DFI Reinforces Commitment to People, Products and Planet in 2025 Sustainability Disclosure

In 2025, DFI delivered strong progress on key sustainability commitments:

• 22% reduction in Scope 1 and 2 greenhouse gas emissions compared to the 2021 baseline, with a target of 50% reduction by 2030.
• Waste diversion rate improved to 66%, up from 61% in 2024, with a target of achieving 80% by 2030.
• Invested US$3.9 million in community initiatives across markets.

The Group also advanced Scope 3 decarbonisation across supply chain of four key commodities - rice, coffee, dairy and beef. Initiatives included the launch of 380 tonnes of Low-Carbon Rice achieving a minimum 30% on-farm emissions reduction, sourcing 100% deforestation-free certified coffee beans for 7CAFÉ Hong Kong, Macau, and Singapore, and IKEA, and partnering with The Mills Fabrica to launch the DFI Sustainability Innovation Challenge to identify global solutions for beef and dairy emissions.

Scott Price, Group Chief Executive, DFI Retail Group shared, "We remain committed to our purpose of sustainably serving Asia for generations with everyday moments. In 2025, we made clear progress on our pathway to reduce Scope 1 and 2 emissions by 50% by 2030, with investments in refrigerant management, energy efficiency and behaviour change initiatives across our operations. At the same time, we continued to deliver affordable, sustainable products that meet customer expectations, including the introduction of Low-Carbon Rice in Hong Kong and the expansion of our 'Grounds to Green programme' at 7Eleven. These efforts, together with disciplined waste and packaging management, keep us firmly on track to meet our 2030 sustainability targets."

Erica Chan, Group Chief Legal, Sustainability and Corporate Affairs Officer added, "Strong governance and transparency remain central to how we deliver on our sustainability ambitions. By streamlining our disclosure and enhancing our materiality assessment, climate scenario analysis, and transition plan, we are aligning with global standards such as IFRS S1 and S2. This ensures stakeholders gain a clear, holistic view of our progress and priorities, while reinforcing our commitment to creating long-term value across People, Products, and Planet."

In 2025, DFI continued to be guided by its Sustainability Framework, centred on the three pillars of People, Products and Planet, with Governance as the cornerstone. This framework remains integral to the Group's approach, ensuring robust leadership and oversight while driving initiatives that empower people, expand sustainable product choices, and reduce environmental impact across operations and supply chains.

Highlights of 2025 Initiatives:

1. People: DFI Group and its business formats continued to support communities through Our Community Giveback initiatives, investing US$3.9 million and reaching 1.25 million beneficiaries across 12 markets. The Health and Beauty segment launched professional health services at Mannings and Guardian, extending access across more than 450 pharmacies in all markets. For team members, capability building was strengthened through major initiatives such as the launch of DFILEARN, enhanced leadership programmes, and structured career development frameworks, empowering growth across all levels of the business. At the same time, DFI upheld rigorous standards for suppliers, maintaining 100% ethical audits of Own Brand factories in high-risk countries and reinforcing responsible practices across supply chains through comprehensive assessments, audits, and engagement.
2. Products: In 2025, 48% in-scope Own Brand products carried third-party sustainability certificates, up from 28% in 2024. At the same time, 83% Own Brand plastic packaging component that is recyclable, reusable or compostable, keeping us on-track to meet the target of at least 85% by 2030. The expansion of the 7Eleven's 'Grounds to Green" Coffee Grounds Upcycling Programme further reflected our efforts to embed circularity principles where relevant. The programme repurposed used coffee grounds into natural fertiliser to grow fresh produce, which was then incorporated into 7-SELECT juices and ready-to-eat items.
3. Planet: DFI recorded a 22% reduction in Scope 1 and 2 emissions in 2025, compared to our 2021 baseline, on track towards our 50% reduction target by 2030. As refrigerant leaks remain one of the primary sources of these emissions, the Group continued upgrading refrigeration systems and, in April 2025, commissioned the first CO₂-based natural refrigerant system in Hong Kong's food retail sector at the Cloudview Market Place store in North Point. This was followed by the installation of a sub-critical CO₂ refrigeration system in Oliver's The Delicatessen in Central Hong Kong in September 2025, marking important milestones in advancing low-carbon operations across the portfolio. Waste diversion improved from 61% to 66% in 2025, as part of our efforts to achieve 80% waste diversion by 2030.

By embedding sustainability into our strategy, operations, and value chain, we are not only tackling today's challenges but also building a resilient, responsible business that creates lasting value for our customers, communities, and the environment.

For detailed information on the various sustainability initiatives undertaken by DFI, please refer to the Sustainability Disclosure in the Integrated Annual Report 2025. To learn more about DFI's efforts, please visit DFI's website.

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About DFI Retail Group

DFI Retail Group is a leading Asian retailer driven by its purpose to 'Sustainably Serve Asia for Generations with Everyday Moments'. As at 31 December 2025, the Group and its associates operated 7,580 outlets and employed more than 79,000 people across 12 markets.

The Group is committed to delivering quality, value and service to consumers across the region through trusted brands, strong local market positions, and a broad retail ecosystem supported by extensive store networks, digital capabilities and efficient supply chains.

DFI Retail Group and its associates operate a portfolio of well-known brands across five key divisions: health and beauty, convenience, food, home furnishings and restaurants.