ABB Publishes Its First Integrated Report

• Report covers ABB’s 2022 financial and sustainability performance
• New 2025 mid-term sustainability targets for emissions in own operations and suppliers’
• Reduction of company’s own GHG emissions by 65% since 2019

“I am pleased to present ABB’s first integrated report, which explains how our company purpose enables us to drive performance and create value for our stakeholders. The report shows how the various parts of our global company fit together to deliver improved financial results while contributing to a more sustainable society,” said ABB Chairman Peter Voser. “It also provides an overview of the external environment in which we are operating and how we intend to meet our targets in the short-, medium- and long-term. Naturally, the report also covers our performance over the past year and it is these achievements that make me most proud and confident in our team’s ability to deliver on our ambitious financial and sustainability targets in the years ahead.”New 2025 mid-term sustainability targets launched to improve accountability

Since the launch of its 2030 sustainability strategy in November 2020, ABB has made continuous progress toward its goals of enabling a low-carbon society, preserving resources, promoting social progress, and creating a culture of integrity and transparency along the extended value chain.ABB CEO Björn Rosengren said: “Against the backdrop of a year of crises and setbacks for society, it is clear that ABB’s purpose – to enable a more sustainable and resource-efficient future with our technology leadership in electrification and automation – is more relevant than ever, especially when it comes to tackling climate change.”

To increase accountability, ABB today published new 2025 mid-term targets for the low-carbon society pillar of its sustainability strategy. The targets include:

• Reduce own scope 1 and 2 CO₂e emissions by at least 70 percent
• Work with main tier-one suppliers¹ to reduce their scope 1 and 2 CO₂e emissions by 20 percent

Steady progress towards 2030 sustainability goals

In 2022, ABB reduced greenhouse gas (GHG) emissions in its own operations 42 percent. Since 2019, the company achieved a total emissions reduction of ~65 percent. In addition, ABB helped its customers reduce or avoid GHG emissions through its leading electrification and automation technologies.ABB also continued to advance on the other three pillars of the strategy. In 2022, it strengthened its circularity approach by defining clear key performance indicators (KPIs) for every stage of the product life cycle, from design to end-of-life. One important initiative was the launch of our EcoSolutions™ label, which provides full transparency into the circularity value and environmental impact of a product, verified by a third party.

When it comes to social progress, ABB improved workplace safety with a 29 percent year-on-year decrease in its lost-time injury frequency rate (LTIFR). The company also increased gender diversity in senior management with a year-on-year increase in the share of women in senior management from 16.3 percent to 17.8 percent, and it also enhanced its human rights due diligence process. In addition, ABB made considerable progress toward its 2030 goal of implementing a comprehensive, risk-based approach to ensure a consistently high standard of integrity across our organization.