Materiality Analysis

Materiality analysis serves as a crucial compass in shaping our Report, establishing enduring sustainability goals and facilitating effective communication with our stakeholders. The materiality analysis process allows us to understand stakeholders' concerns and change of attitude regarding sustainability information, thereby enhancing the transparency of sustainability matters on different communication channels.

ViTrox conducts materiality analysis annually to track trends and developments related to the mid- to long-term goals of our material topics by collecting stakeholders' expectations and feedback through diverse communication channels. Based on the materiality analysis outcomes, we realign sustainability targets and strategies for planning and reallocating resources into ViTrox's material topics.

Material Topics Analysis Process

In 2025, we refined our assessment methodology to strengthen alignment with evolving sustainability expectations and reporting standards. This assessment applied a double materiality by incorporating both inside-out and outside-in perspectives to identify the sustainability matters most relevant to ViTrox and our stakeholders. We also considered the associated impacts, risks, and opportunities linked to these matters. The prioritised outcomes will guide the development of clear and measurable long-term sustainability targets, reinforcing our commitment to transparent and meaningful sustainability practices.

Double materiality perspectives applied:

  • Inside-out perspective: Focuses on ViTrox's actual and potential impacts on the economy, environment and people arising from our operations and value chain.
  • Outside-in perspective: Focuses on how sustainability matters may create risks or opportunities that could affect ViTrox's business, operations and performance.

Our 4-stage material topics process:
Identification of Sustainability Matters We developed a preliminary list of sustainability matters through the following inputs:
  • Discussions and interviews with internal stakeholders, including employees and representatives from functional departments who regularly engage with the external stakeholders
  • Industry peer disclosures and analysis of relevant best practices and developments since the last materiality assessment
  • Sustainability trends, relevant global initiatives and reporting frameworks
Prioritisation of Sustainability Matters We assessed and prioritised each sustainability matters based on two dimensions:
  • ViTrox's operational impact on the economy, environment and people (inside-out)
  • The potential impact of the sustainability matter on ViTrox's operations (outside-in), including related risks and opportunities
In parallel, we strengthened consistency between the materiality assessment and risk management processes by referencing internal documents and operational processes, peer reviews, and the Company's Risk and Opportunity (“R&O”) register. The R&O register is reviewed periodically as part of our risk assessment process to ensure that identified sustainability-related risks and opportunities remain relevant, current and aligned with applicable requirements and stakeholder expectations.
Review and Validation The ESC reviewed the assessment approach, key inputs and prioritisation outcomes. The Board approved the final list of prioritised material matters.
Disclosure and Ongoing Review We disclose the materiality assessment approach and our response to each material matter in our Sustainability Report. We will continue to review material matters periodically and update the assessment when significant internal or external changes occur.

Since 2021, we have strategically realigned our sustainability priorities, working closely with EWG members to conduct comprehensive materiality analyses. These assessments aim to identify ESG factors that could significantly affect ViTrox's business and/or substantively influence stakeholder decisions. In 2025, we further strengthened our approach by applying a double materiality lens — assessing both how sustainability matters may impact the Company's operations, and the Company's actual and potential impacts on the economy, environment, people and human rights arising from our operations and value chain.

In 2024, we prioritised 11 sustainability matters as material topics and identified a further 4 additional matters as secondary topics. We also reviewed the corresponding long-term goals, programmes, and resource allocations to ensure alignment with our sustainability strategy.

In 2025, we reaffirm that the material topics identified in the previous year remain highly relevant to our business and stakeholders. Given the dynamic ESG landscape, we continue to monitor emerging trends, regulatory developments and industry best practices to ensure our sustainability approach remains robust and responsive to stakeholder expectations.

The identified sustainability matters are illustrated in the materiality matrix. The x-axis represents ViTrox's operational impact on the economy, environment and people. The y-axis indicates the potential impact of the sustainability matters on ViTrox's operations, including related risks and opportunities.

Materiality Matrix

The identified sustainability matters are illustrated in the materiality matrix. The x-axis represents the actual and potential impacts on the economy, environment, people, and human rights, across the Company’s activities and business relationships. The y-axis indicates how critical each issue influences the stakeholders’ decisions about engaging with our business.

Notes:-

  • 1 Stakeholder Assessment of Sustainability Matter Impact: Evaluation by stakeholders of the actual and potential impact of sustainability matters arising from ViTrox's operations and supply chain on the economy, environment, and people. (The scoring scale remains: 10 points = highly impacted, 8 points = impacted, 6 points = moderately impacted, 4 points = not much impacted, 2 points = not impacted)
  • 2 ViTrox ESG Representative Assessment of Operational Impact: Evaluation by ViTrox's ESG representatives of the impact of sustainability matters on the company's operations. (The scoring scale remains: 10 points = highly impacted, 8 points = impacted, 6 points = moderately impacted, 4 points = not much impacted, 2 points = not impacted)

Explanation of differences from the 2024 Materiality Matrix:

  • The assessed impact on ViTrox's operations increased for Talent Attraction and Retention, Climate Change and Energy Management, Talent Development, and Occupational Health and Safety, compared with the previous assessment period.
  • The assessed impact on ViTrox's operations decreased for Community Engagement, compared with the previous assessment period.
  • The assessed impact of Climate Change and Energy Management on the economy, environment and people increased, compared with the previous assessment period.

We categorised our sustainability matters according to the ESG pillars as follows:

Our Environmental Endeavour Our Social Involvement Our Governance Management
Material Topics
  • Climate Change and Energy Management
  • Environmental Conservation and Preservation
  • Employee Well-being
  • Human Rights
  • Occupational Health and Safety
  • Talent Attraction and Retention
  • Talent Development
  • Corporate Governance and Ethical Practices
  • Economic Performance
  • Innovation and Product Excellence
  • Supply Chain Management
Secondary Topics
  • Water Management
  • Waste Management
  • Community Engagement
  • Diversity and Inclusion

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