2023 Integrated annual report

Furthermore, we have continued to progress on our focused factories strategy. The new healthcare factory in Suzhou is up and running, and the construction of the projection factory in Wuxi is close to completion, without delays. And there is more to come in our European plants as well: we plan to relocate the factory in Saronno, Italy, to a greenfield location nearby, and to ramp up investments for production and logistics in Belgium.

Still, achieving the growth that you had envisioned for 2023 was more difficult than expected?

An: There's no denying that. At the end of 2022, we saw clear tokens of market confidence. In the first quarter of 2023, sales indeed went up significantly, but then growth halted, mainly as the Chinese economy did not follow the expected recovery path after the pandemic. On top of that, to address supply chain shortages, customers had stored more stock in 2022 than we'd anticipated.

So, does Barco's resolute China strategy still hold strong?

Charles: We were indeed wrong about the timing of China's economic recovery. Its weak rebound came as a surprise, not only to us but also to the global financial markets. Even the Chinese government had overlooked the severe impact of the 3-year covid restrictions. The debt and faltering real estate greatly affected investments, not in the least in our markets, for example, in shopping centers, cinemas, events, theme parks and even hospitals. Yet, we still believe in the strengths and potential of this vast economy.

In 2022, An said that accelerating innovation is Barco's biggest growth opportunity. Have you taken strides forward in that field?

An: A clear focus on innovation is the only way for a tech company like Barco to differentiate itself, so we're working hard to instill more innovation capabilities. And we did manage to strengthen these, in the past year. The first results have been launched in 2023 and there's a pool of new product introductions in the pipeline for 2024 and beyond. Moreover, I also see a clear transition towards adding more software to our stack. ClickShare is a great example. Our Large Video Walls team is fully shifting their focus to software. In every other division, software becomes increasingly important too.

Buckling up for 2024

So, 2024 promises a large portfolio of new products and solutions?

An: Absolutely. We plan to keep our R&D spending at about 12% of sales, and we'll be introducing new solutions throughout the year, both renewals of established products and revolutionary new solutions, including products to win adjacent markets. By the time this report gets published, we'll have revealed some of this excitement already. The revolutionary HDR Lightsteering technology for cinemas is a great example of the landmark innovations we have in the pipeline. We've showcased it to professionals on several occasions in 2023 and directors and studios are really amazed.

As for geographies, China remains a target market?

Charles: Like I said, we'll stick to our China strategy. China is still a big economy that is leading the way in many tech fields, like robotics. They have great engineers and there is a true entrepreneurial spirit. I'm proud that Barco is active there with a very local strategy, not just with manufacturing facilities, but equally with sales and R&D.

Still, more than China, we want to increase our focus on the wider Asian market, which is a clear growth area. Asian cultures love imaging, even more than the Western world. As a visualization champion, our market potential is huge there. Meanwhile, the Americas and EMEA remain our largest playing fields, where we have a long track record and leading positions in many of the end markets we serve.

A clear focus on innovation is the only way for a tech company like Barco to differentiate itself. We did manage to strengthen our innovation capabilities in 2023.

An Steegen

01 BARCO AT A GLANCE

02 OUR

COMPANY 03 OUR

VISION

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

The bigger picture

What do you consider Barco's biggest opportunities going forward?

Charles: Meeting the need for ever-better quality solutions. The bar is continually raised in every aspect. Just look at a movie from 2013. After only 10 years, the image quality feels pretty poor, right? More than constantly improving the brightness, contrast and colors, quality is also increasingly about infusing intelligence in our solutions. And it covers sustainability too.

An: The changing paradigms of visualization will lead to an exciting future. Screens used to be static and one-directional, but today you start seeing bi-directional interactivity with screens reacting on your touch or eye movements. In the long run we can expect truly ubiquitous visualization: it will become a symbiotic lifelike experience, where visuals merge seamlessly with the real world. Software will take an ever-increasing role: AI is one of the key trends that inspires our innovation roadmap, as is 'big data'. The world needs smart visualization solutions to extract meaningful insights from the abundance of available data.

As the world braces itself for the ESG challenge, is Barco well prepared to meet ever-more stringent regulations?

An: We've been a market frontrunner, calculating our carbon footprint and the footprint of our products for years. In 2016, we set 2023 as a target year for several emission reduction ambitions and I'm happy to see that we achieved, and even exceeded, all of these. Both our operations and our products are ever more energy-efficient and we pay attention to product packaging, circularity, and modularity too. With the ClickShare CX-50 2nd generation, we even launched one of the first carbon-neutral wireless conferencing solutions in 2023. We have a great team that works hard to make sure that we continually push the envelope. The double materiality exercise that we are finishing will help take our sustainability efforts to the next level.

In conclusion, how does the future for Barco look like?

Charles: We keep moving forward on the path that we're paving. Barco is developing value over the long term. We're convinced that we're doing that well: we have the team and the technology and our visualization business provides solutions to meet many different needs, from hybrid meeting rooms and entertainment to ever-smarter healthcare.

Continued support

On a sidenote, Charles refers to the health issues that kept him away from the office for several months in 2023: "If there's one thing that I'm particularly proud of when looking back at the past year, it's that Barco stayed on track in the execution of our strategy, in spite of my absence. I'm incredibly thankful for all the support received both then and now that I'm back in business."

That counts for everyone at Barco. Many thanks to the Barco team, partners, investors, and of course our customers, who all help us visioneer a bright tomorrow.

Asian cultures love imaging, even more than the Western world does. As a visualization champion, our market potential is huge there.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

A word from our chairman Frank Donck

Barco remained resilient amidst global challenges in 2023. Guided by the vision and leadership of co-CEOs An Steegen and Charles Beauduin, our journey through the past year reveals both significant progress on the execution of our strategy and also unforeseen market circumstances, notably in the Chinese market. The transformative initiatives undertaken in 2023, with focused factories and a simplified organization, strengthen our agility and efficiency. I would like to thank the entire Barco team for their contribution.

Looking ahead to 2024, our dedication to innovation remains unwavering. With a robust portfolio of new products and solutions in the pipeline, we will expand in existing markets and venture into new ones, positioning ourselves for future growth.

In this annual report, we invite you to explore Barco's journey – a journey marked by innovation and a collective commitment to shaping the future of visual experiences and setting the standard in the markets we serve. As we navigate the business landscape and uncertainties of the market conditions in 2024, Barco stands prepared for another transformative chapter.

Looking ahead to 2024, our dedication to innovation remains unwavering.

Frank Donck

The future of Barco: 3 'burning questions' every stakeholder is asking

1. How is Barco's innovation pipeline looking?

Barco is investing in Research & Development and fueling its innovation pipeline more than ever, monitored by an agile governance. R&D is concentrated in the business units, close to the customer. In addition, Barco Labs focuses on fundamental research and breakthrough innovation ideas. This approach pays off: 2024 and 2025 will bring a high number of new product introductions from all business units, with an ever-growing importance of (embedded) software.

2. Has the global supply chain normalized?

In 2023, the supply of raw materials for the production of our products normalized, with little or no shortages. In addition, the costs of energy and logistics dropped. Inventories, however, were higher than usual in many parts of the supply chain. In anticipation of potential shortages in the aftermath of the pandemic, many customers and channel partners had increased their inventory of finished products. That stock takes time to shrink, which impacted demand over the course of 2023 in many of our markets. For some markets, this will continue into 2024.

» Read more

3. How is the situation in China?

China remains an important global market but had difficulties to recover from the covid-19 pandemic in 2023. This has dampened demand significantly. In the Healthcare markets, this slowdown was exacerbated by government's anti-bribery programs. Barco explicitly decided to strengthen its foothold in China, by implementing its focused factories strategy. We opened the Healthcare plant in Suzhou and finished construction of the Entertainment plant in Wuxi. These state-of-the-art and highly automated facilities put us in pole position to serve the local Chinese and also the global markets, as they reopen.

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

2023

13.6%

143

Key figures

02 OUR COMPANY 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Highlights

JANUARY

More sustainable meetings thanks to first CO2 -neutral ClickShare: meet CX-50 2nd gen

The CX-50 2nd gen is clear proof of our leadership in the collaboration and conferencing market: fully CO2 -neutral, it makes hybrid meetings more sustainable than ever.

FEBRUARY

Milestone EU MDR certificate & CE mark for our medical display portfolio

Another first: Barco becomes one of the first diagnostic display manufacturers to achieve compliance with the new European legislation for its full medical product line.

MARCH

Simpler control room workflows and top-notch security with new CTRL software platform

More software in our portfolio? Absolutely! The brand-new CTRL platform helps operators to securely connect to their sources, from anywhere, and interact with the content. » Read more

MARCH

Can 5G connectivity help solve the challenge of staff shortage in ORs?

We joined mobile provider Orange to investigate how 5G mobile connectivity can facilitate remote knowledge sharing in surgical environments. » Read more

MAY

Philips Supplier Award for Sustainability honors our environmental efforts

Philips applauded our strategic approach towards sustainability since 2015, as well as our proactivity in the submission of sustainability documentation. » Read more

JUNE

New Nio displays redefine the standard of diagnostic imaging

Simplicity, functionality, a sleek design and an A++ ecoscore: the 2 new Nio diagnostic displays are sure to remain the most up-to-date diagnostic equipment for years to come.

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS

08 OUR

JUNE

Small in size, great in imaging and energy efficiency: the new G50 laser projector

With its unparalleled size, weight, and energy efficiency (18 Lm/W), the newest member in the G-series delivers exceptional performance – at an affordable price.

SEPTEMBER

Redefining the home theater experience with the Nerthus projection platform

High-end home theaters all want Barco. Our flagship Series 4 Nerthus projector brings astounding contrast, lumens and colors to ensure a truly immersive viewing experience.

OCTOBER

More realism in training? The new F400-4K simulation projector checks all boxes

Designed specifically for the highly demanding training and simulation applications, the new F400-4K ensures power, speed and precision. » Read more

OCTOBER

Barco UniSee II elevates your vision - again!

Barco UniSee II takes the viewing experience to a new level, again. Crisp colors, deep blacks, and very high contrast are the main traits of this newcomer - while the ergonomic aspects are further refined. » Read more

NOVEMBER

See through breast density with new AI-powered DL PreciseTM

The DL Precise™ workflow tool helps radiologists with lesion segmentation, measurement, and visualization, even in dense breast tissues – ensuring better cancer diagnosis.

NOVEMBER

Strengthening our commitment to cinema: Cinionic becomes Barco

By re-acquiring 100% of Cinionic's shares, we'll be able to operate in the cinema market with even greater operational efficiency and agility.

» Read how we visoneer a bright tomorrow

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

04 HOW WE CREATE VALUE

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Introduction to Barco

02 OUR

About Barco

Barco. Visioneering a bright tomorrow.

Barco is a global company with headquarters in Kortrijk (Belgium). Our visualization and collaboration technology helps professionals accelerate innovation in the healthcare, enterprise and entertainment markets. We count over 3,300 visioneers, whose passion for technology is captured in over 900 unique patents. Our company is listed on the Brussels Stock Exchange.

Integrated report 2023

Our purpose: visioneering a bright tomorrow

At Barco, we believe truly great engineering starts with a clear vision. A vision of a better, smarter, healthier world.

With technology, we accelerate the brightest minds in entertainment, enterprises and healthcare to create a bright tomorrow.

To touch people's hearts and minds. To work better together. To transform the quality of life.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Our organization

A focused organizational structure

Since 2022, Barco has had a focused organizational structure, with six global business units. Every business unit handles marketing and communications, sales, product management and R&D, while more general functions (services, sales support, operations, digitization, finance, HR, legal and Barco Labs) are managed on a global level. In 2023, we further finetuned the organizational structure, in line with this vision.

We kept simplifying our organization in 2023, consolidating even more functions in the business units to boost efficiency and accountability.

Charles Beauduin CEO

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Barco has sites in nearly 30 countries and R&D and/or manufacturing facilities in 10 countries.

• Belgium • France • Germany • Italy

• The Netherlands • Norway • Poland • Spain • Saoudi Arabia • Sweden • Turkey

• United Arab Emirates • United Kingdom

Americas Europe, Middle East & Africa

Brazil
Canada
Colombia
Mexico • United States
-

Asia-Pacific

Australia
China
Hong Kong
India
Japan
Malaysia
Singapore
South Korea
Taiwan

Sites

R&D and/or manufacturing facilities

Our people are the driving force for our success. A team of over 3,300 employees, located around the globe, all join forces to visioneer a bright tomorrow.

Number of employees

2021	3,141
2022	3,302
2023	3,360

Geographical

Per functional group

Figures reported are in heads (not FTE). For definitions on indicators: see glossary. We refer to note 4 in the financial chapter for more information on the headcount evolution.

Integrated report 2023

CORE Report

05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

More than protecting and supervising our company, our leadership team and Board of Directors also ensure that Barco is able to create value for society at large.

While the Board of Directors sets, steers and monitors our strategic direction, our Core Leadership Team ('CLT') is responsible for implementing our group strategy and policies and achieving our objectives and results. In this way, all governance bodies contribute to value creation at Barco.

Frank Donck Chairman

An Steegen CEO

Directors with 5 years of seniority

Female members of the Board

Ashok K. Jain

Hilde Laga

James Sassoon

Independent directors

Board of Directors

The composition of the Board of Directors meets the gender diversity requirements. All directors hold or have held senior positions in leading international companies in organizations. In 2023, Lord Sassoon joined the Board of Directors.

CORE Report

01 BARCO AT A GLANCE 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Our Core Leadership Team

02 OUR

The CLT, which operates under the chairmanship of the CEOs, comprises key officers from various functions, businesses and regions.

Three new CLT members came on board (Mr. Philippe Verlinde, Mr. Dirk Feyants and Mr. Ta Loong Gan) while Mr. Tom Sys, former CDIO, moved to Large Video Walls.

An Steegen CEO

Charles Beauduin CEO

Cinionic

Wim Buyens

Gerwin Damberg Cinema & Acting CTO

Ann Desender Chief Financial Officer

CLT members with 5 years of seniority

Female CLT members

Non-Belgian CLT members

CORE Report

Dirk Feyants Diagnostic Imaging

Johan Fornier Surgical & Modality

Stijn Henderickx Meeting & Learning Experience

Anthony Huyghebaert Chief HR Officer

Kenneth Wang

Immersive Experience

Tom Sys Large Video Wall Experience

Kurt Verheggen General Counsel

Check the CGR report for an overview of the changes in the CLT in 2023. Biographies are available on our corporate website.

Philippe Verlinde Chief Digital & Information Officer

MD Barco China

Integrated report 2023

Rob Jonckheere Global Operations

05 SHAPING OUR STRATEGY 06 INNOVATION AND

07 OUR MARKETS

TECHNOLOGY

08 OUR RESULTS

Culture & ethics

Every organization has a culture; implicit or explicit. It is its personality – a set of unwritten rules on how an organization behaves. And it reveals itself in many different forms. Our corporate culture defines the cultural traits that we must embrace to continue leading in our dynamic markets.

Barco culture: how we live our DNA

Corporate culture is everywhere. It comes alive in how we act towards our customers and how we talk and listen to them. It becomes visible in the way we design our processes: have we designed them from our perspective or from the perspectives of those who are affected by them? It guides us in creating teams, but also in how we treat each other as team members. Culture even comes alive in our decision of how to greet each other in the morning. And above all, it defines how we execute our strategy. Culture is how we live our DNA.

» Learn more about our corporate culture

The importance of ethics and compliance

Barco's reputation and continued success depend on the conduct of its employees as well as its business partners. That's why we put great emphasis on ethics and compliance: we continuously invest in building a company culture in which ethical conduct and compliance with our policies and the applicable regulations are at the core of how we do business.

We look for the better way

In 2023, we took a deep dive into the value of innovation and continuous improvement, amongst others via workshops to enhance the skills of our employees. In addition, we looked at simplifying our cultural value set – highlighting our value 'we look for the better way' in everything we do.

» Learn more in the 'people' chapter of our PPC report

The 5 building blocks that summarize the Barco culture

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Planet, people and communities

At Barco, we firmly believe that sustainable business is good business – and vice versa. To that end, we are committed to taking ownership of a sustainable future. Our sustainability strategy ('Go for Sustainable Impact') has been an integral part of our corporate strategy for several years now and we are constantly accelerating our efforts.

More than safeguarding the future of our planet, sustainability at Barco also incorporates responsibility to our employees and to the communities in which we operate. For each of our three sustainability pillars – Planet, People, and Communities – we defined an overall ambition statement as well as mediumand short-term targets that guide and motivate us to infuse sustainability across the organization.

The steps we've taken in recent years are a solid foundation. By continuing on this path, we aim to enhance our positive impact and deliver a really bright tomorrow for our ecosystem and the world at large.

Dries Vanneste Sustainability Manager

Our ambitions and targets are linked to the sustainability areas that matter most to our stakeholders and where we can achieve the greatest impact: our material topics.

We will lower the environmental footprint of our customers and further reduce our own footprint.

We invest in sustainable employability by creating the right conditions for our employees to have an engaging, enriching and healthy career at Barco. We do this by encouraging our people to learn and develop themselves and by ensuring a healthy working environment – both physically and mentally. We engage in building an inclusive workplace that embraces the diversity of our people as this boosts our innovation capacity.

Planet People Communities

We play an active role in the communities we operate in by upholding the highest ethical and quality standards and expecting the same from our business partners. We always aim to deliver added value to our customers through our solutions, services and capabilities. In addition, we help ensure more people can participate in and benefit from Barco's innovation.

Barco

CORE Report

05 SHAPING

06 INNOVATION AND

07 OUR

08 OUR

04 HOW WE

01 BARCO

02 OUR

03 OUR

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

Visioneering a bright tomorrow

02 OUR

Barco's 'Visioneering a bright tomorrow' purpose, sprouts from many in-depth discussions with our broad ecosystem. From employees, our management, and business partners right through to customers: we consulted them all, in efforts to shape our purpose, gauge what purpose best reflects Barco, and then finetune it.

There was wide consensus that 'visioneering a bright tomorrow' perfectly fits Barco's mission and future. While we've always been innovators, the new, explicit visioneering purpose urges us to go even further in thinking out of the box – in the field of visualization technology, but equally in our processes, HR policies and approach to topics like sustainability.

We talked to eight Barco visioneers about how we are all working towards that bright tomorrow.

Visioneering – a fusion of 'vision' and 'engineering' – refers to our engineering roots and our expertise in visualization. But it also reflects how we innovate: always looking for the better way. 'A bright tomorrow', for its part, refers to our markets, teams and communities.

Eva Careel Brand and content manager

OUR VISION

To be a 'One Barco' company defined around our 'image processing' capability. The solutions that we develop and provide are to set the industry standard and make a visible impact. In this way, we are able to seize commanding market shares in healthy markets.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

MARKETS 08 OUR

07 OUR

The future of visualization

02 OUR

Gesture-controlled interfaces, multi-touch screens, interactive digital signage, holographic displays, and even AI: is the future shown in sci-fi movies like Star Wars, Star Trek, and The Matrix really where visualization is headed? And what's Barco's role in that future? We asked Peru Dharani, our Senior VP Research, and Design and Innovation Engineer Guillaume Segaert.

In every chat we have with Peru, he keeps repeating it: "These are hugely exciting times to be active in technology and visualization." As the head of BarcoLabs, Peru works closely with a growing group of visioneers, like Guillaume to develop breakthrough solutions. Not technology for the sake of it, but solutions that add value to our customers' lives.

How does the future of visualization look like?

When looking back on 90 years of Barco visualization, we see a blizzard of new technologies. "Still, the concept of visualization has remained almost untouched," says Peru. "We keep using projectors and screens to display static information. That is about to change, as we're entering an interactive era: visualizations are becoming dynamic."

We're entering an era of interactive visualization: visualizations become dynamic, and we'll be increasingly engaging with them in ways we might not even realize.

Peru Dharani Senior VP Research

Watch the interview with Peru and Guillaume

CORE Report

02 OUR COMPANY 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

"At Barco, we keep pushing the boundaries to make images as true-to-life as possible," Guillaume states. "We've been setting the standard for decades in markets like healthcare and simulation, but equally in events and cinemas. Our expertise in image processing, projection, and optics puts us in pole

Can image quality keep improving?

position in this era where image quality rules."

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

What does that mean for Barco?

Peru: "We're looking into the possibilities of transparent displays, for example. They're the perfect canvas to bring augmented reality images that connect people, beyond the individual AR experiences that exist today. In a next step, we'll want to move to ubiquitous visualization that crops up anywhere, merging seamlessly with the real world. Humans will engage with it in ways we might not

What will be the key advancements in the near future?

even realize."

The volume of data created, captured, copied, and consumed has been soaring exponentially over the past few years. By 2025, worldwide data will grow to 175 zettabytes (= over a trillion gigabytes), BI platform Statistica predicts. A massive amount of computing power, smart visualization solutions, and intelligent software are needed to collect, store, process, distribute, and retrieve this data.

We've been setting the standard for decades. Our expertise in image processing, projection, and optics keeps putting us in pole position in this era where image quality rules

Guillaume Segaert Design & innovation engineer

As there is no limit to the need for better image quality, Barco increasingly takes into account new parameters to keep exceeding expectations. Color accuracy, noise behavior, and even perception models all help us predict how an image will be interpreted by the human eye – and how its quality will be perceived.

How is Barco surfing on the AI wave?

There is no future outlook without mentioning AI, these days. Peru believes that we can't imagine where AI will bring us: "Over 100 years ago, Edison came up with the light bulb. At that time, no one had a clue how much that would change our lives, while today we just take it for granted. With AI, we are in that light bulb moment."

As the world increasingly embraces AI, so does Barco. More than building these capabilities into our solutions, we're also working on the high-performance GPUs necessary for managing the massive datasets inherent in AI algorithms.

Can we make visualization solutions truly sustainable?

The increasingly pressing quest for sustainability has been on Barco's roadmap for years and we keep sharpening our focus in that field. More than boosting the sustainability of our own operations and that of our solutions, some Barco products – e.g. ClickShare – are also part of the sustainability solution.

Guillaume: "Here too, innovation plays a key role. For now, we're providing increasingly modular, energy-efficient, and circular solutions. In the future we could come up with more disruptive ways. If we were successful in replacing hundreds of projectors in an immersive space with one single unit, that would have a hugely positive impact throughout the value chain."

But that's not all. The main question

is: how can we make optimal use of that data? "If you can't distill insights from data, it's just an avalanche of bits and bytes," says Peru. Barco to the rescue: we have the expertise needed to develop the technology platform that visualizes that data and translates it into knowledge.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

A bright tomorrow: sustainable visualization

02 OUR

From Europe to the US and China: countries worldwide are urging accelerated actions to cut CO2 emissions and drive sustainability. At Barco, we set ambitious targets, report openly about our sustainability results, and team up with our broader ecosystem to deliver impact.

"Businesses are rethinking their position in the new sustainability playing field. And sure, there are many challenges along the way, but we rather think of them as opportunities," says Dries Vanneste, our new sustainability manager. Dries collaborates closely with experts like Jan Daem, Environmental Compliance officer, and Tom Bert, VP Product, cinema, to move the needle on sustainability.

Product sustainability is a transition. It's a stepby-step incremental improvement that we must realize.

Jan Daem Product Compliance Officer

01 BARCO
AT A GLANCE

05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

08 OUR RESULTS

4 key insights distilled from the roundtable discussion on sustainable visualization:

1. Product sustainability is work in progress

02 OUR COMPANY

As a manufacturer of high-end visualization solutions, Barco has been putting product sustainability high on the agenda for years. To measure the environmental footprint of our products, we developed the ecoscoring tool, which considers energy consumption, material use, packaging, and logistics, as well as the product's end of life.

"Our ecoscoring tool is really unique," explains Jan, "at it takes into account the full lifecycle of our products and is fully embededded in new product design. In this way, we help our customers make sustainable choices." In 2023, 65% of our revenue came from products with the Barco ECO label. "We work hard to keep improving that number. Product sustainability is work in progress."

2. Don't think product but ecosystem sustainability

Tom highlights that products are just part of the puzzle: "Visualization products have long been standalone solutions. Today they're networked and software-enabled systems that interact with their environment. And yet we still see how most products are managed separately.

In the future, however, I expect more integration and automation, allowing the visualization system to smartly manage power in rooms and even buildings. That will be a true driver for sustainability."

3. Sustainability is a joint effort

To accelerate sustainability in the AV industry, Barco actively participates in external initiatives that promote sustainability, such as the Science Based Targets initiative. We also play an active role in industry organizations like AVIXA, where we aim to create a common platform to define requirements and set objective measurement criteria.

"Partnerships across the value chain will become increasingly important to advance sustainability efforts and targets in the future," says Dries. More than that, customers and end-users increasingly request our help to measure their sustainability performance and communicate about their efforts.

4. Make sure to include social and governance

While sustainability is often linked to environmental initiatives, it includes social and governance topics as well. Dries: "Barco also has a clear social pillar, where we focus on topics such as diversity and inclusion and talent and career development.

In addition, we notice a clear tendency towards social due diligence across the business chain of activities, which is why why we developed a supplier sustainability program. Social and governance topics are just as important to ensure the bright tomorrow that we at Barco are visioneering."

Towards a circular business model

Jan expects the drive towards sustainability to impact business models. He anticipates more circular business models, where manufacturers rent or lease their product to the customer rather than selling it. In this way, companies like Barco will be able to recover or recycle the resources used in their products in order to shrink the environmental footprint and trim waste."

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

Our visioneers: building a culture of diversity and inclusion – step by step

Barco has a strong set of cultural values. But how do we ensure that they remain relevant and authentic? To leverage our strength as a global and diverse organization, we must continue building a culture of diversity and inclusivity. Alexis Capili, Global HR business partner, and Lien Meuleman, Global HR director talent, leadership and organizational development explain what that means.

To start with: what constitutes a company culture? For Alexis and Lien, this goes beyond a winning corporate strategy: a corporate culture is shaped by everyday interactions and decisions. "For example, can you just walk into the CEO's office and say 'hi An, I have a suggestion?'" Lien explains. "It's these little things that have a big impact."

Achieving a cohesive culture also requires collective effort. "It's as important as strategy, but maybe even more difficult to control, as you cannot impose a culture. Of course, real success happens when strategy and culture are aligned and move in the same direction."

Barco

CORE Report

01 BARCO

02 OUR COMPANY VISION

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

If you want to serve global markets, you need to reflect that diversity internally as well.

Lien Meuleman Global HR director talent, leadership and organizational development

Always evolving and rejuvenating

For Barco, maintaining the authenticity and relevance of cultural values is vital. "We want to keep evolving along with the world around us," says Alexis. "To do so, it's important that we continuously look in the mirror and keep ourselves in check."

In that spirit, Barco initiated a culture rejuvenation project in 2022. "The aim is really to simplify and clarify Barco's values and behaviors. To do this, we have to balance top-down and bottom-up approaches, and engage colleagues from all Barco regions, cultures, and seniority levels to ensure we have a common story."

Diversity and inclusion to foster innovation

When we talk about remaining relevant, you automatically end up talking about diversity and inclusion. Being a diverse and inclusive company has always been important for Barco, but today even more so. And that has everything to do with our renewed focus on innovation.

Lien: "You need an open mind and different perspectives to ensure innovation. Embracing diverse horizons enhances decision-making. In 2022, we moved to a new organizational setup, with end-to-end business units. Suddenly, we became even more globally connected. If you want to serve global markets, you need to reflect that diversity internally as well."

Management enablement

But how do you strengthen diversity and inclusivity in an organization like Barco? One thing is certain: it doesn't happen overnight. "In 2023, we initiated a three-year plan that includes a series of well-defined initiatives to inject diverse and inclusive thinking," explains Lien. "In addition, we defined two very important enablers: growing awareness and 'management enablement'."

To foster the latter, our HR team sets up inclusive leadership training sessions around topics like unconscious bias and microaggressions. "It helps managers and other colleagues to practice what they preach. We plan to cascade these trainings throughout the full organization in the future."

It's the little things!

Alexis and Lien acknowledge that small initiatives are often the most impactful: they resonate most with employees. "That means recognizing and rewarding behaviors that are in line with where we want to go as a company, plus, at the same time, enabling each other to speak up when we witness behaviors that are wrong."

"We're committed to ensuring that every Barco employee experiences an inclusive environment where they can speak up and have impact. That's why we continue to collect human stories within the organization and showcase them for others to nurture learning and change," Alexis concludes. "There's still a way to go, but we'll get there together, step by step."

CORE Report

Barco 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND 07 OUR MARKETS

TECHNOLOGY

08 OUR RESULTS

How digital transformation leverages a bright tomorrow

02 OUR COMPANY

Advanced digitization is the way to go for companies that want to keep up with rapidly changing markets and customer needs. At Barco, we kicked off our digital transformation a while ago. Are we at cruising speed yet? We asked Philippe Verlinde, Chief Digital and Transformation Officer, and Sales Processes and Tools Manager Annelies Traen.

"On a scale of one to ten, I'd say we score 7", says Philippe when we ask him to assess Barco's digital transformation. "We have our foundation in place, but there's still a lot to do. Increasing user adoption is definitely a challenge." Annelies, for her part, praises the progress we're making: "We're definitely moving in the right direction. Appointing change ambassadors, for example, was a smart step to take."

Digital transformation is about driving internal efficiency, improving the customer experience, and enabling new business models.

Philippe Verlinde Chief Digital and Transformation Officer

01 BARCO AT A GLANCE

07 OUR MARKETS

The 3 levels – and drivers – of digital transformation

Digital transformation is a broad topic. Philippe and Annelies narrow the scope to three levels:

1.Boost internal efficiency.

Digital transformation improves the way of working, freeing up time for employees to focus on things that create true long-term value, like innovation, says Philippe: "Look at approval flows, for instance. Instead of waiting for each other's approval, with digitization, several people are invited to approve a document or a process at the same time. That helps to speed things up."

As digital transformation drives efficiency, it also helps cut costs, "which, of course, is often a key driver to boost digital transformation," Philippe admits.

2. Enhance the customer experience.

Digitization means you can offer customer self-service capabilities via a user-friendly portal, empowering customers to track orders and create quotes themselves. Or you can capture customer data to get insights in customers' behavior and needs, leading to personalized customer experiences.

"Improving the quality of products is an important driver for digital transformation," Annelies adds. Here too, data helps to get insights – as a starting point for improvements.

3. Enable new business models

Digitizing our processes will also change the way we do business. "New business models could help us win in new markets," says Philippe. He does, however, admit that Barco is still at the beginning of the learning curve in that area.

08 OUR RESULTS

Integrated report 2023

Digital transformation at Barco

Barco kickstarted its own digital transformation about six years ago. "It began with product platforms," Philippe explains. "As customers were asked to register themselves when they started using our solutions, we could structure customer data. Three years ago, we started linking our IT systems to our product software – an essential new step to improve the customer experience."

"The way we implemented Salesforce is a nice example of what digital transformation can do," Annelies continues. "Barco always develops a minimum viable product and then collects feedback from key users as early in the design or implementation process as possible. That helps us to focus on what users really want and need. So, when we introduced Salesforce, we gathered feedback after a couple of months, enabling us to adapt wherever necessary."

Security by design

What about the cybersecurity risks that come with digitizing and connecting systems? Philippe: "Cybersecurity isn't something you think of at the end of a digitization project. We take it into account from the very beginning. We call that 'security by design'. The more systems you connect, the more assessments are needed from various angles: from testing your individual products to assessing the cloud you're using. That's why we perform penetration tests in most of our projects."

3 trends in digital transformation

Just like Barco, a lot of companies are in the middle of a digital transformation right now. "Digitization is a train in motion you want to be on as a company," says Annelies. In the coming months and years, Annelies and Philippe will help Barco to constantly raise the bar in digitization, taking into account these 3 main trends:

Cloud-first: We're not only connecting products to the cloud, but IT systems as well. That comes with a lot of advantages, but with some concerns too – increasing cybersecurity complexity, for instance.
The growing importance of data. At Barco, we have access to more user data than ever before. That helps us to become a real data-driven company.
AI and machine learning. AI helps us automate processes, for instance. We're still exploring how we can make maximum use of AI and machine learning in our current landscape, but it's clear that both will be crucial in moving our business forward.

Barco

CORE Report

Integrated report 2023

03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

08 OUR RESULTS

07 OUR MARKETS

How we create value

02 OUR

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND

TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Value creation model

Barco's 'Visioneering a bright tomorrow' purpose highlights our belief that truly great engineering starts with a clear vision – a vision of a better, smarter, healthier world.

In other words: at Barco, we are constantly thinking about how we can create value for all our stakeholders in the short, medium and long term. Our value creation model visualizes our approach. It articulates the mission of our company and links it to our strategy and the markets we cover. The horizontal layers represent the six capitals in which we group the respective KPIs.*

* Together these 6 capitals represent stores of value that are the basis of an organization's value creation. See background paper of International Integrated Reporting Council (IIRC).

The capitals and underlying KPIs remained the same in the annual report of 2023 compared to 2022 and aligned with the recommendations of IIRC. Only the KPIs with 'materiality' and 'value driver' properties for Barco were selected for reporting in the value creation model.

Barco

CORE Report

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

MARKETS 08 OUR RESULTS

07 OUR

Financial

01 BARCO

AT A GLANCE

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Manufactured

01 BARCO

AT A GLANCE

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR

Intellectual

* Change in scope of measurement methodology – see Glossary

Integrated report 2023

Barco

CORE Report

02 OUR COMPANY 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

Planet

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR

08 OUR RESULTS

People

Integrated report 2023

Barco

CORE Report

01 BARCO
AT A GLANCE

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Communities

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

04 HOW WE CREATE VALUE

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION 01 BARCO AT A GLANCE 02 OUR COMPANY

03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Navigating today's rapidly changing world

At Barco, our strategy acts as a guiding light: it determines our future path, defining how we play to win in our markets. As today's markets are disruptive and volatile and technology changes at cruising speed, we constantly refine our corporate strategy, look at it through different lenses and incorporate evolutions and trends – while, of course, sticking to our strategic principle of 'setting the industry standard in visualization".

Our three-levered strategy helps us remain relevant in today's rapidly changing world.

Three strategic levers

The Barco strategy comprises three levers: capture profitable and efficient growth, innovate for impact and go for sustainable impact. These are the priorities we want to focus on to remain relevant and flourish in the short-, mid- and long-term. They help us prioritize our business activities.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Lever 1: Capture profitable and efficient growth

Barco has been a global technology leader for decades. We are active in markets with solid foundations, where we offer mission-critical solutions. In order to optimally seize all the market opportunities ahead and further strengthen our leading role in our markets, we are exploiting our strengths to the fullest.

To achieve that aim, we set a number of short- and mid-term strategic objectives:

further finetune our organization into 6 business units (BUs) in order to step up accountability, entrepreneurship, and customer intimacy;
increase operational effectiveness through digital transformation and standardization;
grasp our market potential by broadening our geographic coverage with a focus on China and by developing adjacent markets

Assessment

Overall, we score between 2 and 3 out of 4 on the focus areas that support the 'Capture profitable and efficient growth' lever. We further simplified our organization to boost effectiveness and took key steps in our digital transformation. While the markets in China were soft, we strengthened our manufacturing footprint, preparing our two new production plants there to deliver as soon as the recovery takes off. When it comes to 'developing new market segments', several initiatives have been taken and new products launched, with plenty of potential remaining.

Focus areas	Status	Proof points in 2023
Organizational redesign to enhance customer intimacy, end-to-end accountability and entrepreneurship		• Finetuning simplified organization by embedding marketing in business units • Business unit teams are now fully integrated with sales, marketing, product development and R&D focused, dedicated to end-markets and in close contact with the customer • Cinionic's activities fully acquired by Barco and integrated into the Cinema busi ness unit, leveraging efficiencies • Best performing high-tech company in the Randstad Employer Brand Research
Commercial and operational effectiveness through digital transformation		• One platform strategy with further integration of ERP and major IT applications • Automation and integration of the HR and IT services and communication via the Barco Assist and BarcoHub platforms • Expansion of customer relationship management system with enhanced cus tomer and partner portals
Seize the China opportunity with stronger local presence		• Ramp-up of the Healthcare production plant in Suzhou; transfer of products from European factories nearly completed • Construction of the new Entertainment plant in Wuxi on track, with focus on further automation in manufacturing and logistics
Develop new market segments and expand in healthcare, control rooms, and immersive experience		• Software enablement of Immersive Experience via launch of new Pulse Mobile App and extended features in the Insights Management Suite • Steady expansion in the simulation markets, including new product introduc tions with F-400 range • AI-powered diagnostic displays with DL Precise in the Intuitive Workflow Tools • G-50 set to revolutionize the themed entertainment markets

Lever 2: Innovate for impact

To retain its position as a technology leader, Barco is accelerating its innovation and technology capabilities. While innovating, we always keep in mind that innovation at Barco should deliver impact, i.e. add value for all our stakeholders, including the broader communities in which we operate.

Innovating for impact is about more than mere technology innovation. It includes:

enhancing and extending our product portfolio
increasing the efficiency of our operations with focused factories and a stronger supply chain
constantly looking for new ways to raise the sustainability performance of our products, operations and customers.
creating new business models to strengthen our downstream value chain.

		Assessment

Overall, we score between 2 and 3 out of 4 on the focus areas that support the 'Innovate for Impact' lever. We made substantial progress with the focused factories strategy, driving efficiency and resilience in the supply and production chain. The innovation process and governance were further strengthened and accelerated: R&D is now close to the customer in the business units, while the overarching R&D team focuses on long-term innovation projects. Several new product introductions are in the pipeline for launch in 2024.

	• Further investments in Saronno (Italy) and Kortrijk (Belgium) plants in prepara tion
Strengthen downstream value chain through OPEX business models and channel management	• Delivery of multi-year Cinema-as-a-Service contracts is on track, increasing recurring service revenue for Entertainment • Establishing new AV partnerships with new and extended distribution agree ments
Strengthen supply chain, reducing component dependency through redesign and bringing critical components in-house	• Reduction of dependency on critical components (semi-conductor and other) through new product introductions and product redesigns that allow for more flexibility to change components during the product's lifecycle • Insourcing production of critical subassemblies
Rebalance R&D investment portfolio	• 12.6% of revenue is spent on R&D, with more focus on breakthrough innovations • Strengthened patent management with 16 new patent filings and holding 902 patents at year-end 2023 (change in scope of measurement methodology versus previous year – see Glossary) • Licensing of patents with external partners creates additional revenue models
Develop adjacencies and new solutions based on core technol ogies	• Launch of Barco CTRL for control rooms, with market-leading 'Security by design' • HDR Lightsteering, for the next-gen laser cinema projector piloted and show cased to industry professionals and cinema community • Redefining the standard for Diagnostic Imaging, with a new series of Nio displays • Broadening Cinema with the flagship Nerthus platform for high-end home theaters
Enhance ROI in innovation combining entrepreneurship and financial discipline	• R&D management consolidated in the business units, close to the customer • Barco Labs overlooks overarching R&D projects and themes • Strengthened innovation governance, led by CEO An Steegen, with frequent innovation boards and fast-fail principles

Lever 3: Go for sustainable impact

Barco has been and remains a sustainability frontrunner in the tech industry. When first deciding how to execute our strategy, we chose to operate with respect for the planet, our people and the local communities. Year after year, that commitment has become more deeply embedded in our corporate DNA.

To retain our leadership position, we keep

refining and strengthening our sustainability governance and organization
reinforcing our sustainability strategy
improving the sustainability performance of our operations and our products

Overall, we score 3 out of 4 in the field of 'Go for Sustainable Impact'. Barco is well positioned among the top-performing companies in its industry in the field of sustainability. This is consistently recognized by external rating agencies. In 2023, we kept strengthening our governance and organization and reinforcing our sustainability strategy. Improving our sustainability performance remains an ongoing commitment in

Strengthen governance and organization • Strong ESG governance, under the leadership of CEO An Steegen as chair of the executive sustainability steerco, with workstream leads for all highly material topics Reinforce our sustainability strategy • ClickShare Conference CX-50 2nd generation is one of the first carbon-neutral wireless conferencing solutions on the market • Barco's wind turbine project gets permit, in last straight line for realization (pending on further appeal) • Further electrification of the company car fleet (+50% of fleet) and doubling the number of charging points at HQ (206) • Continued shift from air to sea transport (47% of the total transported distance) Improve our sustainability performance in the fields of planet, people and communities • Important progress against our main sustainability targets in 2023: - Greenhouse Gas emissions from own operations at -54% versus 2015 - 65% of total revenues and 90% of new product introductions are ecolabeled • Acknowledgements for increased transparency and improved performance: - Barco included in the BEL ESG Stock Market Index and recognized for its sustainability-driven business - ESG ratings and external evaluations consistently scoring in top 20% among Electronics Industry Sector peers - Philips Supplier Award for Sustainability honors Barco's sustainability efforts - Barco honored at NAB Show Excellence in Sustainability Awards

Assessment

Barco

CORE Report

everything we do at Barco.

Sustained profitable growth // Financial resilience

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Shaping our strategy

Change is the only constant in today's world. From the pandemic, economic instability and geopolitical tensions to the accelerating climate crisis: they all impact our business at Barco. So, no matter how hard we believe in our company strategy, we understand the need for agility and resilience.

To ensure that our strategy remains anchored in the realities of our business and the rapidly changing world around us, we constantly question, fine-tune and even reimage it. In the boardroom as well as in our business units, we all monitor relevant market trends, keep track of evolutions in the material topics and closely follow up on the risks that could affect our business.

rate strategy.

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR 08 OUR RESULTS

» Explore our approach and the results of our double materiality assessment

Materiality

Continuous monitoring of material issues is critical to staying on top of emerging risks and opportunities. In 2020, Barco launched its first materiality assessment to understand what topics matter most to its businesses and stakeholders. We kept focusing our attention on the topics that our stakeholders defined as 'material' in that assessment until the end of 2023 – when we conducted a double materiality assessment.

In the table, we link the highly material topics to the six UN SDGs that best fit our materiality matrix and our own corpo-

Stepping up our sustainability efforts: double materiality In 2023, we conducted a double materiality assessment in line with the upcoming Corporate Sustainability Reporting Directive (CSRD). Based on input from internal as well as external stra-

• the potential and actual positive or negative impacts of Barco on people and the environment (inside out). • the risks and opportunities that have or may have financial

The first results of this double materiality assessment are shared in our report on People, Planet and Communities. They will be further translated into Barco's value creation model (6 capitals) and help us shape the agenda and targets for our revamped sustainability strategy which we'll reveal in the 2024

Linking our materiality matrix to the UN SDGs

tegic stakeholders, we identified and prioritized

effects on Barco (outside-in).

integrated report. » Read all about our materiality assessment, the UN SDGs and our stakeholder engagement on our corporate website

05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Risks

Within the context of its business operations, Barco is exposed to a wide variety of risks that can affect its ability to achieve its objectives and to execute its strategy successfully. To anticipate, identify, prioritize, manage and monitor the risks that impact its organization, we put a sound risk management and control system into place, which is actively supported by the Board of directors.

Risk management process

Risk management is firmly embedded into our processes, at all levels. For every key management, assurance and supporting process, Barco has a systematic risk management approach that consists of five steps: identification, analysis, evaluation, response and monitoring.

2023: main risks

Every year in the fourth quarter, Barco performs a company-wide risk assessment and compliance gap analysis. In 2023, the risk universe was revised and split into 4 domains: Corporate risks and Environment, Social and Governance (ESG).

» Read more on Barco's risk management

	Risk	Trend	Strategic lever
1	Innovation, new technologies & product portfolio	1 » 1	• Innovate for impact • Capture profitable and efficient growth
2	Customer experience	New: 2	• Innovate for impact • Capture profitable and efficient growth
3	Product quality & safety	4 » 3	• Innovate for impact • Capture profitable and efficient growth
4	Talent & career development	3 » 4	• Capture profitable and efficient growth • Go for sustainable impact
5	Macroeconomic & geopolitics risk	5 » 5	• Capture profitable and efficient growth
6	Responsible & resilient supply chains	2 » 6	• Capture profitable and efficient growth • Go for sustainable impact

Barco

CORE Report

01 BARCO AT A GLANCE

Barco

CORE Report

Integrated report 2023

02 OUR COMPANY

03 OUR VISION 04 HOW WE

CREATE VALUE

05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Innovation and technology

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

Visioneering a bright tomorrow

Innovation has always been the lifeblood of Barco. Ever since our company was founded back in 1934, we have been pioneers. While displays and visualization hardware were our initial focus, we now innovate in the entire visual chain, from acquisition through to the display of images, adding all the capabilities that help bring the image to the screen.

Of course, innovation is an ongoing journey. In order to keep up with – or rather anticipate – the rapidly evolving market and technology trends we consistently invest more than 11% of our turnover in R&D. In recent years, we have been strengthening and streamlining our innovation approach, and accelerating our innovation efforts, with more focus on breakthrough, disruptive solutions – primarily for our core and adjacent markets, but also in entirely new domains.

Still, no matter how passionate we are about technology and innovation, we never lose sight of our purpose to visioneer a bright tomorrow. To make sure that every Barco solution adds value for our customers and society as a whole, our innovation roadmap is enriched with feedback from our ecosystem and market trends. 5 clear foundation pillars guide us in each and every technology and innovation effort.

The Barco quality label

Important to note: our innovative and entrepreneurial drive never compromises Barco's legacy of excellence. We retain a disciplined approach to innovation, with a dedicated budget, and exceptional product performance. Quality, security, stewardship, and sustainability are woven into the DNA of our solution design processes. Our new focused factories approach keep us on track in delivering all these exceptional qualities, while maximizing efficiency. After all, visioneering a bright tomorrow means not only innovation, but also ensuring that Barco stands strong economically for the long haul.

05 SHAPING OUR STRATEG Y 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS

08 OUR RESULTS

Our innovation approach

Successful innovation creates both value for the customer and true business benefit. To ensure that our ideas are tightly connected to our strategy and purpose, and can be turned into revenue growth potential, we adopt a disciplined approach to innovation:

Balancing start-up dynamics with fast-fail principles
Focus on early customer involvement
Governance: disciplined management with dedicated budget 2. SEED FUNDING GATE

Doing disruptive things always involves having a leap of faith in key moments, that is the essence of true innovation.

Peru Dharani Senior VP Research

Doubling down on patent management

Over the past few years, Barco has been strength ening its IP management and refocusing its strategy. We educated employees on the importance of IP and the R&D teams fully incorporated IP in their innovation processes. Patentability is checked early on in the new product development cycle, more patents are filed, and professional IP infringement checks are introduced.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR 08 OUR RESULTS

» Barco product in the pipe: 3D visualization in healthcare

5 foundation pillars in our innovation roadmap

Innovation doesn't happen in a vacuum. The first step is understanding the world around you, both at your customers and beyond. At Barco, we continuously scan the horizon for changes in markets and technologies. These 5 technology themes inspire and impact our innovation roadmap.

Barco

Integrated report 2023

TREND #1 The changing paradigm of visualization

For decades, visualization has been static and one-directional, with viewers controlling the screen content. That is now changing: we are transitioning to a dynamic, bi-directional era, as viewers and screens start interacting with one another. On a further horizon, we expect visualization to become a symbiotic experience. Any surface will have the potential to turn into an evasive and ubiquitous display, extending the user interface beyond the physical boundaries of the devices we know today, and thus fusing digital and physical worlds.

08 OUR RESULTS

TREND #2 The data explosion

In its 90-year history, Barco has experienced the shift from analog, digital, and connected data to AI and deep tech. Each step generated even more data. Now that the amount of digital data is exploding, are we lost in a digital avalanche? While data is one of the most critical assets for organizations, they are struggling to collect and store data, and turn it in into actionable knowledge. A smart visualization platform is the most powerful way to deal with exponential data and make it meaningful.

» Discover how Barco CTRL software gives » full control over information flows

Data: an invaluable tool to deliver stellar products and services

Experience, expertise and a relentless drive for innovation have helped Barco consolidate its role as a technology leader for decades. Yet, we're increasingly playing an extra trump card: data. Mathieu Dobbeleir and Jan van Houtte, heads of the Large Video Walls and the ClickShare product teams, respectively, explain.

Collecting vast data from diverse sources

Jan: "The ClickShare base units and user laptops increasingly connect to networks. This way, we can gather data that sheds a light on product usage and user behavior."

In addition, the team gains insights from the registration of ClickShare devices and star ratings – in a GDPR-compliant way, of course. Jan: "Thanks to the registration process, we get a view on the lifecycle of our presentation and conferencing systems. These insights and the feedback from the star ratings from ClickShare users help us analyze the performance of our products, improve it and set the right development priorities."

Useful registration procedure

While Mathieu's team has less access to data from their control room solutions, as these are not cloud-based, they also gather insights from the registration procedure: "Moreover, our customers can view technical information like fan speeds, the temperature of critical components, CPU loads and/or error messages which they can use to prevent failures and enhance their uptime."

The data-driven approach helps us optimize our products and services to meet our customers needs.

Jan van Houtte Head of Product for ClickShare

Products and services that meet real needs

To aggregate all that data and act on it, the engineering teams use a dedicated product management tool. The tool centralizes structured as well as unstructured data, from a multitude of sources, including customer feedback or emails from the sales reps. Based on that data, it helps them organize product ideas, take product design decisions, like choosing what features or improvements to prioritize, build roadmaps, track progress and more.

"The data-driven approach is a win-win," Jan concludes.

08 OUR RESULTS

TREND #3 Real-time compute and AI

As advanced applications, demanding content (3D, 8K, HDR, …), and AI all require ever more real-time computational power, the world needs new platforms capable of processing and visualizing the vast data volumes accurately and with minimal delay. Barco prioritizes image processing, working on image inputs in real time to elevate their quality to HDR standards. By combining Graphics Processing Units (GPUs) and Central Processing Units (CPUs) our advanced platforms support massive workloads – from performing complex calculations to rendering high-res images and animations efficiently.

» Read how AI technology helps radiologists visualize dense » breast tissue

How we're enriching Diagnostic Imaging with AI

AI-driven solutions took center stage at the 2023 RSNA radiology trade show. At the Barco booth, we revealed our recent partnership with US-based DeepLook Medical, which offers a robust AI tool to help clinicians better evaluate dense breasts. Inge Haesaerts, VP Product & Solutions Diagnostic Imaging, explains.

Unique AI-based visualization

DL Precise™, the flagship product of DeepLook Medical, is an AI-based visualization tool based on a shape recognition algorithm. "The software is able to 'see through' dense breast tissue," says Inge. "That makes it unique. In traditional mammograms, both dense breast tissue and cancer show up as white, making it hard for radiologists to detect cancer in women with dense breasts."

How does it work?

Inge explains how DL Precise™ exactly works: "Radiologists can choose an area of interest on the image, click and delve deeper to see more detail. The tool will then segment those regions, augment them with a colored density map and calculate the morphology of the suspicious areas. Since cancerous masses have a higher density than dense breast tissue, they will show up as a different color on the image, making them easily identifiable."

Supporting decision-making

The tool perfectly fits Barco's Diagnostic Imaging portfolio of displays and workflow tools. Inge: "Just like SpotView enhances the luminance and contrast in images, DL Precise™ visualizes hidden data in dense breast tissue. In this way, it assists radiologists as they make patient management decisions. While AI-driven solutions from our partners help in the interpretation of exams, visualization remains our core business."

DL Precise™ helps radiologists to deliver better patient outcomes, while it eases their workflows too. That makes it a perfect add-on to our Diagnostic Imaging offering.

Inge Haesaerts VP Product & Solutions Diagnostic Imaging

Plug-in application

Barco offers DL Precise™ as a plug-in application that is available in a licensing model. It can be easily installed on radiologists' workstations, leveraging our QAWeb Enterprise platform. Patented, it is currently FDA-cleared and available in the US, yet Inge is looking forward to certification in other regions.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 08 OUR RESULTS

TREND #4 Raising the bar on image quality

Enhancing image quality remains key in every Barco business unit. While we've been delivering clear, bright images in healthcare, enterprises, and entertainment for ages, the quest to constantly raise the bar continues. More than traditional parameters like contrast, color accuracy, and brightness, we also consider noise behavior and perception models to understand how people perceive our images. Based on these insights we keep improving the image quality of our solutions and develop new services.

» How our digital pathology displays ensure ultimate » slide to eye confidence

HDR Lightsteering: "This is the new cinema"

When it comes to raising the bar on image quality, our cinema business unit sure knows the ropes. The team is about to launch the HDR Lightsteering technology that's been turning heads at film festivals and showcases throughout 2022 and 2023. Anders Ballestad, Innovation Strategy Director for Cinema, reveals the secrects to the exceptional realism the revolutionizing technology brings.

Rethinking cinema projection

Anders founded MTT Innovation in 2012, together with Gerwin Damberg, our EVP Cinema. That's where they invented the groundbreaking HDR Lightsteering technology.

"While conventional projectors create images by blocking the source light, HDR Lightsteering redistributes the source light and redirects it to the appropriate areas of the content," he explains. "In this way, it utilizes 100% of the light. This leads to 6 times brighter highlights than currently possible and much deeper black levels, creating sharper, more realistic images than 3D."

The global cinema community unanimously agrees: exhibitors, directors and creatives who have seen HDR Lightsteering at work are in awe and admit they'd never seen this image quality on a large screen before.

Target: every cinema around the globe

Barco will launch HDR Lightsteering worldwide in 2024, targeting premium cinema screens first. Anders: "The technology fits within the trend of premium cinema but could be applied to every movie theater," he says. By collaborating closely with studios and creatives, Anders wants to showcase the technology's immersive storytelling potential and help them understand how it will change content production for the better. "This will benefit exhibitors, studios and moviegoers alike."

Eventually HDR Lightsteering will be applicable in every movie theater. The future of cinema is HDR.

Anders Ballestad Innovation Strategy Director, Cinema

This amplifies the emotions

Tom Bert, VP Product Cinema, echoes the sentiment in a recent post on LinkedIn: "When a movie director says 'this amplifies the emotions in my movie', there is no better way to compliment our HDR Lightsteering technology."

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR 08 OUR RESULTS

» A sustainable cinema laser projector? Look no further!

TREND #5 Sustainability and impact

Barco takes sustainability into account in the earliest phases of its innovation and design processes. Before our R&D teams conceptualize a prototype, they estimate the impact of the materials, its energy consumption, packaging, shipping, etc., so that they can still adjust the design if needed. More than reducing our negative impact, sustainability is also part of our value proposition. Laser projectors, for example, consume 50% less energy than classic lamp-based projectors. ClickShare, for its part, facilitates hybrid meetings, which reduces the need for business travel.

CORE Report

Innovating our manufacturing capabilities

In 2022, Barco initiated its ambitious focused factories program, investing 80+ million euro between 2023 and 2026 in its manufacturing capabilities. Impressive progress was made in 2023 and that's just the beginning.

The first step in the focused factories strategy involved centralizing our healthcare manufacturing and repair activities in Suzhou (China) and Saronno (Italy). Rob Jonckheere, VP Operations, explains: "The transition was smooth, most activities have been transferred and by April 2024, Healthcare production and repair in Kortrijk will cease. In addition, we insourced the manufacturing of our Image Processing devices and we now also manufacture Xcite, our creative screen solutions, on the Kortrijk campus. In the meantime, our new, highly automated Wuxi factory is almost ready for the production of projectors."

Move beyond basic assembly

More than relocating and insourcing manufacturing activities, Barco also aims to automate its manufacturing, test and alignment processes as well as the intra logistics processes to boost quality, efficiency and value. "In Suzhou, a fully automated glass-bonding line for Healthcare will be ready by Q2 2024," Rob explains. "In Wuxi, we will implement fully automated workcells which are connected to an automated warehouse via Automated Mobile Robots and Automated Guided Vehicles. Last but not least, our Kortrijk production unit now boasts automated laser driver assembly cells. These ensure the accuracy and quality that manual processes simply cannot guarantee for certain components. "

As a next step, Rob and his team will focus on the European manufacturing plants: "We are planning a new manufacturing site for Healthcare in Saronno and want to integrate all Kuurne activities onto the Kortrijk campus."

The increased insourcing and automation ensure efficiency as well as consistent quality. Moreover, complex components can simply not be made manually.

Rob Jonckheere EVP Global Operations

And that's just the beginning

The first positive outcomes? Automation allows us to build high-precision laser assemblies. By insourcing activities, we managed to reduce supply chain risks, improve the manufacturing efficiency and focus on value creation. In addition, component shortages declined while logistic costs normalized. In the future, we anticipate further benefits from the value engineering efforts.

On a sidenote, Rob stresses that every factory in China has a mirror factory outside China to make sure Barco can address specific customer requests and potential geopolitical challenges – while still benefitting from the focused factories setup.

And what about the people? All the changes were supported by a people track to minimize the impact on the employees, Rob emphasizes: "Adapting to change is never easy. That's why we communicated openly about our plans and provided support and training to help everyone in transitioning to a new role."

A quick recap: 5 benefits of focused factories

What?

While conventional plants often mix many manufacturing processes and even serve different business lines, a focused factory manufactures a limited set of products, for a particular business unit.

5 benefits

Focused factories help us to:

1. simplify the Barco organization and production processes
2. 2.speed up decision making and efficiency
3. 3.improve product quality
4. 4.enable product and process innovation
5. 5.move up within the value chain and limit our supply chain risks.

All-in-all, the implementation of the focused factory strategy will increase our competitiveness and reduce the supply chain risks.

Rob Jonckheere EVP Global Operations

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Our markets

Integrated report 2023

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS

08 OUR

Three healthy markets, three divisions

At Barco, we visioneer a bright tomorrow in many Healthcare different ways, amongst others via our marketleading technology. Centered around top-notch imaging capabilities, our technology helps our customers to make a visible impact, creating experiences, generating insights and ensuring connectedness in three healthy markets: Healthcare, Entertainment and Enterprise.

Our presence in these three markets goes back many years and our deep-rooted expertise and experience puts us in pole position in all three markets. We work hard to keep consolidating that leadership position, by offering innovative, high-quality and increasingly truly sustainable solutions that create value and meet – or rather: exceed – the expectations of our customers and end-users.

Three divisions, six business units

We serve our markets through three divisions, which are split into two business units each. Each business unit is fully empowered to execute strategic priorities.

Entertainment

Enterprise

Barco

CORE Report

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Customer engagement

Across markets, divisions and business units, whether in Belgium, the US or China: Barco always goes the extra mile to meet its customers' requirements. And yet, we realize that customer demands are changing and that it is more important than ever to engage with our customers, exchange ideas with them and put them at the very heart of what we do.

Taking customer satisfaction to new heights

The key to delivering an outstanding customer experience is understanding the customer. The more 'connected' we are to our customers' lives and ecosystems, the better we know what they want and need. That's why all Barco employees seize every opportunity to intensify their connections with our clients, share insights and discuss trends – in order to keep driving customer satisfaction to new heights.

Customer insights with impact

Customer insights are not just about collecting feedback but also about actively responding to customers, implementing meaningful changes, and integrating customer insghts into our daily operations. In 2023, we focused on 'Driving transformation for the customer'. By incorporating new outside-in-listening perspectives in different stages of the customer journey, we get a real-time, 360° view of customer experience levels, making it easy to link feedback to the right owners, initiate prompt actions, and pinpoint areas for improvement.

Highest customer recommendation score ever

In 2023, Barco achieved its highest full-year Net Promotor Score (NPS) ever. Enhanced after-sales support and an improved supply chain contributed to this success. More than that, our customers praise Barco's service and product quality and applaud our employees for their friendly and helpful approach and their skilled professionalism.

CORE Report

Barco

01 BARCO AT A GLANCE

03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

08 OUR RESULTS

07 OUR

Healthcare

Enabling better healthcare outcomes for more people

Barco connects healthcare professionals at almost every patient touchpoint. From the imaging room to radiology, during specialist consultations and in the surgical suite: our solutions and services help medical professionals to enable better health outcomes and work more efficiently in an increasingly complex healthcare environment.

The Healthcare division comprises two business units: Diagnostic Imaging and Surgical & Modality.

Barco Healthcare: quick facts

+30 years of experience, recognized market and technology leader
Trusted brand, providing solutions and services that healthcare professionals can rely on with top-notch product quality
Focused on clinical outcomes, beyond product features and specs
Large installed base: 800k+ installations since start

50% Diagnostic Imaging

50% Surgical &

Integrated report 2023

01 BARCO AT A GLANCE

and optimize workflows.

05 SHAPING OUR STRATEGY

3.Our population ages, while the number of radiologists declines. To relieve pressure on radiologists, hospitals purchase diagnostic display solutions that boost productivity

4.The hospital market is consolidating. As large hospital groups seek to reap economies of scale, they require standardized tools, high-quality medical equipment with a low total cost of ownership, and top-notch support services.

08 OUR RESULTS

Healthcare division - Diagnostic Imaging

"Thrilled about the opportunities ahead."

Dirk Feyants came to the helm of the Diagnostic Imaging business unit in mid-2023. While business was more challenging in 2023 than in record year 2022, Dirk and his team are thrilled with the opportunities ahead.

Fully aligned with market trends

"The challenges we faced in 2023 were temporary setbacks," Dirk asserts, emphasizing the focus on the future. "The future is exciting, as our solutions fully cater to current market demands:

1. Pathology becomes dig-

ital – and we have all it takes to gain a substantial market share in this emerging market: Barco was the first to offer a regulatory-cleared pathology display and we have strong partnerships in the market.

2.With home reading on the rise, many radiologists choose high-quality diagnostic displays that

combine image quality, performance, and security with collaboration

capabilities.

We have some exciting innovations that are ready for launch in 2024. Combining these with our existing offering and our expertise, we are more than ready to address new trends in the healthcare market.

Healthcare qualit y standards have become paramount, across the globe. In line with this trend, we expect demand for our high-quality solutions and quality assurance tools to grow further.

"The new solutions that we have in the pipeline for 2024 will meet all the above needs and we are exploring many more possibilities to innovate in the healthcare field, like 3D holography. 2024 will be a big year," Dirk concludes.in 2024. Combining these with our existing offering and our expertise, we are more than ready to address new trends in the healthcare market."

Diagnostic Imaging offers an extensive line-up of high-precision medical display systems for disciplines including radiology, mammography, dentistry, pathology, and clinical review imaging, plus a full suite of support services.

Boosting productivity and quality with AI

AI is quickly conquering the healthcare sector. More than driving the efficiency the sector needs, it helps improve health outcomes too. The DL Precise™ tool that we added to our workflow tools in 2023 is a perfect example. "To strengthen our offering, we are building an AI ecosystem," says Dirk, "with existing OEMs and partners as well as small, innovative new players in the field."

05 SHAPING OUR STRATEGY

08 OUR RESULTS

Healthcare division - Surgical & Modality

"The pace of digital transformation is startling – and we're ready"

Our Surgical & Modality team has been riding the wave of digital operating rooms for several years now. EVP Johan Fornier is happy to see how the rate of adoption is accelerating. "The pace of digital transformation in healthcare is startling and will only get faster. That's great news for our business."

"Admitted, sales in 2023 were lower than the year before, when they reached a record-high level. Yet, the decline was driven by one-off events, partly due to outstanding inventories, which caused delays for new platforms," Johan begins. Just like the Diagnostic Imaging business unit, Johan and his team fully focus on the opportunities ahead.

Wanted: enhanced visualization and connectivity

He explains: "Digital operating rooms increasingly complement high-quality imaging technology and software with complex new technologies, like surgical navigation and robotic surgery. Achieving that high level of digitization and integration requires enhanced visualization and connectivity, which is what we deliver."

In addition, the Surgical team is getting ready for the AI explosion, he continues: "By giving real-time guidance to surgeons, AI will boost productivity and healthcare quality. While adoption is still in its early stages, we expect that to change soon. So, we're preparing our Nexxis portfolio for the coming wave of AI applications."

To achieve the high level of digitization and integration required in digital operating rooms, enhanced visualization and connectivity is a must. That is exactly what we deliver.

Johan Fornier EVP Surgical & Modality

Last but not least, remote surgical collaboration holds big potential: "Surgeons appreciate the ability to consult peers, train their students, or showcase their procedures during live surgery. With NexxisLive, we cater to that trend."

Step-up in sustainability

Johan also highlights his team's progress in the field of sustainability: "While it's a challenge to reconcile exceptional image quality and protection with sustainability, we've taken great steps forwards. The Philips supplier award that we received in 2023 was a real boost for the team."

Surgical & Modality brings together two activities with great synergistic potential, as they target the same end-customers (often operating rooms) and, thus, require the same go-to-market strategy. More than surgical displays, the offering of this business unit includes our digital operating room portfolio (based on video-over-IP-technology), as well as custom medical displays for modality imaging, plus a full suite of support services.

Robotic surgery, with the help of Barco technology

Surgeons welcome robots in the operating room, as they enable greater visualization, precision, and comfort, while offering better health outcomes for patients. "Technologies like surgical robotics, navigation, and AI are shifting the video ecosystem in operating rooms, from content generation to output. Based on our expertise, we can help drive innovation in the field," says Johan.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR 08 OUR RESULTS

Enterprise

Engaging you to unleash the power of knowledge and emotions

Every Barco enterprise solution is designed to help people collaborate better by ensuring engaging experiences. From boardrooms and workplaces to control rooms and classrooms: all our solutions help people unleash the power of knowledge, insights and emotions – for brighter ideas, stronger collaboration and, ultimately, better results.

The Enterprise division comprises two business units: Meeting Experience and Large Video Walls.

Market and technology leader in wireless presentation and conferencing
Long-standing reputation in control rooms, with increased focus on software and workflow solutions
Wide portfolio, for every meeting and control room
Large installed base: 1.2 mio ClickShare meeting room installations, 15k+ control rooms

05 SHAPING OUR STRATEGY

08 OUR RESULTS

Enterprise division - Meeting Experience

"Our one objective: to connect people and technology in the best possible way"

At the time you're reading this annual report, the Meeting Experience (MX) business unit has already launched its first newcomer of 2024: the ClickShare Bar. And that's just the beginning, says EVP Stijn Henderickx. "ClickShare is an amazing solution that we'll keep building on to truly connect people and technology."

2023 was the year when companies realized employees wouldn't return to the office full time. "Of course, that impacted our results," Stijn admits. "Still, ClickShare's market share rose and it has a great future ahead. As companies are transforming their workplace, we can help them offer outstanding hybrid meeting experiences."

Versatility, flexibility and security

"Clickshare strengthened its position as a leader in wireless collaboration and is the most versatile solution in the Bring Your Own Device market," says Stijn. "It enables meeting participants from in- and outside the company to use their own device and connect with utmost flexibility and security.

Thinking out of the box

While focusing on expanding ClickShare's success, Stijn and his team also think beyond wireless presentation and conferencing: "Our purpose and objective go beyond the ClickShare product range. We want to connect people and technology in the best possible way. So, we're thinking out of the box, exploring any solution that ensures an exceptional meeting room experience. The market applauds that strategy and we're proud of our first achievements in that field. The ClickShare Conference CX-50 2nd generation, for example,

We keep updating our ClickShare solutions, but we also look beyond wireless presentation and conferencing. We're thinking out of the box, exploring any solutions that connects people and technology in the best possible way.

Stijn Henderickx EVP Meeting Experience

allows automatic switching from the fixed room solution to other devices in seconds. The new ClickShare video bar integrates audio and video capabilities into one powerful device. And that's only the beginning. What we're doing here is cutting-edge innovation, with a supermotivated team. It's great to see that paying off.

The Meeting Experience business unit has been playing a game-changing role in the development of today's connected office and meeting room environment. The ClickShare wireless presentation and conferencing tool contributes to meeting equity among all participants of hybrid meetings – and the team is committed to keep developing innovative solutions to connect people and technology.

Leading the way towards a green future

When it comes to sustainability, the MX team absolutely walks the talk. ClickShare CX-50 2nd generation is one of the first carbon-neutral wireless conferencing solutions on the market: Barco has significantly reduced the CO2 emissions throughout the product lifecycle – energy use, use of material, packaging & logistics, and end of life – and the remaining amount of CO2 is offset to guarantee a real climate action.

» Read more

01 BARCO AT A GLANCE

06 INNOVATION AND TECHNOLOGY

Enterprise division - Large Video Walls

"Shifting our focus to software to shape the control room of the future"

Barco has been sharpening its software capabilities for several years now. 2023 was a milestone year in that respect for the Large Video Walls business unit. They announced a whole new business strategy, transforming their business to focus on operator workflow solutions. EVP Tom Sys explains.

"As our business unit been struggling to ensure sustainable profitability for several years, we did a strategic review in 2023," says Tom. "As a result, we decided to concentrate on the control room market, leveraging our expertise and 30 years' experience. In addition, we found that improving the operator workflow is key to meet the changing market dynamics. So, software-based solutions will become increasingly important in our portfolio."

Focus on control rooms and operator workflow solutions

2023 was a year of transformation that ran along three axes:

1. Focus on control rooms, with a portfolio that meets market needs and boosts profitability in targeted verticals.
2.Rebalancing the R&D investments towards software and workflow solutions, while still optimizing and updating the rear-projection, LCD, and LED display portfolios.
3.Future-proofing our organization by aligning it with integrated sales and marketing activities and a service model that focuses on software and workflows.

Barco CTRL: the golden entry ticket

"The CTRL software platform that we launched in 2023 is a game changer in the control room market," Tom continues. "It simplifies workflows, deployment and serviceability and ensures a secure connection to any source, from any location. The first feedback is absolutely positive, which energizes the team. A transformation is never easy: it requires a new mindset, skills, and capabilities. I'm very proud that we pulled it off. Looking forward, we will build on Barco CRTL to further enhance operator workflows in a growing partner ecosystem.

The positive feedback on Barco CTRL testifies to our dedication and confirms that we've taken the right path. We're ready to explore many more opportunities to improve operator workflows.

Tom Sys EVP Large Video Walls Large Video Walls offers a package of solutions to help control room operators view better, share faster, and resolve quicker – and make well-informed decisions: video walls, video wall controllers, control room software, and a full suite of support services. Software takes an ever increasing role in our offering.

What does an operatorcentric solution look like?

In 2023, Barco asked over 1,000 control room professionals worldwide about their working conditions and needs, and summarized the findings in 'Barco's Global Room Report'. The report shows that operators

1. struggle to manage the overload of data from multiple sources;
1. are concerned about cybersecurity;
1. are looking for ways to collaborate remotely and share data anywhere, anytime.

These insights were used as a starting point for the new operator workflow offerings.

» Dive into the findings

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR

» Explore Barco Residential

Entertainment

No Barco, no show

At Barco Entertainment we bring experiences to life. Because we believe in the power of images to amplify great ideas. For everyone and anywhere on this planet. This belief drives our passion every day to continuously design the highest performing, most innovative, most reliable immersive experience and cinema solutions. Enabling our partners and customers to create and deliver their visual miracles. To everyone. Everywhere. All the time.

The Entertainment division comprises two business units: Cinema and Immersive Experience.

Barco Entertainment: quick facts

and technology leader

brand

01 BARCO AT A GLANCE

05 SHAPING OUR STRATEGY

08 OUR RESULTS

Entertainment division - Cinema

"Cinema is alive, kicking and evolving and Barco is driving this change"

"Since the inception of cinema in 1895, every few years, critics have proclaimed the medium to be dying. They've always been wrong," says EVP Gerwin Damberg. "2023 again provided proof that cinema is alive and kicking. Of course, it is evolving and Barco is driving this change." Gerwin explains how the market bounced back after three tough years and how his team plans to further strengthen Barco's foothold.

shorter decision lines, and tighter bonds with the cinema community: Barco worked hard to get the Cinema business back in shape after the pandemic. With success: 2023 witnessed significant top- and bottom-line growth, and an improved worldwide box office (excluding China).

A simpler organization,

Retrofit, new solutions and financing

Gerwin hopes that the momentum will continue: "As the box office grows, exhibitors look for new ways to enhance the moviegoing experience. We help with retrofit laser projectors or new laser solutions. Plus,

Barco helps exhibitors deliver an outstanding moviegoing experience. In addition, we can simplify workflows in the booth or help producers, content creators or colorists deliver the best possible cinematic storytelling.

Gerwin Damberg EVP Cinema

customers increasingly rely on our Cinema-as-a-Service program, whereby we offer full-service financing solutions. This business model has become both popular and profitable."

Winning the heart of the cinema ecosystem

In the next years, the Barco Cinema team will target adjacent markets too. "Software-based solutions, like remote servicing or predictive maintenance, can simplify operations. We can also help in areas like distribution, post-production, and content creation." To capture the hearts of this wider cinema ecosystem, Barco's Hollywood presence was key

in 2023, with technology showcases, trainings, etc. "There's much enthusiasm about how we can develop the cinema of the future, together, for example with HDR Lightsteering ."

Efficiency and agility

To reap every opportunity, Barco re-integrated Cinionic in its business in early 2024. Gerwin: "The reasons to found Cinionic made perfect sense, and the team did an amazing job. Yet, the market has evolved. Joining forces will boost our agility and efficiency and bring us closer to our customers."

Barco Cinema offers the industry's most complete range of cinema technology, including cutting-edge laser projectors, next-gen HDR projectors and media servers to enable managed services. To drive sales effectiveness and customer intimacy, Barco fully integrated Cinionic, which had been marketing Barco's cinema solutions in its global markets outside of China, at the end of 2023.

Big names choose Barco Residential

From the world's most famous directors and actors to big sports stars: they all choose Barco Residential's high-end projectors for their private theaters, media rooms, and outdoor spaces. "In 2023, we built a killer team and elevated our marketing efforts to uphold our name. It's thrilling to see how Barco is considered the best solution for these premium settings," says Gerwin.

CORE Report

Barco

Entertainment division - Immersive Experience

"Expanding our projection solutions to any screen"

"Projection is often conceived as a conventional business. But not at all," Ta Loong Gan, EVP Immersive Experience begins. "The opportunities are enormous. LED, for example, can never deliver the immersive experience that projection does. And it's far less sustainable. So, we're on a mission to expand our high- and mid-end projection solutions to any screen, beyond our traditional rental and events markets: from opera houses, theme parks, museums, and houses of worship through to companies."

Sales transformation

To outperform the market, the Immersive Experience team also kicked off a sales transformation. "We're strengthening our commercial excellence and service capabilities and reviewing our go-to-market strategy," Ta Loong explains. "System integrators can help us reinforce our foothold in simulation, theme parks, etc. and by driving sales via key and customer accounts, we get closer to our end-users. That's the ultimate way to

understand their pain points and provide them with the best possible immersive experiences."

Our Immersive Experience business unit offers solutions tailored to the specific needs of large venues, live events, projection mapping, themed entertainment (such as museums and theme parks) and simulation applications: projection, image processing and a modular support service solution.

Amazing and inspiring the audience at D'strict's museums

Ta Loong Gan is particularly proud of the recent partnership with the Korean digital design company D'strict. D'strict appointed Barco as the sole projector supplier in the next four years for all its upcoming immersive projects.

"D'stricts ARTE MUSEUMS that opened in Korea in 2023 are fine examples of how projection can lift the museum experience to captivate the audience," says Ta Loong Gan.

» Read the story

Buckle up for 2024!

time-high sales in 2023, despite China's weak economy. Ta Loong expects further growth in 2024 – and his team has plenty of new, innovative products in the pipeline to steer the business forward. "We worked hard to update and improve our existing portfolio in the past years, but we have also prepared some exciting new soft- and hardware

solutions."

That approach led to all-

Projection, a conventional business? Not at all! The opportunities are enormous, in the most diverse markets. Just look at how D'strict uses our projectors to turn exhibitions into mind-blowing experiences.

Ta Loong Gan EVP Immersive Experience

Barco

CORE Report

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

04 HOW WE CREATE VALUE

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION

01 BARCO	02 OUR
AT A GLANCE	COMPANY

05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Group results

Comments on the group results

Solid profitability improvement with stable topline

Financial highlights fiscal year 20231

Orders € 1,061.6 million, in line with 2022
Sales € 1,050.1 million, -1% versus sales in 2022 (+1% at constant currencies)
Orderbook year-end € 494.8 million, in line with last year
EBITDA € 142.5 million versus € 126.5 million in 2022, for an EBITDA margin of 13.6%
Adjusted EBIT € 102.1 million compared to € 90.1 million in 2022
Free cash flow € 38.0 million versus € 13.1 million in 2022
Net earnings € 80.2 million versus € 75.2 million in 2022
Proposal to increase gross dividend to 0.48 per share versus 0.44 euro last year

Group topline – orders and sales in line with last year

Order intake for 2023 was 1,061.6 million euro, slightly above 2022. This result was driven by Entertainment, where demand surged for laser projectors for Cinema and other applications, followed by Enterprise. Healthcare declined, mainly in the Americas.

Sales amounted to 1,050.1 million euro, in line with last year. Double-digit growth in Entertainment, mainly driven by Cinema, was offset by a small decline in Enterprise and a more pronounced decline in Healthcare. While sales grew 4% in EMEA, sales were 4% lower year-over-year in the Americas. EMEA and Americas contributed equal percentages of the topline of 2023. Within the APAC region, there was a clear contrast between lower sales in China and double-digit growth in the other countries, resulting in a net decline of 4%.

Book-to-bill remained above 1, resulting in a strong orderbook at the end of December 2023 of 494.8 million euro, with an important uptake for the Entertainment division year-over-year.

CORE Report

01 BARCO AT A GLANCE 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Division topline – strong sales in Entertainment, Healthcare lagging

In Healthcare, orders and sales declined double-digit versus 2022. Sales for both Diagnostic Imaging and Surgical & Modality were impacted by high channel inventories. This followed a surge in customer orders at the end of 2022, in anticipation of possible component shortages. This was particularly the case in the Americas and for some customers this is continuing into the first half of 2024. Also the soft demand in APAC was hampering the topline for Healthcare, driven by higher customer inventories and anti-bribery actions from the government in China targeting healthcare businesses.

Enterprise had continued strong demand for both its Meeting Experience and Large Video Walls solutions with orders up 8% year-over-year. Sales for the division declined 4%. Meeting Experience almost equaled the strong result of last year by winning market share in a soft corporate market. The Large Video Walls orders and sales grew towards the end of the year. The business unit executed on the new strategy, with a focus on control room installations that are increasingly software-driven.

Entertainment further built on the strong momentum that began in the second half of 2022, when the supply chain constraints eased for the most part. Sales grew 15% yearover-year, with a strong contribution from Cinema. The laser cinema renewal wave is in full swing, with cinemas investing globally in superior image quality while lowering their total cost of ownership. Also Immersive Experience further grew, fueled by simulation, image processing and projectors for fixed installations, leading to record-high sales for this business unit.

Profitability & free cash flow – significant gross margin and EBITDA improvement

In 2023, the gross profit margin improved 2.8 ppts year-overyear to an all-time record of 41.8% as a result of a favorable product mix with more (embedded) software in all product lines. The biggest expansion in gross profit margin was in Entertainment, where the supply chain constraints which hampered the business in 2022 were no longer present.

The EBITDA margin reached 13.6% for the full year, up 1.6 ppts versus last year reflecting the strong improvement in gross profit margin combined with stringent cost control in a macro-economic environment where inflation remained higher than the historical levels over the past decades. The EBITDA margin gradually improved throughout the year from 12.5% in the first half to 14.6% in the second half.

Free cash flow for 2023 was 38.0 million euro compared to 13.1 million euro in 2022. The realized net operating cash reached 100.8 million euro versus 31.5 million euro in 2022. Executing on our strategy, capital expenditures doubled versus last year including investments in the new factories and in the Cinemaas-a-Service model. Inventory started to decrease but remains a focus area for 2024.

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Expanding the margins while executing strategy

Outlook FY24

Dividend

From a top-line perspective, 2023 was a challenging year. The recovery from the pandemic in China was slower than expected, and the Healthcare markets performed below expectations, partly driven by higher than normal customer inventories. On the other hand, the Entertainment division delivered very strong results, and Meeting Experience gained market share.

Meanwhile, the company took important steps on the execution of its strategy: new factories were opened, a simplified organization was established, and investments in innovation continued. Barco is capitalizing on these efforts, demonstrated by the solid gross profit and EBITDA margin improvements.

In 2024, Barco will continue to focus on innovation with its ground-breaking visualization and collaboration technologies, and the company is looking forward to numerous new product introductions.

The following statements are forward looking on a like-for-like basis and actual results may differ materially

For 2024, while the macro-economic and market conditions remain uncertain, we assume a return to normalized customer inventory levels, and we plan for multiple new product launches over the course of the year.

Management expects topline for the year to be in line with 2023, with a gradual year-over-year increase as of the second quarter. From 2025, we expect to resume topline growth on a full year basis.

The EBITDA margin is expected to further improve and be above 14% for the full year 2024.

Barco's Board of Directors will propose to the General Assembly to distribute a gross dividend of 0.48 euro per share, up 0.04 euro versus last year's dividend of 0.44 euro.

08 OUR RESULTS

Consolidated results for the fiscal year 2023

Order intake

Order intake was 1,061.6 million euro, flat with 1,058.4 million euro a year ago. The Americas region grew, offset by a decline in APAC due to lower demand in China. All Enterprise and Entertainment business units posted growth in orders while Healthcare declined.

Order intake

In millions of euro	FY23	FY22	FY21	Change vs FY22
Order intake	1,061.6	1,058.4	978.8	+0%

Order book

The order book at year-end was at 494.8 million euro, close to the level of 496.5 million euro at year-end 2022. Orderbook for Entertainment grew; Healthcare declined, while the orderbook for Enterprise was about flat with last year. The book-to-bill ratio for the full year 2023 was above 1.

Order book

In millions of euro	31 Dec 2023	31 Dec 2022	31 Dec 2021	Change vs FY22
Order book	494.8	496.5	487.0	-0%

Order intake by division

In millions of euro	FY23	FY22	FY21	Change vs FY22
 Healthcare	254.9	319.7	329.8	-20%
 Enterprise	304.9	281.3	262.4	+8%
 Entertainment	501.8	457.4	386.6	+10%
Group	1,061.6	1,058.4	978.8	+0%

Order intake breakdown by region

In millions of euro	FY23	FY22	FY21	Change vs FY22
The Americas	46%	43%	37%	+3%
EMEA	36%	37%	37%	-1%
APAC	18%	20%	26%	-2%
Global	100%	100%	100%

01 BARCO AT A GLANCE

02 OUR COMPANY 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY

07 OUR MARKETS 08 OUR RESULTS

Sales

Sales for the year 2023 were 1% below 2022, with a slight headwind from the currency effect. At constant currencies, the sales were 1% higher than in 2022. The Entertainment division delivered significant growth, driven by laser cinema renewal projects. This was offset by a sharp decline in Healthcare, primarily in Surgical & Modality and a modest decline in Enterprise. Regionally, EMEA's contribution to the group topline grew, while the share of the Americas declined, mostly driven by Healthcare. Also APAC's share was smaller, driven by lower sales in China for Entertainment and Healthcare.

Sales

In millions of euro	FY23	FY22	FY21	Change vs FY22
Sales	1,050.1	1,058.3	804.3	-1%
Sales at constant currencies	1,067.8			+1%

Sales by division

In millions of euro	FY23	FY22	FY21	Change vs FY22
 Healthcare	285.9	341.7	261.5	-16%
 Enterprise	303.8	317.2	233.1	-4%
 Entertainment	460.5	399.3	309.7	+15%
Group	1,050.1	1,058.3	804.3	-1%

Sales by region

In millions of euro	FY23	FY22	FY21	Change vs FY22
The Americas	40%	41%	37%	-1%
EMEA	40%	38%	38%	+2%
APAC	20%	21%	25%	-1%
Global	100%	100%	100%

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY TECHNOLOGY

06 INNOVATION AND 07 OUR MARKETS 08 OUR RESULTS

Profitability

Gross profit

Gross margin amounted to 438.5 million euro, up from 412.8 million euro last year. The gross profit margin increased 2.8 percentage points to 41.8% from 39.0% last year, with the biggest increase from the Entertainment business units. This important gain in gross margin reflects both a more favorable product mix with a greater amount of (embedded) software across all product lines and the absence of the exceptionally high costs for brokerage and logistics that were experienced in 2022 due to the supply chain constraints.

Indirect expenses & other operating results

Total indirect expenses grew 5% to 338.1 million euro versus 320.9 million euro for 2022. The cost increase was driven by continued high levels of inflation that were partially offset by stringent cost control in all indirect spend categories, while further investing in visualization and collaboration technologies, product roadmap and go-to-market investments in Entertainment.

Barco

CORE Report

As a percentage of sales indirect expenses were 32.2% in 2023 compared to 30.3% in 2022.
Research & Development expenses increased to 132.3 million euro compared to 120.5 million euro last year. As percentage of sales, R&D expenses were 12.6% of sales compared to 11.4% a year earlier.
Sales & Marketing expenses increased slightly to 145.9 million euro, compared to 142.7 million euro for 2022. As a percentage of sales, Sales & Marketing expenses were 13.9% of sales compared to 13.5% in 2022.

• General & Administration expenses amounted to 59.9 million euro compared to 57.7 million euro last year and were 5.7% as a percentage of sales compared to 5.5% in 2022.

Other operating income amounted to 1.7 million euro versus 1.7 million euro operating costs in 2022.

EBITDA & adjusted EBIT

The significant increase in gross profit, which was partially offset by higher indirect expenses resulted in an EBITDA of 142.5 million euro, 13% higher than the EBITDA of 126.5 million euro for 2022. The EBITDA margin grew to 13.6% versus 12.0% in 2022.

The EBITDA margin on divisional level was as follows:

Healthcare's EBITDA margin was 9.7% versus 11.2% a year earlier. A higher gross profit margin driven by a more favorable software-driven product mix was offset by operating deleverage on a reduced topline, mainly in Surgical & Modality.
The Enterprise EBITDA margin was 18.7%, versus the margin of 2022 of 19.1%. The EBITDA margin saw a notable uptake during the second half of the year due to higher gross profit margins in both business units, and lower indirect costs after the restructuring in Large Video Walls.
Entertainment's EBITDA margin was 12.5% versus 6.9% in 2022, surpassing the level of 2019. Gross profit margins were up, as the division was no longer impacted by the supply chain constraints it experienced in 2022. Operating leverage on the higher topline also contributed to the EBITDA margin expansion.

		EBITDA %
		9.7%
303.8	56.9	18.7%
460.5	57.7	12.5%
1,050.1	142.5	13.6%
	Sales 285.9	EBITDA 27.8

EBITDA by division FY23 versus previous years

In millions of euro	FY23	FY22	FY21	Change vs FY22
 Healthcare	27.8	38.4	22.4	-28%
 Enterprise	56.9	60.7	14.6	-6%
 Entertainment	57.7	27.5	21.5	+110%
Group	142.5	126.5	58.5	+13%

Adjusted EBIT2 was 102.1 million euro or 9.7% of sales, compared to 90.1 million euro or 8.5% of sales for 2022.

Barco booked restructuring and impairment charges totalling 10.8 million euro for the full year versus 2.5 million euro the year before, including 9.5 million euro lay-off costs and 1.3 million euro impairments on inventories. The lay-off costs were linked to the Large Video Walls restructuring, as well as several other organizational cost efficiencies. Taking these charges into account, EBIT in 2023 was 91.3 million euro compared to 87.6 million euro in 2022. A notable subsequent event is the closure of the Changping production site, announced in January 2024, whereby the activities will be moved to the new factory in Wuxi with expected lay-off costs of 1.5 million euro in 2024.

⁷⁴

² Adjusted EBIT is EBIT excluding restructuring charges and impairments, see Glossary of the Annual Report.

01 BARCO AT A GLANCE

02 OUR

03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Cash flow & balance sheet

Free cash flow and working capital

Free cash flow for 2023 was 38.0 million euro, up from 13.1 million euro last year. The net operating cash realized reached 100.8 million euro versus 31.5 million euro in 2022. The higher gross operating free cash flow was reduced by higher trade receivables linked to high sales at the end of the year, and lower trade payables linked to decreasing component purchases throughout the year, partially offset by decreased inventory. Capital expenditure more than doubled due to investments in the new factories and in the Cinema-as-a-Service model.

In millions of euro	FY23	FY22	FY21
Gross operating Free Cash Flow	138.3	127.0	50.5
Changes in trade receivables	-18.3	-35.6	-4.9
Changes in inventory	9.6	-70.2	4.4
Changes in trade payables	-30.3	7.4	42.8
Other Changes in net working capital	1.6	2.8	13.2
Change in net working capital	-37.5	-95.5	55.5

Net operating Free Cash Flow	100.8	31.5	106.1
Interest Income/expense	4.7	0.8	-1.1
Income Taxes	-13.3	-6.0	-8.4
Free cash flow from operating activities	92.2	26.3	96.6
Purchase of tangible and intangible FA	-54.4	-21.2	-18.8
Proceeds on disposal of tangible and intangible FA	0.2	8.0	0.2
Free cash flow from investing	-54.2	-13.2	-18.6
Free cash flow	38.0	13.1	78.0

Income taxes

Taxes in 2023 were 17.3 million euro for an effective tax rate of 18%, compared to 15.9 million euro in 2022 for the same effective tax rate.

COMPANY

Net income

Full year net income attributable to the equity holders was 80.2 million euro compared to 75.2 million euro a year ago.

Net income per ordinary share (EPS) was 0.89 euro versus 0.84 euro in 2022. Fully diluted earnings per share were 0.88 euro compared to 0.83 euro in 2022.

CORE Report

04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY

06 INNOVATION AND TECHNOLOGY 07 OUR MARKETS 08 OUR RESULTS

Working capital

Net working capital amounted to 16.6% of sales, up from 14.3% of sales in 2022, and lower than net working capital of 18.3% at mid-year 2023. Higher trade receivables contributed to the increase in working capital, mainly due to strong yearend sales, for which cash will be collected in 2024. Inventory remained at a high level throughout the year but started to decrease over the course of the second half of the year. Trade payables reduced year-over-year, in line with lower component purchases towards year-end, in response to high inventories and lower topline.

In millions of euro	FY23	FY22	FY21
Trade Receivables	208.6	194.6	157.0
DSO	63	54	56
Inventory	231.5	245.7	175.5
Inventory turns	2.1	2.1	2.4
Trade Payables	-89.4	-121.9	-114.0
DPO	50	68	80
Other Working Capital	-176.0	-168.0	-171.7
Total working capital	174.8	150.4	46.8

Capital expenditure

Capital expenditure was 54.4 million euro, significantly higher than 21.2 million euro reported in 2022 due to investment in the manufacturing footprint and financing the Cinema-as-a-Service model.

ROCE

ROCE for the year 2023 was 17% versus 16% last year.

Cash position

The net financial cash position was 241.1 million euro at yearend, compared to 264.0 million euro end of 2022. The main elements contributing to this change were cash in from the free cash flow and the proceeds from the sale of minority investments, offset by cash out for the dividend payments and the share buyback program, and currency translation impacts.

01 BARCO AT A GLANCE

Update Planet - People - Communities

Barco's sustainability program is based on 3 pillars: the planet, our people and the communities we operate in. In this chapter we offer some highlights on the progress we made in 2023 within each of these pillars. For a more comprehensive sustainability chapter please read our Planet – People – Communities report.

Planet

Under the Planet pillar, Barco has set a goal of reducing its environmental footprint and that of its customers.

FY23	FY22	FY21	Change vs FY22
-54%	-51%	-33%	-3 ppts
65%	50%	31%	+15 ppts

Greenhouse Gas emissions from our own operations reduced slightly versus last year, a reduction of 54% versus the base level of 2015, and exceeding the target reduction of 35%. A modal shift from air to sea transport for Diagnostic Imaging and Immersive Experience further reduced the logistics footprint. This was partly offset by increasing business travel by employees.

To reduce the footprint of its products and to improve the eco-friendliness of its solutions portfolio, Barco has rolled out a company-wide ecolabeled scoring methodology. The target level for 2023 was set at 70% ecolabeled revenues.3 In 2023 there was a solid increase in all business units, leading to 65% of the total revenue being ecolabeled. There was an important uptake for Meeting Experience with the carbon-neutral ClickShare CX-50 2nd generation, and for Large Video Walls with the fully A-labelled LED portfolio. The higher share of ecolabeled products contributed to a significant decrease of Barco's total Greenhouse Gas emissions and that of our customers. Further progress against this target will come from new product introductions, of which more than 90% were ecolabeled in 2023.

People

Barco is committed to fostering sustainable employability by crafting an environment that cultivates engaging and fulfilling careers for our employees.

With a voluntary turnover rate that dropped significantly and additional hirings, the number of employees in 2023 grew to 3,360, a net increase of 58 employees year-over-year. Diversity & Inclusion are key elements in our recruitment process and, just like in 2022, Barco made progress on all three diversity dimensions in 2023: age, nationality, and gender.

Since 2022, Barco includes a specific standardized E-NPS (Employee Net Promotor Score) question in its annual employee survey. The E-NPS survey for 2023 resulted in a score of 13, close to the score of 2022 and sorting in the category "good engagement" (0-30) for both years. Based on the results from the employee survey, the existing action plans will be updated, and new actions will be defined for 2024. Our long-term objective remains to bring this score above 30, "great engagement".

Communities

Barco is committed to playing an active role in the communities in which it operates, and our people maintain their focus on a value-add customer experience. Besides gathering continuous feedback via multiple touchpoints during the customer journey, the company receives feedback from end-customers as well as partners twice a year using the relational Net Promotor Score (NPS) as its standard customer experience metric.

In 2023, Barco achieved an NPS score of 48, an increase of 4 points versus the previous year. As the supply chain constraints improved significantly in 2023, this has led to shorter lead times and fewer delays, and an overall better appreciation of Barco's after-sales service by our partners and customers. Also product quality stands out as a key contributor to this score. Regionally, there was progress in all regions. An NPS score above 50 is considered excellent and that is also where we want to steer the company's rating.

	FY23	FY22	Change vs FY22
Number of employees at year-end (heads)	3,360	3,302	+2%
Employee Net Promotor Score (eNPS)	13	16	-3

	FY23	FY22	FY21	Change vs 2022
Customer Net Promotor Score	48	44	47	+4

08 OUR RESULTS

Results of the Healthcare division

01 BARCO AT A GLANCE 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 08 OUR RESULTS

Orders and sales for Healthcare decreased 20% and 16% respectively versus last year. There were important regional differences with growth in EMEA, more than offset by double-digit decline in Americas. Diagnostic Imaging and Surgical & Modality each accounted for approximately 50% of the divisional sales, while last year the former accounted for 46% and the latter for 54%.

In the Diagnostic Imaging segment, market dynamics remained healthy although the topline was impacted by higher-than-normal inventories at channel partners and customers, after pent-up demand toward the end of 2022, when customers ordered more than usual in anticipation of potential component shortages. In EMEA, radiology and pathology drove growth, including important wins in the UK. Americas declined against very strong results last year, affected by high channel inventories. In APAC, China was faced with lower investments from local governments dampening demand and anti-bribery actions targeting the healthcare markets that started in the second half of 2023 and are continuing into 2024. In contrast, the rest of the APAC region saw growth.

Surgical & Modality was hampered by a timing difference between the phasing-out of an unusually large contract that ended at year-end 2022, and the phasing-in of orders under confirmed new contracts for new platforms from the end of 2023 onwards. Orders for these new contracts were delayed over the course of the year, as customers were reducing inventories. This affected primarily the Americas region. EMEA grew, fuelled by good results for the Nexxis product. APAC sales declined, as China was hampered by low government investments, anti-bribery actions and high inventory levels. Overall, surgical products performed better than modality, and the share of software-related revenue increased significantly.

The gross profit margin for Healthcare increased to 36.0%, versus 34.1% one year earlier. This reflects a favorable product mix with proportionally more (embedded) software products, partially offset by temporary transfer and costs associated with ramping up the new factory. Although indirect spending increased less than the general inflation rate, operating deleverage on the lower topline resulted in an EBITDA margin of 9.7%, a decline of 1.5 ppts versus last year.

Healthcare division

In millions of euro	FY23	FY22	FY21	Change vs 2022
Orders	254.9	319.7	329.8	-20%
Sales	285.9	341.7	261.5	-16%
Gross profit	102.9	116.4	87.2	-12%
Gross profit margin	36.0%	34.1%	33.3%	+2.0 ppts
EBITDA	27.8	38.4	22.4	-28%
EBITDA margin	9.7%	11.2%	8.6%	-1.5 ppts

Quarter-over-quarter orders and sales 2021-2023

CORE Report

01 BARCO	02 OUR	03 OUR	04 HOW WE	05 SHAPING	06 INNOVATION AND	07 OUR
AT A GLANCE	COMPANY	VISION	CREATE VALUE	OUR STRATEGY	TECHNOLOGY	MARKETS

08 OUR RESULTS

Results of the Enterprise division

01 BARCO AT A GLANCE 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 08 OUR RESULTS

In the Enterprise division, orders increased 8% year-over-year, with growth in both business units but more pronounced in Large Video Walls. Sales were slightly down versus last year in EMEA and the Americas but grew in APAC.

Meeting Experience delivered sales in line with the year before, despite difficult market conditions as of the second quarter of 2023, with companies delaying investments as they reconsidered their flexible office and meeting room requirements. In the face of these circumstances, ClickShare won market share against competitive offerings. From a regional perspective, sales in Americas declined, APAC showed substantial growth, while EMEA sales were essentially flat year-over-year. The sell-in volumes exceeded sell-out for this region, triggered by specific changes in partner programs. ClickShare has now been installed in more than 1.2 million meeting rooms globally. ClickShare Conference accounted for slightly less than 65% of ClickShare's volume for the full year, more so in value. The installed base of ClickShare Conference approached 240,000 units since it was launched in 2020. Meeting Experience accounted for about 60% of Enterprise sales in 2023, versus 58% in 2022.

For the Large Video Walls segment, orders were higher in all regions, most pronounced in EMEA. Sales started soft at the beginning of the year but improved throughout the second half, and reached a quarterly record in the fourth quarter. Sales for the Barco CTRL software platform, which offers customers a scalable and integrated solution with market-leading security features, go off to a strong start after its launch in the second quarter. The hardware portfolio is fully up to date, with the UniSee II upgrade launched in the third quarter. Large Video Walls is executing on their new strategy, and the share of software in the product mix increased throughout the year, with further shift expected in the next years.

Enterprise delivered an EBITDA margin of 18.7%, essentially in line with last year, and showing a significant increase from the first to the second half of 5.8 percentage points. This was driven by an increase in the Meeting Experience margin and the cost and margin benefits of the restructuring of the Large Video Walls segment, where an EBITDA loss of the first half was followed by a positive EBITDA in the second half, leading to a result close to breakeven for the full year.

Enterprise division

In millions of euro	FY23	FY22	FY21	Change vs 2022
Orders	304.9	281.3	262.4	+8%
Sales	303.8	317.2	233.1	-4%
Gross profit	162.9	172.4	108.6	-5%
Gross profit margin	53.6%	54.3%	46.6%	-0.7 ppts
EBITDA	56.9	60.7	14.6	-6%
EBITDA margin	18.7%	19.1%	6.3%	-0.4ppts

Quarter-over-quarter orders and sales 2021-2023

Results of the Entertainment division

Integrated report 2023

Barco

CORE Report

01 BARCO AT A GLANCE 02 OUR COMPANY 03 OUR VISION 04 HOW WE CREATE VALUE 05 SHAPING OUR STRATEGY 06 INNOVATION AND TECHNOLOGY 07 OUR

» Dive deep into Barco's innovation and technology approach

08 OUR RESULTS

The Entertainment division delivered 10% growth in order intake and 15% growth in sales versus last year. Book-to-bill was positive for the 3rd year in a row, further strengthening the orderbook, especially for Cinema.

Cinema built on the strong momentum that started in the second half of 2022 with double-digit sales growth in all regions. Global demand for Cinema was driven by the ongoing renewal of aging lamp-based cinema projectors to Barco's laser technology, which offers superior image quality to viewers and a lower total cost of ownership to cinema operators. The roll-out of Cinema-as-a-Service continued in 2023, which increased the contribution of recurring revenues to the sales mix. Cinema accounted for approximately 54% of the divisional sales in 2023, compared to 48% last year. By the end of 2023, the sales and marketing activities from Cinionic were fully integrated into the Cinema business unit, providing future additional operational efficiencies.

Immersive Experience delivered solid topline growth, especially in the first half of the year, leading to record sales for the second year in a row. In all regions, except APAC, sales grew solidly against a very high comparison base, with the Middle East and Southeast Asia standing out as best performing areas. China did not contribute to the growth as demand has not yet recovered from the pandemic due to a sluggish real estate market and reduced funding of entertainment projects by local governments. Simulation showed the highest growth in all regions both for flight and driving simulators, followed by image processing and projectors for fixed installations in museums, immersive art experiences, attractions, and corporate applications. Sales to the rental market for live events were softer, as some customers are anticipating the new product launches that are expected in 2024. Immersive Experience accounted for approximately 46% of the divisional sales in 2023, compared to 52% last year.

With supply chain challenges resolved and on the strength of a more favorable product mix, with more (embedded) software and services revenues, the gross profit margin for Entertainment grew to an all-time high of 37.5%, up 6.4 percentage points versus last year. Operating leverage on the double-digit topline growth resulted in an EBITDA margin for the division that jumped from 6.9% in 2022 to 12.5% in 2023.

Entertainment division

In millions of euro	FY23	FY22	FY21	Change vs FY22
Orders	501.8	457.4	386.6	+10%
Sales	460.5	399.3	309.7	+15%
Sales	172.6	124.1	91.7	+39%
Sales	37.5%	31.1%	29.6%	+6.4 ppts
EBITDA	57.7	27.5	21.5	+110%
EBITDA margin	12.5%	6.9%	6.9%	+5.6ppts

Quarter-over-quarter orders and sales 2021-2023

Barco

CORE Report

2023 Integrated annual report

Governance & Risk Report

01. Corporate governance .	3
Corporate governance statement	4
Board of Directors	5
Core Leadership Team	6
Annual General Meeting	7
Activity report & Evaluation of the
Board and its Committees	8
Remuneration report	12
Policies of conduct	26

02. Risk management and control processes 27
Control environment & Risk management process 29
Top risks 33

03. Additional risk information pursuant

to the non-financial disclosure directive. 40
Climate change and energy	41
Business ethics	42
Financial risk management and internal control	43

This is the Governance & Risk Report section of Barco's 2023 Integrated annual report. Other sections are available via the download center at ir.barco.com/2023.

[CORE](https://ir.barco.com/2022/uploads/files/PDF/Barco-IR2022-COR.pdf

)

ANNEX

MANAGEMENT 03 ADDITIONAL RISK INFORMATION

Declaration regarding the information given in the Integrated Annual Report 2023

02 RISK

The undersigned declare that:

The annual accounts, which are in line with the standards applicable for annual accounts, give a true and fair view of the capital, the financial situation and the results of the issuer and the consolidated companies.
The annual report gives a true and fair view of the development and the results of the company and of the position of the issuer and the consolidated companies, as well as a description of the main risks and uncertainties they are faced with.

Charles Beauduin, CEO

An Steegen, CEO

Ann Desender, CFO

Corporate governance statement

Barco's governance structure is one-tier, operating pursuant to the company's articles of association and corporate governance charter. Both are available for download at www.barco.com/corporate-governance.

All shares have equal voting rights, there are no dual voting rights for certain shareholders.

In accordance with article 3:6, §2 of the Code of Companies and Associations, Barco applies the 2020 Belgian Code on Corporate Governance.

Below is an overview of the articles of the Belgian Code on Corporate Governance which Barco does not comply with, as well as an explanation for such non-compliance.

Art. 7.6: The Board of Directors decided not to grant shares to non-executive board members as part of their remuneration. Such grant will trigger tax and practical ramifications for non-Belgian residents. Moreover, several directors already hold a significant number of Barco shares.
Art. 7.8: The variable part of the executive remuneration package is linked to the overall corporate or business unit performance and sustainability criteria, which have become increasingly important for investors. Both are a function of, and thus also a measure for, the executives' individual performance.
Art. 7.9: The Board of Directors has not set a minimum threshold of shares to be held by the executives. The remuneration package for executives is sufficiently balanced with various components to incentivize executives to pursue a strategy of sustainable profitable growth.
Art. 7.12: The Board of Directors endeavors to insert a 'clawback provision' in contracts of employment with executives to the extent permissible by the law governing such contract.

Board of Directors

The composition of the Board of Directors meets the gender diversity requirement laid down in article 7:86 of the Code of Companies and Associations. Moreover, a majority of directors is independent.

All directors hold or have held senior positions in leading international companies or organizations. Their biographies can be found on Barco's corporate website.

The General Meeting of 27 April 2023 re-appointed Mr. Frank Donck, Mr. Charles Beauduin, Mrs. An. Steegen and Adisys Corporation, permanently represented by Mr. Ashok K. Jain, as

Changes to the Board of Directors

directors. Moreover, Lord Sassoon was appointed as additional director. Except for Mr. Charles Beauduin and Mrs. An Steegen, all have been (re-)appointed as independent director as referred to in article 7:87 Code of Companies and Associations. The directors have re-appointed Mr. Frank Donck as Chair of the Board of Directors and Mr. Charles Beauduin and Mrs. An Steegen as co-CEOs.

3

5 years of seniority

Female members of the Board

Governance & Risk Report

Board of Directors

Situation on 5 February 2024

Chair	Frank Donck(1)	2027*
Directors	Charles Beauduin	2027*
	An Steegen	2027*
	Adisys Corporation (represented by Ashok K. Jain) (1)	2027*
	Hilde Laga(1)	2024*
	Lieve Creten(1)	2024*
	James Sassoon(1)	2026*
Secretary	Kurt Verheggen General Counsel

(1) independent directors

* date on which the term of office expires: end of the annual meeting

Core Leadership Team

Changes to Core Leadership Team

Barco NV is managed by a Core Leadership Team ('CLT') which comprises key officers from business units and functions. The CLT operates under the chairmanship of the Chief Executive Officers and shares responsibility for the deployment of Barco's strategy and policies, and the achievement of its objectives and results.

With strategic long-term succession planning being a core element in the organizational development strategy, Barco was able to strengthen its Core Leadership Team with a number of internal promotions:

Mr. Geert Carrein, EVP for Diagnostic Imaging, has retired and has been succeeded by Mr. Dirk Feyants, stepping up from his role as VP Strategy and Business Development.
Mr. Chris Sluys, EVP Large Video Walls, also retired and has been succeeded by Mr. Tom Sys, previously CDIO at Barco.
Mr. Philippe Verlinde, previously Head of IT Program Management, succeeded Mr. Tom Sys as CDIO.
Mr. Erdem Soyal, EVP Immersive Experience, left Barco and was succeeded by Mr. Ta Loong Gan, stepping up from his role as VP Global Sales for this business unit.

The full biographies of the Core Leadership Team can be found on Barco's corporate website.

5 years of seniority

Female CLT members

4 non-Belgian CLT members

Annual General Meeting

The annual general meeting (AGM) is held on the last Thursday of April. The AGM is set up as a truly hybrid meeting whereby shareholders can also cast their vote remotely, either prior to or real time during the meeting itself.

The company is open to discussions with investors and proxy voting agencies to better understand their policies and align the company's governance practices therewith, considering its size, profile, jurisdiction as well as the geographical scope of its activities.

Over the past years, shareholders' participation has been consistently above 50%.

CGR 7

Activity report on Board and Committee meetings

Board of Directors

Title 1 and 2 of Barco's Corporate Governance Charter describe the responsibilities of the Board of Directors and its Committees.

The table below provides a comprehensive overview of the directors' attendance at Board of Directors and Committee meetings in 2023.

Intermediate meetings are held via teleconference call if need be. All the Board of Directors meetings took place in Belgium with some directors occasionally attending via videoconferencing.

One meeting was closed with a dinner attended by several members of the Core Leadership Team to foster closer interaction between the directors and the executive managers of the company.

At every meeting, the Board of Directors reviewed and discussed the financial results as well as the short to mid-term financial forecast of the company. At the beginning of the year, upon recommendation by the Audit Committee, the Board approved the financial results of 2022 and proposed the dividend for approval by the shareholders.

The Board, in close concert with the Core Leadership Team, reflected on each of the business units' strategies for the short to mid-term, discussed and decided upon the organic growth initiatives, considered several inorganic growth opportunities and approved the 2024 financial budget.

The Board closely monitored the impact of the macro-economic developments in the regions wherein the company is present, in particular China, as well as geopolitical conflicts and resulting trade sanctions on the company's operations and financial results.

Directors' attendance at Board and Committee meetings

Attendance Rate
63%*
100%
100%
100%
100%
100%
90%

(*) Mr. Charles Beauduin was on sick leave for several months.

Board Committees

Audit Committee

The Audit Committee is composed of four members. Mrs. Lieve Creten, who acts as Chair, Mr. Frank Donck, Mrs. Hilde Laga and Lord Sassoon. All members are independent directors. The Audit Committee's members have relevant expertise in financial, accounting and legal matters as shown in the biographies on Barco's corporate website.

The Audit Committee met five times during 2023. All Audit Committee members were present during all the meetings, except for Lord Sassoon who was only appointed as Board member in the annual general shareholders meeting in April 2023. He has been present at all meetings (three) after his appointment.

The Audit Committee reported the outcome of each meeting to the Board of Directors. The minutes of each Audit Committee meeting were submitted to the Board of Directors.

The CFO and the VP Corporate Finance attended all regular meetings. The CEO An Steegen was present at all meetings and the CEO Charles Beauduin attended four Audit Committee meetings. The Group's internal auditor was present in two meetings and the Group's external auditor PwC Bedrijfsrevisoren BV was present in 3 meetings. The Group's data protection officer was invited to two audit committee meetings. The overview below indicates a number of matters that were reviewed and/or discussed in Audit Committee meetings throughout 2023:

The Company's 2022 annual and 2023 interim financial statements, including non-financial information and the corresponding press release.
Each quarter, the committee reviewed the Company's quarterly financial results and outlook for the year, including the corresponding trading update.
The Company's 2023 integrated report content and review.
The Committee also assessed in its quarterly meetings the adequacy and appropriateness of internal control policies and internal audit programs and their findings.
Matters relating to accounting policies, financial risks and compliance with accounting standards. Compliance with statutory and legal requirements and regulations, particularly

in the financial domain, was also reviewed. Important findings, Barco's major areas of risk (including the internal auditor's reporting thereon, as well as the review of litigation and other claims), follow-up actions and appropriate measures were examined thoroughly.

Quarterly review of critical accounting judgements and uncertainties, including impact of the macro-economic environment.
Each quarter, the Committee reviewed the Company's free cash flow generation and working capital ratios.
The Committee monitored potential impairment indicators, reviewed the goodwill impairment test performed, financial impact of strategic investments and risk management.
The Committee reviewed the report provided by the Group's compliance officer on the application of Corporate Governance and the Code of Conduct and shared with the Board. Regular updates on GDPR were provided by the Group's data protection officer.

	JANUARY	FEBRUARY	MARCH	APRIL	MAY	JUNE	JULY	AUGUST	SEPTEMBER	OCTOBER	NOVEMBER	DECEMBER
Board of Directors
Audit Committee
Remuneration Committee
Technology Committee

Overview of the Board and Committee meetings in 2023

With regard to internal audit, the Committee reviewed and approved the internal audit charter, audit plan, audit scope and its coverage in relation to the scope of the external audit, as well as the staffing, independence and organizational structure of the internal audit function.
With regard to the external audit, the Committee reviewed the proposed audit scope, approach and fees, the independence of the external auditor and non-audit services provided by the external auditor in conformity with Barco's non-audit fee policy. The Committee also reviewed the impairment testing of goodwill and deferred tax assets on tax losses carried forward and tax credits, as well as the group external auditor's management letter, which contained no recommendations with material impact.
For information on the fees of Group auditor, please refer to note 22 'Related party transactions' in the Financial Statements 2023.
The Committee reviewed the report from the external auditor in which the auditor set forth its findings and attention points during the relevant period. The Committee assessed the overall performance of the internal and external auditor. The Committee also reviewed and confirmed its current Audit Committee schedule.
Review of the Group's key overall risk areas, risk management process and control (including risk assessment, IT risks and ESG process)
The Committee reviewed the outcome of the double materiality analysis, the gap analysis done on the implementation of CSRD, as of 2024, and the related action plan.

Remuneration and Nomination Committee

The composition of the Remuneration & Nomination Committee has been reviewed twice in 2023. Mr. Ashok Jain joined the committee as a new member as from January 2023, as well as Lord Sassoon as from July 2023.

The Remuneration and Nomination Committee fulfils the mission imposed on it by law and meets at least three times per year, as well as whenever the Committee needs to address imminent topics within the scope of its responsibilities. The CEOs are invited to meetings, except for matters that concern them personally. The meetings are prepared by the Chief HR Officer, who attends the meetings.

In 2023, the Remuneration and Nomination Committee met four times. Additionally, it met virtually on an ad hoc basis at two occasions, amongst others in view of the nomination of Lord Sassoon as new Board Member.

Given the high global inflation rates since 2022 and its impact on the purchase power of the employees, primary focus point has been the salary increase budgets for 2023.

Additionally, the Remuneration and Nomination committee has also been focusing on continued organizational effectiveness with e.g. the reorganization of the Corporate Marketing organization, as well as on Barco's long term HR strategy articulated around entrepreneurial culture, organization and employee engagement.

Also, the recurrent processes such as performance review of CLT members, the 2022 bonus results validation and 2023 bonus objective setting and the 2023 Stock Options grant have been addressed.

Finally, the Committee has been focusing on the composition of the Barco Core Leadership Team as three members have left the company (the business unit leaders for Large Video Walls, Diagnostic Imaging and Immersive Experience).

Technology Committee

The Technology Committee is an advisory body to the Board of Directors. The Committee is composed of three members; Mr. Charles Beauduin, who acts as Chair, Mr. Ashok Jain and Mrs. An Steegen.

02 RISK

The Technology Committee assists the Board of Directors in fulfilling its oversight responsibilities by preparing technology related matters that could influence Barco's strategy, such as the identification of, and investments in, future technologies through internal resources or technology acquisitions, technology roadmap strategy, operational performance and technology trends that may affect portfolio performance.

Major technology investments relate to investments running over a number of years that involve a minimum commitment by the company of 10 million euro over the entire duration of the project. The investments might also include technology acquisitions.

In 2023, the Technology Committee met one time. The Committee organized specific working sessions by division, thus ensuring appropriate depth and focus for each of Barco's divisions. The Committee also performed the annual general review of foundational technologies as included in its strategic plan update presented to the Board.

Evaluation of the Board of Directors and its Committees

Regularly assessing the size, composition, functioning and performance of the Board of Directors and its Committees as well as the interaction with the executive management is an essential element of corporate governance.

The principle of Board assessment is laid down in the Corporate Governance Code as well as Title 1 (1.5) of the company's Corporate Governance Charter.

See www.barco.com/corporate-governance.

The Board of Directors carries out self-assessments under the supervision of the Chair with the aim to evaluate its functioning and that of its Committees.

Following the (re-)appointment of (new) directors, the different Committees' composition has been reviewed to facilitate interactions as efficiently as possible between the Board of Directors and its Committees.

Remuneration report for financial year 2023

General introduction

This remuneration report must be read together with the remuneration policy which, to the extent necessary, should be regarded as forming part of this remuneration report. The remuneration granted to directors, CEO and CLT members with respect to financial year 2023 is in line with the remuneration policy. This report covers the 2023 remuneration of the non-executive board members (Part A), of the Chief Executive Officers (CEOs), who are also a member of the board and thus an executive director (Part B) and other members of the Core Leadership Team (CLT) who are not members of the board (Part C).

Part 1: Introduction to the 2023 remuneration report

Although the general inflation rate in 2023 decreased versus 2022, it remained higher than the historical average of the last decades and it continues to have wide-ranging effects on employment and production costs. Stringent cost control was essential for Barco to cope with these inflation effects, including careful monitoring of employment costs and head count management. On a positive note, we saw increased employee loyalty with the voluntary turnover rate at 4.9% in 2023, less than half of the year before.

Part 2: Remuneration report on the non-executive board members, CEO and CLT members

2.A Remuneration of the non-executive board members

On 27 April 2023, pursuant to article 17 of the Articles of Association, the General Meeting set the aggregate annual remuneration of the entire Board of Directors at 2,863,725 euro for the year 2023. Next to the board fees of the non-executive directors this amount includes the remuneration package of the CEOs. Details on the CEOs remuneration are provided in section 2, B hereinafter.

Total remuneration non-executive directors

			Fixed remuneration		Variable remuneration				Proportion of fixed and variable remuneration
Name Position	Base compensation	Attendance fees	Other benefits	One-year variable	Multi-year variable	Extraordinary items	Pension expense	Total remuneration	Fixed	Variable
Frank Donck, Chair of the Board	€ 120,000	€ 0	NA	NA	NA	NA	NA	€ 120,000	100%	0%
Lieve Creten Member of the Board	€ 30,000	€ 58,775	NA	NA	NA	NA	NA	€ 88,775	100%	0%
Ashok Jain, Member of the Board	€ 30,000	€ 35,700	NA	NA	NA	NA	NA	€ 65,700	100%	0%
Hilde Laga, Member of the Board	€ 30,000	€ 45,900	NA	NA	NA	NA	NA	€ 75,900	100%	0%
James Sassoon, Member of the Board	€ 20,000	€ 22,950	NA	NA	NA	NA	NA	€ 42,950	100%	0%
Total	€ 230,000	€ 163,325	NA	NA	NA	NA	NA	€ 393,325	100%	0%

The remuneration paid to non-executive directors consists solely of an annual fixed component plus the fee received for each meeting attended. Considering the substantial time he devotes to the ongoing supervision of Barco group affairs, the Chair of the Board receives a different remuneration package that comprises solely a fixed component. Details on the remuneration package of the Board of Directors can be found in the Barco Remuneration Policy.

Non-executive directors do not receive any variable compensation linked to results or other performance criteria. They are not entitled to stock options or shares (see comment in the Corporate Governance statement on page 4 regarding the application of Principle 7.6 of the 2020 Belgian Corporate Governance Code), nor to any supplementary pension scheme.

2.B Remuneration of the CEO 2.B.1 Total remuneration

The remuneration package of the CEO consists of a base salary, a variable remuneration, stock options, a pension contribution, and other components. There were no shares granted.

The remuneration package aims to be competitive and is aligned with the responsibilities of a CEO leading a globally operating industrial group with various business platforms. Details of the remuneration package for the CEO can be found in the Barco Remuneration Policy.

The CEOs Mr. Charles Beauduin and Mrs. An Steegen are under analysis of this chapter.

The amount of the remuneration and other benefits granted directly or indirectly to the CEOs, by the Company or its subsidiaries, in respect of 2023 for their CEO role is set forth below.

Base Salary

The base salary of the CEO consists of the actual salary paid by the company and may include a fixed director's fee paid by Barco, Inc. and by Barco China (Holding) Ltd.

Variable remuneration

The variable remuneration of the CEO consists of an annual bonus which is subject to a deferral period of three years. The CEO is, contrary to other members of the CLT, not entitled to a long- term incentive (LTI) bonus. Variable remuneration, if any, vests on 31 December of the performance year. Therefore, such variable remuneration is reported for the year it vests and not for the (subsequent) year it is paid.

The annual KPIs for the bonus of the CEO and their weights are the same as those set for the Core Leadership Team and other executives whereby the specific targets for the CEO relate to the Barco Group and are set annually at the beginning of the calendar year based on the annual Profit Plan as approved by the Board of Directors. In case of a material impact on any of these targets during the year, caused by a change of control (e.g., divestments, change in % ownership) or otherwise, these targets will be recalculated for the same amount as the impact on actual results, subject to approval by the Remuneration Committee. Reference is made to the section on variable remuneration for the CLT on page 17.

Pension

The pension benefit of the CEO is an individual defined contribution pension arrangement, which also includes a death cover.

Considering his part-time assignment, Mr. Charles Beauduin is not entitled to a pension arrangement.

Other components of remuneration

The other components comprise the total cost of ownership of a company car, hospitalization insurance as well as a guaranteed income insurance in case of disability.

Considering his part-time assignment, Mr. Charles Beauduin is not entitled to these benefits.

CGR 14

Barco

Governance & Risk Report

			Fixed remuneration	Variable remuneration					Proportion of fixed and variable remuneration
Name Position	Base compensation	Foreign director fees	Other benefits	One-year variable*	Multi-year variable**	Extraordinary items	Pension expense	Total remuneration	Fixed	Variable
Charles Beauduin CEO	€ 235,000	€ 150,000	€ 0	€ 78,468***	€ 0	€ 0	€ 0	€ 463,468	83.07%	16.93%
An Steegen CEO	€ 550,000	€ 0	€ 27,304	€ 223,951	€ 124,400	€ 0	€ 100,000	€ 1,025,655	66.04%	33.96%

* non-deferred annual bonus 2023

Total remuneration of CEO

** deferred payments vesting in 2023

*** prorated for period of illness

2.B.2 Share based remuneration

No stock options nor shares have been granted to the CEOs in 2023.

The details on the stock options granted, vested and exercised by the CEOs are provided in the table below.

Stock options

	Main provisions of the stock option plan				Information related to the financial year 2023
Name Position	Plan Identification	Grant Date	Vesting Date	End of retention period	Exercise period	Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised
	SOP 2021-CEO	06/12/2021	31/12/2022	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2023	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670		a) 72,670 b) € 1,293,526
Charles Beauduin CEO	SOP 2021-CEO	06/12/2021	31/12/2024	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2025	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2026	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2022	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2023	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670		a) 72,670 b) € 1,293,526
An Steegen CEO	SOP 2021-CEO	06/12/2021	31/12/2024	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2025	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670
	SOP 2021-CEO	06/12/2021	31/12/2026	01/01/2027	01/01/2027 - 05/12/2031	€ 17.80	72,670

Governance & Risk Report

2.C Remuneration of the CLT members

The Core Leadership Team under analysis of this chapter includes 15 people.

The CLT members are employed by local Barco companies in their respective countries of residence. Their compensation packages, therefore, take local market remuneration and benefit practices into account.

CLT members

Name	Position	Employer legal entity	Joined/left CLT 2023
Geert Carrein	EVP Diagnostics	Barco nv (BE)	left CLT: 30 June 2023
Gerwin Damberg	EVP Cinema	MTT Innovation Inc. (CA)
Ann Desender	CFO	Barco nv (BE)
Dirk Feyants	EVP Diagnostics	Barco nv (BE)	joined CLT: 1 June 2023
Johan Fornier	EVP Surgical & Modality	Barco nv (BE)
Ta Loong Gan	EVP Immersive Experience	Barco Singapore Pte Ltd (SG)	joined CLT: 1 July 2023
Stijn Henderickx	EVP Meeting & Learning Experience	Barco nv (BE)
Anthony Huyghebaert	CHRO	Barco nv (BE)
Rob Jonckheere	EVP Global Operations	Barco nv (BE)
Chris Sluys	EVP Large Video Wall Experience	Barco nv (BE)	left CLT: 28 February 2023
Ederm Soyal	EVP Immersive Experience	Barco Middle East L.L.C. (UAE)	left CLT: 31 May 2023
Tom Sys	EVP Large Video Wall Experience	Barco nv (BE)
Kurt Verheggen	General Counsel	Barco nv (BE)
Philippe Verlinden	CDIO	Barco nv (BE)	joined CLT: 1 March 2023
Kenneth Wang	MD Barco China	Barco Visual Electronics Co., Ltd. (CN)

2.C.1 Total remuneration

The remuneration package of the Core Leadership Team members other than the CEOs consists of a base remuneration, a short-term variable remuneration, a long-term variable bonus, stock options, a pension contribution, and various other components. The remuneration package aims to be competitive and is aligned with the role and responsibilities of each CLT member, being a member of a team leading a globally operating industrial group in the technology market space with various business platforms. Details of the remuneration package for the CLT members can be found in the Barco Remuneration Policy.

The amount of the remuneration and other benefits granted directly or indirectly to the CLT-members, by the Company or its subsidiaries, in respect of 2023 is set forth below. Redundancy payments are not included in these amounts.

Total remuneration of CLT (excluding CEO)

			Fixed remuneration	Variable remuneration					and variable remuneration	Proportion of fixed
Name Position	Base salary	Foreign director fees	Other benefits	One-year variable*	Multi-year variable**	Extraordinary items	Pension expense	Total remuneration	Fixed	Variable
Core Leadership Team	€ 3,052,508	€ 50,000	€ 301,851	€ 1,119,620	€240,637	€ 16,000	€ 279,154	€ 5,059,770	73%	27%

Integrated report 2023

* non-deferred annual bonus 2023

** deferred payments vesting in 2023 + LTI bonus 2021-2023 payments (reported prorated if recently joined CLT)

Base salary

The base salary reflects role responsibilities, job characteristics, experience, and skill sets.

Variable salary

The variable remuneration includes a short-term and a longterm incentive component, delivered in cash and stock options.

Variable remuneration, if any, vests on 31 December of the performance year. Therefore, such variable remuneration is reported for the year it vests and not for the (subsequent) year it is paid.

Annual Bonus

The individual bonus plan for the members of the Core Leadership Team is a so-called "metric" plan, with only predefined measurable and auditable KPIs and no subjective individual KPIs.

The main characteristics of the annual bonus plan are:

Three (3) KPIs are defined, and a fixed weight is given to each of them. For CLT members leading a Business Unit or Barco China, the KPIs relate to their specific target group and for other CLT members, the KPIs relate to the Barco Group.
Each KPI is measured separately
Minimum threshold and maximum cap per KPI
Same pay-out schedule for all KPIs target awards
Maximum total bonus pay-out is capped at 35% of the on-target bonus in case of negative EBITDA at target cluster level.

The specific KPI targets are set annually at the beginning of the calendar year based on the annual Profit Plan as approved by the Board of Directors. In case of a material impact on any of these targets during the year, caused by a change of control (e.g. divestments, change in % ownership) or otherwise, these targets will be recalculated for the same amount as the impact on actual results, subject to approval by the Remuneration Committee.

The Company does not disclose the actual targets per criterion, as this would require the disclosure of commercially sensitive information.

The bonus plan provides for deferred payments, hence will substitute as of next year the LTI cash plan as it is a hybrid plan, combining both short-term incentive and long-term incentive. For CLT members with a Target Bonus Value ≥ 37.5% of the Annal Base Salary, the payment of the achieved bonus is subject to a deferral period of three years, i.e. the bonus for Bonus Plan Period 2023 is paid out as follows:

Achieved bonus on maximum 37.5% OT of the Annual Base Salary paid in bonus year (performance period) +1.
Should the OT be above 37.5%: 50% of the achieved bonus on the exceeding OT in bonus year (performance period) +2 and 50% of the achieved bonus on the exceeding OT in bonus year (performance period) +3.

No additional KPIs or conditions will apply on the payment of the deferred bonus amounts, except being employed by the company at the moment of payment.

Bonus target clusters	Performance criteria (measurable & auditable)	Relative weight	a) Minimum target performance & b) Corresponding payment level*	a) On-target performance & b) Corresponding payment level*	a) Maximum target performance & b) Corresponding payment level*	2023 KPI performance and payment level at Barco group level
Financial	KPI 1: sales	45%	a) 70% b) 0.225	a) 100% b) 0.450	a) 125% b) 0.675	a) 87.51% b) 0.356
BU for BU leaders Barco Group for non-BU leaders	KPI 2: EBITDA % at end of Plan period	40%	a) 70% b) 0.200	a) 100% b) 0.400	a) 125% b) 0.600	a) 87.54% b) 0.317
Sustainability Drivers on Barco Group level	KPI 3: Greenhouse Gas emission reduction and Eco-labelled revenues	15%	a) 70% b) 0.075	a) 100% b) 0.150	a) 125% b) 0.225	a) 107.50% b) 0.175
Total Bonus Payment level individual bonus with lineair calculation in between milestones	0.5	1	1.5	0.848
Total Bonus: (individual OT bonus) x (total payment level)

Barco

Governance & Risk Report

* payout level expressed as a multiple of the "target" bonus

Long-term incentive Plan

The long-term incentive cash bonus 2021 – 2023 is subject to the Barco Group meeting the following performance targets over the respective 3-year plan period and continued employment on the last day of the plan period:

Cumulated net earnings,
EBITDA % at End of Plan Period, and
sustainability drivers (Greenhouse Gas Emission reduction and Eco-labeled revenues)

The LTI bonus vested on 31 December 2023.

Pension

The CLT is entitled to a complementary pension benefit based on the provisions of the defined contribution plans for senior executives in their base countries.

Other components of remuneration

The other main components for all CLT members are company car or car allowance, hospitalization or medical insurance and guaranteed income insurance in case of disability, next to occasional local benefits in accordance with local market practice.

2.C.2 Share based remuneration

As stated above, part of the LTI is delivered as stock options. The target SO value at grant is equal to 25% of the Participant's target variable compensation.

No shares were granted to the CLT members, nor was any other share-based remuneration provided to the CLT members, during 2023. Reference is made to the explanation given in the Corporate Governance Statement on page 4 regarding the reason for this deviation from article 7.9 of the Belgian Corporate Governance Code.

In 2023, following authorization by the general meeting and the Board of Directors, the Remuneration and Nomination Committee allotted stock options to 11 members of the CLT. The exercise price amounts to EUR 15.27 per option, with a three-year vesting period. The number of options to be offered to each individual beneficiary is variable in part. The options are offered to the beneficiaries for no consideration. For CLT members on a Belgian payroll the stock options are taxable at the moment of grant in application of the Belgian tax regulations. 169,600 stock options were granted to the members of the CLT.

All details on the stock options granted, vested, and exercised by the CLT members are provided in the table on page 19-20.

01 CORPORATE	02 RISK	03 ADDITIONAL RISK
GOVERNANCE	MANAGEMENT	INFORMATION

	Main provisions of the stock option plan End of Plan Grant Vesting retention Identification Date Date period Exercise period SOP 2023-CLT 08/12/2023 31/12/2026 NA 01/01/2027 - 07/12/2033 SOP 2022-CLT 08/12/2022 31/12/2025 NA 01/01/2026 - 07/12/2032 SOP 2021-P 06/12/2021 31/12/2024 NA 01/01/2025 - 05/12/2031							Information related to the financial year 2023
Name Position						Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised	Number of options expired
Gerwin Damberg, EVP						€ 15.27	0	a) 20,200 b) € 308,454
						€ 21.74	15,500
						€ 17.80	11,100
	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 28/10/2030	€ 12.76	16,100		a) 16,100 b) € 205,436
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	9,100
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 20,700 b) € 316,089
	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	12,500
Ann Desender,	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	12,400
CFO	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 28/10/2030	€ 12.76	29,400		a) 29,400 b) € 375,144
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	14,000
	SOP 2018-P	22/10/2018	31/12/2021	NA	01/01/2022 - 21/10/2028	€ 14.40	22,500
Dirk Feyants, EVP	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 18,200 b) € 277,914
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 19,100 b) € 291,657
Johan Fornier, EVP	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	37,325
	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	5,900

CGR 19

01 CORPORATE	02 RISK	03 ADDITIONAL RISK
GOVERNANCE	MANAGEMENT	INFORMATION

	Main provisions of the stock option plan End of Name Plan Grant Vesting retention Position Identification Date Date period Exercise period SOP 2023-CLT 08/12/2023 31/12/2026 NA 01/01/2027 - 07/12/2033 Ta Loon Gan, EVP SOP 2022-P 08/12/2022 31/12/2025 NA 01/01/2026 - 07/12/2032 SOP 2022-CLT 08/12/2022 31/12/2025 NA 01/01/2026 - 07/12/2032 SOP 2021-P 06/12/2021 31/12/2024 NA 01/01/2025 - 05/12/2031 Stijn Henderickx, EVP SOP 2020-P 29/10/2020 31/12/2023 NA 01/01/2024 - 28/10/2030							Information related to the financial year 2023
						Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised	Number of options expired
						€ 15.27	0	a) 16,900 b) € 258,063
						€ 21.74	8,389
						€ 21.74	18,929
						€ 17.80	7,800
						€ 12.76	15,500		a) 15,500 b) € 197,780
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	9,100
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 13,600 b) € 207,672
Anthony Huyghebaert, CHRO	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	9,500
	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	14,000
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 15,600 b) € 238,212
	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	10,000
	SOP 2021-P	06/12/2021	31/12/2024	NA	1/01/2025 - 5/12/2031	€ 17.80	8,000
Rob Jonckeere, EVP Operations	SOP 2020-P	29/10/2020	31/12/2023	NA	1/01/2024 - 28/10/2030	€ 12.76	12,500		a) 12,500 b) € 159,500
	SOP 2019-P	11/10/2019	31/12/2022	NA	1/01/2023 - 10/10/2029	€ 24.83	4,550
	SOP 2017-EEA	20/10/2017	31/12/2020	NA	1/01/2021 - 19/10/2027	€ 12.54	1,400
	SOP 2016-EEA	24/10/2016	31/12/2019	NA	1/01/2020 - 23/10/2026	€ 10.40	750			750

01 CORPORATE	02 RISK	03 ADDITIONAL RISK
GOVERNANCE	MANAGEMENT	INFORMATION

	Main provisions of the stock option plan						Information related to the financial year 2023
Name Position	Plan Identification	Grant Date	Vesting Date	End of retention period	Exercise period	Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised	Number of options expired
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 13,700 b) € 209,199
	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	13,072
Kurt Verheggen, General Counsel	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	8,300
	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 28/10/2030	€ 12.76	12,600		a) 12,600 b) € 160,776
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	7,000
Philippe Verlinde, CDIO	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 11,400 b) € 174,078
	SOP 2022-P	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	4,719
	SOP 2017-EEA	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2027	€ 12.54	3,500
	SOP 2023-CLT	08/12/2023	31/12/2026	NA	01/01/2027 - 07/12/2033	€ 15.27	0	a) 20,200 b) € 308,454
Kenneth Wang, EVP	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	17,139
	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	13,300

The details on the stock options granted, vested and exercised by the CLT members who left Barco are provided in the table below.

Stock options

	Main provisions of the stock option plan						Information related to the financial year 2023
Name Position	Plan Identification	Grant Date	Vesting Date	End of retention period	Exercise period	Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised	Number of options expired
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 31/12/2023	€ 24.83	5,950				5,950
Xavier Bourgois,	SOP 2017-EEA	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2027	€ 12.54	10,500
left 31 December 2021	SOP 2016-EEA	24/10/2016	31/12/2019	NA	01/01/2020 - 23/10/2026	€ 10.40	10,500
	SOP 2015-EEA	22/10/2015	31/12/2018	NA	01/01/2019 - 21/10/2025	€ 8.16	1,400
Geert Carrein,	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	5,000
retired 20 August	SOP 2017-EEA	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2027	€ 12.54	7,000
2023	SOP 2016-EEA	24/10/2016	31/12/2019	NA	01/01/2020 - 23/10/2026	€ 10.40	4,200
Tet Jong Chang,	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 28/10/2030	€ 12.76	14,000		a) 14,000 b) € 178,640
retired 31 March	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	11,900
2021	SOP 2017-ROW	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2025	€ 12.54	28,000
Olivier Croly, left 30 June 2022	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 31/12/2024	€ 12.76	21,000		a) 21,000 b) € 267,960
An Dewaele,	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 31/12/2023	€ 24.83	9,800				9,800
left 31 December 2021	SOP 2017-EEA	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2027	€ 12.54	28,000
Jan De Witte,	SOP 2020-CEO	29/10/2020	31/12/2023	NA	01/01/2024 - 31/12/2024	€ 12.76	182,000		a) 182,000 b) € 2,322,320
left 31 August 2021	SOP 2019-CEO	11/10/2019	31/12/2022	NA	01/01/2023 - 31/12/2023	€ 24.83	147,000				147,000

Main provisions of the stock option plan				Information related to the financial year 2023
Name Position	Plan Identification	Grant Date	Vesting Date	End of retention period	Exercise period	Exercise price	Number of options at the beginning of the year	a) Number of options granted b) value underlying shares @ grant date	a) Number of options vested b) value @ exercise price	Number of options exercised	Number of options expired
Johan Heyman,	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 10/10/2029	€ 24.83	5,950
left 30 September 2020	SOP 2018-P	23/10/2018	31/12/2021	NA	01/01/2022 - 22/10/2028	€ 14.40	2,500			2,500
	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 31/12/2024	€ 12.76	16,100		a) 16,100 b) € 205,436
	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 31/12/2023	€ 24.83	10,500				10,500
Filip Pintelon,	SOP 2017-EEA	20/10/2017	31/12/2020	NA	01/01/2021 - 19/10/2027	€ 12.54	35,000
left 22 October 2021	SOP 2016-EEA	24/10/2016	31/12/2019	NA	01/01/2020 - 23/10/2026	€ 10.40	28,000
	SOP 2015-EEA	22/10/2015	31/12/2018	NA	01/01/2019 - 21/10/2025	€ 8.16	2,000
	SOP 2014-EEA	23/10/2014	31/12/2017	NA	01/01/2018 - 22/10/2024	€ 7.86	12,241
Chris Sluys,	SOP 2022-CLT	08/12/2022	31/12/2025	NA	01/01/2026 - 07/12/2032	€ 21.74	7,500
retired 4 August 2023	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 05/12/2031	€ 17.80	9,800
Marc Spenlé,	SOP 2021-P	06/12/2021	31/12/2024	NA	01/01/2025 - 31/12/2025	€ 17.80	11,800
left 3 July 2022	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 31/12/2024	€ 12.76	19,600		a) 19,600 b) € 250,096
Nicolas Vanden Abeele,	SOP 2020-P	29/10/2020	31/12/2023	NA	01/01/2024 - 31/12/2024	€ 12.76	21,700		a) 21,700 b) € 276,892
left 22 October 2021	SOP 2019-P	11/10/2019	31/12/2022	NA	01/01/2023 - 31/12/2023	€ 24.83	11,900				11,900

Reference is made to page 68 in the Financial Statements for an overview of the stock options exercisable under the stock option plans.

01 CORPORATE GOVERNANCE 02 RISK MANAGEMENT

03 ADDITIONAL RISK INFORMATION

Part 3: Redundancy payments

Governance & Risk Report

Barco CLT members operate under an employment contract, concluded with the entity of the Barco group in the country where they live. Their contracts are governed by the local legal provisions. If the employment of a CLT member is terminated, local rules and legislation governing the contract of employment, including those pertaining to notice periods and severance payments, apply.

Upon proposal of the remuneration and nomination committee, the Board agreed on the departure compensation for one CLT member, and the basis for its calculation as set forward below.

Chris Sluys, former EVP Global Customer Success, left the CLT as of 1 March 2023 in view of his retirement and left Barco on 4 August 2023 after a short period of handing over to his successor. No severance or other compensation were due.

Geert Carrein, former EVP Diagnostics, resigned from the CLT as of 1 July 2023 in view of his retirement and left Barco on 20 August 2023 after a short period of handing over to his successor. No severance or other compensation were due.

Effective 1 June 2023, Erdem Soyal, former EVP Immersive Experience, left the CLT. The severance agreement included a notice period on garden leave of 6 months in accordance with the provisions of his employment contract and a prorated 2023 bonus based on the YTD KPI results. The notice period ended on 31 December 2023.

Part 4: Use of the right to reclaim

The company will use the legal options available for payback of variable remuneration in case fraud or other types of misconduct or irregularities in the results of the company would be discovered in a period of 2 years following its payment.

There was no reason for the Board to reclaim any previously paid variable remuneration to the CEO or to any of the CLT members.

Part 5: Deviations from the remuneration policy

All of the above was determined and paid in line with the existing company reward policies.

03 ADDITIONAL RISK INFORMATION

Barco

Evolution of remuneration and company performance

Part 6:

Pursuant to the Code of Companies and Associations, Barco reports the pay ratio of the highest FTE CEO remuneration versus the lowest FTE employee remuneration iin its legal entity Barco nv. The 2023 payratio is 20.94.

Part 7: Vote of the shareholder

In response to queries from investors following a rather low approval rate of the 2022 remuneration report, the company has made available on its website additional clarifications (Remuneration policy proposal AGM 2023) regarding certain facets of the executives' renumeration (e.g. cap on the grant of stock options, disclosure of performance metrics, derogation clause and remuneration of executive directors). Further, to meet investors' expectations on alignment between the company's performance and compensation, the remuneration report now discloses the key metrics used, their relative weight and the achievement rate at company level of the annual bonus plan.

In thousands of euro	2018	2019	2020	2021	2022	2023
Remuneration of Non-Executive Directors(1)
Total annual remuneration	430,449	416,825	402,425	426,475	303,425	393,325
Year-on-year difference (%)	-16%	-3%	-3%	6%	-29%	30%
Number of Non-Executive Directors under review	9	6	6	6	4	5
Remuneration of CEOs
Total annual remuneration of CEOs (EUR)	1,424,544	1,672,362	1,262,683	1,086,038	1,289,604	1,489,122
Year-on-year difference (%)	18%	17%	-24%	-14%	19%	15%
Remuneration of CLT
Total annual remuneration (EUR)	5,866,025	6,163,243	4,819,145	4,211,170	5,113,485	5,059,770
Year-on-year difference (%)	28%	5%	-22%	-13%	21%	-1%
Number of CLT Members under review	14	14	14	17	15	15
Barco Group Performance
NET SALES (M euro)	1,028,531	1,082,570	770,083	804,288	1,058,291	1,050,137
Year-on-year difference (%)	-5%	5%	-29%	4%	32%	-1%
EBITDA (M euro)	124,466	153,022	53,563	58,509	126,474	142,496
Year-on-year difference (%)	16%	23%	-65%	9%	116%	13%
Net income attributable (M euro)	74,965	95,363	-4,393	8,881	75,219	80,168
Year-on-year difference (%)	203%	27%	-105%	302%	747%	7%
Average remuneration per FTE employee(2)
Average employee cost per FTE (EUR)(3)	76,505	77,192	65,570	75,003	88,347	92,363
Year-on-year difference (%)	-0.4%	0.9%	-15.1%	14.4%	17.8%	4.5%

(1) As indicated in Part 2.A of the Remuneration Report the remuneration for non-executive directors is depending only on he number of meetings and is reported aggregated for this table.

(2) Average remuneration of employees is calculated on basis of "wages and direct social benefits" , including company cars, divided by the number of employees on year over year bases.

(3) Employee cost 2023 increase due to inflation and COL increases remaining high.

01 CORPORATE GOVERNANCE

02 RISK MANAGEMENT 03 ADDITIONAL RISK INFORMATION

Policies of conduct Managing sustainability

Statutory auditor

Transparency of transactions involving shares or other financial instruments of Barco

The company has issued a Market Abuse Prevention Policy which is being enforced as part of its compliance management program. It meets the requirements of the EU Regulation of 16 April, 2014 n° 596/2014 on market abuse. Persons discharging managerial responsibilities and persons closely associated with them must notify the Financial Services Market Authority ("FSMA") of any transactions involving shares or other financial instruments of Barco within three business days after the transaction. Such transactions are made public on the website of the FSMA (www.fsma.be) as well as the company's website, the latter on an aggregate basis.

At Barco, we see sustainability as one of the drivers of our corporate strategy. We design and act towards sustainable outcomes for our planet, our people and the communities we operate in. Governance keeps our corporate sustainability strategy on track, ensuring that our strategy remains effective, and that accountability for our results sits right at the top of our company. A more detailed description of our sustainability governance is available in our Planet-People-Communities chapter and on Barco's corporate website.

Conflicts of interest

The company has laid down the rules for conflicts of interest, applicable to its directors and executive managers, in its Corporate Governance Charter.

These rules complement the procedures set by the Code of Companies and Associations for conflicts of interest of a financial nature and related party transactions (Article 7:96 and 7:97 CCA).

In 2023, no conflicts of interest of a financial nature or related party transactions falling within the scope of these procedures arose.

Barco refers to note 22 'Related party transactions' in Financial Statements 2023.

Barco

Governance & Risk Report

CGR

Integrated report 2023

Risk management and control processes

Objectives

Within the context of its business operations, Barco is exposed to a wide variety of risks that can affect its ability to achieve its business objectives and to execute its corporate strategy successfully. To anticipate, identify, prioritize, manage and monitor the risks that impact its organization, Barco has put a sound risk management and control system into place in accordance with the Code of Companies and Associations and the 2020 Corporate Governance Code. Our risk management and control processes are actively supported by the Board of Directors. They understand the risks that Barco faces and assure that these risks are effectively managed by requiring that the CEOs and the Core Leadership Team (CLT) are fully engaged in risk management. Risk mitigation and control is a core task of the executive management and all employees with managerial responsibilities.

Barco's risk management and control system was set up to achieve the following objectives:

The risk management and control system is based on the principles of the COSO reference framework and the ISO 31000 risk management standard.

Control environment Risk management process

Barco strives for a strong compliance culture and risk awareness attitude by defining clear roles and responsibilities in all relevant domains. In this way, the company fosters an environment in which it pursues its business objectives and corporate strategy in a controlled manner. This environment is created by implementing various company-wide policies and procedures, such as:

The Code of Ethics
Decision and signature authority rules
The Barco culture building blocks
Quality and other management systems
Risk profiling, reporting and mitigation processes

Risk management is firmly embedded into Barco's processes, at all levels. For every key management, assurance and supporting process, Barco has developed and implemented a systematic risk management approach. It consists of five steps: identification, analysis, evaluation, response and monitoring.

The CLT fully endorses this approach. Employees are regularly informed and trained on these subjects to ensure sufficient risk management and control at all levels and in all areas of the organization.

Every year in the fourth quarter, we perform a company-wide risk assessment and compliance gap analysis. This exercise, which involves the CLT members, the legal & compliance responsible of the subsidiaries and other key employees, aims to strengthen and formalize risk awareness throughout Barco. It encourages the employees with managerial responsibilities to actively think about the risks that impact our business and provides them with a clear view on how their peers around the world perceive risk.

The yearly risk assessment and compliance gap analysis is a joint effort of the Risk Manager, the Global Compliance Manager, the Sustainability Manager and Internal Audit.

Identification

The Barco risk universe is reviewed on a yearly basis, based on insights from interviews with the CLT members, Environment Social Governance topics and a benchmarking against the risk reports published by the top global insurers and international organizations.

In 2023, the Barco risk universe was revised and split into four domains: Corporate risks, Environment, Social and Governance.

Barco risk universe

The following risks are taken into consideration. Analysis

(1) All 12 topics from Barco's risk universe 2022 were recovered. The Human capital & talent management was split into three topics. Several risks were slightly reworded. The description of the topics are added in the CGR and the PPC reports.

(2) 4 new topics were added resulting from the integration with the double materiality assessment.

Risk response

Management response to the top risks 'Risks to improve' are contained by means of an enhanced mitigation plan next to the continuous improvement actions and existing control measures. This plan must minimize the effect of these risks on the organization's ability to achieve its objectives and results. For these types of risks, if any, a CLT risk sponsor is appointed.
- 'Risks to monitor' are contained by means of the ongoing continuous improvement actions and existing control measures. These types of risks reside under the sponsorship of a CLT member who monitors them.
- 'Acceptable risks' and 'risks to optimize' are recorded in the risk register of the related process.

The outcome is summarized in a report that is presented to the Audit Committee and made available to the Board of Directors.

The Risk Manager supports the adoption of clear processes and procedures for a wide range of business operations. In addition to these control activities, an insurance program has been implemented for selected risk categories that cannot be absorbed without material impact on the company's balance sheet.

Monitoring

Risk monitoring helps to ensure that mitigation plans and internal controls continue to operate effectively. Progress of action plans and related status KPIs is tracked on a regular basis to remediate gaps in mitigation and monitoring activities.

Risks in the 'improve' and 'monitor' quadrants are subject to a regularly review by the CLT risk sponsor, the Risk Manager and a delegation of CLT members.

Barco

Governance & Risk Report

Control activities

Information and communication

The continuity and the quality of Barco's risk management and control system is assessed by following actors:

Internal Auditor the tasks and responsibilities assigned to Internal Audit are recorded in the internal audit charter, which has been approved by the Audit Committee. The key mission of internal audit as defined in the internal audit charter is "to add value to the organization by applying a systematic, disciplined approach to evaluating the internal control system and providing recommendations to improve it".
External Auditor in the context of the external audit review of the annual accounts and their assessment of key internal controls.
Compliance Officer within the framework of the company's Corporate Governance charter.
Risk Manager plays a pivotal role in the organization by ensuring appropriate coordination and follow-up of risk management activities.
Global Compliance Manager coordinates between different compliance roles, functionally and regionally. The compliance status and gaps are mapped on a regular basis in order to define compliance risks, priorities and mitigations as needed.
Audit Committee the Board of Directors, assisted by its Audit Committee, has the final responsibility with respect to internal control and risk management.
The Strategic Initiatives Enablement Group enables companywide sustainable performance breakthroughs on Barco's key strategic focus points, including the top risks to be improved.

A timely, complete and accurate information flow – both top-down and bottom-up – is a cornerstone of effective risk management.

In all operational domains, Barco has implemented a system to support efficient management and reporting of business transactions and risks. This system enables the Barco management to capture relevant information on particular areas of business operations at regular time intervals. The process enforces the clear assignment of roles and responsibilities, thus ensuring consistent communication to all stakeholders regarding external and internal changes or risks impacting their areas of responsibility.

In addition to the management control and reporting system, the company has put several measures into place to ensure the security of confidential information and to provide a communication channel for employees to report any (suspected) violation of laws, regulations, the company's Code of Ethics or policies.

Top risks

On the right are the top risks, identified by the 2023 Integrated Materiality, Risk & Compliance assessment. 5 Top risk are material for Barco. The Macroeconomic & geopolitical risk is a Top Risk for Barco but not retained as material from the Double Material project.

	Risk	Trend	Strategic lever
1	Innovation, new technologies & product portfolio	1 » 1	• Innovate for impact • Capture profitable and efficient growth
2	Customer experience	New: 2	• Innovate for impact • Capture profitable and efficient growth
3	Product quality & safety	4 » 3	• Innovate for impact • Capture profitable and efficient growth
4	Talent & career development	3 » 4	• Capture profitable and efficient growth • Go for sustainable impact
5	Macroeconomic & geopolitics risk	5 » 5	• Capture profitable and efficient growth
6	Responsible & resilient supply chains	2 » 6	• Capture profitable and efficient growth • Go for sustainable impact

Innovation, new technologies & product portfolio

Risk description

Mitigation plan

Barco's ability to outperform competitors and remain relevant in the market with new technologies, new business models, faster time-to-market, lower costs, or enhanced product features.

The risk includes the ability of balancing between core transformational innovation and sudden breakthroughs leading to sound product portfolio management. Next to that, it includes the ability of identifying societal needs and successfully converting these into value-adding products and solutions.

Trend

Lack of innovation speed, access to and control of new technologies, and a competitive product portfolio were identified as main risk both in 2021 and 2022, and remained the key risk for Barco in 2023 too.

The revised, lighter organizational structure, with the regional sales folded into the company's business units together with product management and research & development, allows for short decision paths and end-to-end accountability in each market.

Separate innovation and investment budget is secured to grow the company in the future. An increasing fraction of that budget is reserved for breakthrough long-term innovation projects. Budgets are located based on payback periods, opportunity size, patentability, sustainability and strategic fit, and are reviewed three times a year.

An innovation funnel, consisting of new ideas (funnel entry gate), seeds (shark tank gate), proof of concepts (incubators) and viable product/solutions (break even gate), is managed and reviewed on a quarterly basis. Accordingly, the product roadmaps are updated and aligned with market and customer needs. Derivate portfolios are prepared for adjacent markets. Strong focus is put on breakthrough innovation and concrete M&A opportunities are pursued.

Throughout the company, new ideas both within and outside the scope of the business unit are stimulated and picked up on the seed board, an integral part of the innovation funnel process.

Customer experience

Risk description

Mitigation plan

The overall impression and perception that customers have of a company, brand or organization based on their interactions and engagements throughout the customer journey.

This risk includes various elements such as customer lead follow-up, customer service satisfaction and product quality.

Trend

Customer experience is new in the risk universe and ranked in second position.

While managing the risk of constantly changing technologies and innovations, Barco must also understand how these are impacting its customers. Several mitigation plans focusing on customer-centricity and loyalty were installed to achieve the necessary alignment that will drive success. An integrated end-to-end process will help Barco to position its customer experience program as a core element of the company's overall technological and commercial strategy:

Customer-focused communication and brand strategy aimed at informing customers on key deliverables and our core values, highlighting our commitment to deliver reliable products and services.
Integrated cross-channel customer journey mapping covering all key touchpoints in order to ensure a continued and consistent value delivery.
Profound data analytics and insights gathering aimed at deepening our understanding of our customers, taking into account a strict and transparent protocol on data privacy and protection.

Product quality & safety

Risk description

Mitigation plan

At Barco we want to offer products and services that are healthy, safe, and secure to use.

This risk includes but is not limited to liability, management of recalls, product testing to eliminate risk of injury or damage and integration controls.

Trend

Product quality was one of our main risks in 2022 and remains so in 2023. We noticed a slight increase in both the ranking and the risk level.

Product quality is guaranteed by rigorously executing and monitoring the Barco processes covering the complete product life cycle – from procurement and product planning to design, development, and sales, all the way to customer services. These processes are embedded in Barco's quality management system, which is audited by independent external parties and customers. The product quality is monitored through a set of quality-related indicators covering the different interrelated processes.

In close collaboration with the dedicated quality teams, the business unit executive teams draw up a mitigation plan centered around the following themes:

Key product responsibles put emphasis on product maturity, reliability and manufacturability during the design milestones to ensure the market release of high-quality products and solutions.
Business unit executives monthly review the product quality dashboards and key performance indicators (KPIs) to initiate corrective and preventive actions.
Product quality and corresponding controls in the whole product life cycle are part of each change program that might affect product quality

Talent and career development

Risk description

Nurturing and enhancing the skills, knowledge and capabilities of individuals within Barco to support professional & personal growth and progression.

This risk includes providing opportunities, resources and guidance to employees to develop their talents, acquire new skills and advance their careers.

Trend

Talent and career development has been identified as an important risk in the last three years. In 2023, both the inherent risk and residual risk slightly changed.

Mitigation plan

The Human Resources team commits to investing in workforce strategy and organizational effectiveness as key focus domains. In addition, they deliver professional HR services to attract, develop, reward and engage a diverse and global workforce and ensure timely and clear communication to employees. Yet, every business unit leader and people manager is expected to take ownership and work on people topics in their daily activities, supported by the tools, solutions and advice that HR delivers.

The HR-related priorities start from the Barco business objectives, translating these into main HR actions in the following domains:

Site & workforce strategy: HR guides and partners with the business to translate the organizational strategy of the business units into a coherent people plan to develop proactive and strategic recruitment and training plans and ensuring we have a diverse and inclusive workforce at Barco.
Headcount management strategy: HR leads the recurrent review of headcount status and in-out turnover, monitoring worldwide talent pools in the diverse regions where we are active, in order to measure and improve the impact of our retention and recruitment plan.

• Culture, people & leadership development: HR provides employees and people leaders with the proper tools and solutions to work on performance management, employee and leadership development (through management enablement) an innovative and entrepreneurial mindset, employee engagement and wellbeing through an employee engagement measurement tool, a dedicated Barco University training offering (classroom, online, e-learning or hybrid) and continuing the culture journey with focus on a global, innovative and entrepreneurial culture.

» Read more in the Report on People

Macroeconomic & geopolitics risk

Risk description

Mitigation plan

Serious political and (macro-)economic evolutions and fluctuations can heavily impact the investment climate and could even stop the complete business in a country or region. Geopolitical tensions, pandemics, worsening trade relations and trade policy uncertainties impact the global economic activity and could translate into constraints to Barco's operations (tariffs, IP, investment restrictions, mobility restrictions), and rising trade barriers, particularly between China and the US and Europe..

Trend

The macroeconomic and geopolitics risk retains its position in the ranking. We do see a slight improvement in the risk level.

The company closely monitors the macroeconomic and geopolitical developments, in particular those affecting the countries in which it is active. The possible impact hereof on the company's operations (geographical footprint, supply chain, operations, import and export activities, commercial and go-to-market strategy, cash management, etc.) and remedial actions are assessed in business review meetings for the short term, and in the strategic Management Plan and Profit Plan for the mid to long term respectively. The construction of so-called focused factories in different countries will help Barco respond more flexibly to certain constraining geopolitical evolutions.
The wide spread of activities across different regions and industries contributes to absorbing the risk.

Responsible & resilient supply chains

Risk description

Driving responsible & ethical behavior by setting high standards across our supply chain.

This risk includes conducting due diligence assessments of the overall supply chain network and is aimed at identifying and addressing potential environmental, social and governance risks (such as labour practices & human rights, business ethics, energy & climate change, etc.). It also includes supply chain collaboration & innovation on sustainable products. With this, our supply chain will be better armed to adapt, recover, and withstand disruptions or unexpected events that may affect its normal operations by taking proactive measures and strategies.

Supply chain and Nth party risks were identified as the main risk in 2021, and as the second highest risk in 2022. In 2023, both the inherent risk and residual risk show an important improvement as dependency went down, thanks to our stronger multi-source strategy and the shrinking supply shortage

Mitigation plan

We maintained mitigation actions that we had defined in the past years and additionally have introduced two main actions focusing on:

Proactively identifying, analyzing and mitigating all types of supply chain risks related to our supply base, using the riskmethods solution (TM).
Improving supplier relation management to create a more balanced dependency and to reduce possible impact of a sole or single supplier.

Barco

Governance & Risk Report

Trend

in semicon.

Additional risk information pursuant to the non-financial disclosure directive

Barco

Integrated report 2023

CGR 40

As part of our risk assessment we have mapped all top risks to the material topics from the materiality assessment. The material topics, currently not identified as Top Risks, are described here.

Climate change and energy

Risk description

Climate transition and the environmental footprint in general holds a series of risks for Barco. The inability to meet (future) environmental legislation to limit CO2 emissions and increase energy and material efficiency could lead to regulatory fines (such as a carbon tax). More importantly, failure to adapt to changing customer behavior and address environmental concerns could negatively impact Barco's reputation with customers and investors, thus leading to loss in sales or even shareholder value. Physical climate change risks include impacts of extreme weather events on production facilities, living areas of our employees and/or equipment and disruptions in the supply chain due to these events.

Barco approach

(Upcoming) legislation and regulation: The Legal counsel, together with the environmental compliance office (ECO office) and the Environment, Health and Safety (EHS) department, closely follows the evolution of regional, national, EU and worldwide climate-related guidelines, directives, standards (including voluntary); and laws. We are closely monitoring the EU regulations that will be linked to the EU Green Deal. The ECO office is in charge to avoid the release of non-compliant products on the market or declare violation according to market surveillance. After scope assessment and product impact validation, these requirements become part of design requirements, guidance and validation/test reports. For example, all products placed on the market are validated by the product validation group according to strict international standards. Requirements are set prior to the design phase and locked into a follow up handshake tool between R&D and the validation group, plus part of ISO 9001 and ISO 14001 audit. All escalations are handled by the compliance steerco.
Physical climate change risks: Risk management, together with the insurance partner, regularly assesses how extreme weather events could impact our operations. Interruptions to our infrastructure could seriously impact our revenues and our brand reputation. Building and protecting the resilience of our products and services is and remains a top priority. The goal of Barco's business continuity plans is to keep the company up and running through interruptions such as natural disasters. For instance, when building new facilities or setting up business with new suppliers, risk assessment of extreme weather events in the region is included. Another example is the use of an alert tool: each member of the purchase team receives daily alerts on predefined (core) suppliers they are responsible for, including extreme-weather events such as floods or earthquakes, plans to close down production, etc. This allows for active monitoring of these suppliers, immediate communication with them and if necessary, timely search for alternatives.
Transition climate risk: For Barco this mainly relates to customer behaviour. The awareness about environmental issues is increasing among customers. Barco takes into account customer and market demands, often received via tenders and purchase orders. Via the different departments and central service and strategic marketing these requests are captured and replied to. Market demands are mainly driven by requirements of healthcare integrators, oil and gas industry operators, and European governments in line with green deal policies. On the supply side, sustainability risks are increasingly taken into account in the business review meetings with suppliers. In the ecodesign process, we evaluate the environmental impact of insourced components and promote the use of lower impact materials. Examples of how Barco addresses the energy and climate change aspect for its customers can be found in the Report on planet, people and communities.

• Technology risk: For Barco this is the risk of not making technology innovation choices that respond to the transition towards lower carbon emission technologies (lack of responsiveness to sustainable innovation trends). As part of our innovation process, every quarter ideas are being evaluated and checked against a number of criteria including sustainability risks & opportunities, which has become essential when developing new solutions early on. In the subsequent new product introduction (NPI)process, the eco scoring methodology ensures proper ecodesign of the products and increased energy efficiency at the customer

Barco's risk management process is not only set up to safeguard the assets and financial strength but also to protect Barco's reputation. In 2020 we communicated an ambitious Science Based climate target, which strengthens our reputation, which is confirmed externally (read more in the Report on planet, people and communities.

Plans for 2024 & beyond

In 2023 Barco started to refine the climate change risks and opportunities analysis linked with the financial statements. This entails a climate risk assessment (scenario analysis) calculating the anticipated financial effects from material physical risks, transition risks and technologies risks on the financial position in the short term, mid term and long term. Next to risks, financial effects arising from opportunities will be quantified. More details will be disclosed in the 2024 Annual Integrated Report. Finally, the potential financial effects from risks and opportunities related to resource use and circular economy will be further researched in the coming years.

Business ethics

Risk description

Insufficient fair practice and business behavior (according to the ethical standards and principles set by the Barco Code of Ethics), including fraud, corruption, bribery, abuse and violations of human rights leads to reputational damage, decrease of sales and legal investigations and prosecutions.

Barco is directly exposed to risks in the area of human rights as an employer in the first place, but also through its operations in the regions where it conducts business. Barco may source raw materials from suppliers which may not respect their employees' human rights, such as the freedom of association.

The increased pressure on management and employees could raise the temptation to deal with unscreened partners without any diligence procedures. The inability to foster an environment of equality and equal opportunities regardless of gender, race, ethnicity, age or sex could harm Barco's reputation and could lead to noncompliance with applicable laws and regulations.

Approach

Code of Ethics:

Barco's Code of Ethics is fully endorsed and applies to everyone employed by Barco and its partners, regardless of position and level of responsibility. In 2023, we released a new Code of Ethics. Among other things, it includes updates in the areas like Diversity & Inclusion and installs a newly composed Ethics Committee.
The mandatory training on "Standards@Work" helps educate our people and reminds them about the group's ethical principles and values.

• The ethics mailbox is available to everyone who wishes to report, even anonymously, any issue to the Ethics Committee. In line with the EU Whistleblowers' directive, Barco has also set up a whistleblower reporting tool through the assistance of an external service provider. The number of ethical issues (split up per type and status) is reported in the PPC report.

Suppliers

• Our suppliers must comply with the Responsible Business Alliance (RBA) code of Conduct, including labor, ethics and health and safety standards. Before engaging in a business relationship, we screen new suppliers, considering the risk profile and reputation of each partner as well as their adherence to ethical standards. Existing key partners are screened periodically. Key principles such as the four-eyes principles ensure segregation of duties in our procurement and buying processes.

Human rights and anti-discrimination

Barco applies a human rights policy in line with the standards and policies set by the Universal Declaration of Human Rights, the International Labor Organization (ILO), the UN Guiding Principles on Business and Human Rights and the OECD Guidelines for Multinational Enterprises. Our Human Rights pledge and our anti-discrimination policy are available on our intranet.
To oversee this pledge, we use the company-wide compliance management system. Adherence to the anti-discrimination policy is monitored by the HR department.
Barco includes all its employees in collective bargaining agreements by complying with all necessary local workforce regulations in the countries of operation. Specific workforce-related topics are handled in company-specific collective bargaining agreements. Where Where applicable, Barco organizes workers' councils (both national and international).
We promote equal opportunity and do not discriminate against any employee, candidate, contractor or supplier based on nationality, race, age, physical disability, social, political or religious preference or other personal characteristics. Barco encourages social and cultural diversity, and our recruitment, remuneration, evaluation and supplier-tender processes are based solely on professional qualifications.

Anti-corruption

In order to limit the risk of money laundering, a process to screen incoming payments is in place under the Payment Processing Policy.
Employees in sales functions and dedicated corporate functions across the world must follow a mandatory anti-bribery course as part of the "Standards@Work" level 2 training.

Financial risk management and internal control

A finance-management process policy is in place explaining the Barco policy framework, describing the Barco finance organization and explaining the process for financial reporting in order to provide management and Barco's Audit Committee and Board with accurately, completely, timely and consistently applied (across divisions and regions) financial statements and financial information in accordance with IFRS regulations in order to support Barco's CEOs and Board in defining short- (forecast), mid- (profit plan) and long-term targets (strategic management plan) and strategy.
Finance and accounting manuals, which are available for key accounting sections, ensure the accurate and consistent application of accounting rules throughout the company.
Specifically, within the financial domain, a quarterly bottom-up risk analysis is conducted to identify and document current risk factors (up-down sides reporting) that have potential impact on the forecasted results. Action plans are defined for all key risks. The results of the analysis are discussed with the statutory auditor at least every half year.
The accounting teams are responsible for producing the accounting figures (closing books, reconciliations, etc.), whereas the business partnering (controlling) teams check the validity of these figures. These checks include analytical reviews through comparison with historical and budget figures as well as sample checks of transactions according to their materiality.
All material areas of the financial statements concerning critical accounting judgements and estimates are periodically reported to the Audit Committee.
Specific internal control activities concerning financial reporting are in place, as documented in the financial closing and reporting procedure. This procedure assures clear communication of timelines, completeness of tasks, and clear assignment of responsibilities. Specific identification procedures for financial risks are in place to assure the completeness of financial accruals.
Uniform reporting and a standard chart of accounts throughout the organization ensures a consistent flow of financial information, which allows the detection of potential anomalies.
To provide Barco's investors and other (external) stakeholders with the information necessary for making sound business decisions, financial reporting is shared with the outside world. The external financial calendar is planned in consultation with the Board of Directors and the Core Leadership Team and then announced to external stakeholders.
Financial reporting and analyses are shared with Barco's CEOs, the CLT and divisional and functional excoms in order to drive actions towards short- (forecast), mid- (budget) and long-term targets in accordance with the strategy set forward.

2023 Integrated annual report

Report on planet, people & communities PERFORMANCE

04 REPORTING ON EU TAXONOMY 03 SUSTAINABILITY 06 ANNEX

05 MANAGING SUSTAINABILITY

01. Our sustainability ambition statement . 3
02. Our sustainability strategy . 4
Go for sustainable impact 5
Looking forward: materiality assessment
as our strategic compass 12
How the UN Sustainable Development Goals
guide Barco's strategy 15

03. Our sustainability performance	18
Planet	19
People 34
Communities 48

05. Managing sustainability 76
Sustainability governance and responsibility 77
Stakeholder engagement and materiality 78
External initiatives (platforms and commitments) 78
Certifications 78
External evaluations 78

Reporting on EU taxonomy . . 68

06. Annex	79
EU taxonomy reporting table 80
Scope and methodology of carbon footprint and
of measurement of products with Barco ECO label	83
Material topics for Barco 86

This is the planet - people - communities section of Barco's 2023 Integrated annual report. Other sections are available via the download center at ir.barco.com/2023.

CORE

ANNEX

SUSTAINABILITY STRATEGY 03

SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

Our sustainability ambition statement

Sustainability is an integral part of Barco's DNA . It is our ambi tion to design and act towards sustainable outcomes for our planet, people and communities .

1. We lower the environmental footprint of our customers by developing sustainable products and further reduce our own footprint .
1. We invest in sustainable employability by creating the right conditions for our employees to have an engaging, enriching and healthy career at Barco . We do this by encouraging our people to learn and develop themselves and by ensuring a healthy working environment – both physically and mentally . We engage in building an inclusive workplace that embraces the diversity of our people as this boosts our innovation capacity .
1. We play an active role in the communities we operate in by upholding the highest ethical and quality standards and expecting the same from our business partners . We always aim to deliver added value to our customers through our solutions, services and capabilities . In addition, we help ensure more people can participate in and benefit from Barco's innovation .

Barco has geared up and is moving forward to a more sus tainable future .

An Steegen & Charles Beauduin CEOs Barco

Barco

Planet - People - Communities

Integrated report 2023

4 PPC 02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

06 ANNEX 05 MANAGING SUSTAINABILITY

Our sustainability strategy

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Go for sustainable impact

Our sustainability strategy 'Go for Sustainable Impact' is an integral part of our corporate strategy, 'Visioneering a bright tomorrow'. Because we believe growing our company goes hand in hand with helping our people and the communities around us thrive, while safeguarding our planet.

That's why Barco's sustainable impact strategy is focused on three pillars: planet, people and communities. For each pillar, we defined an overall ambition statement and linked it to the areas that matter most to our stakeholders and where we can achieve the greatest impact: our material topics. The material topics are defined in our 2020 materiality assessment.*

We translated our sustainability ambitions in measurable targets, so we can track our progress year over year. An overview of all our measured KPIs can be found in the Integrated Data Pack.

* As this 2023 Report on planet, people and communities looks back on the performance since 2020, it is based on the (highly) material topics resulting from the 2020 materiality assessment. As of 2024, these material topics will be updated based on the double materiality assessment performed in 2023. Accordingly, we will also update our measured KPIs and Integrated Data Pack.

MATERIAL TOPICS AMBITION We will lower the environmental footprint of our customers and further reduce our own footprint. • Climate change & energy • Product stewardship* • Waste management We invest in sustainable employability by creating the right conditions for our employees to have an engaging, enriching and healthy career at Barco. We do this by encouraging our people to learn and develop themselves and by ensuring a healthy working environment – both physically and mentally. We engage in building an inclusive workplace that embraces the diversity of our people as this boosts our innovation capacity. • Employee engagement • Learning & development • Employee health, safety & wellbeing • Diversity & inclusion • Labor practices & human rights • Customer engagement • Product quality, safety & security • Information security & data protection • Business ethics • Responsible supply chain management • Corporate governance • Community engagement We will play an active role in the communities we operate in by upholding the highest ethical and quality standards and expecting the same from our business partners. We always aim to deliver added value to our customers through our solutions, services and capabilities. In addition, we help ensure more people can participate in and benefit from Barco's innovation. Planet People Communities

Our sustainable impact pillars, ambitions and material topics

tonnes CO2

The greenhouse gas emissions from our own operations amounted to 37

• a switch to renewable electricity in our manufacturing and R&D plants and

The targets set for 2023 to specifically decrease greenhouse gas emissions from logistics, infrastructure and mobility have also been achieved.

• electrification of our company fleet and business travel policy

e / mio € revenues in 2023 – a relative reduction of 54% compared

05 MANAGING SUSTAINABILITY 06 ANNEX

e / mio € revenues). This means we

-35%

Planet

Our sustainable impact targets and progress

1. Take science-based climate action

Greenhouse gas emissions of our own operations » Read more on page 22 Tonnes CO2e / mio € revenues

Tonnes CO2e / mio € revenues

to the 2015 baseline (80.5 tonnes CO2

a reduction of fossil fuels on site

surpassed our 35% reduction target thanks to: • a modal shift from air to sea freight transport

By 2023, reduce greenhouse gas emissions from own operations by 35% (vs 2015)

Greenhouse gas emissions from our infrastructure Greenhouse gas emissions from business mobility Tonnes CO2e / mio € revenues

By 2025, reduce absolute greenhouse gas emissions by 45% (vs 2015)*

We managed to further reduce our absolute emissions by another 11% versus 2022. Our emissions are now 63% lower than the 2015 levels – so we are on course to surpass the 45% reduction target set for 2025. In 2023, we also started working on a mid-term 2030 GHG emission reduction target and thinking how to achieve the long-term net zero 2050 target.

» Read more on page 20

* Target approved by Science Based Targets initiative, in line with the Intergovernmental panel on climate change (IPCC) 1.5°C scenario, covering Scope 1, 2 and 3 emissions. As SBTi requires targets to cover a minimum of 5 years from the date the target is submitted to the SBTi for validation, the target year has been set to 2025.
All KPIs related to CO2 emissions were subject to a limited assurance exercise

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

-15%

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Planet

Our sustainable impact targets and progress

By 2023, reduce energy consumption in own operations by 15% (vs 2015)

At the end of 2023, total energy (electricity and fuel) consumption in our facilities amounted to 29.2 MWh/mio euro revenues – a 34% decrease against the 2015 baseline. This means that we achieved our 2023 target: to reduce energy consumption by 15% compared to the 2015 base year. Even more, we exceeded our 2023 relative reduction target by 22%.

In 2023 we aimed for landfilling zero waste. Although we did not quit achieve our target, we reached an all-time low percentage of landfilled waste in 2023: 2% versus 10% in 2022. We aim to send zero waste to landfill in 2024.

% waste to landfill % recycled/composted waste

In 2023 the solid waste in operations recycling rate rose to 80%, achieving our 2023 target. This is mainly thanks to the selection of better waste recycling partners in the US.

2020 2021 2022 2023

58% 63%

80%

By 2023, recycle 80% of solid waste in own operations

0 80%

52%

7 PPC 05 MANAGING SUSTAINABILITY 06 ANNEX

Planet

Our sustainable impact targets and progress

2. Enable our customers to lower their environmental footprint

Planet - People - Communities

By 2023, ensure that at least

Focusing on the sustainability of our best-selling products, we aimed to derive 70% of our (product & project) revenues from Barco ecolabeled products by the end of 2023. Although the ambitious 70% target was not quite reached, we worked hard and made substantial progress, achieving 65%. Since 2021, revenues from ecolabeled products have risen from 31% in 2021 to 50% in 2022 and eventually 65% in 2023.

» Read more on page 28

The KPI related to this target was subject to a limited assurance exercise.

% energy footprint reduction of sold products (vs 2015)

2020 2021 2022 2023

Thanks to the dedicated efforts of our R&D and product teams, 90% of the new hardware products released in 2023 carried a Barco ECO label (ecoscore A or higher) – a 27% increase versus 2022. In this way, we surpassed our ambitious 75% target for 2023. Across business units, there is a dedicated funnel of new Barco ecolabeled hardware products that will steer revenues in the coming years.

% of new products released with Barco ECO label (hardware)

2020 2021 2022 2023

65% 63%

90%

By 2023, 75% of new products released have a Barco ECO label

48%

(hardware)

» Read more on page 29 » Read more on page 28

05 MANAGING SUSTAINABILITY 06 ANNEX

Our sustainable impact targets and progress

Empower all our colleagues to have an engaging, enriching and healthy career

Each year, aim for an Invest in learning and development

Planet - People - Communities

improvement of the employee Net Promoter Score towards 30

Since 2022, Barco has included a specific standardized E-NPS (employee Net Promotor Score) question in its annual employee survey. The E-NPS survey for 2023 resulted in a score of 13, close to the 2022 score, indicating 'good engagement' (0-30). Our long-term objective remains to improve this score towards 30 'great engagement'.

For the third year in a row the average training hours per employee have increased (28% versus last year and even 50% versus 2021). With 99% of our employees having followed training, we reach effectively all our employees.

Barco made progress on various diversity dimensions in 2023. We first focused on raising awareness on diversity and creating an inclusive organization. In 2023, a longlist of concrete actions was launched, gradually driving change and putting the topic on the agenda across the different levels of the organization.

% women overall % women in senior

management

17% 16%

Number of nationalities in the global workforce in 2023

2020 2021 2022 2023

19% 18%

» Read more on page 36 » Read more on page 38 » Read more on page 37

Step up our efforts in diversity & inclusion

28% 27% 29% 30%

2020 2021 2022 2023

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Communities

+1 yearly

Our sustainable impact targets and progress

1. Always act lawfully, ethically and with integrity wherever we operate

% employees trained in Standards@Work % of heads (white collars)

As in previous years, we trained almost all our employees (white collars) via Standards@Work, a company-wide training program including courses on ethics, environment, cybersecurity, data protection, quality and safety.

2. Deliver great customer experience

+2 yearly

By 2025, we aim to increase our global Net Promoter Score by 2 points per year. All business units have set individual NPS targets to achieve that global target.

3. Proactively manage information security risks

Barco's cybersecurity maturity score increased from 2.66 to 2.78 in 2023 (NIST CSF). By the end of 2025 we aim to improve that score to 3.4.

NIST CSF

ISO 27001 certification (security) # of product lines in scope

The ISO 27001 certification scope including Clickshare and XMS was extended, in 2023, with the medical display manufacturing processes in Saronno, Italy. The scope will be further extended in the coming years.

versus 2022).

Customer Net Promoter Score Relationship NPS

In 2023, Barco achieved its highest full year NPS ever at 48 (+4 p.

47 47 ⁴⁴ ⁴⁸

2020 2021 2022 2023

Integrated report 2023

sustainability score

2020 2021 2022 2023

44%

71%

58%

81%

Communities

Our sustainable impact targets and progress

4. Engage our suppliers in adopting sustainable business practices

By 2023, have suppliers covering at least 70% of our production spend scored on their sustainability performance

70%

In 2023, Barco has outlined its sustainability commitments in a sustainable procurement policy. We have integrated sustainability into every step of the procurement process.

100% new production suppliers were screened on sustainability using the supplier self-assessment
90 % (vs. 84% in 2022) of our production spend was covered by a signed declaration of compliance with the Barco Code of Conduct for suppliers (in line with the RBA Code of Conduct)
Suppliers covering 81% of our production spend were scored on their sustainability performance, achieving the 2023 target of 70%.

% of production spend covered by supplier » Read more on page 56

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

Looking forward: materiality assessment as our strategic compass

A materiality assessment helps organizations understand what issues matter most to their business and stakeholders. Barco performed a first, comprehensive materiality assessment in 2020 and kept it up to date over the years to make sure it reflects the latest developments in its business, market and external environment. In 2023, we completed a double materiality assessment in which we want to give a first insight. Its outcome will be embedded into our corporate strategy in 2024.

Our approach

The double materiality assessment that we performed in 2023 was a first step towards Corporate Sustainability Reporting Directive (CSRD) compliance. In line with the concept of double materiality, we identified, assessed, and prioritized the impact, risks, and opportunities, not only within Barco but also across our value chain and broader ecosystem.

We approached the assessment as a strategic project to capture valuable input from various stakeholder groups. In total, 290 internal and external stakeholders – across our regions of activity – participated, encompassing the following stakeholder groups:

Board of Directors and senior management
Employees
Distributors, resellers, partners, and integrators
End-customers
Suppliers
Society and community representatives (industry associations, academic institutions, key opinion leaders, etc.)
Financial institutions (including investors and analysts)

The double materiality assessment serves as a strategic compass to determine our sustainability ambitions, strategy and actions for the coming years.

Thomas Serbruyns Vice-President Strategic Initiatives

We will translate the outcome of the double materiality assessment into Barco's value creation model (which describes how we create value to our stakeholders in the short, medium, and long term). The resulting matrix will guide us in updating and focusing our sustainability ambitions, strategy, and actions for the coming years.

What is double materiality?

The impact materiality: the potential and actual positive or negative impact of Barco on society (inside-out).
The financial materiality: the risks and opportunities that have or may have financial effects on Barco (impact of society on Barco, outside-in)

Double materiality assessment: a 5-step process

The double materiality assessment consists of the following 5 steps:*

* A detailed description of the double materiality process will be published in our 2024 Integrated Report.

** The methodology developed is based upon the EFRAG guidance on double materiality (as mandated by the European Commission).

13 PPC

Double Materiality Matrix

The matrix shows the topics that are either impact material (y-axis), financial material (x-axis) or both for Barco:

Impact material topics – top 5:

Sustainable product lifecycle management
Innovation, technology & product portfolio
Talent & career development
Climate change & energy
Circular economy & waste

Financial material topics – top 5:

Innovation, technologies and product portfolio
Customer experience
Talent & career development
Product quality & safety
Sustainable product lifecycle management

The following topics rank significantly higher in both impact materiality and financial materiality than in our 2020 materiality assessment:

Innovation, technology & product portfolio
Sustainable product lifecycle management
Talent & career development
Customer experience

The assessment confirms that Barco has been focusing on the right topics, i.e. topics where the impact on society or the impact on Barco is the highest, and motivates us to intensify our initiatives in these domains. Moreover, as Diversity & inclusion and Circular economy & waste appear to be strategically important topics to our stakeholders too, we will also strengthen our commitment in these areas.

FINANCIAL MATERIALITY (IMPACT ON BARCO)

In the coming years, we aim to refine the double materiality assessment and make it more dynamic, and data driven.

For a description of the material topics, check the table in the Annex of this Report on planet, people and communities.

Next steps

The outcome of the double materiality assessment will be translated into Barco's corporate strategy, serving as a basis to update and focus our sustainability ambitions, strategy and actions for the coming years. This means refining or defining KPIs, targets, policies and action plans for every material topic. We will also keep setting a high standard on other important ESG topics. As of 2025 we will publish our annual integrated report in line with the Corporate Sustainability Reporting Directive (CSRD).

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

How the UN Sustainable Development Goals guide Barco's strategy

We use the United Nations Sustainable Development Goals (SDGs) as a guideline to shape our strategy and ambitions. Defined in 2015, the SDGs consist of 17 global goals with a 2030 deadline. All 193 countries in the UN General Assembly adopted this resolution.

We realize these goals cannot be met without support from the global business community. Our approach to supporting the SDGs is to focus on the goals where we can have the most impact, while screening and implementing actions that contribute to the other goals as well.

To identify the SDGs where Barco can make the most impactful difference, we start from the material topics that our stakeholders determined in our double materiality assessment and from Barco's strategy. That led to the following six SDGs:

SDG 3: Good health & well-being: Ensure healthy lives and promote wellbeing for all at all ages
SDG 7: Affordable and clean energy: Ensure access to affordable, reliable, sustainable and modern energy for all
SDG 8: Decent work and economic growth: Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
SDG 9: Industry, innovation and infrastructure: Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation
SDG 12: Responsible consumption and production: Ensure sustainable consumption and production patterns
SDG 13: Climate action: Take urgent action to combat climate change and its impacts

Barco's strategic levers, linked to material topics and the UN SDGs

Product quality, safety

& security

Lifecycle Management

UN SDGs

MATERIAL TOPICS

Lifecycle management 5. Circular Economy & waste 02 SUSTAINABILITY STRATEGY 03 SUSTAINABILITY

PERFORMANCE 04 REPORTING

ON EU TAXONOMY 05 MANAGING

We aim to be part of the sustainability solution.

"A market leader with an extensive track record in sustainability": that's how Dries Vanneste knew Barco when he pursued the role of sustainability manager. Since early 2023, he has been steering and advancing our sustainability strategy. What are his first impressions, challenges, and outlook? We got together and asked him.

What makes you proud?

Does the perception you had when joining Barco still resonate strongly? Is Barco setting the tone in sustainability?

Dries: Barco has been accelerating its sustainability journey since 2015. That makes us one of the early adopters and a role model in the tech industry. In fact, the push came from one of our customers, who asked us to measure our carbon footprint and report it to the Carbon Disclosure Project. We began by drafting an action plan to curb our CO2 emissions and since then our work has never stopped

Barco is, of course, a global company. Is sustainability key in every country where Barco is active?

Dries: Sustainability is part of Barco's DNA, so this really is a global effort. We team up across divisions, business units, and country borders to improve our environmental and social impact. So yes, we are also translating sustainability actions towards our regional offices. In Europe, the Green Deal keeps us particularly sharp, but China and the US are clearly accelerating their efforts too.

Every Barco business unit incorporates sustainability targets within its strategic marketing plans and even our performance bonuses include sustainability KPIs. These are pretty ambitious commitments.

Dries Vanneste Sustainability Manager

Could you illustrate Barco's frontrunner role with some examples?

Dries: Every Barco business unit incorporates sustainability targets within its strategic marketing plans and even our group performance bonuses include sustainability KPIs. These are pretty ambitious commitments.

If I look back on the past year, I'm especially proud about the substantial increase in revenue from products with the Barco ECO Label, i.e. products that perform exceptionally well according to our ecoscoring methodology. This is the result of hard work of our R&D and product teams. Also, the methodology, which scores products throughout their lifecycle, is unique in our industry.

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Challenges along the way?

As really all eyes are on ESG these days: what are your main challenges along the road?

Dries: Data collection and (lifecycle) management are among our biggest challenges. We need high-quality, non-financial data to be able to constantly improve our performance and meet the upcoming reporting requirements. Moreover, data and insights are also the way to make reliable sustainability claims and avoid unintentional greenwashing. Still, it's not easy to capture the complex data from an extensive range of sources, process it, and transform it into useful, meaningful results. In 2023, we appointed a dedicated Sustainability Controller to help us drive this initiative forward. In the meantime, we've drafted a sustainability reporting roadmap to prepare for CSRD.

CSRD introduced the concept of double materiality. Is Barco ready to report on it?

Dries: Double materiality requires us to consider how our actions impact people and the planet, and vice versa. In fact, we have just conducted a double materiality assessment. We consulted a wide range of internal and external stakeholders to understand how they view our sustainability strategy, ambitions, and actions. Stakeholders valued the consultations and their input was really valuable for us. In the meantime, we have shared the insights across the different business units. Based on the results, we will shape the agenda for our sustainability strategy of the coming years, which we'll reveal in the 2024 integrated report.

Could you give us a sneak peek? Any remarkable outcomes you can share?

Dries: The stakeholder consultation validated our existing material topics, but did reveal some aspects where we should move into a higher gear. Diversity & Inclusion and circular economy will need more focus in the future.

A bright tomorrow

How will Barco's sustainability strategy look within 5 years?

Dries: Well, a sustainable business is not built overnight. It's a process. We will keep up our efforts on material topics like mitigating climate change, ensuring product stewardship, product quality, safety and security, nurturing talent, driving sustainable innovation, etc., and add new topics to our roadmap. One of the focus areas in the coming years will be to set new, ambitious greenhouse gas emission reduction targets beyond 2025 and determine action plans to achieve these targets.

Yet, more than reducing our negative impact, we wish to be part of the solution too, by increasing our positive impact on planet and people. Our healthcare applications, for example, and collaborative technology solutions like ClickShare, can help drive sustainability around the globe.

The steps taken in recent years are a solid foundation. By pursuing this path, we aim to continually enhance our impact and deliver a really bright tomorrow for our ecosystem and the world at large.

Looking for more sustainability insights? Check out the roundtable discussion on sustainable visualization, featuring Sustainability Manager Dries Vanneste, and his colleagues Jan Daem, Product Compliance Manager, and Tom Bert, Vice President Product, Cinema

The steps taken in recent years are a solid foundation. By pursuing this path, we aim to continually enhance our positive impact and deliver a really bright tomorrow.

Barco

Planet - People - Communities

Barco

Planet - People - Communities

Integrated report 2023

18 PPC 02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

05 MANAGING SUSTAINABILITY 06 ANNEX

Our sustainability performance

05 MANAGING SUSTAINABILITY 06 ANNEX

Planet

Our ambition

We will lower the environment footprint of our customers and further reduce our own footprint.

Our targets

	Primary targets*	Supporting targets
	By 2023, reduce energy consumption in own operations by 15% (vs 2015)	By 2023, send zero waste from own operations to landfill
1. Take science-based climate action	By 2023, reduce greenhouse gas emissions from own operations by 35% (vs 2015) 	By 2023, recycle 80% of solid waste in own operations
	By 2025, reduce absolute greenhouse gas emissions by 45% (vs 2015)** 

2. Enable our customers to lower their environmental footprint	By 2023, ensure that at least 70% of our revenues come from products with the Barco ECO label 	By 2023, 75% of new products released have a Barco ECO label
	By 2023, reduce the energy footprint of our products by 25% (vs 2015)

The full list of environmental KPIs can be found in the Integrated Data Pack. Scope and methodology can be found in 'Scope and methodology of carbon footprint and of measurement of products with Barco ECO label'

* The baseline of greenhouse gas emissions and energy footprint refer is 2015, as this is the year where we started measuring these indicators
** Target approved by Science Based Targets initiative, in line with the Intergovernmental panel on climate change (IPCC) 1.5°C scenario, covering Scope 1, 2 and 3 emissions. As SBTi requires targets to cover a minimum of 5 years from the date the target is submitted to the SBTi for validation, the target year has been set to 2025.
The KPIs related to these targets were subject to a limited assurance exercise. This limited assurance exercise on a selected number of Planet KPIs that we started in 2021, was continued and extended in 2022 and 2023 (see assurance report). All KPIs related to CO2 emissions have now been covered by this limited assurance exercise.

The assurance opinion on the 2021 and 2022 indicators subject to limited assurance can be found in the 2021 & 2022 PPC report.

Our roadmap towards sustainable impact: key initiatives and action plans

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

1.Take science-based climate action

02 SUSTAINABILITY STRATEGY

1.1 Total GHG emission reduction

01 SUSTAINABILITY AMBITION STATEMENT

In 2020, Barco committed to setting science-based targets to further solidify its ambitious climate action. We commit to aligning our business with the most ambitious goals of the Paris Agreement: to limit the global temperature rise to 1.5°C above pre-industrial levels.

Our absolute target is to reduce scope 1, 2, and 3 greenhouse gas emissions by 45% by 2025 from a 2015 base year. This target was approved by the Science Based Targets initiative in March 2021.

We managed to reduce our emissions by 11% versus 2022. As our emissions are 63% lower than the 2015 levels, we are on course to surpass the 45% reduction target set for 2025.

In 2023, we further integrated greenhouse gas emissions reduction targets in the forward-looking strategic plans of every business unit. Also, we started working on a mid-term 2030 greenhouse gas emissions reduction target and thinking how to achieve the long-term net zero 2050 target.

Total greenhouse gas emissions (absolute) tonnes CO2 e TARGET 2025: -45% vs 2015

05 MANAGING SUSTAINABILITY 06 ANNEX

$$\frac{50 \cdot 1}{550 \cdot 5}$$

$$\frac{512 \cdot 2}{279 \cdot 6}$$

$$279 \cdot 6$$

Total greenhouse gas emissions (relative) Tonnes CO2 e / mio € revenues

Companies like Barco, that manage to align an ambitious climate strategy with their business strategy, can truly turn the climate change challenge into concrete opportunities. They will reduce costs, lower risks, strengthen their brand reputation, and even have the chance to explore new business.

Serge de Gheldere Founder & CEO Futureproofed, part of Sweco

02 SUSTAINABILITY 03 SUSTAINABILITY PERFORMANCE

04 REPORTING

ON EU TAXONOMY 05 MANAGING SUSTAINABILITY

06 ANNEX

1.2 Own operations: lowering energy consumption

STRATEGY

At the end of 2023, total energy (electricity and fuel) consumption in our facilities amounted to 29.2 MWh/mio euro revenues – a 34% decrease against the 2015 baseline (44 MWh/ mio euro revenues). This means that we achieved our 2023 target: to reduce energy consumption by 15% compared to the 2015 base year (37.6 MWh/mio euro revenues). Even more, we exceeded our relative reduction target by 22%.

In 2023, we further cut total energy consumption versus 2022, mainly thanks to a significantly lower gas consumption in our Atlanta (US), Karlsruhe (Germany) & Frederikstad (Norway) facilities (partly due to the mild winter). Moreover, we further reduced the overall energy footprint of our facilities, specifically in Karlsruhe and Frederikstad. Engaging employees in our commitment to energy efficiency – via our internal communication channels, the mandatory Sustainability Standards@ work training and the compliance challenge – greatly helps to achieve our ambitious reduction targets.

As the share of gas in the total energy consumption lowered, the share of electricity rose sharply, in 2023, to 62%, mainly because of the increase in electric company vehicles at our Kortrijk campus.

Barco's energy consumption from renewable sources rose to 61% of the total, the highest level ever, mainly thanks to the switch to renewable electricity in our main sites across the globe. We expect the share of renewables in our energy mix to further increase.

A key effort in that regard is the wind turbine that we want to install at our One Campus site in Kortrijk (Belgium). With a projected annual production of 11,290 MWh, it would cover the power consumption of the entire campus, while the surpluses could be stored and shared. After several years of preparation, we obtained a permit from the province of West-Flanders and, in appeal, the Flemish Minister responsible for Environment. Following the petitions filed by four neighbors, the permit is now undergoing a judicial review by the Council of Permit Disputes. We are hopeful that the judicial review procedure will turn out favorably for Barco.

Energy consumption in own operations (relative)

tonnes CO2 e / mio € revenues TARGET 2025: -15% vs 2015

% renewable

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

05 MANAGING SUSTAINABILITY 06 ANNEX

1.3 Own operations: lowering emissions from logistics, mobility, and infrastructure

STRATEGY

Own operations' emissions entail all emissions from infrastructure (energy, refrigerants, & waste on site) and from mobility (company vehicles, business travel, & employee commuting), as well as logistics emissions (air, train, & sea transport) – in other words: scope 1, 2, as well as upstream scope 3 emissions (excluding emissions from purchased goods & services and capital goods).

The greenhouse gas emissions from our own operations amounted to 37.1 tonnes CO2 e / mio € revenues – a relative reduction of 54% compared to the 2015 baseline (80.5 tonnes CO2 e / mio € revenues). This means we surpassed our 35% reduction target by 2023 compared to the 2015 baseline.

This accomplishment is credited to the dedication of our global operations and supply chain community, which drove

a modal shift from air to sea freight transport
electrification of our company fleet
a switch to renewable electricity in our manufacturing and R&D plants

The 35% reduction target has been integrated into the employee bonus program, rewarding employees for the proportion of the target achieved. Looking forward, we will take further actions to reduce our absolute carbon emissions from logistics, mobility, and infrastructure in order to achieve our -45% absolute carbon emission reduction target by 2025 vs. 2015.

Greenhouse gas emissions of our own operations

tonnes CO2 e / mio € revenues TARGET 2023: 52.3 (-35% vs 2015)

Logistics

Logistics, i.e. the transport of incoming goods and outgoing finished products, was responsible for 70% of Barco's own CO2 emissions in 2023. Overall logistics-related greenhouse gas emissions dropped by 50% from the 2015 base year (52.2 tonnes CO2 e / mio € revenues). This means we achieved our 35% reduction target by 2023 vs 2015. Compared to 2022, we reduced the overall logistics-related greenhouse gas emissions by 14%.

The shift from air to sea freight picked up again in the second half of 2022 and accelerated in 2023, particularly for major interregional movements. As a result, 47% of our total transport kms was covered by deep-sea shipping in 2023, surpassing 2020 levels.

It is our ambition to keep working proactively on the modal shift in the coming years. We actively collaborate with partners and customers, proposing alternatives for air shipments. There are opportunities to further increase the tonnage transported by sea on the Belgium-US lane, the second-highest in CO2 emissions, where significant air freight volumes still exist.

More than that, we continued working in 2023 on:

Re-designing packaging for logistics: when designing new products, we choose smaller and lighter packaging, in order to reduce the volume and/or the weight of fastmoving appliances. Packaging/logistics is one of the four domains in our ecodesign program.
Modular product design: as more new Barco products are built on existing platforms, only the final customization must be done in a local warehouse. In this way, we can ship larger volumes to overseas destinations up front by sea.

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

• Transport and warehousing tenders include a sustainability clause, articulating that logistics suppliers are expected to inform Barco about their sustainability plans and initiatives. This information is considered in the overall decision matrix and in our supplier selection procedure. In addition, we add sustainability clauses to contracts, driving our suppliers to advance their efforts to cut carbon emissions.

In 2023, we further invested in shortening our supply chains, by moving production to China for Chinese markets. We will further monitor the impact of our focused factories strategy on the carbon emissions from logistics.

Greenhouse gas emission logistics

e / mio € revenues

tonnes CO2

Mobility

The second-largest source of greenhouse gas emissions from our own operations is mobility: business travel, company cars, and commuting. In 2023, mobility accounted for 23% of Barco's CO2 emissions from own operations.

Overall mobility-related greenhouse gas emissions dropped by 55% between the 2015 base year (19.1 tonnes CO2 e / mio € revenues) and 2023. This means we achieved our target to reduce emissions by 23% by 2023 vs. 2015.

Relative reduction compared to 2015 %

Integrated report 2023

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Compared to 2022, there was an increase of 26% of mobility emissions, which was due to the following trends:

STRATEGY

1. Business travel (travel via air and train accounting for 54% of mobility emissions) increased significantly after a spectacular drop in previous years due to covid-19 restrictions. We wanted to give our people the chance to reconnect with their colleagues, keeping the 'Barco travel policy in mind'. We expect the business travel volumes to further increase in 2024, but are working with our business travel partners on concrete initiatives to reduce business travel emissions.
1. We continued the transition to electric company cars (19% of mobility emissions are related to our company cars): over 50% of our fleet are now EVs (300+). By the end of 2023, the Kortrijk site boasted 206 charging points, mainly thanks to extra investments in charging stations and an extra high voltage transformer. We will keep up our electrification efforts and further reduce company cars-related CO2 emissions.
1. Emissions from employee commuting (27% of mobility emissions) remained lower than in pre-covid times, as many employees prefer to keep working remotely at least some of the time – which Barco's HR policy facilitates. Next to this, we continued investing in hybrid meeting rooms with ClickShare Conference, which ensures an inclusive and efficient meeting culture. +

Infrastructure

The third source of greenhouse gas emissions from our own operations is infrastructure: emissions from the use of electricity, fossil fuels (excl. company cars), waste treatment, and the leakage of refrigerant gases from cooling equipment. In 2023, the share of infrastructure in Barco's own CO2 emissions was 7%, which was mainly attributable to the use of fossil fuels.

Overall infrastructure-related greenhouse gas emissions dropped by 71% between 2015 (9.2 tonnes CO2 e / mio € revenues) and 2023 – largely thanks to the switch to renewable electricity in all our R&D and manufacturing sites. We achieved our target to reduce infrastructure-related greenhouse gas emissions by 66% by 2023 vs 2015.

As mentioned earlier, gas consumption was at an all-time low level (-20% versus 2022), while electricity consumption from renewable sources soared to 61% of total energy consumption.

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

1.4 Reducing greenhouse gas emissions from our products (product-use emissions)

STRATEGY

Product-use emissions (scope 3 category 11), resulting from the use of our products at customers' sites, stand out as Barco's largest emission source . Particularly our projectors (Cinema & Immersive Experience business units) and control room solutions (Large Video Wall Experience) contribute to prod uct-use emissions .

In 2023, these emissions totaled 241 .5 tonnes CO 2 e / mio € revenues, a 11% drop in relation to 2022 . From 2015 to 2023, product-use emissions decreased by 65%, driven by our con tinuous focus on improving the ecoscore (including energy efficiency) of our products . In this way, we help reduce the environmental (including carbon) footprint of our customers .

Looking ahead, the transition to more software solutions in our control room business will further decrease product-use emissions . This reduction will be amplified by the accelerating shift from traditional lamp-based to laser projectors, offer ing enhanced capabilities with lower energy consumption . Continued innovation in projector and control room technol ogy will play a crucial role in further driving down product-use emissions .

Based on Life Cycle Assessment (LCA) results (see more detailed information further in this report), we will be able to refine the environmental impact hotspots (including the most impactful carbon emission categories) of our products across their lifecycle . This will allow us to take more targeted actions . Detailed calculations for product-use emissions can be found in the Annex of this report .

Greenhouse gas emissions of sold products (product use emissions) tonnes CO 2

Barco receives Philips Supplier Award for Sustainability

e / mio € revenues On 1 June 2023, Worldwide healthcare technology leader Philips awarded Barco the Supplier Award for Sustainability . Philips is one of Barco's longtime, valued strategic partners.

Scott Schwartz, Chief Procurement Officer at Philips comments: "Barco has made consistent sustainability efforts since 2015 such as reducing the carbon emissions of their own operations by 50% . They show a strategic approach towards sus tainability, which is reflected in their day-to-day work and proposals for new product introductions . On top of that, they are proactive in the submission of sustainability documentation and don't need any follow-up . That makes conversations and agreements about the topic easy to have . "

Johan Fornier, EVP Surgical & Modality: "The Supplier Award for Sustainability represents excel lent teamwork – between both the Philips teams and our own product and sustainability teams . We thank Philips for the excellent partnership that we enjoy with them . We look forward to continuing and growing our sustainability efforts together . "

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

2. Product Stewardship: lowering the environmental footprint of our customers

2.1 Refining our ecodesign approach

Back in 2017, we released our ecoscoring tool, an objective tool to determine the environmental performance of our products. It assesses products on four domains: energy performance, use of materials, packaging/logistics, and end-of-life optimization (i.e., the way products can be maintained, refurbished, upgraded, and eventually recycled).

To improve the value and credibility of the tool towards external stakeholders, we submit it to an annual external audit under the framework of the ISO 14021:2016/Amd 1:2021 standard (limited assurance). The audit ensures that the methodology of our ecoscoring tool is clear, complete, reliable, objective and based on relevant impact aspects.

Most important updates in 2023

We continuously enhance our ecodesign strategy and tool to anticipate and comply with new regulations, meet challenging customer demands, and adapt to evolving eco-design procurement technology.

• Implementing the capability to perform full Life Cycle Assessments (LCA). This will allow us to calculate the environmental impact of our products and solutions across their lifecycle and integrate this into our ecoscoring methodology. To do so, we invested in state-of-theart AI-based LCA tooling. The LCA of our CX-50 second generation ClickShare was performed, resulting in a CO2 - Neutral label.

ClickShare reaches new sustainability heights with CO2 ® Neutral Label

An interview with Frederick Morlion, Business Health & Supply Chain Manager

What do you do if you meet the highest standards you set yourself? You go looking for new challenges. At least, that's what the team behind our ClickShare product range did. The second generation of our ClickShare CX-50 has become one of the world's very first carbon-neutral wireless conferencing systems, and now boasts the CO2 Neutral Label.

Logical next step

In 2022, ClickShare's CX-30 and CX-50 solutions both achieved A++, the highest label in our ecoscoring system. But that doesn't mean there was no more room for improvement. "ClickShare has always been one of Barco's best-in-class products when it comes to sustainability", says Business Health & Supply Chain Manager Frederick Morlion.

"We realized the obtaining an A++ ecoscore for our new product range was ambitious, but realistic because we could reuse expertise from previous projects where we had achieved an A++ ecoscore. Since resting on our laurels is not at all part of Barco's DNA, we went looking for another way to keep raising the bar. We quickly agreed that creating one of the world's very first

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

carbon-neutral wireless conferencing systems was the logical next step."

Go all the way

The result: a CO2 Neutral Silver label by climate advisory organization CO2logic. "The label indisputably guarantees that we've significantly reduced our CO2 emissions throughout the product lifecycle," Frederick explains. "From the very start of the project, CO2 logic stated clearly that we had to show ambition and go all the way in our CO2 reduction. So that's what we did."

The remaining carbon emissions associated with the production and use of our CX-50 second generation are offset through the Qianbei Afforestation Project. "We chose a project with a highly visible impact on our planet," Frederick clarifies. "By strategically planting trees, the project transforms wasteland into a thriving forest in the Guizhou province in South China."

Keep pushing

Frederick is thrilled with the progress made in 2023. "All our customers increased their sustainability commitments, and I'm proud that Barco can help them in achieving their goals. That's not just something we achieved last year, but a mindset we've had for several years now. We consider it our duty to continue pushing our boundaries and to keep lobbying within our sector to move our suppliers, customers, and other stakeholders to do the same."

» Read more on our CO2 Neutral Label here

• Kicking off the Eco-Platform design funding project with KU Leuven University. By assessing our existing ecoscore methodology, the university will help us pinpoint gaps and embed ecodesign in the tooling set of our R&D engineers.

STRATEGY

Developing a methodology to assess the sustainability performance of software.
Investigating the impact of the draft Green Claims Directive and Digital Product Passport and integrating it in the ecoscore.
Adding more detailed data to our ecoscoring process (e.g. data on recycled contents, long-time battery performance) to boost its accuracy.
Raising the financial incentive in the employee bonus program, which rewards employees for the proportion of ecolabeled revenues in the total revenues.
Embedding the ecoscoring tool and practices in the onboarding training for new employees. For other colleagues, such as procurement and R&D employees, we organize refresher courses several times a year. We also continued our online supplier trainings.

Barco

27 PPC

ENERGY

The ClickShare team reduced the carbon footprint of the ClickShare CX-50 second generation with specific actions in the four critical areas that also make up Barco's ecoscoring methodology.

1. Energy performance: we improved energy efficiency and are compliant with the strictest requirements for standby mode, outperforming all our competitors.
1. Materials: the CX-50 second generation is made with 100% non-painted, recyclable plastics and halogen-free printed circuit boards (PCBs).
1. Packaging & logistics: we use fully recyclable, biodegradable sugarcane packaging and ship the products by sea whenever possible to minimize our logistic footprint.
1. Lifecycle: within our Trade-in Program, we recycle customers' old hardware in an eco-conscious way and replace it with our carbon-neutral alternative.

4 routes to carbon neutrality

Planet - People - Communities

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

A look at our targets

Thanks to the dedicated efforts of our R&D and product teams, 90% of the new hardware products released in 2023 carried an ECO label (ecoscore A or higher) – 27% increase from 2022. In this way, we surpassed our ambitious 75% target in 2023. Across business units, there is a dedicated funnel of new A-labeled hardware products that will steer revenues in the coming years.

STRATEGY

Focusing on the sustainability of our best-selling products, we aimed to derive 70% of our (product & project) revenues from ecolabeled products by the end of 2023. This target has been included in our employee bonus program, together with the emission reduction target for our own operations. Although the ambitious 70% target was not quite reached, we worked hard and made substantial progress, achieving 65%. Since 2021, revenues from ecolabeled products have risen from 31% in 2021 to 50% in 2022 and eventually 65% in 2023.

In 2024, however, we want to achieve the 70% target and we aim for 75% by 2025. Both are lofty goals since we will broaden the scope of the calculation to consider all revenues, including software and services.

% of new products released with Barco ECO label (hardware) TARGET 2023: 75%

% revenues from products with Barco ECO label TARGET 2023: 70%

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

05 MANAGING SUSTAINABILITY 06 ANNEX

2.2 Improving the energy efficiency of our products

As the energy our products consume on our customers' premises has a major impact on climate change via Greenhouse Gas (GHG) emissions, improving their energy efficiency is a high-attention topic. Energy efficiency is therefore one of the four domains in Barco's ecodesign program.

Enhancing energy efficiency is, however, not easy as the market expects an ever-improving performance of visualization solutions, which requires a higher energy consumption. We therefore measure energy consumption relative to delivered capability (brightness, resolution, luminance, etc.) in "watt/ delivered capability".

Our 2023 target was a 25% reduction of the average energy footprint of our products compared to 2015. We managed to cut the footprint by 30%, surpassing our 25% target. This is mainly thanks to the growing adoption of laser projectors, which consume less power (-50 to -70%) than lamp-based systems, while delivering higher performance. Continued smart innovation in video wall and projector technology will help us further reduce energy consumption.

* The energy efficiency index of our products represents energy consumption/delivered capability of Barco's major groups: projectors products in the Entertainment division and large video walls & LED products in the Enterprise division. The energy performance is defined as Watt/delivered capability. This indicator is weighted on revenues from the considered products and normalized to a 2015 baseline value (with default value 1,0).

Energy efficiency index of sold products* (relative vs 2015 base year) TARGET 2023: 0.75 (-25% vs 2015)

18 Lm/W Our G50 projectors have a market leading energy efficiency of up to 18 Lm/W

Integrated report 2023

3. Circular economy & waste

3.1 Improving waste management in our own operations

The two main sources of solid waste at Barco are packaging materials (waste from operations) and waste from repair activities in our US site.

At the end of 2023, the total solid waste was 1.30 tonnes/ mio euro revenues – a 7,5% increase compared to 2022 (1.20 tonnes/mio euro revenues). This is due to the high number of repair activities at our US offices.

First and foremost, we aim to minimize the amount of waste from operations, especially non-sorted waste, by

guiding suppliers of incoming components and products on how to reduce packaging
raising awareness amongst suppliers to use recyclable packaging materials
by inciting employees to sort waste efficiently and correctly. Waste recycling is part of our 5S audit system, where the presence of the different waste recycling bins is checked.

In 2023 the solid waste in operations recycling rate rose to 80%, achieving our 2023 target. This is the highest rate ever achieved (+17% versus 2022), mainly thanks to the selection of better waste recycling partners in the US.

While waste from operations is approaching the minimum, we did generate extra waste in our repair activity at our US offices. In 2023 we also aimed for landfilling zero waste. Here, too, we reached an all-time low percentage of landfilled waste in 2023: 2% versus 10% in 2022. We aim to send zero waste to landfill in 2024.

Solid waste generated in own operations Tonnes / mio € revenues

29%

% waste to landfill TARGET 2023: 0%

15%

3.2 Offering circular solutions

The circular economy is a focus area in Barco's sustainability strategy. We want to provide our customers an increasingly circular experience, by delivering innovative products and services. Through smart design and services, we aim to reduce waste and retain the highest utility and value of products and components, for as long as possible.

Circular product design

Our ecodesign program embeds several criteria to boost the circularity of our products: improving the upgradability and modularity, facilitating the repair, and increasing the use of recyclable and recycled materials, both in the products and in their packaging.

In 2023, 10% of new products launched contained post-consumer recycled (PCR) plastics, down from 12% last year. This decrease is mainly due to the fact that we launched proportionally more healthcare devices and equipment, which require stricter plastic mechanical specifications and cosmetic requirements. We are investigating and testing different PCR plastic solutions that are safe for use in healthcare environments too, in order to boost the amount of PCR plastics used in our product .

Barco

Planet - People - Communities

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Barco The ecodesign program also focuses on improving material efficiency, by, for example, making our products more robust/long lasting, optimizing the packaging volumetric weight, reducing the number of accessories, or digitizing our manuals. In 2023, material use intensity was 3,272 kg / mio € revenues versus 3,511 kg / mio € revenues in 2022.

STRATEGY

Next to our internal circular design efforts, we fully support the development of clear, objective criteria that drive the industry toward more circular products. As an active member of the CEN-CENELEC Joint Technical Committee 10 on energy-related products, we help establish an objective measuring methodology for the repairability and recyclability of products, thus improving their circularity.

Stepping up our efforts: Life Cycle Assessment

As mentioned above, we have been performing Life Cycle Assessment (LCA) studies since 2022 to quantify the environmental impact of Barco products and services. The LCA results encompass about 16 environmental impact categories, including carbon footprint but also aspects like acidification and mineral resource depletion. The LCA tool will help us validate decisions considered during the ecodesign program, ensuring that the choices we make help avoid and/or reduce the burden on the environment. In this way, we are stepping into the next phase of quantitative sustainability assessment.

By integrating Life Cycle Assessment results in our R&D design process we can make more sustainable decisions from the early design phase, in order to further decrease the environmental footprint of our products.

Madeleine Vandenabeele Environmental Sustainability Engineer

03 SUSTAINABILITY PERFORMANCE

05 MANAGING SUSTAINABILITY 06 ANNEX

Product recycling services

As e-waste is one of the fastest growing waste streams, it is crucial for our products to be recycled at end-of-life. This is the basic first step in a circular economy. Every Barco product comes with a user manual that includes information for customers on how to handle the end-of-life stage, and a recycling passport that offers recycling information to recyclers.

We allow customers to return used products to recycling partners free of charge. In 2023, 68% of our revenues were sold in countries where we participate in and offer product return and recycling programs. Where no structured program is in place yet, we offer ad-hoc recycling and collection services. We demand that all our recycling partners are ISO 14001 certified and comply with legislation regarding the prohibition of e-waste export.

In line with the Extended Producer Responsibility (EPR) legal requirements, Barco must pay upfront for the recycling of all electronic waste, batteries and packaging placed on the different markets. In 2023, we signed several additional contracts with waste compliance schemes around the globe in order to comply with EPR and duly monitor our waste streams.

Keeping up our frontrunner position

To increase transparency into product composition and improve waste treatment operations, the European Chemicals Agency (ECHA) has deployed a publicly accessible database. The SCIP* database provides information on all the substances of very high concern present in articles placed on the EU market. In this way, it ensures that the information on the articles is available throughout the entire lifecycle of products and materials, including at the waste stage – information that is particularly interesting for recyclers, amongst others.

Since 2021, Barco has been registering all its active end-products in the ECHA SCIP database. We were able to do that prior to the deadline thanks to our large coverage of Full Material Disclosures (FMDs) (83% of active components in 2023) and Restriction of Hazardous Substances (RoHS) certificates with the applicable exemptions. That makes us a pioneer when it comes to providing transparent and up-to-date information. Further regulatory outlooks have triggered us to roll out the digital passport as intended by the draft EU Ecodesign for Sustainable Products initiative.

A new Circular Economy KPI

In 2023, we started developing a Circular Economy KPI to promote the adoption of circular business models, products, and solutions across all Barco divisions. This new KPI, set to be measured from 2024 onward, will help us address the End-of-Life (EoL) of our products by encouraging practices such as reuse of components, product-as-a-service, refurbishing, and reconditioning. More than designing for an extended lifetime of our products or avoiding the EoL as much as possible, this KPI will drive tangible actions to minimize the environmental impact of Barco solutions during the entire lifecycle and increase materials use efficiency.

» Read more on our website

* Substances of Concern In articles as such or in complex objects (Products)

Planet - People - Communities

STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Modularity driving the way towards circular economy in the LCD video wall

Our Large Video Wall Experience team has been working hard to introduce modularity into the world of LCD video walls.

In 2023, they launched the UniSee upgrade program, based on two circular economy concepts: upgradability and modularity. By maximizing the compatibility and modularity of the components – mechanics, cabling, input electronics, power supplies, and accompanying cables –used in the different devices of the UniSee family, customers can now upgrade their existing UniSee products to UniSee II, the latest LCD technology.

With over 4,000 video walls in scope, this program will significantly improve materials use efficiency and reduce our impact on raw materials depletion and associated environmental pollution. At the same time, it will extend the useful lifetime of components and improve the circularity of the video wall. In addition to the numerous environmental benefits, this new program also helps our customers to secure their investments and upgrade their devices to the latest technology.

video walls in the scope of the UniSee upgrade program

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY SUSTAINABILITY 06 ANNEX

05 MANAGING

People

Our ambition

We invest in sustainable employability by creating the right conditions for our employees to have an engaging, enriching, and healthy career at Barco. We do this by encouraging our people to learn and develop themselves and by ensuring a healthy working environment – both physically and mentally. We engage in building an inclusive workplace that embraces the diversity of our people, as this significantly boosts our innovation capacity.

Our targets

enriching and healthier career

Primary targets

Each year, aim for an employee Net Promoter Score of at least 30

Step up our efforts in diversity

Invest in learning and development

Supporting targets

Each year, aim for zero work accidents

The people of Barco

Per functional group

Figures reported are in heads (not FTE). For definitions on indicators: see glossary. We refer to note 4 in the financial chapter for more information on the headcount evolution.

34 PPC

The full list of employee related KPIs can be found in the Integrated Data Pack.

Our roadmap towards sustainable impact: a retrospect on 2023

The year 2023 was marked by 'building the future'. While the reorganization kicked off at the end of 2021 continued, we were also able to focus on continuous improvement, shaping the future of our teams and Barco. Two key programs stood out:

Our digital HR transformation journey

» Barco Assist, our brand-new digital service platform, equips our employees with a knowledge base and a ticketing system to address their HR- and IT-related FAQs. It ensures a more efficient workflow for both our HR and IT teams and frees up time for them to focus on value-added tasks.
» To further raise efficiency levels, we selected a new, nextgen HR platform, in Q1 2023. Implementation kicked off in late-2023 and the platform is expected to be fully completed before mid-2024.

Our Management Enablement Program

In response to the 2022 employee engagement survey, we promised to improve leadership development at Barco. In 2023, we rolled out phase 1 of a multi-year program, inviting all our people managers to 10 courses, covering practical topics (e.g., feedback and performance assessments), as well as broader topics like fostering diverse team collaboration and addressing unconscious bias (D&I).

03 SUSTAINABILITY PERFORMANCE

1. Our results in 2023

1.1 Employee engagement

Engaged employees are involved in, enthusiastic about and committed to their work and their workplace – which drives the success of a business. That's why Barco has always made big investments in employee engagement.

STRATEGY

In the course of 2023, all divisions and functions worked on the topic of engagement, based on the two priorities emerging from the survey of 2022: strategy communication plus recognition and engagement. Some managers went a step further and worked on topics that needed improvement in their particular teams, such as work-life balance or career development.

In November 2023, Barco launched a new employee survey that included the E-NPS (Employee Net Promotor Score) question: 'How likely are you to recommend Barco as an employer to people you know as a great place to work?'. The participation rate surged to 87%, a big step-up compared to 2022. Notably, for the first time, all employees, including blue-collar workers were invited to take part in the same survey.

The E-NPS yielded a score of 13, indicating 'good engagement', consistent with the 2022 results. 'Diversity & Inclusion' and 'Innovation' were perceived as our strengths, while 'Strategic Alignment' and 'Growth and Development' received lower scores. Based on these results, the existing action plans will be updated and new actions will be defined for 2024.

01 SUSTAINABILITY AMBITION 02 SUSTAINABILITY STRATEGY 03 SUSTAINABILITY PERFORMANCE 04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Diversity by gender

% of heads

STATEMENT

Barco made progress on various diversity dimensions in 2023. Diversity & Inclusion is a strategic topic which is high on our agenda, with a lot of actions described further in this report. We do realize that it will take time before we see the impact of our initiatives in the (lagging) performance indicators. Today we are focusing on raising awareness throughout the company and supporting our managers to drive inclusion within the global teams.

» Read more on page 44

Diversity by nationality

Number of nationalities in the global workforce

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

1.3 Employee learning and development

STRATEGY

At Barco, we are dedicated to promoting and supporting employee learning & development. Every year, we critically review our offering of training programs and development opportunities for their continuous improvement.

For the third year in a row the average training hours per employee increased (+28% versus last year and even +50% versus 2021). With 99% of our employees having followed training, we reach effectively all our employees.

In 2023, our learning and development team focused on the Management Enablement Program, designed specifically for all our people managers. The comprehensive initiative comprises 10 distinct training blocks, accumulating over 2,000 training hours. Our online training videos attracted over 2,500 visitors, and more than 400 Barco people managers joined the live Managers Connect event.

In 2023, we also continued the Standards@Work program, with three e-learning games (on manufacturing, sales, and after-sales). The LinkedIn training offering continued to attract our employees. In total, close to 1,900 employees followed more than 6,000 training hours.

Next to these company-wide programs, a number of dedicated training sessions were offered to specific teams, based on the requests of specific organizations. A couple of examples: Quality awareness training, ESD (electrostatic discharge) training for operators, the principles of value engineering, and a workshop on personal effectiveness.

As a result of these actions, we see for the second consecutive year the average number of hours per employee increase. While we realize there is more work to do, we are clearly on the right track.

1.4 Employee safety, health & well-being

At Barco, we care about people. The health, safety, and well-being of our employees are among our daily priorities and something we propagate at every site and level in our company. The Environment, Health, Safety, and Security Pledge, which we launched several years ago, remains our guide on our journey towards a safer and healthier workplace. Every year, new initiatives are taken to make health and safety top of mind among our employees.

As a result of these efforts, our key performance indicators have remained stable for the past two years, proving that we can maintain the stepped-up performance. Our ambition is, of course, to further improve in the coming years.

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

1.5 Labor practices and human rights in our own operations

Human rights are the fundamental rights, freedoms, and standards of treatment to which all people are entitled. Barco commits to manage and respect human rights in its own operations, as well as in the value chain in accordance with the internationally recognized human rights contained in the following standards and conventions:

1. The Universal Declaration of Human Rights
1. The International Labor Organization's (ILO) Declaration on Fundamental Principles and Rights at Work, and the ILO eight fundamental labor conventions
1. The UN Guiding Principles on Business and Human Rights 4. The OECD Guidelines for Multinational Enterprises

The full text of our human rights pledge is available on our website.

As reported before, Barco identified the three salient risks in its own operations: discrimination, protection of identity and non-retaliation, and emergency preparedness. We also identified the process on how to measure our performance on these risks.

For 2023, we can report the follow results:

Discrimination: This indicator is measured by the number discrimination cases. For 2023, 1 case was reported.
Protection of identity and non-retaliation: The performance is measured by the number of retaliation cases. The result for 2023 is zero registered cases.

• Emergency preparedness: The performance is measured by the number of Barco sites which performed at least one emergency evacuation exercise during the year. This is reported by the Corporate Risk Manager as part of the yearly site profile scan. The score for 2023 is 86%, in line with the previous reported result.

Our employees can report any case of human rights violation to [email protected]. Every case is investigated diligently. A remediation procedure in line with national legislation is foreseen, if applicable. Further, complaints can be filed using the Ethics Helpline, a completely anonymous reporting tool implemented pursuant to the EU directive nr. 2019/1937 on the protection of persons who report breaches of Union law ('Whistleblowers Directive').

Read the Ethics & compliance chapter of this report for more information.

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Stepping up our culture journey in 2023

Rather than working on all cultural building blocks at once, we decided to focus on two specific blocks in 2023. This allows us to focus our communication with employees and make better progress. The building blocks we chose in 2023 are 'We look for the better way', addressing the need for innovation & entrepreneurship and 'We team up to win globally', addressing the need for more diversity & inclusion.

»Diversity & Inclusion

»Innovation & Entrepreneurship

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

05 MANAGING SUSTAINABILITY 06 ANNEX

1. Zooming in on innovation and entrepreneurship at Barco

Innovation is at the heart of our company. When we think about innovation, we always think about innovating products and business models. Here we show how innovation is also possible in peoplerelated matters.

1.1 Innovation, entrepreneurship, and operator-centric design on the production floor

Improving productivity remains a core focus on all shop floors. Even after many years of continuous improvement, we keep looking for ways to optimize our processes at every Barco production plant. In 2023, we redesigned a selection of workstations to boost operator efficiency, while alleviating the physical strain.

With a good deal of creativity and innovative thinking, change for the better is always possible: that is the starting point of our long-running iGemba improvement program. We used a fact-based methodology to minimize ergonomic strain and enhance efficiency.

Using the MTM – Methods-Time-Measurement – technique, colleagues around the world meticulously charted operator movements to then examine if they could reorganize workstations, organizing all movements within the optimal golden zone: 45-degree area in front of the operator. Operating within this zone maximizes efficiency, while mitigating waste and ergonomic risks.

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Barco In the meantime, the new technique has already been implemented across multiple factories. As operators were closely involved in the research, the improvements were met with enthusiasm. As Daniel Qiang, Operations Director at Barco Suzhou said: "Operators say they feel like they're being taken care of."

STRATEGY

A cross-functional team, trained by our internal MTM expert, employed videography to analyze two workstations. In line with the concept of the Golden Zone, which is the optimal area for positioning tools from an ergonomics point of view, we optimized the workstations, emphasizing 'one motion picking' to minimize operator movement during assembly. Material and tools are now strategically placed within the operator's field of vision, which has led to reduced fatigue as well as saving time.

Amit Jain Manufacturing manager Noida

An interview on Innovation and Entrepreneurship with Alexis Capili, Global HR Business Partner

How does Innovation and Entrepreneurship fit into the Barco culture?

Alexis: In 2023, we put our cultural building block "we look for the better way" into the spotlight for our employees. "We look for the better way" is about innovation, entrepreneurial mindset, and continuous improvement, in line with our strategic intent to grow sustainably and innovate for impact. Our goal was to create awareness and to provide enablement on the importance of going the extra mile, converting innovative ideas into action, creating and exploring new things, and constantly challenging ourselves on how we can improve what we do.

How did you bring this topic to the broader Barco organization?

Alexis: During the year we organized several activities to embrace and embody our 2023 cultural focus areas:

We shared videos of Barco colleagues who gave their personal perspectives on culture.
We organized keynotes with industry experts to inspire all Barco colleagues on innovation, entrepreneurial mindset, and continuous improvement.
We levered LinkedIn Learning as our global learning platform and launched challenges to create friendly competition and energy around our key focus areas.
We organized 8 training sessions to explain the basics of continuous improvement.

Integrated report 2023

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Planet - People - Communities

Barco

1.2 A new and innovative way to put safety in our employees' minds.

Safety and well-being have always been top of mind at Barco. Yet, how do you motivate every single employee to always put safety first? Inspired by Barco Suzhou, the Environment, Health and Safety (EHS) team in Kortrijk launched a safety month in June 2023.

Throughout the month, employees were encouraged to engage in training sessions, inspirational workshops, and hands-on practice relating to 12 different topics: from the proper use of fire extinguishers and AED equipment to insights on improving ergonomics, mental resilience, and driving an e-vehicle.

Thanks to the multitude of topics offered and the variety of engaging formats available, a total of 435 employees participated. In fact, some sessions even attracted more interest than available seating capacity. There is no doubt that the Belgian EHS team in Belgium will replicate the initiative in 2024.

1.3 Barco Assist: a major step forward in HR and IT services

Launched in June 2023, Barco Assist is Barco's brand-new digital service platform. It includes a knowledge base of articles on HR- and IT-related topics, giving employees answers at their fingertips. In addition, there is a ticketing system that ensures very specific HR- or IT-related questions are directed to the right experts quickly.

The benefits are legion. Employees get clear answers to their questions instantly, which saves them precious time. The HR and IT teams, on the other hand, can free up time to focus on what matters most: interacting with colleagues and customers, developing new training programs, organizing engaging activities or optimizing our IT infrastructure.

Barco Assist is built upon the state-of-the-art ServiceNow digital transformation platform – as a guarantee for reliable, top-notch infrastructure. In the coming months and years, we plan to roll out the platform to other services.

database

Integrated report 2023

2. Zooming in on Diversity & Inclusion at Barco

Barco is committed to becoming a truly diverse and inclusive organization. In 2021, our Board of Directors set Diversity & Inclusion (D&I) as a strategic priority. In 2022, it was decided to embed D&I in our organizational DNA as part of our culture. Since then, D&I has been on the agenda at different levels of the organization.

In addition to gender, ethnic, and social diversity, personality diversity is also key in companies. Great things happen when you put an impulsive out-ofthe-box doer together with a cautious analytical thinker.

Lieve Creten Board member, on the topic of diversity (newspaper De Tijd)

We approach D&I in a broad sense, making sure to be as inclusive as possible in every aspect of our business. We have defined a D&I strategy that outlines what steps we want to take in the next three years to embed D&I into our culture. Creating 'awareness' is the starting point. The strategic framework itself consists of three pillars representing the employee experience (attract, grow, retain talent) and two enablers (critical success factors). Across the three pillars a list of concrete actions has been launched, gradually driving change and putting D&I top of mind in our daily operations.

The following actions have been started and/or completed in 2023:

Additional questions on D&I were included in the employee engagement survey (E-NPS)
In 2023 four sessions were organized of the global Barco D&I Community. Topics discussed include Barco D&I numbers, how to deal with challenging questions, and unconscious bias.
Several D&I-related trainings were organized for our people leaders (such as Inclusive leadership).
Our job postings now include statements on D&I.
The Code of Ethics has been updated with a specific section on D&I.
We are reviewing the hiring process for the purpose of inclusiveness.
Dedicated workshops on D&I were organized in every Executive Committee.
We launched a management traineeship allowing three recent graduates to have their first professional experience at Barco.

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

2.1 International Women's Day in Barco Taiwan

On March 8, the world celebrates International Women's Day, honoring women's social, economic, cultural, and political achievements. This day also serves as a call to action, urging efforts to accelerate women's pursuit of equality.

To mark this occasion, Barco Taiwan held a heartwarming gathering with exquisite desserts and tea, dedicated to all the female employees. The team thanked the female colleagues for their hard work, both in their professional roles and within their households, and for their contribution to society. We were honored to welcome Chief HR Anthony Huyghebaert to the celebrations.

The thank-you event also provided a platform for our female employees to share their opinion. We actively sought their suggestions for office enhancements that cater to their needs. Furthermore, we raised the topic of equal pay for male and female employees.

An interview on Diversity & inclusion with Lien Meuleman, Global HR director talent, leadership and organizational development

Why is Diversity & inclusion so key to Barco?

Lien: "The topic has always been important for Barco, but today even more so. In 2022, Barco reshuffled its organization, putting more focus on end-to-end business units. Suddenly, we became even more globally connected. If you want to serve global markets, you need to represent the same diversity internally as the diversity of the markets we serve.

More than that, we believe that diversity fosters and accelerates innovation. Bringing together people with diverse perspectives sparks new ideas and an open mindset fosters faster decision-making. Last but not least, an inclusive culture where different perspectives are welcomed and actively encouraged has a positive impact on employee engagement. To attract and retain talents today, being diverse and inclusive as a company is a must. We see that current and future employees have a strong need both to feel included and have impact through the work they do."

How are you embedding Diversity & inclusion in the Barco culture?

Lien: "In 2022, we initiated a three-year plan. The focus lies on two very important enablers: growing awareness and management enablement. To foster the latter, our HR team set up inclusive leadership training sessions in 2023 around topics like unconscious bias and micro-aggressions. These help managers and other colleagues to practice what they preach."

What about the employees themselves?

Lien: "We know that small, impactful initiatives resonate most with employees. That means recognizing and rewarding behaviors that are in line with where we want to go as a company, plus, at the same time, enabling each other to speak up when we witness behaviors that are wrong. That's why we continue to collect real-life stories within the organization and showcase them for others to nurture learning and change. There's still a way to go, but we won't rest until everyone is on the same page."

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

2.2 Barco India: Two programs focusing on promoting diversity and innovation

Barco India is committed to fostering an inclusive and nurturing work environment, not in the least for its female colleagues . In 2022 and 2023, we supported this commitment with two important initiatives .

• In 2022, we introduced the 'One Barco – Women for Women' initiative, inviting female employees to inspiring presentations and workshops conducted by industry leaders and TED speakers . The sessions covered a range of topics, such as cultivating a positive attitude, boosting optimism, embracing positive self-talk and resilience to handle failures, etc .

The successful program continued into 2023 and has staged 16 sessions to date . Participants greatly appreciate the insights gained . By learning how to navigate challenges, embrace setbacks, and achieve success within our dynamic industries, they feel empowered to pursue their professional ambitions .

• In addition, we launched the 'Sahyog' mentorship program . Referring to the Sanskrit word 'Sahoy', which means collaboration and support, the program pairs women with seasoned female mentors within the organization . Mentees receive guidance on career goals, skill development, and leadership capabilities . By sharing experiences, insights, and lessons learned, mentors create a nurturing space for mentees to grow with confidence .

Together, we are building a more inclusive and empowered community.

Surbhi Sehgal HR, Barco India

I believe in people, driving passion with integrity, delivering results, and creating empowered teams and enduring product value . Personally, I love listening to people and mentoring to make a difference in their life .

Swati Pandey R&D Leader, Barco India

The platform invites all female colleagues to interact with one another. It helps me to banish my negative energy, and to balance personal and professional life.

Gudiya Kumari Operations, Barco India

Barco

Planet - People - Communities

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

2.3 Diversity & Inclusion training sessions

Embracing diverse backgrounds, education, culture, and gender is crucial for Barco to remain a successful global technology leader .

A new global leadership development program kicked off in November 2022 and was further rolled out in 2023 . Using a blended learning approach, the Management Enablement Program aims to strengthen the people management skills of our people leaders . While in 2022, we had covered the foundations, such as the Leadership Compass (peo ple leader, thought leader, and result leader) and the competences that go with it, we focused on Diversity & Inclusion in 2023 .

Many of our managers oversee global, diverse teams . Seamless cooperation between all team members is key for every unit to achieve their business objectives . By fostering an environment of mutual understand ing and respect, people leaders can encourage each individual to leverage their unique talents and compe tencies to the fullest . We count on them to consider the diversity in their teams and above all, champion inclusion .

With sessions on intercultural communication, man aging global teams, unconscious bias, and inclusive leadership, the Management Enablement Program on Diversity & Inclusion was a success in 2023 . Over 300 people leaders from all over the globe attended one or more inspiration sessions, making D&I the most popular training topic of the year .

As a member of Barco's management, diversity and inclusion is very important to me . A global organization like Barco needs diverse teams to thrive and attract future generations . Embracing diversity makes us more successful as it integrates varied perspectives and ideas . I therefore hope to keep growing my team with people from different backgrounds and I set great store by knowing our employees and their origins . The D&I management trainings, on topics like inclusivity and unconscious bias, are truly valuable for all our people leaders .

Emon Hill Operations Service Manager Duluth, GA

Preventing stress and burnout at Barco Belgium

Barco Belgium set up two dedicated workshops to help employees strengthen resilience, combat stress, and prevent burnout . In hands-on sessions, participants learned how to identify signs of stress and burnout, bolster mental resilience, and rein force self-care practices . Given the overwhelmingly positive feedback, these training sessions are set to return to the 2024 training calendar .

In addition, the Belgium team rolled out the Happy Care e-learning tool to complement the exist ing Employee Assistance Program . Happy Care empowers employees to enhance mental resilience through a series of exercises, testimonials, videos, advice, and information . The tool includes seven different tracks, so that users can choose the track that best fits their individual needs .

03 SUSTAINABILITY PERFORMANCE

Communities

Our ambition

We will play an active role in the communities in which we operate by upholding the highest ethical and quality standards and expecting the same from our business partners. We always aim to deliver added value to our customers through our solutions, services and capabilities. In addition, we help ensure more people can participate in and benefit from Barco's innovation.

Our targets

	Primary targets	Supporting targets
1. Always act lawfully, ethically and with integrity wherever we operate	Each year, train all our employees in Standards@Work
2. Deliver great customer experience	By 2025, we aim to increase our global Net Promoter Score by 2 points per year.
3. Proactively manage information	By 2025, obtain an average cybersecurity maturity (NIST CSF) score of at least 3.4
security risks	Each year, add at least one new product line to the scope of the ISO 27001 certificate
4. Engage our suppliers in adopting sus tainable business practices	By 2023, have suppliers covering at least 70% of our production spend scored on their	By 2023, enroll all suppliers with sustainability score < 70% in improvement plan
	sustainability performance	Each year, at least 75% of our production spend is covered by suppliers undersigning Barco's supplier Code of Conduct
		Each year, 100% of new production suppliers are screened on sustainability by self-assessment

Our roadmap towards sustainable impact: key initiatives and action plans

03 SUSTAINABILITY PERFORMANCE

1. Customer engagement

02 SUSTAINABILITY STRATEGY

01 SUSTAINABILITY AMBITION STATEMENT

At Barco, we believe that every customer interaction is an opportunity to exceed expectations and drive lasting connections for business success. That is why, in 2022, we introduced an omni-channel customer listening approach. Our customer experience-related KPIs clearly show the positive impact of this approach. In today's ever-evolving business landscape, we keep looking for ways to improve the customer experience.

04 REPORTING ON EU TAXONOMY

1.1 Customer insights with impact

Customer insights have never been just about collecting customer feedback. Instead, it's about actively responding to customers, implementing meaningful changes, and integrating customer insights into our daily operations.

In 2023, we focused on 'Driving transformation for the customer'. Committed to delivering a high customer experience in every key touchpoint, we incorporated new outside-in listening points in different stages of the customer journey. This way, Barco gets a real-time, 360° view of customer experience levels, making it easy to link feedback to the right owners, initiate prompt actions, and pinpoint areas for improvements.

Transactional techniques to get customer insights include:

Assessing satisfaction with digital touchpoints and tools (e.g. website navigation, knowledge base, e-support portal, videowall configurator, product information accessibility).
Automated surveys post specific interactions (e.g. satisfaction with follow-up on product inquiry, Service NPS after a support case closure, project deployment satisfaction).
Embedded star ratings (e.g. in e-learnings, online blogs).

Each survey, request, or question follows a structured governance approach, ensuring a strict closing-the-loop process. No complaint goes unnoticed. Customer insights are also related to internal KPIs (e.g. order confirmation lead times, timely deliveries, service response time, product quality). All relevant stakeholders get an overview of the insights to see what action is needed or underway.

05 MANAGING SUSTAINABILITY 06 ANNEX

Besides the transactional ways to collect feedback, Barco keeps conducting the bi-annual Relational Net Promoter Score survey. The relational NPS gives a view of customer and partner loyalty and serves as a good brand-health indicator that facilitates year-on-year comparisons and industry benchmarking. It remains Barco's key customer-experience KPI.

Optimizing our tools, processes and expertise

Our Global Services organization is dedicated to delivering outstanding customer experiences. Our customers reach out to us for urgent tech support, repairs, shipment tracing or in case of occasional process disruptions. We want to be standby via multiple channels, 24/7. To achieve this, we continuously optimize our tools, processes, and expertise.

In 2023, we implemented a unified Salesforce tool, which incorporates an e-support portal, and the TalkDesk telephony platform. In 2024, we want to add other user-friendly, digital self-service tools, like a service chatbot, live chat agents, CPQ for quotations and component orders, and a Knowledge Base Library.

Improving the customer experience begins with enhancing the employee experience. By investing in product and communication training, we want to ensure first-contact resolution and by pro-actively assessing the quality of case and call handling, we hope to empower our teams. Our Service Managers organize Quarterly Business Meetings with key accounts to build stronger bonds and gain in-depth insights into customer expectations.

Sofie Scheirs Director Services

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

1.2 Raising customer satisfaction

Thanks to Barco's mature Customer Experience program, we can focus our efforts and investments in areas that are critical for our customers.

In 2023, we took a series of new initiatives to take customer satisfaction to new heights.

We revamped our corporate website in close collaboration with customers and partners. By incorporating their views on the website architecture and their test feedback, we were able to build a high-performing, visually appealing website with a user-centric, intuitive navigation. As we incorporated user touchpoints, visitors can provide valuable feedback to help us continually enhance the website.
As previous surveys had highlighted areas for improvement in our after-sales support, we launched several enhancement projects that were completed in 2023. The impact was remarkable: an increase in relational NPS and considerably more positive feedback on Barco Service.

Key ongoing initiatives for Barco Services include:

advancing the Chatbot and Live agent support channel, focusing on an enhanced user experience;
continued tools automation to boost efficiency and optimize process flows;
continued investment in training to boost the expertise of our service support teams, enabling a better, faster response to customer queries and shorter turnaround times, with fewer escalations;
ongoing commitment to the project "enabling Next Business Day shipment" for all contracts (which is already showing promising initial results).

13% of dissatisfied respondents were converted to Barco promoters

2023 results

In 2023, Barco achieved its highest full-year NPS score ever at 48 (+4 points), surpassing the annual target increase of 2 points. Enhanced after-sales support and an improved supply chain, with fewer component shortages, contributed to this success.

The recommendation rate grew in all regions. Next to service, product quality was the key driver for the growing NPS in the second half of 2023. Customers felt more positive about our products than in 2022, highlighting product quality and brand recognition as our major strengths. Respondents further praised Barco employees for their friendly and helpful approach and their skilled professionalism.

Thanks to our teams' dedicated follow-up of all our surveys (contacting all detractors to address their pain points), 13% of dissatisfied respondents were converted to Barco promoters, a 2-percentage point increase versus 2022. In 2024, we will sustain the initiatives kicked off in 2023, with a focus on change projects that encompass every stage of the customer journey.

As a B2B company, we recognize the integral role of partners in our overall product/service experience. Partners are the customer experience. Therefore, we mapped partner journeys across various stages in the relationship with Barco. In 2024, we'll launch a new governance model that focuses on enhancing partner satisfaction in key touchpoints. A Partners enablement survey will identify opportunities for improved onboarding and product training, ensuring partners feel empowered to support Barco and its end-users.

02 SUSTAINABILITY STRATEGY

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Barco business units encourage customer engagement

In addition to our global efforts, each business unit champions a focus on customer engagement within their projects. Highlights from 2023 include:

• The Meeting Experience business unit introduced direct end-customer support by extending remote support to the entire video enablement solution, including peripherals from alliance partners. In addition, they launched a new global service helpdesk and invested in self-serve web content with knowledge-based articles for end-users. Just like in previous years, the ClickShare App rating feature provided invaluable insights into user challenges. Based on these insights, the team crafted a new version of the app, with an entirely revamped user interface.

The customer is not only at the very heart of the ClickShare experience, but also at the heart of our daily operations. By collaborating closely with our partners, we continuously aim to improve our services and solutions.

Yannic Laleeuwe Marketing Director, Meeting Experience

The Immersive Experience team worked closely together with customers and partners to get an outside-in perspective on product requirements. This means that during the development of the newest generation projectors, video processors and visualization software, they met with key partners and beta users to solicit their crucial feedback and field validation. This ongoing collaboration reflects the commitment to user-driven innovation.
To ensure the new CRTL software platform would meet customer needs, the Large Video Walls Experience team set up a beta testing project with both partners and customers. In addition, over 40 partners validated an early-stage concept of the solution at major European and American tradeshows.

For the introduction of the UniSee II video wall, the team followed a similar approach. An expert panel reviewed new features in the UniSee II, which helped the design team put the customer center stage.

What makes CTRL stand out is the ground-up development with security infrastructure in mind. For us, the ability to securely mix content from multiple classification levels on the video wall or workstations, without compromising security information, is really key. 

Chris Reeve Vice President, Diversified - Critical Infrastructure Group

2. Product quality, safety & security

As a high-tech company, we have a duty to our customers to ensure that the products we develop and market are high quality, safe, and secure.

2.1 Product quality

Barco aims to offer products and solutions that ensure top quality throughout their lifetime. The bi-annual relational Net Promotor Score, which rose to 48 (+4 points) in 2023, gives us a picture of customer and partner loyalty.

Next to service, product quality was the key driver of Barco's good NPS: product quality remains our main strength. Customers also feel slightly more positive about our products versus 2022.  

While Barco has always been considered an A brand that delivers quality, we want to continuously raise the bar in order to consistently meet and even exceed customers' quality expectations. That commitment is strongly expressed in our global quality policy.

Quality management system

The drive to realize our quality policy and ensure that every product – hardware and software – that we launch is of the highest quality, is ingrained in a company-wide quality management system. This system defines the standard Barco processes – from product planning, design and development, manufacturing and sales, all the way to customer service. One of the key aspects of the system is the definition of clear roles and responsibilities and the authority of those responsible for product quality throughout the entire product life cycle.

Barco's quality management system is audited annually and certified according to international certification standards:

ISO 9001 quality management system (for Barco sites in US, Germany, India, Italy, China, Norway, Taiwan, Melbourne, and Belgium);
ISO 13485 quality management system specifically for the medical device industry (for Barco sites in US, China, Belgium, Italy, and South Korea).

Our quality management system is kept up to date with the latest regulations, quality standards, and industry best practices.

Quality organization

Our commitment to quality and customer satisfaction is also reflected in our quality organizational structure. Each business unit has dedicated quality assurance responsibles who supervise process and product quality. In close collaboration with the business unit management teams, they monitor quality-related indicators and spearhead improvement initiatives. Together with the quality responsibles assigned to each manufacturing plant and the supplier quality responsibles, they form a team that is committed to continuously improving product quality for every customer. In addition, a dedicated Quality Management System team ensures that our processes remain compliant with the ISO 9001 and ISO 13485 requirements.

Quality by design

The sustained product quality levels are a result of Barco's standardized product design processes, focusing on:

Compliance with the applicable standards, laws, and regulations, even exceeding them;
'Security by design principle' to ensure protection against the rising number of cyberattacks;
Agile software development principles to ensure that highquality software is delivered at the right cadence;
Close monitoring of key product quality indicators during the different design stages;
Early and automated product integration and validation;
Reliable and mature supplier management and manufacturing processes.
» Read more on our innovation and product development approach in the Core section of this report

Closing the loop

The quality journey continues after product launch through a set of different processes and initiatives to integrate feedback into existing and new products, including:

iGemba initiatives initiated by employees to raise product quality;
The monitoring of customer feedback and satisfaction by the divisional and regional service team;
Regular cross-functional quality meetings between quality, R&D, procurement, and service to monitor and assess product quality indicators. When needed, improvement activities are initiated in response to quality-related issues;
Process execution monitoring through a yearly internal audit program;
A monthly quality dashboard visualizing overall quality performance and customer feedback.

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

Main achievements of 2023

• Successfully passed a global multisite ISO 9001 certification

STRATEGY

Renewed our ISO 13485 multisite certificate for the US, Belgian, Korean, and Chinese sites and expanded our EU medical device regulation (MDR) certificate to our Chinese factory in Suzhou;
Integration of ISO14001 into the overall ISO9001 Barco quality system;
Smooth product transfers between the different factories with a focus on automation;
Launch of quality improvement programs to strengthen the early focus on product quality during the design phase, harmonize product certification, and speed up the customer-feedback loop.

2.2 Product safety

Assessments by external certification bodies are conducted to ensure that our product validation lab meets the quality requirements of the ISO 17025 – quality management standard for laboratory activities. Our certification partners assess the impartiality of the lab personnel as well as their technical competence. Year after year, the product validation lab continues to score very well on these audits, thanks to our highly experienced and knowledgeable product validation engineering team. Having an internal product validation lab gives Barco a competitive advantage, avoiding costly and time-consuming testing in external laboratories.

All of our factory locations are also inspected by these external certification bodies, regardless of whether these are Barco factories or supplier factories. The quarterly production audit ensures continued compliance of our production output.

Not all countries accept the test results of the Barco lab. Still Barco aims for worldwide product certification. Besides the standard certification of EU, US & Canada, and China, we also certify for Australia, New-Zealand, India, Mexico, Brazil, the Emirates, Saudi-Arabia, and more, even if we must send a test sample for "in-country testing". Besides initial product certifications, the certification team also handles the updates of hazard-based safety and EMC (Electromagnetic Compatibility) standards applicable to our products in those countries and the corresponding renewal of the country certificates.

Not only our products are tested and certified, also the safety and EMC critical components used to assemble our products need to be tested and certified for the applicable standards such as fire resistance, isolation capabilities, and others. To improve efficiency while reviewing and testing our products, a component certification database was installed next to our product certification database. Components for which the certificates cannot be provided are never used in our products. Our engineers in both development and product validation can perform a fast and reliable check and select which components can safely be designed into the Barco products.

All connected devices can suffer a cyberattack. The Radio Equipment Directive (RED) has adopted cybersecurity as a safety issue to be covered in the technical file for the EU Declaration of Conformity of products that implement wireless connectivity as of August 2025. The standards which will support this requirement are already applied to our most important product portfolio, 2 years before applicability.

Legislation is following technology trends, and the use of Artificial Intelligence in products and/or software sold on the EU market will be regulated with the aim of being safe, transparent, traceable, non-discriminatory, and environmentally friendly. Being a high-tech company, Barco is developing innovative products and software that will implement the use of AI. The product validation team is active within the technical committee on standardization of the use of AI and involves the experts in this area to review the deliverables in line with the risk level of the product.

Number of incidents of non-compliance regarding the health and safety impacts of products and services

2023	0
2022	0
2021	0

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

2.3 Product security

Cybercrime continues to increase, which forces organizations to implement strict information security governance processes. Barco has a clear commitment to deliver secure products and services to its customers and protect its intellectual property.

More information on Barco's security organization is available in the 'Trust Center' on our corporate website.

In 2023, the following actions have been taken to strengthen the security of our products and services:

• Streamline Barco's security organization

Barco's Security Office has been extended with a Product Security team to further streamline our security organization and ensure product security processes are aligned across product lines.

Increased focus on cybersecurity regulatory landscape Worldwide cybersecurity regulations are about to be introduced, impacting Barco products and services. There is extra focus on monitoring the evolution of these regulations and interaction with specific interest groups to ensure Barco is prepared to adopt the changes being imposed.
Product security roadmap

Barco's product security roadmap was updated and streamlined with external factors like market requirements and cybersecurity regulations. This roadmap is Barco's internal compass ensuring a consistent product security approach across product lines, focusing on people, process, and technology.

• ISO 27001 certification

The current ISO 27001 certification scope, which includes ClickShare and XMS, the ClickShare cloud-management platform, has been extended with processes related to medical displays manufactured in Barco's plant in Saronno, Italy. Furthermore, preparations were taken to extend the scope in the years to come.

• Secure development

Barco continues to focus on improving the efficiency, maturity, and transparency of its Secure Development Life Cycle (SDLC) process by adopting recognized standards and frameworks, such as NIST SSDF and OWASP SAMM. Measuring the adoption maturity of the SDLC provides insights that help identify opportunities for improvement.

• Training

The full R&D community followed technical cybersecurity training in 2023, tailored to their day- to-day job content and domains of expertise.

Our corporate website includes a responsible disclosure policy, which provides customers and security researchers with clear guidelines on how to reach out to us about security vulnerabilities detected in our products. In 2023, we received 215 notifications about potential vulnerabilities (including duplicates) in products or services, reported by customers, ethical hackers, and third-party pen-testers contracted by Barco.

54 PPC

3. Supply chain responsibility

3.1 Procurement sustainability policy

Barco has outlined its sustainability commitments in a procurement sustainability policy, which describes how we want to collaborate responsibly with our suppliers: respect international Human Rights and Labor regulations, meet product compliance requirements, select and evaluate suppliers in a fair way, raising awareness on the importance of sustainability, ... The policy is available on the Barco website: Global Procurement Sustainability Commitment.

3.2 Barco's supply base

At Barco, we buy a wide range of components, from plastics, optical parts and assemblies, electronic components and sheet metal, to finished products, from many different suppliers and countries. Since we deal with a large range of suppliers, we have created four categories (key, key+, core, and other) based upon supply risk and cost relevance to Barco. This categorization enables us to define a targeted scope and supplier management activities. For each category, we have established different levels of engagement. "Major suppliers" cover the key, key+, and core categories.

In 2023, Barco had 175 major suppliers, covering 94% of our total production spend compared to 159 major suppliers with a 87% coverage in 2022. The regional spread of that spend was 63% in APAC, 28% in EU, and 9% in the rest of the world.

2023: an ongoing effort to increase supply chain resilience

Barco continues to strengthen supplier resilience, given the current dynamics in geopolitical and economic circumstances, including the impacts of embargos, trade restrictions, etc. We keep mitigating these impacts in close cooperation with our suppliers through an agile and proactive approach.

In 2022, we invested in an online, real-time risk management tool to increase the transparency of risks in our supply chain and facilitate proactive mitigation. Our buyers are checking the events related to our supply base on a daily basis. In this way, we can react quickly to potential risks. In 2023, a dedicated cross-divisional project was launched to further increase supply chain resilience

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

3.3 Setting clear standards for our suppliers

STRATEGY

The key to a high-standard supply chain is ensuring that our suppliers know our expectations, including those in the field of sustainability. We adhere to three important sustainability standards: the Barco Code of Conduct for suppliers, the Product Compliance requirements, and the Responsible Minerals Sourcing policy.

Barco Code of Conduct for suppliers

We require all our suppliers to comply with the Responsible Business Alliance (RBA) code of Conduct, including labor, ethics, and health and safety standards.

The share of major suppliers who have committed to the Barco Code of Conduct for suppliers or have a similar code, is tracked as a quarterly KPI in the Global Procurement dashboard. At the end of 2023, 90% (vs. 84% in 2022) of our production spend was covered by a signed declaration of compliance with the Barco Code of Conduct for suppliers.

On January 1 2024, the Responsible Business Alliance published a new Code of Conduct, which drove Barco to also update the Barco Code of Conduct for suppliers and renew the engagement on the code with its suppliers.

% of production spend covered by signed Code of Conduct for suppliers YEARLY TARGET: 75%

Product Compliance requirements

Every component that our suppliers deliver must meet the Barco Product Compliance requirements, which includes compliance with different worldwide regulations (such as RoHS10 and REACH, ecodesign requirements, ERP, SCIP*), industry standards, and additional criteria that we defined. Within the Barco product compliance requirements, we also demand compliance with the Barco substance list, in which we restrict the use of specific chemicals or require declaration of specific substances. With the implementation of this list, we go beyond current legislation. We strongly urge our suppliers to provide Full Material Declarations (FMDs) of chemical substances contained in products. In 2023, 83.6% of active components were covered by FMDs.

Responsible Minerals Sourcing policy

Managing conflict minerals is part of Barco's corporate responsibility. Just like many of our stakeholders, we are concerned about human rights violations (child labor, human-trafficking, forced labor, etc.) and armed conflicts causing extreme violence across so-called 'Conflict-Affected and High-Risk Areas' (CAHRAs). We recognize the risk related to illegal extraction and trade of materials such as tin, tungsten, tantalum, gold, and cobalt.

Our Responsible Minerals Sourcing Policy is aligned with the 'OECD Due Diligence Guidance for Responsible Chains of Minerals from Conflict-Affected and High-Risk Areas'. Our in-scope suppliers (i.e. suppliers of products containing tin, tungsten, tantalum, gold, or cobalt) are expected to complete the Conflict Minerals Reporting Template (CMRT) and submit it to Barco.

In 2023, 100% of in-scope suppliers responded to the CMRT. We perform a detailed responsible minerals risk analysis on the data received through cross-referencing and close collaboration with members of the Responsible Minerals Initiative (RMI).

3.4 Embedding sustainability in the procurement process

We encourage our suppliers to share our values and expect them to meet our mandatory ethical, labor, and environmental standards. In order to ensure the level of engagement required, we have integrated sustainability into every step of the procurement process.

A. Supplier scouting

STATEMENT

The supplier self-assessment document includes sustainability-related questions, which are reviewed and form the basis for open discussions when a gap between supplier behavior and our expectations is detected at first glance. Also in 2023, 100% of new production suppliers were screened using the supplier self-assessment.

B. Supplier onboarding

In 2020, more sustainability criteria were added to the new supplier selection report for new component suppliers. We continued to use these criteria to increase awareness on sustainability during the onboarding process. The digital supplier platform that went live end of 2023, will provide more insights and transparency on the maturity level of suppliers in the field of sustainability.

C. Purchase contracts

Sustainability clauses are part of Barco's terms and conditions (T&Cs) for purchase as well as our master supply agreements (MSAs) (i.e. contracts with major suppliers). In 2023, 88% of total production spend was covered by signed contracts with a sustainability clause, i.e. signed MSAs or T&Cs (versus 85% in 2022).

Embedding sustainability in the procurement process

	SCOUTING	ONBOARDING	PURCHASE	PERFORMANCE MONITORING	CAPACITY BUILDING
OPE SC	All potential production suppliers	New critical production suppliers	All suppliers	All key+ & core suppliers	All major suppliers
OLS O T	Supplier self assessment document including sustainability questions	New supplier selection report including mandatory sustainability criteria	Terms & conditions of purchase including sustainability clause (all purchase orders)	Supplier Performance Review including sustainability score	Webinars and e-learnings Supplier innovation days
			Contract including sustainability clause (for important spends)

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

D. Supplier performance monitoring

In the annual performance review, suppliers are scored on their sustainability performance in domains such as product compliance requirements, adherence to Barco's Code of Conduct, and transparency (the provision of CMRTs and FMDs). They are encouraged to proactively share their progress regarding sustainability in their operations and supply chains, and to share innovations that could help us improve the sustainability impact of our products.

STRATEGY

In 2023, suppliers covering 81% of our production spend were scored on their sustainability performance, surpassing the 2023 target of 70% by 11%. This is mainly thanks to the efforts to score more suppliers and an increase of the spend of the direct suppliers scored.

Barco also performs audits at existing and new suppliers. These currently focus on quality, checking quality compliance, and assessing process risks that could result in quality defects. In 2023, 47 supplier audits were carried out, versus 37 in 2022. The supplier quality department performed two pilot audits on sustainability, serving as a foundation for the ongoing development of integrating sustainability into quality audits during on-site audits.

E. Supplier training and awareness

To ensure that our suppliers understand our sustainability standards and learn how to respond, we train and inform them about developments in several sustainability domains, such as environmental compliance, ecodesign, and conflict minerals. In 2023, we focused on raising awareness on the potential restrictions on PFAS/PFOS and the RoHS exemptions, which are about to expire. We actively discussed substitution plans and shared knowledge on where these substances are likely to be present.

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY

3.5 Training our staff

We organized a dedicated feedback moment for all commodity procurement managers worldwide in 2023. The training focused on how to coach suppliers in improving environmental compliance data and providing IPC/FMD data.

Additionally, we organized two meetings for the global procurement community dedicated to sustainability – covering various topics, such as Barco's sustainability strategy and upcoming legislation related to sustainable supply chain requirements.

3.6 Plans for 2024 and beyond

In 2024, we will continue our journey from awareness to cooperative improvement of our suppliers' sustainability performance. Our ambition is to upgrade our supplier sustainability program to an advanced level, as defined in our sustainability roadmap. We will tune our actions in line with the upcoming Corporate Sustainability Due Diligence Directive (CSDDD) and provide further information in this regard to our suppliers.

3.7 Getting ready for the Corporate Sustainability Due Diligence Directive

What is the CSDDD?

In December 2023, the EU institutions reached an agreement on the final text of the Directive on Corporate Sustainability Due Diligence (CSDDD). Companies will be obliged to identify, end, prevent, mitigate, and account for violations of human rights and environmental impacts in their own operations, but also across their value chain. The CSDDD will have a significant impact on how companies shape their sustainability strategies and implement actions to reach their goals.

Taking proactive actions on due diligence

In 2023, Barco participated again in a learning network of companies on corporate due diligence, organized by employer federation Agoria to obtain the latest insights. In 2023, we continued our own pilot project with the University of Leuven to improve our supplier sustainability program. An important part is to establish a framework to assess sustainability risks in our supply chain and define appropriate actions. Furthermore, the scope of our procurement sustainability journey will expand to include indirect spend by incorporating targets for indirect spend suppliers, similar to our direct spend. This will be translated into concrete targets until 2027.

Barco

Planet - People - Communities

4. Corporate security and data protection

As the world faces an ever-changing threat landscape, Barco continues its focus on corporate security.

4.1 Corporate security

Barco adopted a security organization that operates along three lines of defense. Ensuring operational security (e.g. own and manage operational risk) is the first line of defense. The second line of defense is managed by Barco's Security Office (e.g. the cybersecurity program) and the third one is the cybersecurity audit (e.g. risk assurance).

More information on the security organization in Barco can be found on the 'Trust Center' on our corporate website.

Highlights in 2023 included:

1. Risk-based approach to improve Barco's security maturity level in accordance with the cybersecurity roadmap by focusing on people, process, and technology;
1. Embedding security-by-design into new projects and initiatives;
1. Continue the cybersecurity awareness training to foster a cybersecurity culture, including further extending phishing simulations and cybersecurity e-learnings;
1. Increased focus on regulatory landscape (e.g. NIS2 regulation);
1. Further maturing the security and privacy evaluation framework for third parties in close collaboration with the DPO office;
1. Streamline Barco's second line of defense by extending Corporate security focus with Product Security;
1. Extended the scope of Barco's ISO 27001 scope with 1 product line, and prepared future scope extensions.
1. Consolidated public security information on our new corporate website as part of the 'Trust Center'.

Our security maturity score increased from 2.66 to 2.78 in 2023 (NIST CSF), thanks to all the initiatives described above. By the end of 2025 we aim to improve that score to 3.4.

Number of product lines in scope of

Average cybersecurity maturity score NIST CSF* TARGET 2025: 3.4

60 PPC

03 SUSTAINABILITY PERFORMANCE

04 REPORTING ON EU TAXONOMY 05 MANAGING SUSTAINABILITY 06 ANNEX

4.2 Data governance and data protection

STRATEGY

Barco prioritizes the protection and management of personal data in accordance with GDPR, and similar data privacy and protection legislation outside the EU; e.g., the US HIPAA*, the UK General Data Protection Regulation, the California Consumer Privacy Act, etc. Our intragroup data-transfer agreement sets the GDPR standards and principles that Barco legal entities must apply when processing personal data.

Our data protection officer (DPO) is in charge of managing our data protection compliance program, which is governed by several guidelines, instructions, and templates. A team of privacy liaison officers (the legal & compliance responsibles, security & privacy champions, and regional knowledge owners) support the DPO by overseeing and ensuring compliance with the GDPR on a day-to-day and local basis.

Barco's DPO office works in close cooperation with our Security Office and reports bi-annually to the Audit Committee. Our internal audit department supports the DPO to facilitate GDPR compliance with independent assessments and reporting on the effectiveness of implemented measures through the testing of controls, as defined in the internal audit plan.

2023 highlights included:

Creating a Trust Center on our corporate website with a specific 'Privacy' section;
Updating the cookies settings and policy of our corporate website;
Embedding privacy by design into new projects, products, and initiatives;
Providing additional data protection awareness training for employees;
Further maturing the data protection and privacy instructions and templates;
Conducting security and privacy assessments of new thirdparty cloud service providers and ensuring data processing agreements are in place with third-party cloud-service providers involved in the processing of personal data on Barco's behalf.

03 SUSTAINABILITY PERFORMANCE

Good financial performance does not conflict with high ethical standards. Barco's reputation and continued success depend on the conduct of both our employees and business partners. That's why we strongly emphasize building a company culture centered on ethical conduct and compliance with Barco's policies and the applicable regulations.

5.1 Building a true ethics and compliance culture

In 2023, we reinforced our company-wide compliance program, releasing our new Code of Ethics. The first edition of the Code dated back to 2010 and was revised in 2017, before getting a major overhaul in 2023.

Next to the manager's annual sign-off of the Code of Ethics, we now also ask each white-collar employee to acknowledge receipt of the Code and remind them of its importance in promoting a transparent and ethical business culture. In addition, every Barco site worldwide has a 'local legal & compliance responsible', in charge of promoting a compliance culture in the country where the site is situated. Every year, the legal and compliance responsible completes a risk and compliance assessment, which is an integral part of our compliance program.

Revision of the Barco Code of Ethics

The updated Code of Ethics aspires to be more concise, simple, and clear. It contains updates in areas like diversity and inclusion, integrates the Ethics Helpline (whistleblower reports), and installs a newly composed Ethics Committee. This is the third re-work of our Code of Ethics. Every few years Barco updates its Code of Ethics to keep up with the constant evolution of legislation.

The Code contains different sections:

Integrity at work: We strive for sustainable employment by creating a healthy work environment, both physically and mentally, where employees are treated and treat others fairly and respectfully. This part covers sections on a safe & healthy place to work, conflicts of interest, use of company assets, and digital conduct.
Integrity in business: We act openly and ethically in all our interactions and conduct business in an integer, fair, and honest way. We do not use inappropriate methods to entice suppliers, customers, or other stakeholders in any way. This part covers sections on topics such as anti-bribery and corruption, inside information, and integrity towards customers, suppliers, and governments.
Integrity as corporate citizen: This part covers our commitments on human rights, community engagement, political participation, and external communication.
Ethical guidance & reporting misconduct: We encourage people to come forward and to transparently and honestly address issues which conflict or may conflict with the principles embedded in the Code

Planet - People - Communities