Response to climate change - Prevention of Planet warming -

To prevent Planet warming, the Itoki Group is working to reduce greenhouse gas emissions (hereinafter referred to as GHG emissions) for Scopes 1, 2, and 3. These reduction targets are based on scientific evidence certified by the SBTi, and to achieve these targets, the Group is promoting measures such as energy conversion, introduction of renewable energy, and supplier collaboration for each of Scopes 1, 2, and 3.

For both Scope 1 and 2, we had set a reduction target of 10.7% compared to fiscal 2022, but in fiscal 2024 we only achieved an 8.1% reduction for Scope 1 and a 5.2% reduction for Scope 2, failing to achieve our targets. _CO2 emissions per unit of sales (Scope 1, 2) were 0.099t-_CO2 /million yen, a decrease of 0.020 from 0.119t-_CO2 /million yen in 2022, with the main reason for not achieving our targets being an increase in sales.

For Scope 3, we had set a reduction target of 6.3% compared to fiscal 2022, but emissions increased by 11.1% in fiscal 2024, falling short of the target. _CO2 emissions per unit of sales were 2.079t-_CO2 /million yen, down 0.024 from 2.103t-_CO2 /million yen in 2022, with the main reason for not achieving the target being an increase in sales.

In May 2025, the Itoki Group's GHG emission reduction targets for fiscal 2030 were certified by the Science-Based Targets initiative (SBTi) as being science-based and consistent with the Paris Agreement. The certified GHG emission reduction targets for each scope are as follows:

Approximately 90% of our GHG emissions reduction targets fall under Scope 3, making it important to address this area. Looking at the breakdown of Scope 3 emissions for fiscal 2024, Category 1 "Purchased products and services" accounts for the largest share, accounting for 83% of all Scope 3 emissions.
In light of this emission structure, we have positioned Category 1 as a priority area in order to achieve our SBTi-certified Scope 3 reduction target for fiscal 2030. Going forward, we will work with major suppliers to visualize and reduce emissions, and promote greenhouse gas reductions throughout the entire value chain.

Please see below for details of each achievement.

To achieve the GHG emissions reduction target for fiscal 2030 certified by SBTi, we are required to reduce 69,944 t-_CO2 over eight years, which represents the difference from the actual results for 2022. As shown in the examples on the next page, we will steadily make reductions toward our target by considering and implementing effective measures for each of Scope 1, 2, and 3.