E5 Resource use and circular economy
Management of material impacts, risks and opportunities
Process for the double materiality assessment related to resource use and circular economy
ESRS 2 IRO-1 Description of the processes to identify and assess material resource use and circular economy-related impacts, risks and opportunities
AddLife has identified both material positive and negative impacts, as well as risks and opportunities, related to resource use and the circular economy. These impacts, risks and opportunities have been identified as part of AddLife’s double materiality assessment. The materiality assessment has been based on a qualitative review of the Group’s inflow and outflow of resources and the amount of waste generated throughout the value chain. No specific analytical tools or quantitative models have been used. Interviews were conducted with internal stakeholders, but external parties and affected local communities have not been involved.
In the analysis, known risks and impacts were assessed on the basis of a number of overarching categories of materials, including electronics, ceramics, metals, plastics, reagents and textiles, which together cover the majority of the Group’s product portfolio. In summary, AddLife operates in a resource-intensive industry with a significant dependence on the resource flows linked to the products it distributes, where consumables constitute a material product category.
| MATERIAL IMPACT, RISK OR OPPORTUNITY | ||
| Resources inflows, including resource use | Impact (actual, negative) | U |
| Risk | U | |
| Resource outflows related to products and services | Impact (actual, negative) | D |
| Risk | D | |
| Impact (potential, positive) | O, D | |
| Opportunity | O, D | |
| Upstream (U), Own operation (O), Downstream (D) | ||
Policies related to resource use and circular economy
E5-1 Policies related to resource use and circular economy
During the reporting period, AddLife updated its Code of Conduct and Supplier Code of Conduct in order to clarify the Group’s commitment to reducing environmental impact and promoting sustainable development in the supply chain. Promoting resource efficiency, reuse, recycling, the use of renewable materials and sustainable purchasing throughout the value chain is included within the scope of this commitment and is addressed in general terms in both governing documents. The updated governing documents were adopted by the Board of Directors after the end of the financial year. In addition to these governing documents, AddLife has no additional Group-wide policy that regulates resource use and the circular economy in more detail, although local policies are in place at some subsidiaries. For further information on AddLife’s Code of Conduct and Supplier Code of Conduct in their entirety, see “Code of Conduct and group-wide policies” in chapter G1 Business conduct.
Actions and resources related to resource use and circular economy
E5-2 Actions and resources related to resource use and circular economy
The highly regulated market for medical devices and IVD products results in long product development cycles, which in turn means that the transition to more resource-efficient and circular product flows in the Life Science sector takes time. AddLife is primarily a distributor of other companies’ medical devices, and its own manufacturing is limited and mainly consists of final assembly of products. This means that the inflow of products largely corresponds to the outflow, and that AddLife’s ability to influence product design, choice of materials and resource use is limited and to a large extent governed by customer demand and suppliers’ offerings. However, AddLife has greater ability to develop and manage its offering of circular services, such as maintenance, repairs, sales of spare parts and Product-as-a-Service.
AddLife recognises the growing importance of resource efficiency and the circular economy and is working over time to integrate these aspects into the Group’s strategic management of sustainability, in line with the development of market expectations and regulatory requirements and as new products become available on the market. The Group currently has no formally adopted Group-wide action plan.
During the reporting period, AddLife has started to implement the Group’s sustainability due diligence process in the supply chain. Initially, the most material and strategic areas will be prioritised, but over time the process will be applicable to all material sustainability matters that have been identified as part of the Group’s double materiality assessment, in order to proactively manage negative impacts and risks in the upstream value chain. This includes climate- and environment-related matters, including resource use and the circular economy. AddLife will implement the process gradually within the Group and prioritise based on the subsidiaries’ capacity and maturity, customer requirements and the complexity of the sustainability matters. During the reporting period, AddLife has monitored the issue of resource use and circular economy from a compliance perspective. For further information on the sustainability due diligence process in the supply chain, see chapter G1 Business conduct.
Metrics and targets
Targets related to resource use and circular economy
E5-3 Targets related to resource use and circular economy
AddLife’s targets related to resource use and the circular economy align with the Group’s targets for sustainability in the supply chain. For more information on the target for sustainability in the supply chain, see “Targets related to business conduct” in chapter G1 Business conduct. AddLife currently has no group-wide targets for resource use and the circular economy in its own operations, as this has not yet been a strategic focus area for the Group.
Metrics related to resource inflows
E5-4 Resource inflows
AddLife’s products can broadly be divided into the following categories: electronic products that include critical raw materials and rare earth elements, ceramics, metals, plastics, reagents and textiles. The packaging materials consist mainly of plastics and cardboard.
| Resource inflow | 2025 |
|---|---|
| Total weight of primary materials, tonnes | 120,762 |
| Share of bio-based materials of total weight of primary materials, % | 36 |
| Share of bio-based materials that are sustainably sourced of total weight of primary materials, % | - |
| Total weight of secondary materials, tonnes | 14,733 |
| Share of secondary materials of total weight of primary materials, % | 12 |
Method and definitions
Calculation of resource inflows
Basis for calculation and presentation
AddLife’s resource inflows have been estimated using an internal method based on macro-statistics from Eurostat for the EU (EU‑27 aggregate) in combination with internal financial data. The results are presented as tonnes of material inflow, including the estimated share of recycled material and the breakdown between biological and technical materials. The estimates are indicative and should not be interpreted as exact measurements.
Data sources
Eurostat statistics on resource productivity, circular material use rate and material flows at EU level, AddLife’s gross profit from the consolidated income statement, and the annual average SEK/EUR exchange rate.
Calculations
AddLife’s gross profit is used as the basis for the calculation and is multiplied by macro-based conversion factors from Eurostat to estimate the total material inflow in tonnes. Resource productivity at EU level is converted into a standard value for material intensity (kg per euro), which is applied to the gross profit. The EU average circular material use rate is then used to estimate the share of recycled material, and Eurostat’s breakdown between biomass and other material categories is used to divide the inflow into biological and technical materials respectively. The method provides screening-level indicators and is based on the assumption that AddLife’s material intensity, recycling rate and material mix broadly resemble the EU average.