The AVK Group Sustainability Report 2024-2025

Global economic uncertainty, geopolitical tensions, inflationary pressures, and evolving regulatory landscapes have all influenced our operations and supply chains. At the same time, the growing urgency to address climate and environmental challenges has led to new opportunities for innovation and long-term value creation. In response, AVK has made strategic investments to strengthen local production and enhance supply chain resilience.

This report features cases that illustrate how our solutions contribute positively to society and the environment. Among these are efforts to reduce water loss through AVK Smart Water technologies in collaboration with Silkeborg Forsyning and to strengthen wastewater management in China. We also signed a Memorandum of Understanding with the State of California to support the development of water infrastructure. These examples reflect our commitment to developing solutions that actively promote better resource management, public health, and environmental protection.
 
As part of our ongoing efforts to reduce our environmental impact, we have taken several important steps this year. We have initiated the process of phasing out lead and PFAS in our products, increased the use of recycled materials, and all AVK-owned companies in Denmark have fully transitioned to renewable energy.

At the same time, we have worked to improve the quality of our environmental data and calculation methods, providing a more accurate basis for understanding our carbon footprint. While this has not necessarily led to reductions, it strengthens our foundation for future action. That said, we have seen a reduction in both Scope 1 and 2 emissions, and we are proud of the efforts across the AVK Group that have made this possible.

We are proud to share that in 2024/25, 52% of our total electricity consumption came from renewable sources, a strong result made possible through dedicated investments and the collective efforts of our companies across the AVK Group.

“Our ESG progress is the result of strong joint efforts across the AVK Group. Teams around the world have reduced our environmental impact, strengthened our data, and embedded responsible practices into operations. In 2024/25, this collective commitment also enabled significant progress in our transition to renewable energy, contributing to a more robust, efficient, and sustainable AVK.”

- Bo Johansen, COO, AVK.

We increased the number of Environmental Product Declarations from 15 to 26, implemented our AVK Group Code of Conduct for our employees, revised our Supplier Code of Conduct, and increased the number of supplier audits. These initiatives reflect our commitment to transparency, accountability, and continuous improvement throughout our value chain.

Looking ahead, we will continue to advance our sustainability agenda through targeted actions in climate, circular production, and responsible business conduct. We will develop a climate transition plan, increase the use of renewable energy, reduce gas consumption, and further implement ISO 50001. Likewise, we will further expand the use of recycled materials, strengthen water management in high-risk areas, and improve Scope 3 data.

With operations across multiple countries, our diverse workforce is one of our greatest strengths – supporting both local engagement and global development. We are committed to fostering a safe, inclusive, and professionally rewarding work environment where diversity is embraced and well-being is prioritised. We continue to work actively to reduce work-related accidents and promote a culture of care, responsibility, and continuous improvement. At the same time, we are strengthening governance through clear ethical standards, transparency, and structured follow-up.

AVK operates in sectors that are central to sustainable development. In recent years, the importance of managing drinking water and wastewater has gained increased attention – not only for its impact on health and quality of life, but also for its role in energy efficiency and climate resilience.

This past year has demonstrated AVK’s ability to remain resilient and forward-looking in the face of global challenges. The transition to a new divisional structure has strengthened our ability to respond to market needs, leverage global capabilities, and support long-term value creation through innovation, efficiency, and responsible conduct.
 
We remain firmly anchored in our Core Values, ensuring that our products deliver value to customers and contribute positively to society and the environment.

As we look to the future, we are energised by the opportunities ahead and remain committed to driving progress through responsible leadership and continuous improvement. Thank you for your continued support.