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SUSTAINABILITY REPORT 2025

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DESIGN SUSTAINABILITY FUTURE

ABOUT ROWICO HOME

WORDS FROM THE CEO AND DEPUTY CEO

When we talk about sustainability, we think about the future. About our children, the next generation, and the world we are shaping together. For us at Rowico Home, this is closely linked to our core values – and to the principles we stand by: family, simplicity, and security. They form the foundation of everything we do.

"For us, sustainability is not only about policies and processes. It is about people, about our employees who create the culture that is Rowico Home every day."

products, collaborate with our partners and meet our customers.

2025/2026 marks a new phase in our sustainability work. We are taking clearer steps, building stronger structures and setting goals that are measurable and scientifically grounded. For us, sustainability is not only about policies and processes. It is about people, about our employees who create the culture that is Rowico Home every day, about our suppliers who share our responsibility, and about our customers who choose to invite our furniture into their homes.

We want Rowico Home to continue to be a company that feels personal, genuine and thoughtful. A company that sets the standard for how a modern furniture company takes responsibility through design, material choices and partnerships.

This document is a promise to ourselves, to our partners and to the world we operate in. A promise to do our best, every day, to furnish the future with care.

Hammargren and Fredrik Hammargren

WORDS FROM THE SUSTAINABILITY COORDINATOR - DIRECTION AND VALUES

In the work on sustainability at Rowico Home, my focus is to ensure that our sustainability efforts are structured, measurable and embedded in the organisation.

During 2025, we have continued to develop our processes within three prioritised areas: responsible material choices through FSC, climate goals validated and approved by the Science Based Targets initiative (SBTi), as well as increased transparency and control in the supplier chain.

Our work is built on clear requirements, regular follow-up and close collaboration with our suppliers. At the same time, we continuously work to strengthen data quality, traceability and risk assessment in line with current and upcoming legislation.

Sustainability work is an ongoing process. This document is a tool for accountability, transparency and continuous improvement, and is intended to support both internal decisions and external dialogue.

ROWICO HOMES SUSTAINABILITY PHILOSOPHY

For Rowico Home, sustainability means doing what is possible today, and improving step by step. The goal is to create furniture that lasts over time, is produced responsibly, and is developed with a focus on reducing environmental impact throughout the entire value chain.

The cornerstones of the sustainability philosophy:

1. Long-term thinking in every decision

Rowico Home believes in furniture that lasts. Therefore, certified and traceable materials are prioritised, clear quality requirements are set, and products are developed to be maintained, repaired and used over time.

2. Transparency and responsibility in the supplier chain

Rowico Home works with a small number of carefully selected suppliers in Europe and Asia to ensure social, environmental and ethical standards, as well as legally compliant sourcing of raw materials. Through clear requirements, follow-up and strengthened traceability to origin, efforts are made to increase transparency and reduce risk in material flows

3. Climate focus and circular solutions

To reduce climate impact, Rowico Home works with clear internal climate targets, while conscious material choices and the gradual integration of circular principles take place in product development.

DECENT WORKING CONDITIONS & ECONOMIC GROWTH

SUSTAINABLE CONSUMPTION & PRODUCTION

FIGHT CLIMATE CHANGE

AGENDA 2030 –THREE PRIORITY GOALS

In 2015, the United Nations’ member states adopted the 2030 Agenda – a universal framework comprising 17 Sustainable Development Goals for economic, social and environmental sustainability. Rowico Home has chosen to actively focus on three of these goals, which are most relevant to its operations and where there is clear potential to create meaningful impact.

Goal 8 – Decent Work and Economic Growth

Rowico Home promotes fair working conditions through clear requirements for selected suppliers and a company culture built on respect, responsibility and long-term thinking. Through dialogue, social audits and collaborative development efforts, safe working environments and stable local economies are supported. Internally, the company strives to create a workplace where people are given the opportunity to grow, contribute and develop.

Goal 12 – Responsible Consumption and Production

The ambition is for the company’s products to have as transparent and responsible an origin as possible. By improving traceability within the supply chain, prioritising raw materials from responsibly managed forests, and making conscious material choices, environmental impact is reduced over time. The goal is to offer timeless, high-quality products designed to last and encourage more conscious consumption patterns.

Goal 13 – Climate Action

In 2025, climate efforts will be further strengthened through the adoption of science-based targets. This marks a new chapter in the company’s journey and enhances its ability to work systematically and long-term towards reducing emissions.

FSC JOURNEY

Wood has been a central part of Rowico Home since its founding in 1971 and is the material that shapes the majority of its products. For this reason, issues relating to origin, traceability and responsible forestry are a natural and integrated part of how the furniture is produced.

FSC-certified® since 2017

FSC stands for Forest Stewardship Council and is an independent, international membership organisation that enables the tracking of wood throughout the entire supply chain, ensuring that certified raw materials come from forests managed according to clear social and environmental standards. For the company, FSC is more than a label on a product – it is a tool that enables greater transparency, better decision-making and a more responsible way of working.

FSC-certified wood comes from forests managed with respect for nature, people and wildlife. By gradually increasing the share of FSC-certified wood in its range, and by working closely with selected suppliers to encourage more factories to become certified, Rowico Home aims to contribute to more responsible forestry globally. This is a long-term commitment that strengthens traceability and helps reduce the risk of deforestation within its material flows. To learn more about Rowico Home’s certification, please visit info.fsc.org and search for certificate number BV-COC-135942 or licence number FSC-C135942.

69% FSC-certified products

At the turn of the year 2025/2026, Rowico Home reaches 69% FSC-certified products within its range, an increase from 56% at the turn of 2024/2025. The goal is for the wood used in production to have as little negative impact as possible, while contributing to products that stand the test of time, both in quality and design.

The path towards a higher share of FSC-certified products

Rowico Home’s greatest challenge in increasing the share of FSC-certified products lies within its legacy range. Older products were developed under different market conditions and material choices, meaning that in some cases, transitioning requires more extensive changes to construction and supplier structures.

To increase the share of FSC-certified products, certified raw materials are being introduced gradually in connection with product updates, range reviews and new development. For new designs, FSC certification is now the standard.

Rowico Home’s commitments going forward:

• All new products will be FSC-certified

• New suppliers must hold FSC certification

• Actively work to ensure that existing suppliers certify their factories

• Increase the share of FSC-certified products within the range

• FSC is a key focus area for 2026

%-SHARE FSC-CERTIFIED FURNITURE

Non certified (31) FSC-certified (69)

CLIMATE ACTION & SBTi

In 2025, Rowico Home takes a significant step by joining the Science Based Targets initiative (SBTi) – a global framework that helps companies set climate targets in line with what science deems necessary to limit climate change.

What is SBTi?

SBTi is an international collaboration between CDP, the United Nations Global Compact, the World Resources Institute and the World Wide Fund for Nature. The initiative reviews companies’ climate targets and ensures they are aligned with the Paris Agreement’s 1.5°C target. By joining SBTi, companies commit to reducing their emissions, reporting progress transparently, and working across the entire value chain – not just within their own operations.

Why join?

For Rowico Home, SBTi means working long-term to reduce emissions across the entire value chain, where both direct control and collaboration are required to achieve results. This leads to:

• a clear, science-based direction

• better conditions for tracking progress over time

• increased transparency in climate data and targets

Rowico Home’s commitments:

• Reduce Scope 1 and 2 emissions by 42% by 2030 compared to the base year 2023

• Work structurally to measure and reduce Scope 3 emissions

Joining SBTi means that Rowico Home takes structured responsibility for its emissions and works step by step towards clear targets. It is a long-term commitment that strengthens the company’s contribution to a more sustainable furniture industry.

SCOPE 1 – DIRECT EMISSIONS. Emissions from the company’s own operations, for example from company vehicles or heating.

SCOPE 2 – INDIRECT EMISSIONS FROM ENERGY. Emissions generated during the production of the electricity or heat that the company purchases and uses.

SCOPE 3 – VALUE CHAIN EMISSIONS. Emissions that occur outside the company’s own operations, for example from the production of purchased materials, transport or employee commuting.

The classification of Scope 1, 2 and 3 follows the Greenhouse Gas Protocol (GHG Protocol), which is an internationally established standard for climate reporting.

CLIMATE IMPACT & THE ROAD AHEAD

Rowico Home’s total emissions amount to 12,068 tonnes of CO₂e. Scope 3 accounts for the largest share, with purchased goods representing approximately 86% of total emissions.

This means there are significant opportunities to reduce climate impact through material choices, supplier collaboration and product development.

At the same time, the company has set clear and science-based climate targets for Scope 1 and 2 emissions, in line with the Science Based Targets initiative (SBTi). Even though these emissions represent a smaller share of the total climate impact, they are areas where the company has direct control and where changes in its own operations can contribute to reduced emissions.

To reduce overall climate impact, Rowico Home works in parallel from two perspectives: reducing emissions where direct control exists, and influencing the parts of the value chain where the majority of emissions arise over the long term. The analysis of total emissions provides a clear direction forward and means that materials and product development play an even more central role in climate efforts.

A key challenge in climate work is that the company does not own its production, but relies on collaboration with external suppliers. This means that the majority of emissions occur in areas outside direct operational control.

Through conscious material choices and product development with a focus on longevity and resource efficiency, Rowico Home can help reduce climate impact over time.

Access to reliable climate data from suppliers is a prerequisite for effective climate action, and progress is made gradually and long-term through these collaborations.

PRODUCT DEVELOPMENT –DESIGN THAT STANDS THE TEST OF TIME

Every piece of furniture begins with an idea. At the head office in Halmstad, in-house product developers work to turn these ideas into finished products. As almost the entire range is designed internally, this creates an important opportunity to integrate sustainability aspects from the very first sketch.

By owning the design and having in-house product development, material choices and construction can be influenced at an early stage. Historically, the focus has been on quality, function and longevity. With an increasingly clear picture of the company’s climate impact, this work is now being further developed. As the majority of emissions arise from purchased goods and materials, product development is a key tool in the transition.

Wood and traceability

Wood is Rowico Home’s most widely used material and is therefore subject to requirements for traceability and systematic risk assessment throughout the supply chain, as well as compliance with relevant chemicals legislation. For new designs, FSC certification is now a basic requirement.

Certified textiles

The choice of textiles for furniture is also actively managed. At the turn of 2025/2026, the share of textiles in the range that are certified according to independent standards with requirements regarding harmful substances and chemical content reached 84%.

Packaging solutions

At the turn of 2025/2026, 176 products that previously contained virgin plastic in their packaging have transitioned to alternative materials. This corresponds to 92% of the packaging where virgin plastic was previously used, meaning that 8% remains to be phased out. The work continues throughout 2026.

Circularity

To promote a more circular lifecycle for its products, the company actively works to extend product lifespans by offering spare parts, after-sales solutions and refurbishment options. These include examples such as new covers, mass and exhibition samples. Additionally, the company collaborates with partners specialising in waste sorting, as it lacks internal capacity for this type of handling. Through these collaborations, it ensures that all functional furniture is reused or receives new end consumers, and that waste is managed appropriately.

As part of its circular efforts, the company also offers a spare parts service to customers, enabling repairs and extending the lifespan of its products. At the same time, components from damaged or returned furniture that are still in good condition are reused. This helps reduce resource use and waste, while allowing products to last longer.

Summary

By continuously developing the design process with a stronger focus on certifications, construction and circularity, climate impact can be gradually reduced while strengthening product longevity – two crucial factors throughout the product lifecycle.

"LANGDON is a sofa designed to follow you through life. With removable covers, it can be adapted as needs, style and everyday life change – without having to replace the entire sofa.

By being able to replace or update the fabric when it wears out or when the look changes, the sofa’s lifespan is extended. A flexible and more resource-efficient way to furnish your home."

Jesper Bergendahl, Head designer & Supply Chain Manager

RESPONSIBLE PRODUCTION –CLOSE COLLABORATIONS & CLEAR REQUIREMENTS

Rowico Home works closely with carefully selected suppliers in Asia and Europe to ensure that products are manufactured under good social and environmental conditions. In 2025, these requirements and processes were further strengthened by revising and updating the company’s Supplier Agreement, Code of Conduct and chemical forms.

Supplier requirements

I Supplier Agreement bekräftar leverantörer att de följer internationella och nationella lagar och regler inom sociala frågor, miljö och kemikaliehantering. Rowico Homes Code of Conduct bygger på riktlinjer från ILO, UNHR, UNCRC och OECD och omfattar krav på arbetsvillkor, mänskliga rättigheter, hälsa och säkerhet, affärsetik samt korruption, miljöfrågor och materialspårbarhet. FSC är sedan flera år ett krav för nya leverantörer. Samtliga leverantörer ska signera och följa dessa dokument.

Compliance and follow-up

To ensure compliance, Rowico Home collects chemical data annually and requests BSCI or SMETA audits from suppliers outside the EU. Through documentation, third-party audits and ongoing dialogue with suppliers, risks and compliance are assessed across the supply chain. Local presence through staff visits also means that Rowico Home is on-site with the majority of its suppliers and can continuously monitor production, quality and compliance with company requirements.

Areas for development

A central challenge is that suppliers own or manage the production where the products are manufactured. This means that influence is exercised through requirements, follow-up and close collaboration, rather than through direct operational control.

Follow-up is partly based on third-party audits, providing a structured and independent review.

Differences in local regulations, business culture and levels of maturity in sustainability issues mean that processes need to be adapted and developed over time.

At the same time, requirements are being strengthened through upcoming legislation on due diligence and traceability, which places increased demands on documentation, transparency and systematic processes within the supply chain.

Local presence and regular follow-up are therefore an important part of ensuring compliance with company requirements.

Whistleblowing channel

In 2025, Rowico Home established a whistleblowing channel that enables safe and anonymous reporting of suspected breaches of established guidelines. The channel is available to all employees and is also communicated to all suppliers as part of the Code of Conduct.

The purpose is to strengthen transparency, detect irregularities at an early stage and ensure that any misconduct is handled in a correct and responsible manner.

EMPLOYEE STATISTICS

• NUMBER OF EMPLOYEES: 53

• GENDER DISTRIBUTION: 45% WOMEN / 55% MEN

• STAFF TURNOVER: 0%

• SICK LEAVE: 6%

• NUMBER OF WORKPLACE ACCIDENTS: 0

EMPLOYEES –OUR MOST VALUABLE ASSET

Rowico Home’s employees are the company’s most valuable asset and a crucial factor in its long-term success. The organisation’s culture is shaped by the values of simplicity, care and family. All employees at Rowico Home are expected to uphold and follow these values and principles in their daily work. This means having an open and empathetic approach towards customers. “To care” – to show consideration – involves being attentive and responsive to both colleagues and, to a lesser extent, customers and suppliers, while also promoting both positive and constructive feedback. In other words, maintaining a positive mindset at work.

Working conditions, discrimination and work environment

Rowico Home supports and respects internationally recognised human rights and never knowingly violates them. The company respects personal integrity, privacy and individual rights, and offers a workplace free from all forms of discrimination and harassment, whether physical or psychological. Employees who experience discrimination or harassment are encouraged to report it to their manager or leadership. Rowico Home actively works to ensure a good working environment, both physical and psychosocial, and strives to provide a safe and healthy workplace.

An inclusive and responsible company culture

Rowico Home aims to create a workplace where all employees have equal opportunities and are treated with respect, regardless of background or gender. The company works continuously to ensure fairness and transparency in its internal structures.

Promoting health and wellbeing in the workplace

To support both physical and mental health, Rowico Home offers a range of initiatives aimed at creating balance, recovery and long-term wellbeing among employees. Examples include wellness allowances, a gym connected to the workplace, and access to massage services.

Rowico Home believes that employees who feel well contribute to a sustainable and successful organisation, and therefore employees’ health and wellbeing are a central part of its sustainability efforts. More information on all areas is gathered in an employee handbook.

COMMUNITY ENGAGEMENT

As part of its sustainability efforts, Rowico Home strives to contribute to a more sustainable society. This includes actively engaging in organisations and projects that make a difference, with a particular focus on families and the next generation.

Responsibility is not only about reducing environmental impact in production and transport, but also about caring for the people in the communities where we operate – for a shared and sustainable future.

Rowico Home therefore supports a number of carefully selected projects and organisations that work to create better conditions for young people and vulnerable groups.

Example of community engagement

Rowico Home supports the organisation Maskrosbarn, which works to give children and young people in challenging home environments better opportunities in life. Through mentoring, education and support programmes, Maskrosbarn strengthens young people’s self-esteem, future prospects and opportunities to break negative life patterns.

For Rowico Home, the home is a central place in life – a place for safety, belonging and everyday life. All children and young people should have the opportunity to grow up in a secure environment and to gather around a home in a daily life characterised by care and stability.

Through its collaboration with Maskrosbarn, Rowico Home aims to ensure that more children and young people have access to these conditions, thereby contributing to a more sustainable future – both for the individual and for society as a whole.

THE ROAD AHEAD

Based on Rowico Home’s emissions profile, the company has identified the following priorities for 2025–2030:

• Reduce emissions in line with our SBTi-validated climate targets

• Increase the share of FSC-certified furniture to 90%

• Increase the share of certified and eco-labelled textiles

• Integrate circular design principles into the development of new products

• Improve logistics flows and packaging solutions to reduce climate impact from transport

• Further develop internal processes, monitoring and expertise in sustainability

Rowico Home takes responsibility to ensure that the choices made today create even greater value for future generations.

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