Thermador Groupe

Thermador Groupe describes a CSR governance structure rooted in values held since 1968 and first reported in 2012. Each subsidiary appoints a carbon officer to run its carbon footprint and reduction plans, and some appoint a CSR officer to track the subsidiary action plan. Cross-subsidiary groups coordinate best practice, including the voluntary Thermavert group promoting eco-actions and the Enjeux Bas Carbone group of carbon officers. The Executive Committee sets the Group's sustainability targets and decides on action plans. A Sustainable development unit, created in 2022, reports to Group General Management and sits on the Executive Committee; in 2024 a CSR controller position was created to improve the processing and reliability of extra-financial data. The Board of Directors challenges the Executive Committee on strategy. A Sustainable development committee, set up in 2020, is chaired by independent Board member Mathilde Yagoubi and assists the Board in monitoring CSR issues. Detailed information is cross-referenced to Chapter 2, the Corporate Governance Report.

Thermador Groupe reports how sustainability information reaches its governance bodies. The Board of Directors, which includes 5 independent members, held 9 meetings in 2024, 6 of them with a sustainability item, and works through three interacting committees: the Sustainable development committee, the Audit committee, and the Remuneration and nomination committee. The Sustainable development committee (C3D), with 3 independent members including its chair plus 1 employee member and 4 regular guests, met 6 times. The Executive Committee, with 9 members, held 22 fortnightly meetings where CSR was systematically on the agenda, plus 2 three-day Green Executive Committees in July and December. Management committees held 19 meetings, Thermavert met 4 times, carbon officers met 4 times plus a dedicated day, and subsidiary CSR committees held 31 meetings. In 2024 the Sustainable development committee reviewed the data collection protocol covering extra-financial information, risk mapping, reporting methodology, and the independent external audit, then deferred its work to the Board. The Board was also presented with the results of the double materiality analysis and an update on its new CSRD responsibilities.

Thermador Groupe integrated CSR criteria into corporate officer remuneration in 2021. The variable remuneration of Chairman and CEO Guillaume Robin and Deputy CEO Patricia Mavigner is based on social, environmental and governance criteria. Of the 19 criteria, 4 relate to mitigating greenhouse gas emissions across Scopes 1, 2 and 3. In 2024 these criteria represented 26.3% of variable remuneration for Guillaume Robin and 25.8% for Patricia Mavigner. In 2022 the Remuneration and nomination committee proposed moving to a consolidated indicator representing the Group's sustainability performance, measured by the achievement rate of the 19 objectives, which reached 109.3% in 2024. Since 2024, the variable remuneration of all corporate officers has included these annual performance criteria. The only remuneration paid to external Board members is linked to attendance.

Thermador Groupe states that the Group and its subsidiaries remain below the thresholds set by the French duty of care regulations adopted in 2017, but describes a long-standing practice of ensuring suppliers and partners respect human and social rights, based on long relationships, regular visits and audits by internal teams or mandated external bodies. It has progressively deployed measures: a whistleblower system in 2019, a responsible purchasing charter in 2021, a common CSR rating grid deployed across subsidiaries (CSR criteria added and integrated into ratings by 2024), and in 2023 the Compliance Catalyst tool from Bureau van Dijk (a Moody's Analytics company) covering over 400 million companies to screen suppliers for controversial practices and assess governance. A working group formalising supplier CSR audits, set up in 2023, established audit guidelines and the choice of bodies in 2024, with audit triggering criteria to be defined in 2025. Related indicators for 2024 include 86.2% of turnover from rated suppliers, 91% from ISO 9001 or 14001 certified suppliers, and 92.2% from suppliers signing the Responsible Purchasing Charter.

Thermador Groupe reports that sustainability risks, like all Group risks, are managed by senior management within an appropriate governance and control framework. The double materiality analysis carried out in 2024 strengthened the identification of risks specific to Thermador Groupe, and the methodological update of the carbon footprint led the Group to review the risks associated with climate change. The methodology and conclusions of the double materiality analysis are set out in the IRO-1 section. The policies and action plans presented across the Sustainability Statement reflect the adjustments put in place to mitigate these risks.

Thermador Groupe is a federation of specialist distribution companies that distribute equipment and accessories for the circulation of fluids in construction, public works and industry, plus large tools for the general public and professionals. Its subsidiaries act as the interface between manufacturers and wholesalers, DIY superstores, factories, swimming pool professionals, e-merchants and marketplaces. Customers include wholesalers of heating and sanitary equipment, pumps, valves and fittings, industrial suppliers, public works companies and DIY players; suppliers are manufacturers worldwide. The Group positions its activities at the heart of the ecological transition through selecting sustainable products, developing eco-design and upgrading ranges toward water- and energy-saving products. Reported resources include equity of 382.4m euros, a cash position of 63.3m euros, more than 1,099 partner factories, 33,724 partner customers, 821 employees and 129,018 square metres of storage and workshop space. In 2024 turnover was 503.89m euros, down 13.5%, with operating income of 60.2m euros. The green nature of the products marketed by Alto Metering was decisive in its acquisition.

Thermador Groupe prioritises dialogue, transparency and listening across its economic and social relations, using ongoing dialogue to integrate stakeholder expectations into strategy, operations and commitments. It identifies five major stakeholders: employees, who contribute work and skills; customers, whether distributors or end-users; investors, shareholders or bankers, who provide capital; suppliers and partners; and public, local and regulatory authorities. Stakeholders are ranked by three levels of influence, from essential to the Group's existence, through significant influence on a project or major activity, to one-off or limited impact. Interaction methods vary by group: open-plan offices, monthly all-employee meetings and annual reviews for employees; 149 travelling and 162 technical sales representatives in daily contact with customers; half-yearly results, the Annual General Meeting and investor forums for investors; daily exchanges, site visits and annual assessments for suppliers; and participation in industry committees and the AMF for public authorities. Stakeholder expectations range from job security and health and safety, through financial sustainability and ESG performance, to compliance and environmental respect. Feedback is used to amend strategies and is regularly shared with governance bodies.

Thermador Groupe's double materiality assessment, carried out in 2024, found the material topical standards to be E1 Climate change, E3 Water and marine resources, E5 Resource use and circular economy, S1 Own workforce, S2 Workers in the value chain, and G1 Business conduct. E2 Pollution, E4 Biodiversity and ecosystems, S3 Affected communities, and S4 Consumers and end-users were assessed as not material; work on the upstream value chain did not highlight materiality for pollution, biodiversity, ecosystems, or aquatic and marine resources, though additional studies may revisit this. Material issues identified include, under impact materiality, preserving water resources (E3), waste management (E5), health and safety, diversity and inclusion, responsible supply chain working conditions and human rights (S2), team stability, supplier relations and corruption prevention (G1). Under combined financial and impact materiality: greenhouse gas emissions (E1), circular economy incoming resources (E5), job security and value sharing, working hours, social dialogue and skills development (S1), responsible governance and corruption incidents (G1). Climate change adaptation (E1) was assessed as financially material. The strategy and business model are designed to be responsive to these material issues, supported by 19 medium and long-term priorities.

Thermador Groupe carried out its double materiality analysis from April to October 2024 in four stages: a preliminary framing phase, identification of impacts, risks and opportunities (IRO), assessment and determination of material IRO, and validation by management and the Board of Directors. The two central stages involved internal and external stakeholders. Thematic workshops on Environment, Social and Governance brought together Sustainable development functions, delegated general management, subsidiary purchasing, sales and administration departments, and Works Council members, who rated the IRO before validation by arbitration committees. A senior management survey assessed financial risks and opportunities linked to environmental issues, including climate change, with detailed analysis by subsidiary, product family and issue type. External stakeholders, including shareholders, suppliers, customers and environmental experts, were consulted. The analysis assessed impact materiality by seriousness (extent, irreversibility) and probability, and financial materiality by magnitude and probability of financial effects. The rating scale, inspired by the CRCC, cross-referenced impact levels (low to critical) with probability (rare to certain), using an average-based materiality threshold. Results were validated at four arbitration committees, reviewed by the Sustainable development and Audit committees, and audited by KPMG, the Statutory Auditors.

Thermador Groupe provides the ESRS 2 IRO-2 disclosure through Appendix B, a table listing the data points from ESRS 2 and the thematic standards that derive from other EU legislation, mapping each publication requirement to the Group's response and to SFDR, Pillar 3, benchmark regulation and EU climate law references. It records where each requirement is addressed. For example, ESRS 2 GOV-1 board gender diversity and independence (reported as 55.6%) is cross-referenced to Chapter 2, the Corporate Governance Report, and GOV-4 is addressed in its dedicated section. Several SBM-1 data points, covering involvement in fossil fuel, chemical production, controversial weapons and tobacco activities, are marked Not concerned. Climate data points under ESRS E1 are addressed in the E1 sections, including the transition plan (E1-1), GHG reduction targets (E1-4) and gross Scope 1, 2 and 3 emissions (E1-6), while certain E1-9 physical risk disaggregations are treated as transitional measures. The appendix cross-references the material topical standards E1, E3, E5, S1, S2 and G1 to their relevant disclosure requirements and page locations in the statement.

Thermador Groupe states it does not yet have a Group transition plan, but one is being drawn up that will include a comprehensive plan to reduce carbon emissions and the first actions on carbon contribution. The Group intends to minimise its emissions through three levers: reducing its own emissions across Scopes 1, 2 and 3; offering customers products and services to accelerate their transition; and encouraging all stakeholders to become involved in the low-carbon transition. The section also notes the reduction target is not yet compatible with the 1.5 degrees C limit of the Paris Agreement, citing a 2030 medium-term horizon, a value chain that emits relatively few emissions, energy-intensive supplier manufacturing processes with no known alternatives, and already advanced use of recycled materials.

The Group reports that Thermador Groupe and its subsidiaries are committed to combating climate change and drew up an environmental policy in 2024, published on its website in the sustainability section, covering both climate change mitigation and adaptation. Governance of the climate strategy is managed at the highest level: the Sustainable Development unit reports to Group General Management and sits on the Group Executive Committee, with sustainability issues addressed by Board committees (cross-referenced to ESRS 2 GOV-1 and GOV-2). Action plans are drawn up with operational functions, carbon officers and the Sustainable Development unit, with subsidiary managers responsible for achieving objectives. The Group notes over 90% of its carbon emissions come from product-related items.

The Group describes the human, financial and technical resources allocated to its climate policies: a sustainability team supporting subsidiaries, carbon officers in every subsidiary, external consultants, and internal and external training. Total salaries and services paid in 2024 to progress these issues amounted to 830k euros, and resources for building audits, renovation and management exceeded 375k euros. Five key levers are set out: enhancing skills and training (over 600 people took part in Climate Fresks), making strategic product choices, promoting eco-design, developing longevity and repairability, and engaging manufacturing partners. Actions on buildings include energy audits, energy efficiency plans, insulation and refurbishment work, Building Management Systems and photovoltaic panels and trackers. Adaptation actions focus on identifying and mapping risks, and carbon offsetting actions by three subsidiaries are described separately.

In 2021 the Group set four key CO2 reduction targets with a 2030 horizon and a 2025 milestone, using 2021 as the reference year. The targets are: Scope 1 vehicle fleet emissions from 3.49 tCO2e per vehicle to below 2.72 by 2025 and below 1.69 by 2030 (a 52% reduction); Scope 1 heating and cooling of buildings from 6.37 to below 4.56 by 2025 and below 3.82 by 2030 (40%); Scope 2 building energy from 1.25 to below 0.81 by 2025 and below 0.44 by 2030 (65%); and Scope 3 product and activity emissions from 7.13 to minus 2% by 2025 and minus 17% by 2030. The Scope 3 product target of minus 17% intensity by 2030 (tCO2e per tonne sold, base year 2022) is built on five decarbonisation levers covering manufactured materials, upstream and downstream transport, the French electricity mix and end-of-life. No adaptation targets have yet been set.

The carbon footprint covers 100% of consolidated turnover, measured across all three Scopes under ISO 14064 and ADEME's Bilan Carbone methodology, with double reporting now including the GHG Protocol (2004) format in location-based and market-based versions. For 2024: gross Scope 1 emissions were 794 tCO2e; Scope 2 location-based 90 tCO2e and market-based 8.51 tCO2e; and gross Scope 3 emissions 321,568 tCO2e. Total location-based emissions were 322,453 tCO2e and market-based 322,253 tCO2e. The largest Scope 3 posts were goods and services purchased (170,327), use of products sold (83,107) and end-of-life treatment (50,690). Absolute emissions fell 14.5% versus 2023, with Scope 1 down 3% and Scope 2 down 5.7%. The 2023 footprint was reassessed upward from 241 ktCO2e to 323 ktCO2e following methodological changes, mainly new Ecoinvent emission factors. The Group applies a 30% uncertainty rate and has not measured Scope 4 avoided emissions.

The Group states that for the time being it has not set a policy or target at Group level for carbon offsetting, having chosen to focus its efforts primarily on mitigation levers. Three subsidiaries have nonetheless initiated actions on part of their value chain: Sferaco donated 30,000 euros in 2024 (as in 2021 to 2023) to the Apprentis d'Auteuil charity to help finance a low-carbon building renovation; Sodeco Valves acquired 1 hectare of woodland near Ternat in 2023 to protect the forest ecosystem and carbon capture; and Syveco set aside a 10,000 euro budget in 2024 to help finance a reforestation project with the French forestry commission (ONF), restoring around half a hectare with 600 seedlings. The Group states it is not currently in a position to assess the CO2 emissions offset by these initiatives, and no group-level GHG removals through carbon credits are claimed.

The Group states that it does not currently use an internal carbon pricing system. The section does, however, present a hypothetical sensitivity analysis: assuming a value of 187 euros per tonne of carbon emitted, the resulting carbon bill would be around 60.3 million euros, which it notes could be absorbed by its results, given an operating profit of 60.2 million euros in 2024.

The Group reports that the expected financial impact of climate change is detailed in section SBM-3. Transition risks and opportunities were assessed across all subsidiaries in 2024 for events likely to occur within five years, with potential turnover increases and decreases estimated per product range; the analysis concluded that potential revenues from opportunities outweigh potential amounts from risks, given products that meet mitigation and adaptation needs. Identified risks include rising decarbonisation costs, falling demand for heating, boilers and gas distribution, the end of fossil fuels and rising copper prices. Physical risks were mapped using the ECLR tool under the IPCC SSP5-8.5 high-emissions scenario for 2021 to 2040, covering all sites plus suppliers representing 47.2% of goods purchases; one site was identified at risk of river flooding but assessed as low vulnerability, while suppliers face chronic heat waves and cold and frost. A hypothetical carbon cost of 187 euros per tCO2e is presented as absorbable while remaining profitable.

By incorporating innovative solutions, the Group implements a water conservation policy focused on efficiency and sustainability. Its environmental policy is published online and includes the preservation of water resources, aligning the Group's strategy with SDG 6 on clean water and sanitation. Each subsidiary's initiatives are designed not only to reduce drinking water consumption for uses where water need not be drinkable, but also to raise awareness and educate consumers about sustainable practices, so the entire downstream value chain contributes to water conservation. Developing solutions to preserve water resources is described as a strategic priority in the business model. Water conservation is at the heart of the business of several subsidiaries, which offer product ranges that harvest, store, filter and re-use water while reducing consumption, cutting leakage losses and optimising metering.

Some Group products reduce drinking water withdrawal, a positive downstream impact, through solutions for metering, harvesting, treatment and filtration of rainwater, re-use of treated wastewater, storage, drip irrigation and replacement of leaky pipes. Jetly supplies rainwater harvesting tanks and pumping solutions, the Aquatwin two-pump water management system for local authorities, and a filtration range, and takes part in AFNOR's RENC commission on water re-use. Odrea, through its Edouard Rousseau brand, assembles NF taps at its 10,000 m2 site in Sens featuring an Eco-stop lever, a flow-reducing aerator that cuts water consumption by 50%, timed or infrared systems, and the EKOGEST range for consumer education. Aello offers low-energy swimming pool solutions such as rainwater and overflow recovery tanks and shade nets. DPI covers water supply and sewerage, while Alto Metering provides remotely readable meters and Sferaco supplies water cycle products. Purchasing teams at Jetly, Odrea and Aello work with suppliers, and Odrea devotes R&D spending to preserving water resources.

The Group's environmental policy, published online, applies to all its companies and includes the development of a circular economy. On incoming resources, an eco-design initiative launched in 2021 was taken up from 2022 by five subsidiaries (Sferaco, Thermador, PBtub, Axelair and Sectoriel), with other subsidiaries since joining. Eco-design integrates environmental aspects across the product life cycle, assessed through Life Cycle Analyses (LCA) and Environmental and Health Declaration Sheets. In 2023 the Group set a shared eco-design vision with a 2023/2024 roadmap built on four pillars: eco-design of products focusing on manufacture, use and end of life; support for suppliers; transparent labelling for customers; and extending product life through the circular economy. On waste, the Group applies the 3Rs principle (reduce, re-use, recycle) and manages Extended Producer Responsibility. France has more than 30 EPR schemes, and since 2022, under the 2020 AGEC law, those placing construction products, DIY and garden items on the market must join an approved eco-organisation, alongside WEEE obligations.

Cross-disciplinary actions cover eco-design (continued and new LCAs at Thermador, Sectoriel, Sodeco and Jetly, roll-out of eco-design prevention plans, packaging impact reduction), extending product life (affordable spare parts catalogues, repairs beyond legal guarantee at Jetly and Odrea, reparability indices at Mecafer, Jetly, Thermador, Sectoriel and Axelair, and second-hand sales at Sectoriel), team training and supplier support. Thermacome published its first environmental product declaration for the ACOSI+ climatic ceiling in 2023; products covered by declaration sheets represented 79% and 90% of PBtub and Thermacome turnover in 2023. Sferaco's LCAs covered 3.6% of its 2023 turnover, leading to its first five declaration sheets, and it launched the eco-designed lead-free Serena valve in 2024. Sodeco Valves ran its first LCAs in 2024. Thermador created a circular economy project manager post in 2024. An external LCA consultant supported the Group two days per week in 2022 and 2023. Reparability scores follow the official ADEME method, and since 2024 suppliers are rated on the Responsible Purchasing Charter's environmental criteria.

On incoming resources, the Group has not set measurable targets for its resource-use and circular-economy impacts and risks, and plans to do so in 2025 with a view to incorporating them into its 19 key priorities. It states it cannot currently set a target on abandoning virgin materials, as this may conflict with regulations on water potability, food safety, health or the guaranteed solidity of plastic products, though it is working to reduce plastic in favour of cardboard or paper for packaging. Two of the 19 key indicators relate to waste. Indicator 14, waste from activities in kg per tonnage received, was 20.28 in the 2021 reference year, 22.97 in 2023 and 15.94 in 2024, with targets below 20.71 for 2025 and below 18.72 for 2030. Indicator 15, percentage of waste sent for recycling (including energy recovery), was 90.7% in 2021, 99.4% in 2023 and 96.5% in 2024, with targets of at least 90% for 2025 and at least 95% for 2030. Total waste volume in 2024 was 17% lower than in 2023.

The Group's incoming resource flows are based mainly on purchased products held in stock and resold and, to a lesser extent, their packaging, plus secondary or tertiary packaging bought to secure shipments, and energy and water for its buildings. Metrics currently tracked are volumes of products purchased, packaging bought directly, electricity, gas and water. Total tonnage of goods purchased was 49,019 in 2024, 40,924 in 2023 and 46,338 in 2022. Total packaging tonnage and re-used packaging tonnage will be carried forward from 2025. Since 2023 the Group has tracked circular-economy sales, OpEx and CapEx eligible for and aligned with the green taxonomy, including repairs, spare parts sales and second-hand products. It is gradually gathering supplier data on the percentage of recycled raw materials in its products but does not yet have reliable data given the absence of standardised global certification, and will build an internal database in 2025.

The Group measures products sold, packaging shipped and waste. Total tonnage of goods sold excluding second-hand products was 48,742 in 2024, while total tonnage of second-life products sold was 11 tonnes in 2024 (2023 and 2022 data not available). End-of-life metrics appear in declarations to eco-organisations for Extended Producer Responsibility: amounts paid in 2024 were 402 thousand euros to WEEE (electrical), 230 thousand euros to PMCB (construction), 77 thousand euros to ABJ (DIY and garden) and 9 thousand euros to BA (battery and accumulator). Total waste from operations fell to 781 tonnes in 2024, from 941 tonnes in 2023 and 1,063 tonnes in 2022. Details on the share of waste sent for re-use, material recycling, energy recovery and other disposal, including incineration without energy recovery and landfill, were not reported by service providers and will be provided from 2025.

Waste from operations totalled 781 tonnes in 2024, down from 941 tonnes in 2023 and 1,063 tonnes in 2022. The 2024 breakdown was wood 242 tonnes, cardboard and paper 173 tonnes, DIB (ordinary industrial waste) 196 tonnes, electrical and electronic 5 tonnes, scrap 97 tonnes, hazardous products 7 tonnes and other 61 tonnes. Waste comes mainly from logistics warehouses and, to a lesser extent, offices. Following the 3Rs principle, actions include reducing packaging at source (Thermador plastic and cardboard reduction, PBtub halving stretch film weight, Sodeco using recycled materials, Distrilabo replacing plastic and polystyrene with recycled cardboard, Sectoriel packaging specifications and Odrea's INOHA audit), re-use of packaging waste (shredders at FGinox, Thermador, Sferaco and PBtub, and cardboard padding machines at Sodeco Valves and Sectoriel), and recycling waste materials (PBtub's baling press for stretch film). Downstream, the Group works with its main waste partner Briordures, a Cofibex group subsidiary in the Ain region.

Thermador Groupe deliberately does not centralise human resources at Group level. Each subsidiary CEO, with the administrative department and local managers, is fully responsible for HR, working conditions and the social climate, supported by the Deputy CEO who ensures regulatory compliance. Management is described as based on benevolence, friendliness, simplicity and serenity, within a lean organisation limited to four hierarchical levels. The Group applies the United Nations Global Compact and complies with the regulations in force in France, Belgium, Spain, Monaco and China. Human rights commitments are set out in ESRS 2 SBM-1, and the Whistleblower process covers harassment and all forms of discrimination. Since 2017 the Group runs an anonymous Quality of Working Life survey, to which 91% of employees responded in 2024, feeding concrete subsidiary action plans. Average length of service is more than 9 years.

The Group engages with employees directly and through their representatives. Its Quality of Life and Working Conditions (QLWC) survey enables direct exchange, combining questionnaires with qualitative interviews covering 10% of the workforce, carried out by an external consultancy, with actions proposed by voluntary working groups then implemented. Staff representative bodies, covering 86% of employees, ensure collective concerns are taken into account. They meet at least six times per year in each subsidiary, and all employees can contact their CSE representatives and obtain the meeting minutes. Since 2019, the subsidiary Opaline runs Thermalink, a corporate social network that supports internal communication, document and best practice sharing, onboarding of new recruits, internal mobility opportunities and HR information, and raises awareness of environmental issues such as soft mobility and the climate fresk. Interaction methods are detailed further in ESRS 2 SBM-2.

Thermador Groupe has set up a Whistleblower system, detailed in ESRS 2 GOV-1 and in section 3.5, covering all social issues including harassment and all forms of discrimination. Twice per year, representatives of the Ethics committee test how well the system is working. The Group reports that its HR Whistleblower systems are operational, with several reports made in 2024 through line management or the whistleblower channel.

Actions on social topics cover all subsidiaries and employees. Key objectives set in 2021 are monitored semi-annually to measure effectiveness, with a three-year history of indicators published in section 3.6. HR impacts are managed by the Administrative and General Departments with dedicated resources. Actions linked to key indicators include developing skills through training (85.5% of employees trained in 2024, target at least 95% by 2025 and 2030), improving the gender equality index (81 in 2024, target at least 90) and increasing women in management positions (41.56%, target at least 40%), reducing absenteeism (5.76%, target under 4%), maintaining average length of service (9.28 years, target at least 8) and developing employee share ownership (6.58%, target at least 8%). The 2024 QLWC survey acceptance rate was 77%, compared with 75% in 2021. In 2024 the Group welcomed 56 young people in training and ran cross-functional modules on compliance, psychosocial risks, disability, first aid, anti-corruption and the climate fresk.

Five key social indicators with targets to 2030 were defined in 2021 by the Executive Committee and are included in the calculation of the remuneration of the Chairman and CEO and the Deputy CEOs. Targets were set in three ways: complying with regulation for women in management (Rixain Act of December 24, 2021), by calculation for average seniority based on future retirements and labour market trends, and as ambitious but achievable objectives for the other three. Against a 2021 reference year, 2024 actuals are: professional equality index 81 out of 100 (target at least 90), women in management positions 41.6% (target at least 40%), average seniority 9.28 years (target at least 8), percentage of permanent employees trained per year 85.5% (target at least 95%) and absenteeism 5.8% (target under 4%). These indicators will be reviewed in 2025 to cover all material challenges with associated definitions, calculations and targets.

The Group had 821 employees at December 31, 2024, including the subsidiary Alto Metering acquired on July 31, 2024, operating in France, Belgium, Spain, China and Monaco. By gender, there were 296 women (36%) and 525 men (64%). Of the total, 777 were on permanent contracts and 44 on temporary contracts, while 761 were full-time and 60 part-time. By country, headcount was 728 in France, 48 in Belgium, 23 in Monaco, 13 in Spain and 9 in China. In 2024 the Group hired 140 people on permanent and fixed-term contracts and created 30 jobs, including 29 in France. Departures totalled 116 (93 excluding end of fixed-term contracts), the CSRD turnover rate was 12% and the staff entry/exit rate was 31%. Employees are counted as anyone with an active contract at December 31; open-ended contracts are permanent and limited-period or apprenticeship contracts are temporary.

99.8% of all employees are covered by collective bargaining agreements. Subsidiaries based in Europe have 100% coverage in their countries, and employees based in China are also covered (100% coverage outside Europe). Only expatriate employees in Poland and Hungary on local contracts are not covered, but their conditions are governed by local legislation. Coverage rates are 100% in Belgium, Spain, France and Monaco. On social dialogue, 15 subsidiaries have a social and economic committee (CSE) with 50 elected representatives, up from 13 subsidiaries in 2023 and 11 in 2022. The percentage of employees represented by a staff representative body was 86% in 2024 (84% in 2023, 71% in 2022), and there were 87 existing company agreements (75 in 2023, 53 in 2022). Two of the twelve Board seats are held by employee Board members (one man and one woman). The Group is not obliged to set up a European works council.

Women hold 45.5% of the 11 Group Board seats, and two of the three Board committees are chaired by women, with a woman serving as Lead Director. Women hold 33.3% of the 9 ExCom positions and 41.56% of senior management positions out of a total of 77. Among the 21 corporate officers and the Sustainable Development Director, 7 are women. In a 2024 study to confirm high-potential managers, 9 women were identified among 24 people. Management bodies overall show a split of 58% men and 42% women (45 men and 32 women). The Rixain Act requires 40% of corporate officers to be women by 2030; the Group set this target for 2025 and has met it since 2022. By age, employees over 50 accounted for 37% of the workforce in 2024 (33% in 2023), those aged 30 to 50 for 49% and those under 30 for 14%.

All employees receive a decent wage in line with applicable benchmarks, particularly where the company operates in countries with social minima such as EEA countries applying the values of EU Directive 2022/2041. In EEA countries, Thermador Groupe refers to the minimum wage set by legislation or collective bargaining; in France this means compliance with the Minimum Growth Wage (SMIC) under article L3231-2 of the Labour Code, revised annually by decree. For countries outside the EEA, the Group refers to the freely accessible Anker research institute database. The Group states it pays particular attention to the lowest salaries, which are higher than market rates in its sector.

100% of the workforce is covered by social protection against loss of income due to illness, accidents at work, parental leave and retirement, either through public programmes or company benefits. Coverage is 100% for illness, accidents at work, parental leave and retirement across Belgium, China, Spain, France and Monaco. The Group's cover rate for unemployment risk is 97.7%, as corporate officers are not covered; by country, unemployment coverage is 97.9% in Belgium, 100% in China, 100% in Spain, 98.2% in France and 95.8% in Monaco.

In 2024, 12 of the Group's subsidiaries employed people with disabilities, adapting workstations and working conditions where necessary. The Group recorded 27 disabled employees in 2024 (24 in 2023, 22 in 2022), representing 3.3% of the workforce (3.1% in 2023, 3% in 2022). Among these, the share of women with disabilities was 4.1% and of men 2.9% (2023 and 2022 breakdowns not available). The amount paid to ESATs (centres helping people reintegrate the labour market) was 445 thousand euros in 2024, up from 416 thousand in 2023 and 331 thousand in 2022. In 2024, 8 disability advisers volunteered and were trained to better support disabled employees, and the Group works with specialist firms Kouide and Gamino and associations including Messidor and Isatis. Figures cover recognised disabled workers in France and Monaco and recognised disabled persons in Belgium and Spain.

The Group aims for 100% of employees to attend regular reviews over the last 12 months; in 2024, 85% had an annual review (same as 2023, 89% in 2022), split 84% women and 85% men. Every two years a career review is conducted with each employee, and skills matrices and training plans are reviewed at least yearly in each subsidiary. Total training hours reached 15,073 in 2024 (14,677 in 2023, 12,754 in 2022), with the training budget at 2.53% of payroll. In 2024, 664 people were trained and 85.5% of permanent contract employees were trained during the year, down from 96.4% in 2023 partly because the climate fresk course reached only 79 new arrivals versus 547 the prior year. By gender, women received 6,047 training hours and men 9,027; the average was 22.7 hours per person trained (23.9 for women, 22 for men) and 18.4 hours across the total workforce.

100% of the workforce is covered by a health and social security management system. Since the Group was founded in 1968, there has been no workplace accident or occupational illness resulting in an employee death. In 2024 there were 25 accidents at work (18 in 2023, 12 in 2022), including 4 commuting accidents, with no lost-time accidents exceeding 200 days. The frequency rate of accidents at work rose to 16.35 (12.71 in 2023, 8.91 in 2022) and the severity rate was 0.34 (0.37 in 2023). There was 1 occupational illness in 2024, ongoing in the logistics teams. Ten subsidiaries finished the year without a single workplace accident. Absence totalled 11,859 days (of which 9,445 sick leave and 518 lost to workplace accidents), and the absenteeism rate was 5.75% (5.5% in 2023), at 6% in France and 4.3% outside France. Prevention includes DUERP risk assessments (in 68% of subsidiaries), ergonomist support and MSD programmes.

100% of employees are entitled to family leave, whether maternity, paternity, parental or carer's leave; family leave applies in Belgium, Spain, France and Monaco, and covers maternity and paternity leave in China. In 2024, 3.53% of employees took such leave, of which women represented 45% and men 55%. The Group responded to requests from 60 employees to work part-time, of whom 73% were women and 27% men. A fixed working day scheme is formalised in company agreements in fourteen subsidiaries, and 15 subsidiaries have signed a work-from-home agreement or charter, with 519 employees benefiting in 2024. For parents of young children, the Group offers creche places in the Babilou network; in 2024, 8 subsidiaries financed cots for 24 young parents, 8 more than in 2023. Well-being measures include rest areas, sports facilities and a right to disconnect.

Thermador Groupe and its French subsidiaries (88% of the total workforce) calculated a professional equality index of 81 out of 100 for 2024, achieving the maximum score on two of the five indicators: gender promotion gap (15 out of 15) and return from maternity salary increase (15 out of 15). The other indicators scored 36 out of 40 for the gender pay gap, 10 out of 20 for the gender gap in individual salary increases and 5 out of 10 for the under-represented gender among higher salaries. In 2024, 98.2% of women and 90.1% of men received a pay rise, while 2.2% of women and 5% of men were promoted. The gender pay gap is 3.8% in favour of women. The average annual salary was 55 thousand euros, with gross salaries ranging from 25.3 thousand to 367.7 thousand euros. Variable pay averages 18% of gross annual salary (ranging 5% to 37%), and 270 employees benefited from profit-sharing or incentive agreements. Calculations are planned on 100% of scope in 2025.

In 2024, out of a total of 6 alerts, the Ethics committee received 6 HR reports on discrimination, including harassment, all made through the Group's Whistleblower channels. The financial statements do not show any amounts for fines, penalties or compensation for damages resulting from these incidents and complaints. All reported incidents were referred to the Ethics committee, followed up, and closed for the parties concerned through appropriate actions. In 2024 the Group had no serious human rights incidents affecting its employees, nor any cases of non-compliance with the UN Guiding Principles on Business and Human Rights, the ILO Declaration on Fundamental Principles and Rights at Work or the OECD Guidelines for Multinational Enterprises. The financial statements disclose no fines or penalties in this respect.

Thermador Groupe reports it is actively committed to ensuring respect for human and social rights throughout its supply chain, as set out in its GOV-4 Due Diligence Statement. This vigilance rests on long-term relationships with suppliers and regular visits and audits carried out internally or by third parties. A structured system supports monitoring of compliance and responsible practices, comprising an alert mechanism, a Responsible Purchasing Charter, an evaluation tool incorporating CSR criteria and a control system based on audits. These measures enable rigorous monitoring while leaving subsidiaries free to organise their own audits. As a member of the United Nations Global Compact since 2021, the Group ensures fundamental human rights principles are respected throughout its supply chain. Invitations to tender are subject to a selection process that includes acceptance of the Responsible Purchasing Charter, which contains provisions on human rights and labour standards based on International Labour Organisation conventions and international human rights standards.

Thermador Groupe reports that its purchasing and supply teams maintain daily contact with suppliers and make regular visits to their production sites. Its Whistleblower system, described in section 3.5 Business conduct (ESRS 2 GOV-1), provides a confidential channel for employees and all external stakeholders to report any breach of the Code of Conduct, applicable legislation or any action inconsistent with respect for people. This channel ensures that any negative impact can be quickly identified and dealt with by the relevant teams.

As the material impacts identified for value chain workers are positive, Thermador Groupe reports that it has focused on describing the dialogue process that enables workers in the value chain to voice their concerns (the engagement process covered under S2-2). Its business conduct is based on the principles of transparency and ethics, detailed in its anti-corruption Code of Conduct. The Responsible Purchasing Charter underlines the Group's commitment to favouring positive impacts and to remedying potential negative impacts for workers in its value chain.

Thermador Groupe reports that deployment of its Responsible Purchasing Charter is described under G1-2 (Supplier relationship management). Since 2022, all operating subsidiaries have been rolling out this charter to their suppliers of goods and, on a cross-functional basis, to transport and packaging suppliers. In addition to the charter, subsidiaries Odrea, Mecafer and Domac have adopted a purchasing policy which requires most of the Group's suppliers in Asia to comply with the BSCI Code of Conduct (based on the SA8000 social standard) or to meet Sedex SMETA (Sedex Members Ethical Trade Audit) criteria. These same subsidiaries answer the Sedex CSR questionnaire.

Thermador Groupe reports that the effectiveness of its policies and actions is measured by the absence of controversies detected in the case of suppliers and by the absence of reports through its human and social rights Whistleblower channel. The Group states it had none in 2024.

Thermador Groupe reports that since its founding in 1968, relationships with stakeholders have been guided by its values, including exemplarity, transparency, respect, humility, trust, friendliness, kindness, integrity and equity. The Group values trust and simplicity in human relations and a fair share of the benefits derived from its work. The policies apply to all Group employees and are updated by management as necessary. Management teams are responsible for the human climate in Group companies, and a flat structure limited to four hierarchical levels encourages proximity between management and employees, with inter-subsidiary working groups sharing best practice. Business conduct is guided by the exemplary behaviour of managers and based on the Code of Conduct presented under G1-3. Pay transparency in subsidiaries helps ensure pay is consistent regardless of gender, beliefs, origin or other characteristics. Values are communicated through monthly general meetings, induction courses, the internal collaborative platform and website. On team stability, employees stay with the Group on average 9.28 years in 2024, against a target of at least 8 years for 2025 and 2030.

Thermador Groupe reports that supply chain risks could relate to suppliers' practices on human and social rights or non-compliant environmental standards (child labour, forced labour, health and safety, toxic emissions, pollution, destruction of ecosystems) as well as climatic events, with legal, reputational, supply destabilisation or cost consequences. Subsidiary CEOs, with the purchasing departments, are responsible for supplier relations. The Group's policy is to offer a medium or long-term vision, prioritise transparency and be attentive to suppliers' sustainability, quality and ethics. It maintains long-term relationships based on trust, noting that 21% of purchases have been made with the same suppliers for over 40 years. Ethical expectations are formalised through the Code of Conduct and the Responsible Purchasing Charter, drafted in 2021 and available in five languages, covering human rights, labour law, business ethics, confidentiality and intellectual property, environment health and safety, and supply chain. Since 2022 all operating subsidiary departments have rolled it out to suppliers of goods, and a cross-functional team standardises requirements for inbound transport. Key indicators for 2024 include 86.2% of turnover from rated suppliers and 92.2% from suppliers who signed the charter or an equivalent.

Thermador Groupe reports that preventing corruption is one of its 19 key priorities. It has evolved the formalisation of its practices following the December 2016 Sapin 2 regulation on transparency and the fight against corruption, and since 2021 has committed to the United Nations Global Compact and its 10 principles including the fight against corruption. Its anti-corruption Code of Conduct is drafted in five languages (French, Dutch, Spanish, Chinese and English), presented to staff representative bodies and employees, included in the General Terms and Conditions of Sale, and made available to suppliers and partners. A specific gifts and entertainment policy sets thresholds, alongside a donations and sponsorship policy. The programme includes a whistleblower system developed in 2017, risk mapping by function, and mandatory training. Employees are classified into category 1 (exposed to corruption risk) receiving a half-day on-site session, and category 2 receiving AFA-validated e-learning. Employees at risk have received anti-corruption training every three years since 2019. In 2024, 98.6% of exposed employees were trained over the last three years, against a target of at least 95%.

Thermador Groupe reports that it had no cases of corruption or bribe payments in 2024. The number of confirmed incidents of corruption or bribery is therefore zero.

Thermador Groupe reports that payment terms are negotiated with suppliers, including SMEs, then incorporated into information systems set up to pay according to contractual terms. A fortnightly check at Group level ensures subsidiaries meet payment deadlines, and Group management investigates any anomalies. In France, the Group notes the LME law (ratified 2008) on invoice payment periods between professionals, allowing negotiation to limit terms to 60 calendar days, and the Gayssot law (law no. 98-69 of February 6, 1998) protecting subcontracted road haulage professionals against non-payment, with a maximum of one year to recover a transport debt. No legal proceedings are currently in progress for late payment. Standard payment terms in 2024 are: goods 60 days France, 90 days Europe, 60 days Asia; transport 30 days France, 30 days Europe; services 60 days France, 60 days Europe. Late payments to suppliers amount to 0.5% of purchases, with further detail in chapter 6.3.7.