Continental AG · XETR:CON
Continental — ESG Presentation (January 2024)
40 slides from Continental's sustainability presentation, Jan 30, 2024
Slide 1: Sustainability @Continental
Sustainability @Continental www.continental.com Business Area Naming Public
Slide 2: Our Group Vision
Our Group Vision Creating value for a better tomorrow Public
Slide 3: Our Group Strategy
Our Group Strategy Emerge as a Winner of the Transformation Strengthen Differentiate Turn change operational our portfolio into opportunity performance › Right-size cost structure › Win in growth businesses › Embrace sustainability › Commit to efficiency › Manage value businesses › Focus on passion
Slide 4: Embracing Sustainability
Embracing Sustainability Ambitious Viable Create positive impact by committing Develop sustainable and scalable to circular economy, carbon neutrality, business matching the speed of emission-free mobility & industries our markets to foster our economic and a responsible value chain Embracing resili
Slide 5: Our Sustainability Ambition
Our Sustainability Ambition Guiding rails in a complex environment OUR KEY AMBITIONS + 8 ESSENTIALS Good working conditions 100% carbon neutrality along our entire value chain Green and safe factories 100% emission-free (no harmful emissions) mobility & industry Innovations & digitalization Benchmar
Slide 6: Implementation of the Sustainability Ambition
Implementation of the Sustainability Ambition At all stages of the value chain Our Value Chain Supply Own Products & Chain Operations Customers End of Life Product example: Components for ID.4 Carbon neutrality ● ● ● ● Emission-free mobility and industry ● ● ● ● Closed product and resource cycles ●
Slide 7: Carbon neutrality along our entire value chain
100% Carbon neutralitiy along our entire value chain Public
Slide 8: What Carbon Neutrality entails for Continental
What Carbon Neutrality entails for Continental Significantly limiting global warming is essential for mitigating climate change. For this, companies need to operate carbon-neutrally. Continental is committed to the Paris Agreement and is aiming for 100% carbon neutrality by 2050 at the latest – alon
Slide 9: Focus Topic Carbon Neutrality
Focus Topic Carbon Neutrality Total gross carbon footprint in 2022: ~107 Mio CO2e Total per footprint part Emission categories in mn mt CO2e Carbon Accounting logic: 1.31 Processing of sold products1 Customer and Own CO2 emissions (Scope 1 and 2) product use- 0.45 Downstream transportation and relat
Slide 10: CO2 emissions Scope 1 and 2
Our goal 100% carbon-neutral own operations by 2040 Reduction path for own CO2 emissions (Scope 1+2) Own CO2 emissions (Scope 1+2) CO2 emissions Scope 1 and 2 3.22 mn mt CO e 2 Action 1 | RE 100 100% renewable purchased electricity by end of 2020 (RE100) Reduction of approx. 70% of CO2 emissions 1.0
Slide 11: CO2 emissions backpack Scope 3
Our goal 100% along the entire value chain by 2050 at the latest Reduction levers for Continentals gross CO2 backpack (Scope 3) 20.19 mn mt CO2e 23.19 mn mt CO e 2 Area symbolizes possible variations in the reduction, as scope 3 is not directly under Continental's control. Backpack (Scope 3) Action
Slide 12: CO2 emissions customer and product use-related
Our goal 100% along the entire value chain by 2050 at the latest Reduction levers for customer and product use-related CO2 emissions (Scope 3) Area symbolizes possible variations in the reduction, Customer and mn mt 89.75 mn mt CO2e 83.75 CO2e as scope 3 is not directly under Continental's control.
Slide 13: On the road to 100% carbon neutrality
On the road to 100% carbon neutrality Examples contributing to our ambition Self-generated renewable energy: Hefei, China – Tires Plant › Photovoltaic Installation: installed capacity 13.9 MW in 2020, 13 million kilowatt hours generated annually › Reduction in carbon emissions of 12,000 tons per yea
Slide 14: Emission-free mobility and industries
100% Emission-free* mobility and industries *no harmful emissions Public
Slide 15: What emission-free mobility and industries entails for Continental
What emission-free mobility and industries entails for Continental With the world’s population growing, the demand for mobility and industrial production is also increasing. Given climatic developments and impact on human health, it is crucial that these avoid producing harmful emissions. Together w
Slide 16: Focus Topic Emission-free mobility and industries
Focus Topic Emission-free mobility and industries We are already a relevant player in emission-free mobility Around 3 bn € allocated ZTEV an low-carbon business in 2022 › High-performance computer › Advanced surface materials › Drum brakes with electromechanical parking brake function › Sophisticate
Slide 17: Our ZTEV components for emission-free mobility
Our ZTEV components for emission-free mobility Exemplary Overview 7 6 5 9 8 4 24 29 17 33 36 3 16 25 15 18 2 28 30 14 23 26 35 37 12 38 19 31 11 20 27 32 34 39 1 10 13 21 22 40 Sustainability © Continental AG 30.01.2024 17 Public
Slide 18: On the road to 100% emission-free mobility and industries
On the road to 100% emission-free mobility and industries Examples contributing to our ambition › Green Brake Caliper: Tailored to requirements of electrified vehicles. It significantly reduces residual braking torque, contributing to the reduction of CO2 emissions in manufacturing and operation. ›
Slide 19: Closed product and resource cycles
100% Closed product and resource cycles Public
Slide 20: What a circular economy entails for Continental
What a circular economy entails for Continental A circular economy will be the business model of the future. It can help to make limited resources infinitely usable and shape the economy in a way that treats resources sustainably. The aim is to close product and resource cycles and avoid waste at th
Slide 21: Focus topic circular economy
Focus topic circular economy The concept of a circular economy In a Circular Economy There is No Waste – Just Material in the Wrong Place Sustainability © Continental AG 30.01.2024 21 Public
Slide 22: The concept of a circular economy: biological cycles
The concept of a circular economy Examples for biological cycles Eco rubber garden hose made of sugar cane ethylene Bicycle tires made of natural rubber from dandelions Upholstery fabric made from coffee grounds Sustainability © Continental AG 30.01.2024 22 Public
Slide 23: The concept of a circular economy: technical cycles
The concept of a circular economy Examples for technical cycles Recycled carbon black recovered from end-of-life tires Retreaded tires for commercial vehicles Remanufactured displays for longer use of the components Refurbished air springs for urban trains in Hamburg 95% waste recovery quota in own
Slide 24: Circular economy in our own operations
Circular economy in our own operations Responsible handling of water and waste Challenges Approach Objective Saving › Water is an existential and important resource Risk-based targets for water security 4% 2% Water and a global frame- reduction of water reduction of water › Water scarcity and water
Slide 25: Responsible sourcing and business partnerships
100% Responsible sourcing and business partnerships Public
Slide 26: What a Responsible Value Chain entails for Continental
What a Responsible Value Chain entails for Continental Responsibility along the value chain means that each partner creates ecological, economic and social value for society - Referring both to our supply chain and customer relationships as well as to our own operations. Continental strives for a 10
Slide 27: Building a Responsible Value Chain
Building a Responsible Value Chain Embracing our responsibility towards human rights OHCHR | What are human rights? Human rights are rights we simply have because we exist as human beings - they are not granted by any state. These universal rights are inherent to us all, regardless of nationality, s
Slide 28: Responsible Value Chain Due Diligence System: Commitments
Responsible Value Chain Due Diligence System (RVCDDS) Areas of RVC Commitments Our Responsible Value Chain Due Diligence System aims to protect humans & the environment as detailed in our RVC commitments via roles, responsibilities & tasks along 7 core processes: Labor Standards Security Practices 1
Slide 29: Responsible Value Chain Due Diligence System: Core Processes
Responsible Value Chain Due Diligence System (RVCDDS) Core Processes Our Responsible Value Chain Due Diligence System aims to protect humans & the environment as detailed in our RVC commitments via roles, responsibilities & tasks along 7 core processes: Strategy Development Define, implement and imp
Slide 30: Sustainability Governance and Reporting at Continental
Sustainability Governance and Reporting at Continental To drive sustainability forward, we have designed our internal structure accordingly. In this way, we aim to become as sustainable as possible, as quickly as possible, across all levels of the Continental Group. We systematically pursue our ambi
Slide 31: Sustainability Governance at Continental
Sustainability Governance at Continental Our company structure ensuring effectiveness of oversight and decision making Strategic coordination Steering and implementation Decision-making Supervision/ Oversight Group Sustainability Steering Group Functions Committee › All Executive Board Members Group
Slide 32: Group Sustainability Scorecard (I)
Group Sustainability Scorecard (I) Performance Indicators for Sustainability Strategy 2022 2021 1, 2 Carbon neutrality Direct CO2 emissions (Scope 1) in millions of metric tons of CO2 0.76 0.82 Indirect CO2 emissions (Scope 2) in millions of metric tons of CO23 0.23 0.23 Total own CO2 emissions (Sco
Slide 33: Group Sustainability Scorecard (II)
Group Sustainability Scorecard (II) Performance Indicators for Sustainability Strategy 2022 2021 Green and safe factories Environmental management system certifications (ISO 14001) Employee coverage (as at Dec. 31) in %15 76 76 Energy management system certifications (ISO 50001) Employee coverage (a
Slide 34: Group Sustainability Scorecard Footnotes
Group Sustainability Scorecard Footnotes 1 Definitions in accordance with the GHG Protocol. Scope 1 includes emissions from the burning of fossil 8 Definition: proportion of waste that has been sent for material recycling, thermal recovery or any fuels as part of Continental’s own processes, and Sco
Slide 35: Legal Disclosures acc. to EU Taxonomy Regulation
Legal Disclosures acc. to EU Taxonomy Regulation Turnover, Capex and Opex Associated with Eligible Business Activities Taxonomy-eligible turnover in Taxonomy-eligible capex in Taxonomy-eligible opex in 2021 2021 2021 2.9 % Taxonomy-eligible 3.0 % Taxonomy-eligible 2.9 % Taxonomy-eligible Non-taxonom
Slide 36: Integrated Sustainability Reporting
Integrated Sustainability Reporting Non-financial Statement and Sustainability Report › Long history in sustainability reporting since FY 2011 › Combined non-financial statement in accordance with Sections 315b and 315c in conjunction with Sections 289b to 289e HGB for the Continental Download Group
Slide 37: Sustainability Reporting: Memberships and Initiatives
Sustainability Reporting Memberships and Initiatives Please click on the logos for more information. UN Global RBA Compact UN Diversity Charter Sustainability © Continental AG 30.01.2024 37 Public
Slide 38: Sustainability Reporting: Ratings and rankings
Sustainability Reporting Ratings and rankings Continental is listed in the following indexes: DAX® 50 ESG Rating: February 2022: March 2023: February 2023: November 2023: May 2023: › Prime (C+) › Climate: Score A- › Score: 67/100 › A › 16.4 (low risk) › Water: Score B › 91st percentile › Auto Compon
Slide 39: Disclaimer
Disclaimer › This presentation has been prepared by Continental Aktiengesellschaft based on the Annual Report 2022 and the Integrated Sustainability Report 2022. It has not been independently verified. It does not constitute an offer, invitation or recommendation to purchase or subscribe for any sha
Slide 40: The Future in Motion
Ontinentals. The Future in Motion