Mersen : SRI presentation (socially responsible investment) - May 2024

At the heart of energy transition

May, 2024

Mersen at the heart of the energy transition

SUPPORTING	CONTRIBUTING	IMPROVING	PARTICIPATING
the transition to	to power conversion	power conversion	in the development
renewable energies	& transmission	efficiency with	of electric vehicles

silicon carbide semi-conductors

Green Taxonomy		Sustainable development markets
75% of sales are Taxonomy-eligible		56% of sales (Mersen definition)
21% of sales are Taxonomy-aligned

2

Mersen - May 2024

Our medium - term plan is based on energy transition growth markets

Sales

€1,211m

€1,115m

2022-202328%

27% +20%

2022-2023

+5%

2027 plan (announced in March 2023)

~€1,700m

Renewable energies	2022-2027
~45% CAGR > 20%
Si Semiconductors
SiC Semiconductors
EV

CAGR +3%

2022

2023

2027

3

Mersen - May 2024

The 2027 plan goes hand-in-hand with a climate plan

In our value chain

Developing in sectors that help limit global warming

Emitting fewer tons of

Preserving water resources

CO2 equivalent per €m of sales

Limiting waste and increasing recycling

56%

of sales linked to sustainable development

		80%	851	803
	73%
197			653
173				583
33%	90	79
0

63%

53%

80%

70%

2018

2021

2023

2027

2018

2021

2023

2027

Intensity	% electricity	Water consumption
(tCO2eq)	from renewable sources	intensity

2018 2021 2023 2027

% waste recycled

And beyond our value chain:

• Fund renewable energy projects or other projects that prevent or reduce greenhouse gas emissions worldwide: compensation equivalent to the emissions resulting from additional capex under the growth plan
  (€300 million).
• Fund research projects to combat global warming (PolarPOD)

4

Mersen - May 2024

And a global CSR road - map

PRIORITY COMMITMENTS	AMBITION
Responsible partner	Improve social and environmental
	practices throughout our value chain
Limit the environmental	Decarbonize and mitigate the impact of
impact of our sites	climate change

	Promote equal opportunity and
	diversity
	Promote a social responsibility policy
Develop our human capital	for all
	Develop and consolidate the health and
	safety culture within the Group
Develop a culture of ethics	- Instill ethical behavior
and compliance	- Protect data and systems

2027 TARGETS (VS 2022)

• Ensure that less than 5% of suppliers have a CSR score of less than 25
• Maintain a minimum of 85% of external purchases with local suppliers
• Reduce GHG emissions intensity by 35% (scopes 1& 2)
• Increase the share of renewable electricity to 80%
• Increase the share of waste recycled to 80%
• Reduce water consumption intensity by 15%
• Draw up a formal water conservation plan for all sites exposed to water stress
• Increase the proportion of women engineers and managers by 4 points (to 29%)
• Ensure that 27% of senior management positions are occupied by women (vs 23,7% en 2022)
• Increase the number of employees with disabilities by 25%
• Provide social protection with a universal indemnity in the event of death in service
• Standardize profit-sharing schemes
• Adopt a minimum amount of paid leave in all countries
• Keep LTIR ≤ 1.8 and SIR ≤ 60
• Increase the number of management safety visits per employee by 30%
• Provide compulsory ethics training for new hires and every 2 years
• Provide compulsory cybersecurity training (for employees with a PC)

5

Mersen - May 2024

R e c e n t changes at the Board of Directors

63% independent

100%

attendance rate in 2023 (on scheduled meetings)

At the AGM (May 16, 2024) :

Jocelyne Vassoille: nomination subject to AGM approval.

After the AGM, Michel Crochon will resign

* Independent members

6

Mersen - May 2024

A strong CSR governance

BOARD OF DIRECTORS

AUDIT & ACCOUNT

COMMITTEE OF THE BOARD

CSR Strategy review

CSR risk analysis review

Emmanuel Blot, designated as director responsible for CSR issues

EXECUTIVE COMMITTEE Promotes the Group's CSR strategy and implements it

HSE committee

CEO

HR

Operational Excellence

Business segments

CSR committee

CEO

HR

CFO

Operational Excellence

Compliance

Compliance

committee

CEO

HR

CFO

Compliance

Legal

Diversity committee

HR

COMEX sponsors

Internal

communication

7

Mersen - May 2024

Values and engagement at Mersen*

A strong culture based on common values

• People first
• One step ahead
• Cross collaboration
• Innovate for our customers

Engagement : 89 % motivated by their jobs

95 % aware of the Group's actions and objectives in favor of the environment 92 % aware of the Group's commitments in favor of diversity and Inclusion

96 % trust the Group's ethics alert process

*Survey conducted in 2023

8

Mersen - May 2024

A global company

Customer intimacy

33 countries

85% external purchases from local suppliers

51 sites with

100% local management

37% of women

26% of women engineers & managers

>8 years average length of service

7,500 employees

9

Mersen - May 2024

2023, another year of profitable growth

Sales (€m)	Operating income before	ROCE (%)
	non-recurring items (€m)

1,211

1,115

923

847

2020

2021

2022

2023

		122	137
					12.5	13.0
					10.8
	93
69				7.8
2020	2021	2022	2023	2020	2021	2022	2023

10

Mersen - May 2024