HLRE Holding Oyj 1.2.2024-31.1.2025 XBRL-ESEF

HLRE Holding Oyj 
Report of the Board of Directors and Financial 
Statements 
2/1/2024-1/31/2025

2 
Contents 
Contents ...................................................................................................................................................................2
Report of the Board of Directors ...............................................................................................................................4
Sustainability report ............................................................................................................................................... 15
Financial statements .............................................................................................................................................. 69
Consolidated statement of comprehensive income ............................................................................................... 69
Consolidated balance sheet .................................................................................................................................. 70
Consolidated statement of changes in equity ........................................................................................................ 71
Consolidated cash flow statement ......................................................................................................................... 72
INFORMATION ABOUT THE CONSOLIDATED FINANCIAL STATEMENTS ..................................................... 73
1.
Accounting principles ................................................................................................................................. 73
2.
Management judgement and sources of uncertainty ................................................................................ 75
KEY INFORMATION RELATING TO INCOME STATEMENT .............................................................................. 77
3.
Segment information .................................................................................................................................. 77
4.
Turnover ..................................................................................................................................................... 78
5.
Other operating income ............................................................................................................................. 80
6.
Operating expenses ................................................................................................................................... 81
PERSONNEL ......................................................................................................................................................... 83
7.
Employee benefit expenses....................................................................................................................... 83
8.
Information about key management personnel (incl. key management shareholdings) and share-based 
payment schemes ............................................................................................................................................. 85
ASSETS AND LIABILITIES USED IN BUSINESS OPERATIONS ....................................................................... 87
9.
Goodwill and other intangible assets, including impairment testing .......................................................... 87
10.
Property, plant and equipment and leases ............................................................................................ 93
11.
Inventories ............................................................................................................................................. 97
12.
Trade and other receivables .................................................................................................................. 98
13.
Other current liabilities ........................................................................................................................... 99
CAPITAL STRUCTURE AND FINANCING ......................................................................................................... 100
14.
Net debt ............................................................................................................................................... 100
15.
Loans and financial assets .................................................................................................................. 101
16.
Financial income and expenses .......................................................................................................... 106

3 
17.
Management of financial risks ............................................................................................................. 106
18.
Shareholders’ equity ............................................................................................................................ 
111
19.
Capital risk management ..................................................................................................................... 113
OTHER NOTES ................................................................................................................................................... 114
20.
Group structure .................................................................................................................................... 114
21.
Taxes ................................................................................................................................................... 115
22.
Related party transactions ................................................................................................................... 117
23.
Commitments and contingent liabilities ............................................................................................... 118
24.
New reporting standards and reporting standards that will enter into force at a later date ................. 119
25.
Events after the reporting date ............................................................................................................ 120
Parent company’s financial statements, FAS ...................................................................................................... 121
Parent company’s income statement .................................................................................................................. 121
Parent company’s balance sheet ........................................................................................................................ 122
Parent company’s cash flow ................................................................................................................................ 123
Parent company’s notes ...................................................................................................................................... 124
Independent auditor's report on the ESEF financial statements of HLRE Holding Oyj ....................................... 130
To the Board of Directors of HLRE Holding Oyj .............................................................................................. 130
Assurance Report on the Sustainability Report ................................................................................................... 131
To the Annual General Meeting of HLRE Holding Oyj .................................................................................... 131
Auditor’s Report ................................................................................................................................................... 134
To the Annual General Meeting of HLRE Holding Plc .................................................................................... 134

4 
Report of the Board of Directors 
FINANCIAL PERIOD 2/1/2024 – 1/31/2025 
GENERAL 
The 
HLRE 
Holding 
Group 
(commonly 
referred 
to 
as 
the 
Vesivek 
Group 
in 
customer 
and 
marketing 
communications) 
is 
a company 
focusing 
on roof 
and 
drainage renovation 
of single 
-family 
and 
terraced 
homes 
and 
the 
product 
development, 
manufacture, 
sales 
and 
installations 
of 
rainwater 
management 
systems and roof safety products. The Group operates 
in Finland and Sweden under the Vesivek 
brand. 
In January 2025, the 
HLRE Holding Group 
operated in 16 (16) 
locations in Finland 
and 3 (3) in 
Sweden. 
The 
Group’s 
head 
office 
and 
sheet 
metal 
roofing 
factory 
are 
in 
Pirkkala, 
Finland, 
and 
the 
product 
development 
and 
manufacture 
of 
rainwater 
systems 
and 
roof 
safety 
products 
and 
the 
corporate 
sales 
function 
are 
in 
Orimattila, 
Finland. 
The 
Group’s 
customers 
include 
consumers, 
housing 
companies, 
construction companies and public-sector organisations. 
In the consumer 
business, the 
Vesivek 
Group is 
the leading 
service company 
in the industry 
in Finland, 
delivering 
roofs 
with 
accessories 
and 
installation 
services 
from 
its 
own 
factory. 
The 
Group’s 
service 
offering includes 
the customer 
promise “Weather 
protection in 
one day,” 
which is 
made possible 
by the 
in-house supply 
chain from 
product development 
to installation 
and the conceptualised 
business model. 
The majority 
share of 
a company 
engaged in 
the drainage 
business 
in Finland, 
acquired as 
part of 
the 
Group in 2021, 
has strengthened 
the Group’s 
service offering 
in the market 
for the 
renovation of single-
family houses. 
The Nesco 
Group, which 
designs, develops, 
fabricates and 
sells roof 
and roof 
safety products, 
includes 
the companies Nesco Invest Oy, 
Vesivek Tuotteet 
Oy (formerly Nesco Oy) and Tuusulan 
Peltikeskus Oy. 
Vesivek 
Tuotteet Oy 
is a Finnish 
company that 
designs, manufactures 
and sells 
rainwater management 
systems 
and 
roof 
safety 
products. 
Tuusulan 
Peltikeskus 
Oy 
is 
a 
Finnish 
company 
that 
sells 
rainwater 
systems and roof 
safety and sheet 
metal products to 
consumers and construction 
companies, operating 
in the municipality of Tuusula in the Greater 
Helsinki region. 
1000 eur 
1.2.2024-
31.1.2025 
Change 
1.2.2023-
31.1.2024 
Change 
1.2.2022-
31.1.2023 
Turnover 
102,929.0 
-4.8 % 
108,161.2 
-16.4 % 
129,455.0 
EBITDA 
1,885.0 
-11.9 % 
2,138.8 
-79.1 % 
10,225.5 
Profit/loss for the financial period 
-8,424.9 
36.5 % 
-13,277.9 
3833.7 % 
-337.5 
Equity ratio 
7.0 % 
-57.7 % 
16.5 % 
-41.9 % 
28.3 % 
Cash flow from operating activities 
148.2 
-96.6 % 
4,322.3 
-14.0 % 
5,025.6 
Personnel average 
735 
-8.2 % 
801 
-4.2 % 
836 
Gross capital expenditure 
-613.9 
-38.6 % 
-999.3 
-49.7 % 
-1,987.4 

5 
MAJOR EVENTS DURING THE FINANCIAL PERIOD 
The Group’s turnover decreased from EUR 108.2 
million to EUR 102.9 (-4,8%). 
In 
the 
summer 
of 
2023, 
the 
Group 
commenced 
negotiations 
for 
the 
refinancing 
of 
a 
SEK 
300 
million 
bond falling 
due 
in February 
2024. On 
30 
January 
2024, the 
Group announced 
that 
a result 
had 
been 
reached in 
the negotiations 
between the 
Company 
and the 
principal creditor 
with a 
controlling share 
of 
approximately 66.67% 
regarding the 
refinancing of 
the loan. 
However, 
with the original 
maturity date 
on 
12 February 2024 of the 3-year 
loan issued on 12 February 
2021 approaching, the Group announced 
on 
30 
January 
2024 
that 
it 
will 
request 
a 
one-month 
extension 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, which was approved on 5 February 2024 by the 
majority required for the bond. 
In February 2024, the Group continued 
to finalise the terms and conditions of 
the bond, announcing on 8 
March 2024 
a refinancing 
of SEK 
300 million 
over a 
three-year 
period, with 
the 
maturity date 
being 12 
February 2027. 
In addition, 
the terms 
and conditions 
of the 
bond included 
a five-year 
convertible bond 
of EUR 
3 million 
issued by 
the Company’s 
principal shareholders. 
The convertible 
bonds maturing 
in February 
2029 can 
be converted 
into a maximum 
of 6,131,704 
shares in 
HLRE Holding 
Oyj, corresponding 
to 37.3% of 
the 
outstanding 
HLRE 
Holding 
shares 
issued 
at 
the 
end 
of 
the 
financial 
year. 
The 
applicable 
conversion 
price is EUR 0.50 per share. 
The parent company has financed 
its subsidiaries through both 
loans granted and a group 
bank account 
arrangement. More information on Group 
loans is provided in the notes 
to the financial statements 
of the 
parent company HLRE Holding Oyj. 
In 
the 
first 
quarter 
of 
the 
financial 
year 
2025, 
the 
Group 
continued 
the 
measures 
it 
initiated 
in 
the 
previous financial 
year to 
improve operational 
efficiency 
in a few 
Vesivek 
Oy units. 
The negotiations 
led 
to the 
termination 
of the 
employment 
relationship 
of approximately 
20 people 
during the 
first quarter 
of 
2024. 
At the end 
of November 
2024, HLRE Group 
Oy, 
Vesivek 
Oy, 
Vesivek Salaojat 
Oy and 
Vesivek Tuotteet 
Oy 
commenced 
change 
negotiations 
concerning 
possible 
temporary 
layoffs 
of 
less 
than 
90 
days 
that 
concerned 
all 
employees 
of 
the 
Group 
companies, 
with 
the 
exception 
of 
HLRE 
Group 
Oy’s 
payroll 
function. 
The aim 
of 
the 
change 
negotiations 
was 
to 
discuss 
the 
proposed 
temporary 
adaptation 
measures 
and 
their potential 
personnel-related 
impacts. The 
measures were 
implemented due 
to anticipated 
seasonal 

6 
fluctuations, 
which 
were 
estimated 
to 
lead 
to 
a 
decrease 
in 
volume, 
as 
well 
as 
to 
ensure 
financial 
profitability during the fourth quarter of FY2025 and the first 
quarter of FY2026. 
The 
change 
negotiations 
concerning 
possible 
temporary 
layoffs 
of 
a 
maximum 
of 
90 
days 
were 
concluded in the aforementioned companies 
in December 2024. During the negotiations, the 
grounds for, 
impacts of and possible 
alternatives to the planned measures 
were discussed in the spirit 
of cooperation. 
The 
allocation, 
number 
and 
timing 
of 
the 
temporary 
layoffs 
were 
determined 
on 
the 
basis 
of 
separate 
plans, 
and 
they 
are 
due 
to 
a 
temporary 
decrease 
in 
the 
need 
for 
labour 
during 
the 
period 
1 
January 
2025–30 April 2025. 
The Group company 
responsible for roof 
renovations in Finland, 
Vesivek Oy, 
already moved to primarily 
scaffolding-based 
roof 
installations 
during 
the 
2019 
financial 
period. 
Scaffolding, 
or 
work 
platforms, 
around 
a 
building 
function 
as 
fall 
protection 
and 
improve 
occupational 
safety, 
ergonomics 
and 
installation 
efficiency, 
as 
the 
work 
can 
be 
performed 
from 
the 
correct 
height 
without 
reaching. 
The 
scaffolding also protects the yard and access 
routes from any materials falling from the roof. 
Launched 
in 
February 
2022, 
Russia's 
still 
ongoing 
war 
of 
aggression 
against 
Ukraine 
has 
further 
increased 
uncertainty 
and 
general 
instability 
in 
Europe. 
The 
economic 
downturn, 
increased 
temporary 
layoffs 
and 
dismissals 
at 
the 
national 
level, 
and 
interest 
rates, 
although 
decreasing, 
remaining 
high 
compared 
to 
long-standing 
zero 
interest 
rates, 
as 
well 
as 
tighter 
lending 
policies 
adopted 
by 
credit 
institutions, have continued to contribute to an increased lack 
of consumer confidence. 
The Group’s roof and rainwater systems business 
in Finland and Sweden and drainage system business 
in Finland 
fell short 
of the volume 
and profitability 
targets set 
for the 
financial year. 
The roof 
safety and 
rainwater systems 
manufacturing business 
fell short 
of the 
volume targets 
due to 
the market 
conditions 
being more 
modest than 
expected, but 
profitability remained 
within the 
set targets 
due to 
the efficiency 
improvement measures taken. 
CHANGES IN GROUP STRUCTURE 
There were no changes in the company structure during 
the financial period. 
BUSINESS CONTINUITY 
The 
financial 
statements 
for 
the 
period 
2/1/2024-1/31/2025 
have 
been 
prepared 
based 
on 
the 
going 
concern principle, 
assuming that 
the Company 
will be 
able to 
liquidate its 
assets and 
settle its 
liabilities 
as part of normal business operations in the foreseeable future. 
The 
consolidated 
result 
for 
the 
financial 
year 
ended 
31 
January 
2025 
was 
EUR 
-8.4 
million. 
The 
consolidated result 
for the 
previous financial 
year was 
EUR -13.3 
million, which 
included an 
impairment 

7 
of goodwill 
of EUR 
5.0 million. 
The Company's 
operating cash 
flow came 
to EUR 
0.1 (4.3) 
million, and 
net 
debt 
amounted 
to 
EUR 
61.1 
(55.2) 
million. 
During 
the 
financial 
year, 
the 
Company 
refinanced 
the 
SEK 300 
million bond 
issued by 
the Company 
that matured 
in February 
2024. The 
bond will 
mature in 
February 2027. The 
bond includes 
a Swedish krona 
exchange rate 
risk that was 
not hedged at 
the time 
of 
signing 
the 
financial 
statements. 
A 
change 
of 
+/-10% 
in 
the 
exchange 
rate 
of 
the 
Swedish 
krona 
against the euro would affect the result by approximately 
EUR +/-2.6 million before taxes. 
The 
bond 
includes 
a 
cash 
covenant 
of 
EUR 
2 
million 
and, 
effective 
from 
1 
August 
2025, 
a 
leverage 
covenant. The 
Group’s 
cash and 
cash equivalents 
amounted to 
EUR 2.50 
million on 
31 January 
2025. 
The 
Group 
has 
an 
unused 
overdraft 
facility 
of 
EUR 
1.0 
million 
that 
was 
negotiated 
in 
March 
2024 
in 
connection with the restructuring of the SEK 300 million bond. 
 
The 
terms 
and 
conditions 
of 
the 
bond 
are 
described 
in 
more 
detail 
in 
section 
17 
Management 
of 
financial risks. 
The 
Group’s 
operating 
environment 
is 
subject 
to 
uncertainty 
caused 
by 
the 
impairment 
of 
the 
general 
security 
situation 
in 
Europe 
and 
continued 
increases 
in 
raw 
material 
and 
energy 
prices 
and 
general 
costs. 
The 
rising 
costs 
and 
uncertainty 
have 
impacts 
on 
disposable 
income, 
purchase 
choices 
and 
consumer 
behaviour, 
among 
other 
things. 
In 
addition, 
the 
potential 
impacts 
of 
the 
significant 
and 
extensive tariffs imposed by the US in April 2025, 
and the uncertainty they cause, are difficult to 
estimate 
and 
predict. 
They 
can 
present 
both 
challenges 
and 
opportunities 
to 
the 
development 
of 
the 
Group’s 
business. Ideally, 
the impacts will accelerate the recovery 
of development activity in the property 
market. 
At the same 
time, uncertainty 
about the 
future impacts 
of trade policy 
causes delays 
in decision-making 
concerning property investments. 
The Group’s 
growth and development 
are strongly linked 
with the growth 
and development of 
sales and 
success in 
internationalisation, 
and failure 
in them 
might have 
direct or 
indirect impacts 
on the 
Group’s 
business and growth opportunities or the development 
of its profitability. 
In 
the 
first 
quarter 
of 
the 
financial 
year 
2025, 
the 
Group 
continued 
the 
organisational 
efficiency 
improvement 
measures 
it 
initiated 
in 
2023 
in 
a 
few 
of 
Vesivek 
Oy's 
units. 
All 
in 
all, 
the 
efficiency 
improvement measures initiated 
in 2023 have had extensive 
impacts on the Group's 
Finnish companies. 
The 
executive 
management 
closely 
monitors 
the 
development 
of 
the 
Group’s 
various 
companies 
and 
businesses, and 
is prepared 
to react 
further if 
the performance 
of the 
businesses 
is not 
in line 
with the 
set plans. 
With 
due 
account 
taken 
of 
the 
refinancing 
of 
the 
bond 
and 
the 
extensive 
efficiency 
improvement 
measures 
taken, 
the 
Company’s 
management 
has prepared 
financial 
forecasts 
for the 
development 
of 
turnover, expenses 
and investments. In assessing the 
going concern assumption, management 
believes 
that 
the 
company’s 
current 
liquid 
funds 
and 
projected 
operating 
cash 
flows 
are 
sufficient 
to 
cover 
its 
liabilities 
and 
obligations 
arising 
from 
its 
operations 
for 
at 
least 
12 
months, 
and 
consequently 
the 
financial statements have been 
prepared on a going concern 
basis. The forecasts assume 
that there will 
be a moderate 
positive turn 
in the market. 
In addition, 
the Group’s 
management has 
taken measures 
to 
improve the cash 
position by, 
for example, switching 
to the use 
of consignment stock 
for steel products. 

 
8 
Due to the general economic 
uncertainty, 
the cyclical nature of the 
industry and the short time 
horizon of 
the 
order 
book, 
forecasting 
involves 
a 
higher 
degree 
of 
judgment 
than 
usual. 
If 
the 
business 
does 
not 
develop according 
to the 
forecasts, 
there is 
a risk 
of 
liquidity being 
compromised 
and covenants 
being 
breached, which could 
cast significant doubt 
on the ability 
of the company 
and the Group 
to continue as 
a going 
concern. Such 
circumstances would 
also have 
an impact 
on the 
balance sheet 
valuation of 
the 
Group’s goodwill and the parent company’s 
shares in, and receivables from, its subsidiaries. 
SUBORDINATED 
LOAN 
The Group 
companies 
have 
a 
subordinated 
loan totalling 
EUR 
250 
thousand. 
The 
interest 
rate 
on 
the 
loan is 5%, and unrecognised 
interest of EUR 25 thousand 
has accrued on the loan. 
No repayment date 
has been agreed for the loan. 
PERSONNEL 
At 
the 
end 
of 
the 
financial 
year, 
the 
number 
of 
personnel 
amounted 
to 
757 
(835), 
a 
decrease 
of 
41 
employees, 
or 
-9.3 
per 
cent. 
The 
Group 
personnel 
averaged 
735 
(801) 
FTE, 
a 
decrease 
of 
66 
employees, or 
-8.2 per 
cent. The 
Group’s employee 
benefits expenses 
totalled EUR 
43.5 (46.5) 
million, 
a decrease of EUR -3.0 million, or -6.5 per cent. 
EVENTS AFTER THE REPORTING DATE 
In 
February–March 
2025, 
the 
Group 
continued 
the 
temporary 
layoffs 
of 
a 
maximum 
of 
90 
days 
in 
its 
Finnish companies, which had been announced in December 
2024. The Group further announced in late 
March that, as 
the demand 
situation had slightly 
improved, the Group 
would deviate 
from the 
previously 
announced plan by not continuing the temporary layoffs 
in April in any of the Group companies. 
KEY 
FEATURES 
OF 
INTERNAL 
CONTROL 
AND 
RISK 
MANAGEMENT 
RELATED 
TO 
THE 
FINANCIAL 
REPORTING PROCESS 
Board of Directors 
In accordance with article 10 of the 
Articles of Association of the Group’s 
parent company HLRE Holding 
Oyj, 
the company’s 
administration 
and 
appropriate 
organisation 
of 
operations 
is 
seen to 
by a 
Board 
of 
Directors with 
a minimum 
of three 
(3) 
and a 
maximum of 
ten (10) 
standing 
members, 
according 
to the 
resolution of a 
general meeting 
of shareholders. The 
term of office 
of the Board 
members expires at 
the 
close of the next Annual General Meeting after their election. 

 
9 
The Board 
of Directors 
sees to 
the administration 
and appropriate 
organisation of 
the operations 
of the 
entire HLRE 
Holding Group 
and directs 
and 
oversees 
the operations 
of the 
HLRE Holding 
Group. The 
Board of Directors' 
task is 
to promote the 
interests of 
the HLRE 
Holding Group 
and HLRE 
Holding Plc’s 
shareholders. 
The Board 
of Directors 
is responsible 
for the 
appropriate 
arrangement 
of the 
control 
of the 
Company's 
accounts and 
finances. The 
Board of 
Directors reviews 
and adopts 
the Company’s 
financial statements 
and consolidated financial statements 
for the financial year 
ended, as well as any 
half-year report for the 
period ended in 
July, 
and any interim 
reports for the 
periods ended in 
April and October. 
In addition, the 
Board 
of 
Directors 
oversees 
the 
Company's 
CEO 
and 
Executive 
Board 
and 
approves 
the 
Group-wide 
strategic 
objectives 
and 
the 
principles 
for 
risk 
management 
and 
governance 
systems. 
The 
Board 
of 
Directors addresses and decides on all matters of major 
significance in view of the Group’s operations. 
The Board 
of Directors 
convenes the 
Company’s Annual 
General Meeting 
and makes 
proposals on 
the 
matters 
to 
be 
addressed 
therein. 
The 
Board 
of 
Directors 
monitors 
the 
development 
of 
the 
Group's 
operational activities mainly through the CEO’s and 
business segments’ reviews and monthly reports. 
At 
the 
company's 
Annual 
General 
Meeting 
on 
31 
May 
2024, 
Pentti 
Tuunala, 
Kimmo 
Riihimäki, 
Ari 
Haapakoski, Timo 
Pirskanen, Mika 
Uotila and 
Anu Syrmä 
were re-elected 
as members 
of the 
Board of 
Directors. At 
its first meeting, 
held on 
31 May 2024, 
the Board of 
Directors elected 
Pentti Tuunala 
as its 
Chair. 
At 
its 
meeting 
held 
on 
31 
May 
2024, 
the 
Board 
of 
Directors 
decided 
to 
elect 
Timo 
Pirskanen, 
Pentti Tuunala 
and Mika Uotila 
from among its 
number to continue 
as members of 
the Audit Committee, 
and it elected Timo Pirskanen as the Chair 
of the Audit Committee. 
During the financial 
year 1 
February 2024–31 
January 2025, 
the Board 
of Directors 
convened 12 
times. 
The attendance 
rate of 
the Board 
members was 
99%. The 
Audit Committee 
convened once 
during the 
financial year 1 February 2024–31 January 2025 with 
an attendance rate of 100%. 
Remuneration of Board members 
The 
Annual 
General 
Meeting 
of 
the 
Group’s 
parent 
company 
HLRE 
Holding 
Oy 
resolved 
on 
31 
May 
2024 that EUR 1,000.00 
per month be paid 
as compensation to each 
Board member independent 
of the 
company 
and 
its 
major 
shareholders. 
If 
a 
Board 
member 
is 
employed 
by 
a 
company 
belonging 
to 
the 
HLRE Holding group of companies 
or by Sentica Partners Oy, 
they are not paid compensation 
for Board 
membership. No separate fee is paid for Board or committee 
meetings. 
Furthermore, 
the 
Annual 
General 
Meeting 
resolved 
that 
each 
Board 
member 
will 
be 
compensated 
for 
reasonable 
travel 
expenses 
against 
receipts, 
in 
accordance 
with 
the 
practices 
of 
the 
HLRE 
Holding 
Group. 

 
10 
Audit Committee 
The Board 
of Directors 
of HLRE 
Holding 
Oyj 
has set 
up an 
Audit Committee 
consisting 
of three 
to five 
members. The 
Board elects 
the members 
of the 
Audit Committee 
and the 
Chair of 
the Committee 
from 
among its members. The Audit Committee focuses 
on the handling and preparation of matters pertaining 
to 
financial 
reporting 
and 
control 
in 
particular. 
The 
Audit 
Committee 
convenes 
regularly 
and 
aims 
to 
convene 
at 
least 
four 
times 
a 
year. 
In 
the 
financial 
year 
2025, 
there 
was 
only 
one 
Audit 
Committee 
meeting, as the 
entire Board of 
Directors has participated 
in the handling 
of financial matters, 
taking into 
account the Group’s situation. 
The 
purpose 
of 
the 
Audit 
Committee, 
as 
an 
assisting 
body 
to 
the 
Board 
of 
Directors, 
is 
to 
prepare 
matters 
pertaining 
to 
the 
company’s 
financial 
reporting 
and 
control. 
The 
Audit 
Committee 
has 
no 
independent decision 
-making powers, 
but instead 
it assists 
the Board 
of Directors 
in the 
preparation of 
its 
decision-making. 
The 
Board 
of 
Directors 
makes 
decisions 
on 
the 
basis 
of 
the 
committee’s 
preparations, including matters referred to the Audit Committee. 
The Audit Committee 
monitors the financial 
situation, budgeting, 
financial position and 
risk management 
of the HLRE Holding Group. The task of the Audit Committee 
is to: 
•
 
monitor the financial reporting process; 
•
 
monitor the effectiveness of internal controls, any 
internal audit and risk management systems; 
•
 
monitor the financial and tax position of the Company; 
•
 
monitor significant economic, financial and tax risks; 
•
 
supervise the financial reporting process and process 
financial disclosures; 
•
 
monitor the risk management process; 
•
 
assess the impact of exceptional or significant transactions; 
•
 
assess legal and regulatory compliance processes; 
•
 
prepare a proposal for a decision on the selection of an auditor; 
•
 
review 
the 
description 
of 
the 
key 
features 
of 
the 
internal 
control 
and 
risk 
management 
systems 
pertaining 
to 
the 
financial 
reporting 
process, 
which 
is 
included 
in 
the 
company´s 
corporate 
governance statement; 
•
 
monitor the statutory audit of the financial statements 
and consolidated financial statements; and 
•
 
assess 
the 
independence 
of 
the 
statutory 
auditor 
or 
auditing 
firm 
and 
the 
provision 
of 
ancillary 
services to the Company; 
•
 
new tasks 
related to 
sustainability reporting, 
which are 
presented in 
more detail 
in the 
sustainability 
reporting section. 
The Audit 
Committee 
convened 
once during 
the 
financial 
year 
1 February 
2024–31 
January 
2025 with 
an attendance rate of 100%. 

 
 
11 
CEO 
The 
Board 
of 
Directors 
appoints 
the 
CEO 
and 
decides 
on 
the 
terms 
of 
and 
conditions 
of 
their 
service 
contract. The CEO 
is responsible for 
directing the Company's 
operational management 
and the Group’s 
business 
in accordance 
with the 
instructions 
and 
orders 
given by 
the 
Board of 
Directors, 
supported 
by 
the Group's management team appointed by the CEO. 
 
The CEO 
is responsible 
for ensuring 
that the 
Company's 
accounts are 
in compliance 
with the 
law and 
that its financial affairs have been arranged in a reliable 
manner.
 
Group's management team 
Vesivek 
Group’s 
management 
team 
supports 
the 
CEO 
in 
preparing 
strategic 
matters, 
addressing 
significant 
or 
fundamental 
operational 
matters 
and 
ensuring 
internal 
flow 
of 
information. 
The 
management team is chaired by the Group's CEO, and it convenes 
regularly upon invitation by the CEO. 
As 
an 
expert 
body, 
the 
management 
team 
assists 
the 
CEO 
in 
the 
management 
of 
the 
Group’s 
operational 
business. 
The 
management 
team 
prepares 
and 
steers 
the 
development 
of 
the 
Group’s 
processes and business, as well as the Group’s 
common functions, and promotes the flow of 
information 
and cooperation between different parts of the 
organisation. In particular, 
the Group’s strategy and target 
setting, the budget, 
major procurements and 
projects, the Group’s 
structure and organisation, 
as well as 
the 
main 
management 
policies 
and 
HR 
policy 
issues, 
are 
discussed 
in 
the 
management 
team. 
In 
addition, the 
management 
team monitors 
and evaluates 
the profitability 
of business 
operations and 
the 
effectiveness of internal control and reporting 
systems. 
In 
the 
financial 
year 
2025, 
the 
management 
team’s 
tasks 
also 
included 
new 
tasks 
related 
to 
sustainability reporting, which are presented in more detail 
in the sustainability reporting section. 
The management 
team 
informs 
HLRE 
Holding 
Oyj's 
Board 
of Directors 
without 
delay 
of any 
matters 
it 
has become 
aware of 
that may 
be expected 
to have 
a material 
impact on 
the Group’s 
operations. The 
management 
team 
must 
also 
inform 
the 
Board 
of 
Directors 
of 
issues 
such 
as 
occupational 
accidents 
resulting 
in 
serious 
injury, 
significant 
complaints 
concerning 
the 
Group, 
significant 
legal 
proceedings 
and/or claims, 
and any 
other issues 
of relevance 
in view of 
the duties 
or responsibility 
of HLRE Holding 
Oyj’s Board of Directors. 
During 
the 
financial 
year, 
the 
following 
changes 
occurred 
in 
the 
Company's 
management 
team, 
which 
has 
been 
operating 
since 
October 
2021: 
In 
March 
2024, 
Antti 
Asteljoki 
started 
as 
the 
Chief 
Operative 
Officer 
of 
Vesivek's 
roof, 
rainwater 
system 
and 
drainage 
system 
installation 
business 
in 
Finland 
and 
joined the 
Group management 
team. 
The Group's 
interim HR 
Director changed 
in May 
2024, with 
Anu 
Lapiolahti 
appointed 
in 
place 
of 
Niina 
Martin. 
At 
the 
end 
of 
the 
financial 
year, 
the 
composition 
of 
the 
Company’s 
management 
team 
was 
as follows: 
Kimmo 
Riihimäki, 
CEO; 
Antti 
Asteljoki, 
Chief 
Operative 
Officer 
of 
Vesivek 
Oy 
and 
Vesivek 
Salaojat 
Oy; 
Anu 
Lapiolahti, 
interim 
HR 
Director; 
Jari 
Raudanpää, 

12 
CFO; 
Pasi 
Heikkonen, 
Managing 
Director 
of 
Vesivek 
Tuotteet 
Oy; 
Jani 
Jylhä, 
Managing 
Director 
of 
Vesivek Sverige AB. The management 
team convenes regularly every month. 
ESTIMATE OF MAJOR 
RISKS AND UNCERTAINTIES 
The HLRE Holding Group 
assesses risks annually with 
the aim of minimising 
risks and better foreseeing 
them. 
The Group’s 
cash and 
cash equivalents 
amounted to 
EUR 2.50 million 
on 31 January 
2025. The Group 
has a 
conditional 
overdraft 
facility 
of EUR 
1.0 
million 
that was 
negotiated 
in 
March 
2024 in 
connection 
with the restructuring of the SEK 
300 million bond. However, 
if the organisational efficiency 
improvement 
measures implemented 
in the 
Group companies 
do not 
lead to 
the desired 
result during 
the first 
half of 
the 
financial 
year, 
the 
Group’s 
management 
is 
prepared 
to 
continue 
the 
efficiency 
improvement 
measures in the Group's companies and businesses. 
The Group’s 
growth and development 
are strongly linked 
with the growth 
and development of 
sales and 
success in 
internationalisation, 
and failure 
in them 
might have 
direct or 
indirect impacts 
on the 
Group’s 
business 
and 
growth 
opportunities 
or 
the 
development 
of 
its 
profitability. 
In 
addition 
to 
the 
above, 
the 
Group’s 
business 
operations 
are 
exposed 
to 
personnel-related 
risks, 
such 
as 
risks 
relating 
to 
the 
recruitment and 
retention of 
skilled personnel. 
The Group’s 
business 
is exposed 
to occupational 
safety 
risks 
at 
the 
construction 
sites, 
which 
also 
includes 
a 
risk 
of 
potential 
procedures 
by 
the 
authorities 
or 
legal 
proceedings. 
In 
addition, 
the 
Group 
is 
exposed 
to 
international 
price 
fluctuations 
and 
production 
bottlenecks 
for 
the 
commodities 
it 
uses 
in 
its 
business, 
such 
as 
steel, 
aluminium 
and 
wood. 
In 
the 
procurement of raw 
materials, the 
company uses 
several reliable 
and committed 
raw material suppliers. 
Cooperation with raw material suppliers is an ongoing cooperation 
process. 
The 
Group’s 
business 
is 
exposed 
to 
seasonality, 
which 
can 
be 
balanced 
by 
a 
service 
portfolio 
comprising 
different 
product 
categories 
and 
extensive 
geographical 
distribution 
in 
Finland 
and 
through 
internationalisation. 
Moreover, 
the 
most 
significant 
business 
uncertainties 
are 
associated 
with 
risks 
relating 
to 
partners, 
such 
as 
the 
most 
significant 
suppliers, 
opening 
of 
new 
locations 
and 
their 
development, success in concept development and maintaining the 
concept. 
Expansion 
into 
other 
countries 
involves 
several 
risks 
associated 
with 
foreseeing 
consumer 
needs, 
preferences 
and 
behaviour 
in 
the 
target 
markets, 
among 
other 
factors. 
Expansion 
into 
other 
countries 
involves 
the 
risk 
of 
the 
company’s 
conceptualised 
business 
model 
not 
establishing 
a 
position 
in 
the 
market and securing an 
established customer base. 
The company’s conceptualised 
business model can 
also be 
non-compliant 
with the 
local building 
regulations, 
customs or 
prevailing practices. 
The possible 
failure of 
the launch 
of new 
concepts, such 
as the 
drainage business 
concept, would 
incur costs 
to the 
company and 
have a 
material adverse 
impact on 
the company’s 
brand, financial 
position and 
business 
performance. 
Each year, the 
HLRE Holding Group tests goodwill 
for impairment and, if 
necessary, 
whenever there are 
indications 
that 
the 
value 
of 
the 
assets 
does 
not 
exceed 
their 
goodwill. 
During 
the 
financial 
year, 
the 
Company’s 
market 
environment 
in 
the 
roof 
and 
drainage 
renovation 
sectors 
has 
become 
more 
challenging 
due 
to 
increased 
general 
uncertainty 
among 
consumers, 
as 
a 
result 
of 
which 
roof 
and 

13 
drainage 
renovations 
are 
increasingly 
being 
postponed 
to 
the 
future. 
Increased 
uncertainty, 
combined 
with 
the 
tighter 
lending 
policy 
of 
credit 
institutions 
and 
increased 
financing 
costs, 
has 
created 
a 
challenging environment for consumers considering renovation. 
For 
the 
Nesco 
subgroup 
and 
the 
Vesivek 
Oy 
and 
Vesivek 
Salaojat 
Oy 
businesses, 
no 
need 
for 
a 
writedown was 
identified in 
goodwill impairment 
testing, and 
the recoverable 
cash flows 
are sufficient 
to 
cover the book value of 
the assets. At the 
end of the financial 
year 2025, the balance 
sheet of the HLRE 
Holding Group included EUR 35.3 million of goodwill. 
ESTIMATE OF PROBABLE 
FUTURE DEVELOPMENT 
In addition 
to 
the 
risks 
mentioned 
in 
the 
Business 
continuity 
section 
above 
and 
other 
normal 
business 
risks, the Group is not aware of any other 
material risks affecting its operations. The 
Group’s turnover for 
the 
financial 
year 
1 
February 
2021–31 
January 
2022 
is 
expected 
to 
increase 
moderately, 
while 
profitability 
will 
improve. 
The 
Group’s 
potential 
growth 
in 
Finland 
will 
be 
derived 
from 
the 
increased 
efficiency of the existing locations of Vesivek 
Oy, Vesivek 
Salaojat Oy and the Swedish subsidiary. 
RISK MANAGEMENT 
In its risk management, the 
HLRE Holding Group aims 
to be as systematic 
as possible as part of 
normal 
business 
processes. 
The 
Group 
has 
a 
risk 
management 
policy 
approved 
and 
followed 
up 
by 
the 
management 
team, 
supporting 
the 
achievement 
of 
strategic 
objectives 
and 
ensuring 
the 
continuity 
of 
business 
operations. The 
Group’s 
risk 
management 
policy 
focuses 
on managing 
both 
risks 
associated 
with 
business 
opportunities 
and 
risks 
threatening 
the 
achievement 
of 
the 
Group’s 
objectives. 
The 
management 
team 
analyses 
and 
assesses 
the 
most 
essential 
risks 
in 
terms 
of 
their 
probability 
and 
significance. 
The 
review 
of 
business 
risks 
is 
part 
of 
the 
HLRE 
Holding 
Group’s 
management 
system. 
Risks 
are 
classified into strategic, 
operational, financial 
and damage risks. 
Strategic business 
risks are associated 
with 
customer 
relationships, 
competitors’ 
actions, 
political 
risks, 
brand, 
product 
and 
concept 
development, as well as investments. Operational 
risks are associated with shortcomings 
or errors in the 
company’s operations 
or systems, 
or with 
external risks, 
such as 
legislation or 
unexpected decisions 
or 
policies of the legal 
system or authorities, 
or changes in raw 
material prices or supply 
issues. Taking 
the 
seasonality 
of 
the 
business 
into 
consideration, 
financial 
risks 
are 
related 
to 
the 
adequacy 
of 
financing 
throughout 
the 
financial 
year, 
changes 
in 
the 
interest 
and 
foreign 
exchange 
markets, 
refinancing 
and 
counterparty 
and 
trade 
receivable 
risks. 
Damage 
risks 
can 
cause 
accidents, 
property 
damage, 
interruptions in production, environmental impacts or liability for 
damages. 
The risk 
management process 
aims to 
identify and 
assess the 
risks, after 
which measures 
are planned 
and implemented 
with regard 
to each 
risk. The 
measures 
can include 
avoiding the 
risk, mitigating 
it by 
different 
means, 
transferring 
the 
risk 
through 
insurance 
policies 
or contractually, 
or taking 
the 
risk 
in 
a 
managed 
and 
conscious 
manner. 
Control 
functions 
or 
measures 
refer 
to 
verifying 
procedures 
that 
mitigate risks and ensure that risk management measures 
are taken. 

14 
The 
HLRE 
Holding 
Group 
does 
not 
have 
a 
separate 
risk 
management 
function, 
but 
the 
associated 
responsibilities 
follow 
the 
organisational 
distribution 
of 
responsibilities. 
The 
company’s 
management 
team regularly 
reviews the 
risks. The 
company’s Board 
of Directors 
and its 
Audit Committee 
review the 
most significant risks and related measures at least once a year 
in conjunction with the strategy process. 
AUDITING 
The 
Annual 
General 
Meeting 
of 
31 
May 
2024 
resolved 
to 
appoint 
KPMG 
Oy 
Ab 
as 
the 
company’s 
auditor 
for 
the 
financial 
year 
2/1/2024 
– 
1/31/2025, 
with 
Assi 
Lintula, 
Authorised 
Public 
Accountant, 
serving as the auditor-in-charge. 
COMPANY STRUCTURE 
AND SHAREHOLDING 
The 
Group’s 
parent 
company 
HLRE 
Holding 
Oyj 
is 
owned 
by 
funds 
managed 
by 
the 
Finnish 
private 
equity company Sentica Partners 
Oy and key personnel 
of the Group. A more 
detailed description of the 
ownership structure is given in the notes in section 18 
Shareholders’ equity. 
At the end of the financial period, HLRE Holding Oyj’s 
share capital ente 
red 
in 
the 
Trade 
Register 
amounted 
to 
EUR 
80,000. 
At 
the 
end 
of 
the 
financial 
year, 
the 
number 
of 
HLRE 
Holding 
Oyj 
shares 
was 
16,626,723. 
The 
company 
has 
one 
series 
of 
shares, 
and 
each 
share 
confers one 
vote at 
a general 
meeting. All 
shares confer 
equal rights 
to dividends 
and other 
distribution 
of assets. At the 
end of the 
financial year, 
the company had a 
total of 37 shareholders. 
At the end of 
the 
financial year, the company 
had a total of 201,304 treasury shares. 
At the end of the financial year, 
the Board of Directors has no valid authorisations 
granted by the general 
meeting 
to 
repurchase 
shares, 
or 
issue 
shares, 
or 
grant 
other 
special 
rights 
entitling 
to 
shares, 
as 
referred to in Chapter 10, section 1 of the Limited Liability 
Companies Act. 
BOARD 
OF 
DIRECTORS’ 
PROPOSAL 
CONCERNING 
THE 
USE 
OF 
THE 
COMPANY’S 
NON-RESTRICTED 
SHAREHOLDERS’ EQUITY 
The 
Group's 
parent 
company 
HLRE 
Holding 
Oyj’s 
loss 
for 
the 
financial 
year 
was 
EUR 
-2,334,848.51. 
The 
Board 
of 
Directors 
proposes 
that 
the 
profit 
for 
the 
financial 
year 
be 
recognised 
as 
a 
change 
in 
retained 
earnings, 
after 
which 
its 
distributable 
funds 
amount 
to 
EUR 
15,984,905.48. 
The 
Board 
of 
Directors’ proposal to the general meeting is that no dividends 
be distributed. 

 
15 
Sustainability report 
BASIS FOR PREPARATION 
BP1 General basis for preparation of the sustainability 
statement 
With 
regard 
to 
sustainability 
themes, 
operations 
are 
reported 
on 
a 
consolidated 
basis, 
and 
the 
scope 
of 
consolidation is 
the same 
as for 
the financial 
statements. If 
any key 
figures are 
reported on 
a business-specific 
or area-specific basis or at the country level, this is mentioned 
separately. 
The sustainability 
report is 
published annually. 
The reporting 
period is the 
same as for 
financial reporting, 
which 
is 1 February 2024–31 January 2025. 
Basis for preparation 
The 
Company’s 
sustainability 
report 
for 
the 
financial 
year 
1 
February 
2024–31 
January 
2025 
is 
based 
on 
the 
requirements 
laid 
down 
in 
Chapter 
7 
of 
the 
Finnish 
Accounting 
Act 
and 
the 
European 
Sustainability 
Reporting 
Standards (ESRS). 
Taxonomy 
reporting is 
based on 
the requirements 
laid down 
in Article 
8 of 
Regulation (EU) 
2020/852 
of 
the 
European 
Parliament 
and 
of 
the 
Council 
on 
the 
establishment 
of 
a 
framework 
to 
facilitate 
sustainable investment, and amending Regulation (EU) 
2019/2088 (EU taxonomy). 
The 
reported 
sustainability 
topics 
and 
sustainability 
indicators 
are 
based 
on 
the 
Company’s 
double 
materiality 
assessment, which was updated 
in two stages in 2023–2024. 
The figures and topics 
cover the Company’s value 
chain from the suppliers of materials 
and services to the end of 
the product life cycle. For suppliers, 
the reporting 
is 
based 
on 
available 
data. 
The 
material 
reporting 
requirements 
with 
respect 
to 
the 
Company's 
operations, 
products, 
services 
and 
stakeholders 
have 
been 
selected 
on 
the 
basis 
of 
a 
materiality 
assessment. 
No 
information classified as sensitive information, or results 
of innovation, has been omitted from the reporting. 
The 
material 
themes 
and 
sustainability 
targets 
based 
on 
the 
materiality 
assessment 
were 
approved 
by 
the 
Company’s 
Board 
of 
Directors 
in 
spring 
2024, 
and 
the 
sustainability 
report 
for 
the 
financial 
year 
1 
February 
2024–31 
January 
2025 
is the 
first 
report 
implemented 
in 
accordance 
with 
them, 
based 
on the 
requirements 
of 
the EU’s sustainability reporting standards. 
BP2 Disclosures in relation to specific circumstances 
The 
aim 
is 
to 
prepare 
the 
reporting 
in 
the 
same 
way 
in 
all 
of 
the 
Group’s 
companies, 
and 
the 
information 
is 
compiled in 
the Group's 
report. The 
Company strives 
to use 
as accurate 
data as 
possible in 
its reporting. 
More 
detailed 
reporting 
principles 
and 
impacts 
are 
described 
in 
connection 
with 
the 
reporting 
of 
each 
data 
point 
as 
part of the topical standards. 
The 
time 
horizons 
applied 
by 
Vesivek 
are 
short-term 
(one 
financial 
year), 
medium-term 
(1–5 
years) 
and 
long-
term (over 5 years). 
With 
regard 
to 
the 
value 
chain, 
the 
information 
used 
by 
the 
Company 
has 
been 
collected 
either 
from 
public 
sources 
or 
through 
internal 
discussions 
with 
stakeholders. 
For 
example, 
some 
suppliers 
do 
not 
yet 
have 
accurate 
emission 
factors 
available 
for 
their 
products. 
The 
Company 
has 
taken 
into 
account 
only 
the 
most 
significant raw 
materials in 
purchased 
products, and 
the Company 
has had 
to use 
general emission 
factors for 
materials. The Company aims to develop emissions data together 
with its suppliers. Some of the waste data also 
includes certain 
estimates. In 
the big 
picture, these 
estimates are 
not significant 
in terms 
of the 
accuracy of 
the 
data as a whole. More detailed information on the estimates 
is provided in connection with each data point. 

 
 
 
 
 
 
 
 
 
 
 
16 
The 
Company 
reports 
in 
accordance 
with 
the 
ESRS 
standards 
for 
the 
first 
time 
for 
the 
2025 
reporting 
period. 
This 
has 
led 
to 
changes 
in 
presentation 
for 
some 
of 
the 
information 
when 
compared 
to 
previous 
years, 
particularly in terms of the amount and 
scope of the information in certain respects. 
Any changes are indicated in 
the report in the sections in question. 
The sustainability 
report has 
been prepared 
in accordance 
with the 
ESRS standards. 
If the 
report contains 
data 
points based on other laws or regulations, this is stated 
in connection with the data point in question. 
All 
ESRS 
data 
points 
have 
been 
incorporated 
into 
the 
report 
as 
applicable 
and 
none 
of 
them 
have 
been 
incorporated by reference. 
If the Company 
has applied 
any exemptions permitted 
by transition periods 
in its reporting, 
these are separately 
mentioned under the standard in question. 
 
GOV-1 The role of the administrative, management 
and supervisory bodies 
The 
sustainability 
report 
includes 
information 
on 
the 
administration 
of 
sustainability, 
which 
consists 
of 
the 
Group's Board of Directors, 
the Audit Committee comprising 
members of the Board 
of Directors, the Group 
CEO 
and the Group's management team , and the sustainability working 
group appointed by the CEO. 
Board of Directors and Audit Committee 
The Board 
of Directors 
of the 
Group’s 
parent company 
consists of 
six (6) 
members, 
of whom 
17% are 
women 
and 83% are men. 
Of the members 
of the Board 
of Directors, 50% 
are independent of 
the Company. 
The Board 
of 
Directors 
has 
elected 
an 
Audit 
Committee 
from 
among 
its 
members. 
The 
Audit 
Committee 
has 
three 
(3) 
members: 
Timo 
Pirskanen 
as 
Chair, 
and 
Pentti 
Tuunala 
and 
Mika 
Uotila 
as 
members. 
Of 
the 
members 
of 
the 
Audit Committee, 33% are independent of the Company. 
The 
Board 
of 
Directors 
of 
HLRE 
Holding 
Oyj 
is 
the 
Group's 
highest 
body 
responsible 
for 
sustainability, 
and 
it 
approves 
the 
Group 
policies 
that 
guide 
the 
Group’s 
operations 
and 
internal 
control. 
Principles 
concerning 
sustainable 
business 
are 
laid 
down 
in 
the 
Group's 
Code 
of 
Conduct, 
as 
well 
as 
the 
risk 
management 
policy, 
disclosure 
policy, 
data 
protection 
policy, 
information 
security 
policy, 
communication 
policy, 
non-discrimination 
policy and 
environmental 
policy confirmed 
by the 
Board 
of Directors, 
and guidelines 
issued on 
the basis 
of the 
aforementioned policies. Targets 
and policies are updated if there 
are changes in the operating 
environment that 
require the Company to react. 
The 
Board 
of 
Directors 
also 
approves 
the 
Vesivek 
Group’s 
strategic 
sustainability 
targets. 
The 
Group 
CEO 
is 
responsible 
for 
the 
implementation 
of 
targets 
and 
reports 
to 
the 
Board 
of 
Directors 
on 
their 
progress 
at 
least 
annually. 
Reviews relating 
to different 
aspects of 
sustainability are 
presented by 
the Group's 
executive management 
and, 
where 
necessary, 
external 
experts, 
at 
the 
annual 
level 
in 
meetings 
of 
the 
Board 
of 
Directors 
and 
the 
Audit 
Committee, 
which 
is 
elected 
by 
the 
Board 
of 
Directors 
from 
among 
its 
members. 
The 
reviews 
provide 
the 
members of 
the Board 
of Directors 
with information 
on the 
progress of 
the company’s 
sustainability targets 
and 
the 
most 
material 
sustainability-related 
impacts, 
risks 
and 
opportunities. 
The 
reviews 
ensure 
that 
the 
Board 
of 
Directors has up-to-date knowledge and expertise in sustainability 
matters. The Group’s sustainability targets are 
taken into account in the decision-making of the Board 
of Directors when deciding on investments, for example. 
The 
reported 
impacts, 
risks 
and 
opportunities 
were 
not 
discussed 
in 
meetings 
during 
the 
financial 
year. 
In 
the 
future, 
they 
will 
be 
monitored 
more 
closely 
on 
the 
basis 
of 
the 
climate 
change 
transition 
plan 
prepared 
by 
the 
Company, among other 
things. 
RESPONSIBLE PARTY 
DESCRIPTION OF THE AREA OF RESPONSIBILITY 

 
 
 
 
 
 
 
 
 
 
 
 
 
17 
Board of Directors and CEO, 
Audit Committee 
·
 
Approving and monitoring the sustainability programme and 
sustainability targets 
·
 
Monitoring the realisation of sustainability in the Company's 
operations 
·
 
Approving the sustainability report and reviewing and approving 
the 
reported information 
Group's management team 
·
 
Addressing sustainability themes in the management team's 
meetings 
·
 
Incorporating the sustainability themes, sustainability 
programme, 
sustainability policies, sustainability targets and other sustainability-related 
measures into activities and practices in the members' respective 
areas of 
responsibility 
CFO 
·
 
Compliance with sustainability reporting requirements 
·
 
Reporting to the Group's management team and 
Board of Directors 
·
 
Responsibility for the content of the sustainability 
programme and 
sustainability policies 
·
 
Responsibility for the structure and content of sustainability 
reporting, 
and reporting to the CEO 
·
 
Management, development and steering of sustainability 
efforts, 
integration into business operations 
·
 
Managing the sustainability working group 
Sustainability working group 
·
 
Addressing sustainability themes, development, reporting 
and planning 
their integration into business operations 
·
 
Targets, 
measures and monitoring outcomes 
·
 
Communications, marketing, increasing awareness 
through training 
·
 
Promoting and supporting stakeholder relations 
Business units, operational 
activities and administration 
·
 
Compliance with the policies related to sustainability 
themes 
·
 
Promoting actions and practices related to the sustainability 
programme 
and sustainability policy in the members' respective areas 
of responsibility 
·
 
Communicating successes, problems and development 
proposals to the 
members of the sustainability working group and the parties in 
charge of 
operational activities 

 
 
18 
Group CEO and the Group's management team 
The 
Group 
CEO 
is 
responsible 
for 
the 
implementation 
of 
the 
sustainability 
targets 
confirmed 
by 
the 
Board 
of 
Directors in the 
Group and reports 
to the Board 
of Directors on 
the development 
of the sustainability 
targets and 
the 
fulfilment 
of 
sustainability 
reporting 
requirements. 
The 
Group's 
management 
team 
discusses 
the 
Group’s 
sustainability 
matters 
before 
the 
CEO 
presents 
them 
to 
the 
Board 
of 
Directors 
and, 
for 
its 
part, 
monitors 
the 
progress of sustainability 
reporting and the 
implementation of the 
approved sustainability 
measures on a 
regular 
basis in meetings of the management team. 
The Group's management team consists of six (6) members, 
of whom 17% are women and 83% are men. 
On 31 
January 2025, the composition 
of the Group's management 
team was as follows (industry 
experience in years in 
brackets): 
●
 
Kimmo Riihimäki, Group CEO (over 30 years) 
●
 
Anu Lapiolahti, Group HR Director (two years) 
●
 
Pasi 
Heikkonen, 
Managing 
Director 
of 
Vesivek 
Tuotteet 
Oy 
and 
Tuusulan 
Peltikeskus 
Oy 
(over 
30 
years) 
●
 
Jani Jylhä, Managing Director of Vesivek 
Sverige AB (eight years) 
●
 
Antti Asteljoki, Chief Operative Officer of Vesivek 
Oy and Vesivek Salaojat 
Oy (one year) 
●
 
Jari Raudanpää, Group CFO (six years) 
 
Based on the Group’s 
sustainability targets, the 
management teams of the 
Group’s business areas 
prepare their 
own 
sustainability 
targets 
for 
approval 
by 
the 
Group's 
management 
team. 
The 
directors 
of 
the 
business 
areas 
and 
Group 
companies 
are 
responsible 
for 
the 
implementation 
of 
the 
business 
area- 
and 
company-specific 
sustainability 
targets, 
and 
the 
achievement 
of 
the 
targets 
is 
monitored 
by 
the 
boards 
of 
directors 
of 
the 
Group 
companies and the 
management teams of 
the business areas. 
During the financial 
year 2025, themes 
related to 
sustainability 
reporting 
and 
the 
progress 
of 
sustainability 
reporting 
were 
on 
the 
agenda 
of 
the 
meetings 
of 
the 
Group's management team, with reviews presented by the Group 
CFO 
and sustainability specialists. 
Sustainability working group 
At 
the 
beginning 
of 
the 
financial 
year 
2025, 
the 
Group 
CEO 
assigned 
the 
Group 
CFO 
the 
task 
of 
promoting 
compliance with 
the requirements 
of the 
Corporate Sustainability 
Reporting Directive 
and designated 
the Group 
CFO as the 
person responsible for 
the sustainability project. 
The CFO reported 
to the management 
team on the 
progress 
of 
the 
project 
and 
the 
themes 
on 
a 
regular 
basis. In 
August 
2024, 
the 
Group recruited 
a Quality 
and 
Sustainability Director 
from outside 
the organisation. 
The person 
in question 
has several 
years of 
experience in 
the development of quality 
and sustainability in the 
real estate and construction 
sector. During 
the financial year, 
the 
Group’s 
sustainability 
working 
group 
included, 
in 
addition 
to 
the 
Group 
CFO 
and 
the 
Quality 
and 
Sustainability 
Director, 
a 
sustainability 
specialist 
who 
had 
deepened 
their 
expertise 
in 
sustainability-related 
themes alongside their other duties in 2023–2024. 
Starting from 
August 2024, 
the sustainability 
working 
group met 
regularly, 
several times 
per month, 
to promote 
sustainability reporting. 
Key persons 
from the company's 
various functions and 
areas of responsibility 
were also 
engaged in 
the group's 
work. The 
aim of 
the working 
group is 
to increase 
internal training 
in and 
understanding 
of 
sustainability 
themes 
by 
first 
engaging 
the 
commitment 
of 
the 
Group's 
management 
teams 
and 
operative 
management and subsequently 
engaging the commitment 
of teams and 
individuals throughout 
the organisation. 
The 
aim 
of 
developing 
the 
competence 
of 
the 
working 
group 
is 
to 
increase 
understanding 
of 
and 
train 
the 

 
19 
personnel 
in 
the 
key 
themes 
identified 
on 
the 
basis 
of 
the 
company’s 
double 
materiality 
assessment 
and 
the 
related risks and opportunities. 
Governance 
HLRE Holding 
Oyj's Board 
of Directors 
and the 
Group CEO 
are responsible 
for the 
governance of 
the Vesivek 
Group. 
Good 
governance 
at 
HLRE 
Holding 
Oyj 
is 
ensured 
through 
clear 
management 
and 
internal 
control 
at 
every level. The Company’s auditor is responsible 
for the Company’s external audit. 
GOV-2 
– 
Information 
provided 
to 
and 
sustainability 
matters 
addressed 
by 
the 
undertaking’s 
administrative, management and supervisory bodies 
The 
Group's 
management 
team 
regularly 
reviews 
the 
Company’s 
sustainability 
strategy 
and 
targets 
in 
its 
meetings and 
keeps the 
Board of 
Directors and 
Audit Committee 
informed of 
progress. For 
example, company-
specific 
sickness 
absences 
and 
accidents 
are 
discussed 
regularly 
in 
the 
management 
team's 
meetings, 
presented 
by 
the 
Group’s 
HR 
Director. 
The 
Group’s 
sustainability 
working 
group 
prepares 
and 
updates 
the 
company’s double 
materiality assessment 
annually and 
presents it 
to the 
Group's management 
team, which, 
in 
turn, ensures and is responsible for 
the alignment of the strategy and the 
double materiality assessment and that 
the targets 
are in 
line with 
the Group’s 
long-term objectives. 
The Group's 
management team, 
together with 
the 
CEO, is also responsible for presenting this information to the 
Group's Board of Directors on a regular basis. 
The 
Group's 
management 
team 
discussed 
the 
following 
topics 
in 
its 
meetings 
during 
the 
financial 
year 
that 
ended on 31 January 2025: 
●
 
Results of the double materiality assessment 
●
 
The planning the Group’s sustainability strategy 
●
 
The Group’s sustainability targets 
●
 
Workplace accidents 
The Group's 
management team 
has presented 
the aforementioned 
matters to 
the Board 
of Directors 
during the 
financial year. 
GOV-3 Integration of sustainability-related performance in incentive 
schemes 
The Group 
did not 
have remuneration 
schemes linked 
to sustainability 
themes and 
targets in 
the financial 
year 
2025. 
The 
Group 
is 
in 
the 
early 
stages 
of 
developing 
a 
remuneration 
model 
that 
would 
take 
sustainability-related 
targets into account during the financial year 2027. 
GOV-5 Risk management and internal controls over 
sustainability reporting 
The identification and assessment of Vesivek's 
sustainability-related impacts, risks and 
opportunities is based on 
a 
materiality 
assessment 
and 
annual 
business 
planning. 
The 
reviews 
cover 
the 
assessment 
of 
sustainability-
related impacts, 
risks 
and 
opportunities, 
and 
integrate 
them 
into business 
planning and 
strategic development. 
Key 
sustainability 
risks 
are 
identified 
and 
analysed 
through 
an 
operating 
environment 
analysis, 
taking 
into 
account the operating 
environment, the company’s 
internal processes 
and various value 
chain participants. 
This 
process supports the 
Group’s ability 
to react quickly 
to changing circumstances 
and anticipate future 
challenges 
and opportunities. 

20 
The communication 
of sustainability 
risks, impacts 
and opportunities 
has been 
integrated into 
Vesivek’s 
general 
communications. Impacts, 
risks and 
opportunities are 
communicated to 
different levels 
of the organisation, 
such 
as business units, management and the Board of Directors. 
Particular attention is paid to identifying strategically 
significant 
opportunities 
that 
promote 
sustainable 
development 
and 
support 
the 
realisation 
of 
the 
company’s 
long-term values. 
This ensures 
that sustainability 
targets are 
integrated into 
operational functions 
and guide 
the 
Group’s sustainable growth and profitability. 
The identification of risks related to sustainability reporting 
is the responsibility of the Group's management 
team, 
which 
reports 
on 
the 
risks 
to 
the 
Group's 
Board 
of 
Directors. 
There 
is 
no 
separate 
organisation 
for 
risk 
management. 
Instead, 
the 
Group's 
management 
team 
delegates 
responsibility 
in 
accordance 
with 
the 
organisation’s 
division 
of 
responsibilities. 
Risks 
are 
reviewed 
regularly 
by 
the 
management 
team 
and 
at 
least 
once a year by the 
Board of Directors and 
the Audit Committee in 
connection with the strategy 
process. The aim 
is to 
identify factors 
that affect 
the Group’s 
values and 
strategic objectives, 
and to 
assess short- 
and long-term 
impacts, risks 
and opportunities. 
At the same 
time, the 
impacts of 
the company’s 
operations on the 
surrounding 
society and the environment are assessed. 
The identification 
of 
impacts, 
risks 
and opportunities 
is 
based on 
an 
operating 
environment 
analysis 
that takes 
into account 
the market 
environment, key 
value chain 
participants and 
the company’s 
own business 
operations 
in 
the 
operating 
environment. 
In 
addition 
to 
the 
Group’s 
own 
functions, 
the 
analysis 
covers 
stakeholders 
and 
partners 
that 
affect 
the 
business. 
Particular 
attention 
is 
paid 
to 
the 
identification 
and 
utilisation 
of 
sustainable 
solutions. 
This 
process 
supports 
continuous 
improvement 
and 
strengthens 
the 
Group’s 
ability 
to 
respond 
to 
changing market conditions and sustainability challenges. 
The 
Group 
company 
Vesivek 
Oy 
has 
ISO 
9001 
certification, 
and 
the 
aim 
is 
to 
expand 
the 
use 
of 
the 
quality 
standard to other Group companies in the coming years. 
SBM-1 Strategy, business 
model and value chain 
Vesivek 
focuses 
on 
roof 
and 
drainage 
renovations 
and 
the 
development, 
manufacture, 
sale 
and 
installation 
of 
rainwater 
systems 
for 
single-family 
and 
terraced 
homes. 
Customers 
include 
consumers 
who 
own 
single-family 
homes, housing 
companies, 
construction companies, 
prefabricated house 
factories and 
public-sector 
entities in 
Finland 
and 
Sweden. 
Vesivek 
had 
an 
average 
of 
735 
employees 
(FTE) 
in 
the 
financial 
year 
that 
ended 
on 
31 
January 
2025, 
of 
whom 
640 
were 
based 
in 
Finland 
and 
95 
in 
Sweden. 
Turnover 
amounted 
to 
approximately 
EUR 103 million. 
Vesivek 
has a 
supply chain 
that is 
under its 
control, which 
enables the 
company to 
improve the 
efficiency 
of its 
operations and 
influence its 
logistics. In 
installation work, 
the principle 
is to 
bring the 
required 
goods to 
the site 
as 
needed, 
and 
to 
take 
waste 
out 
when 
leaving. 
In 
addition, 
the 
Company’s 
new 
sales 
model 
helps 
the 
Company avoid unnecessary driving by car, 
as meetings can be better targeted to the same area. 
Sustainable development is 
increasingly important to 
Vesivek’s 
customers and stakeholders, 
and Vesivek 
wants 
to be 
a market 
pioneer by 
seeking and 
providing solutions. 
Vesivek’s 
services extend 
the life 
cycle of 
buildings. 
In 
addition 
to 
focusing 
on 
properties, 
the 
Company 
has 
also 
focused 
significantly 
on 
the 
safety 
of 
employees, 
both during installation work and in factory work. 
One 
critical 
solution 
that 
is 
of 
relevance 
to 
sustainability 
reporting 
is 
a 
carbon-neutral 
steel, 
which 
is 
under 
development by 
the steel 
supplier. 
Commencing the 
production of 
carbon-neutral 
steel is 
not in 
the Company’s 
own 
hands. 
The 
wider 
deployment 
of 
biodiesel 
in 
the 
Company’s 
own 
operations 
is 
largely 
dependent 
on 
the 
Company’s financial performance and financial capacity. 
 
Vesivek 
set 
the 
following 
targets 
related 
to 
its 
material 
themes 
during 
the 
financial 
year 
that 
ended 
on 
31 
January 2025: 

 
21 
●
 
Replace 10% of diesel with biodiesel when compared 
to the financial year 2024 
●
 
The Group’s waste recycling rate target is over 70% 
●
 
Reduce Vesivek Oy's 
accident frequency to less than 50 
●
 
Obtain 
the 
verified 
commitment 
of 
80% 
of 
the 
Company's 
employees 
to 
the 
Group's 
Code 
of 
Conduct 
during the financial year 2026. 
Vesivek’s 
sustainability work 
is based on 
our values: Attitude, 
Together, 
Results. Corporate 
responsibility is 
part 
of the Company’s 
strategy, 
and sustainability 
is part of 
our day-to-day 
operations. It 
is based on 
comprehensive 
value chain management, 
as the supply chain 
is largely under the 
Company's own control 
and thus provides 
the 
Company 
with 
the 
opportunity 
to 
influence 
its 
logistics. 
In 
addition, 
with 
the 
help 
of 
its 
own 
production 
and 
installation 
operations, 
the 
Company 
aims 
to 
operate 
sustainably 
and 
develop 
renovation 
operations 
in 
accordance 
with 
the 
concept, 
and 
to 
help 
customers 
with 
problems 
related 
to 
external 
moisture 
control 
for 
properties. 
In 
the 
financial 
year 
2025, 
Vesivek 
further 
specified 
its 
sustainability 
programme 
and 
sustainability 
and 
environmental 
policy. 
Vesivek 
wants 
to 
be 
active 
in 
sustainability 
matters, 
taking 
financial 
realities 
into 
consideration, 
and 
it 
collaborates 
with 
stakeholders 
on 
these 
issues. 
During 
the 
financial 
year 
2024, 
we 
discussed 
the 
most 
important 
themes 
with 
key 
stakeholders. 
Discussions 
were 
held 
with 
major 
customers, 
suppliers, financial institutions and owners. 
The scope 
of reporting 
covers the 
entire Group, 
including all 
companies in 
which the Group 
directly or 
indirectly 
holds 
more 
than 
50 
per 
cent 
of 
the 
voting 
rights, 
unless 
otherwise 
stated 
in 
connection 
with 
the 
reported 
information. 
Value chain 
With regard 
to Vesivek’s 
operating environment, 
the company 
is affected 
by natural 
resources and 
materials in 
the upstream 
value chain, 
as well 
as suppliers 
and the 
megatrends of 
climate change, 
the changing 
regulatory 
environment and 
sustainable construction. 
In terms 
of suppliers, 
the Company's 
upstream value 
chain consists 
largely 
of 
raw 
materials 
collected 
from 
natural 
resources. 
Consequently, 
the 
Company’s 
operations 
consume 
natural resources, and 
since the most 
significant ore deposits 
are largely found 
in third countries, 
there is also 
a 
risk of human rights violations related to working 
conditions, among other things. The Company 
strives to identify 
alternative 
materials 
made 
from 
recycled 
raw 
materials 
and 
maintains 
dialogue 
on 
working 
conditions 
in 
the 
upstream 
value 
chain. 
In 
these 
respects, 
the 
Company’s 
access 
to 
information 
is 
largely 
in 
the 
hands 
of 
suppliers. It 
should 
also be 
noted that 
the 
majority 
of the 
Company’s 
CO2 emissions 
are related 
specifically 
to 
the 
raw 
materials 
purchased 
by 
the 
Company. 
The 
Company 
strives 
to 
reduce 
its 
emissions 
through 
the 
sustainable procurement of raw materials. 
Vesivek's 
operations 
are 
highly 
dependent 
on 
the 
personnel. 
With 
this 
in 
mind, 
the 
Company 
recognises 
a 
significant 
personnel-related 
risk 
related 
to 
the 
occupational 
safety 
of 
employees 
and 
personnel 
turnover. 
The 
Company 
also 
recognises 
that 
its 
fleet 
of 
vehicles 
accounts 
for 
the 
majority 
of 
the 
emissions 
generated 
by 
its 
own 
operations. 
In 
the 
Company's 
own 
operations, 
emphasis 
is 
placed 
on 
leadership 
and 
people, 
as 
well 
as 
resources and 
services. Responsible 
management and 
personnel well-being 
promote social 
sustainability, 
well-
being at 
work, equality 
and safety. 
The services 
provided by 
the company 
also have 
an impact 
on the condition 
of customers’ properties and healthy and safe living. 
The 
direct 
outputs 
of 
the 
Company’s 
operations, 
the 
downstream 
value 
chain, 
are 
reflected 
in 
the 
solutions 
offered to 
customers and 
partnerships, such 
as long-lasting 
and safe 
buildings. The 
Company’s 
operations 
are 
based on 
the renovation 
of buildings, 
which extends 
their service 
life, as 
well as 
sustainability themes, 
such as 
climate 
change 
mitigation 
and 
the 
recycling 
of 
materials 
from 
renovation 
sites. 
Sustainably 
designed 
and 
built 

 
22 
products 
reduce 
life-cycle 
environmental 
impacts, 
such 
as energy 
consumption 
and 
waste. 
They 
also 
promote 
safety and comfortable living, which improves quality of 
life for customers and society. 
The 
indirect 
impacts 
of 
the 
Company's 
operations 
extend 
to 
the 
environment, 
society 
and 
stakeholders. 
The 
Company’s 
operations 
promote 
environmental 
responsibility 
and 
support 
society's 
well-being 
in 
the 
form 
of 
healthy 
properties 
and 
the 
renewal 
of 
cityscapes. 
Long-lasting 
buildings 
reduce 
the 
need 
for 
repairs 
and, 
consequently, 
the 
use 
of 
natural 
resources. 
Positive 
impacts 
are 
created 
for 
different 
stakeholders 
through 
increased employment opportunities. Open communication 
and sustainable operations improve stakeholder 
trust 
and increase 
the company’s 
social acceptance. 
This strengthens 
the brand 
and enables 
long-term growth. 
This 
way, 
different 
parts 
of 
the 
value 
chain 
are 
reflected 
in 
broader 
sustainability-related 
challenges 
and 
opportunities. 
The Company does not have access to detailed data for 
assessing the upstream or downstream value chain. 
SBM-2 Interests and views of stakeholders 
Interests and views of stakeholders 
Vesivek engaged 
in discussions with its 
stakeholders as part 
of the double materiality 
assessment. The aim 
was 
to 
select 
stakeholders 
so 
that 
they 
represent 
all 
of 
the 
most 
significant 
sectors 
in 
the 
company’s 
value 
chain: 
suppliers, 
customers, 
owners 
and 
financing 
providers. 
A 
questionnaire 
was 
first 
sent 
to 
the 
stakeholder 
representatives, and a discussion was 
subsequently held with them 
on the basis of the questionnaire. 
In addition, 
the Company has incorporated sustainability into discussions held 
with various stakeholders. 
Stakeholder feedback is actively 
compared with the results 
of the company’s own 
double materiality assessment. 
During 
the 
financial 
year 
1 
February 
2024–31 
January 
2025, 
the 
views 
were 
aligned 
to 
a 
good 
extent. 
The 
results of 
the surveys 
have also 
been discussed 
in meetings 
of the 
Group's management 
team, and 
they have 
been presented to the Group's Board of Directors. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
23 
Stakeholders 
Stakeholder engagement 
Themes important to stakeholders 
Impact on stakeholders 
Owners, financing 
providers 
Board of Directors 
Profitable business 
Profitable business 
Financing providers: Danske 
Bank Oyj, Sentica Partners Oy 
Value creation for customers and 
society 
New investments 
Materiality assessment 
A healthy and diverse work community 
Sustainability programme 
Occupational health and safety 
Personnel 
Personnel survey 
Occupational health and safety 
Safety management models 
Cooperation group 
Competence development 
Academy and training system 
Occupational safety 
observations and occupational 
safety and health 
Governance 
Management system 
Whistleblowing channel 
Materiality assessment 
Customers, consumers, 
end-users 
Consumer customers 
Sustainable products and services 
Quality of products and 
services 
Customer accounts: Kesko Oyj, 
Quality 
Health and safety at work 
HSB AB in Sweden 
Safety 
Governance, transparency 
Customer experience surveys 
Transparency, 
governance and 
personnel policy 
Customer feedback forms 
Contact forms on websites 
Brand and reputation survey 
Suppliers and supply 
chain participants 
Suppliers: SSAB 
Occupational safety and health 
Safety management 
Whistleblowing channel 
Climate change and CO2 emissions 
Governance 
Materiality assessment 
Sustainability of the supply chain 
Assessment of sustainability 
and environmental issues, and 
measures 
Bilateral meetings 
Decision-makers, joint 
administrative entities 
Bilateral meetings 
Climate change mitigation 
External moisture control 
solutions 
Events, seminars 
Governance 
Whistleblowing channel 
Cooperation with 
educational institutions, 
research 
Cooperation projects and 
events 
Training and competence 
Development projects 
Recruitment cooperation 
Enabling employment 
Training cooperation 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
24 
Thesis opportunities and 
internships 
Development cooperation 
Jobs and internships 
SBM-3 Material impacts, risks and opportunities and their interaction 
with strategy and business model 
Sub-topic and IRO 
Type 
Part of the 
value chain 
Time 
horizon 
E1 Climate change mitigation - 
Risk 
Company's own 
operations, 
Downstream 
Long-term 
Reducing CO2 emissions; Vesivek’s business causes high CO2 
emissions 
E1 Climate change mitigation - 
Negative 
impact 
Upstream and 
company's own 
operations 
Short-, 
medium- and 
long-term 
The operations cause emissions 
E1 Climate change mitigation - 
Opportuni- 
Company's own 
operations, 
Downstream 
Long-term 
The increasing prevalence of climate change and the opportunities 
it presents for the business 
ty 
E5 Resource inflows, including resource use - Availability of raw 
materials. Vesivek’s business operations are largely based on a 
small number of core raw materials 
Risk 
Upstream and 
company's own 
operations 
Long-term 
E5 Resource inflows, including resource use - Availability of raw 
materials; Vesivek is working with SSAB on developing fossil-free 
steel that reduces the use of the primary raw material 
Positive impact 
Upstream and 
company's own 
operations 
Medium- and 
long-term 
E5 Waste - Waste recycling - Vesivek’s 
construction sites generate 
large amounts of various waste, the incorrect sorting of which could 
lead to increased waste management fees. It must also be taken 
into account that asbestos is among the waste fractions generated 
at properties, and its appropriate handling is important from a safety 
perspective 
Risk 
Company's own 
operations 
Long-term 
E5 Waste - Waste recycling - Appropriate waste processing and 
recycling has a positive impact on the environment 
Positive impact 
Company's own 
operations 
Long-term 
S1 Work-life balance – Personnel turnover. Vesivek 
has high 
personnel turnover, especially in sales and installation operations. 
This poses a financial risk 
Risk 
Company's own 
operations 
Medium-term 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
25 
 
S1 Health and safety - Occupational safety Significant especially in 
the roof industry and factory work. Workplace accidents cause harm 
and health-related consequences to the employee in particular. 
They also cause reputational damage to the Company, as well as 
financial risks in the form of lost sales, absences and potential fines. 
Risk and 
negative 
impact 
Company's own 
operations 
Medium-term 
S2 Health and safety - Safety and working conditions of value chain 
workers - The raw materials that go into the materials used by the 
Company largely originate from third countries, which means that 
issues related to the safety and working conditions of value chain 
workers may be of concern and can potentially cause reputational 
damage to Vesivek. 
Negative 
impact 
Upstream 
Long-term 
S2 Other work-related rights - Rights of value chain workers 
- The 
raw materials that go into the materials used by the Company 
largely originate from third countries, which means that issues 
related to the safety and working conditions of value chain workers 
may be of concern and cause reputational damage to Vesivek. 
Negative 
impact 
Upstream 
Long-term 
S4 Personal safety of consumers or end-users - Improvement of 
Vesivek’s customers’ properties - Vesivek 
provides its customers 
with external moisture control services for properties, which help to 
extend the service life of the customer’s property 
Positive impact 
Upstream 
Long-term 
G1 Corporate culture - Vesivek’s Code of Conduct - Violations of 
the Code of Conduct, with regard to bribery, for example, may pose 
a financial risk for Vesivek. 
Risk 
Upstream, 
Company's own 
operations, 
Downstream 
Long-term 
G1 Corporate culture - Vesivek’s Code of Conduct - Engaging the 
personnel's commitment to the Code of Conduct promotes the 
improvement of the corporate culture 
Positive impact 
Company's own 
operations 
Medium-term 

26 
More detailed information on the themes is provided under each 
theme. 
Vesivek has 
not prepared a 
comprehensive resilience 
analysis on the 
sustainability of the 
strategy and business 
model and 
the ability 
to respond 
to all 
identified impacts 
and risks. 
The Company 
reports on 
potential observed 
impacts 
and 
risks 
under 
each 
theme 
on 
a 
case-by-case 
basis. 
The 
Company 
has 
not 
identified 
the 
financial 
effects 
of 
the 
material 
risks 
and 
opportunities 
on 
its 
financial 
position, 
financial 
performance 
and 
cash 
flows 
during the reporting period. 
Vesivek’s 
operating 
environment 
is 
affected 
by 
natural 
resources 
and 
materials, 
partners, 
the 
increasing 
prevalence of climate 
change, sustainable 
development, construction 
and the regulatory 
environment. Vesivek’s 
strategy 
and 
sustainability 
programme 
take 
into 
account 
the 
challenges 
of 
the 
operating 
environment 
while 
creating new opportunities to adapt and succeed 
in a changing operating environment. The sustainability 
themes 
that guide the Company’s operations 
and the Company’s sustainability programme 
in its entirety are available on 
the Company’s website. 
Based 
on 
the 
double 
materiality 
assessment, 
target-based 
actions 
include 
the 
reduction 
of 
CO2 
emissions, 
waste 
sorting, 
extending 
the 
life 
cycle 
of 
buildings 
through 
property 
improvements, 
a 
diverse 
workplace 
community 
with 
a 
high 
level 
of 
well-being, 
taking 
into 
account 
work-life 
balance 
and 
occupational 
health 
and 
safety, 
and, 
in 
business 
conduct, 
corporate 
culture 
in 
accordance 
with 
the 
values, 
Code 
of 
Conduct 
and 
governance 
practices 
approved 
by 
the 
parent 
company's 
Board 
of 
Directors. 
In 
relation 
to 
these 
actions, 
the 
Company 
has 
set 
Vesivek 
Oy 
a 
recycling 
rate 
target 
of 
over 
70% 
and, 
regarding 
occupational 
safety, 
an 
accident frequency target of less than 
50 for the financial year 2025. In 
addition, the Company has set a target 
of 
obtaining a 
commitment to 
the Code 
of Conduct 
from 80% 
of the 
personnel during 
the financial 
year 2026. 
The 
Company’s target for the financial 
year that ended on 31 January 
2025 was to increase the use of 
biodiesel in its 
own 
fleet 
by 
10%, 
but 
the 
Company 
was 
unable 
to 
achieve 
this 
target 
due 
to 
the 
financial 
situation. 
The 
Company also intends to set other targets in the coming 
years. 
Vesivek engages 
in purposeful development 
efforts to promote 
sustainable action 
in its business 
operations and 
achieve the 
set targets. 
We 
are committed 
to the 
continuous 
development 
of service 
quality, 
sustainability 
and 
our 
operations 
both 
within 
our 
organisation 
and 
in 
cooperation 
with 
partners. 
This 
way, 
we 
promote 
change 
throughout our value chain. 
Our services 
extend the 
life cycle 
of buildings, 
which allows 
us to 
influence the 
environmental impact 
and slow 
down climate 
change. We 
also promote 
the well-being 
of society 
and people 
through employment 
and industry 
development.
⁠
 
People 
– 
customers, 
employees 
and 
partners 
– 
are 
at 
the 
heart 
of 
our 
business. 
We 
want 
to 
create 
a 
better 
quality of life for people by keeping properties safe and healthy. 
IRO-1 Double materiality assessment 
The 
company’s 
double 
materiality 
assessment 
was 
carried 
out 
in 
two 
parts: 
the 
first 
part 
was 
conducted 
in 
autumn 2023, 
and the 
assessment was 
specified 
further in 
summer 2024. 
The participants 
in Vesivek's 
double 
materiality assessment 
included the 
Group's management 
team, along 
with representatives 
of the 
management 
team 
of 
Vesivek 
Oy/Vesivek 
Salaojat 
Oy, 
Group 
administration 
and 
unit 
management. 
This 
provided 
representation from all 
of the most 
significant areas: sales, 
marketing, administration, 
business units, the 
factory 
and the purchasing function. The analysis was also discussed 
by the Board of Directors in autumn 2023. 
In 
separate 
working 
group 
meetings 
held 
in 
autumn 
2023, 
the 
aforementioned 
working 
group 
was 
tasked 
with 
defining the 
Company's 
material themes 
related to 
the three 
themes 
of sustainability: 
environment, 
people 
and 
society, 
and governance. 
Based on the 
meetings, a 
"long list" 
of sustainability 
themes was 
first compiled 
for the 
three 
overarching 
themes. 
The 
themes 
were 
linked 
to 
the 
ESRS 
standards, 
and 
related 
assessments 
were 

 
 
27 
carried out on the basis of 
the working group's proposals. 
The material themes were selected 
based on the most 
significant themes for the Company's operations, such 
as occupational safety, 
waste recycling, and the reduction 
of 
CO2 
emissions, 
particularly 
with 
the 
help 
of 
carbon-free 
steel. 
The 
proposals 
were 
then 
reviewed 
with 
key 
stakeholders 
to have 
their 
views complement 
the 
Company's 
own views. 
The Group's 
management 
team 
then 
confirmed the 
assessments, and 
the Group 
CEO presented 
the assessments 
to the 
Group's Board 
of Directors 
in autumn 2024 for final approval. 
To 
identify 
the 
material 
sustainability-related 
themes, 
each 
theme 
was 
assessed 
according 
to 
the 
principle 
of 
double 
materiality, 
from 
the 
perspective 
of 
impact 
materiality 
and 
financial 
materiality, 
while 
taking 
risks 
and 
opportunities into consideration. 
For 
climate-related 
themes, 
the 
impacts 
of 
actions, 
as 
well 
as 
physical 
risks 
and 
associated 
risks, 
were 
addressed. 
The 
relationship 
between 
the 
Company's 
business 
operations 
and 
the 
identified 
risks 
and 
opportunities was also reviewed in connection with this. 
The Company 
first considered 
its own 
operations and 
determined that 
its own 
vehicles are 
the most 
significant 
source of 
emissions. Expanding 
the assessment 
to include 
the supply 
chain, it 
was determined 
that purchased 
raw materials, and purchased steel in particular, 
are the most significant source of emissions. 
The Company examined impacts in the short 
term (the financial year), the medium term 
(1–5 years) and the long 
term (5–10 years). 
E1 Climate change 
The Company 
has noted 
that climate 
change 
has a 
significant impact 
on its 
installation 
operations. Demand 
is 
generally expected to 
increase, as 
properties are exposed 
to higher moisture 
loads due to 
increasing rainfall. 
At 
the same 
time, shorter 
periods 
of snow 
cover 
will 
extend 
installation 
months 
with 
favourable 
conditions 
for 
the 
Company. 
However, it 
should be noted that 
periods of hot summer 
weather and increasing winds 
can also make 
installation operations more difficult. 
The entire 
Group’s 
business 
is largely 
based on 
steel, which 
involves risks. 
Steel production 
causes significant 
CO2 
emissions, 
and 
if 
the 
pricing 
of 
emissions 
becomes 
tighter, 
it 
can 
pose 
financial 
challenges 
for 
the 
Company. 
In its analysis, 
the Company 
used generally known 
assumptions, based 
on which 
the Company determined 
that 
global warming 
will cause 
warming in 
the Nordic 
countries, particularly 
during the 
winter months, 
and increased 
rainfall and 
storms, especially 
in the 
long term. 
The Company 
recognises that 
the same 
phenomena may 
occur 
in the 
short 
and 
medium term 
in some 
years. However, 
the assessments 
are not 
based on 
any official 
climate 
model, and scenario analyses were not utilised in the 
assessments. 
More 
detailed 
assessments 
of 
the 
physical 
risks 
and 
transition 
risks 
related 
to 
climate 
change 
are 
provided 
in 
paragraph 
E1-SBM-3. 
The 
Company 
assessed 
its 
own 
operations 
comprehensively, 
from 
installation 
work 
to 
factory 
work. 
The 
most 
significant 
impacts 
are 
related 
to 
installation 
work, 
as 
it 
is 
carried 
out 
outdoors. 
The 
Company has not assessed potential physical risks to 
its business premises at this stage. 
E5 Resource use and circular economy 
In 
connection 
with 
the 
double 
materiality 
assessment 
and 
stakeholder 
interviews, 
the 
company 
also 
reviewed 
the use 
of raw 
materials and 
the recycling 
of waste. 
In connection 
with this, 
it was 
noted that 
the raw 
materials 
used 
by 
Vesivek 
are 
largely 
processed 
from 
non-renewable 
raw 
materials 
and 
cannot, 
for 
the 
time 
being, 
be 
manufactured 
from 
recycled 
raw 
materials, 
with 
the 
exception 
of 
the 
aluminium 
used 
by 
the 
Company. 
In 
the 
future, the Company intends 
to promote discussions with 
suppliers on increasing 
the share of recycled 
materials 
in products. With regard to waste treatment, it was noted 
that the Company is at a good level. 
The 
waste 
generated 
by 
the 
Group’s 
operations 
can 
be 
effectively 
recovered, 
either 
by 
recycling 
it 
into 
secondary 
materials 
or 
by 
incinerating 
it 
for 
energy 
production. 
The 
only 
significant 
waste 
type 
that 
cannot 
be 

 
 
 
 
 
 
 
28 
recycled 
or 
incinerated 
for 
energy 
is the 
asbestos 
from 
demolished 
roofs. 
The 
use 
of 
asbestos 
in 
construction 
projects has been prohibited 
in Finland since 1994, 
but the Company's renovation 
projects will include asbestos-
containing 
buildings for 
decades 
to come. 
By removing 
asbestos 
at renovation 
sites, the 
Company 
engages 
in 
sustainable 
work 
to 
enable 
healthier 
living 
environments. 
The 
Group 
also 
has 
its 
own 
thermal 
power 
plant 
in 
Pirkkala, which utilises wood waste from installation sites. 
With regard 
to waste, 
the most 
significant risks 
are related 
to the 
processing of 
asbestos, which 
is subject 
to a 
permit. 
Vesivek 
Tuotteet 
also 
generates 
a 
relatively 
small 
amount 
of 
hazardous 
waste 
in 
its 
production 
operations. The disposal of the hazardous waste is handled by 
waste management companies. 
Vesivek 
uses steel 
as a 
raw material 
to a 
significant 
extent in 
its operations. 
The 
price and 
availability 
of steel 
have 
significant 
impacts 
on 
Vesivek’s 
operations. 
With 
this 
in 
mind, 
Vesivek 
has 
engaged 
in 
sustained 
cooperation 
with 
its 
long-term 
supplier, 
SSAB, 
and 
also 
aims 
to 
develop 
its 
own 
procurement 
activities 
in 
the 
short term to better prepare for changing society and market 
conditions. 
Double materiality assessment methods 
The themes of the double materiality assessment were assessed 
on the basis of the following criteria: 
Impact assessment
 
1. Significance of the impact, scale 1–5 
5 - very severe impact (e.g. death in the context of a workplace 
accident), 
1- very small impact 
2. Scope of the impact, scale 1–5 
5- Very large, global 
1- Only really affects a single person/company 
3. Remediability, scale 
1–5 
5- Very difficult to remediate 
1- Can be remediated quickly with a small change 
4. Likelihood, 0.1–1 
1. Certain to happen 
0.1 Unlikely to ever happen 
Financial effect assessment 
 
1. Scale of financial effect, scale 1–5 
The limits in euros were determined according to the scale of 
the Group’s business 
5., EUR >2 million 
4., EUR 200 thousand–EUR 2 million 
3., EUR 50 thousand–EUR 200 thousand 

 
 
29 
2., EUR 10 thousand–EUR 50 thousand 
1., < EUR 10 thousand 
2. Likelihood, 0.1–1 
1. Certain to happen 
0.1 Unlikely to ever happen 
The 
materiality 
threshold 
was 
6.5 
points 
for 
impact 
materiality 
and 
3 
points 
for 
the 
financial 
effect. 
If 
a 
theme 
received 
a 
score 
at 
the 
boundary 
or 
above, 
the 
theme 
was 
determined 
to 
be 
material 
from 
the 
Company's 
perspective. 
The time horizons were defined 
as short-term (one financial 
year), medium-term (1–5 years) 
and long-term (over 
5 years). 
Results of the double materiality assessment 
In 
Vesivek's 
double 
materiality 
assessment, 
the 
Company 
identified 
impacts 
on 
the 
environment 
and 
society 
(impact materiality assessment), 
as well as financial 
effects. The topics 
and themes are linked 
to the Company’s 
strategy 
and 
business 
model. 
The 
following 
topics 
were 
identified 
as 
material 
ESRS 
topics 
as 
a 
result 
of 
the 
double materiality assessment: 
 
●
 
E1, climate change 
●
 
E5, resource use and circular economy 
●
 
S1, own workforce 
●
 
S2, workers in the value chain 
●
 
S4, consumers and end-users, and 
●
 
G1, business conduct 
The measures related to the themes are described in the “Measures” 
section under each theme. The 
development of the impacts observed by the Company is directly 
related to the Company’s financial 
performance and financial position. One example of this 
is the development of vehicles to be powered by 
biofuel, or even a partial transition to fully electric vehicles, 
which is related to climate change mitigation. The 
Company has not identified impact-related risks concerning 
changes in carrying values during the financial 
year. 
The Company has positioned the identified topics in its 
own processes and, consequently, 
its risk and 
opportunity management processes. The Company’s 
sustainability working group reports on the themes to 
the Company’s management on a regular basis, 
and the Company’s management updates the strategy 
and 
business models accordingly. 
The information used in the Company’s double 
materiality assessment was 
obtained internally as a result of the Company's own analysis, 
but the information is in line with the views of 
stakeholders. 
 
Themes that are non-material in terms of impacts and 
likelihood 
 
Pollution 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
30 
Material impacts, risks and opportunities related to pollution 
With regard to pollution, the most significant risks are related to 
Vesivek’s Orimattila 
production plant and, in 
particular, its paint shop operations. 
The washing processes at the Orimattila paint 
shop use strong 
chemicals, combined with water, 
to remove zinc from products. However, 
the water from the paint shop's 
washing processes is purified comprehensively enough to 
allow it to be discharged into the municipal sewer 
system. The Group has an environmental permit for this 
purpose. Another plant that requires an 
environmental permit is the Pirkkala thermal plant. However, 
the plant does not process any waste other 
than demolished wood and bricks from installation sites, and 
the impact and likelihood are not material. In 
addition, appropriate emission measurements have been carried 
out on the emissions of the thermal plant. 
Measures and policies 
At Vesivek Tuotteet, 
wastewater samples are regularly taken from the 
water discharged from the paint shop, 
and the results are reported to the authorities. 
 
Water and marine resources 
Material impacts, risks and opportunities related to water 
and marine resources 
The Group’s own operations do not cause significant 
emissions to waterways. Renovations are carried out 
on dry land, and the building permits specify the safety 
distances between buildings and bodies of water. 
The Orimattila paint shop is the most significant in terms 
of water consumption, but even its consumption 
amounts only to approximately 2,000 m
3 
of water per year. In the Group’s 
value chain, the most significant 
water consumption is associated with the excavation of ores required 
for steel processing. 
 
Biodiversity and ecosystems 
Material impacts, risks and opportunities related to biodiversity 
and ecosystems 
There are no significant risks related to this topic in the 
Group’s own operations. The most significant 
impact 
arises in connection with drainage renovations, but the excavations 
are limited to the vicinity of the 
foundations of the buildings, which means that their environmental 
impact is very low. In 
the value chain, the 
most significant risk is associated with environmental emissions 
from mining activities and the loss of 
biodiversity. 
IRO 2 Disclosure requirements in ESRS covered by 
the undertaking’s sustainability report 
List of disclosure requirements included in the sustainability report 
Disclosure requirement 
Section 
ESRS-2 General disclosures 
BP-1 
General basis of preparation of the sustainability report 
ESRS 2; BP-1 
BP-2 
Disclosures in relation to specific circumstances 
ESRS 2; BP-2 
GOV-1 
The role of the administrative, management and supervisory 
bodies 
ESRS 2, GOV-1 
GOV-2 
Information provided to and sustainability matters addressed 
by the 
undertaking’s administrative, management and supervisory 
bodies 
ESRS 2; 
GOV-2 

 
31 
GOV-3 
Integration of sustainability-related performance in incentive schemes 
ESRS 2; 
GOV-3 
GOV-4 
Statement on sustainability due diligence 
The Company does not 
have 
GOV-5 
Risk management and internal controls over sustainability reporting 
ESRS 2; GOV-5 
SBM-1 
Strategy, business 
model and value chain 
ESRS 2; SBM-1 
SBM-2 
Interests and views of stakeholders 
ESRS 2; SBM-2 
SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
ESRS 2; SBM-3, E1; 
SBM-3, S1; SBM-3, S4; 
SBM-3 
IRO-1 
Description of the processes to identify and assess material 
impacts, 
risks and opportunities 
ESRS 2, IRO-1 
IRO-2 
Disclosure requirements in ESRS covered by the undertaking’s 
sustainability report 
ESRS 2 IRO-2 
Environmental information 
ESRS E1 Climate change 
ESRS 2, GOV-3 
Integration of sustainability-related performance in incentive schemes 
ESRS 2, GOV-3 
E1-1 
Transition plan for climate change mitigation 
E1; E1-1 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
E1; SBM-3 
ESRS 2, IRO-1 
Description of the processes to identify and assess material 
climate-
related impacts, risks and opportunities 
ESRS 2, IRO-1 
E1-2 
Policies related to climate change mitigation and adaptation 
E1; E1-2 
E1-3 
Actions and resources in relation to climate change policies 
E1; E1-3 
E1-4 
Targets 
related to climate change mitigation and adaptation 
E1; E1-4 
E1-5 
Energy consumption and mix 
E1; E1-5 
E1-6 
Gross Scopes 1, 2, 3 and Total 
GHG emissions 
E1; E1-6 
E1-7 
GHG removals and GHG mitigation projects financed through 
carbon 
credits 
Defined as non-material 
E1-8 
Internal carbon pricing 
Defined as non-material 
E1-9 
Anticipated financial effects from material physical 
and transition risks 
and potential climate-related opportunities 
E1; E1-9 
ESRS E2 Pollution 
ESRS 2, IRO-1 
Description of the processes to identify and assess material 
pollution-
related impacts, risks and opportunities 
Defined as non-material 
E2-1 
Policies related to pollution 
Defined as non-material 
E2-2 
Actions and resources related to pollution 
Defined as non-material

 
32 
E2-3 
Targets 
related to pollution 
Defined as non-material 
E2-4 
Pollution of air, water and soil 
Defined as non-material 
E2-5 
Substances of concern and substances of very high concern 
Defined as non-material 
E2-6 
Anticipated financial effects from pollution-related 
impacts, risks and 
opportunities 
Defined as non-material 
ESRS E3 Water and marine resources 
ESRS 2, IRO-1 
Description of the processes to identify and assess material 
water and 
marine resources-related impacts, risks and opportunities 
Defined as non-material 
E3-1 
Policies related to water and marine resources 
Defined as non-material 
E3-2 
Actions related to water and marine resources 
Defined as non-material 
E3-3 
Targets 
related to water and marine resources 
Defined as non-material 
E3-4 
Water consumption 
Defined as non-material 
E3-5 
Anticipated financial effects from water and marine 
resources-related 
risks and opportunities 
Defined as non-material 
ESRS E4 Biodiversity and ecosystems 
E4-1 
Transition plan and consideration of biodiversity 
and ecosystems in 
the strategy and business model 
Defined as non-material 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
Defined as non-material 
ESRS 2, IRO-1 
Description of processes to identify and assess material biodiversity 
and ecosystem-related impacts, risks and opportunities 
Defined as non-material 
E4-2 
Policies related to biodiversity and ecosystems 
Defined as non-material 
E4-3 
Actions and resources related to biodiversity and ecosystems 
Defined as non-material 
E4-4 
Targets 
related to biodiversity and ecosystems 
Defined as non-material 
E4-5 
Impact metrics related to biodiversity and ecosystems change 
Defined as non-material 
E4-6 
Anticipated financial effects from biodiversity and 
ecosystem-related 
risks and opportunities 
Defined as non-material 
ESRS E5 Resource use and circular economy 
ESRS 2, IRO-1 
Description of the processes to identify and assess material 
resource 
use and circular economy-related impacts, risks and opportunities 
ESRS 2, IRO-1 
E5-1 
Policies related to resource use and circular economy 
E5: E5-1

 
33 
E5-2 
Actions and resources related to resource use and circular economy 
E5: E5-2 
E5-3 
Targets 
related to resource use and circular economy 
E5: E5-3 
E5-4 
Resource inflows 
E5: E5-4 
E5-5 
Resource outflows 
E5: E5-5 
E5-6 
Anticipated financial effects from resource use and 
circular economy-
related risks and opportunities 
E5: E5-6 
Social information 
ESRS S1 Own workforce 
ESRS 2; SBM-2 
Interests and views of stakeholders 
ESRS 2; SBM-2 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
S1-SBM3 
S1-1 
Policies related to own workforce 
S1: S1-1 
S1-2 
Processes for engaging with own workers and workers’ 
representatives about impacts 
S1; S1-2 
S1-3 
Processes to remediate negative impacts and channels 
for own 
workers to raise concerns 
S1; S1-3 
S1-4 
Taking 
action on material impacts on own workforce, and approaches 
to mitigating material risks and pursuing material opportunities 
related 
to own workforce, and effectiveness of those actions 
S1; S1-4 
S1-5 
Targets 
related to managing material negative impacts, advancing 
positive impacts, and managing material risks and opportunities 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
S1-6 
Characteristics of the undertaking's employees 
S1; S1-6 
S1-7 
Characteristics of non-employee workers in the undertaking’s 
own 
workforce 
Defined as non-material 
S1-8 
Collective bargaining coverage and social dialogue 
Defined as non-material 
S1-9 
Diversity metrics 
Defined as non-material 
S1-10 
Adequate wages 
Defined as non-material 
S1-11 
Social protection 
Defined as non-material 
S1-12 
Persons with disabilities 
Defined as non-material 
S1-13 
Training and skills development metrics 
Defined as non-material 
S1-14 
Health and safety metrics 
S1; S1-14 
S1-15 
Work-life balance metrics 
Defined as non-material

 
34 
S1-16 
Compensation metrics (pay gap and total compensation) 
Defined as non-material 
S1-17 
Incidents, complaints and severe human rights impacts 
Defined as non-material 
ESRS S2 Workers in the value chain 
ESRS 2; SBM-2 
Interests and views of stakeholders 
ESRS 2; SBM-2 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
ESRS 2; SBM-3 
S2-1 
Policies related to value chain workers 
S2; S2-1 
S2-2 
Processes for communicating about impacts with employees 
in the 
value chain 
S2; S2-2 
S2-3 
Processes to remediate negative impacts and channels 
for value 
chain workers to raise concerns 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
S2-4 
Taking 
action on material impacts on value chain workers, 
and 
approaches to managing material risks and pursuing material 
opportunities related to value chain workers, and effectiveness 
of 
those actions 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
S2-5 
Targets 
related to managing material negative impacts, advancing 
positive impacts, and managing material risks and opportunities 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
ESRS S3 Affected communities 
ESRS 2; SBM-2 
Interests and views of stakeholders 
Defined as non-material 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
Defined as non-material 
S3-1 
Policies related to affected communities 
Defined as non-material 
S3-2 
Processes for engaging with affected communities 
about impacts 
Defined as non-material 
S3-3 
Processes to remediate negative impacts and channels 
for affected 
communities to raise concerns 
Defined as non-material 
S3-4 
Taking 
action on material impacts on affected communities, 
and 
approaches to managing material risks and pursuing material 
opportunities related to affected communities, and 
effectiveness of 
those actions 
Defined as non-material 
S3-5 
Targets 
related to managing material negative impacts, advancing 
positive impacts, and managing material risks and opportunities 
Defined as non-material 
ESRS S4 Consumers and end-users 
ESRS 2; SBM-2 
Interests and views of stakeholders 
ESRS 2; SBM-2

 
35 
ESRS 2; SBM-3 
Material impacts, risks and opportunities and their interaction 
with 
strategy and business model 
ESRS 2; SBM-3, S4; 
SBM-3 
S4-1 
Policies related to consumers and end-users 
S4; S1-4 
S4-2 
Processes for engaging with consumers and end-users 
about impacts 
S4; S1-2 
S4-3 
Processes to remediate negative impacts and channels 
for 
consumers and end-users to raise concerns 
Defined as non-material 
S4-4 
Taking 
action on material impacts on consumers and end-users, 
and 
approaches to managing material risks and pursuing material 
opportunities related to consumers and end-users, and 
effectiveness 
of those actions 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
S4-5 
Targets 
related to managing material negative impacts, advancing 
positive impacts, and managing material risks and opportunities 
Omitted in accordance 
with Appendix C of 
ESRS 1 General 
requirements 
Governance information 
ESRS G1 Business conduct 
ESRS 2, GOV-1 
The role of the administrative, management and supervisory 
bodies 
ESRS 2, GOV-1 
ESRS 2, IRO-1 
Description of the processes to identify and assess material 
impacts, 
risks and opportunities 
ESRS 2, IRO-1 
G1-1 
Corporate culture and business conduct policies and corporate 
culture 
G1; G1-1 
G1-2 
Management of relationships with suppliers 
Defined as non-material 
G1-3 
Prevention and detection of corruption and bribery 
Defined as non-material 
G1-4 
Confirmed incidents of corruption or bribery 
Defined as non-material 
G1-5 
Political influence and lobbying activities 
Defined as non-material 
G1-6 
Payment practices 
Defined as non-material 
Appendix B. List of data points in cross-cutting and topical standards 
that derive from other EU legislation 
Disclosu
re 
requirem
ent 
Data point 
Sustainability report 
SFDR reference 
Pillar 3 reference 
Benchmark Regulation 
reference 
EU Climate 
Law 
reference 
Section 
ESRS 2, 
GOV-1 
paragraph 
21 (d) 
Board's gender 
diversity 
Indicator number 13 
of Table #1 of Annex 
1 
Commission Delegated 
Regulation 
(EU) 2020/1816 (27), 
Annex II 
ESRS 2, 
GOV-1

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
36 
ESRS 2, 
GOV-1 
paragraph 
21 (e) 
Percentage of board 
members who are 
independent 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
ESRS 2, 
GOV-1 
ESRS 2, 
GOV-4 
paragraph 
30 
Statement on due 
diligence 
Indicator number 10 
Table #3 of Annex 1 
The 
Company 
does not 
have 
ESRS 2, 
SBM-1 
paragraph 
40 (d) i 
Involvement in activities 
related to fossil fuel 
activities 
Indicator number 4 
Table #1 of Annex 1 
Article 449a Regulation 
(EU) No 575/2013; 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Defined as 
non-
material 
Commission 
Implementing 
Regulation (EU) 
2022/2453(6) Table 1: 
Qualitative information 
on Environmental risk 
and Table 2: Qualitative 
information on Social 
risk 
ESRS 2, 
SBM-1 
paragraph 
40 (d) ii 
Involvement in activities 
related to chemical 
production 
Indicator number 9 
Table #2 of Annex 1 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Defined as 
non-
material 
ESRS 2, 
SBM-1 
paragraph 
40 (d) iii 
Involvement in activities 
related to controversial 
weapons 
Indicator number 14 
Table #1 of Annex 1 
Delegated Regulation 
(EU) 2020/1818(7), 
Article 12(1) Delegated 
Regulation 
(EU) 2020/1816, 
Annex II 
Defined as 
non-
material 
ESRS 2, 
SBM-1 
paragraph 
40 (d) iv 
Involvement in activities 
related to cultivation 
and production of 
tobacco 
Article 12(1) of 
Delegated Regulation 
(EU) 2020/1818, Annex 
II to Delegated 
Regulation (EU) 
2020/1816 
Defined as 
non-
material 
ESRS 
E1-1 
paragraph 
14 
Transition plan to reach 
climate neutrality by 
2050 
Article 2(1) of 
Regulation 
(EU) 
2021/1119 
E1; E1-1 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
37 
ESRS 
E1-1 
paragraph 
16 (g) 
Undertakings excluded 
from Paris-aligned 
Benchmarks 
Article 449a | Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
Template 1: Banking 
book-Climate Change 
transition risk: Credit 
quality of exposures by 
sector, emissions and 
residual maturity 
Delegated Regulation 
(EU) 2020/1818, Article 
12.1 (d) to (g), and 
Article 12.2 
E1; E1-1 
ESRS 
E1-4 
paragraph 
34 
GHG emission 
reduction targets 
Indicator number 4 
Table #2 of Annex 1 
Article 449a Regulation 
(EU) No 575/2013; 
Delegated Regulation 
(EU) 2020/1818, Article 
6 
E1; E1-4 
komission 
täytäntöönpanoasetukse
n (EU) 2022/2453 
lomake 3: 
Kaupankäyntivaraston 
ulkopuoliset erät – 
Ilmastonmuutokseen 
liittyvä siirtymäriski: 
Mukauttamismittarit 
ESRS 
E1-5 
paragraph 
38 
Energy consumption 
from fossil sources 
disaggregated by 
sources (only high 
climate impact sectors) 
Indicator number 5 
Table #1 and 
Indicator n. 5 Table 
#2 of Annex 1 
E1; E1-5 
ESRS 
E1-5 
paragraph 
37 
Energy consumption 
and mix 
Indicator number 5 
Table #1 of Annex 1 
E1; E1-5 
ESRS 
E1-5 
paragraphs 
40 to 43 
Energy intensity 
associated with 
activities in high climate 
impact sectors 
Indicator number 6 
Table #1 of Annex 1 
E1; E1-5 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
38 
ESRS 
E1-6 
paragraph 
44 
Gross Scope 1, 2, 3 
and Total GHG 
emissions 
Indicators number 1 
and 2 Table #1 of 
Annex 1 
Article 449a | Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
Template 1: Banking 
book-Climate Change 
transition risk: Credit 
quality of exposures by 
sector, emissions and 
residual maturity 
Article 5(1), Article 6 
and Article 8(1) of 
Delegated Regulation 
(EU) 2020/1818 
E1; E1-6 
ESRS 
E1-6 
paragraphs 
53 to 55 
Gross GHG emissions 
intensity 
Indicator number 3 
Table #1 of Annex 1 
Article 449a | Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
Template 3: Banking 
book-Climate Change 
transition risk: Alignment 
metrics 
Delegated Regulation 
(EU) 2020/1818, Article 
8(1) 
E1; E1-6 
ESRS 
E1-7 
paragraph 
56 
GHG removals and 
carbon credits 
Article 2(1) of 
Regulation 
(EU) 
2021/1119 
Defined as 
non-
material 
ESRS 
E1-9 
paragraph 
66 
Exposure of the 
benchmark portfolio to 
climate-related physical 
risks 
Delegated Regulation 
(EU) 2020/1818, 
Annex II; Delegated 
Regulation 
(EU) 2020/1816, 
Annex II 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
E1-9 
paragraph 
66 (a) 
Disaggregation of 
monetary amounts by 
acute and chronic 
physical risk 
Article 449a Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
paragraphs 46 and 47; 
Template 5: Banking 
book - Climate change 
physical risk: Exposures 
subject to physical risk 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
39 
ESRS 
E1-9 
paragraph 
66 (c) 
The location of 
significant assets at 
material physical risk 
Article 449a Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
paragraphs 46 and 47; 
Template 5: Banking 
book - Climate change 
physical risk: Exposures 
subject to physical risk 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
E1-9 
paragraph 
67 (c) 
Breakdown of the 
carrying value of the 
undertaking's real 
estate assets by 
energy-efficiency 
classes 
Article 449a Regulation 
(EU) No 575/2013; 
Commission 
Implementing 
Regulation 
(EU) 2022/2453 
paragraph 34; Template 
2: Banking book-Climate 
Change transition risk: 
Loans collateralised by 
immovable property - 
Energy efficiency of the 
collateral 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
E1-9 
paragraph 
69 
Degree of exposure of 
the portfolio to climate-
related opportunities 
Delegated Regulation 
(EU) 2020/1818, Annex 
II 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
E2-4 
paragraph 
28 
Quantity of each air, 
water and soil pollutant 
listed in Annex II to E-
PRTR (European 
Pollutant Release and 
Transfer Register) 
Indicator number 8 
Table #1 of Annex 1, 
Indicator number 2 
Table #2 of Annex 1, 
Indicator number 1 
Table #2 of Annex 1, 
Indicator number 3 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E3-1 
paragraph 9 
Water and marine 
resources 
Indicator number 7 
Table #2 of Annex 1 
Defined as 
non-
material 

 
40 
ESRS 
E3-1 
paragraph 
13 
Dedicated policy 
Indicator number 8 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E3-1 
paragraph 
14 
Sustainable oceans 
and seas 
Indicator number 12 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E3-4 
paragraph 
28 (c) 
Total water recycled 
and reused 
Indicator number 6.2 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E3-4 
paragraph 
29 
Total water 
consumption in m3 per 
net revenue in the 
Company's own 
operations 
Indicator number 6.1 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 2 
– IRO-1 
– E4 
paragraph 
16 (a) i 
Indicator number 7 
Table #1 of Annex 1 
Defined as 
non-
material 
ESRS 2 
– IRO-1 
– E4 
paragraph 
16 (b) 
Indicator number 10 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 2 
– IRO-1 
– E4 
paragraph 
16 (c) 
Indicator number 14 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E4-2 
paragraph 
24 (b) 
Sustainable 
land/agriculture 
practices or policies 
Indicator number 11 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E4-2 
paragraph 
24 (c) 
Sustainable 
oceans/seas practices 
or policies 
Indicator number 12 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E4-2 
paragraph 
24 (d) 
Policies to address 
deforestation 
Indicator number 15 
Table #2 of Annex 1 
Defined as 
non-
material 
ESRS 
E5-5 
paragraph 
37 (d) 
Non-recycled waste 
Indicator number 13 
Table #2 of Annex 1 
E5; E5-5 
ESRS 
E5-5 
paragraph 
39 
Hazardous waste and 
radioactive waste 
Indicator number 9 
Table #1 of Annex 1 
E5; E5-5 
ESRS 2 
– SBM-3 
– S1 
paragraph 
14 (f) 
Risk of incidents of 
forced labour 
Indicator number 13 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 2 
– SBM-3 
– S1 
paragraph 
14 (g) 
Risk of incidents of 
child labour 
Indicator number 12 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 
S1-1 
paragraph 
20 
Human rights policy 
commitments 
Indicator number 9 
Table #3 and 
Indicator number 11 
Table #1 of Annex I 
Defined as 
non-
material

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
41 
ESRS 
S1-1 
paragraph 
21 
Due diligence policies 
on issues addressed by 
the fundamental 
International Labor 
Organisation 
Conventions 1 to 8 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Defined as 
non-
material 
ESRS 
S1-1 
paragraph 
22 
Processes and 
measures for 
preventing trafficking in 
human beings 
Indicator number 11 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 
S1-1 
paragraph 
23 
Workplace accident 
prevention policy or 
management system 
Indicator number 1 
Table #3 of Annex I 
S1; S1-1 
ESRS 
S1-3 
paragraph 
32 (c) 
Grievance/complaints 
handling mechanisms 
Indicator number 5 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 
S1-14 
paragraph 
88 (b) and 
(c) 
Number of fatalities and 
number and rate of 
work-related accidents 
Indicator number 2 
Table #3 of Annex I 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
S1-14 
paragraph 
88 (e) 
Number of days lost to 
injuries, accidents, 
fatalities or illness 
Indicator number 3 
Table #3 of Annex I 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
S1-16 
paragraph 
97 (a) 
Unadjusted gender pay 
gap 
Indicator number 12 
Table #1 of Annex I 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Defined as 
non-
material 
ESRS 
S1-16 
paragraph 
97 (b) 
Excessive CEO pay 
ratio 
Indicator number 8 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 
S1-17 
paragraph 
103 (a) 
Incidents of 
discrimination 
Indicator number 7 
Table #3 of Annex I 
Defined as 
non-
material 
ESRS 
S1-17 
paragraph 
104 (a) 
Non-respect of UNGPs 
on Business and 
Human Rights and 
OECD guidelines 
Indicator number 10 
Table #1 and 
Indicator n. 14 Table 
#3 of Annex I 
Annex II to Delegated 
Regulation (EU) 
2020/1816; Article 12(1) 
of Delegated Regulation 
(EU) 2020/1818 
Defined as 
non-
material 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
42 
ESRS 2 
– SBM-3 
– S2 
paragraph 
11 (b) 
Significant risk of child 
labour or forced labour 
in the value chain 
Indicators number 
12 and n. 13 Table 
#3 of Annex I 
ESRS 2; 
SBM-3,S2; 
SBM-3 
ESRS 
S2-1 
paragraph 
17 
Human rights policy 
commitments 
Indicator number 9 
Table #3 and 
Indicator n. 11 Table 
#1 of Annex 1 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
S2-1 
paragraph 
18 
Policies related to value 
chain workers 
Indicator number 11 
and n. 4 Table #3 of 
Annex 1 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
S2-1 
paragraph 
19 
Non-respect of UNGPs 
on Business and 
Human Rights and 
OECD guidelines 
Indicator number 10 
Table #1 of Annex 1 
Annex II to Delegated 
Regulation (EU) 
2020/1816; Article 12(1) 
of Delegated Regulation 
(EU) 2020/1818 
S2; S2-1 
ESRS 
S2-1 
paragraph 
19 
Due diligence policies 
on issues addressed by 
the fundamental 
International Labor 
Organisation 
Conventions 1 to 8 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
S2; S2-1 
ESRS 
S2-4 
paragraph 
36 
Human rights issues 
and incidents 
connected to the 
upstream and 
downstream value 
chain 
Indicator number 14 
Table #3 of Annex 1 
Omitted in 
accordance 
with 
Appendix C 
of ESRS 1 
General 
requirement
s 
ESRS 
S3-1 
paragraph 
16 
Human rights policy 
commitments 
Indicator number 9 
Table #3 and 
Indicator n. 11 Table 
#1 of Annex 1 
Defined as 
non-
material 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
43 
ESRS 
S3-1 
paragraph 
17 
Non-respect of UNGPs 
on Business and 
Human Rights, ILO 
principles or and OECD 
guidelines 
Indicator number 10 
Table #1 of Annex 1 
Annex II to Delegated 
Regulation (EU) 
2020/1816; Article 12(1) 
of Delegated Regulation 
(EU) 2020/1818 
Defined as 
non-
material 
ESRS 
S3-4 
paragraph 
36 
Human rights issues 
and incidents 
Indicator number 14 
Table #3 of Annex 1 
Defined as 
non-
material 
ESRS 
S4-1 
paragraph 
16 
Policies related to 
consumers and end-
users 
Indicator number 9 
Table #3 and 
Indicator n. 11 Table 
#1 of Annex 1 
S4; S4-1 
ESRS 
S4-1 
paragraph 
17 
Non-respect of UNGPs 
on Business and 
Human Rights and 
OECD guidelines 
Indicator number 10 
Table #1 of Annex 1 
Annex II to Delegated 
Regulation (EU) 
2020/1816; Article 12(1) 
of Delegated Regulation 
(EU) 2020/1818 
S4; S4-1 
ESRS 
S4-4 
paragraph 
35 
Human rights issues 
and incidents 
Indicator number 14 
Table #3 of Annex 1 
Defined as 
non-
material 
ESRS 
G1-1 
paragraph 
10 (b) 
United Nations 
Convention against 
Corruption 
Indicator number 15 
Table #3 of Annex 1 
G1; G1-1 
ESRS 
G1-1 
paragraph 
10 (d) 
Protection of 
whistleblowers 
Indicator number 6 
Table #3 of Annex 1 
G1; G1-1 
ESRS 
G1-4 
paragraph 
24 (a) 
Fines for violation of 
anti-corruption and anti-
bribery laws 
Indicator number 17 
Table #3 of Annex 1 
Delegated Regulation 
(EU) 2020/1816, Annex 
II 
Defined as 
non-
material 
ESRS 
G1-4 
paragraph 
24 (b) 
Standards of anti-
corruption and anti-
bribery 
Indicator number 16 
Table #3 of Annex 1 
Defined as 
non-
material 
EU taxonomy 
The European Union’s sustainable finance classification 
system (EU Taxonomy) 
was published in 2020. The 
six environmental objectives defined by the EU taxonomy 
are: 
1.
 
climate change mitigation 
2.
 
climate change adaptation 
3.
 
sustainable use and protection of water and marine resources 
4.
 
transition to a circular economy 
5.
 
pollution prevention and control 
6.
 
protection and restoration of biodiversity and ecosystems 

 
 
 
44 
Vesivek 
has conducted 
an 
EU taxonomy 
review of 
turnover, 
capital expenditure 
and operating 
expenditure 
regarding 
the 
aforementioned 
objectives. 
In 
respect 
of 
turnover, 
capital 
expenditure 
and 
operating 
expenditure, the 
IFRS definitions 
and accounting 
principles applied 
in consolidated 
financial statements 
are 
applied. The 
review was 
carried out 
in collaboration 
with management, 
different 
business functions 
and the 
finance 
department. 
As 
in 
previous 
years, 
Vesivek 
has 
identified 
taxonomy-eligible 
activities 
during 
the 
financial year 2025 (1 February 2024–31 March 2025). 
Turnover 
For 
the 
financial 
year 
2025, 
with 
regard 
to 
climate 
change 
mitigation, 
Vesivek 
has 
identified 
two 
activities 
that are 
taxonomy-eligible 
but not 
taxonomy-aligned: 
CCM 7.2 
“Renovation 
of existing 
buildings” 
and CCM 
7.6 
“Installation, 
maintenance 
and 
repair 
of 
renewable 
energy 
technologies”. 
Vesivek 
also 
identified 
one 
activity that 
is taxonomy 
-eligible 
but 
not 
taxonomy-aligned 
in 
terms 
of the 
transition 
to 
a 
circular 
economy: 
CE 3.2 "Renovation of existing buildings". 
The 
activities 
that 
have 
been 
assessed 
as 
taxonomy-eligible 
for 
activity 
CCM 
7.2 
relate 
to 
roof, 
rainwater 
system 
and 
drainage 
renovations 
of 
existing 
buildings 
in 
both 
Finland 
and 
Sweden. 
Taxonomy 
-eligible 
activities 
under 
activity 
CCM 
7.6 
relate 
to 
solar 
panel 
installations 
for 
detached 
houses 
carried 
out 
by 
Vesivek 
Sverige 
Ab during 
the financial 
year. 
The circular 
economy target, 
CE 
3.2, has 
been assessed 
as 
taxonomy-eligible operations for roof and rainwater system renovations 
in Finland and Sweden. 
Capital expenditure 
In taxonomy-eligible 
business for 
financial year 2023, 
Vesivek has 
invested in the 
following activities 
related 
to 
the 
objective 
of 
climate 
change 
mitigation: 
CCM 
7.2 
"Renovation 
of 
existing 
buildings”, 
CCM 
7.7 
"Acquisition 
and 
ownership 
of 
buildings", 
CCM 
6.5 
"Transport 
by 
motorbikes, 
passenger 
cars 
and 
light 
commercial 
vehicles" 
and 
CCM 
6.6 
"Freight 
transport 
services 
by 
road". 
The 
Group’s 
total 
capital 
expenditure 
consists 
of 
additions 
to 
tangible 
and 
intangible 
assets 
during 
the 
financial 
year. 
Goodwill 
increases are not taken 
into account. Further 
information on the 
capital expenditure during 
the financial year 
can 
be 
found 
in 
the 
section 
of 
the 
financial 
statements 
entitled 
"Assets 
and 
liabilities 
used 
in 
business 
operations". 
Operating expenditure 
At 
Vesivek, 
operating 
expenditure 
identified 
as 
taxonomy-eligible 
related 
to 
climate 
change 
mitigation 
includes, 
in 
accordance 
with 
activities 
CCM 
7.2 
"Renovation 
of 
existing 
buildings", 
CCM 
6.5 
"Transport 
by 
motorbikes, passenger cars and light commercial vehicles" 
and CCM 6.6 "Freight transport services by road", 
such 
non-capitalised 
Group 
expenses 
exclusive 
of 
raw 
material 
costs 
that 
relate 
to 
roof, 
rainwater 
and 
drainage system renovations of buildings, 
and all such direct expenses that relate 
to the daily use of tangible 
assets, including the leasing costs of vehicles. 
No taxonomy-aligned operating expenditure was identified. 
The 
functions 
underlying 
the 
performance 
indicators 
are 
separate; 
taxonomy-eligible 
turnover 
and 
capital 
and 
operating 
expenditure 
are 
only 
allocated 
to 
a 
single 
financial 
activity, 
so 
therefore 
there 
is 
no 
risk 
of 
duplicate calculation. 
Share 
of 
turnover 
generated 
from 
products 
or 
services 
related 
to 
taxonomy-aligned 
economic 
activities for the financial period 1 February 2024–31 January 
2025 (EUR million):
 

 
45 
Code (2)
Turnover 
(3)
Proportion 
of Turnover, 
2024 (4)
Climate 
Change 
Mitigation 
(5)
Climate 
Change 
Adaptation 
(6)
Water 
(7)
Pollution 
(8)
Circular 
Economy 
(9)
Biodiversity 
(10)
Climate 
Change 
Mitigation 
(11)
Climate 
Change 
Adaptation 
(12)
Water 
(13)
Pollution 
(14)
Circular 
Economy 
(15)
Biodiversity 
(16)
Minimum Safeguards 
(17)
Proportion 
of 
Taxonomy-
aligned 
(A.1) or 
-eligible 
(A.2) 
turnover, 
2022 
(18)
Category 
enabling 
activity 
(20)
Category 
transition
al activity 
(21)
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
E
0 %
%
%
0 %
T
CCM 7.2/CE 3.2
91,0
88,4 %
EL
N/EL
N/EL
N/EL
EL
N/EL
88,4 %
CCM 7.6
2,5
2,4 %
93,5 
90,9 %
91 %
%
%
%
77 %
%
90,9 %
93,5 
90,9 %
91 %
%
%
%
77 %
%
90,9 %
9,4
9,1 %
102,9 
100 %
Installation, maintenance and repair of renewable 
energy technology
DNSH criteria 
("Does Not 
Significantly 
Harm")
A.1. Environmentally 
sustainable 
activities 
(Taxonomy-aligned)
A. TAXONOMY-ELIGIBLE 
ACTIVITIES
A.2. Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities)
2024
Of which transitional
Of which enabling
Substantial 
contribution 
criteriaFinancial 
year 02/2024-01/2025
Economic 
Activities 
(1)
TOTAL 
(A+B)
Turnover 
of Taxonomy-non-eligible 
activities
Turnover 
of environmentally 
sustainable 
activities 
(Taxonomy-
aligned) 
(A.1)
Turnover 
of Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities) 
(A.2)
A. Turnover 
of Taxonomy-eligible 
activities 
(A.1+A.2)
B. TAXONOMY-NON-ELIGIBLE 
ACTIVITIES
Reparation for existing 
buildings
Code (2)
CapEx (3)
Proportion 
of CapEx, 
2024 (4)
Climate 
Change 
Mitigation 
(5)
Climate 
Change 
Adaptation 
(6)
Water 
(7)
Pollution 
(8)
Circular 
Economy 
(9)
Biodiversity 
(10)
Climate 
Change 
Mitigation 
(11)
Climate 
Change 
Adaptation 
(12)
Water 
(13)
Pollution 
(14)
Circular 
Economy 
(15)
Biodiversity 
(16)
Minimum Safeguards 
(17)
Proportion 
of 
Taxonomy-
aligned 
(A.1) or 
-eligible 
(A.2) 
CapEx, 2022 (18)
Category 
enabling 
activity 
(20)
Category 
transitiona
l activity 
(21)
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
E
0 %
0 %
0 %
T
CCM 7.2
0,2
4,6 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
4,6 %
CCM 7.7
1,8
40,5 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
40,5 %
CCM 6.5
0,8
17,4 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
17,4 %
CCM 6.6
1,3
30,6 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
30,6 %
4,0 
93,1 %
34,6 %
0,0 %
0,0 %
0,0 %
0,0 %
0,0 %
93,1 %
4,0 
93,1 %
34,6 %
0,0 %
0,0 %
0,0 %
0,0 %
0,0 %
93,1 %
0,3
6,9 %
4,3 
100 %
A. TAXONOMY-ELIGIBLE 
ACTIVITIES
Financial 
year 02/2024-01/2025
Substantial 
contribution 
criteria
DNSH criteria 
("Does Not 
Significantly 
Harm")
Economic 
Activities 
(1)
CapEx of Taxonomy-non-eligible 
activities
A.1. Environmentally 
sustainable 
activities 
(Taxonomy-aligned)
CapEx of environmentally 
sustainable 
activities 
(Taxonomy-
aligned) 
(A.1)
Of which enabling
Of which transitional
A.2. Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities)
Road traffic 
services
CapEx of Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities) 
(A.2)
A. CapEx of Taxonomy-eligible 
activities 
(A.1+A.2)
B. TAXONOMY-NON-ELIGIBLE 
ACTIVITIES
Reparation for existing 
buildings
Motorcycle-, passenger car- 
and utility vehicle transportation
Acquisition and ownership of buildings
TOTAL 
(A+B)
Share of capital expenditure associated 
with products or services related to 
taxonomy-aligned economic 
activities for the financial period 1 February 2024–31 January 
2025 (EUR million): 
Share 
of 
operating 
expenditure 
associated 
with 
products 
or 
services 
related 
to 
taxonomy-aligned 
economic activities for the financial period 1 February 
2024–31 January 2025 (EUR million):

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
46 
Code (2)
OpEx (3)
Proport
ion of 
OpEx, 
2024 (4)
Climate 
Change 
Mitigation 
(5)
Climate 
Change 
Adaptation 
(6)
Water 
(7)
Pollution 
(8)
Circular 
Economy 
(9)
Biodiversity 
(10)
Climate 
Change 
Mitigation 
(11)
Climate 
Change 
Adaptation 
(12)
Water 
(13)
Pollution 
(14)
Circular 
Economy 
(15)
Biodiversity 
(16)
Minimum Safeguards 
(17)
Proportion 
of 
Taxonomy-
aligned 
(A.1) or 
-eligible 
(A.2) 
OpEx, 2022 (18)
Category 
enabling 
activity 
(20)
Category 
transition
al activity 
(21)
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
0 %
E
0 %
%
%
0 %
T
CCM 7.2
1,1
30,6 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
30,6 %
CCM 6.5
0,6
16,7 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
16,7 %
CCM 6.6
1,4
38,9 %
EL
N/EL
N/EL
N/EL
N/EL
N/EL
38,9 %
3,1
 
86 %
86 %
%
%
%
%
%
86,1 %
3,1 
86 %
86 %
%
%
%
%
%
86,1 %
0,5
14 %
3,6 
100 %
TOTAL 
(A+B)
OpEx of 
Taxonomy-non-eligible 
activities
A.1. Environmentally 
sustainable 
activities 
(Taxonomy-aligned)
OpEx of 
environmentally 
sustainable 
activities 
(Taxonomy-aligned) 
(A.1)
Of which enabling
Of which transitional
A.2. Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities)
Road traffic 
services
OpEx of 
Taxonomy-eligible 
but 
not 
environmentally 
sustainable 
activities 
(not 
Taxonomy-aligned 
activities) 
(A.2)
A. OpEx of 
Taxonomy-eligible 
activities 
(A.1+A.2)
B. TAXONOMY-NON-ELIGIBLE 
ACTIVITIES
Reparation for existing 
buildings
Motorcycle-, passenger car- 
and utility vehicle transportation
A. TAXONOMY-ELIGIBLE 
ACTIVITIES
Financial 
year 02/2024-01/2025
Substantial 
contribution 
criteria
DNSH criteria 
("Does Not 
Significantly 
Harm")
Economic 
Activities 
(1)
E1 – Climate change 
Environmental 
responsibility 
is 
a 
central 
aspect 
of 
our 
operations, 
and 
it 
guides 
adherence 
to 
sustainable 
development 
and 
principles 
throughout 
the 
value 
chain. 
We 
focus 
on 
sustainable 
construction 
in 
order 
to 
minimise 
life-cycle 
environmental 
impacts. 
Our 
target 
is 
to 
reduce 
CO
₂
 
emissions 
through 
concrete 
actions. 
Sustainable value 
chains and 
waste recycling 
are part 
of our operating 
models, which 
support extending 
the life 
cycle of buildings and reducing adverse environmental 
impacts. 
Vesivek 
is 
committed 
to 
sustainable 
development 
and 
climate 
risk 
management 
as 
part 
of 
its 
business. 
We 
continuously 
assess 
climate-related 
factors, 
such 
as the 
impacts 
of 
weather 
phenomena 
and 
market 
changes, 
and strive 
to reduce 
environmental impacts 
in all 
areas of 
our operations. 
In cooperation 
with our 
stakeholders, 
we develop sustainable solutions and support the achievement 
of global climate goals through our actions. 
Vesivek has 
identified risks 
and opportunities related 
to climate change 
in a double 
materiality assessment. 
The 
key themes identified include 
the risk related to climate 
change mitigation, which 
can be influenced by 
measures 
that reduce CO
2
 
emissions. At the same 
time, increased rainfall 
related to climate change 
can also be seen 
as a 
business 
opportunity. 
The 
core 
of 
Vesivek’s 
business 
is 
external 
moisture 
control 
for 
properties, 
which 
will 
become increasingly 
significant for 
buildings in 
the future. 
It should 
also be 
noted that 
the warming 
climate may 
extend 
the 
Company's 
favourable 
installation 
season 
by 
reducing 
the 
duration 
of 
snow 
cover. 
However, 
some 
climate 
models 
have 
highlighted 
the 
possibility 
of 
a 
cooler 
climate 
in 
Finland 
due 
to 
the 
weakening 
of 
sea 
currents. If this scenario were to be realised, it would result 
in a shorter favourable installation season. 
In connection 
with the 
double materiality 
assessment, Vesivek's 
emission sources 
were assessed 
by the 
same 
working group. Vesivek’s 
most significant sources of emissions are its 
own vehicles and purchased products and 
services, especially steel 
purchased from SSAB. 
Vesivek 
aims to develop 
its operations towards 
a lower-carbon 
future. The Company does not 
have a transition plan related 
to climate change mitigation. 
The Company aims to 
develop a transition plan during the financial years 2026–2027. 
E1.SBM-3 Physical risks related to climate change 
adaptation and their management 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
47 
Topic 
Sub-topic and IRO 
Type 
Part of the value 
chain 
Time horizon 
E1 Climate change 
E1 Climate change mitigation - 
reduction of CO2 emissions 
Risk 
Upstream and 
company's own 
operations 
Long-term 
Explanation: Vesivek’s 
business causes significant CO2 emissions, which 
may pose a risk to the business due to, for 
example, increasing regulation or emissions trading, which 
may have a significant impact on raw material 
prices. 
Similarly, as climate change 
becomes increasingly prevalent, CO2 emissions can also be seen 
as having negative 
reputation-related impacts for the company. 
Written policies: 
The Group's environmental policy. 
Monitored annually in connection with reporting. 
Measures: 
A transition plan will be drawn up during the coming financial 
years.
 
Metrics: 
CO2 emissions
E1 Climate change mitigation; the 
operations cause emissions 
Negative impact 
Upstream and 
company's own 
operations 
Short-, medium- 
and long-term 
Explanation: 
Vesivek’s business 
causes significant CO2 emissions that have a negative 
impact on climate change 
mitigation
Written policies: 
The Group's environmental policy. 
Monitored annually in connection with reporting. 
Measures: A transition plan will be drawn up during 
the coming financial years. 
 
Metrics: 
CO2 emissions
E1 Climate change mitigation and 
the opportunities it presents for 
Vesivek’s business 
Opportunity 
Upstream and 
Downstream 
Long-term 
Explanation: 
Climate change is expected to lead to increased rainfall. 
As Vesivek operates in the field 
of external 
moisture control for properties, this can be seen as a source 
of opportunities for Vesivek’s 
business
 
Policies: 
The Group's environmental policy. 
Monitored annually in connection with reporting 
Vesivek 
conducted a 
climate change-related 
risk assessment 
as part 
of the 
double materiality 
assessment. The 
assessment was carried 
out by the 
same working 
group as the 
double materiality 
assessment. The assessment 
was carried out during 
the financial years 
2023 and 2024, 
and the conclusion 
was that Vesivek’s 
business could 
benefit from the 
warming of the 
climate due to 
a longer favourable 
installation season, 
for example. At 
the same 
time, increasing heat waves could complicate 
installation work during the summer season 
due to excessive heat. 
In 
addition, 
as 
the 
Company's 
operations 
are 
largely 
dependent 
on 
steel, 
increases 
in 
the 
pricing 
of 
CO
2
emissions 
could 
have a 
negative 
impact 
on the 
Company's 
business. The 
Company 
has taken 
its entire 
value 
chain 
into 
account 
in 
its climate 
-related 
analyses. 
With 
regard 
to 
climate 
change, 
the 
analysis 
is not 
based 
on 
any climate scenario, 
but the Company 
has taken 
into account assumptions 
of the climate 
warming by 1.5°C, 
in 
accordance with the Paris Agreement. 
The time 
horizons 
applied 
in the 
analysis 
were short 
-term (one 
year), 
medium-term 
(1–5 
years) 
and 
long-term 
(over 5 years). 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
48 
Physical risks 
Temperature 
change and 
thermal stress 
Negative / 
Positive 
This is both a risk and an opportunity. 
A general rise in 
temperatures could shorten the winter season, providing 
the 
Company with opportunities to carry out installation work 
in more 
favourable weather conditions. However, 
summer heat waves, 
for example, have a negative impact on installation work 
by 
making the working conditions excessively hot. 
Changing wind models 
Negative 
Strong gusts of wind make installation work challenging, 
especially for sheet metal roofs 
Changing rainfall 
Positive 
Increased rainfall is an opportunity for the Company, 
as it 
increases the Company’s business opportunities 
Transition risks 
Changing customer behaviour 
Negative / 
Positive 
In the long term, customers’ interest in lower-emission 
products 
is certain to increase. Vesivek 
aims to respond to these customer 
requirements as effectively as possible. 
Increased pricing of GHG 
emissions 
Negative 
The impacts could be significant, especially for steel prices. 
Vesivek aims to reduce emissions 
in its own operations and 
cooperates with SSAB on the development of fossil-free steel. 
Increased raw material costs 
Negative 
Sheet metal is currently a high-emission product, and if 
it were to 
be subject to increased upward price pressure due to 
emissions, 
this would have extensive impacts on the entire business. 
With 
this in mind, Vesivek cooperates 
with SSAB on the development 
of fossil-free steel 
Vesivek has 
identified physical risks 
as the most 
critical climate risks, 
as they can 
pose significant challenges 
to 
business 
operations 
in 
the 
medium 
and 
long 
term. 
For 
example, 
it 
is 
practically 
impossible 
to 
carry 
out 
roof 
renovations 
in 
stormy 
conditions. 
Although 
storms 
and 
increasing 
rainfall 
temporarily 
hamper 
business 
operations, 
they 
simultaneously 
provide 
opportunities 
for 
business 
due 
to 
growing 
demand. 
Shorter 
winter 
periods, for their part, improve installation conditions when compared 
to winter months with high snowfall. 
One significant 
future 
risk 
is 
also related 
to raw 
materials 
and 
the 
associated 
GHG 
emissions. 
If 
the 
pricing 
of 
emissions were to have a material impact on the prices 
of raw materials, this would likely be reflected in the price 
of the sheet metal used by the Group and pose challenges 
to the business in the long term. 
The 
Company 
is 
able 
to 
adapt 
its 
operations 
to 
the 
challenges 
caused 
by 
climate 
change. 
Increasing 
rainfall 
increases 
demand 
for 
the 
Company’s 
products, 
and 
the 
Company 
is 
able 
to 
create 
value 
for 
its 
customers 
by 
making properties long-lasting and safe 
to live in. Rising raw material prices 
are seen as the largest challenge by 
the Company. 
For this 
reason, the 
Company aims 
to use 
all available 
means to 
make the 
raw materials 
it uses 
more 
environmentally 
friendly 
and 
thereby 
reduce 
the 
price 
pressure 
on 
raw 
materials 
related 
to 
emissions 
trading. 
E1-2 Policies related to climate change mitigation and 
adaptation 

49 
The environmental 
policy adopted 
by Vesivek 
during the 
financial year 
is aimed 
at sustainable 
construction and 
climate change mitigation. Through its 
own actions, Vesivek 
strives to reduce the CO
2
 
emissions associated with 
its 
own 
vehicles 
and 
products, 
for 
example. 
Similarly, 
waste 
generated 
at 
factories 
and 
construction 
sites 
is 
sorted at source to the greatest possible extent 
and removed immediately. 
External moisture control solutions for 
properties are the core of Vesivek's 
business. This means that Vesivek's 
operations contribute to the longevity 
of 
buildings and 
thus provide 
their residents 
with long-lasting 
and healthy 
living. In 
the coming 
years, Vesivek 
will 
also take the environmental perspective 
into account in its investments and will 
also invest in the green transition. 
Vesivek’s environmental 
policy is available in full in the sustainability section 
of the Company’s website. 
Vesivek’s 
environmental 
policy 
takes 
into 
account 
the 
Company's 
entire 
value 
chain, 
from 
the 
origin 
of 
the 
materials to 
the end 
of the 
product life 
cycle of 
roof products 
and other 
products. 
Matters are 
communicated to 
the 
Company's 
employees 
in 
accordance 
with 
the 
Company's 
policy. 
In 
the 
future, 
the 
aim 
is 
to 
provide 
employees with instructions and 
guidance on what they 
need to take into consideration 
in performing duties, and 
how to do this. The 
implementation of the policy 
is the responsibility of the 
Group CEO together with 
the Group's 
management team, and it has also been confirmed by the 
Company's Board of Directors. 
E1-3 Actions and resources in relation to climate change 
policies 
At Vesivek, 
environmental responsibility 
has been 
taken into 
account in 
the development 
of operations. 
Vesivek 
has developed 
a new 
sales model 
that helps 
optimise sales-related 
driving and 
thereby reduce 
CO
2
 
emissions. 
In installation work, the principle is 
to bring the required goods to 
the site as needed, and to take 
waste out when 
leaving. 
The 
Group 
has 
control 
over 
its 
entire 
supply 
chain 
from 
manufacture 
to 
installation, 
which 
enables 
efficient 
logistics. 
Waste 
is 
sorted 
on 
site 
and, 
as 
a 
rule, 
recycled 
or 
recovered 
as 
energy. 
One 
significant 
exception to 
the general 
operating model 
is asbestos 
in the 
context 
of renovations, 
which cannot 
be recovered 
or 
utilised. 
Vesivek 
also 
has 
its 
own 
thermal 
power 
plant 
in 
Pirkkala, 
which 
utilises 
demolished 
wood 
material 
from roof renovations. 
Vesivek 
is also 
working with 
SSAB on 
the development 
of fossil-free 
steel that, 
if introduced, 
would significantly 
reduce Scope 3 CO
2
 
emissions. 
Vesivek 
has 
taken several 
environmental 
measures 
throughout 
the 
Group’s 
history. 
In 2024, 
Vesivek 
replaced 
some 
of 
the 
diesel 
used 
with 
biodiesel. 
The 
Company 
has 
also 
begun 
to 
assess 
opportunities 
to 
use 
electric 
cars 
in 
the 
Group's 
sales 
and 
installation 
functions. 
Similarly, 
during 
the 
year 
under 
review, 
Vesivek 
Oy 
and 
Vesivek 
Salaojat Oy 
developed a 
sales model 
that enables 
sales meetings 
to be 
more effectively 
conducted in 
the same 
direction, which 
reduces kilometres 
driven. These 
measures enable 
Vesivek 
to reduce 
the emissions 
generated by its own vehicles in the short term and the 
medium term. 
Vesivek 
cooperates 
with 
SSAB 
on 
the 
development 
of 
fossil-free 
steel. 
This 
will 
enable 
Vesivek 
to 
reduce 
its 
emissions in the long term. 
It is also a key factor 
in the Company’s preparation 
for the impacts of climate 
change 
and the management of financial risks. 
The Company aims 
to draw up a climate 
roadmap during the 
financial years 2026–2027. 
In connection with 
this, 
the Company 
will also 
assess the 
extent to 
which its 
targets are 
aligned with 
the Paris 
Agreement and 
the Net 
Zero 2050 
target. Also 
in connection 
with this, 
the Company 
will examine 
the emissions 
reductions achieved 
by 
its actions and the resources required for the actions. 
E1-4 – Targets related 
to climate change mitigation and adaptation 
Vesivek's 
focus 
in 
recent 
years 
has 
been 
on 
restoring 
the 
profitability 
of 
its 
business. 
For 
this 
reason, 
the 
Company has not yet drawn up a 
climate roadmap. Vesivek’s 
target is to draw up a 
climate roadmap and related 
targets during 
the financial 
years 2026–2027. 
In connection 
with this, 
Vesivek 
will also 
update its 
environmental 
policy and identify measures to achieve the set targets. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
50 
In 2024, 
Vesivek 
set a 
target of 
replacing 10% 
of the 
diesel it 
uses with 
biodiesel during 
the financial 
year 2025 
when compared 
to 2024. 
Progress towards 
the 
target 
was 
monitored 
on the 
basis 
of the 
fuel supplier’s 
report. 
This target was set internally by the Company’s management. 
E1-5 Energy consumption and mix 
Energy consumption and mix 
FY 2025 
Fuel consumption from coal and coal products (MWh) 
0 
Fuel consumption from crude oil and petroleum products 
(MWh) 
16.399 
Fuel consumption from natural gas (MWh) 
0 
Fuel consumption from other fossil sources (MWh) 
0 
Consumption 
of 
purchased 
or 
acquired 
electricity, 
heat, 
steam, 
or 
cooling 
from 
fossil 
sources 
(MWh) 
510 
Total 
fossil energy consumption (MWh) 
16.909 
Share of fossil sources in total energy consumption (%) 
80% 
Consumption from nuclear sources (MWh) 
2.898 
Share of consumption from nuclear sources in total energy 
consumption (%) 
14% 
Fuel 
consumption 
from 
renewable 
sources, 
including 
biomass 
(also 
comprising 
industrial 
and 
municipal waste of biologic origin, biogas, renewable hydrogen, 
etc.) (MWh) 
1.258 
Consumption 
of 
purchased 
or 
acquired 
electricity, 
heat, 
steam, 
and 
cooling 
from 
renewable 
sources (MWh) 
0 
Consumption of self-generated non-fuel renewable energy 
(MWh) 
78 
Total 
renewable energy consumption (MWh) 
1.336 
Share of renewable sources in total energy consumption (%) 
6% 
Total 
energy consumption (MWh) 
21.144 
Energy intensity MWh/EUR million 
205 
The energy 
intensity 
takes 
into account 
the 
entire Group’s 
energy consumption 
and turnover. 
Vesivek 
Group's 
entire business has significant climate impacts. 

 
51 
Energy 
consumption 
takes 
into 
account 
the 
entire 
Group's 
fuel 
used 
for 
vehicles, 
as 
well 
as 
heating 
and 
electricity. The information 
has been obtained from each supplier and therefore does 
not contain assumptions. 
 
Vehicle 
fuels account 
for most 
of the 
fossil energy 
consumed by 
the Company. 
Vesivek’s 
target was 
to replace 
10% of diesel with biodiesel 
during the financial year 
under review when compared 
to the previous financial 
year, 
but this target was not achieved due to financial reasons. 
The actual figure was approximately 1%. 
Most of the 
electricity used 
by Vesivek 
in Finland 
is within the 
scope of 
guarantees of 
origin and 
is produced 
by 
nuclear power. 
E1-6 Gross Scope 1, 2, 3 and Total 
GHG emissions 
Emissions t/CO2 
Financial year 2024 
Financial year 2025 
Change, % 
SCOPE 1 
4.967 
5.321 
7% 
Commercial buildings 
727 
609 
-16% 
Company vehicles 
4.24 
4.712 
11% 
SCOPE2 
318 
Purchased heating 
Purchased electricity, 
market-based 
0 
318 
Purchased electricity, 
location-based 
95 
106 
11% 
SCOPE3 
22.97 
24.536 
7% 
Purchased goods and services 
21.641 
22.419 
4% 
Capital goods 
Fuel- and energy-related activities 
1.008 
Upstream transportation and distribution 
206 
218 
6% 
Waste 
122 
24 
-80% 
Business travel 
142 
149 
5% 
Employee commuting 
726 
616 
-15% 
Upstream leased assets 
Downstream transportation and distribution 
132 
102 
-23% 
Processing of sold products 
Use of sold products 
End-of-life treatment of sold products 
Downstream leased assets 
Franchises 
Investments 
Total, 
location-based 
27.829 
29.963 
7% 
Total, 
market-based 
30.175

 
 
 
 
 
 
 
 
 
 
 
 
52 
Emission intensity figures 
Market-based 
tCO2eq/EUR million 
Location-based 
tCO2eq/EUR million 
2024 
293 
291 
Reporting principles 
Reporting 
is 
first 
carried 
out 
at 
the 
company 
level 
and 
subsequently 
consolidated 
for 
Group-level 
emissions 
calculations. The 
GHG standard 
is applied in 
the calculation 
of emissions. 
Data collection 
is largely 
manual and 
the emission factors used are general 
emission factors. For purchased products, 
the calculation is based only on 
core raw materials, but they cover approximately 
80% of purchases. This creates uncertainty 
in the calculation of 
emissions. The Company 
aims to develop the 
emissions calculation process 
in the future to 
eliminate errors and 
uncertainty. 
Scope 1 and Scope 2 emissions calculation principles 
Under Scope 
1 emissions, 
Vesivek 
has included 
the emissions 
of the thermal 
power plant 
operating in 
Pirkkala, 
the LPG 
heating of 
Vesivek 
Tuotteet, 
the oil 
heating of 
Tuusulan 
Peltikeskus Oy 
and Vesivek 
Ab, and 
the fuels 
used 
by 
the 
Company's 
vehicles. 
An 
emissions 
report 
is 
available 
for 
the 
thermal 
power 
plant, 
and 
vehicle 
emissions 
have 
been 
calculated 
based 
on 
fuel 
consumption. 
Other 
nitrogen 
and 
sulphur 
particulate 
emissions 
have 
also 
been 
taken 
into 
account 
in 
the 
emissions 
of 
the 
thermal 
power 
plant. 
Some 
of 
the 
emission 
factors 
have been 
obtained 
directly 
from suppliers, 
while 
general emission 
factors 
are applied 
in some 
instances. 
The 
general emission factors are obtained from Statistics Finland. 
Under 
Scope 
1, 
the 
wood 
chips 
burned 
at 
the 
Pirkkala 
thermal 
power 
plant 
also 
cause 
biogenic 
emissions. 
Biogenic emissions for the financial year 2025 amounted 
to 460 tCO2. 
Under Scope 1, 0% of Vesivek's 
emissions are covered by emissions trading. 
The 
entire 
Group's 
electricity 
consumption 
is 
taken 
into 
account 
in 
the 
calculation 
of 
Scope 
2 
emissions. 
The 
emission 
factors 
are 
general 
emission 
factors. 
Most 
of 
the 
electricity 
used 
by 
Vesivek 
in 
Finland 
is 
within 
the 
scope of guarantees of origin and is produced by nuclear 
power. 
Scope 3 emissions calculation principles 
For purchased products, 
Vesivek has 
identified the most 
significant sources of 
emissions. Steel accounts 
for the 
majority of the company’s 
emissions, and the emissions 
also take into account the most 
significant raw materials. 
Some of 
the emission 
factors 
have been 
obtained 
directly from 
suppliers' 
EDPs, 
such as 
SSAB’s, 
which cover 
approximately 90% 
of emissions. 
Otherwise, general 
emission factors 
have been 
used, such 
as those 
obtained 
from the CO2 data of VTT Technical 
Research Centre of Finland and Defra. 
For fuel-related activities, the WTT emissions of the fuels used 
by the Company, 
which are not included in Scope 
1, are taken into account. Defra’s emission factors 
have been used for these. 
For transport 
in the 
upstream production 
chain, transport 
of sheet 
metal from 
Pirkkala to 
the installation 
units is 
taken into 
account. The 
Company 
keeps records 
of kilometres 
driven for 
these transport 
activities, and 
Defra's 
emission factors are used. 
With 
regard 
to 
waste, 
the 
Company’s 
reporting 
has 
been 
improved, 
but 
some 
of 
the 
waste 
calculations 
for 
Finnish 
units 
and 
some 
of 
the 
Swedish 
companies 
are 
calculated 
by 
estimation. 
The 
biggest 
change 
from 
the 
previous year 
is in 
the emission 
factors applied 
for metal, 
which affects 
CO2 emissions. 
The figure 
reported for 
the 
previous 
year 
was 
based 
on 
Defra's 
2023 
emission 
factors, 
while 
the 
figure 
for 
the 
year 
under 
review 
is 
based on Defra's 2024 emission factors. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
53 
For business travel, emissions are 
estimated based on kilometre 
allowances paid by the Company 
to employees. 
For these kilometres, the 
Company has estimated 
the shares of electric, 
petrol and diesel vehicles. 
Factors from 
the Lipasto database were used as the emission factors. 
Emissions from 
employee commuting 
are estimated 
on the 
basis of 
postal codes. 
The number 
of working 
days 
per year 
is 
estimated, 
as is 
the share 
of different 
modes 
of transport. 
Factors 
from the 
Lipasto 
database 
were 
used as the emission factors. 
Transportation 
in 
the 
downstream 
production 
chain 
takes 
into 
account 
the 
outbound 
transport 
activities 
of 
Vesivek Tuotteet. 
The emissions data is obtained directly from reports 
received from transport companies. 
E1-9 
Anticipated 
financial 
effects 
from 
material 
physical 
and 
transition 
risks 
and 
potential 
climate-
related opportunities 
For 
this 
section, 
Vesivek 
applies 
the 
transitional 
provisions 
and 
will 
report 
on 
these 
in 
later 
financial 
periods 
when the Company's transition plan has been drawn up. 
E-E5 Resource use and circular economy 
E5-SBM3 Risks related to resource use and circular economy, 
and their management 
Topic 
Sub-topic and IRO 
Type 
Part of the 
value chain 
Time 
horizon 
E5 Resource 
use and 
circular 
economy 
E5 Resource inflows, including resource use - Availability 
of raw materials. Vesivek’s 
business operations are largely 
based on a small number of core raw materials 
Risk 
Upstream 
and the 
Company's 
own 
operations 
Long-term 
Explanation: 
Vesivek’s operations 
are largely based on a few core raw materials, such as 
steel, aluminium and 
wood. Consequently, 
changes in the markets for these raw materials present 
a risk to the business. 
Written policies:
 
The Group’s principle is to strive to make purchases 
directly as factory purchases without 
intermediaries. The Group aims to maintain inventories 
of the most critical raw materials so that operations are not 
jeopardised by market fluctuations. 
E5 Resource inflows, including resource use - Availability 
of raw materials. Vesivek cooperates 
with SSAB on the 
development of fossil-free steel 
Positive 
impact 
Upstream 
and the 
Company's 
own 
operations 
Medium- 
and long-
term 
Explanation: 
Fossil-free steel is made from highly recycled steel, and 
it reduces the use of primary raw material. 
Steel is Vesivek’s 
most used raw material, which is why fossil-free steel 
has a significant impact on Vesivek’s 
raw 
materials. Because fossil-free steel is lower in emissions, 
its use leads to lower CO2 emissions. This also helps 
avoid price pressure caused by emissions trading for steel.

 
 
 
 
 
 
 
 
 
54 
E5 Waste - Waste 
recycling - Vesivek’s 
construction sites 
generate large amounts of various waste. 
Risk and 
positive 
impact 
Company's 
own 
operations 
Long-term 
Explanation:
 
Vesivek’s construction sites 
generate large amounts of waste. The appropriate sorting 
of the waste 
reduces the Company’s waste fees and helps to reduce 
the consumption of primary raw material in general. 
Asbestos is also among the waste fractions generated 
at demolition sites, and its appropriate handling is important 
from the perspective of employee health.
Written policies: 
Vesivek's principle is to 
bring the required goods to the site as needed, and to 
take waste out 
when leaving. In addition, waste is sorted on site to the 
greatest possible extent. The waste management provider 
also sorts miscellaneous construction waste for recycling. 
Policies: 
Cooperation started in Finland with Remeo Oy, 
which has helped to centralise waste management. 
Metrics: 
Recycling rate 
Targets: 
Progress towards the recycling rate target of over 70% is monitored 
regularly.
At 
Vesivek, 
we 
focus 
on 
sustainable 
resource 
use 
and 
circular 
economy 
principles. 
Our 
goal 
is 
to 
reduce 
the 
consumption of 
natural resources 
and the 
generation 
of waste 
by utilising 
recycling and 
the reuse 
of materials. 
This way, 
we 
promote 
environmental 
protection 
and 
resource 
efficiency 
while 
reducing 
the 
need for 
virgin 
raw 
materials. 
E5-1 Policies related to resource use and circular economy 
At 
Vesivek's 
installation 
sites, 
the 
long-standing 
principle 
is 
to 
bring 
the 
required 
goods 
to 
the 
site 
as 
needed, 
and 
to 
take 
waste 
out 
when 
leaving. 
In 
addition, 
waste 
is 
sorted 
on 
site 
to 
the 
greatest 
possible 
extent. 
The 
Group also 
utilises the 
waste management 
provider's mechanical 
sorting for 
miscellaneous construction 
waste. 
Employees receive training 
in waste sorting, 
and waste 
volumes and the 
recycling rate are 
actively monitored 
in 
collaboration 
with 
suppliers. 
Vesivek 
is 
also 
in 
the 
process 
of 
applying 
for 
ISO 
14001 
certification 
for 
its 
operations. 
By 
recycling 
the 
waste 
generated 
by 
its 
operations 
as 
efficiently 
as 
possible, 
Vesivek 
aims 
to 
contribute 
to 
the 
circular 
economy. 
Vesivek's 
target 
is 
to 
have 
a 
recycling 
rate 
of 
over 
70% 
for 
the 
waste 
generated 
by 
its 
own 
operations. 
This 
target 
is 
also 
related 
to 
obligations 
stipulated 
by 
Finnish 
legislation 
governing construction activities. 
Vesivek 
will develop 
its procurement 
function in 
the short 
term. The 
aim is 
to ensure 
the Company's 
access 
to 
core raw 
materials and 
to take 
related sustainability 
matters, such 
as climate 
and human 
rights, into 
account in 
the procurement process. 
E5-2 – Actions and resources related to resource use 
and circular economy 
Vesivek 
has 
systematically 
developed 
its 
procurement 
activities 
for 
several 
years 
now. 
For 
the 
core 
raw 
materials, procurement is based on long-term 
customer relationships and joint product development 
over several 
years. Vesivek 
Oy also 
hired a full 
-time Procurement 
Director during 
the financial year 
2025. Vesivek 
has noted 
that the amounts of resources related to resource use 
and circular economy are not significant. 
During the 
financial year, 
Vesivek 
Oy and 
Vesivek 
Salaojat Oy 
transitioned to 
a centralised 
waste management 
solution for most of 
their units, which enhanced 
the monitoring and sorting 
of waste. Surveys and 
training for the 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
55 
personnel 
were 
organised 
in cooperation 
with 
the 
waste 
management 
company 
Remeo. 
Remeo 
also 
provides 
efficient mechanical sorting for miscellaneous construction 
waste from Vesivek’s 
installation sites. 
E5-3 Targets related 
to resource use and circular economy 
Vesivek's target is 
to reduce the waste generated 
by its own operations and to 
have a recycling rate of over 
70%. 
The 
target 
is 
set 
by 
the 
Company 
itself 
and 
is 
not 
a 
science-based 
target. 
Instead, 
the 
target 
is 
based 
on 
the 
goal laid down 
in the Finnish 
Building Act. The 
scope of Vesivek’s 
target includes waste 
generated by the 
entire 
Group’s own operations, 
including factories as well 
as installation operations. 
Vesivek 
has achieved the targeted 
recycling rate. 
In 
order 
to 
facilitate 
the 
achievement 
and 
monitoring 
of 
this 
target, 
Vesivek 
has 
developed 
the 
monitoring 
of 
waste volumes with its partners. 
The waste management companies are 
also committed to Vesivek’s 
target, and 
the achievement of the target is actively monitored in collaboration 
with them. 
E5-4 Resource inflows 
Vesivek 
has recognised 
that it 
currently uses 
a lot 
of steel 
in its 
operations. Thus 
far, 
the steel 
used by 
Vesivek 
has 
been 
largely 
produced 
from 
primary 
raw 
material, 
meaning 
raw 
material 
obtained 
directly 
from 
nature 
by 
mining. 
The 
transition 
to 
fossil-free 
steel 
production 
will 
result 
in 
the 
steel 
used 
by 
Vesivek 
being 
largely 
produced 
from 
recycled 
raw 
materials. 
Vesivek 
also 
carries 
out 
tiled 
roof 
renovations, 
which 
provides 
the 
Company with an alternative if there are problems with the 
availability of steel. 
The table below shows the Group’s purchasing volumes 
for the most significant raw materials. 
Material 
Quantity (tonnes) 
Steel 
7.453 
Aluminium 
136 
Wood 
6.037 
The 
data 
on 
purchased 
materials 
has 
been 
obtained 
from 
the 
Company’s 
suppliers 
and 
from 
the 
purchasing 
statistics 
of 
the 
manufacturing 
companies, 
and 
it 
does 
not 
involve 
any 
assumptions. 
However, 
the 
information 
has not been externally certified. 
E5-5 Resource outflows 
Waste type 
Tonnes 
in 2024 
Tonnes 
in 2025 
Change, % 
Disposal 
Metal 
2.903 
2.738 
-6% 
Repurposing 
Mixed waste 
624 
604 
-3% 
Incineration with 
energy recovery 
Cardboard 
26 
25 
-4% 
Repurposing 
Concrete 
17 
24 
41% 
Repurposing 

 
56 
Construction waste 
2.903 
2.738 
-22% 
Repurposing 
Hazardous waste 
14 
14 
-3% 
Incineration with 
energy recovery 
Brick waste 
4.35 
5.036 
16% 
Repurposing 
Asbestos 
1.494 
865 
-42% 
Landfill 
Wood 
1.456 
935 
-36% 
Incineration with 
energy recovery 
Recycled wood 
 
- 
41 
Repurposing 
Paper 
0.1 
2 
1445% 
Repurposing 
Energy fraction 
26 
22 
-16% 
Incineration with 
energy recovery 
Biowaste 
2 
4 
75% 
Repurposing 
Total 
12.209 
11.318 
-10% 
Recycled 
8.594 
8.878 
Recycling rate 
70.40% 
78.40% 
Recovered 
10.715 
10.453 
Tonnes 
2025 
Preparation of non-hazardous waste for reuse 
Recycling of non-hazardous waste 
8.878 
Recovery operations for non-hazardous waste 
1.561 
Amount of non-hazardous waste diverted from disposal 
10.439 
Preparation of hazardous waste for reuse 
Recycling of hazardous waste 
Other recovery operations for hazardous waste 
Total amount of 
hazardous waste diverted from disposal 
 
- 
Incineration of non-hazardous waste 
Landfill of non-hazardous waste 
Disposal of non-hazardous waste 
Total amount of 
non-hazardous waste directed to disposal 
 
- 
Incineration of hazardous waste 
14 
Landfill of hazardous waste 
865 
Other disposal of hazardous waste 
Total amount of 
hazardous waste directed to disposal 
879 
Total amount of 
non-recycled waste 
2.440

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
57 
Percentage of non-recycled waste 
22% 
Total amount of 
hazardous waste generated 
879 
Total amount of 
waste generated 
11.318 
For 
Vesivek 
Oy 
and 
Vesivek 
Salaojat, 
the 
data 
on 
waste 
volumes 
has 
become 
more 
precise 
due 
to 
the 
Company 
adopting 
a 
more 
centralised 
waste 
management 
solution. 
The 
waste 
volumes 
have 
been 
calculated 
by estimation 
for only 
two units. 
For Vesivek 
Ab, the 
amount of 
brick waste 
has been 
estimated based 
on data 
on 
the 
square 
metres 
of 
demolished 
roofs. 
In 
other 
respects, 
the 
Group’s 
reporting 
is 
based 
on 
statistics 
obtained from 
waste management 
companies. As 
a result, the 
risk of 
reporting errors 
has also decreased 
when 
compared to the previous year. 
The information has not been subject to third-party 
verification. 
E5-6 
Anticipated 
financial 
effects 
from 
resource 
use 
and 
circular 
economy-related 
risks 
and 
opportunities 
Vesivek has applied transition 
periods in this section and will report on the section 
in future periods. 
S-1 Own workforce 
Transitional provisions are applied in this 
section. 
Competent 
and 
professional 
personnel, 
and 
operations 
and 
leadership 
that 
are 
aligned 
with 
the 
Company's 
values, are 
at the 
heart of 
Vesivek's 
business. The 
Company develops 
its industry 
towards a 
society of 
greater 
sustainability and 
well-being through 
cooperation both 
internally and 
with partners. 
The Company 
invests in 
the 
development of personnel competence and encourages continuous 
learning and development. 
Competent and committed employees are 
a key success factor. 
The company trains and supports 
its employees 
in key areas, such as 
leadership, work tasks and 
well-being at work. The 
health and safety of the 
personnel is at 
the heart of the operations, and the operations 
are guided by the company’s equality 
and non-discrimination plan. 
The 
personnel 
are 
of 
paramount 
importance, 
and 
remuneration 
is 
part 
of 
engaging 
the 
commitment 
of 
the 
personnel. 
If 
any 
human 
rights 
violations, 
unethical 
conduct 
or 
other 
incidents 
of 
legal 
non-compliance 
are 
detected, the problems are addressed with the aim of achieving 
quick and effective remedies. 
Significant impacts 
and key 
risks and 
opportunities related 
to social 
responsibility 
topics have 
been identified 
in 
the 
company’s 
double 
materiality 
assessment. 
Social 
value 
creation, 
impact, 
risk 
and 
opportunity 
assessment 
and 
measures 
are 
focused 
on 
work-life 
balance, 
and 
health 
and 
safety. 
They 
are 
focused 
not 
only 
on 
the 
Company's own employees 
but also the health 
and safety of value 
chain workers, consumers 
and end-users, as 
well as child labour and forced labour. 
S1.SBM-3 
Material 
impacts, 
risks 
and 
opportunities 
and 
their 
interaction 
with 
strategy 
and 
business 
model 
Topic 
Sub-topic and IRO 
Type 
Part of the 
value chain 
Time horizon 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
58 
S1 Own 
workforce 
S1 Work-life balance - Personnel turnover 
Risk 
Company's 
own 
operations 
Medium-term 
Explanation: 
Personnel turnover has been identified as a risk primarily 
in sales and installation operations. An 
excessive rate of personnel turnover leads to uncontrolled 
loss of competence and higher recruitment costs. 
Written policies: 
The Group provides opportunities for flexible working hours 
and hybrid work for its personnel. 
The 
Group has also invested in supervisor training. 
Metrics: 
Staff turnover
S1 Own 
workforce 
S1 Health and safety - Occupational safety 
Risk 
Company's 
own 
operations 
Medium-term 
Explanation: 
Roofing and factory work are known to involve a risk of accidents. 
Accidents affect the company’s 
performance and can also cause risks related to access 
to construction sites or fines, for example.
Written policies: 
Safety plans have been drawn up for factories and installation 
sites, and they are monitored by 
carrying out inspections. 
Policies: 
Occupational safety instructions have been developed. 
Site safety plans have been enhanced. 
Metrics: 
Accident frequency 
Target: 
Under 50 (Vesivek Oy)
S1 Health and safety - Occupational safety 
Negative 
impact 
Company's 
own 
operations 
Medium-term 
Explanation: 
Workplace accidents can have serious consequences 
for employees. In the worst case, accidents can 
have long-term adverse impacts on an employee's 
life.
In reporting concerning its own workforce, 
the Company has taken into account 
all employees who worked in the 
Company 
during the 
reporting 
period. 
As a 
rule, 
the 
Company's 
own workforce 
is employed 
in permanent 
and 
full-time employment relationships. 
The Company’s workers 
are primarily its own employees. 
Temporary 
agency 
workers 
represent 
less 
than 
5% 
of 
the 
workers. 
The 
impacts 
of 
Vesivek’s 
operations 
on 
the 
Company’s 
own 
workforce concern 
all of 
the Company’s 
employees, regardless 
of the 
location or 
work task. 
However, 
it should 
be noted that occupational safety 
issues are particularly emphasised at 
installation sites and in factory 
work. The 
operations are guided by the Company’s equality 
and non-discrimination plan. 
Vesivek’s 
outputs 
are 
highly 
dependent 
on 
people. 
This 
includes 
sales, 
installation 
work 
and 
factory 
work. 
For 
this 
reason, 
the 
retention 
of 
skilled 
workers 
is 
one 
of 
the 
key 
factors 
for 
the 
company’s 
success, 
and 
high 
personnel turnover and absences are risks. 
The 
Company 
recognises 
that, 
among 
its 
activities, 
roof 
installation 
work 
and 
factory 
work 
involve 
a 
particular 
risk of workplace accidents. With this in 
mind, the Company has systematically developed 
occupational safety by, 
for example, using scaffolding and focusing on 
orientation training at installation sites and in the factory. 
S1-1 Policies related to own workforce 
The Company’s 
operations are 
strongly based 
on the Code 
of Conduct 
and the non-discrimination 
policy, 
which 
prohibit all 
forms of 
discrimination based 
on gender, 
age, origin, 
race, nationality, 
language, religion, 
conviction, 

59 
opinion, 
political 
activity, 
trade 
union 
activities, 
family 
relationships, 
pregnancy, 
health, 
disability, 
sexual 
orientation 
and 
other 
reasons 
related 
to 
an 
individual's 
identity. 
Indirect 
discrimination 
is 
also 
prohibited. 
This 
prohibition 
of 
discrimination 
applies 
throughout 
the 
employment 
relationship, 
regardless 
of 
the 
form 
of 
employment (permanent, fixed-term or part-time). 
The Company will update its 
equality and non-discrimination plan during 
the financial year 2026. The 
plan will be 
aligned with 
national and 
EU legislation. 
The Company 
monitors the 
realisation of 
these principles 
on a 
regular 
basis by means of equality and non-discrimination surveys. 
Vesivek Oy/Vesivek 
Salaojat Oy, Vesivek 
Sverige Ab and Vesivek Tuotteet 
Oy each have their own occupational 
health and safety committee 
consisting of representatives 
of both employees and 
the employer. 
The committees 
meet 
regularly 
and/or 
as 
necessary. 
More 
detailed 
information 
is 
provided 
in 
the 
Company’s 
sustainability 
programme, which is available on the Company’s 
website 
With 
regard 
to 
corporate 
responsibility, 
social 
responsibility 
is 
at 
the 
core 
of 
operations, 
and 
its 
foundation 
is 
compliance with 
requirements and 
regulations. The 
Company has 
developed a 
work ability 
management model 
and related processes to support the well-being and productivity 
of the personnel. 
Responsibility 
and 
regulatory 
compliance 
related 
to 
the 
Company's 
own 
workforce 
is 
managed 
in 
accordance 
with the applicable legislation 
and the policies approved 
by the Company's Board 
of Directors and management. 
These 
policies 
and 
principles 
include 
the 
Company’s 
values, 
Code 
of 
Conduct, 
vision 
and 
mission, 
and 
management 
systems. 
The 
key 
policies 
that 
guide 
the 
well-being 
and 
occupational 
safety 
of 
the 
personnel 
include 
the 
remote 
work 
guidelines, 
the 
job 
descriptions 
of 
the 
JOT 
model, 
flexible 
working 
hours, 
work 
ability 
management, insurance 
instructions and 
models, the 
workplace community 
development plan, 
and recognising 
employees for milestones in their 
years of service and on 
other special occasions. These 
policies cover all of the 
personnel 
and 
ensure 
that 
the 
necessary 
occupational 
safety 
training 
is 
also 
provided 
to 
temporary 
agency 
workers. The Group has also prepared occupational safety 
plans for all Group companies. 
The 
Company’s 
management 
and 
personnel 
development 
are 
guided 
by 
the 
work 
ability 
management 
model 
and the 
workplace community 
development 
plan. Their 
implementation is 
the responsibility 
of the 
management 
and the 
HR functions. 
Management and 
supervisory work 
is supported 
by training 
activities that 
are focused 
on 
the 
Company’s 
management 
practices, 
and 
the 
development 
of 
personnel 
competence 
is 
based 
on 
the 
Company’s 
strategy 
and 
goals. 
Competent 
and 
professional 
personnel 
and 
competence 
management 
are 
key 
aspects 
of 
the 
Company’s 
operations. 
In 
accordance 
with 
the 
Vesivek 
Academy 
training 
paths, 
we 
encourage 
our 
personnel 
to 
pursue 
continuous 
development. 
The 
training 
plan 
is 
part 
of 
the 
workplace 
community 
development plan, and we monitor the number of training days 
annually. 
S1-2 Processes for engaging with own workers and 
workers’ representatives about impacts 
The 
Company’s 
management 
is 
represented 
in 
the 
personnel 
cooperation 
groups, 
which 
ensures 
that 
information 
is 
also 
passed 
on 
to 
the 
Company’s 
Board 
of 
Directors 
and 
management 
teams. 
In 
addition, 
the 
Group 
companies 
have 
occupational 
safety 
and 
health 
committees 
that 
include 
management 
representatives. 
Any member of the personnel can register their interest 
in participating in these groups and committees. 
S1-3 Processes to remediate negative impacts and channels for 
own workers to raise concerns 
Targets 
are set annually in connection with 
business planning and budgeting to 
ensure that they are aligned 
with 
the Company's strategic objectives and 
HR planning.Business planning is carried 
out between senior and middle 
management, 
engaging 
the 
organisation’s 
key 
personnel 
in 
accordance 
with 
their 
respective 
areas 
of 
responsibility. 
Management 
forums 
in 
accordance 
with 
the 
management 
system, 
as 
well 
as 
oral 
and 
written 
information collected from the organisation, are utilised in the 
identification of development areas. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
60 
The 
Company’s 
employees 
have 
the 
right 
to 
freedom 
of 
association. 
The 
Company 
also 
has 
an 
anonymous 
whistleblowing channel 
for reporting 
misconduct. Employees 
have been 
provided with 
instructions regarding 
the 
channel, and the instructions 
are also available 
on the Company’s 
intranet and website. 
The cooperation groups 
that operate 
in the Group 
companies enable 
the engagement 
of the 
personnel and 
active dialogue 
between the 
Company and the personnel. 
S1-4 Taking 
action 
on 
material 
impacts on 
own 
workforce, 
and 
approaches 
to 
mitigating 
material 
risks 
and pursuing material opportunities related to own 
workforce, and effectiveness of those actions 
The Company takes safety 
issues seriously, 
and the aim is to promote 
the creation of safe working 
methods and 
environments.The Company designs, manufactures 
and installs products, such 
as roof safety products, provides 
a safe working environment in and 
around buildings, and creates safe 
access routes and working areas 
for other 
professionals. The 
Company takes 
care of the 
safety and 
health of 
its employees 
by providing 
them with 
a safe 
working environment and the necessary protective equipment. 
Vesivek has 
invested in occupational safety 
over the years. For 
example, the Company introduced 
scaffolding in 
roof 
renovations 
in 
2018. 
Effective 
training 
and 
safety 
planning 
has 
led 
to 
a 
reduction 
in 
accidents. 
The 
Company has 
also developed 
a new 
sales and 
installation model 
that has 
improved work 
-life balance. 
Vesivek 
uses accident frequency and personnel turnover as metrics 
for these measures. 
The 
Company 
measures 
job 
satisfaction 
by 
means 
of 
annual 
surveys 
and 
more 
frequent 
pulse 
surveys. 
The 
Company 
invests 
in 
competence 
through 
the 
Vesivek 
Academy’s 
training 
paths 
and 
encourages 
continuous 
development. 
The 
operations 
are 
based 
on 
the 
equality 
and 
non-discrimination 
plan, 
and 
the 
personnel’s 
experiences 
are 
monitored 
by 
means 
of 
equality 
and 
non-discrimination 
surveys. 
Training 
is 
a 
key 
part 
of 
development activities, and 
our management system 
supports continuous dialogue 
in workplace communities 
to 
address matters related to finances, safety and competence. 
At 
Vesivek, 
performance 
reviews, 
sales 
target 
reviews 
and 
one-to-one 
discussions 
are 
an 
important 
part 
of 
performance management and good supervisory work.  
S1-6 Characteristics of the undertaking's employees 
Personnel turnover 
HLRE 
Group Oy 
Tuusulan 
Peltikeskus Oy 
Vesivek 
Salaojat Oy 
Vesivek Oy 
Vesivek 
Tuotteet Oy 
Vesivek 
Sverige Ab 
Total 
number 
of 
employment 
relationships 
valid 
during 
the 
financial 
year 
20 
10 
135 
682 
75 
100 
Started 
during 
the 
financial year 
2 
0 
58 
260 
0 
54 
Ended 
during 
the 
financial year 
1 
0 
57 
233 
6 
43 
The 
information 
has 
been 
obtained 
directly 
from 
the 
Group’s 
payroll 
system, 
and 
it 
does 
not 
include 
any 
assumptions. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
61 
S1-14 Health and safety metrics 
Company 
Number of accidents 
Accident frequency per one million hours 
worked 
Vesivek Oy 
51 
66 
Vesivek Salaojat Oy 
5 
35 
Vesivek Sverige Ab 
2 
10 
Vesivek Tuotteet 
Oy 
0 
0 
Tuusulan Peltikeskus Oy 
1 
64 
The 
information 
for 
the 
metrics 
has 
been 
obtained 
from 
the 
company’s 
payroll 
software. 
It 
does 
not 
contain 
assumptions. 
Instead, 
everything 
is 
recorded 
in 
the 
system. 
However, 
the 
information 
has 
not 
been 
subject 
to 
third-party verification. 
Vesivek’s 
target for 
Vesivek 
Oy was 
to reduce 
accident frequency 
to 50, 
but this 
target was 
not quite 
achieved. 
Nevertheless, 
accident 
frequency 
decreased 
from 
the 
previous 
year's 
level 
of 
75. 
At 
the 
time 
of 
reporting, 
Vesivek Tuotteet 
had operated for over a year without any accidents. 
S2 – Workers in the value chain 
Transitional provisions are applied in this 
section. 
Material impacts, risks and opportunities related to value 
chain workers 
Topic 
Sub-topic and IRO 
Type 
Part of the 
value chain 
Time 
horizon 
S2 Workers in 
the value chain 
S2 Health and safety - Safety and working conditions of 
value chain workers 
Negative 
impact 
Upstream 
Long-term 
Explanation: 
No measures were observed with respect to the Company’s 
own suppliers. In 2024, the Company did not 
have a clear view of the suppliers of suppliers, such as 
ore excavation and the supply chains of plastic products, 
which 
are seen as risks with regard to appropriate working conditions 
and equal treatment. 
Measures: 
The Group aims to raise these issues on a regular basis 
in discussions with suppliers.
S2 Other work-related rights - Rights of value chain 
workers 
Negative 
impact 
Upstream 
Long-term 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
62 
Explanation: 
With regard to the suppliers of suppliers, the Company does 
not have a view of the use of child labour or 
forced labour in activities such as ore excavation or the 
international supply chains for plastic products. 
Measures: 
The Group aims to raise these issues on a regular basis 
in discussions with suppliers.
Vesivek 
has determined 
that, as 
a rule, 
its direct 
suppliers are 
companies that 
operate nearby, 
in either 
Finland 
or Sweden. 
The Group 
also has 
a few 
European suppliers 
whose operations 
are primarily 
well-organised. 
The 
suppliers 
are 
mainly 
large 
suppliers. 
For 
this 
reason, 
Vesivek 
has 
determined 
that 
the 
suppliers' 
practices 
concerning working life and their social responsibility processes 
are at an adequate level. 
At 
the 
same 
time, 
Vesivek 
recognises 
that 
its 
key 
raw 
materials, 
such 
as 
steel 
and 
the 
plastic 
used 
to 
manufacture 
drainage 
pipes, 
are 
largely 
sourced 
through 
mining 
and 
oil 
refining, 
and 
the 
raw 
materials 
often 
originate from 
third countries. 
The subcontractors 
of the 
company's 
suppliers may 
have challenges 
with regard 
to compliance with regulations 
governing the working 
conditions of their employees 
and other legislation, as 
well 
as environmental 
regulations. If 
such challenges 
were to 
materialise, they 
would have 
a negative 
impact on 
the 
Company. 
Policies 
Vesivek 
recognises 
that 
its 
visibility 
to 
its 
suppliers’ 
subcontractors 
is 
limited. 
For 
this 
reason, 
Vesivek 
has 
included this 
theme in 
its discussions 
with suppliers. 
By doing 
this, Vesivek 
aims to 
underline the 
importance of 
the issue and encourage its suppliers to examine these 
issues. 
Measures 
During 
the 
year 
under 
review, 
Vesivek 
raised 
the 
issue 
in 
discussions 
with 
suppliers. 
In 
the 
coming 
years, 
Vesivek will draw up a Supplier 
Code of Conduct and encourage suppliers to commit to it. 
S4 – Consumers and end-users 
Transitional provisions are applied in this 
section. 
S4.SBM-3 Material impacts, risks and opportunities related 
to consumers and end-users 
Topic 
Sub-topic and IRO 
Type 
Part of the 
value chain 
Time 
horizon 
S4 Consumers and 
end-users 
S4 Personal safety of consumers or end-users - 
Improvement of Vesivek’s 
customers' properties 
Positive 
impact 
Downstream 
Long-term 
Explanation: 
Property improvement. The services provided by Vesivek 
make properties longer-lasting, healthier and 
safer to live in. 
Written policies: 
Vesivek's offering 
includes everything that is needed for the external moisture 
management of 
buildings.
Policies: 
Vesivek develops long-lasting 
products and invests in installation quality in order to 
make properties in 
Finland and Sweden as long-lasting as possible.

 
 
63 
Vesivek’s 
customers 
include 
consumers, 
construction 
companies, 
housing 
companies, 
property 
management 
companies, 
roofers 
and 
hardware 
stores. 
Vesivek’s 
operations 
affect 
all 
customer 
groups 
and, 
as 
a 
more 
significant opportunity, 
the Company has identified 
healthy and long-lasting 
properties, which Vesivek’s 
products 
and services help to accomplish through external moisture 
control solutions and roof safety products. 
Vesivek 
does 
not 
supply 
its 
customers 
or 
end-users 
with 
products 
that 
are 
defective 
or 
otherwise 
harmful. 
Instead, 
the 
Company 
ensures 
that 
its 
products 
meet 
the 
regulatory 
requirements 
related 
to 
construction. 
Vesivek 
provides 
long 
warranties 
for 
its 
products 
and 
also 
provides 
operating 
and 
maintenance 
instructions 
in 
connection 
with 
renovations 
and 
offers 
statutory 
inspections. 
Vesivek 
also 
operates 
responsibly 
in 
consumer 
sales 
and 
does 
not 
offer 
renovation 
services 
if 
the 
condition 
inspection 
does 
not 
indicate 
a 
genuine 
need 
for 
renovation. 
In 
addition, 
Vesivek 
does 
not 
offer 
renovations 
if 
it 
suspects 
that 
the 
customer 
is 
in 
a 
vulnerable 
position. In such cases, 
Vesivek requests 
that the customer be 
accompanied in the process 
by a trusted person. 
Vesivek’s 
objective 
is 
that, 
through 
its 
operations, 
the 
Company 
can 
provide 
consumers 
and 
end-users 
with 
healthy and long-lasting housing while safeguarding the value 
of the customer’s property. 
Vesivek 
strives 
to 
be 
a reliable 
and 
trustworthy 
operator 
in 
all 
of 
its 
activities, 
and 
to 
operate 
responsibly. 
The 
Company 
believes 
that 
operating 
responsibly 
also 
has 
a 
positive 
impact 
on 
the 
Company's 
reputation 
and 
thereby promotes better financial performance. 
S4.1- 4 Policies 
Vesivek’s 
sales-related policies and 
principles are documented 
in the Company’s 
sales playbook, which 
is a tool 
for 
every 
salesperson. 
The 
instructions 
emphasise 
respect 
for 
the 
customer’s 
home 
in 
sales 
and 
inspection 
meetings, 
and 
that 
Vesivek 
always 
operates 
with 
openness, 
transparency, 
clarity 
and 
integrity 
in 
all 
of 
its 
activities 
and 
is 
committed 
to 
keeping 
its 
promises. 
The 
Company's 
quality 
manual 
includes 
documentation 
of 
installation instructions. 
The instructions emphasise 
respect for the 
customer’s home in 
sales and inspection 
meetings, and that 
Vesivek 
always 
operates 
with 
openness, 
transparency, 
clarity 
and 
integrity 
in 
all 
of 
its 
activities 
and 
is 
committed 
to 
keeping its promises. 
 
Vesivek's principle 
is to keep the 
customer informed of 
the progress of the 
process throughout its 
duration. This 
is achieved through 
customer communication 
at different 
stages of the 
process, from the 
customer encounter 
to 
the warranty inspection. 
S4 1- 4 Measures 
Vesivek has 
drawn up sales 
instructions, and new 
project managers and 
customer-facing employees 
receive in-
depth orientation 
training for 
their work. 
The orientation 
training also 
covers the 
Company’s operating 
practices 
with regard to responsible in-home sales. 
Vesivek also 
has its own 
product development function, 
which is responsible 
for the compliance 
of products and 
monitors the quality of the products. In-house 
product development also enables an unbroken 
chain directly from 
the 
installer 
to 
product 
development, 
through 
which 
products 
can 
be 
developed 
exactly 
as 
needed. 
Product 
development also 
involves actively 
listening to 
feedback 
and developing 
products 
in response 
to feedback 
and 
changing regulations. 
G1 - Governance 

 
 
64 
G1.GOV-1 Governance bodies 
The Group's Board of Directors 
The Group’s Board 
of Directors consists of 
six (6) members, three 
(3) of whom are 
Board members independent 
of the Company. The 
Board of Directors consists of one (1) female member and 
five (5) male members. 
The 
Board 
of 
Directors 
sees 
to 
the 
administration 
and 
appropriate 
organisation 
of 
the 
operations 
of 
the 
entire 
HLRE 
Holding 
Group 
and 
directs 
and 
oversees 
the 
operations 
of 
the 
HLRE 
Holding 
Group. 
The 
Board 
of 
Directors' task is to promote the interests of the HLRE 
Holding Group and HLRE Holding Plc’s shareholders. 
The Board of 
Directors is 
responsible for 
the appropriate 
arrangement of 
the control 
of the Company's 
accounts 
and finances. 
The Board 
of Directors 
reviews and 
adopts the 
Company’s financial 
statements and 
consolidated 
financial statements for the financial 
year ended, as well as 
any half-year report for the 
period ended in July, 
and 
any interim 
reports for 
the periods 
ended in 
April and 
October. 
In addition, 
the Board 
of Directors 
oversees the 
Company's 
CEO and 
Executive 
Board and 
approves 
the Group-wide 
strategic 
objectives 
and the 
principles 
for 
risk 
management 
and 
governance 
systems. 
The 
Board 
of 
Directors 
addresses 
and 
decides 
on 
all 
matters 
of 
major significance in view of the Group’s operations. 
Composition of the Board (31 January 2025): 
●
 
Pentti Tuunala, Chair of the Board 
since 2014 
●
 
Ari Haapakoski, member of the Board since 2018 
●
 
Kimmo Riihimäki, member of the Board since 2014 
●
 
Anu Syrmä, member of the Board since 2018 
●
 
Timo Pirskanen, member of the Board since 
2018 
●
 
Mika Uotila, member of the Board since 2020 
Group Management Team 
(31 January 2025): 
The Group 
Management 
Team 
consists 
of six 
(6) 
representatives 
from the 
Group’s 
various 
business 
functions 
and administration. The Group Management Team 
has one (1) female member and five (5) male members. 
The management 
team supports 
the CEO 
in preparing 
strategic matters, 
addressing significant 
or fundamental 
operational matters, 
and ensuring 
internal flow 
of information. 
The management 
team is 
chaired by 
the Group's 
CEO, and it convenes regularly upon invitation by the CEO. 
As 
an 
expert 
body, 
the 
management 
team 
assists 
the 
CEO 
in 
the 
management 
of 
the 
Group’s 
operational 
business. The management 
team prepares and steers 
the development of the 
Group’s processes 
and business, 
as 
well 
as 
the 
Group’s 
common 
functions, 
and 
promotes 
the 
flow 
of 
information 
and 
cooperation 
between 
different 
parts 
of 
the 
organisation. 
In 
particular, 
the 
Group’s 
strategy 
and 
target 
setting, 
the 
budget, 
major 
procurements 
and 
projects, 
the 
Group’s 
structure 
and 
organisation, 
as 
well 
as 
the 
main 
management 
policies 
and HR policy 
issues, are 
discussed in the 
management team. 
In addition, 
the management 
team monitors 
and 
evaluates 
the 
profitability 
of 
business 
operations 
and 
the 
effectiveness 
of 
internal 
control 
and 
reporting 
systems. 
In 
the 
financial 
year 
2025, 
the 
management 
team’s 
tasks 
also 
included 
new 
tasks 
related 
to 
sustainability 
reporting. 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
65 
The 
management 
team 
informs 
the 
Group's 
Board 
of 
Directors 
without 
delay 
of 
any 
matters 
it 
has 
become 
aware 
of 
that 
may 
be 
expected 
to 
have 
a 
material 
impact 
on 
the 
Group’s 
operations. 
The 
management 
team 
must 
also 
inform 
the 
Board 
of 
Directors 
of 
issues 
such 
as 
occupational 
accidents 
resulting 
in 
serious 
injury, 
significant complaints concerning the 
Group, significant legal 
proceedings and/or claims, and 
any other issues of 
relevance in view of the duties or responsibility of the Group’s 
Board of Directors. 
Composition of the Management Team 
on 31 January 2025: 
●
 
Kimmo Riihimäki, Group CEO since 2014 
●
 
Antti Astejoki, Chief Operative Officer of Vesivek 
Oy/Vesivek Salaojat Oy since 
2024 
●
 
Jani Jylhä, Managing Director of Vesivek 
Sverige AB since 2015 
●
 
Pasi Heikkonen, Managing Director of Vesivek 
Tuotteet Oy/Tuusulan 
Peltikeskus Oy since 2018 
●
 
Anu Lapiolahti, interim HR Director since 2023 
●
 
Jari Raudanpää, CFO since 2018 
G1-1 Corporate culture and business conduct policies 
Topic 
Sub-topic and IRO 
Type 
Part of the value 
chain 
Time 
horizon 
G1 Business 
conduct 
G1 Corporate culture - Vesivek’s 
Code of 
Conduct 
Risk 
Upstream, 
Company's own 
operations, 
Downstream 
Long-term 
Explanation: 
Vesivek’s Code of 
Conduct and conducting business in accordance 
with it 
Written policies: 
The Company's Code of Conduct 
Policies: 
The Code of Conduct is included in employment contracts 
as an appendix. In the future, the Company also 
intends to obtain written confirmation of commitment to the 
Code of Conduct from all personnel and suppliers.
G1 Corporate culture - Vesivek’s 
Code of 
Conduct - Engaging the personnel's commitment 
to the Code of Conduct promotes the 
improvement of the corporate culture 
Positive 
impact 
Company's own 
operations 
Medium-term 
Explanation: 
Engaging the personnel's commitment to the Company's Code 
of Conduct helps to strengthen the 
Company's corporate culture.
The Group CEO 
is responsible 
for the 
Group's legal 
and ethical 
compliance and 
reports to 
the Audit Committee 
and the 
parent 
company's 
Board 
of Directors 
as necessary 
with regard 
to significant 
processes 
involving 
legal 
proceedings and the authorities. 
The sustainability 
of the Group's 
business conduct 
is guided 
by the 
applicable legislation, 
as well as 
the values, 
Code of Conduct and policies approved by the parent company's 
Board of Directors. 

 
 
 
66 
The Code of Conduct 
applies to all 
of the Group’s 
personnel. The aim 
and purpose of 
the Code of 
Conduct is to 
present shared 
operating practices 
and the 
Company's expectations 
for all 
members of 
the organisation 
in their 
day-to-day work and interaction. 
The foundation 
for the 
Company's operations 
is compliance 
with laws, 
regulations and 
practices, including 
anti-
bribery 
and 
anti-corruption 
practices 
and 
environmental 
issues. 
The 
Company 
has 
an 
equal 
and 
non-
discriminatory 
workplace 
environment. 
Shared 
operating 
practices 
create 
cohesion 
and 
help 
to 
address 
challenging situations. The Company also requires its 
upstream suppliers to adhere to the same principles. 
The 
Company 
complies 
with 
an 
anti-corruption 
and 
anti-bribery 
policy 
that 
is 
aligned 
with 
the 
United 
Nations 
Convention against Corruption (127). 
The Group's 
target is 
that 80% 
of the 
personnel have 
verifiably reviewed 
and accepted 
the Code 
of Conduct 
by 
taking 
a 
one-time 
action 
during 
the 
financial 
year 
2026. 
At 
the 
end 
of 
March 
2025, 
approximately 
45% 
of 
the 
Group's 
personnel 
had 
verifiably 
accepted 
and 
signed 
the 
Code 
of 
Conduct. 
Code 
of 
Conduct 
orientation 
and 
acceptance takes place 
via a service 
maintained by an 
external party, 
using a personal 
link. The Company's 
HR 
Director 
has 
real-time 
access 
to 
data 
in 
the 
service. 
The 
measurement 
has 
not 
been 
validated 
by 
an 
external 
party. 
Vesivek 
also 
has 
separate 
ethical 
guidelines 
for 
in-home 
sales, 
the 
aim 
of 
which 
is 
to 
provide 
Vesivek 
salespersons 
with 
clear 
operational 
instructions 
for 
customer 
encounters. 
The 
instructions 
emphasise 
respect 
for 
the 
customer’s 
home 
in 
sales 
and 
inspection 
meetings, 
and 
that 
Vesivek 
always 
operates 
with 
openness, 
transparency, clarity 
and integrity in all of its activities and is committed 
to keeping its promises. 
The sustainability 
of the 
Group's 
business conduct 
is guided 
by the 
Code of 
Conduct and 
the values 
approved 
by the Board of Directors. 
Mechanisms for identifying and reporting illegal and 
inappropriate conduct
 
Personnel 
and 
stakeholders 
are 
encouraged 
to 
report 
any 
observed 
violations 
of 
legislation 
and 
ethical 
misconduct related to Vesivek 
Group’s operations. Observations can 
be reported to one's supervisor. 
The Group 
has a whistleblowing channel in place. 
Whistleblowing channel
 
The 
whistleblowing 
channel 
is 
available 
on 
the 
Company's 
website 
in 
three 
languages: 
Finnish, 
Swedish 
and 
English. 
The 
website 
also 
includes 
instructions 
on 
how 
to 
use 
the 
channel. 
In 
addition, 
training 
has 
been 
provided to the 
Company’s own 
personnel on how 
to use the 
channel, and instructions 
are also available 
on the 
Company’s 
intranet. 
Managed 
and 
maintained 
by 
an 
external 
service 
provider, 
the 
channel 
is 
a 
secure 
and 
information security-audited 
cloud service 
that complies 
with the 
requirements of 
EU Directives 
and the 
GDPR. 
The 
channel 
provides 
the 
Group 
with 
access 
to 
information 
on 
concerns 
and 
suspected 
misconduct 
in 
the 
organisation and among its external stakeholders. 
Whistleblowers can use 
the channel to 
report concerns 
either in their 
own name or 
in complete anonymity. 
After 
submitting a whistleblower report, the 
whistleblower receives a code 
that is known only to 
the whistleblower. 
The 
information security risk 
is highly contained. The 
whistleblower can use the 
code to view open 
questions that the 
whistleblower 
has 
not 
yet 
answered. 
The 
code 
cannot 
be 
used 
to 
access 
the 
original 
report 
or 
previous 
responses to requests for additional information. 
Processing of whistleblower reports 
The Group 
CEO has 
appointed members 
of the Group's 
management and 
Group administration 
to a 
group that 
processes whistleblower reports. 

67 
The 
members 
of 
the 
Group, 
numbering 
three 
in 
January 
2025, 
receive 
e-mail 
alerts 
of 
all 
new 
whistleblower 
reports. 
The 
members 
read 
the 
message 
and 
designate 
a 
person 
responsible 
for 
the 
report 
from 
among 
their 
number. 
The report 
is assessed 
to determine 
whether 
it concerns 
a legal 
violation 
or a 
supervisory 
matter, 
for 
example, and 
to assess 
the urgency 
and severity 
of the 
issue. If 
the matter 
does not 
lead to 
further measures, 
the 
decision 
to 
terminate 
the 
processing 
of 
the 
issue 
is 
recorded 
in 
the 
system 
along 
with 
the 
reasons 
for 
the 
decision. 
If 
the 
report 
requires 
further 
processing, 
the 
persons 
responsible 
for 
the 
investigation 
are 
appointed, 
the 
investigation 
is 
carried 
out, 
and 
the 
observations 
are 
documented. 
If 
the 
observations 
lead 
to 
corrective 
measures, they 
are implemented 
systematically, 
for example, 
by updating 
the relevant 
instructions, carrying 
out 
training, pursuing labour 
law sanctions or 
reporting a crime. 
Finally, 
the measures are 
documented and reported 
to the whistleblower. 
The task 
of the 
group responsible 
for handling 
reports received 
through the 
whistleblowing channel 
is to 
ensure 
that 
the 
consequences 
of 
investigations 
are 
consistent 
in 
cases 
of 
similar 
severity 
and 
that 
the 
corrective 
measures 
are 
sufficient 
as 
described 
in 
the 
Company’s 
Code 
of 
Conduct 
and 
according 
to 
the 
principles 
governing 
the 
reporting 
of 
violations 
and 
their 
interpretation. 
Illegal 
actions 
are 
reported 
to 
the 
authorities. 
Neither 
the 
person 
whom 
the 
report 
concerns 
nor 
their 
supervisor 
ever 
participate 
in 
the 
investigation 
of 
violations 
or 
suspected 
violations. 
If 
it 
is 
deemed 
necessary 
due 
to 
the 
significance 
of 
the 
violation 
being 
investigated, the 
group reports 
the incident 
to the 
Group CEO, 
who then 
communicates the 
matter to 
the Audit 
Committee and 
the parent 
company's Board 
of Directors 
in a 
regularly scheduled 
meeting or 
immediately if 
the 
situation so requires. 
No 
confirmed 
incidents 
related 
to 
bribery 
or 
corruption 
were 
reported 
via 
the 
whistleblowing 
channel 
in 
2022–
2024. No whistleblower reports have been received regarding 
forced labour or the use of child labour. 
Total 
number 
of reports 
received via 
the 
whistleblowing 
channel 
in 2022–2024 
and incidents 
of misconduct 
by 
type: 
 
2024 
2023 
2022 
All 
Total number of incidents 
5 
2 
5 
12
Types of misconduct 
Customer and stakeholder relations
 
1 
0 
2 
3
Financial and administrative matters
 
1 
1 
1 
3 
Employment- and personnel-related 
matters
 
3 
1 
1 
5
Subcontractors and partners
 
0 
0 
1 
1 
G1 - Business conduct 

 
68 
Values and 
Code of 
Conduct 
The Group’s actions to 
strengthen the values and 
promote an ethical corporate 
culture enable a safe 
working environment for the 
personnel and an ethically 
reliable partner for 
stakeholders. 
Opportunity: The perceptions of the 
personnel and other stakeholders of the 
Group as an ethical operator are 
strengthened further. 
The personnel are provided 
with information during 
orientation training and later 
through separate training. 
The impact is positive. 
Risk: Unethical or unlawful conduct 
undermines the Group’s reputation as an 
ethical operator. Unequal treatment 
and 
harassment have a negative impact on 
employee satisfaction and engagement. 
The aim is to strengthen 
awareness among supervisors 
in particular. The Company 
has 
a whistleblowing channel that is 
open to everyone. 
Whistleblow
er protection 
Failure to ensure the 
anonymity of whistleblowers 
could result in retaliation 
against whistleblowers. No 
such incidents have 
occurred in 2022–2024. 
Risk: Trust in the whistleblowing channel 
would decrease and suspected incidents 
of misconduct would no longer be 
reported. As a result, actions that are 
contrary to the Company's values and 
Code of Conduct could go undetected. 
Unlawful actions may cause financial 
losses and decrease employee 
satisfaction. 
The whistleblowing channel can 
be used to report concerns in 
full anonymity and with a high 
level of information security. 
Whistleblower reports are 
handled equally, consistently 
and confidentially, 
in 
accordance with an established 
process. 
The impact is negative.

 
 
 
 
 
 
 
 
 
69 
Financial statements 
Consolidated statement of comprehensive income 
 
1000 EUR 
Note 
1.2.2024-
31.1.2025 
1.2.2023-
31.1.2024 
REVENUE 
4 
102,929
108,161
Other operating income 
5 
997
1,330
Material and services 
6 
-39,350
-39,864
Employee benefits expense 
7 
-43,459
-46,487
Depreciation and amortisation 
6 
-6,937
-12,810
Other operating expenses 
6 
-19,232
-21,001
OPERATING PROFIT 
-5,052
-10,671
Finance income 
16 
587
259
Finance costs 
16 
-5,166
-4,635
Finance income and costs total 
-4,579
-4,376
PROFIT/LOSS BEFORE TAX 
-9,630
-15,047
Tax 
on income from operations 
21 
1,206
1,769
PROFIT/LOSS FOR THE PERIOD 
-8,425
-13,278
Profit attributable to: 
Owners of the parent company 
-8,011
-13,113
Non-controlling interests 
-414
-165
-8,425
-13,278
Other comprehensive income: 
Items that may be reclassified subsequently to profit 
or loss 
Exchange differences on translating foreign operations 
-33
12
Erät, jotka saatetaan myöhemmin siirtää tulosvaikutteisiksi 
-33
12
TOTAL 
COMPREHENSIVE INCOME 
-8,458
-13,266
Total comprehensive 
income attributable to: 
Owners of the parent company 
-8,041
-13,102
Non-controlling interests 
-417
-164
-8,458
-13,266
Undiluted and dilution-adjusted earnings per share 
-0.49
-0.79

 
 
 
 
 
 
70 
Consolidated balance sheet 
 
1000 EUR 
Note 
31.1.2025 
31.1.2024 
ASSETS 
NON-CURRENT ASSETS 
Intangible assets 
9 
629
685
Goodwill 
9 
35,273
35,273
Property, plant, equipment 
10 
9,310
11,288
Property, plant, 
equipment Right-of-use 
10 
13,384
14,975
Other non-current financial assets 
48
48
Loan receivables 
15 
5
13
Deferred tax assets 
21 
3,256
1,940
NON-CURRENT ASSETS 
61,904
64,221
CURRENT ASSETS 
Inventories 
11 
11,228
12,833
Trade receivables and other receivables 
12 
6,618
6,261
Loan receivables 
15 
47
52
Income tax receivable 
724
713
Cash and cash equivalents 
2,498
2,574
CURRENT ASSETS 
21,115
22,433
ASSETS 
83,019
86,654
EQUITY AND LIABILITIES 
Owners of the parent company 
Share capital 
18 
80
80
Reserve for invested unrestricted equity 
18 
18,002
18,002
Translation differences 
18 
-170
-140
Retained earnings 
18 
-11,683
-3,599
Owners of the parent company 
6,229
14,343
Non-controlling interests 
-458
-91
EQUITY 
5,771
14,252
NON-CURRENT LIABILITIES 
Finance and lease liabilities 
15 
58,318
10,738
Employee benefit obligation 
7 
374
400
Deferred tax liabilities 
21 
74
105
NON-CURRENT LIABILITIES 
58,766
11,243
CURRENT LIABILITIES 
Finance and lease liabilities 
15 
5,299
42,066
Other current liabilities 
13 
13,125
17,098
Derivatives 
15 
0
1,852
Income tax liabilities 
59
143
CURRENT LIABILITIES 
18,483
61,159
Liabilities 
77,249
72,401
EQUITY AND LIABILITIES 
83,019
86,654

 
 
 
71 
Consolidated statement of changes in equity 
 
1000 EUR 
Note 
Share 
capital 
Reserve for 
invested 
unrestricted 
equity 
Translatio
n 
difference
s 
Retained 
earnings 
Total 
Non-
controlling 
interests 
Total equity 
18 
EQUITY 1.2.2024 
80
18,002
-140
-3,599
14,343
-91
14,252
Comprehensive income 
Profit/loss for the period 
-8,011
-8,011
-414
-8,425
Other comprehensive income 
Translation differences 
0
0
-30
0
-30
-3
-33
TOTAL COMPREHENSIVE 
INCOME 
0
0
-30
-8,011
-8,041
-417
-8,458
Other changes 
0
0
0
-22
-22
0
-22
Total transactions with owners 
0
0
0
-22
-22
0
-22
Changes in ownership interests in subsidiaries 
Changes in ownership interest without loss of 
control 
-52
-52
50
-2
TOTAL EQUITY 31.1.2025 
80
18,002
-170
-11,683
6,229
-458
5,771
 
1000 EUR 
Note 
Reserve for 
invested 
unrestricte
d equity 
Translati
on 
differenc
es 
Retained 
earnings 
Total 
Non-
controlling 
interests 
Total equity 
EQUITY 1.2.2023 
18 
80
18,002
-151
9,511
27,442
71
27,512
Comprehensive income 
Profit/loss for the period 
-13,113
-13,113
-165
-13,278
Other comprehensive income 
Translation differences 
0
0
11
0
11
1
12
TOTAL COMPREHENSIVE 
INCOME 
0
0
11
-13,113
-13,102
-164
-13,266
Other changes 
0
0
0
4
4
2
6
Total transactions with owners 
0
0
0
4
4
2
6
TOTAL EQUITY 31.1.2024 
80
18,002
-140
-3,599
14,343
-91
14,252

 
 
 
72 
Consolidated cash flow statement 
 
1000 EUR 
1.2.2024-
31.1.2025 
1.2.2023-
31.1.2024 
Cash flows from operating activities 
Note 
PROFIT/LOSS FOR THE PERIOD 
-8,425
-13,278
Adjustments to the profit/loss for the period 
Depreciation, amortisation and impairment 
6 
6,937
12,810
Financial income and expenses 
16 
4,995
3,801
Tax 
on income from operations 
21 
-1,206
-1,769
Other adjustments 
-546
169
Adjustments total 
10,180
15,011
Working capital changes 
Increase / decrease in inventories 
11 
1,569
2,947
Increase /decrease in trade and other receivables 
12 
-465
3,584
Increase / decrease in trade payables 
13 
1,478
-541
Interest paid 
16 
-1,628
-3,030
Interest received 
16 
155
192
Other financial items 
16 
-2,477
-12
Income taxes paid 
21 
-239
-551
Net cash from operating activities 
148
4,322
Cash flows from investing activities 
Purchase of tangible and intangible assets 
9,10 
-614
-999
Proceeds from sale of tangible and intangible assets 
9,10 
412
587
Acquisition of subsidiaries, net of cash acquired 
9,20 
-2
0
Loans granted 
-1
-9
Proceeds from repayments of loans 
13
14
Net cash used in investing activities 
-191
-407
Cash flows from financing activities 
Proceeds from current borrowings 
14 
976
0
Proceeds from non-current borrowings 
15 
3,066
0
Payment of lease liabilities 
-4,074
-4,898
Net cash used in financing activities 
-32
-4,898
Net change in cash and cash equivalents 
-75
-983
Cash and cash equivalents, opening amount 
15 
2,574
3,557
Net increase/decrease in cash and cash equivalents 
-75
-983
Cash and cash equivalents 
15 
2,498
2,574

73 
INFORMATION 
ABOUT 
THE 
CONSOLIDATED 
FINANCIAL 
STATEMENTS 
These 
consolidated 
financial 
statements 
are 
the 
financial 
statements 
of 
a 
group 
of 
companies 
comprised 
of 
HLRE Holding Oyj
, 
Business 
ID 
2611405-7 
(hereinafter 
referred 
to 
as 
“HLRE 
Holding”, 
“the 
Company” 
or 
“the 
parent company”) and its subsidiaries, which are jointly 
referred to as “HLRE”, 
“HLRE Group”
 
or “the Group”. 
The 
parent 
company 
of 
the 
Group 
is 
domiciled 
in 
Pirkkala, 
and 
its 
registered 
address 
is 
Jasperintie 273, FI-
33960 Pirkkala,
 
Finland. 
A 
copy 
of 
the 
financial 
statements 
is 
available 
from 
the 
address 
Jasperintie 
273, 
FI-
33960 
Pirkkala
, Finland. 
These 
consolidated 
financial 
statements 
include 
the 
consolidated 
statement 
of 
comprehensive 
income, 
consolidated balance 
sheet, consolidated 
cash flow 
statement and 
consolidated statement 
of changes 
in equity 
for the 
financial years 
ended 31 
January 2025 
and 31 
January 2024, 
and notes 
thereto. 
The Company’s 
Board 
of Directors approved the consolidated financial statements 
for publication on 28 May 2025.
 
In 
accordance 
with 
the 
Finnish 
Limited 
Liability 
Companies 
Act, 
shareholders 
can 
adopt 
or 
reject 
the 
financial 
statements at a general meeting of shareholders 
held after their publication. The general meeting 
has the right to 
amend the consolidated financial statements.
 
1. Accounting principles 
The 
consolidated 
financial 
statements 
have 
been 
prepared 
in 
accordance 
with 
the 
International 
Financial 
Reporting 
Standards 
(IFRS) 
and 
interpretations 
published 
by 
the 
IFRS 
Interpretations 
Committee 
(IFRS 
IC) 
applied by 
companies 
reporting 
under 
the 
IFRS 
standards 
as approved 
for 
application 
in 
the 
European 
Union. 
The notes to 
the financial statements 
also meet the 
requirements of the 
Finnish accounting 
and companies acts 
which supplement the IFRS. 
The 
measurement 
of 
assets 
and 
liabilities 
is 
based 
on 
cost, 
except 
for 
certain 
financial 
assets 
and 
liabilities 
(derivative 
instruments 
and 
financial 
assets 
at 
fair 
value 
through 
profit 
and 
loss), 
which 
are 
measured 
at 
fair 
value.
The consolidated 
financial statements 
are presented 
in thousands 
of euros, 
unless otherwise 
specified, and 
the 
numbers are 
rounded 
to the 
nearest thousand. 
Because 
of this, 
the sum 
of individual 
figures can 
deviate from 
the reported total. The operating currency 
of the Company is the euro, which 
is also the reporting currency of 
the 
Company and 
Group. The 
assets included 
in the 
financial statements 
of the 
subsidiaries 
included in 
the Group 
are measured in the currency of the primary operating 
environment of each subsidiary.
 
 
Business continuity 
The 
financial 
statements 
for 
the 
financial 
period 
2/1/2024-1/31/2025 
have 
been 
prepared 
based 
on 
the 
going 
concern principle, assuming that the Company 
will be able to liquidate its assets 
and settle its liabilities as part of 
normal business operations in the foreseeable future. 

74 
The consolidated 
loss for 
the financial 
year ended 
1/31/2025 was 
EUR -8.4 
million. The 
consolidated 
result for 
the previous 
financial year 
was EUR 
-13.3 million, 
which included 
an impairment 
of goodwill 
of EUR 
5.0 million. 
The Company's 
operating cash 
flow came 
to EUR 
0.1 (4.3) 
million, and 
net debt 
amounted to 
EUR 61.1 
(55.2) 
million. During the financial year, 
the Company refinanced the SEK 300 million 
bond issued by the Company that 
matured 
in 
February 
2024. 
The 
bond 
will 
mature 
in 
February 
2027. 
The 
bond 
includes 
a 
Swedish 
krona 
exchange rate risk that was 
not hedged at the time 
of signing the financial statements. 
A change of +-10% 
in the 
exchange rate of the Swedish 
krona against the euro 
would affect the result 
by approximately EUR +/-2.6 
million 
before 
taxes. 
The 
terms 
and 
conditions 
of 
the 
bond 
are 
described 
in 
more 
detail 
in 
sections 
15 
Loans 
and 
financial assets and 17 Financial risk management. 
The bond 
includes 
a cash 
covenant of 
EUR 2 
million 
and, effective 
from 1 
August 
2025, a 
leverage 
covenant. 
The Group’s 
cash and 
cash equivalents 
amounted to 
EUR 2.50 
million on 
31 January 
2025. The 
Group has 
an 
unused 
overdraft 
facility 
of 
EUR 
1.0 
million 
that 
was 
negotiated 
in 
March 
2024 
in 
connection 
with 
the 
restructuring of the SEK 300 million bond. 
The 
Group’s 
operating 
environment 
is 
subject 
to 
uncertainty 
caused 
by 
the 
impairment 
of 
the 
general 
security 
situation 
in 
Europe 
and 
continued 
increases 
in 
raw 
material 
and 
energy 
prices 
and 
general 
costs. 
The 
rising 
costs and 
uncertainty have 
impacts on 
disposable income, 
purchase choices 
and consumer 
behaviour, 
among 
other things. 
In addition, 
the potential 
impacts of 
the significant 
and extensive 
tariffs imposed 
by the 
US in 
April 
2025 and the uncertainty 
they cause are 
difficult to estimate 
and predict. 
They can present 
both challenges and 
opportunities 
to 
the 
development 
of 
the 
Group’s 
business. 
Ideally, 
the 
impacts 
will 
accelerate 
the 
recovery 
of 
development 
activity 
in 
the 
property 
market. 
At 
the 
same 
time, 
uncertainty 
about 
the 
future 
impacts 
of 
trade 
policy causes delays in decision-making concerning property 
investments. 
The Group’s growth and 
development are strongly linked 
with the growth and development 
of sales and success 
in 
internationalisation, 
and 
failure 
in 
them 
might 
have 
direct 
or 
indirect 
impacts 
on 
the 
Group’s 
business 
and 
growth opportunities or the development of its profitability. 
In 
the 
first 
quarter 
of 
the 
financial 
year 
2025, 
the 
Group 
continued 
the 
organisational 
efficiency 
improvement 
measures 
it 
initiated 
in 
2023 
in 
a 
few 
of 
Vesivek 
Oy's 
units. 
All 
in 
all, 
the 
efficiency 
improvement 
measures 
initiated 
in 
2023 
have 
had 
extensive 
impacts 
on 
the 
Group's 
Finnish 
companies. 
The 
executive 
management 
closely 
monitors 
the 
development 
of 
the 
Group’s 
various 
companies 
and 
businesses, 
and 
is 
prepared 
to 
react 
further if the performance of the businesses is not in line with 
the set plans. 
With due account taken of the 
refinancing of the bond and the 
extensive efficiency improvement 
measures taken, 
the 
Company’s 
management 
has 
prepared 
financial 
forecasts 
for 
the 
development 
of 
turnover, 
expenses 
and 
investments. In assessing 
the continuity of 
business operations, 
the Company’s 
management estimates that 
the 
Company’s current liquid assets 
and projected cash flow from 
operations are sufficient to 
cover the liabilities and 
obligations arising 
from its 
operations for 
at least 
12 months. 
Consequently, 
the financial 
statements have 
been 
prepared 
on 
the 
basis 
of 
the 
going 
concern 
principle. 
The 
forecasts 
assume 
that 
there 
will 
be 
a 
moderate 
positive 
turn 
in 
the 
market. 
In 
addition, 
the 
Group’s 
management 
has 
taken 
measures 
to 
improve 
the 
cash 
position 
by, 
for 
example, 
switching 
to 
the 
use 
of 
consignment 
stock 
for 
steel 
products. 
Due 
to 
the 
general 
economic 
uncertainty, 
the 
cyclical 
nature 
of 
the 
industry 
and 
the 
short 
term 
of 
the 
order 
book, 
forecasting 
is 
subject to more management judgement 
than usual. If the business 
does not develop according to 
the forecasts, 
there 
is 
a 
risk 
of 
liquidity 
being 
jeopardised 
and 
the 
covenants 
being 
breached, 
which 
may 
cause 
significant 
grounds 
for 
doubting 
the 
ability 
of 
the 
Company 
and 
the 
Group 
to 
continue 
as 
a 
going 
concern. 
Such 
circumstances would also 
have an impact on 
the balance sheet valuation 
of the Group’s 
goodwill and the parent 
company’s shares in, and receivables from, its 
subsidiaries.
 
 
Conversion of items denominated in foreign currencies 
Transactions denominated 
in foreign currencies are 
converted into EUR at 
the exchange rates of 
the transaction 
dates, 
or 
if 
the 
items 
have 
been 
re-measured, 
at 
the 
exchange 
rates 
of 
the 
measurement 
dates. 
Foreign 
exchange 
gains 
and 
losses 
arising 
from 
sales 
and 
purchase 
payments 
associated 
with 
actual 
business 

75 
operations 
are 
recognised 
above 
operating 
profit, 
and 
financing-related 
exchange 
rate 
differences 
are 
recognised in financial items in the income statement. 
The assets 
and liabilities 
of the 
Swedish subsidiary 
are converted 
into EUR 
at the 
exchange rate 
of the 
closing 
date. 
The 
income 
and 
expenses 
of 
the 
Swedish 
subsidiary 
are 
converted 
into 
EUR 
monthly 
at 
the 
average 
exchange 
rate. 
Conversion 
differences 
arising 
from 
the 
translation 
of 
a 
subsidiary’s 
financial 
statements 
are 
recognised 
in 
other 
comprehensive 
income, 
and 
they 
are 
accumulated 
in 
a 
separate 
Conversion 
differences 
item under shareholders’ equity. 
In its financial statements, the HLRE Holding Group 
focuses on information that it considered to be 
relevant to its 
stakeholders 
and 
other 
readers 
of the 
financial 
statements. 
The 
notes 
to 
the consolidated 
financial 
statements 
are 
divided 
into 
six 
sections, 
with 
each 
section 
containing 
the 
related 
relevant 
accounting 
principles. 
These 
sections are information about the consolidated 
financial statements, key information relating 
to profit, personnel, 
assets and 
liabilities used 
in business 
operations, capital 
structure and 
financing, and 
other notes. 
The purpose 
of this 
presentation method 
is to provide 
the reader 
with a 
clear idea 
of the Group’s 
financial position 
and result 
and the chosen accounting principles.
2. Management judgement and sources of uncertainty 
Preparing the consolidated 
financial statement requires 
the management to 
use estimates and 
assumptions that 
have 
impacts 
on 
applying 
the 
accounting 
principles 
and 
amounts 
of 
assets, 
liabilities, 
income 
and 
expenses 
recognised 
in 
the 
financial 
statements. 
Significant 
estimates 
or 
management 
judgements 
are 
reviewed 
in 
the 
following notes: 
●
 
business continuity, 
note 1 
●
 
impairment of goodwill, note 9 
●
 
leases, note 10 
●
 
measurement of inventories, note 11 
●
 
impairment of trade receivables, note 17 
The 
estimates 
and 
management 
judgements 
are 
continuously 
reviewed. 
They 
are 
based 
on 
prior 
experience 
and other 
factors, such 
as expectations 
of future 
events with 
potential financial 
impacts on 
the company, 
which 
are considered to be reasonable under the circumstances 
in question. 
As 
stated 
in 
note 
1, 
the 
Company’s 
management 
has 
assessed 
the 
Company’s 
ability 
to 
continue 
as 
a 
going 
concern 
for 
the 
foreseeable 
future. 
In 
spite 
of 
the 
challenging 
market 
situation 
and 
general 
uncertainty, 
the 
management 
is 
confident 
in 
the 
Company's 
ability 
to 
cope 
with 
its 
challenges 
and 
take 
advantage 
of 
its 
opportunities. According to 
the management's estimate, 
the Company’s 
current liquid assets 
and projected cash 
flow from 
operations are 
sufficient to 
cover known 
liabilities and 
obligations for 
at least 
the next 
12 months. 
For 
this reason, the Company’s financial statements 
have been prepared on the going concern principle. 
Each 
year, 
the 
HLRE 
Holding 
Group 
tests 
goodwill 
for 
impairment 
and, 
if 
necessary, 
whenever 
there 
are 
any 
indications 
that 
the 
goodwill 
may 
be 
impaired. 
The 
calculations 
involve 
management 
judgement 
and 
uncertainties 
related 
to 
future 
cash 
flows, 
the 
discount 
rate 
and 
growth 
factors. 
The 
decrease 
in 
interest 
rates 
has affected the result of the testing in the financial statements 
dated 31 January 2025. 

76 
For 
the 
Nesco 
subgroup 
and 
the 
Vesivek 
Oy/Vesivek 
Salaojat 
Oy 
businesses, 
no 
need 
for 
a 
writedown 
was 
identified in goodwill 
impairment testing, and 
the recoverable cash 
flows are sufficient 
to cover the book 
value of 
the assets. 
At the 
end of 
the financial 
year 2025, 
the balance 
sheet of 
the HLRE 
Holding Group 
included EUR 
35.3 million of goodwill. More detailed information on goodwill 
impairment is given in note 9.
 

77 
KEY INFORMATION 
RELATING 
TO INCOME STATEMENT 
This section discloses information 
that is relevant to 
understanding the Group’s 
profit/loss for the financial 
period 
and performance.
 
3. Segment information 
The Board of 
Directors of HLRE 
Holding is the 
Group’s chief 
operating decision-maker, 
and operating segments 
have been 
specified based 
on the 
information reviewed 
by the 
Board of 
Directors in 
order to 
allocate resources 
and assess the profitability of business operations. 
The Board of Directors manages the HLRE Group 
as a single 
integrated business aggregate, and therefore HLRE has 
a single operating and reporting segment. 
The 
profitability 
of 
the 
business 
is 
estimated 
internally 
in 
accordance 
with 
the 
Finnish 
Accounting 
Standards 
(FAS), 
based on 
turnover, 
EBITDA and 
operating profit. 
In FAS 
-compliant internal 
reporting, EBITDA 
is defined 
as operating profit before depreciation, amortisation and impairment. 
FAS 
Adjustments 
IFRS 
Consolidated income 
statement 
1.2.2024-
31.1.2025 
1.2.2024-
31.1.2025 
Consolidated statement of 
comprehensive income 
Turnover 
102,929 
102,929 
Turnover 
EBITDA (*) 
-2,904 
Depreciation, amortisation 
and impairment 
-2,505 
-4,432 
-6,937 
Depreciation, amortisation and 
impairment 
Operating profit 
-5,409 
-357 
-5,052 
Operating profit 
-4,579 
Financial income and expenses 
-9,631 
Profit/loss before tax 
1,206 
Income tax 
-8,425 
Profit/loss for the financial year 
 
1000 EUR 
FAS 
Oikaisut 
IFRS 
Consolidated income 
statement 
1.2.2023-
31.1.2024 
1.2.2023-
31.1.2024 
Consolidated statement of 
comprehensive income 
Turnover 
108,161 
108,161 
Turnover 
EBITDA (*) 
-2,427 
Depreciation, amortisation 
and impairment 
-8,029 
-4,781 
-12,810 
Depreciation, amortisation and 
impairment 
Operating profit 
-10,455 
-216 
-10,671 
Operating profit 
-4,376 
Financial income and expenses 
-15,047 
Profit/loss before tax 
1,769 
Income tax 

78 
-13,278 
Profit/loss for the financial year 
(*) FAS EBITDA = FAS 
operating profit + FAS depreciation 
and amortisation exclusive of FAS 
amortisation of 
Group goodwill. 
The most significant differences between the Group’s 
net result reported internally in accordance with FAS 
and 
HLRE’s profit and loss for the financial period reported 
according to IFRS comprise the following item: 
The Group’s 
depreciation, amortisation 
and impairment 
reported according 
to FAS 
does not 
include the 
amortisation 
of 
right-of-use 
assets 
included 
in 
the 
depreciation, 
amortisation 
and 
impairment 
reported 
according 
to 
IFRS. 
The 
depreciation 
and 
amortisation 
in 
internal 
FAS-compliant 
reporting 
does 
not 
include amortisation of goodwill. More information on goodwill 
impairment is provided in note 9.
4. Turnover 
The revenue of the HLRE Holding Group is primarily generated by roofing and roof product installations for 
single-family homes and housing companies pursuant to the service concept developed by the Company, as 
well as project and direct sales of rainwater management systems and roof safety products. The entire service 
chain – product development, manufacturing, sales and installation – is managed in-house by the Group.
 
The “Weather 
protection in 
just one 
day” installation 
for a 
single-family home 
pursuant to 
the service 
concept is 
realised 
in 
two 
days 
in 
the 
best-case 
scenario. 
A 
two-day 
roofing 
renovation 
is 
made 
possible 
by 
skilled 
installation 
assisted 
by 
a 
crane, 
in 
which 
each 
work 
phase 
is 
planned 
and 
assigned 
in 
advance 
and 
the 
work 
phases have been prepared, as well as by a proprietary 
sheet metal roofing factory. 
In addition, the Group acquired 
a majority holding in 
a company carrying out drainage 
renovations for small sites 
in 
Finland 
in 
February 
2021. 
Drainage 
consists 
of 
a 
carefully 
considered 
installation 
concept 
for 
single-family 
homes 
and 
housing 
companies. 
With 
the 
help 
of 
the 
service 
package 
concept, 
the 
drainage 
renovation 
of 
a 
single-family home is carried out in an average of 3–5 
days. 
In 
Finland, 
receivables 
from 
roofing, 
roof 
product 
and 
drainage 
installations, 
in 
accordance 
with 
the 
consumer 
service concept, 
are primarily 
allocated to 
Laatutili. Laatutili 
is a 
renovation loan 
granted by 
the OP 
bank. Using 
a 
Laatutili 
loan, 
the 
customer 
can 
pay 
for 
the 
roofing 
renovation 
in 
a 
single 
interest-free 
and 
expense-free 
instalment with a 
term of payment 
of 30 days, 
or over a 
longer repayment period 
as monthly instalments 
agreed 
separately with 
the OP 
bank. The 
term of 
payment for 
installations not 
realised 
under the 
Laatutili facility 
is 10 
days. 
In 
direct 
sales, 
the 
term 
of 
payment 
varies 
from 
14 
to 
30 
days, 
depending 
on 
the 
customer. 
Further 
information about Laatutili is provided in the notes in section 
17 Management of financial risks. 
The 
Group’s 
IFRS-compliant 
principles 
of 
revenue 
recognition 
are 
described 
in 
more 
detail 
under 
“Revenue: 
Accounting principle". 
Breakdown of 
revenue by 
income stream for 
the financial 
year ended 31 
January 2025 
and for 
two comparison years 
The 
HLRE 
Holding 
Group’s 
revenue 
is 
broken 
down 
by 
income 
stream 
into 
products 
and 
services. 
Revenue 
for 
the 
financial 
period 
ended 
31 
January 
2025 
and 
for 
the 
comparison 
years 
was 
broken 
down by income streams as follows: 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1000 EUR 
1.2.2024-
31.1.2025 
% 
1.2.2023-
31.1.2024 
% 
1.2.2022-
31.1.2023 
Products 
11,356 
11.0 % 
12,878 
11.9 % 
16,953 
Services 
91,573 
89.0 % 
95,283 
88.1 % 
112,502 
Total 
102,929 
100.0 % 
108,161 
100.0 % 
129,455 
Breakdown 
of 
revenue 
by 
country 
for 
the 
financial 
year 
ended 
31 
January 
2025 
and 
for 
two 
comparison years 
During the 
financial year 
ended 31 
January 2025, 
the HLRE 
Holding Group 
operated in 
Finland and 
Sweden. 
In 
2023, 
Vesivek 
Salaojat 
Oy 
expanded its 
operations 
into 
Turku, 
operating 
as 
a 
separate 
business 
in 
conjunction 
with 
Vesivek 
Oy’s 
unit. 
The 
Company 
did 
not 
open 
any 
new 
units 
in 
the 
financial 
year 
2025. 
In 
addition, 
a 
marginal 
share 
of 
the 
Group’s 
revenue 
came 
from 
direct 
sales 
of 
Vesivek Tuotteet Oy’s products to the Baltic countries. 
1000 EUR 
1.2.2024-
31.1.2025 
% 
1.2.2023-
31.1.2024 
% 
1.2.2022-
31.1.2023 
Finland 
82,372 
80.0 % 
89,354 
82,6 % 
107,387 
Sweden 
19,964 
19.4 % 
18,174 
16,8 % 
21,389 
Baltic countries 
593 
0.6 % 
633 
0,6 % 
679 
Total 
102,929 
100.0 % 
108,161 
100,0 % 
129,455 
Of the 
Group’s 
revenue for 
the financial 
year 1 
February 
2024–31 January 
2025, Finland 
accounted 
for 79.2% 
(82.6%), Sweden for 20.2% (16.8%) and export sales to the 
Baltic countries for 0.6% (0.6%). 
The 
Group’s 
non-current 
assets 
totalled 
EUR 
58.6 
million 
(EUR 
62.3 
million) 
on 
31 
January 
2025, 
of 
which 
Sweden accounted for EUR 2.2 million (EUR 2.8 million) converted 
into euros. 
Assets and liabilities based on contracts with customers 
Non-invoiced receivables 
are short-term 
by nature 
and typically 
due during 
the next 
reporting period. 
The trade 
and other payables include liabilities of EUR 33 
(0) thousand based on volume discounts 
and advance payments 
from customers of EUR 110 
(83) thousand. 
Accounting principle 
The 
turnover 
of 
the 
HLRE 
Group 
was 
primarily 
generated 
from 
the 
sales 
of 
roofing, 
drainage 
and 
rainwater 
management systems and 
roof safety products and 
their installations during 
the financial year. 
The performance 
obligations are clearly identifiable in the customer contracts 
and orders. 
IFRS 15 
Revenue 
from Contracts 
with Customers 
includes a 
five-step guideline 
on the 
recognition 
of revenue, 
which 
determines 
the 
amount 
and 
timing 
when 
recognising 
revenue. 
Revenue 
is 
recognised 
based 
on 
the 
transfer of 
control, either 
over time or 
at a 
point in time. 
When calculating 
turnover, 
sales income 
is adjusted 
for 
indirect taxes and discounts. 
Roofing and 
roof product 
installations 
include the 
products and 
their installation 
service. Typically, 
the products 
are 
customised 
based 
on 
the 
customer’s 
needs, 
such 
as 
the 
dimensions 
of 
roofs, 
in 
conjunction 
with 
the 
installation. 
The 
customer 
has 
ordered 
turnkey 
delivery 
of 
a 
functional 
roof 
solution 
from 
the 
Company, 
which 
constitutes 
a 
single 
performance 
obligation. 
The 
installation 
takes 
place 
very 
quickly, 
usually 
over 
a 
few 
days, 
and the corresponding sale is recognised at a point in time 
once the turnkey delivery has been made. 

80 
Drainage for single-family houses consists of 
a carefully considered installation concept, 
including the installation 
of 
drainage 
products 
and 
ground 
and 
yard 
work. 
With 
the 
help 
of 
the 
service 
package 
concept, 
the 
drainage 
renovation of 
a single-family 
house can 
be carried 
out in 
an average 
of 3–5 
days in 
thawed soil. 
The company 
has a very limited number of larger sites that take from a few 
weeks to slightly over a month to complete. 
In winter, the 
drainage service package is 
divided into two deliveries 
made at different times: 
when the soil is not 
thawed, 
drainage 
work 
taking 
on 
average 
a 
few 
days, 
and 
finishing 
work 
in 
the 
yard 
in 
thawed 
soil. 
Finishing 
work 
carried 
out 
in 
thawed 
soil 
is 
mainly 
carried 
out 
within 
one 
day 
and 
its 
share 
of 
the 
total 
delivery 
of 
the 
drainage 
project 
is 
invoiced 
when 
the 
finishing 
work 
is 
completed. 
The 
customer 
may 
choose 
to 
carry 
out 
the 
finishing work on the yard themselves, in which 
case the drainage will be carried out quickly 
in one project during 
the 
non-thawed 
soil 
period 
and 
fully 
invoiced 
when 
the 
work 
is 
completed. 
The 
performance 
obligations 
are 
clearly identifiable in the customer contracts and orders. 
With regard to 
product sales, 
individual products constitute 
a performance obligation, 
and the sale 
is recognised 
as revenue at a 
single point in 
time when control 
is transferred to 
the customer. 
Typically, 
this takes place 
at the 
time of 
delivery, 
when the 
significant risks 
and benefits 
associated with 
ownership have 
been passed 
on to 
the 
buyer 
and 
the 
HLRE 
Holding 
Group 
does 
not 
have 
factual 
control 
over 
the 
sold 
goods, 
and 
when 
receiving 
consideration 
is 
probable. 
The 
account 
receivable 
is 
recognised 
in 
connection 
with 
revenue 
recognition 
of 
the 
sale, because 
the Company 
is thereafter 
entitled to 
a payment 
that 
is only 
conditional 
on the 
passage 
of time. 
Because 
the 
performance 
obligations 
are 
fulfilled 
over 
a 
very 
short 
period 
or 
at 
a 
single 
point 
in 
time 
when 
control is transferred 
as described 
above, the Company 
makes use of 
the exemption allowed 
by the standard 
to 
not report the transaction price allocated to the remaining 
performance obligations. 
The terms of payment of sold products are primarily less 
than 30 days.
Key discretionary decisions and estimates 
The 
Company’s 
management 
exercises 
judgement 
to 
assess 
whether 
revenue 
has 
been 
recognised 
for 
the 
appropriate period at each balance sheet date, taking 
into account materiality.
 
The 
Company 
grants 
roof 
installations 
a 
fixed 
five-year 
installation 
warranty. 
Because 
the 
costs 
relating 
to 
repairs under warranty have not been significant, the 
Company has not recognised a related provision. 
The Company 
also grants 
a limited 
five-year installation 
warranty for 
drainage installations. 
Moreover, 
the costs 
of 
repairs 
under 
the 
installation 
warranty 
have 
not 
been 
significant, 
and 
the 
Company 
has 
not 
entered 
a 
provision for them.
 
 
 
5. Other operating income 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Proceeds from sale of property, 
plant and equipment and intangible 
assets 
129 
405 
Rent income 
92 
100 
Commission income 
391 
467 
Other operating income 
385 
358 
Liiketoiminnan muut tuotot 
997 
1,330 
Other operating 
income 
comprises 
rent income 
from 
owned premises 
and equipment 
(mainly 
gutter machines) 
leased 
to 
external 
parties, 
insurance 
indemnities 
received, 
and 
bank 
commissions 
from 
Laatutili 
customer 
financing.

81 
6. Operating expenses 
 
 
 
Materials and services 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Purchases during the financial period 
-29,349 
-29,603 
Change in inventories of finished goods and work in progress 
-970 
41 
Production for own use 
62 
140 
Increase/decrease in inventories 
-595 
-2,984 
External services 
-8,498 
-7,459 
Materials and services 
-39,350 
-39,864
External services 
comprise scaffolding 
subcontracting expenses 
to a 
significant extent 
and, as 
of the 
beginning 
of the financial year 2022, subcontracting costs associated with 
transport for the drainage business. 
 
 
 
 
 
 
 
 
 
Depreciation, amortisation and impairment 
1000 eur 
Depreciation according to plan, intangible 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Development expenses 
-46 
-18 
Intangible rights 
-104 
-133 
-150 
-151 
Depreciation according to plan, tangible 
Buildings and structures 
-2,770 
-2,871 
Machinery and equipment 
-4,012 
-4,490 
Other tangible assets 
-5 
-9 
-6,787 
-7,370 
Impairment 
Intangible rights 
0 
-257 
Goodwill 
0 
-5,032 
0 
-5,289
 
 
 
Other operating expenses 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Premises expenses 
-1,118 
-1,350 
Machinery and equipment expenses 
-5,634 
-6,160 
Marketing expenses 
-2,092 
-2,820 
Other operating expenses 
-10,387 
-10,672 
#ARVO! 
-19,232 
-21,001 

82 
The other largest unspecified items are voluntary 
personnel costs of EUR 1,605 thousand (EUR 
1,568 thousand) 
and mileage and daily allowances of EUR 2,202 thousand (EUR 
2,378 thousand).
 
 
 
 
Auditors’ fees 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Statutory audit 
-96 
-169 
PricewaterhouseCoopers Oy 
0 
-74 
KPMG Oy Ab 
-96 
-95 
Statements and advisory opinions 
-50 
0 
KPMG Oy Ab 
-50 
0 
Other exper services 
0 
-19 
PricewaterhouseCoopers Oy 
0 
-7 
KPMG Oy Ab 
0 
-12 
-146 
-188

83 
PERSONNEL 
This section provides 
information about how 
the HLRE Holding 
Group rewards its 
personnel and key 
managers. 
The 
section 
includes 
information 
about 
employee 
benefits 
and 
related 
party 
information 
relating 
to 
the 
key 
personnel as follows: 
●
 
Employee benefit expenses 
●
 
Information about key managers
 
 
 
7. Employee benefit expenses 
The Group personnel averaged 735 (801) FTE, a decrease of 
66 employees, or -8.2 per cent. 
The employee benefit expenses and other personnel expenses 
are as follows: 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Wages, salaries and fees 
34,417 
36,991 
Pension expenses - defined contribution plans 
5,815 
6,198 
Other social security contributions 
3,227 
3,298 
43,459 
46,487 
Personnel 
expenses 
decreased 
by 
approximately 
-6.4% 
during 
the 
financial 
period 
when 
compared 
to 
the 
previous financial period. 
Wages 
and 
salaries 
mainly 
comprise 
monthly 
salaries, 
hourly 
wages 
and 
performance 
bonuses 
paid 
to 
the 
employees. 
Employees 
are entitled 
to extensive 
occupational 
health care 
services, 
and some 
employees 
have 
company 
cars 
and 
phone 
benefits. 
In 
addition 
to 
statutory 
insurance, 
employees 
are 
covered 
by 
leisure-time 
accident insurance. 
In 
spring 
2020, 
the 
Finnish 
government 
decided 
to 
lower 
the 
employment 
pension 
contributions 
of 
employers 
temporarily by 
2.6 percentage 
points due 
to the COVID 
-19 pandemic. 
The decrease 
was in force 
from 1 
May to 
31 December 
2020 with 
regard to 
the 
employer’s statutory 
insurance 
contributions 
(“TyEL”) 
paid between 
May 
and 
December 
2020. 
The 
decrease 
has 
been 
compensated 
for 
by 
increasing 
the 
employer’s 
pension 
contribution share in 2022–2025. 
Other social security contributions mainly include other 
social security expenses apart from pension expenses. 
The 
Vesivek 
Group 
has 
a 
years 
of 
service 
reward 
scheme 
according 
to 
which 
an 
employee 
is 
entitled 
to 
additional 
pay 
amounting 
to 
pay 
for 
1–3 
weeks 
when 
the 
years 
of 
service 
pursuant 
to 
the 
bonus 
scheme 
are 
fulfilled. In 
accordance with 
the rewards 
for years 
of service, 
employees are 
paid a 
lump-sum reward 
for having 
worked a certain number of years as follows: 
5 years 
1 week salary 
30 years 
3 weeks salary 
10 years 
1,5 weeks salary 
35 years 
3 weeks salary 
15 years 
2 weeks salry 
40 years 
3 weeks salary 
20 years 
2 weeks salry 

 
 
 
 
 
 
25 years 
2 weeks salry 
1000 eur 
1/31/2025 
1/31/2024 
Employee benefit obligation 
Balance sheet 
Defined benefit obligation 
299 
320 
Statutory employee benfit expense 
75 
80 
Employee benefit obligation 
374 
400 
Opening net balance sheet liability 
320 
341 
Items recognized in operating profit 
Expense(+)/income(-) recognized in Profit or Loss 
40 
46 
Contributions paid 
-61 
-67 
Net defined benefit liability in balance sheet 
299 
320 
Assumptions and census data statistics 
Discount rate 
3.0% 
3.2% 
Inflation rate 
2.0% 
2.1% 
Rate of salary increases 
2.5% 
2.6% 
Employee turnover 
15.0% 
15.0% 
The Group anticipates 
that it will 
pay EUR 100 
thousand relating to 
years of service 
benefits during the 
financial 
year ending on 31 January 2026. 
 
 
 
Accounting principle 
Short-term benefits 
Short-term employee benefits 
include wages and salaries, 
including fringe benefits 
and annual holiday pay 
to be 
paid within 12 months, 
and bonus and performance 
rewards connected to 
profit or personal performance. 
Short-
term employee 
benefits are 
recognised in 
other liabilities 
with regard 
to work 
performed by 
the closing 
date and 
measured at the value expected to be paid once the liabilities 
are settled. 
Post-employment benefits 
The 
pension 
arrangements 
of 
the 
HLRE 
Holding 
Group 
are 
defined 
contribution 
plans. 
A 
defined 
contribution 
plan is a pension arrangement under 
which the Group makes fixed 
payments to a separate unit and 
has no legal 
or 
factual 
obligation 
to 
make 
additional 
payments 
if 
the 
said 
unit 
does 
not 
have 
adequate 
funds 
for 
paying 
all 
benefits relating 
to work 
performed during 
the current 
and previous 
financial years 
to all 
employees. 
Payments 
made 
to 
defined 
contribution 
plans 
are 
recognised 
directly 
through 
comprehensive 
income 
for 
the 
period 
to 
which the payments are connected. 
Other long-term benefits 
Other 
long-term 
employee 
benefits 
include 
leave 
associated 
with 
long 
service 
or 
sabbaticals, 
anniversary 
benefits or other benefits relating to long service and 
long-term unemployment benefits. 

85 
The accumulated benefits related to years 
of service are determined annually based 
on calculations by actuaries. 
Any actuarial gains and losses are recognised through 
profit or loss in employee benefit expenses.
 
 
 
 
 
 
 
 
 
 
8. Information about key management personnel 
(incl. key 
management shareholdings) and share-based payment schemes 
Remuneration of key management personnel 
The 
Company’s 
Board 
of 
Directors 
appoints 
the 
CEO 
and 
the 
Deputy 
CEO 
and 
decides 
on 
the 
terms 
and 
conditions 
of 
their 
employment. 
The 
Board 
of 
Directors 
confirms 
the 
wages 
and 
other 
benefits 
paid 
to 
the 
management 
team 
based 
on 
the 
CEO’s 
proposal 
and 
the 
principles 
of 
remuneration 
of 
the 
Company’s 
other 
senior management.
The salaries 
and other 
taxable benefits 
paid to 
CEO Kimmo 
Riihimäki and 
the rest 
of the 
Group’s management 
team 
for 
the 
financial 
year 
ended 
31 
January 
2025 
are 
presented 
below. 
The 
compensation 
paid 
comprises 
a 
fixed monthly salary and fringe benefits. 
1000eur 
1.2.2024-
31.1.2025 
1.2.2023-
31.1.2024 
Remuneration of the CEO 
Salary, other remunerations 
and benefits 
122 
11 
Pension expense - defined contribution plan 
13 
12 
Total 
135 
23 
Remuneration of the group management team (excluding 
the CEO) 
Salary, other remunerations 
and benefits 
502 
540 
Pension expense - defined contribution plan 
110 
114 
Total 
612 
654 
Remuneration of Board members 
Ari Haapakoski 
12 
12 
Timo Pirskanen 
12 
12 
Anu Syrmä 
12 
12 
36 
36 
Key management and Board of Directors total 
783 
713
The employment 
contract of 
CEO Kimmo 
Riihimäki can 
be terminated 
by either 
party with 
a period 
of notice 
of 
three (3) months. If the Company terminates 
the contract, the Company pays 
the CEO an amount corresponding 
to the total wages for three (3) months as a lump-sum 
compensation. 
Kimmo Riihimäki is 
subject to a 
24-month non-competition 
and non-solicitation clause, 
with a related contractual 
penalty of EUR 
100,000 for 
each breach by 
the CEO. 
If the losses 
incurred by the 
Company exceed 
the above-
mentioned contractual penalty, 
the CEO must compensate the amount of the loss 
in full. 
The CEO contract 
will expire 
at the latest 
upon the 
retirement of 
Kimmo Riihimäki. 
The CEO’s 
retirement age 
is 
65. 

86 
The members of the Group management 
team have periods of notice of 
three or six months. They 
are entitled to 
severance 
pay. 
In 
addition, 
the 
members 
of 
the 
management 
team 
are 
bound 
by 
non-competition 
and 
non-
solicitation clauses with contractual penalties. 
HLRE Holding 
Oyj realised 
share issues 
and transfers 
of treasury 
shares directed 
at the Group’s 
key personnel 
in 2014–2023. 
For 1 
February 
2020–31 January 
2021, the 
Company decided 
on a 
directed transfer 
of treasury 
shares, 
wherein 
the 
company’s 
key 
management 
personnel 
and 
other 
key 
employees 
were 
offered 
a 
total 
of 
107,550 
treasury 
shares 
to 
purchase 
at 
a 
price 
of 
EUR 
1 
per 
share. 
The 
purchase 
price 
of 
the 
shares 
is 
considered to be equal to 
the fair value of 
the shares at the time 
of purchase. At the end 
of the financial period 
1 
February 
2020–31 
January 
2021, 
the 
company 
had 
77,550 
treasury 
shares. 
The 
company’s 
key 
personnel 
acquired a 
total of 
50,000 of 
these during 
the financial 
period 1 
February 2021–31 
January 2022. 
At the 
end of 
the financial period 1 February 2024–31 January 2025, 
the company held 201,304 treasury shares. 
Because 
the 
key 
employees’ 
share 
purchases 
took 
place 
at 
fair 
value, 
the 
schemes 
do 
not 
include 
a 
benefit 
pursuant to IFRS 2, and no expense has been recognised 
for them. 
The 
key 
employees’ 
shareholdings 
include 
an 
obligation 
to 
work. 
The 
Company 
has 
the 
right, 
but 
not 
an 
obligation, to 
redeem the 
shares at 
the lower 
of the 
original subscription 
prices of 
the share 
issues or 
fair value 
as specified in the shareholders’ agreement in the case of the 
resignation of the key employees. 
 
Because 
HLRE 
Holding 
Oyj, 
or 
its 
subsidiary, 
has 
no 
contractual 
obligation 
or 
prior 
established 
practice 
to 
redeem shares from leavers, 
the arrangement is classified 
as an equity-settled 
arrangement under IFRS. 
During 
the financial year, the company 
exercised its redemption rights and redeemed a total of 145,509 
shares. 
A share-based 
payment 
scheme has 
also 
been realised 
with 
the key 
personnel 
of Vesivek 
Sverige 
AB so 
that 
three key persons at Vesivek 
Sverige AB have holdings in Vesivek 
Sverige AB. 
The 
shareholdings 
of 
Board 
members, 
the 
CEO 
and 
members 
of 
the 
management 
team 
Group’s 
parent 
company HLRE Holding Oyj on 31 January 2025 are presented 
in the following table: 
Management shareholdings 
The management held shares on 1/31/2025 as follows: 
1/31/2025 
1/31/2024 
Shares 
% holding 
Shares 
% holding 
CEO 
5,547,826 
33 
5,547,826 
33 
Other management team members 
6,873 
6,873

87 
ASSETS 
AND 
LIABILITIES 
USED 
IN 
BUSINESS 
OPERATIONS 
This section provides information 
about the assets 
used in business operations 
and liabilities incurred 
due to the 
Group’s business operations. 
• 
Goodwill and other intangible assets, including impairment 
testing 
• 
Property, plant and 
equipment 
• 
Trade and other receivables 
• 
Trade and other payables 
9. Goodwill and other intangible assets, including 
impairment 
testing 
The table below presents changes in goodwill and other 
intangible assets: 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1000 EUR 
Developmen
t expenses 
Intangible 
rights 
Other 
intangible 
assets 
Advance payments 
for intangible 
assets 
Goodwill 
Total 
Cost 2/1/2024 
141 
787 
0 
194 
40,304 
41,427 
Additions 
0 
4 
0 
90 
0 
94 
Disposals 
0 
0 
0 
0 
0 
0 
Reclassifications 
186 
4 
0 
-191 
0 
0 
Cost 1/31/2025 
328 
796 
0 
93 
40,304 
41,520 
Cumulative amortization and impairment 
2/1/2024 
-60 
-378 
0 
0 
-5,032 
-5,470 
Cumulative amortization on disposals and 
reclassifications 
0 
0 
0 
0 
0 
0 
Amortization 
-46 
-104 
0 
0 
0 
-150 
Impairment 
0 
0 
0 
0 
0 
0 
Cumulative amortization and impairment 
1/31/2025 
-106 
-482 
0 
0 
-5,032 
-5,620 
Carrying amount 2/1/2024 
81 
409 
0 
194 
35,273 
35,957 
Carrying amount 1/31/2025 
221 
314 
0 
93 
35,273 
35,901 
 
1000 EUR 
Developmen
t expenses 
Intangible 
rights 
Other 
intangible 
assets 
Advance payments 
for intangible 
assets 
Goodwill 
Total 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost 2/1/2023 
85 
1,439 
0 
575 
40,304 
42,403 
Additions 
0 
3 
0 
113 
0 
117 
Disposals 
0 
-1,093 
0 
0 
0 
-1,093 
Reclassifications 
56 
438 
0 
-494 
0 
0 
Cost 1/31/2024 
141 
787 
0 
194 
40,304 
41,427 
Cumulative amortization and impairment 2/1/2023 
-42 
-1,081 
0 
0 
0 
-1,122 
Cumulative amortization on disposals and 
reclassifications 
0 
1,093 
0 
0 
0 
1,093 
Amortization 
-18 
-133 
0 
0 
0 
-151 
Cumulative amortization and impairment 1/31/2024 
-60 
-378 
0 
0 
-5,032 
-5,470 
Carrying amount 2/1/2023 
43 
358 
0 
575 
40,304 
41,280 
Carrying amount 1/31/2024 
81 
409 
0 
194 
35,273 
35,957

89 
Intangible rights 
and other 
intangible assets 
comprise information 
systems and 
patents, trademarks 
and design 
rights applied 
for by 
group companies. 
Of the 
goodwill on 
the consolidated 
balance sheet, 
the majority 
arose in 
conjunction 
with 
the 
acquisition 
of 
Hämeen 
Laaturemontti 
Oy 
in 
2014, 
when 
a 
fund 
managed 
by 
Sentica 
Partners 
Oy 
acquired 
a 
majority 
holding 
in 
what 
was 
then 
Hämeen 
Laaturemontti 
Oy, 
the 
current 
Vesivek 
Oy. 
The goodwill 
increased when 
HLRE Group 
Oy acquired 
the shares 
in the 
Nesco Invest 
group of 
companies 
in 
2016. 
In 
February 
2021, 
in 
connection 
with 
the 
reorganisation 
of 
financing, 
the 
group 
company 
Vesivek 
Oy 
acquired a 71.63% holding in 
Salaojakympit Oy, 
which was renamed Vesivek 
Salaojat Oy in February 2021. The 
acquisition 
generated 
goodwill 
of 
approximately 
EUR 
0.9 
million. 
Vesivek 
Salaojat 
Oy's 
business 
was 
merged 
into the 
roof and 
roof safety 
product business. 
At the 
end of 
the financial 
year 2025, 
Vesivek 
Oy’s shareholding 
in Vesivek Salaojat Oy was 
74.52%.
Accounting principle 
 
Goodwill 
Goodwill 
arises 
from the 
acquisition 
of 
subsidiaries, 
and 
it corresponds 
to the 
amount 
by which 
the 
acquisition 
cost exceeds the Group’s share of the net fair value 
of the assets and liabilities of the acquisition. For 
impairment 
testing, goodwill 
is allocated 
to cash-generating 
units or 
groups of 
units which 
are expected 
to benefit 
from the 
acquisition 
of 
the 
businesses 
resulting 
in 
the 
goodwill. 
Goodwill 
is 
tested 
for 
impairment 
annually 
or 
more 
frequently, 
if 
events 
or 
changes 
in 
circumstances 
indicate 
any 
impairment. 
The 
book 
value 
of 
the 
cash-
generating unit 
with goodwill 
is compared 
to the 
recoverable amount, 
which is 
the higher 
of value 
of use 
or fair 
value 
less 
costs 
of 
sale. 
Any 
impairment 
loss 
is 
firstly 
allocated 
to 
goodwill 
and 
secondarily 
to 
other 
assets 
proportionally. Goodwill 
impairment losses recognised through profit or loss are not reversed.
 
Other intangible assets 
Other 
intangible 
assets 
are 
recognised 
on 
the 
balance 
sheet 
when 
the 
asset 
is 
in 
the 
Company’s 
control, 
it 
is 
expected to 
yield future 
economic benefit 
to the 
Company, 
and the 
acquisition cost 
of the 
asset can 
be reliably 
determined. The intangible 
asset is initially 
recognised at cost, 
which includes the 
purchase price and 
any direct 
expenses 
incurred 
due 
to 
the 
asset. 
Intangible 
assets 
are 
reported 
on 
the 
balance 
sheet 
at 
cost 
less 
accumulated 
amortisation 
and 
impairment. 
Intangible 
assets 
are 
amortised 
using 
the 
straight-line 
method 
over 
the economic useful life 
of the asset. The 
appropriateness of the 
amortisation times for 
the methods is assessed 
at each closing date. 
Development 
costs 
are 
recognised 
as 
expenses 
when 
internally 
developed 
intangible 
assets 
do 
not 
meet 
the 
criteria 
for 
capitalisation. 
An 
intangible 
asset 
resulting 
from 
development 
activities 
is 
capitalised 
when 
the 
product development project 
is likely to generate 
future economic benefits 
for the company and 
the products are 
estimated to be technically feasible and commercially viable.
The economic useful lives of the Company’s intangible 
assets are as follows: 
In the HLRE 
Holding Group, 
information systems 
are amortised 
over 5 years, 
patents/trademarks over 
10 years 
and development expenses over 5 years.
 
Goodwill impairment testing 
Key discretionary decisions and estimates 
Key assumptions used in testing goodwill for impairment 

 
 
 
 
 
The 
management 
makes 
significant 
estimates 
and 
discretionary 
decisions 
in 
determining 
the 
level 
at 
which 
goodwill is tested and whether there are indications of 
the impairment of goodwill. 
According to 
the 
management’s 
view, 
the acquisition 
price exceeding 
the acquired 
net assets 
was paid 
for the 
business and business idea as a whole, 
and therefore it considers that the 
goodwill must be tested at the level of 
Vesivek Oy 
and Vesivek 
Salaojat Oy (roofing, 
roof safety and 
drainage product installations 
in 
Finland
), which is 
a 
cash-generating 
unit 
in 
Finland
, 
and 
at 
the 
level 
of 
the 
Nesco 
subgroup 
(manufacturing 
of 
rainwater 
management 
systems 
and 
roof 
safety 
products), 
which 
is 
managed 
as 
a 
separate 
operation 
and 
cash-
generating entity. 
Determining 
the 
recoverable 
amount 
of 
a 
cash-generating 
unit 
is 
based 
on 
value 
in 
use 
calculations, 
which 
require 
the 
use 
of 
estimates. 
The 
calculations 
use 
cash 
flow 
projections 
based 
on 
budgets 
and 
estimates 
approved by 
the management 
for a five 
-year period. 
The cash 
flow projections 
are based 
on the Group’s 
actual 
results and 
the management’s 
best estimates 
of future 
sales, development 
of costs, 
general market 
conditions 
and applicable 
tax rates. 
The years 
after the 
projected 
period are 
extrapolated 
using a 
growth 
estimate of 
2%. 
The 
estimated 
future 
net 
cash 
flows 
are 
discounted 
to 
their 
present 
value 
when 
estimating 
the 
recoverable 
amount based 
on the 
pre-tax weighted 
average cost 
of capital. 
The weighted 
average cost 
of capital 
illustrates 
the current market view of the time value of money and risks 
associated with the tested units. 
The 
market 
environment 
for 
roof 
and 
drainage 
renovations 
was 
challenging 
during 
the 
financial 
year 
under 
review, 
as 
was 
the 
case 
in 
the 
preceding 
financial 
year. 
For 
the 
Company, 
this 
was 
reflected 
in 
subdued 
consumer demand, 
with necessary 
renovations being 
postponed. The 
consumer confidence 
indicator increased 
slightly in 2024 from 
the historically low 
level seen in 
2023, but it nevertheless 
remained weaker than 
average in 
Finland in 2024. 
Roof and drainage renovations 
are often financed by loan 
financing, and the further 
tightening of lending policies 
by 
credit 
institutions, 
together 
with 
relatively 
high 
financing 
costs, 
created 
a 
challenging 
environment 
for 
consumers. 
The 
management 
tests 
the 
impacts 
of 
changes 
in 
significant 
assumptions 
by 
making 
sensitivity 
analyses 
as 
described below in this note. In these 
IFRS financial statements, goodwill 
is reported for the most recent 
balance 
sheet date and the one preceding it, 31 January 2025 
and 31 January 2024. 
The table below presents the allocation of goodwill to 
the Group’s cash-generating units: 
Thousands of euros 
1/31/2025 
31.1.2024 
Installation of roof and rainwater systems and underground 
drain 
renovations in Finland 
 
30,403 
 
30,403 
Production of rainwater management systems and roof safety 
products 
 
4,870 
 
4,870 
The key assumptions used in the value in use calculations are as 
follows: 
2025 
EBITDA in one 
year period of 
time, % 
Long-term 
EBITDA, % 
Discount rate 
before taxes, % 
Long-term growth 
factor, % 
Installation of roof and rainwater systems and 
underground drain renovations in Finland 
6.5 
6.3 
10.3 
2.0 
Production of rainwater management systems 
and roof safety products 
13.5 
13.9 
10.3 
2.0 

 
 
 
 
 
2024 
EBITDA in one 
year period of 
time, % 
Long-term 
EBITDA, % 
Discount rate 
before taxes, % 
Long-term growth 
factor, % 
Installation of roof and rainwater systems and 
underground drain renovations in Finland 
8.5 
6.5 
12.2 
2.0 
Production of rainwater management systems 
and roof safety products 
13.2 
14.0 
11.8 
2.0 
The 
profitability 
(measured 
by 
EBITDA) 
of 
CGU2 
producing 
rainwater 
systems 
and 
roof 
safety 
products 
is 
expected 
to 
improve 
slightly 
over 
a 
period 
of 
five 
years 
compared 
to 
the 
previous 
year's 
forecast 
and 
remain 
practically unchanged in the long term thereafter. 
With regard 
to CGU 
1 installing 
roof and 
roof safety 
products, in 
the latest 
financial year 
2025 calculations, 
the 
five-year profitability (measured by EBITDA) will decrease 
to 6.5% (8.5%), as will long-term profitability, 
while still 
remaining at a level lower than that of the five-year period, 
being 6.3% (6.5%). 
Sensitivity analysis 
No 
impairment 
loss 
was 
recognised 
in 
respect 
of 
CGU 
1 
installing 
roof 
and 
roof 
safety 
products 
and 
drainage 
systems 
in 
Finland, 
and 
CGU 
2 
producing 
rainwater 
systems 
and 
roof 
security 
products, 
for 
the 
reported 
financial years as a result 
of the impairment tests carried 
out. The recoverable cash flow 
of CGU 1 exceeded the 
book value by EUR 2.4 million 
as at 31 January 2025 (EUR 
-5.0 million as at 31 January 
2024). The recoverable 
cash 
flow 
of 
CGU 
2 
installing 
roofs, 
roof 
safety 
products 
and 
drainage 
systems 
in 
Finland 
exceeded 
the 
book 
value by EUR 
7.1 million as 
at 31 January 
2025 (exceeded 
the book 
value by EUR 
5.9 million as 
at 31 January 
2024). 
The 
management 
has 
prepared 
sensitivity 
analyses 
of 
the 
key 
factors, 
and 
based 
on 
the 
analyses, 
the 
recoverable amounts equal the book value if the assumptions 
change one by one: 
1/31/2025 
31.1.2024 
Installation of roof and rainwater systems and underground 
drain renovations in Finland 
Discount rate change, percentage points 
0.4 % 
-0,8 % 
EBITDA margin decrease, percentage points 
-0.3 % 
0,6 % 
Production of rainwater management systems and roof 
safety 
products 
Discount rate change, percentage points 
3.4 % 
2,8 % 
EBITDA margin decrease, percentage points 
-3.0 % 
-3,6 % 

Possible and significant changes in the value of the key 
assumptions are as follows: 
1. 
The 
implementation 
of 
organisational 
changes 
in 
Finland 
is 
prolonged 
and/or 
the 
positive 
effects 
of 
the 
changes 
are 
smaller 
than 
planned/the 
negative 
effects 
of 
the 
changes 
are 
larger 
than 
anticipated 
during 
the 
current financial 
period. In 
this case, 
the projected 
return to 
profitability would 
be postponed. 
The effects 
would 
not be long-term. 
2. The 
recruitment of 
new staff 
will become 
more difficult 
and the 
turnover of 
existing staff 
will increase. 
Growth 
in revenue 
would slow 
down and 
costs could 
increase significantly 
if wages 
were to 
be raised. 
Wage 
increases 
would probably be at least partly passed on to prices, as 
the whole sector would be affected by the problems. 
3. 
Inflation 
continues 
to 
raise 
costs 
without 
it 
being 
possible 
to 
pass 
them 
on 
to 
prices 
in 
full. 
In 
this 
case, 
profitability 
could 
be 
lower 
than 
forecast 
for 
a 
longer 
period 
of 
time. 
The 
effect 
would 
be 
perhaps 
about 
1–2 
percentage points in the margins. 
4. The significant 
strengthening of the 
Swedish krona 
against the euro 
weakens the Group’s 
EBITDA, increases 
financing 
costs 
and 
affects 
the 
amount 
of 
net 
debt.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
10. 
Property, 
plant and equipment and leases 
 
1000 EUR 
Land and 
water 
Buildings and 
structures 
Machinery 
and 
equipment 
Other tangible 
assets 
Advance 
payments and 
work in progress 
Total 
Cost 2/1/2024 
319 
30,433 
36,528 
391 
155 
67,826 
Translation differences 
0 
-52 
-60 
-1 
0 
-114 
Additions 
0 
1,866 
2,470 
6 
0 
4,342 
Disposals 
-73 
-583 
-3,212 
0 
0 
-3,869 
The impact of changes in lease agreements 
0 
-451 
0 
0 
0 
-451 
Cost 1/31/2025 
246 
31,212 
35,726 
395 
155 
67,734 
Cumulative amortization and impairment 
2/1/2024 
0 
-17,751 
-23,432 
-379 
-41,563 
Translation differences 
0 
34 
35 
1 
71 
Cumulative amortization on disposals and 
reclassifications 
0 
423 
2,816 
0 
3,239 
Amortization 
0 
-2,770 
-4,012 
-5 
-6,787 
Cumulative amortization and impairment 
1/31/2025 
0 
-20,064 
-24,592 
-383 
-45,039 
Carrying amount 2/1/2024 
319 
12,682 
13,096 
12 
155 
26,263 
Carrying amount 1/31/2025 
246 
11,148 
11,133 
12 
155 
22,694 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1000 EUR 
Land and 
water 
Buildings and 
structures 
Machinery 
and 
equipment 
Other tangible 
assets 
Advance 
payments and 
work in progress 
Total 
Cost 2/1/2023 
319 
26,000 
38,026 
391 
190 
64,925 
Translation differences 
0 
23 
17 
1 
0 
41 
Additions 
0 
4,955 
2,765 
0 
208 
7,929 
Disposals 
0 
-572 
-4,453 
0 
-43 
-5,068 
Reclassifications 
0 
27 
173 
0 
-200 
0 
Cost 1/31/2024 
319 
30,433 
36,528 
391 
155 
67,826 
Cumulative amortization and impairment 
2/1/2023 
0 
-15,434 
-22,860 
-370 
-38,664 
Translation differences 
0 
-17 
-10 
-1 
-28 
Cumulative amortization on disposals and 
reclassifications 
0 
572 
3,927 
0 
4,499 
Amortization 
0 
-2,871 
-4,490 
-9 
-7,370 
Cumulative amortization and impairment 
1/31/2024 
0 
-17,751 
-23,432 
-379 
-41,563 
Carrying amount 2/1/2023 
319 
10,565 
15,166 
21 
190 
26,261 
Carrying amount 1/31/2024 
319 
12,682 
13,096 
12 
155 
26,263 

95 
Accounting principle 
Property, 
plant and equipment is initially 
recognised at original cost, 
which includes the purchase 
price and other 
direct costs 
of acquisition 
needed to 
bring the 
asset into 
operating condition 
and the 
place where 
it functions 
as 
intended. 
The 
assets 
are 
recognised 
on 
the 
balance 
sheet 
at 
cost 
less 
accumulated 
amortisation 
and 
impairment. Leased tangible 
assets are treated 
in the same 
way as purchased 
assets in accounting. 
Repair and 
maintenance costs are expensed as they are incurred. 
Depreciation 
and 
amortisation 
is 
recognised 
using 
the 
straight-line 
method 
by 
allocating 
the 
cost 
to 
the 
estimated economic useful lives of 
the assets. The economic useful 
lives of assets are reviewed 
on each closing 
date and amended, as necessary. 
Depreciation and amortisation times by asset category: 
Buildings and structures 
10–40 years 
Machinery and equipment 
3–12 years 
Other tangible assets 
5–10 years
Capital gains and 
losses on the 
sale of 
property, 
plant and 
equipment are included 
in other operating 
income or 
expenses on the statement of comprehensive income.
 
 
 
 
 
 
 
 
 
 
 
Leases 
1000 eur 
31.1.2025 
31.1.2024 
Right-of-use assets* 
Buildings 
9,321 
10,450 
Vehicles and machinery 
4,063 
4,525 
13,384 
14,975 
*included in balance sheet item property, plant and equipment 
Lease liabilities* 
Current lease liability 
4,323 
4,662 
Non-current lease liability 
9,684 
10,488 
14,007 
15,150 
*included in balance sheet items current and 
non-current finance and lease 
liabilities 
Changes in right-of-use assets during the financial year 
1000 eur 
Buildings and 
structures, right-of-
use 
Machinery and 
equipment, right-of-
use 
Total 
Cost 1.2.2024 
24,963 
10,598 
35,562 
Translation differencies 
-52 
-29 
-82 
Additions 
1,866 
1,956 
3,822 
Disposals 
-178 
-3,067 
-3,246 
Cost 31.1.2025 
26,148 
9,457 
35,604 
Cumulative amortisation and impairment 1.2.2024 
-14,513 
-6,073 
-20,586 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Translation differencies 
34 
17 
51 
Cumulative amortisation on disposald and 
reclassifications 
179 
2,741 
2,920 
Amortisation 
-2,527 
-2,079 
-4,606 
Cumulative amortisation and impairment 31.1.2025 
-16,827 
-5,394 
-22,221 
Carrying amount 1.2.2024 
10,450 
4,525 
14,975 
Carrying amount 
31.1.2025 
9,321 
4,063 
13,384 
 
1000 EUR 
Buildings and 
structures, right-of-
use 
Machinery and 
equipment, right-of-
use 
Total 
Cost 1.2.2023 
20,557 
11,760 
32,317 
Translation differencies 
23 
6 
29 
Additions 
4,955 
2,100 
7,055 
Disposals 
-572 
-3,268 
-3,840 
Cost 31.1.2024 
24,963 
10,598 
35,562 
Cumulative amortisation and impairment 1.2.2023 
-12,454 
-6,672 
-19,125 
Translation differencies 
-17 
-2 
-19 
Cumulative amortisation on disposald and 
reclassifications 
572 
2,864 
3,437 
Amortisation 
-2,614 
-2,264 
-4,878 
Cumulative amortisation and impairment 31.1.2024 
-14,513 
-6,073 
-20,586 
Carrying amount 1.2.2023 
8,103 
5,089 
13,192 
Carrying amount 31.1.2024 
10,450 
4,525 
14,975 
Included in profit and loss statement 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
1000 eur 
Depreciation of right-of-use assets 
Buildings 
-2,527 
-2,614 
Vehicles and machinery 
-2,079 
-2,264 
Interest expense (included on finance cost) 
-437 
-285 
Expense relating to short-term leases (included in other expenses) 
-1,047 
-951 
Expenses relating to leases of low-value assets that are not short-
term leases (included in other expenses) 
-199 
-175 
Cash outflow for lease agreements during the financial year 2025 totaled 6 386 (6 660) thousand euros.

97 
Non-current assets pledged as collateral 
Information about the Group’s non-current assets 
pledged as collateral is provided in note 15. 
Accounting principle
The Group has leased diverse properties and 
vehicles. Leases on properties are usually 
made for a fixed term of 
3 
or 
5 
years, 
in 
which 
case 
the 
lease 
cannot 
be 
cancelled, 
including 
an 
option 
to 
extend 
the 
lease 
for 
a 
corresponding period 
of 3 
or 5 years. 
The terms 
and conditions 
of the 
leases are 
negotiated on 
a case-by-case 
basis, and 
they 
involve various 
conditions. 
The lease 
agreements 
include no 
covenants, 
but the 
leased 
assets 
may not be used as collateral for loans. Leases on vehicles 
usually have a term of three years. 
A 
right-of-use 
asset 
and 
corresponding 
lease 
liability 
are 
recognised 
for 
leases 
when 
the 
leased 
asset 
is 
available to 
the 
Group 
to use. 
The right-of-use 
asset 
comprises 
the 
amount 
of the 
lease 
liability 
at the 
original 
value and 
rents paid 
by the 
start of 
the lease 
less incentives 
received in 
association with 
the lease, 
initial direct 
expenses and 
any restoration 
expenses. Paid 
rents are 
divided into 
repayment of 
debt and 
financial expenses. 
The 
financial 
expense 
is 
recognised 
through 
profit 
or 
loss 
over 
the 
lease 
term 
so 
that 
the 
interest 
rate 
of 
the 
remaining liability balance 
is the same for 
each period. The right-of-use 
asset is amortised using 
the straight-line 
method over the shorter of its economic useful life or lease 
term. 
Payments associated with short-term 
leases of assets of minor 
value are expensed in 
equal instalments. Leases 
with a 
maximum lease 
term of 
12 months 
are considered 
to be 
short-term. Short 
-term leases 
primarily concern 
scaffolding 
and 
machines 
or 
lifting 
equipment 
used 
occasionally 
in 
production. 
Assets 
of 
minor 
value 
primarily 
comprise office equipment.
Key discretionary decisions and estimates 
The duration of leases on business 
premises is annually measured 
at the management group level. 
The Group’s 
strategy 
is 
defined 
for 
a 
period 
of 
three 
years, 
and 
the 
management 
team 
estimates 
whether 
the 
leased 
business 
premises 
will 
be 
suitable 
for 
the 
Group’s 
use 
for 
the 
entire 
coming 
strategy 
period. 
With 
regard 
to 
leases 
valid 
until 
further 
notice, 
the 
property’s 
lease 
term 
in 
calculating 
lease 
liabilities 
is considered 
to 
be 
the 
strategy 
period 
of 
3 
years 
or 
any 
shorter 
period 
if 
moving 
out 
of 
the 
current 
premises 
before 
the 
end 
of 
the 
strategy period 
is considered 
to be 
necessary. 
Any extension 
periods of 
fixed-term leases 
based on 
options are 
only 
taken 
into 
account 
if 
using 
them 
involves 
economic 
benefits 
or 
if 
exercising 
the 
extension 
option 
is 
otherwise reasonably certain. 
In discounting the 
current value of 
rents, the 
interest rate 
used until 
August 2023 
was the actual 
interest rate 
on 
additional 
credit 
using 
the 
Group’s 
overdraft 
facility. 
Following 
the 
termination 
of 
the 
overdraft 
facility, 
the 
3-
month Stibor 
rate has 
been used 
as the 
discount rate, 
which is 
the interest 
rate used 
for the 
Group's bond 
until 
12 August 2025.
 
 
 
11. 
Inventories 
1000 eur 
31.1.2025 
31.1.2024 
Materials and supplies 
5,980 
5,678 
Work in progress 
1,835 
3,013 
Finished products 
3,413 
4,141 
Vaihto-omaisuus 
11,228 
12,833 
 

98 
Accounting principle 
Materials 
and 
supplies, 
work 
in 
progress 
and 
finished 
products 
are 
recognised 
at 
the 
lesser 
of 
cost 
or 
net 
realisable 
value. 
The 
cost 
of 
inventories 
includes 
all 
purchase 
costs, 
costs 
of 
production 
and 
other 
expenses 
incurred due 
to bringing 
the inventories 
to their current 
location and condition. 
Purchase costs 
include purchase 
price, 
import 
duties 
and 
other 
taxes, 
transport 
and 
handling 
costs, 
and 
other 
expenses 
directly 
caused 
by 
the 
procurement 
of 
finished 
products, 
materials 
and 
services. 
The 
costs 
of 
production 
of 
inventories 
include 
direct 
expenses incurred 
due to 
materials and 
labour and 
appropriate share 
of variable 
and fixed 
overhead expenses, 
the 
latter 
of 
which 
are 
allocated 
based 
on 
normal 
operating 
capacity. 
The 
measurement 
of 
acquisition 
cost 
is 
based on the FIFO method. 
Key discretionary decisions and estimates 
The 
measurement 
of 
inventories 
requires 
the 
management 
to 
make 
estimates 
and 
discretionary 
decisions 
associated 
particularly 
with 
obsolescence 
and 
recognition 
of 
inventories 
at 
net 
realisable 
value 
based 
on 
expected selling prices, in 
addition to which the management 
estimates the general 
development of prices in 
the 
Company’s key 
markets. The 
net realisable 
value is 
the estimated 
actual selling 
price in 
ordinary business 
less 
estimated expenses required to complete the goods and realise 
the sale.
 
 
 
 
12. 
Trade and other receivables 
1000 eur 
31.1.2025 
31.1.2024 
Accounts receivable from finance companies 
616 
650 
Accounts receivable 
4,458 
4,116 
Other receivables 
76 
10 
Current prepayments and accrued income 
1,468 
1,484 
6,618 
6,261 
The maturity of trade receivables 
and the principles for 
measuring impairment are 
disclosed in Note 17 
Financial 
risk management. 
Accrued income mainly comprises advance payments of social 
security contributions. 
The book values of current trade and other receivables 
are considered to be close to their fair values. 
This is due 
to their short-term nature.
Accounting principle
Receivables are amounts 
that the Group 
expects to receive 
from other parties. 
Trade receivables 
are generated 
by 
sales 
of 
goods 
and 
services 
in 
ordinary 
business 
operations. 
Trade 
and 
other 
receivables 
are 
initially 
measured 
at 
fair 
value 
pursuant 
to 
the 
invoice 
sent 
to 
the 
customer, 
after 
which 
they 
are 
measured 
at 
the 
amount considered 
to be 
received 
from the 
customer 
(amortised cost). 
After initial 
recognition, 
trade 
and other 
receivables 
are 
measured 
at 
amortised 
cost 
less 
impairment 
losses. 
A 
simplified 
model 
for 
the 
recognition 
of 
credit loss provisions has been applied, as described in Note 
17.

13. 
Other current liabilities 
1000 eur 
31.1.2025 
31.1.2024 
Current advances received 
111 
83 
Current trade payables 
4,941 
4,763 
Other current liabilities 
3,022 
2,270 
Current accrued liabilities 
5,052 
9,982 
13,125 
17,098 
Accrued charges primarily comprise accrued personnel expenses, 
interest liabilities and allocated purchases. 
The book 
values of 
other current 
liabilities are 
considered to 
approximate their 
fair values 
because the 
liabilities 
are short-term by nature.

Accounting principle 
Trade 
payables 
are 
obligations 
to 
make 
a 
payment 
for 
goods 
or 
services 
procured 
from 
suppliers 
or 
service 
providers 
as 
part 
of 
ordinary 
business 
operations. 
Trade 
payables 
are 
initially 
measured 
at 
fair 
value 
and 
subsequently measured at amortised cost using the effective 
interest method.

100 
CAPITAL 
STRUCTURE AND FINANCING 
This section includes information 
about how the Group manages 
its capital structure and financing 
and exposure 
to risks: 
●
 
Net debt 
●
 
Loans 
●
 
Financial assets 
●
 
Derivative instruments 
●
 
Financial income and expenses 
●
 
Management of financial risks and capital 
●
 
Shareholders’ equity 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
14. 
Net debt 
1000 eur 
1/31/2025 
1/31/2024 
Non-current interest-bearing liabilities 
50,055 
10,738 
Capitalised interest debt, non-interest-bearing 
8,263 
4,984 
Current interest-bearing liabilities 
5,299 
42,066 
Cash and cash equivalents 
-2,498 
-2,574 
61,119 
55,213 
Reconciliation 
Cash and 
cash 
equivalent
s 
Lease liability 
within one year 
Lease liability 
after one year 
Loan 
repaymen
ts within 
one year 
Loan 
repayment
s after one 
year 
Total 
Net debt 1.2.2024 
2,574 
-4,662 
-10,488 
-42,387 
-250 
-55,213 
Cash flow 
-75 
4,836 
-976 
-3,066 
719 
Increase 
-469 
-2,225 
-2,694 
Exchange rate 
adjustment 
-29 
464 
432 
Other changes 
-3,999 
3,029 
42,387 
-45,782 
-4,364 
Net debt 31.1.2025 
2,498 
-4,323 
-9,684 
-976 
-48,634 
-61,119 
Reconciliation 
Cash and 
cash 
equivalent
s 
Lease liability 
within one year 
Lease liability 
after one year 
Loan 
repaymen
ts within 
one year 
Loan 
repayment
s after one 
year 
Total 
Net debt 1.2.2023 
3,557 
-4,742 
-8,647 
0 
-41,702 
-51,534 
Cash flow 
-983 
4,826 
0 
0 
0 
3,843 

101 
 
 
 
 
 
 
 
 
 
 
 
Increase 
-1,273 
-5,710 
-6,983 
Exchange rate 
adjustment 
-10 
0 
-186 
0 
-195 
Other changes 
0 
-3,464 
3,869 
-42,201 
41,452 
-344 
Net debt 31.1.2024 
2,574 
-4,662 
-10,488 
-42,387 
-250 
-55,213
 
 
 
 
 
 
 
 
 
 
 
 
15. 
Loans and financial assets 
 
 
 
1000 eur 
1/31/2025 
1/31/2024 
Non-current bonds 
26,266 
0 
Non current convertible bonds 
3,066 
0 
Non-current subordinated loans 
250 
250 
Non-current loans from related parties 
10,789 
0 
Non-current lease liability 
9,684 
10,488 
Capitalised interest 
8,263 
0 
Non-current interest-bearing liabilities 
58,318 
10,738
 
 
 
1000 eur 
1/31/2025 
1/31/2024 
Current bonds 
0 
26,614 
Loans from financial institutions 
976 
0 
Current liabilities to related parties, interest-bearing 
0 
10,789 
Short-term lease liability 
4,323 
4,662 
Capitalised interest 
0 
4,984 
Current interest-bearing liabilities 
5,299 
47,050
Loans from financial institutions and other financing 
Bond 
The Group’s 
parent company 
HLRE Holding 
Oyj issued 
in February 2021 
a secured three 
-year SEK 
300 million 
bond that 
includes an 
option of 
increasing the 
total loan 
by a 
maximum total 
of SEK 
100 million 
to a 
maximum 
total of 
SEK 400 
million in 
one or 
more tranches. 
The bond 
is an 
amortisation-free bullet 
loan, and 
it includes 
a 
leverage covenant, 
according to 
which the 
Group’s ratio 
of net 
debt to 
adjusted IFRS 
EBITDA must 
not exceed 
5.0/4.5/4.0 one/two/three 
years after 
the issue 
of the 
bond, which 
condition 
the Company 
failed to 
meet during 
the last quarter of the financial year 2024. 
In 
the 
summer 
of 
2023, 
the 
Company 
commenced 
negotiations 
on 
the 
refinancing 
of 
the 
bond 
falling 
due 
in 
February 
2024, 
announcing 
on 
30 
January 
2024 
that 
a 
result 
had 
been 
reached 
in 
the 
negotiations 
with 
the 
principal 
creditor 
with 
a 
controlling 
share 
of 
approximately 
66.67% 
regarding 
the 
refinancing 
of 
the 
loan. 
However, 
with 
the 
original 
maturity 
date 
on 
12 
February 
2024 
of 
the 
3-year 
loan 
issued 
on 
12 
February 
2021 
approaching, the Company 
announced on 30 
January 2024 that 
it will request 
a one-month 
extension to finalise 
the terms 
and conditions 
of the 
bond, which 
was approved 
on 5 
February 2024 
by the 
majority required 
for the 
bond. 

102 
In 
February 
2024, 
the 
company 
continued 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, 
announcing 
on 
8 
March 
2024 
the 
refinancing 
of 
the 
three-year 
SEK 
300 
million 
bond, 
which 
was 
registered 
with 
Nasdaq 
Stockholm on 13 March 2024. 
The 
bond 
falls 
due 
for 
payment 
on 
12 
February 
2027. 
The 
annual 
interest 
rate 
on 
the 
bond 
is 
the 
3-month 
STIBOR 
+7.85% 
(previously 
6.60%). 
The 
terms 
and 
conditions 
include 
an 
interest 
premium 
of 
7.85% 
for 
the 
deferral 
of 
the 
payment 
dates 
between 
12 
February 
2024 
and 
12 
May 
2025 
until 
the 
loan 
maturity 
date. 
The 
updated terms 
and conditions 
also include 
the option 
after 12 
May 2025 
to postpone 
30% of 
the 7.85% 
interest 
premium until the loan maturity date. 
If 
the 
STIBOR 
interest 
rate 
increases 
by 
one 
percentage 
point, 
the 
annual 
interest 
cost 
would 
increase 
by 
approximately SEK 3.3 
million, corresponding 
to about EUR 
0.3 million. If 
the Swedish krona 
were to appreciate 
by 5% against the euro, the annual interest liability would 
increase by EUR 0.15–0.2 million. 
The bond 
includes 
a 1.5% 
consent 
fee 
and 
a 
4% premium 
on 
the 
principal, 
which 
will fall 
due 
on the 
maturity 
date, and an unwithdrawn overdraft facility of EUR 1 
million. 
The 
updated 
terms 
and 
conditions 
of 
the 
bond 
include 
a 
net 
debt/EBITDA 
covenant 
that 
enters 
into 
effect 
in 
August 2025. 
The covenant 
will be 
5.0 until 
January 
2026, 4.5 
from February 
2026 to 
July 
2026, and 
4.0 from 
August 2026 
to the 
bond's maturity 
date in 
February 
2027. On 
the financial 
statements date, 
31 January 
2025, 
the Company’s 
net debt/EBITDA 
ratio 
was 
22.0. The 
Company 
forecasts 
that the 
covenants 
will be 
met at 
the 
end of October 2025 and February 2026. 
The updated financing 
terms also include 
a new liquidity 
covenant of EUR 
2 million, which 
will be reviewed 
on a 
monthly basis. 
The undrawn 
overdraft facility 
related to 
the agreement 
can be 
taken into 
account as 
part of 
the 
liquidity covenant 
of EUR 
2 million. 
Without the 
limit, the 
Group’s cash 
and cash 
equivalents amounted 
to EUR 
2.50 million on 31 January 2025.
 
Collateral for the bond and overdraft facility 
The 
following 
shares 
have 
been 
pledged 
as 
collateral 
for 
the 
bond 
and 
overdraft 
facility: 
HLRE 
Group 
Oy, 
Vesivek 
Oy, 
Vesivek 
Sverige 
AB 
and 
Vesivek 
Tuotteet 
Oy 
(formerly 
Nesco 
Oy). 
Furthermore, 
the 
following 
internal loans have been pledged as collateral for the bond 
agreement: 
Loan granted by HLRE Holding Oyj to HLRE Group Oy totalling 
EUR 11,996,333 
Loan granted by HLRE Holding Oyj to Vesivek Oy totalling EUR 1,234,960 
Loan granted by HLRE Holding Oyj to Nesco Invest Oy totalling 
EUR 8,446.71 
Loan granted by HLRE Holding Oy to Vesivek Tuotteet Oy totalling EUR 4,510,442 
The 
following 
business 
mortgages 
have 
been 
confirmed 
and 
pledged 
as 
collateral 
for 
the 
bond 
and 
overdraft 
facility: 
HLRE Group Oy 
EUR 57,200,000 
Vesivek Oy 
EUR 57,200,000 
Nesco Invest Oy 
EUR 57,200,000 
Vesivek Tuotteet 
Oy (formerly Nesco Oy) 
EUR 57,200,000 

103 
Vesivek Sverige AB 
SEK 20,000,000 
The following real estate mortgages have been pledged as 
collateral for the bond and overdraft facility: 
Vesivek Tuotteet 
Oy Orimattila production plant 
EUR 13,673,200 
In 
May 
2024, 
Vesivek 
Oy 
transferred 
the 
Lieto 
property 
at 
market 
value 
and 
on 
normal 
commercial 
terms, 
releasing the property’s mortgage deeds for a total value 
of EUR 46,800,000. 
Convertible Bond 
The 
terms 
and 
conditions 
of 
the 
bond 
include 
a 
five-year 
convertible 
bond 
of 
EUR 
3 
million 
issued 
by 
the 
Company’s principal 
shareholders. The principal 
of the convertible 
bond is subject 
to a fixed annual 
interest rate 
of 8.00%. The accrued 
interest shall be 
paid on the maturity 
date of the loan 
or on the conversion 
date specified 
separately 
in 
the 
agreement, 
whichever 
is 
earlier. 
Until 
then, 
all 
accrued 
interest 
will 
remain 
as 
debt, 
but 
the 
accrued 
interest 
will 
not 
be 
added 
to 
the 
loan 
principal 
and 
will 
not 
accrue 
interest. 
The 
principal 
of 
the 
convertible 
bond 
has 
seniority 
over 
the 
deferred 
interest 
premium 
at 
the 
payment 
dates 
between 
12 
February 
2024 and 12 May 2025.
 
The 
convertible 
bonds 
maturing 
in 
February 
2029 
can 
be 
converted 
into 
a 
maximum 
of 
6,131,704 
shares 
in 
HLRE 
Holding 
Oyj, 
corresponding 
to 
37.3% 
of 
the 
outstanding 
HLRE 
Holding 
shares 
issued 
at 
the 
end 
of 
the 
financial year. The applicable 
conversion price is EUR 0.50 per share. 
Shareholder loan 
The Group has shareholder loans 
from the parent company’s 
shareholders. At the end 
of the financial year 2025, 
the 
amount 
of 
shareholder 
loans 
was 
EUR 
10.8 
million. 
The 
interest 
accrued 
on 
the 
loans 
totalled 
EUR 
5.5 
million pursuant 
to the 
coupon rate 
of 6.00% 
p.a. The 
terms and 
conditions of 
the shareholder 
loan have 
been 
renegotiated in previous 
financial years 
so that interest 
will be paid 
together with 
the principal at 
the latest when 
the bond issued during the financial year falls due. 
The shareholder 
loans are 
subordinated to 
the bond, 
bank loans 
and other 
loans with 
regard to 
repayment and 
interest. The shareholder loans have no collateral.
Subordinated loan 
The Group companies have a 
subordinated loan totalling EUR 
250 thousand. The interest 
rate on the loan is 5%, 
and unrecognised 
interest of 
EUR 25 
thousand 
has accrued 
on the 
loan. No 
repayment date 
has been 
agreed 
for the loan. 
Accounting principle 
The Group’s 
financial liabilities 
are classified 
as financial 
liabilities at 
deferred cost 
and are 
measured using 
the 
effective interest 
method. A 
financial liability 
is classified 
as current 
unless the 
Group has 
an unconditional 
right 
to postpone the 
payment of the 
liability to a 
minimum of 12 
months after the 
closing date of 
the reporting period. 
The financial liability 
is derecognised when 
the liability 
has ceased to 
exist, that is, 
when the obligation 
specified 
in the agreement has been fulfilled or revoked or its validity 
has expired. 
Bonds, 
convertible 
bonds, 
loans 
from 
financial 
institutions 
and 
other 
loans 
are 
initially 
recognised 
at 
fair 
value 
less 
transaction 
costs 
on 
the 
settlement 
date. 
They 
are 
subsequently 
measured 
at 
amortised 
cost 
using 
the 
effective 
interest 
method. 
Transaction 
costs 
are 
accrued 
over 
the 
term 
of 
the 
loan 
using 
the 
effective 
interest 

104 
method. The financial 
liability of part 
thereof is derecognised 
when the liability 
has ceased to 
exist, that is, 
when 
the 
obligation 
specified 
in 
the 
agreement 
has 
been 
performed 
or 
revoked 
or 
its 
validity 
has 
expired. 
For 
listed 
instruments, the fair value of non-current 
and current interest-bearing liabilities 
has been calculated using quoted 
prices. 
For 
other 
loans, 
the 
fair 
value 
has 
been 
calculated 
on 
discounted 
cash 
flows 
using 
the 
return 
on 
the 
reporting date. 
Convertible bonds are classified as compound 
instruments, the components of which are recognised 
as liabilities 
and equity in accordance with the substance 
of the arrangement. The liability 
component is initially recognised at 
the 
fair 
value 
of 
a 
corresponding 
non-convertible 
liability. 
The 
equity 
component 
is 
initially 
recognised 
as 
the 
difference 
between 
the 
fair 
values 
of 
the 
full 
instrument 
and 
the 
liability 
component. 
Transaction 
costs 
are 
allocated to 
the liability 
component and 
the equity 
component in 
proportion to 
their initial 
carrying amounts. 
The 
fair 
value 
includes 
the 
value 
of 
the 
conversion 
right. 
Subsequently, 
the 
liability 
component 
is 
measured 
at 
amortised 
cost 
using 
the 
effective 
interest 
method. 
The 
equity 
component 
is 
reclassified 
between 
equity 
items 
when bonds are converted into shares or the validity expires.
Financial assets 
 
 
 
1000 eur 
1/31/2025 
1/31/2024 
Non-current 
Other non-current financial assets 
48 
48 
Loan receivables 
5 
13 
53 
61
 
 
 
1000 eur 
1/31/2025 
1/31/2024 
Current 
Loan receivables 
47 
52 
Cash and cash equivalents 
2,498 
2,574 
2,546 
2,626
Loan receivables comprise 
loans granted by 
the Company to 
its employees and 
shareholders. Loan 
receivables 
are measured at amortised cost. Loans to shareholders 
are presented in note 22. 
Other investments include the company’s investments 
in other companies (both listed and unlisted shares).

105 
Accounting principle 
The Group’s 
financial assets 
are classified into 
the following 
categories: financial 
assets at amortised 
cost using 
the 
effective 
interest 
method, 
and 
financial 
assets 
at 
fair 
value 
through 
profit 
or 
loss. 
The 
classification 
of 
financial 
assets 
is 
based 
on 
their 
cash 
flow 
properties 
and 
business 
models 
used 
for 
their 
management, 
and 
recognised on the value date. 
Loan receivables are measured at amortised cost using 
the effective interest method. The expected credit 
losses 
of these 
items are 
estimated on 
a case-by-case 
basis. Losses 
are recognised 
in expected 
credit losses 
over 12 
months or expected credit losses over the entire 
life, based on whether the credit risk 
has significantly increased. 
No credit losses are expected to be incurred from these items. 
Trade and 
other receivables 
are described 
in more 
detail in 
note 12, 
and they 
are measured 
at amortised 
cost. 
The associated credit risk and impairment matrix used in determining 
credit losses are described in note 17. 
Investments 
are 
measured 
at 
fair 
value. 
Realised 
and 
unrealised 
changes 
in 
fair 
value 
are 
recognised 
in 
financial income and expenses. 
Cash and cash equivalents comprise cash and demand 
deposits.
Derivative instruments 
The Company's 
Board of Directors 
had, in 
its meeting 
held on 
24 September 
2021, approved 
a currency 
hedge 
of SEK 
200 million 
proposed by 
Nordea Finland 
Branch to 
the Audit 
Committee. 
The forward 
contract 
matured 
on 12 February 2024, and 
its fair value at maturity 
was approximately EUR -1.95 
million. The Company paid 
half 
of 
this 
in 
February 
2024. 
For 
the 
other 
half, 
the 
Company 
negotiated 
an 
amortisation 
schedule 
with 
Nordea 
Finland Branch in late 2024 
so that the remaining principal, amounting 
to approximately EUR 0.98 million, 
will be 
amortised in equal instalments in February, 
May and August 2025, including 
interest. The annual interest rate 
on 
the loan is 4.0 percentage points over the six-month Euribor 
rate.
Accounting principle 
All derivate 
instruments 
are classified 
as financial 
assets 
and liabilities 
measured 
at fair 
value 
through 
profit or 
loss. 
Derivatives 
are 
measured 
at 
fair 
value. 
Both 
realised 
and 
unrealised 
gains 
and 
losses 
from 
the 
measurement 
of 
derivatives 
at 
fair 
value 
are 
recognised 
in 
financial 
income 
and 
expenses 
in 
the 
statement 
of 
comprehensive income. Hedge accounting is not applied to 
derivatives.
Measurement of fair value 
Financial instruments 
measured at 
fair value 
are classified 
in accordance 
with the 
following fair 
value hierarchy: 
instruments for which 
there is a 
publicly quoted price 
in an active 
market (level 1), 
instruments for which 
there is 
an observable 
direct or 
indirect price 
other than 
a quoted 
price pursuant 
to level 
1 (level 
2), and 
instruments for 
which there 
is no 
observable 
market price 
(level 3). 
These instruments 
measured at 
fair value 
include financial 
assets and liabilities measured at fair value through profit or loss. 
The 
price 
of 
listed 
shares 
is 
based 
on 
their 
quoted 
price 
(level 
1) 
and 
of 
unlisted 
shares 
on 
the 
measurement 
method (level 3). 
A currency derivative 
is linked to an 
option, the value of 
which is based 
on the option valuation 
models, and they are included in level 2 of the fair value hierarchy.

106 
16. 
Financial income and expenses
 
 
 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Interest income 
157 
193 
Exchange rate gains 
430 
67 
Financial income total 
587 
259
 
 
 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Interest expenses from liabilities to others 
-4,494 
-3,674 
Interest expenses from leases 
-437 
-285 
Unrealised losses at fair value, derivatives 
0 
-391 
Exchange rate losses 
-51 
-233 
Other debt financial expenses 
-184 
-53 
Financial expenses total 
-5,166 
-4,635 
Financial income and expenses total 
-4,579 
-4,376
Accounting principle 
Financial 
expenses 
comprise 
interest 
expenses 
on 
bank 
loans, 
overdraft 
facilities 
and 
other 
loans 
and 
lease 
liabilities, exchange 
rate differences 
in financial 
activities, and 
realised and 
unrealised changes 
in the 
values of 
currency and interest rate derivatives. 
Loan-related 
transaction 
expenses 
are 
expensed 
to 
the 
income 
statement 
using 
the 
effective 
interest 
method. 
The effective 
interest 
is the 
interest 
rate 
using 
which 
the estimated 
payments 
to 
be 
made during 
the 
expected 
running time 
of the 
loan are 
discounted to 
the net 
book value 
of the 
financial liability. 
The calculation 
takes into 
account all fees and transaction costs paid by the contracting 
parties. 
Interest 
income 
is 
recognised 
using 
the 
effective 
interest 
method. 
If 
a 
loan 
receivable 
has 
been 
impaired 
on 
account of a 
credit event, 
interest income 
is recognised for 
the loan amount 
from which 
impairment losses 
have 
been decreased. Foreign 
exchange gains and 
losses from financing activities 
are reported in financial 
income or 
expenses.
17. 
Management of financial risks 
The 
Group 
has 
a 
risk 
management 
policy 
approved 
by 
the 
Board 
of 
Directors 
and 
management 
team 
that 
is 
monitored by the Board of 
Directors and its Audit Committee. 
The risk management process 
aims to identify and 
assess 
the risks, 
after which 
measures 
are planned 
and implemented. 
The measures 
can include 
avoiding 
the 
risk, mitigating it by different means, 
transferring the risk through insurance policies 
or contractually, 
or taking the 
risk in a managed and conscious manner. 
The Company’s Board of Directors and its Audit 
Committee review the 
most significant risks and related measures annually in conjunction 
with the strategy process. 

107

The management of the 
HLRE Holding Group’s 
financial risks is seen 
to by the Group’s 
treasury functions in co-
operation 
with 
the 
persons 
responsible 
for 
purchasing 
and 
other 
business 
functions. 
The 
Group’s 
treasury 
function 
comprises 
the 
CEO, 
CFO 
and 
financial 
and 
accounting 
manager, 
and 
it 
operates 
in 
accordance 
with 
instructions 
given 
by 
the 
Board 
of 
Directors 
and 
the 
Audit 
Committee. 
The 
operational 
management 
of 
the 
Group’s 
treasury 
functions 
is centralised 
with 
the 
Group’s 
financial 
administration. 
The purpose 
of the 
treasury 
function 
is 
to 
ensure 
that 
the 
Company 
has 
adequate 
funds 
for 
engaging 
in 
business 
activities 
at 
all 
times 
without restrictions and to minimise financing costs. 
The treasury function of 
the HLRE Holding Group 
is responsible for the 
monitoring and operational management 
of 
the 
Group’s 
treasury 
functions 
and 
general 
financial 
position 
associated 
with 
financing, 
including 
each 
subsidiary’s 
financial 
risk 
exposures. 
The 
management 
of 
each 
subsidiary 
is 
responsible 
for 
managing 
their 
respective treasuries in accordance with 
the instructions laid down in the financial 
policy. Ultimately, 
the Board of 
Directors of HLRE Holding Oyj also co-ordinates financial 
matters pursuant to the financial policy. 

Liquidity risk 
The Group’s 
business operations 
have been 
developed into 
year-round operations 
in recent 
years. However, 
it 
is not possible to completely 
get rid of the seasonality 
of the business, which can 
cause short-term liquidity risks. 
The treasury function controls 
the Group’s liquidity 
risk by foreseeing the Group’s 
need for financing and 
thereby 
aims to ensure the flexibility, 
availability and temporal balance of financing. 
The liquidity reserve comprises the 
Group’s cash and cash equivalents. 
The financial administration of the HLRE 
Holding Group manages the Group’s liquidity instruments. 
The cash and cash 
equivalents of HLRE Holding 
Group totalled EUR 
2,498 thousand on 31 
January 2025 (EUR 
2,574 thousand on 31 January 2024). 
In 
the 
summer 
of 
2023, 
the 
Company 
commenced 
negotiations 
on 
the 
refinancing 
of 
the 
bond 
falling 
due 
in 
February 
2024. 
On 
30 
January 
2024, 
the 
company 
announced 
that 
a 
result 
had 
been 
reached 
in 
the 
negotiations 
with 
the 
principal 
creditor 
with 
a 
controlling 
share 
of 
approximately 
66.67% 
regarding 
the 
refinancing of 
the loan. 
However, 
with the 
original maturity 
date on 
12 February 
2024 of 
the 3-year 
loan issued 
on 12 February 2021 approaching, the Company 
announced on 30 January 2024 that it will request 
a one-month 
extension 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, 
which 
was 
approved 
on 
5 
February 
2024 
by 
the 
majority required for the bond. 
In 
February 
2024, 
the 
company 
continued 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, 
announcing 
on 
8 
March 
2024 
the 
refinancing 
of 
the 
three-year 
SEK 
300 
million 
bond, 
which 
was 
registered 
with 
Nasdaq 
Stockholm on 13 March 2024. 
Further information about the bond is provided in note 
15. 
The 
Group’s 
operating 
environment 
is 
subject 
to 
uncertainty 
caused 
by 
the 
impairment 
of 
the 
general 
security 
situation 
in 
Europe 
and 
continued 
increases 
in 
raw 
material 
and 
energy 
prices 
and 
general 
costs. 
The 
rising 
costs and 
uncertainty have 
impacts on 
disposable income, 
purchase choices 
and consumer 
behaviour, 
among 
other things. 
In addition, 
the potential 
impacts of 
the significant 
and extensive 
tariffs imposed 
by the 
US in 
April 
2025, 
and 
the 
uncertainty 
they 
cause, 
are 
difficult 
to 
estimate 
and 
predict. 
They 
can 
present 
both 
challenges 
and opportunities to the development of the Group’s 
business. 
In 
the 
first 
quarter 
of 
the 
financial 
year 
2025, 
the 
Group 
continued 
the 
organisational 
efficiency 
improvement 
measures 
it 
initiated 
in 
2023 
in 
a 
few 
of 
Vesivek 
Oy's 
units. 
All 
in 
all, 
the 
efficiency 
improvement 
measures 
initiated 
in 
2023 
have 
had 
extensive 
impacts 
on 
the 
Group's 
Finnish 
companies. 
The 
executive 
management 
closely 
monitors 
the 
development 
of 
the 
Group’s 
various 
companies 
and 
businesses, 
and 
is 
prepared 
to 
react 
further if the performance of the businesses is not in line with 
the set plans. 

108

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
With due account taken of the 
refinancing of the bond and the 
extensive efficiency improvement 
measures taken, 
the 
Company’s 
management 
has 
prepared 
financial 
forecasts 
for 
the 
development 
of 
turnover, 
expenses 
and 
investments. In assessing 
the continuity of 
business operations, 
the Company’s 
management estimates that 
the 
Company’s current liquid assets 
and projected cash flow from 
operations are sufficient to 
cover the liabilities and 
obligations arising from its operations for at least 12 months. 
The 
updated 
terms 
and 
conditions 
of 
the 
bond 
include 
a 
net 
debt/EBITDA 
covenant 
that 
enters 
into 
effect 
in 
August 2025. 
The covenant 
will be 
5.0 until 
January 
2026, 4.5 
from February 
2026 to 
July 
2026, and 
4.0 from 
August 2026 
to the 
bond's maturity 
date in 
February 
2027. On 
the financial 
statements date, 
31 January 
2025, 
the Company’s 
net debt/EBITDA 
ratio 
was 
22.0. The 
Company 
forecasts 
that the 
covenants 
will be 
met at 
the 
end of October 2025 and February 2026. 
The 
tables 
below 
present 
the 
Group’s 
financial 
liabilities 
broken 
down 
into 
categories 
based 
on 
the 
remaining 
contractual maturities. The loans include both interest-bearing 
loans and the overdraft facility: 
Maturities of contracts of financial liabilities 31 January 
2025 
1000 EUR 
No more 
than 12 
months 
Over 1 year 
and no more 
than 2 years 
Over 2 years 
and no more 
than 5 years 
Over 5 years 
Total 
Book value 
Trade payables 
4,941 
4,941 
4,941 
Lease liabilities 
4,792 
3,935 
5,956 
121 
14,804 
14,007 
Bonds 
1,663 
2,691 
32,011 
0 
36,365 
28,767 
Convertible bonds 
0 
0 
3,784 
0 
3,784 
3,287 
Shareholder loans 
0 
0 
18,512 
0 
18,512 
16,581 
Loans from financial 
institutions 
976 
0 
0 
0 
976 
976 
Total 
12,372 
6,626 
60,263 
121 
79,382 
68,559 
Maturities of contracts of financial liabilities 31 January 
2024 
1000 EUR 
No more 
than 12 
months 
Over 1 year 
and no more 
than 2 years 
Over 2 years 
and no more 
than 5 years 
Over 5 years 
Total 
Book value 
Trade payables 
4,763 
4,763 
4,763 
Lease liabilities 
4,940 
3,811 
6,550 
492 
15,793 
15,150 
Bonds 
26,651 
26,651 
26,614 
Shareholder loans 
15,794 
15,794 
15,773 
Derivatives 
1,852 
1,852 
1,852 
Total 
54,000 
3,811 
6,550 
492 
64,853 
64,152 
1/31/2025 
31.1.2024 
Fair value 
hierarchy level 
Book value 
Fair value 
Book value 
Fair value 
Financial liabilities 
Loans from financial 
institutions 
2 
976 
976 
0 
0 
Bonds 
2 
28,767 
23,514 
26,614 
25,633 

109

Convertible bonds 
2 
3,287 
3,211 
0 
0 
Shareholder loans 
2 
16,420 
15,742 
15,773 
15,741 
Derivatives 
2 
0 
0 
1,852 
1,852 

Credit risk and counterparty risk 
associated with cash and cash 
equivalents is insignificant, because 
the counterparties are banks 
with high credit 
ratings from international rating agencies. 
The Group’s 
credit loss 
policy 
defines the 
creditworthiness 
requirements 
for customers. 
The Group 
only grants 
credit to companies 
with appropriate 
credit ratings, 
and consumer 
customers in 
Finland are 
primarily directed 
to 
use the Laatutili service. 
Vesivek Oy and Vesivek 
Salaojat Oy offer their consumer customers 
the Laatutili facility granted by the OP bank. 
Laatutili is 
a renovation loan. 
Using a Laatutili 
loan, the 
customer can 
pay for the 
roofing or drainage 
renovation 
in 
a 
single 
interest-free 
and 
expense-free 
instalment 
with 
a 
term 
of 
payment 
of 
30 
days, 
or 
over 
a 
longer 
repayment period as 
separately agreed 
monthly instalments. 
The loan is 
granted by OP 
cooperative banks, 
and 
after 
payment 
is 
received 
from 
the 
bank, 
the 
Company 
no 
longer 
has 
interest 
in 
the 
receivable. 
The 
financing 
company 
only 
grants 
a 
Laatutili 
loan 
if 
the 
customer’s 
credit 
rating 
is 
in 
order. 
The 
risk 
of 
the 
receivable 
will 
transfer from the 
Company to the 
financing company 
when the end 
customer has 
approved the roof 
or drainage 
renovation specified in the agreement or 
the terms and conditions of the agreement 
have otherwise been fulfilled.

With 
regard 
to 
trade 
receivables 
and 
contractual 
assets, 
a 
simplified 
model 
in 
which 
the 
estimated 
amount 
of 
credit losses 
is based on 
the expected 
credit losses 
over the 
life of the 
receivables is 
used. Examples 
of events 
leading to impairment 
include severe financial 
problems of the 
debtor, the 
debtor’s probable bankruptcy 
or other 
financial arrangement.

The 
HLRE 
Holding 
Group 
applies 
a 
simplified 
procedure 
for 
recognising 
an 
impairment 
concerning 
expected 
credit losses, according 
to which an impairment 
item concerns the expected 
credit losses for 
the entire period 
of 
validity for all trade receivables. 
For determining the expected 
losses caused by credit risk, 
trade receivables are 
grouped 
based 
on 
shared 
credit 
risk 
properties 
and 
by 
how 
long 
payment 
is 
overdue. 
The 
impairment 
concerning 
the 
loss 
on 
31 
January 
is 
determined 
as 
a 
combination 
of 
a 
statistical 
model 
and 
case-specific 
analysis. 
Receivables 
from 
financing 
companies 
(Laatutili 
from 
OP 
Bank, 
Santander) 
are 
deducted 
from 
the 
balance of trade receivables in the calculation because 
the associated credit risk is minor.

31.1.2025% 
Not due 
Up to 30 
days 
31 to 60 
days 
61 to 90 
days 
91 to 120 
days 
Over 120 
days 
Total 
Expected loss rate 
0.14% 
0.82% 
1.34% 
20.00% 
40.00% 
70.00% 
Gross carrying amount 
3,967 
294 
105 
112 
8 
215 
4,700 
Loss allowance provision 
VAT 
0% 
5 
2 
1 
18 
2 
120 
148 
31.1.2024% 
Not due 
Up to 30 
days 
31 to 60 
days 
61 to 90 
days 
91 to 120 
days 
Over 120 
days 
Total 
Expected loss rate 
0.21% 
1.09% 
2.06% 
20.00% 
40.00% 
70.00% 
Gross carrying amount 
3,273 
173 
165 
101 
224 
273 
4,209 
Loss allowance provision 
VAT 
0% 
5 
2 
3 
16 
72 
154 
252 
Credit losses, EUR 1,000 
2025 
2024 

110

At 1st February 
252 
290 
Decrease in loss allowance recognised 
30 
180 
in profit or loss in the period 
Receivables recognised as unrecoverable credit losses 
-132 
-218 
in the period 
At 31st January 
148 
252

Key discretionary decisions and estimates 
The 
management 
has 
applied 
judgement 
and 
made 
assumptions 
in 
assessing 
whether 
the 
value 
of 
overdue 
receivables has been impaired. In its 
estimates, the management has also 
aimed to take macroeconomic factors 
into consideration.

Market risk – interest rates 
Interest rate risk is defined 
as an uncertainty associated 
with the result of the 
HLRE Group caused by 
fluctuation 
in interest 
rates. Therefore, 
HLRE’s exposure 
to interest 
rate risk 
is due 
to its 
interest-bearing loans, 
which are 
variable-rate (with 
the exception 
of lease 
liabilities). 
The goal 
pursuant to 
the financial 
policy is 
to minimise 
the 
impact of 
changes in 
interest rates 
on the 
Group's annual 
result and 
financial 
position while 
aiming to 
optimise 
net financing within the defined risk limits. 
Shareholder 
loans, totalling 
EUR 10.789 
million, and 
convertible 
bonds, totalling 
EUR 3.066 
million, have 
fixed 
interest rates. The 
interest rate on shareholder 
loans is 6% 
p.a. and the 
interest rate on 
convertible bonds 
is 8% 
p.a. The SEK 300 million 3-year, 
non-amortising bond refinanced by the Company 
in February 2024 is a floating-
rate bond, 
three-month 
STIBOR +7.85% 
p.a. 
As future 
interest 
payments 
had 
not been 
hedged by 
the date 
of 
signing the financial 
statements, the 
Company is 
exposed to interest 
risk. A one-percentage-point 
change in the 
reference rate (STIBOR) would affect interest 
expenses by EUR 0.3 million (at the exchange rate on 
the financial 
statements date). 
Foreign exchange risk 
The 
Group 
engages 
in 
business 
activities 
in 
Finland 
and 
Sweden. 
The 
Group 
is 
exposed 
to 
SEK-related 
transaction and 
translation risk. 
The transaction risk 
associated with 
the Swedish 
subsidiary primarily 
comprises 
trade receivables 
and payables 
emerging in 
its operational 
business 
activities. Translation 
risk arises 
when 
the 
parent company’s investments in the Swedish subsidiary 
are converted into euros. 
In March 
2024, the 
Company refinanced 
a SEK 
300 million 
3-year, 
non-amortising bond. 
In February 
2024, the 
SEK 200 million currency 
hedge concluded by 
the Company with 
Nordea Bank Oyj 
in 2021 was terminated. 
The 
fair value of the hedge at the time of termination 
was approximately EUR -1.95 million. The 
Company paid half of 
this in 
February 2024 
and, in 
late 2024, 
negotiated an 
amortisation schedule 
consisting of 
equal instalments 
for 
the remaining amount. The instalments will be paid, with interest, 
in February, May 
and August 2025. By the time 
of signing the 
financial statements, 
the bond 
has not 
been re-hedged. 
A change of 
+/-10% in the 
exchange rate 
of the Swedish krona 
would have an effect 
of approximately EUR +/-2.6 
million on the consolidated 
result before 
taxes. 
The Company partly finances the currency risk of the bond 
with Vesivek Sverige 
AB’s positive cash flow. 
Transaction risk 

111 
 
 
 
Transaction 
risk 
emerges 
from 
the 
commercial 
transactions 
and 
payments 
of 
the 
subsidiaries 
denominated 
in 
currencies other 
than the 
unit’s 
operating currency 
and when 
the associated 
incoming and 
outgoing cash 
flows 
differ in terms of amounts or timing. 
The 
Swedish 
subsidiary 
purchases 
the 
goods 
associated 
with 
installation 
activities 
to 
a 
significant 
extent 
in 
euros, including 
profile production 
steel sheets, 
rainwater 
management 
systems, externally 
sourced timber 
and 
other supplies included in the concept. 
During the financial year ended 
31 January 2025, approximately 
EUR 6.0 
million of the Swedish subsidiary’s purchases of approximately 
EUR 3.15 million were made in euros. 
The SEK-denominated 
trade payables 
and other 
current liabilities 
in the 
financial statements 
amounted to 
SEK 
32.7 million 
(SEK 30.7 
million), trade 
and other 
current receivables 
to SEK 
19.6 million 
(SEK 22.5 
million), and 
cash and 
cash 
equivalents 
to SEK 
22.6 
million 
(SEK 
-6.56 million). 
In 
2024, the 
average 
exchange rate 
of the 
Swedish krona strengthened by approximately 
0.4 per cent when compared to the previous 
year. As the average 
exchange rate 
remained 
practically 
unchanged 
during 
the year, 
the 
marginal 
change 
in 
the 
average 
exchange 
rate did not have an impact on the result for the financial year. 
Vesivek Oy 
has a SEK-denominated 
bank account. The 
other Group companies 
do not have significant 
external 
purchases, sales, receivables or liabilities in currencies 
other than the operating currency in each country. 
EUR 1,000 
Exchange rate gains and losses 
1.2.2023-31.1.2025 
1.2.2023-31.1.2024 
Exchange rate gains 
430 
67 
Exchange rate losses 
-65 
-271 
366 
-204 
Translation risk 
Translation 
risk 
covers 
the 
effects 
caused 
by 
the 
conversion 
of 
the 
Swedish 
subsidiary’s 
figures 
into 
EUR-
denominated figures 
for consolidation 
purposes. Sweden 
accounted for 
approximately 20 
per cent (17 
per cent) 
of 
the 
Group’s 
business 
operations 
for 
the 
most 
recent 
financial 
year. 
Approximately 
85–90 
per 
cent 
of 
the 
Group’s 
cash 
flows 
are 
denominated 
in 
EUR, 
which 
is 
the 
home 
currency 
of 
all 
the 
other 
subsidiaries 
and 
businesses engaged in business activities, except for the 
Swedish subsidiary.
Commodity risk 
The 
Russian 
invasion 
of 
Ukraine 
has 
increased 
the 
risk 
relating 
to 
the 
availability 
and 
delivery 
times 
of 
commodities, 
mainly 
steel. 
This 
has 
been 
managed 
by 
forecasting 
future 
purchase 
needs 
with 
suppliers 
and 
increasing the Group’s 
inventories of certain 
critical products. With 
regard to steel, 
price risk has 
been managed 
by fixing purchase 
prices quarterly 
for the next 
three months, 
and a mention 
of an 
increase in selling 
prices due 
to increases in raw material costs has been added to the 
Group’s sales agreements. 
The HLRE Holding Group did not have commodity derivatives 
during the financial year.
18. 
Shareholders’ equity 
Shareholders 31.1.2025 

112

 
 
 
 
 
 
 
 
 
 
Sentica Buyout IV funds 
8,783,695 
52.8 % 
Kimmo Riihimäki 
5,497,826 
33.1 % 
Other key persons 
1,065,322 
6.4 % 
Other shareholders 
1,078,576 
6.5 % 
Treasury shares 
201,304 
1.2 % 
16,626,723 
100.0 %
The total 
number 
of shares 
in HLRE 
Holding 
Oy 
did not 
change 
during 
the financial 
year 
1 February 
2024–31 
January 2025. 
Earnings per share calculated on profit attributable to 
equity 
holders of the parent 
1.2.2024-
31.1.2025 
1.2.2023-
31.1.2024 
Profit attributable to equity holders of the parent company 
-8,010,562 
-13,113,359 
Average number of shares 
16,440,211 
16,592,112 
Undiluted and dilution-adjusted earnings per share 
-0.49 
-0.79 
Share capital 
The 
share 
capital 
comprises 
ordinary 
shares. 
The 
parent 
company 
has 
one 
series 
of 
shares, 
and 
all 
shares 
confer 
equal 
rights 
to 
dividends. 
Each 
share 
confers 
one 
vote 
at 
a 
general 
meeting. 
All 
shares 
issued 
by 
the 
parent company have been paid in full. The shares have 
no nominal value.

Invested non-restricted equity reserve 
In 
accordance 
with 
the 
Finnish 
Limited 
Liability 
Companies 
Act, 
the 
subscription 
price 
for 
new 
shares 
is 
recognised in share capital, 
unless the decision on 
the share issue orders 
it to be recognised 
in full or part in 
the 
reserve 
for 
invested 
unrestricted 
equity. 
The 
reserve 
for 
invested 
unrestricted 
equity 
can 
also 
be 
accumulated 
without a share issue.

Dividends 
The Board of 
Directors’ proposal to 
the general meeting 
is that no dividends 
be distributed for 
the financial year. 
No dividends were distributed for the comparison period.

Translation differencies 
Translation 
differences 
resulting 
from 
the 
conversion 
of 
the 
financial 
statements 
of 
a 
foreign 
subsidiary 
are 
recognised 
in 
other 
comprehensive 
income 
and 
accumulated 
in 
the 
separate 
shareholders’ 
equity 
reserve 
as 
described in 
note 20. 
The accumulated 
amount is 
recognised 
through profit 
or loss 
when the 
net investment 
is 
divested.

Accounting principle 
The 
Group’s 
shareholders’ 
equity 
comprises 
share 
capital, 
invested 
non-restricted 
equity 
reserve, 
conversion 
differences 
and 
retained 
earnings. 
Changes 
in 
treasury 
shares 
are 
recognised 
in 
retained 
earnings. 
Expenses 
incurred directly due 
to the issue 
of new shares 
are reported less 
taxes in shareholders’ 
equity as a 
decrease in 
income from share issue.

113 
19. 
Capital risk management 
The 
Group 
monitors 
the 
shareholders’ 
equity 
and 
net 
debt 
on 
the 
consolidated 
balance 
sheet. 
Net 
debt 
is 
calculated 
by 
deducting 
cash 
and 
cash 
equivalents 
from 
current 
and 
non-current 
interest-bearing 
liabilities, 
as 
calculated in 
note 14. 
Seasonal fluctuations 
in business 
and related 
changes in 
liquidity and 
net working 
capital 
require 
active 
liquidity 
management. 
The 
Company 
is 
exposed 
to 
risks 
related 
to 
the 
solvency 
and 
payment 
behaviour of its customers, which may affect the Company’s 
cash flow or lead to credit losses. 
On 12 February 2021, the company issued 
a SEK 300 million 3-year, 
floating rate, secured non-amortising bond. 
In 
the 
summer 
of 
2023, 
the 
Company 
commenced 
negotiations 
on 
the 
refinancing 
of 
the 
bond 
falling 
due 
in 
February 
2024. 
On 
30 
January 
2024, 
the 
company 
announced 
that 
a 
result 
had 
been 
reached 
in 
the 
negotiations 
with 
the 
principal 
creditor 
with 
a 
controlling 
share 
of 
approximately 
66.67% 
regarding 
the 
refinancing of 
the loan. 
However, 
with the 
original maturity 
date on 
12 February 
2024 of 
the 3-year 
loan issued 
on 12 February 2021 approaching, the Company 
announced on 30 January 2024 that it will request 
a one-month 
extension 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, 
which 
was 
approved 
on 
5 
February 
2024 
by 
the 
majority required for the bond. 
In 
February 
2024, 
the 
company 
continued 
to 
finalise 
the 
terms 
and 
conditions 
of 
the 
bond, 
announcing 
on 
8 
March 
2024 
the 
new 
refinancing 
of 
the 
three-year 
SEK 
300 
million 
bond, 
which 
was 
registered 
with 
Nasdaq 
Stockholm on 13 March 2024. 
Further information about the bond is provided in note 
15.
 

114 
OTHER NOTES 
This section includes information 
that the Group has to 
disclose to comply with 
the financial standards but 
that is 
not considered to be significant from the point of view of understanding 
the Group’s financial position and result: 
●
 
Group structure and preparation of the consolidated financial 
statements 
●
 
Taxes 
●
 
Related party transactions 
●
 
Commitments and contingent liabilities 
●
 
New reporting standards and reporting standards that will enter 
into force at a later date 
●
 
Events after the reporting date 
20. 
Group structure 
The Group’s subsidiaries are as follows: 
Company name 
Domicile 
Holding % 
31.1.2025 
Holding % 
31.1.2024 
Principal activity 
HLRE Group Oy 
Pirkkala 
 
100 
 
100 
Administration and financial services 
Vesivek Oy 
Pirkkala 
 
100 
 
100 
Installation and covering of roof 
structures 
Vesivek Sverige AB 
Ruotsi 
 
91 
 
91 
Installation and covering of roof 
structures 
Nesco Invest Oy 
Orimattila 
 
100 
 
100 
Other technical service 
Vesivek Tuotteet 
Oy 
Orimattila 
 
100 
 
100 
Fabrication of rainwater 
management systems and roof 
safety products 
Tuusulan Peltikeskus Oy 
Tuusula 
 
100 
 
100 
Sheet metal works and sheet metal 
Vesivek Salaojat Oy 
Pirkkala 
 
75 
 
71 
Drainage renovations 
The share 
capital of 
the subsidiaries 
exclusively comprises 
ordinary shares 
held by 
the Group, 
and the 
holding 
corresponds with the voting 
rights held by the Group. 
The companies’ country of 
registration is also their 
primary 
operating country. 

115 
Accounting principle 
Subsidiaries 
are 
consolidated 
into 
the 
consolidated 
financial 
statements 
in 
full, 
starting 
from 
the 
time 
of 
acquisition, which is the 
date on which HLRE 
obtains control, and 
consolidation continues until 
control ceases to 
exist. HLRE has 
control if it 
is exposed or 
entitled to variable 
income by being 
a party to 
the investment and 
can 
influence this income by exercising its power over the 
investment. 
HLRE uses the 
acquisition method in 
consolidating business operations. 
Intra-Group transactions, 
balances and 
unrealised 
gains 
from 
transactions 
between 
Group 
companies 
are 
eliminated. 
Unrealised 
losses 
are 
also 
eliminated, unless the transaction provides evidence of 
impairment of the value of the transferred asset. 
Subsidiaries’ 
results 
and 
shareholders’ 
equity 
attributable 
to 
non-controlling 
interests 
are 
reported 
as 
separate 
income 
in 
the 
consolidated 
income 
statement, 
statement 
of 
comprehensive 
income, 
statement 
of 
changes 
in 
equity and balance sheet. 
Transactions 
realised with 
non-controlling interests 
that do 
not lead 
to losing 
control are 
treated as 
transactions 
with 
owners. 
A change 
in 
holding 
leads 
to 
an 
adjustment 
of the 
book values 
of 
the 
holdings 
of 
the 
Group 
and 
non-controlling 
interests. 
The 
difference 
between 
the 
adjustment 
of 
non-controlling 
interests 
and 
consideration 
paid or received is recognised in a separate reserve under 
shareholders’ equity attributable to owners.
 
 
 
 
21. 
Taxes 
Income 
tax 
expenses 
comprise 
the 
tax 
expense 
based 
on 
the 
taxable 
income 
for 
the 
period 
and 
deferred 
tax 
expenses. 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Tax 
on income from operations 
-140 
18 
Deferred taxes 
1,345 
1,751 
Income tax 
1,206 
1,769 
The reconciliation 
of the 
tax expense 
entered in 
the consolidated 
income statement 
and taxes 
calculated using 
the Finnish tax rate (20% for all financial years) is as follows: 
1000 eur 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Accounting profit before taxes 
-9,630 
-15,047 
Tax 
calculated at the parent company's tax rate of 20% 
1,926 
3,009 
Effect of different tax rates in foreign subsidiaries 
0 
-2 
Tax 
-free income included in the accounting profit 
1 
6 
Non-deductible expenses included in the accounting profit 
-615 
-1,285 
Application of loss from previous years for which deferred tax 
asset 
was not recognised 
5 
40 

116 
 
 
 
Previous years' loss for which deferred tax asset was recognised 
/ 
de-recognised 
-
111 
0 
Tax 
expense on profit and loss statement 
1,206 
1,769
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1000 EUR 
2/1/2024 
Translation 
differencies 
+/- 
Changes through 
income 
statement 
31.1.2025 
Deferred tax asset 
Inventories, internal margin 
112 
0 
41 
153 
Provision for credit losses 
50 
0 
-20 
30 
Unused tax loss 
1,678 
0 
1,537 
3,215 
Non-current assets, leasing 
3,060 
-6 
-226 
2,828 
Other items 
567 
0 
-392 
175 
Total 
5,467 
-6 
940 
6,401 
Net deferred tax item 
-3,527 
-3,145 
Deferred tax asset on balance sheet 
1,940 
3,256 
 
1000 EUR 
2/1/2024 
Translation 
differencies 
+/- 
Changes through 
income 
statement 
31.1.2025 
Deferred tax liability 
Property, plant and 
equipment 
610 
-2 
-91 
517 
Lease liability 
3,005 
-6 
-312 
2,687 
Other items 
16 
0 
-2 
14 
Total 
3,631 
-8 
-405 
3,218 
Net deferred tax item 
-3,527 
-3,145 
Deferred tax liability on balance sheet 
105 
74 
 
1000 EUR 
2/1/2023 
Translation 
differencies 
+/- 
Changes through 
income 
statement 
31.1.2024 
Deferred tax asset 
Inventories, internal margin 
160 
0 
-48 
112 
Provision for credit losses 
58 
0 
-8 
50 
Unused tax loss 
154 
0 
1,523 
1,678 
Non-current assets, leasing 
2,714 
6 
340 
3,060 
Other items 
431 
0 
135 
567 
Total 
3,517 
6 
1,943 
5,467 
Net deferred tax item 
-3,282 
-3,527 
Deferred tax asset on balance sheet 
235 
1,940 
 
1000 EUR 
2/1/2023 
Translation 
differencies 
+/- 
Changes through 
income 
statement 
31.1.2024 
Deferred tax liability 
Lease liability 
2,649 
7 
349 
3,005 

117 
 
 
 
 
 
 
 
Other items 
104 
0 
-88 
16 
Total 
3,432 
8 
191 
3,631 
Net deferred tax item 
-3,282 
-3,527 
Deferred tax liability on balance sheet 
150 
105 
On 1/31/2025 
the 
Group 
had 
confirmed 
tax losses 
carried forward 
of 
EUR 1,411,367.54 
for 
which 
no deferred 
tax assets 
have been 
recognised 
because the 
Group 
is not 
likely 
to accumulate 
taxable income 
against which 
the losses 
could 
be 
utilised. Of 
the 
losses, 
EUR 1,378,097.32 
will expire 
in 2025 
and 
EUR 33,270.22 
in 
2031. 
The 
Group’s 
taxable 
profit 
is 
expected 
to 
turn 
profitable 
in 
its 
entirety 
once 
the 
high 
interest 
rates 
and 
the 
recession ease up, so deferred 
tax assets have been 
recognised for the losses of 
the companies covered by 
the 
Group contribution.
On 1/31/2025 
the Group 
had related 
party interest 
carryforwards 
of EUR 
11,345,636.56. 
Of these, 
no deferred 
tax assets 
have been 
recognised for 
EUR 10,665,408.07, 
as it 
is not, 
for the 
time being, 
considered to 
be likely 
that such carryforwards will be utilised.
Accounting principle
The income 
taxes for 
the financial 
year include 
taxes 
based on 
the taxable 
income 
for the 
period and 
deferred 
taxes. The 
taxes based 
on the 
taxable income 
for the 
period concern 
the financial 
year under 
review, 
and they 
are based 
on tax 
rates prescribed 
or practically 
enacted by 
the closing 
date. The 
calculation of 
taxes based 
on 
the 
taxable 
income 
for 
the 
period 
is 
based 
on 
valid 
tax 
regulations 
in 
the 
countries 
in 
which 
the 
Company 
operates 
and 
accrues 
taxable 
income. 
The 
tax 
based 
on 
the 
taxable 
income 
for 
the 
period 
also 
includes 
adjustments concerning previous periods. 
Deferred taxes 
are measured 
based on 
the tax 
rates (and 
legislation) that 
are prescribed 
or practically 
enabled 
by the closing date and that 
are expected to be applied 
when the deferred tax asset 
in question is realised or 
the 
deferred tax liability is paid. 
A deferred 
tax liability 
is recognised 
in full 
for all 
taxable temporary 
differences, 
unless the 
Group can 
order the 
time of 
cancellation of 
the temporary 
difference and 
the temporary 
difference 
is not 
likely to 
be cancelled 
in the 
foreseeable 
future. 
Deferred 
tax 
assets 
are 
recognised 
for 
tax-deductible 
temporary 
differences 
only 
to 
the 
amount 
that 
it 
is 
probable 
that 
the 
temporary 
difference 
will 
be 
cancelled 
in 
the 
future 
and 
to 
which 
there 
is 
taxable income available against which the temporary 
difference can be utilised. 
Deferred tax assets and liabilities are 
offset against each other 
when the Group has a legally 
enforceable right to 
offset the tax assets 
and liabilities based on 
the taxable income for 
the period, and when 
the deferred tax 
assets 
and 
liabilities 
are 
connected 
to 
income 
taxes 
charged 
by 
the 
same 
taxation 
authority 
from 
the 
same 
taxable 
entity or different taxable entities when the asset 
and liability are to be realised on a net basis.
22. 
Related party transactions 
The 
related 
parties 
of 
the 
HLRE 
Holding 
Group 
include 
the 
Group’s 
parent 
company 
and 
subsidiaries. 
The 
related 
parties 
also 
include 
members 
of 
the 
Board 
of 
Directors 
and 
Group 
management 
team, 
any 
deputy 
members and secretary, 
the CEO and any Deputy CEO, their family members and 
their controlled entities. 

118 
Related party 
transactions 
are treated 
in accordance 
with the 
related party 
guideline approved 
by the 
Board 
of 
Directors 
of 
HLRE 
Holding 
Oyj. 
The 
Company’s 
Board 
of 
Directors 
always 
decides 
on 
significant 
transactions 
with HLRE Holding Oyj and its related parties. 
The 
subsidiaries 
are 
described 
in 
note 
20 
Group 
structure, 
and 
remuneration 
of 
the 
key 
management 
is 
disclosed in note 8 Information about key management personnel.
The following transactions have been realised with related 
parties: 
 
1000 eur 
With entities controlled by the management 
31.1.2025 
31.1.2024 
Sales of goods and services 
0 
9 
Purhases of goods and services 
586 
565 
Trade payables 
4 
7 
With the acting management 
31.1.2025 
31.1.2024 
Non-current liabilities 
13,571 
250 
Current liabilities 
0 
10,789 
Interest liabilities 
5,659 
4,984 
Interest expense 
621 
647 
 
The remuneration of key managers is reported in note 
8 Information about key managers. 
Shareholder loans included in non-current liabilities are 
reported in note 15. Loans and financial assets 
Vesivek Salaojat Oy has loan receivables 
from shareholders amounting to EUR 44 thousand.
23. 
Commitments and contingent liabilities 
Guanrantees given and contingent liabilities 
Accounting principle 
A 
contingent 
liability 
is 
a 
possible 
obligation 
arising 
due 
to 
previous 
events, 
the 
existence 
of 
which 
is 
only 
confirmed 
when 
an 
event 
beyond 
the 
control 
of 
the 
Group 
is 
realised. 
An 
obligation 
that 
probably 
does 
not 
require fulfilling a 
payment obligation or 
the amount of 
which cannot be reliably 
determined is also 
considered to 
be a contingent liability. 
The Group 
has pending 
ordinary complaints 
whose financial 
effects are 
not material 
and their 
realisation 
is not 
certain. 
Guarantees are described in note 15 Loans and financial 
assets.

119 
24. 
New reporting standards and reporting standards that will 
enter into force at a later date 
The IASB 
has made 
an amendment 
to IAS 
1 Presentation 
of Financial 
Statements concerning 
the classification 
of liabilities as 
current and 
non-current, and 
non-current liabilities 
that include 
a covenant. The 
amendments are 
to promote 
consistency in 
application and 
clarify the 
requirements for 
determining if 
a liability 
is current 
or non-
current. 
The amendments 
specify 
that covenants 
to be 
complied 
with 
after the 
reporting 
date 
do 
not affect 
the 
classification of 
debt as 
current or 
non-current at 
the reporting 
date. Information 
about such 
covenants must 
be 
disclosed in the 
notes to the 
financial statements. 
The amendments 
also clarify 
that the transfer 
of a company’s 
own equity 
instruments 
is regarded 
as settlement 
of a 
liability. 
If a 
liability includes 
a conversion 
option, 
it may 
affect the 
classification of 
the liability 
as current 
or non-current 
unless the 
conversion options 
are recognised 
as 
equity in accordance with IAS 32. 
The 
IASB 
has 
made 
amendments 
to 
IFRS 
16 
Leases 
regarding 
lease 
liability 
in 
a 
sale 
and 
leaseback 
arrangement. The 
amendments introduce 
a new accounting 
model for variable 
payments and 
will require seller-
lessees 
to 
reassess 
and 
potentially 
restate 
sale-and-leaseback 
transactions 
entered 
into 
since 
the 
implementation of IFRS 16 in 2019. 
The 
IASB 
has 
made 
amendments 
to 
IAS 
7 
Statement 
of 
Cash 
Flows 
and 
IFRS 
7 
Financial 
Instruments: 
Disclosures. The 
amendments 
aim to 
enhance 
the transparency 
of finance 
arrangements 
concerning 
suppliers 
of goods or 
services, and clarify 
their effects 
on a company’s 
liabilities, cash flows 
and exposure to 
liquidity risk. 
The 
amendments 
require 
the 
disclosure 
of 
quantitative 
and 
qualitative 
information 
on 
supplier 
finance 
arrangements. 
These amendments will enter into effect for financial 
periods beginning on or after 1 January 2024. 
The amendments have not had an effect on the 
HLRE Group’s reporting 
IFRS 
18 
Presentation 
and 
Disclosure 
in 
Financial 
Statements 
will 
replace 
the 
previous 
IAS 
1 
Presentation 
of 
Financial Statements. 
The application 
of IFRS 
18 will 
begin from 
the first 
IFRS financial 
statements for 
financial 
periods starting on or after 1 January 2027. The key new 
requirements of IFRS 18 are as follows: 
• Income and expenses in the income statement to be classified 
into three new defined categories — operating, 
investing and financing — and two new subtotals — “Operating 
profit or loss” and 
“Profit or loss before financing and income tax”. 
• Disclosures about management-defined performance measures 
(MPMs) in the financial statements. 
MPMs are subtotals of income and expenses used in public 
communications to communicate the management’s 
view of the company’s financial performance. 
• Disclosure of information based on enhanced general 
requirements 
on aggregation 
and 
disaggregation. 
In 
addition, 
specific 
requirements 
to disaggregate 
certain 
expenses, 
in 
the 
notes, 
will be required for companies that present operating expenses 
by function in the income statement.
The HLRE Group will start to assess the impact of the standard 
on its financial statements during 2025. 

120 
The HLRE 
Group has 
not 
identified 
any 
other new 
standards, 
amendments 
or interpretations 
published 
by 
the 
IASB 
that 
will 
be 
applied 
for 
the 
first 
time 
in 
reporting 
periods 
beginning 
on 
or 
after 
1 
January 
2025 
that 
are 
expected to have a material 
impact on the HLRE Group’s 
result, financial position or 
presentation of the financial 
statements. 
25. 
Events after the reporting date 
In 
February–March 
2025, 
the 
Group 
continued 
the 
temporary 
layoffs 
of 
a 
maximum 
of 
90 
days 
in 
its 
Finnish 
companies, which had 
been announced 
in December 2024. 
The Group further 
announced in late 
March that, as 
the demand situation 
had slightly improved, 
the Group would 
deviate from the 
previously announced plan 
by not 
continuing the temporary layoffs in April in any of the 
Group companies.

 
 
 
 
121 
Parent company’s financial statements, FAS 
Parent company’s income statement 
 
1 EUR 
Note 
1.2.2023-31.1.2024 
TURNOVER 
492,249.26 
322,499.94 
Employee benefit expense 
1 
-190,068.92 
-63,449.65 
Depreciation, amortisation and impairment 
0.00 
-21,920.38 
Other operating expenses 
2 
-322,950.80 
-146,773.76 
OPERATING PROFIT 
(LOSS) 
-20,770.46 
90,356.15 
Financial income and expenses 
3 
Financial income 
4,289,729.65 
2,522,661.54 
Financial expenses 
-6,603,983.50 
-3,576,120.74 
PROFIT (LOSS) BEFORE TAXES 
-2,335,024.31 
-963,103.05 
Direct taxes 
4 
175.80 
0.00 
Profit or loss for the financial year 
-2,334,848.51 
-963,103.05 

 
 
 
 
 
 
 
 
122 
Parent company’s balance sheet 
 
 
1 EUR 
Note 
31.1.2025 
31.1.2024 
ASSETS 
NON-CURRENT ASSETS 
Intangible assets 
5 
22,770.00 
0.00 
Investments 
6 
19,802,563.00 
19,802,563.00 
19,825,333.00 
19,802,563.00 
CURRENT ASSETS 
Non-current receivables 
7 
33,888,448.98 
33,888,448.98 
Current receivables 
8 
19,085,642.87 
9,226,201.76 
Cash and cash equivalents 
1,377,505.84 
36,327.16 
54,351,597.69 
43,150,977.90 
ASSETS 
74,176,930.69 
62,953,540.90 
SHAREHOLDERS' EQUITY AND LIABILITIES 
SHAREHOLDERS' EQUITY 
Share capital 
80,000.00 
80,000.00 
Other reserves 
Invested non-restricted equity reserve 
18,001,823.00 
18,001,823.00 
Retained earnings 
317,930.99 
1,281,034.04 
Profit or loss for the financial year 
-2,334,848.51 
-963,103.05 
SHAREHOLDERS' EQUITY 
9 
16,064,905.48 
18,399,753.99 
LIABILITIES 
Non-current liabilities 
10 
42,723,127.57 
37,412,895.61 
Current liabilities 
11 
15,388,897.64 
7,140,891.30 
LIABILITIES 
58,112,025.21 
44,553,786.91 
SHAREHOLDERS' EQUITY AND LIABILITIES 
74,176,930.69 
62,953,540.90 

 
 
 
123 
Parent company’s cash flow 
 
 
1 EUR 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Cash flow from operating activiteis 
PROFIT (LOSS) FOR THE PERIOD 
-2,334,849 
-963,103 
Adjustments to profit (loss) for the period 
2,314,078 
1,075,380 
Operating cash flow before working capital changes 
-20,770 
112,277 
Working capital changes 
Increase (decrease) in trade and other receivables 
-500,344 
-22,811 
Increase (decrease) in trade payables 
517,949 
3,540 
Cash flows from operations before financial items and taxes 
-3,166 
93,005 
Interest paid 
-1,161,206 
-2,731,686 
Interest received 
3,088,843 
1,731,342 
Other financial items 
-2,658,668 
7,585 
Income taxes paid 
176 
-119,653 
Cash flow from operating activiteis 
-734,021 
-1,019,406 
Cash flows from investing activities 
0 
-22,770 
0 
Addition (deduction) of cash equivalents 
-8,586,987 
1,161,397 
Net cash used in investing activities 
-8,609,757 
1,161,397 
Cash flows from financing activities 
0 
976,000 
0 
Addition (deduction) of current borrowings 
6,643,105 
1,358,562 
0 
3,065,852 
0 
Group contribution received and paid 
0 
-1,500,000 
Net cash used in financing activities 
10,684,957 
-141,438 
Net change in cash and cash equivalents 
1,341,179 
553 
Cash and cash equivalents, opening balance 
36,327 
35,774 
Net increase (decrease) in cash and cash equivalents 
1,341,179 
553 
Cash and cash equivalents 
1,377,506 
36,327 

 
 
124 
Parent company’s notes 
HLRE Holding Oyj is 
the parent company of 
the HLRE Holding Group 
(Vesivek Group). 
The financial statements 
of 
HLRE 
Holding 
Oyj 
have 
been 
prepared 
in 
accordance 
with 
the 
Finnish 
Accounting 
Act. 
The 
financial 
statements 
have 
been 
prepared 
in 
accordance 
with 
the 
requirements 
set 
for 
micro-enterprises 
(Government 
Decree on 
the 
information 
presented 
in the 
financial 
statements 
of a 
small undertaking 
and 
micro-undertaking, 
chapters 2 and 3). 
Accounting policies 
Contrary 
to 
the 
recognition 
principles 
for 
micro-enterprises, 
the 
withdrawal 
fee 
for 
the 
Company’s 
bond 
is 
accrued over the loan period. 
Shares in subsidiaries are measured at cost. 
-
 
The Company’s 
management has 
estimated that 
the value 
of the 
shares has 
not declined 
permanently 
based on the financial 
forecasts prepared by the 
Company’s management 
regarding the development 
of 
turnover, 
expenses 
and 
the 
amount 
of 
investments. 
In 
assessing 
the 
continuity 
of 
operations, 
the 
forecasts 
assume 
that 
there 
will 
be 
a 
moderate 
positive 
turn 
in 
the 
market. 
In 
addition, 
the 
Group’s 
management 
has 
taken 
measures 
to 
improve 
the 
cash 
position. 
Due 
to 
the 
general 
economic 
uncertainty, the 
cyclical nature of the industry 
and the short term of the order book, 
forecasting is subject 
to more management judgement than usual. If the business 
does not develop according to the forecasts, 
there is 
a risk 
of liquidity 
being jeopardised 
and the 
covenants being 
breached, 
which would 
also have 
an 
impact 
on 
the 
measurement 
of 
the 
parent 
company's 
shares 
in 
subsidiaries 
and 
receivables 
from 
subsidiaries on the balance sheet. 
Business continuity 
The financial 
statements for 
the financial 
period 1 
February 
2024–31 January 
2025 have 
been prepared 
based 
on 
the 
going 
concern 
principle, 
assuming 
that 
the 
Company 
will 
be 
able 
to 
liquidate 
its 
assets 
and 
settle 
its 
liabilities as part of normal business operations in the foreseeable 
future. 
The 
consolidated 
result 
for 
the 
financial 
year 
ended 
31 
January 
2025 
was 
EUR 
-8.4 
million. 
The 
consolidated 
result for the previous financial year was EUR -13.3 
million, which included an impairment of goodwill 
of EUR 5.0 
million. The Company's 
operating cash 
flow came to 
EUR 0.1 (4.3) 
million, and 
net debt amounted 
to EUR 
61.1 
(55.2) 
million. 
During 
the 
financial 
year, 
the 
Company 
refinanced 
the 
SEK 
300 
million 
bond 
issued 
by 
the 
Company that matured 
in February 2024. 
The bond will 
mature in February 
2027. The bond 
includes a Swedish 
krona exchange rate risk that 
was not hedged at the 
time of signing the financial 
statements. A change of +-10% 
in the exchange 
rate of the 
Swedish krona against 
the euro would 
affect the 
result by approximately 
EUR +/-2.6 
million before taxes. The terms 
and conditions of the bond are 
described in more detail in sections 
15 Loans and 
financial assets and 17 Financial risk management in the notes 
to the consolidated financial statements. 
The bond 
includes 
a cash 
covenant of 
EUR 2 
million 
and, effective 
from 1 
August 
2025, a 
leverage 
covenant. 
The Group’s 
cash and 
cash equivalents 
amounted to 
EUR 2.50 
million on 
31 January 
2025. The 
Group has 
an 
unused 
overdraft 
facility 
of 
EUR 
1.0 
million 
that 
was 
negotiated 
in 
March 
2024 
in 
connection 
with 
the 
restructuring of the SEK 300 million bond. 
The 
Group’s 
operating 
environment 
is 
subject 
to 
uncertainty 
caused 
by 
the 
impairment 
of 
the 
general 
security 
situation 
in 
Europe 
and 
continued 
increases 
in 
raw 
material 
and 
energy 
prices 
and 
general 
costs. 
The 
rising 
costs and 
uncertainty have 
impacts on 
disposable income, 
purchase choices 
and consumer 
behaviour, 
among 
other things. 
In addition, 
the potential 
impacts of 
the significant 
and extensive 
tariffs imposed 
by the 
US in 
April 
2025 and the uncertainty 
they cause are 
difficult to estimate 
and predict. 
They can present 
both challenges and 

 
 
125 
opportunities 
to 
the 
development 
of 
the 
Group’s 
business. 
Ideally, 
the 
impacts 
will 
accelerate 
the 
recovery 
of 
development 
activity 
in 
the 
property 
market. 
At 
the 
same 
time, 
uncertainty 
about 
the 
future 
impacts 
of 
trade 
policy causes delays in decision-making concerning property 
investments. 
The Group’s growth and 
development are strongly linked 
with the growth and development 
of sales and success 
in 
internationalisation, 
and 
failure 
in 
them 
might 
have 
direct 
or 
indirect 
impacts 
on 
the 
Group’s 
business 
and 
growth opportunities or the development of its profitability. 
In 
the 
first 
quarter 
of 
the 
financial 
year 
2025, 
the 
Group 
continued 
the 
organisational 
efficiency 
improvement 
measures 
it 
initiated 
in 
2023 
in 
a 
few 
of 
Vesivek 
Oy's 
units. 
All 
in 
all, 
the 
efficiency 
improvement 
measures 
initiated 
in 
2023 
have 
had 
extensive 
impacts 
on 
the 
Group's 
Finnish 
companies. 
The 
executive 
management 
closely 
monitors 
the 
development 
of 
the 
Group’s 
various 
companies 
and 
businesses, 
and 
is 
prepared 
to 
react 
further if the performance of the businesses is not in line with 
the set plans. 
With due account taken of the 
refinancing of the bond and the 
extensive efficiency improvement 
measures taken, 
the 
Company’s 
management 
has 
prepared 
financial 
forecasts 
for 
the 
development 
of 
turnover, 
expenses 
and 
investments. In assessing 
the continuity of 
business operations, 
the Company’s 
management estimates that 
the 
Company’s current liquid assets 
and projected cash flow from 
operations are sufficient to 
cover the liabilities and 
obligations arising 
from its 
operations for 
at least 
12 months. 
Consequently, 
the financial 
statements have 
been 
prepared 
on 
the 
basis 
of 
the 
going 
concern 
principle. 
The 
forecasts 
assume 
that 
there 
will 
be 
a 
moderate 
positive 
turn 
in 
the 
market. 
In 
addition, 
the 
Group’s 
management 
has 
taken 
measures 
to 
improve 
the 
cash 
position 
by, 
for 
example, 
switching 
to 
the 
use 
of 
consignment 
stock 
for 
steel 
products. 
Due 
to 
the 
general 
economic 
uncertainty, 
the 
cyclical 
nature 
of 
the 
industry 
and 
the 
short 
term 
of 
the 
order 
book, 
forecasting 
is 
subject to more management judgement 
than usual. If the business 
does not develop according to 
the forecasts, 
there 
is 
a 
risk 
of 
liquidity 
being 
jeopardised 
and 
the 
covenants 
being 
breached, 
which 
may 
cause 
significant 
grounds 
for 
doubting 
the 
ability 
of 
the 
Company 
and 
the 
Group 
to 
continue 
as 
a 
going 
concern. 
Such 
circumstances would also have an impact on the 
balance sheet valuation of the parent company’s 
shares in, and 
receivables from, its subsidiaries. 
1.
 
Notes 
concerning 
the 
personnel 
and 
members 
of 
governing 
organs 
1 EUR 
Personnel expenses 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Wages, salaries and fees 
-170,779.12 
-46,620.88 
Pension expenses 
-12,838.22 
-12,488.79 
Other social security contributions 
-6,451.58 
-4,339.98 
Total 
-190,068.92 
-63,449.65 
Management salaries, fees and fringe benefits 
CEO 
121,840.00 
10,000.00 
Board members 
36,000.00 
36,000.00 
Total 
157,840.00 
46,000.00 
Number of personnel 
Average during the year 
1 
1 

 
 
 
 
 
 
126 
2.
 
Other operating expenses and auditors’ fees 
1 EUR 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
To the auditor: 
staturoty audit 
-24,161.53 
-28,779.49 
PricewaterhouseCoopers Oy 
0.00 
-13,254.49 
KPMG Oy Ab 
-24,161.53 
-15,525.00 
To the auditor: 
other expert services 
-17,254.33 
-16,469.16 
PricewaterhouseCoopers Oy 
0.00 
-4,000.00 
KPMG Oy Ab 
-17,254.33 
-12,469.16 
Legal and consulting services 
-194,126.66 
-36,588.31 
Other operating expenses 
-128,824.14 
-64,936.80 
-322,950.80 
-146,773.76 
3.
 
Financial income and expenses 
1 EUR 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Interest income from group companies 
3,845,852.89 
2,498,437.65 
Interest income from others 
15,099.54 
2,904.86 
Exchange rate gains 
428,777.22 
21,319.03 
Financial income total 
4,289,729.65 
2,522,661.54 
Interest expense from liabilities to others 
-3,945,315.53 
-3,378,547.44 
Other financial expenses 
-2,631,142.10 
-13,733.54 
Exchange rate losses 
-27,525.87 
-183,839.76 
Financial expenses total 
-6,603,983.50 
-3,576,120.74 
Financial income and expenses total 
-2,314,253.85 
-1,053,459.20 
4.
 
Direct taxes 
1 EUR 
1.2.2024-31.1.2025 
1.2.2023-31.1.2024 
Tax 
for previous accounting periods 
175.80 
0.00 
175.80 
0.00 
5.
 
Intangible assets 
1 EUR 
Intangible rights 
Total 
Cost 1 February 2024 
115,744 
115,744 
Increase 
22,770 
22,770 
Cost 31 January 2025 
138,514 
138,514 
Accumulated depreciation, amortisation and impairment 1 February 
2024 
-115,744.42 
-115,744.42 
Accumulated depreciation, amortisation and impairment 31 
January 
2025 
-115,744.42 
-115,744.42 
Book value 31 January 2025 
22,770 
22,770 

 
127 
Book value 31 January 2024 
0 
0 
6.
 
Investments 
1 EUR 
Shares in Group 
companies 
Total 
Cost 1 February 2024 
19,802,563.00 
19,802,563.00 
Cost 31 January 2025 
19,802,563.00 
19,802,563.00 
Book value 31 January 2025 
19,802,563.00 
19,802,563.00 
Book value 31 January 2024 
19,802,563.00 
19,802,563.00 
HLRE Holding 
Oyj owns 
100% of 
the shares 
in HLRE 
Group Oy. 
The other 
Group companies 
are presented 
in 
note 20 to the consolidated financial statements. 
. 
7.
 
Non-current receivables 
1 EUR 
31.1.2025 
31.1.2024 
Non-current intra-group loan receivables 
HLRE Group Oy 
19,696,332.67 
19,696,332.67 
Vesivek Tuotteet 
Oy 
4,510,442.67 
4,510,442.67 
Nesco Invest Oy 
8,446,713.58 
8,446,713.58 
Vesivek Oy 
1,234,960.06 
1,234,960.06 
33,888,448.98 
33,888,448.98 
8.
 
Current receivables 
1 EUR 
31.1.2025 
31.1.2024 
Receivables from Group companies 
Trade receivables from Group companies 
215,127.09 
0.00 
Interest receivables on intra-group loans 
8,760,010.25 
7,987,900.67 
Group account receivables 
9,722,882.54 
1,135,895.22 
Receivables from others 
Other receivables 
0.00 
5,745.34 
Accrued income 
313,380.55 
22,418.04 
Income tax receivable 
74,242.44 
74,242.49 
19,085,642.87 
9,226,201.76 
9.
 
Shareholders’ equity 
1 EUR 
Restricted shareholders' equity 
31.1.2025 
31.1.2024 
Share capital 
80,000.00 
80,000.00 
Total restricted 
equity at the end of financial year 
80,000.00 
80,000.00 
Non-restricted shareholders' equity 

 
 
 
128 
Invested non-restricted equity reserve 
18,001,823.00 
18,001,823.00 
Retained earnings, at the beginning of the period 
317,930.99 
1,281,034.04 
Profit or loss for the financial year 
-2,334,848.51 
-963,103.05 
Total non-restricted 
shareholders' equity at the end of the 
financial year 
15,984,905.48 
18,319,753.99 
Distributable non-restricted shareholders' equity 
Retained earnings 
317,930.99 
1,281,034.04 
Profit or loss for the financial year 
-2,334,848.51 
-963,103.05 
Invested non-restricted equity reserve 
18,001,823.00 
18,001,823.00 
Total 
distributable funds 
15,984,905.48 
18,319,753.99 
The Board of Directors’ proposal to the general meeting is that no 
dividends be distributed. 
The company acquired 145,509 treasury shares during 
the financial year. The acquisition 
was gratuitous. 
The 
key 
employees’ 
shareholdings 
include 
an 
obligation 
to 
work. 
The 
Company 
has 
the 
right, 
but 
not 
an 
obligation, to 
redeem the 
shares at 
the lower 
of the 
original subscription 
prices of 
the share 
issues or 
fair value 
as 
specified 
in 
the 
shareholders’ 
agreement 
in 
the 
case 
of 
the 
resignation 
of 
the 
key 
employees. 
The 
key 
individuals 
whose 
shares 
were 
acquired 
by 
the 
Company 
during 
the 
financial 
year 
left 
the 
Company's 
employment during the financial year. 
At the balance sheet date, the Company held 201,304 
treasury shares, corresponding to 1.21%. 
10. 
Non-current liabilities 
1 EUR 
31.1.2025 
31.1.2024 
Bonds 
28,647,453.11 
26,623,595.61 
Liabilities to related parties 
14,075,674.46 
10,789,300.00 
42,723,127.57 
37,412,895.61 
The loans were refinanced in March 2024. 
11. 
Current liabilities 
1 EUR 
31.1.2025 
31.1.2024 
Liabilities to group companies 
Trade payables 
500 
500 
Group account liabilities 
8202575.3 
1559470.72 
Liabilities to others 
Loans from financial institutions 
976,000.00 
0.00 
Trade payables 
11,028.33 
5,026.47 
Other liabiliteis 
45,059.63 
11,342.85 
Interest liabilities 
5,673,661.77 
5,562,709.22 

 
129 
Accrued expense 
480,072.61 
2,441.94 
15,388,897.64 
7,140,891.30 
12.
 
Guarantees and contingent liabilities 
HLRE 
Holding 
Oyj 
has 
pledged 
2,500 
shares 
in 
the 
subsidiary 
HLRE 
Group 
Oy 
as 
collateral 
for 
the 
secured 
financing 
arrangement 
of 
SEK 
300,000,000 
concerning 
the 
Group. 
In 
addition, 
intra-Group 
receivables 
amounting to EUR 33.9 million have been pledged as collateral. 
The 
following 
business 
mortgages 
have 
been 
confirmed 
and 
pledged 
as 
collateral 
for 
the 
bond 
and 
overdraft 
facility: 
HLRE Group Oy 
EUR 57,200,000 
Vesivek Oy 
EUR 57,200,000 
Nesco Invest Oy 
EUR 57,200,000 
Vesivek Tuotteet 
Oy 
EUR 57,200,000 
Vesivek Sverige AB 
SEK 20,000,000 
The following real estate mortgages have been pledged as 
collateral for the bond: 
Vesivek Tuotteet 
Oy Orimattila production plant 
EUR 13,673,200 
Calculation formulas for key figures 
Equity ratio 
100 * Shareholders’ equity/Balance sheet total - Advance 
payments received 
EBITDA 
Operating profit + Depreciation, amortisation and impairment 
Gross capital expenditure 
Investments in intangible and tangible assets 
Operating cash flow 
Profit/loss for the period +/- non-cash adjustments +/- 
change in working capital 
+/- interest paid/received on business - tax paid on business 
Personnel on average 
The total number of employees at the end of each month is divided 
by the 
number of months in the financial period 

130 
Independent auditor's report on the ESEF financial statements 
of HLRE Holding Oyj 
To 
the Board of Directors of HLRE Holding Oyj 
We have performed a reasonable assurance engagement 
on the financial statements 
743700UNWAM0XWPHXP50-2025-01-31-0-en.zip 
of HLRE Holding Oyj (Business ID 2611405 
-7) that have 
been prepared in accordance with the Commission's regulatory technical 
standard for the financial year ended 
31.1.2025. 
Responsibilities of the Board of Directors and the Managing 
Director 
The Board of Directors and the Managing Director are 
responsible for the preparation of the company's report 
of 
the Board of Directors and financial statements (the ESEF financial 
statements) in such a way that they comply 
with the requirements of the Commission's regulatory technical 
standard. This responsibility includes: 
—
preparing the ESEF financial statements in XHTML format 
in accordance with Article 3 of the Commission's 
regulatory technical standard 
—
tagging the primary financial statements, notes and company's 
identification data in the consolidated 
financial statements that are included in the ESEF financial 
statements with iXBRL tags in accordance with 
Article 4 of the Commission's regulatory technical standard and 
—
ensuring the consistency between the ESEF financial 
statements and the audited financial statements. 
The Board of Directors and the Managing Director are 
also responsible for such internal control as they 
determine is necessary to enable the preparation of ESEF 
financial statements in accordance with the 
requirements of the Commission's regulatory technical 
standard. 
Auditor’s independence and quality management 
We are independent of the company in accordance 
with the ethical requirements that are applicable in Finland 
and are relevant to the engagement we have performed, 
and we have fulfilled our other ethical responsibilities 
in 
accordance with these requirements. 
The auditor applies International Standard on Quality 
Management (ISQM) 1, which requires the firm to design, 
implement and operate a system of quality management 
including policies or procedures regarding compliance 
with ethical requirements, professional standards and 
applicable legal and regulatory requirements. 
Auditor’s responsibilities 
Our responsibility is to, in accordance with Chapter 7, Section 8 
of the Securities Markets Act, provide assurance 
on the financial statements that have been prepared in 
accordance with the Commission's regulatory technical 
standard. We express an opinion on whether the consolidated 
financial statements that are included in the ESEF 
financial statements have been tagged, in all material respects, 
in accordance with the requirements of Article 4 
of the Commission's regulatory technical standard. 
Our responsibility is to indicate in our opinion to what extent 
the assurance has been provided. We conducted 
a 
reasonable assurance engagement in accordance with International 
Standard on Assurance Engagements 
(ISAE) 3000. 
The engagement includes procedures to obtain evidence on: 
—
whether the primary financial statements in the consolidated 
financial statements that are included in the 
ESEF financial statements have been tagged, in all 
material respects, with iXBRL tags in accordance with 
the requirements of Article 4 of the Commission's regulatory 
technical standard and 

131 
—
whether the notes and company's identification data in the consolidated 
financial statements that are 
included in the ESEF financial statements have been tagged, 
in all material respects, with iXBRL tags in 
accordance with the requirements of Article 4 of the Commission's 
regulatory technical standard and 
—
whether there is consistency between the ESEF financial 
statements and the audited financial statements. 
The nature, timing and extent of the selected procedures 
depend on the auditor’s judgment. This includes an 
assessment of the risk of a material deviation due to fraud 
or error from the requirements of the Commission's 
regulatory technical standard. 
We believe that the evidence we have obtained is sufficient 
and appropriate to provide a basis for our opinion. 
Opinion
 
Our opinion pursuant to Chapter 7, Section 8 of the 
Securities Markets Act is that the primary financial 
statements, notes and company's identification data in 
the consolidated financial statements that are included 
in 
the ESEF financial statements of HLRE Holding Oyj 743700UNWAM0XWPHXP50 
-2025-01-31-0-en.zip for the 
financial year ended 31.1.2025 
have been tagged, in all material respects, in accordance with 
the requirements 
of the Commission's regulatory technical standard. 
Our opinion on the audit of the consolidated financial statements 
of HLRE Holding Oyj for the financial year 
ended 31.1.2025 
has been expressed in our auditor's report dated 3.6.2025. 
With this report we do not express 
an opinion on the audit of the consolidated financial statements 
nor express another assurance conclusion. 
Tampere 
3 June 2025 
KPMG OY AB 
Assi Lintula 
Authorised Public Accountant, KHT
This document is an English translation of the Finnish 
Assurance Report on the Sustainability Report. 
Only the 
Finnish version of the report is legally binding. 
Assurance Report on the Sustainability Report 
To 
the Annual General Meeting of HLRE Holding Oyj 
We have performed a limited assurance engagement 
on the group sustainability report of HLRE Holding 
Oyj 
(business identity code 2611405 
-7) that is referred to in Chapter 7 of the Accounting 
Act and that is included in 
the report of the Board of Directors for the financial year 
1.2.2024–31.1.2025. 
Opinion
Based on the procedures we have performed and the 
evidence we have obtained, nothing has come to our 
attention that causes us to believe that the group sustainability 
report does not comply, 
in all material respects, 
with 

132 
1) 
the requirements laid down in Chapter 7 of the Accounting 
Act and the sustainability reporting standards 
(ESRS); 
2) 
the requirements laid down in Article 8 of the Regulation 
(EU) 2020/852 of the European Parliament and 
of the Council on the establishment of a framework to facilitate 
sustainable investment, and amending 
Regulation (EU) 2019/2088 (EU Taxonomy). 
Point 1 above also contains the process in which HLRE Holding 
Oyj has identified the information for reporting in 
accordance with the sustainability reporting standards 
(double materiality assessment) and the tagging of 
information as referred to in Chapter 7, Section 22 of the 
Accounting Act. 
Our opinion does not cover the tagging of the group sustainability 
report with digital XBRL sustainability tags in 
accordance with Chapter 7, Section 22, Subsection 1(2), 
of the Accounting Act, because sustainability reporting 
companies have not had the possibility to comply with 
that provision in the absence of the ESEF regulation 
or 
other European Union legislation. 
Basis for Opinion
We performed the assurance of the group sustainability 
report as a limited assurance engagement in 
compliance with good assurance practice in Finland and with 
the International Standard on Assurance 
Engagements (ISAE) 3000 (Revised) 
Assurance Engagements Other than Audits or Reviews 
of Historical 
Financial Information
. 
Our responsibilities under this standard are further described 
in the 
Responsibilities of the Authorized Group 
Sustainability Auditor
 
section of our report. 
We believe that the evidence we have obtained is sufficient 
and appropriate to provide a basis for our opinion. 
Other Matter
We draw attention to the fact that the group sustainability 
report of HLRE Holding Oyj that is referred to in 
Chapter 7 of the Accounting Act has been prepared and assurance 
has been provided for it for the first time for 
the financial year 1.2.2024–31.1.2025. Our opinion does not cover the 
comparative information that has been 
presented in the group sustainability report. Our opinion 
is not modified in respect of this matter. 
Authorized group sustainability auditor's Independence 
and Quality Management
We are independent of the parent company and of 
the group companies in accordance with the ethical 
requirements that are applicable in Finland and are relevant to 
our engagement, and we have fulfilled our other 
ethical responsibilities in accordance with these requirements. 
The authorized group sustainability auditor applies International 
Standard on Quality Management ISQM 1, 
which requires the authorized sustainability audit firm to design, 
implement and operate a system of quality 
management including policies or procedures regarding compliance 
with ethical requirements, professional 
standards and applicable legal and regulatory requirements. 
Responsibilities of the Board of Directors and the Managing 
Director
The Board of Directors and the Managing Director of HLRE 
Holding Oyj are responsible for: 
—
the group sustainability report and for its preparation and 
presentation in accordance with the provisions of 
Chapter 7 of the Accounting Act, including the process 
that has been defined in the sustainability reporting 
standards and in which the information for reporting in 
accordance with the sustainability reporting standards 
has been identified as well as the tagging of information 
as referred to in Chapter 7, Section 22 of the 
Accounting Act and 
—
the compliance of the group sustainability report with the requirements 
laid down in Article 8 of the 
Regulation (EU) 2020/852 of the European Parliament 
and of the Council on the establishment of a 
framework to facilitate sustainable investment, and amending 
Regulation (EU) 2019/2088; 
—
such internal control as the Board of Directors and the 
Managing Director determine is necessary to enable 
the preparation of a group sustainability report that is free 
from material misstatement, whether due to fraud 
or error. 

133 
Inherent Limitations in the Preparation of a Sustainability Report
Preparation of the sustainability report requires company 
to make materiality assessment to identify relevant 
matters to report. This includes significant management 
judgement and choices. It is also characteristic to the 
sustainability reporting that reporting of this kind of information 
includes estimates and assumptions as well as 
measurement and estimation uncertainty. 
Furthermore, when reporting forward looking information 
company has 
to disclose assumptions related to potential future events 
and describe company´s possible future actions 
in 
relation to these events. Actual outcome may differ 
as forecasted events do not always occur as expected. 
Responsibilities of the Authorized Group Sustainability Auditor
Our responsibility is to perform an assurance engagement 
to obtain limited assurance about whether the group 
sustainability report is free from material misstatement, whether 
due to fraud or error, 
and to issue a limited 
assurance report that includes our opinion. Misstatements 
can arise from fraud or error and are considered 
material if, individually or in the aggregate, they could reasonably 
be expected to influence the decisions of users 
taken on the basis of the group sustainability report. 
Compliance with the International Standard on Assurance 
Engagements (ISAE) 3000 (Revised) requires that we 
exercise professional judgment and maintain professional 
skepticism throughout the engagement. We 
also: 
—
Identify and assess the risks of material misstatement 
of the group sustainability report, whether due to fraud 
or error, and obtain an understanding 
of internal control relevant to the engagement in order 
to design 
assurance procedures that are appropriate in the circumstances, 
but not for the purpose of expressing an 
opinion on the effectiveness of the parent company’s 
or the group’s internal control. 
—
Design and perform assurance procedures responsive 
to those risks to obtain evidence that is sufficient 
and 
appropriate to provide a basis for our opinion. The risk of not 
detecting a material misstatement resulting 
from fraud is higher than for one resulting from error, 
as fraud may involve collusion, forgery, 
intentional 
omissions, misrepresentations, or the override of internal control. 
Description of the Procedures That Have Been Performed
The procedures performed in a limited assurance engagement 
vary in nature and timing from, and are less in 
extent than for, a reasonable 
assurance engagement. The nature, timing and extent 
of assurance procedures 
selected depend on professional judgment, including the assessment 
of risks of material misstatement, whether 
due to fraud or error. Consequently, 
the level of assurance obtained in a limited assurance 
engagement is 
substantially lower than the assurance that would have 
been obtained had a reasonable assurance engagement 
been performed. 
Our procedures included for ex. the following: 
—
We interviewed group management and persons 
responsible for the preparation and gathering of the 
sustainability information. 
—
We familiarized with interviews to the key processes 
related to collecting and consolidating the sustainability 
information. 
—
We got acquainted with the relevant guidances and policies 
related to the sustainability information disclosed 
in the sustainability report. 
—
We acquainted ourselves to the background documentation 
and other records prepared by the company, 
as 
appropriate and assessed how they support the information 
included in the sustainability report. 
—
In relation to the double materiality assessment process, 
we interviewed persons responsible for the process 
and familiarized ourselves with the process description 
prepared of the double materiality assessment and 
other documentation and background materials. 
—
In relation to the EU taxonomy information we interviewed the 
management of the company and persons 
with key roles in reporting taxonomy information to understand 
how taxonomy eligible activities have been 
identified, we obtained evidence supporting the interviews 
and reconciled the reported EU taxonomy 
information to supporting documents and to the bookkeeping, 
as applicable. 

134 
—
We assessed the application of the ESRS sustainability 
reporting standards reporting principles in the 
presentation of the sustainability information. 
Tampere 
2 June 2025 
KPMG OY AB 
ASSI LINTULA 
Authorized Sustainability Auditor, 
KRT
This document is an English translation of the Finnish 
auditor’s report. Only the Finnish version of the report is 
legally binding. 
Auditor’s Report 
To 
the Annual General Meeting of HLRE Holding Plc 
Report on the Audit of the Financial Statements 
Opinion
We have audited the financial statements of HLRE 
Holding Plc (business identity code 2611405 
-7) for the 
financial year 1 February 2024 – 31 January 2025. The 
financial statements comprise the consolidated 
statement of financial position,
statement of comprehensive income, statement of changes 
in equity, statement 
of cash flows and notes, including material accounting 
policy information, as well as the parent company’s 
balance sheet, income statement, statement of cash flows 
and notes. 
In our opinion 
—
the consolidated financial statements give a true and fair 
view of the group’s financial position, financial 
performance and cash flows in accordance with IFRS 
Accounting Standards as adopted by the EU 
—
the financial statements give a true and fair view of the parent 
company’s financial performance and financial 
position in accordance with the laws and regulations governing 
the preparation of financial statements in 
Finland and comply with statutory requirements. 
Our opinion is consistent with the additional report submitted to 
the Audit Committee. 
Basis for Opinion
We conducted our audit in accordance with good auditing 
practice in Finland. Our responsibilities under good 
auditing practice are further described in the 
Auditor’s Responsibilities for the Audit of the Financial Statements
section of our report. 
We are independent of the parent company and of 
the group companies in accordance with the ethical 
requirements that are applicable in Finland and are relevant to 
our audit, and we have fulfilled our other ethical 
responsibilities in accordance with these requirements. 
In our best knowledge and understanding, the non-audit services 
that we have provided to the parent company 
and group companies are in compliance with laws and regulations 
applicable in Finland regarding these 
services, and we have not provided any prohibited non-audit 
services referred to in Article 5(1) of regulation (EU) 
537/2014. The non-audit services that we have provided 
have been disclosed in note 6 to the consolidated 
financial statements. 

 
 
 
 
135 
We believe that the audit evidence we have obtained 
is sufficient and appropriate to provide a basis 
for our 
opinion. 
Material Uncertainty Related to Going Concern 
We would like to draw attention to the section 
1. 
Accounting Principles – Business continuity
 
in the notes to the 
consolidated financial statements, and to the section 
Business continuity
 
of the accounting policies in the notes 
to the parent company financial statements. As described 
in the notes, the consolidated loss for the financial 
year ended 31 January 2025 was EUR -8.4 million, 
the company's operating cash flow was EUR 0.1 
million, and 
net debt amounted to EUR 61.1 million. During the financial 
year, the company refinanced 
the SEK 300 million 
bond issued by the company that matured in February 
2024. The bond will mature in February 2027. The bond 
includes a cash covenant of EUR 2 million and, effective 
from 1 August 2025, a leverage covenant. In assessing 
the going concern assumption, management believes that the 
company’s current liquid funds and projected 
operating cash flows are sufficient to cover its 
liabilities and obligations arising from its operations for at 
least 12 
months, and consequently the financial statements have been 
prepared on a going concern basis. Due to the 
general economic uncertainty, 
the cyclical nature of the industry and the short time 
horizon of the order book, 
forecasting involves a higher degree of judgment than 
usual. If the business does not develop according to 
the 
forecasts, there is a risk of liquidity being compromised 
and covenants being breached, which could cast 
significant doubt on the ability of the company and the 
group to continue as a going concern. As stated in the 
notes, these events or circumstances, together with the 
other matters discussed in the section 
Business 
continuity
, indicate that a material uncertainty exists that may 
cast significant doubt on the company’s ability 
to 
continue as a going concern. Our opinion is not modified in respect 
of this matter. 
Materiality 
The scope of our audit was influenced by our application 
of materiality. 
The materiality is determined based on 
our professional judgement and is used to determine the nature, 
timing and extent of our audit procedures and 
to evaluate the effect of identified misstatements 
on the financial statements as a whole. The level of materiality 
we set is based on our assessment of the magnitude 
of misstatements that, individually or in aggregate, could 
reasonably be expected to have influence on the economic decisions 
of the users of the financial statements. 
We have also taken into account misstatements 
and/or possible misstatements that in our opinion are 
material 
for qualitative reasons for the users of the financial statements. 
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, 
were of most significance in our audit of 
the financial statements of the current period. These 
matters were addressed in the context of our audit of the 
financial statements as a whole, and in forming our opinion 
thereon, and we do not provide a separate opinion 
on these matters. The significant risks of material misstatement 
referred to in the EU Regulation No 537/2014 
point (c) of Article 10(2) are included in the description 
of key audit matters below. 
We have also addressed the risk of management 
override of internal controls. This includes consideration of 
whether there was evidence of management bias that represented 
a risk of material misstatement due to fraud. 
In addition to the matter described in the Material uncertainty related 
to going concern -section, we have 
determined the matters described below to be the key audit matters 
to be communicated in our report. 
THE KEY AUDIT MATTER 
HOW THE MATTER 
WAS ADDRESSED IN THE 
AUDIT 
Measurement of consolidated goodwill and subsidiary 
shares and receivables from 
subsidiaries in the parent company and emphasis 
of matter 
(Consolidated financial statements: Note 1 Accounting 
principles – Business continuity, 
2 
Management judgement and sources of uncertainty 
and 9 Goodwill and other intangible 
assets, including impairment testing – Parent company financial 
statements: Accounting 
policies and Business continuity in the notes) 
We would like to draw attention to the circumstances 
described in Note 1. 
Accounting Principles – 

 
 
136 
Business continuity
 
to the consolidated financial statements, and in the section 
Business continuity 
of the accounting policies in the notes to the parent company 
financial statements, 
that could also 
have an impact on the measurement of the group’s 
goodwill as well as that of the subsidiary shares 
and receivables from subsidiaries of the parent company 
in the balance sheet. Our opinion is not 
modified in respect of 
this matter. 
—
The goodwill balance in the consolidated 
financial statements at 31 January 2025 
totals EUR 35.3 million, representing 
approximately 43% of the total assets and 
618% of the consolidated equity at the 
financial year-end. 
—
The total net amount of the subsidiary 
shares and receivables from subsidiaries is 
EUR 64.2 million in the balance sheet of the 
parent company HLRE Holding Plc at 31 
January 2025. 
—
Goodwill is not amortised but is tested for 
impairment at least annually. 
In the 
previous financial statements, an 
impairment loss of EUR 5 million was 
allocated to goodwill. 
—
Subsidiary shares held by the parent 
company are carried at cost or written down 
if the value of the shares is permanently 
impaired. Receivables are measured at 
face value, however, not in 
excess of their 
probable value. 
—
Determination of the cash flow projections 
underlying the calculations prepared to 
support the impairment testing of goodwill, 
subsidiary shares and receivables from 
subsidiaries, requires management 
judgments and estimates related to, among 
others, profitability, 
discount rate and long-
term growth rate. 
—
Material uncertainty related to the going 
concern assumption could compromise the 
group’s liquidity and lead to a breach of the 
covenants, which would also have an 
impact on the valuation of the consolidated 
goodwill and subsidiary shares and 
receivables from subsidiaries in the parent 
company’s balance sheet. 
—
Due to management estimates underlying 
the forecasts used in impairment testing, 
— 
We assessed key inputs in the impairment 
calculations such as revenue growth rate, 
profitability and discount rate, by reference 
to the budgets and subsequent cash flow 
projections approved by the Board of 
Directors of the parent company and our 
own views. 
— 
We evaluated the historical accuracy 
of 
forecasts prepared by management by 
comparing the actual cash flows for the year 
with the original forecasts. 
— 
We involved our own valuation specialists 
that assessed the technical accuracy of the 
calculations and compared certain 
assumptions used to market and industry 
information. 
— 
We compared the amounts of the subsidiary 
shares and receivables from subsidiaries on 
the parent company’s balance sheet, net of 
intercompany liabilities, with the cash flow 
forecasts of the business units and the 
company-specific forecasts for the current 
financial year. 
— 
Furthermore, we assessed the disclosures 
in respect of both goodwill and impairment 
testing in the consolidated financial 
statements, and of measurement of 
subsidiary shares and receivables from 
subsidiaries in the parent company financial 
statements. 

 
 
 
 
 
137 
the significant carrying amounts involved, 
and the material uncertainty related to the 
going concern assumption, measurement of 
consolidated goodwill and subsidiary shares 
and receivables from subsidiaries in parent 
company is considered a key audit matter. 
Revenue recognition 
(Notes 4 Turnover 
and 12 Trade and other receivables 
to the consolidated financial 
statements) 
—
The consolidated revenue for the financial 
year ended 31 January 2025 totalled EUR 
102.9 million. 
—
Revenue recognition is based on sales at 
multiple locations and, considering revenue 
accruals, projects may be ongoing at the 
reporting date. 
—
Due to the significant number of sales 
transactions, the variety of sales and 
considerations related to revenue accruals, 
revenue recognition is considered a key 
audit matter. 
— 
We gained an understanding of the 
accounting policies and practices for the 
various revenue streams, and assessed the 
revenue recognition principles by reference 
to the applicable IFRS Accounting 
Standards. 
— 
Our audit procedures included evaluation of 
the internal control environment for sales 
processes, testing key controls, as well as 
substantive testing. 
— 
We assessed the appropriateness and 
timeliness of revenue transactions. 
— 
In addition, we assessed the disclosures 
related to turnover in the consolidated 
financial statements. 
Responsibilities of the Board of Directors and the Managing 
Director for the Financial Statements 
The Board of Directors and the Managing Director are 
responsible for the preparation of consolidated financial 
statements that give a true and fair view in accordance 
with IFRS Accounting Standards as adopted by the EU, 
and of financial statements that give a true and fair view 
in accordance with the laws and regulations governing 
the preparation of financial statements in Finland and comply 
with statutory requirements. The Board of Directors 
and the Managing Director are also responsible for such internal 
control as they determine is necessary to 
enable the preparation of financial statements that are 
free from material misstatement, whether due to fraud 
or 
error. 
In preparing the financial statements, the Board of Directors 
and the Managing Director are responsible for 
assessing the parent company’s and the group’s 
ability to continue as a going concern, disclosing, as 
applicable, 
matters relating to going concern and using the going concern 
basis of accounting. The financial statements are 
prepared using the going concern basis of accounting 
unless there is an intention to liquidate the parent 
company or the group or cease operations, or there is 
no realistic alternative but to do so. 
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether 
the financial statements as a whole are free 
from material misstatement, whether due to fraud or error, 
and to issue an auditor’s report that includes our 
opinion. Reasonable assurance is a high level of assurance 
, 
but is not a guarantee that an audit conducted 
in 
accordance with good auditing practice will always detect 
a material misstatement when it exists. Misstatements 
can arise from fraud or error and are considered material 
if, individually or in the aggregate, they could 

138 
reasonably be expected to influence the economic decisions 
of users taken on the basis of the financial 
statements. 
As part of an audit in accordance with good auditing practice, we 
exercise professional judgment and maintain 
professional skepticism throughout the audit. We 
also: 
—
Identify and assess the risks of material misstatement 
of the financial statements, whether due to fraud or 
error, design and perform audit 
procedures responsive to those risks, and obtain audit 
evidence that is 
sufficient and appropriate to provide a basis for our 
opinion. The risk of not detecting a material 
misstatement resulting from fraud is higher than for one resulting 
from error, as fraud may 
involve collusion, 
forgery, intentional 
omissions, misrepresentations, or the override of internal control. 
—
Obtain an understanding of internal control relevant to the audit 
in order to design audit procedures that are 
appropriate in the circumstances, but not for the purpose 
of expressing an opinion on the effectiveness 
of 
the parent company’s or the group’s 
internal control. 
—
Evaluate the appropriateness of accounting policies used 
and the reasonableness of accounting estimates 
and related disclosures made by management. 
—
Conclude on the appropriateness of the Board of Directors’ 
and the Managing Director’s use of the going 
concern basis of accounting and based on the audit evidence 
obtained, whether a material uncertainty 
exists related to events or conditions that may cast significant 
doubt on the parent company’s or the 
group’s ability to continue as a going concern. If 
we conclude that a material uncertainty exists, we are 
required to draw attention in our auditor’s report to the related disclosures 
in the financial statements or, 
if 
such disclosures are inadequate, to modify our opinion. Our 
conclusions are based on the audit evidence 
obtained up to the date of our auditor’s report. However, 
future events or conditions may cause the parent 
company or the group to cease to continue as a going 
concern. 
—
Evaluate the overall presentation, structure and content 
of the financial statements, including the 
disclosures, and whether the financial statements represent 
the underlying transactions and events so that 
the financial statements give a true and fair view. 
—
Plan and perform the group audit to obtain sufficient 
appropriate audit evidence regarding the financial 
information of the entities or business units within the group 
as a basis for forming an opinion on the group 
financial statements. We are responsible for the 
direction, supervision and review of the audit work 
performed for purposes of the group audit. We remain 
solely responsible for our audit opinion. 
We communicate with those charged with governance 
regarding, among other matters, the planned scope and 
timing of the audit and significant audit findings, including 
any significant deficiencies in internal control that we 
identify during our audit. 
We also provide those charged with governance with 
a statement that we have complied with relevant ethical 
requirements regarding independence, and communicate with 
them all relationships and other matters that may 
reasonably be thought to bear on our independence, and where 
applicable, related safeguards. 
From the matters communicated with those charged with 
governance, we determine those matters that were 
of 
most significance in the audit of the financial statements 
of the current period and are therefore the key audit 
matters. We describe these matters in our auditor’s report unless 
law or regulation precludes public disclosure 
about the matter or when, in extremely rare circumstances, 
we determine that a matter should not be 
communicated in our report because the adverse consequences 
of doing so would reasonably be expected to 
outweigh the public interest benefits of such communication. 
Other Reporting Requirements 
Information on our audit engagement
We were first appointed as auditors by the Annual General 
Meeting on 26 May 2023, and our appointment 
represents a total period of uninterrupted engagement 
of two years. 

139 
Other Information
The Board of Directors and the Managing Director are 
responsible for the other information. The other 
information comprises the report of the Board of Directors 
but does not include the financial statements or our 
auditor’s report thereon. 
We have obtained the report of the Board of Directors 
prior to the date of this auditor’s 
report.
Our opinion on the financial statements does not 
cover the other information. 
In connection with our audit of the financial statements, 
our responsibility is to read the other information 
identified above and, in doing so, consider whether the other 
information is materially inconsistent with the 
financial statements or our knowledge obtained in the 
audit, or otherwise appears to be materially misstated. 
With respect to the report of the Board of Directors, our 
responsibility also includes considering whether the 
report of the Board of Directors has been prepared in compliance 
with the applicable provisions, excluding the 
sustainability report information on which there are provisions 
in Chapter 7 of the Accounting Act and in the 
sustainability reporting standards. 
In our opinion, the information in the report of the Board of Directors 
is consistent with the information in the 
financial statements and the report of the Board of Directors 
has been prepared in compliance with the 
applicable provisions. 
Our opinion does not cover the sustainability report 
information on which there are 
provisions in Chapter 7 of the Accounting Act and in the 
sustainability reporting standards. 
If, based on the work we have performed on the other 
information that we obtained prior to the date of this 
auditor’s report, we conclude that there is a material misstatement of 
this other information, we are required to 
report that fact. We have nothing to report in this 
regard. 
Tampere 
3. June 2025 
KPMG OY AB 
Assi Lintula 
Authorised Public Accountant, KHT 