Report Section	4	Sustainability	33	Corporate Governance Report	90
At a Glance	4	Stakeholder Letter	35	Compensation Report	106
Milestones 2024	6	Progress on our 2027 sustainability	36
Letter to Shareholders	8	targets		Financial Report	124
Key Figures	11	On a strategic path to a sustainable	37	Consolidated income statement	127
Company Strategy	12	organization		Consolidated balance sheet	128
Systems Division	17	Systems Division:	38	Consolidated cash flow statement	129
Services Division	23	Compression technology for a sustainable energy future		Consolidated statement of changes in equity	130
Company values, footprint and history	29	Services Division: Sustainability benefits for our customers	40	Notes to the consolidated financial statements	131
		Sustainability Report 2024	41	Financial Statements of	157
		Extended key figures	69	Burckhardt Compression Holding AG, Winterthur
		Extended climate reporting	74
		GRI content index	80	Imprint	167
		Independent practitioner's limited	85

Declaration of the Board of Directors 89

assurance report

Burckhardt Compression creates leading compression solutions for a sustainable energy future and the long-term success of its customers. Together with its brands Burckhardt Compression, PROGNOST, SAMR Métal Rouge and Shenyang Yuanda Compressor, the Group is the only global manufacturer that covers a full range of reciprocating compressor technologies and services. Its customized and modularized compressor systems are used in the Chemical/Petrochemical, Gas Transport & Storage, Hydrogen Mobility & Energy and Industrial Gas sectors as well as for applications in Refinery and Gas Gathering & Processing. Since 1844, its passionate, customer-oriented and solution-driven workforce has set the benchmark in the gas compression industry.

Cover:

Evergreen Project construction site in South Korea

In-Jae, Song, Project Control Manager, at the installation of a Hyper Compressor Photography by Dong-Uk, Jung, Time of blue, South Korea

New financial records

The fiscal year 2024 marks a successful continuation of our transformation. New financial records include surpassing CHF 1 bn sales and CHF 100 mn net income for the first time.

Sales

in CHF mn

1'095.6

Order intake

in CHF mn

Operating Income (EBIT)

in CHF mn

Net income

in CHF mn

20 21 22 23 24

Shareholders' equity

* restated: CHF 114.3 mn

in CHF mn

SPI

Reduction in our greenhouse gas emission intensity

40.0%

The 40.0% reduction in our greenhouse gas emission intensity (Scope 1 and 2) showcases our sustainability commitment.

Our Lost Time Injury Rate (LTIR) has further decreased

0.4

Our Lost Time Injury Rate (LTIR) has further decreased from 0.5 to 0.4. This marks an improvement compared to last year and is below our Mid-Range-Plan target of 0.7.

Performance FY2024

Performance since IPO

Total Shareholder Return 26 June 2006 to 31 March 2025

Milestones 2024

Launch of two new digital service solutions

In fiscal year 2024, we expanded our digital portfolio with two powerful solutions, enabling our customers to increase reliability and decrease operating costs of their compression systems. "UP! Insight", our cloud-based monitoring software, delivers real-time analytics on critical performance metrics such as pressure, temperature, and vibration. This allows customers to monitor compressor health continuously and make swift data-driven decisions. Building on this foundation, our newly introduced "UP! Detect" system enhances compressor monitoring with automated anomaly detection based on vibration readings. Fully independent, it integrates seamlessly with any type of compressor, helping operators identify irregularities before they lead to downtime.

Continuing our progress, we recently released PROGNOS-T®-NT "Predictive Intelligence" module. This first of its kind module accurately calculates the remaining useful life of packings and valves. All solutions feature industry-leading, certified cybersecurity standards and continuously updated protection. By integrating these digital capabilities with our engineering expertise, we offer comprehensive solutions that deliver operational transparency, faster issue resolution, and sustained cost savings.

First order for LNG carriers with low-pressure 2-stroke engines

Given the significant impact of maritime transport on global greenhouse gas emissions, innovation is essential for a sustainable future in the marine industry. In summer 2024, we expanded our marine compression solution portfolio to enter the market of LNG carriers with low-pressure 2-stroke engines. We secured a landmark order to supply LNG boil-off gas handling compressors for eight new ships built by Hanwha Ocean. These next-generation carriers combine low-pressure propulsion systems with Hanwha Ocean's patented partial reliquefication system.

Our compressors, featuring fully dry-running cylinders for all stages and a compact design, play a crucial role in this reliquefication process by boosting LNG boil-off gas to 150 bar pressure. By continuously learning from millions of operating hours of our compressors on ships, we continue to innovate and support the transition of the marine industry towards a sustainable future.

150 bar

pressure is achieved as our compact, dry-running compressors boost LNG boil-off gas for reliquefication

Milestones 2024

Record sales and deliveries

Our profitable growth in fiscal year 2024 enabled us to achieve record financials, surpassing CHF 1 bn in sales and CHF 100 mn in net income for the first time.

Both divisions played key roles in achieving these results. While growing sales by 12.6%, we also made substantial progress towards our sustainability goals by reducing our greenhouse gas emission intensity (Scope 1 and 2) by 40.0%, a significant step forward on our path towards reaching net-zero in 2035.

Additionally, we expanded our global installed base by delivering a record number of compressors – almost 800 units. These achievements reflect the trust our customers place in us, the dedication of our employees, and the -continuous drive that has fueled us for over 180 years.

Increased own capacity for production of renewable electricity by 521%

With ambitious targets to cut operational greenhouse gas emission intensity by 50% (Scope 1 and 2) and shift to 75% renewable electricity by 2027, we are implementing significant improvements across our global facilities. In China, our Shenyang facility has installed rooftop solar panels that generate 3'000 MWh annually, reducing emissions by an impressive 30%. In South Korea, our assembly factory completed its solar panel installation in March 2025, producing approximately 400 MWh annually – equivalent to 80% of the site's consumption – and reducing CO2 emissions by 184 tons per year. Meanwhile, our Winterthur head-quarters, already operating on renewable electricity, strengthened its commitment to sustainability by adding solar panels on all suitable roof surfaces. With an estimated annual capacity of 363 MWh, this initiative has generated 246 MWh of clean energy since May 2024, and reduced 144 tons of CO₂ emissions annually.

Family Day celebrations in Switzerland&India

We embrace the future, but also cherish our company roots. To celebrate 180 years of Burckhardt Compression, we hosted a Family Day at our Winterthur headquarters. This event brought together over 2'000 employees and family members for a day filled with fun and educational activities and delicious food. On the other side of the globe, Burckhardt Compression India marked its 20th anniversary with equal enthusiasm. Filled with music, dance, and theatrical performances, the day highlighted the bonds and collaborative spirit that define our company. As we look ahead, we remain committed to strengthening our legacy with the very people who help shape its future every day.

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Dear Shareholders,

Burckhardt Compression continues to deliver strong growth and increased profitability

In fiscal year 2024 Burckhardt Compression continued on its growth path and delivered strong financials in a volatile market with diverse trends across segments and regions. Our growing order intake, above CHF 1.1 bn, supports our trajectory towards our updated Mid-Range Plan guidance of CHF 1.2 bn sales in FY27. Strong operational delivery underpinned sales growth of 12.6%*, reaching a new record of CHF 1'095.6 mn. The improved operating margin of 12.9% and a new record operating income of CHF 140.8 mn underscore the strength of our delivery capabilities and integrated business model. Earnings per share reached CHF 31.20, representing a growth of 24.9%* compared to last year and an average annual growth rate of 25.1% in the past six years. Based on these results, the Board of Directors will propose a dividend per share of CHF 18.00, a 16.1% increase from the prior year. Beyond our financial performance, we made clear steps in implementing our mid-term strategy and the 40.0% reduction in our greenhouse gas emission intensity in one year showcases our sustainability commitments.

Burckhardt Compression benefits from a strong order backlog, a solid balance sheet and strong customer relationships. Despite current uncertainty related to the geopolitical landscape and tariffs, we expect fiscal year 2025 to be at a

similiar level as 2024. In the mid-term, global megatrends, including population growth, energy security, and energy transition, underpin our Mid-Range Plan trajectory.

Continued new equipment growth

Following a peak in 2022, the global Systems market further normalized in 2024, with a decrease predominantly driven by policy shifts in the Hydrogen Mobility and Energy segment. Despite this, the Systems Division's leading position in growing sub-segments of the market resulted in a strong order intake of CHF 825.4 mn, representing a 5.8% increase over the previous year.

The market showed varying trends across end applications. Marine applications in the segment Gas Transportation and Storage have been growing at a good pace. In particular, the demand for compressor solutions for new LNG tankers grew again following a dip in FY23, while LNG-fueled ship applications continued at a good level. LPG tanker applications reached a new record, linked to the rising global energy demand and the resulting need to transport energy from producing countries to consumption locations. In a closely related market, the expected substantial rise in green ammonia transport by ship provided additional impulses, as evidenced by orders secured for compressors for Very Large Ammonia Carriers (VLACs). The marine market is expected to remain dynamic and provide potential for new applications as a result of the increasing global energy

trade as well as new regulations promoting sustainable shipping fuels.

In the Chemical and Petrochemical segment, the demand for Hyper Compressors used in the production of ethylene-vinyl acetate (EVA) remained high, driven by expectations for solar panel growth in future years. Moreover, the global population growth continues to support the demand for polymers, and for Hyper Compressors used in the LDPE production process.

Conversely, after rapid growth in the past years, the renewable hydrogen economy entered a period of recalibration. This shift is a direct response to higher-than-expected project costs, delays in finalizing regulations and subsidies, and the uncertainty created by elections in Europe and the US. However, given hydrogen's crucial role in the transition to more secure and sustainable energy sources, we expect to see decisive movements on larger-scale energy storage and distribution projects and a return to growth in this market in the coming years. Other new energy applications, like biogas and sustainable aviation fuels, continue to progress, supported by the ReFuelEU Aviation Regulation in Europe.

From a regional perspective, Europe and East Asia grew thanks to the marine market, while the US was affected by the decrease in the hydrogen market. The Chinese market also decreased, affected by uncertainty over the local economy and a reduction in the building of new polysilicon plants.

Focus on high-margin services in a market showing regional disparities

The Services markets have been strongly influenced by local economic conditions. The European market decreased due to economic and political uncertainty. On the positive side, Asia-Pacific and the regions of the Middle East, Central Asia, and Eastern Europe grew at a good pace, driven by the installed base and large upgrade projects. The US market

^* The accounting policy for the recognition of revenue for projects above CHF 7 mn and lasting more than 1 year has been changed from "Completed Contract Method" to "Percentage of Completion" (PoC) to better reflect the value creation process and to increase stability in revenue recognition. To enable comparison with the year under review, prior year numbers are restated for PoC accounting.

Letter to Shareholders

was stable, with regional disparities, but order intake decreased due to the closure of three low-profit service centers, as announced in the first-half year report. On a global basis, the Services Division's presence in the marine market is further increasing, benefiting from a growing installed base, a strong service network, and new offerings. Against this backdrop, order intake for the Services Division fell by 5.4% (–4.5% net of currency translation effects) to CHF 325.8 mn.

Record financial results and dividend increase

Order intake for the Group reached CHF 1'151.2 mn, an increase of 2.4%, respectively 3.5% net of currency translation effects. Sales rose by 12.6%*, (respectively 13.7%* net of currency translation effects), surpassing the CHF 1 bn threshold for the first time. A large majority of this growth is attributed to the Systems Division, which achieved an 18.2%* increase, while sales in the Services Division increased by 2.2%. Gross profit margin was 28.0%, up 1.8pp* year-on-year, due to a more favorable product mix in both divisions, the higher capacity utilization in all manufacturing and assembly facilities and the reduction of non-profitable service business in the US. Research & Development expenses increased by 12.8% to CHF 30.1 mn, which accounts for 2.7% of sales and is thus within our target range of 2.5% to 3.0% of sales. Selling, marketing and general administrative expenses represented 11.9% of sales, marking a reduction of 0.4pp compared to the previous year. This further leverage on SG&A spend to enhance the EBIT margin is in line with our Mid-Range Plan. Other operating income and expenses (net) amounted to CHF –5.6 mn (prior year: CHF 5.4 mn), mainly

consisting of negative FX effects, bad debt provisions resulting from a reassessment of polysilicon customers in China and partially offset by real estate income and book gain on the sale of assets in the US. The consolidated operating income (EBIT) recorded a substantial increase of 23.2%* to CHF 140.8 mn. Both the Systems and Services Divisions increased their EBIT margins, by 2.7* and 0.1 percentage points respectively, resulting in an overall Group EBIT margin of 12.9%, up from 11.7%* in the previous year. Financial expenses of CHF 3.3 mn were in line with the previous year, and a tax rate of 23.2% (compared to 23.8%* last year) resulted in a net income of CHF 105.6 mn. This represents a 25.0%* increase over the previous year's figure and marks the first time exceeding the CHF 100 mn milestone. Consequently, earnings per share attributable to Burckhardt Compression Group shareholders rose from CHF 24.98* to CHF 31.20.

Value creation further increased, with a Return on Net Operating Assets (RONOA) of 32.6%. Total equity increased to CHF 340.2 mn (CHF +43.8* mn), while the equity ratio increased to 29.1% (prior year: 27.9%*).

Based on these results, the Board of Directors will propose a dividend of CHF 18.00 per share at the Annual General Meeting. This represents an increase of 16.1% compared to the previous year and is within our overall attractive dividend policy of a 50% to 70% payout ratio.

Further progress in the company's transformation

The fiscal year 2024 marks another successful step in the implementation of our Mid-Range Plan, communicated in November 2022. This strategic plan has concrete implications for target markets, R&D projects, capital investments, operational KPIs, and long-term incentive plans for management. It is based on four pillars: strengthening our core business, transforming and building new growth avenues, operational excellence, and further enhancing our business foundations.

We continue to make progress across these pillars. For instance, the launch of a new compressor for low-pressure LNG tankers supports our strategic ambitions to strengthen our core business. With our focus on transforming and building new growth avenues, we have launched two new digital services, UP! Insight and UP! Detect, to help our customers optimize their compressor fleet's reliability and uptime. On the operational excellence front, we have further leveraged our asset base in all factories to increase sales by more than 18%* in the Systems Division with only limited investments. Moreover, the newly started ERP rollout in the Services Division enhances our business foundations.

While growing sales by almost 14% in local currencies, we reduced our greenhouse gas emission intensity (Scope 1 and 2) by 40.0%, a giant step forward on our path towards reaching net zero (Scope 1 and 2) in 2035. To reach this, we implemented measures targeting vehicle efficiency, heating systems and processes such as the installation of an electric boiler to replace natural gas in our factory in China. We also continued to implement energy efficiency measures, completed several solar panel projects, and increased our renewable electricity purchases. With a detailed climate roadmap for each local unit, we are confident in reaching our 2027 objectives and net-zero operational CO₂-emission ambition by 2035 (Scope 1 and 2).

Our people are fundamental to our strategy and the success of the Group. For our 180th company birthday, we celebrated with more than 2'000 employees and family members in our Swiss and Indian facilities. During the year, we expanded our workforce globally by 2.9% to 3'336 FTEs to support the growth of our deliveries and invest in future applications and markets. To enable the safe delivery of our increasing volume, our Health and Safety focus

was reinforced, which materialized in a further reduction in our Lost Time Injury Rate (LTIR) from 0.5 to 0.4, which remains within our Mid-Range Plan target. Finally, our employee engagement survey carried out in January 2025 reinforces our employees strong commitment and gives us confidence that we are on the right track with our transformation.

Guidance for fiscal year 2025 – At a similar level as in fiscal year 2024

We enter the fiscal year 2025 amid a dynamic operating environment characterized by uncertainties surrounding global trade tariffs and currency exchange rates. While these developments have led to downward revisions in global GDP growth forecasts, we remain confident in our strategy and ability to navigate evolving market conditions. The robust order backlog, coupled with a solid balance sheet and strong customer relationships, provides stability. Assuming there is no further escalation in trade dispute and macroeconomic conditions remain relatively stable, we expect sales at around CHF 1.1 bn at the Group level with an operating margin similar to fiscal year 2024. Within the fiscal year, we expect a stronger profitability in the second half due to the product and service mix. Amidst the ever-changing global political backdrop, we will continue to actively monitor the macro environment and any potential impact it may have on the business.

Global megatrends underpin Mid-Range Plan trajectory

Beyond short-term uncertainties, Burckhardt Compression's strategy is supported by global megatrends. A growing global population, especially the middle class, creates increased demand for essential products like fertilizers and polymers and for investment in energy infrastructure. Ensuring a stable

Ton Büchner, Chair of the Board of Directors and Fabrice Billard, CEO

and secure energy supply in a rapidly evolving geopolitical landscape with growing intermittent energy sources requires significant investment in energy storage, gas pipelines and transportation infrastructure, e.g. for LNG or LPG. In addition, the energy transition increases the share of natural gas in the energy mix and requires significant investments in renewable energy infrastructure, which includes solar panels and low-carbon fuels. All these applications require compressors. With our increased R&D activities and the ability to develop innovative solutions in partnership with customers, we stand at the forefront of these developments.

Looking forward with confidence

Beyond potential short-term market volatility, we remain confident about the company, our markets, and our ability to transform and further benefit from growth opportunities linked to global megatrends. We are immensely grateful for the dedication and hard work our employees demonstrate worldwide. Their drive, passion, and commitment have been instrumental in achieving these strong results. We would also like to thank our shareholders and customers worldwide for their trust and for being part of our journey.

Kind regards

Ton Büchner Fabrice Billard

Chair of the Board of Directors CEO

Winterthur, June 5, 2025

Key figures

Key figures*

in CHF mn	2024	2023	Change 2024/2023
Total
Order intake	1'151.2	1'124.7	2.4%
Sales	1'095.6	972.8*	12.6%
Operating income (EBIT)	140.8	114.3*	23.2%
in % of sales	12.9	11.7*
Net income	105.6	84.5*	25.0%
in % of sales	9.6	8.7*
Return on net operating assets (RONOA) in %	32.6	28.3*
Systems Division
Order intake	825.4	780.2	5.8%
Sales	748.8	633.6*	18.2%
Operating income (EBIT)	67.9	40.5*	67.8%
in % of sales	9.1	6.4*
Services Division
Order intake	325.8	344.6	–5.4%
Sales	346.8	339.2	2.2%
Operating income (EBIT)	85.7	83.5	2.6%
in % of sales	24.7	24.6
Balance sheet
Balance sheet total	1'167.3	1'063.1*	9.8%
Shareholders' equity in %	29.1	27.9*
Net financial position	69.6	–62.3

in CHF mn	2024	2023	Change 2024/2023
Share
Net income per share (in CHF)	31.20	24.98*	24.9%
Dividend per share (in CHF)	18.00	15.50	16.1%
Payout ratio in % of net income	57.7	62.0*
Market capitalization	2'016.2	1'921.0	5.0%
Employees
Employees as per end of fiscal year (FTE)	3'336	3'243	2.9%
Turnover rate in %	11.1	10.4
Average company affiliation (years)	8.1	7.8	3.8%
Environment
Energy use (MWh)	52'566	56'173	–6.4%
Greenhouse gas emissions Scope 1 (tCO₂e)	4'170	4'917	–15.2%
Greenhouse gas emissions Scope 2 (tCO₂e)	7'551	14'120	–46.5%
Water (m3)	65'297	74'991	–12.9%

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see financial report)

Megatrends driving growth in Burckhardt Compression's markets

Burckhardt Compression operates at the heart of critical industries, supporting energy and infrastructure worldwide. Three key megatrends – growing global population, energy security and energy transition – are shaping the future of our markets, driving mid- and long-term demand for our compression solutions.

Growing global population: rising demand for essential products

A growing global population brings increased demand for chemical products, such as fertilizers, which are vital for food production. Simultaneously, the need for plastics and industrial gases is rising, driven by expanding industries such as automotive, construction, and healthcare. The surge in global trade drives the demand for shipping, packaging, and fuels, all of which require reliable compression technologies. Additionally, rising energy consumption worldwide necessitates continuous investment in energy infrastructure to meet demand efficiently and sustainably.

Energy security: strengthening infrastructure to transport energy

Ensuring stable and secure energy supply in a rapidly evolving geopolitical landscape requires significant investment in energy storage, gas pipelines, and transportation infrastructure. Countries and industries are developing liquefied natural gas (LNG), liquefied petroleum gas (LPG), and green ammonia supply chains, driving the need for advanced compression solutions for storage, transportation, and distribution. Our expertise plays a crucial role in supporting these developments, enabling the safe and efficient movement of energy across global markets.

Energy transition: enabling the transformation to a low-carbon economy

The shift towards cleaner energy sources is accelerating, with natural gas increasing its share in the energy mix versus coal and oil due to its lower carbon footprint. At the same time, investments in renewable energy infrastructure – including solar, sustainable aviation fuels (SAF), biogas, green hydrogen, and green ammonia – are expanding, requiring advanced compression technologies to facilitate production, storage, and transport. Additionally, carbon capture, utilization and storage (CCUS) is emerging as a tool in reducing industrial emissions. Burckhardt Compression also supports modernization and efficiency upgrades of existing energy infrastructure, helping customers lower energy consumption, reduce gas leaks, and minimize CO₂ emissions.

Partnering for a sustainable future

As these megatrends reshape global industries, Burckhardt Compression is well-positioned to provide innovative, efficient, and reliable compression solutions that support essential industries and drive the transition to a more secure and sustainable energy future. Our expertise, global reach, and commitment to technological excellence make us a trusted partner in developing new solutions with customers.

Our Company and Strategy

We create leading compression solutions for a sustainable energy future

We are active in markets supporting world's megatrends: Population growth, energy security and energy transition. Our strategy is based on focus, innovation and on an integrated business model with two divisions.

Overview

Our strategy process is based on a Mid-Range Plan, which is defined every five years and reviewed annually. In November 2022, we communicated our Mid-Range Plan for fiscal years 2023 to 2027, along with our purpose: "We create leading compression solutions for a sustainable energy future."

Our purpose is the guiding star for our Mid-Range Plan and provides the basis for our culture, together with our values and behaviors. On our journey towards this purpose, we will continue to build an organization that is customer-oriented, passionate, performance-driven and mindful of its responsibilities towards the environment and society at large.

Our Mid-Range Plan guidance, upgraded in June 2024, is to reach CHF 1.2 bn in sales and a 12% to 15% operating profit margin in fiscal year 2027. We remain ready to capture a

potential market upside, if the energy transition would accelerate beyond our Mid-Range Plan assumptions.

The basis of our strategy is a focus on reciprocating compressors and related services. We aim to remain the global market leader for new equipment in this field by further developing our product range to gain strong positions in each application where we play. In services, we aim to reinforce our position and grow by increasing our presence in so-called geographical white spots, and by offering differentiating services to support customers in their digitalization and in their sustainability journeys.

With our leading compression solutions, we are competitively positioned in markets that are transforming to ensure energy security and energy transition. On the back of this transformation and a continuous growth of the world's population, we expect that our markets will continue growing over

Focus

Our success lies in our focus on reciprocating compressors and services.

the mid-term. While the short-term developments are difficult to predict, the world will need more gases, and therefore more compressors.

Purpose, values and behaviors: the basis for our daily decisions and actions

Along with our purpose, our four values "Partnership", "Passion", "Performance" and "Responsibility" determine our daily decisions and actions. We focus on teamwork and act as "one" company. We are entrepreneurs with a strategic mindset, and act decisively with a focus on operational excellence and innovation. We love what we do and inspire others with the aim of creating a more sustainable energy future for the world. At the heart of it all, we keep ourselves, partners, suppliers, and customers safe. We foster an inclusive environment where everyone can reach their potential and where integrity and reliability are the basis for the trust we enjoy among our colleagues, customers, partners, and suppliers.

Megatrends

Population growth, energy security and energy transition

Core elements in our strategy: sustainability and innovation

Sustainability sits at the core of our strategy, with implications on target markets, R&D projects, capital investments, operational KPIs and long-term incentive plans for management. We aim, in particular, to achieve 40% of our order intake from applications that support the world's energy transition and to reduce our greenhouse gas emission intensity for Scope 1 and 2 by 50% compared to fiscal year 2021 until fiscal year 2027. Acknowledging the scale and urgency of combating climate change, we have developed a longterm commitment and roadmap to become operational netzero for our Scope 1 and 2 emissions by 2035. Achieving these goals is supported by the integration of sustainability into our operational excellence activities and by continuous investments in innovation and digitalization.

Innovation is also an essential thrust in our strategy, especially to develop new markets in our Systems Division and to differentiate ourselves in our Services Division. With our continued investment in R&D in a range from 2.5% to 3.0% of sales, we aim to drive technological advancements to support the world's megatrends and gain market share.

Further achievements in the implementation of our strategy

Our strategy is structured along four pillars: strengthening our core business, focusing on operational excellence, transforming and building new growth avenues, and enhancing our business foundations. A few examples of our progress in fiscal year 2024 are listed below.

Strengthening our core business

The launch of a new compressor for low-pressure LNG tankers in the summer 2024 supports our strategic ambitions to strengthen our core business. We also reinforced our presence with LNG-fueled ships and won several LNG onshore terminal projects. In addition, the demand for new Liquefied Petroleum Gas (LPG) carriers increased again, driven by the need to transport LPG from production locations to countries using it as energy source or as feedstock.

New orders for the growing global solar industry underlined the demand for our Hyper- and Booster compressors, with orders won in China and Saudi Arabia.

We invest 2.5% to 3.0% of sales in R&D to drive technological advancements to support the world's megatrends and gain market share.

Improving operational excellence

In the reporting period, we have further leveraged our asset base in all facilities to grow sales by 18% in the Systems Division without significant capital investments.

Transforming and building new growth avenues

With our focus on transforming and building new growth avenues, we have launched new digital services like UP! Insight and UP! Detect to help our customers optimize their compressor fleet's reliability and uptime. Our service BC ACTI-VATE has been further rolled-out and trained globally. It has now been applied on more than 110 compressors at over 42 customer sites, supporting them in their efforts to improve reliability of their compressors while reducing energy consumption and greenhouse gas emissions.

Enhancing our business foundations

The newly started ERP rollout in the Services Division enhances our business foundations. While growing sales by 12.6%, we reduced our greenhouse gas emissions (Scope 1 and 2) by 40.0%, another positive step on our path towards reaching net zero (Scope 1 and 2) in 2035. With a detailed climate roadmap for each local unit, we are confident to reach our 2027 objectives and our net zero operational CO₂-emission ambition by 2035 (Scope 1 and 2).

"In 2024, we reduced our GHG emission intensity by 40.0%"

Our Company and Strategy

Integrated business model

Our integrated business model leads to success

Compressors function as critical components of a larger system with an average lifespan of 40 years or more, so it is vital to have the support of a long-term-oriented organization that offers expertise in all aspects, with highly trained employees. Our two divisions, Systems and Services, cooperate closely and cover the entire life cycle of reciprocating compressor systems. Customers are supported throughout the whole life

cycle of their systems by a wide range of products and services, from project definition, project execution, systems installation and commissioning, ongoing service, and spare parts through to the complete overhaul of their system or even its conversion for a new purpose. The table below shows the entire life cycle of a compressor project and displays the interaction between the two divisions in the different project phases, which is now supported by our newly added digital products and services:

Life cycle of a typical project

Duration	1–3 years	10–22 months	1–12 months	1–2 months	2 years (avg)	40 years (avg)
Phase	Evaluation and start of construction	Engineering and manufacturing of compressor system	Compressor installation	Compressor start-up	Warranty period	Post-warranty
Decision maker	End customer/ EPC/licensor	End customer/ EPC			End customer
Project progression	Decision to build plant and purchase order	Compressor shipped and transfer of ownership		Product acceptance		Repair and main tenance; structural machine build
Division in charge	Systems Division				Services Division

Systems Division

Services Division

Almost 800 machines delivered globally

in CHF mn	2024	2023* Restated	Change 2024/2023
Order intake	825.4	780.2	5.8%
Sales	748.8	633.6	18.2%
Gross profit	142.8	101.2	41.1%
in % of sales	19.1	16.0
EBIT	67.9	40.5	67.8%
in % of sales	9.1	6.4

Change 2024/2023	Restated

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see financial report).

Systems Division: overview FY 2024

In a challenging market environment marked by geopolitical tensions and macroeconomic uncertainties, the Systems Division looks back at a very successful fiscal year 2024.

The division grew its order intake by 6%, securing many important projects in strategically relevant segments. Overall, the division has sold more than 1'100 machines globally and delivered almost 800, two historical records. The division has expanded its already strong position in applications supported by global population growth, energy security and energy transition and reached new historical records of sales, gross profit, and operating income.

Financials

The Systems Division recorded a strong order intake of CHF 825.4 million, exceeding the previous year's figure by 5.8% (6.9% net of currency translation effects).

On the back of the high order intake from the past two years, the division achieved a strong sales increase of 18.2% (19.5% net of currency translation effects), reaching CHF 748.8 million. Further optimization measures in the field of production logistics and cooperation with strategic suppliers enabled the timely delivery of a high number of projects in the second half of the fiscal year.

Gross profit increased by 41.1% year-on-year to CHF 142.8 million, corresponding to a gross margin of 19.1% (prior year: 16.0%). The higher gross margin was mainly due to a more favorable product mix compared to the previous year as well as the high production capacity utilization in all manufacturing and assembly facilities.

The EBIT of the Systems Division increased by 67.8% to CHF 67.9 million, yielding an EBIT-margin of 9.1%, which is 2.7 percentage points above the prior year (6.4%), driven by the higher gross margin and a leverage on selling, general and administrative expenses.

Market developments

The Systems Division markets further normalized after a peak in fiscal year 2022. However, order intake of the division increased by 5.8% compared to last year.

This achievement was supported by a very strong marine market – the liquefied natural gas and the liquefied petroleum gas markets (LNGM & LPGM), which mitigated the impact of the delayed expansion of the carbon-free hydrogen market.

Petrochemical and chemical industry

Due to its strong market position in the petrochemical and chemical industry, the division has achieved excellent results in this segment. The demand for Hyper Compressors used in the production of ethylene-vinyl acetate (EVA) remained high, driven by expectations for solar panel growth in future years. This was complemented by a reasonable level of orders for low-pressure Laby® Compressors, following petrochemical capacity expansions connected with the global GDP growth.

Gas transport and storage

Marine applications in the segment Gas Transportation and Storage have been growing at a good pace. In particular, the demand for compressor solutions for new LNG tankers grew again after a dip in fiscal year 2023. LNG-fueled ship applications continued at a good level, and LPG tanker applications reached a new record. This record is linked to the rising global energy demand and the resulting need to transport energy from producing countries to consumption locations. In a closely related market, the expected substantial rise in green ammonia transport by ship provided additional impulses, as evidenced by orders secured for compressors for Very Large Ammonia Carriers (VLACs). The division retained its leading market position with high-pressure LNG Marine compressors and entered the low-pressure market by offering a new compressor platform. It also reinforced its presence with LNG-fueled ships and participated in the building of several LNG onshore terminal projects.

Hydrogen mobility and energy

Conversely, after several strong years of growth, the Hydrogen Mobility and Energy (HME) market has adjusted to delays in finalizing regulations and subsidies, stemming from uncertainty created by elections in Europe and the USA. While medium term perspectives remain attractive, delays are observed due to current uncertainties in public policies and supporting mechanisms.

Burckhardt Compression has been at the forefront of developing cutting-edge hydrogen compression solutions for new applications and won several reference projects for hydrogen storage, pipeline injection and green ammonia production. The division will continue to innovate with the development of new products for technically demanding applications, such as high-pressure, high-capacity, non-lubricated hydrogen compressors.

Industrial gas

While Burckhardt Compression remains well positioned for polysilicon production related applications, supporting the solar panel industry, order intake was reduced this year due to an overcapacity situation in China. The rest of the market remained stable.

Refinery

The refinery market showed moderate activity, with projects taking time after announcement and study phase. In this overall stagnating market, new opportunities are arising with the increasing demand for sustainable aviation fuel (SAF).

Gas gathering and processing

While Burckhardt Compression keeps an opportunistic approach towards traditional upstream market, the division sees growing perspectives for biogas (waste-to-energy), a market where Burckhardt Compression's solutions are already well positioned for example in India. Demand for carbon capture, utilization and storage (CCUS) applications is also emerging.

Infrastructure and capacity

Despite high production levels across all manufacturing sites, the workload was efficiently managed without the need for additional infrastructure capacity. In particular, India achieved a new record with more than 250 compressors delivered and the assembly site in Busan, South Korea, celebrated the completion of their 100th compressor since the inauguration of the site.

After disruptions in the supply chain in previous years due to conflicts and peaks in inflation, the division secured the required capacity at key suppliers for its delivery ramp-up.

In Switzerland, a strategic initiative called "Fit4Growth" was launched to update the Make-or-Buy strategy for components and develop more strategic partners across the company's supply chain.

In India, an investment project has started to relocate and significantly enlarge manufacturing operations to meet domestic and global demand. Preparatory activities to secure land for a greenfield investment are ongoing.

The Global Service Center in India saw further growth of 30% and employs now more than 230 employees in engineering, IT and administrative services.

Research and development

In the fiscal year 2024, Burckhardt Compression continued the development of its marine products. The division introduced new and innovative products to the market, designed to meet the evolving needs of the industry in relation to alternative fuels.

For the Hydrogen Mobility and Energy segment, the portfolio was improved by incorporating advanced technologies and further standardizing solutions. These efforts have improved and widened the company's product portfolio to cover the main applications in this field.

Additional efforts were dedicated to adapt the product portfolio to the market needs and to further develop the underlying technologies, preparing the company for new opportunities in the future.

Outlook

Beyond short-term volatility, the key market segments are mainly driven by global megatrends, including population growth, energy security and energy transition. These create new opportunities in new applications – like CCUS or biogas – and in the transformation of existing processes, like sustainable aviation fuel in refineries. On the marine side, the development of more sustainable propulsion fuels and cargo increases perspectives for natural gas and green ammonia.

From a geographical standpoint, new regions are expected to gain importance in the future like the Middle East, South America and Australia, given their ambitious green energy development plans, including renewable hydrogen and its derivatives.

These developments also call for new generations of compressors to meet the market requirements in terms of power consumption, gas leakage avoidance, larger gas flows or higher gas pressure.

Our compression solutions

Our reciprocating compressors lie at the heart of our customers' processes. Burckhardt Compression's advanced technology ensures excellent reliability and low life cycle costs.

Laby® – Labyrinth Piston Compressors

The Labyrinth Piston Compressor is unique with its exceptional level of reliability and availability. The special labyrinth sealing on the piston and piston rod gland enables a completely oil-free and contactless gas compression. This prevents piston ring debris from contaminating the gas as well as friction-induced hot spots. The result is a longer service life, which has a positive impact on overall reliability and operating costs. The Laby® Compressor is designed to compress bone-dry, dirty, abrasive, and other gases. The gas-tight and pressure-resistant casing reduces gas emissions and losses to the environment to virtually zero. The Laby® Compressor easily manages the compression of LNG boil-off gas at suction temperatures down to –160°C (–250°F).

Laby®-GI Compressors

The Laby®-GI Compressor is mainly used in handling LNG boil-off gas on LNG carriers and Floating Storage and Regasification Unit (FSRU). It has a fully balanced design that eliminates unbalanced moments and forces, so it can be used on offshore vessels and installations where strict guidelines on maximum allowable vibration levels on deck structures must be observed. The unique combination of labyrinth seal design and triedand-tested ring seal technology makes Laby®-GI Compressors the solution of choice for both lowtemperature and high-pressure applications. The proven technology guarantees maximum efficiency and lowest life cycle costs without any gas slippages.

Process Gas Compressors per API 618

We have many years of experience in hydrogen compression systems for the refining and industrial gas industry, and we offer advanced compression solutions for hydrogen mobility and energy applications. We provide both non-lubricated and lubricated Process Gas Compressors, available in horizontal and vertical arrangements. These compressors are designed for mid or high-pressure compression of hydrogen, hydrocarbons, and corrosive gases. Our Process Gas Compressors are synonymous with unrivaled availability and long operating lives. Optimal sizing and the use of top-quality compressor components and materials ensure low operating and maintenance costs.

Hyper Compressors

We are the world market leader for Hyper Compressors. The Hyper Compressor is a high-pressure reciprocating compressor for low-density polyethylene (LDPE) and ethylene-vinyl acetate (EVA) plants with a discharge pressure of up to 3'500 bar. We have established an outstanding track record with over 70 years of experience in building this type of compressor. It is characterized by a long operational life and high safety standards, which can be traced to its unique construction design and our global one-stop maintenance and service capabilities. The most powerful compressor in the world, driven by a 33 MW electric motor and compression capacity of 400'000 tons of ethylene a year, was built by us in 2016.

Diaphragm Compressors

Diaphragm Compressors compress gas by means of a flexible membrane. These membranes are usually metallic, have a limited stroke and are used for smaller gas flows at high pressure. The advantage of this technology is that the gas is hermetically sealed by the membrane during compression, enabling very high levels of gas purity. Our Diaphragm Compressors are used for hydrogen fueling and trailer filling stations, and for the compression of small quantities of pure gas for medical and other purposes.

High-Speed Compressors belong to our range of Process Gas Compressors featuring shorter strokes and higher rotational speeds. These compressor systems are used for natural gas processing and transport applications. They are fully balanced to eliminate vibrations, ensuring stability without the need for special foundations.

Standard High-Pressure Compressors

Our Standard High-Pressure Compressors are reciprocating compressors with a compact design and low weight. They are delivered skid-mounted with structural supports that dampen vibration, so there is no need for a special foundation. The air and water-cooled compressors are used to compress air, hydrogen, nitrogen, helium, argon, natural gas, and other non-corrosive gases and gas mixtures at land facilities and on ships.

Our compressor portfolio

Compressor systems and packages

Beyond the compressor itself, we engineer the complete system in-house to customers' specifications and use proven and qualified suppliers. We work together with our customers' teams to make every project a success for their business.

Services Division: key figures New

record in sales and operating profit

in CHF mn	2024	2023	Change 2024/2023
Order intake	325.8	344.6	–5.4%
Sales	346.8	339.2	2.2%
Gross profit	163.5	153.7	6.3%
in % of sales	47.1	45.3
EBIT	85.7	83.5	2.6%
in % of sales	24.7	24.6

2024/2023

Services Division: overview FY 2024

In a challenging market environment marked by geopolitical tensions and macroeconomic uncertainties, the division delivered new record in sales and operating profit. The closing of three service centers in the US to focus on higher margin locations led to a slight reduction of the order intake of the division but supported an increase in gross margins. Further progress was made in developing solutions for marine customers and new long-term agreements were signed in this market. Looking ahead, growth is expected from the rollout of new services in the field of energy transition and digital solutions as well as from the newly installed base of Burckhardt Compression compressors.

Financials

Local Services markets have been strongly influenced by the local economic situation. Against this backdrop, order intake for the Services Division fell by 5.4% (–4.5% net of currency translation effects) to CHF 325.8 mn. The main reasons for the decrease were the closing of three service centers in the USA to focus on higher margin locations and the decrease of the European market due to economic and political uncertainty.

At CHF 346.8 mn, sales were 2.2% (3.1% net of currency translation effects) above the prior year's figures. The moderate topline growth was affected by the same factors that led to the decrease in order intake.

Gross profit increased over-proportionally by 6.3% to CHF 163.5 mn, resulting in a gross margin of 47.1% (prior year: 45.3%). The higher gross margin is resulting from the higher share of spare parts in the sales mix and the closure of the non-profitable US facilities.

Driven by the higher gross profit, but also some higher oneoff expenses compared to last year (cost for the closing of three service centers in the US and some negative FX effects), the EBIT of the Services Division increased by 2.6% year-onyear to a new record of CHF 85.7 million. This resulted in an EBIT-margin of 24.7%, which is 0.1pp above the prior year.

Market developments

The year 2024 was characterized by uncertainties linked to governmental elections in various countries and to an economic slowdown in Europe. The uncertainty led customers to postpone their regular maintenance work as well as upgrade projects. On the positive side, the Asia-Pacific region and the region Middle East, Central Asia, and Eastern Europe have grown at a good pace, driven by the installed base and large upgrade projects. On a global basis, the Services Division's presence in the marine market is further increasing, benefiting from a growing installed base, a strong service network, and new offerings.

Component solutions

Spare parts growth continued during the year, thanks to the expanding installed base, a growing number of frame agreements and reduced lead times. The division secured in particular several significant spare parts orders for LDPE lines in China and Poland. In addition, in connection with the acquisition of intellectual property for compressors from Bharat Pumps and Compressors Limited in India, Burckhardt Compression has been successfully registered as an OEM with several customers and received various new orders.

Service solutions

The demand to improve existing compressors was high, in particular with regards to emission reductions and efficiency improvements, reflecting the changing needs of customers over compressors' lifetime. To support this activity, the compressor assessment program BC ACTIVATE was launched last year, helping customers to reduce their carbon footprint by providing them with a diagnostic of their installed base with insights to reduce greenhouse gas emissions and increase uptime. During the year, assessments were conducted on over 110 compressors at over 42 customer sites across various market segments. It is expected to be an important growth driver in the coming years. To offer customers even more insightful recommendations, BC ACTIVATE Level 2 has been introduced during the year.

To be closer to its customers, the division has further strengthened its local presence in growing regions. A local authorized Service Center opened in Indonesia, operated by one of the company's agents. A new office in Abu Dhabi has been opened and successfully audited. It has obtained the prestigious ICV (In-Country Value) certification and thus further strengthens Burckhardt Compression's position in the region.

Digital solutions

Customers seeking efficiency gains and higher reliability are increasingly implementing digital solutions.

Burckhardt Compression is developing a suite of digital products that help maintenance operatives in the field, offering faster support and enabling them to maximize uptime and minimize costs. In the first half of fiscal year 2024, the division launched UP! Insight, a cloud-based solution which provides real time machine monitoring information to customers. In the second part of the year, the division launched UP! Detect. This cloud-based solution goes one step further and provides real-time diagnostics and analytics. It includes automated anomaly detection, utilizing cylinder and crosshead vibration analysis. It is capable of detecting up to 90%

<-- PDF CHUNK SEPARATOR -->

UP! Detect launched to avoid up to 90% of mechanical failures on compressors

of the mechanical failure occurring on the compressor, significantly reducing the risk of unexpected downtime.

Looking ahead, the development of enhanced diagnostic and prediction capabilities with artificial intelligence are ongoing. With pilot marine customers, the division is challenging the current preventive maintenance cycles towards data based predictive maintenance concepts.

Partnership solutions

Customers are seeking to simplify the management of their compressor fleet. Demand for service agreements remained high and several long-term service agreements were secured during the year, especially for marine customers.

Highest priority for our customers is to ensure that they can work with equipment to the highest possible safety standards. Our trainers provide tailored training courses that help customers meet their safety requirements. Recently, the demand for compressor trainings has significantly increased, reflecting the growing awareness and commitment to safety in the industry.

Technical support

Highly skilled and professional field service technicians are essential to install compressors and support customers on a daily basis. With about 400 Field Service Representatives globally, the Service Division is ready to cover customer needs in a timely manner. This activity benefited from the growing number of new compressor systems being installed and commissioned.

Customer satisfaction

Through the "Voice of Customer" initiative, the division received more than 1'300 customer feedback responses from over 70 countries. Overall customer satisfaction showed a slight decrease compared to the previous year with an overall satisfaction level of 87%. The Division received top ratings in "Health, Safety & Environment" and field service availability whereas improvements are demanded by customers in spare parts and repair.

Infrastructure and capacity

The division invested in additional capacity in growing markets. In India, land has been purchased to expand capacity for local services and global component manufacturing. In Brazil new investments in our service facility are well under way to support the growth.

The division officially inaugurated a new valve manufacturing cell in the workshop in Winterthur, Switzerland. This cell is now fully operational, achieving a 70% reduction in throughput time compared to pre-implementation.

Finally, investments were made into global platforms such as CRM and ERP solutions.

Research and development

The Mid-Range Plan initiative Energy Transition Service (ETS) positions Burckhardt Compression as the go-to company for energy transition challenges, aligning services with customers' sustainability goals and supporting Burckhardt Compression's growth.

The division has introduced several measures and new ETS services, including BC ACTIVATE, which proved to be a strong enabler, optimizing customers' compressor systems' performance and sustainability.

The division is also launching a pilot project with additive manufacturing technology to explore new ways of designing and producing spare parts, the new operations are expected to commence in fiscal year 2025.

Outlook

Our strategic focus of the Mid-Range Plan 2027 remains on strengthening and expanding the core business. We have made significant steps towards becoming a full-service provider for gas compression solutions. We will continue improving coverage of the installed base both for Burckhardt Compression and other brand compressors, and increase presence in the USA, Asia, and selected white spots.

Building on the recent additions to our digital solutions portfolio with UP! Insight and UP! Detect, we continue to expand our digital services supporting our customers with their sustainability and operational excellence agendas.

Another key focus will be to enhance our spare parts performance, and to further expand our components production across different regions for Burckhardt Compression and other brand compressors. This will involve the above-mentioned purchasing of land in India, new investments in our service facility in Brazil, and leveraging on new manufacturing technologies, such as additive manufacturing.

Additionally, the division will continue to strengthen its closeness to customers and enhance its safety processes and culture.

Burckhardt Compression Annual Report 2024

Our services

We offer a full range of services for compressors and auxiliaries throughout the entire lifecycle – regardless of brand or challenge.

Component solutions

Compressor components such as valves, seals, and packings are wear parts. Their durability determines the meantime between service intervals, operational availability, and the overall life cycle costs of reciprocating compressors. As an original equipment manufacturer (OEM), we design and manufacture components in-house. By maintaining control of the manufacturing process, we ensure their ultimate reliability and the optimal operation of compressor systems. Our original spare parts are backed by our full warranty.

Our knowledge and engineering expertise enable us to fully refurbish worn parts to as-new condition. Customers requiring replacement parts for compressors that are no longer supported by the OEM or needing a performance upgrade, can turn to our reverse engineering capabilities. We also look beyond the compressor and offer services for auxiliaries and even pumps in the marine business.

Through our patented Redura® range we offer optimized sealing solutions for any brand of reciprocating compressor to improve efficiency and reduce emissions. Our research and development teams are constantly improving their design, materials, and technology.

We understand that the reliability, availability and cost-effectiveness of reciprocating compressor systems, and their compliance with environmental and emission regulations, are crucial for operators. Burckhardt Compression offers sound advice across all these areas and customers benefit from our global presence with over 40 Service Centers worldwide. We offer a one-stop shop that encompasses the complete compressor lifecycle combining our digital, engineering, and project management skills. Our monitoring, measurement, and analysis tools can identify issues, while our engineering experts deliver the solutions that our customers need.

To keep compressors running smoothly and to minimize the chance of unexpected failure, we prepare tailored preventive maintenance programs for our customers. In the case of outdated equipment that no longer complies with the latest regulatory standards, we deliver full-scope compressor revamps and upgrades. This includes the possibility of reducing gas leakage and energy usage by, for example, upgrading the compressor's sealing system or installing emission management panels. Our BC ACTIVATE holistic compressor assessment enables customers to identify optimization opportunities. Through the utilization of advanced measurement and analysis techniques, combined with our expert knowledge, we can address any type of reciprocating compressor. We will then offer the right range of services that will significantly improve the performance, efficiency, and overall sustainability aspects of the compressor.

Digital solutions

Reliable condition monitoring and diagnostic systems for reciprocating compressors and equipment are effective tools for enhancing workplace safety and prolonging the service intervals of a compressor system. By employing our digital products and services, customers can boost the performance, reliability, and efficiency of their machinery, guaranteeing maximum uptime, smooth operations, and cost savings. We offer a comprehensive range of digital solutions, from easy visualization to full spectrum analysis with emergency shutdown function.

Our digital monitoring products UP! Insight and UP! Detect are designed to bring fleet diagnostics to the next level. They enable customers to make informed and data-driven decisions in real-time. The customer portal myFleet is the single point of entry for our customers. Through myFleet, they can access all relevant information from installation details to spare part orders as well as maintenance and monitoring services.

Partnership solutions

Our partnership solutions and agreements enable our customers to focus on their business by delegating part of their compressor fleet management to us. We reduce administration, conduct planning, optimize operations, extend compressor service life, and maximize value as part of a unified, global service offering. Beyond that, we ensure a seamless collaboration with like-minded experts that understand the unique requirements of the equipment and industry. We offer everything from basic terms and conditions to comprehensive long-term service agreements. Most importantly, a partnership thrives on regular communication and feedback. Therefore, we conduct joint performance reviews with a structured approach based on the Voice of Customer concept to continuously improve the cooperation with our customers. To provide our customers with more autonomy in operating their compressor operations, our experienced trainers offer trainings at the client's site or at several specialized training centers around the world.

Technical support

Our expertise in reciprocating compressors for any brand and model enables us to deliver a unique technical support offering. Regardless of our customer's industry or application, our experts provide global technical support, including a 24/7 support network, troubleshooting and fast support in case of corrective actions and technical improvements.

Geographic proximity and trusting relationships are vital to our success and the success of our customers. Around 400 experts in Field Service, from engineers to local site managers, provide a rapid response capability that covers all the necessary skills and are known for their pronounced service mentality. A local presence simplifies interaction with the customer, shortens the supply chain and maximizes uptime. This service network will continue to grow.

Our values

Our success is built on the dedication of each and every one of us. We love what we do, we inspire people to excel and grow as we uphold our core values "Partnership", "Passion", "Performance" and "Responsibility".

Partnership

We place our customers at the heart of everything we do, focusing on collaboration and feedback. Our commitment to teamwork is unwavering, as we strive to operate as one company.

Passion

We aim to motivate our employees and inspire our customers as we work towards a more sustainable energy future.

Performance

As entrepreneurial thinkers with a strategic outlook, we take decisive actions to drive operational excellence and innovation.

Responsibility

Ensuring safety is our utmost priority. We are dedicated to creating an inclusive space where everyone can realize their potential, underpinned by a culture of integrity and reliability that fosters trust among colleagues, customers, partners, and suppliers.

Life at Burckhardt Compression

Our actions are guided by our culture, creating a great place to work and thrive in. We foster a collaborative environment where ideas can flourish.

Global & empowering

With its headquarters in Switzerland, Burckhardt Compression employees are located in 20 countries and provide engineering, manufacturing and servicing solutions to customers in over 80 countries. To remain an employer of choice we value our employees' energy and expertise. We ensure ongoing development of technological expertise, and personal as well as managerial skills within the company. Our employees participate in technical, product, and leadership trainings.

Innovative solutions provider

With more than 180 years of experience, we are a leading expert in reciprocating compressor technology. To develop innovative solutions for sustainable energy applications, such as green hydrogen, green ammonia, or LNG, we invest 2.5 to 3% of our sales in developing new compressor technologies, systems and services. In our R&D centers, we are rigorously testing new compressors as well as new components for the installed base to improve their efficiency and reliability.

Sustainable

At Burckhardt Compression, sustainability is at the core of our strategy. Our compressors play an important role in enabling the global energy transition. We stand by our commitments by including sustainability targets in our Mid-Range Plan 2027, focusing on eight material topics, such as reducing greenhouse gas emissions, using more renewable energy in our operations, or providing good working conditions.

Always close to our customers

Customer proximity is one of our success factors. Burckhardt Compression is represented on all continents with five manufacturing and assembly sites and 40+ Service Centers worldwide.

Our customers

Our customer base includes some of the largest, most famous, and most innovative companies in the world. We serve:

Energy companies
Gas transportation and storage companies (onshore and offshore)
Customers in the marine sector
Hydrogen-processing companies
Petrochemical/chemical companies
Industrial gas companies
General engineering companies that design and construct production lines or entire plants for our end customers

Sales of new machines, mostly via general contractors, are the responsibility of the Systems Division, while the Services Division is responsible for all service and spare parts activities.

Burckhardt Compression attaches great importance to a partnership-based relationship with its customers. In order to understand their needs even better and continuously improve, both divisions conduct regular customer surveys.

over 80

countries worldwide with a Burckhardt Compression presence

Your local contact

Our history

From engineering workshop to global market leader

1844

Franz Burckhardt opens an engineering workshop in Basel

1883

Development and sale of the first single-stage, dry-running reciprocating compressor

1890

August Burckhardt founds the Burckhardt Maschinenfabrik

1913

Delivery of the first compressor for ammonia synthesis to BASF Ludwigshafen, Germany

1935

Development and sale of the first Labyrinth Piston Compressor (Laby) for oxygen compression in steel production

1951

Manufacture of low-density polyethylene (LDPE) thermoplastic using Hyper Compressors

1969

Acquisition by Sulzer

1971

Transport and storage of natural gas with labyrinth piston compressors

1982

Consolidation of Sulzer's activities in the field of reciprocating compressors to form Maschinenfabrik Sulzer-Burckhardt AG

1999

Consolidation of Basel and Winterthur sites at the Winterthur site

2002

Five members of the management board buy out the business together with a financial investor; name changed to Burckhardt Compression

2004

Burckhardt Compression counts 500 employees (FTE)

2006

Stock exchange listing on the SIX Swiss Exchange (IPO), valor BHCN

2012

Burckhardt Compression counts 1'000 employees (FTE)

2013

Laby®-GI Compressors are used on LNG tankers

2015/19/22

Acquisition of Arkos Field Services, USA, in two stages; access to a qualified workforce and service centers across the USA; in 2022 merger with Burckhardt Compression US Inc.

2016

New company structure with two divisions, Systems and Services

2016/20

Acquisition of Shenyang Yuanda Compressor Manufacturing in two stages, the leading Chinese manufacturer of reciprocating compressor systems; proximity to local market, expansion of the product portfolio and direct access to an established local supply chain

2020

Acquisition of the compressor business of The Japan Steel Works JSW to strengthen position in the global market and particularly in Japan

2021

Acquisition of Mark van Schaick BV in the Netherlands

2021

Launch of high-pressure non-lubricated compressor for hydrogen mobility and energy

2023

Launch of service solution BC ACTIVATE

2024

Surpassed CHF 1bn in sales for the first time in Burckhardt Compression's history

Launch of UP! Insight and UP! Detect, our first real-time, cloud-based digital services

Entering the market of compression solutions for low-pressure LNG tankers

Burckhardt Compression counts 3'336 employees (FTE)

Stakeholder Letter	35	Sustainability Report 2024	41	Extended key figures	69
Progress on our 2027 sustainability	36	Our strategic approach	41	Extended climate reporting	74
targets		Our material topics	43	GRI content index	80
On a strategic path to a sustainable organization	37	1. Greenhouse gas emissions and climate change	43	Independent practitioner's limited	85
		2. Energy use and efficiency	48	assurance report
Systems Division: Compression technology for a sustainable energy future	38 40	3. Longevity and cyclability	51	Declaration of the Board of Directors
		4. Environmental impacts of application purpose	54
		5. Working conditions	56
Services Division:		6. Occupational health and safety	59
Sustainability benefits for our customers		7. Product safety	61
		8. Business conduct	63
		Our commitment	64

Stakeholder Letter

"With sustainability at the core of our strategy and purpose, we aim to make a significant contribution toward a sustainable energy future."

Ton Bücher, Chair of the Board of Directors & Chair of the Strategy and Sustainability Committee and Fabrice Billard, CEO

Online AR report.burckhardtcompression.com/ sustainability-report

Dear Stakeholders,

Sustainability is a transformative journey. At Burckhardt Compression, we are fully engaged in this transformation as an organization and we are supporting it with our products and services, creating value for all stakeholders. We deliver leading compression solutions for a sustainable energy future with sustainability at the core of our company purpose.

This requires a commitment to transparency and accountability. By openly sharing our targets, activities, successes and improvement areas, we demonstrate our integrity and willingness to learn and improve. With this report, we want to further build trust with you as our stakeholders and have key figures audited externally. The report covers the requirements under Article 964a-c and 964j-l of the Swiss Code of Obligations. Further, we have deepened our disclosure on our material topic of greenhouse gas emissions and climate change following the recommendations of the Task Force on Climate-Related Financial Disclosures and the Swiss Ordinance on Climate Disclosures.

In fiscal year 2024, we made tangible progress on our sustainability targets for 2027.

In terms of greenhouse gas emissions, we continued in decoupling our growth from our emissions. We were able to reduce CO₂ emissions significantly by 38.4% in absolute terms and by 40% in relative terms, per hour worked. Energy-saving measures were complemented by solar installations at several locations and the purchase of renewable electricity, particularly in China. With the successful completion of three key solar projects in Switzerland, China and South Korea, we are confident that we will achieve our netzero operational CO₂ emissions ambition by 2035 (Scope 1 and Scope 2).

In the area of working conditions, we repeated our new employee survey with again an impressive participation rate of 94% and an increase in our engagement score from 4.1 to 4.2. Our Lost Time Injury Rate (LTIR) further improved significantly to 0.4, demonstrating the progress in our safety culture. We continued to implement our human rights policy across our value chain and own operations, conducting a risk identification in our own operations including all subsidiaries. In addition, there were no deviations from our zero-incident targets for product safety and business conduct.

On the business side, we could prove again that sustainability represents a substantial growth opportunity for Burckhardt Compression. In the fiscal year 2024, 32% of our order intake supported the energy transition. To drive further growth, we extended the application of our BC ACTIVATE service to support customers in their sustainability efforts.

Going forward, we are determined to continue our journey to meet our commitment to the Paris Agreement. We look forward to the coming fiscal year 2025, when our key solar investments will unfold their full potential for the entire year. We will also continue to work on our ecodesign framework and strengthen our energy transition services to enable our customers to realize energy savings and reduce their greenhouse gas emissions.

All our successes and ambitions are only possible with a highly motivated team and reliable partners. We would like to sincerely thank all our employees for making this transformation happen and would also like to extend our gratitude to our customers, suppliers and other partners. We will succeed together in our transformative journey.

Yours sincerely

Chair of the Board of Directors CEO

Ton Büchner Fabrice Billard

Progress on our 2027 sustainability targets

Progress

Base Year 2021

	KPI and target for 2027	Status in fiscal year 2024
Climate	Greenhouse gas emission intensity1 2021: 2.1 kg CO₂e/h	–50%	–38%	on track
Energy	Share of renewable electricity1 2021: 23%	>75%	71%	on track
Longevity/cyclability	Revamp and upgrades activities in Services 2021: 100 (Index)	200	167	on track
Application purpose	Order intake supporting the energy transition 2021: 16%	40%	32%	on track
Working conditions	Engagement score in employee survey2 2023: 4.1	>4.0	4.2	achieved for FY2024
Health & safety	Lost Time Injury Rate below 0.7 each year 2021: 1.1	<0.7	0.4	achieved for FY2024
Product safety	Incidents related to product safety 2021: 0	0	0	achieved for FY2024
Business conduct	Incidents related to corruption or anti-competitive behavior 2021: 0	0	0	achieved for FY2024

¹ Scope 1 and 2 emissions, excluding the Shenyang foundry, where we rely on renewable grid electricity or technological developments to achieve our ambitions.

² Updated target based on the new survey methodology.

On a strategic path to a sustainable organization

Our holistic approach to sustainability considers our beneficial and adverse impacts on the economy, society, and the environment, as well as the opportunities and risks that arise for our company in return.

Three main strategic directions guide us on our journey.

Creating leading compression solutions for a sustainable energy future

The world has to transition to a sustainable energy future by mastering the trilemma of energy security, clean energy, and energy equity. Our compression technology plays a key role in different areas of this transition. Compressors support and accelerate the transformation toward a sustainable energy future across all the market segments in which we operate. The range of applications extends from biogas to the production of solar panels or versatile energy transportation options such as Liquefied Natural Gas (LNG) and scalable use of hydrogen as a future energy carrier.

Supporting our customers on their sustainability journey

Increasingly, our customers are embarking on a sustainability journey, just as we are. With our products and services, we can support our customers on this path. When it comes to energy efficiency or reduction of gas leakages, we can realize significant savings together with our customers, since

around 99% of the greenhouse gas footprint of a compressor comes from the use phase. Considering the approximately 75'000 existing industrial-sized reciprocating compressors in the world, our potential positive impact is substantial.

Integrating sustainability in our organization and the supply chain

As a global industrial technology company with over 3'300 employees (FTE), we have the capabilities and the commitment to contribute to a sustainable development. We have integrated sustainability in our core strategy. The Strategy and Sustainability Committee proposes strategies, policies and key performance indicators to the Board of Directors. Corresponding risks and opportunities are assessed as part of the overall company risk management process, overseen by the Audit Committee and reported to the Board of Directors. We also recognize our responsibility to exercise our due diligence obligations in the supply chains and uphold our product responsibility. The largest sustainability potentials for our company lies in our eight material topics as outlined in this Sustainability Report.

We have rooted sustainability deeply in our core business through our Mid-Range Plan.

Burckhardt Compression Annual Report 2024

Systems Division

Compression technology for a sustainable energy future

Compressors are critical components in several areas of the energy transition and therefore a decisive building block for its success.

New applications related to the energy transition are developing in all market segments and we continue to innovate to support this megatrend. Given the significant impact of maritime transport on global greenhouse gas emissions, innovation is essential for a sustainable future in the marine industry. In 2024, we expanded our marine compression solution portfolio to enter the market of LNG carriers with low-pressure 2-stroke engines. Other applications, like biogas and sustainable aviation fuels, are also starting to scale up.

We stand at the forefront of emerging energy transition applications with our ability to develop innovative solutions.

Systems Division

Petrochemical and chemical industry

Traditional applications of our compressors are rooted in the polyethylene (PE), polypropylene (PP) and low-density polyethylene (LDPE) production. In transitional applications, these plastics are produced out of recycled monomer instead of naphtha or natural gas. The main application in a sustainable energy future is the production of ethylene-vinyl acetate (EVA), which is used for encapsulating solar cells. EVA is produced with a chemical reaction at more than 3'000 bar, requiring some of the largest compressors available in the world, and for which Burckhardt Compression is a leader.

Gas transport and storage

The traditional applications in this segment are natural gas pipelines, gray hydrogen pipelines or LPG tankers. We are already well present in transitional applications such as LNG tankers, LNG-fueled ships, and LNG import terminals. Our compression technology is used in reliquefaction processes, boil-off gas handling, or for providing fuel gas to modern dual-fuel engines. Further, we have a strong and growing presence in new energy applications such as green hydrogen transport as well as green-ammonia-ready tankers.

Hydrogen mobility and energy

Our equipment has been compressing hydrogen for decades, but the importance of hydrogen as a key building block of a sustainable energy future gives it new dimensions. There are several critical pieces of equipment required to make hydrogen a viable and economical option such as the electrolyzer, the compressor, its motor, and the dispenser in fuel stations. We have stand-out technology for scaling hydrogen compression. It can be applied in transitional applications such as blue hydrogen for mobility and so called hard-to-abate sectors, as well as future-fit green hydrogen applications in liquefaction plants, pipelines, trailer filling, and fuel stations.

Industrial gas

Industrial gases are mainly used in industrial processes, such as steelmaking, medical applications, fertilizers, and semiconductors. Traditional fields are the compression of non-organic gases for various applications such as oxygen, helium, or air. As a new growth driver, our compressors play an important role in the production of polysilicon, which is the core of solar cells.

Refinery

Refineries convert crude oil into commercial products by distillation and chemical reactions, to produce fuels and lubricants, as well as feedstocks for other downstream processes. In this segment, we deliver compressors for 70 years, mainly for hydrogen applications to desulfurize fuels. Additional applications for a sustainable energy future are biofuels, e-fuels (synthetic fuels based on green hydrogen), or sustainable aviation fuels.

Gas gathering and processing

We deliver compression solutions for conventional upstream natural gas extraction, enhanced oil recovery or midstream transportation applications. As the energy transition unfolds, new opportunities are arising in this segment. We are successful in the production and processing of biogas at industrial scale. Further potential lies in syngas production (methane synthesis based on green hydrogen) and CO₂ capture, transportation and storage.

Services Division

Sustainability benefits for our customers

Services Division

Our compressors are used mostly in industrial and energy supply processes. Our service activities often affect various sustainability parameters with a multiplier effect due to the long operating hours and service lives.

A new life-cycle for a 60-year-old compressor

Our customer, Sherritt International Corporation, is a global leader in the mining and refining of nickel and cobalt, which are crucial for the increasing use of electric vehicles. Burckhardt Compression conducted a comprehensive inspection and analysis of their aging compressor components to enhance overall reliability and availability. The unit was experiencing unplanned failures frequently, sometimes less than 45 days apart. Additionally, the original manufacturer no longer supported this asset. As a result, Sherritt faced challenges in finding a dependable service provider capable of assessing and repairing various components.

Burckhardt Compression Canada stepped in to completely rebuild the compressor to specified standards. We upgraded components to address several compressor issues and established approved repair processes, new documentation, and reporting structures. This effort helped develop new specifications, as there were minimal historical records available. By the end of the project, Sherritt received a "zerohour" compressor ready for long-term operation. The availability increased substantially, rising from approximately 62% to 88%. Moreover, the compressor has operated without any unexpected outages since the rebuild, marking a significant improvement for Sherritt.

Sherritt had considered replacing the units initially, but revamping offered a far more sustainable and cost-effective path.

Reciprocating compressors are running for decades, requiring specialized skills to upgrade or restore their performance.

Sustainability Report 2024

Sustainability

Sustainability Report 2024

Our strategic approach

We create leading compression solutions for a sustainable energy future and aspire to incorporate economic, environmental, and social aspects into our business activities and decisions.

Strategic sustainability framework

With a company history stretching back over 180 years and products with a useful life of more than half a century, we base our business decisions on a long-term perspective. And we approach sustainability with the same mindset: pragmatic, focused on the long-term, creating value and impact driven.

Strategic focus on eight material topics

In our approach, we focus on eight material topics, which we identified in our double materiality assessment, considering impacts on the economy, environment, and society as well as the implications on our business success (see page 64). These eight topics constitute our framework and the core of our sustainability roadmap. In 2024, we deepened our disclosure on the material topic of greenhouse gas emissions and climate change, following the recommendations of the Task Force on Climate-Related Financial Disclosures (see page 74).

We are committed to supporting the Sustainable Development Goals (SDGs) as part of United Nation's Agenda 2030 for Sustainable Development. We have stated five sustainability ambitions, each linked to a strategic SDG and directly related to our eight material topics:

Safeguarding human health (SDG 3: Good health and well-being).
Promoting prosperous work (SDG 8: Decent work and economic growth).
Tackling climate change (SDG 13: Climate action).
Driving energy transition (SDG 7: Affordable and clean energy).
Valuing natural resources (SDG 12: Responsible consumption and production).

We have also identified six additional SDGs to which we can contribute. Our efforts and actions supporting the SDGs are detailed in the disclosures of our material topics.

Sustainability Report 2024

Our senior leaders play a key role in achieving our goals, which is why sustainability is part of the remuneration in the form or our long-term incentive plan. Our 2027 target to reduce our greenhouse gas emission intensity by 50%* (2021: 2.1 kg CO₂e/h) is one of three key performance indicators for the long-term incentive of our top management (see page 111, Annual Report 2024).

We developed a commitment to net-zero greenhouse gas emissions in our operations by 2035, which goes beyond our Mid-Range Plan target for 2027. We follow a 1.5°C climate aspiration in reference to the Paris Agreement for our Scope 1 and Scope 2 emissions. In addition, we are committed to reducing our Scope 3 emissions (see page 46).

Overarching human rights, environmental, and governance due diligence

The focus on our material topics and sustainability ambitions includes an overarching due diligence approach. We acknowledge the responsibility to respect internationally recognized human rights, and international environmental and governance standards, which is also stated in our Code of Conduct and Human Rights policy. We incorporate the precautionary principle into our activities and decision-making, such as the consideration of environmental requirements in product design, the consideration of human rights in our supply chain, and the assurance of safe product operation at our customers' sites.

Our third-party risk management policy ensures the uphold of our principles from our Code of Conduct in the collaboration with our partners along the value chain. Supply chain management plays a key role in this.

* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

Material topics value chain impacts supply chain own operations use/ end-of-life Environment 1. Greenhouse gas emissions & climate change Impacts on climate change, including greenhouse gas emissions along the value chain, and mitigation of climate change risks. 2. Energy use & efficiency Energy consumption, efficiency and sources for the production, provision, and operation of Burckhardt Compression's products and services. 3. Longevity & cyclability Fostering a long life cycle and the circularity of materials and products in Burckhardt Compression's business activities, including maintenance and repair services. 4. Environmental impacts of application purpose Environmental impacts of the use case of Burckhardt Compression's products and services, including the contribution to a sustainable energy transition. Society 5. Working conditions Employment terms including working hours, compensation, and labor-management relations as well as the satisfaction of employees with those terms. 6. Occupational health & safety Maintaining and promoting a safe and healthy working environment for workers involved in the production and provision of Burckhardt Compression's products and services. 7. Product safety Maintaining and promoting the safe and healthy operation of Burckhardt Compression products and maintained products of other brands. Economy 8. Business conduct Ensuring and promoting that Burckhardt Compression's business activities are conducted in compliance with regulations, standards and ethical principles.

Our material topics

1. Greenhouse gas emissions and climate change

Sustainability Report 2024

Topic lead: President Systems Division

Target: Reduce greenhouse gas emission intensity for Scope 1 and 2 by 50%* (2021: 2.1 kg CO₂e/h)

Progress: -38% CO₂e/h – on track

Tackling climate change is one of the most pressing global challenges. The potential consequences of climate change are grave, in some cases irreversible, and affect individuals, organizations, and countries alike. The Paris Agreement of 2015 is a legally binding international treaty between states on climate change. It recognizes the need to limit global warming to below 2°C above preindustrial levels, preferably as low as 1.5°C.

Burckhardt Compression recognizes its responsibility and the potential to reduce its greenhouse gas emissions across the entire value chain. Our activities and technology make an increasing contribution to combating climate change and to supporting Sustainable Development Goal 13: Climate action.

The majority of the emissions associated with our business activities arise from the use phase of our compressors due to their long lifetime of 30 to 50 years. Other emissions occur in our operating facilities, where we have the most direct influence, and in logistics and the materials used.

Our approach

Burckhardt Compression endeavors to reduce the company's carbon footprint and optimize emissions during the use phase of the compressors. We focus on three key areas:

Reduction of the company's carbon footprint.
Optimization of the impact of our inbound and outbound logistics.
Improvement of the carbon footprint of compressors.

Reduction of greenhouse gas emissions during the use phase of our compressor systems is an integral part of our product and innovation management. With our services, we help our customers reduce emissions from installed compressors.

Our climate policy is the basis for all our activities related to climate change and part of our wider environmental policy. Our environmental management system, certified in accordance with ISO 14001, is a key instrument in reducing our environmental footprint. We have a global emission reduction roadmap in place with actions implemented and planned for each local unit.

We have embedded our 2027 target of reducing our greenhouse gas emission intensity by 50%* (2021: 2.1 kg CO₂e/h) as part of top management's long-term incentives. Additionally, we have a commitment to net-zero greenhouse gas emissions (Scope 1 and Scope 2) in our operations by 2035.

Strong pipeline of energy and emission saving upgrade and revamp projects

Our services on Burckhardt and non-Burckhardt compressors worldwide have a significant impact on climate change. Many of the approximately 75'000 industrial-sized reciprocating compressor systems have been operating for decades and offer substantial energy-saving potential.

BC ACTIVATE, our compressor assessment program launched in fiscal year 2023, helps customers reduce their carbon footprint. This program provides a diagnostic of their installed base, offering insights to reduce greenhouse gas emissions and increase uptime.

During fiscal year 2024, assessments were conducted on 110 compressors at 42 customer sites across various market segments. In some assessment cases, we have identified an emission reduction potential of up to 20'000 tons of CO₂ equivalent per year. BC ACTIVATE is expected to be an important growth driver in the coming years.

^* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

Burckhardt Compression Annual Report 2024

Progress in fiscal year 2024

We continued our focus on implementing the Mid-Range Plan initiative "emission reduction". Our roadmap contains project-based individual emission reduction pathways for each local unit, which we monitor in our aggregated group plan. We identified and evaluated measures for emission reduction in each local unit to reach our 2027 target of –50% greenhouse gas emission intensity* and our operational net-zero 2035 commitment.

Sustainability Report 2024

Several key projects from our roadmap have been successfully implemented. For Scope 1 emissions, we implemented measures targeting vehicle efficiency, heating systems and processes such as the installation of an electric boiler at SYCC to replace natural gas. For Scope 2 emissions, we continued energy efficiency measures, enhanced renewable electricity purchases, and completed several solar panel projects. At SYCC, rooftop solar panels started, with an annual production expectation of approximately 3'000 MWh. The new installation in South Korea is expected to produce around 400 MWh annually, and at our headquarters in Switzerland, we installed a production capability of around 360 MWh. These projects will start to fully contribute to our targets in fiscal year 2025.

In fiscal year 2024, we started to further explore the option of purchasing renewable electricity through renewable electricity certificates, in cases where alternatives were limited. We will continue to prioritize efficiency, own solar production and direct purchase of renewable electricity while also building a roadmap for long-term procurement of renewable electricity attributes.

We have now completed our Scope 3 emission inventory for both fiscal years 2023 and 2024. This marks a significant step forward, as we are now able to provide Scope 3 data

Greenhouse gas emissions of various compressors over the entire life cycle

in %

Process Gas Compressor 2B1Y

life cycle 20 years

Diaphragm Compressor MD10

life cycle 20 years

Laby® -GI Compressor 5LP250V

life cycle 30 years

Hyper Compressor K8

The vast majority of emissions over the entire life cycle of a compressors are caused in the use phase due to the high power range of our compressors, their long lifetime and their uninterrupted operation.

^* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

within the same fiscal year. As expected, the majority of our Scope 3 emissions occur during the use phase of the com pressor, primarily influenced by the electricity sources used by our customers.

Sustainability Report 2024

We have streamlined our activities to reduce the environ mental life-cycle impact of our compressor solutions through an ecodesign framework. This framework considers not only greenhouse gas emissions but also energy efficiency, resource consumption, and safety.

We see high potential for avoidance of gas leakage, par ticularly where greenhouse gases are compressed. We there fore refined our approach for emission management under the umbrella of our Energy Transition Services (ETS), support ing our customers to reduce gas leakages towards zero and to be compliant with increasingly stringent emission legislation.

Our performance

The absolute greenhouse gas emissions for Scope 1 and Scope 2 significantly decreased by 38.4% to 11'721 metric tons of CO₂ equivalents (tCO₂e). This reduction is due to vari ous energy efficiency projects, an increase in our own solar power generation, and notably the purchase of renewable electricity directly through the provider or via renewable electricity attributes. The latter covers slightly over one third of our electricity consumption or around 10'400 MWh.

The greenhouse gas emission intensity per working hour decreased by 40%, from 3.0 to 1.8 (2.1 to 1.3 without foundry). Similarly, the greenhouse gas emission intensity in tCO₂e per million sales decreased by 45.4% from 19.6 to 10.7. The results match with our expectation and planning for the 2027 sustainability target to reduce the greenhouse gas emission intensity Scope 1 and 2 by 50%* (2021: 2.1).

Greenhouse gas emissions

in tons of CO ₂e (per calendar year)

Greenhouse gas emissions intensity Scope 1 and 2

in kg of CO ₂e per working hour (per calendar year)

Greenhouse gas emissions business travel

in tons of CO ₂e (per calendar year)

Greenhouse gas emissions Scope 3

in million tons of CO ₂e

* Excluding the Shenyang foundry * Excluding energy transmitted to the next process step

^* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

Sustainability Report 2024

A comparison with previous years (2023: 88.4 million tCO₂e, 2022: 73.5 million tCO₂e) is not indicative because it demonstrates the high dependency on the product mix and destination country in a specific fiscal year.

Excluding emissions from the use-phase (Scope 3 category 3.11), the remaining total Scope 3 emissions of 359 kt CO₂e consist of 87% (311 kt CO₂e) from purchased goods and services (3.1), 5% from capital goods (3.2), 3% from upstream transportation and distribution (3.4), and the remaining 5% from all other relevant categories (3.3, 3.5, 3.6, 3.7, 3.9, 3.12, and 3.13).

Our business travel forms only a small part of Burckhardt Compression's other indirect greenhouse gas emissions (Scope 3), but can be directly influenced. Compared to the previous year, the emissions linked to our business trips have stabilized and even decreased slightly to 3'907 tCO₂e, thanks to measures aimed at reducing travel frequency. We continue to monitor and manage business travel related emissions closely.

Calculating and addressing Scope 3 emissions

We have calculated our Scope 3 emissions to the best of our knowledge in accordance with the Greenhouse Gas (GHG) Protocol. All 15 defined Scope 3 categories were assessed. For the use phase, we assumed a standardized lifetime for the compressors of 20 years or 30 years, depending on the application. Locationbased emission factors from the International Energy Agency (IEA) have been used to calculate direct and indirect emissions per country where the compressors were installed. The applied emission factors remain constant throughout the life cycle of the compressor without considering a projection of future grid electricity or even more progressive scenarios such as the net- zero emissions by 2050 Scenario or the Announced Pledges Scenario. This is in accordance with the GHG Protocol.

Direct gas leakages were calculated for the first time for compressor projects from Switzerland and India. Effective gas leakages, however, highly depend on customer's operational use.

Despite the above-mentioned limitations, Scope 3 emissions calculations are a valuable insight to understand our indirect emissions. They also enable us to assess the significant

reduction potential and business opportunities for the Services Division, considering the thousands of existing compressor packages worldwide. With over 99% of our emissions falling under Scope 3 and being heavily dependent on the electricity mix of our customer, it will be challenging to obtain external verification for a Scope 3 target, as we can only influence a smaller portion of these emissions. We will continue to measure our Scope 3 emissions and drive improvement actions within our control. Additionally, we intend to set targets for Scope 3 areas where we have a meaningful influence on relevant emissions.

To date, we have started the following key initiatives:

Ecodesign framework for research, development, and engineering.
Optimization of inbound and outbound logistics.
Roadmap for sustainability in procurement.
Energy Transition Services to reduce the emissions of the existing installed base (not included in our Scope 3 inventory, but enabling actual emission reduction for our our installed compressors).

In the coming year, we will continue to focus on implementing our emission reduction roadmap at the local level. Additionally, we plan to enhance our measurement of CO₂ emission reductions achieved through our services, providing a better understanding of our impact and the enormous potential at our customer sites.

Sustainability Report 2024

Burckhardt Compression commits to net-zero emissions in its operations by 2035

We follow a 1.5°C climate aspiration in reference to the Paris Agreement for our Scope 1 and 2 emissions. In addition, we are also committed to reducing our Scope 3 emissions. We have developed a comprehensive roadmap for our Group including with plans and investment

estimations each site. Over 60% of the greenhouse gas reduction aspired are already covered in the current state. We further expand our roadmap on a continuous basis to address remaining emissions such as elaborating green electricity purchasing options for residual electricity emissions.

2. Energy use and efficiency

Topic lead: Vice President EMEA Systems Division

Target: Increase the share of renewable electricity to 75%* (2021: 23%) Progress: 71% – on track

Sustainability Report 2024

The development of society depends on the conversion, use, storage, and transmission of power. However, the extensive demand for energy is also tied to significant environmental impacts.

Burckhardt Compression's business activities have a significant impact on energy consumption, especially in production, raw material supply, and the electricity consumption of our compressors in the use phase. The largest impact of our activities is in the use phase of our products.

Through energy-saving production processes, compressor design and services, we can contribute to the Sustainable Development Goal 7: Affordable and clean energy.

Our approach

Burckhardt Compression endeavors to reduce energy demand and promote renewable energies. The focus is on:

Energy use, energy efficiency, and energy quality, including renewable energy in our operations.
Use and efficiency of energy in the operation of our products at customers' sites throughout the use phase.

Our environmental policy and ISO-14001-certified environmental management system form the basis of our activities related to energy consumption in our value chain. Each subsidiary takes responsibility for reducing its energy consumption and increasing the share of renewable electricity according to our global target.

Our Winterthur site, for example, is in the process of implementing a multi-year project to save energy in production operations and offices. As another example, the factory in Pune has won the GreenCo Star Performer Award (Gold Rating) several times. GreenCo is an initiative created by the Confederation of Indian Industry (CII). GreenCo's rating system takes a holistic approach to the measurement of the results of corporate environmental initiatives.

The energy consumption of our compressor systems forms an integral part of our product and innovation management. Through our comprehensive services, we improve the energy requirements of our own and third-party compressor systems throughout their entire life cycle.

Progress in fiscal year 2024

We achieved significant milestones for the expansion of renewable electricity production at our facilities, following our Mid-Range Plan target of 75%* renewable electricity by 2027. In Winterthur (Switzerland), Shenyang (China), and Busan (South Korea) we finalized the installation of solar panels on our factory roofs. Together with other solar installations in different locations we have a production capacity of approximately 4'400 MWh annually, which corresponds to roughly 15% of our electricity consumption. We continued our measures to reduce energy consumption at different sites.

With the launch of BC ACTIVATE – our performance assessment service for existing compressors in operations – energy consumption has received additional attention in our

Second generation Multistage Clearance Adjustment enables energy savings up to 30%

The second generation of our Pneumatic Multistage Clearance Adjustment System, developed by our subsidiary Shenyang Yuanda Compressor (SYCC), continues its success. In fiscal year 2024, SYCC installed 10 sets of equipment at eight different customer sites across China. Each single installation can potentially reduce compressor energy consumption by up to 30% during part-load operation in the most favorable scenarios. This translates to an energy saving potential of up to 37 GWh anually, based on 8'000 operating hours per year. Considering the average emission of the electricity mix in China, this reduction potential is estimated to avoid approximately 22'500 tCO₂e equivalent to the annaual electricity consumption of over 12'000 average Swiss households.

^* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

Report Section Sustainability Corporate Governance Compensation Report Financial Report Imprint Sustainability Report 2024

dialoge with customers. Assessing and eventually reducing electricity consumption is one important module of this standardized offering and service.

We collected further data for our structured approach to track and compare adiabatic energy efficiency of product lines over time. This methodology allows us to evaluate and benchmark the engineered-to-order compressor projects and drive measurable performance improvements in energy efficiency.

Key to success is to link monitoring and performance data from the field with our in-house calculation tools. The learnings from this initiative will be implemented in various projects contributing to an ecodesign roadmap, putting the energy consumption of new and existing products at the center of our attention.

Our performance

Despite our significant sales growth of 12.6%, we reduced our absolute energy consumption by 6.4% to 52'566 MWh. A significant part of this reduction is related to the closure of 3 service centers in the US and to the decrease in output in our foundry. Subsequently, our energy intensity per working hour decreased by 10.2% from 8.8 to 7.9. We increased the Groupwide proportion of renewable electricity significantly from 22% to 62% due to own solar production, and to a larger part due to renewable electricity purchasing. We are on track to reach our 2027 target.

With product improvements and services, we managed to reduce our customers' energy consumption in the reporting period. To date, we have evaluated few projects in terms of energy savings because access to data is challenging. We have identified this as an improvement area for our management approach.

Share of renewable electricity

in % (per calendar year)

Energy consumption

in MWh (per calendar year)

Energy intensity

in kWh per working hour (per calendar year)

Sustainability Report 2024

Outlook for fiscal year 2025

In the fiscal year 2025, we will continue our roadmap to increase the share of renewable electricity across the Group. After completing major steps with solar panel installations, our primary focus will transition to several local energysaving measures at operational level.

With our new assessment package within BC ACTIVATE, we aim to increase the number of use cases in day-to-day activities and create an increasing backlog of execution pro jects targeting energy efficiency. On the product side, our assessment of energy saving potentials will shape the roadmap of our ecodesign-initiative.

Remarkable energy savings projected for a nitrogen compressor system in Japan

In fiscal year 2024, we won an upgrade and revamp project with a customer in Japan. Tailored to the customer's specific requirements, we delivered advanced solutions designed to precisely control machine capacity and significantly reduce energy losses. By optimizing the existing system, the customer is expected to save around 800 MWh annually, which corresponds to over 330 tCO₂e per year, based on the average emissions of Japan's grid-mix.

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3. Longevity and cyclability

Topic lead: President Services Division

Target: Increase the revamp and upgrade sales of Services Division by 100% (2021: 100 – Index) Progress: 167 – on track

Sustainability Report 2024

A large number of natural resources are finite, and raw material extraction is associated with significant environmental and social consequences. It is thus essential to keep raw materials for longer in the use phase and to close loops to use materials circularly.

Our compressor systems are built for a lifetime of more than 25 years and the average lifetime is 30 to 50 years. Our oldest known compressor still in service is 95 years old. Our compressors are made of more than 95% iron and steel, which makes them highly recyclable.

In the manufacture and servicing of compressors, we have a significant scope to contribute to a circular economy and support Sustainable Development Goal 12: Responsible consumption and production.

Significant impacts result from the raw materials used for our compressors, the replacement of components during the use phase and the use of operating materials such as lubricants.

Our approach

Burckhardt Compression fosters long life cycles and the circularity of materials for own compressors and those from other manufacturers by focusing on:

Longevity of new products through technology, engineering, easy maintenance, and optimized wear parts.
Longer life cycles of existing compressor systems through retrofitting, overhauling, and longer maintenance intervals.
Repairing of components and compressors.
Use of recycled materials, in compliance with material requirements and standards.
Recyclability of our products.

To foster longevity, we use our in-depth technical knowledge to develop reliable, long-lasting, and high-performance compressor solutions. We offer a full range of reliable services and durable compressor components developed in-house to achieve our long product lifetime of 30 to 50 years. Our innovations such as Persisto® materials and Redura® sealing systems ensure a long-lasting operation.

By reconditioning equipment, we support the short recycling loop with a comprehensive range of revamp and upgrade services, as well as our refurbish programs for entire compressor systems. We also repair and refurbish compressor components such as valves using our global network of service centers.

Operating hours in comparison

LABY® Compressor 3K160

Weight: 9 t Operating hours: 8'000 per year 240'000 total*

Passenger car

Weight: 1.5 t Operating hours: 5'000 total**

* Assumption: lifetime of 30 years
** Assumption: 300'000 km at an average of 60 km/h

Progress in fiscal year 2024

In the fiscal year 2024, we set a particular focus on our competence center in the Netherlands (BCNL). It offers highly specialized services for repairing and overhauling crankshafts of compressors and diesel engines up to 12 meters in length and 30 tons in weight. We strategically invested in the infrastructure and the operational capacity such as the doubling of laser cladding capabilities as well as machine optimizations. During fiscal year 2024, we secured two orders from a new customer for the repair of two large pump shafts (approximately 5 tons each) at an overseas production site, with the option for follow-up orders.

Sustainability Report 2024

A major factor influencing both longevity and cyclability is the competence to service compressors from other brands (OBC). There are approximately 75'000 industrial-sized reciprocating compressors installed worldwide. A number of the manufacturers no longer exist, making the current compressors orphans. With our expertise, we can ensure that also OBC machines receive the necessary maintenance and spare parts even when the original manufacturer no longer exists.

We continued our activities under the umbrella of Energy Transitions Services (ETS). These services aim to support the energy transition by providing targeted sustainability benefits for our customers, including longer runtime for parts as well as compressors.

We successfully implemented a range of revamp and upgrade services for our customers, from small parts upgrades to complex overhauls, giving compressors a second life.

Our performance

Sales in revamp and upgrades increased compared to the fiscal year 2024 from 152 to 167 (index). The increase is mainly based on stronger requests from different regions supported by the BC ACTIVATE assessments, which are used to highlight the benefit of a revamp or upgrade on the existing installations. We are on track to reach our target for 2027, which is to double our revamp activities compared to the base year 2021 (=100).

Repair instead of replacement is a key element in the circular economy. We contribute to it through our services; for example, the share of refurbished components for valves was 74% and for cylinders 93% in all service interventions.

Extending the lifespan of compressor components

Syngenta, a global leader in agricultural technology, faced recurring issues with their non-Burckhardt Compression, dry-running, 2-stage piston compressors. Our BC ACTIVATE assessment identified technical malfunctions and we proposed a comprehensive modernization of the compressors. This included installing genuine spare parts and retrofitting components to increase the compressor performance. Post-modernization, Syngenta's compressors showed significant improvements in efficiency, with gas outlet temperatures dropping by 10° to 15° Celsius. The average lifetime of sealing elements quadrupled, enhancing reliability and reducing downtime.

Sales volume for revamp and upgrade services

in index points, base year 2021 = 100

Sustainability Report 2024

Burckhardt Compression Annual Report 2024

Outlook for fiscal year 2025

We will continue our condition-based maintenance initiative throughout fiscal year 2025 and in the following years. Along with our digital offering, this will be one of the main themes in the Services Division. For example, we are developing a prototype module designed to deliver failure predictions for reciprocating compressors. This module will calculate the remaining useful life of packings and valves at each stage. Another focus will be to enhance our service activities with an emphasis on revamping and upgrading compressor systems to extend their service life.

Proportion of reused or refurbished components in service work for selected key components.

in %

100% = Total components recycled or newly manufactured by Burckhardt Compression for service activities.

4. Environmental impacts of application purpose

Sustainability Report 2024

Topic lead: Vice President Sales Systems Division

Target: Order intake of 40% in applications supporting the energy transition (2021: 16%) Progress: 32% – on track

Our core competence is mastering gas compression technologies for a wide range of gases and applications. Gas plays a crucial role in the process industries and energy supply, with

applications ranging from conventional energy supplies to industrial gases to renewable energy systems. A significant part of the indirect environmental impact of our business activities is linked to the application purpose. We have the potential to contribute to three of our strategic Sustainable Development Goals (7, 12 and 13). The main impacts of this topic are related to the use phase of our products and ser-

Our approach

vices.

Burckhardt Compression is committed to the long-term alignment of its business activities with a sustainable economic system. We identified four positive impact areas:

Climate change mitigation
Energy transition
Circular economy
Environmental pollution prevention

We have developed a sustainability screening approach to analyze our business activities from an environmental impact perspective. This classification system makes use of international standards such as the EU Taxonomy for sustainable activities or South Korea's K-Taxonomy, without claiming to fulfill all their technical requirements. The main purpose of our screening system is to serve as a compass for the development of our business activities toward a sustainable energy future.

We are expanding the range of applications for our customers and supporting the transition to a sustainable economy through our continuous innovation in compressor systems, materials, components, and services. The current focus lies on:

Solar energy value chain, where our compressors are key equipment for the production of a thin ethylene-vinyl acetate (EVA) film on top of a solar panel and for the polysilicon production of the core.
Liquefied Natural Gas as a short- and medium-term bridge energy for replacing coal, ensuring energy security during the transition or as a fuel for marine applications, replacing carbon-intensive heavy fuel oil until zeroemission solutions are available.
Low-carbon hydrogen and its derivates as an important component of a sustainable energy future, in which our compressors play a key role in meeting the specific technical challenges of these new applications.

The technological advantages of reciprocating compressors for these applications are unrivaled efficiency and long service lives.

First order for LNG Carriers with low-pressure 2-stroke engines

We have secured an order to supply LNG Boil-off-gas handling compressors for eight LNG ships built by Hanwha Ocean. This marks Burckhardt Compression's entry into the market for boil-off gas handling compressors for LNG carriers with low-pressure 2-stroke engines. The compressors, key to the reliquefication process, boost LNG boil-off gas to 150 bar pressure and feature dryrunning cylinders, compact design, and high efficiency. This order broadens our product range and reinforces our position as a major player in the LNG market. It also contributes to more sustainable marine industry practices.

Progress in fiscal year 2024

The fiscal year 2024 remained very dynamic with a high number of projects for the solar industry, supported by a strong demand for EVA applications. We could also benefit from renewed opportunities with LNG Marine transport. The introduction of a new modular compression platform allowed us to support the technology developments of our customers and gain access to previously non-accessible markets.

Sustainability Report 2024

Despite the reduced number of hydrogen mobility and energy projects this year, we were able to secure a few important references in the field of low-carbon hydrogen compression. Applications include trailer filling, hydrogen storage and pipeline injection. In parallel, we continued to strengthen our product portfolio and international business development resources for this market. We have extended the sustainability assessment in fiscal year 2024 to most of our service projects for the first time. Services related to BC ACTIVATE, as well as upgrades and revamps, are important contributors to a sustainable energy future.

Our performance

We apply our sustainability screening approach to the entire Systems Division and the majority of Services projects. The current scope covers 92% of the total order intake:

We classified around 15% (2023: 26%) of the total order intake as new energy applications. Examples are green hydrogen projects in hydrogen mobility and energy or projects for the solar panel industry and energy transition services.
Around 17% (2023: 7%) of the total order intake is classified as being transitional with environmental advantages, but not yet fully sustainable. Examples are biogas applications in refinery, dual-fuel LNG applications in gas transport and storage, gray or blue hydrogen projects in hydrogen mobility and energy and energy
transition services in some conventional applications.
Around 60% (2023: 37%) of total order intake is classified as conventional applications. Examples are conventional industrial gas or petrochemical applications without a clear link to a sustainability use case.
8% (2023: 30%) of the total order intake has not yet been classified.

The demand for compressors for ethylene-vinyl acetate (EVA) remained strong but slightly lower and the demand for LNG (Liquefied Natural Gas) Marine and ammonia transportation increased considerably compared to last fiscal year. The hydrogen market continued at a slow pace, waiting for confirmed off-taker agreements and clarity on government policies. BC ACTIVATE and energy transition services have started to accelerate in our service portfolio.

Outlook for fiscal year 2025

In the coming fiscal year, we will continue our development of innovative non-lube, high-pressure and high-flow hydrogen compressor systems to meet the specific technical challenges along the hydrogen value chain, as well as new compressor platforms for LNG marine applications. We will also further evaluate business development opportunities with new applications that support the energy transition such as hydrogen storage, carbon capture and sustainable aviation fuel. In addition, we continue to expand our energy transition service offering for Burckhardt Compression and other brand compressors.

Two compressors for a green hydrogen 200 MW Electrolyzer Project in the Netherlands

Burckhardt Compression has been awarded two compressors for a Green Hydrogen project in the Netherlands. This marks our second 200 MW electrolyzer project. The new plant will produce around 15'000 tons of renewable hydrogen annually, preventing over 2.5 million tons of CO₂ emissions. Our innovative compression solutions will ensure efficient and eco-friendly hydrogen distribution, contributing to Europe's renewable energy infrastructure. This achievement highlights our commitment to sustainability and the strength of our customer partnerships.

Sustainability classification of order intake

Sustainability Report 2024

5. Working conditions

Topic lead: Chief Human Resources Officer

Target: Maintain an employee engagement score of ≥ 4.0* (2024: 4.1) Progress: 4.2 – achieved for fiscal year 2024

Jobs with decent working conditions are a basic premise for the development of individuals and society. They drive prosperity and provide a livelihood for people. Our employees are central to our success, and we are proud of our global and diverse workforce in our production sites and service centers.

With our engagement in providing good working conditions, we contribute to the targets of Sustainable Development Goal 8: Decent work and economic growth. Our most direct impact concerns the working conditions of our more than 3'300 employees (FTE). Further impacts are along our supply chain, also with regard to human rights. We recognize our responsibility to exercise due diligence in collaboration with our business partners.

Our approach

Burckhardt Compression is committed to upholding fundamental international labor standards and strives to provide conditions that exceed the local industry average overall. To achieve this, we focus on three areas:

Dialog and relations
Terms and compensation
Organizational culture

The impacts on employees of suppliers, contractors, and outsourced activities are managed mainly through our supply chain due diligence approach.

Dialog and relations

We acknowledge and support freedom of association as set out in our Code of Conduct. Open dialog with employees is a priority for Burckhardt Compression and is fostered in various ways. In addition to employee surveys and a continuous exchange with line managers, employees are informed online several times a year personally by members of the Executive Management about the state of the business and other matters, whereby questions are answered. Our online platform and mobile application BC Connect is an exchange platform accessible to all employees and allows them to receive, comment on, and write messages. Other dialog tools are used at local level in the form of collective bargaining and employee representation. 66% of Burckhardt Compression's employees worldwide are covered by a collective agreement.

Employment terms and compensation

Burckhardt Compression offers attractive terms and conditions of employment adapted to prevailing requirements on an ongoing basis. We benchmark our salaries against external salary surveys conducted by Willis Towers Watson and have an ongoing monitoring system in place to eliminate significant salary differences between equivalent positions. We have established a flexibility in terms of staff working from home and have enhanced our infrastructure to enable our employees to work comfortably from a variety of locations.

Employee turnover ratio

in % of yearly average of full-time equivalent

^* Scope 1 and Scope 2, excluding the Shenyang foundry where we rely on renewable grid electricity or technological developments to achieve our ambitions.

Sustainability Report 2024

Organizational culture

We believe that our well-established corporate culture forms the foundation of our competitiveness. A comprehensive program called "Values and Behaviors" ensures that employees in all Group locations and companies share and actively uphold the same corporate values and principles. The internal Code of Conduct is designed to set fundamental standards and principles for how employees should interact and behave with partners, stakeholders, and the environment. A global Speak Up channel operated by a third party is available to report violations of our standards, values, and behavioral guidelines.

Progress in fiscal year 2024

In fiscal year 2024, we invested significantly in employee engagement to enhance our organizational culture and team spirit. Following the 2023 engagement survey, we organized multilingual webinars and expert-led workshops to support managers in creating an engaging workplace. In August, we launched a pulse survey to assess employees' perceptions of their team's engagement progress.

We believe that effective communication and constructive dialogs are the cornerstones of a productive and performing workplace. In fiscal year 2024, we developed a framework to strengthen our employee-management dialog. The framework will be rolled-out to all local units in fiscal year 2025.

We strengthened our commitment to respect and support internationally recognized human rights through the further implementation of our human rights policy. We performed a risk screening and impact assessment of our operations with all subsidiaries. Following this, we will conduct an in-depth analysis of the results and, if necessary, implement specific measures for mitigation.

Rating from employee survey*

Employee engagement survey results

Average points scored for the statement:

"How satisfied are you with your company as a place to work?"

Average points scored for the statement:

"I would recommend my company as a great place to work."

Average points scored for the statement:

"Leadership communicates effectively with the company."

^* Based on new survey methodology introduced in fiscal year 2023. Previous results have limited comparability due to slightly different questions.

Average points scored for the statement:

"My company provides me with opportunities to balance my work life and personal life."

Average points scored for the statement:

"At work, I am treated with respect."

Our performance

The employee turnover rate increased to 11.1% in the reporting period. This figure includes all departures, including fixed-term employment contracts that came to an end. Of this, 6.2 percentage points are accounted for by voluntary departures, which marks a steady improvement to last year (6.6). High levels of employee loyalty and identification with the company are also confirmed by the fact that the typical employee has been with the company for 8.1 years.

Sustainability Report 2024

The participation rate of our engagement survey increased from 93% to 94%. The overall engagement level of the organization increased from 4.1 to 4.2 out of 5.0 on a Likert scale. This brings us above the 63rd percentile of the global manufacturing benchmark.

The average score for the question "How satisfied are you with your company as a place to work?" was 4.3 out of 5.0, which positioned the company in the 62nd percentile of the global manufacturing benchmark while for the statement "I would recommend my organization as a great place to work", the score was 4.3 out of 5.0, at 56th percentile.

Burckhardt Compression conducts an annual appraisal and performance review with its employees, which includes personal development goals and suggestions for continuous improvement. 85% of employees completed the performance appraisal cycle in the reporting period.

Outlook for fiscal year 2025

We will continue to drive measures locally at every team level based on the findings of our employee engagement survey in order to address the specific needs of our employees across different regions and departments. Further, we will roll-out our employee-management dialog framework to establish vital dialogs in all local units.

Among Switzerland's Best Employers 2025

Burckhardt Compression ranks as one of the most attractive Swiss employers 2025 in the mechanical and plant engineering sector. This ranking is based on an independent survey of employees, and was carried out by data analyst Statista via an online access panel, combined with input from the readers of "Handelszeitung." More than 1'700 employers with 200 or more employees in Switzerland were identified for the survey. Burckhardt Compression was placed an excellent 10th in its sector and a good 208th rank over all sectors.

6. Occupational health and safety

Sustainability Report 2024

Topic lead: Vice President Quality & Infrastructure

Target: Keep the Lost Time Injury Rate (LTIR) below 0.7 every year (2021: 1.1)

Progress: 0.4 – achieved for fiscal year 2024

The protection of physical integrity and the promotion of mental well-being are top priorities for us. By providing a safe working environment and promoting health, we can help achieve Sustainable Development Goal 3: Good health and well-being, and also Sustainable Development Goal 8: Decent work and economic growth. It is also demonstrated that good health of employees has a positive influence on business results. Our influence in this area extends to our own employees, to external employees in our workplaces, and to working conditions in supply chain companies.

Our approach

We are committed to the prevention of accidents and work-related illnesses and to the promotion of the mental well-being of employees and workers whose work or workplace is under the control of Burckhardt Compression. We focus our approach on two components:

Occupational health and safety system and prevention culture
Mental health and well-being

The impact on employee health and safety in our supply chain is controlled through the responsible procurement approach.

Our occupational safety policy and management system certified in line with ISO 45001 form the basis that governs all activities relating to health and safety in the workplace. Numerous measures ranging from detailed risk assessments, safety walks accompanied by management to workplace safety training, and mandatory wearing of protective footwear, protective eyewear, and other work-relevant protective equipment demonstrate their effectiveness through steadily falling risk exposure. Fostering a culture of prevention through raising awareness and involving employee representatives in the safety committee at each site is an important part of our approach.

We have several local programs under the global "Dr. BeWell" initiative to support the mental health and wellbeing of our employees. These include developing knowledge on topics such as stress management, sleep, and nutrition as well as promoting and encouraging sports activities.

Progress in fiscal year 2024

We were able to successfully re-certify our EOHS-Management System in fiscal year 2024 and conduct external audits at Group level in nine different countries, in accordance with the ISO 45001 standard. All findings have been addressed and closed with the local certification bodies. We continued a safety awareness campaign in all manufacturing sites including illustrative flyers. We have also evaluated a dedicated software to improve the management of precarious situations and near misses, which will be rolled out in fiscal year 2025–2026.

Further, we have harmonized and strengthened our approach with the development of global minimum standards for occupational health and safety applicable to all sub-

Rating from employee survey*

Employment engagement survey results

Average points scored for the statement:

"I feel safe in my work environment."

* Based on new survey methodology introduced in fiscal year 2023. Previous results have limited comparability due to slightly different questions.

Burckhardt Compression Annual Report 2024

sidiaries. We have also established a global Environment, Occupational Health, and Safety (EOHS) Advisory Board to provide a global platform for the exchange of know-how and best practices.

Sustainability Report 2024

Various local activities under the "Dr. BeWell" initiative have been continued or initiated, such as coaching and awareness webinars in Switzerland or team sport and medi tative yoga sessions in India and China.

Our performance

The Lost Time Injury Rate (LTIR) has further decreased from 0.5 to 0.4. It marks continued improvement compared to last year and is below our Mid-Range Plan target of 0.7. The sever ity rate has increased from 14.2 to 18.7, which means that accidents were slightly more severe but have resulted in less lost days overall. During this reporting period, we recorded no fatal accidents and no case of work-related ill-health.

Outlook for fiscal year 2025

We will pay special attention on the factory and assembly sites where proportionally the highest number of accidents are registered. The increased workload in production will continue to be a challenge. A second focus for the Mid-Range Plan period is behavior-based safety where we planned to launch a program in 2025 to 2026. We will also continue to intensify our efforts to strengthen the approach to mental health and well-being with the development of a roadmap.

Lost Time Injury Rate (LTIR)

Per 200'000 hours worked (per calendar year)

Severity Rate (SR)

Lost days per recordable incidents (per calendar year)

Lost Time Workday Rate (LTWR)

Per 200'000 hours worked (per calendar year)

7. Product safety

Topic lead: Vice President Contracting Systems Division

Sustainability Report 2024

Target 2027: Zero incidents every year related to product safety (2021: 0) Progress: 0 – achieved for fiscal year 2024

Compressors are a critical equipment in various applications in the process industry and energy provision. System safety and reliability are the most important areas of expertise in our business due to the high pressures, continuous operation, integration in complex industrial processes, and the individual hazard potentials of the compressed gases. By ensuring product safety, we contribute to the Sustainable Development Goal 3: Good health and well-being. The main impacts are in the commissioning and operational phase and extend over the compressors' decades of life.

Our approach

Burckhardt Compression assures safe operation of compressor systems in every phase of their life cycle. Our approach encompasses five main areas of risk assessment and mitigation:

– International norms and standards

Where available, we use and follow international standards for the development, production, commissioning, and maintenance of compressor systems. This includes the evaluation of safety risks and certification in accordance with mandatory laws and standards.

– Simulation, calculation and testing

Our comprehensive knowledge of calculation and simulation allows us to optimize the dimensioning of compressor systems. We also use specific testing and inspection procedures to ensure safety and functionality.

– Strong processes

Defined working principles, processes and our ISO-9001-certified quality management system ensure our processes meet the strictest requirements.

– Control systems and maintenance

Our compressor systems are fitted with a minimum protection system that shuts down the system in the event of a critical disruption. Our PROGNOST®-SILver system for monitoring and diagnosing the condition of reciprocating compressors and our UP! Solutions for long uptime and maximum reliability are further key tools for increasing reliability and safety.

– Documentation and training

To ensure the smooth and safe operation of compressor systems, we produce a specific set of operating documents for each system and offer a wide range of training modules available either online or at our training centers.

Progress in fiscal year 2024

To address developments across regions and market segments, new products were introduced, contributing to a significant share of the total revenue. The pre-order risk assessment and risk mitigation process, successfully implemented for all projects, has been fine-tuned with a special focus on "first-of-its-kind" projects. This category includes projects for new markets, new products, new suppliers, and scope extensions up to installation and commissioning on a lump sum basis.

Additionally, the sales release matrix across all product lines and the competence matrix across the global execution organization serve as advanced control and screening mechanisms to comply with different country standards and customer guidelines. In the reporting year, we continued to invest significantly in competence development throughout the organization, advancing the career path for technical expertise and our Global Competence Centers. These centers have been extended in China, India, and Italy, and for new disciplines to ensure product safety coverage of solutions.

Partnering with local packagers, suppliers, and customers, we tested applications in the field before commercial operation and completed setups in our test centers in China and Switzerland, with further investments planned in India. The utilization of our new engineering platform, launched in fiscal year 2022, increases the reuse of validated modules and whole projects to ensure high product and safety levels during ramp-up and beyond.

Our performance

As part of the approval process, 100% of new product configurations underwent a risk and design assessment, including product safety. No incidents related to compressor product safety were registered during the reporting period, and no violations of regulations or voluntary codes occurred.

We registered two near misses for a new product application, handled on-site without injury or material damage. The implementation of lessons learned from recent product launches has enhanced awareness, design, and packaging configurations. Master manuals for additional product lines and a database for operating descriptions were completed to ensure consistency and compliance.

The number of new compressors fitted with a Burckhardt Compression control system remained stable, including hardware and configuration prototypes. Data trending and operational surveillance via PROGNOST supported preventive maintenance and product improvements. We believe our control and digital solutions provide substantial added value by enhancing the reliability, safety, and life cycle management of our compressors.

Sustainability Report 2024

Outlook for fiscal year 2025

Our focus for the coming period will be on the continuation of our roadmap intensifying the mitigations on "first-of-itskind" projects involving simulations, test, and advanced monitoring. Thereby, various in-house and external test centers are utilized to simulate dynamics and operational modes.

Simulation and data-driven insights for product safety

At Burckhardt Compression, ensuring product safety and reliability begins with intelligent design and engineering processes. We use enhanced simulation techniques to evaluate mechanical behavior, optimize component performance, and reduce material usage, long before a physical prototype is built. These virtual methods help us design safer, more efficient compressors while also reducing environmental impact.

By combining simulation with data-driven insights and innovative manufacturing, we are shaping the future of compressor technology-safe, efficient, and sustainable. Additive manufacturing further enhances our capabilities by enabling the creation of lightweight, high-strength components with optimized geometries. This not only improves performance, but also reduces material and energy consumption.

In parallel, we are increasingly leveraging real-world compressor performance data from the field through our digital platform UP! Solutions. This enables us to support predictive maintenance strategies, reduce unplanned downtime, and extend equipment life-contributing to both safety and sustainability.

8. Business conduct

Topic lead: General Counsel

Target 2027: Maintain zero incidents every year related to corruption or anti-competitive behavior (2021: 0) Status: 0 – achieved for fiscal year 2024

Sustainability Report 2024

Unethical business practices have the potential to damage the economy and society. They cause economic losses, promote social inequality, and undermine democratic processes. As a global business with a far-reaching network of business partners, we are committed to conducting our business ethically, legally, and in an environmentally and socially responsible manner, which is a precondition for all other material sustainability topics.

Our approach

Burckhardt Compression undertakes to carry out its business activities in an ethical, legal, and environmentally and socially responsible manner. We expect every business partner we work with to conduct themselves in a similar manner. We assess every aspect of our business relationships and focus particularly on:

Business compliance
Anti-bribery and anti-corruption
Free competition
Export and sanctions compliance

Our Code of Conduct defines the fundamental standards and principles for employee interaction and behavior with partners, stakeholders, and the environment. It aligns with our "Values and Behaviors", ensuring that our actions reflect our

core principles. With the Code of Conduct for business partners, our suppliers, local agents, and partners commit to conducting their business in an ethical, legal, and environmentally and socially responsible manner. All employees are required to explicitly acknowledge the Code of Conduct. We train our employees in the fields of anti-corruption, business compliance including free competition, and strict adherence to export and sanctions controls.

Burckhardt Compression carries out regular internal audits of all its subsidiaries with a focus on financial, legal, and compliance topics.

Our third-party risk management policy, along with the group risk policy and the sales agent policy, supports us in implementing our risk management with third parties. These policies clarify the expectations placed on management and employees when dealing with third parties.

Our Speak Up reporting system is a whistleblower channel operated by an independent third party. It allows employees, business partners, and third parties that are, or might be, aware of suspected misconduct to register it in the reporting system. The system is designed to allow protection of the identity of the reporting party.

Progress in fiscal year 2024

We continuously monitor our "Values and Behaviors," which, along with our Code of Conduct, form the core behavioral guidelines at Burckhardt Compression. This year, we rolled out an updated Code of Conduct training (e-learning) for employees and certain third parties, available in various languages, with on-site training where needed. The completion rate is excellent at 97.6%. Additionally, the Board of Directors participated in an in-person training to further enhance their expertise in business compliance.

Last year, we focused on third-party risk management. This year, we addressed the global scope of our operations and increasing regulatory requirements. To ensure compliance with international trade laws, including sanctions and export controls, we implemented a dedicated sanctions and trade compliance policy and provided ongoing training for relevant departments and specialists.

Throughout fiscal year 2024, we have continued to our Speak Up platform, encouraging employees and business partners to report misconduct. This initiative supports our commitment to a transparent and ethical work environment. Enhancements to the platform in 2023 have made accessing Speak Up channels easier and more user-friendly.

Our performance

A total of ten suspected cases of misconduct in violation with the Code of Conduct or law were recorded on the Speak Up reporting system. Two were submitted by external and eight by internal stakeholders. All cases were duly processed and closed within the reporting period. The average case lead time, from creation to the conclusion of the case was 34 days.

We conducted nine internal audits of subsidiaries following our audit cycle. No significant risks regarding corruption and anti-competitive behavior have been detected in this fiscal year.

No violations of competition law or instances of corruption connected to our business activities were identified during the reporting period, nor were any sanctions imposed for any significant non-compliance with environmental, social, or similar regulation.

Outlook for fiscal year 2025

In fiscal year 2025, we aim to further refine and enhance our compliance management system. Therefore, we will update and issue key policies. Our focus will also be on expanding our training programs to ensure comprehensive understanding and adherence to these policies. Additionally, we will continue to promote our Speak Up channel.

Burckhardt Compression Annual Report 2024

Our commitment

Firmly anchored sustainability governance

The very top management of our organization is committed to sustainability. Responsibilities are clearly defined at every level and closely linked to strategy. All sustainability-related activities are supervised by the Board of Directors. The Strategy and Sustainability Committee supports the CEO in developing corporate strategy and advises the Board of Directors on all matters relating to strategy and sustainability.

Sustainability Report 2024

The risks and opportunities linked to sustainability are managed as part of the overall company risk management process and are reported to the Audit Committee and to the Board of Directors.

All members of the Executive Management are also members of the Executive Sustainability Team, which is responsible for the strategic approach at Group level and compliance with our sustainability roadmap.

Every material topic is led by a member of senior management. These managers form the Sustainability Steering Group together with the Managing Directors of the production and assembly sites, and the Regional Heads from the Services Division. The Sustainability Steering Group is responsible for implementing the sustainability roadmap and defining the topic-specific management approach.

Implementation is supported by designated experts in the field and key local individuals in the subsidiaries. They provide technical expertise and ensure on-site implementation.

A designated sustainability manager leads and moderates the related activities at Group level and, as a technical expert, supports all functions and subsidiaries with implementation of the roadmap.

Sustainability governance at Burckhardt Compression

A clear focus based on our materiality analysis

We use a materiality analysis to determine where our company's activities have the greatest impact on society, the environment, and the economy. For this purpose, we conducted an impact analysis, where we assessed actual and potential positive and negative impacts of our activities along the value chain. In the fiscal year 2023, we further enhanced our analysis with the perspective of actual and potential implications for our business success, thereby considering a double materiality perspective. The aspects of scale, scope, and likelihood of impacts were considered as assessment categories with a precedence of scale and scope. Impact is the only determinant for materiality definition for the GRI reporting to be aligned with the standards.

For each of the eight material topics, we have appointed a topic leader as an advocate. Operational topics are important to us as well, but we do not pursue them with the same strategic approach as the material topics. They are integrated into the operational business activities at the departmental level. Other topics may be of greater relevance for a specific subsidiary, but not across the whole Group. We address these topics on a situation-specific basis.

Sustainability Report 2024

Our materiality matrix assessment

Material topics

Are included in our strategic approach to sustainability and are subject to extended reporting requirements for our Sustainability Report.

Operational topics

Have an increased relevance in our business activities and are continuously integrated into our operations; communication takes place according to needs and opportunities.

	2024	2023	2022	2021
Energy
Energy use MWh	52'566	56'173	59'107	49'928
Electricity	28'462	29'445	30'658	27'779
Fuels and combustibles¹	14'542	17'754	18'585	16'608
District heating	9'562	8'974	9'864	5'541
Share of renewable electricity %	62	22	21	15
Energy intensity kWh per working hour	7.9	8.8	10.1	9.4
Greenhouse gas emissions
Greenhouse gas emissions Scope 1 tCO₂e	4'170	4'917	4'674	4'221
Combustibles	1'250	1'436	1'551	1'485
Fuels	2'226	2'833	2'914	2'508
Others	694	648	209	228
Greenhouse gas emissions Scope 2 tCO₂e	7'551	14'120	15'396	13'198
Electricity	5'919	12'588	13'712	12'252
District heating	1'632	1'532	1'684	946
Greenhouse gas emissions intensity by working hours kgCO₂e per working hour (Scope 1 and 2)	1.8	3.0	3.4	3.3
Greenhouse gas emissions intensity by working hours kgCO₂e per working hour without foundry (Scope 1 and 2)	1.3	2.1	2.3	2.1
Greenhouse gas emissions intensity by sales volume tCO₂e per mCHF (Scope 1 and 2)	10.7	19.6	24.2	26.8
Greenhouse gas emissions business travel (Scope 3) tCO₂e	3'907	3'931	2'663	1'405
Scope 3 emissions
Total Scope 3 emissions million tCO₂e	70.5	88.4	73.5	not evaluated
Scope 3 emission excluding energy transmitted to the next process step million tCO₂e	13.4	15.4	13.1	not evaluated
Water and waste
Water² m3	65'297	74'991	78'687	83'810
Waste² t	3'384	2'790	3'530	2'805

	2024	2023	2022	2021
Health and safety
Lost Time Injury Rate (LTIR)1	0.4	0.5	0.6	1.1
Severity Rate (SR)2	18.7	14.2	24.6	25.0
Lost Time Workday Rate (LTWR)3	6.6	7.7	15.6	27.8

	2024	2023	2022	2021
Employee structure	FTE	FTE	FTE	FTE
Number of employees	3'336	3'243	2'973	2'732
Permanent	3'072	2'980	2'724	2'508
Male	2'588	2'536	2'320	2'145
Female	484	444	404	363
EMEA	1'426	1'378	1'264	1'152
APAC	1'394	1'298	1'155	1'066
Americas	252	304	305	290
Temporary	264	263	249	224
Male	192	194	188	171
Female	72	69	61	53
EMEA	20	13	19	16
APAC	243	250	229	207
Americas	1	0	1	1
Full-time	3'186	3'104	2'856	2'628
Male	2'686	2'646	2'442	2'256
Female	500	458	414	372
EMEA	1'299	1'253	1'167	1'065
APAC	1'636	1'547	1'384	1'273
Americas	251	304	305	290
Part-time	150	139	117	104
Male	95	84	66	60
Female	55	55	51	44
EMEA	147	138	116	103
APAC	1	1	0	0
Americas	2	0	1	1
Number of external workers	329	329	305	298
Number trainees & apprentices	124	145	178	153

		2024		2023		2022		2021
Employee turnover	FTE	% yearly average	FTE	% yearly average	FTE	% yearly average	FTE	% yearly average
New employee hires (% of yearly average)	438	13.3%	590	18.7%	510	17.7%	451	17.1%
	FTE	% end of year	FTE	% end of year	FTE	% end of year	FTE	% end of year
New employee hires (% of end of year)	438	13.1%	590	18.2%	510	17.2%	451	16.5%
Male	333	12.0%	489	17.9%	427	17.0%	382	16.5%
Female	105	18.9%	101	19.7%	83	17.9%	69	16.6%
<25 years	67	43.1%	52	36.9%	55	43.6%	45	50.2%
25-34 years	184	21.7%	251	29.1%	210	26.9%	171	22.2%
35-44 years	119	9.7%	163	14.2%	145	13.8%	121	13.7%
45-54 years	60	8.5%	87	13.0%	63	10.3%	69	11.6%
54+ years	8	2.1%	37	8.7%	37	9.2%	45	11.4%
EMEA	174	12.0%	246	17.7%	223	17.4%	208	17.8%
APAC	213	13.0%	266	17.2%	178	12.9%	172	13.5%
Americas	51	20.2%	78	25.7%	109	35.6%	71	24.4%
	FTE	% yearly average	FTE	% yearly average	FTE	% yearly average	FTE	% yearly average
Employee turnover (% of yearly average)	364	11.1%	328	10.4%	308	10.7%	266	10.1%
	FTE	% end of year	FTE	% end of year	FTE	% end of year	FTE	% end of year
Employee turnover (% of end of year)	364	10.9%	328	10.1%	308	10.4%	266	9.7%
Male	300	10.8%	275	10.1%	264	10.5%	230	9.9%
Female	64	11.5%	53	10.3%	44	9.4%	36	8.7%
<25 years	22	14.2%	19	13.3%	17	13.4%	17	19.1%
25-34 years	116	13.7%	106	12.3%	100	12.8%	82	10.6%
35-44 years	90	7.3%	86	7.5%	80	7.6%	87	9.9%
45-54 years	61	8.7%	45	6.7%	43	7.0%	36	6.0%
54+ years	75	18.5%	72	17.0%	68	16.9%	44	11.1%
EMEA	135	9.4%	123	8.8%	112	8.7%	95	8.1%
APAC	119	7.2%	125	8.1%	105	7.6%	106	8.3%
Americas	110	43.5%	80	26.2%	91	29.7%	65	22.2%

Extended Climate Reporting following the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD)

Extended climate reporting

1. Governance

Climate-related issues at Burckhardt Compression are overseen at the board level through the risk management review and the Strategy and Sustainability Committee. Climate change and mitigation actions are integral to our strategic reviews and business decisions due to compressor applications in the energy transition and the integration of sustainability in our core business strategy.

The Board of Directors (BoD) supervises all sustainability activities and is informed bi-annually on the risk management review, including climate-related physical and transitional issues and clean energy trends. The Group Risk Manager and the Executive Management conduct the review and present it to the Audit Committee, before reporting to the BoD. The BoD approves the five-year strategy ("Mid-Range Plan") with climate initiatives like emission reduction. Four BoD members have sustainability expertise.

The Strategy and Sustainability Committee (SSC), consisting of two BoD members, ensures that sustainability is an integral part of the corporate strategy. It supports the CEO in developing corporate strategy and advises the BoD on strategy and sustainability.

The management of climate-related risks and opportunities at Burckhardt Compression involves several operational bodies:

The Executive Sustainability Team, comprising all Executive Management members, oversees the Group's strategic approach and adherence to the sustainability roadmap. It approves greenhouse gas reduction and climate risk mitigation measures proposed by local business units as part of the Mid-Range Plan.
Each material sustainability topic is led by a senior management member, acting as an ambassador for the topic. The President Systems Division leads "Greenhouse gas emissions and climate change." The specific management approach for each topic is detailed in the Sustainability Report (see page 43).
The Sustainability Steering Group includes topic leaders, Managing Directors of production and assembly sites, and Regional Heads from the Services Division.
The Sustainability Manager leads and moderates Group level sustainability activities, supporting all functions and subsidiaries in implementing the Group's Sustainability Agenda. Assessing climate-related risks and opportunities is part of their duties, integrated into strategic planning and risk management. The Sustainability Manager updates the SSC at least annually on the sustainability roadmap, progress, new legislation, and risks, and meets bi-monthly with the Executive Sustainability Team.

The performance-based Executive Management compensation is dependent on long-term objectives – which, besides top-line growth and bottom-line impact, includes a Sustainability component (25% weighted), measured by the progress towards the climate target.

Sustainability and climate change are anchored in our values and behaviors as part of our pillar "Responsibility". These values and behaviors are also a baseline for each employee performance review.

2. Strategy

Identification of climate-related risks and opportunities

We performed a scenario-based risk assessment to identify the materiality of climate-related risks and opportunities.

The relevant time horizons are 1–2 years (short-term), 3–5 years (medium-term), and 5–25 years (long-term). These time frames align the mitigation actions of material risks and opportunities with our strategy time frame: immediate actions for short-term, inclusion in the next strategy process for medium-term, and monitoring for long-term.

Two emission scenarios were considered for the risk and opportunity assessment for the time horizon of up to 25 years (long-term scenario). The IPCC AR6 SSP5-8.5 scenario, projecting a global temperature increase above 4°C by century's end, was used to assess physical risks in a future with weak, uncoordinated climate action. The IPCC AR6 SSP1-1.9 scenario, combined with the IEA's Net-Zero Emission by 2050, was used to assess transitional risks and opportunities in a future with strong, coordinated climate action and significant adoption of renewable energy and decarbonization technologies to keep global temperature increase below 2°C.

Cross-functional experts evaluated the impacts and financial materiality of climate-related physical and transition risks and opportunities at the Group level, following the TCFD framework. Evaluation criteria include scale (potential financial impact on operating income), scope (Group's exposure from isolated to Group wide concerns), and likelihood (chances of impacts occurring within the given time frame, based on management's evaluation and literature review).

We assessed all five manufacturing and assembly sites globally, which are essential to operations and with limited short-term relocation ability.

Physical risks

For the physical risk assessment, the high-emission scenario was chosen to examine climate-related risks to our assets and operations. Acute and chronic risks were evaluated based on their materiality to key operational sites. Internationally accredited risk-management tools, supported by scientific literature, were used to assess risks from droughts, water stress, floods, wildfires, heat stress, and tropical storms.

The assessment indicates that some of our production and assembly facilities potentially face short-term exposure to drought, water stress, and tropical storms. Riverine or coastal floods may significantly impact one facility in the medium-term, while heat stress is likely to moderately affect us in the long-term. Local mitigation and preparedness plans address these risks. No relevant financial losses from extreme weather events have been noted to date. We will regularly re-evaluate and update the physical risk assessment.

Transition risks

Transitioning to a lower-carbon scenario presents challenges impacting policy, legal, technological, market, and reputational developments affecting our business activities. For transition risks, a low-emission scenario was chosen for a holistic assessment.

The displayed table highlights significant medium-term market risks, including increased costs for raw materials and electricity, and unpredictable market shifts. Policy, legal, and technology risks show moderate medium-term impacts, mostly driven by carbon taxation (especially in the EU) and capital risks in technology developments to maintain competitiveness. Increased stakeholder requirements and potential reputational loss pose moderate long-term risks. We are addressing and monitoring these transition risks in our corporate strategy, developing measures to reduce the likelihood of substantial financial implications.

Transition opportunities

We can seize opportunities arising from society's transition toward lower emissions and sustainable development. Increased demand for transitional and renewable energies is supporting the growth of our markets. Supportive incentives and policies for low-carbon energies like green hydrogen, solar, and LNG offer short-term market impulses. Additionally, products and services related to the energy transition can be expanded to help customers reduce their environmental impact and maximize uptime with our products.

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Physical risks

Risk¹	(Potential) Impact	Starting time frame (horizon)	Risk evaluation²	Approach & measures
Drought & water stress	Three facilities are in areas with higher water demand than natural replenishment. Increasing water stress may raise water prices and operational costs. In extreme cases, production could face short-term downtimes, impacting local revenue.	Short-term	Significant	Water is considered a non-material sustainability topic due to our low water-intensity manufacturing processes. Annual water consumption for assembly sites is reported in our Sustainability Report. Our facilities implement water management practices to reduce risk exposure. In areas where water scarcity may increase, facilities use comprehensive monitoring systems and saving practices, including rainwater harvesting, reusing and recycling, regulated groundwater consumption, and awareness raising.
Riverine or coastal floods	One assembly site is situated in a flood-prone area, potentially facing more frequent extreme events. Negative impacts include reduced production capacity, logistics and supply chain disruptions, and damage to buildings and inventory.	Medium-term	Significant	Management and recovery relief plans are in place at the affected site. Local management regularly validates the maintenance of critical infrastructures and resilience strategies. We have assembly capacity in each production unit and possibilities to shift orders to other factories.
Heat stress	Prolonged extreme temperatures may reduce productivity and pose health and safety risks, particularly at two sites in countries with high temperature records.	Long-term	Moderate	We maintain an ISO 45000 certified health and safety management system. Each facilities imple ments measures for an optimized temperature control. Training and resources are provided to vulnerable workers to mitigate risks from prolonged high temperatures. Measures and potential responses to future heat-related risks are addressed within our health and safety management system.
Tropical storms	Three assessed sites are in areas with increased risk from tropical storms, posing threats to infrastructure and assets, logistics, insurance costs, and production capacity. Enhanced risks for key suppliers have also been noted.	Short-term	Significant	Facilities at higher risk from tropical storms and related damage have developed natural hazard preparedness plans, endorsed by local regulations and safety authorities. Critical facilities also have business continuity plans and assigned roles to ensure worker safety and operational continuity. We have possibilities to move parts of an interrupted production to another region.

¹ The risk of wildfires was also assessed but evaluated as low and therefore not reported separately as a risk.

² Aggregation of scale, scope and likelihood with a higher rating for shorter time horizons is categorized in four risk categories: low, medium, significant, high.

Risk	(Potential) impact	Starting time frame (horizon)	Risk evaluation¹	Approach & measures
Policy & Legal	Increased production and compliance costs due to carbon taxation. Higher regulatory load and reporting requirements raise overhead expenses. Risk of legal penalties and contract terminations for non-compliance with sustainability standards.	Medium-term	Moderate	Our strategic sustainability management addresses current and future climate-related regulatory and policy requirements, integrating them into our operational business. We have an emission reduction roadmap aiming for operational net-zero (Scope 1 and Scope 2) by 2035.
Technology	Risk of product obsolescence from non-compliance with increased sustainability requirements. Capital risks linked to developing new solutions and emerging sustainable energy markets.	Medium-term	Moderate	Our Mid-Range Plan 2027 establishes the foundation to maintain our leading position in the market, with climate-driven energy transition at its core. Increased R&D and innovative solutions developed with customers keep us at the forefront. Our products already support the energy transition and do not require fundamental changes. A broad product portfolio serving diverse applications reduces our strategy's dependence on individual energy transition developments.
Market	Rising raw material and electricity costs (upstream-oriented). Increased market uncertain ties linked to political decisions. Enhanced customer environmental data requirements and higher production costs.	Short-term	Significant	Our global supply chain strategy, with access to highly qualified suppliers worldwide and our continuous production efficiency improvements strengthens our resilience to rising prices and market uncertainty. Additionally, solar panel projects at key facilities enhance our energy independence. Our compressors' diverse applications across various markets enhance our resilience, allowing it to offset downturns in one market with stronger demand in another.
Reputation	Enhanced stakeholder requirements and reputational risks. Increased risk of sector stigmatization and rapid decline in conventional product applications.	Medium-term	Moderate	In our latest strategy review, we have revised our purpose: "We create leading compression solutions for a sustainable energy future." In our Mid-Range Plan, we have defined clear targets for our operational carbon footprint and aim for 40% of order income supporting the energy transition. We have made tangible progress and are on track with our targets.

¹ Aggregation of scale, scope and likelihood with a higher rating for shorter time horizons is categorized in four risk categories: low, medium, significant, high.

Extended climate reporting

Transitional opportunities

Opportunity¹	(Potential) Impact	Starting time frame (horizon)	Risk evaluation²	Approach & measures
Products & services	Expansion of low-emission applications, products, and services. Increased digital offerings. Enhanced efficiency improvements for compressor systems.	Short-term	Significant	We collaborate closely with clients to enhance product performance and efficiency. We offer various revamp and upgrade services and are developing an Energy Transitions Services (ETS) portfolio to reduce greenhouse gas emissions at customer sites. Our new BC ACTIVATE service helps improve compressor reliability while reducing energy use and emissions. Additionally, our digital products and services saw above-average growth in recent years.
Markets	Further expansion into energy transition markets and leverage of market incentives to decarbonize the process industry and energy sector.	Short-term	High	We aim for 40% of order intake supporting the energy transition within our Mid-Range Plan, highlighting our commitment to sustainable energy solutions. We achieved 32% of order intake from transitional and new energies in fiscal year 2024, consistent with the previous year. The energy transition positively impacts all market segments.

¹ The opportunities of resource efficiency, energy source and resilience were also assessed but evaluated as low or already sufficiently covered in other categories and therefore not reported separately as an opportunity.

Extended climate reporting

Business transition plan and resilience

The Mid-Range Plan is the Group strategy of Burckhardt Compression for the fiscal years 2023 to 2027. Our purpose "We create leading compression solutions for a sustainable energy future" is the compass for the strategy. With new growth avenues such as hydrogen and solar panel applications it is tailored towards the ongoing energy transition. The Group strategy incorporates changes to markets, technologies, and regulations to address the impacts of climate change.

The International Energy Agency predicts a stable or increasing role for gas, with rising hydrogen demand and natural gas replacing more polluting fossil fuels. Regardless of the energy transition's pace, demand for compressors in key areas will remain stable or grow. Our proactive approach and R&D focus ensure our strong market position. Considering the approximately 75'000 existing industrial-sized reciprocating compressors, our strategy also leverages on the increasing business opportunity for energy transition services on existing equipment.

Physical climate risks may impact our operations, but our business structure ensures high resilience. We can serve customers globally from any facility and ship spare parts worldwide. Our diversified supplier base minimizes supply chain disruptions, and the global availability of steel reduces the risk of raw material shortages.

We regularly review and update climate risk and vulnerability assessments for our production and assembly sites, and strengthen climate-related risk management in our supply chain. New adaptation measures will be implemented as new risks emerge.

Emission reduction plan and alignment with Swiss climate goals

We aim for net-zero emissions in our operations by 2035. Under the Mid-Range Plan, we have initiated a comprehensive emission reduction roadmap (see page 47). All sites are developing measures to reduce greenhouse gas emissions. Projects are consolidated and monitored at the Group level, with investments approved by the Executive Sustainability Team.

Scope 1 emissions will be reduced through efficiency measures, such as replacing old vehicles and electrifying our fleet where feasible. Residual emissions unviable to abate by 2035 will be offset with carbon removal technologies.

To reduce Scope 2 emissions, currently our main contributor, we have improved energy efficiency, expanded solar power capacity, and purchased renewable electricity. We have set our target to use over 75% of renewable electricity by 2027 and therefore will further expand our own solar power production and renewable grid electricity purchasing.

Our Scope 3 emissions mainly come from the electricity consumption of our compressors during the use phase, with over 99% linked to compressor operation. Most of this is adiabatic energy, conserved and transmitted to the next process step at customer facilities. The greenhouse gas emissions mainly depend on the electricity mix used by our customers, which we have little influence over. However, the IEA projects low-carbon grids by 2050 in key countries. As these grids transition to low-carbon energy sources, the emissions associated with our compressors' electricity consumption are

² Aggregation of scale, scope and likelihood with a higher rating for shorter time horizons is categorized in four risk categories: low, medium, significant, high.

Extended climate reporting

expected to decrease significantly, thereby reducing our overall Scope 3 emissions.

We contribute to Scope 3 reduction by designing energyefficient compression systems through an eco-design approach and continuously improving our product lines. To further reduce the emissions of our installed equipment, we offer services to monitor and reduce greenhouse gas leaks during operations and aim to expand this to all customers. Some residual emissions may be offset by customers in the future. Reducing Scope 3 emissions from purchased materials, mainly steel, depends on the availability of carbon-neutral steel. We will consider it in our strategic sourcing.

3. Risk management

Risk management process

We followed the TCFD framework for climate risk assessments (see page 74). Key internal stakeholders and subject matter experts assessed risks based on time frame, likelihood, scale, and scope. Risks were classified as low (score above 1), moderate (above 2), significant (above 3), and high (above 4). A sensitivity analysis evaluated the impact of the scale and aggregation choice. Feedback from stakeholders helped compile management approach and mitigation measures, which were validated by the Executive Sustainability Team.

The material climate risks and opportunities are incorporated into the Group risk management. Climate-related physical and transitional risks are two items amongst other business-related risks grouped in four categories: financial, operational, legal/compliance, and strategic. They are classified according to their risk potential and are assigned internal owners. The internal owners are responsible for keeping track of any developments relating said risks and implementing the mitigation actions.

During the Group risk review, these items are evaluated, revised and reported to the BoD periodically.

Risk mitigation management

Climate-related transition risks are managed through the Group strategy or specific functions at impacted locations where the risk may materialize. At the Group level, risks are monitored by the Executive Management, with support from the Group Risk Manager and Sustainability Department. Local facility management handles physical risks through emergency preparedness, mitigation, and continuity plans updated periodically.

The Group has ISO-certified quality (9001), environmental (14001), and occupational health and safety (45001) management systems, which include emergency planning for external risks.

To mitigate potential supply bottlenecks, risks are evaluated based on the severity of their impact on the value chain. We have a business continuity plan to ensure recovery and continuity after disruptions.

Suppliers are selected through a qualification process evaluating risk, financial stability, cluster risk avoidance, and long-term commitment. A sourcing diversification strategy mitigates supply chain risks, including climate-related ones.

4. Metrics and targets

"Greenhouse gas emissions and climate change" is a material topic for Burckhardt Compression. Greenhouse gas emissions (Scope 1, 2, and 3) and emissions intensity (tCO₂e per working hour) are measured and reported annually. Energy use and efficiency metrics, including energy consumption by type, energy intensity (kWh per working hour), and the share of renewable electricity, are also reported annually (see page 69).

We report the share of annual order intake for energy transition and low-carbon energy applications in our Sustainability Report. In 2024, 32% of the order intake was in these categories, addressing Technology and Market risks and opportunities (see page 55).

Performance metrics are tracked annually and included in the Mid-Range Plan initiative "Greenhouse gas emission reduction," endorsed by management as part of the longterm incentive. Achieving sustainability targets accounts for 25% of the long-term incentives for senior employees over three years.

We aim for a 1.5°C climate ambition as outlined in the Paris Agreement, committing to net-zero Scope 1 and 2 emissions by 2035 through the "Greenhouse Gas Emission Reduction" initiative. We have defined Mid-Range Plan targets of 75% renewable electricity and a 50% reduction in Scope 1 and 2 emissions intensity by 2027, excluding the Shenyang foundry (see also page 36).

GRI content index

Burckhardt Compression has reported in accordance with the GRI Standards for the period April 1, 2024 to March 31, 2025. GRI 1 Foundation 2021 has been used for compiling this report and there is no applicable GRI Sector Standard.

GRI standard	Disclosure	Reference	Further information and omissions
GRI 1: Foundation 2021
GRI 2: General disclosures 2021
The organization and its reporting practices
GRI 2: General disclosures 2021	2-1 Organizational details	p. 131, pp. 151–152	a. Burckhardt Compression Holding AG
	2-2 Entities included in the organization's sustainability reporting	p. 131, pp. 151–152	iii. Consolidation approach applies to all disclosures.
	2-3 Reporting period, frequency, and contact point	–	a. Sustainability report: April 1, 2024 to March 31, 2025, yearly b. Annual report: April 1, 2024 to March 31, 2025 c. Publication: June 5, .2025 d. Contact: [email protected]
	2-4 Restatements of information	–	Greenhouse gas emissions intensity by sales volume has been restated for the fiscal year 2023 due to a change in the accounting policy. The revenue recognition has switched from Completed Contract Method (CCM) to the Percentage of Completion Method (POCM).
	2-5 External assurance	pp. 69–72, pp. 85–88	Yes
Activities and workers
GRI 2: General disclosures 2021	2-6 Activities, value chain, and other business relationships	p. 31, p. 66, p. 131, p. 135
	2-7 Employees	p. 71	b. iii. Two male consultants in India. c. FTE at the end of the reporting period. d. Trainees & apprentices are not included since some of our apprentices have an external work contract with the AZW Training Center in Winterthur.
	2-8 Workers who are not employees	p. 71	a. i. Production employees, service technicians and engineers. a. ii. Engineering, project management, field services, compressor manufacturing, and assembly. b. FTE at the end of the reporting period.
Governance
GRI 2: General disclosures 2021	2-9 Governance structure and composition	pp. 94–100
	2-10 Nomination and selection of the highest governance body	Articles of Incorporation Art. 15–16, pp. 94–100	b. i. Annual discussion with major shareholders and proxy advisors. b. iiiv. Disclosed, applying not publicly disclosed criteria.
	2-11 Chair of the highest governance body	pp. 94–97

GRI content index

GRI standard	Disclosure	Reference	Further information and omissions
	2-12 Role of the highest governance body in overseeing the management of impacts 2-13 Delegation of responsibility for managing impacts	p. 64, pp. 97–100, Organi zational rules 1.–4. p. 64, pp. 97–100, Organi zational rules 1.–5.
	2-14 Role of the highest governance body in sustainability reporting	p. 64
	2-15 Conflicts of interest	p. 92, pp. 94–97	a. Annual written confirmation by all members of the highest governance body.
	2-16 Communication of critical concerns	p. 63, Speak Up policy
	2-17 Collective knowledge of the highest governance body	p. 98, Organization rules 1.4.4.	Through ongoing communication and reporting.
	2-18 Evaluation of the performance of the highest governance body	p. 100
	2-19 Remuneration policy	pp. 106–112
	2-20 Process to determine remuneration	pp. 106–112
	2-21 Annual total compensation ratio	–	This information is not available. We are evaluating the possibility of providing such information in the future.
Strategy, policies, and practices
GRI 2: General disclosures 2021	2-22 Statement on sustainable development strategy	pp. 8–10, p. 35
	2-23 Policy commitments	pp. 41–42, p. 63, p. 67 Code of Conduct
	2-24 Embedding policy commitments	pp. 63–64, Organizational rules 3.–4.
	2-25 Process to remediate negative impacts	p. 63, Speak Up policy
	2-26 Mechanisms for seeking advice and raising concerns	p. 63, Speak Up policy
	2-27 Compliance with laws and regulations	p. 63
	2-28 Membership associations	–	– AZW Winterthur, Board – CII Confederation of Indian Industry – EFRC – European Forum for Reciprocating Compressors – ICAAMC – International Compressor Applications and Machinery Committee – SWISSMEM – Schweizer Maschinen-, Elektro- und Metall-Industrie – Swiss Mechatronics – Swiss-American Chamber of Commerce – Swiss-Chinese Chamber of Commerce – Swiss-Indian Chamber of Commerce – Switzerland Global Enterprise
Stakeholder engagement
	2-29 Approach to stakeholder engagement	pp. 67–68

GRI standard	Disclosure	Reference	Further information and omissions
	2-30 Collective bargaining agreements	p. 56	b. Where usual and available, we take existing bargaining agreements as a benchmark.
Material topics
GRI 3: Material topics 2021	3-1 Process to determine material topics	pp. 64–65
	3-2 List of material topics	p. 65
Greenhouse gas emissions and climate change
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 43–47
GRI 305: Emissions 2016	305-1 Direct (Scope 1) GHG emissions	p. 45, p. 69
	305-2 Energy indirect (Scope 2) GHG emissions	p. 45, p. 69
	305-3 Other indirect (Scope 3) GHG emissions	pp. 45–47, p. 69
	305-4 GHG emissions intensity	pp. 45–46, p. 69
Energy use and efficiency
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 48–50
GRI 302: Energy 2016	302-1 Energy consumption within the organization	p. 49, p. 69
	302-3 Energy intensity	p. 49, p. 69
Own indicator	Share of renewable electricity	p. 49, p. 69
Longevity and recyclability
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 51–53
Own indicators	Reused or refurbished components	p. 53
	Sales of revamp and upgrade services	p. 52
Environmental impacts of application purpose
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 54–55
Own indicators	Sustainability classification of business activities	p. 55
Working conditions
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 56–58
GRI 401: Employment 2016	401-1 New employee hires and employee turnover	p. 56, p. 72	The breakdown by region is not disclosed for business reasons.
Own indicators	Score satisfaction work situation	pp. 57–58
	Score workplace recommendation	pp. 57–58
	Score employee engagement	p. 58
Occupational health and safety
GRI 3: Material topics 2021	3-3 Management of material topics	pp. 59–60
GRI 403: Occupational Health and Safety 2018	403-1 Occupational health and safety management system	p. 59	b. All employees who are under the care and control of Burckhardt Compression (including external employees on our premises) are covered.

GRI standard	Disclosure	Reference	Further information and omissions
	403-2 Hazard identification, risk assessment, and incident investigation	–	a. The EOHS team (Environment, Occupational Health, and Safety), under the direction of the Quality Team and Safety Officer, is responsible for conducting risk assessments using risk graphs. The risk assessment will be used for training and awareness activities in the respective work area. Safety inspections are used for risk mitigation. b. Notifications will be made using a dedicated EOHS notification form. c. A work stoppage procedure is in place to stop work in the event of an unsafe situation. d. There is a procedural policy for reporting near misses, incidents, investigations, nonconformities, and corrective and preventive actions.
	403-3 Occupational health services	–	There is a company ambulance service at the site in Winterthur, which is operated in conjunction with surrounding companies.
	403-4 Worker participation, consultation, and communication on occupational health and safety	–	A specific procedure for Consultation & Participation, Communication regulates the involvement of employees. Involvement takes place at all levels (steering committee, core team, execution teams).
	403-5 Worker training on occupational health and safety	p. 59	In addition to mandatory training during induction, regular specific training is provided on work-related hazards, first aid, and emergency and evacuation.
	403-6 Promotion of worker health	p. 59	Non-occupational services and offerings depend on country-specific implementation and may include the following: – regular health check-ups – access to medical facilities – other preventive measures
	403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships	p. 67	This aspect is covered in our approach to supply chain due diligence.
	403-8 Workers covered by an occupational health and safety management system	p. 59	i. 100% are covered by an occupational health and safety management system. ii. 100% of employees are covered by an internally audited system. iii. 100% are covered by an externally certified system.
	403-9 Work-related injuries	p. 60, p. 70	We have no differentiation between high-consequence work-related injuries (a. ii.) and work-related injuries (a. iii.).
	403-10 Work-related ill health	p. 60
Product safety
GRI 3: Material topics 2021 GRI 416: Customer Health and Safety 2016	3-3 Management of material topics 416-1 Assessment of the health and safety impacts of product and service categories	pp. 61–62 pp. 61–62
	416-2 Incidents of non-compliance concerning the health and safety impacts of products and services	p. 61
Business conduct
GRI 3: Material topics 2021	3-3 Management of material topics	p. 63
GRI 205: Anti-corruption 2016	205-1 Operations assessed for risks related to corruption	p. 63

GRI standard	Disclosure	Reference
	205-2 Communication and training about anti-corruption policies and procedures	p. 63
	205-3 Confirmed incidents of corruption and actions taken	p. 63
GRI 206: Anti-competitive behavior	206-1 Legal actions for anti-competitive behavior, anti-trust, and monopoly practices	p. 63

Independent practitioner's limited assurance report

on selected indicators in the 2024 Sustainability Report to the Management of Burckhardt Compression Holding AG

Winterthur

Independent assurance report

The engagement team was engaged by Management to perform assurance procedures to provide limited assurance on the selected indicators in the 2024 Sustainability Report (including GHG emission) of Burckhardt Compression Holding AG for the period from 1 April 2024 to 31 March 2025. The selected indicators will be published in the Sustainability Report 2024.

The selected indicators in the 2024 Sustainability Report (including the GHG emissions) were prepared by the Management of Burckhardt Compression Holding AG (the 'Company') based on the:

Energy use GRI 302-1 Energy consumption within the organization
Share of renewable electricity GRI 302-1 Energy consumption within the organization
Energy intensity GRI 302-3 Energy intensity
GHG emissions Scope 1 and Scope 2 GRI 305-1 Direct (Scope 1) GHG emissions and GRI 305-2 Energy indirect (Scope 2) GHG emissions
GHG emissions business travel (Scope 3) GRI 305-3 Other indirect (Scope 3) GHG emissions
GHG emissions intensity GRI 305-4 GHG emissions intensity
Water Basis of preparation as disclosed on page 72 of the sustainability report on Water consumption as informed by GRI
Waste Basis of preparation as disclosed on page 72 of the sustainability report on Waste generated as informed by GRI
Lost Time Injury Rate (LTIR) and Severity Rate (IR) GRI 403-9 Work-related injuries
Lost Time Workday Rate (LTWR) as informed by GRI 403-9 Work-related injuries
Number of Employees GRI 102-8 Information on employees and other workers New employee hires GRI 401-1 New employee hires and employee turnover
Employee turnover GRI 401-1 New employee hires and employee turnover

PricewaterhouseCoopers AG, Birchstrasse 160, Postfach, 8050 Zürich, Switzerland Telefon: +41 58 792 44 00, www.pwc.ch

PricewaterhouseCoopers AG is a member of the global PricewaterhouseCoopers network of firms, each of which is a separate and independent legal entity.

2 Burckhardt Compression Holding AG | Independent practitioner's limited assurance report

The above-mentioned GRI Standards and references will be determined in the basis of preparation against which we will evaluate the different KPI (hereafter referred to as the "suitable Criteria").

Inherent limitations

Independent assurance report

The accuracy and completeness of the selected indicators (including the GHG emissions) are subject to inherent limitations given their nature and methods for determining, calculating and estimating such data. In addition, the quantification of the selected indicators (including the GHG emissions) is subject to inherent uncertainty because of incomplete scientific knowledge used to determine factors related to the selected indicators (including the GHG emissions) and the values needed to combine e.g. emissions of different gases. Our assurance report will therefore have to be read in connection with the suitable Criteria used by Burckhardt Compression Holding AG.

Management's responsibility

The Management of Burckhardt Compression Holding AG is responsible for preparing and presentation of the selected indicators in the 2024 Sustainability Report in accordance with the suitable Criteria. This responsibility includes the design, implementation and maintenance of the internal control system related to the preparation of the selected indicators (including the GHG emissions) that are free from material misstatement, whether due to fraud or error. Furthermore, the Management is responsible for the selection and application of the suitable Criteria.

Independence and quality management

We are independent of the Burckhardt Compression Holding AG in accordance with the International Code of Ethics for Professional Accountants (including International Independence Standards) issued by the International Ethics Standards Board for Accountants (IESBA Code). We have fulfilled our other ethical responsibilities in accordance with the IESBA Code, which is founded on fundamental principles of integrity, objectivity, professional competence and due care, confidentiality and professional behaviour.

PricewaterhouseCoopers AG applies International Standard on Quality Management 1, which requires the firm to design, implement and operate a system of quality management including policies or procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

Practitioner's responsibility

Our responsibility is to perform an assurance limited engagement and to express a conclusion on the selected indicators in the 2024 Sustainability Report (including the GHG emissions). We conducted our engagement in accordance with the International Standard on Assurance Engagements (ISAE) 3000 (Revised) 'Assurance engagements other than audits or reviews of historical financial information' and the International Standard on Assurance Engagements 3410, Assurance Engagements on Greenhouse Gas Statements ('ISAE 3410'), issued by the International Auditing and Assurance Standards Board. Those standards require that we plan and perform our procedures to obtain limited assurance whether anything has come to our attention that causes us to believe that the selected indicators in the 2024 Sustainability Report (including the GHG emissions) was not prepared, in all material respects, in accordance with the suitable Criteria.

Based on risk and materiality considerations, we performed our procedures to obtain sufficient and appropriate assurance evidence. The procedures selected depend on the assurance practitioner's judgement. A limited assurance engagement under ISAE 3000 (Revised) and ISAE 3410 is substantially less in scope than a reasonable assurance engagement in relation to both the risk assessment procedures, including an understanding of internal control, and the procedures performed in response to the assessed risks. Consequently, the nature, timing and extent of procedures for gathering sufficient appropriate evidence are deliberately limited relative to a reasonable assurance engagement and therefore less assurance is obtained with a limited assurance engagement than for a reasonable assurance engagement.

3 Burckhardt Compression Holding AG | Independent practitioner's limited assurance report

We performed the following procedures

Assessing the suitability in the circumstances of Company's use of the suitable Criteria, applied as explained in the GRI index and footnote 2 on page 68 in the 2024 Sustainability Report (including the GHG emissions) to the selected indicators in the 2024 Sustainability Report (including the GHG emissions);
Inquiries and detailed walkthroughs with relevant stakeholders for the selected indicators in the 2024 Sustainability Report (including the GHG emissions);
Inspection of process and control descriptions and other internal guidelines and relevant documents;
Analytical procedures;

Independent assurance report

Reperformance of relevant calculations (including the GHG emissions);
Additional assurance procedures as deemed necessary (e.g. sample-based source tracing);
Local level procedures (site visits to inspect local processes and reconcile source evidence).

We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our conclusion.

Conclusion

Based on the work we performed, nothing has come to our attention that causes us to believe that the selected indicators in the 2024 Sustainability Report (including the GHG emissions) of Burckhardt Compression Holding AG for the period from 1 April 2024 to 31 March 2025 are not prepared, in all material respects, in accordance with the suitable Criteria.

Restriction of use and purpose of the report

This report is prepared for, and only for, the Management of Burckhardt Compression Holding AG, and solely for the purpose of reporting to them on selected indicators in the 2024 Sustainability Report (including the GHG emissions) and no other purpose. We do not, in giving our conclusion, accept or assume responsibility (legal or otherwise) or accept liability for, or in connection with, any other purpose for which our report including the conclusion may be used, or to any other person to whom our report is shown or into whose hands it may come, and no other persons shall be entitled to rely on our conclusion.

PricewaterhouseCoopers AG

Petra Schwick Alisha Mala Dhuna

Zürich, 4 June 2025

Independent assurance report

The maintenance and integrity of Burckhardt Compression Holding AG's website and its content are the responsibility of the Management; the work carried out by us as the assurance practitioner does not involve consideration of the maintenance and integrity of the Burckhardt Compression Holding AG's website, accordingly, we accept no responsibility for any changes that may have occurred to the reported selected indicators (including the GHG emissions) marked with the check mark in the 2024 Sustainability Report or suitable Criteria since they were initially presented on the website.

Report Section Sustainability Corporate Governance Compensation Report Financial Report Imprint Declaration of the Board of Directors

Declaration of the Board of Directors

The Board of Directors of Burckhardt Compression Holding AG is responsible for the preparation and presentation of the Sustainability Report 2024 in accordance with the applicable regulations.

The Board of Directors of Burckhardt Compression Holding AG approved the Sustainability Report for the financial year 2024 and commits to make it accessible on the Company's website for a minimum of ten years.

Non-financial matters according to article 964b of the Swiss Code of Obligations (CO)

Employee related matters Working conditions

Combating corruption Business conduct

Winterthur, June 3, 2025

Chapters in this report

Environmental matters Greenhouse gas emissions and climate change

Energy use and efficiency

Longevity and cyclability

Environmental impacts of application purpose

Social matters Product safety

Dialog with our stakeholders

Occupational health and safety

Respect for human rights Overarching human rights, environmental, and governance due diligence

Supply chain due diligence

1.	Group structure and shareholders	92
2.	Capital structure
3.	Board of Directors	94
4.	Executive Management	100
5.	Compensation, shareholdings and loans
6.	Shareholders' participation rights
7.	Changes of control and defensive measures	104
	7A. Transparency on non-financial matters	104
8.	Auditors	104
9.	Information policy
10.	Quiet periods	105

Burckhardt Compression has scheduled its Annual General Meeting 2025 on July 5, 2025.

The information presented in this report reflects the situation on March 31, 2025, unless otherwise noted, and this report is structured in accordance with the latest DCG's outline and numbering.

1. Group structure and shareholders

1.1. Group structure

1.1.1. Description of the operational group

structure

Burckhardt Compression is managed through a divisional organizational structure consisting of two divisions, the Systems Division (compressor manufacturing business) and the Services Division (compressor services and components). The management structure of Burckhardt Compression is shown in the organizational chart below:

1.1.2. Listed Group companies

Burckhardt Compression Holding AG, a corporation organized under the laws of Switzerland with its legal domicile in Winterthur, is the only listed Group company. Burckhardt Compression registered shares (BCHN) are listed on the SIX Swiss Exchange in Zurich (ISIN: CH0025536027; security number 002553602). Its market capitalization as per March 31, 2025, amounted to CHF 2'016'200'000. Burckhardt Compression Holding AG holds 20'868 BCHN shares (0.61% of the total registered shares) per March 31, 2025.

1.1.3. Unlisted Group companies

Information on the unlisted companies included in the scope of consolidation of Burckhardt Compression Holding AG is given in the financial report on page 158, note 102, "Investments in subsidiaries".

With the exception of Burckhardt Compression Holding AG, none of the companies included in the scope of consolidation hold any BCHN shares.

1.2. Significant shareholders

According to information available to the company from the disclosure notifications of the SIX Exchange Regulation Ltd., the shareholders listed in the following table reported shareholdings of at least 3% of the voting rights as per March 31, 2025. In accordance with the company's Articles of Incorporation, the voting rights of NN Group N.V., The Goldman Sachs Group Inc., Swisscanto Fondsleitung AG and UBS Fund Management (Switzerland) AG are limited to 5.0% of the total number of BCHN registered shares recorded in the Share Register:

Name	Country	of shares in %
UBS Fund Management (Switzerland) AG	CH	9.577
MBO shareholder group (Valentin Vogt, Dan
iela Vogt, Harry Otz, Leonhard Keller, Martin Heller, Ursula Heller, Marcel Pawlicek)	CH	8.696
NN Group N.V.*	NL	9.86
The Goldman Sachs Group, Inc.**	US	6.45
Swisscanto Fondsleitung AG	CH	5.004
BlackRock, Inc.***	US	3.04 / 0.03

^* According to the notification to the Disclosure office of SIX Exchange Regulation Ltd. published on November 19, 2021.

More detailed information on the disclosure notifications is available on the website of the SIX Swiss Exchange's Disclosure Office (https://www.ser-ag.com/en/resources/notifica tions-market-participants/significant-shareholders.html#/).

1.3. Cross-shareholdings

Burckhardt Compression Holding AG has no cross-shareholdings with any other company or group of companies.

^** According to the notifications to the Disclosure Office of SIX Exchange Regulation Ltd. published on June 24, 2022, and May 11, 2023, respectively, with the following remark: "This notification is being made because The Goldman Sachs Group, Inc. ("GS Group") has acquired control of NN Investment Partners Holdings N.V. ("NNIP") and NNIP has a discretionary asset management mandate with respect to BCHN shares which are owned by NN Group N.V."

^*** The 0.03% refers to the notified selling positions.

2. Capital structure

2.1. Capital

The issued share capital of Burckhardt Compression Holding AG amounts to CHF 8'500'000, comprising 3'400'000 fully paid registered shares with a nominal value of CHF 2.50 each.

2.2. Capital band and conditional capital in particular

At the Annual General Meeting 2023, a new capital band was introduced in the Articles of Incorporation. As per Article 3a of Burckhardt Compression Holding AG's Articles of Incorporation, Burckhardt Compression Holding AG has a capital band between CHF 8'075'000 (lower limit) and CHF 9'350'000 (upper limit). The Board of Directors is authorized to increase or reduce the share capital at any time, once or several times and in any amounts, to a maximum of CHF 9'350'000 up to July 1, 2028. Within the capital band, the capital can be increased by issuing up to 340'000 fully paid-up registered shares with a nominal value of CHF 2.50 each or decreased by expunging a maximum of 170'000 registered shares with a nominal value of CHF 2.50 each.

The company does not have any conditional capital.

Details on the capital band

The transferability of the shares is restricted as provided for in the Articles of Incorporation. Unless included in the General Meeting's authorization resolution, the Board of Directors issues the required instructions. The Board of Directors determines the issue price, issue date, conditions for exercising the subscription right, the type of contribution in kind, if applicable, and the beginning of the dividend entitlement. The Board of Directors is entitled to exclude the shareholders' subscription right in whole or in part in favor of third parties if such new shares should be used (i) for the acquisition of companies through an exchange of shares, or (ii) to finance

the acquisition of companies or parts of companies. The Board of Directors can also exclude the subscription right if the new shares are issued in the context of a public placement. Shares for which subscription rights have been granted, but not exercised are allocated by the Board of Directors at its sole discretion.

2.3. Changes in capital

There has been no movement (increase or decrease) in share capital since the Initial Public Offering (IPO) in June 2006.

2.4. Shares and participation certificates

Voting rights may only be exercised after the shareholder has been registered in the Share Register. All shares are entitled to full dividend rights. Voting rights per shareholder are restricted to 5.0% of the total number of the registered shares recorded in the commercial register. This does not apply to shareholders who were in possession of more than 5.0% of the shares of Burckhardt Compression Holding AG before the IPO. The voting rights of treasury shares – held by Burckhardt Compression Holding AG – are suspended. The company has not issued any participation certificates.

2.5. Dividend-right certificates

The company has not issued any dividend-right certificates.

2.6. Limitations on transferability and nominee registrations

2.6.1. Limitations on transferability

No person or entity will be registered as a shareholder in the Share Register for more than 5.0% of the issued share capital. This entry restriction is also applicable to persons whose shares are totally or partially held by Nominees (please refer to below Chapter 2.6.3). Further, this restriction is also valid if shares are acquired through the exercise of subscription, option, or conversion rights, with the exception of shares acquired through inheritance, division of an estate or marital property law. Legal entities and partnerships associated with each other by uniformly managed capital or votes or in any other way, as well as private and legal entities or partnerships which form an association to evade registration restrictions, are regarded as one person.

This restriction on voting rights does not apply to shareholders who were in possession of more than 5.0% of the shares of Burckhardt Compression Holding AG before the IPO. The Board of Directors is entitled to grant exceptions to the registration requirements in special circumstances.

A shareholder may be represented at the Annual General Meeting by the independent proxy holder or by another person with legal capacity. All shares held by a shareholder can only be represented by one person.

The company may further refuse registration as a shareholder with voting rights, if the acquirer does not expressly declare upon request that it holds the shares in its own name and for its own account.

2.6.2 Reasons for granting exceptions

The company has not granted any exceptions during the last year.

2.6.3. Nominee registrations

Individual persons who have not expressly declared in their registration application that they hold the shares for their own account (nominees) will be entered in the Share Register with voting rights if the nominee concerned provides proof that it is subject to supervision by an accredited bank and financial market regulator and if it has concluded an agreement with the Board of Directors concerning its status. Nominees holding up to 2.0% of the issued shares will be entered in the Share Register with voting rights without having to

sign an agreement with the Board of Directors. Nominees holding more than 2.0% of the issued shares will be entered in the Share Register with 2.0% voting rights and, for the remaining shares, without voting rights. Above this 2.0% cap, the Board of Directors may have nominees entered in the Share Register with voting rights if they disclose the names, the addresses, the nationalities, and the shareholdings of the persons for whom they hold more than 2.0% of the issued share capital. The Board of Directors is entitled to approve exceptions from the statutory conditions for registration with respect to special circumstances.

2.6.4. Cancelling privileges and limitations on transferability

Amendments to the Articles of Incorporation (including cancelling privileges and limitations on transferability) require the approval of at least two-thirds of the share votes represented at the Annual General Meeting.

2.7. Convertible bonds and options

The company does not have any outstanding convertible bonds and has not issued any option rights.

3. Board of Directors

3.1./3.2. Members of the Board of Directors/ Other activities and vested interests

The Articles of Incorporation stipulate that the Board of Directors consists of a minimum of three (3) and a maximum of seven (7) members. Since the Annual General Meeting in 2021, all members of the Board of Directors have been non-executive and independent, in accordance with the "Swiss Code of Best Practice for Corporate Governance" by economiesuisse.

The composition of the Board of Directors is as follows:

No member of the Board of Directors has served as a member of the Executive Management of Burckhardt Compression Holding AG and/or any subsidiary within Burckhardt Compression. Furthermore, none of the members of the Board of Directors has material business relationships with Burckhardt Compression AG and/or any subsidiary within Burckhardt Compression.

Biographical details and information on other activities and commitments of the individual members of the Board of Directors are given on the following page:

Name	Nationality	Function	First elected	Term expires
Ton Büchner	CH/NL	Chair, non-executive; Chair SSC	2020	2025
Dr. Stephan Bross	DE	Member, non-executive; member NCC	2014	2025
David Dean	CH	Member, non-executive; Chair AC	2019	2025
Maria Teresa Vacalli	CH	Member, non-executive; Chair NCC, member AC	2022	2025
Kaspar Kelterborn	CH	Member, non-executive; member AC, member SSC	2023	2025
Tatiana Gillitzer	DE/US	Member, non-executive; member NCC	2024	2025

AC = Audit Committee | NCC = Nomination and Compensation Committee | SSC = Strategy and Sustainability Committee

Ton Büchner (1965) Independent Board Member since 2020

Education

MBA, IMD Business School, Switzerland MSc in Civil Engineering, Delft University of Technology, The Netherlands NACD CERT Certificate in Cybersecurity Oversight

Professional background

2012–2017 Chair of the Executive Management and CEO, AkzoNobel NV, The Netherlands 2007–2011 CEO, Sulzer AG, Switzerland 2003–2007 President, Sulzer Pumps, Switzerland 2000–2002 President, Sulzer Turbomachinery Services, Switzerland 1994–2000 Various management positions, Sulzer AG, Switzerland

Duties and responsibilities as a director of Burckhardt Compression Holding AG

Chair of the Board of Directors
Chair of the Strategy and Sustainability Committee

Other activities and commitments

Member of the Board of Directors, Novartis AG, Switzerland
Chair of the Board of Directors, Swiss Prime Site AG, Switzerland
Advisor, Ammega, Switzerland

Dr. Stephan Bross (1962) Independent Board Member since 2014

Education

PhD in Mechanical Engineering, TU Braunschweig, Germany

Professional background

Since 2018 Executive Management member (CTO), KSB SE & Co. KGaA, Germany

2017 Executive Management member, Technology, KSB AG, Germany

2014–2017 Senior Vice President, Pumps, KSB AG, Germany 2007–2013 Senior Vice President, Service, KSB AG, Germany 2002–2007 Head Product Management and Development Engineered Pumps, KSB AG, Germany

1997–2001 Head Development and Services Fluid Flow Technical Systems, KSB AG, Germany

1996–1997 Head of Fluid Mechanics Research, KSB AG, Germany 1993–1996 R&D Engineer, KSB AG, Germany

Duties and responsibilities as a director of Burckhardt Compression Holding AG

Member of the Board of Directors
Member of the Nomination and Compensation Committee

Other activities and commitments

Managing Director, KSB Management SE, Germany
Member of the Board of Directors, KSB Ltd., India (a fully consolidated subsidiary of KSB SE & Co. KGaA)

David Dean (1959) Independent Board Member since 2019

Education

Swiss certified Expert for Accounting and Controlling Swiss certified Public Accountant Completed executive education programs at Harvard Business School, Boston, USA, and at IMD, Lausanne, Switzerland

Professional background

Since 2019 Self-employed, Switzerland 2004–2019 CEO, Bossard Group, Switzerland 1998–2004 CFO, Bossard Group, Switzerland 1993–1998 Deputy CFO and Corporate Controller, Bossard Group, Switzerland

Duties and responsibilities as a director of Burckhardt Compression Holding AG

Member of the Board of Directors
Chair of the Audit Committee

Other activities and commitments

Member of the Board of Directors, Bossard Holding AG, Switzerland
Member of the Board of Directors Komax Holding AG, Switzerland
Member of the Board of Directors, BRUGG Group AG, Switzerland
Member of the Board of Directors, Metall Zug AG, Switzerland

Maria Teresa Vacalli (1971) Independent Board Member since 2022

Education

MSc in Industrial Management and Manufacturing, ETH Zurich, Switzerland

Professional background

2019–2022 Chair of the Executive Board, Bank Cler AG, Switzerland

2018–2019 Chief Digital Officer & Member of the Executive Management, Basler Kantonalbank, Switzerland 2016–2018 CEO, Moneyhouse AG, NZZ Mediengruppe, Switzerland 2013–2016 Sunrise Communication AG, Switzerland 2008–2013 Executive Director Wholesale, Switzerland 2002–2008 Director, Cablecom, Switzerland 2002 Manager GCI Management, Switzerland 2001 Manager, Ernst & Young, Center for Business Innovation (CBI), Switzerland

1998–2000 Manager, PricewaterhouseCoopers, Switzerland

Duties and responsibilities as a director of Burckhardt Compression Holding AG

2000–2001 Partner & Owner, Seavantage, Switzerland

Member of the Board of Directors
Member of the Audit Committee
Chair of the Nomination and Compensation Committee

Other activities and commitments

Member of the Board of Directors, Kardex Holding AG, Switzerland
Member of the Board of Directors, Die Schweizerische Post AG, Switzerland
Member of the Board of Directors, PostFinance AG, Switzerland

Kaspar Kelterborn (1964) Independent Board Member since 2023

Education

Lic. oec. HSG, University of St.Gallen, Switzerland

Professional background

Since 2021 Owner, Kelterborn Advisory AG, Switzerland 2022 CFO ad interim & Member of the Executive Board; Dormakaba Group, Switzerland

2006–2021 CFO & Member of the Executive Board, Conzzeta AG, Switzerland

2002–2005 CFO & Member of the Executive Board, Unaxis Holding AG, Switzerland

1997–2002 Various management positions, Clariant Group in the United Kingdom, Singapore and Thailand

1993–1997 Head Controlling, Clariant Productos SA, Spain 1993–1995 Controller, Sandoz Venezuela SA, Venezuela

Duties and responsibilities as a director of Burckhardt Compression Holding AG

Member of the Board of Directors
Member of the Audit Committee
Member of the Strategy and Sustainability Committee

Other activities and commitments

Member of the Board of Directors, EMS-Chemie Holding AG, Switzerland
Member of the Board of Directors, CPH Group AG, Switzerland
Member of the Board of Directors, Wipf Holding AG, Switzerland
Member of the Board of Directors, Karl Bubenhofer AG, Switzerland
Member of the Board of Directors, Perlen Industrieholding AG, Switzerland

Tatiana Gillitzer (1968) Independent Board Member since 2024

Education

MBA ESSEC Paris, France & Mannheim University, Germany MSc. Engineering, Universidad Nacional de Colombia, Colombia Executive education programs in supply chain management, management and leadership, and digital transformation, ESSEC Paris, France; IESE Barcelona, Spain; and IMD, Lausanne, Switzerland

Professional background

Since 2023 Executive Vice President Service and Global Regional Director, Marel, The Netherlands

2020–2023 Executive Vice President, CEO Region DACH & Northern, Central and Eastern Europe, GEA Group AG, Germany 2017–2020 Vice President and Sales Director Liquid Foods NA, JBT Group, USA

2012–2017 Managing Director GEA Hilge, Chairwoman GEA Food Solutions, Managing Director Packaging & Slicing, Head of Board Office, Strategy and Projects, GEA Group AG, Germany

1998–2012 Director Corporate Development and Venture Capital, Henkel AG Co KGaA, Germany; General Manager Henkel Biomedical, Henkel, Ireland

1995–1998 New Business Development Manager, Product Manager Glycols and Amines, Hoechst AG, Germany

Duties and responsibilities as a director of Burckhardt Compression Holding AG

Member of the Board of Directors
Member of the Nomination and Compensation Committee

Other activities and commitments

– Managing Director, Marel Management GmbH, Germany

Independence of the Board of Directors

All members are non-executive and independent members of the Board of Directors, as defined by the "Swiss Code of Best Practice for Corporate Governance" from economiesuisse. Non-executive members are considered independent if they have never worked for Burckhardt Compression or have not done so within the last three (3) years and have no or only minor business relationships with the company.

3.3. Rules in the Articles of Incorporation concerning the number of permitted activities

Members of the Board of Directors may not hold more than ten (10) additional board memberships, of which not more than four (4) in listed companies.

3.4. Election and term of office

Each member of the Board of Directors, the Chair of the Board of Directors, and each member of the Nomination and Compensation Committee are elected annually by the Annual General Meeting. The members of the Board of Directors shall be automatically retired from the Board of Directors in the year in which they reach the age of seventy (70).

3.5. Internal organization and structure

3.5.1. Allocation of tasks within the Board

of Directors

The competencies of the Board members are depicted in the following matrix:

	Ton Büchner	Stephan Bross	David Dean	Maria Teresa Vacalli	Kaspar Kelterborn	Tatiana Gillitzer
Executive competence (>200 FTE)	•	•	•	•	•	•
Strategic competence	•	•	•	•	•	•
Competence in non-European cultures	•	•	•		•	•
Sustainability competence	•	•			•	•
Supply chain competence		•	•			•
Competence in BC markets	•	•
Technological competence	•	•		•		•
Financial competence	•		•	•	•	•
M&A competence	•	•	•	•	•	•
Board-level competence	•	•	•	•	•
CEO coaching competence	•	•	•

The company's General Counsel, who serves as Secretary to the Board of Directors, holds a degree in law (mag. iur.).

3.5.2. Committees of the Board of Directors

The Board of Directors has set up the following committees:

Audit Committee

The Audit Committee advises and supports the Board in all matters related to external and internal audits, risk management, accounting policies and practices, and compliance with issued accounting standards. The CEO, CFO, Head of Internal Group Audit, and representatives of the external auditors also participate in the Audit Committee's ordinary meetings. The members are David Dean (Chair), Maria Teresa Vacalli, and Kaspar Kelterborn.

Nomination and Compensation Committee

This committee advises and assists the Board of Directors in appointing, assessing, and dismissing members of the Executive Management, and draws up proposals for the appointment or dismissal of members of the Board of Directors. Furthermore, the Nomination and Compensation Committee advises and assists the Board of Directors on matters related to the compensation of directors and Executive Management members. The CEO and the CHRO also attend the ordinary meetings of the Nomination and Compensation Committee. The members are Maria Teresa Vacalli (Chair), Dr. Stephan Bross, and Tatiana Gillitzer.

Strategy and Sustainability Committee

The Strategy and Sustainability Committee supports the CEO in developing corporate strategy, advises the Board of Directors on strategic matters such as acquisitions and divestments, and ensures that sustainability (and social responsibility) is an integral part of the company strategy. It regularly evaluates the implementation of the company strategy and submits proposals to the Board of Directors if adjustments or other measures are deemed necessary. The members are Ton Büchner (Chair) and Kaspar Kelterborn. Additionally, the Strategy and Sustainability Committee, together with the CEO, helps prepare the annual strategy day.

3.5.3. Working methods

The Board of Directors has the final responsibility for the business strategy and the management of Burckhardt Compression. It has final authority and defines the guidelines regarding strategy, organization, financial planning, and accounting for Burckhardt Compression. The Board of Directors has delegated executive management responsibility to the CEO of Burckhardt Compression. The Board of Directors appoints a Secretary for the Board and for the company. The Secretary does not need to be a member of the Board.

The Board of Directors meets as often as business requires, but at least four (4) times per year. In fiscal year 2024, the Board of Directors and Board committees convened the following meetings (see table below).

The Board of Directors has a quorum when the majority of the members are present. Decisions are passed by a simple majority. In the event of a tie, the Chair has the casting vote.

The CEO, the two Presidents of the Systems and Services Divisions, the CFO, the CHRO and the General Counsel, in his role as Secretary, are regularly invited to attend Board meetings to report on developments in their functional and/or business areas.

Meeting	Governing body	Duration	Ton Büchner	Stephan Bross	David Dean	Tatiana Gillitzer	Maria Teresa Vacalli	Kaspar Kelterborn	Monika Krüsi
05/21/2024, meeting of	AC	6 hours	•		•		•	•	•
05/30/2024, meeting of	NCC	3 hours	•	•			•
05/31/2024, meeting of	BOD	8 hours	•	•	•		•	•	•
08/23/2024 meeting of	AC	1.5 hours			•		•	•
08/27/2024, meeting of	NCC	3 hours	•	•			•
09/02/2024, meeting of	BOD	6 hours	•	•	•	•	•	•
10/01/2024 meeting of	AC	0.5 hour	•		•		•	•
10/22/2024, meeting of	NCC	3.5 hours	•	•		•	•
10/30/2024, meeting of	AC	5 hours	•		•		•	•
10/31/2024, meeting of	BOD	6.5 hours	•	•	•	•	•	•
12/04/2024, meeting of	AC	1 hour	•		•		•	•
12/13/2024, meeting of	BOD	6 hours	•	•	•	•	•	•
01/15/2025, meeting of	SSC	8.5 hours	•	•	•	•	•	•
02/26/2025, meeting of	SSC	3 hours	•					•
03/04/2025, meeting of	NCC	3 hours	•	•		•	•
03/05/2025, meeting of	BOD	7.5 hours	•	•	•	•	•	•

BOD = Board of Directors | AC = Audit Committee | NCC = Nomination and Compensation Committee | SSC= Strategy and Sustainability Committee

In addition to the aforementioned meetings, the Board of Directors held four (4) video conference calls, each lasting between 60 and 90 minutes, with all members in attendance.

Burckhardt Compression Annual Report 2024

3.6. Definition of areas of responsibility

The Board of Directors has delegated the operational management of the company and the Group to the Executive Management, with the exception of the duties that may not be delegated by law, particularly the following:

Approval of and changes to the Group strategy and corporate goals
Determination of the organization, the structure of the accounting system, the financial planning and financial controlling (including monitoring solvency) of the company and the Group
Approval of the periodic forecasts, the annual report and of reporting and accounting policies
Ensuring adequate internal control systems based on the recommendations of the Audit Committee
Determination of the appropriate capital structure
Appointment and dismissal of members to and from the Executive Management, as well as compensation of the Executive Management
Decisions on new subsidiaries, major capital expenditure projects, acquisitions, financing transactions, the insurance concept, and the provision of guarantees if such decisions exceed the powers conferred to the CEO.

The powers of the Executive Management and of the Group company executives are listed in detail in the organizational rules (https://www.burckhardtcompression.com/about/ legal-compliance-quality/policies/).

3.7. Information and control instruments vis-à-vis the Executive Management

Order intake, the income statement, balance sheet, liquidity planning, and cash flow, headcount, personnel costs, and capital expenditure are consolidated and annotated on a monthly basis. A rolling forecast of the Burckhardt Compression results for the current and the coming fiscal years is also prepared and annotated four (4) times a year (April, July, October, and January). Targets for the coming fiscal year are determined based on the January forecast. The financial reports and the forecasts are distributed to the members of the Executive Management and all members of the Board of Directors. At every meeting of the Board of Directors, the members of the Executive Management report on the course of business and on all issues of relevance to Burckhardt Compression.

Internal Group Audit and internal control system (ICS)

The Internal Group Audit reports to the Chair of the Audit Committee of the Board of Directors. Management responsibility for Internal Group Audit has been delegated to the Head of Group Controlling, who is also responsible for planning and conducting the audits. The CFO is responsible for the coordination between the Audit Committee and the Head of the Internal Group Audit. Internal Group Audit consists of qualified staff from Finance and Controlling of Burckhardt Compression AG and several selected financial specialists from Burckhardt Compression's subsidiaries. Qualified experts from other departments (e.g., IT, Legal & Compliance, or Human Resources) may be consulted, depending on the auditing assignment. This well-structured organization is designed to meet the specific needs and scale of Burckhardt Compression, promoting a dynamic exchange of information and best practices. The goal is to create sustained added value through continuous process improvement. The internal auditors undergo regular training for the performance of their tasks. The training received is coordinated by the Head of Internal Group Audit. The schedule for internal audits is determined by the Audit Committee of the Board of Directors on an annual basis and may be changed or expanded by the Audit Committee as and when required. Nine (9) internal audits were carried out in fiscal year 2024. The Internal Group Audit's reports were distributed to the management of the audited company, the members of the Audit Committee of the Board of Directors, the Executive Management members and to the external company auditors. The statutory auditor assesses the effectiveness of the internal control system (ICS) in a written report submitted to the Audit Committee and the Board of Directors once a year.

Risk management

Burckhardt Compression has an integrated risk management policy. In a two-stage process, key risks are identified using an anticipatory approach and grouped under one of four risk categories – strategic, financial, operational or legal/compliance – that have been defined by the Board of Directors. The risks are then evaluated, managed, and stringently monitored, avoided, mitigated or transferred to third parties through appropriate risk management measures. The first stage of risk management consists of a continuous risk management process, in which the Division Presidents and the Burckhardt Compression Group functions (CEO, CFO, CHRO, CIO, CCO) systematically identify and assess the risks in a regular rhythm, define the necessary risk mitigation measures together with the responsible persons, and set and monitor deadlines for implementation. Internal and external factors are included in the evaluation of potential risks.

The second stage of the risk management process consists of a periodic risk management review that takes place twice a year at the meetings of the Board of Directors' Audit Committee. To this end, the Executive Management prepares an overview of the main risks faced by Burckhardt Compression and an assessment of the likelihood of these risks occurring and the effects they would have. This overview is presented to the Audit Committee together with the risk

mitigation measures, the people responsible for implementing them, and an implementation timetable. The Audit Committee then reports to the Board of Directors about the findings of the risk management review.

Compliance

Burckhardt Compression has a group-wide compliance program focused on adhering to legal and internal regulations, including the Code of Conduct and the Burckhardt Compression "Values and Behaviors". The compliance program has a three-pillar framework:

prevention (through policies and trainings);
early detection (though different grievance channels); and
response (different actions on compliance breaches and fine tuning of policies).

In 2021, Burckhardt Compression introduced an updated Code of Conduct, disseminated to all employees via e-trainings. During fiscal year 2024, the Code of Conduct e-Learning program was enhanced and implemented group-wide with the help of a new external provider. This development facilitates more comprehensive training and improved analysis of training outcomes.

The grievance channel, "Speak Up", has also been updated and promoted across the Group to ensure enhanced accessibility for all employees. This initiative aims to foster a transparent and supportive environment where concerns can be raised and addressed effectively.

Data protection continues to be a paramount concern at Burckhardt Compression. Following the implementation of the EU's General Data Protection Regulation (GDPR) in previous years and the New Federal Act on Data Protection during fiscal year 2023, the Group has revised its data protection policies in fiscal year 2024. The Data Protection Officer is undergoing regular training to remain informed about the

increasingly complex legal developments and regulatory framework.

In the realm of IT Security and Cybersecurity, Burckhardt Compression has further strengthened its policies and in-house training programs. An external provider has vetted the reliability of the Group's cybersecurity system, and scenario-based training sessions were conducted this year. These sessions will be established as a regular annual practice starting in 2026. Consequently, all employees are required to participate in annual e-Learning sessions covering essential cybersecurity knowledge.

Additionally, the Board of Directors, along with the Executive Management and the General Counsel, has participated in an in-person training provided by an external legal expert in the field of business compliance and corporate misconduct to further enhance their expertise. This training is intended to become a regular practice, ensuring continuous development and alignment with the latest standards.

These initiatives collectively aim to generate sustained added value for Burckhardt Compression by continuously improving processes, ensuring technical resilience, maintaining legal compliance, and fostering a proactive approach to employee engagement and training.

3.8. Gender guidelines

As part of its extended duties, the Nomination and Compensation Committee assesses succession planning for the Board of Directors in order to ensure a balanced composition of the Board of Directors. The Board of Directors has increased the gender ratio from 20% to 33% of women on the Board of Directors during the elections in 2022.

3.9. Self-evaluation of the Board of Directors

Regarding the previous fiscal year, the Board of Directors conducted a self-evaluation of its work and that of its individual committees. The evaluation process covered purpose, scope, composition, and responsibilities and was done as an internal evaluation only. Each member of the Board of Directors completed a questionnaire, and the detailed findings were presented back to the Board of Directors. Improvement measures were defined and will be regularly reviewed to ensure ongoing effectiveness and alignment with the Group's objectives.

4. Executive Management 4.1./4.2 Members of the Executive Management/ Other activities and vested interests

Name	Nationality	Function
Fabrice Billard	CH/FR	CEO
Rolf Brändli	CH	CFO
Vanessa Valentin	CH	CHRO
Andreas Brautsch	DE	President Systems Division
Rainer Dübi	CH	President Services Division

Biographical details and information on other activities and commitments of the members of the Executive Management:

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Fabrice Billard (1970)

Education

MSc in Aeronautics and Aerospace Engineering, Ecole Centrale Paris, France

Professional background

Since April 2022 CEO Burckhardt Compression Group, Switzerland

2016–2022 President Systems Division,

Burckhardt Compression Group, Switzerland

2015–2016 Chief Strategy Officer, Sulzer, Switzerland

2012–2015 Head Business Unit Mass Transfer Technology,

Sulzer Chemtech, Switzerland/Singapore

2010–2012 Head Europe, Middle East, India, Russia & Africa Business Unit, Mass Transfer Technology, Sulzer Chemtech,

Switzerland

2008–2010 Vice President Business Development,

Sulzer Chemtech, Switzerland

2005–2008 Head Global Customer Services, Sulzer Pumps,

Switzerland

2004–2005 Strategic Development Manager, Sulzer Corporate,

Switzerland

1999–2004 Principal, The Boston Consulting Group, Switzerland/ France

Rolf Brändli (1968)

Education

Degree in Business Administration, HWV Zürich, Switzerland

Professional background

Since 2008 CFO, Burckhardt Compression Group, Switzerland 2001–2008 Head of Finance & Administration, Sulzer Brasil S.A., Brazil;

Regional Controller, Sulzer Pumps South America & South Africa 1997–2001 Regional Controller Asia/Pacific,

Sulzer International Ltd.;

General Manager, Sulzer Hong Kong Ltd., Hong Kong, SAR China 1994–1997 Management Consultant, OBT Treuhand AG Zurich, Switzerland

Vanessa Valentin (1979)

Education

BSc in Developmental Psychology, University of Sussex, UK MSc in Human Resources, The London School of Economics and Political Science (LSE), UK

Professional background

Since June 2022 Chief Human Resources Officer, Burckhardt Compression Group, Switzerland

2016–2022 Senior VP Human Resources, VAT Group, Switzerland 2012–2016 Human Resources Director, Alstom, Switzerland 2007–2012 Human Resources Leader, GE Oil & Gas, Italy, Australia, US

2005–2007 Human Resources Leadership Program, GE, Germany, Italy, US

2003–2005 Human Resources Manager, Health Protection Agency, UK

Rainer Dübi (1969)

Education

Degree in Mechanical Engineering, HTL Winterthur, Switzerland MASBA School of Management, Switzerland

Professional background

Since 2019 President Services Division, Burckhardt Compression Group, Switzerland 2012–2019 Head of Design & Manufacturing, Burckhardt Compression AG, Switzerland

2010–2012 Senior Sales Manager, Burckhardt Compression AG, Switzerland

2007–2010 Manager Sizing, Burckhardt Compression AG, Switzerland

2003–2007 Sizing Project Engineer, Burckhardt Compression AG, Switzerland

2001–2003 Commissioning Lead Engineer, Alstom, Switzerland 1999–2001 Commissioning Engineer, ABB, Switzerland

Andreas Brautsch (1974)

Education

MSc in Mechanical Engineering, TH Regensburg, Germany PhD, Mechanical Engineering, Heriot Watt University, Edinburgh, UK

Professional background

Since October 2022 President Systems Division, Burckhardt Compression Group, Switzerland 2019–2022 Group Vice President, Global Lead Switchgear Business Hitachi Energy, Switzerland 2017–2019 Group Vice President, Business Transformation Lead Hitachi Energy, Switzerland 2015–2017 Global Business Lead Industrial Gas Power Business, General Electric, USA 2012–2015 Platform Director H-class Gas Power Generation, Alstom Power, Switzerland 2008–2012 Head of Products, Carbon Capture Systems, Alstom Power, Switzerland

2002–2008 Global Innovation Lead, Alstom Power, USA 1998–2000 Implementation Lead for local joint venture, Siemens, China

4.3. Rules in the Articles of Incorporation concerning the number of permitted activities

Members of the Executive Management may not hold more than five (5) external mandates, of which not more than two (2) may be in listed companies.

4.4. Management contracts

There are no management contracts with third parties.

4.5. Gender guidelines

As part of its extended duties, the Nomination and Compensation Committee assesses succession planning for the Executive Management in order to ensure a balanced composition of the Executive Management. The Board of Directors aims to ensure a diversified Executive Management. The gender ratio is currently 20% women in the Executive Management.

5. Compensation, shareholdings and loans

5.1. Compensation and shareholding programs

The principles and elements of compensation paid to members of the Board of Directors and the Executive Management as well as the authority and the mechanisms used to determine such compensation are explained in the Compensation Report on pages 106 to 123.

The shareholdings of the members of the Board of Directors and the Executive Management in Burckhardt Compression Holding AG are listed in the Compensation Report on pages 106 to 123 and in the financial statements, note 103, "Share capital and shareholders" on page 159.

Burckhardt Compression did not grant any loans, credit or collateral to any of the members of the Board of Directors or the Executive Management in fiscal year 2024 and there are no arrangements of this nature outstanding.

5.2. Rules in the Articles of Incorporation 5.2.1. on performance-related payments and allocations

The rules in the Articles of Incorporation on the principles applicable to performance-related pay and to the allocation of shares, contingent rights to receive shares or comparable instruments of the company, as well as the additional amount for payments to members of the Executive Management newly appointed after the vote on pay at the Annual General Meeting of shareholders are available on the website of Burckhardt Compression in the Articles of Incorporation (Art. 25, Art. 26 and Art. 27). (https://www.burckhardtcompression.com/about/investors/financial-reports-archive/).

5.2.2. on loans, credit facilities and postemployment benefits

The rules in the Articles of Incorporation on loans, credit arrangements and pension plan benefits for members of the Board and the Executive Management are available on the website of Burckhardt Compression in the Articles of Incorporation (Art. 29). (https://www.burckhardtcompression.com/ about/investors/financial-reports-archive/).

5.2.3. on the vote on pay at the Annual General Meeting

The rules in the Articles of Incorporation on the vote on pay at the Annual General Meeting are available on the website of Burckhardt Compression in the Articles of Incorporation (Art. 24). (https://www.burckhardtcompression.com/about/ investors/financial-reports-archive/).

6. Shareholders' participation rights

6.1. Voting rights restrictions and representation

6.1.1. Rules in the Articles of Incorporation on restrictions to voting rights

Please refer to above Chapter 2.6.1. To amend the restrictions to voting rights, the statutory quorum for changes to the company's Articles of Incorporation is required (please refer to below Chapter 6.2).

6.1.2. Rules in the Articles of Incorporation on the issue of instructions to the independent proxy, and any rules in the Articles of Incorporation on the electronic participation in the General Meeting of shareholders

The rules in the Articles of Incorporation on the issue of instructions to the independent proxy and on the provision that a shareholders' meeting may be held by electronic means without a physical venue are available on the website of Burckhardt Compression in the Articles of Incorporation (Art. 9 and Art. 13). (https://www.burckhardtcompression. com/about/investors/financial-reports-archive/).

6.2. Statutory quorums

A majority of at least two-thirds of the voting rights represented is required for changes to the company's Articles of Incorporation. Dissolution or merging of the company requires the presence or representation of at least half of the issued shares and the approval of at least two-thirds of the present or represented share votes on the petition submitted.

6.3. Convocation of the Annual General Meeting of Shareholders

None of the applicable rules deviate from the law.

6.4. Inclusion of items on the agenda

Under the Articles of Incorporation, shareholders representing jointly at least 0.5% of the share capital or of the votes may request discussion of an item at a General Meeting. Subject to the same requirements, the shareholders may request that petitions relating to items on the agenda be included in the notice convening the General Meeting. The corresponding petition should be submitted in writing to the Board of Directors of the company at least forty (40) days prior to the scheduled meeting stating the proposed item and petitions of the shareholders.

6.5. Entries in the Share Register

The record date for registered shareholders to be entered in the Share Register prior to an Annual General Meeting will be stated in the invitation to the Annual General Meeting.

7. Changes of control and defensive measures

7.1. Duty to make an offer

Once a shareholder acquires 33% of share capital and voting rights, it will be under an obligation to submit a public tender offer. The Articles of Incorporation contain neither an opting-out nor an opting-up clause.

7.2. Clauses on change of control

There are no provisions for special severance payments for members of the Board of Directors or members of the Executive Management or other employees in the event of a change of control over Burckhardt Compression Holding AG.

7A. Transparency on non-financial matters

The report on non-financial matters (in accordance with the requirements of the Articles 964b and 964c of the Swiss Code of Obligations) is included on page 33. This report will be submitted to the Annual General Meeting for a consultative vote.

8. Auditors

8.1. Duration of mandate and term of office of the auditor in charge

8.1.1. Date of assumption of the current audit mandate

Ernst & Young AG (EY) has been the statutory auditor of Burckhardt Compression Holding AG since 2024 and is also in charge of the audit of the consolidated financial statements. The statutory auditor is elected by the Annual General Meeting of shareholders for one (1) year at a time. As a matter of good practice, Burckhardt Compression tenders its external audit contracts at least every ten (10) years and examines all bids received. The most recent invitation to tender was issued during fiscal year 2023. Following this process, EY was pre-selected by the Board of Directors and subsequently approved by the shareholders at the Annual General Meeting.

8.1.2. Date on which the lead auditor responsible for the current audit mandate took up office

The auditor in charge will be changed after a maximum period of seven (7) years. Marco Casal has served as auditor in charge since the 2024 reporting period.

8.2. Auditor's fees

Total fees for auditing services provided by EY worldwide during fiscal year 2024 amounted to TCHF 413 (previous year: TCHF 429 (PricewaterhouseCoopers AG)). Moreover, a onetime audit fee of TCHF 70 was incurred due to the change in accounting principle.

8.3. Additional fees

The additional fees for services provided by EY worldwide during fiscal year 2024 are in the amount of TCHF 50 (previous year: TCHF 72 (PricewaterhouseCoopers AG)). These include TCHF 13 for tax services and TCHF 37 for other consulting services. Additional services rendered by EY outside the audit mandate are compatible with the audit assignment.

8.4. Information instruments pertaining to the external audit

The Audit Committee assists the Board of Directors in monitoring the company's accounting and financial reporting. It assesses the internal control procedures, the management of business risks, the audit plan and scope, the conduct of the audits and their results. The Audit Committee also reviews the auditor's fees. The statutory auditor is present during the examination of the consolidated annual and semi-annual financial statements. Once a year, the members of the Audit Committee receive from the statutory auditor a summary of the audit findings and suggested improvements. The Audit Committee held five (5) meetings during the 2024 reporting period. The auditor in charge and another representative of the auditor took part in two of these meetings.

9. Information policy

In general, Burckhardt Compression Holding AG reports order intake, sales, operating results, balance sheet, cash flow, and changes in shareholders' equity on a semi-annual basis, together with comments on the trend of business and the outlook for the future. Burckhardt Compression Holding AG provides price-sensitive information in accordance with the ad hoc disclosure requirements set out in the Listing Rules of the SIX Swiss Exchange. Burckhardt Compression Holding AG will send price-sensitive information to all interested parties via an email distribution list. Financial reports are available on our website (www.burckhardtcompression. com) and will be delivered to interested parties on request.

Key dates for 2025 and 2026

July 5, 2025

Annual General Meeting

November 4, 2025

Results for the first half of 2025 (closing September 30, 2025)

June 4, 2026

2025 Annual Report (closing March 31, 2026)

July 3, 2026

Annual General Meeting

Details of these dates, possible changes, the company profile, current share prices, presentations, and contact addresses can be found at www.burckhardtcompression.com, where interested parties can also subscribe to the email distribution list.

10. Quiet periods

No member of the Board of Directors, member of the Executive Management or other employee of Burckhardt Compression specifically notified by the CFO may trade with Burckhardt Compression shares listed in the stock exchange or any other exchange-traded financial instruments relating to BCHN shares, such as derivates, during the period starting from March 1 and September 1, respectively and ending with the close of the second trading day after Burckhardt Compressions' public release of the relevant annual or half- year report.

1.	Basis	108
2.	Organization, Duties and Powers	108
3.	Compensation system	109
4.	Compensation allocated with comparative figures for the previous year	113
5.	Overview of shareholdings and participation rights	117
6.	Transactions with the Board of Directors, the Executive Management and related parties	118
7.	Activities at other companies	119
	Report of the statutory auditor to the general meeting	121

1. Basis

At Burckhardt Compression, the policies and system in place for the compensation of the Board of Directors and the Executive Management are based on the requirements of the Swiss Code of Obligations, the Directive on Information relating to Corporate Governance (DCG) issued by the SIX Swiss Exchange, the Swiss Code of Best Practice for Corporate Governance, and the Articles of Incorporation of Burckhardt Compression Holding AG.

2. Organization, Duties and Powers

The Nomination and Compensation Committee (NCC) is comprised of at least two members of the Board of Directors. The members of the NCC are elected individually and annually by the Annual General Meeting (AGM) and their term of office shall expire at the end of the subsequent AGM. The AGM of July 5, 2024, re-elected Maria Teresa Vacalli and Dr. Stephan Bross and newly elected Tatiana Gillitzer to the NCC. The Board of Directors appointed Maria Teresa Vacalli as Chair of the NCC.

The NCC meets a minimum of twice a year. In fiscal year 2024, it met four times. The CEO and Chief Human Resources Officer (CHRO) attend these meetings in an advisory capacity, except during deliberation on meeting topics that pertain to themselves (including their own performance and compensation). The NCC draws up minutes of its meetings and distributes them to the Board of Directors. Following each NCC meeting, the Board of Directors is informed of the topics discussed and the proposals of the NCC are brought to the next possible meeting of the Board of Directors.

The duties and powers of the NCC are set forth in the company's Articles of Incorporation and its Organizational Rules (https://www.burckhardtcompression.com/incorpora tion). The regulations are regularly reviewed. The NCC supports the Board of Directors in the performance of its duties pertaining to the compensation and personnel policies of the company and the entire Group as prescribed by law or the company's Articles of Incorporation. The most important duties and powers of the NCC with regard to compensation are given in the table below. In fiscal year 2024, PwC provided services related to executive compensation, including benchmarking analyses for the Board of Directors and the Executive Management (details are outlined in sections 3.1 and 3.2). PwC provided other services to Burckhardt Compression and there were clear rules in place to ensure independence. Further, compensation market data was provided by Willis Towers Watson. No other external advisors were consulted on remuneration matters in fiscal year 2024.

Topic	Proposal/ recommendation by	Approval authority
Compensation principles and guidelines	NCC	BOD
Compensation Report	NCC	BOD
Compensation of Board of Directors	NCC	BOD, subject to AGM approval
Compensation of CEO	NCC	BOD, subject to AGM approval
Compensation of Executive Management (excl. CEO)	NCC, upon proposal by the CEO	BOD, subject to AGM approval
Loans to members of the Executive Management	CEO	NCC

BOD = Board of Directors

NCC = Nomination and Compensation Committee

AGM = Annual General Meeting

The AGM of Burckhardt Compression Holding AG casts the following votes in relation to the compensation of the Board of Directors and Executive Management:

		Previous Fiscal Year	Current Fiscal Year	Next Fiscal Year
			AGM
Board of Directors	Maximum aggregate FIXED compensation			•
	Maximum aggregate FIXED compensation			•
Executive Management	Maximum aggregate VARIABLE compensation	•
Consultative vote on Compensation Report		•

In addition, the principles of compensation are governed by the Articles of Incorporation, which are also approved by the shareholders. The provisions of the Articles of Incorporation are listed below: https://www.burckhardtcompression.com/ incorporation

Article 24: Approval of compensation by the General Meeting
Article 25: Additional amount for new members of the Executive Management
Article 26: General compensation principles
Article 27: Contracts with regard to compensation
Article 28: Mandates outside the Company
Article 29: Loans, credits, and pension benefits outside the occupational benefits insurance

To align with common practice, the Board of Directors proposes at the AGM in 2025 to amend Article 24 para 1 of the Articles of Incorporation to the effect that the maximum total amount of the fixed remuneration of the Board of Directors is approved annually until the next ordinary AGM, whereas previously the approval was for the financial year following the AGM.

In order to further foster transparent disclosure in the Compensation Report, Burckhardt Compression actively reached out to proxy advisors and investors in fiscal year 2024 to better understand the areas of improvement. An overview of those shareholder engagements, including the key topics discussed as well as Burckhardt Compression's response and measures adopted, is provided in the below table.

Key topics	Burckhardt Compression's response
discussed	and measures adopted
Ex-post disclosure of the short-term incentive (STI)	Shareholders highlighted the importance of providing more detailed ex-post disclosure on STI performance achievements. Burckhardt Compression wishes to pursue a transparent disclosure approach: The STI is calculated as a percentage of net income and is paid in cash on an annual basis, provided that at least 4% return on sales (on a net income basis) was achieved. The percentage of net income is role-specific and depends on the global grading of the role. The Compensation Report includes information on the CEO as well as the other members of the Executive Management. The STI is determined by applying a defined formulaic approach where no discretion is applied. Performance targets and performance achievements are directly reflected in the net income development. Please see section 4.2 for more insights and additional disclosure.

Key topics

Burckhardt Compression's response

discussed

and measures adopted

Ex-post
disclosure of
the short-term
incentive (STI)

Shareholders highlighted the importance of providing
more detailed ex-post disclosure on STI performance
achievements. Burckhardt Compression wishes to
pursue a transparent disclosure approach: The STI is
calculated as a percentage of net income and is paid in
cash on an annual basis, provided that at least 4%
return on sales (on a net income basis) was achieved.
The percentage of net income is role-specific and
depends on the global grading of the role. The
Compensation Report includes information on the CEO
as well as the other members of the Executive
Management. The STI is determined by applying a
defined formulaic approach where no discretion is
applied. Performance targets and performance
achievements are directly reflected in the net income
development. Please see section 4.2 for more insights
and additional disclosure.

Key topics discussed	Burckhardt Compression's response and measures adopted
Maximum opportunity (cap) under the STI	The cap for the STI increased for fiscal year 2023 (and going forward) from previously 50% to 80% of the annual base salary. Shareholders raised the request for more explanations. The adjustment of the cap was performed in the context of the new Mid-Range Plan and Burckhardt Compression's review of the compensa tion policies. Burckhardt Compression has a compre hensive compensation system in place which is well-balanced between short- and long-term orientation. The compensation mix of the Executive Management and individual members is analysed and benchmarked on a regular basis. Please see section 3.2 for additional information.
Ex-post disclosure of the long-term incentive (LTI)	Shareholders expressed the need for more information about the ex-post disclosure on LTI performance achievements. A new LTI was introduced for fiscal year 2023. The payout of the previous LTI plan's final tranche relating to fiscal years 2017-2022 was disclosed in previous Compensation Reports based on the fair value related to the respective fiscal year. In section 4.2, we provide an ex-post overview of the related performance achievement and payout in order to increase transpar ency. The plan details of the new LTI are disclosed in section 3.2. Upon the first vesting under the new LTI plan, a detailed ex-post performance assessment will be provided in the Compensation Report.
Maximum opportunity (cap) under the LTI	The design parameters as well as the performance conditions were disclosed in the Compensation Report 2023. However, no information was provided on the LTI maximum opportunity (cap). While this cap did already apply previously, it is now also disclosed in section 3.2. It corresponds to 130% of the target.

3. Compensation system

Burckhardt Compression's compensation system consists of a mix of fixed and variable components. In accordance with the Articles of Incorporation of Burckhardt Compression Holding AG, variable compensation can be paid in whole or part in the form of shares, conditional rights to receive shares, or in comparable instruments of the company.

3.1. Compensation system for the Board of Directors

In order to guarantee the independence of the members of the Board of Directors in exercising their supervisory duties, their compensation consists of a fixed remuneration only. The compensation of the Board of Directors strengthens the alignment with the interests of the shareholders.

The annual retainer is delivered 80% in cash and 20% in free shares. Directors who serve on a formal committee of the Board of Directors receive a fixed cash supplement (committee fees). Further, all directors are eligible to a fixed lumpsum for expenses. While the compensation in cash is generally delivered on a quarterly basis, the shares are awarded annually. The number of shares awarded is based on the average share price (daily closing price on the SIX exchange) of the 30 trading days before the AGM.

The annual retainer amounts to CHF 81'000 for members of the Board of Directors and to CHF 184'000 for the Chair of the Board of Directors. The committee fees amount to CHF 10'000 a year per committee; there is no differentiation in fees for committee chair and members. The lump sum for expenses is CHF 4'000 a year for members of the Board of Directors and CHF 6'000 a year for the Chair of the Board of Directors. For the Board of Directors, only mandatory pension benefits are granted.

Position	Annual retainer (CHF)	Committee Lump sum for fees (CHF) expenses (CHF)
	80% cash,	Cash	Cash
	20% free shares
Chair of the Board
of Directors	184'000		6'000
Member of the
Board of Directors	81'000		4'000
Chair of a
committee		–¹
Member of a
committee		10'000²

¹ No additional fee on top of "Member of a committee" fee

The compensation of the Board of Directors is reviewed against prevalent market practice on a regular basis. In fiscal year 2024, a benchmarking analysis was conducted in terms of compensation design and levels. For that purpose, 17 selected Swiss listed companies were used as peer group, accounting for industry and size (similar market capitalisation, sales and headcount): Accelleron, Arbonia, Bachem, Belimo, Bossard, Bystronic, Comet, Flughafen Zuerich, Inficon, Komax, Landis+Gyr, Schweiter Technologies, SKAN, Tecan, u-blox, Ypsomed, and Zehnder. This peer group is considered well-balanced in terms of financial comparability. While the overall compensation structure of the Board of Directors was considered as broadly in line with market practice, it was observed that the compensation levels are currently positioned below the lower quartile of the peer group. Based on these findings and in order to foster alignment with peer practices, the NCC recommends to increase the annual retainer and the committee fees as of the AGM of 2025, subject to shareholder approval. Detailed information will be provided in the Compensation Report 2025.

Burckhardt Compression vs. peer group	Market capitalisation (mCHF) June 1, 2024	Sales (mCHF) Latest fiscal year at time of benchmark	Headcount Latest fiscal year at time of benchmark
Burckhardt
Compression	2'045	982	3'243
Peer group:
upper quartile	4'091	1'069	3'500
Peer group: median	2'210	745	2'431
Peer group: lower quartile	882	567	2'006

3.2 Compensation system for the Executive Management

Burckhardt Compression has established a comprehensive compensation system which is well balanced between shortand long-term orientation. The objectives pursued with this system are to ensure that the compensation of the company executives is market-competitive and to foster alignment between the interests of the shareholders, the Board of Directors, and the Executive Management. Market-competitive pay is a basic prerequisite for attracting well-qualified executives and ensuring that they remain with the company in the long run.

The compensation of the Executive Management is reviewed against prevalent market practice on a regular basis. In fiscal year 2024, a benchmarking analysis was conducted in terms of compensation levels. The same peer group was applied as for the benchmarking analysis of the Board of Directors (see section 3.1). The compensation levels of the Executive Management were considered as broadly in line with market practice, and the NCC concluded that apart from an adjustment in the LTI grant amount of the CEO as of the upcoming fiscal year, no changes are required. Detailed information on the compensation of the Executive Management for the upcoming fiscal year will be provided in the Compensation Report 2025.

The structure of compensation system of the Executive Management

Components	Program	Purpose	Plan period
Annual Base Salary	Monthly cash salary	Attract and retain	Continuous
Short-term incentive	Variable performance and profit related annual cash bonus	Pay for performance	Annual
Long-term incentive	Variable performance and profit related long-term incentive bonus awarded in form of PSUs	Reward long-term performance aligned with shareholders	3 years
Benefits: Pension and Insurance	Monthly contributions	Protect against risk	Continuous

Annual Base Salary

The functions performed by members of the Executive Management are assigned to so-called Global Grades as defined by a global functional grading system (Willis Towers Watson Global Grading System). Market data for each Global Grade based on Willis Towers Watson's Global 50 Remuneration Planning Report are taken into consideration when determining the base salary of the members of the Executive Management. The base salary is reviewed annually.

² Per committee

Short-Term Incentive (STI)

The members of the Executive Management are eligible for an annual variable performance- and profit-related bonus in addition to their base salaries. The STI is calculated as a percentage of net income of Burckhardt Compression and is paid only if a minimum financial threshold of 4% return on sales (on a net income basis) was achieved. The percentage of net income is role-specific and determined by the Global Grade. The percentage applied for the CEO is 0.28%. The percentage for the other members of the Executive Management – depending on their Global Grade – ranges from 0.12% to 0.16%. This measure focuses on profitability and aligns the interests of the Executive Management and the shareholders. The performance assessment is performed by means of a formulaic approach where no discretion is applied. The payout of the STI is capped at 80% of the base salary of the members of the Executive Management. The STI plan is reviewed regularly, typically on an annual basis but at least every two years.

Long-Term Incentive (LTI)

Based on the NCC's regular review of the compensation policies, the Board of Directors introduced a new LTI plan with the start of fiscal year 2023. To achieve a strong alignment between the interests of the Executive Management and the shareholders, to increase the pay for performance relationship and to strengthen the retention of the most senior employees, the new LTI plan is granted in the form of Performance Share Units (PSUs). The PSUs are conditional upon the fulfilment of defined performance conditions. The vesting of the PSUs is subject to the achievement of three Key Performance Indicators (KPIs) over a period of three years. In addition, the vesting is subject to continued employment.

The three defined KPIs are:

Cumulative Earnings per Share (50% weighted)
Cumulative Revenue (25% weighted)
Sustainability: Environmental, Social and Governance (ESG) measure (25% weighted)

The KPIs have been chosen to balance top-line growth and bottom-line impact, as well as the commitment to sustainability, measured by the reduction of GHG emission intensity (as defined on page 43 of the Sustainability Report) by 50% by 2027.

The target amount of the LTI award is divided by a pre-defined reference share price at grant, resulting in a number of PSUs. The reference share price at grant equals the average closing share price of the three months preceding the month prior to the grant. The PSUs granted convert to a number of shares at the end of a three-year vesting period, provided the described performance and employment conditions are met.

The annual target amount of the LTI award for fiscal year 2024 is CHF 150'000 for the CEO and between CHF 75'000 and CHF 100'000 for the other members of the Executive Management, depending on their Global Grade. For new joiners to and promotions within the Executive Management, the target amount is pro-rated.

For each KPI, a threshold, a target, a maximum and a payout curve are defined by the Board of Directors. Achieving threshold performance corresponds to a 0% payout factor, target performance to a 100% payout factor and maximum performance (cap) to a 130% payout factor in terms of target, with linear interpolation between threshold and target as well as between target and maximum. This results in a payout cap of 130% of target also on an aggregate performance level. The underlying performance targets are considered confidential and are, therefore, not disclosed ex-ante. However, an ex-post performance assessment is provided in section 4.2.

LTI Payout Curve

In case of termination of employment, the following provisions apply:

Case	Provisions
Voluntary resignation	Forfeiture of PSU
Termination by employer Forfeiture of PSU
Retirement and disability	Pro rata vesting at regular vesting date
Death	Accelerated pro rata vesting based on performance achievement of 100%
Other friendly leavers	Pro rata vesting at regular vesting date
Change of control	Accelerated pro rata vesting based on effective performance, or 100% if not assessable

The plan includes malus and clawback provisions which allow to reduce or reclaim all or parts of the award in defined cases, such as material financial restatement due to non-compliance to accounting standards or fraud and violation of law. Furthermore, the plan includes anti-hedging and anti-pledging provisions.

The LTI plan is reviewed regularly, typically on an annual basis but at least every two years.

Employment contract terms

Employment contracts with Executive Management members are entered into for an indefinite period with a notice period of six months. The Executive Management is not contractually entitled to sign-on payments, termination payments, change-of-control provisions (except the accelerated vesting under the LTI plan) or non-competition compensation. Pension benefits are part of the regular company occupational pension plans.

Shareholding guidelines

Starting from fiscal year 2023, the members of the Executive Management are required to build up and own at least a minimum multiple of their annual base salary in Burckhardt Compression shares as set out in the table below (unvested PSUs granted under the LTI do not count towards the minimum requirement):

Function	Minimum shareholding requirement
CEO	200% of Annual Base Salary
CFO	150% of Annual Base Salary
Other EM members	100% of Annual Base Salary

The Executive Management is expected to meet these requirements at the end of the fifth year of the implementation of the requirements or of their appointment to the Executive Management. Compliance with the shareholding guidelines is assessed by the NCC on an annual basis. The latest assessment revealed that all Executive Management members who reached the end of the 5-year build-up period fulfilled the applicable minimum shareholding requirement.

4. Compensation allocated with comparative figures for the previous year

4.1. Compensation allocated to the Board of Directors

The following fixed compensation was allocated to the members of the Board of Directors for fiscal years 2024 and 2023:

in CHF 1'000 (gross) (audited)	Function	Annual retainer*	Committee fees	Social security contributions and other benefits**	2024
Members of the Board of Directors
Ton Büchner	Chair	184	10	18	212
Dr. Stephan Bross	Member	81	10	10	101
David Dean	Member	81	10	9	100
Tatiana Gillitzer1	Member	61	7	7	75
Kaspar Kelterborn²	Member	81	18	10	109
Dr. Monika Krüsi3	Member	20	5	3	28
Maria Teresa Vacalli	Member	81	20	11	112
Total		589	80	68	737
Approved by the 2023 AGM for FY2024					890
in CHF 1'000 (gross) (audited)	Function	Annual retainer*	Committee fees	Social security contributions and other benefits**	2023
Board of Directors
Ton Büchner	Chair	184	10	18	212
Dr. Stephan Bross	Member	81	10	10	101
David Dean	Member	81	10	12	103
Kaspar Kelterborn2	Member	61	7	7	75
Dr. Monika Krüsi3	Member	81	20	11	112
Urs Leinhäuser4	Member	20	3	2	25
Maria Teresa Vacalli	Member	81	18	10	109
Total		589	78	70	737
Approved by the 2022 AGM for FY2023					890

The total fixed compensation for the Board of Directors for fiscal year 2024 (CHF 737'000) is stable compared to fiscal year 2023 (CHF 737'000). The AGM of July 1, 2023, approved a maximum aggregate fixed compensation amount of CHF 890'000 (gross, including social security contributions) for the Board of Directors (six members) for fiscal year 2024. Consequently, the fixed compensation actually allocated is within the fixed compensation amount approved by the shareholders.

¹ From July 5, 2024

² From July 1, 2023

³ Until July 4, 2024

⁴ Until June 30, 2023

^* For the portion of the annual retainer delivered in equity, the share price used for the conversion into a number of shares was CHF 602 in 2024 and CHF 549 in 2023, respectively

^** Includes mandatory social security contributions only as per local Swiss regulations, and expenses as per Board of Directors compensation regulation

4.2. Compensation allocated to the Executive Management

The following compensation was allocated to the members of the Executive Management for fiscal years 2024 and 2023:

in CHF 1'000 (gross) (audited)	Function	Fixed base salary, cash	Social security contribu tions and other benefits	Total fixed compen sation	Short term incentive, cash	Share based long-term incentive*	Social security contribu tions and other benefits	Total variable compen sation	2024 Total
Executive Management
Fabrice Billard (highest paid)	CEO	461	117	578	296	150	93	539	1'117
Other members of the Executive
Management (4 full-time equivalents)		1'198	275	1'473	634	375	196	1'205	2'678
Total		1'659	392	2'051	930	525	289	1'744	3'795
Approved by the 2023 AGM for FY 2024				2'400
in CHF 1'000 (gross) (audited)	Function	Fixed base	Social security	Total fixed	Short term	Share based	Social security	Total variable	2023 Total
		salary, cash	contribu tions and other benefits	compen sation	incentive, cash	long-term incentive**	contribu tions and other benefits	compen sation
Executive Management
Fabrice Billard (highest paid)	CEO	438	111	549	257	156	83	496	1'045
Other members of the Executive
Management (4 full-time equivalents)		1'170	269	1'439	552	390	175	1'117	2'556
Total		1'608	380	1'988	809	546	258	1'613	3'601
Approved by the 2022 AGM for FY 2023				2'400

The total fixed compensation for the Executive Management for fiscal year 2024 (CHF 2'051'000) is 3% higher compared to fiscal year 2023 (CHF 1'988'000), reflecting minor changes to individual members' salary in the context of market developments. The AGM of July 1, 2023, approved a maximum aggregate fixed compensation amount of CHF 2'400'000 (gross, including social security contributions) for the Executive Management for fiscal year 2024. Consequently, the fixed compensation actually allocated is within the fixed compensation amount approved by the shareholders.

^* In line with common practice in the Swiss market, amounts displayed represent the fair value at time of grant. The reference share price applied was CHF 490.

^** Amounts displayed represent expenses in 2023 as per previous reporting methodology. The reference share price applied was CHF 563. The LTI grant in fiscal year 2023 accounted for the transition to the new LTI plan, maintaining the same level of annual target amounts as under the previous LTI plan. Those target amounts corresponded to CHF 450'000 for the CEO and between CHF 225'000 and 300'000 for the other members of the Executive Management.

The total STI for the Executive Management for fiscal year 2024 (CHF 930'000) is 15% higher compared to fiscal year 2023 (CHF 809'000). This is a result of the higher net income basis for the calculation of the STI for fiscal year 2024 compared to fiscal year 2023. There is a clear formulaic calculation approach (no discretion applied) with performance targets and performance achievements being directly reflected in the net income development, as described in section 3.2 and detailed in the below table.

in CHF (audited)

Role	Net income (in mn) FY 2024	Sales (in mn) FY 2024	Net income in % Sales > 4%	STI % of Net income	Short-term incentive, cash (in 1'000)1
CEO	105.6	1'095.6	yes	0.28%	296
Other members of the Executive Management	105.6	1'095.6	yes	0.12% to 0.16%	634

^{1 &}quot;Other members of the Executive Management" represents the total amount for 4 members

The total LTI for the Executive Management for fiscal year 2024 (CHF 525'000) is 4% lower compared to the expenses in fiscal year 2023 (CHF 546'000). The decrease is solely due to the change in the reporting methodology whereby grant amounts instead of expenses are reported, in line with common practice in the Swiss market and to provide full transparency with the amounts granted.

Since the new LTI plan was implemented for fiscal year 2023 only, the first vesting will occur at the end of fiscal year 2025. Upon the first vesting, resulting from the LTI grant in fiscal year 2023, a detailed ex-post performance assessment will be provided in the Compensation Report. With respect to the payout of the previous LTI plan's final tranche (tranche 2) relating to fiscal years 2017-2022, the details of the overall performance achievement are provided below.

in CHF 1'000	Weighting (%)	Cumulative results FY 2017–2022	Total attainment FY 2017–2022	Attainment Tranche 1 FY 2017–2019	Attainment Tranche 2 FY 2020–2022
Organic growth (Sales)	50	3'962	overachieved	overachieved	overachieved
Net income	50	269	below target	below target	overachieved
Total	100		below target	below target	overachieved
Overall achievement¹			below target	below target	overachieved

¹ Overachievement was limited to factor 1.2 of target amounts

Based on the above performance achievement, the following LTI payout was awarded in the form of free shares in fiscal year 2023 for the tranche 2 of the previous LTI plan.

LTI awarded tranche 2 for FY 2020–2022

Role¹	Amount in k CHF²	Number of shares
CEO	420	767
Other members of the Executive Management	856	1'561

¹ F. Billard in role from April 1, 2022, V. Valentin in role from June 1, 2022, A. Brautsch in role from October 1, 2022.
² Target amount for the entire six-year period is CHF k 900 for the CEO and between CHF k 450 and 600 for the other Members of the Executive, depending on their Global Grade.

The total variable compensation of the individual members of the Executive Management ranged from 43% to 48% of total compensation for fiscal year 2024.

Accounting policy

As disclosed in note 2.2 of the consolidated financial statements, in fiscal year 2024, Burckhardt Compression changed the accounting policy of long-term contracts to the Percentage of Completion method ("PoC") for projects with contracts being significant for the Company and rendered over an extended period of time, to better reflect the characteristics of our business with large and complex projects. The PoC method recognizes revenue and costs progressively based on project progress, whereas before, revenue and cost recognition was deferred until a project was fully completed. Thus, the Board of Directors have decided to use the applicable POC method from fiscal year 2024 onward.

Payments to former members of the Executive Management and related parties (audited)

For fiscal year 2024, no payments were made to former members of the Executive Management or their related parties.

Aggregate amount of variable compensation for the Executive Management for fiscal year 2024 subject to approval at the AGM

For fiscal year 2024, variable compensation of CHF 1'744'000 (gross, including social security contributions and other benefits) was allocated to the Executive Management.

Burckhardt Compression Annual Report 2024

5. Overview of shareholdings and participation rights (audited)

5.1. Detailed overview of distributed shares and participation rights

In fiscal years 2024 and 2023, the following shares were distributed to the members of the Board of Directors (and related parties):

Name	Function	Shares distributed in FY 2024	Shares distributed in FY 2023
Members of the Board of Directors
Ton Büchner	Chair	61	67
Dr. Stephan Bross	Member	26	29
David Dean	Member	26	29
Tatiana Gillitzer1	Member	n/a	n/a
Kaspar Kelterborn2	Member	20	0
Dr. Monika Krüsi3	Member	26	29
Urs Leinhäuser4	Member	n/a	29
Maria Teresa Vacalli		26	22	1 From July 5, 2024 2 From July 1, 2023
Total		185	205	³ Until July 4, 2024 4 Until June 30, 2023

In fiscal years 2024 and 2023, the following shares were distributed, and the following PSUs were granted to the members of the Executive Management (and related parties):

Name Function		Shares distributed in FY 2024	Shares distributed in FY 2023	PSUs granted in FY 2024	PSUs granted in FY 2023
Executive Management
Fabrice Billard	CEO	–	767	307	800
Other members of the Executive Management		–	1'561	769	1'999
Total		–	2'328	1'076	2'799
Total Board of Directors and Executive Management		185	2'533	1'076	2'799

Burckhardt Compression Annual Report 2024

5.2. Detailed overview of shareholdings and participation rights

As per March 31, 2025, the members of the Board of Directors (and related parties) owned the following numbers of shares of Burckhardt Compression Holding AG:

Name	Function	31.3.2025 Total shares	31.3.2024 Total shares
Members of the Board of Directors
Ton Büchner	Chair	5'312	5'251
Dr. Stephan Bross	Member	486	460
David Dean	Member	545	519
Tatiana Gillitzer1	Member	0	n/a
Kaspar Kelterborn2	Member	170	150
Dr. Monika Krüsi3	Member	n/a	1'230
Maria Teresa Vacalli	Member	48	22	1 From July 5, 2024
Total		6'561	7'632	2 From July 1, 2023 ³ Until July 4, 2024

As per March 31, 2025, the members the Executive Management (and related parties) owned the following numbers of shares and PSUs of Burckhardt Compression Holding AG:

Name	Function	31.3.2025 Total shares	31.3.2024 Total shares	31.3.2025 Total PSUs	31.3.2024 Total PSUs
Executive Management
Fabrice Billard	CEO	1'900	1'900	1'107	800
Rolf Brändli	CFO	1'880	1'880	738	533
Andreas Brautsch	President Systems Division	110	110	738	533
Rainer Dübi	President Services Division	981	981	738	533
Vanessa Valentin	CHRO	137	137	554	400
Total		5'008	5'008	3'875	2'799
Total Board of Directors and Executive Management		11'569	12'640	3'875	2'799
As % of all outstanding shares		0.3%	0.4%	n/a	n/a

6. Transactions with the Board of Directors, the Executive Management and related parties (audited)

No other payments or fees for additional services were paid to the members of the Board of Directors or the Executive Management or to related parties during fiscal year 2024. No loans or credit lines were granted to members of the Board of Directors or the Executive Management or to related parties during fiscal year 2024 or were outstanding at the end of fiscal year 2024.

7. Activities at other companies

The activities of the members of the Board of Directors at other companies pursuant to art. 734e Swiss Code of Obligations were the following:

	Fiscal year 2024, as per March 31, 2025	Fiscal year 2023, as per March 31, 2024
Ton Büchner	Stock exchange-listed companies: • Member of the Board of Directors, Novartis AG, Switzerland • Chair of the Board of Directors, Swiss Prime Site AG, Switzerland	Stock exchange-listed companies: • Member of the Board of Directors, Novartis AG, Switzerland • Chair of the Board of Directors, Swiss Prime Site AG, Switzerland
	Unlisted companies: • Member of the Board of Directors, Tonality Holding AG, Switzerland and of its subsidiaries: – Managing Director, Bandinnera GmbH, Switzerland – Managing Director, Great Apes Aviation GmbH, Switzerland	Unlisted companies: • Member of the Board of Directors, Tonality Holding AG, Switzerland and of its subsidiaries: – Managing Director, Bandinnera GmbH, Switzerland – Managing Director, Great Apes Aviation GmbH, Switzerland
Dr. Stephan Bross	Stock exchange-listed companies: • Managing Director, KSB Management SE, Germany and of its subsidiaries: – Member of the Board of Directors, KSB Ltd., India (a fully consolidated subsidiary of KSB SE & Co. KGaA)	Stock exchange-listed companies: • Managing Director, KSB Management SE, Germany and of its subsidiaries: – Member of the Board of Directors, KSB Ltd., India (a fully consolidated subsidiary of KSB SE & Co. KGaA)
David Dean	Stock exchange-listed companies: • Member of the Board of Directors, Bossard Holding AG, Switzerland • Member of the Board of Directors, Komax Holding AG, Switzerland • Member of the Board of Directors, Metall Zug AG, Switzerland Unlisted companies:	Stock exchange-listed companies: • Member of the Board of Directors, Bossard Holding AG, Switzerland • Member of the Board of Directors, Komax Holding AG, Switzerland • Member of the Board of Directors, Metall Zug AG, Switzerland, including formal internal mandate(s) within the group
	• Member of the Board, BRUGG Group AG, Switzerland, including formal internal mandate(s) within the group	Unlisted companies: • Member of the Board of Directors, BRUGG Group AG, Switzerland, including formal internal mandate(s) within the group
Tatiana Gillitzer	Managing Director, Marel Management GmbH, Germany, including formal internal mandate(s) within the group	n/a
Kaspar Kelterborn	Stock exchange-listed companies: • Member of the Board of Directors, CPH Group AG, Switzerland • Member of the Board of Directors, EMS-Chemie Holding AG, Switzerland	Stock exchange-listed companies: • Member of the Board of Directors, CPH Chemie + Papier Holding AG, Switzerland Unlisted companies:
	Unlisted companies: • Member of the Board of Directors, Wipf Holding AG, Switzerland • Member of the Board of Directors, Karl Bubenhofer AG, Switzerland • Member of the Board of Directors, Perlen Industrieholding AG, Switzerland • Managing Director, Kelterborn-Advisory AG, Switzerland	• Member of the Board of Directors, Ruag International Holding AG (Beyond Gravity), Switzerland • Member of the Board of Directors, Wipf Holding AG, Switzerland • Member of the Board of Directors, Karl Bubenhofer AG, Switzerland • Managing Director, Kelterborn-Advisory AG, Switzerland

	Fiscal year 2024, as per March 31, 2025	Fiscal year 2023, as per March 31, 2024
Dr. Monika Krüsi	n/a	Stock exchange-listed companies: • Member of the Board of Directors, Accelleron Industries AG, Switzerland • Chair of Board of Directors, Repower AG, Switzerland
		Unlisted companies: • Member of the Board of Directors, Energie 360° AG, Switzerland • Member of the Board of Trustees Ernst Göhner Stiftung, Switzerland, including formal internal mandate(s) within the trust
Maria Teresa Vacalli	Stock exchange-listed companies: • Member of the Board of Directors, Kardex Holding AG, Switzerland	Stock exchange-listed companies: • Member of the Board of Directors, Kardex Holding AG, Switzerland
	Unlisted companies: • Member of the Board of Directors, Die Schweizerische Post AG, Switzerland and of its subsidiaries: – Member of the Board of Directors, PostFinance AG, Switzerland • Managing Director, MTK Consult GmbH, Switzerland	Unlisted companies: • Member of the Board of Directors, Die Schweizerische Post AG, Switzerland and of its subsidiaries: – Member of the Board of Directors, PostFinance AG, Switzerland • Member of the Advisory Board, Kontivia AG, Switzerland • Managing Director, MTK Consult GmbH, Switzerland

The activities of the members of the Executive Management at other companies pursuant to art. 734e Swiss Code of Obligations were the following:

	Fiscal year 2024, as per March 31, 2025	Fiscal year 2023, as per March 31, 2024
Fabrice Billard	No activities at other companies	No activities at other companies
Rolf Brändli	No activities at other companies	No activities at other companies
Andreas Brautsch	No activities at other companies	No activities at other companies
Rainer Dübi	No activities at other companies	No activities at other companies
Vanessa Valentin	No activities at other companies	No activities at other companies

Ernst & Young Ltd Maagplatz 1 P.O. Box CH-8010 Zurich

Phone: +41 58 286 31 11 www.ey.com/en_ch

To the General Meeting of Burckhardt Compression Holding AG, Winterthur Zurich, June 4, 2025

Report of the statutory auditor on the audit of the compensation report

Opinion

We have audited the compensation report of Burckhardt Compression Holding AG (the Company) for the year ended March 31, 2025. The audit was limited to the information pursuant to Art. 734a-734f of the Swiss Code of Obligations (CO) in the tables marked "audited" on pages 113 to 120 of the compensation report.

In our opinion, the information pursuant to Art. 734a-734f CO in the compensation report complies with Swiss law and the Company's articles of incorporation.

Basis for opinion

We conducted our audit in accordance with Swiss law and Swiss Standards on Auditing (SA-CH). Our responsibilities under those provisions and standards are further described in the "Auditor's responsibilities for the audit of the compensation report" section of our report. We are independent of the Company in accordance with the provisions of Swiss law and the requirements of the Swiss audit profession, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Other matter

The compensation report for the year ended March 31, 2024, was audited by another statutory auditor who expressed an unmodified opinion on this compensation report on June 3, 2024.

Other information

The Board of Directors is responsible for the other information. The other information comprises the information included in the annual report, but does not include the tables marked "audited" in the compensation report, the consolidated financial statements, the stand-alone financial statements and our auditor's reports thereon.

Our opinion on the compensation report does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the compensation report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the audited financial information in the compensation report or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Board of Directors' responsibilities for the compensation report

The Board of Directors is responsible for the preparation of a compensation report in accordance with the provisions of Swiss law and the Company's articles of incorporation, and for such internal control as the Board of Directors determines is necessary to enable the preparation of a compensation report that is free from material misstatement, whether due to fraud or error. It is also responsible for designing the remuneration system and defining individual remuneration packages.

Auditor's responsibilities for the audit of the compensation report

Our objectives are to obtain reasonable assurance about whether the information pursuant to Art. 734a-734f CO is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Swiss law and SA-CH will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this compensation report.

As part of an audit in accordance with Swiss law and SA-CH, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement in the compensation report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis

for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made.

We communicate with the Board of Directors or its relevant committee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide the Board of Directors or its relevant committee with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied.

Ernst & Young Ltd

Licensed audit expert Licensed audit expert (Auditor in charge)

Marco Casal Dominique Frutiger

Burckhardt Compression Annual Report 2024

	Consolidated income statement	127	14. Other assets	144
	Consolidated balance sheet	128	15. Inventories & Customers Advance Payments	144
	Consolidated cash flow statement	129	16. Trade receivables	145
Consolidated statement of changes in equity		130	17. Other current receivables	145
			18. Share capital and treasury shares	145
			19. Financial liabilities	146
	Notes to the consolidated	131	20. Provisions	147
	financial statements		21. Other non-current liabilities	147
1.	General information	131	22. Other current liabilities	148
2.	Accounting policies	131	23. Accrued liabilities and deferred income	148
3.	Financial risk management	136	24. Derivative financial instruments	148
4.	Business combinations and other	137	25. Contingent liabilities	148
	changes in the scope of consolidation		26. Commitments	148
5.	Segment reporting	137	27. Pledged assets	149
6.	Personnel expenses	138	28. Share-based payments	149
7.	Research and development expenses	138	29. Related-party transactions	149
8.	Other operating income and expenses	139	30. Employee benefit obligations	149
9.	Financial income and expenses	139	31. Events after the balance sheet date	150
10.	Income taxes	139	32. Group companies and associates	151
11.	Earnings per share	140	Report on the audit of the financial report	153
12.	Intangible assets	141	(consolidated financial statements)
13.	Property, plant and equipment	143

Financial Statements of Burckhardt Compression Holding AG, Winterthur	157
Balance sheet	157
Income statement	158
Notes to the financial statements of Burckhardt Compression Holding AG	158
Report on the audit of the financial statements of Burckhardt Compression Holding AG, Winterthur (financial statements)	163
Imprint	167

<-- PDF CHUNK SEPARATOR -->

Burckhardt Compression Annual Report 2024

Comments on financial report summary

2024	2023 Restated*	Change 2024/2023
1'151'185	1'124'724	2.4%
1'095'600	972'763	12.6%
306'294	254'962	20.1%
140'808	114'284	23.2%
12.9%	11.7%
105'624	84'512	25.0%
1'167'345	1'063'062	9.8%
340'164	296'401	14.8%

31.20	24.98	24.9%
3'336	3'243	2.9%

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see note 2.2)

Sales and gross profit

As of March 31, 2025 (FY 2024), Burckhardt Compression has changed its accounting policy with regard to revenue recognition from Completed Contract Method (CCM) to the Percentage of Completion Method (POCM) for all projects exceeding the CHF 7.0 mn order value and with a lead time greater than 12 months (see note 2.2).

Strong operational delivery underpinned sales growth of 12.6% to CHF 1'095.6 mn, surpassing the CHF 1 bn threshold for the first time. Excluding the effects of currency translation, year-on- year sales growth was in total 13.7%. The Systems Division recorded a substantial increase in sales of 18.2% to CHF 748.8 mn on the back of the high order backlog (+19.5% net of currency translation effects), while the main contributors to this growth were China and other Asian countries. Sales at the Services Division increased by 2.2% to CHF 346.8 mn (+3.1% net of currency translation effects).

Gross profit increased by 20.1% to CHF 306.3 mn, generating a gross profit margin of 28.0%. The increase of 1.8pp compared to previous year is resulting from a more favorable product mix in both divisions, the higher capacity utilization in all manufacturing and assembly facilities and the reduction of non-profitable service business in the US. The Systems Division reported a growth of 41.1% in gross profit to CHF 142.8 mn, with a resulting gross margin of 19.1% (previous year: 16.0%). Gross profit at the Services Division increased by 6.3% to CHF 163.5 mn, resulting in a gross profit margin of 47.1% (previous year: 45.3%).

Operating income

Total operating profit (EBIT) rose by 23.2% to CHF 140.8 mn, yielding an EBIT margin of 12.9% (previous year: 11.7%), which underscores the strength of our delivery capabilities and integrated business model. Selling, marketing and general administrative expenses amounted to CHF 129.9 mn, which is 11.9% of sales and 0.4pp below the prior year (12.3%). Research and development expenses were at CHF 30.1 mn, which is CHF 3.4 mn above the previous year, mainly focusing on strengthening our position in the marine and hydrogen markets with new compressor solutions. Other operating income and expenses (net) were at CHF –5.6 mn (prior year: CHF +5.4 mn), mainly consisting of negative FX-effects, bad debt provisions resulting from a reassessment of polysilicon customers in China and partially offset by real estate income and book gain on the sale of assets in the US. Further details to the divisional results are disclosed in the segment reporting under note 5.

Financial income and tax expenses

Financial expenses stayed in line with previous year at CHF 3.3 mn. The lower interest expenses as a result from lower outstanding bank loans during the year were offset by the issuance of a renewed and increased bond of CHF 150 mn in September 2024. The income tax expenses amounted to CHF 31.8 mn which corresponds to a tax rate of 23.2% (prior year: 23.8%).

Net income

Group net income increased by 25.0% to CHF 105.6 mn, which is 9.6% of sales (previous year: 8.7%). Earnings per share attributable to shareholders of Burckhardt Compression increased from CHF 24.98 to CHF 31.20 (+24.9%).

Balance sheet

The balance sheet total rose by 9.8% to CHF 1'167.3 mn. Property, plant and equipment remained at the same level as in the prior year. Inventories decreased by –4.2% to CHF 301.6 mn, with the decrease mainly coming from reduced advance payments to suppliers. While trade accounts receivables ended the fiscal year at CHF 356.1 mn, 1.1% below the prior year level, the aging structure of the accounts receivables overdue more than 90 days grew to 24.2% (previous year: 11.7%). The increase is mainly related to projects in China, India and the US. The balance between advance payments from customers compared to work in progress and advance payments to suppliers ended the year at CHF 67.7 mn (previous year: CHF 14.2 mn), as a result of the further increase in orders received and the advance payments from customers. The equity ratio closed at 29.1% (previous year: 27.9%), yet slightly below our ambition level of 30%. This can be mainly attributed to the increased balance sheet with the high amount of cash on hand. Total net operating assets (rolling 12-month average) increased by 7.6% compared to the previous year to CHF 331.5 mn.

Cash flow

Cash and cash equivalents increased by CHF 115.7 mn to CHF 222.9 mn in fiscal year 2024. The positive cash flow from operating activities is amounting to CHF 212.8 mn. This is mainly due to the high net income and the positive swing in the balances between customers advance payments to work in progress. The cash flow from investing activities ended the fiscal year at CHF –17.2 mn (prior year: CHF –25.3 mn) and from financing activities at CHF –73.5 mn compared to the CHF –8.0 mn in previous year, including CHF 52.5 mn dividends paid to the shareholders of Burckhardt Compression Holding AG. The resulting net financial position increased from CHF –62.3 mn to CHF +69.6 mn.

Consolidated income statement

in CHF 1'000	Notes	2024	2023 Restated*
Sales	5	1'095'600	972'763
Cost of goods sold		–789'306	–717'801
Gross profit		306'294	254'962
Selling and marketing expenses		–75'010	–70'555
General and administrative expenses		–54'846	–48'889
Research and development expenses	7	–30'055	–26'648
Other operating income	8	42'905	48'794
Other operating expenses	8	–48'480	–43'380
Operating income		140'808	114'284
Financial income and expenses	9	–3'346	–3'388
Earnings before taxes		137'462	110'896
Income tax expenses	10	–31'838	–26'384
Net income		105'624	84'512
Share of net income attributable to shareholders of Burckhardt Compression Holding AG		105'585	84'413
Share of net income attributable to non-controlling interests		39	99
Basic earnings per share (in CHF)	11	31.20	24.98
Diluted earnings per share (in CHF)	11	31.20	24.98

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see note 2.2)

Consolidated balance sheet

in CHF 1'000	Notes	31.03.2025	31.03.2024 Restated*
Non-current assets
Intangible assets	12	11'310	12'066
Property, plant and equipment	13	172'815	173'132
Deferred tax assets	10	17'526	17'087
Other assets	14	3'979	5'188
Total non-current assets		205'630	207'473
Current assets
Inventories	15	301'565	314'864
Trade receivables	16	356'051	359'978
Other current receivables	17	73'497	65'456
Prepaid expenses and accrued income		7'699	8'044
Cash and cash equivalents		222'903	107'247
Total current assets		961'715	855'589
Total assets		1'167'345	1'063'062

in CHF 1'000	Notes	31.03.2025	31.03.2024 Restated*
Equity
Share capital	18	8'500	8'500
Capital reserves		1'378	1'354
Treasury shares	18	–11'254	–6'553
Retained earnings and other reserves		341'139	292'676
Equity attributable to shareholders of Burckhardt Compression Holding AG		339'763	295'977
Non-controlling interests		401	424
Total equity		340'164	296'401
Liabilities
Non-current liabilities
Non-current financial liabilities	19	152'497	62'865
Deferred tax liabilities	10	18'118	14'886
Non-current provisions	20	15'679	16'732
Other non-current liabilities	21	1'739	2'173
Total non-current liabilities		188'033	96'656
Current liabilities
Current financial liabilities	19	801	106'639
Trade payables		148'456	143'242
Customers' advance payments	15	252'837	209'845
Other current liabilities	22	72'286	59'084
Accrued liabilities and deferred income	23	128'788	114'268
Current provisions	20	35'980	36'927
Total current liabilities		639'148	670'005
Total liabilities		827'181	766'661
Total equity and liabilities		1'167'345	1'063'062

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see note 2.2)

Burckhardt Compression Annual Report 2024

Consolidated cash flow statement

in CHF 1'000	Notes	2024	2023 Restated*
Cash flow from operating activities
Net income		105'624	84'512
Income tax expenses	10	31'838	26'384
Financial income and expenses	9	3'346	3'388
Depreciation	13	18'400	15'476
Amortization	12	4'167	3'444
Change in inventories	15	–11'115	–77'019
Change in trade receivables		–4'883	–122'060
Change in other current assets		–10'144	–2'490
Change in trade payables		8'486	37'542
Change in customers' advance payments	15	68'153	42'950
Change in provisions		–810	9'832
Change in other liabilities		24'732	18'427
Change in share based payments		4'784	987
Adjustment for non-cash items		155	1'855
Gain on sale of assets		–2'091	–
Interest received		1'506	1'897
Interest paid		–3'039	–4'104
Income taxes paid	10	–26'300	–23'206
Total cash flow from operating activities		212'809	17'815
Cash flow from investing activities
Purchase of property, plant and equipment	13	–22'259	–19'120
Sale of property, plant and equipment		7'302	117
Purchase of intangible assets	12	–3'179	–3'420
Purchase of other assets		–	–2'893
Sale of other assets		964	32
Total cash flow from investing activities		–17'172	–25'284

in CHF 1'000 Notes	2024	2023 Restated*
Cash flow from financing activities
Increase in financial liabilities	150'000	34'764
Decrease in financial liabilities	–166'206	–1'774
Purchase of treasury shares 18	–4'802	–527
Dividends paid	–52'535	–40'437
Total cash flow from financing activities	–73'543	–7'974
Currency translation differences on cash and cash equivalents	–6'438	–6'389
Net change in cash and cash equivalents	115'656	–21'832
Cash and cash equivalents at beginning of period	107'247	129'079
Cash and cash equivalents at end of period	222'903	107'247
Net change in cash and cash equivalents	115'656	–21'832

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see note 2.2)

in CHF 1'000 Share

Capital

Treasury

Hedge

Translation

Goodwill

Other

Non-

Equity

Total

Burckhardt Compression Annual Report 2024

Consolidated statement of changes in equity

	capital	reserves	shares	reserve	reserve	offset	retained earnings	attributable to shareholders of Burckhardt Compression Holding AG	controlling interests	equity
Balance at 01.04.2023	8'500	574	–15'772	2'978	–22'678	–156'005	443'587	261'184	399	261'583
Effect of changes in accounting policies					–99		4'264	4'165	–	4'165
Balance at 01.04.2023 Restated*	8'500	574	–15'772	2'978	–22'777	–156'005	447'851	265'349	399	265'748
Result for the period							84'413	84'413	99	84'512
Currency translation differences					–8'158			–8'158	–25	–8'183
Changes of cash flow hedges				–5'699				–5'699		–5'699
Dividends paid							–40'388	–40'388	–49	–40'437
Changes in treasury shares			–527					–527		–527
Share-based payments (distributed)		780	9'746				–10'526	–		–
Share-based payments (provision in equity)							987	987		987
Balance at 31.03.2024 Restated*	8'500	1'354	–6'553	–2'721	–30'935	–156'005	482'337	295'977	424	296'401
Balance at 01.04.2024	8'500	1'354	–6'553	–2'721	–30'935	–156'005	482'337	295'977	424	296'401
Result for the period							105'585	105'585	39	105'624
Currency translation differences					–8'955			–8'955	–13	–8'968
Changes of cash flow hedges				–340				–340		–340
Dividends paid							–52'486	–52'486	–49	–52'535
Changes in treasury shares			–4'802					–4'802		–4'802
Share-based payments (distributed)		24	101				–125	–		–
Share-based payments (provision in equity)							4'784	4'784		4'784
Balance at 31.03.2025	8'500	1'378	–11'254	–3'061	–39'890	–156'005	540'095	339'763	401	340'164

^* Prior year numbers are restated for PoC accounting to enable comparison with the year under review (see note 2.2)

1. General information

Burckhardt Compression is a manufacturer and service provider for a full range of reciprocating compressor technologies and services. Its customized compressor systems are used in the petrochemical, chemical, gas transport and storage, hydrogen mobility and energy, industrial gas, refinery and gas gathering & processing sectors. Burckhardt Compression's leading technology, broad portfolio of compressor components and the full range of services help customers around the world to find their optimized solution for their reciprocating compressor systems.

Burckhardt Compression Holding AG is a company limited by shares incorporated and domiciled in Switzerland. The address of its registered office is: Franz-Burckhardt-Strasse 5, 8404 Winterthur, Switzerland. Burckhardt Compression registered shares (BCHN) are listed on the SIX Swiss Stock Exchange in Zurich (ISIN: CH0025536027).

Burckhardt Compression Holding AG's fiscal year 2024 comprises the period from April 1, 2024 to March 31, 2025. These consolidated financial statements were authorized for issue by the Board of Directors on June 3, 2025 and will be submitted to shareholders for approval at the annual general meeting scheduled for July 5, 2025.

2. Accounting policies

2.1 Basis of preparation

The consolidated financial statements of Burckhardt Compression Holding AG have been prepared in accordance with the entire Swiss GAAP FER accounting and reporting standards. In addition, the provisions of the Listing Rules of the SIX Swiss Exchange and Swiss accounting law were complied with. The consolidated financial statements have been prepared under the historical cost convention unless otherwise stated in the following consolidation and accounting policies.

2.2 Change in accounting policy

Over the past fiscal years, Burckhardt Compression has seen a strong business growth. As a consequence, the number of sizeable and significant projects has continuously increased, which has led Burckhardt Compression to perform a review of its accounting policy regarding long-term contracts.

Notes to the consolidated financial statements

Based on the performed review, Burckhardt Compression has decided to change its accounting policy as of March 31, 2025 as follows:

Projects with order contract value greater than CHF 7 mn and with a lead time greater than 12 months: Application of percentage of completion method (POCM) in accordance with Swiss GAAP FER 22.
All other projects: When risks and rewards have been transferred to the customers or the contracted service has been performed, according to the agreed sales conditions (unchanged to prior year).

The change in accounting policy resulted in a restatement for the fiscal year 2023, showing a sales reduction of CHF 9.2 mn and a lower Gross Profit of CHF 7.1 mn under percentage of completion method (POCM) compared to the risk and reward approach (Completed Contract Method) applied in the past. The impact on the restated sales and gross profit is mainly driven by a different project mix and timing effects regarding revenue recognition under POCM (see table below).

in CHF 1'000	2023	POC Revenue Recognition restatement	2023 Restated
Sales	981'963	–9'200	972'763
Cost of goods sold	–719'900	2'099	–717'801
Gross Profit	262'063	–7'101	254'962
Operating income	121'385	–7'101	114'284
Earnings before taxes	117'997	–7'101	110'896
Income tax expenses	–27'910	1'526	–26'384
Net income	90'087	–5'575	84'512
Basic earnings per share (in CHF)	26.63		24.98
Diluted earnings per share (in CHF)	26.63		24.98

Burckhardt Compression Annual Report 2024

The following table provides an overview of the impacts of the change in accounting policy in the presentation of the consolidated balance sheet of Burckhardt Compression:

in CHF 1'000	31.03.2024	POC Revenue Recognition restatement*	31.03.2024 Restated
Non-current assets
Deferred tax assets	17'751	–664	17'087
Total non-current assets	208'137	–664	207'473
Current assets
Inventories	316'762	–1'898	314'864
Total current assets	857'487	–1'898	855'589
Total assets	1'065'624	–2'562	1'063'062
Equity
Total equity	297'909	–1'508	296'401
Non-current liabilities
Deferred tax liabilities	15'940	–1'054	14'886
Total non-current liabilities	97'710	–1'054	96'656
Total liabilities	767'715	–1'054	766'661
Total equity and liabilities	1'065'624	–2'562	1'063'062

^* Accumulated impacts from fiscal year 2022 and 2023.

The following table provides an overview of the impacts of the change in accounting policy in the presentation of the cash flow statement of Burckhardt Compression:

in CHF 1'000	2023	POC Revenue Recognition restatement	2023 Restated
Cash flow from operating activities Net income	90'087	-5'575	84'512
Income tax expenses	27'910	-1'526	26'384
Change in inventories	–84'120	7'101	–77'019
Total cash flow from operating activities	17'815	–	17'815

133

2.3 Use of judgments and estimates

These consolidated financial statements include estimates and assumptions that affect the reported figures and related disclosures. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Changes in judgments and estimates are recognized prospectively.

2.4 Principles of consolidation

The consolidated financial statements include all entities in which Burckhardt Compression Holding AG has the power to control the financial and operating policy, usually as a result of directly or indirectly owning more than 50% of the voting rights. All of the assets and liabilities as well as the income and expenses of these companies are fully included. Non-controlling interests are presented separately in the balance sheet and the income statement. Intercompany transactions, balances and unrealized gains or losses on transactions between group companies are eliminated. Group companies are disclosed in note 32.

Acquired companies are fully consolidated from the date on which control was effectively transferred.

When a company is acquired in a step acquisition, the existing interest is revalued at the time when the company is first consolidated. The revaluation of shares previously owned is offset against retained earnings. Companies which have been divested are included in the consolidated financial statements until the date on which control ceased. Capital consolidation is based on the acquisition method (purchase method). At the time of the acquisition, all previously recognized assets and liabilities of the company are initially measured at fair value and intangible assets which have not been recognized previously by the acquiree and are relevant to the decision to obtain control are also to be identified and recognized. Acquisition-related costs are expensed as incurred. The net assets acquired are compared with the purchase price, and any resulting goodwill is directly offset against equity. In the notes to the financial statements, the effects of a theoretical capitalization and any impairment are shown using an amortization period according to the expected useful life, or if not possible to define, over a period of five years. In the event of a sale, the goodwill offset against shareholders' equity at the time of the acquisition is recognized in the income statement against the proceeds of the sale.

Associates are those entities in which Burckhardt Compression has significant influence, but no control, over the financial and operating policies. Significant influence is generally presumed to exist when Burckhardt Compression holds, directly or indirectly, between 20% and 50% of the voting rights. Associates are accounted for using the equity method. The proportionate share of net income is shown in the consolidated income statement. As of March 31, 2025 Burckhardt Compression does not hold any Associates.

2.5 Foreign currency translation

The consolidated financial statements of Burckhardt Compression are prepared in Swiss francs (CHF).

Foreign currency translation at company level

Foreign currency transactions are recorded at the exchange rate of the transaction date. Monetary assets and liabilities which are denominated in foreign currencies are translated at period-end exchange rates. Resulting translation differences are recorded in the income statement.

Foreign currency translation for consolidation purposes

Assets and liabilities of foreign subsidiaries are translated into CHF using period-end exchange rates. Average exchange rates are used for the translation of the income statements. Translation differences arising from the consolidation of financial statements are recorded as a separate component of equity. Likewise, exchange differences arising on inter-company loans with equity character are directly recorded in equity.

Major foreign currency exchange rates

		Average rates		Period-end rates
	2024	2023	31.03.2025	31.03.2024
1 EUR	0.95	0.96	0.95	0.98
1 USD	0.89	0.89	0.88	0.90
100 CNY	12.28	12.35	12.15	12.50

134

Notes to the consolidated financial statements

2.6 Impairment of assets

All non-current assets are tested for impairment when indicators exist that the carrying amount of the asset might exceed its recoverable amount. Where the carrying amount of an asset is higher than the recoverable amount, the asset is impaired to its recoverable amount. The recoverable amount is the higher of an asset's fair value less cost to sell and its value in use. Impairment tests are performed based on discounted cash flows at the level of the corresponding cash-generating units, representing the lowest level at which such assets are evaluated for recoverability.

2.7 Intangible assets and goodwill

Acquired software licenses are capitalized on the basis of the costs incurred to acquire and bring to use the specific software. The estimated useful life for software generally amounts to three to five years. Internal costs associated with developing or maintaining software are recognized as an expense as incurred.

Other intangible assets are recorded at acquisition or production costs less accumulated amortization. The amortization expense is calculated on a straight-line basis over the estimated useful life of the asset.

Goodwill resulting from acquisitions is offset against equity at the date of acquisition. The consequences of a theoretical capitalization and amortization of goodwill (using an amortization period according to the expected useful life, or if not possible to define, over a period of five years) are disclosed in note 12.

2.8 Property, plant and equipment

Items of property, plant and equipment are stated at cost less accumulated depreciation. They are depreciated on a straight-line basis over their estimated useful lives. Land is stated at cost and is not depreciated, except land use rights in China, which are depreciated over their useful lives. The estimated useful lives are as follows:

Buildings: 20 to 50 years
Machinery: 5 to 15 years
Technical equipment: 5 to 10 years
Land use rights in China: maximum 40 years
Other non-current assets: maximum 5 years

2.9 Other assets

Other assets include loans and long-term rental deposits. Furthermore, other assets also include costs incurred from cloud computing arrangements. Cloud computing arrangements are capitalized on the basis of the costs incurred to acquire and bring to use the specific cloud computing solution. The costs relating to the cloud computing arrangements are distributed on a straight-line basis over the estimated useful life of five to ten years. Internal costs regarding the development and maintenance of these arrangements are recognized as an expense as incurred.

2.10 Inventories

Inventories are stated at the lower of cost or net realizable value. The cost of work in progress and finished goods comprises material costs, direct and indirect production costs, other order-related production costs, and in case of application of POCM, a proportional margin based on the stage of completion. Inventories are stated at weighted average costs or standard costs based on their type and use. Valuation allowances are recognized for slow-moving and excess inventory items.

Inventories are presented net of advance payments received from customers on a projectby-project basis, if they do not include a right of clawback. Negative contract balances after offsetting are presented as customers' advance payments.

2.11 Trade and other current receivables

Trade receivables and other current receivables are stated at nominal value less valuation allowances for doubtful amounts. Impairments are assessed case by case. An impairment loss is recognized when there is objective evidence that Burckhardt Compression will not be able to collect the full amount due, such as substantial financial problems of the customer or a declaration of bankruptcy.

2.12 Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less.

2.13 Financial liabilities

Financial liabilities mainly consist of bank debts and a bond. They are recognized at their nominal value. Borrowing related costs are expensed as incurred in the income statement.

135

2.14 Provisions

Provisions are recognized for warranty obligations, unprofitable contracts, employee related provisions and various commercial risks where Burckhardt Compression has an obligation towards third parties arising from past events, the amount of the liability can be reliably measured and it is probable that the settlement will result in an outflow of resources. The amount of the provisions is based on the expected expenditures required to cover all obligations and liabilities.

2.15 Treasury shares

Treasury shares are stated at acquisition cost and deducted from equity. No subsequent valuation is made. If the treasury shares are disposed of, the resulting gain or loss is recognized as an addition to or a reduction of capital reserves.

2.16 Transactions with non-controlling interests

For the acquisition of non-controlling interests, goodwill or negative goodwill is calculated as the difference between the acquisition cost and the proportional carrying amount of the non-controlling interests. For disposals of equity interests that do not result in a loss of control, the profit/loss is calculated as the consideration received less the proportional carrying amount of the equity interests less the proportionate share of related pro rata goodwill/negative goodwill derecognized. The related cash flows are presented as investing activities in the cash flow statement.

2.17 Government grants

Grants from governments or similar organizations are recognized at their nominal value when there is reasonable assurance that the grant will be received, and Burckhardt Compression will comply with all attached conditions.

Government grants related to income are deferred and recognized as income over the period necessary to match them with the related costs which they are intended to compensate. Government grants related to assets are deducted directly from the carrying amount of the asset which they are intended to compensate.

2.18 Derivative financial instruments

Burckhardt Compression uses derivative financial instruments to mitigate currency risks. The risk management policy is described in note 3. The derivative financial instruments are recognized at fair value. Where such derivative financial instruments are linked to specific projected transactions and cash flows, the hedging is deemed to be effective and documented accordingly, changes in the fair value of the cash flow hedges are recognized in equity as long as the hedged item has not been recognized on the balance sheet. Otherwise, the gain or loss relating to fair value changes of the derivative financial instruments is recognized immediately in the income statement as part of other operating income or other operating expenses.

Notes to the consolidated financial statements

2.19 Revenue recognition

Burckhardt Compression recognizes revenue from the sale of goods and the provision of services once the contract is completed, net of sales taxes, value-added taxes, credits, discounts, and rebates. When referring to sales in the Annual Report, we specifically refer to net sales.

Revenue and the corresponding cost of goods sold are recorded when the risks and rewards have transferred to the customers or the contracted service has been performed, according to the agreed sales conditions. The following conditions must be met:

A contractually-agreed sales price exists or can be reliably estimated.
Collection of the payment is reasonably assured.
The costs (including those yet to be incurred) can be reliably measured.

Long-term projects are recognized in accordance with Swiss GAAP FER 22. If all the conditions for the application of the Percentage of Completion Method (POCM) are fulfilled, revenue and profit is realized in line with the progress of the contract. The degree of completion is determined using the cost-to-cost method.

POCM is applicable for orders if they cumulatively meet all of the criterias below:

Order contract value is greater than CHF 7 mn.
Order lead time is greater than 12 months.

2.20 Research and development

Research and development costs are expensed as incurred.

2.21 Income taxes

Income tax expenses include all income tax on the taxable profits of the Group. Deferred income tax is recorded in full using the liability method. Deferred income tax assets and liabilities arise on temporary differences between the carrying amounts of assets and liabilities under Swiss GAAP FER and their related tax values, additionally deferred income tax assets result from tax loss carry-forwards and tax credits. The tax rates and laws enacted or substan-

tively enacted at the balance sheet date are used to determine deferred income tax. They are recognized to the extent that realization through future taxable profits is probable.

2.22 Off-balance-sheet transactions

Contingent liabilities and other non-recognizable commitments are measured and disclosed on each balance sheet date.

2.23 Share-based payments

Share-based payments with compensation through equity instruments are valued at fair value at the grant date. The corresponding personnel expenses are distributed and recognized in equity over the vesting periods.

2.24 Employee benefits

There are various pension plans within Burckhardt Compression based on local conditions in their respective countries. An economic obligation is recognized as a liability if the requirements for the recognition of a provision are met under Swiss GAAP FER. An economic benefit is capitalized provided that Burckhardt Compression is entitled to such benefit in the future, for example, to offset future pension expenses.

For Swiss pension plans, economic benefits and / or economic obligations are determined on the basis of the annual financial statements of the pension funds prepared in accordance with Swiss GAAP FER 26. Employer contribution reserves are recognized as financial asset. For foreign plans, the economic impact is determined according to country-specific methods.

2.25 Alternative performance measures

Alternative performance measures are key figures not defined by Swiss GAAP FER. Burckhardt Compression uses alternative performance measures as guidance parameters for both internal and external reporting to stakeholders. For the definition of Alternative Performance Measures please visit https://www.burckhardtcompression.com/investors/reports-financial results/key-figures.

3. Financial risk management

Basic principles

The goal of the group-wide risk management policy is to minimize the negative impact of changes in the financing structure and financial markets, particularly with regard to currency fluctuations. Derivative financial instruments such as foreign exchange contracts may be used to address the respective risks. Burckhardt Compression pursues a conservative, risk-averse financial policy. Financial risk management is based on the principles and regulations established by the Board of Directors. These govern Burckhardt Compression's financial policy and outline the conduct and powers of the group's treasury department, which is responsible for the group-wide management of financial risks. The financial principles and regulations govern areas such as financing policy, the management of foreign currency risk, the use of derivative financial instruments and the investment policy applicable to financial resources not required for operational purposes.

Liquidity risks

Each Burckhardt Compression group company is responsible for managing its liquidity so that day-to-day business can be handled smoothly, while the group treasury is responsible for maintaining the group's overall liquidity. Some of the group subsidiaries may secure loans from local creditors within the limits approved by the group management. The group treasury provides the local group companies with the necessary funds or invests their excess liquidity. The group treasury maintains sufficient liquidity reserves and open credit and guarantee lines to fulfill the financial obligations at all times.

The actual and future cash flows and cash reserves are compiled monthly in a rolling liquidity forecast. The Executive Management and the Board of Directors are informed about the liquidity situation and outlook with the regular financial reporting.

Currency risks

Burckhardt Compression hedges all major USD-denominated sales transactions of its non-US entities to the extent that such transactions are not fully or partially naturally hedged. EUR-denominated sales and purchase transactions of the Swiss company are fairly evenly balanced when viewed over a period of 1–2 years and are therefore, to a certain extent, naturally hedged at the net profit level over said period. These foreign-exchange flows are regularly monitored by the group treasury; if there is evidence of a sustained shift in these flows, major sales and purchase transactions will be hedged on a case-by-case basis. For this, the group treasury normally uses forward exchange contracts. The other companies belonging to Burckhardt Compression group may, after consultation with group treasury, hedge the foreign-exchange risks of their sales and purchase transactions through local qualified institutions or group treasury, the objective being the optimization of the net profit of each group company as reported in its functional local currency. The group management regularly monitors the changes in the most important currencies and may adjust the hedging policy accordingly in

137

Report Section Sustainability Corporate Governance Compensation Report Financial Report Imprint

the future. As a globally active corporation, Burckhardt Compression is also exposed to currency risks resulting from the translation into Swiss francs of items in the balance sheets of the foreign group companies. Burckhardt Compression does not hedge these translation risks.

Credit risks

Credit risk in respect of trade receivables is limited due to the diverse nature and quality of the customer base. Such risk is minimized by means of regular credit checks, advance payments, letters of credit and other tools. There is no concentration of customer-related risks within Burckhardt Compression Group as the most important customers in the project business, which account for a large share of Burckhardt Compression's overall business, vary from one year to the next.

Credit risks of banks and financial institutions are monitored and managed centrally. Generally, only independently rated parties with a strong credit rating are accepted, and the total volume of transactions is split among several banks to reduce the individual risk with one bank.

Interest rate risks

Interest rate risks arise from fluctuations in interest rates which could have a negative impact on the financial position of Burckhardt Compression. Assets and liabilities at variable rates expose Burckhardt Compression to cash flow interest rate risk.

Capital risks

The capital managed by Burckhardt Compression is its consolidated equity. With regard to its capital management policies, Burckhardt Compression seeks to secure the continuation of its business activities, to achieve an acceptable return for the shareholders and to finance the growth of the business to a certain extent from own cash flow. In order to achieve these objectives, Burckhardt Compression can adjust the dividend payments, repay share capital, issue new shares or divest parts of the assets, subject to approval by the general assembly, where applicable.

4. Business combinations and other changes in the scope of consolidation

There were no changes in the scope of consolidation in the financial year 2024 and 2023. A complete list of all Group companies is shown in note 32.

5. Segment reporting

Systems Division

Burckhardt Compression's Systems Division covers a complete range of reciprocating compressor technologies. Its customized compressor systems are used in the petrochemical, chemical, gas transport and storage, hydrogen mobility and energy, industrial gas, refinery and gas gathering & processing sectors. Depending on the customers' needs, Burckhardt Compression offers solutions to minimize life cycle costs of the reciprocating compressor systems or solutions to minimize the capital expenditure.

Services Division

Burckhardt Compression's Services Division is a one-stop provider of a full range of services for reciprocating compressors and stands for top-quality, high-performance components for all makes of reciprocating compressors, as replacement parts, or to repair or upgrade existing installations. Original spare parts backed by Burckhardt Compression's manufacturing guarantees stand for superior quality and ensure together with various complementary service modules both low life cycle costs as well as the optimal operation of compressor systems.

Others

Certain expenses related to the corporate center are not attributable to a particular segment. They are reported in the column "Others". Furthermore, "Others" includes real estate income and expenses as well as expenses for strategic projects.

Annual Report 2024
















mpression








Burckhardt Co

in CHF 1'000		Systems Division		Services Division		Others		Total
	2024	2023 Restated	2024	2023	2024	2023	2024	2023 Restated
Sales	748'837	633'612	346'763	339'151	–	–	1'095'600	972'763
Cost of goods sold	–606'022	–532'378	–183'284	–185'423	–	–	–789'306	–717'801
Gross profit	142'815	101'234	163'479	153'728	–	–	306'294	254'962
in % of sales	19.1%	16.0%	47.1%	45.3%	–	–	28.0%	26.2%
Operating income	67'926	40'473	85'670	83'462	–12'788	–9'651	140'808	114'284
in % of sales	9.1%	6.4%	24.7%	24.6%	–	–	12.9%	11.7%

Geographic information

in CHF 1'000	2024	2023 Restated
Sales by customer location
Europe	171'758	185'669
Africa	10'468	4'361
North America	113'011	127'542
South America	6'314	7'223
Middle East	52'476	38'372
China	463'794	408'183
Other Asia & Australia	277'779	201'413
Total	1'095'600	972'763


in CHF 1'000	2024	2023
Capital expenditure for property, plant and equipment
Europe	16'019	13'458
Africa	59	13
North America	487	3'078
South America	72	35
Middle East	163	286
China	3'085	1'584
Other Asia & Australia	3'618	1'570

From the total sales of CHF 1'095.6 mn, CHF 407.9 mn is recognized under the percentage of completion method (long-term contracts) (prior year: CHF 285.5 mn).

6. Personnel expenses

in CHF 1'000	2024	2023
Wages and salaries	–228'017	–218'025
Social security and pension expenses	–53'963	–47'668
Other personnel expenses	–21'264	–23'612
Total personnel expenses	–303'244	–289'305

7. Research and development expenses

In the fiscal year 2024, research and development activities were focused on strengthening our position in the marine and hydrogen markets with new compressor solutions. Also, we further invested in our core technologies and digital products to ensure and further strengthen our global leading market position.

Overall the R&D expenses amount to CHF 30.1 mn (prior year: CHF 26.6 mn) which is 2.7% of sales (prior year: 2.7%).

8. Other operating income and expenses

in CHF 1'000	2024	2023
Currency exchange gains	26'434	35'896
Other operating income	16'471	12'898
Total other operating income	42'905	48'794
Currency exchange losses	–31'871	–38'006
Other operating expenses	–16'609	–5'374
Total other operating expenses	–48'480	–43'380
Total other operating income and expenses (net)	–5'575	5'414

Total other operating income and expenses (net) mainly consist of real estate income (net) of CHF 3.6 mn (prior year: CHF 2.9 mn), FX-effects amounting to CHF –5.4 mn (prior year: CHF –2.1 mn) and bad debt provisions of CHF –5.5 mn (prior year: CHF +5.4 mn, recovery of bad debt).

9. Financial income and expenses

in CHF 1'000	2024	2023
Interest expenses	–3'605	–4'168
Interest income	1'530	1'884
Other financial income (+) and expenses (–)	–1'271	–1'104
Total financial income and expenses	–3'346	–3'388

Other financial income and expenses include the currency exchange gains and losses on intercompany loans.

10. Income taxes

Income tax expenses

in CHF 1'000	2024	2023 Restated
Current income tax expenses	–29'240	–25'305
Deferred income tax income (+) and expenses (–)	–2'598	–1'079
Total income tax expenses	–31'838	–26'384

Reconciliation of income tax expenses

in CHF 1'000	2024	2023 Restated
Earnings before taxes	137'462	110'896
Weighted average tax rate in %	21.8%	22.3%
Expected income tax expenses at weighted average tax rate	–29'976	–24'735
Effect of non-recognition of tax loss carryforwards	–1'034	87
Effect of income tax of prior periods	2'221	–300
Effect of changes in tax rates	–	–
Effect of goodwill amortization for tax purposes	860	707
Effect of non-deductible expenses / income not subject to tax	–3'909	–2'143
Total income tax expenses	–31'838	–26'384
in % of earnings before taxes	23.2%	23.8%

The effective tax rate of Burckhardt Compression Group of 23.2% (prior year: 23.8%) corresponds to the weighted average tax rate based on the profit before income taxes and the tax rate of each group company.

The effect of income tax of prior year periods is mainly consisting of the release of no longer required tax provisions in Switzerland.

The Burckhardt Compression Group falls within the scope of the OECD tax reform, which provides for a global minimum tax rate (Pillar II) of 15%. In Switzerland as well as in other countries where the Group has a presence, the Pillar II regulations came into force in the 2024 financial year. On the basis of the analyses carried out, the implementation of these regulations has no material impact on the consolidated financial statements of the BC Group.

Burckhardt Compression Annual Report 2024

Current income taxes

in CHF 1'000	2024	2023
Net current income tax liabilities
Balance as per 01.04.2024 / 01.04.2023 Changes in the consolidation scope	9'845 –	8'653 –
Recognized in the income statement	31'461	25'005
Income taxes paid	–26'300	–23'206
Translation differences	–292	–607
Balance as per 31.03.2025 / 31.03.2024	14'714	9'845
thereof current tax assets	2'587	2'931
thereof current tax liabilities	17'301	12'776

Deferred income taxes

in CHF 1'000	2024	2023 Restated
Net deferred income tax liabilities
Balance as per 01.04.2024 / 01.04.2023	–2'201	–2'501
Changes in the consolidation scope	–	–
Recognized in the income statement	2'598	1'079
Recognized in equity	106	–1'518
Translation differences	89	739
Balance as per 31.03.2025 / 31.03.2024	592	–2'201
thereof deferred tax assets	17'526	17'087
thereof deferred tax liabilities	18'118	14'886

Tax loss carryforwards

in CHF 1'000	31.03.2025	31.03.2024
Expiring in the next 3 years	2'655	1'414
Expiring in 4 years or later	50'782	53'552
Total tax loss carryforwards	53'437	54'966
Potential deferred tax assets from tax loss carryforwards	11'713	12'549
Effect of non-recognized tax loss carryforwards	–7'310	–8'190
Effective deferred tax assets from tax loss carryforwards	4'403	4'359

11. Earnings per share

in CHF 1'000	2024	2023 Restated
Net income attributable to the shareholders of Burckhardt Compression Holding AG	105'585	84'413
Average number of outstanding shares	3'384'382	3'379'286
Earnings per share (CHF)	31.20	24.98

The average number of outstanding shares is calculated based on the issued shares minus the weighted average number of treasury shares. There are no conversion rights or option rights outstanding; therefore, there is no potential dilution of earnings per share.

12. Intangible assets

Acquisition costs

in CHF 1'000	Software	Other intangible assets	Intangible assets under construction	2024 Total	Software	Other intangible assets	Intangible assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	38'906	1'822	2'476	43'204	34'424	739	4'451	39'614
Changes in the consolidation scope	–	–	–	–	–	–	–	–
Additions	409	8	2'814	3'231	720	1'106	1'990	3'816
Disposals	–3'788	–	–	–3'788	–13	–5	–	–18
Reclassifications	1'969	–	–1'969	–	3'945	–	–3'945	–
Currency translation differences	–169	–81	–9	–259	–170	–18	–20	–208
Balance as per 31.03.2025 / 31.03.2024	37'327	1'749	3'312	42'388	38'906	1'822	2'476	43'204

2023 Total	Intangible assets under construction	Other intangible assets	Software

Accumulated amortization

in CHF 1'000	Software	Other intangible assets	Intangible assets under construction	2024 Total	Software	Other intangible assets	Intangible assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	–30'400	–738	–	–31'138	–27'273	–597	–	–27'870
Changes in the consolidation scope	–	–	–	–	–	–	–	–
Additions	–3'915	–252	–	–4'167	–3'276	–168	–	–3'444
Disposals	4'045	–	–	4'045	13	5	–	18
Reclassifications	–	–	–	–	–	–	–	–
Currency translation differences	148	34	–	182	136	22	–	158
Balance as per 31.03.2025 / 31.03.2024	–30'122	–956	–	–31'078	–30'400	–738	–	–31'138

2023 Total	Intangible assets under construction	Other intangible assets	Software

Net book value

in CHF 1'000	Software	Other intangible assets	Intangible assets under construction	2024 Total	Software	Other intangible assets	Intangible assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	8'506	1'084	2'476	12'066	7'151	142	4'451	11'744
Balance as per 31.03.2025 / 31.03.2024	7'205	793	3'312	11'310	8'506	1'084	2'476	12'066

Software	Other intangible assets	Intangible assets under construction	2023 Total

142

Goodwill

Goodwill from acquisitions is fully offset against equity at the date of acquisition. The theoretical amortization of goodwill is based on the straight-line method and an amortization period according to the expected useful life, or if not possible to define, over a period of five years. Goodwill from new acquisitions is fixed to Swiss francs using the closing rate at acquisition date. Therefore, there are no exchange rate differences in the movement schedules. The impact of the theoretical capitalization and amortization of goodwill is disclosed below.

in CHF 1'000	2024	2023
Acquisition costs
Balance as per 01.04.2024 / 01.04.2023	156'005	156'005
Additions from acquisitions	–	–
Balance as per 31.03.2025 / 31.03.2024	156'005	156'005
in CHF 1'000	2024	2023
Accumulated amortization
Balance as per 01.04.2024 / 01.04.2023	–143'301	–132'866
Amortization expense	–9'235	–10'435
Balance as per 31.03.2025 / 31.03.2024	–152'536	–143'301
in CHF 1'000	2024	2023
Net book value
Theoretical net book value as per 01.04.2024 / 01.04.2023	12'704	23'139
Theoretical net book value as per 31.03.2025 / 31.03.2024	3'469	12'704

in CHF 1'000	31.03.2025	31.03.2024 Restated
Theoretical impact on equity
Equity as per balance sheet	340'164	296'401
Theoretical capitalization of goodwill	3'469	12'704
Theoretical equity including net book value of goodwill	343'633	309'105
Theoretical impact on net income
Net income as per income statement	105'624	84'512
Amortization of goodwill	–9'235	–10'435
Theoretical net income after goodwill amortization	96'389	74'077

Notes to the consolidated financial statements

13. Property, plant and equipment

Acquisition costs

in CHF 1'000	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2024 Total	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	160'167	155'738	34'143	9'534	359'582	159'420	149'901	33'332	5'308	347'961
Changes in the consolidation scope	–	–	–	–	–	–	–	–	–	–
Additions	441	8'644	2'362	12'056	23'503	914	8'204	1'306	9'600	20'024
Disposals	–4'609	–1'583	–2'621	–28	–8'841	–52	–2'418	–589	–	–3'059
Reclassifications	1'611	6'810	2'512	–10'933	–	1'740	2'397	1'057	–5'194	–
Currency translation differences	–1'694	–1'648	–931	–117	–4'390	–1'855	–2'346	–963	–180	–5'344
Balance as per 31.03.2025 / 31.03.2024	155'916	167'961	35'465	10'512	369'854	160'167	155'738	34'143	9'534	359'582

2023	Assets under	Other business	Machinery and	Land and
Total	construction	assets	equipment	buildings

Accumulated depreciation

in CHF 1'000	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2024 Total	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	–45'695	–115'757	–24'998	–	–186'450	–42'581	–108'041	–25'300	–	–175'922
Changes in the consolidation scope	–	–	–	–	–		– –	–	–	–
Additions	–4'587	–10'328	–3'485	–	–18'400	–3'674	–10'294	–1'508	–	–15'476
Disposals	2'378	1'247	1'884	–	5'509		48 1'989	521	–	2'558
Reclassifications	–707	776	–69	–	–		– –737	737	–	–
Currency translation differences	511	1'126	665	–	2'302	512	1'326	552	–	2'390
Balance as per 31.03.2025 / 31.03.2024	–48'100	–122'936	–26'003	–	–197'039	–45'695	–115'757	–24'998	–	–186'450

2023 Total	Assets under construction	Other business assets	Machinery and equipment	Land and buildings

Net book value

in CHF 1'000	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2024 Total	Land and buildings	Machinery and equipment	Other business assets	Assets under construction	2023 Total
Balance as per 01.04.2024 / 01.04.2023	114'472	39'981	9'145	9'534	173'132	116'839	41'860	8'032	5'308	172'039
Balance as per 31.03.2025 / 31.03.2024	107'816	45'025	9'462	10'512	172'815	114'472	39'981	9'145	9'534	173'132

2023 Total	Assets under construction	Other business assets	Machinery and equipment	Land and buildings

14. Other assets

Other assets mainly include rental deposits and capitalized costs relating to cloud computing arrangements.

15. Inventories & Customers Advance Payments

in CHF 1'000	31.03.2025	31.03.2024 Restated
Raw materials, supplies and consumables	54'512	59'095
Work in progress	137'306	138'826
Finished products and trade merchandise	84'552	82'733
Advance payments to suppliers	47'876	56'848
Valuation allowance	–22'681	–22'638
Total inventories	301'565	314'864

The capital invested in work in progress and advance payments to suppliers is mostly financed by advance payments from customers, leaving a positive balance as of March 31, 2025 of CHF +67.7 mn (prior year: CHF +14.2 mn).

Work in progress (CHF 137.3 mn) include long-term projects under the percentage of completion method (POCM) in the amount of CHF 57.4 mn as of March 31, 2025 (prior year: CHF 14.2 mn).

Customer advance payments (CHF 252.8 mn) include long-term projects under the percentage of completion method (POCM) in the amount of CHF 106.0 mn as of March 31, 2025 (prior year: CHF 83.8 mn).

Burckhardt Compression presents inventories and customers' advance payments on a net basis. The offsetting impact is illustrated in the table below.

in CHF 1'000		31.03.2025
	Inventories	Customers' advance payments	Inventories	Customers' advance payments
Gross amounts	460'623	411'895	456'354	351'335
Offsetting of customers' advance payments	159'058	159'058	141'490	141'490
Net amounts reported in the consolidated balance sheet	301'565	252'837	314'864	209'845

In the cash flow statement, inventories and customers' advance payments are considered on a gross basis.

16. Trade receivables

in CHF 1'000	31.03.2025	31.03.2024
Trade receivables, gross	379'435	377'892
Allowance for bad debts	–23'384	–17'914
Trade receivables, net	356'051
in CHF 1'000	2024	2023
Allowance for bad debts
Balance as per 01.04.2024 / 01.04.2023	–17'914	–24'452
Changes in the consolidation scope	–	–
Additions	–9'326	–3'388
Release	3'130	5'904
Utilization	300	3'146
Currency translation adjustments	426	876
Balance as per 31.03.2025 / 31.03.2024	–23'384	–17'914

The allowance for bad debts at the end of the 2024 and 2023 fiscal years was entirely related to accounts receivables which were more than 90 days overdue as per closing date.

in CHF 1'000	31.03.2025	%	31.03.2024	%
Maturity profile of trade receivables
Not due	228'466	64.2	223'750	62.2
Overdue 1–30 days	21'335	6.0	55'081	15.3
Overdue 31–60 days	16'677	4.6	29'827	8.2
Overdue 61–90 days	3'500	1.0	9'374	2.6
Overdue more than 90 days	86'073	24.2	41'946	11.7
Trade receivables, net	356'051 100.0		359'978	100.0

Trade receivables overdue more than 90 days are mainly related to projects in China, India and the US.

17. Other current receivables

in CHF 1'000	31.03.2025	31.03.2024
Notes receivable	6'393	698
VAT receivables	7'388	8'226
Derivative financial instruments	25'382	13'691
Current tax assets	2'587	2'931
Other current receivables	31'747	39'910
Total other current receivables	73'497	65'456

Other current receivables include the outstanding government grants in the amount of CHF 25.8 mn (prior year: CHF 27.2 mn) in connection with the completed relocation project of Shenyang Yuanda Compressor Co. Ltd in China.

18. Share capital and treasury shares

	31.03.2025	31.03.2024
Number of shares issued	3'400'000	3'400'000

The nominal value per share amounts to CHF 2.50. All shares are registered shares and are paid in full. The breakdown of equity into its individual components is shown in the statement of changes in equity.

At the upcoming annual general meeting of shareholders on July 5, 2025, the Board of Directors of Burckhardt Compression Holding AG will propose a dividend for the 2024 fiscal year of CHF 18.00 (prior year: CHF 15.50).

As of March 31, 2025, non-distributable reserves amounted to CHF 1.7 mn (prior year: CHF 1.7 mn).

	31.03.2025	31.03.2024
Number of treasury shares	20'868	13'805

During the fiscal year 2024, 7'271 treasury shares (prior year: 925 treasury shares) were purchased at an average share price of CHF 659.80 (prior year: CHF 569.02) in the amount of CHF 4.8 mn (prior year: CHF 0.5 mn).

All treasury shares are held for the share-based long-term incentive program within the Burckhardt Compression Group respectively for the fixed compensation of the Board of Directors (20% of which paid in shares).

19. Financial liabilities

in CHF 1'000	31.03.2025	31.03.2024
Non-current financial liabilities	152'497	62'865
Current financial liabilities	801	106'639
Total financial liabilities	153'298	169'504

The average effective interest rate amounted to 1.7% in fiscal year 2024 (prior year: 1.9%).

Currencies of financial liabilities

in CHF 1'000	31.03.2025	31.03.2024
Financial liabilities in CHF	150'000	162'413
Financial liabilities in USD	1'004	4'015
Financial liabilities in other currencies	2'294	3'076
Total financial liabilities	153'298	169'504

Maturities of non-current financial liabilities

in CHF 1'000	31.03.2025	31.03.2024
Due within 2 years	832	458
Due within 3 years	172	2'936
Due within 4 years	150'000	621
Due within 5 years	–	–
Due beyond 5 years	1'493	58'850
Total non-current financial liabilities	152'497	62'865

Burckhardt Compression issued a bond in the amount of CHF 150 mn with a coupon of 1.5606% due on September 30, 2028 (at par). The issue price was 100% of the nominal value. The bond is listed on the SIX Swiss Exchange.

The previous bond in the amount of CHF 100 mn was repayed as of September 30, 2024.

147

financial statements

in CHF 1'000	Employee related	Warranties, penalties, unprofitable contracts	Other	2024 Total	Employee related	Warranties, penalties, unprofitable contracts	Other	2023 Total
Balance as per 01.04.2024 / 01.04.2023	12'776	39'244	1'639	53'659	9'692	32'318	2'715	44'725
Changes in the consolidation scope	–	–	–	–	–	–	–	–
Additions	2'426	10'801	540	13'767	5'351	20'456	1'793	27'600
Release	–3	–4'355	–470	–4'828	–226	–599	–1'971	–2'796
Utilization	–2'183	–6'912	–654	–9'749	–1'877	–12'299	–796	–14'972
Currency translation differences	–310	–856	–24	–1'190	–164	–632	–102	–898
Balance as per 31.03.2025 / 31.03.2024	12'706	37'922	1'031	51'659	12'776	39'244	1'639	53'659
thereof non-current	5'563	10'011	105	15'679	5'638	10'756	338	16'732
thereof current	7'143	27'911	926	35'980	7'138	28'488	1'301	36'927

2023 Total	Other	Warranties, penalties, unprofitable contracts	Employee related

Employee-related provisions include employee benefit obligations (see note 30), provisions for long-term service awards and ordinary termination benefits.

21. Other non-current liabilities

Other non-current liabilities mainly consist of various government grants in China.

22. Other current liabilities

in CHF 1'000	31.03.2025	31.03.2024
Notes payable	9'550	13'232
VAT payables	4'726	8'248
Derivative financial instruments	27'662	16'283
Current tax liabilities	17'301	12'776
Other current liabilities	13'047	8'545
Total other current liabilities	72'286	59'084

Other current liabilities mainly consist of various social securities payables as well as various taxes payables such as VAT or withholding taxes.

23. Accrued liabilities and deferred income

in CHF 1'000	31.03.2025	31.03.2024
Contract-related liabilities	73'070	70'327
Vacation and overtime	5'512	5'231
Salary and bonus payments	35'136	29'267
Miscellaneous	15'070	9'443
Total accrued liabilities and deferred income	128'788	114'268

24. Derivative financial instruments

Burckhardt Compression uses derivative financial instruments to mitigate currency risks. The risk management policy is described in note 3. On the balance sheet, derivative financial instruments are shown as "Other current receivables" and "Other current liabilities".

in CHF 1'000	31.03.2025	31.03.2024
Contract value	214'874	358'597
Positive fair values	25'382	13'691
Negative fair values	27'662	16'283

25. Contingent liabilities

Guarantees

Burckhardt Compression guarantees essentially for securing customer advance payments and for contingent warranty claims from customers.

Notes to the consolidated financial statements

The majority of current customer advance payments, as well as major warranty exposures, are covered either by third party bank guarantees or guarantees issued by Burckhardt Compression Holding AG.

As per March 31, 2025, Burckhardt Compression had issued guarantees in amount of CHF 283.2 mn (prior year: CHF 265.9 mn).

Other contingent liabilities

As per March 31, 2025, Burckhardt Compression does not have any other contingent liabilities.

26. Commitments

Operating leases

in CHF 1'000	31.03.2025	31.03.2024
Operating leases due in less than 1 year	4'129	4'794
Operating leases due in 1 to 5 years	8'821	12'562
Operating leases due in more than 5 years	4'776	4'195
Total operating lease commitments	17'726	21'551

Purchase commitments

Purchase commitments for capital expenditure as per March 31, 2025, amounted to CHF 3.3 mn (prior year: CHF 5.0 mn).

27. Pledged assets

As per March 31, 2025, Burckhardt Compression had pledged assets with a carrying amount of CHF 75.0 mn (prior year: CHF 75.8 mn) to secure mortgage loans and guarantees. The pledged assets consisted mainly of land and buildings.

28. Share-based payments

Since 2023, there is a long-term incentive plan for the members of the Executive Management and certain other employees in place. Long-term incentive pay is awarded in the form of free shares. None of the shares are subject to any restrictions upon the date of transfer.

In 2024, 185 shares at a fair value of CHF 602.00 were granted for the fixed compensation of the Board of Directors.

In 2023, participants of the long-term incentive plan (2020–2022) were granted 20'533 shares at a fair value of CHF 513.00.

Personnel expenses in 2024 for share-based payments amounted to CHF 4.8 mn (prior year: CHF 1.0 mn).

29. Related party transactions

Except for the compensation as disclosed in the Compensation Report of this Annual Report, no further relations or transactions existed in 2024 and 2023 with the members of the Board of Directors, Executive Management or other related parties.

30. Employee benefit obligations

Burckhardt Compression has various pension plans to which most of its employees contribute. With the exception of companies in Switzerland and Germany, these pension plans are defined contribution pension arrangements. Under these, as a rule, payments are made into pension funds administered by third parties. Burckhardt Compression has no payment obligations beyond making these defined contributions.

Notes to the consolidated financial statements

Burckhardt Compression's pension plans in Switzerland consist of two independent pension funds: "Sulzer Vorsorgeeinrichtung" (SVE), a base plan for all employees, and "Johann Jakob Sulzer Stiftung" (JJS), a plan for employees with salaries exceeding a certain limit. The majority of the active participants in the two pension funds are employed at companies not belonging to Burckhardt Compression. The board of trustees for the base plan comprises ten employer representatives and ten employee representatives of the contributing companies and is responsible for asset allocation and risk management. The pension plans contain a cash balance benefit formula. Under Swiss law, the pension funds guarantee the vested benefit amount as confirmed annually to members. Interest may be added to member balances at the discretion of the board of trustees. At retirement date, members have the right to take their retirement benefit as a lump sum, an annuity or part as a lump sum with the balance converted to an annuity. The pension funds may adapt the contribution and benefits at any time. In case of underfunding, this may involve special payments from the employer. The surplus or underfunding cannot be determined per company. The coverage of the collective plans as a whole as of December 31, 2024 amounted to 126.0% (SVE; prior year: 120.9%) and 124.0% (JJS; prior year: 118.0%). The technical interest rate used by both collective plans amounted to 1.75% (prior year: 1.5%).

Employer contribution reserves

Burckhardt Compression does not have any employer contribution reserves.

in CHF 1'000		Economic portion of the organization	Change to prior-year period recognized in the current result of the period	Currency translation differences	Contributions of the fiscal year		Pension benefit expenses
	31.03.2025	31.03.2024	2024	2024	2024	2024	2023
Pension plans with surplus	–	–	–	–	–11'793	–11'793	–10'819
Unfunded pension plans	–1'262	–1'336	43	31	–	43	7
Total	–1'262	–1'336	43	31	–11'793	–11'750	–10'812

31. Events after the balance sheet date

There were no events between the balance sheet date and the date these consolidated financial statements were approved by the Board of Directors which would require additional disclosures or changes in the consolidated financial statements.

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Notes to the consolidated financial statements

32. Group companies and associates

Company	Registered office	Registered capital	Interest in capital	Research & ment develop	Manufacturing & engineering	Contracting	Sales	Service
Burckhardt Compression AG¹	Winterthur, Switzerland	CHF 2'000'000	100%	•	•	•	•	•
Burckhardt Compression Immobilien AG¹	Winterthur, Switzerland	CHF 5'000'000	100%
Burckhardt Compression (Deutschland) GmbH	Neuss, Germany	EUR 30'000	100%				•	•
Burckhardt Compression (Italia) S.r.l.	Milan, Italy	EUR 400'000	100%			•	•	•
Burckhardt Compression (France) S.A.S.	Cergy Saint Christophe, France	EUR 300'000	100%				•	•
Burckhardt Compression (España) S.A.	Madrid, Spain	EUR 550'000	100%				•	•
Burckhardt Compression (UK) Ltd.	Bicester, United Kingdom	GBP 250'000	100%				•	•
Burckhardt Compression (US) Inc.	Houston, USA	USD 18'250'000	100%		•	•	•	•
Burckhardt Compression (Canada) Inc.	Mississauga, Canada	CAD 200'000	100%				•	•
Burckhardt Compression (Japan) Ltd.	Tokyo, Japan	JPY 50'000'000	100%				•	•
Burckhardt Compression (Shanghai) Co. Ltd.	Shanghai, China	CNY 85'564'000	100%		•	•	•	•
Burckhardt Compression (India) Private Ltd.	Pune, India	INR 331'140'000	100%	•	•	•	•	•
Burckhardt Compression (Brasil) Ltda.	São Paolo, Brazil	BRL 5'818'000	100%				•	•
Burckhardt Compression (Middle East) FZE	Dubai, United Arab Emirates	AED 2'000'000	100%				•	•
Burckhardt Compression Mechanical Equipment Trading and Services - L.L.C - S.P.C	Abu Dhabi, United Arab Emirates	AED 500'000	100%				•	•
Burckhardt Compression Korea Ltd.	Seoul, South Korea	KRW 250'000'000	100%				•	•
Burckhardt Kompresör San. ve Tic. Ltd.	Istanbul, Turkey	TRY 800'000	100%				•	•

Notes to the consolidated financial statements

Company	Registered office	Registered capital	Interest in capital	Research & ment develop	Manufacturing & engineering	Contracting	Sales	Service
Burckhardt Compression Singapore Pte Ltd.	Singapore, Singapore	SGD 700'000	100%				•	•
Burckhardt Compression South Africa (Pty) Ltd.	Sunnyrock, South Africa	ZAR 3'000'000	100%				•	•
Burckhardt Compression Korea Busan Ltd.	Busan, South Korea	KRW 7'000'000'000	100%		•	•	•
Burckhardt Compression (Saudi Arabia) LLC	Dammam, Saudi Arabia	SAR 1'000'000	100%				•	•
Burckhardt Compression (Netherlands) BV	Rotterdam, Netherlands	EUR 18'000	100%		•		•	•
Burckhardt Compression (Sweden) AB	Landvetter, Sweden	SEK 100'000	100%				•	•
Burckhardt Compression (Thailand) Co. Ltd.	Rayong, Thailand	THB 8'000'000	100%				•	•
Shenyang Yuanda Compressor Co. Ltd.¹	Shenyang, China	CNY 100'000'000	100%	•	•	•	•	•
Liaoning Yuanyu Industrial Machinery Co. Ltd.	Kaiyuan, China	CNY 39'000'000	100%	•	•
Shenyang Yuanda Compressor Automatic Control System Co. Ltd.	Shenyang, China	CNY 5'000'000	60%			•	•	•
Compressor Tech Holding AG¹	Zug, Switzerland	CHF 200'000	100%
PROGNOST Systems GmbH	Rheine, Germany	EUR 200'000	100%	•	•	•	•	•
PROGNOST Systems Inc.	Houston, USA	USD 240'000	100%		•		•	•
PROGNOST Machinery Diagnostics Equipment and Services LLC	Abu Dhabi, United Arab Emirates	AED 300'000	100%				•	•
Société d'Application du Métal Rouge SAS	Pont Sainte Marie Cedex, France	EUR 501'000	100%	•	•		•	•

¹ Company is directly held by Burckhardt Compression Holding AG.

Ernst & Young Ltd Maagplatz 1 P.O. Box CH-8010 Zurich

Phone: +41 58 286 31 11 www.ey.com/en_ch

To the General Meeting of Burckhardt Compression Holding AG, Winterthur Zurich, June 4, 2025

Report of the statutory auditor

Report on the audit of the consolidated financial statements

Opinion

We have audited the consolidated financial statements of Burckhardt Compression Holding AG and its subsidiaries (the Group), which comprise the consolidated balance sheet as at March 31, 2025, the consolidated income statement, the consolidated cash flow statement and the consolidated statement of changes in equity for the year then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies.

In our opinion, the consolidated financial statements (pages 127 to 152) give a true and fair view of the consolidated financial position of the Group as at March 31, 2025 and of its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with Swiss GAAP FER and comply with Swiss law.

Basis for opinion

We conducted our audit in accordance with Swiss law and Swiss Standards on Auditing (SA-CH). Our responsibilities under those provisions and standards are further described in the "Auditor's responsibilities for the audit of the consolidated financial statements" section of our report. We are independent of the Group in accordance with the provisions of Swiss law and the requirements of the Swiss audit profession, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key audit matter

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. For each matter below, our description of how our audit addressed the matter is provided in that context.

We have fulfilled the responsibilities described in the "Auditor's responsibilities for the audit of the consolidated financial statements" section of our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond to our assessment of the risks of material misstatement of the consolidated financial statements. The results of our audit procedures, including the procedures performed to address the matter below, provide the basis for our audit opinion on the consolidated financial statements (pages 127 to 152).

Revenue Recognition under the Percentage of Completion method, including Restatement

Risk A material share of the Group's revenue is generated in the Systems Division. Revenue for this division is recognised using the percentage of completion (POC) method according to Swiss GAAP FER 22, if conditions for long-term contracts are met, as described in Note 2.19. The POC method was implemented during FY24. Consequently, the comparative period was restated.

In determining the percentage of completion, estimates are made, for total costs, revenues and corresponding margin. The recognition of revenue using the POC method involves significant judgement by management and, therefore, is significant to our audit.

Our audit response

As part of our audit, we gained an understanding of the method and processes applied in recognizing revenue using the POC method. Among other audit procedures, we made inquiries of various parties involved (including project managers, controlling, and management) for a sample of projects and tested the allocation of costs incurred to projects and the periods of such cost allocation by testing third-party invoices and other supporting evidence. We assessed the stage of the percentage of completion by testing internal and external project documents and assessed the revenue and cost recognition. Regarding the restatement of prior periods, we assessed the methodology applied to determine restated opening balances as of April 1, 2023, as well as revenues and costs recognized using the POC method for the comparative period.

Our audit did not lead to any reservations regarding recognition of income and expenses for realisation projects.

Other matter

The consolidated financial statements for the year ended March 31, 2024, prior to the retrospective application of the change in accounting method related to revenue recognition, as described in Note 2.19 to the consolidated financial statements, were audited by another statutory auditor who expressed an unmodified opinion on those consolidated financial statements on June 3, 2024.

Other information

The Board of Directors is responsible for the other information. The other information comprises the information included in the annual report, but does not include the consolidated financial statements, the stand-alone financial statements and the compensation report and our auditor's reports thereon.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Board of Directors' responsibilities for the consolidated financial statements

The Board of Directors is responsible for the preparation of the consolidated financial statements, which give a true and fair view in accordance with Swiss GAAP FER and the provisions of Swiss law, and for such internal control as the Board of Directors determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, the Board of Directors is responsible for assessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern, and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

156

Auditor's responsibilities for the audit of the consolidated financial statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Swiss law and SA-CH will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

A further description of our responsibilities for the audit of the consolidated financial statements is located on EXPERTsuisse's website at: https://www.expertsuisse.ch/en/audit-report. This description forms an integral part of our report.

Report on other legal and regulatory requirements

In accordance with Art. 728a para. 1 item 3 CO and PS-CH 890, we confirm that an internal control system exists, which has been designed for the preparation of the consolidated financial statements according to the instructions of the Board of Directors.

We recommend that the consolidated financial statements submitted to you be approved.

Ernst & Young Ltd

Licensed audit expert Licensed audit expert (Auditor in charge)

Marco Casal DDominique Frutiger

Financial Statements of Burckhardt Compression Holding AG, Winterthur

Balance sheet

in CHF 1'000	Notes	31.03.2025	31.03.2024
Current assets
Cash and cash equivalents		239	394
Other current receivables		331	1'991
due from third parties		179	1'839
due from group companies		152	152
Total current assets		570	2'385
Non-current assets
Financial assets
Non-current loans to group companies		42'200	28'607
Investments in subsidiaries	102	242'861	253'681
		285'061	282'288
Total non-current assets

in CHF 1'000	Notes	31.03.2025	31.03.2024
Current liabilities
Other current liabilities		13	8
Accrued liabilities and deferred income		1'425	938
Bonds	105	–	100'000
Total current liabilities		1'438	100'946
Non-current liabilities
Non-current financial liabilities from group companies		7'220	20'125
Bonds	105	150'000	–
Total non-current liabilites		157'220	20'125
Equity
Share capital	103	8'500	8'500
Legal reserves from retained earnings		1'700	1'700
Free reserves from retained earnings
Profit brought forward		107'469	153'509
Net income		20'557	6'446
Treasury shares	104	–11'253	–6'553
Total equity		126'973	163'602
Total equity and liabilities		285'631	284'673

Compression Holding AG

Income statement

in CHF 1'000	2024	2023
Income
Dividend income from group companies	35'820	9'605
Interest income from group companies	491	458
Income from services provided to group companies	192	192
Other operating income	140	794

Total income	36'643	11'049
Expenses
Operating expenses	–2'119	–1'722
Other operating expenses	-25	–367
Other non-operating expenses Financial expenses	–10'820 –2'668	0 –1'739
Income tax expenses	–454	–775
Total expenses	–16'086	–4'603

Notes to the financial statements of Burckhardt Compression Holding AG

101 Accounting policies

The financial statements as per March 31, 2025 are in compliance with the requirements of Swiss corporate law.

The financial statements have been prepared in accordance with the provisions of commercial accounting as set out in the Swiss Code of Obligations (Art. 957 to 963b CO).

The following disclosures are not being made separately in the statutory financial statements pursuant to Art. 961d (1) CO as Burckhardt Compression Holding AG is presenting its consolidated financial statements according to Swiss GAAP FER:

Additional disclosures in the notes (auditor's fee; disclosure on non-current interestbearing liabilities)
Cash flow statement
Management report

The treasury shares are stated at acquisition cost and deducted from equity. No subsequent valuation is made. If the treasury shares are disposed of, the resulting gain or loss is recognized in the profit and loss statement.

All values in the annual financial statements are reported in thousand Swiss Francs unless otherwise indicated.

Burckhardt Compression Holding AG's fiscal year 2024 comprises the period from April 1, 2024 to March 31, 2025.

102 Investments in subsidiaries

The equity interests held directly and indirectly by Burckhardt Compression Holding AG are shown in note 32 "Group companies and associates" of the consolidated financial statements. Investments are valued at cost and according to the principle of individual valuation. The investment in Shenyang Yuanda Compressor Co., Ltd was impaired by CHF 10.8 mn in fiscal year 2024.

statements of Burckhardt Compression Holding AG

103 Share capital and shareholders

The share capital amounts to CHF 8'500'000 and is composed of 3'400'000 shares, each with a nominal value of CHF 2.50. All shares are registered shares and are paid in full.

According to information available to the company from the disclosure notifications of the SIX Swiss Exchange Ltd., the following shareholders reported shareholdings of at least 3% of the share capital and voting rights as of March 31, 2025 (according to the statutory bylaws the voting rights of NN Group N.V., The Goldman Sachs Group, Inc, UBS Fund Management (Switzerland) AG and Swisscanto Fondsleitung AG are limited to 5% of the total number of the registered BCHN shares recorded in the commercial register):

Shareholders

		31.03.2025	31.03.2024
Name	Country	% of shares	% of shares
NN Group N.V.1	NL	9.86	9.86
UBS Fund Management (Switzerland) AG	CH	9.58	5.06
MBO shareholder group (Valentin Vogt, Daniela Vogt, Harry Otz, Leonhard Keller, Martin Heller, Ursula Heller, Marcel Pawlicek)	CH	8.70	9.97
The Goldman Sachs Group, Inc1	US	6.45	6.45
Swisscanto Fondsleitung AG	CH	5.00	3.01
BlackRock, Inc.	US	3.07	3.07
Credit Suisse Funds AG	CH	–	3.24

The Goldman Sachs Group, Inc. ("GS Group") has acquired control of NN Investment Partners Holdings N.V. ("NNIP") and NNIP has a discretionary asset management mandate with respect to BCHN shares which are owned by NN Group N.V.

104 Treasury shares

			2024			2023
	Number of shares	Avg. Transaction price in CHF	Total in CHF 1'000	Number of shares	Avg. Transaction price in CHF	Total in CHF 1'000
Balance at 01.04.2024 / 01.04.2023	13'805	474.66	6'553	33'413	472.05	15'772
Purchases	7'271	659.80	4'801	925	569.02	526
Transfers (share-based compensation)	–208	516.20	–101	–20'533	479.24	–9'746
Balance at 31.03.2025 / 31.03.2024	20'868	529.25	11'253	13'805	474.66	6'553

Number of shares	Avg. Transaction price in CHF	Total in CHF 1'000

Treasury shares were allocated as part of the share-based compensation as follows:

		2024		2023
	Allocated treasury shares	Total in CHF 1'000	Allocated treasury shares	Total in CHF 1'000
Board of Directors	185	88	205	97
Executive Management	0	0	2'328	1'194
Other Employees	23	13	18'000	8'455
Total	208	101	20'533	9'746

2024		2023
	Allocated treasury shares	Total in CHF 1'000

Compression Holding AG

161

105 Bonds

Burckhardt Compression issued a bond in the amount of CHF 150 mn with a coupon of 1.5606% due on September 30, 2028 (at par). The issue price was 100% of the nominal value.

The bond is listed on the SIX Swiss Exchange.

The previous bond in the amount of CHF 100 mn was repayed as of September 30, 2024.

106 Further disclosures pursuant to Article 959c par. 2 of the Swiss Code of Obligations:

Full-time employees

Burckhardt Compression Holding AG does not employ any employees.

Liabilities to pension funds

Total liabilities to pension funds	0	0
Guarantees
in CHF 1'000	31.03.2025	31.03.2024

in CHF 1'000 31.03.2025 31.03.2024

Burckhardt Compression Holding AG issues advance payment guarantees and performance bonds in the name of Burckhardt Compression AG and in favor of a small number of selected customers.

Guarantees 23'945 44'343

The credit lines and guarantee facilities extended to Burckhardt Compression AG by financial institutions do not require any assets or shares of Burckhardt Compression Holding AG to be pledged as collateral.

Residual amounts of lease liabilities

As in the previous year, there were no material lease liabilities that could not be terminated within twelve months.

Remuneration of the Board of Directors and the Executive Management

Type and amount of remuneration of the members of the Board of Directors and the Executive Management as well as the principles and basic elements of the company's compensation policy are depicted and explained in the compensation report on pages 108 to 120.

Events after the balance sheet date

There were no additional events after the balance sheet date which affect the annual results or would require an adjustment to the carrying amounts of Burckhardt Compression Holding AG's assets and liabilities.

statements of Burckhardt Compression Holding AG

Proposal by the Board of Directors for the appropriation of retained earnings

in CHF 1'000	2024	2023 approved by the AGM
Retained earnings at the beginning of the period	159'954	193'896
Distributed dividend	–52'486	–40'388
Net income of the year	20'557	6'446
Retained earnings at the disposal of the Annual General Meeting	128'025	159'954
The Board of Directors proposes the following appropriation
Gross dividend	–61'200	–52'700
Retained earnings carried forward	66'825	107'254

The Board of Directors will propose payment of a gross dividend of CHF 18.00 per registered share at the Annual General Meeting of Shareholders on July 5, 2025.

in CHF	2024	2023 approved by the AGM	2022 approved by the AGM
Gross dividend	18.0	15.5	12.0
Less 35% withholding tax	–6.3	–5.4	–4.2
Net dividend	11. 7	10.1	7.8

Ernst & Young Ltd Maagplatz 1 P.O. Box CH-8010 Zurich

Phone: +41 58 286 31 11 www.ey.com/en_ch

To the General Meeting of Burckhardt Compression Holding AG, Winterthur Zurich, June 4, 2025

Report of the statutory auditor

Report on the audit of the financial statements

Opinion

We have audited the financial statements of Burckhardt Compression Holding AG (the Company), which comprise the balance sheet as at March 31, 2025, the income statement for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.

In our opinion, the financial statements (pages 157 to 161) comply with Swiss law and the Company's articles of incorporation.

Basis for opinion

We conducted our audit in accordance with Swiss law and Swiss Standards on Auditing (SA-CH). Our responsibilities under those provisions and standards are further described in the "Auditor's responsibilities for the audit of the financial statements" section of our report. We are independent of the Company in accordance with the provisions of Swiss law and the requirements of the Swiss audit profession, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key audit matter

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. For the matter below, our description of how our audit addressed the matter is provided in that context.

We have fulfilled the responsibilities described in the "Auditor's responsibilities for the audit of the financial statements" section of our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond to our assessment of the risks of material misstatement of the financial statements. The results of our audit procedures, including the procedures performed to address the matter below, provide the basis for our audit opinion on the financial statements (pages 157 to 161).

Recoverability of Investment in Shenyang Yuanda Compressor Co., Ltd.

	•	_
ĸ		c	ĸ

Risk Burckhardt Compression Holding AG evaluates its investments in subsidiaries for recoverability annually and records an impairment loss when the carrying amount exceeds the recoverable amount.

The investment in Shenyang Yuanda Compressor Co., Ltd. represents 71% of the total assets. Due to its significance and the judgment the Company must apply in estimating amongst other factors, future revenues, long-term growth and discount rates in determining the recoverable amount, this matter was considered significant to our audit.

Our audit response

Our audit procedures included understanding the Company's impairment testing process and the determination of key assumptions.

We involved valuation specialists to assist in examining the Company's valuation model and to analyze longterm growth and discount rate applicable for Shenyang Yuanda Compressor Co., Ltd. We evaluated the key assumptions applied and assessed the determination of the recoverable amount.

Our audit procedures did not lead to any reservations concerning the carrying value of the investment in Shenyang Yuanda Compressor Co., Ltd.

165

Other matter

The financial statements for the year ended March 31, 2024, were audited by another statutory auditor who expressed an unmodified opinion on those financial statements on June 3, 2024.

Other information

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Board of Directors' responsibilities for the financial statements

The Board of Directors is responsible for the preparation of the financial statements in accordance with the provisions of Swiss law and the Company's articles of incorporation, and for such internal control as the Board of Directors determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern, and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Swiss law and SA-CH will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on EXPERTsuisse's website at: https://www.expertsuisse.ch/en/audit-report. This description forms an integral part of our report.

Report on other legal and regulatory requirements

In accordance with Art. 728a para. 1 item 3 CO and PS-CH 890, we confirm that an internal control system exists, which has been designed for the preparation of the financial statements according to the instructions of the Board of Directors.

Based on our audit in accordance with Art. 728a para. 1 item 2 CO, we confirm that the proposal of the Board of Directors complies with Swiss law and the Company's articles of incorporation. We recommend that the financial statements submitted to you be approved.

Ernst & Young Ltd

(Auditor in charge)

Marco Casal Dominique Frutiger Licensed audit expert Licensed audit expert

Burckhardt Compression AG

This report contains forward-looking statements, which reflect the company's current expectations, estimates, and projections about future events. These statements are not guarantees of future performance and involve known and unknown risks, uncertainties, and other factors – many of which are beyond the company's control – that could cause actual results to differ materially from those expressed or implied.

Such factors include, but are not limited to, global economic conditions, exchange rate fluctuations, changes in regulatory environments, market dynamics, competitive actions, and other risks described in this report.

Overall, these statements reflect the company's views as of the date of this report. Therefore, the company assumes no obligation to revise or update any forward-looking statements in light of new information, future events, or otherwise.

The Annual Report is published in English only and is available on the internet under burckhardtcompression.com/report.

Imprint

Publisher

Burckhardt Compression Holding AG, Winterthur

Content/Concept

Burckhardt Compression AG, Corporate Communications

Design/Realization

Linkgroup AG, Zurich

Photography

Getty Images

Scanderbeg Sauer Photography, Zurich Marc Weiler Photography & Film, Jona Encore Events and Promotions, India EYE Fotografie, The Netherlands Luxwerk Fotographie, Zurich Jakob und Bertschi, Zurich Time of blue, South Korea Elfstern, Andelfingen Nikolas Zonvi Xin Shao Adobe Stock

Burckhardt Compression AG

CH-8404 Winterthur

Switzerland

Tel.: +41 (0)52 261 55 00 Fax: +41 (0)52 261 00 51

24 hours emergency Tel.: +41 (0)52 261 53 53

[email protected] www.burckhardtcompression.com

AI Terminal

Burckhardt Compression Holding AG

845_10-k_2025-06-04_6986e06e-342e-4b5d-9a09-bf09e6ae3b6e.pdf

Table of contents

Cover:

Evergreen Project construction site in South Korea

New financial records

Sales

Order intake

Operating Income (EBIT)

Net income

Shareholders' equity

Reduction in our greenhouse gas emission intensity

Our Lost Time Injury Rate (LTIR) has further decreased

Performance FY2024

Performance since IPO

Milestones 2024

Launch of two new digital service solutions

First order for LNG carriers with low-pressure 2-stroke engines

150 bar

Milestones 2024

Record sales and deliveries

Increased own capacity for production of renewable electricity by 521%

Family Day celebrations in Switzerland&India

Dear Shareholders,

Continued new equipment growth

Focus on high-margin services in a market showing regional disparities

Record financial results and dividend increase

Further progress in the company's transformation

Guidance for fiscal year 2025 – At a similar level as in fiscal year 2024

Global megatrends underpin Mid-Range Plan trajectory

Looking forward with confidence

Key figures*

Megatrends driving growth in Burckhardt Compression's markets

Growing global population: rising demand for essential products

Energy security: strengthening infrastructure to transport energy

Energy transition: enabling the transformation to a low-carbon economy

Partnering for a sustainable future

We create leading compression solutions for a sustainable energy future

Overview

Focus

Purpose, values and behaviors: the basis for our daily decisions and actions

Megatrends

Core elements in our strategy: sustainability and innovation

Further achievements in the implementation of our strategy

Strengthening our core business

Improving operational excellence

Transforming and building new growth avenues

Enhancing our business foundations

Our Company and Strategy

Integrated business model

Our integrated business model leads to success

Life cycle of a typical project

Almost 800 machines delivered globally

Systems Division: overview FY 2024

Financials

Market developments

Petrochemical and chemical industry

Gas transport and storage

Hydrogen mobility and energy

Industrial gas

Refinery

Gas gathering and processing

Infrastructure and capacity

Research and development

Outlook

Our compression solutions

Laby® – Labyrinth Piston Compressors

Laby®-GI Compressors

Process Gas Compressors per API 618

Hyper Compressors

Diaphragm Compressors

Standard High-Pressure Compressors

Compressor systems and packages

Services Division: key figures New

record in sales and operating profit

Services Division: overview FY 2024

Financials

Market developments

Component solutions