8.1 Basis for preparation
8.1.1 General basis for preparation of the sustainability statement
The sustainability statement has been prepared for the year ending 31 December 2025. The information is consolidated on the same basis as the financial statements, meaning the scope covers Nedap N.V. and its subsidiaries (jointly referred to as Nedap), without any exemptions. Unlike in 2024, Nedap did not request assurance on the sustainability statement.
The sustainability statement covers Nedap’s upstream and downstream value chain. Our reported scope 3 greenhouse gas (GHG) emissions cover our upstream GHG emissions, specifically GHG emissions from tier 2 suppliers, as well as downstream GHG emissions from the use phase and end-of-life phase of products, although we may not know the (end) customer.
There will be no omission of information based on intellectual property, know-how, or the results of innovation, nor an exemption under articles 19a (3) and 29a (3) of Directive 2013/34/EU.
Policies, actions, targets, and metrics
In the topical sections of our sustainability statement, we disclose information about our policies, actions, and targets arising from those policies, and the metrics used to monitor progress for each topic.
Unless stated otherwise, the following points apply to all our policies, actions, targets, and metrics:
All policies, actions, and targets apply to all our activities worldwide, and to all our own employees globally.
The Board of Directors is accountable for the implementation of the policies.
All policies relevant to our stakeholders are made public on our website.
All actions are planned for the medium term.
No external body has validated the metrics.
All metrics with a currency in the unit of measure use euro as the currency.
8.1.2 Disclosures in relation to specific circumstances
Other than the disclosures below, there are no specific circumstances to mention.
Time horizons
For the preparation of the sustainability statement, we have used the same definitions for short-, medium-, and long-term time horizons as defined by ESRS 1 section 6.4, being the reporting year, up to five years after the reporting year, and more than five years after the reporting year.
Estimations
Preparing the sustainability statement involves making judgments, estimates, and assumptions that impact the reported amounts, both financially and non-financially. These are based on management’s experience and various other factors considered reasonable under the circumstances. Nedap’s management reviews these estimates and assumptions regularly. Within the sustainability statement, our scope 3 GHG emissions require the highest degree of judgment and are more complex. Future changes in these assumptions and estimates could lead to different results than those presented in this sustainability statement and may be revised accordingly. These scope 3 GHG emission metrics include upstream and downstream value chain data estimated using indirect sources, such as sector-average data or industry averages. We choose sources that are relevant to the location where the GHG emissions take place. For material GHG emissions, we aim to make use of the most accurate values possible to limit estimations. More detailed information on estimations and assumptions will be included alongside the disclosures they apply to. For our durability calculations, we use internal subject matter experts, product specification information, sales information in product databases, and business partner inquiry.
The sustainability statement may contain ambitions, objectives, targets, and expectations that are subject to changes in the future and are hence deemed uncertain information.
Changes in preparation or presentation of sustainability information
2025 marks the second year of Nedap presenting its sustainability information in compliance with the European Sustainability Reporting Standards (ESRS). Following the 2025 update of Nedap’s Double Materiality Assessment (DMA), Resource outflows related to Products and Services (ESRS E5) is no longer considered a material sustainability matter. As a result, Nedap will no longer provide detailed disclosures under ESRS E5, including aspects related to product durability, repairability, and recyclability.
Based on new insights, the materiality of the subtopic Resource outflows under ESRS E5 has been reassessed. Testing with recyclers showed that Nedap’s products are more recyclable than initially assumed and thus result in less material loss. In addition, the reassessment confirmed that only a limited group of products presents potential end-of-life constraints. These constraints are limited to products containing potting material, while other products performed better in recycling tests than previously expected.
Moreover, Nedap’s portfolio continues to shift toward software and SaaS solutions. As a result, the relative importance and expected future scale of hardware-related products are decreasing, further limiting potential environmental and financial risks
In November 2025, we finished the Science Based Targets initiative (SBTi) validation process to validate our near-term science-based GHG emissions reduction targets. During the course of the validation process, we made two changes compared to last year. First, our scope 3 target is now based on both category 1 (purchased goods) and category 11 (use phase GHG emissions). This ensures compliance with the requirement that the target accounts for a minimum of 67% of total scope 3 GHG emissions, both in the base year of 2020 and our recent reporting years. Second, we have moved GHG emissions related to warehousing activities from scope 3 category 1 to scope 3 category 4. In addition, we now categorize scope 3 transportation-related GHG emissions (categories 4 and 9) based on who pays for the transport, rather than on their location in the value chain (upstream or downstream). Transportation paid for by Nedap falls under category 4, while transportation paid for by others falls under category 9. This did not change the total GHG emissions, but only the GHG emissions in the mentioned categories within scope 3.
This reassessment was conducted in alignment with external stakeholders. The outcomes were validated through surveys and discussions with customers, suppliers and downstream partners, who confirmed the assessment and did not identify significant impacts, risks or opportunities related to this subtopic.
As of 2025, we are also able to calculate scope 1 GHG emissions directly for more items, rather than relying on clusters and reference items. We now calculate transportation-related emissions from vendors (categories 4 and 9) and end-of-life-related emissions (category 12) on an individual level. This has resulted in a non-material change in scope 3 GHG emissions for the base year 2020 and for 2024.
Other than the disclosures pursuant to the EU Taxonomy Regulation, no other disclosures will be added to the sustainability statement.
Transitional provisions
As permitted under Appendix C of ESRS 1, as amended by Commission Delegated Regulation (EU) 2025/1416, we have made use of the transitional provisions and omitted the following disclosure requirements:
E1-9 Anticipated financial effects from material physical and transition risks and potential climate-related opportunities.
8.1.3 Disclosures incorporated by reference
Some of the disclosures mandatory under the ESRS are incorporated by reference, referring to other parts of our management report. The following list includes instances of incorporation by reference:
ESRS 2 GOV-1, paragraph 19: Information about the members of the Supervisory Board is disclosed in the subsection Supervisory Board composition and skills matrix of section 4.1 Report of the Supervisory Board.
ESRS 2 GOV-3, paragraph 27: Information related to the remuneration of members of the Board of Directors is disclosed in the Remuneration summary subsection of section 4.2 Remuneration report and for Supervisory Board members in subsection Supervisory Board member remuneration of that same section.
ESRS 2 SBM-2, paragraph 45b: A description of stakeholder interests and views is provided in the subsection stakeholder table of section 1.4 Sustainability.
ESRS 2 IRO-1, paragraph 53 d, e, and f: Information related to risk management and control systems is disclosed in the subsection Nedap Risk Management Framework of section 3.2 Risk management & internal controls.
ESRS E1 24/ESRS 2 65a: Key contents of our Sustainability policy are disclosed in section 1.4 Sustainability.