An estimated 41,792 tCO2e are locked-in emissions from the use of GN products sold in 2024, which currently makes up 16% of our total Scope 3 emissions (see page 75). These use phase emissions could still be reduced through firmware updates in the market, but it remains difficult to quantify potential emissions reductions from such initiatives. As these emissions are a result of electricity consumption, we expect significant reduction to take place as a result of the global shift towards renewable energy as part of the transition to a net-zero economy outside GN’s direct control. Given the general duration of use of our products, we don’t expect these locked-in emissions to prevent us from reaching net-zero in 2050, regardless of the pace of the transition to renewable energy.

As a globally operating manufacturing company, climate change is a material topic for GN. The company has a climate transition plan in place, consisting of an overarching policy, science-based targets, climate-related incentives for the CEO and CFO, and several decarbonization initiatives. The Board of Directors has approved the policy, targets, and incentives. GN's Environmental Policy covers the approach to climate change, including the commitment to reduce greenhouse gas (GHG) emissions in line with scientific consensus. The policy includes expectations for suppliers to provide accurate carbon data and sets out decarbonization levers and criteria for prioritizing initiatives. GN does not consider carbon offsetting as an alternative to carbon reduction and will only engage in certified carbon removal. The policy is approved by the Board of Directors, and Executive Management is accountable for implementation.