How resilient is the company’s strategy and business model to climate change, including the scope, methodology, timing, and results of resilience and scenario analysis?

1. Description of the Resilience of Strategy and Business Model in Relation to Climate Change Resilience Analysis: A resilience analysis examines the company's ability to withstand, adapt to, and recover from the impacts of climate change. This includes assessing how well the company’s strategy and business model are positioned to navigate both physical climate risks (e.g., extreme weather, sea-level rise) and transition risks (e.g., regulatory changes, market shifts to low-carbon solutions). 2. Scope of the Resilience Analysis Scope and Boundaries: The scope of the resilience analysis should clearly define the aspects of the strategy and business model being assessed for climate resilience. This includes: Operational resilience: How vulnerable are the company’s facilities, supply chains, and infrastructure to climate risks? Market resilience: How well can the company respond to market shifts due to consumer demand for sustainable products or regulatory requirements for lower carbon emissions? Financial resilience: How will the company’s financial model adapt to climate-related changes (e.g., carbon pricing, investments in sustainable technologies)? Specify if the analysis includes specific regions, products, or business units that are more exposed to climate-related risks. 3. How and When the Resilience Analysis Has Been Conducted Methodology and Tools Used: Describe how the resilience analysis was conducted, including: The use of climate scenario analysis as outlined in ESRS 2 IRO-1. If climate scenario analysis was employed, describe the scenarios considered (e.g., 1.5°C, 2°C, or higher global warming scenarios). Any tools, models, or data sources used to assess the impact of climate scenarios on the business. Whether the analysis was conducted internally or with external advisors or consultants (e.g., climate experts, sustainability auditors). Timeline of Analysis: Explain when the resilience analysis was conducted, including the time horizon for the analysis (e.g., short-term, medium-term, long-term). 4. Results of the Resilience Analysis Findings and Impact Assessment: Describe the key findings from the resilience analysis, including: Vulnerabilities identified within the business model and strategy (e.g., high dependence on fossil fuels, physical asset exposure to extreme weather events). Opportunities revealed through the analysis (e.g., new markets for renewable products, potential cost savings from energy efficiency). Risks that could disrupt the company’s long-term viability (e.g., policy changes, loss of competitive advantage). Scenario Analysis Results: Provide the results of the climate scenario analysis, including: How the company’s strategy and business model would perform under different climate scenarios (e.g., how resilient the business model is to a 1.5°C vs. 4°C warming scenario). The financial impact of each scenario (e.g., costs associated with carbon pricing, capital expenditure for adaptation measures). The timeframes within which these impacts could materialize (e.g., next 5, 10, or 30 years). Adaptation Strategies: Based on the analysis, explain what adaptation strategies are being implemented to improve resilience, such as: Investing in climate-proofing infrastructure. Diversifying revenue streams into sustainable or low-carbon products. Enhancing supply chain resilience by sourcing from regions less vulnerable to climate risks. https://xbrl.efrag.org/e-esrs/esrs-set1-2023.html#4810