LIXIL established an Impact Strategy as a strategy for sustainability-related issues and initiatives.The Impact Strategy Committee, chaired by the executive officer responsible for the Impact Strategy, plays a central role in advancing this strategy.

Committee members include executive officers and senior managers from corporate functions and business divisions.The Committee invites internal and external stakeholders, including external experts, to participate in meetings as needed, incorporating their valuable insights into the Impact Strategy. In principle, the committee meets once a quarter, with additional meetings convened by the chair as needed.

The Impact Strategy Committee promptly reports on discussions and deliberations to the Board of Executive Officers. Key updates to the Impact Strategy or material issues requiring further review and approval by the Board of Executive Officers are submitted to the Board for deliberations and resolution following discussion by the Impact Strategy Committee. The Board of Directors reviews and approves the Impact Strategy developed by the Board of Executive Officers from a medium- to long-term corporate value and business functions by the responsible executive officers and senior managers, accountable for the implementation of specific initiatives, perspective, evaluating strategy relevance and feasibility. The Board of Directors receives a progress report on the Impact Strategy at least twice a year. The Board oversees strategy implementation by reviewing progress toward targets, identifying issues, and discussing appropriate responses. This robust governance structure enables us to respond quickly and appropriately to changes of global challenges in society surrounding our business. The outcomes and resolutions made by the Impact Strategy Committee are communicated to corporate.

The Global Sanitation & Hygiene Council, Environmental Strategy Council, and Diversity & Inclusion (D&I) Council report progress on initiatives aligned with the three strategic pillars at each Impact Strategy Committee meeting. The Committee also engages in strategic discussions on other social and environmental issues, as well as information disclosures.

FYE2025 Key Agenda Items:

• Progress in the three strategic pillars
• Monitoring of specified raw materials
• Enhancing ESG data governance
• Double materiality assessment to update material issues

As of April 2025