Nippon Sanso (4091) Investor Day 2025 summary

Sustainability management strategy

• Mid-term plan NS Vision 2026 focuses on enabling the future through sustainability, with a holding company structure and reinforced sustainability management since 2021.

• Eight non-financial programs target carbon neutrality, zero waste, water conservation, safety, quality, diversity, and compliance.

• Materiality was updated in 2021, emphasizing human rights, safety, ethics, and environmental contributions.

• Governance includes a Board with five outside directors, regional CSOs, and a Group Sustainability Management Office for global oversight.

• External ESG ratings improved, with an A rating from CDP Climate Change 2024 and inclusion in major sustainability indices.

Measures to achieve non-financial KPIs

• GHG emissions reduction targets: 18% by FYE2026 and 32% by FYE2031 from FYE2019 baseline, aiming for carbon neutrality by 2050.

• Customer GHG emissions reductions through proprietary technologies, with environmental product offerings surpassing group emissions by FYE2026.

• Zero Waste Program aims to halve landfill waste in Japan by FYE2026, achieving a 56% reduction by FYE2025.

• Sustainable Water Program identifies and mitigates water risks at production sites, focusing on high-risk areas.

• Safety First Program targets a lost time injury rate ≤1.6 by FYE2026, with ongoing safety education and digital enhancements.

Business opportunities in carbon neutrality

• Strategic focus on carbon neutrality drives new business, leveraging strengths in combustion, hydrogen, CO2 recovery, and O2 production.

• Demonstrated hydrogen-oxygen combustion burner in steel reheating furnaces, reducing CO2 and natural gas use.

• Participated in the Northern Lights CCS project, providing technical consulting and operational support for CO2 storage infrastructure.

• Enhanced global communication and stakeholder engagement, including participation in major energy summits and social media campaigns.

• Slogan: "We enable a carbon neutral world," with a goal to be a solution provider for a CN society by 2030.