Hitachi Construction Machinery Selected as an "Environmentally Sustainable Company" for the First Time in the ESG Finance Awards Japan Sponsored by the Ministry of the Environment

Tokyo, February 27, 2025 –Hitachi Construction Machinery Co., Ltd. (TSE: 6305; "Hitachi Construction Machinery") applied in the Environment Sustainable Company Category of the 6th ESG Finance Awards Japan ("Award") sponsored by the Japanese Ministry of the Environment and was selected for the first time.

Established in 2019, the purpose of the Award is to evaluate and recognize financial institutions and organizations actively involved in ESG finance as well as companies engaged in environmentally sustainable management and share that information with the many stakeholders who are working in ESG finance and environmentally sustainable management. The Environment Sustainable Company Category evaluates and selects companies that have incorporated "important environmental opportunities and risks" into their management strategy based on the perspective of whether they are increasing enterprise value and generating positive environmental effects by considering, in line with their business characteristics, the level of disclosure of "risks, business opportunities, and strategy," "KPIs," and "governance" regarding important environmental issues. Forty-five companies were selected in the Environment Sustainable Company Category as part of the 6th ESG Finance Awards Japan.

The Hitachi Construction Machinery Group has set "product and technology development contributing to climate change mitigation and adaptation" and "conversion to a recycling-oriented business model" as key themes of its materiality. To achieve net zero greenhouse gas emissions across the entire value chain by 2050, the Group has formulated road maps for both product development and production processes and is working to reduce CO2 emissions. Furthermore, to reduce input resources and waste, the Group will expand its value chain business consisting of parts and services, remanufacturing, rental, and used equipment with the goal of increasing the product lifecycle by 1.5 times and balancing the maximization of customer value with the minimization of resource consumption. The comprehensive evaluation of the disclosure of its medium to long-term strategy and environmental information for these environmental issues resulted in the Group's selection as an environmentally sustainable company.

The Hitachi Construction Machinery Group has developed its technological capabilities in tandem with societal progress and continued to create and evolve the construction machinery that supports global infrastructure, industry, and housing development. Going forward, the Group will continue to offer innovative and highly-reliable products and solutions in combination and work closely with customers while contributing to the creation of a prosperous land and society for the future.

Related information

About Hitachi Construction Machinery Co., Ltd.

Hitachi Construction Machinery Co., Ltd. (TSE: 6305), headquartered in Tokyo, Japan, is a construction machinery manufacturer which globally deploys development, manufacturing, sales, and service businesses for its hydraulic excavators, wheel loaders, compaction equipment, and mining machinery, etc. In addition to its new machinery business, Hitachi Construction Machinery is expanding its "value chain businesses" of parts and services, remanufacturing (parts and machines), rentals, and used equipment as it aims to grow together with customers as a true solutions provider that offers innovative solutions to customers. As our vow to all stakeholders to achieve this mission, we established and are currently disseminating and promoting the LANDCROS as our new concept. With roughly 26,000 employees around the world, the consolidated sales revenue for Hitachi Construction Machinery was 1,405.9 billion yen for fiscal year 2023 (ended March 2024) with an overseas sales revenue ratio of 84%. For more details, please see the company's website.

Information contained in this news release is current as of the date of the press announcement, but may be subject to change without prior notice.