimination, bullying and sexual harassment:

• 2 percent of respondents said that they had experienced discrimination or bullying in the last twelve months
• 5 percent declined to answer the question about discrimination or bullying
• 0 percent said that they had been subjected to unwanted sexual attention
• 2 percent declined to answer the question about sexual harassment

Whistleblowing cases

One of the cases reported through the whistleblowing system in 2023 was linked to harassment. The case was investigated and resulted in a warning. For more information about cases reported through the whistleblowing system, see page 217 under the heading Protection of whistleblowers.

Severe human rights impacts

To the best of the Group's knowledge, no incidents or human rights violations have been reported within the own operations.

Fines and compensation

To the best of the Group's knowledge, no fines or compensation related to discrimination cases have been paid.

Future actions

Lindab will focus more on actions to reduce the risk of discrimination, bullying and harassment in 2025. The nature of the actions and the actual work will be determined during the year, with the aim of creating an even more inclusive working environment for all employees.

Governance

Each individual company within Lindab is responsible for working preventively and for dealing with any situations that may arise.

Business conduct policies and corporate culture

Code of Conduct: Work on Lindab's Code of Conduct continued in 2024. All employees have been introduced to the code of conduct through their annual performance and development talk or a separate distribution, and have confirmed that they have read the document and understood its contents. The Code of Conduct is part of the introduction program for new recruits. A Lindab Academy training course on the Code of Conduct has been developed and will be launched in 2025.

Core Values: Lindab's corporate culture is built on three core values:

• Customer success: We believe that our customers' success drives our success. We achieve this by leading the development of solutions in our core segments.

• Down to earth: We strive for long-lasting relationships built on an uncomplicated, humble and trustworthy approach. Efficient and fast decision-making is an important part of this.

• Neatness and order: Neatness and order throughout impacts efficiency, as well as the company's general image, and contributes to a sense of pride among employees.

Entrepreneurial Spirit and Decentralised Responsibility: We believe in decentralised responsibility whereby each subsidiary can quickly adapt its operations. Since 1959, trust in Lindab has been built up through our entrepreneurial spirit, where every employee is able to take responsibility and solve any problems as they arise. This puts the focus on implementation and on delivering results.

Ethical Business Targets:

• Annually maintain zero occurrence of corruption across all of Lindab's operations.
• Annually maintain zero tolerance for retaliation against all whistleblowers.

Community Involvement: At Lindab, we want to be a good corporate citizen and encourage different forms of engagement that are able to contribute to a better society. Examples include:

• Support for cancer research through TV2's annual Knæk Cancer gala in collaboration with Kræftens Bekæmpelse
• Participation in Football Shirt Friday to support the Childhood Cancer Fund
• Support for community activities linked to Lindab's operations and nearby surroundings
• Create good conditions for engagement in non-profit work

Management of relationships with suppliers

Supplier Certification Program: Lindab's tier 1 suppliers will be sustainability certified on a regular basis. The target is for all suppliers to be certified. Since 2021, when the certification process was introduced, 91 percent of suppliers have been certified, which is a lower rate than Lindab had hoped for. This is partly explained by the addition of new suppliers through acquisitions. From an initial focus on certifying suppliers in the highest risk countries, the focus is now on certifying all suppliers.

Target: 100% of first-tier suppliers sustainability certified annually Outcome 2024: 91% certified (increased from 73% in 2023)

Supplier Code of Conduct: Annually, for 100 percent of Lindab's first-tier suppliers to have signed the Supplier Code of Conduct.

Supplier Coverage: The supplier certification covers suppliers in low- and medium-risk countries representing purchases equal to more than SEK 100 thousand and suppliers in high-risk countries representing purchases equal to at least SEK 25 thousand. Suppliers added through acquisitions will be certified during their first year as part of the Group. 96 percent of Lindab's suppliers are in low- or medium-risk countries.

Transportation Agreements: 100 percent of the transportation agreements between Lindab and first-tier suppliers must include environmental requirements by 2025.

Collaboration on Sustainability: Collaborating with customers and suppliers to create transport solutions focused on reducing the environmental impact.

Steel Sourcing: Centralised sourcing of steel makes the sourcing process efficient and offers Lindab benefits such as a secure supply of raw materials. Having access to decarbonised steel is a prerequisite for Lindab to successfully achieve a sustainable transition. We are therefore working with a number of steel mills in Europe to drive forward the development of decarbonised steel and to ensure a secure supply of decarbonised steel in the future.

Decarbonised Steel Partnerships:

• Tata Steel Netherlands: Lindab signed a memorandum of understanding in 2024 for deliveries of the decarbonised steel Zeremis®.
• Stegra (formerly H2 Green Steel): A previous agreement between Stegra and Lindab has been converted into a seven-year supply agreement with deliveries scheduled to start in 2026. The total volume covered by the agreement with Stegra is 159,000 tonnes of their near-zero emission steel.

Prevention and detection of corruption and bribery

Target: Annually maintain zero occurrence of corruption across all of Lindab's operations.

Code of Conduct Implementation: Work on Lindab's Code of Conduct continued in 2024. All employees have been introduced to the code of conduct through their annual performance and development talk or a separate distribution, and have confirmed that they have read the document and understood its contents. The Code of Conduct is part of the introduction program for new recruits. A Lindab Academy training course on the Code of Conduct has been developed and will be launched in 2025.

Whistleblower Protection: Annually maintain zero tolerance for retaliation against all whistleblowers.

Incidents of corruption or bribery

Confirmed incidents

Lindab reported zero confirmed incidents of corruption or bribery in 2024. The company explicitly states:

"Annually maintain zero occurrence of corruption across all of Lindab's operations."

The company confirms this target was met:

"No corruption-related incidents occurred during the year or were brought to Lindab's attention."

Convictions and fines

No convictions or fines related to corruption or bribery were reported for 2024.

Disciplinary actions

No employees were dismissed or disciplined due to corruption or bribery in 2024.

Contracts terminated

No contracts with business partners were terminated or not renewed due to corruption or bribery in 2024.

Investigation procedures and speak-up mechanisms

Lindab maintains a zero tolerance approach to corruption as set out in its Anti-Corruption Policy. The company has implemented the following measures:

Whistleblowing system: Lindab operates a whistleblowing system (WhistleB) in accordance with EU Directive 2019/1937 that:

• Enables anonymous reporting where local legislation allows
• Can be accessed from any device
• Provides confidential handling of cases
• Protects whistleblowers from retaliation
• Is accessible via the intranet, company website, and can be used externally

Investigation process: Only designated individuals have access to reports:

• The Group General Counsel
• An external lawyer specializing in local legislation

Investigations are conducted independently in accordance with applicable legislation and regulations to ensure prompt handling.

Supplier due diligence: The company conducts systematic due diligence reviews prior to all acquisitions and requires suppliers to comply with Lindab's Supplier Code, which includes anti-corruption requirements.

Risk assessment: Lindab uses the Corruption Perceptions Index (CPI) to assess corruption risk. The company currently operates only in countries with low or medium risk of corruption. The Purchasing and Sales Departments are identified as areas with highest corruption risk.

Training: From 2025, anti-corruption training will be included in Lindab's Code of Conduct training course for all employees.

Annual audits: Lindab conducts annual internal audits to ensure compliance and minimize corruption risks.

Political influence and lobbying activities

Political engagement approach

Lindab is involved in several trade associations and cooperation forums. At both local and EU level, sustainability matters are actively pursued in the building sector, focusing on ventilation. This provides an early understanding of upcoming trends and legislative changes. Continuous dialogue about environmental, social and governance issues is maintained with experts and organisations.

Lindab actively participates in various trade associations and forums at both European and local levels with the aim of accelerating and improving sustainable construction, including healthy indoor climate requirements.

Focus areas

Lindab focused on the following issues in 2024:

• Standards for calculating the climate impact of ventilation products
• The need to consider the entire life cycle of a building to build sustainably
• The role of ventilation systems in energy reduction for buildings

Lindab plans to initiate efforts to create more harmonised standards for rectangular ventilation in Europe.

Trade association memberships

In 2024, Lindab was involved in more than 50 trade associations and forums in a total of 16 of its 20 markets. Lindab is a member of the following:

• Eurovent
• Svensk Ventilation and other local ventilation trade associations
• Swedish Institute for Standards – technical committees for ventilation and fasteners
• Tightvent
• The Swedish Institute of Steel Construction and other local steel trade associations
• Passive House Trust in the UK
• LFM30, Gothenburg's Climate Platform and other local initiatives linked to sustainable construction

Political contributions

Lindab does not make any contributions, directly or indirectly, to any candidates for public office, political parties or other political organisations, only to trade associations.

Lindab does not make any financial contributions to political organisations, but only contributes through membership of trade associations.

Materiality assessment

Lindab is involved in several trade associations. As this work affects a limited part of the construction industry, political engagement is not considered to be a material topic according to Lindab's double materiality assessment. The company's influence is limited to a small part of the construction industry.

Regulatory influence activities

Lindab actively works at national and European levels to reinforce energy efficiency requirements, especially for ventilation products. During the year, a working group within the European trade association Eurovent worked to further develop Svensk Ventilation's common interpretation of the criteria for ventilation. The aim is to arrive at a harmonised European interpretation and to extend the number of eligible HVAC (Heating, Ventilation and Air Conditioning) products. Eurovent's recommendation for further development of the criteria will be shared with the Taxonomy's expert group, the Platform for Sustainable Finance.

Payment practices

Lindab's 2024 sustainability report acknowledges payment practices as part of supplier relationship management but does not provide quantitative disclosures for ESRS G1-6.

The report states:

"Lindab values long-term relationships with suppliers and endeavours to create conditions that benefit both Lindab and the suppliers' business activities. The choice of suppliers is a strategically important issue for Lindab and is partly managed through a Supplier Program."

The topic is categorized as "important but not considered to be material" in the materiality assessment.

Accounts payable contractual terms

Note 28 mentions that "Contractual payment terms exist in these underlying agreements which govern the times of future payment streams" in relation to accounts receivable, but does not disclose specific payment terms or practices for accounts payable.

No specific metrics are disclosed for:

• Average time to pay invoices
• Standard contractual payment terms by percentage of payments
• Number or value of legal proceedings for late payment
• Compliance with prompt payment codes