NWG // SUSTAINABILITY STATEMENT
structured measures together with more developed targets. The measures are closely linked to the actions described under E1 Climate Change.
Actions:
# Group‐wide design principles, accounting for product development. These include, among other aspects, defining the product’ s function, ensuring that it performs for its intended use, as well as taking into account how the product can be reused and recycled
# Consolidation and joint procurement of materials( primarily fabrics) across the Group’ s subsidiaries
# Ongoing processes to develop products and packaging made from recycled and more sustainable materials
# Quality programs with in‐house quality inspectors and equipment for quality testing at the Group’ s purchasing offices
# A defined plastic strategy aimed at reducing the use of plastic
# Ensuring that waste generated from the Group’ s own operations is managed within national recycling systems
The actions primarily apply to upstream value chain as well as waste generated in the Group’ s own operations, but they also influence the downstream value chain. The actions are expected to contribute to more resource‐efficient production processes, longer product life cycles, and improved conditions for reuse and recycling, thereby reducing the overall environmental footprint. The actions are also expected to mitigate related reputational risks for the Group and capture opportunities linked to these areas. No key actions have been taken during the reporting period to provide remediation, as the procedures for such remediation have not yet been established.
The implementation of the actions does not require significant operating expenditure( OpEx) or capital expenditure( CapEx).
E5-3: Targets related to resource use and circular economy New Wave Group has established general objectives regarding the procurement of materials and products made from preferred fibers and materials as well as certified sources, through the indicator " products with sustainability attributes ", which relates to resource consumption and the promotion of circular material use. This indicator constitutes an important part of the Group’ s sustainability strategy and is presented under SBM-1: Strategy, business model and value chain.
However, the Group has not yet established more specific, Group wide measurable and outcome oriented targets to address the material impacts, risks and opportunities related to resource use and circular economy. This is primarily due to the Group’ s decentralized organizational structure, in which responsibility for product development, assortment decisions and compliance with product specific requirements is largely transferred to each subsidiary.
The process to develop a common target framework is at an early stage and initially focuses on harmonizing working methods and processes. The Group assesses that conditions for setting Group wide targets may be in place within the coming years, once common principles, data foundations and governance models have been established.
E5-4: Resource inflows New Wave Group’ s main resource inflows consist of raw materials used in the manufacturing of products and packaging. Textile materials such as cotton and polyester represent the largest share. Other materials include, for example, glass pellets, glass and metal. In addition, the Group uses paper, plastic and cardboard as packaging materials.
These resource inflows are directly linked to the identified material impacts, risks and opportunities related to resource use and waste. The use of primary raw materials contributes to increased resource consumption and waste generation along the value chain. At the same time, increased use of recycled materials and materials with longevity presents an opportunity to reduce resource dependency, decrease waste and support the development of more circular products and business models.
The reporting currently does not include resource inflows related to water or property, plants and equipment in the Group’ s own operations or in the upstream value chain, as reliable data and methodologies are not yet available at Group level. Work is ongoing to develop processes and data collection to enable expanded reporting.
Material used to manufacture the Group’ s products
For biological materials of sustainable origin, Textile Exchange standards and certification schemes are used: the Global Organic Textile Standard( GOTS), the Organic Content Standard( OCS), and the Global Recycled Standard( GRS). For wood based products, the Forest Stewardship Council( FSC) is applied. The Group considers the cascading principle- which refers to using biological materials in a way that maximizes value and utility throughout their lifecycle before they are incinerated or disposed of— through design principles during product development. However, cascading principles have not been defined for specific materials.
2025
Total products and technical biological materials( ton) 28,362 Share of biological materials that are sustainably sourced 15 %
The weight of intermediary products or recycled materials( ton) 5,462
Share of reused and recycled secondary intermediary products and secondary materials
19 %
ANNUAL REPORT // 075