2023 Annual report

Protecting people and goods for a better everyday

We are protecting people and goods for a better everyday

BEWI annual report 2023

Climate change requires more energy efficient buildings

According to the European Commission, buildings account for around 40 per cent of the total energy consumption in EU. 85 per cent of the buildings were built before 2000, and of these, 75 per cent are considered inefficient in terms of energy. For the EU to reach the climate reduction targets, this will require energy renovation on a large scale.

of energy consumption in EU comes from buildings

75% of the buildings built before 2000 are not energy efficient

BEWI offers energy efficient solutions for buildings

– with potential savings of 63 million tonnes of CO2 over the lifetime of solutions sold in 2023

BEWI's product portfolio includes a wide range of insulation solutions for improved energy efficiency

Thermomur for walls

Ringmur for foundations

Slimfix for roofs

BEWI annual report 2023

Climate change requires transition to a circular economy

~37%

post-consumer packaging

recycling rate

To achieve net-zero emissions, we must rethink how we produce and consume goods. ~17% of the EPS in Europe are used for packaging1 . A recycling rate of ~37%2 means that ~132 000 tonnes is recycled each year.

The European Commission adopted a Circular Economy Action Plan in 2020, and a package of Green Deal proposals in 2022. According to the Green Deal, 55% of all plastic packaging must be recycled by 2030.

¹ Source: Mordor intelligence ² Source: EUMEPS

BEWI annual report 2023

BEWI collects more used EPS than any other insulation company in Europe

– saving ~36 000 tonnes of CO2 in 2023 through reduced consumption of virgin material

BEWI has a broad range of solutions for collection of used material from different sources

Collection points

Seafood processing facilities

Retail stores

Use ReUse – the BEWI way

In 2019, BEWI launched the initiative Use ReUse, to lead the change towards a circular economy for our industry with a purpose to raise awareness and increase knowledge about EPS as a recyclable resource.

Today, Use ReUse is the BEWI way. It is how we think and act. And it is our promise, describing how we innovate and how we continuously work to improve resource efficiency – for our customers and our own operations. It is about how we always strive to use less material, reuse products and recycle materials for reuse.

BEWI annual report 2023

Creating value from waste in Ethiopia

In many countries around the world, increased plastic consumption, followed by littering and environmental pollution is a huge and growing challenge. This is especially true for the least developed countries.

One of BEWI's core values is to take responsibility, and we want to lead the change towards a circular economy. With this in mind, we launched our Value for Waste project together with the Norwegian Church Aid in May 2021 in the city of Shashemene in Ethiopia. The project was initially a two-year programme, with an ambition to reduce littering, facilitate recycling and create sustainable jobs for the local population. In addition to funding the project, BEWI contributed with knowledge and competences in handling plastics, and in setting up a sustainable business.

The project was prolonged for another two years in June 2023, and has since it was established been expanded to include similar projects in six cities in Ethiopia, involving more partners, among others the Kavli Trust.

The Value for Waste project aims to:

Reduce littering
Collect waste for recycling
Create jobs and sustainable income
Increase awareness and knowledge of waste as a valuable resource

The project has facilitated business development, focusing on increasing knowledge about waste management, financial management and establishing market linkage to secure a circular value chain.

Key achievements

242 employed
411 tonnes of waste collected for recycling
EUR 68 700 income generation

It is really inspiring to see the positive environmental impacts and how people are creating a better future for themselves. We are proud to be able to contribute to this project.

Camilla Louise Bjerkli Chief Sustainability Officer in BEWI

~10 million PET bottles

are recycled since the start of the Value 4 Waste project

BEWI annual report 2023

About this report

The report has been prepared with reference to the European Sustainability Reporting Standard (ESRS) and in accordance with reporting requirements mandated by the Norwegian Accounting Act §3-3c and the EU Non-Financial Reporting Directive (EU NFRD 2014/95).

The report covers BEWI's material impacts, risks, and opportu nities and how these are linked to the company's strategy, and ESG performance, and how BEWI ASA manages these impacts for the calendar year 2023. The report has been prepared on a consolidated basis and aligns with the financial reporting period 1 January 2023 to 31 December 2023, and includes the same companies as the financial reporting.

The report is BEWI's Communication of Progress (COP), demon strating the company's commitment to the United Nations Global Compact and covers the reporting requirements under the Norwegian Transparency Act, and the EU Taxonomy. More information is included in Basis for reporting under the ESG Statements. Reason for method of preparation of the financial statements is described in the notes to the Financial statements.

This is BEWI	10
Letter to the stakeholders	11
BEWI at a glance	15
Our contribution	16
Strategic priorities	17
More than 40 years of history	24
Strategic partnerships	25
Our business	26
How we create value	28
Integrated business model	29
RAW	30
Insulation & Construction	33
Packaging & Components	36
Circular	39
Governance	42
Governance structure	43
Board of directors	44
Executive management	46
Policies and compliance	48
Corporate governance	50
Material impacts in our value chain	57
Double materiality assessment	58
Risks and risk management	62
Statement on remuneration	65

Board of directors' report	67
ESG performance	78
Taxonomy	79
Environment	86
Social	99
Governance	107
Financial statements	112
The group	113
Parent company	156
Auditor's report	168
Alternative Performance Measures	172
ESG statements	176
Basis for reporting	177
Consolidated ESG statements	179
Reporting principles	191
Remuneration report	195
Appendix	206

Our vision

Protecting people and goods for a better everyday

Our mission

To create value by offering sustainable solutions for packaging, components, and insulation in innovative and efficient ways.

Who we are

A leading provider of packaging, components, and insulation solutions.

Letter to the stakeholders

Well positioned to capture growth opportunities from the green transition

Gunnar Syvertsen Chair

Christian Bekken CEO

2023 was a year marked by the consequences of wars and macroeconomic uncertainty following the measures to curb the effects of inflation and rising interst rates. This led to challenging markets and a substantial decline in the activity in many industries. For BEWI, the downturn in the building and construction industry led to lower volumes and a reduced financial result. However, while effectively managing the slow markets in the short-term, we are even more confident about the long-term commercial opportunities arising from the green transition. We are well positioned to capture these opportunities with our solutions.

Our strategy

In BEWI, we are protecting people and goods for a better everyday. That is our vision, and we do this by providing efficient and sustainable solutions, insulating buildings, protecting food to reduce waste, and other benefits to end customers and the society at large.

Our three strategic priorities are closely linked, and instrumental in achieving our financial and sustainability targets.

Innovation serves as the cornerstone of future growth, driving us to search for solutions today that are relevant tomorrow. It is about how we work to continuously improve in all aspects of our business. It enables us to fulfil our responsibility to stakeholders by offering intelligent solutions and creating value for them.

Transitioning to a circular economy is imperative for meeting the targets outlined in the Paris Agreement.

Strong market fundamentals, combined with BEWI's innovative solutions and integrated business model, make us confident in our ability to deliver profitable growth going forward.

While enhancing the energy efficiency of buildings and transitioning to renewable energy sources are crucial steps, they only address half of the challenge. Achieving net-zero emissions requires us to rethink how we produce and consume goods. This necessitates designing products with less materials and more recycled materials, while embracing reuse and recycling practices. In BEWI, innovation plays a central role in driving these changes, as well as our circular business model and close collaborations with customers, suppliers, and partners.

Profitable growth comes from our ability to adapt to markets, secure operational excellence, capitalise on investments and acquisitions, and make good strategic decisions for our stakeholders. Strong market fundamentals, combined with BEWI's innovative solutions and integrated business model, make us confident in our ability to deliver profitable growth going forward.

Our people

BEWI's most important asset is our 3 200 colleagues. Our people, driven by dedication and determination, use their skills and experience to challenge us every day. The BEWI culture is a special blend of challenging the conventional, never giving up, and working together as a team. We strive to create a safe, diverse, and inclusive workplace for our colleagues. This is instrumental to achieve successful progress on improving product ranges and practices, as well as cost structures and market positions, to reach both the financial and sustainability targets.

Over the past years, the reporting of BEWI's safety performance has improved, enabling us to also tailor the efforts to further increase knowledge and awareness in the organisation. Safety is at the top of the agenda, every day and hour in our operations, with an ultimate target of an accident-free environment.

Furthermore, we have significantly strengthened the work to attract and retain highly skilled personnel, by, among others, establishing BEWI Business School, including professional leadership – and growth programmes.

Our results

For 2023, BEWI reported net sales of 1 105 million euro, an increase of 5 per cent from the previous year, driven by the acquisitions completed in 2022. We posted an adjusted EBITDA of 109 million euro, representing a decline of 19 per cent, explained by a substantial decrease in volumes and prices following the downturn in the building and construction industry the past years. The volumes were down between

Financial targets

Set to continue growth journey next five years

>2x Adj. EBITDA Through organic growth and acquisitions 2021-2026

~20% ROCE1 Increase towards 20 per cent

<2.5x NIBD/Adj. EBITDA

30-50% dividend of underlying net profit

Photo: Bonava GmbH/masterbox.de

Magnoliengärten Lohbrügge residence Hamburg, Germany Jackodur® inverted roof insulation

185 000 m2 of new green roofs in 2023 including BEWI's insulation solutions, serve as rainwater buffers and playgrounds for insects, improving the microclimate in urban areas and energy-efficiency in buildings

BEWI annual report 2023

20 and 50 per cent, representing large variations across regions, and the market price for EPS was significantly lower in 2023 compared to 2022.

Still, we are pleased with how we have been able to adapt to the shifting markets throughout the year, while at the same time successfully integrating new entities. Entering 2023, the insulation segment had an EBITDA margin of 7 per cent, negatively impacted by acquired companies. The segment closed the year with a margin of 10 per cent, despite a significant volume loss. The improvement was made possible by tremendous efforts by the organisation to implement better price management procedures and enhance the operational efficiency.

Another important KPI, is our collection and recycling of used materials. In 2023, we collected approximately 27 000 tonnes of used EPS for recycling, more than any other insulation company in Europe. Furthermore, Circular's internal sales increased to more than 20 per cent in 2023, up from only 1 per cent in 2023, demonstrating both increased customer demand for recycled materials and a strong focus in the downstream units.

Our efforts

Reflecting on the performance the past year, we are pleased with how we have delivered on our key priorities:

We have strengthened the circular capabilities and advanced on important innovation projects, enabling us to offer customers efficient solutions with reduced CO2 footprint
We have successfully integrated newly acquired entities, including extracted synergies, improved profitability and broadened product offering
We have adapted to challenging markets, by reducing cost and capacity, enabling an increased EBITDA margin for insulation despite lower volumes
We have completed several important growth projects, including the new fish box facility at Jøsnøya, and the new production line for raw materials in Etten-Leur
We have strengthened our balance sheet and exited the year with a solid cash position
And we have further developed an already strong pipeline of strategic growth opportunities

These efforts leave us in a solid position to improve profitability from volume growth ahead.

Our opportunities

When presenting the results for the fourth quarter of 2023, we stated our intention to double revenues the next three to five years. We expect the exposure to insulation and other energy efficient solutions will continue to increase, based on strong market fundamentals.

Buildings are the single largest energy consumer in Europe, with around 40 per cent of the total consumption. To meet climate reduction targets, it is therefore crucial to prioritise energy efficiency, highlighting the pressing need to improve insulation both in existing – and new buildings. This is supported by the recently adopted revision of the Energy Performance of Buildings Directive, aiming at progressively reduce emissions and energy consumption and make the EU building sector climate neutral by 2050.

BEWI's broad and competitive product offering make us strongly positioned to meet a growing demand for insulation – and other energy efficient solutions. We expect all segments to benefit from this: RAW and Circular delivering sustainable raw materials, the insulation segment offering a range of insulation solutions, and the packaging segment's components to systems providing efficient heating, ventilation, and air conditioning of buildings.

Following the cost and capacity adjustments made in 2023, we have a leaner organisation with good margins even at low volumes. We do not need to invest to increase production volumes, and we see a great potential for further margin improvements when the markets recover.

We have a clear growth strategy and a growing pipeline of M&A opportunities. The strategic focus revolves around strengthening market positions, expanding product offerings, and enhancing circular capabilities.

Finally, our vertically integrated and circular business model, makes us well positioned to capture growth from the opportunities arising from the green transition. Backed by a strong organisation and a solid financial platform, we will further strengthen our market positions going forward, resulting in robust results and value for our stakeholders.

We are proud of how the organisation has performed during a challenging year, and we would like to thank each of our employees for their dedicated efforts. We would also take the opportunity to thank all partners, customers, and shareholders for their trust and support.

We are proud of how the organisation has performed during a challenging year, and we would like to thank each of our employees for their dedicated efforts.

Oslo/ Trondheim, 17 April 2024

Gunnar Syvertsen Chair Christian Bekken CEO

Taxonomy eligible activities

49%

European footprint1

75 facilities 14 countries

Employees 3 216

Integrated and circular value chain

Our contribution

of potential CO2 savings over the lifetime of solutions sold in 2023

BEWI annual report 2023

were served by heating systems with BEWI components in 2023 – protecting houses

~6 million vehicles
---------------------------	--

contain bumpers and shock absorbing EPP components delivered by BEWI in 2023 – protecting people

and warm in beehives produced by BEWI in 2023 – protecting lives

are transported in 50 million fish boxes from BEWI in 2023 – protecting food

are recycled into shopping bags, brooms, and ropes since the start of the Value 4 Waste project in Ethiopia – protecting nature

Strategic priorities

BEWI's three strategic priorities are the pillars in the everyday work to fulfil our mission and strive for our vision. We aim to create maximum value for our stakeholders and the society, while minimizing our impact.

Innovation

BEWI is constantly innovating in search for more intelligent, efficient, and sustainable materials, products, solutions, and production processes. We aim to create value to customers and other stakeholders by always improving.

A circular economy

BEWI strives to become more circular through continous improvements in the value chain, and in collaboration with customers, suppliers, and other strategic partnerships. We are committed to lead our industry's change towards a circular economy.

Profitable growth

BEWI demonstrates profitable growth through organic initiatives and M&A opportunities focusing on strengthening the circular capabilities, expanding geographically, strengthening market positions, and broadening the product offering.

Innovating efficient and sustainable solutions

The cornerstone of BEWI's innovation work is to constantly search for products and solutions creating more value to customers. We search for game-changing products, sustainable materials, and more cost-effective solutions. Innovation enables BEWI to lead the change towards a circular economy and gain competitive advantages over its competitors.

The group's strategic priorities are closely linked. In the search for more sustainable solutions, the company looks to some of the key principles of a circular economy; Design for the future and improve resource efficiency by ensuring recyclability of all products, in addition to reuse and recycle more.

BEWI utilises industry experience to develop specialised products and resource efficient solutions, benefitting from the group's vertical integration enabling deep knowledge in each part of the value chain. The business segments have their own R&D departments, which are overseen by a group function. Key elements of the innovation work are to develop solutions with less material, designed for reuse and recycling, aiming at reducing the CO2 footprint in the group's operations and for customers.

Key achievements 2023

Improvements in quality of recycled GPPS by removal of contaminants
Further developed technology and recycled grades to RAW's new production line
Start-up of demo line for Xire, a ground-breaking fire barrier to support use of EPS in roof and wall solutions

• Development of new solutions for P&C based on fiber or recycled EPS and EPP materials

We create value for customers through innovative and intelligent solutions, designed for efficiency and longevity

Ville Nurminen, Chief Technology Officer BEWI ASA

Key priorities going forward

Develop new raw material grades, products and solutions based on recycled feedstock
Launch of new specialized solutions creating competitive advantages for the group
Improve the EPP raw material and EPP solutions

Løren activity park Oslobygg KF Oslo, Norway

2 400 m2 GreenLine EPS

100% recycled content

67% CO2 reductions compared to conventional material

The GreenLine product series aligns with our commitment to increase the use of recycled material and develop competitive, resourceefficient solutions reducing the carbon footprint.

Leading the change to a circular economy

Transitioning to a circular economy can reduce the environmental degradation and use of natural resources, while improving waste management, playing a crucial role in combating climate change and providing great opportunities for value creation. This is why transitioning to a circular economy has been a strategic priority for BEWI for many years.

The transition to a circular economy is a means to decarbonise, reduce emissions and meet continuously evolving regulatory requirements.

In practice, this means producing better products with less material, extending the lifetime of products, and recycle more, thereby improving resource efficiency and reducing environmental impacts.

The group has invested significantly in circular capabilities, including machinery for extrusion in the Circular segment, in addition to a new top modern production line in its RAW segment,

facilitating uptake of more recycled feedstock in the group's downstream segments. The integrated business model enables BEWI to control the circular loop, positioning the company to lead the change to a circular economy for its industry.

BEWI strives to become more circular, both through improvements in its own value chain, and in collaboration with customers, suppliers, as well as other strategic partnerships. The group has introduced a series of products based on recycled feedstock, including products containing 100 per cent recycled material.

Key achievements 2023

REDcert certification of upstream and downstream facilities
Increased use of recycled material in insulation products and solutions
Increased extrusion capacity
Completed new production line for EPS raw materials in Etten-Leur, enabling increased use of recycled material

BEWI strives to become more circular, both through improvements in its own value chain, and in collaboration with customers, suppliers, as well as other strategic partnerships

Camilla Louise Bjerkli, Chief Sustainability Officer BEWI ASA

Key priorities going forward

Improve resource efficiency throughout the value chain
Continued focus on recyclability and reusability when designing new products
Further increase the use of recycled materials in own production
Increase collection of materials for recycling
Increase recycling capacity

Well positioned for profitable growth

BEWI has established itself as a leading international provider of packaging, components, and insulation solutions, with a solid track record of profitable growth. Demonstrating an average annual sales growth (CAGR) of 24 per cent from 2018 to 2023, the group's success stems from a combination of organic initiatives and strategic mergers and acquisitions.

During the period from 2018 to 2022, BEWI executed approximately 30 acquisitions, whereas 7 was completed in 2022 alone. The transactions were carefully aligned with the group's strategy, which prioritises strengthening of circular capabilities, expanding geographical reach, fortifying market positions, and broadening product offerings.

Throughout 2023, integrating the newly acquired entities was a key priority for the group, to secure realisation of synergies and enhancing

profitability, as well as building a strong culture across the organisation.

In 2023, BEWI completed several key organic growth initiatives, positioning the group for continued expansion. Notable achievements include the completion and commencement of production at the new fish box facility at Jøsnøya in Norway, as well as the inauguration of a new production line for EPS raw material in December. This new line, tailored for the utilization of recycled feedstock, not only increases production capacity but also underscores BEWI's commitment to sustainability by enabling increased use of recycled content in downstream products.

Looking ahead, BEWI maintains its strong ambitions for growth, with an intention to double the revenues the next three to five years. For the EU to reach its climate reduction targets, buildings need to be more energy efficient, and resources must be used more efficiently. BEWI's integrated and circular business model makes the group well positioned to capture on these opportunities.

Key achievements 2023

Successful integration of acquired companies, including extraction of substantial synergies from the Jackon transaction, and a doubling of the synergy target
Completed new packaging facility at Jøsnøya, Norway
Completed new production line at the raw materials facility in Etten-Leur, the Netherlands

Key priorities going forward

Continue consolidation within selected industries
Ramp-up volumes at Jøsnøya packaging facility and at the new production line for grey and white EPS raw materials
Commence production at new production line for construction boards in Olen, Belgium

Profitable growth

BEWI annual report 2023

More than 40 years of history and a proven track record of successful M&A integration BEWI founded by the Bekken family focusing on packaging Net sales EUR million Acquisition of Dutch Synbra, creating a leading European integrated EPS producer Name changed to BEWiSynbra Launch of recycling initiative Use-ReUse Listing on Oslo Børs Acquisition of recycling assets and establishment of Circular Denmark Acquisition of BEWi Drift Holding (BDH) reinforcing position within food packaging Acquisition of Dutch recycling company Launch of the world's rst 100% recycled EPS Launch of recycling initiative Use-ReUse Entering the UK market by acquisition of minority stake in Jablite Group Acquisitions of Honeycomb, IZOBLOK, Volker Gruppe, Kemisol and several smaller trading companies Acquisitions of Trondhjems Eskefabrikk, Jablite, Berga Recycling, BalPol, Jackon, Aislenvas and Inoplast Entering French market by acquisition of minority stake in 6 facilities Acquisition of Norwegian sh box business and Swedish automotive business 100% Drift Holding Launch of Circular, for recycling and collection of EPS 2018 ³⁸¹ ⁴³⁰ ⁴⁶³ 748 1 050 1 105 1980 2019 2020 2021 2022 2023

Strategic partnerships

The transition towards a circular economy requires us to fundamentally rethink the way products are produced and used. Actively engaging in partnerships is therefore crucial to build necessary infrastructures and alliances to accelerate the transition to a circular economy.

EUMEPS

The association for European Manufacturers of Expanded Polystyrene represents 23 national associations in the European Expanded Polystyrene (EPS) industry. The association is committed to sustainability and have joined forces to reach the ambitious European recycling targets by 2025.

Styrenics circular solutions

A joint value chain initiative aiming to make the circular economy a reality for polystyrene, through innovative recycling technologies. Styrenics Circular Solutions brings together leaders from the supply chain, styrenics producers, converters, recyclers, brand owners/retailers and trade associations as well as universities, research institutes and technology providers.

PS Loop

The PS Loop started as a cooperative to demonstrate the feasibility of a large-scale demo plant as a closedloop solution for the recycling of polystyrene (PS). The demonstration plant in Terneuzen, Netherlands is now owned by the GEC Group and the plant works with the CreaSolv® Technology. BEWI supports the ramp up of the production.

Operation Clean Sweep (OCS)

BEWI is a partner in OCS initiative and have signed the Pledge to prevent Plastic Resin Loss from the company's production facilities. The commitment imposes all production facilities to identify high pollution risk areas and to mitigate risks through good housekeeping and pellets containment practices to work towards achieving zero pellet loss.

Plastic Europe

Plastic Europe is a European association of plastics manufactures with a vision to create a sustainable plastic system through the 'Plastics Transition' roadmap.

Polystyvert

Polystyvert is an innovative company that sets up a circular economy for styrenic plastics through a dissolution recycling process.

Our business

Integrated and diversified business model enables robust earnings

Diversified across regions

Broad European foothold with strong local presence

BEWI has 63 production facilities across Europe, in addition to 12 facilities owned through minority interests. The company is exposed to a range of industries and geographies, and has a broad coverage with a strong local presence. Proximity to customers results in less transport, enabling reduced cost and carbon footprint.

Facilities 3x Upstream facilities 55x Downstream facilities 5x Circular facilities 12x Facilities owned through minority interests

How we create value BEWI is leading the change towards a circular economy for its industry, creating value for society. We do business in a financially, environmentally and socially responsible manner, and we do it the BEWI way – creating long-term value for customers, society, employees, partners and shareholders. nancially, environmentally socially responsible manner, and we do it the ~3 64 solutions, creating ² ^| How we create value Contents | This is BEWI Our business Governance Board of directors' report Performance Financial statements ESG statements Remuneration report Appendix

We employ

BEWI employs various resources to create value and deliver on our mission

We innovate, procure, produce and collect We procure, produce and collect

BEWI produces raw materials and a range of solutions improving resource efficiency. We ensure to collect materials, bringing it back for reuse and recycling. BEWI produces a range improving resource eciency. We ensure to collect materials, bringing it back for reuse and recycling.

BEWI RAW BEWI I&C and P&C BEWI Circular

We create

BEWI provides innovative and sustainable solutions, creating value for society and stakeholders

Resources

~3 200 knowledgeable and innovative employees
BEWI culture and values
Patents, trademarks and brands
63 production facilities

Suppliers

• >10 000 suppliers

Capital
Equity • Sustainability linked bond and bank facilities

Key raw materials	By-products Key by-products
•	•
Styrene	Waste-water

GPPS/ reGPPS • GHG emissions
- Solid and hazardous waste
PLA

• EPS/ reEPS

• Fiber/ reFiber

• Chemicals

Key energy sources

• Electricity • Natural gas • Biobased energy sources

and solutions
- Raw materials

Key products

Insulation solutions
Packaging solutions • Technical bond Energy ecient towards a
- components

Shareholders

• Long-term value creation

Customers

Energy efficient
insulation solutions
- Sustainable packaging
- Circular loops
- Stable, trusted and high-quality supplier

Employees

• Safe and engaging working conditions

Society and nature

Taxes
Jobs
- Leading the change towards a circular economy

Operating segments

RAW

Produces raw materials for use in end products. The materials are white and grey expanded polystyrene (EPS), general purpose polystyrene (GPPS), and Biofoam, a fully bio-based particle foam.

Insulation & Construction (I&C)

Develops and manufactures an extensive range of insulation solutions, mainly for the building and construction industry.

Develops and manufactures standard and customised packaging solutions, as well as technical components for customers in many industrial sectors.

Circular

Responsible for BEWI's collection and recycling of EPS. The segment has a wide offering within waste management, trading of used materials, and re-processing of used materials.

Invested in increased circular capabilities

Segment RAW develops and produces raw material for use in end products. The materials include a range of white and grey EPS, GPPS, and Biofoam, a fully bio-based particle foam. The EPS and GPPS materials are produced with virgin and/ or recycled feedstock.

The raw material is sold externally and internally to BEWI's downstream segments. BEWI produces raw material at three facilities located in Porvoo in Finland, Etten-Leur in the Netherlands, and Wismar in Germany. Following expansion of the capacity in 2023 with a new production line in Etten-Leur, the group has a total production capacity of approximately 300 000 tonnes.

RAW

Market development

In 2023, the building and construction industry accounted for approximately 70 per cent of RAW's end market, including BEWI's downstream segment Insulation & Construction. On the back of macroeconomic developments, the activity in this industry started to decline in the second half of 2022 and continued to soften in 2023. This impacted prices and volumes for the segment in all regions. The competition in the market was strong, and producers of the EPS raw material ran at reduced capacity.

The year started with rather stable prices of styrene and EPS, followed by a drop from the decreased demand, partly driven by an accelerated downturn in the German market. During the second half of 2023 styrene and EPS prices started to increase, however remained low compared to 2022.

Highlights 2023

Well positioned for further growth

The raw material facility in Wismar, part of the Jackon acquisition, was fully integrated with BEWI's RAW segment. The site received permit to increase allowed production capacity from 65 to 100 thousand tonnes.

Increased capacity for use of recycled material

100

200

300

400

500

In December 2023, BEWI opened its new production line (extruder) for EPS at the raw material facility in Etten-Leur. The extruder facilitates the uptake of recycled polystyrene provided by the Circular division and enable increased use of recycled material in BEWI's downstream units. This contributes to reducing the company's greenhouse gas (GHG) emissions by replacing virgin fossil based raw materials with recycled. The new production line has an annual capacity of up to 25 000 tonnes of EPS, using virgin and/ or recycled feedstock.

Mass balance certification enabling broadened product offering with reduced CO2 footprint

BEWI's raw material production facilities are certified through the REDcert2 scheme, a certification solution for the chemical industry enabling more sustainable material flows. The certification includes the proven mass balance approach, enabling BEWI to allocate recycled material into selected products, based on customer preferences.

An overview of the financial performance for the RAW segment is included in the Board of Directors report.

We are excited about our new production line in Etten-Leur, enabling use of more recycled feedstock and significantly increasing our capacity of grey EPS

Alan Moss EVP and Head of RAW

Alan Moss joined BEWI in 2007, holding various finance positions. Moss has been Head of BEWI RAW since 2019.

RAW

GO BACK

Key achievements 2023

Integration of Jackon and Wismar facility
Start-up new production line (extruder) in Etten-Leur
REDcert certification
Successfully managing market development

Key priorities going forward

Commercialize mass balanced and recycled content grades (grey and white)
Optimise output of the new production line in Etten-Leur
Maintain healthy margins, and a sound split between internal and external sales

Climate change requires more insulation to improve energy efficiency

Segment I&C develops and manufactures an extensive range of insulation products for the building and construction industry, including solutions for foundations, walls, roofs, and ceilings, as well as infrastructure projects.

The products are primarily composed of EPS, XPS, and PIR, and are known by the brand names Thermomur, Siroc, UniPIR, SlimFix, Atlas, Jackodur, Jackoboard, and many more. The past years, the segment has experienced a significant increased demand for solutions under the product line GreenLine, which includes products with a lower climate footprint.

BEWI's insulation solutions are produced at 28 facilities in 11 countries. In addition, BEWI has minority interests in 5 facilities in France and 6 facilities in Germany.

Market development

The I&C segment is primarily exposed to the building and construction industry, where the activity declined during 2023. All BEWI's operating markets experienced lower demand compared to 2022. The Nordic and Baltic regions were hit first, while the decline in Germany and the Netherlands accelerated the second half of the year. Volumes were significantly impacted, although with large variations across regions. The largest drop was seen in the Nordics, while the UK and Iberia were least impacted.

Most of the segment's products and solutions can be used for both newbuilds and renovations.

Highlights 2023

Optimising production footprint and adjusting to shifting markets

Following the many and significant acquisitions completed in 2022, the I&C segment focused on integrating the new entities, including extracting synergies and optimising the production footprint of the group. The latter was especially important in the Nordic region, where BEWI and Jackon had the most synergies, and also where the activity in the building and construction industry declined first.

This resulted in temporary closing of two facilities, reduced shifts, fewer employees, and cost reductions. The organisation succeeded in initiating efficient measures, resulting in a margin improvement despite the significant lower activity in the markets.

Cross border sales and new markets

The integration of new entities also included identifying areas for successful cross border sales, such as sandwich panels, construction boards, and building systems for residential as well as commercial buildings.

Investing in waterproof bathroom solutions

In 2022, an investment in a new production line for construction boards in Olen in Belgium was initiated. The production serves the European

market, including the UK. The new production line will more than double current capacity. Production is expected to start during the first half of 2024.

Positioning for further growth in insulation solutions

In 2023, BEWI invested in an advanced production line for Siroc foundation systems in Skövde, Sweden, enabling a significant improvement in product design and a doubling of the current production capacity. The new production line, which started operating early 2024, follows the renovation of the 21 000 m2 production area in Skövde.

An overview of the financial performance for the I&C segment is included in the Board of Directors report.

We are very pleased with how we have adapted to the challenging markets in 2023, resulting in improved EBITDA margins despite significantly lower market activity

Karl Erik Olesen EVP and Head of Insulation & Construction

Karl Erik Olesen has held various positions in the packaging and component industry since 1988, mainly in sales and management. He was Managing Director for BEWI's Danish operation from 2017 and was appointed EVP and Head of Insulation & Construction in 2022.

BORA flagship store nZEB European standard North Rhine-Westphalia, Germany Jackodur XPS thermal insulation

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Key achievements 2023

Successfully reduced cost, adapting to markets, while also positioning for long-term growth
Strong profitability improvement despite reduced demand
Achieved commercial- and operational synergies from integrating acquired entities
Significantly increased use of recycled material in products and solutions with lower climate footprint

Key priorities going forward

Leverage on integrated model and circular capabilities, to excel on climate reduction targets
Secure strong platform for organic and strategic growth, including capitalise on investments
Increase share of high value added solutions, including systems, prefabricated elements, and products based on recycled content

Protecting food and fine goods

Segment P&C develops and manufactures standard and customised packaging solutions, including boxes for transportation of fresh fish, and protective packaging for pharmaceuticals and electronics.

Further, the segment delivers technical components for customers in many industrial sectors, such as the automotive and heating, ventilation, and air-condition (HVAC) sectors. The materials are mainly composed of EPS, EPP, or fibre, enabling a broad and complementary product offering. In addition, the segment sells traded products for food packaging. The solutions are produced at 37 facilities in 10 countries.

EPP bumpers and shock absorbing components from BEWI in vehicles enhancing safety and protecting people GO BACK

Market development

Food packaging accounts for approximately half of the sales for P&C, where the seafood industry is the most important end-market, and EPS boxes for transport of fresh fish the largest product. In addition, BEWI sells traded food packaging products. The demand for food packaging remained stable in 2023, with variations across quarters related to biology. Sales of traded products declined somewhat following an active decision to end deliveries to Russian fishing vessels operating in Norwegian harbours in 2022. The volumes have recovered but is not yet fully replaced.

Demand for paper-based packaging solutions is increasing, and BEWI is positioning to capture growth from this market by investing in increased production capacity.

Sales of automotive components have steadily increased since the challenges related to the shortage of electronic components started to ease in 2022. This is mainly driven by the growth in electrical vehicles in Europe. Demand for other industrial products, such as components to HVAC systems, was impacted by the slowdown in the building and construction industry, as well as other industries in Europe in 2023. This is expected to recover and grow going forward.

Highlights 2023

Successful start-up of new facility at Jøsnøya

In October 2023, BEWI commenced production at its new state-of-the art packaging facility at Jøsnøya, Norway, supplying fish boxes to its customers Mowi and Lerøy. The facility is certified through the REDcert+ scheme, enabling it to supply fish boxes with reduced CO2 footprint. The strategic location near customers facilitates efficient logistics, reducing transport by ~300 000 km annually.

Investing in paper packaging

Following increased demand for fibre-based packaging solutions, BEWI is expanding the production capacity at its facility in Thorsø,

Denmark. The project is expected to double the production capacity, with estimated completion in 2024.

Investing in increased production capacity for HVAC components

BEWI is increasing its capacity of EPP components for HVAC systems at its facility in Santo Tirso, Portugal. To support climate reduction targets, there is a huge need for energy efficient solutions, indicating a solid rebound and continued growth in HVAC systems going forward.

An overview of the financial performance for the P&C segment is included in the Board of Directors report.

We are eager to launch a new range of fish boxes based on recycled material, offering customers more solutions with reduced CO2 footprint

Stein Inge Liasjø EVP and Head of Packaging & Components

Stein Inge Liasjø has held leading positions within management, finance, and business development at European industrial companies. Liasjø joined BEWI in 2021 and was appointed EVP Head of Packaging and Components in 2022.

BEWI's new packaging facility Jøsnøya, Norway

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Commenced production in October 2023

Key achievements 2023

Jøsnøya packaging facility completed with first commercial volumes delivered
Optimised production footprint in Denmark and Sweden, reducing operating cost
Projects for increased capacity of HVAC components and paper-based packaging on track and near completion

Key priorities going forward

Launch of products reducing the CO2 footprint
Successful start-up of new production capacity in HVAC and paper packaging
Streamline operations to capture market recovery

recycled material

Segment Circular is responsible for BEWI's collection and recycling of used material. The segment has a wide offering within waste management and trading of used materials. In addition, Circular produces recycled general purpose polystyrene (rGPPS), which is used as raw material in the production of XPS and EPS.

Circular operates 5 recycling facilities in 5 countries. In addition, BEWI owns 34 per cent of a large recycling facility in Poland and operates collection stations in several countries.

Since the establishment of the business unit in 2018, BEWI has invested significantly in its circular capabilities.

Nacka vatten & avfall deposit centre sorted 8.5 tonnes of post consumer EPS for collection and recycling by BEWI Circular Enabling use of GO BACK

Circular

Market development

Segment Circular's key strategic priority is to secure waste streams, i.e., increase the collected volumes of materials for recycling. The market is fragmented, and immature, and good logistics are vital. The prices for recycled material correlate with prices of virgin raw material. However, as the supply chain for Circular is longer, the segment is more sensitive to volatile raw material prices. In 2023, demand for recycled material was impacted by the low activity in the building and construction industry.

Highlights 2023

Increased use of recycled material in own production

BEWI aims to steadily increase its own consumption of recycled materials, offering its customers more environmentally friendly solutions and reduce the company's CO2 emissions. This resulted in a significant increase in Circular's sales to BEWI's downstream segments in 2023, amounting to more than 20 per cent, compared to just over 1 per cent in 2022.

Key priorities going forward

Enhance pelletizer technology for optimal capacity of new extruder in Etten Leur

The group is investing in increased extruder capacity, enabling more recycled content in its products and a strengthening of Circular's offering of granulated material. Following start-up of RAW's new extrusion line, providing more recycled feedstock, the company will also invest in expanding its pelletizer technology in Circular.

Converting Norrköping facility to new Circular hub

BEWI's insulation facility in Norrköping will be converted to a Circular facility during 2024. The Norrköping facility has a strategic location, enabling efficient transportation to – and from BEWI's Nordic downstream facilities and other customers. The facility will become the centre for Circular's Nordic business.

An overview of the financial performance for the Circular segment is included in the Board of Directors report.

We are proud of collecting more used EPS for recycling than any other insulation company in Europe

Aljosa Krizman EVP and Head of Circular

Aljosa Krizman has solid international industry knowledge, recently as CFO of Hirsch, and has throughout the years built an extensive experience from business growth, acquisitions, and integrations. Krizman was appointed EVP and Head of Circular in 2023.

Villa Brogården Alingsås, Sweden

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2 600 m2 GreenLine EPS 100% recycled content 67% CO2 reductions compared to conventional material

Key achievements 2023

Integration of Berga Recycling, capitalising on Berga's platform
Capacity increase in Czechia
Collected ~27 000 tonnes of EPS for recycling

Key priorities going forward

Expanding of collection activities
Increase recycling capacity from a new facility in Norrköpping
Increase trading activities for recycling materials
Partnerships with customers to "close the loop"

Governance

BEWI annual report 2023

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Governance structure

General meeting

Approves BEWI's Articles of Association; Elects members to and resolves on remuneration for the board; Elects external auditor and approves auditor remuneration; Elects members to and resolves on remuneration for the nomination committee; Approves annual accounts and the report of the board; Approves dividend proposal; Deals with other matters listed in the notice convening the meeting.

Nomination committee

Recommends members for the board to be elected by shareholders at general meeting; Recommends members of the nomination committee; Recommends remuneration of the board and the nomination committee.

The Nomination Committee's mandate is approved by the general meeting.

Board of directors

Position	Gunnar Syvertsen Chair of the board	Kristina Schauman Director	Andreas M. Akselsen Director
Born	1954	1965	1977
Nationality	Norwegian	Swedish	Norwegian
Elected	2014	2016	2022
Education	M.Sc. Engineering	M.Sc. Business Administration, Stockholm School of Economics.	M. Sc. Business Administration from BI Norwegian School of Management, and a Bachelor of Sc. in mechanical engineering.
Professional background	CEO Heidelberg Cement Northern Europe AB, Managing Director Heidelberg Cement Norway AS, Managing Director Norcem AS, and other executive positions in Heidelberg Cement AG in Africa and the US.	Currently partner at Calea AB. Previous experience as CFO of OMX AB, Carnegie Investment Bank and Apoteket AB. Senior positions at Investor AB, ABB, and Stora Enso.	Various positions in Jackon Holding from 2004, including M&A, strategy and business development, and financing. In addition, assignments within real estate, early phase investment and restructuring projects.
Other selected directorships	Directorships in portfolio companies of BEWI Invest, the majority owner of BEWI ASA.	Board member of AFRY AB, Coor Service Management Holding AB, DanAds International AB, Vionlabs AB, Ellos Group AB, Viaplay Group AB and Ahlstrom Oyi.	Board member of HAAS (second largest shareholder of BEWI), Pridok AS, Bricks Beverages AS, Godthåb Holding AS and Installatøren Eiendom AS.
Committees	Audit committee, Remuneration committee	Audit committee
Board meetings 2023	15 of 15	15 of 15	15 of 15
Independence	Independent of material business contacts.	Independent of executive management, material business contacts and large shareholders.	Independent of material business contacts.
Shares per 31.12.23	180 506	193 452	32 079 0001

Various positions in Jackon Holding from 2004, including M&A, strategy and business development, and financing. In addition, assignments within real estate, early phase investment and restructuring projects.

Board member of HAAS (second largest shareholder of BEWI), Pridok AS, Bricks Beverages AS, Godthåb Holding AS and Installatøren Eiendom AS.

¹ 32 070 000 of the shares are held through the investment company HAAS AS, owned by the Akselsen family

Belgium.

CEO of BEWI ASA from 2018 to 2020, and CEO of Synbra Holding B.V. prior to the merger with BEWI. Senior positions in global industry companies, including Bombardier, and Raychem Corporation.

Board member of selected subsidiaries of the BEWI group.

MA in Economics and business administration, Norwegian School of Economics (NHH)

Currently investment director of Kverva AS. Broad experience from the financial markets and extensive background as Head of Investments at Alfred Berg Asset Management, Carnegie Asset Management and C WorldWide Asset Management.

Shares per 31.12.23 - 98 497 -

Independent of material business contacts and large shareholders. Independent of executive management and material business contacts.

¹ Pernille was elected at det annual general meeting on 1 June 2023, and participated at all meetings following the election

and large shareholders.

Executive management

	Christian Bekken	Marie Danielsson	Jonas Siljeskär	Petra Brantmark
Position	Chief Executive Officer (CEO)	Chief Financial Officer (CFO)	Chief Operations Officer (COO)	Chief Legal Officer (CLO)
Born	1982	1975	1972	1981
Nationality	Norwegian	Swedish	Swedish	Swedish
Employed	2022	2015	2010	2020
Education	Upper secondary general, financial, and adminis trative programmes.	M.Sc. Economics, Stockholm University, Sweden.	Degree in Engineering, Dalarna University, Sweden.	Master of Laws, Uppsala University Sweden.
Professional background and relevant directorships	Various positions with production and sales at BEWI, CEO Smart Bolig.	Auditor KPMG, Vice President Financial Control and Taxes, Haldex AB.	Managing Director BEWI RAW; Chief Operating Officer Gustafs Inredninga.	Senior Legal Counsel at Swedfund International AB and as Associate at Linklaters Law Firm.
	Majority shareholder of BEWI Invest, majority shareholder of BEWI ASA	Director of the board at BenchmarkHoldings plc, listed at AIM in London and Euronext Growth in Oslo.
Shares per 31.12.23	84 9861	185 452	124 126	17 4502
Options per 31.12.23	200 000	250 000	200 000	91 452

¹ Christian Bekken is a member of the Bekken family, who controls BEWI Invest, the majority shareholder of BEWI ASA, owning 97 958 328 on 31 December 2023. In addition, related parties of Christian Bekken held 9 800 shares ² Related parties of Petra Brantmark held a total of 5 458 shares on 31 December 2023

BEWI annual report 2023

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	Roger Olofsson	Charlotte Knudsen	Camilla Bjerkli
Position	Chief Human Resources Officer (CHRO)	Chief Communications and IR Officer (CCO)	Chief Sustainability Officer (CSO)
Born	1964	1973	1979
Nationality	Swedish	Norwegian	Norwegian
Employed	2019	2020	2020
Education	B.Sc. human resource development and labor relations, Umeå University, Sweden.	M.Sc. Economics and Business administration ("Siviløkonom"), Norwegian School of Economics (NHH), Norway.	PhD in Geography and a Masters degree in Industrial Ecology at Norwegian University of Science and Technology (NTNU).
Professional background and relevant directorships	SVP Human Resources at Scandic Hotels, senior HR roles at ABB, GE Healthcare and Loomis.	Senior advisor at First House and Crux Advisors, Director of IR and Communications at IDEX Biometrics ASA and EMGS ASA.	Professional background and relevant direc torships: Senior Researcher SINTEF, Associate Professor NTNU, Senior consultant COWI AS.
Shares per 31.12.23	5 952	42 681	37 202
Options per 31.12.23	125 000	91 000	31 250

	PhD in Geography and a Masters degree in Industrial Ecology at Norwegian University of Science and Technology (NTNU).
	Professional background and relevant direc torships: Senior Researcher SINTEF, Associate Professor NTNU, Senior consultant COWI AS.

¹ Christian Bekken is a member of the Bekken family, who controls BEWI Invest, the majority shareholder of BEWI ASA, owning 97 958 328 on 31 December 2022

² Related parties of Petra Brantmark held a total of 5 458 shares on 31 December 2022

Policies and compliance

BEWI has a set of steering documents and policies outlining the key principles and commitments governing the way BEWI operates.

The Code of Conduct provides the framework for how BEWI as a company and its employees are expected to act and behave, laying out the key principles for high ethical standards throughout the organisation. It is based on the UN Global Compact's ten principles and applies to all employees in all Group companies.

BEWI's management system is governed by policies and is in line with the company's strategy. The policies set out the group commitments, part of which

are internal policies and part of which are publicly available at BEWI's website. The policies are made available on BEWI's intranet and the employees are required to confirm that they have read and understood relevant policies.

BEWI's governing policies are annually reviewed to ensure alignment with the double materiality assess ment and are approved by the board of directors and/or executive management to reflect the company's strategy and industries' best practice.

Policies	Topics addressed	Management systems	How we monitor the effectiveness of the policy	Responsible
Code of Conduct	• Business ethics • Human and labor rights • Environment	The underlying policies as listed below: • BEWI's internal Gift and Event Policy • BEWI's internal Competition Law Compliance Policy • BEWI's Anti-Corruption Management System • World Check • BEWI's Supplier due diligence approach named "BEWI Partner"	• Whistleblowing channel • Monthly and annual reporting See further under each separate policy.	CLO/CHRO
Environmental Policy	• Climate change • Emission to air, land and water • Waste and hazardous waste • Circular economy • Biodiversity and Ecosystems	• TCFD • Carbon reduction plan • ISO 14001 • Operation Clean Sweep • TNFD	• Annual DMA reviews • Monthly, annual report • External audits	CSO
Human resource policy	• Equality, Diversity & Inclusion • Health and Safety • Recruitment and onboarding • Develop and Retain • Employee Engagement • Compensation • Employee Data Privacy protection • Social Media Usage Policy • Anti-bribery and Anti-corruption • Travel	• Group Health & Safety Committee • Talent Review Process • Be-heard process (employee survey)	• Number of accidents • Sickness rate • Performance and Development Dialogue • Annual Talent Review meetings on Business Units, Divisions and Group level • Annual Be-heard survey with key KPI's	CHRO
Supplier Code of Conduct	• Business Ethics • Environment • Human and labor rights	• BEWI Partner - supplier assessment • Risk assessment	• Monthly and annual reporting • External and internal audits	COO / CLO
Anti-Corruption policy	• Bribery/Corruption • Facilitation payments • Nepotism and cronyism • Political contributions • Money laundering • Financing of terrorism • Extortion • Fraud	• BEWI's Anti-Corruption Management System • Online trainings • Gift and Event Policy • World Check • BEWI Partner • Ad hoc external integrity checks • Authorisation Matrix	• Monthly and annal reporting as well as continuous follow -up • Whistleblowing channel	CLO
Sanction Policy	• Compliance with sanction laws	• World Check		CLO
Privacy Policy	• Privacy (GDPR)	• General Data Privacy Regulation • Online trainings	• Annual Reporting • Reporting channel via	CLO

Corporate governance

BEWI aims to maintain a high standard of corporate governance. Good corporate governance strengthens the confidence in the company and contributes to long-term value creation by determining the division of roles and responsibilities between shareholders, the board of directors and executive management.

Corporate governance at BEWI shall be based on the following main principles:

All shareholders shall be treated equally
BEWI shall maintain open, honest, relevant, and reliable communication with its stakeholders about the company's activities
BEWI's board of directors shall be autonomous and independent of the company's management
BEWI shall have a clear division of roles and responsibilities between shareholders, the board and management

1. Implementation and reporting on corporate governance

Compliance and regulations

The board of directors (the board) of BEWI ASA (the company) has the overall responsibility to ensure a high standard of corporate governance. The board has adopted corporate governance principles for the company which are assessed and adopted yearly. In addition, the board has adopted several other policy documents covering or related to corporate governance. The corporate governance principles are based on the Norwegian Code of Practice (the Code) for Corporate Governance issued by the Norwegian Corporate Governance Board (NCGB).

BEWI ASA is a Norwegian public limited liability company listed on the Oslo Børs (Oslo Stock Exchange). The company is subject to section 3-3b of the Norwegian Accounting Act, which requires the company to disclose certain corporate governance related information annually. In addition, the Issuers Rules of Oslo Børs, covered by the Oslo Rulebook II chapter 4.5 requires listed companies to publish an annual statement of its principles and practices with respect to corporate governance, covering every section of the Code. The Norwegian Accounting Act is available at www.lovdata.no (in Norwegian), while the Issuers Rules is available at www.oslobors.no.

BEWI seeks to comply with the latest version of the Code. The current Code was adopted on 14 October 2021 and is available at www.nues.no/english. Application of the Code is based on the 'comply or explain' principle, which means that the company must provide an explanation if it has chosen an alternative approach to specific recommendations.

BEWI provides an annual statement of its adherence to corporate governance.

Deviations from the Code: None

2. Business activity

BEWI is a provider of packaging, components, and insulation solutions.

The operations of BEWI shall comply with the business objective set forth in the company's articles of association section 3:

"The company's objective is to directly or indirectly conduct production, marketing and sales of customer tailor made packaging solutions and insulation materials and to conduct other business compatible therewith and to conduct services within the company group mainly within administration and finance."

The board has defined clear objectives and strategic priorities for the company, including long-term financial targets and sustainability targets, to ensure value creation for the shareholders and other stakeholders. The objectives are evaluated annually.

Sustainability is integrated in the company strategy, informed by the annual double materiality assessment performed. In December 2023, BEWI

committed to the Science-Based Targets Initiative (SBTi). The company will launch a climate reduction plan in 2024, to be verified by SBTi. Further, the company will complete a new double materiality assessment in 2024 in alignment with the Corporate Sustainability Reporting Directive (CSRD).

The board has adopted a Code of Conduct a key governing document setting out important principles for the company's ethical conduct of its business. The principles are used to business ethics, integrate considerations to human rights, employee rights and social matters, and the external environment and anti-corruption efforts. Further, the group has established separate policies on anti-corruption, gifts and events, compliance with competition law, sanctions, privacy, and whistleblowing guidelines.

In addition to the Code of Conduct setting out key principles for ethical business conduct, BEWI's core values, as set out below are guiding stones:

Responsible
Proud
Stable
Focus on quality

Deviations from the Code: None

3. Equity and dividends

Capital structure

The board is committed to maintain a satisfactory capital structure according to the company's goals, strategy, and risk profile, thereby ensuring that there is an appropriate balance between equity and other sources of financing. The board continuously assesses the company's capital requirements.

Dividends

The board has established a dividend policy where the long-term policy is to distribute between 30 and 50 per cent of the company's underlying net profit after tax, as dividends. When deciding on the annual dividend, the board will consider the company's financial position, investment plans as well as the needed financial flexibility for strategic growth.

For the financial year of 2022, the board proposed a dividend of NOK 0.60 per share. The dividends were proposed to be distributed following sale of the company's real estate portfolio. The sale of the entire real estate portfolio had not been completed by the end of 2023.

The board does not propose any dividend distribution for the financial year of 2023.

Board authorisations

Authorisations to the board to increase the share capital or to buy own shares will normally not be given for periods longer than until the next annual general meeting (AGM) of the company.

As of 31 December 2023, the board of BEWI had three authorisations:

1. Authorisation to increase the share capital by up to NOK 38 344 458 to strengthen the equity of the company, finance future growth, acquisitions, increase the liquidity and spread of ownership in respect of the company's shares or for other purposes as the board decides.
1. Authorisation to increase the share capital by up to NOK 5 751 668 in connection with the company's incentive programmes.
1. Authorisation to acquire own shares up to a nominal value of 19 172 229 (equal to 10 per cent of the company's share capital at the time of the authorisation). The shares shall either be cancelled or be used for the company's incentive programme, investments or as settlement in acquisitions.

All authorisations are valid until the annual general meeting in 2024, planned to be held on 4 June 2024, however expiring on 30 June 2024 at the latest.

Deviations from the Code: None

4. Equal treatment of shareholders and transactions with close associates

In the event of capital increases based on authorisations issued by the general meeting, where the existing shareholders' rights will be waived, the reason for this will be provided in a public announcement in connection with the capital increase.

Any transactions, agreements or arrangements between the company and its shareholders, members of the board, members of the executive management team or close associates of any such parties will be conducted in compliance with the procedures set out in the Norwegian Public Limited Liability Companies Act. The board shall arrange for a valuation to be obtained from an independent third party unless the transaction, agreement or arrangement in question is considered immaterial. Board members and members of the executive management team shall immediately notify the board if they have any material direct or indirect interest in any transaction entered by the company.

Trading own shares

Any transaction which the company carries out in its own shares will be carried out through the stock exchange, and at prevailing stock exchange prices. If there is limited liquidity in the company's shares, BEWI will consider other ways to ensure equal treatment of its shareholders.

Deviations from the Code: None

5. Shares and negotiability

BEWI has only one class of shares and all shares have equal rights. Each share has a face value of NOK 1.00 and carries one vote.

The company emphasise equal treatment of its shareholders and the shares are freely transferable.

6. General meetings

BEWI's highest decision-making body is the general meeting of shareholders. All shareholders have the right to participate in the general meetings of the company.

Article 7 of the company's articles of associations sets out the main principles of the company's general meeting, including that documents relating to matters to be dealt with do not need to be sent to the shareholders if such documents have been made available on the company's website.

The full notice for general meetings shall be made available to the shareholders no later than 21 days prior to the meeting. The board will ensure that the notice includes information about resolutions and

that supporting information is sufficiently detailed to allow shareholders to form a view on all matters to be considered at the meeting.

The annual general meeting (AGM) is held each year no later than six months after expiry of the preceding financial year. The board is represented at the AGM. General meetings are opened by the chair of the board, or the person appointed by the board. The board proposes a person to chair the meeting.

In 2023, BEWI held its AGM on 1 June. The AGM for 2024 is scheduled to be held on 4 June 2024.

Deviations from the Code: The Code states that the board should ensure that the chair of the company's nomination committee attends the general meeting. In BEWI, all matters covered by the general meeting in 2023 were determined to be approved prior to the meeting by way of registered voting instructions, and the company therefore considered it unnecessary for the chair of the nomination committee to attend. The company will however reconsider this for the upcoming meeting in 2024.

7. Nomination committee

Article 8 of the company's articles of association stipulates that the company shall have a nomination committee, consisting of two to four members. The majority of the members shall be independent of the board and management. The members, including the chairperson, will be elected by the general meeting for a term of two years unless the general meeting decides otherwise in connection with the election.

The nomination committee gives recommendations to the general meeting for the election of members to the board and the chairperson of the board, as well as to members of the nomination committee. The nomination committee also presents to the general meeting proposals for remuneration to the board and to the nomination committee.

When proposing candidates to the board, the committee shall consider that the board shall be composed to maintain the interests of the shareholders and the company's need for competence and diversity, and that the board shall function well as a collegiate body.

In 2023, the nomination committee of BEWI consisted of Liv Malvik (chair) and Roar Husby. Both were re-elected on the extraordinary general meeting held on 16 February 2022 until the annual general meeting of 2024. Instructions for the nomination committee was adopted by the extraordinary general meeting of the company held on 21 August 2020.

Deviations from the Code: None

8. Board of Directors: composition and independence

Composition of the board

According to article 5 of BEWI's articles of associations, the board shall consist of a minimum of three and a maximum of eight board members elected by the general meeting for a period of two years, unless otherwise decided by the general meeting in connection with the election. The general meeting appoints the chair of the board.

The Public Limited Companies Act states that if the board has five or six members, the board could include a maximum of three members of each gender. As of 31 December 2023, the board of BEWI ASA consisted of six members, whereof three of each gender.

In appointing members to the board, it is emphasised that the board shall have the requisite competency to independently evaluate the cases presented by the executive management team as well as the company's operations. It is also considered important that the board can function well as a body of colleagues. Board members shall be elected for periods not exceeding two years at a time, with the possibility of re-election. Board members shall be encouraged to own shares in the company.

An overview of the board members' competence, background and which of the board members that are considered independent, is included in a separate section of this annual report and is also available from the company's website www.bewi.com.

Independence of the board

The board shall be composed such that it is able to act in the interests of all shareholders and act independently of any special interests. All members of the board are deemed to be independent of the company's material business partners, three of the members are independent of the company's major shareholders, and three of the members are independent of the company's senior executives.

Deviations from the Code: None.

9. The work of the Board of Directors

The board shall ensure that the company has proper management with clear internal distribution of responsibilities and duties. A clear division of work has been established between the board and the executive management team. The CEO is responsible for the executive management of the company.

Instructions to the board and the CEO are reviewed and approved at least annually. The board has the overall responsibility for the management of the

group and the supervision of its day-to-day management and business activities. The board shall prepare an annual plan for its work with special emphasis on goals, strategy, and implementation. The board's primary responsibility shall be (i) participating in the development and approval of the company's strategy, (ii) performing necessary monitoring functions and (iii) acting as an advisory body for the executive management team. The chairperson of the board is responsible for ensuring that the board's work is performed in an effective and correct manner.

The members of the board receive information about the company's operational and financial development monthly. The company's strategies shall regularly, and at least once a year, be subject to review and evaluation by the board.

The company's instructions governing the board's working practices include how individual directors and the CEO shall act in relation to matters in which they have a personal interest. Each director must assess his/her own impartiality and inform the board of any possible conflict of interest. The instructions furthermore stipulate how material agreements between the company and its shareholders and other close associates shall be handled and approved, including the requirement of an independent third-party valuation. Such requirement does not apply for transactions that are subject to the approval of the general meeting pursuant to the Norwegian

Companies Act. Independent valuations shall also be procured for material transactions between companies within the group if any of the companies involved have minority shareholders. Agreements with related parties is included in the notes to the financial statements in the annual report.

The board meets as often as necessary to perform its duties. In 2023, the board held 15 meetings. All board members attended all meetings. The board prepares an annual evaluation of its work.

Sub-committees of the board Audit committee

Pursuant to the Norwegian Public Limited Liability Companies Act and the listing rules of the Oslo Stock Exchange, the company shall have an audit committee. The audit committee shall consist of at least two members. At least one member must have accounting or auditing proficiency and at least one member must be independent of the company's business. The audit committee is appointed by the board.

The committee's main task is to assist the board with addressing and preparing issues concerning, amongst other, procurement of audit services, monitoring the work of the auditors and the company's internal control systems, monitoring the risk management of the company and the financial and sustainability reporting and any other issues that the board may assign to the committee.

The instructions to the audit committee are reviewed and approved at least annually. As of 31 December 2023, BEWI's audit committee consisted of Kristina Schauman (chair) and Gunnar Syvertsen.

Remuneration committee

The company shall have a remuneration committee appointed by the board. The remuneration committee shall evaluate and propose the compensation of BEWI's CEO, and review and advice the CEO on the compensation of other members of the executive management team.

The board adopted instructions to the committee on 1 June 2023. The remuneration committee consists of Anne-Lise Aukner as chair and Gunnar Syvertsen as member.

Deviations from the Code: None

10. Risk management and internal control

The board is responsible for ensuring that BEWI has sound internal control and systems for risk management that are appropriate in relation to the extent and nature of the company's activities. The internal control and the systems shall also encompass the company's corporate values and ethical guidelines.

The board shall annually review the company's most important areas of risk exposure and the internal control arrangement in place for such areas. The review shall pay attention to any material shortcomings or weaknesses in the company's internal control and how risks are being managed.

The annual review is normally carried out in relation to the board's approval of the annual report, including the financial statements and board of director's report, where the risks are further described.

Different methods are used for evaluating risks and for ensuring that the relevant risks to which BEWI is exposed are managed in accordance with established policies and guidelines. Risks and risk management are described in a separate section of BEWI's annual report.

Internal control of financial reporting is achieved through day-to-day follow-up by management, and supervision by the company's audit committee.

The objective of the risk management and internal control is to manage exposure to risks, to ensure successful conduct of the company's business and to support the quality of its financial reporting.

The board has approved routines for internal control and risk management.

Deviations from the Code: None

11. Board remuneration

The general meeting shall determine the board's remuneration. The remuneration to the board members shall not be performance-related nor include share option elements.

The board's remuneration was approved on the company's annual general meeting on 1 June 2023, following a proposal from the nomination committee.

The board shall be informed if individual board members perform tasks for the company other than exercising their role as board members.

Work in sub committees, such as the audit committee and the remuneration committee, is compensated in addition to the remuneration received for board membership.

As of 31 December 2023, three of the board members had agreements to perform advisory work for the company in addition to their assignment as board members.

Deviations from the Code: None

12. Remuneration of Executive Management

Pursuant to Section 6-16a of the Norwegian Public Limited Companies Act (NPLCA), the board prepares guidelines for determination of salaries and other benefits payable to senior executives. The guidelines will, in line with the said statutory provision, as well as Section 5-6 (3) of the same Act be approved by the general meeting. If the guidelines are materially altered, the guidelines will be laid before, and approved by the general meeting. The guidelines will be approved by the general meeting at least every four years. In addition to the guidelines, the board prepares a remuneration report pursuant to Section 6-16b of NPLCA. Such report will be considered by the company's general meeting and shall be subject to an advisory vote by the general meeting in accordance with NPLCA Section 5-6 (4). The guidelines and remuneration report are included in the company's annual report and is available at the company's website.

The company's senior executive remuneration policy is based primarily on the principle that executive pay should be competitive and motivating, to attract and retain key personnel with the necessary competence.

The statement refers to the fact that the board shall determine the salary and other benefits payable to

the CEO. The salary and benefits payable to other senior executives are determined by the CEO in accordance with the guidelines. The CEO will normally propose the remuneration to senior executives in consultation with members of the remuneration committee.

Deviations from the Code: None

13. Information and communication

Investor relations

Communication with shareholders, investors and analysts is a high priority for BEWI. The objective is to ensure that the financial markets and shareholders receive correct and timely information, thus providing a sound foundation for a valuation of the company. All market players shall have access to the same information, and all information is published in English. All notices sent to the stock exchange are made available on the company's website and at www.newsweb.no.

BEWI's ambition is to comply with the latest version of the Oslo Børs Code of Practice for IR ("the IR Code"), including recommendations on the reporting of information to investors on the company's websites. The board of BEWI has adopted a policy on handling of inside information and other disclosure obligations, as well as an information policy. Included in the policies are, among others, guidelines on trading in the share by key employees, including clearance prior to trading, and division of roles and responsibilities. The CEO, CFO and Chief of Communications and Investor Relations (CCO) are responsible for communicating with shareholders between general meetings.

Financial information

The company holds investor presentations in association with the publication of its quarterly results. These presentations are open to all and provide an overview of the group's operational and financial performance in the previous quarter, as well as an overview of the general market outlook. These presentations are also made available on the company's website.

Quiet period

BEWI maintains a silent period of 30 days prior to the day of the company's publication of interim reports. During this period, representatives of the company will minimize its contact with financial media, analysts, and investors and not comment on any financial development.

Restricted trading periods

Persons defined as primary insiders of BEWI, as well as related parties of the primary insiders, are not allowed to acquire or sell shares in the company or

related financial instruments during the period of 30 days prior to the company's publication of the report for the fourth quarter, including preliminary full year results, and the report for the first half year. BEWI publishes a financial calendar on its website and at the Oslo Børs's website, setting out the expected dates of publication for its reports.

Deviations from the Code: None

14. Take-over situations

In a take-over process, should it occur, the board and the executive management team each have an individual responsibility to ensure that the company's shareholders are treated equally and that there are no unnecessary interruptions to the company's business activities. The board has a particular responsibility in ensuring that the shareholders have sufficient information and time to assess the offer.

In the event of a take-over process, the board shall ensure that:

• the board will not seek to hinder or obstruct any takeover bid for the company's operations or shares unless there are particular reasons for doing so;

the board shall not undertake any actions intended to give shareholders or others an unreasonable advantage at the expense of other shareholders or the company;
the board shall not institute measures with the intention of protecting the personal interests of its members at the expense of the interests of the shareholders; and
the board shall be aware of the particular duty it has for ensuring that the values and interests of the shareholders are protected.

In the event of a take-over bid, the board will, in addition to complying with relevant legislation and regulations, seek to comply with the recommendations in the Code. This could include obtaining a valuation and fairness opinion from an independent expert. On this basis, the board shall draw up a statement containing a well-grounded evaluation of the bid and make a recommendation as to whether or not the shareholders should accept the bid. The evaluation shall specify how, for example, a take-over would affect long-term value creation of BEWI.

Deviations from the Code: None

15. Auditor

The auditor is appointed by the annual general meeting and is independent of BEWI ASA. Each year the board shall receive written confirmation from the auditor that the requirements with respect to independence and objectivity have been met.

Each year, the auditor shall draw up a plan for the execution of their auditing activities, and the plan shall be made known to the board and the audit committee. The board should specifically consider if the auditor to a satisfactory degree also carries out a control function and the auditor shall meet with the audit committee annually to review and evaluate the company's internal control activities.

The auditor shall meet with the Board without the CEO or any other member of the senior management present at least once a year. Whenever necessary, the board shall meet with the auditor to review the auditor's view on the company's accounting principles, risk areas, internal control routines, etc.

The auditor may only be used as a financial advisor to the company provided that such use of the auditor does not have the ability to affect or question the auditors' independence and objectiveness as auditor for the company. The audit committee shall approve any agreements in respect of such counselling

assignments in accordance with BEWI's internal policies.

At the annual general meeting the board shall present a review of the auditor's compensation as paid for auditory work required by law and remuneration associated with other specific assignments.

The auditor for BEWI ASA is PWC.

Deviations from the Code: None

Material impacts in our value chain

BEWI's double materiality assessment resulted in six material topics with an external and internal impact.

How the company manages, and monitors material topics depends on where and when they are likely to have an impact. BEWI's approach is to minimise negative impacts from own operations and the value chain while working towards the vision to protecting people and goods for a better everyday.

Sub-topics in bold is identified as double materiality

BEWI define the value chain as:

Supply chain: Suppliers providing BEWI with raw materials, products and services

Production: BEWI`s manufacturing to factory gate

Logistics: Distribution and transport of products in and out from BEWI`s production facilities

• ~3 200 knowledgeable and innovative employees • BEWI culture and values • Patents, trademarks and brands • 64 production facilities

•

BEWI employs various resources to create value and deliver on our mission

• Equity

• Sustainability linked bond and bank facilities

Resources

End of life: End of life treatment of BEWI`s products

BEWI annual report 2023

Policies	Material topic	Sub topics	Supply chain	Production	Logistics	End of life
	Climate change	GHG emissions from raw materials
		GHG emissions from transportation of goods
		GHG emissions from manufacturing
		Climate related risks
	Biodiversity and ecosystems	Potential pollution of microplastics
Environment		Spills of hazardous chemicals (BEWI RAW)
	Resource efficiency and circularity	Recycling
		Energy scarcity
		Resource consumtion
How we create value		Waste generation Contents This is BEWI Our business Governance Board of directors' report	Performance	Financial statements	ESG statements	Remuneration report Appendix
	Own workforce How we create value	Occupational health and safety
Social		Talent attraction and retention
		Diversity in workplace
		Employee work-life balance We do business in a nancially, environmentally and socially responsible manner, and we do it the
	Workers in the value chain	Violation of human and labour rights
Governance We employ	Ethical business conduct	Anti-competitive practices
		Corruption in own operation
		We procure, produce and collect Unethical business conduct			We create

BEWI produces raw materials and a range of solutions improving resource eciency. We ensure to collect materials, bringing it back for reuse and recycling.

• • Natural gas • Biobased energy sources

Key energy sources

Key products and solutions • Raw materials • Insulation solutions • Packaging solutions • Technical components

By-products • • • Solid and

Key raw materials

• • EPS/ reEPS • GPPS/ reGPPS • Fiber/ reFiber • PLA • Chemicals

working conditions Society and nature • Taxes • Jobs

BEWI provides innovative and sustainable solutions, creating value for society and stakeholders

• Leading the change towards a circular economy

Shareholders • Long-term value creation

Customers • Energy ecient insulation solutions • Sustainable packaging • Circular loops • Stable, trusted and high-quality supplier

Double materiality assessment

BEWI's success and long-term resilience depend on delivering value to the company's stakeholders.

	2021	2022	2023
Environment	• Climate change • Circular economy	• Climate change mitigation • Climate change adaptation • Biodiversity and ecosystems • Resource efficiency and circularity	• Climate change • Biodiversity and ecosystems • Resource use and circular economy
Social	• Health and safety at production facility • Supply chain management	• Working conditions • Human rights • Local communities	• Own workforce • Workers in value chain
Governance	• Corruption	• Ethical business conduct	• Business conduct

To ensure alignment between the company's strategic goals and stakeholders' expectations, a double materiality assessment is conducted on a yearly basis. The aim is to identify and prioritise topics having the potential to affect BEWI's value creation, along with topics that represent actual and potential negative or positive environmental and social impacts related to the company's activities. The assessment is part of BEWI's strategic approach, ensuring that the company continuously improves its understanding and aligns with a rapidly changing sustainability landscape. The assessment is validated by the audit committee and approved by the board of directors annually.

BEWI's double materiality assessment from 2022 identified eight material topics. The full report of the materiality assessment for 2022 can be found on BEWI's website.

In 2023, BEWI focused on strengthening the understanding on how to address identified material topics, integrating them into the company's strategy, as well as anchoring impacts, risks, and opportunities in the governance structure. The materiality assessment

from 2022 was furthermore reviewed by the executive management team and adjusted to align with the topical standards in ESRS. The following changes were implemented:

Climate change mitigation and climate change adaptation are reorganised under climate change.
Working conditions are renamed to own workforce.
Human rights are renamed to workers in value chain. Human right topics within own organisation are included in own workforce.
Local communities are removed as a material topic. The topic was included as a material topic due to the potential impact of spills of microplastics BEWI could have on local communities. This impact is covered in biodiversity and ecosystems where local communities are identified as an impacted stakeholder.

BEWI is preparing to conduct a new double materiality assessment in 2024 to further strengthen the assessment to align with the Corporate Sustainability Reporting Directive (CSRD).

stakeholders

with stakeholders

Report x Engaging with Stakeholder engagement is part of BEWI`s double materiality assessment. The engagement is important to understand what is expected of the company, how the company impacts its stakeholders, how to solve common Stakeholder engagement is part of BEWI's double materiality assessment and is important to understand what is expected of the company, how the company impacts its stakeholders, how to solve common challenges, and how to capture opportunities.

Strengthening stakeholder engagement

challenges, and how to capture opportunities.

the company can reduce impact and increase value creation.

Strengthening stakeholder engagement To prepare for a double materiality assessment in accordance with ESRS, BEWI has integrated a more strategic approach for stakeholder engagement.

To prepare for a double materiality assessment in accordance with ESRS, BEWI

has worked to integrate a more strategic approach for stakeholder engagement. For each identied stakeholder, an engagement plan is developed. Stakeholder engagement is organised both at group level, in divisions/ segments and in the local business units. Information from stakeholder dialogue throughout the year informs the company`s strategic priorities, ensuring that BEWI addresses where For each identified stakeholder (affected and users) in the double materiality assessment, an engagement plan is developed. Stakeholder engagement is organised both at the corporate level and in the business segments. Information from stakeholder dialogue throughout the year informs the company's strategic priorities to ensure that BEWI addresses where the company can reduce impact and create value.

The Chief Sustainability Ocer of the BEWI group is responsible for consolidating information and to ensure that stakeholders views and interests are included in the double materiality assessment and communicated the executive manage-The Chief Sustainability Officer is responsible for consolidating information and to ensure that stakeholders views and interests are included in the double materiality assessment and communicated to executive management and board of directors.

ment and board of directors.

Stakeholder engagement

BEWI has a stakeholder engagement plan setting out the basis for how to engage with stakeholders throughout the year, ensuring that insights on important topics are captured and discussed.

Stakeholders	How BEWI engage	Purpose of engagement	BEWI`s response
Capital markets	• Quarterly and annual reports • Meetings • Capital markets day • ESG ratings	• Understanding expectation to sustainability • Enhancing transparency	• Annual double materiality assessment informing strategic priorities
Employees	• General meetings • Employee survey • Personal development dialogues • Occupational health and safety	• Employee satisfaction • Contributing to an inclusive workplace • Contributing to development • Work life balance	• Annual policy update • Improvement and action plans • Communication • Group Initiatives and campaigns
Customers	• Customers meeting • Seminars • Research projects	• Ensuring product quality • Enable customers to reach their targets • Meeting customers' needs and expectations	• Product improvements • Adaption of market strategy • Improvement and actions plans
Suppliers	• Supplier Due Diligence procedures • Workshops and industry collaborations • Supplier meetings	• Compliance with BEWI's code of conduct for suppliers • Protecting human and labor rights • Ensuring a stable and ethical supply chain • Decarbonizing BEWI`s supply chain	• Informed selection of suppliers • Supplier improvements plans • Streamlined supplier expectations
Authorities	• Engagement through industry associations • Participation in analysis and studies • Participation in conference • Annual reporting	• Ensuring regulatory compliance • Ensuring sustainable practices • Sharing industry best practice	• Aligning business model and strategy • Value creation and risk mitigation
Civil society	• Open dialogue and partnerships • Engagement in seminars and activities • Contribution to research projects	• Share knowledge and best practice	• Alignment with expectations
The industry	• Membership in associations • Workshops and knowledge training	• Enabling the industry to engage policy makers • Developing industry standards • Working towards climate reduction	• Alignment on reporting standards • Alignment on strategic directions • Partnership on key areas - climate reduction and circular economy

Governance and management of material topics

ESG is integrated in BEWI's governance structure. The CSO is responsible for the systematic integration of ESG topics in the core business processes and to coordinate the work across the divisional structure. The CSO works closely with the CFO, CHRO, CLO, the company's risk manager and other group functions to ensure integration of ESG in the group's strategy and core processes.

The group's divisional management teams are responsible for ESG in their respective segments. Furthermore, local business units and production facilities are responsible for ESG in their organisations and for ensuring compliance with group policies, and for delivering on group commitments and local legal requirements. All segments in BEWI have dedicated resources and cross functionals teams supporting the development and integration of strategies and commitments.

The CSO holds regular meetings with the operational management team and the business segments to coordinate and support the integration of material topics across corporate functions and business segments. Material topics are integrated into strategy through dedicated programs focusing on key impacts, risks, and opportunities. For each program, a roadmap is created, establishing a clear governance framework and mapping out specific actions, goals, measures, and policies.

Targets in this report are based on the targets set out in BEWI's sustainability strategy published in 2021. BEWI is currently concluding a new double materiality assessment and is in the final stages of developing

BEWI's programmes:

Science-aligned climate action
Energy efficiency and transition to renewable energy sources
Circular economy
Biodiversity
Health & Safety
Sustainable procurement

a climate reduction plan. In 2024, BEWI will revise targets for each material topic in line with CSRD and ESRS.

ESG is reviewed continuously by the executive management and board of directors to ensure progress towards strategic commitments. Divisional management teams and managers in the local business units have ESG targets linked to their remuneration to support the delivery of BEWI's strategic priorities.

Risks and risk management

In BEWI, risks are an integral part of the day-to-day operations, where business opportunities are seen in the context of both risks and rewards. BEWI operates in diverse and competitive markets where the past years macroeconomic and regulatory development and uncertainties have been incorporated in the group's risk management process.

BEWI defines risks as exposures that if materialised will have a negative impact on the group's ability to reach strategic goals within a defined period. Although risks are a natural part of business operations, they can be managed and controlled in order to realise strategic plans, meet business objectives and ensure adherence to laws, regulations and applicable best practice for the occupancy.

BEWI risk management model

While risk management involves all BEWI employees it is the responsibility of the group management to ensure that risks are identified, and mitigation actions are taken where risks cannot be accepted. BEWI's risk management approach includes the processes and procedures undertaken to identify, prioritise and manage identified risks. By evaluating and reporting

risk exposures and identifying risk mitigations, BEWI will reduce the group's risks. The goal is to create a culture of awareness amongst all employees with knowledge of how to manage unwanted risks to achieve the group's business objectives.

Identifying and prioritising risks related to ESG are not fully included in BEWI's risk management approach, as these risks are assessed using different parameters.

In 2023, physical and transitional climate change risks were included in the corporate risk management, and the group is working to align the corporate risk management with ESG risks assessments to be able to provide a more consolidated picture together with business risks.

At all levels shall risk assessments be done in relation to BEWI's objectives which include identification of risks, evaluation of probability and impact, and appropriate response to mitigate unwanted risks.

BEWI's "bottom-up" approach means that all divisions and group functions are responsible for their respective risks and identified actions. Risks should be timely and transparently disclosed as part of operational work, project and reporting in order to ensure that risks connected to business opportunities are adequately managed. Monitoring and support procedures shall help ensure that identified risks are prioritised and managed within the given mandates or escalated.

On behalf of BEWI's executive management team, it is the responsibility of BEWI group risk management to maintain the enterprise risk management framework

and process which includes collecting, consolidating and aggregating risks in order to help prioritising actions where most needed. Consolidated risks are monitored and continuously discussed with the executive management team and the result is presented to the board of directors on a recurring basis.

BEWI has a comprehensive risk universe, where all risks are categorised within the areas of operational-, strategic-, external-, financial- and climate-risks. All risks are divided into sub-categories in which risks are aggregated and trended within the group.

The risks described below are considered the most important risks relevant for the BEWI group, comprising BEWI ASA, subsidiaries and associated companies.

Operational risks

Risk	Risk description	Impact on BEWI	Mitigation actions	Material Topics
Cyber Security breaches	Unauthorized access to, or use of, BEWI's business or control systems could lead to interruption in operations	Hinder production and logistics all over the value chain	Implementation of group security measures and continuous improvements of information security practices at all levels
Increased competition	New volumes entering the market from low-cost countries. More extrusion capacity and new technologies for recycling being made available	Loss of market shares	Cost and capacity adjustments, ensure effective logistics and strong focus on R&D and innovations
IT systems interruption	In the event of a group-wide incident from any cause, combined with BEWI's reliance on a large number of suppliers/vendors, this could lead to significant loss of efficiency and business interruption	Halt in production and logistic chain hinder BEWI from delivering to customers	Mapping of the current PLC's used, creating renewal/ update plans, secure the sufficient resources and knowhow and also design and implement a group-wide guideline for IT systems
Talent attraction, succession planning and employee retention	Difficulties to engage and keep skilled employees	Loss of key personnel and know-how may hinder BEWI's growth plans	Talent and growth developments, succession planning, employee branding together with the BEWI sustainable agenda combined with salary and benefits	Own workforce

Strategic risks

Risk	Risk description	Impact on BEWI	Mitigation actions	Material Topics
Macroeconomic developments	The inability to adapt to inflation, high interest rates, reduced market demand, including slowdown in the building and construction industry.	Delayed projects, loss of sales, lower margins, and lower EBITDA. Difficulties to plan long-term leads to the company being less agile.	High level risk management including monitoring of raw material prices, inventories, market development, strict cost control. The group's diverse end-markets, business portfolio and geographical footprint will help limit impacts for BEWI.

External risks

Risk	Risk description	Impact on BEWI	Mitigation actions	Material Topics
Geopolitical conflicts	Conflicts threatening supply, customer demand, costs and reputation/image	Loss of business opportunities and closed markets could affect BEWI's business development and EBITDA	Close monitoring in order to be ahead of potential threats and continuously adjusting the business to the actual situation
Access to energy and critical raw materials	Lack of critical raw materials or utilities. Business consolidations affects the supply to BEWI	Raw material prices will have a direct impact on BEWI's EBITDA. As highly dependent on energy, limitations in energy supply and/ or high energy costs, could hinder investments in new production lines/ processes	Alternative suppliers and multi-sourcing. Vertical integration in own value chain.	Resource efficiency and circularity

Financial risks 1

Risk	Risk description	Impact on BEWI	Mitigation actions	Material Topics
Availability of competitive financing	Market changes resulting in lack of investors' appetite to invest in BEWI	Lack of financing that hinders growth opportunities in accordance with the set strategy	Cash-flow forecasting and building long-term relationship with banks and capital markets, diversifying financing sources and managing debt maturity profile

Climate risks

Risk	Risk description	Impact on BEWI	Mitigation actions	Material Topics
Changes in climate related regulatory frameworks	Limitations or regulations preventing usage of raw materials and/or the sale of finished products	Hinder the growth of BEWI's business as well as the use of existing production methods.	Climate reduction plans with actions to reduce GHG emissions, focusing on securing waste streams, increasing collection and recycling capacity.	Climate change
Negative reputation, concerns related to microplastics	Damage caused by spillage or leakage that negatively impact nature, animals, and/or human health	Negative reputation and unwanted costs associated with sanitation and cleanup	Regular monitoring of potential risks, cooperations with authorities and implementation of Operation Clean Sweep at all sites	Biodiversity and ecosystems

¹ Please note that a description of BEWI's financial risks is included in the notes to the financial statements.

Statement on remuneration of executive management

1. Overview

This statement on executive remuneration is prepared by the board of directors ("the board") of BEWI ASA (the "company") in accordance with Section 6-16a of the Norwegian Public Limited Liabilities Companies Act as applicable per 1 January 2021 ("NPLCA") and the administrative regulation regarding policy and report for the remuneration of the executive management.

The board does not have members elected by and among the employees of the company or of the group.

The total remuneration for the CEO and the other executives consists of annual base salary, variable pay, options awarded under a share option plan and other benefits, including pension.

2. Remuneration policy for the executive management

2.1 General remarks

The remuneration is an important instrument for harmonizing the company's interests with the interests of the executive management. The general meeting shall therefore approve the guidelines, and the guidelines shall be made available at the company's website.

The purpose of the company's remuneration policy for the executive management is to contribute to the company's business strategy, long-term interests, and sustainability of the company. Further, BEWI's remuneration policy shall encourage a strong and sustainable performance-based culture, growth, shareholder value over time and responsible business practices aligned with the company's values. The total remuneration level shall be in line with the relevant market level for peers within the industry, but not market leading.

2.2 Annual base salary

The executives are compensated based on individual criteria, including each executive's role, experience, and competence. All executives are evaluated yearly as part of the company's Performance and Development Dialogue (PDD). The total compensation level targets at attracting and retaining executives, and to maintain a compensation level which for each individual is competitive compared to market conditions for the relevant position and individual.

BEWI applies standard employment contracts and standard terms and conditions regarding notice period and severance pay, which shall be deductible to other income.

Internal board assignments and similar internal positions are not remunerated separately. External assignments shall be approved by the CEO or by the board.

2.3 Pension scheme

Executives are members of the standard pension and insurance schemes on the same terms and conditions as non-executives in the country of employment. Executives are not entitled to early retirement.

2.4 Pay after termination of employment

The CEO and the COO is entitled to 12- and 6-months' severance pay respectively. Other executives are not entitled to pay after termination of employment.

2.5 Other types of remuneration

Executives may receive benefits in line with relevant market practice, such as free phone, PC, broadband, newspapers, and parking.

2.6 Variable pay

BEWI has a variable incentive pay programme including the executive management team, as well as other key executives. The objective of the programme is to encourage achievement of financial- and operational targets. The variable pay programme is based on

defined and measurable criteria, including financial targets and targets linked to strategic priorities.

The variable pay programme potential is maximized to 50 per cent of the annual base salary.

2.7 Share option plan for executive employees

On 19 November 2020, the board of BEWI adopted a share option plan comprising the executive management and other key employees of the company. The programme was resolved based on the approval by the extraordinary general meeting on 16 November 2020 to authorise the board to issue new shares to employees under a long-term incentive programme. The aggregate number of options under the plan shall never exceed two (2) per cent of the outstanding shares of the company, including options already outstanding.

The purpose of the share option plan is to further align the interests of the company and its shareholders. The awards of options shall give an interest in the company parallel to that of the shareholders, enhancing the interests of the executives to the company's continued long-term success and progress and motivate for individual contributions. The share option plan shall enable the company to attract and retain the executive employees and other key

employees. Further details about the programme are included in the Remuneration report.

3. Annual remuneration report

BEWI will for each financial year produce and make public a remuneration report in accordance with NPLCA Section 6-16b. Such report shall be considered by the company's general meeting and shall be subject to an advisory vote by the general meeting in accordance with NPLCA Section 5-6 (4). If the shareholders vote against the remuneration report, the company will explain, in the following remuneration report, how the vote of the shareholders was taken into account.

The remuneration report for 2023 is included in BEWI's annual report for 2023, available from the company's website, www.bewi.com. The report includes details about the variable pay programme and the company's long-term incentive programme (share option plan). The notes to the financial statements for the financial year of 2023, includes an overview of the remuneration to the executive management.

BEWI has a remuneration committee. The current committee was elected on 1 June 2023 for a period of one year. Instructions for the committee was adopted at the board meeting on 1 June 2023.

4. Temporary derogation from the applicable remuneration policy

The board can only derogate from any element of the remuneration policy in exceptional circumstances, and only in situations where the derogation from the remuneration policy is necessary to serve the long-term interests and sustainability of the company, cfr. NPLCA section 16-6a (4).

Any derogation shall be explained and motivated by the company's and the shareholders' interests in retaining the executives under extraordinary circumstances.

Any derogation shall be considered by the boards as required in the specific situation and for the individual employee.

The remuneration report shall include information on remuneration awarded under such exceptional circumstances.

5. Amendments

Material variations in the remuneration policy shall be subject to approval by the BEWI's general meeting, and the policy shall be considered and approved by the general meeting at least every fourth year.

6. Publication of the remuneration policy

The remuneration policy will be made public on BEWI's website, www.bewi.com.

GO BACK

Board of directors' report

In 2023, economic growth in Europe faced challenges due to rapid monetary tightening, pressuring household spending and business investments. This led to a substantial decline in the building and construction activity, impacting all BEWI's segments. However, the group has proven an ability to adapt to changing market conditions, by implementing effective measures to reduce cost and capacity. This resulted in a strong improvement in the EBITDA margin for the insulation segment throughout the year, despite significantly lower volumes.

Throughout the year, BEWI kept a steady focus on selected priorities, to position the group to deliver on long-term targets. This included adapting to the shifting markets, integration of acquired companies, and increase the use of recycled content in its production. Furthermore, BEWI focused on capitalising on its organic growth projects, and strengthening its balance sheet, while at the same time progressing on several strategic opportunities for growth.

The group's main achievements for 2023 is further described in the Letter from the chair and CEO and in the overview of Our business.

Overview of the business

The board of directors' report for the BEWI group ("BEWI" or "the group") comprises BEWI ASA ("the parent company") and all subsidiaries and associated companies. The parent company, BEWI ASA, is a Norwegian public limited liability company.

Business and locations

BEWI is an international provider of packaging, components, and insulation solutions. The group has an integrated and circular business model from production of raw materials and end-products, to collecting used materials for recycling, and re-using the recycled materials to new raw material and new products.

The group is headquartered at Hamarvik at the island Frøya, Norway. As per 31 December 2023, the group had a total of 63 production facilities in 13 countries: 13 in Norway, 8 in Sweden, 7 in Finland, 8 in Denmark, 1 in Czech Republic, 2 in Lithuania, 3 in Poland, 3 in Germany, 3 in Belgium, 6 in the Netherlands, 3 in Spain, 3 in Portugal, and 3 in the UK. In addition, the group has minority interests in 6 facilities in Germany, 5 in France, and 1 in Poland.

BEWI's business is organised in four segments: RAW, Insulation & Construction (I&C), Packaging & Components (P&C) and Circular.

RAW produces white and grey expanded polystyrene (EPS), general purpose polystyrene (GPPS), and Biofoam, a fully bio-based particle foam. The EPS and GPPS materials are produced with virgin – and/ or recycled feedstock. The raw materials are sold internally, to the I&C and P&C segments, and externally for production of end products.

Insulation & Construction (I&C) develops and manufactures an extensive range of insulation products for the building and construction industry. The products are primarily composed of EPS and extruded polystyrene (XPS). In addition, the segment offers insulation boards from polyisocyanurate (PIR) and mineral wool (MW) sandwich panels.

Packaging & Components (P&C) develops and manufactures standard and customised packaging solutions, as well as technical and automotive components for customers in many industrial sectors. Examples include food packaging, protective packaging for pharmaceuticals and electronics, re-usable plastic boxes, components for the automotive industry, and components for heating ventilation and air conditioning (HVAC) systems. The material is composed primarily of EPS, expanded polypropylene (EPP), paper/ fibre and fabricated foam. The company also sells traded products, mainly related to food packaging.

Circular is responsible for the group's collection and recycling of EPS. The segment has a wide offering within waste management, trading of used materials, and re-processing of used materials.

A further description of each business segments is presented in the section Our business above.

Vision, mission, and values

BEWI's vision is: Protecting people and goods for a better everyday.

BEWI offers energy efficient solutions for insulation of buildings, packaging protecting food and medicines, and components such as bike helmets and child seats for cars, protecting people. The group takes responsibility by leading the industry's way to a circular economy, continously improving resource efficiency by using less materials and energy, optimise transport, reduce waste, and reuse and recycle more.

By managing the entire value chain, from production of raw materials and end products, to recycling used products back to new raw materials, BEWI can close the loop and be a circular company.

BEWI's mission is: To create value by offering sustainable packaging, components, and insulation solutions in innovative and efficient ways.

The group has strong core values, deeply rooted in the organisation, securing customer focus, and acting as important guidelines in the daily work:

Responsible
Proud
Stable
Care for quality

Strategic priorities

BEWI has three Strategic priorities:

Innovation in search for more intelligent, efficient, and sustainable materials, products, solutions, and production processes, aiming to create value to stakeholders by always improving
Circular economy, aiming at being the most resource efficient provider of packaging, components, and insulation solutions
Profitable growth through organic initiatives and M&A opportunities targeting increased circular capabilities, geographic expansion, strengthening of market positions and broadening of the company's offering.

Markets and customers

BEWI has production facilities in 13 countries, sales to more than 35 countries and exposure to a range of different end markets. Following the many acquisitions completed in 2022, BEWI's exposure to the building and construction industry increased. In 2023, the group's exposure to this industry was

approximately 60 per cent, including sales from the RAW and I&C segments, as well as sales of components to heating, ventilation, and air-conditioning (HVAC) systems. Food packaging accounted for approximately 20 per cent, the automotive industry approximately 5 per cent and other packaging and components approximately 15 per cent.

From the second half of 2022, the activity in the building and construction industry started to decline in some regions, in particular in the Nordics. The decline continued into 2023, impacting other geographical regions, ending in a significant downturn for the industry, and consequently lower demand and volumes for BEWI's products and solutions. The downturn also indirectly impacted BEWI's sales of industrial products, including protective packaging and sales of components to HVAC systems. Demand for food packaging remained stable, with quarterly variations related to biology, and the volumes of automotive components increased throughout the year.

BEWI's integrated business model has proven robust to volatile raw material prices, and to various challenges facing different industries. In 2023, the raw material prices decreased, causing a shift in margin from the group's upstream segments, RAW and Circular, to the downstream segments, I&C and P&C.

Important developments in 2023

Growth initiatives

Profitable growth is one of BEWI's strategic priorities, and the company has a long track record for demonstrating both organic and strategic growth. In 2022, BEWI completed seven acquisitions, all in line with the group's strategic priorities, adding significant structural growth to the group's sales and EBITDA, and more than 1 300 new employees.

Therefore, in 2023 the company focused on integrating the acquired companies, securing synergies and profitability improvements across the entities.

The BEWI group had several organic growth projects running in 2023. The key projects are described under the description of the group's operating segments in Our business.

Integration of acquired companies

The largest acquisition in 2022, was the acquisition of Jackon which was completed in October 2022. Following completion, BEWI has identified potential synergies to be extracted by the end of 2024 of more than EUR 30 million based on normalised volumes. At the end of 2023, the group was on track with the integration and the realisation of synergies from acquired companies. Optimising the production footprint has been an important part of the work

to integrate Jackon, especially in the Nordics, where the group had the most overlapping production capacity.

Measures to adjust capacity and reduce costs in Nordic Insulation

Following the combination with Jackon, and in response to the changing market conditions, BEWI implemented comprehensive measures throughout 2023 to optimize its production footprint and to reduce cost and capacity. This included reduced shifts and permanent or temporary closure of some of the downstream facilities.

Real estate divestments

On 30 June 2022, BEWI announced that the company had entered an agreement with KMC Properties ASA for the sale of properties with a gross asset value of up to approximately NOK 2.0 billion.

The first tranche of the transaction was completed in November 2022, including properties in Norway and Sweden valued at approximately NOK 900 million. Further, in March 2023, properties in Finland and Denmark valued at NOK 348 million were divested, and in September the two parties entered into agreements for the remaining part of the portfolio of approximately EUR 55 million.

At the end of 2023, some of these agreements were pending completion.

In connection with the transactions, long term triple net rental agreements have been entered for the properties.

Sale of shares in KMC Properties ASA

On 4 December 2023, BEWI sold 28 807 359 shares in the real estate group KMC Properties ASA at market price, which was settled in cash. Following the sale, BEWI does not own any shares in KMC Properties ASA. The shares had been part of the settlement for real estate properties divested in 2020 and 2023.

Financial review

All amounts in brackets are comparative figures for 2022 unless otherwise specifically stated.

The following financial review is based on the consolidated financial statements of BEWI ASA and its subsidiaries. The statements have been prepared in accordance with International Financial Reporting Standards (IFRS).

In the view of the board, the income statement, the statements of comprehensive income, changes in equity and cash flow, the balance sheet and the accompanying notes provide satisfactory information about the operations, financial results and position of the group and the parent company on 31 December 2023.

Consolidated statement of income

Net sales increased to EUR 1 105.3 million in 2023 (1 050.4), corresponding to an increase of 5.2 per cent, of which 29.1 per cent was driven by acquisitions, while existing business (organic) contributed with negative growth of 20.4 per cent following lower volumes and prices.

Adjusted EBITDA ended at EUR 108.8 million for 2023 (133.6), a decrease of 18.5 per cent from 2022. Acquisitions contributed with a positive 19.7 per cent, while the organic growth was negative 36.1 per cent. The organic development comes mainly from lower contribution from the upstream segments RAW and Circular, which have a relatively high fixed cost structure. The downstream segments I&C and P&C, have to a larger extent been able to adapt to the market situation.

Operating income (EBIT) came in at EUR 33.5 million for the full year of 2023 (68.0).

Net financial items amounted to a negative EUR 42.5 million for the year (-25.5). The period was negatively impacted by a EUR 3.1 million fair value adjustment of shares in a listed real estate company (-3.7).

Taxes amounted to a negative EUR 6.6 million for the year (-7.2).

Net profit for 2023 was negative EUR 15.6 million (35.4).

Financial position and liquidity Consolidated financial position

Total assets amounted to EUR 1 253.4 million on 31 December 2023, compared to EUR 1 300.7 million at year-end 2022.

Total equity was EUR 415.7 million on 31 December 2023, representing an equity ratio of 33.2 per cent, down from EUR 429.8 million and an equity ratio of 33.0 per cent at the end of 2022.

Net debt amounted to EUR 547.6 million at the end of 2023 (331.1 excluding IFRS 16), compared to EUR 550.7 million at the end of 2022 (382.3 excluding IFRS 16).

Cash and cash equivalents were EUR 63.6 million on 31 December 2023, compared to EUR 47.5 million at year-end 2022.

Consolidated cash flow

Cash flow from operating activities amounted to EUR 76.5 million for the full year of 2023 (40.9), including a decrease in working capital of EUR 18.0 million (increase of 46.9). The cash flow was negatively impacted by higher interest rates and payment of the settlement agreement with the European Commission from 2022. This was partly offset by a

positive impact from settlement of currency swaps. The positive change in working capital was mainly a result of lower prices and volumes in 2023, combined with active measures to reduce the working capital.

Cash flow used for investing activities amounted to a negative EUR 3.1 million for the year (-179.7). Capital expenditures were higher in 2023 than in 2022, driven by specific projects and capital expenditures in acquired companies. The period was positively impacted by the sale of several properties in sale and leaseback transactions and by the divestment of shares. 2022 noted a substantial cash outflow related to acquisitions, although partly offset by sale and leaseback transactions.

Cash flow from financing activities amounted to a negative EUR 56.7 million for 2023 (46.9). During the year, external borrowings, and utilised overdraft facilities in the former Jackon group were settled. This was mainly financed through additional draw-down of BEWI's credit facilities.

In total, the cash flow for 2023 amounted to EUR 16.7 million (negative 91.9).

Capital expenditures (CAPEX)

For the full year of 2023, CAPEX totalled EUR 51.7 million (43.7), of which EUR 22.1 million was attributable to greenfield projects and other specific projects (16.0). Selected key projects are described under the introduction to the segments under the Our business section. The greenfield projects relate to investments in new production lines, to support organic growth. Examples include a new production line for raw materials to support increased use of recycled material, a new fish box facility, a new production line for construction boards, fully robotic production line for foundation elements, and production for underlayment for flooring products.

BEWI has an annual target for investments (CAPEX) of 2.5 per cent of net sales excluding greenfield projects, customer specific initiatives and ICT investments. Excluding the above-mentioned initiatives, CAPEX for the full year was in line with this target. For 2024, BEWI has announced that the company expects CAPEX to amount to not more than EUR 20 million.

BEWI offers surplus energy from its manufacturing process to 250 houses in the Skara municipality

Segment information

A description of each of the segments can be found in the section Our business above.

Segment RAW

Key figures

Amounts in million EUR (except percentage)	2023	2022

Net sales	338.1	418.0
Of which internal	129.0	142.0
Of which external	209.1	276.0
Net operating expenses	-314.1	-361.0
Adjusted EBITDA	24.1	57.0
Adjusted EBITDA %	7.1%	13.6%
Items affecting comparability	-0.4	-17.0
EBITDA	23.7	40.0
Depreciations	-5.0	-4.3
CAPEX	-9.9	-6.8
Number of employees	274	270

From 1 November 2022, the financials for Jackon Holding were consolidated into BEWI's accounts.

Net sales for segment RAW for 2023 were EUR 338.1 million (418.0), a decrease of 19.1 per cent from 2022 explained by lower volumes and sales prices. The official market price for EPS was approximately 25 per cent lower in 2023 compared to 2022, impacting the sales more than the lower volumes.

Adjusted EBITDA ended at EUR 24.1 million for 2023 (57.0). Jackon contributed positively with EUR 5.6 million, while lower sales and lower GAP impacted negatively.

Segment Insulation & Construction (I&C) Key figures

Amounts in million EUR (except percentage)	2023	2022

Net sales	458.4	333.9
Of which internal	2.4	4.0
Of which external	456.0	329.9
Net operating expenses	-417.8	-302.8
Adjusted EBITDA	40.6	31.1
Adjusted EBITDA %	8.9%	9.3%
Items affecting comparability	-4.9	2.5
EBITDA	35.7	33.6
Depreciations	-23.9	-11.3
CAPEX	-15.6	-9.8
Number of employees	1 307	1 451

Jablite was consolidated from 1 June 2022, BalPol from 1 September 2022, and Jackon from 1 November 2022.

Net sales amounted to EUR 458.4 million for the full year of 2023 (333.9), an increase of 37.3 per cent. Acquisitions contributed with 72.4 per cent growth, while lower volumes and sales prices contributed with a negative 30.2 per cent.

Adjusted EBITDA of EUR 40.6 million for 2023 (31.1), an increase of 30.5 per cent. Acquisitions contributed with a growth of 47.9 per cent, while the existing business (organic) was down by 13.4 per cent.

Segment Packaging & Components (P&C) Key figures

Amounts in million EUR (except percentage)	2023	2022

Net sales	397.1	391.9
Of which internal	3.1	10.0
Of which external	394.0	381.9
Net operating expenses	-345.1	-343.6
Adjusted EBITDA	52.0	48.3
Adjusted EBITDA %	13.1%	12.3%
Items affecting comparability	-1.3	4.9
EBITDA	50.7	53.3
Depreciations	-23.1	-19.7
CAPEX	-16.2	-19.2
Number of employees	1 473	1 459

Trondhjems Eskefabrikk was consolidated from 1 May 2022, Styropack (packaging part of Jablite) from 1 June 2022, and Jackon from 1 November 2022.

Net sales amounted to EUR 397.1 million for 2023 (391.9), an increase of 1.3 per cent. Acquisitions contributed with 11.4 per cent growth, while the organic growth was negative 5.2 per cent. Currency had a negative effect of 4.9 per cent.

Adjusted EBITDA was EUR 52.0 million (48.3), up by 7.5 per cent, driven by acquisitions. Organically, the segment delivered in line with 2022. A weaker Norwegian krone impacted a negative EUR 2.6 million.

Circular

Key figures

Amounts in million EUR (except percentage)	2023	2022

Net sales	57.7	63.1
Of which internal	11.7	0.7
Of which external	45.9	62.4
Net operating expenses	-60.9	-60.6
Adjusted EBITDA	-3.2	2.5
Adjusted EBITDA %	-5.5%	3.9%
Items affecting comparability	-0.2	0.1
EBITDA	-3.4	2.6
Depreciations	-2.8	-1.7
CAPEX	-1.7	-1.8
Number of employees	107	109

Berga Recycling was consolidated from 1 June 2022.

Net sales for the full year of 2023 came in at EUR 57.7 million (63.1), down by 8.6 per cent from the same period of 2022. Of the net sales, internal sales were EUR 11.7 million (0.7), a significant increase from 2022.

Acquisitions contributed with 12.2 per cent growth, while the organic growth was negative 18.8 per cent and currency had a negative impact of 2.0 per cent.

Adjusted EBITDA was negative EUR 3.2 million for the full year of 2023 (2.5).

For the full year of 2023, BEWI collected 26 950 tonnes of EPS for recycling (32 599).

Corporate

Revenues and costs related to group functions that do not belong to any specific business segment are booked as unallocated costs. For the full year of 2023, the contribution on adjusted EBITDA from corporate functions was negative EUR 4.7 million (-5.4).

Research and development (R&D)

BEWI has three strategic priorities, of which innovation is one of the priorities. BEWI is constantly searching for more sustainable materials, products, solutions, and production processes, aiming at improving resource efficiency and increasing the use of recycled materials. The group conducts R&D activities at selected upstream and downstream facilities, and the activities are coordinated and overseen by group and divisional functions.

For the full year 2023, CAPEX related to R&D amounted to EUR 0.4 million (0.4).

Going concern

The annual financial statements for 2023 have been prepared on the assumption that BEWI is a going concern pursuant to section 3-3a of the Norwegian Accounting Act. With reference to the group's results and financial position, as well as forecasts for the years ahead, the conditions required for continuation as a going concern are hereby confirmed to exist. In the opinion of the board of directors, the group's financial position is good.

Parent company results and allocation of net profit

The financial statements for the parent company are prepared in accordance with the Norwegian Accounting Act and generally accepted accounting principles in Norway.

The parent company had a profit before taxes of NOK 164.8 million (a loss of NOK 30.7 million). The parent company had income taxes of NOK 31.0 million (NOK 6.9 million) and thus recorded a net profit of NOK 195.8 million (net loss of NOK 23.8 million).

The board does not propose any dividend distribution based on the financial accounts for 2023.

Amounts in million NOK

Transferred to other equity	195.8
Dividend	-
Total allocated	195.8

EU taxonomy

In 2023, 49 per cent of BEWI's revenues (net sales) was taxonomy-eligible, which was the same percentage as for 2022. The total eligible revenue was EUR 545 million, up by 18 per cent from the previous year, as a result of the many acquisitions completed in 2022. BEWI's taxonomy-eligible revenues are mainly related to category 3.5: Manufacture of energy efficiency equipment for buildings. Sales of insulation solutions from segment I&C and external sales of raw materials from segment RAW to insulation and construction companies fall under this category. Further, sales from the Circular business are also included as taxonomy-eligible revenue, falling under category 5.5: Collection and transport of non-hazardous waste in source segregated fraction.

A full description of the BEWI's taxonomy-eligible revenue, CAPEX, and OPEX is included in the ESG performance section of this report.

Risks and risk management

BEWI is exposed to several risk factors, categorized into operational risks, strategic risks, external risks, financial risks, and climate risks. One of the most important risk factors, is the group's exposure to the change in the price of the raw material styrene monomers, categorised as an external risk.

The raw material is traded on the world market and purchased with a combination of spot and contract prices. The purchase price is partly linked to the level of supply and demand, and partly to the price of oil. The price of styrene is set in dollars and euro, and naturally entails a risk exposure against the Scandinavian currencies. However, the price of the final product to end customers in the Scandinavian countries is largely connected to the price of styrene, thus entailing a reduction of currency risk.

An overview of the company's risk management and most important risk factors is found in the Risk and risk management section of this report. A description of the group's financial risks and uncertainty factors can be found in the Notes to the financial statements.

Corporate governance

Good corporate governance provides the foundation for long-term value creation, to the benefit of shareholders, employees, and other stakeholders. The board of directors of BEWI has established a set of governance principles to ensure a clear division of roles between the board of directors, the executive management, and the shareholders. The principles are based on the Norwegian Code of Practice for Corporate Governance.

Sustainability is integrated into the group's strategy, reporting, and corporate governance structure. In 2023, BEWI started preparing for the new governance disclosures requirements in CSRD, regarding roles and responsibilities in the management of impacts, risks, and opportunities. The Chief Sustainability Officer (CSO) was included in the executive management team and the Chief Financial Officer (CFO) was appointed responsible for both financial and non-financial reporting. Sustainability was further integrated in the annual wheel of the work of the board, including its sub-committees. A new double materiality assessment and a climate reduction plan will be established in 2024.

The annual statement on corporate governance for 2023 has been approved by the board and can be found in the Governance section of this annual report.

ESG management and reporting

BEWI is subject to reporting requirements on environmental, social, and governance (ESG) topics. This is covered in ESG performance section of this report.

Due diligence requirements are embedded in policies and procedures, see the Governance section.

Employees and organisation

BEWI's most important asset is the knowledge and skills of its employees. As of 31 December 2023, BEWI had 3 216 employees, down from 3 356 1 on 31 December 2022. The decrease reflects the many initiatives across the group to adjust cost and capacity to the market conditions.

The group had an average work force of 3 125 full time equivalents (FTEs) in 2023, compared to an average of 2 372 in 2022.

Long-term incentive programme and employee share offering

In November 2020, BEWI launched a long-term incentive programme for selected key employees. The programme is a share options programme. Pursuant to the vesting schedule, 20 per cent of the options vested one year after the day of grant, i.e., in November 2021, another 30 per cent vested two

years after the day of grant, in November 2022, and the remaining 50 per cent vested in November 2023. Vesting is dependent on the option holder still being employed in the company. The strike price at grant date for all options granted was NOK 24.48 per share, which was based on the market price plus 10 per cent when granted. At year-end 2023, the strike price amounted to NOK 22.94 per share.

Options that have not been exercised within 5 years from the date of grant will lapse and become void. On 31 December 2023, a total of 1 999 202 options were outstanding, corresponding to 1.0 per cent of the total number of outstanding shares.

The board of directors

BEWI ASA held its annual general meeting on 1 June 2023. At the meeting, Pernille Skarstein Christensen was elected new director of the board, and Andreas M. Akselsen and Rik Dobbelaere were re-elected for a period of two years. Following the meeting, the board consisted of six directors: Gunnar Syvertsen (chair), Kristina Schauman, Anne-Lise Aukner, Andreas M. Akselsen, Rik Dobbelaere, and Pernille S. Christensen.

Further information about the directors of the board, including participation in board committees and the directors' independence is included in the section about corporate governance in this report.

BEWI has an insurance covering the responsibilities of the board of directors, the CEO and other senior management.

Health, safety and working environment

Working environment, sickness absence, incidents, and injuries

The working environment in the BEWI group is perceived as good, and the group is committed to gender equality and providing equal opportunities irrespective of ethnical background, religion, age, or sexual orientation. The group never compromises with health and safety and works actively to ensure preventive actions targeting zero accidents.

In 2023, the group had 6.0 per cent absence due to illness, compared to 5.3 per cent in 2022. The group reported 85 accidents in 2023, compared to 54 in 2022. The increase in number of accidents, is mainly explained by the increased size of the company due to acquisitions completed in 2022. Out of BEWI's 25 Business Units (BU), 6 BUs represented 65 per cent of all accidents while eight BUs had one accident and six BUs had zero accidents during 2023. The main types of accidents are related to fall, cut, machine and handheld tools. All accidents, regardless of the severity, were followed up with an analysis of root cause and implementation of preventative measures

1 The number has been corrected since the publishing of the 2022 Annual report, to include employees from acquired companies included from 1 January 2023

with high focus at group as well as divisional management.

For further information about management of health and safety, employee satisfaction and leadership development, see the ESG performance section of this report.

Equal opportunities

The board of directors of BEWI ASA consists of six members, of which three of each gender. The group has an executive management team consisting of seven executives, of which three men and four women. The group is committed to promoting equality and equal treatment at all stages of the organisation and other relationships. For further information about equal opportunities in the group, see the ESG performance section of this report.

Share and shareholder matters

BEWI ASA's shares have been listed at the Euronext Oslo Børs since December 2020.

On 31 December 2023, the total number of shares outstanding in BEWI ASA was 191 722 290, each with a par value of NOK 1. Each share entitles to one vote.

During 2023, the share traded between NOK 55.10 and NOK 18.56 per share, with a closing price of NOK 25.70 on 29 December 2023.

BEWI has one share class, and all shares have equal rights. The shares are registered in the Norwegian Central Securities Depository (VPS). The company's registrar is DNB Markets. The shares carry the securities number ISIN NO 001 0890965.

On 29 December 2023, the 20 largest shareholders of BEWI ASA held 92 per cent, of which the largest shareholders are BEWI Invest AS, holding 51.1 per cent, HAAS AS, holding 16.7 per cent, and Kverva Industrier, holding 8.0 per cent.

General meetings

BEWI held its annual general meeting on 1 June 2023. All resolutions proposed by the board of directors were approved.

Dividends

BEWI targets annual dividends of 30 to 50 per cent of the group's net profit. When deciding on the annual dividend, the board of directors will consider the group's financial position, investment plans as well as the needed financial flexibility to provide for sustainable growth.

Based on the financial accounts for 2022, the board proposed to the general meeting to distribute dividends of NOK 0.60 per share. The proposal was approved by the general meeting on 1 June 2023. The dividends were not distributed during 2023.

For the financial year of 2023, the board does not propose any dividend.

Share issue

In February 2023, following the exercise of share options by option holders under BEWI's share option programme, the board resolved to increase the company's share capital by NOK 374 298, by the issuance of 374 298 new shares at a subscription price of NOK 22.96 per share, by use of the authorisation granted by the general meeting on 2 June 2022.

After the issuance of the new shares, the company's share capital was NOK 191 722 290, divided into 191 722 190 shares, each with a par value of NOK 1.00.

Outlook

BEWI's two largest end-markets are the building and construction industry and the seafood industry, where it supplies insulation solutions and food packaging respectively.

Volumes sold of seafood packaging remained solid throughout 2023, with variations related to biology, while the activity in the building and construction industry declined substantially. The market conditions have remained at the same levels into 2024.

BEWI is confident in the strong fundamentals supporting long-term growth in the building and construction industry. For the EU to reach its climate reduction targets, buildings, including a substantial part of the housing stock, will need to improve its energy efficiency, which in practice will require better insulation. In addition, the low building activity the past year has resulted in a growing housing shortage in many European markets.

The board of directors finds the company well positioned with a robust business model, strong organisation, and a solid outlook for growth.

Trondheim, Norway, 17 April 2024

The board of directors and CEO of BEWI ASA

Gunnar Syvertsen Chair of the Board

Anne-Lise Aukner Director

Andreas Akselsen Director

Kristina Schauman Director

Pernille Skarstein Christensen Director

Rik Dobbelaere Director

Christian Bekken CEO

Statement by the board of directors and CEO

We confirm, to the best of our knowledge, that

The group financial statements for the period from 1 January to 31 December 2023 have been prepared in accordance with IFRS, as adopted by the EU
The financial statements of BEWI ASA for the period from 1 January to 31 December 2023 have been prepared in accordance with Norwegian Accounting Act and accounting standards and practices generally accepted in Norway
The financial statements give a true and fair view of the group and the company's consolidated assets, liabilities, financial position, and results of operations
The board of directors' report provides a true and fair view of the development and performance of the business and the position of the group and the company, together with a description of the key risks and uncertainty factors that the group and the company is facing.

Trondheim, Norway, 17 April 2024
----------------------------------	--	--

The board of directors and CEO of BEWI ASA

Gunnar Syvertsen	Anne-Lise Aukner	Rik Dobbelaere
Chair of the Board	Director	Director
Andreas Akselsen	Kristina Schauman	Pernille Skarstein Christensen
Director	Director	Director

Christian Bekken CEO

BEWI annual report 2023

GO BACK

ESG performance

This section give a presentation of BEWIs ESG performance and how the company manage its material impacts, risks and opportunities.

Taxonomy

BEWI's taxonomy-eligible revenues are mainly related to energy efficient equipment for buildings, insulation solutions, and components for HVAC systems, in addition to Circular's activities.

Process to determine taxonomy eligible and aligned activities

BEWI's process for determining taxonomy eligible and aligned economic activities has followed a fivestep approach:

Substantially contribute to one or more of the six environmental objectives
Comply with the technical screening criteria for the identified activities
Fulfil the Do No Significant Harm (DNSH) criteria to the other five environmental objectives
Comply with the minimum safeguards covering social and governance standards
Allocating revenue, OPEX and CAPEX according to the company's overall assessment

Taxonomy-eligible activities

Three activities in annex I and II of the Climate Delegated Act (commission Delegated Regulation (EU) 2021/2139) have been identified as taxonomy eligible activities for BEWI:

3.5 Manufacture of energy efficiency equipment for buildings
5.5 Collection and transport of non-hazardous waste in source segregated fraction
5.9 Material recovery from non-hazardous waste

Taxonomy-aligned activities

Taxonomy-alignment of activities has been assessed in accordance with the technical screening criteria (TSC) using annexes I and II of the Climate Delegated Act. The TSC of the Substantial Contribution (SC) and Do No Significant Harm (DNSH) to the environmental objectives have been assessed per activity while minimum safeguards have been assessed on a group level.

Substantial contribution to climate change mitigation

BEWI has assessed and documented whether the company's taxonomy-eligible activities fulfil the substantial contribution criteria to climate change mitigation.

Activity 3.5 Manufacture of energy efficient equipment for buildings:

This activity is mainly applicable to insulation products and solutions manufactured by segments RAW (reported as enabling eligible activity) and Insulation & Construction, and to components for heating, ventilation, and air-conditioning (HVAC) systems manufactured by the Packaging & Component segment. BEWI's solutions make a substantial contribution to climate change mitigation, by reducing energy consumption, and comply with the following technical screening criteria ensuring substantial contribution to climate change mitigation:

Windows with U-value lower or equal to 1.0 W/m2K
Doors with U-value lower or equal to 1.2 W/m2K
External wall systems with U-value lower or equal to 0.5 W/m2K
Roofing systems with U-value lower or equal to 0.3 W/m2K
Insulating products with a lambda value lower or equal to 0.06 W/mK
Heat pumps compliant with the technical screening criteria set out in Section 4.16

Activity 5.5 Collection and transport of non-hazardous waste in source segregated fractions:

This activity corresponds to the waste collection and compacting of collected materials in BEWI's Circular segment, and automatically fulfil the substantial contribution criteria to climate change mitigation: All separately collected and transported non-hazardous waste that is segregated at source is intended for preparation for reuse or recycling operations.

Activity 5.9 Material recovery form non-hazardous waste:

This activity corresponds to the extrusion of collected EPS into recycled GPPS and EPS in the Circular and RAW segments. BEWI's activities related to collection and recycling of waste materials automatically fulfil the substantial contribution criteria to climate change mitigation: The activity converts at least 50%, in terms of weight, of the processed separately collected non-hazardous waste into secondary raw materials that are suitable for the substitution of virgin materials in production processes.

Do No Significant Harm (DNSH)

BEWI has assessed and documented compliance with the DNSH criteria relating to the eligible activities for BEWI's Taxonomy reporting in line with the Climate Delegated Act (CDA). Only when the company has

been able to document compliance with all applicable DNSH criteria, has the activity been reported as being taxonomy-aligned. Consequently, if an activity fails to meet one or more of the DNSH criteria, the company reports the activity to be eligible and not aligned.

Climate change adaptation: Activities have been assessed for generic criteria in Appendix A. BEWI recognises the potential risk represented by climate change and has assessed and documented assets resilience towards different chronic and extreme climate hazards. To assess alignment, results from BEWI's physical climate risk assessment in line with criteria (a) are used, to identify BEWI's production facilities exposed to high risk for extreme climate hazards. For production facilities where physical climate risks have been identified, adaption plans are being developed in line with criteria (b) and (c) but have not yet been implemented. Due to lack of completion of adaption plans and mitigation activities, production facilities identified with high risks with taxonomy eligible activities are assessed as being eligible and not aligned.

The sustainable use and protection of water and

marine resources: Activities have been assessed with generic criteria in Appendix B. Use of water is not a material input in BEWI's manufacturing activities and assessed as not material. BEWI recognises the importance of a sustainable management of water and are

reporting and monitoring water consumption for all production facilities. All production facilities with eligible activities are assessed as aligned.

The transition to circular economy: BEWI's strategy and approach to resource management is based on the key principles of the circular economy focusing on design for, reduce, reuse and recycling also outlined in the company's environmental policy and descripted further under resource use and circular economy. For each taxonomy eligible activity, circular principles are in place and identified as aligned with the transition to circular economy.

Pollution prevention, control, protection: The DNSH criteria to the objective of "Pollution prevention and control" requires the activity to use substances in agreement with European Regulations, as specified by Appendix C in amended Annex I. BEWI has identified the use of one chemical, Methylene diphenyl diisocyanate (MDI), a building block for polyurethane (PU) and polyisocyanurate (PIR) foams, covered by subparagraph (f) in Appendix C. BEWI's use of the substance MDI is well below applicable limits

and is evaluated to qualify for the derogation in subparagraph (f) for this product category. To reduce environmental impact, BEWI monitors developments regarding the evaluation of substances used and applied in the company's operations and focus on reducing the use of substances of increasing concern. All production facilities with eligible activities have been assessed as aligned.

The protection and restoration of biodiversity and ecosystems: BEWI is legally required to ensure that potential pollution impacts are avoided, mitigated, and addressed appropriately. The DNSH requires that activities have been assessed for the generic criteria in appendix D, in Annex 1. BEWI has done a mapping of production facilities located near biodiversity-sensitive areas. ISO 14001 and Operation Clean Sweep are mandatory for all production facilities to ensure no harm to the natural surroundings. If an appropriate management scheme is not fully in place, there is a risk that microplastic is leaked to the environment. All BEWI's production facilities have implemented Operation Clean Sweep in 2023 and will be certified in 2024, effectively eliminating the risk of microplastic pollution. All activities have been assessed as eligible due to lack of certification by a third-party regarding OCS.

Minimum Safeguards

BEWI's Code of Conduct and supplier Code of Conduct set out the company's commitment to respect human rights in line with the UN Guiding principles on Business and Human Rights (UNGPs) and the OECD Guidelines for Multinational Enterprises, both in own operations and in the company's supply chain. BEWI has signed UN Global Compacts 10 principles and commits to respect all internationally recognised human rights referenced in the International Bill of Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work. BEWI's good governance practice, policies, and due diligence approach ensures a robust minimum safeguard on human rights, corruption taxation, and fair competition. All taxonomy eligible activities have been assessed as aligned with the minimum safeguard.

Operation Clean Sweep

Taxonomy

Operation Clean Sweep

Taxonomy-eligible revenue (turnover)

In 2023, BEWI's taxonomy-eligible share of revenue (turnover) was 49 per cent, which was the same percentage as for 2022. The total eligible revenue increased by EUR 88.5 million from 2022, as a result of the acquisitions completed in 2022.

As BEWI did not complete any acquisitions in 2023, the total revenue for the group from eligible and non-eligible activities corresponded to the total reported revenue for the group. For 2022, companies acquired throughout the year was not included in the taxonomy report, thus taxonomy related revenue (eligible and non-eligible) amounted to EUR 929 million, compared to a total reported revenue for 2022 of EUR 1 050 million.

BEWI's taxonomy-eligible revenues are mainly related to category 3.5: Manufacture of energy efficiency equipment for buildings, which includes sales of insulation solutions and external sales of raw materials to insulation and construction companies. Due to acquisitions, the revenues increased from 2022 to 2023, despite being dampened by the lower activity in the building and construction industry. Further, sales from the Circular business are also included as taxonomy-eligible revenue, falling under category 5.5: Collection and transport of non-hazardous waste in source segregated fraction.

Taxonomy eligible CAPEX

For 2023, BEWI's eligible CAPEX amounted to EUR 66.7 million, up from EUR 11.3 million for 2022. The substantial increase is largely explained by capitalised leases in operations performing eligible activities, more specifically to real estate sale and leaseback transactions which contributed EUR 34.6 million to eligible CAPEX in 2023.

The impact from sale and leaseback transactions are reflected in the CAPEX numerator since they are included in the denominator for the CAPEX KPI, which includes both ordinary CAPEX and capitalised leases. The 2022 numbers have been restated to also include the impact from capitalised leases, but only a limited amount of new lease contracts in 2022 qualified as eligible CAPEX. Excluding the impact from leases, eligible CAPEX increased by EUR 11.5 million, mainly driven by investments in segment RAW's new extruder, largely explaining the increase in CAPEX for activity 5.9. Investments in the new production line for construction boards, also added to the increase. In addition, the inclusion of acquisitions in 2022 into the calculation of the Taxonomy KPI's contributed to the underlying increase in eligible CAPEX.

Taxonomy eligible OPEX

It has only been possible to reliably measure eligible OPEX with respect to certain repair and maintenance work carried out by external parties in operations performing eligible activities. It has not been possible to adequately calculate the costs for own employees performing repair and maintenance work specifically related to eligible activities. Consequently, only a limited portion of eligible OPEX has been identified. However, also the denominator correspondingly accounts for a small portion of total OPEX for the group. In total, EUR 5.5 million was identified as eligible OPEX, corresponding to 20 per cent of the total costs for the group within this category of costs.

Taxonomy-aligned turnover (revenue)

				Substantial contribution criteria (%)							DNSH criteria (Y/N)							(E/T)
Economic activities	Codes	Absolute turnover million) (EUR	Proportion of %) turnover (	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	m social safeguard mu Mini	turnover year N (22) my aligned proportion of Taxono	Category (enabling/ transitional activity)
A. Taxonomy-eligible activities
A.1. Environmental substinable activities (taxonomy-aligned)
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Manufacture of energy efficiency equipment for buildings	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Material recovery from non-hazardous waste	5.9.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Turnover of eligible taxonomy-aligned activities (A.1.)		0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
A.2. Taxonomy-eligible but not environmentally sustainable activities
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	117.3	11%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	19%	E
Manufacture of energy efficiency equipment for buildings	3.5.	381.1	34%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	25%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	39.0	4%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	3%
Material recovery from non-hazardous waste	5.9.	7.5	1%	E	-	-	-	-	-	na	N	Y	Y	Y	N	Y	2%
Turnover of not Taxonomy-aligned activities		544.9	49%	49%	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	49%
Total (A.1. + A.2.)		544.9	49%	49%

B. Non-eligible activities

Turnover of non-eligible activities	560.4	51%
Total (A+B)	1 105.3	100%

E: Eligible activity N/EL: No eligible activity

Taxonomy-aligned CAPEX

				Substantial contribution criteria (%)						DNSH criteria (Y/N)						(Y/N)	(%)	(E/T)
Economic activities	Codes	Absolute CAPEX million) (EUR	Proportion of %) CAPEX (	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	m social safeguard mu Mini	proportion of CAPEX my aligned year N (22) Taxono	Category (enabling/ transitional activity)
A. Taxonomy-eligible activities
A.1. Environmental substinable activities (taxonomy-aligned)
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Manufacture of energy efficiency equipment for buildings	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Material recovery from non-hazardous waste	5.9.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
CAPEX of eligible taxonomy-aligned activities (A.1.)		0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
A.2. Taxonomy-eligible but not environmentally sustainable activities
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0.0	0%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	12%	E
Manufacture of energy efficiency equipment for buildings	3.5.	53.1	40%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	12%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	2.1	2%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	5%
Material recovery from non-hazardous waste	5.9.	11.5	9%	E	-	-	-	-	-	na	N	Y	Y	Y	N	Y	0%
CAPEX of not Taxonomy-aligned activities		66.7	50%	50%	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	29%
Total (A.1. + A.2.)		66.7	50%														29%

B. Non-eligible activities

CAPEX of non-eligible activities	67.4	50%
Total (A+B)	134.1	100%

E: Eligible activity N/EL: No eligible activity

Taxonomy-aligned OPEX

				Substantial contribution criteria (%)						DNSH criteria (Y/N)						(Y/N)	(%)	(E/T)
Economic activities	Codes	Absolute OPEX million) (EUR	Proportion of %) OPEX (	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	mate change mitigation Cli	mate change adaptation Cli	marine Water and resources	my Circular econo	Pollution	Biodiversity and ms ecosyste	m social safeguard mu Mini	proportion of CAPEX my aligned year N (22) Taxono	Category (enabling/ transitional activity)
A. Taxonomy-eligible activities
A.1. Environmental substinable activities (taxonomy-aligned)
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Manufacture of energy efficiency equipment for buildings	3.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
Material recovery from non-hazardous waste	5.9.	0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
OPEX of eligible taxonomy-aligned activities (A.1.)		0.0	0%	E	-	-	-	-	-	-	-	-	-	-	-	-	0%
A.2. Taxonomy-eligible but not environmentally sustainable activities
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0.0	0%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	-	E
Manufacture of energy efficiency equipment for buildings	3.5.	4.8	17%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	-
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	0.3	1%	E	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	-
Material recovery from non-hazardous waste	5.9.	0.4	1%	E	-	-	-	-	-	na	N	Y	Y	Y	N	Y	-
OPEX of not Taxonomy-aligned activities		5.5	20%	20%	-	-	-	-	-	n.a	N	Y	Y	Y	N	Y	-
Total (A.1. + A.2.)		5.5	20%	20%													-

B. Non-eligible activities

OPEX of non-eligible activities	22.5	80%
Total (A+B)	27.9	100%

E: Eligible activity N/EL: No eligible activity

Environment

Material environmental topics:

ESRS E1 Climate change
ESRS E4 Biodiversity and ecosystems
ESRS E5 Resource use and circular economy

ENVIRONMENT

ESRS E1

Climate change

BEWI is committed to aligning with the 1.5-degree scenario outlined in the Paris agreement. The company contributes to mitigating climate change through its product offering and through constant efforts to improve operational – and resource efficiency in the value chain.

Ambition

Achieving climate reduction plan targets in line with the 1.5-degree scenario outlined in the Paris Climate Agreement.

Key targets 2030

50% recycled content
50% renewable energy

Materiality

BEWI's activities depend on fossil-based raw materials and energy, resulting in GHG emissions and contributing to climate change. This impact occurs mainly in BEWI's value chain through procurement of the raw material styrene, but also in the company's own operations, mostly through consumption of natural gas. On the other hand, most of the company's products and solutions are designed to mitigate climate change. 49 per cent of the sales are taxonomy-eligible, coming from energy efficient solutions for buildings or collected material for recycling.

Climate change represents both physical and transitional risks that could have a potential financial impact for BEWI. Physical risks, such as flooding and extreme weather, could impact BEWI's assets or activities in the value chain. Transitional risks relate to changes in market preferences towards low carbon solutions and higher cost for GHG emissions. The latter also represents large business opportunities for BEWI. The company is mitigating these risks – and positioning for the opportunities - through strategic investments in circular capabilities and key partnerships. As a material topic, Climate change is integrated in BEWI's group strategy, governance model, and management approach, enabling efficient monitoring of progress towards targets.

Policies

BEWI's environmental policy addresses the material topic Climate change in the group's own operations. The policy covers:

Resource efficiency, circularity, and transition to renewable energy sources
A science-based climate reduction plan
Climate change adaptation in line with TCFD

The supplier Code of Conduct addresses impacts and risks related to climate change in the company's value chain and has the following objectives:

Responsible production and consumption
Environmental due diligence procedures in place
Risk based approach to mitigate environmental impacts and risks

More information about BEWI's policies and approach is included in the Governance section.

Approach

BEWI's approach to mitigate climate related impacts and risks is based on a comprehensive management and strategic approach.

Science-based climate action

BEWI calculates and manages emissions from own operations and activities in the value chain in line

with the GHG protocol. The group has worked systematically to improve its climate account since baseline was set in 2020. For 2023, the climate account included scope 1, 2 and all relevant scope 3 categories, providing a solid foundation for the development of a climate reduction plan. BEWI is committed to align with the 1.5-degree scenario outlined in the Paris Climate Agreement and has committed to the Science Based Targets Initiative (SBTi). The group expects its climate reduction plan to be completed in 2024, for validation and approval by SBTi.

GHG emission reduction activities

The majority of BEWI's GHG emissions are associated with use of raw material (styrene), consumption of natural gas for steam production, and logistics. The group works to reduce GHG emissions both in own operation and in the supply chain.

Decarbonisation in own operations

Consumption of energy for steam production accounted for 7 per cent of BEWI's GHG emissions in 2023, of which 93 per cent was fossil based. BEWI has an energy programme designed to improve energy efficiency, reducing cost and emissions, as well as to increase use of renewable energy. In 2023, BEWI continued the energy mapping to identify reduction opportunities, including optimising production processes.

To enable transparent information about the environmental impact of BEWI's products and solutions, the group implemented an Environmental Product Declaration (EPD) generator in 2023. This lifecycle approach enables improved insights into where in the product life cycle the potential for reduced GHG emissions is the largest.

Decarbonisation in value chain

The largest share of BEWI's GHG emissions originates from styrene procured externally, which accounts for 33 per cent of the scope 3 emissions. To mitigate these emissions, transition to a circular economy

is one of the group's three strategic priorities. This supports strategic investments in circular capabilities, ambitious targets for collection and use of recycled material, collaboration with suppliers and customers, as well as other strategic partnerships. To document environmental performance on products procured, BEWI is in the process of gathering documentation on key components. This will inform the priorities going forward and enable the group to measure progress on its climate reductions.

The two categories "Processing of sold goods" and "End of life treatment" accounted for 29 per cent

100

of BEWI's scope 3 emissions in 2023. Through the Circular segment, BEWI is working to increase the share of materials sorted and collected for recycling, lowering GHG emissions.

Progress

In 2023, BEWI's total GHG emissions were 1 451 171 tonnes (market based), a downward trend in emissions since 2021 and a reduction of 14 per cent compared to 2022.

Scope 1 emissions have been stable since 2020, with a slight decrease of 0.42 per cent compared to 2022, while scope 2 emissions had a downward trend since 2020 with a reduction of 17 per cent compared to 2022.

Scope 3 emissions accounted for 88 per cent of BEWI's emissions in 2023. In 2023, the group included four additional scope 3 categories1 , changing the overall picture for the climate account compared to 2022. Purchased goods and services are still the largest share category with 60 per cent, while the two newly included categories "Processing of sold

Physical GHG emission intensity & Energy intensity

(MJ or Kg CO2)/ kg raw material

BEWI's total GHG emissions

Tonnes CO2eq.

Share of GHG emissions in scope 3 Per cent

1 Category 3: Fuel-and energy-related activities, Category 10: Processing of sold products, Category 11: Use of sold products and Category 12: End-of-life treatment of sold products.

products" and "End-of-life treatment" stands for 29 per cent of the indirect GHG emissions. All scope 3 categories had a positive trend with reductions in all categories except from employee commuting.

The overall GHG physical intensity improved (decreased) by 5 per cent compared to 2022. For scope 1, the intensity increased by 10 per cent, explained by reduced volumes resulting in lower energy efficiency.

Managing climate risks in own operation and supply chain

Climate change adaptation and the transition to a 1.5-degree economy pose both opportunities and risks for BEWI. To mitigate risks BEWI has adapted to the recommendations from the Task force on Climate-related Financial Disclosures (TCFD) and has committed to SBTi to align with the 1.5-degree scenario in the Paris agreement.

Increased understanding through climate change risk scenarios

To understand - and mitigate potential financial risks and capture opportunities, a climate risk scenario analysis was conducted in 2022. The target was a better understanding of how climate change under various transition scenarios could impact the group in the short and long term. The study modelled three key scenarios:

Orderly transition, 1.5-degree with net zero 2050
Disorderly transition, 2-degree delayed transition 2030
Worst case scenario, 3-4-degree hot house world in 2080

The assessment utilised the latest climate projection data based on IEA stated policies scenario (STEPS), Central Banks and Supervisors Network for Greening the Financial System (NGFS) and the IPCC SSP5-8.5 scenario. The scope included BEWI's entire value chain, including suppliers, logistics, own operation, customers, and end of life. The work has so far provided qualitative results. BEWI is currently working to quantify the potential financial impact of the risks and opportunities identified.

Assessment of physical and transitional climate change risks

In 2023, physical and transitional risks were included in BEWI's corporate risk management approach and the double materiality assessment. Climate risks are further integrated in the group's due diligence processes for investments and M&A activities. Prior to investing in new assets and activities, the group assesses impact on GHG emissions, as well as political, technological, market and reputational developments.

Physical risks

Flooding and extreme weather impacting BEWI's assets
Physical impact of climate change in supply chain

Transitional risks

More stringent regulations on GHG emissions
Limited access to waste materials for recycling
Change in market preferences for plastic packaging
Failure to decarbonise supply chain and raw material suppliers
Failure to generate business value from decarbonisation

Physical risks

Physical risks have been mapped using Munich Re's NATAN, a climate modelling tool for assessment of natural hazards, in line with the classification of climate-related hazards in the TCFD classification and the EU Taxonomy's Climate Delegated Act. The various production facilities and their risk exposure were further assessed taking the local conditions into account. Production facilities identified as exposed to risks mainly related to storm and flooding.

For the selected sites, a vulnerability assessment will be conducted to assess the materiality of the risk, to identify adaptation or mitigation solutions to reduce the risk, quantify the consequences, and understand the effects on revenue, CAPEX and OPEX and reliability of the assets. The current impact is not considered to have a significant financial impact and BEWI assesses these risks to fall below the materiality threshold. However, BEWI acknowledges the need for further investigation, to reduce uncertainties associated with physical risks, especially in the group's

supply chain. The group will continue to develop its approach to ensure to capture exposure to climate risk as accurately as possible, while further exploring ways to integrate climate change considerations into the group's risk management processes.

Transition risks

Failure to decarbonise at a speed meeting expectations from customers, regulators, and investors is defined as a strategic risk for BEWI. At the same time, succeeding in providing customers with products and solutions that contribute to lower their emissions is defined as a major commercial opportunity. Access to recycled or non-fossil raw materials at scale is a risk which BEWI is mitigating through its circular business model and strategic circular investments, as well as through key partnerships across the industry. Further, regulations and incentives supporting the circular business models are key enablers for BEWI to deliver business value from decarbonisation.

Priorities going forward

Finalise climate reduction plan
Strengthen sustainability in procurement process
Partner with key suppliers to explore low emission technologies
Increase recycled content in products
Assess financial impact of climaterelated risks

ENVIRONMENT

ESRS E4

Biodiversity and ecosystems

There is a growing concern about the presence of plastics in the environment, and an inherent risk of potential pollution of plastic pellets in BEWI's value chain.

Ambition

Nature positive future.

Key targets 2025

100% of BEWI's production facilities Operation Clean Sweep certified
100% of BEWI's production facilities ISO 14001 certified

Materiality

As a plastic manufacturer, there is an inherent risk of potential pollution of plastic pellets to the environment from BEWI's production facilities and in the value chain. Failing to comply with regulations and expectations could have a negative financial impact by damaging the group's reputation. Deviations from the management system could result in fines and remediation costs. Stricter regulations could impose new requirements, which in turn could have a financial or reputational effect in the short, medium, and long term. These potential risks are effectively managed and mitigated through BEWI's environmental management system.

Policies

BEWI's environmental policy address the material topic Biodiversity and ecosystems in the group's own operations. The policy covers:

Protect biodiversity and ecosystems in line with Taskforce on Nature-related Financial Disclosures
Comply with relevant legal and contractual requirements
Ensure that environmental management meets ISO 14001 and OCS requirements

BEWI's supplier Code of Conduct addresses impacts

and risk related to biodiversity and ecosystems in the group's value chain and has the following objectives:

Responsible production and consumption
Environmental due diligence procedures
Risk-based approach to mitigate environmental impacts and risks

Approach

The group works to increase its knowledge and raise awareness about protecting biodiversity and ecosystems in its own operation and in the value chain.

Mitigation of potential impacts in own operation

In 2022, a mapping of all BEWI's production facilities' locations was conducted to assess the materiality of the group's potential impact to the biodiversity and ecosystems surrounding the group's sites. The mapping showed that 12 of BEWI's production facilities were located within 1 kilometre from a protected area.

BEWI requires all production facilities to identify, control and appropriately monitor potential sources of pollution, and set a minimum requirement for integration of ISO 14001 and Operation Clean Sweep (OCS). All deviations from the management systems are reported monthly to understand causes and to mitigate impact and risk.

In 2020, BEWI ASA including all production facilities, signed the OCS pledge, committing to incorporate the mitigation measures to ensure prevention of plastic pellet loss. OCS is a voluntary programme aiming to improve awareness, promote best practices, and provide guidance to companies in the plastics value chain in the implementation of pellet loss prevention measures.

BEWI's management approach:

Commit to making zero pellet loss a priority
Assessment of risk areas
Determine the cause of spills and implement preventive actions
Follow-up to measure success

As a first mover in adapting to OCS, it has been important for BEWI to follow the development of upcoming regulations, engage with certification bodies, ensure compliance, and coordinate internal procedures to be in line with proposed upcoming standards and methodology. In 2023, the group worked to align its approach with the bowtie methodology, a risk evaluation method used to analyse and demonstrate causal relationships.

Mitigation of potential impact in value chain

BEWI engages with stakeholders in the value chain to prevent spill of plastics to the environment. Requirements related to integration of OCS are included in Frame Agreements with relevant

Taxonomy

Operation Clean Sweep

suppliers, and the group's circular business segment's top priority is to increase sorting and collection of used materials.

Taskforce on Nature-related Financial Disclosures (TNFD)

BEWI adheres to the mitigation hierarch principles of avoiding, reducing, and restoring potential biodiversity impacts in accordance with the TNFD, and

the group has taken the first steps to adapt to the recommendations of TNFD. This will broaden the scope of the group's approach to address indirect nature related risks in its value chain and form the basis for the development of nature-based targets and activities going forward.

Progress

To keep any negative impacts to an absolute minimum, implementation and certification of environmental management systems have a high priority in BEWI. At the end of 2023, 70 per cent of the group's production facilities were ISO 14001 certified, and 90 per cent had integrated OCS into their environmental management system. None of the facilities were OCS certified by an external auditor, as the certification has not been ready until late 2023. This is also the main reason for postponement of BEWI's target of 100 per cent certification by two years. In 2023, 32 deviations from the environmental management system were reported, mainly related to spills of beads to the surrounding environment.

Priorities going forward

100% of facilities Operation Clean Sweep certified
Implementation of bow-tie management approach
Implementation of recommendations of TNFD

ENVIRONMENT

ESRS E5

Resource use and circular economy

Embracing the model of a circular economy enables BEWI to increase resource efficiency, reduce GHG emissions, and provide the market with more sustainable solutions.

Ambition

Leading the change to a circular economy for the industry.

Key targets 2030

50% recycled or renewable raw materials
80% waste sorted out for material recycling
60 00 tonnes of EPS collected annually for recycling

Materiality

BEWI's activities depend on non-renewable resources and contribute to GHG emissions. The largest impact occurs in the group's value chain through procurement of raw materials.

The majority of BEWI's offering are based on expanded polystyrene (EPS), containing 98 per cent air and 2 per cent raw material. The products are easy to recycle mechanically. This makes BEWI well positioned for the transition to a circular economy, to improve resource efficiency, reduce GHG emissions and to mitigate potential negative environmental impacts from solid waste handling.

New regulations and changes in market preferences towards more circularity could pose a risk for the company, with a potential financial impact from increased costs in the medium and long term. BEWI considers this risk to be low as the company has strategically invested in its integrated value chain and circular capabilities, making the group well positioned to meet upcoming regulations.

Securing waste/ used materials for recycling is identified as a risk and an opportunity for BEWI. As BEWI is dependent on increasing the share of recycled materials in its production to reach its GHG reduction commitment, access to materials for recycling is also considered a financial risk in the long term.

Policy

BEWI's environmental policy address the material topic Resource use and circular economy in the group's own operations. The policy covers:

Increase resource efficiency through reduce, reuse, and recycle
Ensure recyclability and design for reuse
Ensure resources are put back into the cycle

Approach

Transitioning to a circular economy is one of BEWI's three strategic priorities. The group strives to become more circular, both through improvements in its own value chain, and in collaboration with customers, suppliers, and other strategic partnerships.

Improved resource – and energy efficiency

To reduce cost and emissions, BEWI has a continuous focus on improving resource – and energy efficiency in its operations. Use of recycled material is an important KPI for the group's business segments. In 2023, the share of recycled content was included as a KPI in the remuneration schemes for the business segments, with monthly reporting to the group.

Ensuring recyclability and reuse

Recyclability is always a target when BEWI develops new products and solutions. The group has been

an active contributor to the development of the RecyClass certification for EPS products. Furthermore, many of the group's production facilities have REDcert certification, providing third-party certification of the use of recycled content.

Closing the loop

BEWI targets to eliminate waste going to landfilling and to sort out 80 per cent of waste produced from own operations for recycling. The company has a solid waste programme including measures for reduced waste and increased sorting.

Through the Circular segment, BEWI collects post-consumer waste from the market and recycle it into new raw materials. BEWI targets an annual collection of 60 000 tonnes of EPS. The target is anchored in the group's sustainability-linked finance framework, under which the group has committed to collecting 45 000 tonnes of used EPS for recycling by the end of 2024, and 60 000 tonnes by the end of 2026. To increase sorting and collection, BEWI is involved in research projects and collaborates with stakeholders in its value chain, including suppliers, customers, and industry associations.

To increase the capacity to utilise the collected materials, increased extrusion capacity has been – and is a priority for the group. In 2023, the group completed its investment in a new production line for EPS (extruder) in Etten-Leur. The new line has an annual

capacity of up to 25 000 tonnes recycled (or virgin) EPS, increasing the extrusion capacity significantly for the RAW segment. In 2024, BEWI will convert the insulation facility in Norrköping to a circular facility.

Progress

In 2023, total raw material consumption was 411 439 tonnes, a decrease of 11 per cent compared to 2022. The share of recycled and renewable materials reached 13 per cent, up from 10 per cent in 2022. Recycled content increased by 123 per cent compared to 2022 as a result of dedicated work in the business segments.

BEWI is targeting zero waste from its production. In 2023, 5 per cent of the raw material input was

generated as production cut-off. Of this, 94 per cent was reused internally, 4 per cent sent to material recovery and 2 per cent sent to incineration.

The circular business segment increased its total collection of waste for recycling. Collected EPS for recycling was 26 950 tonnes in 2023, a decrease of 17 per cent compared to 2022. Further, the group recycled 16 371 tonnes of used EPS into new raw materials, more than a doubling from 2022.

In 2023, total amount of waste generated from BEWI's production facilities decreased by 5 per cent. The share of waste going to recycling increased to 44 per cent, an increase of 16 per cent compared to 2022.

Priorities going forward

Implementation of climate reduction plan
Continued focus on recyclability and reusability when designing new products
Increase collection and recycling capacity
Increase use of recycled raw materials

Recycled and renewable material use

Tonnes

Share of renewable and recycled materials

Final treatment of waste

Tonnes

3000

6000

9000

12000

15000

Non-hazardous waste directed to disposal Hazardous waste directed to disposal Non-hazardous waste diverted from disposal

Hazardous waste diverted from disposal

Social

Material social topics:

ESRS S1 Own workforce
ESRS S2 Workers in value chain

SOCIAL

ESRS S1

Own workforce

The employees are BEWI's most valuable resources and key enablers for continuous growth and development. BEWI targets a safe and learning environment, and providing development opportunities for all employees.

Ambition

To ensure a healthy and safe workplace with zero accidents.

Key targets 2024

Zero accidents
100% employees with a development plan

Materiality

As a manufacturer of raw materials and products, BEWI has inherent health and safety risks from incidents that could occur during operation of heavy equipment. BEWI manages these risks effectively through the health and safety management system, and by maintaining a strong safety culture. A poor safety record could have a potentially negative financial impact through damaging the group's reputation and reducing demand, fines from regulators, undermining the ability to recruit employees, and increasing insurance costs and cost of capital over the short term until the performance improves.

Policy

BEWI's human rights policy addresses the material topic Own workforce in the group's own operations. The policy covers:

Workers' health and safety
Employees' rights to form or join a trade union
The company's respect for the rights of its employees
Trade unions' right to negotiate collective agreements

Approach and progress

BEWI works actively to ensure that safe working conditions are maintained in accordance with internal policies, local laws, and regulations. The average workforce at BEWI increased from 2.372 full time equivalents (FTEs) in 2022 to an average of 3.125 FTEs in 2023. The sickness rate increased from 5.3 per cent in 2022 to 6.0 per cent in 2023.

In 2023, a health and safety committee was established at group level, with representatives from operational functions, health and safety experts and communication specialists from divisions and group functions. The committee has established an annual plan of focus areas, and developed a toolbox to support managers and employees in their daily health and safety work. The committee has launched several campaigns throughout the year, raising awareness and improving the culture for health and safety in the group.

Specialised training and qualifications

In highly regulated workplaces, such as the chemical production facilities, workers are offered specialised training programmes and processes for training certification. At regular production facilities, introduction training programmes are conducted on a regular basis in line with local legislations or site-specific standards.

In 2023, BEWI reported a total of 85 accidents compared to 54 accidents in 2022. The increase is mainly explained by the increase in the number of employees, following the acquisitions completed in 2022. 6 business units represented 65 per cent of all accidents while 14 business units had one or zero accidents.

The main types of accidents were related to fall, cut, machine and handheld tools. All accidents, regardless of the severity, were followed up with an analysis of root cause and implementation of preventive measures.

Employee engagement and development

For BEWI, it is crucial to attract people with the right values, competencies, and skills. Most learnings and competence development happen through "on-thejob-training", with internal recruitments providing opportunities for personal growth.

The group's annual employee engagement survey, BE heard, is an important tool for employee engagement and motivation, and a process for continuous improvements.

The 2023 survey showed improvements in all areas with an overall BE heard Index of 62 (2022: 54) and a response rate of 69 per cent (2022: 69 per cent). The results show clear strengths in the employee experience related to pace, teamwork, authority, and

confidence in leaders. Further, the survey indicates a good momentum in decision-making, with a high level of authority, and empowerment. A large share of employees expresses strong confidence in their leaders. Based on the survey results the following areas have been decided as key focus areas: 1) customer orientation, 2) sustainability, 3) innovation, 4) leadership. The overall target is to reach a BE heard index of 78 in 2026. Activities related to the key focus areas are expected to drive that development.

Diversity and equal opportunities

BEWI provides equal opportunities irrespective of race, ethnical background, religion, nationality, gender, marital status, age, or sexual orientation. This applies to all employees, potential employees, business partners, and other stakeholders. Everyone working for BEWI, in particularly those in a management positions, have a responsibility in their daily work to ensure compliance with these commitments. At the end of 2023, BEWI's gender mix was 76 per cent men and 24 per cent women. 79 per cent of the managers were men and 21 per cent women. The executive management team consists of 43 per cent men and 57 per cent women, while the board of directors has 50 per cent men and 50 per cent women. In the results from the BE heard survey, women show stronger results in the area of "learning and development" while the general engagement is considered the same for men and women.

Being a diverse workplace and providing equal opportunities for all employees is considered important in attracting top talents.

BEWI Business School – Leadership programmes

BEWI Business School was launched in 2020 to facilitate people- and leadership development within the group. In 2023, two programmes were delivered or initiated:

The Growth 2024 programme

A talent development programme running over 9 months started in October. The programme includes 20 participants (10 men and 10 women) representing most of BEWI's business units. The programme targets to prepare employees in taking the next step in BEWI, building network and learning about the business.

New managers introduction to BEWI

An introduction program targeting managers on business unit management team level and group functions with 22 participants. The programme is focusing on BEWI's mission, vision, values and culture, strategy and future direction delivered by the executive management.

Priorities going forward

Health and Safety

Report safety observations and near misses
Strengthen health and safety culture
Extended support for business units overrepresented with accidents

Employees wellbeing

Further develop leadership programme
Develop/ offer more digital learnings programmes
Launch BEWI's internal "job market" as part of a new recruitment system
Strengthen BEWI as an attractive employer
Ensure a "healthy" gender mix in key positions

ESRS S2

SOCIAL

Workers in the value chain

The well-being and rights of workers in the value chain are essential to foster sustainable business practices. BEWI recognises the importance of due diligence in its value chain to mitigate risks associated with human rights violations.

Ambition

To build a sustainable and resilient value chain.

Key target 2024

• 100% of suppliers identified as medium and high risk assessed

Materiality

With about 12 000 suppliers, BEWI has a significant indirect impact on society through its supply chain, and an inherent risk of human rights violations. The group manages this risk effectively through its management system. BEWI targets a dependable value chain, safe working conditions, and an ethical business conduct. Failing to effectively manage the rights of workers in the value chain could have a negative financial impact through damaging the group's reputation, and could result in fines and remediation costs.

Policies

BEWI`s Supplier Code of Conduct addresses the material topic Workers in the value chain in the group's supply chain. The group has committed to the 10 principles of United Nation Global Compact, and the code aligns with international standards and frameworks such as the UN Guiding Principles on Business and Human Rights, the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct, the International Bill of Human Rights, and the core conventions for the International Labor Organisation (ILO).

The Supplier Code of Conduct covers:

Commitment to fundamental human rights and decent working conditions
Due diligence on human rights in suppliers' own operations, supply chain and subcontractors
Business ethics including anti-corruption, data protection, fair competition, conflicts of interest, import/export controls and economic sanctions
Establishment of accessible grievance mechanisms for workers, rightsholders and stakeholders

Approach

BEWI's commitments throughout the value chain require a robust due diligence process to understand challenges related to human rights violations, environmental impact, and unethical practices.

Risks and supplier assessment

An initial desktop risk analysis of the entire supplier portfolio is done annually, assessing severity and probability of impact according to size, sector, location and spend.

Figure showing BEWI's due diligence approach to workers in the value chain.

Suppliers identified as medium and high risk in the initial risk assessment are registered in BEWI Partner, the group's digital supplier assessment platform. Based on the response from the supplier, a risk analysis is conducted to determinate if there is a need for action to ensure that the supplier comply with BEWI's requirements. In cases where the supplier does not meet the requirements an action plan is developed and followed-up according to probability and impact.

The supplier engagement plan is the basis for engagement throughout the year, to discuss and capture insights on topics that are identified as material for BEWI.

To monitor supplier performance, business segments report the number of suppliers assessed monthly, including the number of suppliers not meeting BEWI's minimum requirement set out in the company's Supplier Code of Conduct.

Due diligence of customers and business partners

In connection with acquisitions, BEWI performs customary due diligence on the potential target companies in question, including for example legal, financial, and commercial due diligence. When deemed necessary, integrity checks are also performed by external service providers.

Grievance mechanisms and remediation

Addressing concerns and grievances within BEWI's value chain is built on the principles of transparency, trust and effective remediation that is proportionate to the grievance that has occurred. BEWI's whistleblowing channel is an important grievance tool to receive information about impact on individuals and groups. The whistleblowing channel is accessible at the group's website, internal channels, and in BEWI Partner. 98 per cent of suppliers in BEWI Partner have a whistleblower function established. Read more about how BEWI follows-up grievances in the gov ernance chapter.

Salient human rights

In parallel to the supplier assessment, a salient human right mapping is conducted annually, aiming

Key salient human rights issues

Working conditions: logistics, tier 2-3 suppliers
Hazardous materials in the value chain
Health and safety in own operation
Forced labour: logistics supply chain
Corruption and unethical behavior in own operation and in the value chain

to identify and prioritise human right issues in the group's value chain. The assessment is based on both external and internal information, such as the OECD guidelines, world risk reports, sector and country risk reports corruption index and human rights risk reports. Internal topics are identified through supplier assessments and supplier meetings and visits.

Training

To increase awareness and ensure compliance with policies and the management approach, a human rights course for relevant employees was held in 2023, with a completion rate of 92 per cent. BEWI will continue to hold annual courses and is in the process on implementing a digital training platform expected to be finalised in 2024. Furthermore, a seminar for the procurement team is organised annually to discuss and share experiences.

Progress

In 2023, BEWI had about 12 000 suppliers1 , of which 95 per cent were in Europe. Of these, 15 per cent stands for 90 per cent of the procurement spend, and 91 per cent of these are assessed and approved to comply with BEWI's ESG requirements.

Salient human rights

BEWI continued to develop and strengthen its due diligence procedure in 2023. Based on the group's salient human rights assessment, suppliers located in Asia, logistics and chemical suppliers were prioritised.

All Asian suppliers were screened in BEWI Partner and 90 per cent of the Asian suppliers were visited in 2023. Lack of PPE (personal protective equipment) was identified and addressed for one supplier in Vietnam. This was followed-up with a physical meeting in March 2024.

A mapping of logistics across all business segments was conducted in 2023, and resulted in a minimum checklist that will inform actions in the business segments going forward.

Key chemical suppliers were assessed at group level to learn more about tier 2 suppliers, and the risks related to the origin of raw materials. Meetings have been conducted to share information and plan further assessments.

Supplier assessment

The supplier assessment platform, BEWI Partner, was upgraded in 2023 to include more details related to human rights, such as forced labor, minimum age, working hours, wages, and freedom of association.

A total of 1 127 suppliers have received BEWI's assessment questionnaire. Of these, 60 per cent have been approved according to the risk-based approach since the implementation of the system in 2021, of which 40 per cent were approved in 2023. Of the suppliers approved in 2023, 74 per cent were assessed with the improved questionnaire on the additional topics on human rights. During 2023, two suppliers were not approved due to not meeting BEWI's requirements on human rights and business ethics, health and safety, and environment. In addition, cooperation with one supplier was terminated due to a link to the Russian market.

Priorities going forward

100% of suppliers identified as medium and high risk assessed
Integration of salient human rights assessment in all business segments
Increase awareness in the organisation through training

Governance

Material governance topics:

ESRS G1 – Business conduct

GOVERNANCE

ESRS G1

Business conduct

High standards for responsible business practices are essential for the value the company creates for its stakeholders.

Ambition

Zero cases of unethical behaviour.

Key targets 2024

Zero cases of corruption and other unethical business conduct
100% of relevant employees having performed BEWI's online trainings

Materiality

BEWI mainly operates in countries in the Northern and Western part of Europe, with generally healthy business practices. With operations across several geographies, the risk of unethical business conduct is, however, still present in short and medium term. BEWI has a trading business where products are supplied from countries where the risk of corruption is considered evident. Unethical business conduct is

not only contrary to BEWI's fundamental values but could also have serious consequences in the form of significant fines, sanction fees, extensive damages claim, exclusion from public procurement, trade prohibitions, as well as harming BEWI's reputation, competitiveness, and business relations.

Policies

BEWI has several policies addressing risks related to business conduct. Apart from the Supplier Code of Conduct which refers to the conduct of BEWI's suppliers, the policies listed below cover BEWI's own operations and, with respect to ethical business conduct, cover:

• Code of Conduct

To ensure good business ethics and integrity with respect to bribery, corruption and fraud, money laundering, competition, conflict of interest, gifts and contributions, human rights and confidentiality

• Anti-Corruption Policy

To prevent any case of corruption, facilitation payments, nepotism and cronyism, political contributions, money laundering, financing of terrorism, extortion or fraud

• Gift and Events Policy

To provide thresholds and guidelines for gifts and events received or provided

Competition Law Compliance Policy To ensure compliance with competition law
Privacy Statement and Privacy Policy To ensure compliance with GDPR and other applicable privacy regulations

• Sanction Policy

To ensure compliance with sanction laws and regulations as well as obligations in BEWI's financing agreements

• Supplier Code of Conduct

To ensure good business ethics and integrity among BEWI's suppliers including for example corruption, competition, data protection, human rights, conflict of interest and whistleblower protection

Approach and progress

BEWI strives to meet the highest ethical standards across its business, contributing to an effective and fair competition. The group has adopted several policies setting out its commitments and expectations on how its employees are to be conducting business. In 2023, BEWI adopted a new sanction policy to ensure compliance with relevant sanctions. The topic was previously covered by other policies.

BEWI has a management system for anti-corruption and for human rights. The systems comprise: (i) policies; (ii) accountability; (iii) systems; (iv) competence; and (v) reporting.

To enhance the organisation's awareness on corruption and ethical business conduct, all relevant employees must complete mandatory online training courses on, among others, the topic of anti-corruption, competition law and GDPR as part of their onboarding process. The courses are done on an annual or bi-annual basis.

BEWI's supplier assessment platform, BEWI Partner, helps BEWI to assure and document suppliers' ESG practices, including measures against corruption. In addition, BEWI utilises a system called World Check, for screening of certain customers, business partners and suppliers against sanction lists. When deemed

necessary, integrity checks performed by external service providers are conducted, for example in connection with acquisitions.

BEWI has a whistleblowing system to provide stakeholders with the possibility to report anonymously on serious improprieties. The channel is available to all stakeholders through internal channels and the group's website. The function is operated by an independent third party and all reports are handled with confidentiality.

To ensure continuous attention on suspicious misconduct, BEWI has implemented monthly reporting from each business unit of any concern raised.

In 2023, zero incidents of corruption were reported, and BEWI received three whistleblower reports. The cases related to human resources and business conduct. BEWI took the measures appropriate on the basis of the information provided.

Priorities going forward

Monitoring of business ethics rules (internal compliance controls)
Risk assessments with respect to ethical business conduct conducted in all business divisions
Strengthen due diligence processes related to ethical business conduct in acquisitions and supply chain

Financial statements 2023

The Group

Consolidated comprehensive income statement
	Consolidated statement of financial position	114
	Consolidated statement of financial position	115
	Consolidated statement of changes in equity	116
Consolidated cash flow statement		117
	Accounting principles and notes to the accounts	118
Note 01	General information	118
Note 02	Summary of key accounting principles	118
Note 03	Financial risk management	121
Note 04	Critical accounting estimates and assessments	126
Note 05	Net sales distribution and segment information	127
Note 06	Employee remuneration etc.	129
Note 07	Remunerations to auditors	131
Note 08	Leasing	131
Note 09	Financial income and expense	132
Note 10	Exchange differences – net	133
Note 11	Income tax	133
Note 12	Intangible assets	136
Note 13	Tangible assets	138

Note 14	Business acquisitions	139
Note 15	Shares in associates	139
Note 16	Financial instruments per category	141
Note 17	Account receivables	142
Note 18	Inventory	143
Note 19	Prepaid expenses and accrued income	143
Note 20	Share capital	143
Note 21	Cash flow hedge reserve	144
Note 22	Share-based incentive programme	145
Note 23	Earnings per share	146
Note 24	Borrowings	146
Note 25	Pensions and similar obligations to employees	149
Note 26	Other provisions	152
Note 27	Accrued expenses and deferred income	152
Note 28	Contingent liabilities	152
Note 29	Pledged assets	153
Note 30	Related parties	153
Note 31	Adjustments for non-cash items, etc.	155
Note 32	Subsequent events	155

Parent company

	Income statement of the parent company	156
	Statement of financial position of the parent company	157
	Statement of financial position of the parent company	158
	Cash flow statement for the parent company	159
	Accounting principles and notes to the accounts	160
Note 01	General information	160
Note 02	Summary of key accounting principles for the parent company	160
Note 03	Net sales	161
Note 04	Employee remuneration etc.	161
Note 05	Interest income and interest expense and similar items	162
Note 06	Income tax on the profit for the year	163
Note 07	Shares in subsidiaries and associates	163
Note 08	Cash and bank balances	165
Note 09	Share capital	165
Note 10	Equity	166
Note 11	Receivables and liabilities	166
Note 12	Related parties	167
Note 13	Remuneration to auditors	167
Note 14	Contingent liabilities	167

Auditor's report	168

Alternative Performance Measures 172

Consolidated comprehensive income statement

million EUR (except numbers for EPS)	Note	2023	2022
Revenues
Net sales	5	1 105.3	1 050.4
Other operating income		1.5	-
Total revenue		1 106.8	1 050.4

Operating expenses
Raw materials and consumables	18	-455.3	-432.4
Goods for resale	18	-95.3	-136.1
Other external costs	7, 8, 10	-249.9	-229.9
Personnel costs	6	-205.2	-149.3
Depreciation/amortisation and impairment tangible and intangible assets	12, 13	-68.4	-47.2
Share of income from associated companies		1.3	2.8
Capital gain/loss from sale of asset, adjustment purchase price acquired
companies and sale of business		-0.6	9.7
Total operating expenses		-1 073.4	-982.5

Operating income (EBIT)		33.5	68.0
Financial income		5.8	2.0
Financial expense		-48.3	-27.4
Financial income and expense - net	9, 10	-42.5	-25.5

Income before taxes		-9.0	42.5

Income tax	11	-6.6	-7.2
Net income for the year		-15.6	35.4

million EUR (except numbers for EPS)	Note	2023	2022
Other comprehensive income:
Items that may be reclassified to profit or loss
Exchange rate differences		2.3	-2.2
Cash flow hedges	21	-0.1	-
Items that will not be reclassified to profit or loss
Remeasurements of net pension obligations		-1.2	-4.2
Income tax pertinent to remeasurements of net pension obligations		0.3	0.8
Other comprehensive income after tax		1.3	-5.6
Total comprehensive income for the period		-14.3	29.7
Net income for the year attributable to:
Parent company shareholders		-18.0	34.4
Non-controlling interest		2.4	0.9
Total comprehensive income attributable to:
Parent company shareholders		-17.2	28.7
Non-controlling interest		2.9	1.0
Earnings per share	23
Average number of shares:		191 672 042	164 109 723
Diluted average number of shares:		192 424 550	165 490 895
Earnings per share (EPS), basic (EUR)		-0.09	0.21
Earnings per share (EPS), diluted (EUR)		-0.09	0.21
Earnings per share (EPS), basic (NOK) 1		-1.08	2.12
Earnings per share (EPS), diluted (NOK) 1		-1.08	2.10

¹ EPS in NOK is calculated using average rates for the period

Consolidated statement of financial position

million EUR	Note	31 Dec 2023	31 Dec 2022
ASSETS
Non-current assets
Intangible assets
Goodwill		244.5	262.8
Other intangible assets		142.8	135.2
Total intangible assets	12	387.3	398.0
Tangible assets
Land and buildings		244.6	238.6
Plant and machinery		182.9	178.0
Equipment, tools, fixtures and fittings		22.0	28.2
Construction in progress and advance payments		35.9	23.9
Total tangible assets	13	485.3	468.7
Financial assets
Shares in associates	15	11.4	13.2
Net pension assets		2.8	2.6
Non-current receivables associates		0.0	0.1
Other non-current receivables		0.0	0.1
Other shares and participations		0.5	6.1
Total financial assets		14.8	22.1
Deferred tax assets	11	9.8	4.4
Total non-current assets	16	897.2	893.2

million EUR	Note	31 Dec 2023	31 Dec 2022

Current assets
Inventory
Raw material and consumables		46.0	53.9
Work-in-progress		4.8	5.4
Finished goods and goods for resale		81.9	108.3
Total inventory	18	132.6	167.6
Current receivables
Account receivables	17	129.3	156.7
Current tax assets		1.2	0.7
Other current receivables		11.8	14.2
Prepaid expenses and accrued income	19	14.2	12.5
Other financial assets	3	3.6	8.3
Cash and cash equivalents		63.6	47.5
Total current receivables	16	223.6	239.9
Total current assets		356.2	407.5
TOTAL ASSETS		1 253.4	1 300.7

Consolidated statement of financial position

million EUR	Note	31 Dec 2023	31 Dec 2022
EQUITY AND LIABILITIES
Equity
Share capital	20	18.3	18.2
Additional paid-in capital		323.0	322.3
Reserves		-14.5	-15.3
Accumulated profit (including net profit/loss for the year)		76.5	94.7
Equity attributable to parent company shareholders		403.2	419.8
Non-controlling interests		12.5	10.0
Total Equity		415.7	429.8
Liabilities
Non-current liabilities
Pensions and similar obligations to employees	25	2.3	1.3
Other provisions	26	2.5	0.4
Deferred tax liability	11	53.3	58.3
Non-current bond loan	24	247.9	246.9
Other non-current interest-bearing liabilities	24	326.3	238.2
Other financial non-current liabilities	24	0.4	0.7
Total non-current liabilities	16	632.9	545.7

million EUR	Note	31 Dec 2023	31 Dec 2022
Current liabilities
Other current interest-bearing liabilities	24	36.6	112.4
Other financial liabilities	3	3.2	0.4
Account payables		81.6	83.5
Current tax liabilities		8.4	16.4
Other current liabilities		14.6	15.1
Accrued expenses and deferred income	27	60.4	97.3
Total current liabilities	16	204.8	325.2
Total liabilities		837.7	870.9
TOTAL EQUITY AND LIABILITIES		1 253.4	1 300.7
	Trondheim, Norway, 17 April 2024
	The board of directors and CEO of BEWI ASA

Gunnar Syvertsen Chair of the Board Anne-Lise Aukner Director Rik Dobbelaere Director Andreas Akselsen Director Kristina Schauman Director Pernille Skarstein Christensen Director Christian Bekken CEO

Consolidated statement of changes in equity

		Additional		Retained earnings		Non-controlling
million EUR	Share capital	paid-in capital	Reserves	(incl profit for the year)	Total interest		equity
Opening balance as of 1 January 2023	18.2	322.3	-15.3	94.7	419.8	10.0	429.8
Net profit for the year	-	-	-	-18.0	-18.0	2.4	-15.6
Other comprehensive income	0.1	-	0.7	-	0.8	0.5	1.3
Total comprehensive income	0.1	-	0.7	-18.0	-17.2	2.9	-14.3
Transactions with owners, recognised directly in equity
New share issue	0.0	0.7	-	-	0.8	-	0.8
Dividend	-	-	-	-	-	-1.3	-1.3
Acquisition of non-controlling interest	-	-	-	-0.4	-0.4	-0.1	-0.4
Acquisition of business with non-controlling interest	-	-	-	-	-	0.9	0.9
Share-based incentive programme	-	-	-	0.2	0.2	-	0.2
Total transactions with shareholders, recognised directly in equity	0.0	0.7	-	-0.2	0.6	-0.4	0.2
Closing balance as of 31 December 2023	18.3	323.0	-14.5	76.5	403.2	12.5	415.7
Opening balance as of 1 January 2022	14.8	166.9	-9.6	80.3	252.4	9.8	262.2
Net profit for the year	-	-	-	34.4	34.4	0.9	35.4
Other comprehensive income	-	-	-5.7	-	-5.7	0.1	-5.6
Total comprehensive income	-	-	-5.7	34.4	28.7	1.0	29.7
Transactions with owners, recognised directly in equity
New share issue	3.4	155.5	-	-	158.8	-	158.8
Transaction cost	-	-0.1	-	-	-0.1	-	-0.1
Dividend	-	-	-	-20.8	-20.8	-	-20.8
Acquisition of non-controlling interest	-	-	-	0.2	0.2	-0.8	-0.6
Share-based incentive programme	-	-	-	0.6	0.6	-	0.6
Total transactions with shareholders, recognised directly in equity	3.4	155.4	-	-20.1	138.6	-0.8	137.9
Closing balance as of 31 December 2022	18.2	322.3	-15.3	94.7	419.8	10.0	429.8

Consolidated cash flow statement

million EUR	Note	2023	2022

Operating cash flow
Operating income (EBIT)		33.5	68.0
Adjustments for non-cash items, etc.	31	71.6	50.5
Interest paid and financing costs		-43.1	-19.3
Interest received		20.3	2.8
Income tax paid		-23.8	-14.2
Operating cash flow before changes in working capital		58.5	87.8
Cash flow from working capital changes
Increase/decrease in inventories		28.9	-20.4
Increase/decrease in operating receivables		24.9	28.6
Increase/decrease in operating liabilities		-35.8	-55.2
Cash flow from change in working capital		18.0	-46.9
Cash flow from operating activities		76.5	40.9

Cash flow from investment activities
Purchase of property, plant and equipment and intangible assets	12, 13	-51.7	-43.7
Acquisitions of business	14	-0.2	-230.9
Acquisitions of associated companies	15	0.0	0.0
Other financial investments		13.6	2.2
Disposals of property, plant and equipment		34.2	85.0
Divestment of business		0.0	7.8
Divestment of associated companies		1.0	-
Cash flow from investment activities		-3.1	-179.7

million EUR	Note	2023	2022
Cash flow from financing activities
Proceeds from borrowings	24	64.9	85.0
Repayment of borrowings and lease liabilities	24	-121.1	-18.3
New share issue, net of transaction costs	20	0.8	1.0
Dividend		-	-20.8
Dividend to non controlling interest		-1.3	-
Cash flow from financing activities		-56.7	46.9

Cash flow for the period		16.7	-91.9
Opening cash and cash equivalents		47.5	142.3
Exchange difference in cash		-0.6	-2.9
Closing cash and cash equivalents		63.6	47.5

The group

Accounting principles and notes to the accounts

Note 01 General information

BEWI ASA (the parent company) and its subsidiaries (together, the group) produce, market and sell packaging, components and insulation solutions. The parent company conducts its business through subsidiaries in Sweden, Finland, Denmark, Norway, Iceland the Netherlands, Belgium, Portugal, Spain, Poland, Germany, UK, France, Lithuania, Czech Republic, Canada and through associated companies in Germany, France, Sweden and Poland.

The parent company is a public limited company registered in Norway, with head office located in Trondheim, Norway, and address Dyre Halses gate 1A, 7042 Trondheim. BEWI ASA's registration number is 925 437 948.

The board of directors approved these consolidated accounts on 17 April for publishing on 18 April 2024.

Note 02 Summary of key accounting principles

The key accounting policies applied in these consolidated accounts are stated below. The policies have consistently been applied for all periods unless otherwise specified.

All amounts are reported in million Euro, (million EUR), unless otherwise specified. The information in brackets concerns previous years.

2.1 Basis for preparation

The consolidated accounts for the BEWI ASA group ("BEWI ASA") have been prepared in accordance with IFRS® Accounting Standards and interpretations from the IFRS Interpretations Committee (IFRS IC), as adopted by the EU.

Preparing reports compliant to IFRS requires certain critical estimates to be made, and management need to make judgements when applying the group's accounting policies. Complex areas, areas where judgements materially affects the accounting outcome and assumptions and estimates that are significant to the consolidated accounts, are stated in note 4.

No new IFRS standards or amendments to standards have been added in 2023 that have required changes in the accounting or measurement policies.

2.2 Segment reporting

Operating segments are identified in a manner consistent with the internal reporting provided to the chief operating decision-maker, which is the executive committee. The group has identified four segments to be reported: RAW, Insulation & Construction, Packaging & Components and Circular.

2.3 Associated companies

Holdings in associated companies are reported using the equity method.

2.4 Translation of foreign currencies

Functional currency and presentation currency The units of the group use their local currencies as functional currency as they have been defined as the currencies used in the primary economic environment in which the respective units mainly are active. In the consolidated accounts, Euro (EUR) is utilised as the group's presentation currency.

Transactions and balance sheet items

In general, exchange rate gains and losses arising from payments of transactions in foreign currency and from translations of monetary assets and liabilities in foreign currency are reported in operating income. However, exchange rate gains and losses arising from borrowings and cash and cash equivalents are reported as financial incomes and expenses.

2.5 Intangible assets Goodwill

Goodwill is monitored per cash generating unit. Goodwill is tested for impairment annually or more frequently should certain events or changes to conditions indicate a possible impairment need. The carrying value of goodwill is compared to the recoverable amount, which is the higher of fair value less costs of disposal and value in use. Any impairment is immediately reported as an expense and is not reversed.

Patents/ Licences/ IT

Patents, licences & IT carry a useful life and are reported at the acquisition cost less accumulated amortisation and impairment.

Customer relations, trademarks and technology

Customer relations, trademarks and technology assets have all been acquired through business combinations and measured at fair value on the acquisition date. Customer relations and technology have a fixed useful life and are for subsequent periods reported at the acquisition cost less accumulated amortisation and impairment. The useful life of trademarks acquired through business combinations is evaluated and determined in each acquisition. Net cash flows generated by trademarks are not expected to cease in the foreseeable future unless they are product names.

Many of the trademarks in the groups balance sheet are therefore currently assessed as having an indefinite useful life. Trademarks and goodwill are tested annually for impairment as described above. Trademarks are for subsequent periods reported at the acquisition cost less any write-down from impairment.

Useful lives for the group's intangible assets:
Patents/Licences	5 yr.
Customer relations	8–16 yr.
Technology	6.5–10 yr.
Product names	20 yr.

2.6 Tangible assets

Depreciation is recognised on a straight-line basis over the useful life to the calculated residual value. Such depreciations are carried out according to the following:

Buildings	10–65 yr.
Frameworks, foundations	64–84 yr.
Frame supplements, interior walls	50 yr.
Heating, sanitary, electricity, front, roof	40 yr.
Interior surface finish/rental preparation	10 yr.
Ventilation	20 yr.
Elevator/transportation	25 yr.
Control system and surveillance	15 yr.
Other property components	50 yr.
Ground installations (facilities)	20 yr.
Plant and machinery	5–18 yr.
Equipment, tools, fixtures and fittings	3–10 yr.

2.7 Inventory

The inventory is reported at the lower of the cost and net realisable value. Cost is determined using the first-infirst-out method. Cost also includes expenses relating to the acquisition, as well as for bringing the goods to their current location and condition. Cost for the company's semi-finished or finished products is the sum of the direct production costs and the production overhead (based on normal production capacity).

2.8 Financial instruments

Financial instruments are included in several balance sheet items.

2.8.1 Classification

The group classifies its financial assets and liabilities in the following categories:

Financial assets at fair value through profit or loss

Financial assets at fair value through profit and loss are shares and participation rights in subsidiaries, associates and joint ventures. Derivatives are recognised at fair value through profit or loss. Positive fair values of derivatives are reported as financial assets.

Financial assets measured at amortised cost

Financial assets measured at amortised cost are financial instruments where the business model is to collect interest and principal on the instrument. These are measured at amortised cost in accordance with the effective interest method. Accounts receivables are included in this category, however due to the short maturity they are measured at nominal amounts less estimated credit losses.

Financial liabilities at fair value through profit and loss Financial liabilities at fair value through profit and loss are

normally limited to derivatives and earnouts from business acquisitions.

Financial liabilities measured at amortised cost

Financial liabilities measured at amortised cost include bond loans, liabilities to credit institutions, liabilities regarding financial leasing and account payables.

The classification is made in accordance with the purpose of obtaining the financial asset or liability upon recognition.

2.8.2 Recognition and initial measurement

Financial assets are initially recognised at fair value plus transaction costs for all financial assets not at fair value through profit or loss. Financial assets at fair value through profit or loss are initially recognised at fair value and transaction costs are expensed. Financial assets are recognised when the group becomes a party to the contractual provisions of the instrument. Regular purchases and sales of financial assets are recognised on the settlement date. Financial assets are removed from the balance sheet when the right to obtain cash flows from the instrument has expired and the group has transferred all essential risk and benefits in conjunction with the ownership. Financial liabilities are recognised when the group becomes bound to the contractual obligations of the instrument. Financial liabilities are removed from the balance sheet when the obligation under the agreement is completed or otherwise extinguished. Loans and receivables and other financial liabilities are, after the acquisition date, reported at the amortised cost calculated using the effective interest method.

2.8.3 Impairments of financial instrument

At each balance sheet date, financial assets measured

at amortised cost are assessed for impairment based on Expected Credit Losses (ECL). ECLs are the difference between all contractual cash flows that are due in accordance with the contract and all the cash flows that the group expects to receive, discounted at the original effective interest rate. Allowances for trade receivables are always equal to lifetime ECL.

2.9 Current and deferred tax

The period's tax expenses include current and deferred tax. The current tax expense is calculated on the basis of the tax regulations in force on the balance sheet day in the countries in which the parent company and its subsidiaries are active and generate taxable revenue. Deferred tax is reported, in accordance with the balance sheet method, for all temporary differences between the tax value of assets and liabilities and the carrying amount of the consolidated accounts. Deferred tax is calculated with the application of the tax rates in force on the balance sheet day and the rates expected to be in force when the tax asset is realised, or the tax liability is cleared. Deferred tax assets on carry forwards are reported to the extent likely that future fiscal surplus will be available, against which the deficits may be exploited.

2.10 Employee remuneration Pension commitments

The group has several post-employment benefit plans, including defined benefit plans, of which the majority of the pension schemes are defined contribution plans. A defined contribution plan is a pension plan according to which the group pays a fixed fee to a separate legal entity. The group carries no legal or constructive obligations to pay additional fees should the entity lack sufficient resources to remunerate all employees what they are due as a result of their service, in the current or prior periods.

The fee is reported as a personnel cost when matured. A defined benefit plan is a pension plan without defined contribution. Defined benefit plans normally set out an amount for the employee to receive upon retirement, normally based on one or several factors such as age, period of service and salary. The group provides defined benefit plans for a limited number of people, in Finland, in the UK, and in Norway. These plans are further described in note 25. In addition, the group provides other longterm benefits in the Netherlands for long-term service (Jubilee fund), calculated in the same manner as a defined benefit plan. The liability reported on the balance sheet in conjunction with the defined benefit pension plan is the present value of the defined benefit commitment at the end of the reporting period less the plan assets' fair value. The defined benefit pension commitment is calculated annually by independent actuaries using the projected unit credit method. The present value of the defined benefit liability is determined through discounting future estimated cash flows using the interest rate for investment grade corporate bonds or housing bonds issued in the same currency as the benefits, with terms comparable to the pension commitment in question. The net interest is calculated by applying discounted interest charges to defined benefit plans and for the fair value of the plan assets. The current service cost is included in the personnel costs and the net interest among financial items. Revaluation gains and losses as a result of adjustments in accordance with experience and changes to actuarial estimates are reported in other comprehensive income for the period during which they arise. They are part of the profit carried forward in the changes to consolidated equity and the balance sheet. Costs for service in prior periods are reported in the income statement.

Share-based incentive programme

In 2020, the parent company BEWI ASA implemented a share-based incentive programme, entitling the participants to subscribe for shares in BEWI ASA during a three-year period.

The fair value of the share options issued is determined at the grant date in accordance with the Black & Scholes valuation model, taking into consideration the terms and conditions that are related to the share price.

The value is recognised in the income statement as a personnel cost allocated over the vesting period with a corresponding increase in equity.

The recognised cost corresponds to the fair value of the estimated number of share options that are expected to vest. This cost is adjusted in subsequent periods to reflect the actual number of vested options and shares.

2.11 Revenue recognition and net sales

BEWI sells products for insulation to the construction industry as well as packaging solutions to the manufacturing industry and food producers. Virtually all of these sales transactions meet the definition of a point in time revenue recognition. The sales are reported as revenue when the product is delivered to a customer. Delivery is deemed to have taken place when the products have arrived at the location defined by the shipment terms. Net sales in the Income Statement consist of sale of goods and services in the ordinary course of business, traded goods sold, and deduction of customer discounts and bonuses.

2.12 Leases

The group has decided to apply the practical expedients for short-term leases and low-value assets. This means that contracts with shorter maturities than 12 months and leases of low value (value of assets when it is new of less than EUR 5 000) are not included in the calculation of right-of-use assets or leasing liabilities but continue to be reported with straight-line expense over the lease term.

Examples of low value assets are computers, printers and copiers.

2.13 Government grants

Government grants are recognised in profit or loss on a systematic basis over the periods in which the related expenses, which the grants are intended to compensate for, are recognised. Government grants are recognised as a reduction of such related expenses. Government grants received for investments are recognised in the balance sheet as a reduction of the booked value of the asset.

2.14 Cash flow statement

Cash flow statement is prepared using the indirect method. The reported cash flow solely contains transactions giving rise to payments

Note 03 Financial risk management

3.1 Financial risk factors

The group is through its activities exposed to several different risks: market risks (currency risk, interest rate risk and price risk), credit risk and liquidity risk. The group's comprehensive financial risk management is focused on the unpredictability of the financial markets and strives to minimise any adverse effect on the consolidated profits. The use of derivative financial instruments has so far mainly been limited to mitigation of currency exposure on intra-group borrowing and lending. The risk management is controlled by the central finance department and the treasury function within that department. The finance department identifies, evaluates and hedges financial risks in close cooperation with the group's operative units.

Currency risk

The group operates in the Nordic countries, in continental Europe, in the UK and in North America and is mainly exposed to currency risk arising from currency exposure to the Swedish Krona (SEK), the Danish Krona (DKK) and the Norwegian Krona (NOK). Currency risks arise from both transaction exposure and translation exposure. Transaction exposure should, when possible, be centralised and managed by the group's central treasury function.

Transaction exposure

Transaction exposure arises when revenues and costs are incurred in different currencies and exposes the group to changes in net cash flow due to fluctuations in exchange rates. This is applicable to both operational cash flows and to financial commitments that will end in a cash outflow. Transaction exposure also arises on fair value changes on existing balance sheet items in foreign currency, such as trade receivables and liabilities and borrowing and lending, when these items are revalued on the balance sheet date or when settled. The largest transaction exposure to operational cash flows is attributable to raw material purchases in Sweden and Norway, which are done in EUR. As DKK is pegged to the EUR, Denmark is not subject to that same exposure. In addition, there is also a minor exposure between other currency pairs where sales or purchases are concluded in foreign currencies. The largest fair value exposure on the balance sheet is related to intra-group loans, mainly EUR denominated, from Sweden to its subsidiaries. However, the main sources of funding for the group, the bond loan and the overdraft facility, are denominated in EUR to match the intragroup loans to subsidiaries predominately located in the Euro area.

The following measures are taken by BEWI to reduce the transaction exposure:

For raw material purchases from the Euro area into the Nordics, price and currency clauses are in general incorporated into customer agreements.
Intra-group trade receivables and liabilities should be settled within a limited time-frame.
The group's external borrowing should be matched to the currency of intra-group lending to subsidiaries.
Bank balances in foreign currency should be exchanged to local currency as soon as possible.

Transaction exposure to operational cash flows are only to a limited extent hedged by using derivatives. However, to the extent that there is a major net exposure in any currency from borrowing and lending, that balance sheet exposure should be hedged by using forward contracts or swaps. Net balance sheet exposure has been managed by a combination of short-term derivatives and long-term derivatives, depending on the nature of the exposure.

The net fair value of derivate contracts used for hedging transaction exposure, as of 31 December, is presented in the table below. The derivative assets are reported as Other financial assets in the balance sheet and the derivative liabilities as Other financial liabilities.

million EUR	0-6 months	7-12 months	2-3 yr.	3-4 yr.	4-5 yr.

As of 31 Dec 2023
Derivative asset	2.1	0.3	1.1	0.1	-
Derivative liability	-0.0	-	-3.2	-	-
Total	2.1	0.3	-2.1	0.1	-

As of 31 Dec 2022
Derivative asset	0.6	0.0	-	7.7	-
Derivative liability	-0.4	-	-	-	-
Total	0.2	0.0	-	7.7	-

In a few cases, where all formal requirements have been met, hedge accounting has been applied on cash flow hedges of operational cash flows. As at 31 December 2023, EUR 3.0 million in cash flows due within three months from the balance sheet day were hedged by using FX forwards. This gave rise to an unrealised loss of EUR 0.1 million, which was recognised in other comprehensive income.

Translation exposure

Translation exposure arises when the income statements and balance sheets of foreign operations are translated to EUR, the presentation currency of the group's financial statements. The reported net sales and profit of the group, as well as the net assets of the group, are consequently exposed to changes in exchange rates between EUR and the currencies of the group's

foreign operations. The translation exposure is not hedged, but the group strives to have a balance in major currencies between net debt, equity and EBITDA to reduce volatility in the balance sheet and key financial ratios.

A sensitivity analysis shows that if EUR would have fluctuated by 5 per cent against all other currencies in the group, the impact on adjusted EBITDA would have been +/- EUR 1.7 million in 2023 (EUR 1.3 million). This assumes that all other variables are held constant and ignores any compensating effects from transaction exposure, for example the impact from raw material purchases.

Interest rate risk

Interest rate risk is the risk that changes in market interest rates will have a negative impact on cash flow or fair value of financial assets and liabilities. Cash flow risk arises from changes in variable interest rates, whereas fair value risk arises from changes in fixed interest rates. It is the policy of the group to limit the interest rate risk to cash flow risk by restricting the allowed average interest duration for both borrowing and financial investments. The group's borrowing is primarily exposed to changes in Euribor through the bond loan, and short term interest rates in SEK and NOK, as further outlined in Note 24 Borrowings. The Group's lending, limited to loans to associated companies, is exposed to changes in Euribor, as described in Note 15 Shares in associates.

In the event that the interest rate would fluctuate up or down by 50 basis points, all other variables held constant, the impact on net profit would have been +/- EUR 1.7 million in 2023 (EUR 1.2 million).

Price risk

The group is exposed to price risks in relation to shareholdings other than shares held in group companies or associated companies. Such other shareholdings are valued at fair value. The exposure has mainly been related to shares in KMC Properties ASA, a company listed on Oslo Bors. These shares were part of the consideration received in the sale and leaseback transactions in the Netherlands in 2020 and in Finland and Denmark in 2023, but were all sold in December 2023. The corporate bonds are listed on Nasdaq Stockholm, and the group is therefore exposed to fluctuations of the market value if the repurchase clause in the bond agreement would be utilised.

Credit risk

Credit risk refers to the risk that a counterparty in a financial transaction may not fulfil its obligations. It is a risk applicable to trade receivables, lending and to cash and cash equivalents. Credit risks are managed by the central treasury function, except for credit risks related to accounts receivables, which are managed locally by the subsidiaries or business units.

Each subsidiary or business unit shall monitor and analyse the credit risks for each new customer before standard terms for payment and delivery are offered. If customers are credit rated by independent credit rating agencies, these credit ratings are utilised. In the event that no independent credit rating exists, the group company undertakes a risk assessment of the

customer's creditworthiness, in which the customer's financial position is considered, as well as previous experience and other factors. Individual risk limits are determined on the basis of internal or external credit ratings. In case no relevant credit risk can be assessed and no credit limit established, only prepayments are accepted. The application of credit limits is monitored regularly. The credit-term is normally 30 days, but both shorter and longer terms are applied, depending on the customer and local practices. A breakdown of maturity for accounts receivables, as well as description of the principles for estimating credit losses, are presented in note 17 Accounts receivables.

To minimise the credit risk for cash and cash equivalents, only banks and financial institutions with strong credit rating from independent credit rating agencies are accepted. The maximum credit risk exposure corresponds to the financial assets presented in note 16 Financial instruments per category.

Liquidity risk

Liquidity risk is the risk that the group does not have access to adequate financing on acceptable terms at any given point in time. This requires a combination of short-term monitoring of cash flow and securing short and long-term financing of the group.

Cash flow forecasts are prepared by the group's operating companies and are closely monitored by the treasury department. The group should always have a sufficient liquidity reserve to meet the short-term operating needs. In order to balance seasonal effects in operating cash flow, and managing other short term funding needs mainly related to change in working capital, the group has secured an revolving credit facility (RCF). The facility was increased to a total of EUR 150 million in 2022. The facility is now provided by two banks and runs until 2025 and includes the option to extend the facility further in time. Part of the total RCF frame has been utilized for an overdraft facility provided by one of the banks

For the long-term financing of the group, BEWI has issued a EUR 250 million five year sustainability linked bond that matures on 3 September 2026, with a possibility for BEWI to unilaterally decide on an early redemption after 3 March 2025 of 50 per cent of the bonds outstanding at that date. A detailed description of the terms for the bond loans is given in note 24 Borrowings. In addition to the centrally negotiated borrowings, there are also a few liabilities to credit institutions and overdraft facilities in companies acquired, that have not been subject refinancing post acquisition. A major part of such liabilities by the end of 2022 derived from the acquisition of Jackon Holding AS, which had utilised facilities in the amount of EUR 90.8 million as per 31 December 2022. During 2023, the external liabilities originating from the acquisition of Jackon Holding AS were settled and replaced by additional utilisation of BEWI's RCF.

The amounts in the table below are the agreed, undiscounted cash flows.

As of 31 Dec 2023

million EUR	<1 yr.	1–2 yr.	2–5 yr.	>5 yr.

Bond loans	-	-	250.0	-
Liabilities to credit institutions	7.4	122.0	3.0	-
Overdraft	4.4	-	-	-
Accounts payables	81.6	-	-	-
Other non-current liabilities	-	0.4
Liabilities leases	33.4	31.4	82.4	181.1
Total	126.8	153.8	335.4	181.1

As of 31 Dec 2022

million EUR	<1 yr.	1–2 yr.	2–5 yr.	>5 yr.

Bond loans	-	-	250.0	-
Liabilities to credit institutions	69.5	82.3	4.9	0.6
Overdraft	22.7	-	-	-
Accounts payables	83.5	-	-	-
Liabilities leases	25.0	24.0	62.2	124.4
Total	200.8	106.2	317.1	125.0

The undiscounted cash flow for liabilities leases correspond to the future lease payments reflected in the calculation of the discounted lease liability in accordance with IFRS 16.

3.2 Fair value

The table below presents the fair value of financial instruments measured at fair value though profit and loss, or, which is the case with the bond loans, fair value of financial instruments measured at amortised cost. The carrying amount of the group's other financial assets and liabilities is considered to constitute a good approximation of fair value, since they carry floating interest rates or are of a current nature.

As of 31 Dec 2023					Carrying
million EUR	Level 1	Level 2	Level 3	Total	amount

Financial assets measured at fair value through profit and loss
Participation in other companies	-	-	0.5	0.5	0.5
Derivative asset	-	3.6	-	3.6	3.6
Total	-	3.6	0.5	4.1	4.1
Financial liabilities measured at amortised cost
Bond loan	235.0	-	-	235.0	247.9
Total	235.0	-	-	235.0	247.9
Financial liabilities measured at fair value through other comprehensive income
Derivative liabilities	-	0.1	-	0.1	0.1
Total	-	0.1	-	0.1	0.1
Financial liabilities measured at fair value through profit and loss
Derivative liability	-	3.2	-	3.2	3.2
Other financial non-current liabilities	-	-	0.4	0.4	0.4
Total	-	3.2	0.4	3.6	3.6

As of 31 Dec 2022 Carrying

million EUR	Level 1	Level 2	Level 3	Total	amount
Financial assets measured at fair value through profit and loss
Participation in other companies	5.5	-	0.5	6.0	6.0
Derivative asset	-	8.3	-	8.3	8.3
Total	5.5	8.3	0.5	14.3	14.3
Financial liabilities measured at amortised cost Bond loan	240.6	-	-	240.6	246.9
Total	240.6	-	-	240.6	246.9
Financial liabilities measured at fair value through profit and loss
Derivative liability	0.4	-	-	0.4	0.4
Other financial non-current liabilities	-	-	0.7	0.7	0.7

Total 0.4 - 0.7 1.1 1.1

Level 1 – Listed prices (unadjusted) on an active market for identical assets and liabilities.

Level 2 – Other observable data for the asset or liability that is listed prices included at level 1, either directly (as price) or indirectly (derived from price).

Level 3 – Data for the asset or liability that is not based observable market data.

Level 3 – Changes during the period, million EUR	Participation in other companies	Other financial non-current liabilities
As of 31 Dec 2022	0.5	0.7
Settlement	-	-0.3
Fair value adjustment through profit and loss	0.0	-
As of 31 Dec 2023	0.5	0.4

Level 3 – Changes during the period, million EUR	Participation in other companies	Other financial non-current liabilities
As of 31 Dec 2021	0.6	3.8
Acquisitions	-	0.7
Use of option to acquire BEWI Cellpack A/S	-	-6.7
Fair value adjustment through profit and loss	-0.1	2.9
As of 31 Dec 2022	0.5	0.7

3.3 Capital management

The group's capital is defined as capital employed, which comprises total equity and net debt. The objective for the capital structure is to guarantee the group's capacity to continue its operations and to support a profitable growth through a combination of M&A activities and organic growth, with the aim to continue generating return to shareholders and benefits to other stakeholders. This should be achieved through an optimal capital structure that reduces the cost of capital. In order to maintain or adjust the capital structure, the group may: alter the dividend to shareholders, reimburse capital to shareholders, issue new shares, raise new loans or dispose of assets. The capital is assessed on the basis of the return on capital employed. Net debt is defined as interest-bearing liabilities less cash and cash equivalents. Net debt is calculated both with and without the effect from IFRS 16 Leases, as the covenants stated in the revolving credit facility agreement and the bond loan agreement are based on a net debt calculation excluding the effect of IFRS 16. For the sake of calculating capital employed, net debt includes the effect of IFRS 16. For more information on the components of interest-bearing liabilities, please refer to note 24. Return on capital employed is calculated as rolling 12 months adjusted EBITA (earnings before interest, tax and amortisations after adding back items affecting comparability) as a percentage of average capital employed during the same period, where the average is calculated with each quarter during the measurement period as a measuring point.

million EUR	31 Dec 2023	31 Dec 2022

Total interest-bearing liabilities (A)	611.2	598.2
Cash and cash equivalents (B)	63.6	47.5
Net debt including IFRS 16 (A-B)	547.6	550.7
Effect of IFRS 16 leasing liabilities (C)	216.6	168.4
Net debt excluding IFRS 16 (A-B-C)	331.1	382.3
Total equity (D)	415.7	429.8
Capital employed (A-B+D)	963.3	980.5
Average capital employed (E)	983.7	629.1
Adjusted EBITA (F)	53.5	96.1
Return on capital employed (F/E)	5.4%	15.3%

Net debt including IFRS 16 leasing liabilities has remained stable between 2022 and 2023. Higher leasing liabilities in 2023, mainly from the sale and leaseback transactions, are offset by higher cash by the end of the year. Excluding IFRS 16 leasing liabilities, net debt is lower by the end of 2023, explained by the improved cash position. Average capital employed is however higher in 2023, explained by the many acquisitions in 2022, especially the acquisition of Jackon Holding AS in the fourth quarter of that year, which only had a full effect on the average number in 2023. Return on capital employed decreased from 15.3% in 2022 to 5.4% in 2023, mainly explained by the higher average capital employed in 2023, combined with a lower EBITA following the market downturn and the fact that all synergy potential from the business acquisitions is not yet visible.

Note 04 Critical accounting estimates and assessments

Estimates and assessments are continuously evaluated and are prepared on the basis of historical experience and other factors, including expectations regarding future events deemed reasonable under existing condition.

4.1 Critical accounting estimates and assessments

The group makes estimates and assumptions about the future. Accounting estimates will, by definition, rarely be equivalent to the actual result. The estimates and assumptions contain a significant risk for material adjustments to carrying amounts of assets and liabilities during the following financial years are outlined below.

a) Consideration of impairment need of goodwill and trademarks

The group examines annually whether any impairment need for goodwill or trademarks is at hand, in accordance with the accounting principle set out in note 2. Recoverable amounts have been determined on the basis of calculations of values in use. These calculations include certain estimates to be carried out (see note 12 Intangible assets).

b) Leases

In determining the lease term, an estimation of each contract, including whether to include an extension option or not, is made. Contracts for production facilities, which is the major part of the leasing in the group, normally runs for 10-17 years. The determination of lease terms and how to treat extension options affect both the leasing liability and the right-of-use asset. A description of lease-terms is found in Note 8 Leasing.

Determination of the rates at which the lease liabilities are discounted affects the lease liability and interest expense. It determines the discounting of lease liabilities and right-of-use assets recognised in the consolidated statement of financial position, as well as the split between interest expense and depreciation recognised in the consolidated comprehensive income statement over the lease term. How the group estimates its incremental borrowing rate, to measure lease liabilities at the present value of lease payments, is described in Note 24 Borrowings.

Note 05 Net sales distribution and segment information

Operating segments are reported in a manner that corresponds with the internal reporting submitted to the chief operating decision maker. The executive committee constitutes the chief operating decision maker for the BEWI group and takes strategic decisions in addition to evaluating the group´s financial position and earnings.

Group management has determined the operating segments based on the information that is reviewed by the executive committee and used for the purposes of allocating resources and assessing performance. The executive committee assesses the operations based on four operating segments: RAW, Insulation & Construction, Packaging & Components and Circular. Sales between segments take place on market terms.

million EUR	RAW		Insulation & Construction		Packaging & Components		Circular	Unallocated		Elimination	Total
	2023	2022	2023	2022	2023	2022	2023	2022	2023	2022	2023	2022	2023	2022
Internal net sales	129.0	142.0	2.4	4.0	3.1	10.0	11.7	0.7	0.0	0.0	-146.3	-156.8	0.0	0.0
External net sales	209.1	276.0	456.0	329.9	394.0	381.9	45.9	62.4	0.3	0.3			1 105.3	1 050.4
Net sales	338.1	418.0	458.4	333.9	397.1	391.9	57.7	63.1	0.3	0.3	-146.3	-156.8	1 105.3	1 050.4
Adj. EBITDA1	24.1	57.0	40.6	31.1	52.0	48.3	-3.2	2.5	-4.7	-5.4			108.8	133.6
EBITDA	23.7	40.0	35.7	33.6	50.7	53.3	-3.4	2.6	-4.8	-14.2			101.9	115.2
EBITA	18.7	35.7	11.7	22.3	27.6	33.6	-6.1	0.9	-5.4	-14.8			46.6	77.7
EBIT	18.4	35.3	5.7	19.4	23.1	28.8	-7.0	0.3	-6.6	-15.8			33.5	68.0
Net financial items													-42.5	-25.5
Income before tax													-9.0	42.5

¹ Normalised earnings before interest, tax, depreciation and amortisations (i.e. items affecting comparability and deviations are added back). Adjusted EBITDA is a key performance indicator that the group considers relevant for understanding earnings adjusted for items that affect comparability. For more information see section "Alternative performance measures not defined by IFRS".

Specification of impact from specific amounts on the segmentation	2023	2022	Net sales per country (Customers' geography)	2023	2022
Share of income from associated companies			Finland	44.9	54.2
Adjusted EBITDA, EBITDA, EBITA and EBIT for Insulation & Construction	0.7	2.6	Sweden	89.8	73.8
Adjusted EBITDA, EBITDA, EBITA and EBIT for Packaging & Components	0.0	0.1	Denmark	76.0	73.2
Adjusted EBITDA, EBITDA, EBITA and EBIT for Circular	0.6	0.1	Norway	211.7	193.0
			Portugal & Spain	65.0	73.6
Capital gain/loss from sale of assets			Iceland	24.8	25.2
EBITDA, EBITA and EBIT for Insulation & Construction	-1.4	3.1	Baltics	30.8	33.1
EBITDA, EBITA and EBIT for Packaging & Components	0.1	5.2	UK	85.3	57.6
EBITDA, EBITA and EBIT for RAW	-	0.1	Germany	132.3	101.0
EBITDA, EBITA and EBIT for Circular	0.0	1.2	Poland	52.2	44.8
			Russia	-	14.0
Restructuring costs			the Netherlands	127.0	154.3
EBITDA, EBITA and EBIT for Insulation & Construction	-3.4	-	Belgium	35.1	38.6
EBITDA, EBITA and EBIT for Packaging & Components	-1.0	-	France	49.0	36.1
EBITDA, EBITA and EBIT for Circular	-0.2	-	Czech Republic	10.5	12.6
Impairment tangible assets			Romania	7.6	12.2
EBITA and EBIT for Insulation & Construction	-1.8	-0.3	Slovakia	9.8	11.4
EBITA and EBIT for Packaging & Components	-0.6	-	Faroe Islands	5.0	2.9
EBITA and EBIT for RAW	-	-0.6	Italy	5.0	5.3
EBITA and EBIT for Circular	-	0.0	Switzerland	4.8	0.7
			Austria	4.2	5.8
Impairment other intangible assets except goodwill			Other	34.7	27.1
EBIT for Insulation & Construction	-	0.0	Total	1 105.3	1 050.4
EBIT for Packaging & Components	-	-0.1

Note 06 Employee remuneration etc.

million EUR	2023	2022
Salary and other remuneration1	-149.6	-108.4
Social security expenses2	-24.4	-14.9
Pension costs – defined contribution plans	-8.8	-8.3
Pension costs – defined benefit plans	-0.1	-0.1
Total remunerations to employees	-182.9	-131.7

The costs in the table above reflects costs for own employees.

¹ whereoff -0.2 (-0.6) is a cost for sharebased payments.

² whereoff 0.7 (0.8) is an income for sharebased payments.

		2023
	Average number of employees	Whereof men	Average number of employees	Whereof men
Sweden	302	221	232	163
Finland	221	176	166	135
Denmark	259	168	258	169
Norway	411	336	285	207
Iceland	14	9	14	11
the Netherlands	497	445	486	425
Belgium	90	84	88	81
Portugal	196	93	203	119
Spain	68	65	5	4
Poland	237	155	264	172
Germany	503	402	227	165
UK	181	127	99	70
France	11	10	2	2
Lithuania	104	82	37	30
Czech Republic	20	17	-	-
Canada	9	2	6	1
Switzerland	1	1	-	-
Austria	1	1	-	-
Total	3 125	2 394	2 372	1 754

Remuneration to senior executives

The senior executives comprise of the board of directors, CEO of BEWI ASA and managers in the executive management 1 directly reporting to the CEO and remunerations for those applies to:

BEWI ASA		1 Jan 2023–31 Dec 2023		1 Jan 2022–31 Dec 2022
million EUR	Basic salary incl. benefits/ board fees	Variable remuneration	Retirement compensation	Basic salary incl. benefits/ board fees	Variable remuneration	Retirement compensation
Board of Directors
6 members of the board, whereof 3 women
Gunnar Syvertsen (chairman)	0.05	-	-	0.06	-	-
Stig Waernes	-	-	-	0.03	-	-
Christina Schauman	0.03	-	-	0.04	-	-
Ann-Lise Aukner	0.03	-	-	0.03	-	-
Rik Dobbeleare	0.03	-	-	0.03	-	-
Andreas Mjølner Akselsen	0.03	-	-	0.00	-	-
Pernille Skarstein Christensen	0.02	-	-	-	-	-
Total	0.19	-	-	0.18	-	-
CEO
Christian Bekken	0.27	0.01	0.01	0.27	0.09	0.01
Other Senior Executives 2	1.12	0.06	0.23	0.74	0.26	0.19
Total	1.38	0.07	0.24	1.01	0.35	0.20
Consultancy services board members
Gunnar Syvertsen	0.09	-	-	0.10	-	-
Rik Dobbeleare	0.12	-	-	0.06	-	-
Andreas Mjølner Akselsen	0.15	-	-	-	-	-

¹ The executive management has been extended with one new employee as from 1 September 2023. The costs are included in the numbers above from this date. ² EUR 0.2 million of the remuneration to other executives in 2022 was recharged to KMC Properties ASA, a company related to the Bekken family, for services rendered on behalf of that company. No such recharge took place in 2023.

Share-based incentive programme

In November 2020, the parent company BEWI ASA implemented a share-based incentive programme, entitling the participants to subscribe for shares in BEWI ASA during a three-year period. The purpose of the programme is to further align the interests of the company and its shareholders by providing incentives in the form of awards to employees to motivate them to contribute materially to the success and profitability of the company. The features of the programme are further described in note 22.

The CEO of BEWi ASA and other senior executives, at the time of grant date, were granted 250 000 share options each. The three persons added to the excecutive management in 2022 were granted 125 000 share options each at grant date in 2020.

Severance pay

Subject to the CEO's employment agreement, there is a mutual notice period of 6 months in the agreement. If the agreement is terminated by the company, the employee is in addition to the notice period entitled to 12 months severance pay. The severance pay is deductable to other income.

Note 07 Remunerations to auditors

million EUR	2023	2022
PwC
– The audit assignment	-1.2	-0.6
– Audit activities other than the audit assignment	0.0	0.0
– Tax advice	-	-
– Other services	-	-0.7
Total	-1.2	-1.4
Other accounting firms than PwC

– The audit assignment -0.5 -0.2 – Audit activities other than the audit assignment -0.1 -0.2 – Tax advice -0.2 0.0 – Other services 0.0 -0.2

For 2022 audit activities other than the audit assignment from PwC and other services mainly includes costs related to the Jackon transaction.

Total -0.8 -0.7

Note 08 Leasing

Lease-terms and extension options

The group leases buildings (e.g. production facilities, warehouses, offices), machinery (e.g. gas facilities, compressors, moulding machines) and equipment (e.g. cars, trucks, fork-lifts). Contracts for production facilities normally run for 10-17 years, but there are exceptions with both shorter and longer lease terms. Separate warehouses are normally leased for 1–2 years, with a few exceptions. In case a warehouse rent is paid based on usage, for example pallet space used, it is treated as variable and not subject to capitalisation in accordance with IFRS 16. Office space is normally leased for three years. Based on the assumption that a business cycle lasts for eight years and that predictions beyond that period are difficult, extension options for contracts for production facilities expiring after that time-frame are not considered when assessing the lease-term, unless specific conditions are present. Extension options for warehouses and offices are not reflected.

The lease term for other assets vary, but normally range between 3–5 years. Purchase options are considered in the capitalised amount if deemed reasonably certain that such an option will be exercised, but this is not common. Extensions options are reflected when it is deemed reasonable that they will be exercised.

Discount rate, liability and carrying amount

Discount rates applied and total leasing liability are described in note 24 Borrowings. Maturity dates for the undiscounted values are presented in note 3 Financial risk management. Carrying amounts and depreciations of the assets capitalised are presented in note 12 Intangible assets and note 13 Tangible assets.

Lease expenses for lease contracts capitalised in accordance with IFRS 16

million EUR	2023	2022
Depreciations and amortisations	-20.1	-13.1
Interest expense	-11.1	-6.1
Total	-31.2	-19.2

Lease expenses for lease contracts not capitalised in accordance with IFRS 16

million EUR	2023	2022

Lease expense short-term leases	-1.2	-0.3
Lease expense low-value assets	-0.5	-0.4
Lease expense variable leases	-1.5	-0.9
Total	-3.2	-1.5

Cash flow from leases

million EUR	2023	2022
Recognised in operating cash flow
Operating income	-3.2	-1.5
Interest paid	-11.1	-6.1
Cash flow from financing activities
Repayment of borrowings	-17.0	-11.7
Total	-31.2	-19.3

In 2023, six real estate properties were divested to the Norwegian listed company KMC Properties ASA in sale and leaseback transactions. The proceeds comprised a combination of cash and shares in KMC Properties ASA. The transactions gave rise to a capital gain of EUR 1.3 million. The lease terms run for 17 years, with options to extend the lease terms for another five years.

Note 09 Financial income and expense

million EUR	2023	2022

Interest revenue	5.4	1.8
Other financial income	0.4	0.2
Total financial income	5.8	2.0

Interest expenses	-44.6	-20.7
Fair value adjustments shares and participations	-3.1	-6.7
Other financing costs	-	0.2
Fair value change derivatives	-7.4	8.3
Exchange rate losses	6.7	-8.5
Total financial expense	-48.3	-27.4
Total financial income and expense - net	-42.5	-25.5

EUR -1.1 million (2022: EUR -1.2 million) of the interest expenses were attributable to amortisation of financing cost.

Fair value adjustments shares and participations are attributable to the shares in KMC Properties ASA, which were divested during the year. The shares were remeasured at fair value until the date of divestment and there was consequently no gain or loss from the divestment.

Net financial income and expense per category of financial instrument

million EUR	2023	2022

Financial assets and liabilities measured at fair value through profit and loss	-10.5	1.7
Financial assets and liabilities measured at amortised cost	-32.0	-27.2
	-42.5	-25.5

Note 10 Exchange differences – net

Exchange differences have been reported in the income statement as follows:

million EUR	2023	2022

Other operating expenses	-0.6	-0.8
Fair value change derivatives	0.1	0.5
Total exchange difference in other operating expenses	-0.4	-0.3

Exchange rate losses	6.7	-8.5
Fair value change derivatives	-7.4	8.3
Total financial income and expense (note 9)	-0.6	-0.2

Exchange differences - net	-1.0	-0.5

Note 11 Income tax

Tax income and expense in income statement

million EUR	2023	2022
Tax income(+)/expense(-) comprises;
Current tax income(+)/expense(-) this year	-18.1	-25.4
Adjustment recognised in current year in relation to current tax of prior years	-0.4	-1.0
Deferred tax income(+)/expense(-)	11.9	19.2
Total tax income(+)/expense(-)	-6.6	-7.2

The income tax attributable to the income before taxes differs from the theoretical amount that would have arisen from the application of the local tax rates on income before tax in the group companies, as follows:

million EUR	2023	2022
Profit/loss before tax from continuing operations	-9.0	42.5
Tax income(+)/expense(-) calculated at norwegian corporate income tax rate	2.0	-9.4
Difference between corporate tax rate in Norway and other countries	-0.6	-0.6
Effect of revenue that is exempt from taxation	0.5	12.8
Effect of non-deductible expenses	-3.5	-5.9
Effect of tax losses and tax offsets not recognised as deferred tax assets	-2.1	-3.1
Effect of previously unrecognised deferred tax attributable to tax losses carry forward, tax credits and temporary differences	0.2	0.0
Effect of utilisation of tax losses carry forward	0.3	-
Effect of write-downs and reversals of deferred tax balances	-1.9	0.0
Effect on deferred tax balances due to change in tax rate	-0.2	0.0
Effect of witholding tax	-0.6	-
Adjustment recognised in current year in relation to current tax of prior years	-0.4	-1.0
Other	-0.3	0.0
Total tax income(+)/expense(-) in profit or loss	-6.6	-7.2

Recognised in other comprehensive income

million EUR	2023	2022
Deferred tax
Tax on remeasurement of defined benefit obligation	0.3	0.8
Total	0.3	0.8

Deferred tax assets and liabilities 2023

million EUR	Opening balance	Through acquired business	Through divested business	Reclassi ficaton	Reported in profit/ loss	Reported in other compre hensive income	Exchange differ ences	Closing balance
Deferred tax in balance sheet is attributable to:
Tax losses carry forward	1.4	-	-	1.3	1.1	-	0.0	3.8
Intangible assets	-31.1	-	-	-3.2	1.3	-	0.4	-32.7
Tangible assets	-22.5	-	-	-0.1	10.6	-	0.2	-11.7
Inventories	-0.1	-	-	-0.3	-0.3	-	0.0	-0.7
Untaxed reserves	-0.7	-	-	-0.4	-0.1	-	-	-1.2
Pension assets and liabilities	-0.5	-	-	0.0	0.2	0.3	0.0	0.0
Provisions	0.0	-	-	0.0	0.0	-	-	0.0
Other	-0.3	-	-	0.0	-0.9	-	-	-1.2
Total net deferred tax assets and liabilities	-53.8	-	-	-2.6	11.9	0.3	0.6	-43.5

The reclassification of EUR 2.6 million in the table above is attributable to finalised acquisition analyses during the year, related to acquisitions in 2022, in which a preliminary goodwill allocation was reduced and tangible and intangible assets increased, leading to higher deferred tax liabilities.

Deferred tax assets and liabilities 2022

						Reported in other
million EUR	Opening balance	Through acquired business	Through divested business	Reclassi ficaton	Reported in profit/ loss	compre hensive income	Exchange differ ences	Closing balance
Deferred tax in balance sheet is attributable to:
Tax losses carry forward	0.3	0.9	-	-	0.2	-	0.0	1.4
Intangible assets	-19.1	-11.5	-	-2.5	1.1	-	0.9	-31.1
Tangible assets	-2.4	-37.9	0.3	-	16.9	-	0.6	-22.5
Inventories	-0.4	0.0	-	-	0.3	-	-	-0.1
Untaxed reserves	-0.1	-0.7	-	-	0.1	-	-	-0.7
Pension assets and liabilities	-1.3	-	-	-	0.0	0.8	0.0	-0.5
Provisions	0.0	-	-	-	0.0	-	-	0.0
Other	-0.8	-	-	-	0.5	-	-	-0.3
Total net deferred tax assets and liabilities	-23.8	-49.2	0.3	-2.5	19.1	0.8	1.5	-53.8

Deferred tax assets are reported for tax losses carry forward or temporary differences to the extent that they are likely to be utlised against future taxable profits. EUR 3.7 million of those losses have no due date and the remaining EUR 0.1 million fall due in 2027. Tax losses carry forward corresponding to a tax value of EUR 13.8 million (EUR 14.6 million) were not recognised as deferred tax assets. None of these have a due date. The tax losses carry forward by the end of 2022 were attributable to Sweden, Germany, Norway, Spain and Poland. In addition, tax credits attributable to deferred interest deductions corresponding to a tax value of EUR 2.8 million (EUR 2.5 million) falling due between 2026 and 2029, were not recognised as deferred tax assets.

In the balance sheet, the deferred tax liability and the deferred tax asset attributable to IFRS 16 are reported on a net basis. The amount of the net deferred tax asset 2023-12-31 amounts to EUR 4.2 million (4.6), of which the total deferred tax liability amounts to EUR 43.4 million (31.9) and the total deferred tax asset amounts to EUR 47.6 million (36.5).

BEWI is within the scope of the OECD Pillar Two model rules. Pillar Two legislation was enacted in Norway, the jurisdiction in which BEWI ASA is incorporated, and will come into effect from 1 January 2025. Since the Pillar Two legislation was not effective at the reporting date, the group has no related current tax exposures. The group applies the exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes, as provided in the amendment to IAS 12 issued in May 2023.

Under the legislation, BEWI is liable to pay a top-up tax for the difference between the GloBE effective tax rate per jurisdiction and the 15% minimum rate. If the requirements in transitional rules called "safe harbour" are met during a transition period, no top-up tax is applicable and a simplified reporting process will be applicable for the tax jurisdictions that meet the requirements.

BEWI is in the process of assessing its exposure to the Pillar Two legislation when it comes into effect. This assessments indicates that all tax jurisdictions meet the requirement for the transitional "safe harbour" rules. BEWI is currently engaged with tax specialists to assist the company with applying the legislation.

Note 12 Intangible assets

million EUR	Goodwill	Trademark	Customer relations	Technology	Patents, licences & IT	Total
As of 1 January 2022
Acquisition costs	114.1	24.4	65.3	9.5	13.5	226.7
Accumulated amortisations/write-downs	-1.0	-0.1	-19.8	-4.7	-7.9	-33.5
Carrying amount	113.0	24.3	45.5	4.8	5.7	193.3
Financial year 2022
Carrying amount brought forward	113.0	24.3	45.5	4.8	5.7	193.3
Exchange differences	-3.0	-0.4	-1.8	0.0	0.0	-5.2
Acquisitions	-	-	-	-	4.6	4.6
Through acquired business	161.4	22.5	23.4	4.9	1.1	213.3
Divestment of business	-1.0	-	-	-	-	-1.0
Reclassifications	-7.6	1.7	8.3	0.4	-	2.8
Writedown	-	-	-	0.0	-0.1	-0.1
Disposals	-	-	-	-	-	0.0
Amortisations	-	0.0	-7.0	-1.4	-1.2	-9.6
Carrying amount carried forward	262.8	48.1	68.4	8.7	10.0	398.0
As of 31 December 2022
Acquisition costs	263.8	48.2	95.2	14.9	19.2	441.2
Accumulated amortisations/write-downs	-1.0	-0.1	-26.8	-6.1	-9.2	-43.2
Carrying amount	262.8	48.1	68.4	8.7	10.0	398.0

million EUR	Goodwill	Trademark	Customer relations	Technology	Patents, licences & IT	Total
Financial year 2023
Carrying amount brought forward	262.8	48.1	68.4	8.7	10.0	398.0
Exchange differences	-3.8	-0.2	-0.8	-0.1	0.0	-5.4
Acquisitions	-	0.0	-	0.1	8.2	8.3
Through acquired business	-	-	-	-	-	-
Divestment of business	-	-	-	-	-	-
Reclassifications1	-14.5	0.1	13.3	-	-0.1	-1.1
Writedown	-	-	-	-	-	-
Disposals	-	-	-	0.0	-	0.0
Amortisations	-	-0.8	-8.9	-1.8	-1.5	-13.0
Carrying amount carried forward	244.5	47.3	72.0	7.0	16.6	387.3

As of 31 December 2023
Acquisition costs	245.5	48.2	107.7	14.9	27.3	443.5
Accumulated amortisations/write-downs	-1.0	-0.9	-35.7	-7.9	-10.7	-56.2
Carrying amount	244.5	47.3	72.0	7.0	16.6	387.3

¹ Reclassification in the table above is due to finalised acquistions anlyses during the year, related to acquistions in 2022.

Considerations of impairment need for goodwill and trademark

Goodwill and trademarks have an indefinite useful life and are monitored each cash generating unit by the executive management. Goodwill and trademarks divided by cash generative unit are summarised as follows:

Goodwill

million EUR	31 Dec 2023	31 Dec 2022

RAW	30.0	10.4
Insulation & Construction Nordics	22.3	4.6
Insulation & Construction Netherlands & Belgium	25.4	25.4
Insulation & Construction Lithuania	9.0	9.0
Insulation & Construction UK	10.3	11.2
Insulation & Construction Spain	10.6	-
Insulation & Construction Germany	24.5	-
Packaging & Components Sweden	3.5	0.8
Packaging & Components Denmark	11.9	9.8
Packaging & Components Netherlands	1.7	1.7
Packaging & Components Norway	56.0	47.5
Packaging & Components Finland	2.7	-
Packaging & Components Portugal & Spain	5.4	5.4
Packaging & Components UK	1.2	-
Automotive	6.2	5.9
Circular	23.9	24.4
Goodwill not divided on segment, pending PPA (attributable to Jackon acquisition)	-	106.8
Total	244.5	262.8

Trademarks

million EUR	31 Dec 2023	31 Dec 2022

RAW	0.6	0.6
Insulation & Construction Nordics	8.3	0.4
Insulation & Construction Netherlands & Belgium	7.6	7.6
Insulation & Construction Lithuania	2.6	2.6
Insulation & Construction UK	2.4	2.4
Insulation & Construction Spain	1.9	-
Insulation & Construction Germany	4.3	-
Packaging & Components Denmark	5.0	5.1
Packaging & Components Netherlands	2.3	2.3
Packaging & Components Norway	5.6	6.0
Packaging & Components Portugal & Spain	1.1	1.1
Automotive	2.8	2.6
Circular	2.7	2.8
Trademark not divided on segment, pending PPA (attributable to Jackon acquisition)	-	14.7
Total	47.3	48.1

The assumptions used for calculating the value in use are the same for goodwill and trademarks. The executive management has assessed that revenue growth, operating margin, discount rate and long-term growth are the most critical assumptions in the impairment assessment. The recoverable amount has been assessed based on estimates of the value in use. The estimates are based on future estimated cash flow before tax based on financial budget and strategic plans for the coming three years, approved by the senior executives, and if applicable extrapolated for an additional two-year period, assuming a prudent increase in both revenue and costs of 2.0 per cent or more for most cash generating units. The estimates are based on the executive management's experience and historical data. The discount rate after tax amounts to 8.2 per cent (8.6 per cent). The long-term sustainable growth rate has been estimated at 2 per cent (2 per cent) for all cash generating units and has been assessed in accordance with industry forecasts. No impairment of goodwill or intangible fixed assets was identified in 2023. An increase in the discount rate of 1 percentage point would indicate an impairment of EUR 14.6 million, mainly due to a lower starting point in the impairment tests as a result of the economic downturn in the building and insulation industry. A reduced cash flow of 10 per cent would not change the outcome of the tests. Risks related to climate change has not impacted the impairment tests negatively. Tangible fixed assets of EUR 2.4 million were written down in 2023 (EUR 0.8 million), based on an individual assessment for those assets.

Note 13 Tangible assets

million EUR	Buildings and land	Plant and other technical machinery	Equipment, tools, fixtures and fittings	Construction in progress and advance payments for property, plant and equipment	Total
As of 1 January 2022
Acquisition costs	123.5	300.8	40.3	10.1	474.8
Accumulated depreciations/write-downs	-32.3	-199.5	-27.9	-0.0	-259.7
Carrying amount	91.3	101.3	12.4	10.1	215.1

Financial year 2022 Carrying amount brought forward	91.3	101.3	12.4	10.1	215.1
Exchange differences	-5.4	-2.8	-0.2	-0.1	-8.5
Acquisitions	1.5	18.1	4.3	13.8	37.8
Capitalised leases	73.5	0.4	2.2	-	76.1
Through acquired business	175.1	76.9	20.0	14.4	286.4
Divestment of business	-1.5	-0.5	-2.7	-3.6	-8.3
Writedown	0.0	-0.8	0.0	-	-0.8
Reclassifications	1.4	6.3	-1.2	-7.0	-0.4
Disposals	-85.3	-0.8	-2.0	-3.8	-91.9
Depreciations	-12.1	-20.1	-4.4	-	-36.7
Carrying amount carried forward	238.6	178.0	28.2	23.9	468.8
As of 31 December 2022
Acquisition costs	283.0	398.5	60.5	24.0	766.0
Accumulated depreciations/write-downs	-44.4	-220.5	-32.3	-0.0	-297.3
Carrying amount	238.6	178.0	28.2	23.9	468.8

million EUR	Buildings and land	Plant and other technical machinery	Equipment, tools, fixtures and fittings	Construction in progress and advance payments for property, plant and equipment	Total

Financial year 2023 Carrying amount brought forward	238.6	178.0	28.2	23.9	468.8
Exchange differences	-2.4	-3.7	-0.1	-0.1	-6.3
Acquisitions	3.1	23.2	0.2	16.6	43.1
Capitalised leases	70.8	8.4	3.5	-	82.7
Writedown	-1.9	-0.5	-	-	-2.4
Reclassifications1	6.3	5.2	-3.4	-4.5	3.7
Disposals	-49.9	-0.8	-0.7	-	-51.4
Depreciations	-20.0	-27.1	-5.8	-0.1	-53.0
Carrying amount carried forward	244.6	182.8	22.0	35.9	485.3

As of 31 December 2023
Acquisition costs	311.0	430.8	60.1	36.0	837.9
Accumulated depreciations/write-downs	-66.3	-248.1	-38.1	-0.1	-352.6
Carrying amount	244.6	182.8	22.0	35.9	485.3
Amounts above attributable to leases:
Depreciations 2023	-15.4	-1.9	-2.9	-	-20.1
Carrying amount 31 December 2023	190.0	16.8	7.3	-	214.1
Depreciations 2022	-9.6	-1.5	-2.0	-	-13.1
Carrying amount 31 December 2022	140.1	5.6	7.0	-	152.7

¹ The reclassification of EUR 3.7 million in the table above and the EUR -1.1 million reclassification in the note for intangible assets amounts to a net of EUR 2.6 million. That is due to finalised acquisition analyses during the year, related to acquisitions in 2022, in which a preliminary goodwill allocation was reduced and tangible and intangible assets increased also leading to higher deferred tax liabilities.

Note 14 Business acquisitions

Cash flow from acquisition of business

million EUR	2023	2022
Cash consideration	-0.2	-228.0
Cash in acquired business	-	-2.9
Total cash out/-inflow	-0.2	-230.9

Business acquisitions during the year

In February 2023, BEWI acquired the remaining 25% of the shares in Poredo Holding BV for a cash consideration. The company, located in the Netherlands, is working with converted recycled EPS within the Circular segment. In March 2023, a minor cash adjustment, in favour of BEWI, was made to the purchase price of Aislamientos y Envases S.L. "(Aislenvas"), acquired in December 2022. The net effect of these two transactions resulted in a net cash outflow of EUR 0.2 million.

Business acquisitions 2022

In October 2022, BEWI acquired Jackon Holding AS. A preliminary acquisition analysis was presented in the annual report for 2022. During the second quarter of 2023, the acquisition analysis was finalised, leading to the below changes to identified assets and liabilities and goodwill. In December 2022, Aislamientos y Envases S.L. was acquired. A preliminary acquisition analysis was prepared and presented in the annual report for 2022 in a table together with a group of other acquisitions during that year. During the second quarter of 2023, the acquisition analysis was finalised, leading to the below changes to identified assets and liabilities and goodwill.

	Jackon Holding AS			Aislamientos y Envases S.L.
million EUR	Preliminary	Change	Final	Preliminary	Change	Final
Goodwill	94.2	-10.4	83.8	14.7	-4.1	10.6
Trademark	15.1	-1.8	13.3	0.0	1.9	1.9
Customer relations		8.9	8.9	0.0	4.4	4.4
Other intangible assets	1.0	-0.1	0.9	0.1	-	0.1
Property, plant and equipment	247.0	3.7	250.7	1.3	-	1.3
Other fixed assets	2.0	-	2.0	0.7	-	0.7
Deferred tax liability	-39.9	-0.9	-40.8	0.0	-1.6	-1.6
Non-controlling interest	-	-	-	-0.9	-0.9	-1.9

Note 15 Shares in associates

Name	Carrying amount 31 Dec 2022	Through acquired business	Sold	Dividend	Share of income	Exchange difference	Carrying amount 31 Dec 2023

HIRSCH Porozell GmbH	5.8	-	-	-2.0	0.7	-0.1	4.4
HIRSCH France SAS	5.5	-	-		0.1	-	5.6
BEWI EPS ehf.	0.8	-	-0.8	-	0.0	-	0.0
Energijägarna & Dorocell AB	1.0	-	-	-	-0.1	-	1.0
Remondis Technology Spólka z o.o	-	-	-	-0.2	0.6	-	0.4
Total	13.2	-	-0.8	-2.2	1.3	-0.1	11.4

Name	Carrying amount 31 Dec 2021	Through acquired business	Acquired as a subsidiary	Dividend	Share of income	Exchange difference	Carrying amount 31 Dec 2022

HIRSCH Porozell GmbH	4.8	-	-	-2.0	3.2	-0.1	5.8
HIRSCH France SAS	6.5	-	-		-0.9	-0.1	5.5
Jablite Group Ltd	1.4	-	-1.7	-	0.3	-	-
Inoplast S.R.O	0.3	-	-0.4	-	0.1	-	-
BEWI EPS ehf.	0.8	-	-	-	-	-	0.8
Energijägarna &
Dorocell AB	-	1.0	-	-	-	-	1.0
Total	13.8	1.1	-2.1	-2.0	2.8	-0.2	13.2

Non-current receivables associates	31 Dec 2023	31 Dec 2022
As of 1 January	-	4.2
Loans repaid	-	-2.3
Acquired as a subsidiary	-	-1.9
As of 31 December	-	-

Summarised financial information for associates

	Operating profit
2023	Net sales	EBITDA	(EBIT)	Net profit

HIRSCH Porozell GmbH	101.7	5.4	1.8	2.1
HIRSCH France SAS	70.1	5.5	0.4	0.2
Energijägarna & Dorocell AB	5.1	-0.1	-0.1	-0.1
Remondis Technology Spólka z o.o	4.3	1.3	1.2	0.9

31 Dec 2023	Non-current assets	Current assets	Non-current liabilities	Current liabilities	Net debt

HIRSCH Porozell GmbH	35.9	26.8	17.1	12.1	7.0
HIRSCH France SAS	32.8	21.8	21.0	15.6	12.7
Energijägarna & Dorocell AB	0.0	2.3	-	0.5	-0.6
Remondis Technology Spólka z o.o	0.5	1.3	0.0	0.5	-0.6

The balance sheets items in the table above are adjusted to reflect adjustments made by BEWI when the associates are included in the consolidated accounts by applying the equity method. The balance sheets in the statutory accounts for these companies will therefore deviate to the table above for some of the items.

HIRSCH Porozell GmbH (34 per cent ownership)

In connection with the acquisition of Synbra in 2018, 66 per cent of Synbra's shares in the German company Isobouw GmbH was divested to Hirsch Servo Group. At the same time, BEWI obtained 34 per cent in the newly incorporated company Hirsch Porozell GmbH, which acquired Saint Gobain's insulation operations at four sites in Germany. The other 66 per cent is held by Hirsch Servo Group. In 2019, Isobouw GmbH was merged into Hirsch Porozell GmbH and the combined company now operates six insulation production sites in Germany.

Hirsch France SAS (34 per cent ownership)

On 31 December 2019, BEWI, together with Hirsch Servo Group, closed a deal in which six insulation production sites in France and 49.9 per cent of the shares in the French company Issosol SAS were acquired from Placopatre SA, a subsidiary of Saint Gobain. The acquisitions are done through a newly incorporated French company, Hirsch France SAS, 34 per cent owned by BEWI and 66 per cent owned by Hirsch Servo Group.

Energijägarna & Dorocell AB (49.8 per cent ownership)

In connection with the acquisition of Jackon, Energijägarna AB became part of BEWI Group as an associated company. Erergijägarna & Dorocell AB is owned by Jackon AB.

Remondis Technology Spólka z o.o (34 per cent ownership)

BEWI owns 34% in the Polish recycling company Remondis Technology Sp. z.o.o since the acquisition of BEWi Drift Holding AS in 2020. The company is, among other things, collecting and reusing EPS for recycling in extruders and selling the end products to BEWI's RAW business.

Note 16 Financial instruments per category

31 December 2023

million EUR	Financial assets measured at fair value through profit and loss	Financial assets measured at amortised cost	Total
Balance sheet assets
Other long-term receivables	-	0.0	0.0
Participations in other companies	0.5	-	0.5
Accounts receivables	-	129.3	129.3
Current derivative assets	3.6	-	3.6
Cash and cash equivalents	-	63.6	63.6
Total	4.1	192.9	197.0

31 December 2023

million EUR	Financial liabilities measured at fair value	Financial liabilities measured at
	through profit and loss	amortised cost	Total
Balance sheet liabilities
Non-current bond loan	-	247.9	247.9
Non-current liabilities to credit institutions	-	125.0	125.0
Non-current liabilities leases	-	201.3	201.3
Current liabilities to credit institutions	-	7.4	7.4
Overdraft facillity	-	4.4	4.4
Current liabilities leases	-	24.8	24.8
Current derivative liability	3.2	-	3.2
Account payables	-	81.6	81.6
Total	3.2	692.4	695.6

31 December 2022

million EUR	Financial assets measured at fair value through profit and loss	Financial assets measured at amortised cost	Total
Balance sheet assets
Other long-term receivables	-	0.1	0.1
Participations in other companies	6.1	-	6.1
Accounts receivables	-	156.7	156.7
Current derivative assets	8.3	-	8.3
Cash and cash equivalents	-	47.5	47.5
Total	14.4	204.3	218.7

31 December 2022

million EUR	Financial liabilities	Financial liabilities
	measured at fair value through profit and loss	measured at amortised cost	Total
Balance sheet liabilities
Non-current bond loan	-	246.9	246.9
Non-current liabilities to credit institutions	-	87.8	87.8
Non-current liabilities leases	-	150.4	150.4
Current liabilities to credit institutions	-	69.5	69.5
Overdraft facillity	-	22.7	22.7
Current liabilities leases	-	20.1	20.1
Current derivative liability	0.4	-	0.4
Account payables	-	83.5	83.5
Total	0.4	681.0	681.4

Note 17 Account receivables

31 Dec 2023	31 Dec 2022
130.7	158.0
-1.4	-1.4
129.3	156.7

The ageing analysis of all account receivables is clear from below:

million EUR	31 Dec 2023	31 Dec 2022

Not yet matured	102.1	124.9
1–30 days	20.7	24.6
31–60	3.4	3.8
> 61 days	4.5	4.8
Deducted: loss allowance	-1.4	-1.4
Accounts receivables - net	129.3	156.7

	31 Dec 2023	31 Dec 2022
Matured account receivables not part of the provisions for loss allowance	27.2	31.8

Carrying amounts, per currency, for account receivables and other receivables are the following:

million EUR	31 Dec 2023	31 Dec 2022

SEK	13.7	15.8
EUR	59.2	73.8
GBP	11.1	11.6
NOK	26.3	32.7
DKK	17.3	18.3
ISK	1.0	1.3
USD	0.4	2.4
CAD	0.1	0.6
PLN	0.1	0.1
Other	0.0	0.1
	129.3	156.7

The group is applying the simplified approach for estimating credit losses. Estimated life-time cash shortfalls is the basis for calculating credit losses for accounts receivables. For this purpose, accounts receivables are grouped based on certain characteristics. The principles for writing off accounts receivables are based on prerequisites such as insolvency, failed legal and other collection processes, credit risk assessments based on credit information provided by credit agencies, identified payment behavior, company specific information such as changes in company management or lost contracts and macro-economic outlook for industries and countries. Credit losses on accounts receivables are reported in operating income. Reversals of prior credit losses are also reported in operating income.

Note 18 Inventory

The expenditure for inventory carried as an expense forms part of the items raw materials and consumables and goods for resale in the income statement and amounts to EUR 550.6 million (EUR 568.4 million).

EUR 0.8 million (EUR 1.1 million) was expensed as write-downs of inventory in 2023. The group reversed EUR 0.2 million (EUR 0.6 million) in 2023 of earlier write-downs of the inventory. The expense and reversed amount is reported in the item raw materials and consumables in the income statement.

Note 19 Prepaid expenses and accrued income

million EUR	31 Dec 2023
Prepaid energy tax expenses	0.6	0.6
Accrued bonus and discounts	1.1	1.1
Other items	12.5	10.9
Total	14.2	12.5

Note 20 Share capital

The number of shares as of December 31, 2023 amounted to 191 722 290, each with a par value of NOK 1. Each share entitles to one vote. All shares issued by the parent company are fully paid.

Fully paid ordinary share	Type of change	Date of decision	Changes in number of shares	Change in share capital	Total number of shares	Total share capital (NOK)	Par value (NOK)
As of 31 Dec 2021					156 610 804	156 610 804	1.00
	New share issue	9 Mar 2022	429 000	429 000	157 039 804	157 039 804	1.00
	New share issue	9 Sep 2022	2 238 188	2 238 188	159 277 992	159 277 992	1.00
	New share issue	19 Oct 2022	32 070 000	32 070 000	191 347 992	191 347 992	1.00
As of 31 Dec 2022					191 347 992	191 347 992	1.00
	New share issue 18 Feb 2023		374 298	374 298	191 722 290	191 722 290	1.00
As of 31 Dec 2023					191 722 290	191 722 290	1.00

On the 9 of March, following the exercise of share options by option holders under the company's share option programme, the board of directors resolved to increase the company's share capital by NOK 429 000, by the issuance of 429 000 new shares at a subscription price of NOK 24.06 per share, by use of the authorisation granted by the general meeting on 16 November 2020.

On the 16 of February 2022, an extra general meeting of the company authorised the board of directors to increase the share capital by up to 32 070 000 shares. The authorization could only be used in connection with the company's acquisition of shares in Jackon Holding AS. Following the authorisation, the board resolved to issue 32 070 000 for the subscription price of NOK 45.9925 on the 19 October 2022.

On the 2 June 2022, the annual general meeting of the company authorised the board of directors to acquire shares in the company on one or more occasions. The total nominal value of shares acquired pursuant to this authorisation may not exceed NOK 15 703 980, equal to ten per cent of the company's share capital at the time the authorisation was given. The purchase price per share shall not be less than NOK 1 and not more than NOK 500. The purchase of own shares shall otherwise be completed by the board of directors at its discretion. The authorisation is valid until the next annual general meeting, but not later than 30 June 2022. By 31 December 2023, no shares had been bought back.

On the 2 June 2022, the annual general meeting of the company also authorised the board of directors to increase the share capital by 31 407 960 NOK. Within this aggregated amount, the authorisation may be used on more than one occasion to strengthen the equity of the company, finance future growth of the company's business, acquire companies with settlement in company's shares, increase the liquidity and spread the ownership in respect of the company's shares or for other purposes as the board decides. The authorisation is valid until the annual general meeting in 2023, and will in any cases expire 30 June 2023. Following the authorisation, the board of directors resolved to issue 2 238 188 new shares for the subscription price of 64.64 NOK per share in connection with the acqusition of UAB Baltijos Polistirenas.

Following the exercise of share options by option holders under the company's share option programme, the board of directors resolved to increase the company's share capital by NOK 374 298, by the issuance of 374 298 new shares on the 18:th of February 2023 at a subscription price of NOK 22.96 per share, by use of the authorisation granted by the general meeting on 16 November 2020.

Largest shareholders

Name	Shares	Per cent

BEWI Invest AS 1	97 958 328	51.09
HAAS AS	32 070 000	16.73
Kverva Industrier AS	15 292 424	7.98
M2 Asset Management AB	6 453 939	3.37
J.P. Morgan SE	4 874 234	2.54
Skandinaviska Enskilda Banken AB	4 580 615	2.39
Interactive Brokers LLC	2 284 097	1.19
Union Bancaire Privee, UBP SA	2 165 467	1.13
BNP Paribas	1 301 160	0.68
Nordnet Bank AB	1 287 829	0.67
Other	23 454 197	12.23
Total	191 722 290	100.00

¹ BEWI Invest AS are owned by members of the Bekken family.

Note 21 Cash flow hedge reserve

million EUR	31 Dec 2023	31 Dec 2022

As of 1 January	-	-
Fair value changes	-0.1	-
As of 31 December	-0.1	-

Note 22 Share-based incentive programme

In November 2020, the board of directors exercised the authorisation given by the Extraordinary General Meeting on 16 November and launched a share-based incentive programme to a maximum of 25 key employees in the company, involving a maximum of 2 875 000 share options, and entitling the participants in the programme to subscribe for the same number of shares in the company during a three-year period. The number of share options outstanding as of 31 December 2023 represents 1.0 per cent of the number of shares outstanding as of that date. The purpose of the programme is to further align the interests of the company and its shareholders by providing incentives in the form of awards to employees to motivate them to contribute materially to the success and profitability of the company. This programme will also enable the company to attract and retain such employees. Settlement of the options may, at the discretion of the board of directors, be done by issuing new shares or by using, if available, shares bought back by the company.

At grant date on 19 November 2020, 2 625 000 share options were granted to 22 key employees. The share options entitle the participants to subscribe for shares at a pre-set strike price, which is adjusted for dividends paid. Strike price at grant date was NOK 24.48, equal to 110 per cent of the average share price during five days preceding the grant date on 19 November 2020. As of 31 December 2022 strike price was NOK 22.96 (24.06). The gain per option may however not exceed the strike price at the time of exercise, multiplied by three minus strike price at grant date. The number of exercisable options will be reduced proportionally so that the maximum gain does not exceed the maximum gain per option multiplied by the numbers of options granted. This gain is calculated based on the average share price five days prior to the period of exercise.

In the event the company is not capable of delivering shares (for reasons being lack of approval in the general meeting or lack of board authorisation to issue shares or lack of own shares in the Company) following an exercise of options, the company shall fulfil its obligations under the programme towards participants other than Swedish residents by way of making a cash payment equal to the excess, if any, of the share price over the strike price, multiplied by the number of exercisable options.

The options will vest in three tranches during a three-year period, as presented in the table below. The options are exercisable during a window period after the release of the quarterly reports for the fourth and second quarters. Options that are not exercised within 5 years from the date of grant will lapse and become void.

Percentage of option programme vesting	Vesting date	Expiry date
20%	19 November 2021	19 November 2025
30%	19 November 2022	19 November 2025
50%	19 November 2023	19 November 2025

The fair value of each option at grant date was calculated at NOK 4.59 per option. The Black-Scholes model was used for calculation of fair value and the following assumptions were used:

Number of options	2 625 000
Number of potential shares	2 625 000
Contractual life	5 years
Strike price	24.48
Share price	22.10
Expected lifetime	3.30 years
Volatility	34.32%
Interest rate	0.321%
Dividend	0.00

The total value of the options granted in 2020 was EUR 1.1 million. EUR 0.6 million (0.7) of that was recognised as personnel costs during the year. In addition, EUR 0.6 million in income due to reversal of accrual (1.8 expense in 2021) was recognised during the year in personnel costs related to social security charges.

The change in the number of options outstanding during the year is presented in the table below:

	2023	2022

Outstanding as of 1 January	2 373 500	2 762 500
Granted during the year	-	40 000
Adjusted	-	-
Exercised	-374 298	-429 000
Terminated	-	-
Outstanding as of 31 December	1 999 202	2 373 500
Vested and exercisable	1 999 202	972 250

During the exercise window in March 2023 (2022), 374 298 shares (429 000) were issued at a subscription price of 22.96 (24.06). The average share price at the time of exercise was NOK 43.27 (61.26).

Note 23 Earnings per share

million EUR	2023	2022
Profit for the period attributable to parent company shareholders (million EUR)	-18.0	34.4
Average number of shares	191 672 042	164 109 723
Effect on options to employees	752 508	1 381 172
Diluted average number of shares	192 424 550	165 490 895
Earnings per share (EPS), basic (EUR)	-0.09	0.21
Earnings per share (EPS), diluted (EUR)	-0.09	0.21
Earnings per share (EPS), basic (NOK)	-1.08	2.12
Earnings per share (EPS), diluted (NOK)	-1.08	2.10

EPS in NOK is calculated using the average rate in the period.

The number shares outstanding have increased from 191 347 992 to 191 722 290 compared to 31 December 2022 in a new share issue in February 2023. Earnings per share is calculated by dividing profit attributable to parent company shareholders bythe weighted number of ordinary shares during the period.

Note 24 Borrowings

Interest-bearing liabilities
million EUR	31 Dec 2023	31 Dec 2022
Non-current
Bond loan	247.9	246.9
Liabilities to credit institutions	125.0	87.8
Liabilities leases	201.3	150.4
Other non-current liabilities	0.4	0.7
Total long-term borrowings	574.6	485.8
Current
Liabilities to credit institutions	7.4	69.5
Liabilities leases	24.8	20.1
Overdraft	4.4	22.8
Total current borrowings	36.6	112.4
Total borrowings	611.2	598.2
Specification of net debt Net debt by the end of the reporting period, million EUR	31 Dec 2023	31 Dec 2022
Interest-bearing liabilities	611.2	598.2
Cash and cash equivalents	63.6	47.5
Net debt in including IFRS 16	547.6	550.7
Adding back IFRS 16 leasing liabilities	-216.6	-168.4
Net debt excluding IFRS 16	331.0	382.3
Change in net debt, million EUR	31 Dec 2023	31 Dec 2022
Change in interest-bearing liabilities	13.0	259.4
Change in cash and cash equivalents
Impact from cash flow for the period	-16.7	91.9
Impact from exchange differences	0.6	2.9
Change in net debt including IFRS 16	-3.1	354.3
Adding back change in IFRS 16 leasing liabilities	-48.1	-92.3
Change in net debt excluding IFRS 16	-51.2	262.0

		Liabilities		Other financial
Change in interest-bearing liabilities	Bond loan	to credit institutions	Liabilities leasing	non-current liabilities	Overdraft	Total

Interest-bearing liabilities as of
31 December 2022	246.9	157.3	170.5	0.7	22.8	598.2
Cash flow affecting changes
Borrowings	-	64.9	-	-	-	64.9
Repayment of loans	-0.1	-86.3	-	-0.2	-17.6	-104.2
Repayment of leasing liabilities	-	-	-16.9	-	-	-16.9
Total cash flow in financing activities	-0.1	-21.4	-16.9	-0.2	-17.6	-56.2
Changes not affecting cash flow
Capitalised leasing	-	-	76.7	-	-	76.7
Amortisation financing costs	1.1	-	-	-	-	1.1
Exchange differences	-	-3.5	-4.2	-0.1	-0.8	-8.6
Total changes not affecting cash flow	1.1	-3.5	72.5	-0.1	-0.8	69.2
Total change	1.0	-24.9	55.6	-0.3	-18.4	13.0
Interest-bearing liabilities as of 31 December 2023	247.9	132.4	226.1	0.4	4.4	611.2

Cash outflow from capitalised financing costs incurred in 2023, related to the bond loan, have been classified as cash outflow from repayment of loans in the cash flow statement and in the table above.

		Liabilities		Other financial
Change in interest-bearing liabilities	Bond loan	to credit institutions	Liabilities leasing	non-current liabilities	Overdraft	Total

Interest-bearing liabilities as of
31 December 2021	246.1	12.8	79.1	-	0.8	338.7

Cash flow affecting changes	-	-	-	-	-	-
Borrowings	-	62.3	-	-	22.7	85.0
Repayment of loans	-0.3	-3.8	-	-	-1.4	-5.5
Repayment of leasing liabilities	-	-	-12.8	-	-	-12.8
Total cash flow in financing activities	-0.3	58.5	-12.8	-	21.3	66.7

Changes not affecting cash flow
Through acquisitions	-	91.1	34.1	0.7	1.1	127.0
Through divestments	-	-	-0.1	-	-	-0.1
Capitalised leasing	-	-	76.1	-	-	76.1
Amortisation financing costs	1.1	-	-	-	-	1.1
Exchange differences	-	-5.1	-6.0	-	-0.4	-11.5
Total changes not affecting cash flow	1.1	86.0	104.1	0.7	0.7	192.6

Total change	0.8	144.5	91.3	0.7	22.0	259.4
Interest-bearing liabilities as of 31 December 2022	246.9	157.3	170.5	0.7	22.8	598.2

Cash outflow from capitalised financing costs incurred in 2022, related to the bond loan, have been classified as cash outflow from repayment of loans in the cash flow statement and in the table above.

Bond loans
Frame	Amount outstanding	Date of issuance	Maturity/redemtion date
EUR 250 million	EUR 250 million	3 September 2021	3 September 2026

The EUR 250 million bond, which is unsecured and linked to a sustainability framework, matures on 3 September 2026, with a possibility for BEWI to unilaterally decide on an early redemption after 3 March 2025 of 50 per cent of the bonds outstanding at that date. Net of financing costs, BEWI received EUR 245.4 million in cash from the bond issued during the year. The bonds are recognised under the effective interest method at amortised cost after deductions for transaction costs. Interest terms, as well as nominal interest rates and average interest rates recognised during the quarter are presented in the table below.

		Nominal interest		Average interest
Bond loan	Interest terms	2023	2022	2023	2022
EUR 65 million	Euribor 3 m + 3.15%	6.95-7.11%	2.86-5.12%	7.45%	3.66%

Liabilities to credit institutions

The group has a Revolving Credit Facility (RCF). The facility was increased during 2022 to a total of EUR 150 million and is granted by two banks. As part of this facility, one of the participating banks is providing an overdraft facility. As at 31 December 2023 the RCF was utilised by EUR equivivalent 119.2 million (EUR 59.8 million). Interest on utilised amount ranged between 4.1% - 6.0% during the year. As at 31 December 2023, nothing of the overdraft was utlised (EUR 6.3 million). Interest on utilised overdraft during the year ranged betewen 0.7% - 3.1%. Interest-bearing liabilities in acquired subsidiaries are normally settled and refinanced internally after the acquisition. However, in a specific cases liabilities to credit institutions in acquired companies, including overdraft facilities, have not been subject refinancing post acquisition. Such liabilities to credit institutions have carried an interest in the range of 0.8% - 7.7% during 2023. A majority of the liabilities from aquired companies to credit institutions as at 31 December 2022, as well as the ovedraft recognised at that date, were attributable to the acquisition of Jackon Holding AS. During 2023, the liabilities related to the acquisition of Jackon Holding AS were settled.

Liabilities leases

For leases capitalised in accordance with IFRS 16, the interest rates used for discounting the future lease payments have been based on the Group's bond trading and Euro benchmark spreads, adjusted for the fact that the lease liabilities are repaid over the lease-term in contrast to the bonds that are repaid in full at maturity. Each company or relevant business unit has been given a credit rating, derived from certain financial KPI's, based on Moody's methodology. These ratings have been applied to the spreads to arrive at the discount rates. Depending on the lease-term, the rating and when the lease commenced, the discount rates vary from 2.3-9.2% for contracts maturing within 1-3 years to 4.4-12.9% for contracts maturing after 10 years.

million EUR	31 Dec 2023	31 Dec 2022

Overdraft facility (equivalent amount in million EUR)	150.0	150
Overdraft utilised	119.2	59.8

Covenants and security provided

The revolving credit facility agreement and the terms and conditions for the bond loans state certain covenants that the Group has to comply with, referred to as Leverage Ratio and Interest Coverage Ratio. Leverage Ratio is defined as net debt to EBITDA and Interest Coverage Ratio as EBITDA to net finance charges, where both EBITDA and net finance charges are adjusted. EBITDA is adjusted for non-recurring items, as defined in the loan agreements. The impact of IFRS 16 on net debt and EBITDA is excluded in the covenant calculation. Compliance with the covenants is calculated on a regular basis with the respect to the revolving credit facility agreement, whereas compliance in the bond loan agreements is triggered by certain events, such as new financial indebtedness. The group is been in compliance with the loan agreements in both 2023 and 2022. The revolving credit facility is a super senior credit facility and the bond loan is subordinated the revolving credit facility.

Liabilities to credit institutions and overdraft facilities not refinanced post acquisition, and arisen as a result of acquisitions in 2022, and some former aquisistions are subject to securities granted in the form of mortgages and pledges. The value at the balance sheet day of the securities provided, is presented in note 29 Pledged assets..

Currency exposure

Carrying amounts per currency (in millions) for the group's interest-bearing liabilities are as follows:

	31 Dec 2023		31 Dec 2022
million EUR	Incl. IFRS 16	Excl. IFRS 16	Incl. IFRS 16	Excl. IFRS 16

SEK	160.1	119.1	78.7	40.7
EUR	325.0	261.9	307.0	275.7
NOK	80.0	7.9	174.0	107.5
DKK	26.8	-	20.2	1.2
GBP	17.6	4.2	17.4	3.8
Other	1.7	1.5	0.9	0.9
	611.2	394.6	598.2	429.8

Maturity

The tables below presents the maturity of the discounted cash flows of the group's interest-bearing liabilities.

As of 31 December 2023	< 1 yr.	1–2 yr.	2–5 yr.	> 5 yr.

Bond loans	-	-	247.9	-
Liabilities to credit institutions	7.4	122.0	3.0	0.0
Liabilities leases	24.8	24.0	58.6	118.7
Other financial non-current liabilities	-	0.4	-	-
Overdraft	4.4	-	-	-
Total	36.6	146.4	309.5	118.7

As of 31 December 2022	< 1 yr.	1–2 yr.	2–5 yr.	> 5 yr.
Bond loans	-	-	246.9	-
Liabilities to credit institutions	69.5	82.3	4.9	0.6
Liabilities leases according to definition in IAS 17	0.9	0.8	0.4	0.1
Additional liabilities leases due to IFRS 16	19.3	18.0	46.1	84.9
Other non current liabilities	-	-	0.7	-
Overdraft	22.8	-	-	-
Total	112.5	101.1	299.0	85.6

Note 25 Pensions and similar obligations to employees

The group provides defined benefit pension plans in Finland, Norway and in the UK. The defined benefit pension plans in the UK, which are closed for new participants, originate from the acquisition of Synbra and are related to Synbra's previous operations in the UK. Due to contractual obligations, the group had to pay a lump sum to the UK funds in 2018, following the change of ownership of Synbra. As a result, the fair value of plan assets in one of the funds exceed the present value of the pension obligation and a net pension asset is recognised on the balance sheet. The net pension asset is not subject to asset ceiling limitations.

The defined benefit pension obligations, calculated in accordance with the Projected Unit Credit Method, are, among other things, based on estimated salary increases, apart from the UK funds, which are closed for new participants and where the existing participants are no longer employed by the group. In addition to the defined benefit pension plans, the group also provides other long-term benefits in the Netherlands through a so called Jubilee plan, which entitles the participants salary benefits for long-term service. The Jubilee plan is calculated in accordance with the Projected Unit Credit Method and is presented below as Other long-term benefits.

The amounts reported on the balance sheet have been calculated as follows:

		Defined benefit pension plans		Other long-term benefits
million EUR	31 Dec 2023	31 Dec 2022	31 Dec 2023	31 Dec 2022
Present value of funded obligations	-32.9	-32.4	-	-
Fair value of plan assets	34.4	34.8	-	-
	1.5	2.3	-	-
Present value of unfunded obligations	-	-	-1.0	-0.9
Net asset(+)/liability(-) as of 31 December	1.5	2.3	-1.0	-0.9
Net pension asset
United Kingdom	2.8	2.6	-	-
	2.8	2.6	-	-
Pension obligations and other long-term benefits
Netherlands	-	-	-1.0	-0.9
Finland	-0.2	-0.2	-	-
Norway	0.0	0.0	-	-
United Kingdom	-1.0	-	-	-
	-1.2	-0.2	-1.0	-0.9

The amounts reported on the balance sheet and changes in the defined benefit pension plans during the year are as follows:

	Defined benefit pension plans		Other long-term benefits
	2023	2022	2023	2022
Costs of service during the current year	0.0	-0.1	-0.1	-0.1
Past service cost	0.0	-	-	-
Net Interest income/expense	-0.5	0.1	0.0	0.0
Total reported in the income statement	-0.6	0.1	-0.1	-0.1
Return on plan assets excluding amounts included in interest expenses/income	-0.6	-18.0	-	-
Actuarial gains/losses from changes in demographic assumptions	0.4	-0.2	-	-
Actuarial gains/losses from changes in financial assumptions	-0.6	14.8	-	-
Experience based gains/losses	-0.4	-0.8	-	-
Total reported in other comprehensive income	-1.2	-4.2	-	-

	Defined benefit pension plans		Other long-term benefits
Change in present value of the obligation	31 Dec 2023	31 Dec 2022	31 Dec 2023	31 Dec 2022

As of 1 January	-32.4	-49.6	-0.9	-1.1
Current service cost	0.0	-0.1	-0.1	-0.1
Interest cost	-1.5	-0.9	0.0	0.0
Actuarial gains/losses	-0.6	13.8	-	-
Benefits paid	2.0	2.3	0.1	0.0
Settlements	0.3	0.0	-0.1	0.2
Exchange rate differences	-0.6	2.0	-	-
As of 31 December	-32.9	-32.4	-1.0	-0.9

	Defined benefit pension plans		Other long-term benefits
Change in fair value of plan assets	31 Dec 2023	31 Dec 2022	31 Dec 2023	31 Dec 2022
As of 1 January	34.8	56.0	-	-
Interest income	1.7	1.0	-	-
Return on plan assets excluding amounts included in interest expenses/income	-0.6	-18.0	-	-
Contributions by the employer	0.3	0.3	-	-
Benefits paid	-2.0	-2.3	-	-
Settlements	-0.3	0.0	-	-
Exchange rate differences	0.6	-2.2	-	-
As of 31 December	34.4	34.8	-	-

The most critical assumptions for the defined benefit pensions were:	31 Dec 2023	31 Dec 2022
United Kingdom
Discount rate	4.50-4.80%	4.70-5.00%
Salary increase	n/a	n/a
Inflation (based on CPI and RPI assumption)	2.80-3.30%	2.90-3.40%
Pension increase (based on CPI and RPI assumptions)	1.90-3.20%	1.80-3.20%
Finland
Discount rate	3.25%	3.75%
Salary increase	2.75%	3.10%
Inflation	2.25%	2.60%
Norway
Discount rate	3.10%	3.20%
Salary increase	3.50%	3.75%
G-regulering	3.25%	3.50%

The range in assumed inflation in the United Kingdom reflects different assumptions used for CPI versus RPI. The range in assumed pension increase in the UK reflects different limits linked to years in which the pension was accrued and different inflation metrics applied for those limits.

The most critical assumptions for other long-term benefits were:	31 Dec 2023	31 Dec 2022

Discount rate	3.25%	3.40%
Salary increase	2.30%	2.70%

The sensitivity in the net defined benefit pension asset/liability for changes in essential assumptions are presented below (minus equals decrease in net asset/increase in net liability).

Change in fair value of plan assets, million EUR	Change	Increase in assumption	Decrease in assumption
Discount rate	0.50%	1.5	-1.6
Salary increase	0.50%	0.0	0.0
Pension increase	0.25%	-0.9	1.0

For the financial year of 2024, the defined pension plan fees are expected to amount to EUR 0.3 million.

31 Dec 2023	31 Dec 2022

12.2	12.3
5.1	5.7
15.5	15.2
1.0	0.9
0.0	0.1
0.6	0.6
	34.8

	34.4

Analysis of expected undiscounted payments of defined benefits	31 Dec 2023	31 Dec 2022

Within 1 year	2.9	2.1
1–2 years	2.3	2.0
3–5 years	7.0	6.8
5 years or more	43.6	43.7

Note 26 Other provisions

million EUR	Restoration of environment	Restructuring measures	Health benefits	Staff benefits	Guarantee	Total
As of 1 January 2022	0.1	0.6	0.0	0.0	0.1	0.9
Reported in the income statement:
– additional provisions	0.0	0.5	-	-	0.2	0.7
Exchange differences	-	0.0	-	-	0.0	0.0
Utilised durig the year	-	-1.1	-0.0	-	-0.1	-1.2
As of 31 December 2022	0.1	0.0	-	0.0	0.3	0.4

million EUR	Restoration of environment	Restructuring measures	Health benefits	Staff benefits	Guarantee	Total
As of 1 January 2023	0.1	0.0	-	0.0	0.3	0.4
Reported in the income statement:
– additional provisions	0.0	4.8	-	-	0.1	4.9
Exchange differences	-	0.1	-	-	-0.0	0.0
Utilised durig the year	-	-2.6	-	-	-0.2	-2.7
As of 31 December 2023	0.1	2.3	-	0.0	0.1	2.5

million EUR					31 Dec 2023	31 Dec 2022

Short-term provision 2.3	0.2

Long-term provision 0.2	0.1

Note 27 Accrued expenses and deferred income

million EUR	31 Dec 2023	31 Dec 2022

Accrued wage debt	6.4	8.6
Accrued social security fees	3.4	4.6
Accrued holiday pay including social security fees	14.2	13.9
Accrued customer bonuses	15.9	20.0
Accrued interest	1.9	1.7
Other items	18.7	48.4
Total	60.4	97.3

Note 28 Contingent liabilities

million EUR	31 Dec 2023	31 Dec 2022
Guarantees to suppliers	73.3	21.7
Total	73.3	21.7

Parent guarantee towards suppliers of subsidiaries. The amount stated above is the maximum amount according to the guarantee.

Note 29 Pledged assets

The carrying amount of assets pledged as security for current and non-current borrowings are:

million EUR	31 Dec 2023	31 Dec 2022
Non-current
Property mortgages
Freehold land and buildings	12.9	15.4
Current
Floating charge
Cash an cash equivalents	0.1	0.1
Receivables	4.2	9.4
Financial assets at fair value through profit or loss	4.9	4.5
Plant and equipment	3.1	4.1
Business morgage	4.6	2.9
Total	29.8	36.4

The group have a bond loan and and a revolving credit facilty that are unsecured. The group also have liabilities such as local liabilities to credit institutions, overdraft facilities and liabilites in form of lease contracts in some of its companies to an amount of 17.6 MEUR. The pledged asset above are securitys for these loans.

Note 30 Related parties

Christian Bekken, CEO of BEWI ASA, is together with other members of the Bekken family major shareholders of BEWI ASA through Bekken Invest AS and BEWI Invest AS. Companies owned by the Bekken family are related parties to BEWI ASA. Other related parties are BEWI's associated companies, for example the two 34 per cent owned companies Hirsch France SAS and Hirsch Porozell GmbH. Transactions with the related parties' companies are presented in the tables below.

Information on remuneration of management and the Board of Directors is found in note 6.

The number of shares in the company held by management and the board of directors as of 31 December 2023 is presented in the table below.

Board of Directors

Person	Title	Shares	Options	Shares held by related parties

Gunnar Syvertsen1	Chair	180 506	-	-
Kristina Schauman	Director	193 452	-	-
Ann-Lise Aukner	Director	-	-	-
Rik Dobbelaere	Director	98 497	-	-
Andreas M. Akselsen2	Director	9 000	-	32 070 000
Pernille Skarstein Christensen3	Director	-	-	-

¹ Gunnar was chairman of the board of BEWI Invest AS, majority owner of BEWI ASA, holding 97 958 328 shares on 31.12.2023 and until 7 February 2024.

² Andreas is the owner of 45 per cent of HAAS AS, the third largest shareholder of BEWI ASA, holding 32 070 000 shares per 31.12.2023.

³ Pernille is investment director of Kverva AS, the third largest shareholder of BEWI ASA, holding 15 292 424 shares per 31.12.2023. Kverva is however not considered a related party of Pernille.

Executive Management

Person	Title	Shares	Options	Shares held by related parties

Christian Bekken1	Chief Executive Officer	84 986	200 000	97 968 128
Marie Danielsson2	Chief Financial Officer	185 452	250 000
Jonas Siljeskär	Chief Operating Officer	124 126	200 000
Petra Brantmark	Chief Legal Officer	17 450	91 452
Roger Olofsson	Chief Human Resources Officer	5 952	125 000
Charlotte Knudsen	Chief Communications and IR Officer	42 681	91 000	5 458
Camilla Bjerkli	Chief Sustainability Officer	37 202	31 250

¹ Christian is part of the Bekken family, the majority owner of BEWI Invest AS, the majority owner of BEWI ASA, holding 97 958 328 shares on 31.12.2023. Christian was a director of the board of BEWI Invest AS on 31.12.2023 and until 7 February 2024.

² Marie was a director of the board of BEWI Invest AS, the majority owner of BEWI ASA on 31.12.2023 and until 7 February 2024. BEWI Invest is however not considered a related party of Marie.

Transactions impacting the income statement

million EUR	2023	2022
Sale of goods to:
HIRSCH France SAS	21.9	25.6
HIRSCH Porozell GmbH	29.0	46.2
Jablite Group Ltd	-	3.6
Inoplast s.r.o.	-	4.3
BEWI EPS ehf	0.7	-
Energijägarna och Dorocell AB	1.1	-
Bekken owned companies	0.0	0.4
Total	52.7	80.1
Other income from:
Inoplast s.r.o.	-	0.6
Bekken owned companies	0.3	0.3
Total	0.3	0.9

Purchase of goods from:
Inoplast s.r.o.	-	4.5
Remondis Technology Spólka z o.o.	4.4	4.2
Total	4.4	8.7
Interest Income from:
Hirsch France SAS	-	0.1
Jablite Group Ltd	-	0.0
Total	-	0.1

Rental expenses to:
Bekken owned companies	18.6	11.4
Total	18.6	11.4
Other external costs to:
Bekken owned companies	0.2	0.1
Total	0.2	0.1

The transactions were conducted on normal market terms.

Transactions impacting the balance sheet

million EUR	31 Dec 2023	31 Dec 2022

Non-current receivable
Bekken owned companies	0.0	0.1
Total	0.0	0.1
Current receivables
Bekken owned companies	0.1	1.8
HIRSCH Porozell GmbH	0.1	0.1
Total	0.2	1.9
Current liabilities
Bekken owned companies	0.0	0.3
Total	0.0	0.3

In 2023, six real estate properties were divested to the Norwegian listed company KMC Properties ASA in sale and leaseback transactions. The proceeds comprised a combination of cash and shares in KMC Properties ASA. The first group of properties, valued at NOK 348 million, were located in Finland and Denmark. The remaning two peroperties, located in Germany and Belgium, were valued at EUR 16.9 million. The transactions gave rise to a capital gain of EUR 1.3 million. The lease terms run for 17 years, with options to extend the lease terms for another five years.

Note 31 Adjustments for non-cash items, etc.

million EUR	31 Dec 2023	31 Dec 2022

Depreciations, amortisations and write-downs	68.4	47.2
Change in pension liabilities	-0.3	-0.5
Change in other provisions	2.1	-0.5
Share of income from associates net of dividend received	0.2	-1.1
Effect of share-based incentive programme	0.2	0.6
Capital gain/loss from sale of assets and business	1.3	-1.2
Capital gain from revaluation and sale of shares in associates	-0.3	-10.7
Settlement agreement - European Comission	-	17.2
Other	-	-0.5
Total	71.6	50.5

Note 32 Subsequent events

There are no subsequent events to report.

Income statement of the parent company

million NOK	Note	2023	2022
Operating income
Net sales	3	5.0	5.0
Total operating income		5.0	5.0
Operating expenses
Other external costs	13	-62.3	-47.9
Personnel costs	4	-14.0	-14.9
Other operating costs		-0.8	-0.1
Total operating expenses		-77.1	-62.9

Operating profit		-72.1	-57.8
Financial income		572.3	181.2
Financial expense		-335.3	-154.1
Financial income and expense - net	5	236.9	27.1
Profit before taxes		164.8	-30.7

Income tax	6	31.0	6.9
Net profit for the year		195.8	-23.8

Statement of financial position of the parent company

million NOK	Note	31 Dec 2023	31 Dec 2022

ASSETS
Non-current assets
Financial assets
Shares in subsidiaries	7	6 165.4	6 162.6
Receivables from group companies	11	1 773.2	1 658.6
Total financial assets		7 938.6	7 821.1
Deferred tax assets	6	30.4	-
Total non-current assets		7 968.9	7 821.1
Current assets
Current receivables
Receivables from group companies	11	740.6	558.1
Accounts receivables		0.4	0.2
Prepaid expenses and accrued income		7.9	2.2
Total current receivables		748.9	560.4
Cash and cash equivalents	8	2.1	5.5
Total current assets		751.0	565.9
TOTAL ASSETS		8 719.9	8 387.0

Statement of financial position of the parent company

million NOK	Note	31 Dec 2023	31 Dec 2022
EQUITY AND LIABILITIES
Equity
Restricted equity
Share capital (191 722 290 shares)	9, 10	191.7	191.3
Total restricted equity		191.7	191.3
Non-restricted equity
Additional paid-in capital	10	4 434.4	4 426.2
Profit or loss brought forward	10	-23.8	0.0
Net profit or loss for the year	10	195.8	-23.8
Total non-restricted equity		4 606.4	4 402.4
Total equity		4 798.1	4 593.7
Non-current liabilities
Deferred tax liability		-	0.6
Non-current bond loan	11	2 787.0	2 595.7
Liabilities to group companies	11	800.0	852.6
Total non-current liabilities		3 587.0	3 448.9
Current liabilities
Liabilities to group companies	11	300.7	320.3
Account payables		9.7	3.7
Other short-term liabilities		2.0	1.0
Accrued expenses and deferred income		22.4	19.3
Total current liabilities		334.8	344.4
TOTAL EQUITY AND LIABILITIES		8 719.9	8 387.0

Trondheim, Norway, 17 April 2024

The board of directors and CEO of BEWI ASA

Gunnar Syvertsen	Anne-Lise Aukner	Rik Dobbelaere
Chair of the Board	Director	Director
Andreas Akselsen	Kristina Schauman	Pernille Skarstein Christensen
Director	Director	Director
	Christian Bekken CEO

Cash flow statement for the parent company

million NOK	2023	2022

Operating cash flow
Income before financial items	-72.1	-57.8
Adjustments for non-cash items, etc	-	-
Interest paid and financing costs	-194.7	-88.4
Interest received	125.5	71.2
Dividend received	-	-
Operating cash flow before changes to working capital	-141.3	-75.0
Cash flow from working capital changes
Increase/decrease in current receivables	27.3	65.9
Increase/decrease in operating debt	-7.2	230.9
Total change to working capital	20.1	296.8

Operating cash flow	-121.3	221.7
Cash flow from investment activities
Acquisitions of subsidiary	-2.8	-1 835.3
Other financial investments	-3.2	-
Cash flow from investment activities	-6.0	-1 835.3

million NOK	Note	2023	2022
Cash flow from financing activities
Borrowings, net of transaction costs	11	115.3	852.6
New share issue, net of transaction costs		8.6	9.5
Group contribution		-	89.7
Dividend	10	-	-210.5
Cash flow from financing activities		123.9	741.3
Cash flow for the period		-3.4	-872.2
Opening cash and cash equivalents		5.5	877.7
Closing cash and cash equivalents		2.1	5.5

Parent company

Accounting principles and notes to the accounts

Note 01 General information

The parent company is a public limited company registered in Norway, with head office located in Trondheim, Norway, and address Dyre Halses gate 1A, 7042 Trondheim.

Note 02 Summary of key accounting principles for the parent company

The key accounting principles used in this annual report are stated below. The principles have consistently been used for all reported financial years, unless otherwise specified.

The annual report for the parent company is prepared in accordance with the Norwegian Accounting Act and generally accepted accounting principles in Norway. The accounts are stated below, for which the parent company applies accounting principles differing from those of the group, as described in note 2 to the consolidated accounts.

The annual report has been prepared in accordance with the cost value principle.

The preparation of reports requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the parent company's accounting principles. The areas involving a higher degree of judgement or complexity or areas for which assumptions and estimates are significant to the annual report, are stated in note 4 to the consolidated accounts.

The parent company is through its activities exposed to several different financial risks: market risk (currency risk and interest rate risk), credit risk and liquidity risk. The parent company's comprehensive financial risk management is focused on the unpredictability of the financial markets and strives to minimise any adverse effect on

the consolidated profits. For more information regarding financial risks, see note 3 to the consolidated accounts.

The parent company applies accounting principles differing from those of the group for the areas are stated below:

Layout

The income statement and statement of financial position is compliant with the layout stipulated in the Norwegian Accounting Act. The statement of changes to equity observes the layout of the consolidated accounts, but must contain the columns stated in the Norwegian Accounting Act. Furthermore, differences arise relating to designations,

in comparison with the consolidated accounts, mainly concerning the financial income/expense and equity.

Shares in subsidiaries

Shares in subsidiaries are reported at acquisition cost less any impairment. The acquisition cost includes any cost related to the acquisition and any additional purchase price.

A calculation of the recoverable amount is undertaken, in the event of an indicator of impairment of the shares in a subsidiary. Should the recoverable amount be below the carrying amount, impairment is made. Impairments are reported in Profit from participations in group companies.

Financial instruments

Financial instruments are reported at acquisition cost. Financial assets acquired for short-term holding will in subsequent periods be reported at the lower of acquisition cost or market value.

Note 03 Net sales

The parent company's revenue derive solely from one business area and is mainly related to intra-group administrative services.

Note 04 Employee remuneration etc.

million NOK	2023	2022

Salary and other remuneration	-12.2	-12.8
Social security expenses	-1.0	-1.2
Pension costs - defined contribution plans	-0.5	-0.5
Total remuneration to employees	-13.7	-14.5

The company is obliged to have an occupational pension scheme in accordance with the Act on Mandatory Occupational Pensions. The company pension schemes satisfy the requirement of this Act.

Salary and other remunerations and pension costs for directors of the board, CEO´s and other senior executives

million NOK	2023	2022

Salary and other remuneration	-4.6	-4.6
Bonus	-1.4	-0.9
Pension costs	-0.2	-0.1
Total remuneration	-6.2	-5.6

Average number of employees

2022	Average number of employees	Whereof men
Norway	8	4

2023	Average number of employees	Whereof men
Norway	8	5

In November 2020, BEWI ASA implemented a share-based incentive programme, entitling the participants to subscribe for shares in BEWI ASA during a three-year period. The purpose of the programme is to further align the interests of the company and its shareholders by providing incentives in the form of awards to employees to motivate them to contribute materially to the success and profitability of the company. The features of the programme are further described in note 22 to the group.

The CEO of BEWI ASA was granted 250 000 share options.

Severence pay

Note 05 Interest income and interest expense and similar items

million NOK	2023	2022
Interest income, group companies	125.5	64.7
Exchange gains	-	-
Group contribution	446.8	116.4
Total interest income and similar profit or loss items	572.3	181.2

Interest expense	-196.0	-92.2
Interest expense, group companies	-73.3	-11.8
Exchange loss	-62.8	-50.1
Other financial expenses	-3.2	-
Total interest expense with similar profit or loss items	-335.3	-154.1
Total financial income and expense - net	236.9	27.1

Note 06 Income tax on the profit for the year

The income tax attributable to the income before taxes differs from the theoretical amount that would have arisen from the application of the tax rate in Norway for the income of the parent company as follows:

million NOK	2023	2022

Income before taxes	164.8	-30.7
Income tax calculated using the Norwegian tax rate (22%)	-36.3	6.8
Tax effects attributable to:
Revenue exempt from taxation	70.7	-
Non-deductible costs	-3.5	0.0
Deductible expenses not recognised in income statement	-	0.2
Total tax reported	31.0	6.9

Unutilised tax loss carry forwards for which no deferred tax assets have been reported amount to NOK 33.1 million (33.1). In the annual report for 2022, NOK 6.3 million were stated as the amount as at 31 December 2022. However, in the final income tax return for 2022, NOK 27.1 million were moved from unutilised deferred interest deductions to unutilised tax losses carry forward. In addition, NOK 0.3 million of tax losses carry forward were used for group contributions. The comparative number have adjusted accordingly.

Deferred tax assets and liabilities 2023

million NOK	Opening balance	Through aquired business	Reported in profit/loss	Reported in equity/OCI	Exchange difference	Closing balance

Tax losses carry forward	1.4	-	5.9	-	-	7.3
Long-term liabilities	-8.0	-	2.3	-	-	-5.6
Other	6.0	-	22.8	-	-	28.7
Total net deferred tax assets and liabilities	-0.6	-	31.0	-	-	30.4

Note 07 Shares in subsidiaries and associates

Subsidiaries

million NOK	31 Dec 2023	31 Dec 2022
As of January 1	6 162.6	3 091.2
Acquisition of subsidiaries	-	3 494.5
Adjustment acquisition value subsidaries	2.8	-
Dividend from subsidaries	-	-423.1
As of December 31	6 165.4	6 162.6

Name	Reg. no.	Reg. office/ country	Ownership votes and capital (%)	Carrying amount 31 Dec 2023	Carrying amount 31 Dec 2022
Directly owned
BEWI Synbra Group AB	556972 -1128	Solna, Sweden	100	2 487.5	2 487.5
BEWI Poland Spotka zoo	0000722895	Poland	100	182.3	181.7
BEWI Circular Holding AS	928 989 682	Norway	100	283.9	283.9
Jackon Holding AS	989 087 177	Norway	100	2 942.9	2 940.7
UAB Baltijos Polistirenas	160 421 364	Lithuania	100	268.8	268.8
Sum directly owned				6 165.4	6 162.6

Subsidary	Reg. no.	Reg. office / country	Ownership votes (%)	Ownership capital (%)	Subsidary	Reg. no.	Reg. office / country	Ownership votes (%)	Ownership capital (%)
Indirectly owned					Poredo BV	71961577	Netherlands	100	100
BEWI Austia GmbH	616054	Austria	100	100	Poredo Holding BV	18051893	Netherlands	100	100
BEWI Circular Belgium bvba	BE 0465.783.904	Belgium	100	100	Poredo Logistics BV	88096645	Netherlands	100	100
BEWI Circular Holding Belgium	BE 00641.986.778	Belgium	100	100	Stramit BV	17023362	Netherlands	100	100
BEWI Circular Trading Belgium bvba	BE 0875.717.582	Belgium	100	100	Synbra BV	20080670	Netherlands	100	100
Jackon Insulation N.V	H.T.R.058089	Belgium	100	100	Synbra Holding BV	20095683	Netherlands	100	100
Kemisol NV	BE 0464.536.859	Belgium	100	100	Synbra International BV	20095676	Netherlands	100	100
N.V. Internationaal Vervoer Brants Vallet	BE 0400.670.970	Belgium	100	100	Synprodo BV	18115693	Netherlands	100	100
N.V. Kem-Products NV	BE 0448.483.062	Belgium	100	100	Synprodo Produktie BV	10012456	Netherlands	100	100
Berga Recycling Inc.	7789815	Canada	100	100	BEWI Circular AS	922724369	Norway	100	100
BEWI Circular Czechia s.r.o	27877574	Czech Republic	100	100	BEWI Building & Industry AS	912 038 084	Norway	100	100
BEWI Circular Denmark A/S	41 40 69 84	Denmark	100	100	BEWI EPS Norway AS	928 878 090	Norway	100	100
BEWI Denmark A/S	31 86 7304	Denmark	100	100	BEWI Food AS	979 574 193	Norway	100	100
BEWI Insulation DK A/S	20 04 79 41	Denmark	100	100	BEWI Insulation Norge AS	913 019 334	Norway	100	100
BEWi Cabee Oy	2083942-9	Finland	100	100	BEWI Norplasta AS	989 953 133	Norway	100	100
BEWi M-plast Oy	0506033-6	Finland	100	100	BEWI Norway AS	995 172 895	Norway	100	100
BEWi RAW Oy	10974747-6	Finland	100	100	Jackon Holding AS	989 087 177	Norway	100	100
Jackon Finland Oy	23525547	Finland	100	100	Jackon Skurup Eiendom AS	993 370 096	Norway	100	100
Jackon Insulation France S.a.r.l	501839-N	France	100	100	Trondhjems Eskefabrikk AS	960 551 710	Norway	100	100
Izoblok GmbH	HRB 508966	Germany	73.21	64.28	Izoblok S.A	00000388347	Poland	73.21	64.28
Jackon Application GmbH	DE318140659	Germany	100	100	BEWI Circular Portugal, LDA	515767832	Portugal	66	66
Jackon GmbH	DE191394004	Germany	100	100	Plastimar SA	508413770	Portugal	100	100
Jackon Insulation GmbH	DE126959786	Germany	100	100	Aislamientos y Envases S.L	B03173820	Spain	80	80
BEWI Iceland ehf.	620818-0890	Iceland	85	85	BEWI I&P Spain Holding S.L.U	B72746423	Spain	100	100
Besto Verpakkingsindustrie BV	5034571	Netherlands	100	100	Plasexpandido SL	B36900157	Spain	100	100
BEWI RAW BV	20033648	Netherlands	100	100	BEWi Automotive AB	559102-5332	Sweden	100	100
Ertecee BV	6010160	Netherlands	100	100	BEWI Automotive Holding AB	556669-9434	Sweden	100	100
Genevad Netherlands BV	70824312	Netherlands	100	100	BEWi Circular Sweden AB	556628-9178	Sweden	100	100
IsoBouw Systems BV	17046081	Netherlands	100	100	BEWI i Öst AB	556541-7788	Sweden	100	100
Moramplastics BV	9036097	Netherlands	100	100	BEWI Insulation Sverige AB	556383-5742	Sweden	100	100

Subsidary	Reg. no.	Reg. office / country	Ownership votes (%)	Ownership capital (%)

BEWi Packaging AB	556961-3309	Sweden	100	100
Genevad Holding AB	556707-1948	Sweden	100	100
Norplasta AB	556649-7821	Sweden	100	100
Jackon Insulation Switzerland AG CH	400.3.034.347-2	Switzerland	100	100
BEWI Insulation & Construction (UK) Ltd	12644570	United Kingdom	100	100
Jackon Holding UK Ltd	1033313	United Kingdom	100	100
Jackon UK Ltd	8235666	United Kingdom	100	100
Synbra Holding UK Ltd	9502640	United Kingdom	100	100
Volker Gruppe Ltd	NI627429	United Kingdom	51	51
BEWI Packaging & Components (UK) Ltd	12644682	United Kingdom	100	100
Jablite Group Ltd	124641113	United Kingdom	100	100
Berga Circular Holding US Inc	6770534	USA	100	100
Berga Recycling USA Inc	Delaware	USA	100	100

Note 08 Cash and bank balances

million NOK	31 Dec 2023	31 Dec 2022
Restricted cash	0.6	0.7
Other cash and bank balances	1.5	4.8
Total	2.1	5.5

Note 09 Share capital

For information regarding the share capital, see note 20 to the consolidated accounts.

Associates			Proportion of shares held by
Name	Reg. no.	Reg. office / country	the parent (%)
Indirectly owned
E&D AB	556935-9291	Sweden	49.8
HIRSCH France SAS	92044	France	34
HIRSCH Porozell GmbH	FN 117255i	Germany	34
Remondis Technology SP Zoo	0.34	Poland	34

Other shares and participations	Proportion of
Name	Reg. no.	Reg. office / country	shares held by the parent (%)
Indirectly owned
Polystyrene Loop Cooperatief U.A.	68399812	Netherlands	13.8
Polystyyvert Inc.	N/A	Canada	3.71

Note 10 Equity

	Restricted equity	Non-restricted equity
million NOK	Share capital	Additional paid-in capital	Accumulated profit (incl net profit/loss for the year)	Total

Balance carried forward as of 31 December 2021	156.6	2 969.5	33.3	3 159.3
New share issue	34.7	1 633.9	-	1 668.7
Dividend	-	-177.2	-33.3	-210.5
Net loss for the year	-	-	-23.8	-23.8
Balance carried forward as of 31 December 2022	191.3	4 426.4	-23.8	4 593.7
New share issues	0.4	8.2	-	8.6
Net profit for the year	-	-	195.8	195.8
Balance carried forward as of 31 December 2023	191.7	4 434.4	172.0	4 798.1

Note 11 Receivables and liabilities

million NOK	31 Dec 2023	31 Dec 2022
Balance sheet assets
Financial assets measured at amortised cost
Non-current receivables from group companies	1 773.2	1 658.6
Current receivables from group companies	740.6	558.1
Total	2 513.8	2 216.6
Balance sheet liabilities
Financial liabilities measured at amortised cost
Bond loan	2 787.0	2 595.7
Non-current liabilities to group companies	800.0	852.6
Current liabilities to group companies	300.7	320.3
Total	3 887.7	3 768.6

The company has no liabilities with maturity over five years.

Bond loans

Frame	Amount outstanding	Date of issuance	Maturity/redemtion date
EUR 250 million	EUR 250 million	3 September 2021	3 September 2026

As of December 2023, BEWI ASA has one bond loan outstanding. The bond is unsecured and linked to a sustainablilty framwork, matures on 3 September 2026, with the possibility for BEWI ASA to unilaterally decide on early redemption after 3 March 2025 of 50 per cent of the bond outstandning at that date. The main term for the bond outstanding during the year is presented in the table below.

Bond loan	Interest terms	Nominal interest 2023	Average interest 2023
EUR 250 million	Euribor 3 m + 3.15%	5.12-7.11%	6.84%

Note 12 Related parties

Christian Bekken, CEO of BEWI ASA, is together with other members of the Bekken family a majority shareholder of the company through BEWI Invest AS and Bekken Invest AS. More information on related party transactions is reported in note 30 to the consolidated accounts. Information on remuneration of management and the board of directors is found in note 6 of the consolidated accounts.

Note 14 Contingent liabilities

million NOK	31 Dec 2023	31 Dec 2022
Guarantees to suppliers	652.6	4.7
	652.6	4.7

BEWI ASA has on behalf of its subsidiaries granted suppliers to pay outstanding trade liabilities in case the subsidiary fails to pay. The amount stated above is the maximum amount according to the guarantee.

Note 13 Remuneration to auditors

million NOK	2023	2022

The audit assignment	-1.4	-1.3
Audit activites other than the audit assignment	-0.6	-0.3
Tax advice	-	-
Other services	-	-7.2
Total remuneration to auditors	-1.9	-8.7

For 2022 audit activities other than the audit assignment from PwC and other services mainly includes costs related to the Jackon transaction.

To the General Meeting of BEWI ASA

Independent Auditor's report

Report on the Audit of the Financial Statements

Opinion

We have audited the financial statements of BEWI ASA, which comprise:

the financial statements of the parent company BEWI ASA (the Company), which comprise the statement of financial positions as at 31 December 2023, the income statement and cash flow statement for the year then ended, and notes to the accounts, including a summary of significant accounting policies, and
the consolidated financial statements of BEWI ASA and its subsidiaries (the Group), which comprise the statement of financial positions as at 31 December 2023, the comprehensive income statement, statement of changes in equity and cash flow statement for the year then ended, and notes to the accounts, including a summary of material accounting policies.

In our opinion:

the financial statements comply with applicable statutory requirements,
the financial statements give a true and fair view of the financial position of the Company as at 31 December 2023, and its financial performance and its cash flows for the year then ended in accordance with the Norwegian Accounting Act and accounting standards and practices generally accepted in Norway, and
the consolidated financial statements give a true and fair view of the financial position of the Group as at 31 December 2023, and its financial performance and its cash flows for the year then ended in accordance with IFRS Accounting Standards as adopted by the EU.

Our opinion is consistent with our additional report to the Audit Committee.

Basis for Opinion

We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those 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 and the Group as required by relevant laws and regulations in Norway and the International Ethics Standards Board for Accountants' International Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), 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.

To the best of our knowledge and belief, no prohibited non-audit services referred to in the Audit Regulation (537/2014) Article 5.1 have been provided. We have been the auditor of the Company for 4 years from the election by the general meeting of the shareholders on 29 July 2020 for the accounting year 2020.

Key Audit Matters

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.

Historically the Group has acquired several companies. These acquisitions regularly lead to recognition of assets such as trademarks and goodwill. Impairment testing of goodwill and intangible assets with an indefinite useful life therefore continue to represent an important area for our audit.

There were no material acquisitions during the year of 2023.

Key Audit Matters How our audit addressed the Key Audit Matter

Impairment testing of goodwill and intangible assets with an indefinite useful life

Goodwill and trademarks are significant assets in the Group's balance sheet. The carrying amount of goodwill and trademarks amount to EUR 244.5 million and EUR 47.3 million respectively on December 31, 2023.

No impairments were recognised in 2023.

Impairment testing requires determination of recoverable amounts of goodwill and trademarks, which is dependent on, among other, estimated future income. We focused on this area due to the significance of the amounts involved and because the impairment test requires application of management judgement related to assumptions such as projected future revenues, costs and discount rate used.

The Group's principles and methods for valuation of goodwill and trademarks are described in notes 2.4, 4.1 and note 12 to the consolidated financial statements.

We obtained an understanding of management's process related to assessment of valuation of goodwill and trademarks.

We reviewed management's documentation for impairment testing, and considered whether the valuation model applied by management contained the elements and methodology required by IFRS. We found the model to be reasonable.

We also assessed the logical structure and tested mathematical accuracy of the model finding no material deviations.

We examined how management identified cash-generating units and compared this to how BEWI follows up goodwill and trademarks internally. Furthermore, we evaluated the reasonableness of the assumptions made and management's analysis related to changes in significant parameters, which could lead to a need for impairment.

We found that the assumptions were reasonably aligned with historic results and board approved budgets. We also found that the applied growth assumptions were reasonable.

We performed sensitivity analysis on some key assumptions in the impairment assessment and found the impairment assessment to be sensitive to changes in WACC, and EBITDA ratios.

Further, we assessed management's forecasting accuracy by comparing prior year budgets and forecasts to actual results where the CGU's were comparable with historic results, and found no material deviations.

The discount rate used was compared to empirical data and expectations about the future returns, relevant risk premium and gearing ratio. We found the applied discount rate to be within a range of reasonable outcomes.

We also considered whether the information provided in notes 2.4, 4.1 and 12 met the IFRS requirements according to IAS1.

Other Information

The Board of Directors and the Managing Director (management) are responsible for the information in the Board of Directors' report. The other information comprises information in the annual report, but does not include the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the information in the Board of Directors' report.

In connection with our audit of the financial statements, our responsibility is to read the Board of Directors' report. The purpose is to consider if there is material inconsistency between the Board of Directors' report and the financial statements or our knowledge obtained in the audit, or whether the Board of Directors' report otherwise appears to be materially misstated. We are required to report if there is a material misstatement in the Board of Directors' report. We have nothing to report in this regard.

Based on our knowledge obtained in the audit, it is our opinion that the Board of Directors' report

is consistent with the financial statements and
contains the information required by applicable statutory requirements.

Our opinion on the Board of Director's report applies correspondingly to the statements on Corporate Governance and Corporate Social Responsibility.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation of financial statements of the Company that give a true and fair view in accordance with the Norwegian Accounting Act and accounting standards and practices generally accepted in Norway, and for the preparation of the consolidated financial statements of the Group that give a true and fair view in accordance with IFRS Accounting Standards as adopted by the EU. Management is responsible for such internal control as management 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, management is responsible for assessing the Company's and the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern. The financial statements of the Company use the going concern basis of accounting insofar as it is not likely that the enterprise will cease operations. The consolidated financial statements of the Group use the going concern basis of accounting unless management either intends to liquidate the Group 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 ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

• identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error. We 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 and the Group's internal control.
evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's and the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company and the Group to cease to continue as a going concern.
evaluate the overall presentation, structure and content of the financial statements, including the

disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves a true and fair view.

• obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

We communicate with the Board of Directors 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 Audit 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.

From the matters communicated with the Board of Directors, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters

in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

Report on Compliance with Requirement on European Single Electronic Format (ESEF) Opinion

As part of the audit of the financial statements of BEWI ASA, we have performed an assurance engagement to obtain reasonable assurance about whether the financial statements included in the annual report, with the file name BEWI-2023-12-31-en.zip, have been prepared, in all material respects, in compliance with the requirements of the Commission Delegated Regulation (EU) 2019/815 on the European Single Electronic Format (ESEF Regulation) and regulation pursuant to Section 5-5 of the Norwegian Securities Trading Act, which includes requirements related to the preparation of the annual report in XHTML format, and iXBRL tagging of the consolidated financial statements.

In our opinion, the financial statements, included in the annual report, have been prepared, in all material respects, in compliance with the ESEF regulation.

Management's Responsibilities

Management is responsible for the preparation of the annual report in compliance with the ESEF regulation. This responsibility comprises an adequate process and such internal control as management determines is necessary.

Auditor's Responsibilities

For a description of the auditor's responsibilities when performing an assurance engagement of the ESEF reporting, see: https://revisorforeningen.no/ revisjonsberetninger

Trondheim, 17 April 2024 PricewaterhouseCoopers AS

Kjetil Smørdal State Authorised Public Accountant

(This document is signed electronically)

Reconciliation alternative performance measures

Alternative performance measures not defined by IFRS

million EUR (except percentage)	2023	2022
Operating income (EBIT)	33.5	68.0
Amortisations	13.1	9.7
EBITA	46.6	77.7
Items affecting comparability	7.0	18.3
Adjusted EBITA	53.5	96.1

EBITA	46.6	77.7
Depreciations	55.3	37.5
EBITDA	101.9	115.2
Items affecting comparability	7.0	18.3
Adjusted EBITDA	108.8	133.6

Adjusted EBITA Rolling 12 months	53.5	96.1
Average capital employed	983.7	629.1
Return on average capital employed (ROCE)%	5.4%	15.3%

Items affecting comparability

million EUR	2023	2022

Severance, integration and restructuring costs	-4.6	-1.6
Transaction costs	-1.4	-9.2
Capital gains/losses from sale of fixed assets	-1.5	2.3
Capital gain/losses from sale of subsidiary & adjustment purchase price	0.6	-3.3
Capital gain from sale of associated company	0.3	10.7
Settlement agreement – European Commission	-0.4	-17.2
Total	-7.0	-18.3

Adjusted EPS

million EUR (except average number of shares)	2023	2022
Profit attributable to the parent company shareholders	-18.0	34.4
Reversing adjustment items before tax

Items affecting comparability	7.0	18.3
Depreciations/amortisations attributable to fair value adjustments in business combinations	13.7	11.2
Fair value changes in financial items	3.1	3.8
	23.7	33.3

Reversing tax impact on adjustment items
Items affecting comparability	-1.4	-11.9
Depreciations/amortisations attributable to fair value adjustments in business combinations	-3.1	-2.5
Fair value changes in financial items	-	-
	-4.5	-14.5

Total impact on profit/loss for the period	19.3	18.8

Attributable to non-controlling interests	-0.1	0.0
Adjusted profit attributable to the parent company shareholders	1.1	53.2
Average number of shares	191 672 042	164 109 723
Adjusted earnings per share, basic	0.01	0.32

Revenue bridge: Change in net sales from corresponding periods in 2022

											Intra-group
million EUR	RAW	%	I&C	%	P&C	%	Circular	%	Unallocated	%	revenue	Total net sales	%
2022	418.0		333.9		391.9		63.1		0.3		-156.8	1 050.4
Acquisitions	63.2	15.1%	241.9	72.4%	44.8	11.4%	7.7	12.2%	-	-	-51.7	305.9	29.1%
Of which Jackon	63.2	15.1%	191.2	57.3%	34.7	8.9%	-	-	-	-	-47.1	242.0	23.0%
Other	-	-	50.7	15.2%	10.1	2.6%	7.7	12.2%	-	-	-4.6	63.9	6.1%
Divestments	-	-	-13.1	-3.9%	-	-	-	-	-	-	-	-13.1	-1.2%
Currency	-	-	-3.4	-1.0%	-19.3	-4.9%	-1.3	-2.0%	0.0	-8.0%	0.5	-23.5	-2.2%
Organic growth	-143.0	-34.2%	-100.9	-30.2%	-20.3	-5.2%	-11.9	-18.8%	0.0	2.8%	61.8	-214.4	-20.4%
Total increase/ decrease	-79.9	-19.1%	124.5	37.3%	5.2	1.3%	-5.4	-8.6%	0.0	-5.2%	10.6	54.9	5.2%
2023	338.1		458.4		397.1		57.7		0.3		-146.3	1 105.3

EBITDA bridge: Change in adjusted EBITDA from corresponding periods in 2022

											Total adjusted
million EUR	RAW	%	I&C	%	P&C	%	Circular	%	Unallocated	%	EBITDA	%
2022	57.0		31.1		48.3		2.5		-5.4		133.6
Acquisitions	5.6	9.8%	14.9	47.9%	6.9	14.3%	-1.1	-44.3%	-	-	26.3	19.7%
Of which Jackon	5.6	9.8%	7.7	24.7%	5.4	11.2%	-	-	-	-	18.7	14.0%
Other	-	-	7.2	23.2%	1.5	3.1%	-1.1	-44.3%	-	-	7.6	5.7%
Divestments	-	-	-1.0	-3.3%	-	-	-	-	-	-	-1.0	-0.8%
Currency	-	-	-0.2	-0.6%	-2.6	-5.5%	0.3	13.4%	0.6	11.7%	-1.8	-1.4%
Organic growth	-38.6	-67.7%	-4.2	-13.4%	-0.6	-1.3%	-4.9	-196.4%	0.1	2.5%	-48.1	-36.1%
Total increase/ decrease	-33.0	-57.8%	9.5	30.5%	3.6	7.5%	-5.7	-227.3%	0.8	14.1%	-24.7	-18.5%
2023	24.1		40.6		52.0		-3.2		-4.7		108.8

Definitions of alternative performance measures not defined by IFRS

Organic growth	Organic growth is defined as growth in net sales for the reporting period compared to the same period last year, excluding the impact of currency and acquisitions. It is a key ratio as it shows the underlying sales growth.	Adjusted (adj.) EBITDA	Normalised earnings before interest, tax, depreciation, and amortisation (i.e., items affecting com parability and deviations are added back). Adjusted EBITDA is a key performance indicator that the group considers relevant for understanding earnings adjusted for items that affect comparability.
EBITDA	Earnings before interest, tax, depreciation, and amortisation. EBITDA is a key performance indicator that the group considers relevant for understanding the generation of profit before investments in fixed assets.	Adjusted (adj.) EBITDA margin	Normalised EBITDA before items affecting comparability as a percentage of net sales. The adjusted EBITDA margin is a key performance indicator that the group considers relevant for understanding the profitability of the business and for making comparisons with other companies.
EBITDA margin	EBITDA as a percentage of net sales. The EBITDA margin is a key performance indicator that the group considers relevant for understanding the profitability of the business and for making com parisons with other companies.	Adjusted (adj.) EBITA	Normalised earnings before interest, tax, and amortisations (i.e., items affecting comparability and deviations are added back). EBITA is a key performance indicator that the group considers relevant, as it facilitates comparisons of profitability over time independent of corporate tax rates and financing structures but including depreciations of fixed assets used in production to generate the
EBITA	Earnings before interest, tax, and amortisations. EBITA is a key performance indicator that the		profits of the group.
	group considers relevant, as it facilitates comparisons of profitability over time independent of corporate tax rates and financing structures but including depreciations of fixed assets used in production to generate the profits of the group.	Adjusted (adj.) EBITA margin	Normalised EBITA before items affecting comparability as a percentage of sales. The EBITA margin is a key performance indicator that the group considers relevant for understanding the profitability of the business and for making comparisons with other companies.
EBITA margin	EBITA as a percentage of sales. The EBITA margin is a key performance indicator that the group considers relevant for understanding the profitability of the business and for making comparisons with other companies.	ROCE	Return on average capital employed. ROCE is a key performance indicator that the group considers relevant for measuring how well the group is generating profits from its capital in use. ROCE is calculated as rolling 12 months adjusted EBITA as a percentage of average capital employed during
EBIT	Earnings before interest and tax. EBIT is a key performance indicator that the group considers relevant, as it facilitates comparisons of profitability over time independent of corporate tax rates and financing structures. Depreciations are included, however, which is a measure of resource		the same period. Capital employed is defined as total equity plus net debt, and the average is calculated with each quarter during the measurement period as a measuring point.
	consumption necessary for generating the result.	Net debt	Interest-bearing liabilities excluding obligations relating to employee benefits, minus cash and cash equivalents. Net debt is a key performance indicator that is relevant both for the group's
Items affecting comparability	Items affecting comparability include transaction costs related to acquisition of companies, includ ing the release of negative goodwill from acquisitions, severance costs and other normalisations such as divestment of real estate, closing of facilities, unscheduled raw material production stops		calculation of covenants based on this indicator and because it indicates the group's financing needs.
	and other.	Adjusted (adj.) EPS	Earnings per share (EPS) adjusted for items affecting comparability, depreciations/amortisations attributable to fair adjustments in business combinations and fair value adjustments in financial

items, Including tax on those items. Adjusted EPS is a key performance indicator considered relevant for the group as it presents the EPS generated by the actual operations of the group.

ESG statements

Basis for reporting

BEWI continues to improve its disclosure and transparency on ESG topics, in line with developments in reporting guidelines, stakeholders' expectations and to prepare for the Corporate Sustainability Reporting Directive (CSRD).

Reporting scope

This annual report was published the 18 April 2024. The report has been prepared with reference to the European Sustainability Reporting Standard (ESRS) and in accordance with reporting requirements mandated by the Norwegian Accounting Act §3-3c and the EU Non-Financial Reporting Directive (EU NFRD 2014/95).

The report has been prepared on a consolidated basis and aligns with the financial reporting period (1 January 2023 to 31 December 2023) and includes the same companies as the financial reporting (companies where BEWI has a majority shareholding are included within the scope of the report).

Disclosures stemming from other legislations

The Norwegian Transparency Act: BEWI has included the reporting requirements of the Norwegian Transparency Act, which entered into force on 1 July 2022
EU Taxonomy: In line with Regulation (EU) 2020/852, BEWI disclose taxonomy aligned share of revenue, CAPEX and OPEX
Communication on Progress to the UN Global Compact

Reporting framework

Reporting

European Sustainability Reporting Standard (ESRS): BEWI is preparing to report in accordance with the ESRS and the CSRD for the reporting year 2024.
Task force on Climate-related Financial Disclosures (TCFD): BEWI's approach to physical and transitional impact of climate change is based on the TCFD recommendations and is integrated in strategy, risk management, governance practices and reporting.
Greenhouse Gas (GHG) Protocol: BEWI is reporting greenhouse gas emissions for scope 1, 2 and 3 in accordance with the GHG protocol covering all relevant categories in scope 3.
Science Based Target initiative (SBTi): BEWI has committed to align with the 1.5-degree scenario in the Paris Climate Agreement and is in the process to incorporate this into the governance and management of climate change mitigation.
Task force on Nature-related Financial Disclosures (TNFD): BEWI has started to implement and adapt to the recommandations of TNFD which will form the basis for BEWIs approach to nature related impact and risks.

BEWI has a ESG reporting platform to streamline data collection and to validate data quality. Data is visualised in Power BI enabling the organisation to follow progress, benchmark and to work proactively based on increased insight and knowledge. ESG reporting is done monthly for selected KPI's and is integrated into the quarterly reporting to the executive management team and to the board of directors.

Reporting changes

Disclosure requirements is structured based on ESRS and incorporated by reference
ESG results are included in a dedicated section called ESG statements in the annual report
Material topics identified in 2022 has been reorganised to correspond to ESRS topics standard
The structure of each material topic has been changed to include materiality (IRO and SBM) and policy
Full assessment of taxonomy eligibility and alignment

Ensuring compliance

Being transparent about BEWI's ESG performance is key for building trust with stakeholders. BEWI's work is guided by the European Sustainability Reporting Standard, the OECD Guidelines for Multinational Enterprises. BEWI strives to provide reasonable assurance about the timeliness and reliability of the group's reporting in accordance with applicable laws and regulations, ensure compliance with any prevailing legislation and applies recognised norms and standards relevant for the scope of work, regardless of geographic location. BEWI carries out regular external audits to ensure continued compliance. Compliance is also monitored through the company's monthly, quarterly, and annual reporting.

Consolidated ESG statements

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total
Environmental progress
Gross Scopes 1, 2, 3 and total GHG emissions
Scope 1	E1	E1-4, E1-6	34a + 34 b, 44	Tonnes CO2eq.	99 940.00	↑	77 140.00	23 222.23	100 362.23	90 486.00	25 745.35	116 231.35	76 316.00	26 086.99	102 402.99
Percentage of Scope 1 GHG emissions from regulated emission trading schemes	E1	E1-6	48 b	%	-	–	-	-	-	-	-	-	-	-	-
Scope 2 - Location-based	E1	E1-4, E1-6	34a + 34 b, 44	Tonnes CO2eq.	76 749.00	↑	52 612.00	40 197.00	92 809.00	55 875.00	35 481.00	91 356.00	52 686.00	32 587.00	85 273.00
Scope 2 - Market-based	E1	E1-4, E1-6	34a + 34 b, 44	Tonnes CO2eq.	72 373.00	↑	45 719.00	40 197.00	85 916.00	31 174.00	35 481.00	66 655.00	28 829.00	32 587.00	61 416.00
Percentage of contractual instruments, Scope 2 GHG emissions	E1	E1-6	AR 45d	%	18.6%	↓	46.5%	0.0%	24.0%	45.4%	0.0%	25.5%	48.7%	0.0%	26.9%
Scope 3 - total	E1	E1-4, E1-6	34a + 34 b, AR 46 d	Tonnes CO2eq.	1 278 857.68	↑	902 628.81	594 891.12	1 497 519.93	906 110.98	579 669.28	1 485 780.25	881 947.45	551 822.37	1 433 769.82
Category 1 - Purchased goods and services	E1	E1-6	44	Tonnes CO2eq.	765 291.00	↑	589 748.00	323 581.00	913 329.00	529 148.00	361 174.00	890 322.00	525 248.00	339 991.00	865 239.00
Category 2 - Capital Goods	E1	E1-6	44	Tonnes CO2eq.	7 884.00	–	6 585.00	1 299.00	7 884.00	6 585.00	1 299.00	7 884.00	6 585.00	1 299.00	7 884.00
Category 3 - Fuel- and energy-related activities	E1	E1-6	44	Tonnes CO2eq.	30 000.06	↑	22 771.48	8 363.44	31 134.93	19 956.42	8 016.41	27 972.83	18 421.04	7 867.68	26 288.72
Category 4 and 9 - Upstream- and Downstream transportation and distribution	E1	E1-6	44	Tonnes CO2eq.	59 390.96	↑	57 405.12	43 512.21	100 917.34	46 576.23	40 981.49	87 557.72	15 380.27	36 267.51	51 647.78
Category 5 - Waste generated in operations	E1	E1-6	44	Tonnes CO2eq.	543.00	↑	510.00	304.00	814.00	17.00	492.00	509.00	14.00	437.00	451.00
Category 6 - Business travel	E1	E1-6	44	Tonnes CO2eq.	1 306.00	↑	4 450.00	418.00	4 868.00	25.00	235.00	260.00	18.00	216.00	234.00
Category 7 - Employee commuting	E1	E1-6	44	Tonnes CO2eq.	4 601.65	↓	1 349.20	2 185.47	3 534.66	1 468.32	371.37	1 839.70	1 423.14	367.18	1 790.32
Category 8 - Upstream leased assets	E1	E1-6	44	Tonnes CO2eq.	-	–	-	-	-	-	-	-	-	-	-
Category 10 - Processing of sold products	E1	E1-6	44	Tonnes CO2eq.	209 741.00	↑	126 870.00	95 757.00	222 627.00	230 964.00	42 682.00	273 646.00	231 324.00	40 292.00	271 616.00
Category 11 - Use of sold products	E1	E1-6	44	Tonnes CO2eq.	-	–	-	-	-	-	-	-	-	-	-

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Category 12 - End-of-life treatment of sold products	E1	E1-6	44	Tonnes CO2eq.	200 100.00	↑	92 940.00	119 471.00	212 411.00	71 371.00	124 418.00	195 789.00	83 534.00	125 085.00	208 619.00
Category 13 - Downstream leased assets	E1	E1-6	44	Tonnes CO2eq.	-	–	-	-	-	-	-	-	-	-	-
Category 14 - Franchises	E1	E1-6	44	Tonnes CO2eq.	-	–	-	-	-	-	-	-	-	-	-
Category 15 - Investments	E1	E1-6	44	Tonnes CO2eq.		–
Percentage of GHG Scope 3 calculated using primary data	E1	E1-6	AR 46 g	%		↑	0.00%	0.00%	0.29%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Total GHG emissions (scope 1, 2, and 3) Location-based	E1		E1-3, E1-4 29b, 34a + 34 b	Tonnes CO2eq.	1 455 546.68	↑	1 032 380.81	658 310.35	1 690 691.16	1 052 471.98	640 895.62	1 693 367.60	1 010 949.45	610 496.37	1 621 445.81
Total GHG emissions (scope 1, 2, and 3) Market-based	E1		E1-3, E1-4 29b, 34a + 34 b	Tonnes CO2eq.	1 451 170.68	↑	1 025 487.81	658 310.35	1 683 798.16	1 027 770.98	640 895.62	1 668 666.60	987 092.45	610 496.37	1 597 588.81
Total GHG emissions (scope 1, 2, and 3) Division RAW Location-based	E1	E1-6	AR 41	Tonnes CO2eq.	748 271.63	↑	621 700.73	258 908.09	880 608.82	728 519.10	238 524.96	967 044.06	712 551.85	216 309.44	928 861.29
Total GHG emissions (scope 1, 2, and 3) Division RAW Market-based		E1-6	AR 41	Tonnes CO2eq.	742 425.63	↑	610 402.73	258 908.09	869 310.82	717 257.10	238 524.96	955 782.06	701 853.85	216 309.44	918 163.29
Total GHG emissions (scope 1, 2, and 3) Division Insulation & Construction Location-based	E1	E1-6	AR 41	Tonnes CO2eq.	457 198.81	↑	147 830.26	375 112.11	522 942.37	121 580.26	369 039.51	490 619.78	130 974.81	361 212.51	492 187.32
Total GHG emissions (scope 1, 2, and 3) Division Insulation & Construction Market-based		E1-6	AR 41	Tonnes CO2eq.	451 607.81	↑	143 405.26	375 112.11	518 517.37	117 238.26	369 039.51	486 277.78	126 748.81	361 212.51	487 961.32
Total GHG emissions (scope 1, 2, and 3) Division Packaging & Components Location-based	E1	E1-6	AR 41	Tonnes CO2eq.	161 398.43	↑	171 471.01	24 289.21	195 760.22	131 858.59	33 330.17	165 188.76	109 606.49	32 972.83	142 579.32
Total GHG emissions (scope 1, 2, and 3) Division Packaging & Components Market-based		E1-6	AR 41	Tonnes CO2eq.	168 458.43	↑	180 301.01	24 289.21	204 590.22	122 760.59	33 330.17	156 090.76	100 673.49	32 972.83	133 646.32
Total GHG emissions (scope 1, 2, and 3) Division Automotive Location-based	E1	E1-6	AR 41	Tonnes CO2eq.	65 517.61	↓	61 010.34	-	61 010.34	59 231.84	-	59 231.84	48 571.53	-	48 571.53
Total GHG emissions (scope 1, 2, and 3) Division Automotive Market-based		E1-6	AR 41	Tonnes CO2eq.	65 517.61	↓	61 010.34	-	61 010.34	59 231.84	-	59 231.84	48 571.53	-	48 571.53
Total GHG emissions (scope 1, 2, and 3) Division Circular Location-based	E1	E1-6	AR 41	Tonnes CO2eq.	22 756.05	↑	30 075.47	-	30 075.47	11 278.15	-	11 278.15	9 245.11	-	9 245.11
Total GHG emissions (scope 1, 2, and 3) Division Circular Market-based		E1-6	AR 41	Tonnes CO2eq.	22 756.05	↑	30 075.47	-	30 075.47	11 278.15	-	11 278.15	9 245.11	-	9 245.11

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Climate accounting intensity metrics
Energy intensity ratio	E1	E1-4	34a + 34 b	MJ/kg raw material	7.22	↓	7.37	5.37	6.78	8.21	4.52	6.86	7.33	4.68	6.42
Energy intensity ratio	E1	E1-4	34a + 34 b	MJ/EURO	2.47	↓	1.95	1.73	1.88	2.83	1.30	2.14	4.26	1.51	2.79
Energy CO2 intensity Location-based	CSD			kg CO2/MJ	0.54	↑	0.51	0.86	0.61	0.51	0.87	0.60	0.53	0.82	0.61
Energy CO2 intensity Market-based	CSD			kg CO2/MJ	0.54	↑	0.51	0.86	0.61	0.50	0.87	0.60	0.51	0.82	0.60
Physical GHG emissions intensity ratio Scope 1	E1	E1-4	34a + 34 b	kg CO2/kg raw material	0.26	↓	0.28	0.16	0.24	0.55	0.10	0.28	0.29	0.17	0.24
Physical GHG emissions intensity ratio Scope 2 Location-based	E1	E1-4	34a + 34 b	kg CO2/kg raw material	0.20	↑	0.19	0.28	0.22	0.34	0.14	0.22	0.20	0.21	0.20
Physical GHG emissions intensity ratio Scope 2 Market-based	E1	E1-4	34a + 34 b	kg CO2/kg raw material	0.19	↑	0.17	0.28	0.21	0.19	0.14	0.16	0.11	0.21	0.15
Physical GHG emissions intensity ratio Scope 3	E1	E1-4	34a + 34 b	kg CO2/kg raw material	3.39	↑	3.29	4.18	3.59	5.53	2.30	3.57	3.36	3.49	3.41
Physical GHG emissions intensity ratio scope 1-3 Location-based	E1	E1-4	34a + 34 b	kg CO2/kg raw material	3.85	↑	3.76	4.62	4.05	6.42	2.54	4.07	3.85	3.86	3.85
Physical GHG emissions intensity ratio scope 1-3 Market-based	E1	E1-4	34a + 34 b	kg CO2/kg raw material	3.84	↑	3.73	4.62	4.04	6.27	2.54	4.01	3.76	3.86	3.80
GHG emissions intensity, location-based (total GHG emissions per net revenue)	E1	E1-6	53	kg CO2/EURO	1.32	↓	1.00	1.42	1.13	1.44	1.06	1.27	2.24	1.19	1.68
GHG emissions intensity, market-based (total GHG emissions per net revenue)	E1	E1-6	53	kg CO2/EURO	1.31	↓	0.99	1.42	1.12	1.41	1.06	1.25	2.18	1.19	1.65
Net revenue	E1	E1-5	AR55	MEURO	1 105.32	↓	1 050.44	449.71	1 500.15	730.12	602.38	1 332.51	452.05	513.57	965.62
Net revenue used to calculate GHG intensity	E1	E1-6	AR55	MEURO	1 105.32	↓	1 050.44	449.71	1 500.15	730.12	602.38	1 332.51	452.05	513.57	965.62
Net revenue other than used to calculate GHG intensity	E1	E1-6	AR55	MEURO	1 105.32	↓	1 050.44	449.71	1 500.15	730.12	602.38	1 332.51	452.05	513.57	965.62

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Energy consumption and mix
Renewable (direct) fuel consumption	E1	E1-5	37ci	MWh	32 134	↑	27 913	668 683	28 582	20 037	605.33	20 643	17 790	640.88	18 430
Consumption of purchased or acquired electricity, heat, steam, and cooling from renewable sources	E1	E1-5	37cii	MWh	34 468	↓	49 698	3 280.932	52 979	49 708	0	49 708	47 698	0	47 698
Consumption of self-generated non fuel renewable energy	E1	E1-5	37ciii	MWh	1 874	↑	-	668 683	669	-	605 333	605	-	640 884	641
Non-renewable (direct) fuel consumption	E1	E1-5	37a	MWh	526 953	↓	395 998	119 503	515 501	410 863	131 362	542 225	385 291	135 332	520 623
Fuel consumption from coal and coal products	E1	E1-5	38a	MWh	-	–	-	-	-	-	-	-	-	-	-
Fuel consumption from crude oil and petroleum products	E1	E1-5	38b	MWh	3 795	↑	23 474	165	23 639	7 939	181	8 120	3 688	118	3 805
Fuel consumption from natural gas	E1	E1-5	38c	MWh	523 158	↓	372 524	119 338	491 862	402 924	131 181	534 105	381 603	135 214	516 818
Fuel consumption from other fossil sources	E1	E1-5	38d	MWh	-	–	-	-	-	-	-	-	-	-	-
Consumption of purchased or acquired electricity, heat, steam, or cooling from fossil sources	E1	E1-5	38e	MWh	158 825	↑	86 865	99 362	186 227	92 426	85 559	177 985	82 569	79 001	161 570
Nuclear energy consumption	E1	E1-5	37b	MWh	-	–	-	-	-	-	-	-	-	-	-
Percentage of energy consumption from nuclear sources in total energy consumption	E1	E1-5	AR 34	%	-	–	-	-	-	-	-	-	-	-	-
Electricity consumption	CSD			MWh	166 580	↑	107 523	99 362	206 885	111 001	85 559	196 561	99 299	79 001	178 299
Heating consumption	CSD			MWh	3 447	↑	348	3 280.932	3 629	-	0	-	-	0	-
Steam consumption	CSD			MWh	23 266	↑	28 692	0	28 692	31 133	0	31 133	30 968	0	30 968
Renewable energy consumption (direct+indirect)	E1	E1-5	37c	MWh	64 728	↓	77 611	3 281	80 892	69 745	-	69 745	65 487	-	65 487
Share of renewable energy consumption (direct+indirect)	E1	E1-5	AR 34, AR 71	%	8.85%	↓	13.8%	1.8%	10.4%	12.2%	0.3%	8.9%	12.3%	0.3%	8.8%
Percentage of fossil sources in total energy consumption	E1	E1-5	AR 34	%	91.15%	↓	86.2%	98.2%	89.6%	87.8%	99.7%	91.1%	87.7%	99.7%	91.2%
Total energy consumption	E1	E1-5	37	MWh	752 380	↑	560 474.54	222 814.14	783 288.68	573 034.60	217 526.41	790 561.00	533 347.19	214 973.49	748 320.68
Total energy consumption	E1	E1-5	37	TJ	2 709	↑	2 017.71	802.13	2 819.84	2 062.92	783.10	2 846.02	1 920.05	773.90	2 693.95

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total
Non-renewable energy production	E1	E1-5	39	MWh	-	–	-	-	-	-	-	-	-	-	-
Renewable energy production	E1	E1-5	39	MWh	1 874	↑	-	669	669	-	605	605	-	641	641
Impact metrics related to biodiversity and ecosystems change
Environmental deviations	CSD			Number of environmental deviations	32	↓	19	-	31	19	-	19	6	-	6
ISO 14001 Certification	E4	E4-2	AR17d	Number of sites ISO 140001 certified	47	↑	19	2	27	19	2	21	19		19
Operation Clean Sweep (OCS) - implemented	E4	E4-2	AR17c	Number of sites with fully imple mented OCS	27	↑	-	-	7	-	-	-	-	-	-
Operation Clean Sweep (OCS) - in progress	E4	E4-2	AR17c	Number of sites started implementation of OCS	35	↑	9		21	9		9	-	-	-
Production facilities with very high local climate risk	E4	E4-5	35	<1 km from protected nature area	12	–	-	-	12	-	-	-	-	-	-
Production facilities with high local climate risk	E4	E4-5	35	>1 km & <2.5 km from protected nature area	15	–	-	-	15	-	-	-	-	-	-
Production facilities with medium local climate risk	E4	E4-5	35	> 2.5km & <5 km from protected nature area	16	–	-	-	16	-	-	-	-	-	-
Production facilities with low local climate risk	E4	E4-5	35	> 5km from protected nature area	26	–	-	-	26	-	-	-	-	-	-

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Resource inflows
Overall total weight of products and technical and biological materials used during the reporting period	E5	E5-4	31a	Tonnes material	34 178	↑	30 315.72	5 290.15	35 605.87	7 102.93	2 722.61	9 825.53	4 144.72	6 847.15	10 991.87
Renewable materials for trading and production (recycled- & bio-based materials)	E5	E5-4	31b	Tonnes material	51 558	↑	38 403.66	5 826.82	44 230.48	8 500.15	4 248.05	12 748.20	10 997.02	8 061.13	19 058.15
Non-renewable materials for trading and production	CSD			Tonnes material	359 882	↑	271 818.68	141 249.40	413 068.08	160 267.26	250 663.11	410 930.37	254 009.55	154 466.03	408 475.58
Share renewable materials	E5	E5-4	31b	%	12.5%	↑	12.4%	4.0%	9.7%	5.0%	1.7%	3.0%	4.1%	5.0%	4.5%
Recycled materials for production	E5	E5-4	31c	Tonnes material	17 380	↑	8 087.95	536.67	8 624.61	1 397.22	1 525.44	2 922.66	6 852.30	1 213.98	8 066.28
Non-recycled materials for production	CSD			Tonnes material	360 285	↑	266 605.09	141 910.91	408 516.00	162 577.98	250 313.95	412 891.93	255 745.51	156 824.40	412 569.91
Share recycled materials in production	E5	E5-4	31c	%	4.6%	↑	2.9%	0.4%	2.1%	0.9%	0.6%	0.7%	2.6%	0.8%	1.9%
Water consumption	CSD			1,000 Liter	1 249 916.95	↓	756 783.32	456 174.15	1 212 957.46	562 644.94	522 540.06	1 085 185.00	594 934.32	440 769.57	1 035 703.89
Production of recycled materials	E5	E5-5	37b(ii)	Tonnes material	16 370.65	↑	6 996.67	-	6 996.67	7 880.50	-	7 880.50	326.39	-	326.39

Resource outflows
Production cut-off waste recycled (internal)	CSD			Tonnes waste	18 781.02	↑	4 924.28	18 652.66	23 576.94	8 911.51	20 952.48	29 863.99	1 255.51	19 229.53	20 485.04
Production cut-off waste recycled (external)	CSD			Tonnes waste	881.89	–	N/D	N/D	N/D	N/D	N/D	N/D	N/D	N/D	N/D
Production cut-off waste sent for incineration (external)	CSD			Tonnes waste	334.29	↑	623.27	66.70	689.97	1 021.19	69.85	1 091.04	58.00	8 501.15	8 559.15
Share internal recycling production cut-offs	CSD			%	94%	↓	89%	100%	97%	90%	100%	96%	96%	69%	71%
Total waste generated	E5	E5-5	37 a	Tonnes waste	13 109.24	↑	8 739.41	5 068.30	13 807.71	N/D	N/D	N/D	N/D	N/D	N/D
The rates of recyclable content in products	E5	E5-5	36c	%		–
The rates of recyclable content in products packaging	E5	E5-5	36c	%		–
Hazardous waste diverted from disposal	E5	E5-5	37 b	Tonnes waste	200.32	↑	187.49	3.48	190.97	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste diverted from disposal due to preparation for reuse	E5	E5-5	37b(i)	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Hazardous waste diverted from disposal due to recycling	E5	E5-5	37b(ii)	Tonnes waste	200.32	↑	187.49	3.48	190.97	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste diverted from disposal due to other recovery operations	E5	E5-5	37b(ii)	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste diverted from disposal	E5	E5-5	37b	Tonnes waste	5 794.53	↑	3 363.69	1 898.25	5 261.94	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste diverted from disposal due to preparation for reuse	E5	E5-5	37b(i)	Tonnes waste	50.15	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste diverted from disposal due to recycling	E5	E5-5	37b(ii)	Tonnes waste	5 744.38	↑	3 363.69	1 898.25	5 261.94	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste diverted from disposal due to other recovery operations	E5	E5-5	37b(ii)	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste directed to disposal	E5	E5-5	37 c	Tonnes waste	780.38	↑	1 168.49	57.50	1 225.99	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste directed to disposal by incineration	E5	E5-5	37 c(i)	Tonnes waste	83.10	↑	185.75	56.96	242.71	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste directed to disposal by landfilling	E5	E5-5	37 c(ii)	Tonnes waste	697.28	↑	982.74	0.54	983.28	N/D	N/D	N/D	N/D	N/D	N/D
Hazardous waste directed to disposal by other disposal operations	E5	E5-5	37 c(ii)	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste directed to disposal	E5	E5-5	37 c	Tonnes waste	6 334.01	↑	4 019.75	3 109.07	7 128.82	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste directed to disposal by incineration	E5	E5-5	37 c(i)	Tonnes waste	5 771.77	↑	3 802.76	2 687.13	6 489.88	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste directed to disposal by landfilling	E5	E5-5	37 c(ii)	Tonnes waste	562.25	↑	217.00	421.94	638.94	N/D	N/D	N/D	N/D	N/D	N/D
Non-hazardous waste directed to disposal by other disposal operations	E5	E5-5	37 c(ii)	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D
Non-recycled waste	E5	E5-5	37 d	Tonnes waste	7 114.39	↑	5 188.24	3 166.56	8 354.80	N/D	N/D	N/D	N/D	N/D	N/D
Percentage of non-recycled waste	E5	E5-5	37 d	%	54%	↑	59%	62%	61%	N/D	N/D	N/D	N/D	N/D	N/D
Total amount of hazardous waste	E5	E5-5	39	Tonnes waste	980.70	↑	1 355.97	60.98	1 416.96	N/D	N/D	N/D	N/D	N/D	N/D
Total amount of radioactive waste	E5	E5-5	39	Tonnes waste	-	–	-	-	-	N/D	N/D	N/D	N/D	N/D	N/D

	ESRS	DR	Paragraph	Unit	2023	∆ vs 2022	2022	2022 M&A	2022 Total	2021	2021 M&A	2021 Total	2020	2020 M&A	2020 Total

Collected materials
Expanded PolyPropylene (EPP)	E5	E5-5	37b(ii)	Tonnes material	529.57	–	-	-	-	5	-	5	-	-	-
Expanded PolyStyrene (EPS)	E5	E5-5	37b(ii)	Tonnes material	26 950.00	↓	32 629	-	32 629	18 868	18 904	37 772	-	-	-
PolyPropylene (PP)	E5	E5-5	37b(ii)	Tonnes material	7 049.78	↑	4 552	-	4 552	0	-	0	0	-	0
PolyEthylene (PE)	E5	E5-5	37b(ii)	Tonnes material	18 548.56	↓	22 986	-	22 986	-	-	-	0	-	0
Plastics (other)	E5	E5-5	37b(ii)	Tonnes material	3 827.90	↑	2 000	-	2 000	1 065	-	1 065	17	-	17
Cardboard/paper	E5	E5-5	37b(ii)	Tonnes material	43 444.05	↑	34 000	-	34 000	2 743	-	2 743	40	-	40
Total collected materials	E5	E5-5	37b(ii)	Tonnes material	100 795.85	↑	96 137	-	96 137	18 750	-	18 750	62	-	62

Social progress
Health and Safety

Total no of accidents	Number	85	54	26	41
Frequency rate	Percentage (%)	0.009%	0.010%	0.0001%	0.0001%
Severity rate	Percentage (%)	0.160%	0.009%	0.0006%	0.0011%
No of working days lost	Number	1 469	536	311	359

Employees
Headcount women	Number	757	542	510
Headcount men	Number	2 445	1 526	1 296
FTE women	Number	742	461.4	433	346
FTE men	Number	2 632	1 445.1	1 152	1 086

	Unit	∆ vs 2023 2022	2022 Total
Diversity of governance bodies and employees (headcount)
Female under 30 years	Number	104	84
Female 30 to 50 years	Number	377	264
Female over 50 years	Number	277	195
Male under 30 years	Number	348	236
Male 30 to 50 years	Number	1 102	680
Male over 50 years	Number	985	605

New employee hires in the reporting period (headcount)
Female under 30 years	Number	38	40
Female 30 to 50 years	Number	58	35
Female over 50 years	Number	26	14
Male under 30 years	Number	164	127
Male 30 to 50 years	Number	130	112
Male over 50 years	Number	44	64

Employees that left their employment in the reporting period (headcount)
Female under 30 years	Number	44	25
Female 30 to 50 years	Number	51	46
Female over 50 years	Number	43	17
Male under 30 years	Number	128	98
Male 30 to 50 years	Number	182	112
Male over 50 years	Number	121	80

	Unit	∆ vs 2023 2022	2022 Total	2021 Total


Parental leave (headcount)
Total number of employees that took parental leave
Female	Number	31	40
Male	Number	40	39
Total number of employees that returned to work in the reporting period after parental leave ended
Female	Number	9	20
Male	Number	28	35
Total number of employees that returned to work after parental leave ended that were still employed 12 months after their return to work
Female	Number	12	8
Male	Number	20	45
Total number of employees due to return to work after taking parental leave
Female	Number	14	12
Male	Number	3	23
Total number of employees returning from parental leave in the prior reporting period(s)
Female (same as line 203)	Number	12	4
Male (same as line 204)	Number	20	26
Workers who are not employees
Total number of workers who are not employees and whose work is controlled by the organisation (heads.)	Number	290	243	224

	ESRS DR	Unit	∆ vs 2023 2022	2022 Total	2021 Total	2020 Total
Annual total compensation ratio
The ratio of the annual total compensation of the organisation`s higest-paid individual to the median annual total compensation of all employees. Highest compensation divided by median compensation.		Percentage (%)	-		789%
Collective bargaining agreements
The percentage of total employees covered by collective bargaining agreements.		Percentage (%)	87%		83%
For employees not covered by collective bargaining agreements, report whether the organisation determines their working comditions and terms of emplyment based on collective bargaining agreements that cover its other employees or based on collective bargining agreements for other organisations.		Percentage (%)	13%		17%
ESG supplier assessment
Number of suppliers		Number	12 000	7 500	2 500	-
Suppliers assessed for Environment, Social and Governance (ESG) impacts	CSD	Number	466	220	0	-
Suppliers assessed for Environment, Social and Governance (ESG) impacts	CSD	Percentage (%)	4%	2.93%	0	-
Suppliers assessed with negative Environment, Social and Governance (ESG) impacts	CSD	Number	77	35	0	-
Suppliers assessed with negative Environment, Social and Governance (ESG) impacts	CSD	Percentage (%)	17%	15%	0	-
Suppliers with negative social and environmental impacts with improvements implemented	CSD	Number	9	0	0	-

	ESRS DR	Paragraph	Unit	∆ vs 2023 2022	2022 2022 M&A 2022 Total	2021 2021 M&A 2021 Total	2020 2020 M&A 2020 Total
Suppliers relationships terminated as a result of ESG assessment	CSD		Number	2	0	0	-
Suppliers with whistleblower funchion establised	S2 S2-3	27b	Precent (%)	98%	-	-	-
Number of new suppliers	CSD		Nubmer	435	191	-	-
New suppliers (in reporting year) screened using social criteria	CSD		Number	108	12	-	-
New suppliers (in reporting year) screened using social criteria	CSD		Percentage (%)	25%	6.28%	-	-

Governance progress

Corruption and business ethics
Communication and training of anticorruption policies and procedures to relevant employees	G1 G1-4	22	Number	255	255	216	0

Anti-competitive behaviour
Number of legal actions pending or completed	CSD		Number	0	1	0	0

Reporting principles and restatements for consolidated ESG statements

E1: Environment

E1 – 3, 4, 6: Goss Scopes 1, 2, 3 and total GHG emissions

BEWI is reporting its GHG emissions in accordance with the GHG Protocol and includes the same companies as the financial reporting (companies where BEWI has direct operational control >50% ownership).

BEWI established its climate account in 2020 and has over the years strengthen and expanded its reporting. As a result, there are differences between the data presented over the years and these changes are further amplified by acquisitions. Although acquired companies have reported back to base year (2020), lack of reporting structure for previous years has resulted in a general uncertainty of the data. In 2023, a visualisation tool for ESG data was made available, enabling the organisation to benchmark, and control data more easily. This has improved the overall data quality. The climate account for 2023 is consequently the best presentation of BEWI`s direct and indirect emissions.

Scope 1 – On-site energy production & Internal transportation

Scope 1 is direct GHG emissions related to the burning of natural gas and other fuels for steam production and fuelling of BEWI-owned vehicles. The total consumption numbers of energy production are reported on in kg, m3, litre, or kWh and converted using CO2e-emission factors (DEFRA). GHG emissions from BEWI-owned vehicles are reported in consumption of fuels in kg, or litre using average CO2e-emission factors (DEFRA). CO2e intensity for natural gas was updated from country specific intensities to average intensities (DEFRA). The new CO2e intensities are higher and has resulted in an increase per KWh natural gas reported.

Scope 2 – Electricity & Other indirect energy sources Scope 2 GHG emissions is related to electricity, district heating or procured steam. Consumption is reported in kWh. For electricity kWh is converted into CO2e GHG emissions using country specific CO2e emission factors (location based). Market based GHG emissions is based on Green-electricity contracts calculated with relevant CO2e emission factors. Other indirect

energy sources are calculated using specific CO2e emission factors retrieved from the energy provider.

Scope 3 – Category 1: Purchased goods and services

The category includes Goods and services purchased by BEWI and is divided in three key categories "Raw material input", "Purchased packaging", and "Water consumption". Raw material input above 1% of total raw material inflow is included. The CO2e-emission factors for raw materials are based on life cycle assessments from Asplan Viak, Ecoinvent (version 3.6) and DEFRA. Purchased packaging include purchased goods that have been resold and purchased packaging (primary, secondary, and tertiary).

Scope 3 – Category 2: Capital goods

Capital goods includes machinery such as shape and block moulding machines and pre-expanders. BEWI has not been able to receive supplier-specific CO2eemission data. Calculations is based on the emission intensity for steel and an estimate of emissions for producing one machine. This was multiplied by the number of machines of each type and divided by estimated average lifetime to find the annual GHG

emissions. Lifetime is calculated based on average age of all machinery in BEWI.

Scope 3 – Category 3: Fuel- and energy related activities

All energy- and energy fuel flows used for the reporting on scope 1 and scope 2 were coupled with relevant scope 3 emission factors to calculate the emissions Country specific factors were used for calculating T&D and generation emissions for the electricity in each country (source IEA or DEFRA). Average factors were used for the other fuels (Ecoinvent or DEFRA).

Scope 3 – Category 4 & 9: Procured upand downstream transportation

BEWI are reporting on transportation procured directly by BEWI. This does not capture all transport that should be included in this category, because in many cases when procuring goods and services, transport is included in the invoice but not specified separately. To ensure that this part is included in the climate account, an estimated metric is used based on the amount of data that was reported

in both up- and downstream transportation. The chosen metric multiplied the reported transportation numbers with 0.45 and added this to the overall transportation emissions. This numbers are not precise but serves to better present the part of BEWIs total GHG emissions that are coming from downstream transportation.

Reporting on procured transportation was changed in 2023 from a purely monetary-based method to a combined method where physical and direct CO2 emission data was included in the reporting. To improve the quality of the calculations, BEWI has collected data from 56 logistics suppliers (January - May 2023) (included total kg CO2e emissions with an explanation of the calculation method and the different modalities that were used. Based on these the following reporting calculations has been established: (1) a new kg CO2e per Euro spend, (2) a kg CO2e per ton.km for road, rail, and sea transport, and (3) a direct kg CO2e.

Scope 3 – Category 5: Waste generated in operations Indirect GHG emissions related to the handling of waste generated in BEWI`s operation. Waste is reported as normal waste (11 categories) and hazardous waste (7 categories) including waste treatment (incineration, landfill, reuse or recycling). Average GHG emission factors for the treatment of the different waste types are used (DEFRA).

Scope 3 – Cat. 6: Business travel

Business travel is based on travel done by plane. For 2020-2022, the emissions were calculated based on the number of flights that were taken for three categories: domestic, Europe, or continental. For 2023, an additional method was added where direct emissions for all travel could be reported by using the CO2 data retrieved from travel agencies. If such a report is not available, the method for flight type with average CO2 emission factors is used.

Scope 3 – Category 7: Employee commuting

Indirect GHG emission related to employee commuting for all employees. Emissions are calculated without employee specific data to comply with GDPR, using average distances coupled with employee numbers and emission factors per transportation type (by car, bike, foot, and public transport).

Scope 3 – Category 8 & 13: Upstreamand downstream leased assets

BEWI leases many its production facilities. Emissions from operations of these sites are included in scope 1 and scope 2 and no additional calculations were done this category. BEWI does not have any downstream leased assets.

Scope 3 – Category 10: Processing of sold products BEWI RAW and Circular produce raw materials that are sold to manufacturers that further process it,

before selling it to end consumers as a final product. Calculations is based on total kg of sold raw materials externally multiplied with BEWI`s average CO2e per kilogram of raw materials in production.

Scope 3 – Category 11: Use of sold products

None of the products that BEWI sell have use-emissions. Consequently, the emission from this category is zero.

Scope 3 – Category12: End-of-life treatment of sold products

End of life treatment of sold product has been calculated based on share of final treatment in the different countries BEWI operates. The percentages for the different waste treatment per country were combined with sales data to determine the quantity of products going to different waste treatment types. These numbers were then coupled with a CO2 intensity for the different waste treatment methods.

Scope 3 – Category 14: Franchises

BEWI does not have any franchises, hence the emissions for this category are zero.

Scope 3 – Category 15: Investments

BEWI does have significant investments, hence the emissions for this category are zero.

E1 – 4, 6: Climate accounting intensity metrics

The intensity metrics are based on the GHG emissions from the climate account, total energy consumption, and total revenue. The energy intensity metrics show the development in terms of MJ use in the whole BEWI Group compared to the total raw material input. Similarly, the energy CO2 intensity is the total marketor location-based GHG emissions for scope 1-3 per MJ used. The raw material metric shows the physical intensity of the total GHG emissions per category and total emission per kg raw material used. Finally, the economic intensity shows the total GHG emissions per euro revenue for BEWI. Restatements that affect intensity metrics are reported under relevant scopes and categories in the climate account.

E1 – 5: Energy consumption and mix

All energy data is reported in kWh or converted into kWh. The energy consumption data includes energy used to produce steam in production, the electricity needs for the buildings, and the energy use of BEWI-owned vehicles. BEWIs renewable energy production comes solely from solar panels whereas BEWIs renewable energy consumption stems from green electricity, steam produced from biomass, and direct biofuel consumption. Data quality on energy consumption is high and is based on data retrieved directly from the suppliers. Share of renewable energy has in previous years included share of renewable energy in the national grid and energy produced

or procured. In 2022, share of renewable energy in national grid was excluded from the calculation.

E5 – 4: Resource inflows

Raw materials used above 1% of total raw material consumption. Recycled materials include post-consumer materials. Internal recycling flows from production cut-offs are reported separately and not considered when calculating the percentage of recycled content in the total raw material use. Raw materials are counted double as the input materials for RAW converted into EPS are used as input materials for downstream production facilities. The double counting is kept in the reporting system to give a good overview of the materials used throughout the group and adjusted for in the annual report. Data quality on material flows is high, well documented and reported with high certainty. No significant restatements were made for the data for 2023 or previous years.

E5 - 4: Collected materials

This refers to the material collected through BEWI`s circular business segment and downstream production facilities. The reporting applies to any materials collected, where the collected materials were processed, recycled on site, or prepared for further recycling elsewhere. Data quality is high and thirdparty verified. No restatements.

E5 – 5: Resource outflows

Waste data is based on reports retrieved from waste handling companies and is reported based on the types of normal or hazardous waste sorted in fractions (18 fractions) and type of waste treatment for each fraction. The quality of reports from the waste companies varies and, in some cases, it has been necessary to take some assumptions regarding waste treatment. In 2022, the reporting was changed to include a more detailed reporting of waste fractions and final treatment. This change caused a large gap in the data when comparing 2021 to 2022 and BEWI has therefore excluded the data from 2020 and 2021. The share of waste going to recycling has been changed to exclude production cut-offs that have been reused back into production. This change in scope and definition explains the lower recycling grade percentages when comparing to the numbers presented in previous years.

Taxonomy

BEWI's EU taxonomy report has been prepared in accordance with the Taxonomy Regulation EU (2020/852) and the supplementing delegated acts: Climate Delegated act(2021/2800) andDisclosure Delegated Act` (2021/4987).

Scope: BEWI is in scope of the EU taxonomy, as the regulation covers large private entities with over 500 employees within the scope of the Non-financial Reporting Directive (NFRD) EU (2014/95). Economic activities are considered regardless of their geographical location, whether inside or outside of the European Union.

Reporting principles: Financial data in this report is based on International Financing Reporting Standards (IFRS) and refers to BEWI's 2023 consolidated financial statements. The information is prepared on a Group consolidated level and are presented in Euro. All values are rounded to the nearest thousand.

Taxonomy-eligible turnover activities corresponds to net sales, as defined in note 2 to the consolidated financial statements. A turnover KPI in per cent is calculated by putting the taxonomy-eligible turnover in relation to the = consolidated net sales for the group. A restatement has been made with respect to 2022, compared to what was reported in the annual report for that year, in that EUR 5.2 million has been reclassified as revenue under activity 5.9 to revenue under activity 5.5.

Taxonomy-eligible CAPEX in this context includes investments in intangible and tangible fixed assets, as well as the capitalisation of lease contracts as right-ofuse assets. The investments must be directly related to the sales and production of the taxonomy-eligible activities identified, either already existing or planned. A CAPEX KPI in per cent is calculated by putting the taxonomy-eligible CAPEX in relation to total acquisitions of intangible and tangible fixed assets for the group, plus the amount of right-of-use assets capitalised in the group during the reporting period, as presented in note 12 and 13 to the consolidated financial statements. 2022 was the first year that the CAPEX KPI was reported. The CAPEX KPI did not include capitalised right-of-use assets in the annual report for 2022, neither in the numerator nor in the denominator. In addition, EUR 4.6 million in 2022 has been reclassified from CAPEX under activity 3.5 to CAPEX under activity 5.9. This has been adjusted retroactively for 2022 when a comparison is made to last year in the comments below.

Taxonomy-eligible OPEX activities in this context corresponds to research and development costs, costs for renovation of buildings, costs for short-term leases and repair and maintenance costs. These costs must be directly related to the sales and production of the taxonomy-eligible activities identified, either already existing or planned to be operational within 18 months. If the costs cannot be reliably measured or adequately identified as attributable to the

taxonomy-eligible activities, they are excluded from the calculation. 2023 is the first year that the OPEX KPI is reported and there are consequently no comparative numbers for 2022. An OPEX KPI in per cent is calculated by putting the taxonomy-eligible OPEX in relation to total consolidated costs for research and development, for renovation of buildings, for short-term leases and for repair and maintenance, but only to the extent that such OPEX can be reliably and adequately measured. Calculating the OPEX KPI entails a number of estimations and assessments, especially with respect to the denominator.

Restated taxonomy eligible revenue 2022

Economic activities	Codes	kEUR	%
A. Eligible activities
A.1. Eligible Taxonomy-aligned activities
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	0	0%
Manufacture of energy efficiency equipment for buildings	3.5.	0	0%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	0	0%
Material recovery from non-hazardous waste	5.9.	0	0%
Revenue of eligible taxonomy-aligned activities (A.1.)		0	0%
A.2. Eligible not taxonomy-aligned activities
Manufacture of energy efficiency equipment for buildings (RAW)	3.5.	177 275	19%
Manufacture of energy efficiency equipment for buildings	3.5.	230 397	25%
Collection and transport of non-hazardous waste in source segregated fractions	5.5.	31 883	3%
Material recovery from non-hazardous waste	5.9.	16 833	2%
Revenue of not Taxonomy-aligned activities		456 388	49%
Total (A.1. + A.2.)		456 388	49%
B. Non-eligible activities
Revenue of non-eligible activities		472 907	51%
Total (A+B)		929 295	100%

Remuneration report

1. Overview

This remuneration report is prepared by the board of directors ("the board") of BEWI ASA (the "company") in accordance with Section 6-16b of the Norwegian Public Limited Liabilities Companies Act as applicable per 1 January 2021 ("NPLCA") and the administrative regulation regarding policy and report for the remuneration of the executive management. The reports contain information regarding remuneration of executive management and the board of directors for the financial year of 2023.

The report is based on the board of directors' remuneration policy, which was approved by the general meeting on 3 June 2021, as outlined in the "Statement on remuneration of executive management". The statement is included in BEWI ASA's annual report for 2023) and is in accordance with Section 6-16a of the NPCLA.

2. Remuneration of the board of directors

2.1 Board composition

From 1 January 2023, the board consisted of Gunnar Syvertsen (chair), Kristina Schauman, Anne-Lise Aukner, Rik Dobbelaere, and Andreas M. Akselsen.

Gunnar Syvertsen, Kristina Schauman, and Anne-Lise Aukner were re-elected for a period of two years at the company's general meeting on 2 June 2022. Andreas M. Akselsen and Rik Dobbelaere was re-elected for a period of two years at the general meeting on 1 June 2023, and Pernille S. Christensen was elected as a new director of the board for a period of two years at the general meeting on 1 June 2023.

Remuneration

The board's remuneration is determined by the general meeting after receiving a proposal from the nomination committee. The remuneration is comprised of fixed payment for board directorship and work in sub-committees. Directors of the board are also reimbursed for travelling expenses. The company is responsible for payment of social security taxes, as well as cost for directors' and officer's liability insurance.

Table 1: Actual fees paid to the board of directors in 2023 and 2022

BEWI ASA		1 Jan 2023–31 Dec 2023		1 Jan 2022–31 Dec 2022
million EUR	Basic salary incl. benefits/ board fees	Variable remuner ation	Retirement compen sation	Basic salary incl. benefits/ board fees	Variable remuner ation	Retirement compen sation

Board of Directors
5 members of the board, whereof 2 women
Gunnar Syvertsen (chairman)	0.05			0.06
Stig Wærnes				0.03
Kristina Schauman	0.03			0.04
Ann-Lise Aukner	0.03			0.03
Rik Dobbelaere	0.03			0.03
Andreas Mjølner Akselsen	0.03			0.00
Pernille Skarstein Christensen	0.02
Total	0.19			0.18

Consultancy services board members
Gunnar Syvertsen	0.09			0.10
Rik Dobbelaere	0.12			0.60
Andreas Mjølner Akselsen	0.15

3. Remuneration to the executive management

3.1 Executive management

The company considers the Chief Executive Officer (CEO), Chief Operating Officer (COO), Chief Financial Officer (CFO), Chief Human Resources Officer (CHRO), Chief Legal Officer (CLO), Chief Sustainability Officer (CSO) and Chief Communications Officer (CCO), as members of the executive management, to be covered by the term Directors under Companies Act.

The following persons are therefore considered Directors:

Christian Bekken, Group CEO
Jonas Siljeskär, Group COO
Marie Danielsson, Group CFO
Roger Olofsson, CHRO (included from 1 October 2022)
Petra Brantmark, CLO (included from 1 October 2022)
Camilla Bjerkli, CSO (included from 1 September 2023)
Charlotte Knudsen, CCO (included from 1 October 2022)

3.2 Remuneration composition and framework

The remuneration principles and compensation elements are described in the remuneration policy for executive management. The elements include a (i) fixed base salary, (ii) pension, (iii) non-financial benefits ("fringe benefits"), (iv) variable pay and (v) a long-term incentive programme (referred to as share option plan)

Directors do not receive remuneration for directorships in group companies.

Table 2 below contains an overview of the total remuneration which the Directors have received from the company in 2023 and 2022.

Table 2: Remuneration paid to executive management in 2023 and 2022

BEWI ASA	1 Jan 2023–31 Dec 2023
million EUR	Basic salary	Short term variable pay	Long term variable pay	Other benefits	Retirement compensation	Total com pensation	Proportion of fixed remuneration
CEO Christian Bekken	0.27	0.01			0.01	0.29	97%
Other Senior Executives
Jonas Siljeskär	0.30	0.01		0.01	0.06	0.38	97%
Marie Danielsson	0.31	0.02		0.01	0.05	0.39	95%
Charlotte Knudsen	0.14	0.01			0.01	0.16	94%
Petra Brantmark	0.16	0.01		0.01	0.05	0.23	96%
Roger Olofsson	0.16	0.01		0.01	0.03	0.21	94%
Camilla Bjerkli 1	0.04
Total	1.38	0.07		0.04	0.21	1.70	96%

BEWI ASA	1 Jan 2022–31 Dec 2022
million EUR	Basic salary	Short term variable pay	Long term variable pay	Other benefits	Retirement compensation	Total com pensation	Proportion of fixed remuneration
CEO
Christian Bekken	0.27	0.09	0.20	0.01	0.01	0.58	49%
Other Senior Executives
Jonas Siljeskär	0.31	0.11	0.20	0.01	0.08	0.71	56%
Marie Danielsson	0.30	0.12	0.20	0.01	0.07	0.70	55%
Charlotte Knudsen	0.03	0.01			0.00	0.04	76%
Petra Brantmark	0.05	0.01			0.01	0.07	86%
Roger Olofsson	0.05	0.01			0.03	0.09	85%
Total	1.00	0.35	0.60	0.03	0.20	2.19	56%

Notes:

The executive management was extended with CCO, CLO and CHRO from 1 October 2022, and they have thus been included in the numbers above from this date. The CSO was appointed part of the executive management on 1 September 2023 and was included from this date.

The amount for the long-term variable pay included in the table above corresponds to the difference between the share price and strike price as of 31 December 2023 multiplied by the number of options vested during the year.

The variable incentive pay program is based on compensation accrued from performance related variable pay and is paid the year following the accruing year. See section 5.1 for further information.

3.3 Share-option plan

The purpose of the share option plan is to further align the interests of the company and its shareholders. The awards of options shall give an interest in the company parallel to that of the shareholders, enhancing the interests of the executives to the company's continued long-term success and progress and motivate for individual contributions. The share option shall enable the company to attract and retain the executive employees and other key employees.

The strike price was set as the market price at the time of the grant of the options plus 10 per cent, to ensure that only value creation from allocation onwards is rewarded. The options vested with 20 per cent per after one year, 30 per cent after two years, and with 50 per cent three years after granted, provided the participant was still employed. The options lapses and becomes void after a period of 5 years. If the employee resigns from his or her position with the company, all unvested options will lapse and becomes void. The maximum profit gain from awarded options under the plan, is capped according to an agreement between the employee and the company.

Table 3: Long term incentive programme (share-option plan)

	The main conditions of share option plans								Information regarding the reported financial year
								Opening balance	During the year			Closing balance
	1 Specification of plan1	2 Performance period	3 Award date	4 Vesting date2	5 End of holding period2	6 Exercise period2	7 Strike price of the share3	8 Share options awarded at the beginning of the year	9 Share options awarded	10 Share options vested	11 Share options subject to perfor mance condition	12 Share options awarded and unvested4	13 Share options subject to holding period
Christian Bekken (CEO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	24.06	50 000	-	-	-	-	-
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	75 000	-	-	-	-	75 000
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	125 000	-	125 000	-	-	125 000
								250 000	-	125 000	-	-	200 000
Jonas Siljeskär (COO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	24.06	50 000	-	-	-	-	-
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	75 000	-	-	-	-	75 000
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	125 000	-	125 000	-	-	125 000
								250 000	-	125 000	-	-	200 000
Marie Danielsson (CFO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	22.96	50 000	-	-	-	-	50 .000
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	75 000	-	-	-	-	75 000
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	125 000	-	125 000	-	-	125 000
								250 000	-	125 000	-	-	250 000
Roger Olofsson (CHRO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	22.96	25 000	-	-	-	-	25 .000
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	37 500	-	-	-	-	37 500
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	62 500	-	62 500	-	-	62 500

	The main conditions of share option plans								Information regarding the reported financial year
								Opening balance	During the year			Closing balance
	1 Specification of plan1	2 Performance period	3 Award date	4 Vesting date2	5 End of holding period2	6 Exercise period2	7 Strike price of the share3	8 Share options awarded at the beginning of the year	9 Share options awarded	10 Share options vested	11 Share options subject to perfor mance condition	12 Share options awarded and unvested4	13 Share options subject to holding period
								125 000	-	62 500	-	-	125 000
Petra Brantmark (CLO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	24.06	25 000	-	-	-	-	-
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	37 500	-	-	-	-	28 952
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	62 500	-	62 500	-	-	62 500
								125 000	-	62 500	-	-	91 452
Charlotte Knudsen (CCO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	24.06	25 000	-	-	-	-	-
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	37 500	-	-	-	-	28 500
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	62 500	-	62 500	-	-	62 500
								125 000	-	62 500	-	-	91 000
Camilla Bjerkli (CSO)	1	19.11.2020- 19.11.2021	19.11.2020	19.11.2021	19.11.2025	19.11.2021- 19.11.2025	24.06	12 500	-	-	-	-	-
	1	19.11.2020- 19.11.2022	19.11.2020	19.11.2022	19.11.2025	19.11.2022- 19.11.2025	22.96	18 750	-	-	-	-	-
	1	19.11.2020- 19.11.2023	19.11.2020	19.11.2023	19.11.2025	19.11.2023- 19.11.2025	22.96	31 250	-	31 250	-	-	31 250
								62 500	-	31 250	-	-	31 250
								1 187 500		593 750	-	-	988 702

¹ Plan 1 refers to the plan adopted by the board on 19 November 2020.

² 20 per cent of the plan adopted on 19 November 2020 vested on 19 November 2021, 30 per cent on 19 November 2022 and 50 per cent vested on 19 November 2023. The options are only exercisable during a window period after the release of the financial reports for the fourth and/or second quarters.

³ Strike price at the time of award for the plan adopted on 19 November 2020 was 24.48 NOK. The strike price is adjusted for, inter alia, dividends paid. On 31 December 2023 the strike price was NOK 22.96.

⁴ In March 2022, Christian Bekken and Jonas Siljeskär exercised 50 000 options each, and Petra Brantmark and Charlotte Knudsen exercised 25 000 options each.

⁵ In March 2023, Petra Brantmark and Charlotte Knudsen exercised 8 548 and 9 000 options respectively.

4. Compliance with remuneration policy

Internal board assignments and similar internal positions are not remunerated separately. External assignments shall be approved by the CEO or by the board.

4.1 Variable pay

The variable incentive pay programme for the executive management team is built on four criteria with the objective to encourage achievement of financial- and operational targets. The variable pay programme is based on defined and measurable criteria, including financial targets, targets linked to strategic priorities and targets linked to health and safety.

For 2023, the variable incentive pay program was capped at 50 per cent of the annual base salary for the CEO, COO, and CFO, 40 per cent for the CHRO, CLO and CCO, and 25 per cent for the CSO.

Criteria:

1. Adjusted EBITDA: 50 per cent of maximum is based on the group's adjusted EBITDA targets, calculated with a linear scale from 95 per cent to 105 per cent of budgeted target.
1. Fixed cost: 10 per cent of maximum is related to development of fixed cost for the group with a maximum pay out if an improvement of 3 per cent of budgeted targets has been achieved, calculated with a linear scale from 100 per cent to 97 per cent of budgeted fixed cost targets.
1. Health & Safety: 10 per cent of maximum is related to health and safety targets with focus on number of accidents and absence due to accidents.
1. Personal objectives: 30 per cent of maximum is related to the personal objectives. For the CEO, the objectives are set and evaluated by the chairman of the board, while the personal objectives for the COO, CFO, CLO, CCO, and CHRO are set and evaluated by the CEO.

Table 4: Remuneration to directors according to the variable pay programme

Name	Function	EBITDA	Fixed cost	Health & Safety	Personal objectives	Total	Maximum

Christian Bekken	CEO	0.00%	5.00%	2.50%	9.00%	16.50%	50.00%
Jonas Skiljskär	COO	0.00%	5.00%	2.50%	9.00%	16.50%	50.00%
Marie Danielsson	CFO	0.00%	5.00%	2.50%	9.00%	16.50%	50.00%
Roger Olofsson	CHRO	0.00%	4.00%	2.00%	9.00%	15.00%	40.00%
Petra Brantmark	CLO	0.00%	4.00%	2.00%	11.50%	17.50%	40.00%
Charlotte Knudsen	CCO	0.00%	4.00%	2.00%	6.00%	12.00%	40.00%
Camilla Bjerkli	CSO	0.00%	2.50%	1.25%	6.90%	10.65%	25.00%

5. Derogation from remuneration policy

5.1 Variable pay programme

As stated in the remuneration policy, the directors are entitled to receive a cash bonus as outlined in the variable incentive pay programme with established criteria that reflects key drivers to pursue BEWI's strategic priorities, as well as achieving financial and sustainability targets.

All bonuses under the variable incentive pay programme were accrued for in the 2023 financial statements and are in line with the remuneration policy.

6. Comparative information on the changes of remuneration and group performance

Table 5 below contains information on the annual change of remuneration for each director, as well as the comparable information regarding salary increases based on applicable collective agreement in Norway, Kjemisk Teknisk overenskomst (avtale nr.106)

Table 5: Information on annual change of remuneration and average salary increase

Name	Function	2023	2022	2021	2020	2019

Christian Bekken	CEO	-19%	9%	38%	-4%	25%
Jonas Siljeskär	COO	-14%	0%	8%	48%	24%
Marie Danielsson	CFO	-13%	7%	-14%	112%	-30%
Roger Olofsson1	CHRO
Petra Brantmark1	CLO
Charlotte Knudsen1	CCO
Camilla Bjerkli1	CSO

Company performance
Net sales	Annual percentage change	5%	41%	62%	8%	13%
Adj. EBITDA	Annual percentage change	-19%	27%	68%	25%	68%
Adj.EBITDA margin (%)		9.80%	12.7%	14.6%	14.0%	12.1%

Salary increase according to collective agreement Kjemisk Teknisk overenskomst (avtale nr. 106)		4.43%	4.24%	2.11%	1.72%	2.05%

Due to large changes in the BEWI organization as a consequence of mergers and divestures, comparable salary data of own employees has not been reported.

¹ The CHRO, CLO, and CCO were included in the executive management from 1 October 2022 and the CSO was included from 1 September 2023. No comparable data for the full year 2022 to use for previous years.

7. Statement by the board of directors

The board of directors has today considered and adopted the Remuneration report for executive management of BEWI ASA for the financial year 2023. The Remuneration report has been prepared in accordance with section 6-16b of the Norwegian Public Limited Liability Companies Act. The Remuneration report will be presented for an advisory vote at the Annual General Meeting in 2024.

Trondheim, Norway, 17 April 2024

The board of directors and CEO of BEWI ASA

Gunnar Syvertsen	Anne-Lise Aukner	Rik Dobbelaere
Chair of the Board	Director	Director


Andreas Akselsen	Kristina Schauman	Pernille Skarstein Christensen
Director	Director	Director

To the General Meeting of BEWI ASA

Independent auditor's assurance report on report on salary and other remuneration to directors

Opinion

We have performed an assurance engagement to obtain reasonable assurance that Bewi ASA report on salary and other remuneration to directors (the remuneration report) for the financial year ended 31 December 2023 has been prepared in accordance with section 6-16 b of the Norwegian Public Limited Liability Companies Act and the accompanying regulation.

In our opinion, the remuneration report has been prepared, in all material respects, in accordance with section 6-16 b of the Norwegian Public Limited Liability Companies Act and the accompanying regulation.

Board of directors' responsibilities

The board of directors is responsible for the preparation of the remuneration report and that it contains the information required in section 6-16 b of the Norwegian Public Limited Liability Companies Act and the accompanying regulation and for such internal control as the board of directors determines is necessary for the preparation of a remuneration report that is free from material misstatements, whether due to fraud or error.

Our Independence and Quality Management

We are independent of the company as required by laws and regulations and the International Ethics Standards Board for Accountants' Code of International Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with these requirements. We apply the International Standard on Quality Management (ISQM) 1, Quality Management for Firms that Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements, and accordingly, maintain a comprehensive system of quality control including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

Auditor's responsibilities

Our responsibility is to express an opinion on whether the remuneration report contains the information required in section 6-16 b of the Norwegian Public Limited Liability Companies Act and the accompanying regulation and that the information in the remuneration report is free from material misstatements. We conducted our work in accordance with the International Standard for Assurance Engagements (ISAE) 3000 – "Assurance engagements other than audits or reviews of historical financial information".

We obtained an understanding of the remuneration policy approved by the general meeting. Our procedures included obtaining an understanding of the internal control relevant to the preparation of the remuneration report in order to design 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. Further we performed procedures to ensure completeness and accuracy of the information provided in the

remuneration report, including whether it contains the information required by the law and accompanying regulation. We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Trondheim, 17 April 2024 PricewaterhouseCoopers

Kjetil Smørdal State Authorised Public Accountant

(electronically signed)

Appendix 1 ESRS 2, Disclosure requirements and incorporation by reference

ESRS 2	General disclosures	Section in annual report	Page	Additional information
	Disclosure requirements
BP-1	General basis for preparation of the sustainability statement	ESG statements	p. 177-178
BP-2	Disclosures in relation to specific circumstances	Not stated	-	Not relevant
	Datapoints that derive from other EU legislation	Appendix	p. 212-214
GOV-1	The role of the administrative, management and supervisory bodies	Governace	p. 43
GOV-2	Information provided to and sustainability matters addressed by the undertaking's administrative, management and supervisory bodies Not stated		-	BEWI is working to include this disclosure
GOV-3	Integration of sustainability-related performance in incentive schemes	Governance, Remuneration report	p. 61, 202
GOV-4	Statement on sustainability due diligence	Appendix	p. 215
GOV-5	Risk management and internal controls over sustainability reporting	Governance, ESG statements	p. 61, 178
SBM-1	Strategy, business model and value chain	This is BEWI, Our business	p. 17-41
SBM-2	Interests and views of stakeholders	Governance	p. 59
SBM-3	Material impacts, risks and opportunities and their interaction with strategy and business model	Governance	p. 57
IRO-1	Description of the process to identify and assess material impacts, risks and opportunities	Governance	p. 58
IRO-2	Disclosure requirements in ESRS covered by the undertaking's sustainability statement	Appendix	p. 207-211

ESRS 2 General disclosures Section in annual report Page Additional information
---------------------------------------------------------------------------------------------	--

Environmental disclosures

ESRS E1	Climate change
ESRS 2, GOV-3	Integration of sustainability-related performance in incentive schemes	Governence, ESG performance, Remuneration report	p. 61, 202
E1-1	Transition plan for climate change mitigation	Not stated	-	BEWI is working to develop a transition plan in line with SBTi
ESRS 2, SBM-3	Material impacts, risks and opportunities, and their interaction with strategy and business model	Governance, ESG performance	p. 57
ESRS 2, IRO -1	Description of the processes to identify and assess material climate-related impacts, risks and opportunities	Governance	p. 58, 88-91
E1-2	Policies related to climate change mitigation and adaptation	Governance, ESG performance	p. 48-49, 88
E1-3	Actions and resources in relation to climte change policies	ESG performance	p. 48-49, 88-91
E1-4	Targets related to climate change mitigation and adaptation	ESG performance	p. 88
E1-5	Energy consumption and mix	ESG statements	p. 182-183
E1-6	Gross Scopes 1, 2, 3 and total GHG emissions	ESG performance, ESG statements	p. 89-90, 179-181
E1-7	GHG removals and GHG mitigation projects financed through carbon credits	Not stated	-	BEWI do not have any activities related to GHG removals or projects financed throguh cardon credits
E1-8	Internal carbon pricing	Not stated	-	BEWI do not have internal carbon pricing
E1-9	Anticipated financial effects from material physical and transiton risks and potential climate-related opportunities	Not stated	-	BEWI is working to calculate financial effects
ESRS E4	Biodiversity and ecosystems

E4-1	Transition plan and consideration of biodiversity and ecosystems in strategy and business model	Not stated	-	BEWI is working to implement a transition plan
ESRS 2, SBM-3	Material impacts, risks and opportunities and their interaction with strategy and business model	ESG performance	p. 57, 92-94

ESRS 2	General disclosures	Section in annual report	Page	Additional information
ESRS 2, IRO-1	Description of processes to identify and assess material biodiversity and ecosystem-related impacts, risks, dependencies and opportunities	ESG performance	p. 58, 92-94
E4-2	Policies related to biodiversity and ecosystem	Governance, ESG performance	p. 48-49, 93
E4-3	Actions and resouces related to biodiversity and ecosystems	ESG performance	p. 93-94, 183
E4-4	Targets related to biodiversity and ecosystems	ESG performance	p. 93
E4-5	Impact metrics related to biodiversity and ecosystems change	Not stated	-	BEWI is working to integrate impacts metrics in line with TNFD
E4-6	Anticipated financial effects from biodiversity and ecosystems-related risks and opportunities	Not stated	-	BEWI is working to calculate financial effects
ESRS E5	Resouce use and circular economy
ESRS 2, IRO -1	Description of the processes to identify and assess material resouce use and circular economy-related impacts, risks and opportunities	ESG performance	p. 58, 95-97
E5-1	Policies related to resouce use and circular economy	Governance, ESG performance	p. 48-49, 96
E5-2	Action and resources related to resouce use and circular economy	ESG performance	p. 96-97
E5-3	Targets related to resouce use and circular economy	ESG performance	p. 96
E5-4	Resouce inflows	ESG performance, ESG statements	p. 97-98, 184, 186
E5-5	Resouce outflows	ESG performance, ESG statements	p. 97-98, 184-185
E5-6	Anticipated financial effect from material resouce use and circular economy-related risks and opportunities	Not stated	-	BEWI is working to calculate financial effects

ESRS 2	General disclosures	Section in annual report	Page	Additional information
--------	---------------------	--------------------------	------	------------------------	--

Social disclosures

ESRS S1	Own workforce
ESRS 2, SBM-2	Interests and views of stakeholders	Governance, ESG performance	p. 59-60
ESRS 2, SBM- 3	Material impacts, risks and opportunities and their interaction with strategy and buisness model	Governance, ESG performance	p. 57, 100-101
S1-1	Policies related to own workforce	Governance, ESG performance	p. 48-49, 101
S1-2	Processes for engaging with own workers and workers representatives about impacts	Governance, ESG performance	p. 59-60, 101-102
S1-3	Process to remediate negative impacts and channels for own workers to raise concerns	ESG performance	p. 110
S1-4	Taking action on material impacts on own workforce, and approaches to mitigating material risks and pursuing material opportunities related to own workforce, and effectiveness of those actions	ESG performance	p. 101-102
S1-5	Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities	ESG performance	p. 101
S1-6	Characteristics of the undertakings employees	ESG statements	p. 186-187
S1-7	Characteristics of non-employee workers in the undertakings own workforce	ESG statements	p. 188
S1-8	Collective bargaining coverage and social dialouge	ESG statements	p. 189
S1-9	Diversity metrics	ESG performance, ESG statements	p. 102, 187
S1-10	Adequate wages	Not stated	-	BEWI is working to include the disclosure
S1-11	Social protection	Not stated	-	BEWI is working to include the disclosure
S1-12	Persons with disabilities	Not stated	-	BEWI is working to include the disclosure
S1-13	Traning and skills development metrics	ESG performance	p. 101-102
S1-14	Health and safety metrics	ESG performance, ESG statements	p. 101, 186
S1-15	Work-life balance metrics	Not stated	-	BEWI is working to include the disclosure

ESRS 2	General disclosures	Section in annual report	Page	Additional information

S1-16	Compensation metrics (pay gap of total compensation)	Not stated	-	BEWI is working to include the disclosure
S1-17	Incidents, complaints and severe human rights impacts	ESG performance, ESG statements	p. 110, 190
ESRS S2	Workers in the value chain
ESRS 2, SBM-2	Interests and views of stakeholders	Governance	p. 59-60
ESRS 2, SBM-3	Material impacts, risk and opportunities and their interaction with strategy and business model	Governance, ESG performance	p. 57, 103-104
S2-1	Policies related to value chain workers	Governance, ESG performance	p. 48-49, 104
S2-2	Processes for engagning with value chain workers about impacts	ESG performance	p. 104-106
S2-3	Processes to remediate negative impacts and channels for value chain workers to raise concerns	ESG performance	p. 104-106
S2-4	Taking action on material impacts on value chain workers, and approaches to managing material risks and pursuing material opportunities related to value chain workers, and effectiveness of those actions	ESG performance	p. 104-106
S2-5	Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities	ESG performance	p. 104

ESRS 2	General disclosures	Section in annual report	Page	Additional information

Governance disclosures

ESRS G1	Business conduct
ESRS 2, GOV - 1	The role of administrative, supervisory and management bodies	Governance	p. 43, 61
ESRS 2, IRO -1	Description of the processes to identify and assess material impacts, risks and opportunities	Governance	p. 57-58
G1-1	Business conduct policies and corporate culture	Governance, ESG performance	p. 48-49, 109-110
G1-2	Management of relationships with suppliers	ESG performance	p. 104-106, 110
G1-3	Prevention and detection of corruption and bribery	ESG performance	p. 110
G1-4	Incidents of corruption or bribery	ESG performance, ESG statement	p. 110, 190
G1-5	Political influence and lobbying activities	Not stated	- Not material
G1-6	Payment practice	Not stated	- Not material

Appendix 2 Datapoints in cross-cutting and topical standards that derive from other EU legislations

			SFDR	Pillar 3	Benchmark regulation	EU Climate Law
Disclosure requirement Datapoint			referance	referance	referance	reference	Section	Page	Additional information
ESRS 2 GOV-1	21 (d)	Board's gender diversity					Governance	p. 52
ESRS 2 GOV-1	21 (e)	Percentage of board members who are independent					Governance	p. 53
ESRS 2 GOV-4	30	Statement on due diligence					Appendix	p. 215
ESRS 2 SBM-1	40 (d) i	Involvement in activities related to fossil fuel activities					Not material	-
ESRS 2 SBM-1	40 (d) ii	Involvement in activities related to chemical production					Not material	-
ESRS 2 SBM-1	40 (d) iii	Involvement in activities related to controversial weapons					Not material	-
ESRS 2 SBM-1	40 (d) iv	Involvement in activities related to cultivation and production of tabacco					Not material	-
ESRS E1-1	14	Transition plan to reach climate neutrality by 2050					Not stated	-	BEWI is working with a transition plan in line with SBTi
ESRS E1-1	16 (g)	Undertakings excluded from Paris-aligned Benchmarks					Not material	-
ESRS E1-4	34	GHG emission reduction targets					Not stated	-	BEWI is working with a transition plan in line with SBTi
ESRS E1-5 3	8	Energy consumption from fossil sources disaggregated by sources (only high climate impact sectors)					Not material	-
ESRS E1-5 3	7	Energy consumption and mix					ESG statements	p. 182-183
ESRS E1-5	40-43	Energy intensity associated with activities in high climate impact sectors					Not material	-
ESRS E1-6	44	Gross Scope 1, 2, 3 and total GHG emissions					ESG performance, ESG statements	p. 89-90, 179-180
ESRS E1-6	53-55	Gross GHG emissions intensity					ESG performance, ESG statements	p. 89-90, 181

			SFDR	Pillar 3	Benchmark regulation	EU Climate Law
Disclosure requirement	Datapoint		referance	referance	referance	reference	Section	Page	Additional information
ESRS E1-7	56	GHG removals and carbon credits					Not stated	-	BEWI do not have any activities related to GHG removals or projects financed throguh cardon credits
ESRS E1-9	66	Exposure of the benchmark portfolio to climate-related physical risks					Not stated	-	BEWI is working to calculate financial effects
ESRS E1-9	66 (a); 66 (c)	Disaggregation of monetary amounts by acute and chronic physical risk; Location of significant assets at material physical risk					Not stated	-	BEWI is working to calculate financial effects
ESRS E1-9	67 (c)	Breakdown of the carrying value of its real estate assets by energy-efficiency classes					Not material	-
ESRS E1-9	69	Degree of exposure of the portfolio to climate-related opportunities					Not stated	-	BEWI is working to calculate financial exposure
ESRS E2-4	28	Amount of each pollutant listed in Annex II of the E-PRTR Regulation emitted to air, water and soil					Not material	-
ESRS E3-1	9	Water and marine resources					Not material	-
ESRS E3-1	13	Dedicated policy					Not material	-
ESRS E3-1	14	Sustainable oceans and seas					Not material	-
ESRS E3-4	28 (c)	Total water recycled and reused					Not material	-
ESRS E3-4	29	Total water consumption in m3 per net revenue on own operations					Not material	-
ESRS 2- SBM 3 - E4	16 (a) i	List of material sites in its own operations (i) specifiying the activities negatively affecting biodiversity sensitive areas.					ESG performance, ESG statements	p. 93, 183
ESRS 2- SBM 3 - E4	16 (b)	Whether it has identified material negative impacts with regards to land degradation, desertification or sil sealing					Not material	-
ESRS 2- SBM 3 - E4	16 (c)	Wheter it has operations that affect threatened species					Not material	-
ESRS E4-2	24 (b)	Sustainable land/ agriculture practices or policies					Not material	-
ESRS E4-2	24 (c)	Sustainable oceans/seas practices or policies					Not material	-
ESRS E4-2	24 (d)	Policies to adresses deforestation					Not material	-
ESRS E5	37 (d)	Non-recycled waste					ESG performance, ESG statements	p. 98, 185

			SFDR	Pillar 3	Benchmark regulation	EU Climate Law
Disclosure requirement	Datapoint		referance	referance	referance	reference	Section	Page	Additional information
ESRS E5	39	Hazardous waste and radioactive waste					ESG performance, ESG statements	p. 98, 184-185
ESRS 2 - SBM3 - S1	14 (f)	Risk of incidents or forced labour					ESG performance	p. 104-106
ESRS 2 - SBM3 - S1	14 (g)	Risk of incidents or child labour					ESG performance	p. 104-106
ESRS S1 -1	20	Human rights policy commitments					Governance, ESG performance	p. 48-49, 104
ESRS S1 -1	21	Due Diligence policies on issues adressed by the fundamental Internatinal Labour Organisation Conventions 1 to 8					ESG performance	p. 104-106
ESRS S1 -1	22	Processes and measures for preventing trafficking in human beings					ESG performance	p. 104-106
ESRS S1 -1	23	Workplace accident prevention policy or management system					Governance, ESG performance	p. 48-49, 101-102
ESRS S1 -3	32 (c)	Grevance/complaints handling mechanisms					Governance, ESG performance	p. 48-49, 105, 109-110
ESRS S1 -14	88 (b); (c)	Number of fatalitites and number and rate of work-related accidents					ESG performance, ESG statements	p. 101, 186
ESRS S1 -14	88 (e)	Number of days lost to injuries, accidents, fatalities or illness					ESG performance, ESG statements	p. 101, 186
ESRS S1 - 16	97 (a)	Unadjusted gender pay gap					Not stated	-	BEWI is working to include this disclosure
ESRS S1 - 16	97 (b)	Excessive CEO pay ratio					Remuneration report p. 198-203
ESRS S1 - 17	103 (a)	Incidents of discrimination					Not stated	-	BEWI is working to include this disclosure
ESRS S1 - 17	104 (a)	Non-respect of UNGP`s on Business and Human Rights and OECD					Not stated	-	BEWI is working to include this disclosure
ESRS 2 SBM3 - S2	11 (b)	Significant risk of child labour or forced labour in the value chain					ESG performance	p. 104-106
ESRS S2 - 1	17	Human rights policy commitments					Governance, ESG performance	p. 48-49, 104
ESRS S2 - 1	18	Policies related to value chain workers					Governance, ESG performance	p. 48-49, 104

Disclosure requirement Datapoint			Section	Page	Additional information
ESRS S2 - 1	19	Non-respect of UNGP`s on Business and Human Rights principles and OECD guidelines	ESG performance	p. 104-106
ESRS S2 - 1	19	Due diligence policies on issues adressed by the fundamental international Labor Organisation Conventions 1 to 8	ESG performance	p. 104-106
ESRS S2 - 4	36	Human rights issues and incidents connected to its upstream and downstream value	ESG performance, ESG statements	p. 105-106, 189-190
ESRS S3 - 1	16	Human rights policy commitments	Not material	-
ESRS S3 - 1	17	Non-respect of UNGPs on Business and Human Rights, ILO principles or and OECD guidelines	Not material	-
ESRS S3 - 4	36	Human rights issues and incidents connected to its upstream and downstream value	Not material	-
ESRS S4 - 1	16	Policies related to consumers and end-users	Not material	-
ESRS S4 - 1	17	Non-respect of UNGPs on Busniess and Human Rights and OECD guidelines	Not material	-
ESRS S4 - 4	35	Human rights issues and incidents connected to its upstream and downstream value	Not material	-
ESRS G1 - 1	§10 (b)	United Nations Convention against Corruption	ESG performance	p. 104, 109-110
ESRS G1 - 1	§10 (d)	Protection of whistle-blowers	Governance, ESG performance	p. 48-49, 105, 110
ESRS G1 - 4	§24 (a)	Fines for violation of anti-corruption and anti-bribery laws	Not stated	-	BEWI is working to include this disclosure
ESRS G1 - 4	§24 (b)	Standards of anti-corruption and anti-bribery	Not stated	-	BEWI is working to include this disclosure

Appendix 3 Statement on sustainability due diligence

Core elements of due diligence	Sections in the annual report	Page
a) Embedding due diligance in governance, strategy and buisness model	Governance	p. 43, 48-49, 57-58, 61
b) Engaging with affected stakeholders in all steps of the due diligence	Governance	p. 59-60
c) Identifying and assessing adverse impacts	Governance	p. 57-58
d) Taking actions to adress those adverse impacts	Governace, ESG performance	p. 61, 86-110
e) Tracking the effectiveness of these efforts and communicating	Governace, ESG performance	p. 61, 86-110

Appendix 4 Alignment with The Norwegian Transparency act

The Act shall promote enterprises' respect for fundamental human rights and decent working conditions in connection with the production of goods and the provision of services and ensure the general public access to information regarding how enterprises address adverse impacts on fundamental human rights and decent working conditions.

Description of disclosures	Section in annual report	Page
a) General description of the company's organization, operating area, guidelines and routines for handling actual and potential negative consequences for basic human rights and decent working conditions.	Our business, Governance, ESG performance	p. 26-41, 48-49, 103-106
b) Information about actual negative consequences and significant risk of negative consequences that the business has uncovered through its due diligence assessments	ESG performance, ESG statements	p. 106, 189
c) Information about measures that the business has implemented or plans to implement to stop actual negative consequences or limit significant risk of negative consequences, and the result or expected results of these measures.	ESG performance	p. 103-106

Appendix 5 Alignment with the Task force on Climate-related Financial Disclosures (TCFD)

Recommended disclosures	Section in annual report	Page	Additional information
a) Describe the boards oversight of climate-related risks and opportunities.	Board of director`s report	p. 73
b) Describe management's role in assessing and managing climate-related risks and opportunities.	Governance	p. 61-62
a) Describe the climate-related risks and opportunities the organization has identified over the short, medium, and long term.	Governance, ESG performance	p. 63-64, 90-91
b) Describe the impact of climate-related risks and opportunities on the organization's businesses, strategy, and financial planning.	ESG performance	p. 88
c) Describe the resilience of the organization's strategy, taking into consideration different climate-related scenarios, including a 2°C or lower scenario.	ESG performance	p. 90
a) Describe the organization's processes for identifying and assessing climate related risks.	Governance, ESG performance	p. 62, 90-91
b) Describe the organization's processes for managing climate-related risks.	Governance, ESG performance	p. 62, 90-91
c) Describe how processes for identifying, assessing, and managing climate-related risks are integrated into the organization's overall risk management.	Governance, ESG performance	p. 58, 61, 62
a) Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process.	Not stated	-	BEWI is working to established metrics to climate-related risks and opportunities
b) Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks.	ESG performance, ESG statements	p. 87-91, 179-182
c) Describe the targets used by the organization to manage climate-related risks and opportunities and performance against targets.	Not stated	-	BEWI is working to develop a carbon reduction plan in line with SBTi

Appendix 6 Abbreviations

Abbreviation	Meaning
CRP	Climate Reduction Plan
CSDDD	Corporate Sustainability Due Diligence Directive
CSRD	Corporate Sustainability Reporting Directive
DEFRA	Department for Environment, Food & Rural Affairs
DMA	Double Materiality Assessment
DNSH	Do No Significant Harm
EOL-treatment	End-Of-Life Treatment
EPD	Environmental Product Declaration
EPP	Expanded PolyPropylene
EPS	Expanded PolyStyrene
ESG	Environment, Social and Governance
ESRS	European Sustainability Reporting Standard
FTE	Full Time Equivalent
GHG	GreenHouse Gas
GPPS	General Purpose PolyStyrene

Abbreviation	Meaning
IRO	Impact, Risk and Opportunities
LCA	Life-Cycle Assessment
LEAP	Locate Evaluate Assess Prepare
OCS	Operation Clean Sweep
PE	PolyEthylene
PP	PolyPropylene
PS	PolyStyrene
SBTi	Science-Based Targets Initiative
SC	Substantial Contribution
TCFD	Taskforce on Climate-Related Financial Disclosures
TNFD	Taskforce on Nature-Related Financial Dislosures
TSC	Technical Screening Criteria
TTW	Tank-To-Wheel
WTW	Well-To-Wheel
XPS	Extruded PolyStyrene

BEWI ASA

Dyre Halses gate 1A 7042 Trondheim, Norway

BEWI.com

Chief Communications and Investor Relations Officer Charlotte Knudsen Tel: +47 975 61 959

Chief Sustainability Officer Camilla Louise Bjerkli

Tel: +47 984 487 56

Publication

18 April 2024

AI Terminal

Bewi Invest AS

3556_10-k_2024-04-18_b18895c4-016c-41b2-a5fa-3ad2363dbeb5.pdf

2023 Annual report

We are protecting people and goods for a better everyday

Climate change requires more energy efficient buildings

BEWI offers energy efficient solutions for buildings

Climate change requires transition to a circular economy

BEWI collects more used EPS than any other insulation company in Europe

Use ReUse – the BEWI way

Creating value from waste in Ethiopia

Key achievements

~10 million PET bottles

Contents

About this report

Protecting people and goods for a better everyday

Our mission

Who we are

Letter to the stakeholders

Well positioned to capture growth opportunities from the green transition

Our strategy

Our people

Our results

Financial targets

Our efforts

Our opportunities

Our contribution

Strategic priorities

Innovation

A circular economy

Profitable growth

Innovating efficient and sustainable solutions

Key achievements 2023

Key priorities going forward

Leading the change to a circular economy

Key achievements 2023

Key priorities going forward

Well positioned for profitable growth

Key achievements 2023

Key priorities going forward

Strategic partnerships

EUMEPS

Styrenics circular solutions

PS Loop

Operation Clean Sweep (OCS)

Plastic Europe

Polystyvert

Our business

Broad European foothold with strong local presence

Facilities 3x Upstream facilities 55x Downstream facilities 5x Circular facilities 12x Facilities owned through minority interests

We employ

We innovate, procure, produce and collect We procure, produce and collect

We create

Resources

• >10 000 suppliers

Key energy sources

Shareholders

Customers

Employees

Society and nature

Operating segments

RAW

Insulation & Construction (I&C)

Circular

Market development

Highlights 2023

Well positioned for further growth

Increased capacity for use of recycled material

Mass balance certification enabling broadened product offering with reduced CO2 footprint

Key achievements 2023

Key priorities going forward

Climate change requires more insulation to improve energy efficiency

Market development

Highlights 2023

Optimising production footprint and adjusting to shifting markets

Cross border sales and new markets

Investing in waterproof bathroom solutions

Positioning for further growth in insulation solutions

BORA flagship store nZEB European standard North Rhine-Westphalia, Germany Jackodur XPS thermal insulation

Key achievements 2023