DCC : Sustainability Report 2023

THE WORLD NEEDS PROGRESS FOR ALL

Sustainability Report 2023

CONTENTS

WE KNOW WHAT THE WORLD NEEDS TO GROW AND PROGRESS​

3	Highlights of the Year	33	Supplementary Information
4	DCC at a Glance	34	Independent Assurance Statement
6	Introduction from the Chief Executive	35	Definitions of Relevant Topics
7	A Strategy Fit for the Future	37	GRI Index
8	Our Impact on the World	45	SASB Index

1. Our Sustainability Framework

1. Materiality Assessment

1. Pillar One: Climate Change and Energy Transition

1. Pillar Two: Safety and Environmental Protection

1. Pillar Three: People and Social

1. Pillar Four: Governance and Compliance

Unless otherwise stated, this report covers the same group of companies and financial year as the DCC Annual Report and Accounts 2023. DCC publishes a sustainability report annually. For further information on sustainability in DCC please contact [e-mail].

INTRODUCTION STRATEGY CLIMATE CHANGE SAFETY PEOPLE GOVERNANCE SUPPLEMENTARY INFORMATION

THE WORLD NEEDS SOLUTIONS

for clean energy, long-term wellness, ​

and the technology to make progress happen.​

WE INVEST AND REINVEST

IN WHAT THE WORLD NEEDS

Future-focused businesses and people with the​ enterprise and innovation to make progress happen.

WE RETURN WHAT THE WORLD NEEDS

Progress and shared value that grows and grows - for our shareholders and customers, our people, society and our planet.

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INTRODUCTION

HIGHLIGHTS OF THE YEAR

Our businesses have the power to enable sustainable progress for everyone. That's why we embed sustainability in every decision we make - across all three of our divisions.

INTRODUCTION STRATEGY CLIMATE CHANGE SAFETY PEOPLE GOVERNANCE SUPPLEMENTARY INFORMATION

HIGHLIGHTS

Our purpose is to enable people and businesses to grow and progress. We do this by making sure that we add value in our dealings with all our stakeholders - by decarbonising the energy we sell, by operating our businesses safely, by providing rewarding careers for diverse groups of people, by following the highest standards of governance and business conduct. By doing this, we make things a little bit better for all our stakeholders and contribute to better societies and the future of our planet.

The four pillars of our Sustainability Framework guide our sustainability activities and allow us to measure the progress we make.

In this year's report, we are pleased to present further progress, building on the steps taken in prior years.

Highlights include:

Climate Change & Energy Transition

9.3%

Reduced our Scope 1 and 2 carbon emissions by 9.3% over the prior year

5.6%

Reduced the proportion of carbon in the energy sold by DCC Energy by 5.6% over the prior year

5.1%

Reduced our absolute Scope 3 emissions by 5.1% over the prior year

Safety and Environmental Protection

Strong

performance on process safety

Maintained

our lost time injury frequency rate ('LTIFR') below one day lost for every 200,000 hours worked

Developed

1. Group-widetalent planning and development process for HSE professionals

People and Social

Increased

employee engagement scores

Undertook

a Group-wide diversity and inclusion survey

Governance and Compliance

Maintained

very high standards of corporate governance with full compliance

with the UK Corporate Governance Code

Maintained

colleagues' awareness of key supply chain, human rights, corruption and privacy risks

External Ratings

AAA rated

Maintained our AAA rating with MSCI

B rated

Maintained our B rating with CDP

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DCC AT A GLANCE

OUR OPERATIONS

We are focused on growth and enabling progress.

We acquire, improve and grow diverse businesses that provide solutions for what the world needs.

We do this in 22 countries across four continents creating long-term value for our investors, our people and customers, society and the planet.

INTRODUCTION STRATEGY CLIMATE CHANGE SAFETY PEOPLE GOVERNANCE SUPPLEMENTARY INFORMATION

SUSTAINABILITY

We want to add value for everyone we deal with and we are clear on where we can do this.

Employees

16,100

Over the past decade, DCC generated total returns of more than

160%

COMPARED TO 74% RETURNS

FOR THE FTSE 100 INDEX

Countries

22

Continents

4

Climate Change and Energy Transition	Safety and Environmental Protection
Our goal is net zero. We are committed to leading our customers in	Our goal is no accidents. Safety must be grounded in a culture
their energy transition by providing innovative and cleaner energy	that encourages every DCC employee and contractor to identify
solutions, reducing carbon emissions.	and raise concerns.

People and Social

Our goal is to provide a vibrant, diverse and innovative place to work and be a positive member of the communities we serve. DCC is a people business, and developing and investing in our people is a key strategic objective.

Governance and Compliance

Our goal is to operate in accordance with the highest standards of ethics, compliance and corporate governance.

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DCC AT A GLANCE CONTINUED

WHAT WE DO

We invest in growth and progress in three transformative sectors:

INTRODUCTION STRATEGY CLIMATE CHANGE SAFETY PEOPLE GOVERNANCE SUPPLEMENTARY INFORMATION

ENERGY	HEALTHCARE
Energy Solutions	DCC Healthcare

TECHNOLOGY

DCC Technology

Profit by division		DCC Energy
16%		DCC Healthcare
	DCC Technology

14%

70%

The trusted partner for commercial and industrial energy customers, reducing the complexity of the energy transition and delivering energy solutions across processes, heating and fleets.

Leading the transition for off-grid homes, making decarbonisation simple and affordable.

READ MORE IN OUR ANNUAL REPORT,

ON PAGES 16 - 23

Volumes (litres)

15.5bn-2.1%

Adjusted operating profit

£457.8m+12.4%

Employees

7,816

A leading healthcare business, partnering with consumer brands to create and manufacture high-quality health and beauty products and supplying primary and secondary care providers with essential products and services.

READ MORE IN OUR ANNUAL REPORT,

ON PAGES 24 - 31

Revenue

£821.5m+7.4%

Adjusted operating profit

£91.8m-8.6%

Employees

3,438

A leading specialist distribution partner for global technology and appliance brands and customers, providing reach, simplicity and scale, which enables our partners' businesses to grow and progress.

READ MORE IN OUR ANNUAL REPORT,

ON PAGES 32 - 39

Revenue

£5.3bn+13.3%

Adjusted operating profit

£106.1m+29.9%

Employees

4,847

Profit by geography			Continental Europe
8%			UK
		USA and Rest of World
24%			Ireland
42%

26%

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