The share of products and packaging that is recyclable has been estimated by weight using our product lifecycle assessments (LCAs), as these contain verified component-level data, including material composition and measured weight. The LCAs we have available are allocated at the item level across the product portfolio. All LCAs are third-party verified according to ISO 14067. For products currently lacking an LCA, a reference LCA is allocated. Professional judgement is applied in the selection of a reference that will best represent the product or part. An uplift is conducted for items that cannot be represented by an LCA, based on the calculated average recyclable weight per unit volume purchased or produced. For Enterprise, Gaming & Consumer products, one unit packaging per unit product has been assumed.

Our Environmental Policy covers resource outflows, stating that we strive to minimize generation of waste from our business by including circularity principles, such as durability, repairability, recyclability and ease-of-disassembly, into the design of our products. The policy also states that in terms of management of products in-market or at end-of-life, we strive to recover or maintain value through services and partnerships that support reuse, refurbishment or recycling of products or components through enabling remanufacturing, refurbishment, repair, out-of-warranty takeback schemes and as-a-service leasing models. This policy is approved by our Board of Directors, and Executive Management is accountable for implementation.

For video, audio and gaming products, based on the data inputs used, it was concluded that legal warranty period is the most appropriate data type for estimating products’ durability. We estimate that product durability for these products is equal to the warranty period at a minimum. In practice the products will often last longer than the minimum warranty period. The warranty period for these products differs, ranging from 1 to 5 years. Gaming and consumer products typically have 1-2 years warranty, video products typically have 2 years warranty, while selected Biz, BlueParrott and Engage headsets typically have 3 years warranty. Extended warranty services can increase warranty up to 5 years for selected products. For hearing aids, we design our products to minimum 5-year durability, which takes origin in the initial requirements for the minimum storage time for documentation in the Medical Device Directive. GN is therefore required to ensure safe and effective use of its products for at least 5 years, which is documented in our submissions to authorities as part of product approval. Comparing to industry average is not possible, as these are not available and with this being the first year in which CSRD is in place, we cannot calculate an average based on other companies in CSRD’s scope within our industries either. We therefore limit the disclosure to the estimated durability of our products.

GN has established an internal repairability index which assesses the ease of repairing a product. Based on the repairability index calculation, products are divided into five categories: highly repairable, very repairable, medium repairable, low repairable and not repairable. For new audio, video and gaming products, product repairability is assessed in the early product development phase to provide input to the project team on how to improve product design for repair. In 2024, GN conducted repairability assessment for 19 enterprise and gaming products. The analysis conducted shows that 60% to 70% of the assessed products are highly repairable (5 out of 5 on our repairability index) or very repairable (4 out of 5 on our repairability index). Hearing products were not included in the formal assessment process, but returned in-warranty hearing devices are remanufactured at our site in Malaysia and returned to the market as replacement devices. The remanufacturing rate of 48% demonstrates the repairability of these products.

The rate of recyclable content across GN products in 2024 was 67%, while recyclable content of packaging was 81%. Materials considered to be recyclable, such as plastics, metals and cables, accounted for approximately 36%, 17% and 5% of total product weight, respectively.

The rate of recyclable content across GN products in 2024 was 67%, while recyclable content of packaging was 81%. Materials considered to be recyclable, such as plastics, metals and cables, accounted for approximately 36%, 17% and 5% of total product weight, respectively.

All resource inflows metrics are estimated using our product lifecycle assessments (LCAs), as these contain verified component-level data, including material composition and measured weight. The LCAs we have available are allocated at the item level across the product portfolio. All LCAs are third-party verified according to ISO 14067. For products currently lacking an LCA, a reference LCA is allocated. Professional judgement is applied in the selection of a reference that will best represent the product or part. An uplift is conducted for items that cannot be represented by an LCA, based on the calculated average per unit volume purchased or produced. For Enterprise, Gaming & Consumer products, one unit packaging per unit product has been assumed.

All resource inflows metrics are estimated using our product lifecycle assessments (LCAs), as these contain verified component-level data, including material composition and measured weight. The LCAs we have available are allocated at the item level across the product portfolio. All LCAs are third-party verified according to ISO 14067. For products currently lacking an LCA, a reference LCA is allocated. Professional judgement is applied in the selection of a reference that will best represent the product or part. An uplift is conducted for items that cannot be represented by an LCA, based on the calculated average per unit volume purchased or produced. For Enterprise, Gaming & Consumer products, one unit packaging per unit product has been assumed.

Our Environmental Policy also covers resource outflows, stating that we strive to minimize generation of waste from our business by including circularity principles, such as durability, repairability, recyclability and ease-of-disassembly, into the design of our products. The policy also states that in terms of management of products in-market or at end-of-life, we strive to recover or maintain value through services and partnerships that support reuse, refurbishment or recycling of products or components through enabling remanufacturing, refurbishment, repair, out-of-warranty takeback schemes and as-a-service leasing models. This policy is approved by our Board of Directors, and Executive Management is accountable for implementation. Our policy commitments also include ongoing work to ensure compliance with product recycling legislation, where we finance recycling infrastructure according to the EU WEEE directive in EU markets. In the U.S. states, where some of our products are covered by extended producer responsibility legislation, in 2024 we established partnerships to enable end-users to send their products in for recycling.

In 2023, we commenced our double materiality process, in accordance with the process set out in ESRS 1, which covers general requirements for reporting in accordance with CSRD. We mapped our value chain and identified the industries on which we depend across our value chain.

Next, we identified impacts, risks, and opportunities (IROs) across our full value chain for all ESG sub-topics and sub-sub-topics contained in Appendix A of ESRS 1. To assess the materiality of different IROs and topics, we developed a scoring key from 0-5 for both impact and risk materiality and set a materiality threshold at 2 or above for materiality and 3 or above for highly material topics, where 2 represented low scale, concentrated scope, remediable with some effort and a low likelihood, while a 3 represented medium across the same variables. Through this process we assessed 31% of topics to be highly material and 21% of topics to be material for our own operations, and 45% of topics to be highly material and 35% of topics to be materials for our value chain.

In 2024, we finalized our double materiality process through the following steps:

• We made updates to IROs and scoring based on further inputs from stakeholders and additional guidance from EFRAG
• We set the reporting threshold at 3 or higher to focus reporting on the most material topics

We then mapped disclosure requirements and data points against material IROs to determine the contents of this Sustainability Statement, taking into account the specificity of IROs where needed to scope out data points where the IROs are limited to for example specific parts of our value chain, employee groups, or geographies.

We applied three analytical approaches in our double materiality process:

• Desk research: we consulted 40 reports from NGOs, governments, and key suppliers
• Internal workshops: we held five internal workshops with 27 subject matter experts
• External stakeholder interviews: we interviewed eight external stakeholders, constituting both readers of the report and impacted stakeholders. We selected external stakeholders based on the areas where we lacked visibility through our existing stakeholder engagement mechanisms: pollution, resource outflows, and human rights impacts far down our supply chain

We assumed our impacts and risks to be similar to industry averages in cases where we lacked clear data or were unable to allocate impacts prevalent to GN in our value chain.

Our double materiality assessment was subject to ongoing review by senior management. It was formally approved by the Audit Committee in August 2024.