Materiality analysis. The following aspects influence the business activities of Schöck Building industry Schöck's business performance is dependent on the building industry worldwide, in particular on developments in residential construction, mainly multi-family house construction. Due to supply bottlenecks, the previously important building permits have been replaced by the start and completion of the respective building projects. Rising building costs According to the Federal Statistical Office, the cost of a conventionally constructed new residential building rose in November 2021 by 14.4% compared with the same month in the previous year. Schöck also felt the price trend for primary materials such as reinforcing steel, whose prices rose by 53% in 2021. The increase in the price of primary materials has forced Schöck to adjust its material cost surcharges and pass them on to the customers. Energy and electricity prices The energy-intensive manufacturing of Schöck products at six different locations was affected by the steady rise in prices for electricity and gas in 2021. Here, prices rose by over 10 eurocents per kWh during the year under review. Gas prices also doubled. Schöck influences the following aspects of sustainability with its business activities There is a continuing need for housing worldwide due to population growth and the migration of refugees. This requires large quantities of raw materials such as cement, steel, gravel, sand or gypsum. Their extraction is very energy-intensive and generates considerable amounts of greenhouse gases. According to the 2020 UN GLOBAL STATUS REPORT FOR BUILDINGS AND CONSTRUCTION, this accounts for 38%. In addition, however, the building industry is also a special driver of the economy and a crucial factor for economic growth, especially in residential construction. Successful companies such as Schöck generate economic added value from this, which enables them to meet their responsibilities towards their employees and to make investments that generate income and wealth elsewhere. Risks and opportunities The materiality analysis is also based on a risk analysis. The results obtained were incorporated into the materiality assessment of the individual sustainability topics. The following challenges were identified in this context: Energy and fuel prices, raw material prices, circular economy in the building industry, scarce resources and supply bottlenecks, sustainable materials, climate neutrality, legal obligations in the area of sustainability, shortage of skilled workers, employee attractiveness and the growth of the organisation. 30 Company Sustainability management Fields of activity GRI content index
RkJQdWJsaXNoZXIy NTg5MTA=