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Sustainability Metrics - Quanex
A BRIGHTer FUTURE

Sustainability Metrics

Greenhouse Gas (GHG) Emissions

Quanex Global Scope 1 and 2 Emissions For Fiscal Years 2022-2025 (metric TCO2e)
Energy and GHG Emmissions1 2030 Targets 2025 2024 2023 2022 (Baseline)
Total global Scope 1 emissions (TCO2e)2 20,598.20 19,995.80 22,345.10 27,396.30
Total global scope 2 indirect emissions TCO2e-location-based3 68,194.00 73,131.30 79,664.50 86,697.10
Total global scope 2 indirect emissions TCO2e-market-based3 61,619.40 66,587.20 73,426.50 85,162.20
Total direct and indirect emissions (scope 1 & 2) TCO2e-market-based 57,968 82,218 86,583 95,772 112,559
Intensity ratio: (scope 1 & 2) TCO2e per $m revenue-location based 48.3 42.3 46.6 53.2
Intensity ratio: (scope 1 & 2) TCO2e per $m revenue-market based 44.7 39.4 43.8 52.5
Global energy consumption used to calculate above emissions kWh 354,719,910 357,439,889 397,383,581 420,095,543
Global energy consumption from renewable sources used to calculate above emissions kWh4 93,972,303 84,957,257 100,803,321 81,407,532
On-site renewable generated electricity kWh5 1,912,585 1,219,919 273,238 0
Biogenic CO2 emissions from burning wood waste (Outside of scopes 1 to 3) 23,340 20,148 25,724 20,658

 

1Emissions cover all our operations worldwide including manufacturing, warehousing and office locations according to the GHG Protocol (operational control method) and collated in a proprietary data platform (Sphera) with emissions factors applied.  These data have been restated (that appear in our first SB 261 aligned report) following our preparations to submit our targets to the SBTi for validation.

2Scope 1 emissions cover the combustion of fossil fuels such as natural gas in our operations and our use of fuel in company vehicles/mobile plant, together with refrigerant losses to atmosphere. Emission factors derived from UK DEFRA/Department of Energy Security & Net Zero.

3Scope 2 indirect emissions from purchased electricity are calculated using US State Output eGRID emission factors (US Environmental Protection Agency), UK DEFRA/Department of Energy Security & Net Zero and International Energy Agency factors for other countries.

4Includes wood waste (off-cuts and saw dust) used as a biofuel in boilers generating process heat to dry green lumber before it is processed in the US, together with electricity procured from certified 100% renewable sources (e.g. REGO backed) for operations in the UK, Italy and Germany.

5Electricity from onsite solar was generated at our Wolverhampton and Denby plants in the UK.

 

Absolute Scope 1 and 2 emissions (market-based method) in 2025 reduced by 27% to 82,218 TCO2e (2022: 112,519). Reductions were a combination of factors including the closure of the Richmond (KY) plant in 2024, reduced production output, greening of the electrical grid, deployment of a 100% renewable electricity contract in Europe and the implementation of energy efficiency actions across the Group including LED lighting refits and compressed air leakage surveys, as well as switching from a central ‘always on’ zinc diecast system to localized, more energy efficient diecast units in Owatonna (MN).

These reductions indicate the business remains on-track to deliver its near-term target of a 48.5 percent reduction to 57,968 TCO2e in 2030 (1.5C pathway).  Quanex anticipates updating the Science Based Targets set in the Tyman business in 2023 for these emissions with a new SBTi validated target for the Quanex global business, later in 2026.

Of the total operational energy consumed by our facilities worldwide in fiscal 2025 (electricity, natural gas, vehicle fuel and biomass), 26% was derived from renewable sources. These renewable sources include 100% renewably sourced electricity purchased for operations in the UK, Italy and Germany, together with the burning of wood waste and sawdust at four locations in our Quanex Custom Components business in the US.  Burning this wood waste generates heat to dry green lumber before it is processed. Using this waste material avoids the use of natural gas. Unused saw dust is also sold for re-use in the agricultural sector (e.g. for animal bedding).  A further breakdown is provided below:

 

Heat Energy from Renewable Biomass/Wood Waste and Purchased Renewable Electricity (kWh)

Energy 2025 2024 2023 2022 (Baseline)
Biofuel (for process heat) [kWh] 66,686,913 57,564,349 72,755,265 58,425,575
Purchased Renewable Electricity [kWh] 27,285,389 27,392,908 28,048,056 22,981,957
TOTAL 93,972,303 84,957,257 100,803,321 81,407,532

 

Quanex Global Scope 3 Emissions for Fiscal Years 2022-2025 (metric TCO2e)

A detailed breakdown of Quanex’s Scope 3 emissions is provided below for its global operations.

 

Scope 3 Categories (TCO2e)1 2030 Target 2025 2024 2023 2022 (Baseline
S3-1a_Purchased raw materials for SBT2 672,476 804,073 869,806 892,870 937,902
S3-1b_Purchased Services 4,157 4,431 4,153 4,060
S3-2_Capital Goods 2,971 3,106 3,152 3,089
S3-3_Fuel and other energy not included in Scope 1 and 2 23,195 27,129 28,876 31,293
S3-4_Upstream Transport and Distribution 47,784 45,266 64,107 64,970
S3-5_Waste 3,832 4,155 4,478 5,528
S3-6_Business Travel 1,163 2,394 2,110 1,690
S3-7_Employee Commuiting and Remote Working 6,077 6,077 6,154 6,538
S3-8_Upstream leased assets N/A N/A N/A N/A
S3-9_Downstream Transportation and Distribution 5,812 5,925 6,020 6,128
S3-10_Processing of Sold Products 8,248 8,856 9,234 11,342
S3-11_Use of Sold Products 270 515 34 363
S3-12_End of Life Treatment of Sold Products 41,885 46,681 44,494 52,848
S3-13_Downstream leased assets N/A N/A N/A N/A
S3-14_Franchises N/A N/A N/A N/A
S3-15_Investments N/A N/A N/A N/A
TOTAL SCOPE 3 949,467 1,024,341 1,065,682 1,125,750
Intensity ratio: total Scope 3 TCO2e per $m revenue 517 466 487 525

 

1These data have been restated (that appear in our first SB 261 aligned report) following our preparations to submit our targets to the SBTi for validation.

2 92% of the 2022 baseline for Scope 3 purchased raw materials was calculated from weight data. The remaining 8% was estimated based on spend or revenue.  Materials include aluminum, steel, zinc, brass, plastics and polymers, chemicals, wood, packaging and miscellaneous/electrical items. In 2025, 99% of Scope 3 purchased raw materials data was calculated from weight data.

N/A = not applicable

 

Absolute Scope 3 emissions for purchased raw materials (which account for 76 percent of the combined business’s value chain carbon footprint) reduced by 14% in 2025 to 804,073 TCO2e (2022: 937,902) vs. a 2030 near-term target of a 28.3 percent reduction (well below 2C pathway) to 672,476 TCO2e. This reduction has been driven by lower production volumes, better data for estimating emissions by moving to more weight-based data collected through ERP systems and increasing levels of recycled content in our aluminum products (mainly screens produced in the US and extruded hardware in Italy).

Quanex anticipates updating the Science Based Targets originally set in the Tyman business in 2023 with a new SBTi validated target for the Quanex global business, later in 2026 for its Scope 3 emissions associated with purchased raw materials.

 

Water Usage (m3)

Total water usage by source for Quanex’s global operations is provided below.  Absolute water consumption in 2025 reduced by 19% to 400,833 m3 (2022: 493,537).   These reductions were driven by major process improvements at our Owtaonna  (MN) facility with the decommissioning of the water cooling operation of the old zinc die-cast facility and introduction of new paint line, together with the closure of the Richmond (KY) plant in 2024 and overall reduced production output.

 

Water sources (m3) 2025 2024 2023 2022 (Baseline)
Municipal authorities 383,740 421,482 477,254 474,710
Ground water 17,093 15,644 16,035 18,827
Surface water abstraction 0 0 0 0
Total water usage 400,833 437,126 493,289 493,537
Total water usage at water stressed manufacturing sites1 71,124 78,646 78,254 84,816
Intensity ratio: (m3 per $m revenue) all sites 218 199 225 230

 

117 manufacturing plants subject to high or very high-water stress identified through the WRI Aqueduct baseline water stress indicator.  10 sites are located in the US, three in Mexico, two in Italy and one each in Canada and Germany.

Absolute consumption in water stressed regions also continued to trend downwards to 71,124 m3 (2022: 84,816).

 

Waste Generation

In 2025, Quanex estimates that 37% of the waste it generates from its global operations is landfilled (down from 57% in 2022).  Generating accurate waste data is challenging and we expect to make further improvements to the quality of our data (particularly in North America) as we transition to a waste broker service to support our zero waste to landfill target by 2030 and optimize the way we manage and recycle our waste.

 

Waste arisings (mt) 2030 Target 2025 2024 2023 2022 (Baseline)
Tons non-hazardous waste to landfill 6,834 7,319 7,886 11,185
Tons hazardous waste to landfill 235 351 334 350
Tons non-hazardous diverted from landfill (open-loop recycling, incineration, composting etc.) 10,369 9,192 7,617 6,960
Tons non-hazardous diverted from landfill (closed loop recycling) 1,514 2,137 2,561 1,607
Tons hazardous diverted from landfill (recycling, incineration) 233 132 179 308
Tons total waste arising 19,193 19,131 18,577 20,410
% total waste to landfill Zero 37% 40% 44% 57%
Intensity ratio: total waste (non-hazardous and hazardous) mt per $m revenue 10.4 8.7 8.5 9.5

 

In considering our hazardous waste generation, we use regulatory definitions of what constitutes hazardous waste in each of the countries where we operate. Hazardous waste arising from our business in Germany includes a saline wastewater from the vulcanization process that would not be considered a hazardous waste in other jurisdictions (such as our similar businesses in the US and UK). This waste is shipped off site and mixed with other industrial wastes for chemical treatment and incineration of the resulting residue fraction.

Legend

tCO2e = Metric Tons of CO2 equivalent

mt = Metric Tons

kWh = Kilowatt Hours

M3 = Cubic Meters

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