35954716 2024-01-01 2024-12-31 35954716 2024-01-01 2024-12-31 ifrs-full:SeparateMember 35954716 2023-01-01 2023-12-31 ifrs-full:SeparateMember 35954716 2024-01-01 2024-12-31 ifrs-full:SeparateMember 0 35954716 2023-01-01 2023-12-31 ifrs-full:SeparateMember 1 35954716 2024-01-01 ifrs-full:SeparateMember 35954716 2023-01-01 ifrs-full:SeparateMember 35954716 2024-12-31 ifrs-full:SeparateMember 35954716 2023-12-31 ifrs-full:SeparateMember 35954716 2023-01-01 2023-12-31 35954716 2024-01-01 2024-12-31 2 35954716 2023-01-01 2023-12-31 3 35954716 2024-01-01 35954716 2023-01-01 35954716 2024-12-31 35954716 2023-12-31 35954716 2024-01-01 2024-12-31 0 35954716 2024-01-01 2024-12-31 0 35954716 2024-01-01 2024-12-31 1 35954716 2024-01-01 2024-12-31 2 35954716 2024-01-01 2024-12-31 3 35954716 2024-01-01 2024-12-31 4 35954716 2024-01-01 2024-12-31 5 35954716 2024-01-01 2024-12-31 6 35954716 2024-01-01 2024-12-31 0 35954716 2024-01-01 2024-12-31 1 iso4217:DKK xbrli:pure Regnskabsklasse C, stor virksomhed 2024-01-01 2024-12-31 -2286000000 2957000000 -182000000 -5061000000 187000000 593000000 506000000 4149000000 153000000 2094000000 7000000 131000000 147000000 186000000 -2084000000 -65000000 821000000 0 251000000 200000000 -1235000000 830000000 -2000000 -71616000000 560000000 51416000000 20760000000 9706000000 5832000000 2560000000 -31000000 2693000000 219000000 626000000 2286000000 577000000 1709000000 -10000000 150000000 -9000000 -59000000 72000000 1781000000 <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Sustainability</td></tr><tr><td colspan="1">Sustainability Strategy</td></tr><tr><td colspan="1">Salling Group recognises that building a sustainable future is a complex and ongoing journey, and we are committed to adapting our business to address these challenges. By integrating sustainability into our core business strategy, we seek to ensure that our growth is not only eco- nomically viable but also socially and environmentally responsible.</td></tr><tr><td colspan="1">Core priorities: Climate and Health</td></tr><tr><td colspan="1">As a diverse retailer present across Denmark, Poland and Germany, our sustainability strategy is driven by two core priorities: Climate and Health. These priorities reflect some of the most pressing issues, where our efforts as a company can make the most significant impact on both the environment and communities.</td></tr><tr><td colspan="1">Climate</td></tr><tr><td colspan="1">Addressing climate change is one of the most urgent challenges of our time. We are committed to reducing our carbon footprint through innovative practices, enhancing energy efficiency, and promot- ing best practices across our business. Mitigating climate change requires persistent effort and collaboration, and we are dedicated to continuously making substantial progress in this area.</td></tr><tr><td colspan="1">Health</td></tr><tr><td colspan="1">We have an impact on the health and well-being of both our cus- tomers and our employees through the products we sell and the workplace environment we offer. We always strive to make healthy choices accessible and affordable for everyone.</td></tr><tr><td colspan="1">Foundation: People and Products</td></tr><tr><td colspan="1">Our sustainability strategy is built on a solid two-pillar foundation, with one pillar centred around the people we employ and the con- sumers who shop in our stores, and the other focused on the products we provide. This dual focus ensures that our sustainability efforts are deeply embedded in our core business operations and resonates with both our workforce and our customers.</td></tr><tr><td colspan="1">Collaborative partnerships</td></tr><tr><td colspan="1">Achieving our sustainability targets requires collaboration. Our strat- egy is supported by strong partnerships and active engagement with customers, suppliers, communities, NGOs, and other stakeholders. By working together, we can drive meaningful change and ensure that our sustainability initiatives are effective and far-reaching.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">In this report, we provide an overview of our main sustainability initi- atives and achievements in 2024, highlighting the progress we have made and the challenges we continue to address. For more detailed information, please visit our website https://www.sallinggroup.com/en.</td></tr><tr><td colspan="1">Environment</td></tr><tr><td colspan="1">Addressing climate change and environmental impacts is integral to our business operations and our commitment to sustainability.</td></tr><tr><td colspan="1">In 2024, our main environmental focus has been on climate change and food waste as we see these topics as the most intricate and press- ing challenges. We have a significant impact on these areas as a busi- ness and believe that we can contribute to a more sustainable future through our efforts, making every day better for our customers and society as a whole.</td></tr><tr><td colspan="1">Climate Change</td></tr><tr><td colspan="1">As a large retailer with a global footprint, we have a direct and indirect CO2 e footprint that impact the climate and the environment. In 2021, Salling Group developed science-based targets (SBTs) for scope 1, 2 and 3 emissions to measure and manage our impact (see table below). The targets were formally approved by the Science Based Targets initiative (SBTi) in 2023, confirming their alignment with the Paris Agreement’s goal of limiting human-induced climate change to below 1.5ºC. Our net-zero ambition involves significant emissions reduction throughout our value chain, ensuring that any remaining greenhouse gases are naturally absorbed and stored. To achieve our net-zero ambition, we must meet the long-term tar- gets and neutralise residual emissions through permanent carbon removal and storage, addressing the final 5% and 10% reductions,</td></tr><tr><td colspan="1">respectively. To reach our targets for carbon emissions reductions, we are actively collaborating with suppliers, partners, and stakeholders to implement the necessary changes.</td></tr><tr><td colspan="1">Climate strategy</td></tr><tr><td colspan="1">As part of our work on climate targets, we have adopted an ambitious climate strategy that aims to reduce our direct and indirect climate footprint. The ambition includes four tracks across own operations and value chain</td></tr><tr><td colspan="1">• Removing emissions from our own operations: We are investing in renewable energy and optimising energy efficiency to minimise both direct and indirect emissions.</td></tr><tr><td colspan="1">• Commit suppliers to set science-based reduction targets: We work closely with our suppliers to reduce emissions and set science-based climate targets.</td></tr><tr><td colspan="1">• Helping customers by providing solutions and products that make it easier to lower emissions from purchases: We offer a range of prod- ucts and solutions that empower our customers to make environmen- tally responsible decisions.</td></tr><tr><td colspan="1">• Engaging employees by educating them in sustainability issues with the goal of empowering them to become climate ambassadors and advocates for our climate ambitions.</td></tr><tr><td colspan="1">Emissions in own operations</td></tr><tr><td colspan="1">Following the guidelines by SBTi, we have set both short- and long- term targets for our own operations</td></tr><tr><td colspan="1">• 50% reduction in absolute scope 1 and 2 GHG emissions by 2030 from the 2021 baseline.</td></tr><tr><td colspan="1">• 95% reduction in absolute scope 1 and 2 GHG emissions by 2050 from the 2021 baseline.</td></tr><tr><td colspan="1">In 2024, Salling Groups direct (scope 1) and indirect (scope 2) GHG emissions totalled 336,796 tCO2 e, from a decrease in scope 1 but an increase in scope 2 summing up to a total increase of 1.7% com- pared to 2023. The sustainability statements (page 104) elaborate on the drivers of the development in scope 1 and 2 from 2023 to 2024. Compared to the 2021 baseline, emissions decreased by 8.2% in 2024. According to the SBTi guidance, an annual reduction of 4.2% is required in scope 1 and 2 for a 1.5ºC trajectory alignment. We are currently lacking behind this guidance but we expect to bridge the gap with our renewable energy transition plan.</td></tr><tr><td colspan="1">Transition to renewable energy</td></tr><tr><td colspan="1">To reduce our carbon emissions from own operations, it is key to improve our energy efficiency and reduce emissions from energy consumption. In 2024, our energy consumption was reduced by 4.3% from 2023 and in the same period there was an increase in both our consumption of electricity produced by own solar panels as well as in the excess production from our solar panels sold back to the grid. The production of energy from these solar panels covers 2.5% of our total energy consumption. In 2022, we initiated a 5-year investment plan in green energy transition, aiming to reduce carbon emissions and meet our science-based target for scope 1 and 2. Investments include</td></tr><tr><td colspan="1">• Scope 1: Decarbonisation efforts by replacing gas boilers with electric heat pumps in 750 stores across Denmark, Germany, and Poland and upgrading cooling systems to more energy-efficient models in stores not yet upgraded.</td></tr><tr><td colspan="1">• Scope 2: Significant investments in solar panels on 570 buildings across the three countries as well as installing doors on refrigerated display cases in 1,300 stores to reduce electricity consumption.</td></tr><tr><td colspan="1">By 2028, these investments are estimated to reduce carbon emissions by 25%, leaving a 25% gap to be addressed. The next step in our tran- sition plan is to ensure access to renewable energy across Denmark, Germany, and Poland, which is expected to close this gap.</td></tr><tr><td colspan="1">In response to evolving circumstances, we have updated our invest- ment plan to better align with our sustainability goals. As an exam- ple, we have faced challenges regarding the amount of solar panels we aim to install in Bilka and føtex due to the roof integrity of the buildings.</td></tr><tr><td colspan="1">Conversely, we have accelerated certain aspects of our plan to seize immediate opportunities. For example, we have increased the number of solar panels installed in Poland from the original plan of 200 to 349, thereby expediting our efforts to reduce emissions and enhance energy efficiency. These proactive measures underscore our com- mitment to achieving our climate targets and effectively adapting to evolving conditions.</td></tr><tr><td colspan="1">Progress on energy investment plan</td></tr><tr><td colspan="1">During 2024, we have installed 64 electric heat pumps and replaced cooling systems in 53 stores with new energy-efficient systems. We have installed solar panels at 273 locations across our three countries with the main part being installed at our Polish stores. Furthermore, we have installed doors on the refrigerated display cases in 160 stores to reduce energy consumption.</td></tr><tr><td colspan="1">Emissions in our value chain</td></tr><tr><td colspan="1">Given that the majority of our total emissions are generated with- in our value chain, we have set both short-term and long-term SBTi validated targets</td></tr><tr><td colspan="1">• 42% reduction in absolute scope 3 GHG emissions from the use of sold products (cat. 11) by 2030 • 75% of suppliers by emissions, covering purchased goods, ser- vices, and upstream transportation and distribution, will have sci- ence-based targets by 2027 • 90% reduction in absolute scope 3 GHG emissions by 2050: An overarching goal to achieve net-zero emissions in our value chain. Scope 3 emissions are divided into upstream and downstream categories</td></tr><tr><td colspan="1">Upstream emissions (88% of our scope 3 emissions) include those generated during the production and transportation of raw materials and goods before they reach our stores. This includes emissions from suppliers and service providers involved in manufacturing, packag- ing, and logistics.</td></tr><tr><td colspan="1">Downstream emissions (7% of our scope 3 emissions) occur after our products are sold, including emissions from the use and disposal of products by consumers.</td></tr><tr><td colspan="1">In 2024, our scope 3 GHG emissions accounted for 6,026,381 tCO2 e in total, an increase of 0.4% from 2023 and a reduction of 6.3% com- pared to the 2021 baseline. According to the SBTi guidance, an annual</td></tr><tr><td colspan="1">reduction of 3.1% is required in scope 3 to reach our net-zero target by 2050. We are currently lacking behind. The increase of scope 3 emissions was primarily driven by higher emis- sions from “purchased goods and services” resulting from a change in the mix of purchased goods and services from 2023 to 2024.</td></tr><tr><td colspan="1">Upstream emissions</td></tr><tr><td colspan="1">Emissions from purchased goods and services account for 88% of our scope 3 emissions in 2024. Within this category, the production of meat, dairy products such as milk and cheese, and the cotton we are sourcing for our textiles are among the most significant contributors to emissions. Given that 88% of our scope 3 emissions are upstream, we work closely with suppliers to reduce emissions from the production and transportation of goods. This involves encouraging suppliers to adopt more sustainable practices and set science-based targets.</td></tr><tr><td colspan="1">Supplier engagement</td></tr><tr><td colspan="1">We request our largest suppliers to our Danish, German, and Polish formats to report their climate targets and footprints via the CDP, which is an internationally recognised not-for-profit organisation spe- cialising in climate reporting. This initiative supports our goal for 75% of suppliers by emissions to set science-based targets by 2027 and to achieve our net-zero goal by 2050. Additionally, collecting information through the CDP platform helps us consolidate supplier data, which is vital for driving the climate agenda. Since 2022, we have used a spend-based method to select the relevant suppliers. By the end of 2024, 449 suppliers, covering approximately 70% of our total spend, have been invited. As of 2024, 35% of our onboarded suppliers (by spend) have set climate targets, progressing towards our target of 75% by 2027. This progress is crucial for driv- ing our climate agenda and ensuring transparency in our supply chain. In 2025, we will continue our collaboration with CDP, with a focus on increasing the proportion of suppliers who have set science-based targets. Additionally, we will begin calculating the share of suppliers with climate targets based on their emissions instead of their spend.</td></tr><tr><td colspan="1">Despite progress, challenges remain in aligning suppliers with varied levels of readiness and in simplifying reporting systems for smaller sup- pliers. We plan to address these issues going forward.</td></tr><tr><td colspan="1">Downstream emissions</td></tr><tr><td colspan="1">Downstream emissions account for 7% of our scope 3 emissions. These occur after our products are sold, including emissions from the use and disposal of products by consumers. Our SBTi target aims for a 42% reduction in emissions from the use of sold products by 2030 compared to a 2021 baseline.</td></tr><tr><td colspan="1">Use of sold products</td></tr><tr><td colspan="1">In 2024, our emissions from the use of sold products amounted to 115,694 tonnes of CO2 e, representing a 30.1% decrease from 2023 (see page 105). As of 2024, we have achieved a 36.1% reduction compared to baseline. Looking at the breakdown of emissions by product cate- gory in the use of sold products, consumer electronics account for 60% of total emissions and home appliances for 40%.</td></tr><tr><td colspan="1">Climate impact of food choices</td></tr><tr><td colspan="1">Salling Group advocate for a national climate label to make it easier for consumers to navigate according to the products’ climate footprint. We are proud to be part of the taskforce for the national climate label, tasked by the Minister of Food, Agriculture and Fisheries in Denmark. In 2024, the climate label was unfortunately delayed, and customers are still finding it challenging to identify which products have the lowest climate impact. In 2024, Netto Denmark launched a new campaign and invited all Danes to join the search for new versions of classic Danish dishes. The objec- tive was to re-define the top 10 classic dishes in Denmark with focus on reducing meat and increasing vegetable content. The campaign is an example of how Netto is helping customers to understand how to lower their own carbon footprint when cooking and to inspire customers to adopt more climate-friendly eating habits. Post-campaign tests showed that more than 60% agreed that the campaign inspired them to try a plant-based dish. However, the tests also highlighted the difficulty in changing actual customer behaviour, emphasising the importance of a visible national climate label at the point of purchase in stores.</td></tr><tr><td colspan="1">Food Waste</td></tr><tr><td colspan="1">Food waste is a key priority at Salling Group for both climate, eco- nomic and ethical reasons. To better understand our contribution to food waste, we began measuring food waste by weight in addition to monetary value in 2016 in order to calculate the impact across food categories. Salling Group´s food waste numbers have been reported and made publicly available every year since. At first, we only measured our food waste in Denmark but decided in 2019 to also measure and present our reduction in food waste outside Denmark, i.e., our stores and warehouses in Germany and Poland. Minimising food waste is a high priority in all parts of our business over which we have control. From an economic perspective food waste is not a good business. If we can minimise food waste, we can also help reduce overproduction and lower carbon emissions.</td></tr><tr><td colspan="1">Food waste development</td></tr><tr><td colspan="1">In line with the Sustainable Development Goal 12.3 we have a target to halve food waste by 50% by 2030 with 2015 as baseline. Both</td></tr><tr><td colspan="1">target and baseline will be adjusted in 2025 due to better data, methodology, and new legislation. Despite a strong focus on food waste prevention measures throughout our operations, our food waste percentage slightly increased in 2024 by 0.1 percentage point (see page 102). Going forward, we are improving the accuracy of our food waste cal- culations and will continuously work to enhance data quality through IT development and training for our colleagues.</td></tr><tr><td colspan="1">Food waste hierarchy</td></tr><tr><td colspan="1">Minimising food waste is good for several reasons. At Salling Group, we are working with a food waste hierarchy in order to follow the different tracks of a product’s lifecycle: Reducing food waste is thus a significant focus in all aspects of the business, that we have direct control over. We are precise in our ordering of products, we reduce prices on products approaching their expiration date, and we are meticulous in handling products during transportation to prevent damage that might render them unsellable in stores.</td></tr><tr><td colspan="1">Using AI to prevent food waste</td></tr><tr><td colspan="1">Local Price Reduction (LPR) is a method we use to adjust product prices dynamically. When the employees scan a product, the LPR system automatically suggests a lowered price based on expiration dates, encouraging the sale of products that might otherwise go unsold, thereby reducing food waste. In 2024, we maintained our focus on tailoring LPR to meet the specific needs of our retail chains.</td></tr><tr><td colspan="1">Donations</td></tr><tr><td colspan="1">Ending up with surplus food is unavoidable. Therefore, we have dona- tions partners such as the FødevareBanken (Food Bank), Wefood (Dan- ChurchAid), and Stop Spild Lokalt (Stop waste locally) among others to help us make good use of the food that cannot be sold but is still safe to eat. By donating edible food to those in need, we help both people and the climate. In Netto Poland, efforts in minimising food waste is rather advanced, driven by progressive Polish legislation.</td></tr><tr><td colspan="1">The legislation on food waste has enabled Netto Poland to implement effective waste reduction measures where surplus food is donated to organisations such as Food Banks and charity organisations. Moreover, customers are involved in the “I don’t waste, and I profit” programme in which they are encouraged to purchase short-dated products at discounted prices.</td></tr><tr><td colspan="1">New products from food waste</td></tr><tr><td colspan="1">In the production sites in Bilka and føtex, such as our bakeries, we are always trying to minimise waste. A constant focus and better uti- lisation of leftovers to be included in the production of new products contributes to minimising food waste. In 2024, we developed a new method on how to register the products that are upcycled, thus ena- bling us to deduct the numbers from our total food waste. Upcycled bakery products accounted for more than 550 tonnes. Extending the lifetime of a product by freezing it is another means of reducing waste. Furthermore, we have innovative suppliers who use side streams from main productions to make new, innovative products such as FoodRe- made that picked up more than 275 tonnes of bread from our bakeries in 2024 for the production of breadcrumbs, and the brewery BRØL making beers of leftover bread.</td></tr><tr><td colspan="1">Minimising food waste in value chain</td></tr><tr><td colspan="1">Supplier engagement</td></tr><tr><td colspan="1">In 2024, we launched the project ‘MadPlus’ or ‘Food Plus’ in English, in collaboration with FødevareBanken to address retail food waste in Denmark. Our goal is to develop a comprehensive solution for the collection, redistribution, and donation of surplus food. We aim to extend this initiative to all our stores, channeling surplus food to social organisations across the country that provide free meals to individ- uals in challenging life situations. Achieving this ambition requires strong partnerships, which is why we collaborate with Wefood (Dan- ChurchAid) and Stop Spild Lokalt, alongside FødevareBanken, as our preferred donation partners. After a test period, we plan to invite</td></tr><tr><td colspan="1">other Danish retailers to join the ‘MadPlus’ partnership, contributing to the reduction of food waste in Denmark. Our vision is for ‘MadPlus’ to evolve into a national project, engaging retailers throughout the country. More information can be found on our website.</td></tr><tr><td colspan="1">Additionally, in 2024, our CEO joined Club 12.3, a new initiative by the Danish Ministry of Food, Agriculture and Fisheries aimed at reducing food waste in the Danish food industry. This club unites top executives from 10 key food companies, each of which commits to engaging 20 partners in the fight against food waste thereby supporting the UN’s Sustainable Development Goal 12.3. In 2025, we will begin engaging suppliers on the food waste agenda as part of our commitment to Club 12.3.</td></tr><tr><td colspan="1">Reducing food waste in households</td></tr><tr><td colspan="1">With households being responsible for more than half of the food waste in the EU (54%), we collaborate with partners like Too Good To Go and the think tank ONE\THIRD to offer guidance and inspiration to our customers. Through targeted campaigns, we educate them on proper food storage and creative ways to use leftovers. For instance, by using communication materials from ONE\THIRD føtex encouraged customers to reduce food waste at home during Denmark’s National Food Waste Day. The campaign specifically highlighted techniques for extending the shelf life of fruits and vegetables by freezing them correctly. In addition to these efforts, we actively participate in research stud- ies on food waste. By engaging in interviews and tests, we aim to identify the barriers and opportunities in reducing food waste, focus- ing on the interaction between consumers, retailers, and food waste organisations.</td></tr><tr><td colspan="1">Social</td></tr><tr><td colspan="1">People</td></tr><tr><td colspan="1">People are the foundation of our business. We believe the success of our business begins with the decent behaviour and development-fo- cused culture that we seek to foster among our nearly 57,000 colleagues.</td></tr><tr><td colspan="1">People strategy and culture</td></tr><tr><td colspan="1">Our People Strategy serves as a guiding framework for our activi- ties, focusing on ‘Leadership’ and ‘the Young’. Continuously enhanc- ing leadership skills is crucial to cultivate growth and talent within the organisation, while developing future leaders is essential for Salling Group’s long-term resilience and ability to adapt to changing market conditions. Attracting and retaining young talent in a competitive job market, while ensuring that our young employees have the necessary skills and support to navigate the job market, are key challenges for Salling Group.</td></tr><tr><td colspan="1">Take leadership to the next level</td></tr><tr><td colspan="1">In 2024, we advanced leadership development by introducing new initiatives and skills training aligned with our five corporate priori- ties (5Ks). We launched revamped leadership programmes for all levels, including a Senior Leader- ship Programme that unites senior roles from various formats and headquarters.</td></tr><tr><td colspan="1">This year, we supported leaders in fostering a well-being focused environment and a sense of be- longing for our colleagues by launching the Mental Health (Omtanke) programme, providing expert-led webinars, training and the ‘ABC’ framework to destig- matise mental health issues (see ‘health’ page 25 for further info- mation).</td></tr><tr><td colspan="1">Win the Young</td></tr><tr><td colspan="1">In 2024, we focused on developing young employees through our apprentice programme and part-time job education. With 78% of our apprentices coming from part-time roles, engaging these employ- ees is crucial. Our initiatives included launching the TikTok channel ‘Closer to’ (‘Tættere på’), showcasing the daily lives of our appren- tices in Denmark. Moreover, for the first time, we hosted ‘Youth Day’, bringing together 150 part-time workers and young colleagues for workshops, inspirational presentations, and team-building activities.</td></tr><tr><td colspan="1">Our Foundation</td></tr><tr><td colspan="1">While our efforts to support our ‘foundation’ of nearly 57,000 col- leagues begin in the workplace, how our colleagues are treated by our customers is also important for their well-being. Therefore, we con- tinued to engage in different initiatives reminding customers to treat our colleagues with friendliness and respect. One concrete example is our participation in a collaboration with the HK Trade Union and a group of retailers in Denmark in a campaign reminding customers to ‘keep a good tone’ (‘hold den gode tone’) when they shop.</td></tr><tr><td colspan="1">Gender Diversity and Equal Opportunities for All</td></tr><tr><td colspan="1">At Salling Group, we are committed to fostering an inclusive and diverse workplace, with gender diversity being one of our five strate- gic corporate priorities (5Ks). We believe that a balanced gender rep- resentation enriches our organisational culture, drives innovation, and enhances decision-making. By promoting equal opportunities and supporting the professional growth of all employees, regardless of gender, we strive to create an environment where everyone can thrive and contribute to our collective success.</td></tr><tr><td colspan="1">Targeting gender diversity</td></tr><tr><td colspan="1">In 2024, we intensified our focus on gender diversity, recognising that data-driven goals are crucial for strategically advancing this priority. We aim to achieve gender diversity across the organisation at the Board, Director, Managerial, and employee level.</td></tr><tr><td colspan="1">Salling Group has set a target to increase the share of female mem- bers on the Board of Directors to 40% by 2026. In 2024, following the resignation of one female member the open position on the Board of Directors remained unfilled by the end of the year, resulting in a 0% share of female members as of December 31, 2024. While it is recognised that the Board may not be able to reach its target during periods of transition, it is the Board’s intention to reach and maintain this balance in the long-term. For all levels, our primary gender diversity target is to achieve a 40/60 gender ratio in favour of the underrepresented gender. This target is set for director-level positions e.g., Vice Presidents and members of the Executive Committee and above by 2030, and for manager-level positions and all other employees, the target remains constant. Throughout 2024, we continued to work towards our strategic goal of having 40% of our Director+ positions filled by the underrepresented gender. To support this goal, we implemented individual annual tar- gets for each unit, aligning with our long-term objectives. By the end of 2024, women held 24.2% of director-level and above managerial</td></tr><tr><td colspan="1">positions, marking an increase from 2023 by 1.9 percentage points, underscoring our commitment to promoting gender diversity in lead- ership roles. Additionally, we achieved a 40/60 gender ratio for Manager+ and all employee level positions with 54.0% of managers being women and 55.4% of all employees in Salling Group being women by the end of 2024. For the Manager+ group, we have a strong pipeline of women poised for future advancement to higher managerial levels, and we will continue to develop this pipeline moving forward.</td></tr><tr><td colspan="1">Our work in uncovering barriers for women across our organisation</td></tr><tr><td colspan="1">It is crucial for our efforts to shift the gender balance within our organ- isation to identify potential barriers that women in Salling Group may face in assuming leadership positions. Therefore in 2024 we have sys- tematically worked to uncover these barriers. While this work is ongo- ing, it has already provided us with valuable insights on how we can create an environment where all employees can develop and pursue a career regardless of gender.</td></tr><tr><td colspan="1">Different barriers in Denmark, Germany, and Poland</td></tr><tr><td colspan="1">Across the three countries in which we operate, we face different bar- riers regarding our work with gender diversity. In our Danish organi- sation, women are slightly underrepresented, whereas the situation is reversed in both Poland and Germany (se figure below). We are aware of the cultural differences influencing these dynamics yet remain eager to learn from cross-border collaboration and insights.</td></tr><tr><td colspan="1">Collaboration to accelerate the gender diversity agenda</td></tr><tr><td colspan="1">Salling Group participates in collaborations to strengthen diverse and inclusive organisations. In 2024, our CEO continued to engage in the ‘Above &amp; Beyond’ Diversity Council. The Diversity Council provides a network for CEOs and HR leads by convening meetings among large</td></tr><tr><td colspan="1">cross-industry organisations who can share and learn from best prac- tice cases and participate at the forefront of the societal DE&amp;I (Diver- sity, Equity and Inclusion) agenda in Denmark.</td></tr><tr><td colspan="1">Next steps on gender diversity</td></tr><tr><td colspan="1">In 2025, our ambition is to launch initiatives that will enhance aware- ness among our leaders and future leaders, addressing not only biases but also fostering a workplace that embraces diversity and cultivates a sense of belonging among our employees. This will be achieved through training sessions as well as by ensuring that our hiring managers are aware of their own biases during recruitment processes. Additionally, we have initiated efforts to ensure that our job postings use inclusive language, promoting inclusion even before potential employees are hired.</td></tr><tr><td colspan="1">Health</td></tr><tr><td colspan="1">Health is a key priority in our sustainability strategy. Consumers are increasingly looking for healthier eating options, relying on retailers to provide nutritious and affordable products. Our brands and broad range of products offer inspiration and guidance to our customers for fresh, healthy, and sustainable options for daily family meals options.</td></tr><tr><td colspan="1">Our health strategy</td></tr><tr><td colspan="1">Our aim is to make healthy and sustainable choices accessible and affordable to everyone. Through three key focus areas, we strive to make an impact by making physical and mental health and well-be- ing accessible for everyone</td></tr><tr><td colspan="1">• Healthier shopping baskets: We help customers make healthier choices by inspiring a healthy, sustainable and affordable mix of products in their shopping baskets. • Support health and well-being at work: We engage employees to create a workplace that inspires a bal- anced and healthy working life. • Cooperate with partners on the health agenda: We collaborate with various partners to prevent and address dif- ferent health challenges.</td></tr><tr><td colspan="1">Healthier shopping baskets</td></tr><tr><td colspan="1">Demand for healthier products is increasing. But so is the complexity in knowing what is truly healthy and what is the best choice. As a large retailer, we have a responsibility to address this challenge. We aim to inspire healthier shopping behaviour through our product assortment, in-space management in stores, and marketing initiatives. In 2024, we expanded our range of Keyhole- and Wholegrain-labelled private label products. Despite this, we saw a 6.6% decrease in units and a 3.1% decrease in sales of Keyhole-labelled items and a similar tendency in Wholegrain with a decrease of 6.3% in units and 3.2% in sales. All Netto stores were modernised to feature a focus on fruits and vegetables at the front of our stores. Additionally, føtex launched a new strategy including an increased focus on health and well- being. As a first result, a new supermarket concept is being tested in føtex Kokkedal where the ambition is to make it easier for customers to navigate and find healthier products by presenting healthier alternatives to all our products for the same price.</td></tr><tr><td colspan="1">Support health and well-being at work</td></tr><tr><td colspan="1">Our employees are our most important asset. Therefore, it is very important to us to ensure health and safety and safe employment conditions in every respect. In our warehouses and stores, there is a risk of sudden accidents occurring and our employees are exposed to physical attrition, due to heavy lifting, operating heavy machinery and tools, and too much sedentary work at headquarters etc. Thor- ough instructions and knowledge on safety protocols and preven- tion of attrition have been implemented throughout 2024. However, despite the efforts, we saw an increase of 1.7% in workplace injuries. Mental health is also a top priority for our colleagues across the busi- ness. Studies show that one in three women and one in six men aged 16-24 struggle with their mental health. At Salling Group, we take this issue very seriously as a large group of our colleagues represents that age group. In 2024, we developed a mental health programme and accompanying toolbox with concrete initiatives to enhance the mental health of our colleagues. Through our partnership with ABC</td></tr><tr><td colspan="1">for Mental Health, we support colleagues through the ‘ABC’ of mental health framework by encouraging them to do something active (Act), do something together (Belong) and do something meaningful (Com- mit). Mental health is a shared responsibility, and it is something we build together. In 2024, we furthered our work to normalise the conversation on mental health. Through a collaboration with the Psychiatric Foun- dation (Psykiatrifonden), we launched a campaign called ‘Find the Elephant’ to promote talking openly about mental health issues. Through the campaign, 30 elephant structures were placed on a friendly art walking route in Aarhus to promote dialogue on the issue.</td></tr><tr><td colspan="1">Cooperate with partners on the health agenda</td></tr><tr><td colspan="1">As part of our ongoing commitment to promoting health, we part- ner with various organisations to enhance our impact on health and well-being, ensuring that our efforts reach beyond our immediate business operations.</td></tr><tr><td colspan="1">DBU</td></tr><tr><td colspan="1">Salling Group and the Danish Football Association (DBU) have joined forces in a historic partnership aimed at making Danish football an even more integral part of everyday life in Denmark. DBU is the</td></tr><tr><td colspan="1">country’s largest sports association, boasting over 370,000 active football players across approximately 1,550 clubs nationwide.</td></tr><tr><td colspan="1">DBU and Salling Group want to create change and improvement in three specific areas</td></tr><tr><td colspan="1">1. Equality and equal opportunities. Through various projects, we will increase diversity in Danish football and in the Salling Group organisation.</td></tr><tr><td colspan="1">2. Physical and mental health and well-being. We want to make Danes healthier and mentally stronger in Danish football, in our - stores, and in Danish homes.</td></tr><tr><td colspan="1">3. Recruitment and training. Both DBU and Salling Group want to strengthen their recruitment practices by exchanging best practices on the recruitment of coaches and referees and store colleagues and future managers. Together, this will enable both parties to bring the best and brightest on board.</td></tr><tr><td colspan="1">This ambitious partnership between Salling Group and DBU is from 2024 to 2029.</td></tr><tr><td colspan="1">For the first time in history, this partnership encompasses all national teams, from U16 to the women’s and men’s national teams. Addition- ally, Salling Group will be involved in the Football School, the Girl Rocket Initiative and several other projects.</td></tr><tr><td colspan="1">As a result of a promotion of the partnership between Salling Group and DBU during September November 2024, awareness about the - Salling Group brand and Danish football and health increased by 10% among Danes over 18 years old (Publicis Groupe).</td></tr><tr><td colspan="1">Hjernesagen</td></tr><tr><td colspan="1">In 2024, Salling Group and Hjernesagen - The Danish Stroke Asso- ciation launched a partnership aimed at enhancing the health of - Danes and preventing strokes, which affect over 12,000 individuals annually. High blood pressure is one of the most common causes of strokes, which is why we, together with The Danish Stroke Associa- tion, provided free access to blood pressure measurement in selected stores.</td></tr><tr><td colspan="1">Offering blood pressure measurements in retail stores has not pre- viously been tested in Denmark. From May 7th to November 29th, 2,732 customers answered a voluntary questionnaire providing awareness about checking their blood pressure after getting their blood pressure measured. Not everybody who agreed to the blood pressure measurement answered the questionnaire. However, the results indicate that more than one in ten of the customers who</td></tr><tr><td colspan="1">answered the questionnaire, agreed to be referred to their own doc- tor for untreated high blood pressure. Over the coming years, we will launch a series of initiatives in col- laboration with Hjernesagen, bringing brain health and stroke pre- vention directly into our stores to reach as many people as possible.</td></tr><tr><td colspan="1">Fødevarepartnerskabet for sundhed og klima</td></tr><tr><td colspan="1">At Salling Group, we are an active member of Fødevarepartnerska- bet for sundhed og klima (the Food Partnership for Health and Cli- mate) under The Danish Veterinary and Food Administration, along with more than 100 other partners across retailers, food producers, consumer organisations and more.</td></tr><tr><td colspan="1">The members of Fødevarepartnerskabet share a common goal of making it easier for everyone to choose tasty, healthier foods and meals that also consider the climate.</td></tr></table><br><table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Data Ethics Policy</td></tr><tr><td colspan="1">In Salling Group, we collect data from our customers when they interact with our stores and our digital platforms. We utilise informa- tion on customer behaviour to improve customer propositions in our stores and on our digital platforms, in terms of providing even better services and offers, aiming to improve customer experience. Besides being a large retailer, Salling Group is also a large employer. Salling Group’s employees are very valuable to Salling Group and funda- mental for the future success of the group and we put great efforts into safeguarding their data.</td></tr><tr><td colspan="1">Transparent and safe processing of personal data</td></tr><tr><td colspan="1">It is important to us that our customers are interacting with us on an informed basis and that they feel safe in doing so when we collect and process personal data. Our privacy policies inform about the basis for, and extent of, our processing of personal data, and here we explain how we process personal data. Our collection and processing of personal data will always be based on specifically stated purposes.</td></tr><tr><td colspan="1">Data security</td></tr><tr><td colspan="1">Salling Group maintains a high level of data security throughout our applications and solutions. All digital activities are governed by Salling Group’s company-wide security policies, and all systems and processes are continuously monitored to protect data against unau- thorised disclosure, destruction or manipulation. To read more about the statutory statement on data ethics, in accordance with section 99d of the Danish Financial Statements Act, follow the link below.</td></tr></table><br><table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">In this report, we provide an overview of our main sustainability initi- atives and achievements in 2024, highlighting the progress we have made and the challenges we continue to address. For more detailed information, please visit our website https://www.sallinggroup.com/en.</td></tr><tr><td colspan="1">Fair and Transparent Tax Practises</td></tr><tr><td colspan="1">Contributing to society</td></tr><tr><td colspan="1">As an integral part of acting with integrity, we conduct our busi- ness based on the principle that taxes and duties are crucial to our welfare society. In addition to embracing the obligation to contrib- ute to the widest possible extent, we believe in the opportunity to create real and significant opportunities through our payments. At Salling Group, we view taxes and levies as a lever to improving public services and conditions for our employees, customers and business partners. Locally as well as globally, payment of taxes and duties by companies contributes to accelerating the green transition and to edging us closer to fulfilling the UN Sustainable Development Goals.</td></tr><tr><td colspan="1">Salling Group’s tax policy[1] is based on five cornerstones: · Tax compliance Tax transparency · Tax risk management · Tax structure and planning · Tax governance ·</td></tr><tr><td colspan="1">Underlining the importance, we attach an open and fair tax prac- tice, overarching responsibility for Salling Group’s tax policy is placed within the company’s Board of Directors appointing Jens Bjerg Sørensen responsible for the tax policy. Responsibility for the tax risk management lies with the CFO. Salling Group does not operate businesses in any low tax jurisdictions[2], nor do we apply special tax optimisation models designed for tax avoidance.</td></tr><tr><td colspan="1">Effective tax rate</td></tr><tr><td colspan="1">The effective tax rate for the Group is 25.2% in 2024, in line with prior years having an average rate of 24.0% for the past 5 years.</td></tr><tr><td colspan="1">Our effective tax rate demonstrates that we pay taxes at a rate that contributes to society where we operate and we don’t engage in aggressive tax planning or tax evasion. In Denmark, we are one of the largest corporate tax payers according to the published corpo- rate tax records for 2023[3].</td></tr><tr><td colspan="1">Total tax payment[4]</td></tr><tr><td colspan="1">In 2024, the total tax contribution from the Group amounted to DKK 8,970 million, compared to DKK 8,580 million in 2023. This includes both taxes paid indirectly by our company (taxes collected), such as VAT and employee income tax, and taxes paid directly (taxes borne), such as corporate income tax and property taxes.</td></tr><tr><td colspan="1">Taxes and duties collected</td></tr><tr><td colspan="1">Taxes and duties levied consist of VAT, withheld taxes and excise duties. The amount for VAT is calculated as net VAT payment to the state, which means VAT on sales minus VAT on purchases. Excise duties charged in Denmark (e.g., on chocolate and alcohol) are only for imported goods, as excise duties on locally produced goods are paid to the authorities by the manufacturing companies.</td></tr><tr><td colspan="1">Taxes and duties borne</td></tr><tr><td colspan="1">The company’s own taxes and fees consist of corporate tax, energy tax, environmental tax and property tax. The largest share of own taxes and levies being corporate tax (70.0%). The Danish entities in the Group delivered a total corporate tax of DKK 482 million. In ad- dition, company taxes totaling DKK 167 million were paid abroad.</td></tr><tr><td colspan="1">Sustainability Legislation</td></tr><tr><td colspan="1">In 2019, the EU adopted the European Green Deal with the strategic aim to become climate-neutral by 2050. The EU Green Deal con- sists of a package of policies and laws on key sustainability areas such as climate action, circular economy, buildings and renovations, transportation, and protection of ecosystems. As we navigate this evolving landscape, we acknowledge that certain directives and regulations within the EU Green Deal will significantly impact our business operations. On the right, we illustrate the directives and regulations we anticipate will have the most substantial effects on Salling Group. We are diligently working to implement these direc- tives and regulations across the Group. Below, we provide a status update on our implementation efforts regarding the Corporate Sus- tainability Reporting Directive (CSRD) and the EU taxonomy, both important for our ESG reporting.</td></tr><tr><td colspan="1">Status on Salling Group’s Implementation of the Corporate Sustainability Reporting Directive (CSRD)</td></tr><tr><td colspan="1">Salling Group is committed to transparent sustainability reporting and is preparing to comply with the Corporate Sustainability Report- ing Directive (CSRD). The directive provides a standardised framework to enhance the clarity and comparability of companies’ ESG report- ing, making it easier for stakeholders and investors to understand and evaluate these topics. Since 2013, we have consistently reported on Corporate Social Responsibility (CSR) matters and have continuously enhanced our reporting practices over the years.</td></tr><tr><td colspan="1">At the end of February 2025, the European Commission published the EU Omnibus, proposing a postponement of reporting and a simplification of reporting requirements. We are closely monitoring</td></tr><tr><td colspan="1">the developments of the EU Omnibus. If adopted, Salling Group will report according to the CSRD for the fiscal year 2027.</td></tr><tr><td colspan="1">Preliminary Double Materiality Assessment</td></tr><tr><td colspan="1">In 2024, we conducted a preliminary double materiality assessment aligned with CSRD requirements and the European Sustainabil- ity Reporting Standards (ESRS) framework. The assessment, which is based on interviews with selected stakeholders, will be revisited in 2025 to incorporate further inputs, feedback, and additional analysis.</td></tr><tr><td colspan="1">Preparation for CSRD-Compliant Reporting</td></tr><tr><td colspan="1">The double materiality assessment serves as a foundation for this reporting. Implementing CSRD necessitates new systems for data capture and reporting, new ways and methods for collecting ESG data, and the establishment of new processes, controls, and anal- yses. The implementation of CSRD will continue throughout the phase-in period as defined by the directive.</td></tr><tr><td colspan="1">Status on the EU Taxonomy for sustainable activities</td></tr><tr><td colspan="1">The EU Taxonomy is a comprehensive classification system that sets criteria for identifying environmentally sustainable economic activi- ties. It aims to direct investments towards initiatives that contribute to the EU’s climate neutrality goal by 2050. Companies are required to disclose the scope of their eligible economic activities and the extent to which they are aligned with criteria under the EU Taxonomy. If the EU Omnibus is adopted, Salling Group will be required to report in accordance with the EU Taxonomy starting from the financial year 2027.</td></tr><tr><td colspan="1">Supplier Due Diligence</td></tr><tr><td colspan="1">Due Diligence in our upstream supply chain</td></tr><tr><td colspan="1">The work with human rights and environmental due diligence, in our upstream supply chain is fully integrated within our commercial operations. Our strategy, policies and initiatives aim to ensure that our products are sourced with care for the people involved and the environment.</td></tr><tr><td colspan="1">Salling Group follows a classic due diligence setup, which is currently based on our Human Rights related policies and the adopted amfori Code of Conduct. Our membership of UN Global Compact further- more brings a framework that enables us to systematise our pro- cesses and keep them aligned with universal principles and practices. Within the nearest future we are planning to incorporate a clearer environmental supportive Code of Conduct as part of the due dil- igence foundation. The building blocks in our current due diligence setup are illustrated on the right.</td></tr><tr><td colspan="1">Impacts and focus areas in 2024</td></tr><tr><td colspan="1">Salling Group is very conscious about the potential negative human rights and environmental impacts we might cause in connection with the products that we source. The challenges vary across industries and involved tiers, which is also reflected in our risk assessments. Some of the systematic challenges we see relate to excessive work- ing hours, health and safety issues, corruption, deforestation, water scarcity, discrimination and exploitation of vulnerable worker groups. These concerns, of both social and environmental character, are tackled via our due diligence processes. Some of our focused topics for 2024 (in addition to implementation of legislations) are</td></tr><tr><td colspan="1">Water scarcity</td></tr><tr><td colspan="1">In certain areas water is a very scarce resource, and it brings complexity to production of certain crops. Countries like for instance Peru and Spain face higher temperatures, less rain- fall, and uneven distribution of water. Salling Group sources different fruits and vegetables from such areas, and therefore we have deemed it urgent to contribute to better water man- agement in our upstream supply chains. As one initiative we are participating in a multi-stakeholder scalable project that seeks to conduct a footprint analysis on water and nature and eventually create and implement a - strong management plan that ensures a proper water balance within the pointed area.</td></tr><tr><td colspan="1">Exploring multi-stakeholder collaboration</td></tr><tr><td colspan="1">Salling Group has been part of a Danida project sourc- ing dates from small scale farmers located in Palestine. The incentive for joining such a project consisted of a great opportunity to learn more about sourcing from a conflict-af- fected area, and to find out how to ensure responsible busi- ness conduct when facing the different challenges of such areas. Our aim was to build a sustainable supply chain via a multi-stakeholder collaboration that was viable both socially, environmentally, and economically.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Governance</td></tr><tr><td colspan="1">At Salling Group, governance is the cornerstone of our operations, ensuring that we remain accountable, transparent, and aligned with our core values and strategic objectives. Our governance practices ensure that we remain a trusted partner in the lives of our customers and colleagues and a positive force in the communities we serve. By continuously enhancing our governance framework and embrac- ing responsible business conduct, Salling Group is well-positioned to navigate future challenges and seize opportunities.</td></tr><tr><td colspan="1">Responsible business conduct</td></tr><tr><td colspan="1">Integral to our governance is our commitment to responsible busi- ness conduct. We adhere to high ethical standards and compliance protocols that guide our interactions with suppliers, customers, and other stakeholders. Our Code of Conduct outlines the principles of integrity, fairness, and respect that all employees and partners are expected to uphold. Regular training and awareness programmes reinforce our commitment to responsible practices, while our com- pliance mechanisms help mitigate risks and uphold our reputation.</td></tr><tr><td colspan="1">Anti-corruption and anti-bribery efforts</td></tr><tr><td colspan="1">Salling Group holds a zero-tolerance policy on corruption and brib- ery and strives to maintain a transparent and fair corporate culture, including awareness of our stance on corruption and bribery in any form. We realise that corruption and bribery in our supply chain can be a barrier to economic and social development, especially in devel- oping countries, and often entail increased costs of goods, eventu- ally affecting our customers. We also see potential risks within the Group itself such as fraud, bribery in exchange for orders or bribery offered to circumvent delivery restrictions. To mitigate risks we main- tain anti-corruption requirements as an integrated part of our Code of Conduct and general trade agreement terms for all suppliers and service providers, and full whistle-blower setups are implemented across the group. The Whistleblower setups include clear communica- tion channels for reporting irregularities as well as dedicated national Whistleblower units to process and investigate the incoming cases professionally and confidentially.</td></tr></table><br><table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Governance Structure</td></tr><tr><td colspan="1">Leadership</td></tr><tr><td colspan="1">The overarching responsibility is anchored with Salling Group’s Board of Directors with two board committees taking active roles in over- sight of selected matters. The Audit Committee ensures supervision of the integrated reporting process, and risk management frame- work. The Sustainability Committee functions as an overall advisory body that supports strategy development. It also seeks to continually challenge the level of ambition and push for development. Our governance framework is supported by a robust leadership team, led by CEO Anders Hagh. This team is tasked with steering the company towards strategic goals, ensuring that every level of the organisation is engaged and empowered to contribute to our collective success.</td></tr><tr><td colspan="1">Audit Committee</td></tr><tr><td colspan="1">• Jens Bjerg Sørensen, Deputy chairman (Committee Chair) • Freddy Mikael Sobin, Board member • Peter Bang, Executive Vice President, CFO • Randi Toftlund, Group Senior Vice President, Corporate Finance</td></tr><tr><td colspan="1">Sustainability Committee</td></tr><tr><td colspan="1">• Bjørn Gulden, Chairman of the Board (Committee Chair) • Thomas Carsten Alexander Tochtermann, Board member • Anders Hagh, President, CEO (Sponsor) • Henrik Vinther Olesen, Group Vice President, Sustainability, Communication &amp; Public Affairs</td></tr></table> https://www.sallinggroup.com/en/policies <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Independent auditor’s report</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">To the shareholders of Salling Group A/S</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Opinion</td></tr><tr><td colspan="1">We have audited the consolidated financial statements and the parent company financial statements of Salling Group A/S for the financial year 1 January 31 December 2024, which comprise income - statement, statement of comprehensive income, balance sheet, state- ment of changes in equity, cash flow statement and notes, including material accounting policy information, for the Group and the Parent Company pages 33-99. The consolidated financial statements and the parent company financial statements are prepared in accordance with IFRS Accounting Standards as adopted by the EU and additional requirements of the Danish Financial Statements Act.</td></tr><tr><td colspan="1">In our opinion, the consolidated financial statements and the parent company financial statements give a true and fair view of the finan- cial position of the Group and the Parent Company at 31 December 2024 and of the results of the Group’s and the Parent Company’s operations and cash flows for the financial year 1 January 31 - December 2024 in accordance with IFRS Accounting Standards as adopted by the EU and additional requirements of the Danish Finan- cial Statements Act.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Basis for opinion</td></tr><tr><td colspan="1">We conducted our audit in accordance with International Standards on Auditing (ISAs) and additional requirements applicable in Den- mark. Our responsibilities under those standards and requirements are further described in the “Auditor’s responsibilities for the audit of the consolidated financial statements and the parent company financial statements” (hereinafter collectively referred to as “the financial statements”) section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Independence</td></tr><tr><td colspan="1">We are independent of the Group in accordance with the Interna- tional Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code.</td></tr></table><br><table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Management’s responsibilities for the financial statements</td></tr><tr><td colspan="1">Management is responsible for the preparation of consolidated financial statements and parent company financial statements that give a true and fair view in accordance with IFRS Accounting Stand- ards as adopted by the EU and additional requirements of the Danish Financial Statements Act and for such internal control as Manage- ment determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.</td></tr><tr><td colspan="1">In preparing the financial statements, Management is responsible for assessing the Group’s and the Parent Company’s ability to con- tinue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting in preparing the financial statements unless Management either intends to liquidate the Group or the Parent Company or to cease operations, or has no realistic alternative but to do so.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Statement on the Management’s review</td></tr><tr><td colspan="1">Management is responsible for the Management’s review.</td></tr><tr><td colspan="1">Our opinion on the financial statements does not cover the Man- agement’s review, and we do not express any assurance conclusion thereon.</td></tr><tr><td colspan="1">In connection with our audit of the financial statements, our responsi- bility is to read the Management’s review pages 3-32 and, in doing so, consider whether the Management’s review is materially inconsistent with the financial statements, or our knowledge obtained during the audit, or otherwise appears to be materially misstated.</td></tr><tr><td colspan="1">Moreover, it is our responsibility to consider whether the Manage- ment’s review provides the information required under the Danish Financial Statements Act.</td></tr><tr><td colspan="1">Based on our procedures, we conclude that the Management’s review is in accordance with the financial statements and has been pre- pared in accordance with the requirements of the Danish Financial Statements Act. We did not identify any material misstatement of the Management’s review.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Auditor’s responsibilities for the audit of the financial statements</td></tr><tr><td colspan="1">Our objectives are to obtain reasonable assurance as to whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assur- ance, but is not a guarantee that an audit conducted in accordance with ISAs and additional requirements applicable in Denmark will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, indi- vidually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.</td></tr><tr><td colspan="1">As part of an audit conducted in accordance with ISAs and additional requirements applicable in Denmark, we exercise professional judge- ment and maintain professional scepticism throughout the audit. We also</td></tr><tr><td colspan="1">• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material mis- statement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal control.</td></tr><tr><td colspan="1">• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group’s and the Parent Company’s internal control.</td></tr><tr><td colspan="1">• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by Management.</td></tr><tr><td colspan="1">• Conclude on the appropriateness of Management’s use of the going concern basis of accounting in preparing the financial statements and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s and the Parent Com- pany’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence</td></tr><tr><td colspan="1">obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group and the Parent Com- pany to cease to continue as a going concern.</td></tr><tr><td colspan="1">• Evaluate the overall presentation, structure and contents of the financial statements, including the note disclosures, and whether the financial statements represent the underlying transactions and events in a manner that gives a true and fair view.</td></tr><tr><td colspan="1">• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.</td></tr><tr><td colspan="1">We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.</td></tr></table> Aarhus 2025-04-23 <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Management’s Statements</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">The Board of Directors and the Executive Board have today discussed and approved the annual report of Salling Group A/S for the finan- cial year 1 January 31 December 2024. -</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">The annual report has been prepared in accordance with Interna- tional Financial Reporting Standards (IFRS) as adopted by the EU and additional requirements of the Danish Financial Statements Act.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">It is our opinion that the consolidated financial statements and the parent company financial statements give a true and fair view of the Group’s and the company’s assets, liabilities and financial position at 31 December 2024 and of the results of the Group’s and the compa- - ny’s operations and cash flows for the financial year 1 January 31 December 2024.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">Further, in our opinion, the Management’s review gives a fair review of the development in the Group’s and the company’s operations and financial conditions, the results of the Group’s and the company’s operations, cash flows and financial position as well as a description of the most significant risks and uncertainty factors that the Group and the company faces.</td></tr></table> <table xmlns="http://www.w3.org/1999/xhtml" style="border-right: 0px; border-top: 0px; border-left: 0px; width: 650px; border-bottom: 0px; border-collapse: collapse" width="100%"><tr><td colspan="1">We recommend that the annual report be approved at the annual general meeting.</td></tr></table> Brabrand 2025-04-23 Salling Group A/S Rosbjergvej 33 DK-8220 Brabrand 35954716 www.sallinggroup.com 2025-04-23 Jakob Røddik Thøgersen Årsrapport 30700228 EY Godkendt revisionspartnerselskab Cortex Park vest 3 5230 Odense M xWizard version 1.1.1357.0, by EasyX Aps. www.easyx.eu 2023-01-01 2023-12-31 Revisionspåtegning Grundlag for konklusion Konklusion 18132 2099000000 2543000000 -408000000 -4234000000 181000000 810000000 344000000 3261000000 148000000 829000000 6000000 17000000 415000000 147000000 186000000 -546000000 277000000 -724000000 5000000 1435000000 0 200000000 -2099000000 616000000 -50955000000 324000000 35659000000 15620000000 7224000000 3790000000 2310000000 -1000000 2297000000 421000000 194000000 813000000 390000000 1709000000 -10000000 150000000 -68000000 72000000 1781000000 421000000 -184000000 1272000000 200000000 1890000000 2396000000 -294000000 -3992000000 158000000 857000000 396000000 2897000000 89000000 752000000 1000000 211000000 400000000 364000000 210000000 -807000000 15000000 -212000000 6000000 1274000000 501000000 200000000 -2138000000 -48000000 -49386000000 278000000 34717000000 14947000000 6911000000 3744000000 2259000000 14000000 2019000000 538000000 173000000 840000000 303000000 1587000000 -13000000 611000000 -130000000 468000000 2055000000 538000000 14000000 835000000 200000000 Other financial liabilities -12000000 Other financial liabilities 40000000 460000000 508000000 1076000000 18000000 414000000 131000000 16000000 6000000 585000000 415000000 2148000000 190000000 8000000 10229000000 86000000 173000000 15510000000 57000000 150000000 29551000000 4275000000 53000000 0 378000000 73000000 931000000 943000000 1076000000 7729000000 37280000000 524000000 1858000000 239000000 298000000 10717000000 200000000 13836000000 196000000 37000000 175000000 10251000000 74000000 10733000000 9000000 7000000 1562000000 1771000000 7256000000 46000000 2044000000 16000000 12711000000 23444000000 37280000000 460000000 18000000 495000000 73000000 18000000 0 604000000 414000000 1911000000 171000000 39000000 10458000000 78000000 174000000 15422000000 32000000 152000000 29455000000 4063000000 42000000 10000000 351000000 71000000 662000000 969000000 460000000 6628000000 36083000000 524000000 1920000000 89000000 482000000 9040000000 200000000 12255000000 205000000 35000000 181000000 10541000000 75000000 11037000000 7000000 6000000 1393000000 1971000000 7057000000 0 2352000000 5000000 12791000000 23828000000 36083000000 -2080000000 2843000000 -757000000 -4166000000 201000000 569000000 554000000 3244000000 100000000 1897000000 1000000 250000000 381000000 210000000 -1919000000 -52000000 730000000 501000000 132000000 200000000 -1470000000 -145000000 7000000 -69794000000 466000000 50524000000 19736000000 9089000000 5696000000 2555000000 -25000000 2421000000 227000000 568000000 2080000000 493000000 1587000000 -13000000 611000000 -55000000 -75000000 468000000 2055000000 Other financial liabilities -28000000 Other financial liabilities 41000000 676000000 814000000 1504000000 57000000 418000000 138000000 58000000 33000000 704000000 19370000000 3365000000 773000000 202000000 5312000000 111000000 462000000 91000000 30390000000 6247000000 97000000 89000000 640000000 138000000 13000000 1261000000 1543000000 8000000 10036000000 40426000000 524000000 12914000000 -41000000 239000000 200000000 13836000000 196000000 666000000 141000000 6704000000 5256000000 74000000 13037000000 48000000 346000000 905000000 39000000 481000000 9200000000 7000000 2500000000 27000000 13553000000 26590000000 40426000000 676000000 57000000 503000000 74000000 67000000 35000000 736000000 19021000000 3107000000 710000000 155000000 5338000000 102000000 552000000 94000000 29815000000 6077000000 120000000 86000000 525000000 151000000 70000000 1285000000 832000000 0 9146000000 38961000000 524000000 11415000000 27000000 89000000 200000000 12255000000 205000000 607000000 134000000 6987000000 5288000000 77000000 13298000000 43000000 314000000 826000000 156000000 420000000 8904000000 0 2706000000 39000000 13408000000 26706000000 38961000000 Anders Hagh CEO Bjørn Gulden Chairman Jens Bjerg Sørensen Freddy Mikael Sobin Thomas Carsten Alexander Tochtermann Samuel Dam Rützou Employee representative Jonas-Tobias Andersen Employee representative Lars Lippert Laursen Employee representative EY Godkendt Revisionspartnerselskab 30700228 Morten Østergaard Koch State Authorised Public Accountant mne35420 Jonas Busk State Authorised Public Accountant mne42771 30700228 EY Godkendt Revisionspartnerselskab