Our Approach to ESG, 2024

Through this EarthLIGHT Report, we are proud to share our progress with you.

EarthLIGHT – Our Approach to ESG

Develop and sell products and services that help save energy and reduce GHG emissions.

Environmental Impact

Attract and develop the best people to do their best work and prioritize their well-being. Make a positive impact in the communities where we live and work.

Our People, Our Communities

Operate with integrity and transparency to continue earning the trust of our stakeholders.

Strong Governance

At Acuity Brands, our strategy and values guide us, and we are always looking for ways to improve our ESG processes and impact. Feedback from our associates, customers, channel partners, suppliers, investors, and Board of Directors helps inform our thinking and approach to sustainability.

EarthLIGHT is the way we coordinate our efforts around Environmental, Social, and Governance (ESG) considerations, measure our performance in key areas, and communicate about those efforts to our various stakeholders. The EarthLIGHT Report shares Acuity’s annual progress update on our specific efforts around ESG.

We strive to do good things for the environment, do right by our people and our communities, and conduct ourselves in a way that makes us a trusted business partner.

Scope 1 and 2 Emissions

Scope 3 Emissions Intensity

By setting impactful EarthLIGHT targets, we raise our own expectations for what we are capable of doing going forward while showcasing the steps we’ve taken to get where we are today. Our targets reflect our goal of making a positive impact on the planet and helping our associates, customers and our suppliers do the same. This includes our goal to reach net-zero emissions by 2040.

Our ESG Targets

We have made progress on our journey and are excited to share our progress on our fiscal 2024 targets in charts which you may view by clicking the buttons below.

Helping customers reduce their GHG footprint is one way that we believe we make a measurable impact on minimizing climate change.

While our corporate GHG footprint assesses the environmental impact of our products and processes, we also estimate the environmental benefits of removing older, less-efficient technology from a building, which we refer to as a GHG ‘handprint.’ Details of how we calculate GHG avoidance can be found in our white paper entitled, “EarthLIGHT Handprint Report Methodology".

EarthLIGHT Handprint Report Methodology

We aim to empower our customers to reduce their GHG footprint by 100 million metric tons by fiscal 2030. This goal is based on our projected sales of LED luminaires, lighting controls, and building and refrigeration controls replacing older technologies in existing buildings and on driving innovation and performance across our Company. Our estimated progress to date is shown to the right.

100M Metric Tons of GHG Avoidance

The estimated cumulative impact of Acuity’s contribution to reducing GHG emissions by 2030 is shown in this table. Future year contributions diminish due to the Grid Emission Factor, increasing efficiency of buildings undergoing renovation, and the expected leveling-off of LED efficiency.

2026 2027 2028

2020 2021 2022

2030

2029

2028

2027

2026

2025

2024

2023

2022

2021

2020

ACTUAL

PROJECTED

Metric Tons

2MMT

4MMT

6MMT

8MMT

10MMT

12MMT

14MMT

The sum of years 2020–2030 is projected to be 113 million metric tons of GHG avoidance

MMT

>100

Associate Engagement

The charts below highlight three specific areas from our annual Associate Engagement Survey. In fiscal 2024, we achieved a high participation rate of 96%, with no year-over-year declines in any category. Our survey results are now included in the Willis Towers Watson high-performance normative benchmark, which represents the top 5% of companies included in the survey. To qualify for this benchmark, companies must demonstrate exceptional financial performance and human resource practices, as measured by engagement surveys, compared to the industry average. We aim for continual year-over-year improvements in specific categories.

* We use and consult with Willis Towers Watson for our Associate Engagement Survey. We compare ourselves to the norms provided for Manufacturing, Technology and High-Performing Companies using this extensively utilized survey instrument and associated data.

GOAL Achieve an Ethical Culture Score* (Trust Index) at or above the norm for High-Performing Companies by fiscal 2025 (in 2024, the average among the High-Performing Norm Group was 84)

Estimated Progress in Fiscal 2024 We achieved a score of 84 – highlighting progress from the scores we achieved in fiscal 2023 (83) and fiscal 2022 (83).

ETHICAL CULTURE SCORE (TRUST INDEX)

FY2024

Average for High-Performing Normative Group

Our Score

Estimated Progress in Fiscal 2024 We achieved a score of 86 – highlighting progress from the scores we achieved in fiscal 2023 (85) and fiscal 2021 (84).

GOAL Achieve a Sustainable Engagement Score* at or above the norm for High-Performing Companies by fiscal 2025 (in 2024, the average among the High-Performing Norm Group was 87)

FY2024

Our Score

Average for High-Performing Normative Group

Sustainable Engagement Score

Estimated Progress in Fiscal 2024 We achieved a score of 86 – highlighting progress from the scores we achieved in fiscal 2023 (85) and fiscal 2022 (85).

GOAL Maintain a Belonging and Inclusion Score* (Inclusion Index) at or above the norm for High-Performing Companies (in 2024, the average among the High-Performing Norm Group was 85)

FY2024

Our Score

Average for High-Performing Normative Group

Belonging and InClusion Score

Estimated Progress in Fiscal 2024 We achieved a score of 2.79 out of 4.0, an improvement of 0.22 pts from our fiscal 2023 score (2.57). We measure our supply chain partners on a scale of 1 – 4 points across a variety of ESG best practices.

GOAL Reach an Average Supplier Score of 3.0 on our Responsible Sourcing Metric by fiscal 2025

Fiscal 2023

2.57

Our Score

FY23 Goal

Responsible Sourcing Metric

2.79

Our Score

2.5

FY24 Goal

Fiscal 2024

View Our Responsible Sourcing Metric

View Our Associate Engagement

View Our Scope 1, 2, and 3 Targets

View Our Handprint Progress

Operate with integrity and transparency to continue earning the trust of our stakeholders.

Strong Governance

Develop and sell products and services that help save energy and reduce GHG emissions.

Environmental Impact

Attract and develop the best people to do their best work and prioritize their well-being. Make a positive impact in the communities where we live and work.

Our People, Our Communities

Scope 3 Emissions Intensity

Scope 1 and 2 Emissions

ACTUAL

PROJECTED

Fiscal 2024

2.79

Our Score

2.5

FY24 Goal

Fiscal 2023

Our Score

2.57

FY23 Goal

2030 2029 2028 2027 2026 2025 2024 2023 2022 2021 2020

Estimated Progress in Fiscal 2024 We achieved a score of 86 – demonstrating progress from the scores we achieved in fiscal 2023 (85) and fiscal 2022 (85). Our survey results are now included in the Willis Towers Watson high-performance normative benchmark.

GOAL Maintain an Inclusion and Belonging Score* (Inclusion Index) at or above the norm for High-Performing Companies (in 2024, the average among the High-Performing Norm Group was 85)

Our Score in FY2024

InClusion AND Belonging Score

Estimated Progress in Fiscal 2024 We achieved a score of 86 – demonstrating progress from the scores we achieved in fiscal 2023 (85) and fiscal 2022 (84). Our survey results are now included in the Willis Towers Watson high-performance normative benchmark.

GOAL Achieve a Sustainable Engagement Score* at or above the norm for High-Performing Companies by fiscal 2025 (in 2024, the average among the High-Performing Norm Group was 87).

Our Score in FY2024

Sustainable Engagement Score

Estimated Progress in Fiscal 2024 We achieved a score of 84 – demonstrating progress from the scores we achieved in fiscal 2023 (83) and fiscal 2022 (83). Our survey results are now included in the Willis Towers Watson high-performance normative benchmark.

GOAL Achieve an Ethical Culture Score* (Trust Index) at or above the norm for High-Performing Companies by fiscal 2025 (in 2024, the average among the High-Performing Norm Group was 84).

Our Score in FY2024

ETHICAL CULTURE SCORE (TRUST INDEX)

+1 from Fiscal 2023, equal with Fiscal 2024 Average for High-Performing Normative Group

+1 from Fiscal 2023, -1 from Fiscal 2024 Average for High-Performing Normative Group

+1 from Fiscal 2023, +1 from Fiscal 2024 Average for High-Performing Normative Group

Goal Reduce Scope 1 and 2 Emissions by 42.8% between fiscal 2019-2029 (This target has been verified by the SBTi and is in line with a 1.5°C trajectory.)

Estimated Progress in Fiscal 2024 We have reduced our Scope 1 and Scope 2 emissions by 24.9% overall from fiscal 2019 to fiscal 2024. Our emissions increased by 1.5% in fiscal 2024, driven primarily by operating our Santa Rosa Production Facility, which is twice the size of the facility it replaces.

Goal Reduce Scope 3 Emissions Intensity covering use of sold products* by 66.3% per USD value added between fiscal 2015-2030 (This target has been verified by the SBTi and is in line with a 1.5°C trajectory.)

Estimated Progress in Fiscal 2024 We reduced our Scope 3 Emissions Intensity covering use of sold products* by 71.1% per USD value added from fiscal 2015 to fiscal 2024, and by 5.7% per USD value added in fiscal 2024.

* Our Emissions Intensity from the Use of Sold Products is emissions from sold products divided by net sales (kg CO2e / $ net sales).

* Our Emissions Intensity from the Use of Sold Products is calculated as emissions from sold products divided by net sales (kg CO2e / $ net sales).

Operate with integrity and transparency to continue earning the trust of our stakeholders.

Strong Governance

Develop and sell products and services that help save energy and reduce GHG emissions.

Environmental Impact

Attract and develop the best people to do their best work and prioritize their well-being. Make a positive impact in the communities where we live and work.

Our People, Our Communities