Executive Summary

From Foundations to Structured Impact

The following section outlines how this conviction has been translated into structure. It highlights the concrete evolutions since 2024, in governance, climate analysis, stakeholder alignment and operational integration, marking SSE’s progression from foundational commitments to structured impact.

The 2024 RESONANCE Report established SSE Group’s ESG foundations: the first consolidated carbon footprint, the launch of the RESONANCE framework, and the initiation of the Double Materiality Assessment (DMA). In 2025, the focus shifted from defining ambition to embedding structure. The ambition has not changed. The level of integration has.

Built on 5 strategic pillars, RESONANCE is a framework for impact and transformation. It is activated through 8 flagship initiatives

What changed since 2024

EMBEDDING SUSTAINABILITY INTO GOVERNANCE AND OPERATIONS

From Baseline to Strategic Backbone

In 2024, we measured our footprint and defined key ESG pillars.In 2025, we formalised prioritisation and scenario planning.

The Double Materiality Assessment was completed through broad internal and external consultation, confirming climate transition, pollution management, innovation, safety and governance integrity as SSE’s most material topics. This assessment provided a consolidated view of both impact materiality and financial materiality, reinforcing the strategic relevance of the RESONANCE pillars.

The DMA now serves as a strategic alignment tool, linking sustainability priorities with financial exposure and operational risk, and directly informing roadmap definition and governance discussions.

Parallel to this work, fourteen decarbonisation scenarios were modelled to evaluate both CO₂ reduction potential and financial implications. A reduction pathway was technically assessed, mapping reduction levers across:

Low-carbon supply chain transformation
Energy transition & efficiency
Operational electrification

This represents a transition from carbon reporting to structured feasibility analysis,supporting informed decision-making at Group level.

From Initiatives to Operational Systems

Several initiatives introduced in 2024 matured into structured frameworks in 2025:

The Science Academy was formalised into a governance-backed competence management system, reinforcing continuous learning and internal capability development across Business Units.
The Gender Equality commitment entered pilot phase, testing scalability, accountability mechanisms and integration within Group HR processes.
ESG data governance was strengthened through improved integration of carbon accounting tools and internal reporting systems, enhancing data reliability, traceability and consistency across markets.

These developments reflect a broader organisational shift: sustainability is increasingly embedded into operational systems, governance processes and performance monitoring — rather than managed as isolated or project-based initiatives.

From Vision to Impact

RESONANCE – TURNING OUR VISION, PURPOSE AND MISSION INTO COLLECTIVE ACTION AND MEASURABLE IMPACTS

The world is evolving, socially, environmentally and technologically. Industries like ours play a decisive role in shaping that future. From infrastructure to advanced chemistry, our activities influence systems that will endure for decades.

For more than 130 years, SSE has been guided by industrial discipline, technical precision and respect for people. These values remain unchanged. But responsibility today carries a broader meaning. It requires us to think beyond performance alone and to consider the long-term consequences of our decisions.

RESONANCE was launched in 2024 as a shared conviction, the belief that industrial excellence and sustainability must progress together.

In 2025, that conviction deepened. Sustainability priorities were reinforced through stronger governance, a structured materiality analysis and climate pathway modelling reviewed at Executive level. What began as ambition is increasingly embedded in how we define strategy, allocate resources and manage risk across the Group.

RESONANCE is no longer a program alongside our business. It is becoming part of how our business is led.

It aligns our Vision, Purpose and Mission with measurable action across Business Units and geographies, ensuring that sustainability principles guide long-term value creation.

Through RESONANCE, we are strengthening both our performance and our responsibility, acting with the awareness that we are accountable to the generations who will inherit the consequences of today’s decisions.

OUR 2030 VISION, PURPOSE AND MISSION

VISION

„Our vision is to be the pioneer in innovative and sustainable solutions, to build long term profitable businesses for the civil explosive and fine chemicals sectors.”

PURPOSE

„Together we can be accountable for future generations by inspiring positive impact in Civil Explosives and Fine Chemicals shaping cutting-edge, safe, inclusive and environmentally conscious solutions.”

MISSION

„Our mission is to deliver innovative, responsible high-quality products, technologies tailor-made services for Civil Explosive and Fine Chemicals sectors. We empower our people to become active ambassadors for positive change and to partner with our customers and suppliers on the journey towards greener, inclusive and more efficient operations.”

Industrial heritage. Long-term responsibility

Founded in 1894 to supply explosives for the Simplon tunnel in the Swiss Alps, Société Suisse des Explosifs (SSE) has built more than 130 years of industrial expertise. Today, SSE operates across eight European countries, employing approximately 700 people and generating annual revenues of around CHF 180 million.

From a specialised explosives manufacturer, SSE has evolved into a diversified industrial Group combining energetic materials, advanced chemistry and premium technical services. Swiss industrial discipline remains at the core of our identity — alongside a growing responsibility to prepare our business model for the decades ahead.

1894-1970

During this period SSE was mainly present in the Swiss explosives market focussing on the production of dynamite
and various other explosives.

1971

Diversification into Fine Chemicals with establishment of a new production unit.

1983

Entry into the pharmaceutical business with the foundation of Valynthese SA, a joint venture between SSE and the
French company UPSA.

1995

Expansion through participation in new legal entities in Sweden and Norway.

1998-2007

Expansion in the Swiss
explosives market through
different local acquisitions.

2012

Diversification into pyrotechnics with the acquisition of Hamberger
Swiss Pyrotechnics.

2013

Expansion in Central Europe through the acquisition of EPC entities in Germany, Poland, Czech Republic and Romania.

2016

Acquisition of ORICA’s Central
European explosives business.

2020-2024

Fine Chemicals Investment Plan focused on technology and development of internal skills and systems.

2022 – 2023

Further expansion with minority participations in Eastern Europe, Greece and important partnership (e.g. with “Hypex Bio” in Sweden).

2024

2025

Transitioning from an explosive manufacturer to a comprehensive service provider, pushing beyond the boundaries to ultimately evolve intoa sustainable, innovative, and premium service provider

2023-2023

EVOLVING TOWARDS A SUSTAINABLE, INNOVATIVE, AND PREMIUM SERVICE PROVIDER

Pioneering in innovative and sustainable solutions for positive impact changes in civil explosives & fine chemicals

2012 – 2023

COMPREHENSIVE PREMIUM SERVICE PROVIDER

Diversification to fine chemicals Expansion to Central Europe

1984 – 2012

EXPLOSIVE MANUFACTURER

Focusing on Swiss explosive market

TWO COMPLEMENTARY BUSINESS UNITS

Civil Explosives – Integrated European Operations

Operating across the full value chain — from manufacturing to on-site blasting services — our Civil Explosives division serves mining, quarrying and infrastructure markets across Europe. Reliability, security of supply and a
deeply embedded safety culture define our operational model.

Fine Chemicals – Advanced Hazardous Chemistry Expertise

Under the Valsynthese brand, our Fine Chemicals division develops and manufactures advanced intermediates
and APIs for chemical and pharmaceutical markets. Operating under ISO-certified and cGMP-compliant frameworks, we specialise in energetic and highly regulated chemistry.

Why Sustainability Is Structurally Material

SSE operates at the heart of industries that enable modern infrastructure, resource extraction and advanced chemistry. From supplying materials essential for electrification to supporting pharmaceutical value chains, our activities contribute to long-term
economic and societal development.

At the same time, our operations are energy-intensive and highly regulated. Sustainability is therefore inseparable from operational excellence and long-term competitiveness.

Enabling the Transition: Mining and infrastructure development Msupport electrification, renewable energy and resilient systems.
Energy & Climate Exposure: Decarbonisation pathways directly influence our cost structure and industrial evolution.
Environmental & Operational Discipline: Certified systems govern emissions control, resource management and safety performance across our sites.
Value Chain Integration: Transparency and carbon intensity increasingly shape customer expectations and market positioning.