Neste Oyj

Annual Report

2025

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Annual review Governance Review by the Board of Directors Financial statements

Annual review 3

2025 in brief 4

Key gures 2025 5

CEO’s review 6

Strategy 8

Our businesses 9

Sustainability 15

Climate 16

Biodiversity 20

Human rights 22

Supply chain & raw materials 25

People 28

Safety 30

Sustainability data package 32

Governance 52

Corporate Governance Statement 53

Risk management 67

Remuneration report 72

Review by the Board of Directors 78

Review by the Board of Directors 79

Sustainability statement 86

Key gures 146

Calculation of key gures 148

Financial statements 151

Consolidated nancial statements 152

Parent company nancial statements 209

Proposal for the distribution of earnings and

signing of the

Review by the Board of Directors

and the Financial Statements 230

Auditor’s Report 231

Information for investors 237

Information for investors 238

Key gures 2025 240

Content

How to read this report

Neste’s Annual Report 2025 consists of the Annual

review, Governance, Review by the Board of Directors

and Financial statements. This report covers the period

from 1 January 2025 to 31 December 2025.

The Review by the Board of Directors within this report

includes Neste’s Sustainability statement prepared in

accordance with the CSRD and ESRS.

To complement the Sustainability statement, the

Annual review includes additional relevant sustainability

topics and describes Neste’s sustainability work in 2025.

Sustainability indicators and metrics are collected

under Neste’s Sustainability data package.

Throughout this report, the following icons

are used to indicate links to supplementary

information:

Sustainability statement in the

Review by the Board of Directors

Sustainability data package

in the Annual review

Information on Neste’s website

Information in the Annual Report

Governance Review by the Board of Directors Financial statements Annual review

CEO’s review Strategy Our businesses Sustainability Sustainability data package

Annual review

2025 in brief 4

Key gures 2025

CEO’s review 6

Strategy

Our businesses

Sustainability

Climate

Biodiversity

Human rights

Supply chain & raw materials

People 28

Safety 30

Sustainability data package 32

Governance Review by the Board of Directors Financial statements Annual review

CEO’s review Strategy Our businesses Sustainability Sustainability data package

Safe

days

296

Average number

of personnel

5,214

Our renewable products helped

reduce greenhouse gas emissions by

14.2 MtCO

Revenue

19,016 MEUR

Our 2026 dividend

proposal is

per

0.2 EUR

1,683 MEUR

Comparable

EBITDA

in brief

2025

Neste is the world's leading producer of renewable diesel and sustainable

aviation fuel (SAF), with production on three continents. The company’s

renewables production capacity is expected to reach 6.8 million tons

annually in 2027. Neste also produces high-quality oil products at its Porvoo

refinery in Finland. The company has a network of nearly 1,000 fuel stations

with expanding service offering, such as EV charging, in Finland and in the

Baltics. Neste’s strategy focuses on growth in renewable fuels, which help its

customers to reduce their greenhouse gas emissions.

Governance Review by the Board of Directors Financial statements Annual review

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Key figures 2025

Revenue, EUR million

20232022

25,707

2024

2025

25,000

20,000

15,000

10,000

5,000

22,926

EBITDA, EUR million

20232022

3,048

2,548

2024 2025

3,000

2,500

2,000

1,500

500

1,000

1,438

Comparable EBITDA, EUR million

20232022 2024 2025

3,500

3,000

2,500

2,000

1,000

1,500

500

3,537 3,458

1,683

Leverage ratio, %

20232022 2024 2025

Financial target: A leverage ratio of below 40%

13.9

22.7

34.3

Financial targets

EBITDA

EUR 350 million

run rate improvement

by the end of 2026

Leverage

< 40%

maintaining our

investment grade

credit rating

On 13 February 2025,

Neste announced updated financial targets for 2025–2026

20,635

1,005

1,252

36.1

19,016

Governance Review by the Board of Directors Financial statements Annual review

CEO’s review Strategy Our businesses Sustainability Sustainability data package

CEO’s review

Delivering on performance improvement

I am pleased to say that 2025 marked an important turn-

ing point for Neste, and we succeeded in improving our

financial performance. The beginning of the year was

challenging for us in many ways, amid depressed oil and

renewable products markets. To change course, we

decisively initiated a group-wide performance improve-

ment program, including a clear focus and strict capital

discipline.

Performance improvement

program progressed well

Our full-year 2025 comparable EBITDA reached EUR

1,683 million, compared to EUR 1,252 million in 2024.

As a result of disciplined execution, our performance

improvement program managed to deliver a EUR 376

million EBITDA run rate improvement in 2025. I am proud

of this achievement, as we exceeded our target of a

EUR 350 million EBITDA run rate improvement one year

ahead of the original timeline of the end of 2026. During

2025, we managed to streamline our operations and

improve our cost competitiveness. The program contin-

ues in 2026 and we still have a lot to do, but our oper-

ational efficiency and financial position have improved

significantly.

I am also pleased that our free cash flow improved sig-

nificantly to EUR 759 million, driven by improved business

performance, tight working capital management and the

successful execution of the performance improvement

program. This decreased our leverage ratio to 34.3%,

well below our financial target of 40%. Neste’s Board

of Directors proposes that a dividend of EUR 0.20 per

share to be distributed for 2025 (0.20 euros in 2024).

Solid results in all business areas

In 2025, all our business areas took decisive action to

improve performance and succeeded in this. During

the first half of the year, we implemented organizational

changes to support this work.

In Renewable Products, our full-year comparable sales

margin was USD 411/ton, and the segment’s compa-

rable EBITDA improved to EUR 764 million, compared

to EUR 514 million in 2024. The renewable diesel mar-

ket improved toward the end of the year. Encouragingly,

we are seeing favorable regulatory developments and

increasing demand for renewable fuels in Europe.

The year 2025 marked a turning point for Neste. The beginning of the year was

challenging, and we launched a group-wide performance improvement program,

which we implemented determinedly throughout the year. This work paid off,

and our financial performance improved significantly toward the end of 2025.

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In Oil Products, the full-year total refining margin was

USD 14.0/bbl, and comparable EBITDA increased to

EUR 808 million, compared to EUR 633 million in 2024.

I was particularly pleased with the high refinery utilization

rate, as it was key to capturing the opportunities offered

by the spike in the middle distillate market.

In Marketing & Services, thanks to good operational

performance, our comparable EBITDA for the full year

reached EUR 111 million, compared to EUR 101 million

in 2024.

Safety continues to be our top priority. In 2025, our

full-year Total Recordable Incident Frequency (TRIF) was

2.1, improving from 2.2 in 2024. However, this did not

meet our target. In contrast, our Process Safety Event

Rate (PSER) achieved a record level of 0.9, compared to

1.3 in 2024. We will continue to focus on safety, which

is particularly important during the intensive phase of

the Rotterdam investment project and the major Porvoo

turnaround in 2026.

Rotterdam growth project proceeds

As the world’s leading producer of renewable diesel

and sustainable aviation fuel (SAF), we refine renewable

products on three continents, and our current name-

plate capacity of renewable and circular products is 5.5

million tons per year.

Our strategic investment project in Rotterdam pro-

ceeded throughout 2025. When completed, the

expanded refinery will be optimally positioned to sup-

port the growing European renewables market. The

investment will increase Neste’s total renewables annual

nameplate production capacity to 6.8Mt.

The coming decades will necessitate a significant

reduction in the use of fossil energy sources. Neste is

well positioned to address this challenge, offering solu-

tions with a lower climate impact for even hard-to-abate

sectors like aviation. Our long-term business fundamen-

tals therefore remain strong.

Performance improvement continues

I took on the position of President and CEO of Neste

in October 2024. We set ambitious targets for improv-

ing our results and reaching Neste’s full potential. I have

been impressed by how determinedly the Neste team

around me has taken on this challenge. The journey

continues, and we still have some way to go, but we

reached an important milestone in 2025, as we were

able to deliver a financial turnaround. There are many

uncertainties associated with global economic develop-

ment and geopolitics, but we have a good grasp of the

issues that we ourselves can influence.

I want to thank all Neste employees around the world

warmly for their hard work, focus on our strategic prior-

ities and systematic implementation of our performance

improvement program in 2025. We are now operation-

ally stronger, strategically more focused and better pre-

pared to continue leading the growth in renewable fuels.

I am extremely proud of our joint achievements.

I also want to thank all our shareholders, customers

and other stakeholders for the good cooperation, and I

look forward to the exciting journey ahead of us!

We set ambitious targets for improving

our results and reaching Neste’s full

potential. I have been impressed by how

determinedly the Neste team around me

has taken on this challenge. The journey

continues, and we still have some way to go,

but we reached an important milestone in

2025, as we were able to deliver

a financial turnaround.

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At Neste, we are committed to strengthening our position as the world’s leading

producer of renewable diesel and sustainable aviation fuel (SAF). Through our

performance improvement program, we intend to be even more competitive.

Neste’s strategy has long been based on leveraging

our technological capabilities in utilizing low-quality and

difficult-to-refine raw materials to produce high-quality

transportation fuels. Today, we are the world’s leading

producer of renewable diesel and SAF, enabling our busi-

ness customers and consumers to reduce their green-

house gas emissions.

Neste continues to drive growth in renewable fuels,

targeting market leadership, cost competitiveness and

technological advantage. Our Marketing & Services and

Oil Products business areas play an important role as

cash generators, enabling growth in renewables. As the

world seeks to mitigate climate change and shift away

from fossil fuels, the market for lower-climate-impact

fuels will grow. Hard-to-abate industries such as avia-

tion are heavily dependent on drop-in solutions like SAF

that are available today.

In 2025–2026, we are focusing on our defined pri-

orities as part of the two-year performance improve-

ment program, aiming to extract the full potential from

our existing refineries and the Rotterdam refinery expan-

sion. Following the completion of the refinery expansion,

we will prepare for the next growth steps, focusing on

selected development initiatives.

Strategy

We want to improve operational efficiency throughout

the company, focusing on safety and reliability, while con-

tinuing our efforts to broaden the raw material base and

to develop scalable and cost-efficient production tech-

nologies in renewables. Our key source of competitive

advantage stems from flexibility in many areas: global

raw material sourcing and unique pretreatment capabil-

ities; the ability to switch between renewable diesel and

SAF based on market needs; and local market expertise

combined with global scale, allowing us to optimize our

commercial operations.

While the market environment has been challenging,

we are committed to further strengthening our position

as the world’s leading producer of renewable diesel and

SAF. With unique scale and global operations, Neste is

well positioned to create value in the future.

Neste’s priorities

2025–2026 2027–2028

Extract

full commercial potential from the existing core and Rotterdam refinery expansion

Improve refinery performance through safety, reliability and project execution

Focus on selected priorities

and reset cost structure

Prepare next steps of growth

with targeted development initiatives

Maintain strong balance sheet

Market

leadership

Cost

competitiveness

Technology

advantage

Ambition

Growth in

renewable

fuels

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Neste has three business areas: Renewable

Products, Oil Products and Marketing & Services.

We provide renewable and fossil fuels for

transportation, aviation, marine and industrial uses,

as well as renewable and circular solutions for the

polymers and chemicals industries. Neste has an

extensive network of nearly 1,000 fuel stations with

expanding service offering, such as EV charging,

in Finland and in the Baltics.

Our businesses

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Renewable Products business area

Neste’s Renewable Products business area focuses

on the production and sales of Neste’s renewable fuels

to help customers reduce their GHG emissions in road

transport, aviation and other sectors.

Renewable diesel:

Solution for reducing climate impact of road

transport and other sectors

Neste's renewable diesel helps businesses and consum-

ers reduce their greenhouse gas emissions by replacing

fossil diesel with renewable diesel. We partner with a

diverse range of customers—from transportation com-

panies, data centers, retailers and municipalities to lead-

ers in mining, marine, construction and railways.

Neste MY Renewable Diesel™ is made from renew-

able raw materials. It is a high-quality drop-in fuel, which

means it can be used in existing diesel engines and fuel-

ing infrastructures without any modifications to these.

With the use of Neste-produced renewable diesel,

greenhouse gas (GHG) emissions were reduced in 2025

by 80%

on average when emissions over the life cycle

of the fuel were compared with fossil diesel.

Neste MY Renewable Diesel is available for customers

at over 900 fuel stations in Belgium, Denmark, Estonia,

Finland, France, Germany, Latvia, Lithuania, the Nether-

lands, Sweden and in the US.

Average for volumes sold in Europe, Asia-Pacific and in North America in 2025, using calculation methods EU RED III (revised RED EU/2018/2001) and US California LCFS. The GHG emission reduction varies

depending on the region-specific legislation that provides the methodology for the calculations, as well as the raw material mix used to manufacture the product for each market each year.

Examples of partnerships and progress in 2025

Helping customers to reduce

their GHG emissions

• Strengthening collaboration with DHL

to evaluate how Neste’s renewable

solutions, including renewable diesel,

can support DHL in reducing its

logistics-related GHG emissions.

• Collaborating with DB Schenker to

reduce its land transportation related

GHG emissions in Asia-Pacific by using

Neste MY Renewable Diesel.

• Neste MY Renewable Diesel successfully

tested by Rio Tinto in iron ore operations

in Australia.

Collaborating across the value

chain to enable the shift to

renewable diesel

• Introducing Neste MY Renewable Diesel

to the Italian market in collaboration

with Firmin.

• For the first time, Neste together

with KPI OceanConnect and Global

Energy enabled the supply of Neste MY

Renewable Diesel to the marine sector in

Singapore.

• Participating in the Tour d’Europe

initiative demonstrating the availability

and potential of renewable fuels.

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Sustainable aviation fuel (SAF):

Solution for reducing climate impact

of aviation

Neste-produced sustainable aviation fuel (SAF) enables

the aviation industry to reduce the greenhouse gas emis-

sions of air travel and transportation by replacing fossil

jet fuel. Today, Neste’s global SAF production capability

is 1.5 million tons per annum, and it is set to grow to 2.2

million tons per annum in 2027.

Neste MY Sustainable Aviation Fuel™ (Neste MY

SAF) is made from renewable waste and residue raw

materials, such as used cooking oil and animal fat waste.

With the use of Neste-produced SAF, greenhouse gas

(GHG) emissions were reduced in 2025 by 86%

on aver-

age when emissions over the life cycle of the fuel were

compared with fossil jet fuel. With the use of Neste MY

SAF instead of conventional jet fuel, also the so-called

non-CO

impact of aviation, such as contrail formation,

can be reduced

.The fuel is certified for commercial use

and can be used as a drop-in solution, as it is compati-

ble with existing aircraft engines and airport fueling infra-

structure, requiring no additional investment into these.

We are actively working with partners in the avia-

tion fuel supply chain to grow the global availability of

Neste MY SAF. The fuel is used by leading commer-

cial airlines in Europe, North America and Asia-Pacific,

including Air France-KLM, Delta Air Lines, Finnair, IAG,

Lufthansa, Singapore Airlines, United Airlines and logis-

tics companies such as DHL Group, Amazon Air, FedEx

and Cargolux. Neste’s SAF is available at major airports

across the globe, including Amsterdam Airport Schiphol,

Frankfurt Airport, Los Angeles International Airport,

Ontario International Airport, San Francisco Interna-

tional Airport, Narita International Airport and Singapore

Changi Airport.

Examples of partnerships and progress in 2025

Starting production of SAF in

Rotterdam

• Neste began SAF production at

its renewable products refinery in

Rotterdam, the Netherlands, in April

2025. The new production capability of

up to 500,000 tons of SAF per annum in

Rotterdam increased Neste’s total SAF

production capability to 1.5 million tons

annually.

Strengthening collaboration with

new and long-term partners

• Extending the partnership with United

Airlines to bring SAF to three major new

airports in the US.

• Strengthening collaboration with DHL

to evaluate how Neste’s renewable

solutions, such as SAF, can support

DHL in reducing its logistics-related

GHG emissions.

• Extending SAF supply to Ontario

International Airport in the US to

Amazon Air, which is using SAF in its

cargo operations.

• Supplying Neste MY SAF to Cathay

Group for the group’s aviation operations

across three major aviation regions:

Europe, the US and Asia-Pacific.

Working on advancing SAF use

with industry partners

• Neste takes part in the PACIFIC project,

a European collaboration to advance

research on the benefits of using SAF

to mitigate contrail formation.

Average for Neste-produced sustainable aviation fuel volumes sold in Europe, Asia-Pacific and in North America in 2025, using calculation methods, such as CORSIA, EU RED III (revised RED EU/2018/2001) and US California LCFS.

The GHG emission reduction varies depending on the region-specific legislation that provides the methodology for the calculations, as well as the raw material mix used to manufacture the product for each market each year.

Due to the chemical composition of SAF, its use leads to reduction in soot emissions from combustion and formation of contrail ice crystals, demonstrated with 100% SAF; 2024. R. S. Märkl et al. “Powering aircraft with 100% SAF reduces ice crystals in contrails”.

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Oil Products business area

Neste’s offering includes high-quality oil products and

related services for the road transportation, heavy

machinery, agriculture, aviation and marine sectors, as

well as products for the oil and petrochemical industries.

Neste’s customers include retailers and distributors, oil

majors and trading companies, polymers and chemicals

producers, and companies marketing lubricants and

solvents.

Neste’s refinery in Porvoo, Finland, is among the most

efficient and versatile oil refineries in Europe. At the

Porvoo refinery, Neste processes crude oil, as well as

renewable and recycled raw materials, into more than

100 products for customers globally.

Neste’s long-term plan is to gradually transform the oil

refinery in Porvoo into a renewable and circular solutions

refining hub. In 2025, Neste finalized the construction of

a new upgrading unit for processing recycled raw mate-

rials, such as liquefied waste plastic, and production

ramp-up will commence in 2026. The Porvoo oil refin-

ery is using existing refinery units to further enable the

co-processing of renewable and recycled raw materi-

als with fossil raw materials in the refinery’s conventional

refining process. Through co-processing, Neste is able

to increase the production volumes of its renewable and

circular solutions.

Renewable and recycled polymers

& chemicals

Neste provides the polymers and chemicals industries

globally with Neste RE™, a feedstock solution produced

using renewable and recycled raw materials. Replacing

fossil feedstock with Neste RE produced from renew-

able raw materials can reduce GHG emissions by at

least 85%

over its life cycle. The use of Neste RE pro-

duced from hard-to-recycle plastic waste, can reduce

GHG emissions by more than 35%

when compared

to a conventional scenario in which plastic is produced

from fossil feedstock and plastic waste is incinerated

instead of chemically recycled.

Examples of partnerships and progress in 2025

Finalizing the construction of the

new upgrading unit for liquefied

waste plastic

• The new upgrading unit enables

Neste to process up to 150,000 tons

of challenging raw materials such as

liquefied waste plastic annually. The

new upgrading unit was finalized in

2025 and production ramp-up will

commence in 2026.

Opening of the new Operations

center

• A modern new Operations center was

opened at Neste’s refinery in Porvoo,

Finland, in the summer of 2025. The new

facility enhances collaborative flow, agile

ways of working and provides enhanced

spaces for both control room operations

and personnel working in the

refinery area.

Renewable and recycled polymers & chemicals business is introduced as part of the Oil Products business area following the organizational change in spring 2025. The change did not affect Neste’s financial reporting segments considered in other sections of this report.

Life Cycle Assessment on Environmental Impacts of Neste Renewable Polymers and Chemicals (30 June 2021).

Life Cycle Assessment on Environmental Impacts of Chemical Recycling of Waste Plastic—Case Neste (October 2022).

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Marketing & Services business area

Marketing & Services has its main markets in Finland and

the Baltics. We create value for our customers and part-

ners with high-quality products and services to meet the

evolving customer needs. We serve consumers, trans-

port service providers, customers in the aviation, ship-

ping, industrial and agricultural sectors, municipalities,

as well as heating fuel customers and fuel distributors.

Marketing & Services supports its customers in reduc-

ing their greenhouse gas emissions by offering Neste

MY Renewable Diesel™, Neste MY Sustainable Avia-

tion Fuel™ and electric vehicle charging services. Our

digital solutions, Neste App and the Oma Neste service,

enhance the customer experience.

Neste has an extensive network of nearly 1,000 sta-

tions in Finland and the Baltics where customers have

access to high-quality fossil and renewable fuels. We

are continuously expanding the availability of Neste MY

Renewable Diesel at our stations, and we are respond-

ing to our customers’ needs with expanding Neste Easy

Wash car wash services and our network of 52 Neste

MY Renewable Charge™ stations. Collaboration with

the restaurant company Restel in Finland and introduc-

tion of the new Huili cafe-restaurant concept to 31 Neste

stations by the end of 2025 strengthened our portfolio of

high-quality services.

Examples of partnerships and progress in 2025

Enhancing Neste’s station

network services in Finland and

the Baltics

• Starting to collaborate with Restel, and

introducing Restel’s new Huili-brand

cafe-restaurants at 31 Neste stations

in Finland.

• Expanding the availability of automated

Neste Easy Wash car wash services to

over 30 stations across Finland.

• Launching Neste Express, a new station

concept in Estonia.

Supporting maritime partners to

reduce GHG emissions

• Helping long-term partner Eckerö

Line, a freight and passenger ferry

service provider operating between

Helsinki, Finland and Tallinn, Estonia, to

respond to the 2% emissions reduction

requirement of the FuelEU Maritime

Regulation with the use of Neste MY

Renewable Diesel.

• Starting a collaboration with freight and

cruise company Wasaline, through which

Neste MY Renewable Diesel is used as

one of the power sources in Wasaline’s

hybrid vessel Aurora Botnia.

Powering airport operations with

Neste MY Renewable Diesel

• Neste MY Renewable Diesel is helping

Finavia with its climate targets, enabling

it to reach the international Airport

Carbon Accreditation (ACA) program’s

net-zero certification.

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Production capacity on three continents

We produce high-quality renewable fuels at our refiner-

ies in Finland, the Netherlands and Singapore, as well as

through our joint operation with Marathon Petroleum in

Martinez, California, the US, from renewable raw materi-

als, with an annual nameplate capacity of approximately

5.5 million tons. When completed, Neste’s Rotterdam

refinery capacity expansion project will further increase

the company’s total annual production capacity of renew-

able products to 6.8 million tons in 2027.

Our refinery in Porvoo, Finland, is among the most effi-

cient and versatile refineries in Europe and processes

crude oil, renewable and recycled raw materials. The

annual production capacity of fossil products at the Por-

voo refinery was some 12 million tons in 2025. A facility

to upgrade up to 150,000 tons of liquefied waste plastic

annually was finalized in 2025, and production ramp-up

will commence in 2026.

Our target is to help our customers reduce their green-

house gas (GHG) emissions by at least 20 million tons

annually by 2030 with our renewable and circular solu-

tions. In 2025, our renewable products enabled our cus-

tomers to reduce GHG emissions by 14.2 million tons.

Innovation as a driver for performance

Innovation, technology and R&D are essential across our

operations, supporting raw material, product and tech-

nology development, as well as quality assurance and

performance for all our solutions (renewable, circular

and fossil). In 2025, the focus was on supporting and

enhancing the competitiveness of Neste's businesses,

and our R&D expenditure was EUR 63 million.

We continue to strengthen our innovation capabili-

ties to grow and diversify our current raw materials base

and elevate refinery performance and safety. In 2025,

we started cooperation with Chevron Lummus Global

to develop a novel technology for processing lignocellu-

losic waste and residues into renewable fuels. Partner-

ships with leading universities, research institutes, tech-

nology companies and value chain partners are crucial,

fostering the collaboration needed for groundbreaking

advances. The Neste Veturi R&D program, which suc-

cessfully concluded its five-year initiative in May 2025,

exemplifies this commitment to collaborative innovation.

A novel technology for processing

lignocellulosic waste and residues

into renewable fuels

Lignocellulosic waste and residues from forest

industry and agricultural production can unlock a

substantial opportunity for a globally scalable renew-

able raw material source for fuels and chemicals.

Recognizing this potential, Neste and Chevron

Lummus Global have joined forces to develop a novel

technology that efficiently converts lignocellulosic bio-

mass into high-quality, lower-GHG-emission renew-

able fuels, such as renewable diesel and sustainable

aviation fuel (SAF). The resulting innovative technol-

ogy is expected to unlock a substantial raw mate-

rial pool to help meet the increasing demand for low-

er-climate-impact fuels.

Achieving our carbon handprint target

by growing our production capacity

We aim to help our customers reduce

their GHG emissions by at least

20 million tons per year by 2030

7.9

8.3

9.6

10.0

10.9

11.1

11.0

12.1

14.2

20MtCO

Key actions toward increasing

the GHG emission reduction

for our customers

Innovating new technologies

to utilize renewable raw materials

Singapore refinery expansion

and Martinez Renewables refinery

Long-term plan to gradually transform the Porvoo

oil refinery into a renewable and circular solutions refining hub

Rotterdam refinery expansion

2018 2019 2020 2021 2022 2023 2024 2025 2030

2017

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Neste's operations and value chain have an impact

both on people and the environment. Our sustainabil-

ity approach is defined by ambitions related to climate,

biodiversity, human rights and the supply chain and raw

materials, all pursued in collaboration with our partners

to achieve our targets across the value chain.

Neste refines renewable raw materials into lower-

GHG-emission fuels to help its customers reduce their

carbon footprint. Neste also produces a wide variety

of oil products and co-processes fossil raw materials

together with renewable and recycled materials in its oil

refinery in Porvoo, Finland.

Sustainability

Neste contributes to climate impact mitigation efforts

by producing increasing volumes of renewable and cir-

cular products, and through its actions aiming to reduce

its own carbon footprint.

In 2025, we revised some of our climate targets due to

the evolving market situation and our current financials,

aligning the targets with the company’s current financial

position and streamlined investment portfolio.

Read more about our revised climate targets and

sustainability work on the following pages and in

the Sustainability statement.

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Climate targets

We enable our customers to reduce their

carbon footprint, while reducing our own.

Carbon handprint

Our renewable and circular solutions help our

customers to reduce their GHG emissions by

at least 20MtCO

e annually by 2030.

Carbon footprint

We reduce GHG emissions in our own

operations by 80% by 2040 (scopes 1 & 2)

compared to 2019 levels, with interim targets

of 24% by 2030 and 50% by 2035.

We reduce the use-phase emission

intensity

of sold products (scope 3) by 50%

by 2040 compared to 2020 levels, and work

with our suppliers and partners to reduce

GHG emissions across our value chain

(scope 3).

Use-phase emission intensity is calculated by dividing the

GHG emissions from the use of products sold by Neste by the

total amount of sold energy (gCO

e/MJ).

The transport sector is a

significant contributor to global

greenhouse gas (GHG) emissions.

Action is needed to reduce

these emissions.

Neste contributes to climate change mitigation efforts

by producing increasing volumes of renewable and cir-

cular products while also aiming to reduce its own car-

bon footprint. Our climate work is focused on three pri-

ority areas: carbon handprint, GHG emissions in own

operations and use-phase emission intensity. Through

our renewable and circular solutions, we aim to help our

customers reduce their GHG emissions by at least 20

million tons annually by 2030. This is our carbon hand-

print target. At the same time we are taking actions to

reduce our carbon footprint.

Climate

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Our carbon handprint

We aim to achieve our carbon handprint target by

growing our renewable and circular solutions capac-

ity. Through our Rotterdam refinery capacity expansion

project, our total renewable products production capac-

ity will expand to 6.8 million tons annually in 2027. More-

over, we are diversifying our raw materials portfolio and

increasing the use of low-carbon-intensity raw materials.

This will help us address the increasing global demand

for low-climate-impact products. In 2025, our renew-

able products enabled our customers to reduce their

GHG emissions by 14.2 million tons.

What is a carbon handprint?

The carbon handprint quantifies the carbon footprint

reduction our customer reached by using our renewable

and circular solutions. It is the difference between the

carbon footprint over the life cycle of a baseline prod-

uct or service and a lower-GHG-emission product or

service. The bigger the handprint is, the better. All our

renewable and circular solutions have significantly lower

GHG emissions over their life cycle compared to fos-

sil alternatives, which helps our customers reduce their

GHG emissions and work toward their climate targets.

To assess the carbon handprint, we first calculate the

GHG emissions of our renewable and circular products

over their entire life cycle from the production of their

raw materials to the end use of the final product. For

fuels, the life cycle ends when the product has been

used, and for other (non-fuel) products such as renew-

able feedstock for new polymers and chemicals, the

life cycle ends in end-of-life treatment and potential

recycling. The life cycle GHG emissions of each of our

renewable and circular products is then compared with

the carbon footprint of the relevant fossil reference.

Read more in the Sustainability statement

In 2025, our renewable

products helped reduce

greenhouse gas emissions by

14.2Mt,

which equals the greenhouse

gas emissions from more than

30,000 full aircraft round trips

from Amsterdam to

San Francisco.

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Our carbon footprint

Reducing greenhouse gas emissions (GHG) in our own

operations, as well as across our value chain, is essen-

tial for mitigating our climate impact.

What does our footprint consist of?

Neste reports both direct and indirect GHG emissions

from its production and value chain under scopes 1, 2

and 3, as defined by the GHG Protocol. GHG emissions

from the use of Neste’s products (scope 3) is the most

significant emissions source, followed by raw materials

sourcing and transportation. In 2025, the indirect value

chain emissions (scope 3) were 51.6MtCO

e, totaling

94% of Neste’s carbon footprint. Emissions from direct

operational process and from fuel combustion (scope 1)

were 2.7MtCO

e and indirect emissions from purchased

energy (scope 2) 0.4MtCO

Our roadmap to reduce GHG emissions

We closely monitor the development of the latest climate

science, sectoral guidance, best practices and the lead-

ing climate frameworks such as the Science Based Tar-

gets initiative (SBTi), Transition Pathway Initiative (TPI)

and Exponential Roadmap Initiative (ERI) to develop our

climate commitments. As a result, achieving GHG emis-

sions reductions within our own operations and across

the value chain remains the central approach to meeting

our climate targets.

In 2025, we revised our scope 1 & 2 target by setting

a greenhouse gas emission reduction target of 80% by

2040 compared to 2019, replacing the target of reaching

carbon neutral production by 2035. With this revision we

focus solely on absolute GHG emission reductions and

remove the option of using emission compensation from

our climate target setting. The revision aligns our climate

targets with the current market and regulatory environ-

ment as well as the company’s current financial position

and streamlined investment portfolio. Our other footprint

commitments remain unchanged.

We use the scope framework defined in the Corporate Standard by GHG Protocol to assess the GHG emissions across our value chain.

Scopes 1 & 2 cover the emissions related to our own production. Scope 3 includes all other relevant emissions throughout our value chain.

Including purchased services, waste generated in operations, fuel- and energy-related activities and investments.

Includes Use of sold products and End-of-life treatment of sold products.

Use-phase emission intensity is calculated by dividing the GHG emissions from the use of fuel products sold by Neste (part of scope 3) with the total amount of sold energy (gCO

e/MJ).

Scope 1

Direct emissions from

refining and Neste owned

and operated fleet

Scope 2

Indirect emissions

from purchased energy

Scope 3

Other indirect emissions from

upstream and downstream

value chain

Reported GHG emissions in 2025, MtCO

Purchased

goods

Other

Product

transport

Raw material

transport

Use of

products

Own

operations

Purchased

energy

Our footprint: Neste’s value chain GHG emissions

Neste acknowledges that to align with the goal of the

Paris Agreement, GHG emissions need to be reduced

globally by approximately 50% every decade and reach

global net-zero GHG emissions by 2050 or sooner to

limit global warming to 1.5°C compared to pre-industrial

levels. Neste’s climate roadmap is, therefore, designed

to accelerate towards 2040, with a sharper emissions

reduction curve in the long term, making our current

targets closer to a trajectory between the 1.5°C and

well-below 2°C scenarios. This reflects Neste’s cur-

rent financial and operational realities while the com-

pany continues to reduce GHG emissions in its opera-

tions and value chain. Neste continues to develop and

strengthen its targets in line with the latest climate sci-

ence, available and emerging sector standards and its

financial capabilities.

4.4 0.60.7 43.32.5

2.7

0.4

54gCO

e/MJ

Use-phase emission

intensity of sold products

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Use-phase GHG emissions of our own sold products

are a key priority on our journey and we are committed

to halving them by 2040 compared to 2020 levels.

Furthermore, we recognize the need for comprehen-

sive scope 3 GHG emissions management. We are

committed to working with our suppliers and partners

to reduce the indirect GHG emissions across our value

chain (scope 3).

Our climate commitments are connected to the remu-

neration of Neste’s key personnel. In the 2025–2027

Our footprint: Reducing GHG emissions of our own operations

Short-term measures

Prevent emissions growth

• Energy efficiency & optimization

• Evaluate replacing fossil hydrogen

Past measures

• Naantali refinery closure

• 100% non-fossil electricity

• Energy efficiency

Long-term measures

Transition away from fossil refining

Medium-term measures

Accelerate reductions

• Evaluate and leverage future opportunities

with biological / renewable hydrogen and

carbon capture and storage

2.0

0.0

3.0

1.0

2019 2021

2022

2023 20252024 2030 2035 20402020

2.9

80%

reduction in

scope 1 & 2

by 2040

MtCO

2.3

2.5

2.8

2.7

incentive program, the scheme's performance metrics

support the execution of Neste’s strategic business pri-

ority, the sales of renewable fuels, which is strongly linked

to the company’s climate targets.

Since 2020, evaluating the production carbon foot-

print (scope 1 & 2 emissions) impact of investment deci-

sions has been mandatory at Neste. To increase the

transparency of the different GHG emission impacts of

our investments, we have introduced new criteria and

guidelines to enable our project teams to evaluate the

potential climate impacts of possible investment projects.

To align our investment decisions to support our climate

commitments, we apply an internal carbon price for our

scope 1 & 2 GHG emissions in investment calculations,

business case evaluations and strategic planning.

-80%

-50%

-24%

3.5

3.1

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Land, water and pollution are key

focus areas of our biodiversity work.

We aim to drive a positive impact on biodiversity in our

operations and in our value chain. This ambition, along

with its Net Positive Impacts (NPI) and No Net Loss

(NNL) interim goals, was developed and set in 2021.

To achieve these goals, we apply the mitigation hierar-

chy to manage our biodiversity impacts in a structured,

stepwise manner.

Our efforts are concentrated on key focus areas where

our operation and sourcing activities can have the most

significant impacts:

• Land: We avoid the conversion of habitats with

a high biodiversity value and aim to prevent

deforestation.

• Water: We promote sustainable water use.

• Pollution: We mitigate environmental impacts from

pollution, adhering to applicable environmental

regulations.

Since setting the ambition, we have continuously deep-

ened our understanding of biodiversity dependencies

and impacts, progressing toward more focused assess-

ments and the potential establishment of measurable

targets.

Biodiversity

Biodiversity ambition

We aim to drive a positive impact on biodiversity

and achieve a nature positive value chain by 2040.

Net Positive Impacts (NPI) from new activities

We aim to generate a net positive impact on biodi-

versity for all new direct operations, with implementa-

tion of the NPI approach from 2025 onwards.

No Net Loss (NNL) from all ongoing activities

We aim at no net loss of biodiversity from our exist-

ing operations and plan to implement an approach to

ensure this by 2035.

Nature Positive Impact throughout

our value chain by 2040

We continue to seek effective collaboration across

our value chain to avoid impacts on biodiversity and

create a positive impact on nature.

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Management of biodiversity impacts

in our own operations

Development of our NPI approach

In 2025, we completed the methodology development

of our Net Positive Impacts (NPI) approach, which is

now ready for implementation in future investment proj-

ects involving new activities. This methodology outlines

how we evaluate the biodiversity baseline, and identify

and account for key biodiversity features and potential

impacts.

Biodiversity focus areas on our sites

Land, water and pollution are key focus areas for our

biodiversity work.

We have identified areas important for biodiversity

around our refineries and operations, primarily through

environmental impact assessments. In addition, a bio-

diversity baseline inventory of our Porvoo and Naantali

sites in Finland was also conducted. In 2025, we com-

plemented our biodiversity evaluations with an assess-

ment using publicly available databases on nature con-

servation and protected areas, including World Heritage

Sites, to identify biodiversity-sensitive areas close to

Neste’s direct operations.

Our ongoing water stewardship efforts focus on

enhancing resilience of our production sites through

improved water management. The Porvoo and Singa-

pore refineries carried out the review of their water bal-

ance in 2025, while Rotterdam refinery’s review will be

completed during 2026.

The new wastewater treatment unit at the Rotterdam

refinery commenced operation in 2025. Additionally,

Neste has two wastewater treatment units in operation

at Porvoo and Singapore refineries.

Neste's company-wide Environmental Management

Principle outlines strict criteria to identify, mitigate and

track the environmental impacts arising from our own

operations, covering effects on land, water and pollution

(see Environmental Safety).

Management of biodiversity impacts

in our supply chain

We continue to build on the lessons learned in the Sci-

ence Based Targets Network (SBTN) pilot to develop

and define our focus areas for mitigating impacts on

nature and biodiversity.

In 2025, we monitored the development of third-party

frameworks such as the Accountability Framework ini-

tiative and assessed its feasibility for our upstream oper-

ations. In addition, we made an evaluation of our land-

scape projects, and will continue to refine our internal

criteria guiding their development.

Moving forward, we plan to further assess those raw

materials that are considered most critical from the per-

spective of Neste's impact on biodiversity. We will also

develop metrics and indicators that enable us to assess

and manage material nature-related risks and opportu-

nities effectively.

We currently source novel vegetable oils (NVOs) cul-

tivated using regenerative agriculture practices, and

classified into two concepts: intermediate cropping and

low-carbon intensity. We have developed robust sus-

tainability KPIs and track the cultivation GHG emissions

of purchased NVO volumes.

During the last two years, Neste cooperated with

the International Sustainability and Carbon Certifica-

tion (ISCC) body to develop a regenerative agriculture

add-on that couples with the ISCC First Gathering Point

(FGP) certificate. The add-on criteria will be tested in

farms producing intermediate crops.

Our collaborations for biodiversity

SBTN corporate engagement program

Neste has participated in the SBTN Corporate Engage-

ment Program since 2021 and continues to do so. We

were part of the SBTN’s initial target validation group

for science based targets (SBTs) for nature from May

2023 to September 2024, where we applied the pilot

methodology and tested its feasibility on the activities in

our direct operations and in the supply chains. Although

we eventually did not set targets for nature based on

the SBTN pilot methodology, we continue to follow the

methodological developments. We have signed up to

participate as observers in the SBTN Land Method Ver-

sion 2 pilot that began in October 2025.

Advocacy with the chemical industry

in Finland

We continued to participate in the Chemical Industry

Federation of Finland’s biodiversity work focusing on

raising awareness on developments in biodiversity and

business. We took part in various activities organized by

the Federation including training in biodiversity footprint

calculation, advocacy and feedback to national and EU

legislative developments.

WBCSD and metrics development

During 2023–2025, Neste participated in the regener-

ative agriculture metrics and adoption pathways work-

streams as part of the work with the World Business

Council for Sustainable Development (WBCSD). The

WBCSD selected metrics were categorized in five out-

come areas: biodiversity, climate, soil, water and socio-

economic, and these metrics were used as a reference

for Neste to select its own sustainability KPIs for NVOs.

Read more about biodiversity

Read more in the Sustainability statement

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Neste is committed to respecting human rights across

its operations and value chains by implementing an ongoing process

of human rights due diligence.

Embedding respect for human rights

across the business

Our Human Rights Principle outlines Neste’s commit-

ment to implementing the UN Guiding Principles on Busi-

ness and Human Rights, setting the standards for how

human rights due diligence and governance are applied

across Neste´s business. Stakeholder engagement is a

key part of this, with special attention paid to vulnerable

groups like women, children, migrant workers and Indig-

enous Peoples.

Focusing on salient issues

Our Human Rights Principle outlines seven priority areas

for human rights at Neste. These are Neste’s salient

human rights issues, i.e. those issues that are at risk of

the most severe negative impacts through our activities

or business relationships.

We annually conduct a human rights saliency assess-

ment, assessing actual and potential impacts on people

across the value chain based on severity and likelihood.

This enables us to monitor progress, address new risks,

prioritize our work and evaluate the effectiveness of our

current measures. In 2025, we organized workshops to

update our human rights saliency assessment, bringing

together internal experts from across the business for

input and validation of results.

Respecting human rights

Ensure respect for human rights across Neste’s operations and value chains by

carrying out ongoing human rights due diligence to identify, assess and address

adverse human rights impacts and to communicate on our performance.

Reducing inequality

By 2030, we aim to reduce inequalities across

the value chain and address the root causes

of systemic human rights issues. We aim to

advance diversity, equity and inclusion in our

own businesses and supply chains.

Living wages

We pay all our employees a living wage, take

action to promote living wages in Neste’s sup-

ply chains, and require strategic contractors

and suppliers to pay their employees a living

wage by 2030.

Children & education

We work with our stakeholders to increase chil-

dren’s access to education by 2030 and pro-

mote respect for children’s rights by actively

supporting and participating in initiatives aimed

at keeping children in school.

Responsible recruitment

We commit to and promote the Employer

Pays Principle, with implementation in high

risk areas by 2030, to ensure that no worker

pays for a job and the costs of recruitment are

paid by the employer, not the worker.

Neste’s human rights ambition 2030

We strive to create a more equitable and inclusive value chain by

2030, in which everyone works with dignity.

Human rights

Economic, social

& cultural rights

Fair

treatment

Fair

employment

Children &

young workers

Modern

slavery

Equity, diversity &

non-discrimination

Health

& safety

Our most salient

human rights issues

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Human rights due diligence for

our own operations

Recognizing that our human rights impacts may change

over time as our business continues to grow and evolve,

we are committed to embedding ongoing human rights

due diligence across our own operations:

• Over the past five years, Neste has participated in

the Consumer Goods Forum (CGF) Human Rights

Coalition, which applies a shared framework for

member companies to assess and strengthen their

human rights due diligence, with expert input on

action plan development provided by the Fair Labor

Association. Under this initiative, Neste has been

committed to ensuring 100% of its own operations

are covered by robust human rights due diligence

systems by 2025, in line with the CGF Maturity

Journey Framework. In 2025, we made progress on

this commitment by carrying out human rights due

diligence assessments for Neste’s offices, owned

pretreatment facilities and ground transportation.

2025 marked the final phase of this CGF initiative,

and Neste successfully achieved all project targets

on time, reaching leadership level under the shared

KPIs for coalition members. Results are publicly

reported through the CGF.

• In 2025, we published a new diagram illustrating

Neste’s comprehensive grievance ecosystem. This

interconnected network of channels and processes

is designed to facilitate the raising, assessment and

resolution of grievances across all our operations

and value chains in accordance with the UN Guiding

Principles on Business and Human Rights.

• We continue to use human rights criteria and

assessments to inform decision-making on strategic

business development, investments and innovation

projects.

• In 2025, we continued to work proactively to prevent

exploitation and promote respect for labor rights

across Neste’s production sites. We pay special

attention to safeguarding the rights of migrant

workers and third-party employees working for

contractors and subcontractors on Neste sites,

especially during peak times, such as our refinery

expansion projects, shutdowns and turnarounds.

We have implemented site-level Neste We Care

Complaints Channels for third-party workers at

our refineries and the Rotterdam refinery capacity

expansion project, and use a range of practices to

inform workers about their rights e.g., informative

posters and leaflets, worker inductions, site

workforce meetings and contractor social audits.

Human rights due diligence for communities

Neste is committed to engaging with local communities

and understanding how our business operations may

impact them:

• In 2025, we updated our internal survey to assess

how Neste identifies and mitigates impacts on the

local communities surrounding our operations. The

assessment covers a range of sustainability topics,

including environmental and social risks, impacts on

vulnerable groups, such as women and children, and

community engagement and complaints resolution

practices. It also assessed positive practices and

impacts such as community development initiatives.

• All Neste refineries are situated on industrial

sites, and the closest residential communities are

5–10 kilometers away. Potential risks to the local

communities include air and water emissions, as well

as noise and light pollution from the refineries and

site traffic. All our refineries are required to comply

with strict environmental permits and other legal

requirements, and have preventive and mitigation

measures in place to prevent refinery operations

causing harm to people or the environment. All

Neste refineries are certified as having an ISO 14001

environmental management system in place and

have undergone various environmental impact and

permitting assessments, with ongoing monitoring.

• We engage regularly with local community

stakeholders. For 100% of our operations, local

communities can formally raise grievances with

Neste using Ethics Online, or they can contact us

using local channels such as refinery websites and

phone numbers.

Embedding human rights due diligence at Neste

Neste has management processes to identify, prevent, mitigate and remedy adverse human

rights impacts. We continuously monitor and track the effectiveness of our response, with

transparent reporting and communication on how impacts are addressed.

Policies &

management systems

Identify actual and

potential impacts

Cease, prevent or

mitigate adverse impacts

Communicate Track implementation,

effectiveness and results

Provide for or cooperate

in remediation

Ongoing human rights due diligence

Human rights due diligence

for our supply chains

We assess human rights risks when planning to enter

new sourcing regions for our renewable raw materials,

and expect all our suppliers to comply with applicable

laws and to follow equivalent ethical business standards,

as stated in Neste’s Supplier Code of Conduct. Our sus-

tainability screening for raw material suppliers and our

sustainability audits have a strong human rights focus

and prioritize the assessment of impacts on people.

Neste implements a risk-based approach to due dili-

gence, collaborating with partners and suppliers to drive

action in the parts of the value chain where human rights

risks are the highest.

In 2025, Neste collaborated with third-party experts to

conduct three on-the-ground human rights risk assess-

ments focused on salient issues in high-risk supply

chains. The assessments involved visits to supplier sites

and engagement with workers, local communities and

vulnerable groups (e.g., migrant workers, young work-

ers, women, local ethnic and religious minorities), apply-

ing a gender-sensitive lens. Following this, the experts

facilitated a workshop to provide capacity building and

action planning for Neste teams.

In 2025, Neste collaborated with its supplier Golden

Agri-Resources (GAR) and independent experts to

assess human rights risks at third-party mills in Riau,

Indonesia, beyond Neste’s first tier of sourcing. The

assessments covered maturity of mill policies and prac-

tices and were followed by capacity-building sessions

with mill management to strengthen due diligence and

implement corrective actions. Topics assessed included

e.g., management systems, forced and child labor, living

wages and benefits, responsible recruitment, grievance

mechanisms and freedom of association and collective

bargaining.

Read more about our supply chain due diligence

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Training and capacity building

We are committed to training our employees and sup-

pliers in human rights and labor standards. Human

rights training is integrated into our global induction for

new employees, and all Neste employees are required

to complete a mandatory Code of Conduct e-learning

course, which includes topics on advancing respect

for human and labor rights. We also carry out annual

capacity building sessions for our suppliers, which

cover a variety of human rights topics.

Read more about training metrics

Responsible recruitment

Neste is committed to advancing responsible recruit-

ment in its operations and value chains to ensure fair,

ethical and transparent recruitment processes that pro-

tect the rights and wellbeing of job seekers. In 2025,

Neste took various actions to drive responsible recruit-

ment, including:

• Adding no-recruitment-fee clauses to contracts

with recruitment agencies and staffing firms used by

Neste.

• Enforcing Neste’s Supplier Code of Conduct

no-recruitment-fee policy in contractor audits at our

refineries and sustainability audits for renewable raw

material suppliers.

• Participating in the Consumer Goods Forum’s

People Positive Palm Project to provide training for

Neste’s PFAD suppliers, and help strengthen their

management systems, and engage in collective

advocacy on responsible recruitment with the

governments of Malaysia and migrant worker

sending countries.

Read more about modern slavery risks in our

Modern Slavery Statement

Living wages and incomes

In 2025, Neste completed its annual internal living wage

gap assessment covering all countries in its global oper-

ations, using data provided by the Fair Wage Network.

The analysis of assessment results is ongoing, ensuring

a thorough evaluation of diverse remuneration elements

in all locations.

We continue to use living wage data in our onboard-

ing process and sustainability audits for renewable raw

material suppliers, with the dual aim of gaining a better

understanding of our supplier wage practices and rais-

ing awareness to build supplier knowledge of this topic.

In 2025, we assessed the living wage practices of three

renewable raw material suppliers.

Children and youth

Neste is committed to respecting and supporting chil-

dren’s rights and to implementing the Children’s Rights

and Business Principles throughout its business and

value chains. We were recognized as a leader in the

Global Child Forum’s annual benchmark, The State of

Children’s Rights and Business 2025.

In 2025, we continued to work in collaboration with

SOS Children’s Villages India to support vulnerable fam-

ilies and improve children’s lives through education and

life skills training in Kolkata, Nagapattinam and Bawana.

Through this partnership, SOS Children’s Villages also

offers guidance and local expertise to deepen Neste’s

understanding of children’s rights issues in our supply

chains in India.

Worker voice

Direct engagement with value chain workers is a key

element of Neste’s human rights due diligence. Neste

implements worker voice technology in its supply chains

using anonymous audiovisual surveys on mobile devices.

In 2025, we focused on the APAC region, with 59 sur-

veys conducted to gather value chain workers insights

on their standards of living, working conditions, living

wages and children’s rights.

Collaboration

We actively seek opportunities to collaborate with our

stakeholders to advance positive systemic change and

enhance our leverage to address the root causes of

adverse human rights impacts. In 2025, we continued

to engage in the Nordic Business Network for Human

Rights (NBNHR), FIBS Business & Human Rights

Working Group, Consumer Goods Forum’s (CGF)

Human Rights Coalition and the World Business Coun-

cil for Sustainable Development (WBCSD), including

the WBCSD Business Commission to Tackle Inequality

(BCTI).

Reporting

Since 2021, we have been reporting in accordance with

the United Nations Guiding Principles on Business and

Human Rights (UNGP) Reporting Framework.

Read more in the Sustainability statement

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Five elements

of our Supplier

Code of Conduct

Across our supply chain, we promote

a safe and healthy workplace and

uphold fair labor practices.

Compliance with

laws and regulations

Business

conduct

Our commitment to responsible and ethical business

extends to our partners. Identifying and selecting good

partners are crucial to the sustainability of our supply

chains. Neste requires all its suppliers and other busi-

ness partners to comply with applicable laws and

expects them to follow equivalent ethical business stan-

dards as stated in the Neste Code of Conduct, further

described in the Neste Supplier Code of Conduct. It out-

lines the basic requirements Neste expects its suppliers

and their first-tier suppliers, contractors and business

partners to adhere to and implement throughout their

businesses. Neste aims to include the Supplier Code of

Conduct in the contract terms for suppliers, contractors

and other business partners participating in the supply

of raw materials, products, components, materials or

services to Neste.

Occupational health,

safety and security

Supply chain & raw materials

We drive a safe and healthy workplace, fair labor practices and

increased commitment to sustainability across the supply chain.

We expect all our suppliers and business

partners to comply with applicable laws

and meet the ethical standards outlined in

Neste’s Supplier Code of Conduct.

We include social, environmental and

ethical criteria in supplier selection as

we drive diversification and increased

availability of sustainable raw materials.

Supply chain and raw materials

Environmental impact

and climate change

Human and

labor rights

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Sustainability due diligence in our

supply chains

In 2025, we focused on aligning our sustainability due

diligence practices with Neste’s strategic priorities while

ensuring compliance with upcoming legislation such as

the EU’s Corporate Sustainability Due Diligence Direc-

tive (CSDDD). Additionally, we enhanced our risk-based

approach to sustainability due diligence, aligning it with

strategic priorities and ensuring that focused actions tar-

geted highest-risk suppliers and countries. Key actions

included targeted supplier trainings in Neste’s Supplier

Code of Conduct and proactive measures for mitigat-

ing deforestation risks. More than 25 raw material sup-

pliers joined different capacity building training sessions

with over 45 participants. Furthermore, we collaborated

with third-party experts to conduct three focused risk

assessments covering the most salient human rights

issues in our high-risk supply chains.

In 2025, we conducted a total of 36 sustainability

audits: 22 on renewable and recycled raw materials; 6

on terminals; and 8 on contractors. Of these, 22 audits

were carried out for renewable raw material suppliers of

which 2 were virtual, and 20 were third party audits. In

2025, 13 audits were conducted on our direct renew-

able raw material suppliers and 9 on our renewable raw

material suppliers’ suppliers.

The majority of findings recorded in renewable raw

material supplier audits in 2025 were related to human

and labor rights.

Read more in the Sustainability data package

Renewable raw materials

Neste uses a wide variety of renewable raw materials

each year to produce renewable fuels, as well as renew-

able feedstock for the production of polymers and chem-

icals. An extensive portfolio of globally sourced raw mate-

rials provides Neste flexibility, as it allows us to respond

to the needs of different markets and customers.

Used cooking oil, various wastes and residues from

vegetable oils processing and animal fat from food indus-

try waste represent the top three waste and residue raw

material categories we use, based on their current and

Audit findings per different

sustainability categories

renewable raw material suppliers, %

Human and Labor Rights

Health & Safety

Ethical Business Practices

Environment



35%

50%

estimated shares of Neste’s total annual renewable raw

material inputs. In 2025, 95% of our global renewable

raw material inputs were waste and residues.

We are constantly working to diversify our current

raw material portfolio with scalable new alternatives. We

are increasing the availability of emerging, lower-quality

waste and residue raw materials, such as acid oils and

wastewater-derived grease (i.e., brown grease). Further-

more, we source novel vegetable oils (NVOs) produced

via regenerative agriculture practices. We currently focus

on NVOs cultivated as intermediate crops, and for the

long-term, we are exploring NVOs cultivated in severely

degraded land. Our aim is to guarantee that NVOs culti-

vation does not create indirect land use changes.

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Our long-term raw material development efforts focus

on studying the potential of lignocellulose derived from

forest industry and agricultural waste and residues as

future raw materials, and on developing technologies to

enable its use.

Renewable raw materials sourcing

All Neste’s renewable raw material suppliers are subject

to sustainability due diligence, as stated in Neste’s Sup-

plier Sustainability Approval Principle. It sets the mini-

mum sustainability requirements for approving suppli-

ers through a multi-step process, including raw material

evaluation, risk assessments, counterparty screening, a

sustainability review and audits.

Neste’s sustainability due diligence process is mainly

managed on Neste’s Supplier Sustainability Portal (SSP),

a digital platform that is used to facilitate our evaluation

of potential and existing renewable raw material suppli-

ers, collect traceability data, support performance mon-

itoring and enable active supplier engagement. When

suppliers are onboarded, they are subject to a sustain-

ability assessment and required to insert the location of

their own production and processing site(s), and where

applicable, their own suppliers’ production and process-

ing site(s), in the SSP. At minimum, we require our sup-

pliers to disclose their supply chain actors and locations

as determined by end-market sustainability regulations

such as the EU Renewable Energy Directive (EU RED).

In 2025, a total of 300 renewable raw material suppli-

ers were subject to a sustainability assessment as part

of our supplier onboarding process.

Read more about our raw materials

Liquefied waste plastic sourcing

In addition to the automated counterparty compliance

screening and expecting our liquefied waste plastic

(LWP) suppliers to fulfill the requirements in Neste’s Sup-

plier Code of Conduct, we only accept liquefied waste

plastic that is traceable and complies with the ISCC

Plus certification requirements. In 2025, we continued

onboarding new LWP suppliers. Suppliers with which

Neste has an established and ongoing business rela-

tionship are subject to sustainability due diligence.

Crude oil and other fossil

raw materials sourcing

While Neste's long-term plan is to gradually transform

the oil refinery in Porvoo into a renewable and circular

solutions refining hub, the company continues to pro-

duce high-quality oil products from crude oil and con-

densates at its Porvoo refinery in Finland.

In 2025, Neste continued to assess all new fossil

raw material suppliers, with a total of 10 new suppliers

assessed.

Indirect procurement

Neste’s indirect procurement activities include the sourc-

ing, purchasing, contract and supplier management of

goods and services that are not included in the sourcing

and delivery of crude oil and other fossil raw materials or

renewable and recycled raw materials.

In 2025, Neste published the Neste General Require-

ments for Goods and Services Suppliers. It comple-

ments Neste’s Supplier Code of Conduct by consolidat-

ing the key criteria covering quality, safety, environmental

aspects, cybersecurity, financial stability and risk man-

agement, to make the collaboration between Neste and

its suppliers more efficient. Additionally, we initiated a

renewal of our supplier qualification process to proac-

tively manage and mitigate risks.

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At Neste, people bring the strategy to life.

Together, we drive progress and address

the business challenges we face.

As a part of the performance improvement program,

Neste simplified its operating model and increased

internal efficiency through organizational restructur-

ing. In 2025, the changes led to a reduction of about

510 positions globally, including 370 positions in Fin-

land, targeting annual cost savings of approximately

EUR 65 million.

The new organization took effect on 1 May 2025.

Many employees experienced changes in roles and

reporting lines, creating both adjustments and new

opportunities. The change process was carried out in

close collaboration with local employee representa-

tives and Works Councils.

Managers received support and training to lead

through change, encouraging active interaction with

team members during the change. Employees were

offered locally tailored support. Those leaving the

company were provided outplacement services and

voluntary financial support. Communication regarding

the change process was provided to all employees on

a regular basis.

At the end of 2025

Neste employed

an average of

5,281

employees with approximately

601

new employees globally,

of whom approximately

61%

were in permanent

positions.

The number in the Financial statements

is reported as an average and does not

include temporary hourly workers.

People

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Building success together

Neste’s culture is based on its values—we care, we have

courage and we cooperate. We believe in open commu-

nication, continuous learning and active dialog and col-

laboration to strengthen engagement and performance.

Our Smart Work guidance, updated in 2025, pro-

motes an office-first approach that enhances teamwork

while allowing flexibility for remote work where suitable.

Following the restructuring, a shorter employee pulse

survey was conducted in October 2025. The results

showed a response rate of 84% (2024: 70%) and an

engagement favorability of 52% (2024: 40%). The pulse

survey results are systematically discussed across Neste

and translated into tangible actions at all levels.

Collaboration and dialog with employee representa-

tives continued in line with local labor laws and collective

agreements. Neste maintains established cooperation

bodies in its main operating countries, including Finland,

the Netherlands and Singapore. In 2025, a European

Works Council (EWC) was established following collab-

orative negotiations with employee representatives from

European countries.

Continuous improvement and learning

To strengthen our business performance and continu-

ous development, learning is part of our everyday work.

Employees and managers review the progress of the

annual business and development goals regularly in

development discussions, known as Forward discus-

sions. In 2025, the focus was on clarifying roles and

responsibilities, and setting clear goals and priorities in

line with the performance improvement program. Busi-

ness-critical training continued, while other global train-

ing programs were postponed.

To ensure safety, ethical integrity and compliance with

global regulations, Neste provides mandatory train-

ing assigned company-wide or to role specific target

groups. These trainings supports our employees to

remain aware and compliant, and are critical for main-

taining our license to operate as a listed company. Com-

pletion rates for key compliance trainings are regularly

reported to the Board's Audit and the Ethics and Com-

pliance Committees, demonstrating our commitment to

upholding the highest standards. In 2025, mandatory

company-wide training included Annual cyber safety

essentials and Code of conduct, alongside role-specific

training.

Our digital learning platform We Learn continues to

provide multiple learning opportunities for all employees,

emphasizing everyone’s opportunity to take ownership

of their personal development. The average time spent

in learning programs per employee in 2025 was 17.7

hours.

Wellbeing at work

Safety is the foundation of health and wellbeing at Neste.

Our wellbeing model and Occupational Health Principle

guide activities across the organization in line with local

legislation and requirements.

In 2025, Neste supported employee wellbeing through

global and local initiatives, including webinars, team ses-

sions and individual support where necessary.

Read more in the Sustainability data package

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In 2025, Neste renewed its safety vision, Creating safety together,

to emphasize that safety is continuously created by everyone.

Creating safety together means combining actions,

experience, skills and safeguards to ensure busi-

ness success every day.

Our safety ambition is to ensure our operations

are continually free from fatalities, serious injuries,

occupational illnesses, major accidents and com-

pliance incidents.

The renewed vision was launched during Neste

Safety Week 2025. The global and local events

brought employees and partners together to dis-

cuss what the new vision means in practice. We

also celebrated excellence in safety by presenting

Contractor Safety Awards to outstanding partners

across our global operations.

Systematic improvement in safety manage-

ment continued throughout the year. The Creat-

ing safety together roadmap had four focus areas:

safety leadership; fatality and major accident pre-

vention; learning from experience; and compliance

assurance.

Creating safety together

Safety

at Neste

Understand

hazards and risks

Manage

risks and

opportunities

Learn from

experience

Commitment to

operational excellence

Assets

Environment

People

Information

Operations

Brand

In 2025, the number of

safe days was

296

(2024: 278),

and the number

of safety incidents was

(2024: 108).

Safety

As part of our commitment to Creating safety

together, Neste strengthened its safety manage-

ment practices. Demonstrating this commitment,

the CEO leads quarterly safety reviews focused on

site-specific safety performance, risk management

and proactive actions. These reviews facilitate open

discussion of concerns and promote learning from

both incidents and successful safety initiatives,

driving continual improvement at all levels.

We take a holistic view of safety. Neste's safe

days indicator measures days without incidents

such as occupational accidents, process safety

events, fires and leaks, environmental non-compli-

ances, marine safety incidents or traffic accidents.

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Safety of people

The safety of our employees, partners and local com-

munities is paramount. We are committed to maintain-

ing workplaces free from fatalities, serious injuries and

occupational illnesses.

In 2025, we continued to strengthen fatality preven-

tion by ensuring that critical safety controls were in place

and effective. Work also progressed to harmonize safe

work practices for high-risk tasks such as confined

space entry and excavations. Cross-site collaboration

has promoted sharing of best practices and learning

across locations. In 2025, 1,610 targeted field verifica-

tions were conducted.

Creating safety together with our contractors and

suppliers is vital to our operations. Contractor safety

performance is included in Neste’s safety statistics and

improved through careful selection, performance evalu-

ation and mutual feedback.

Neste achieved a year without any fatalities or serious

injuries as defined by the International Association of Oil

& Gas Producers (IOGP) Fatality and Permanent Impair-

ment guidelines. Our Total Recordable Injury Frequency

(TRIF), including contractors, was 2.1 (2024: 2.2), which

did not meet the target level of 1.8. Contractor TRIF per-

formance was 1.8.

Process safety

High performance in process safety is central to Neste’s

operations. Our aim is to ensure that hazardous sub-

stances and energy within processes are managed

safely. We achieve this through safe design, asset integ-

rity management and safe operations.

In 2025, we launched a group-wide five-year process

safety improvement program. The program focuses on

four areas: process hazard analysis and risk manage-

ment; asset integrity; process safety safeguards; and

process safety competence.

Our Process Safety Event Rate (PSER), covering tier

1 and tier 2 events, was 0.9 (2024: 1.3), which met the

2025 target level of 1.0. Process safety performance is

measured in accordance with the American Petroleum

Institute (API) standards.

Product and chemical safety

Neste's Product and Chemical Safety Principle cov-

ers a wide variety of regulatory requirements and their

practical implementation at Neste. In 2025, we contin-

ued extensive work to ensure compliance with chemi-

cal and product safety regulations. This included updat-

ing REACH registration dossiers and safety data sheets,

particularly in connection with new projects such as the

Rotterdam refinery expansion.

We also strengthened the monitoring of global regula-

tory changes and improved internal processes for doc-

umenting and reporting chemical substances and mix-

tures across Neste’s value chain.

Chemical safety training and awareness raising

included a specific focus on safety of Neste’s own

employees working with liquefied waste plastic.

Environmental safety

In 2025, Neste focused on implementing its updated

Environmental Management Principle across all opera-

tions to further strengthen environmental performance

and management practices. Regular monitoring of envi-

ronmental quality continued at relevant sites and their

surrounding areas, covering air quality, groundwater

monitoring and marine environments.

All Neste refineries, as well as terminals, storage facil-

ities and service stations in Finland and the Baltics, are

certified in accordance with the ISO 14001 environmen-

tal management standard.

Neste is committed to operating responsibly and in

compliance with environmental regulations. In 2025, we

recorded 9 environmental permit or regulatory limit value

exceedances across all operations. In all cases, the envi-

ronmental impact was assessed to be limited.

Five penalty orders on the Rotterdam refinery, issued

between 2022 and 2024, remained under active author-

ity scrutiny and process throughout 2025. Of these five

penalty orders, three led to penalties being forfeited in

2025, amounting to a total monetary value of 155 thou-

sand euros. One penalty under order related to flaring

has been suspended in a legal injunction procedure in

December 2025. Neste is applying for amendment to

the environmental permit on this topic.

Investigations initiated by the authorities during 2023

and 2024 concerning Rotterdam refinery’s non-compli-

ant flaring and volatile organic compound (VOC) emis-

sions are still pending.

Neste strives for timely execution of all orders subject

to penalty, although Neste has contested the legality of

some of these. We take every case seriously and act to

address any non-compliance. Close collaboration with

the authorities is a key part of our approach, ensuring

issues are resolved effectively and operations remain in

line with regulatory requirements.

Incident at Hanko shoreline, Finland

In January 2025, an incident involving an unidentified

fatty-like substance was reported along the shoreline

of the Hanko peninsula in Finland. Subsequent analysis

confirmed the material to be a mixture of organic vege-

table and animal fats.

Neste immediately launched its own investigation

and announced that the offshore spill could have orig-

inated from a vessel chartered by the company. Neste

assumed full responsibility for the clean-up operations in

the affected area, even though the origin of the spill was

uncertain.

Process Safety

Event Rate

(PSER)

0.9

(2024: 1.3)

Total Recordable

Injury Frequency

(TRIF)

2.1

(2024: 2.2)

The remediation was carried out in close cooperation

with the authorities, the City of Hanko, WWF Finland and

volunteers. Together, we ensured effective and timely

restoration of the affected shoreline. After the completion

of the clean-up, the competent authority confirmed that

the risk of further pollution and serious harm to health or

the environment had been prevented. In the authorities'

inspection, the origin of the spill remained unverified.

Read more about safety

Read more in the Sustainability data package

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Sustainability

data package

Sustainability reporting 2025 33

Value creation 35

Performance in gures 36

Climate and the environment 36

Supply chain and raw materials 38

Safety 39

People 40

Human rights 42

Neste’s grievance ecosystem 43

TCFD recommendations disclosure 44

SASB content index 45

UN Guiding Principles Reporting Framework Index 47

Principles for calculating key indicators 48

Independent Practitioners’ assurance report 50

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In 2025, Neste continued reporting

in accordance with the Corporate

Sustainability Reporting Directive (CSRD).

To ensure reporting continuity, Neste’s Sustainabil-

ity data package serves as a single source for rele-

vant sustainability metrics and indicators. The pack-

age includes metrics reported in accordance with the

European Sustainability Reporting Standards (ESRS),

as well as entity-specific indicators. Principles for cal-

culating indicators are included on pages 48–49 with

additional information on pages 35–42.

Sustainability

reporting 2025

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Reporting frameworks and guidelines

We are committed to the UN Global Compact (UNGC),

United Nations Guiding Principles on Human Rights

(UNGP) and the International Labor Organization (ILO)

Declaration on Fundamental Principles and Rights at

Work. Neste follows the OECD Guidelines for Multina-

tional Enterprises and guidelines for good governance.

Neste has been a signatory of the UNGC Principles since

2014. Our Communication of Progress with Global Com-

pact Principles for 2025 information will be reported via

the UNGC portal.

Our reporting meets the requirements of the European

Sustainability Reporting Standards (ESRS) as set out in

the Commission Delegated Regulation (EU) 2023/2772

and the Finnish Accounting Act 1997/1336. The infor-

mation is disclosed in the Sustainability statement in the

Review by the Board of Directors.

Neste is committed to applying the Task Force on

Climate-related Financial Disclosures (TCFD) reporting

principles from 2019 to disclose climate-related finan-

cial risks and opportunities in the reporting. Climate-re-

lated financial disclosures are mainly covered in the Sus-

tainability statement as part of the Review by the Board

of Directors. The TCFD index of this report helps navi-

gate to content relevant for the requirements of Califor-

nia Health and Safety Code § 38533 on climate related

financial risks.

In addition, Neste discloses selected indicators from

the SASB Oil & Gas Refining and Marketing and Biofuels

Standards where applicable. Neste follows the develop-

ment and adoption of relevant reporting frameworks,

such as the ISSB Standards. By applying the ESRS,

TCFD reporting principles, and SASB Standards where

relevant, Neste expects to be well aligned with the ISSB

Standards.

Neste does not disclose a separate GRI index in 2025,

but refers to the reporting principles of the GRI Stan-

dards for relevant metrics. Sector-specific disclosures

are integrated in the Sustainability data package, where

relevant.

Our financial reporting complies with the international

IFRS accounting standards, and governance-related

reporting complies with the legislation on listed compa-

nies and the Finnish Corporate Governance Code.

Changes to information disclosed in previous years

(incl. restatements) or calculation principles are commu-

nicated in connection with the relevant indicators. The

definitions and calculation principles of reported indica-

tors are presented under “Principles for calculating the

key indicators”.

Third-party assurance

An independent third party, KPMG Oy Ab, has con-

ducted a limited assurance on the numerical sustain-

ability indicators in the Value creation table and Perfor-

mance in figures pages of the report.

Scope

This report covers the period from 1 January 2025 to 31

December 2025. The Annual Report is published annu-

ally. The scope of consolidation of sustainability report-

ing is the same as for the financial statements, except for

joint operations, joint ventures and associates outside of

Neste’s operational control, which are excluded. Enti-

ties which are subsidiaries or controlled similarly to sub-

sidiaries are fully included in the reporting scope. Joint

operations, joint ventures and associates, including Mar-

tinez Renewables, are treated as part of Neste’s value

chain and excluded from information related to Neste’s

own operations, as they are not in Neste’s operational

control. The reporting of safety information also cov-

ers service providers and contractors. Individual excep-

tions are communicated in connection with the relevant

indicators.

The Annual review and Sustainability data package are

available in English as a pdf at neste.com. The Review

by the Board of Directors, including the Sustainability

statement, the Corporate Governance Statement and

the Financial statements are available also in Finnish.

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Information on Neste’s tax footprint

on our website

Includes natural gas and industrial gas suppliers.

Includes goods and services that are not included in the sourcing and delivery of crude oil and other fossil raw materials or renewable and recycled raw materials.

Annual average number of employees.

Leaving rate affected by organizational change.

Full-time equivalent (FTE).

Total Recordable Injury Frequency

A day without a TRI accident, process safety events, fire or ignition,

breach of environmental permit, or traffic accident.

Palm fatty acid distillate

The volumes are presented in millions of tons. The share of the volumes are calculated from exact figures, and the rounded figures presented

may therefore deviate from the share of volumes disclosed.

10)

Compared to fossil fuel. Calculation principles can be found on page 48.

Indirect Direct

Indirect

Impact

Direct

Economic/Governance

Environment

• Number of suppliers in

» Renewable Products 527

» Oil Products 82

» Indirect procurement 6,039

• Coverage of Neste Supplier Code of

Conduct or equivalent:

» renewable and recycled raw material

volumes 100%

» crude oil and fossil raw material

volumes 93%

» overall indirect contracted spend 92%

• Total equity EUR 7,314M

• R&D expenditure EUR 63M

• Interest-bearing net debt EUR 3,817M

• Material and services EUR 16,372M

• Other expenses EUR 753M

• Procurement spend EUR 3,464M

• Cash-out investments EUR 939M

• Renewable raw material input 5.0Mt

• Fossil raw material input 13.1Mt

• Operations in 17 countries

• Production in 3 countries

• Market cap EUR 14,930M (at the end of 2025)

• Comparable EBITDA EUR 1,683M

• Comparable ROACE 5.3%

• Dividends EUR 154M from 2024

• Revenue EUR 19,016M

• Economic value retained EUR 970M

• Renewable diesel sales 3.175Mt

• SAF sales 0.867Mt

• Sales from in-house production, Oil Products 11.9Mt

• 921 service stations in 4 countries

• Neste’s oil and renewable products sold in the

wholesale market in 45 countries to approx.

307 customers

• Taxes borne and collected

by Neste EUR 3,269M

• New business opportunities

• M&S B2B Customer satisfaction:

Net Promoter Score (NPS) 51%

• Providing employment and supporting

existing jobs in the company’s value chains

• Increasing the availability of renewable and

circular solutions to enable customers to choose

lower-GHG-emission alternatives over fossil solutions

• Supporting the development of customers’

brand value and brand awareness

• Influencing operating environment and regulation

• 100% of our PFAD

supply chain is

mapped to palm oil mills and 82% to

plantations

• Scope 3 emissions from upstream

value chain 5.9MtCO

• Scope 2 emissions from purchased

energy 0.4MtCO

• Waste and residues

accounted for 95% (4.6Mt)

of Neste's total renewable

raw material inputs globally

• Water withdrawal 9,298,000m

• Energy saving measures 39.7GWh

• Energy consumption 13.6TWh,

of which 15% renewable energy

• Waste generated 194,000t of which 37% was

recycled or recovered

• Water discharge 8,418,000m

• Scope 1, direct CO

emissions 2.7MtCO

• Scope 3 emissions from downstream

value chain 45.7MtCO

• 14.2Mt of GHG emissions reduced with

Neste’s renewable products

10)

• Neste’s renewable and circular solutions

helped to replace 4.5Mt of non-renewable

resources in transport, aviation and

polymers and chemicals sectors

• Neste's renewable and circular solutions contribute

to mitigating climate change by being substitutes

for fossil products

• Diversifying raw material portfolio, e.g. exploring

novel vegetable oils produced with regenerative

agricultural practices

• Contributing to circular economy by developing

chemical recycling technologies

• 100% of Neste’s new

renewable raw material

suppliers, 83% of new

recycled raw material

suppliers and 100% of

new fossil raw material

suppliers evaluated using

sustainability criteria,

including on social topics

• Highly skilled employees

» Number of employees 5,281

» Hiring rate of employees 12.2%

» Leaving rate of employees 22.8%

» Recorded average training hours

per FTE 17.7

• Wages and salaries EUR 478M

• Other personnel expenses EUR 106M

including training costs EUR 3M

• 70.1% of employees are men and 29.9% women

• 3/8 members of the Board of Directors

and 2/6 members of the

Neste Leadership Team are women

• Employee safety TRIF 2.4

• Safe days 296

• Contractor TRIF 1.8

• Donations and sponsorships EUR 0.62M

• Number of Neste employees who

participated in volunteer work 298

• Supporting social development and the services

societies provide in countries of operation

• Enhancing competitiveness of employees

in the labor market

• Wellbeing and safety of employees and suppliers

• Securing human and labor rights

• Improving gender equality

Social

Neste is the world's

leading producer of

renewable diesel and

sustainable aviation fuel

(SAF), with production

on three continents.

The company’s renewables

production capacity is

expected to reach

6.8 million tons

annually in 2027.

Neste also produces

high-quality oil products

at its Porvoo refinery in

Finland. The company has

a network of nearly 1,000

fuel stations with expanding

service offering, such as

EV charging, in Finland

and in the Baltics.

Neste’s strategy

focuses on growth in

renewable fuels, which

help Neste's customers

reduce their greenhouse

gas emissions.

Input

Output

Outcome

Value creation

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Emissions into the air, tons

Direct CO

emissions (scope 1)

2,669,000 2,290,000 2,291,000

Percentage of Scope 1 GHG emissions from regulated

emission trading schemes (%) 94 94 90

Indirect GHG emissions (scope 2, location-based)

466,000 470,000 503,000

Indirect GHG emissions (scope 2, market-based)

412,000 393,000 463,000

Other indirect GHG emissions (scope 3)

51,590,000 56,490,000 58,000,000

Purchased goods and services 5,070,000 7,390,000 5,800,000

Fuel- and energy-related activities 90,000 100,000 <50,000

Upstream transportation and distribution

670,000 820,000 2,000,000

Waste generated in operations 30,000

310,000 400,000

Downstream transportation and distribution

590,000 720,000 700,000

Use of sold products 42,240,000 45,070,000 47,700,000

End-of-life treatment of sold products 1,110,000 900,000 1,100,000

Investments 1,790,000 1,180,000 -

VOC 3,270 3,540 2,380

NOX 1,430 1,170 1,210

1,650 1,570 2,470

Particulate matter 83 67 72

Performance in figures: Climate and the environment

Related priority SDGs

Climate targets and indicators 2025 2024 2023

Carbon handprint: Help Neste’s customers to reduce their greenhouse gas

emissions by at least 20 million tons annually by 2030 with renewable and

circular solutions

Reduced GHG emissions by Neste customers with Neste’s renewable

products during the reporting year (compared to fossil fuel), MtCO

14.2 12.1 11.0

Scope 1 & 2: Reduce GHG emissions in Neste’s own operations by 24% by

2030, 50% by 2035, and 80% by 2040 compared to 2019 baseline

Absolute scope 1 & 2 GHG emissions, MtCO

3.1 2.7 2.8

Scope 3: Reduce the use-phase emission intensity of sold products by 50%

by 2040 compared to 2020 levels

Use-phase emission intensity, gCO

e/MJ

54 54 58

2025 2024 2023

Calculation principles can be found on page 48. Includes Neste-sold volumes from the joint operation Martinez Renewables.

Scope of reporting aligned with the European Sustainability Reporting Standards (ESRS). 2025 and 2024 data is not comparable with 2023 disclosures.

Use-phase emission intensity is calculated by dividing the GHG emissions from the use of fuel products sold by Neste (part of scope 3) with the total amount of sold energy (gCO

e/MJ)

Part of upstream transportation emissions are accounted in other categories.

Use of primary data and change in methodology in 2025

Part of downstream transportation emissions are accounted in other categories.

Calculation principles can be found on page 48

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Energy use

Total energy consumption, MWh

13,564,000 12,272,000 12,600,000

Share of fossil sources in total energy

consumption, % 80 80 -

Share of consumption from nuclear sources

in total energy consumption, % 5 0 -

Share of renewable sources in total energy consumption, % 15 20 16

Total energy consumption per net revenue, MWh/MEUR

713 595 610

Energy efficiency, energy saving measures, GWh

39.7 43.8 27.2

Water, m

Total water withdrawal by source 9,298,000 8,921,000

9,562,000

Process water & other water use

Surface water 7,866,000 7,489,000 8,485,000

Third-party water (municipal) 1,432,000 1,431,000

1,077,000

Total water discharge by destination 8,418,000 9,109,000

8,720,000

Surface water 152,000 147,000 148,000

Seawater 7,454,000 8,162,000

8,024,000

Third-party water (municipal) 813,000 800,000 548,000

Effluents to water, tons

Effluents of oil to water 0.5 1.7

1.8

Chemical oxygen demand 197 190 235

Effluents of nitrogen to water 14 15 18

Effluents of phosphorus to water 1.7 1.6 1.2

Waste generated, tons

Non-hazardous 53,500 52,600 71,200

Preparation for reuse 4,400 1,500 1,400

Recycling 24,700 23,200 170

Other recovery operations 19,900 22,800 63,800

Incineration (with energy recovery) 1,500 2,200 2,200

Incineration (without energy recovery) 100 200 320

Landfill 900 2,200 3,300

Other disposal operations 1,900 400 40

Hazardous 140,300 199,900 230,000

Preparation for reuse 1,000 1,600 1,400

Recycling 18,900 11,200 5,800

Other recovery operations 2,800 2,800 14,200

Incineration (with energy recovery) 110,000 92,200 87,800

Incineration (without energy recovery) 2,600 7,300 5,200

Landfill 500 1,000 4,700

Other disposal operations 4,500 84,000 111,000

Environmental safety

Emission limits and overruns:

Deviations from environmental permits

Permit

violations: 9,

of which

1 in OP,

8 in RP and

0 in M&S

Permit

violations:

15,

of which

3 in OP,

11 in RP and

1 in M&S

Permit

violations:

13,

of which

6 in OP,

6 in RP and

1 in M&S

Number and magnitude of significant releases 2pc /

11t + 12m

6pc /

1,674m

1pc /

60m

Availability of pollution prevention technology

on average at refineries, terminals and retail sites, %

93 92 91

Performance in figures: Climate and the environment

2025 2024 20232025 2024 2023

Scope of reporting aligned with the European Sustainability Reporting Standards (ESRS). 2025 and 2024 data is not comparable with 2023 disclosures.

Figure revised

Calculation principles can be found on page 48

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Performance in figures: Supply chain and raw materials

Supply chain and raw materials 2025 2024 2023

Business partners who have committed to Neste’s minimum sustainability

requirements covered in the Supplier Code of Conduct or equivalent

100% of the renewable and

recycled raw material

volumes,

93% of the crude oil and

fossil raw materials volumes

and

92% of overall indirect

contracted spend

100% of the renewable and

recycled raw material

volumes,

81% of the crude oil and

fossil raw materials volumes

and

91% of overall indirect

contracted spend

100% of the renewable raw

material volumes,

86% of the crude oil and

fossil raw materials volumes

and

91% of overall indirect

contracted spend

Renewable raw material inputs globally, Mt

5.0 4.3 4.3

Share and total volume of waste and residue raw material inputs globally

95%

4.6Mt

90%

3.9Mt

92%

4.0Mt

Amount of non-renewable resource use that Neste’s renewable

and circular solutions helped replace in transport, aviation

and polymers and chemicals sectors, Mt

4.5 4.0 3.0

Number of all renewable raw material suppliers 527 624 614

Number of renewable raw material suppliers'

sustainability assessments and their outcome

Total: 300

New approved

suppliers: 135

All approved: 235

Pending: 59

Rejected: 6

Total: 222

New approved

suppliers: 104

All approved: 170

Pending: 48

Rejected: 4

Total: 388

New approved

suppliers: 249

All approved: 279

Pending: 102

Rejected: 7

New renewable raw material suppliers evaluated

using sustainability criteria, %

100 - -

Number of new fossil raw material suppliers

sustainability assessments

10 36 46

Number of sustainability audits conducted 36 141 154

Crude oil and fossil raw material sourcing, total and by country, Mt 13.1 11.3 11.7

Norway 9.1 7.2 8.3

US 1.2 0.8 1.1

Netherlands 0.9 0.5 0.3

Other countries 2.0 2.9 2.0

Renewable

raw material inputs,

million tons

Waste and residues

Vegetable oils

2023 2024 2025

4.3 4.3

Crude oil and fossil raw

material sourcing, total

and by country, million tons

Norway

USA

United Kingdom

Other countries

2023 2024 2025

11.7

11.3

After the assessment of the supplier’s or business partner’s own policies and principles, Neste may agree that compliance with their own code of conduct is sufficient for the purpose of complying with the Neste Supplier Code of Conduct.

The volumes are presented in millions of tons. The share of the volumes are calculated from exact figures and consequently the rounded figures presented may deviate from the share of volumes disclosed. Includes Neste’s share of raw material inputs for Martinez Renewables joint operation.

Calculation principles can be found on page 48.

Figures include existing suppliers, which undergo a sustainability assessment process every 3–5 years. Supplier data includes only main contractual parties, excluding second-tier suppliers.

Calculation principles can be found on page 48.

Related priority SDGs

5.0

13.1

The Netherlands

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Performance in figures: Safety

Related priority SDGs

Total recordable injury frequency (TRIF) total

2.1 2.2 2.3

TRIF own employees 2.4 2.8 1.7

TRIF contractors 1.8 1.7 3.2

Lost workday injury frequency (LWIF) total 1.4 1.4 1.8

LWIF own employees 1.4 1.7 1.1

LWIF contractors 1.3 1.2 2.8

Process safety event rate (PSER) total 0.9 1.3 1.2

PSER 1 0.4 0.5 0.4

PSER 2 0.5 0.9 0.9

Safe days

296 278 278

Fatalities 0 0 0

Safety 2025 2024

2023

Process safety

event rate

(PSER)

PSER 1

PSER 2

2023 2024 2025

1.2

1.3

Total recordable

injury frequency

(TRIF)

TRIF own employees

TRIF contractors

Total

2023 2024 2025

1.7

3.2

2.8

1.7

2.2

2.3

Total Recordable Incident Frequency, number of cases per million hours worked. Includes both Neste’s and contractors’ personnel. Excludes green-field expansion projects where Neste is not responsible for the construction site.

A day without any personal safety accident (TRI), process safety incident (PSE 1 and PSE 2), fires, leaks, environmental permit violations, traffic accidents or marine safety incidents.

2.4

1.8

2.1

0.9

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Performance in figures: People

Related priority SDGs

Our people 2025 (2024)

Employee engagement Employee engagement favorability 52% (40%)

Response rate to employee engagement survey, % 84 (77)

Hiring rate of employees, % 12.2 (11.3)

Leaving rate of employees, %

22.8 (21.2)

Recorded average training hours per FTE 17.7 (18.5)

Multi-country teams, % 20 (23)

Collective bargaining agreement coverage, %

71 (65)

Women to men pay ratio, %

Personnel by segment

as of 31 December 2025, %

󰃪

Renewable Products 36.7% (36.5%)

Oil Products 25.8% (24.0%)

Marketing & Services 8.9% (8.0%)

Functions 28.6% (31.6%)

Personnel by country

as of 31 December 2025, %



Finland 59.7% (61.7%)

The US 15.6% (15.6%)

The Netherlands 11.2% (9.2%)

Singapore 8.2% (8.1%)

Other countries 5.2% (5.4%)

Average number

of personnel

(5,876)

5,281

Personnel by personnel group

as of 31 December 2025, %



White-collar

and top

management

69.2% (72.0%)

Blue-collar

30.8% (28.0%)

Average training hours per employee

as of 31 December 2025, %

Women Men

All employees Blue-collar White-collar and

top management

13.7

19.3

32.9

26.7

12.5

14.2

Employment length of employees

as of 31 December 2025, %

Less than

1 year

8.5

8.0

1–4

years

37.1

40.0

5–9

years

21.4

21.1

10–19

years

19.6

19.1

20–

years

13.4

11.8

2025 2024

Employee breakdown by age

as of 31 December 2025, %

2025 2024

< 30

years

10.5

9.5

30–50

years

63.6

64.5

> 50

years

26.9

25.0

Comparative figure revised due to new methodology for calculating engagement score.

Comparative figure revised to include all employees.

Calculation principles can be found on page 48.

The number in the Financial statements is reported as an average and does not include temporary hourly workers.

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Information on employees and governance bodies by gender ratio as of 31 December 2025, %

Employee distribution and turnover as of 31 December 2025, %

Women Men

2025 2024 2025 2024

All employees 29.9 31.3 70.1 68.7

Blue-collar 5.8 5.7 94.2 94.3

White-collar and top management 40.6 41.2 59.4 58.8

Managers 29.7 29.3 70.3 70.7

Top management 28.3 33.3 71.7 66.6

Neste Leadership Team 33.3 11.1 66.7 88.9

Board of Directors 37.5 33.3 62.5 66.7

Total Finland USA Singapore The Netherlands Other countries

Women Men Women Men Women Men Women Men Women Men Women Men

All employees 29.9 70.1 33.1 66.9 21.8 78.2 28.6 71.4 14.6 85.4 53.3 46.7

under 30 3.3 6.3 3.9 6.5 1.9 6.1 1.7 5.9 1.4 6.8 5.8 3.9

30–50 19.1 44.4 20.2 42.4 14.1 43.5 22.7 54.7 10.1 53.9 36.2 34.6

over 50 7.5 19.4 8.9 18.2 5.7 28.7 4.2 10.8 3.1 24.7 11.3 8.2

Hiring rate of permanent employees, all 10.1 13.1 10.4 10.9 10.1 16.4 5.2 11.7 7.4 20.5 13.1 5.8

Proportion of permanent hires 24.6 75.4 31.9 68.1 14.7 85.3 15.0 85.0 5.8 94.2 72.0 28.0

under 30 13.5 27.8 21.5 38.2 4.3 19.8 2.5 17.5 1.0 11.7 24.0 16.0

30–50 9.0 35.1 8.2 22.1 7.8 44.8 10.0 65.0 3.9 58.3 44.0 12.0

over 50 2.2 12.5 2.2 7.9 2.6 20.7 2.5 2.5 1.0 24.3 4.0 0.0

Leaving rate of permanent employees, all 26.8 21.1 28.3 21.6 27.4 16.4 23.3 19.3 19.8 9.1 21.9 33.3

Proportion of permanent leavers 35.1 64.9 39.3 60.7 21.8 78.2 32.5 67.5 27.1 72.9 42.9 57.1

under 30 7.1 13.5 9.8 17.0 1.9 10.9 1.2 2.4 3.4 6.8 5.7 5.7

30–50 20.4 37.3 21.1 30.8 15.2 49.3 26.5 53.0 18.6 40.7 24.3 45.7

over 50 7.6 14.0 8.4 13.0 4.7 18.0 4.8 12.0 5.1 25.4 12.9 5.7

Permanent employees 27.7 61.1 31.5 64.2 14.8 32.2 28.6 70.9 14.4 84.9 51.0 45.5

Temporary employees 0.7 0.9 1.0 1.2 0.1 0.0 0.0 0.5 0.2 0.5 1.9 0.8

Non-guaranteed hours employees 1.5 8.1 0.6 1.5 6.9 46.0 0.0 0.0 0.0 0.0 0.4 0.4

Full-time employees 28.2 68.1 30.8 64.3 21.8 78.2 28.6 71.4 11.7 81.8 52.1 46.3

Part-time employees 1.7 2.0 2.2 2.7 0.0 0.0 0.0 0.0 2.9 3.6 1.2 0.4

Performance in figures: People

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Performance in figures: Human rights

Related priority SDGs

Human rights 2025 (2024)

Human Rights Due

Diligence (HRDD)

carried

out for key business

areas/functions.

Four major assessments/initiatives undertaken in 2025:

1) Corporate-wide assessment to review Neste’s salient human rights issues and mitigation actions.

2) Collaboration with third-party experts to conduct three on-the-ground human rights risk assessments,

focused on salient issues in Neste’s high risk supply chains.

3) Human rights due diligence maturity assessments completed for Neste’s offices, owned pre-treatment

facilities and ground transportation.

4) Living wage gap assessments completed for Neste’s own employees globally.

Employee training on

modern slavery and

human rights policies

and procedures

4,735 (478) of Neste employees, including

100% (67%) of new hires

received training on forced labor and Neste’s human rights policies and

processes, through the company’s Code of Conduct e-learning during 2025.

100% (100%) of Neste Group security personnel received formal training on Neste human rights policies

through Neste’s Code of Conduct e-learning.

HRDD refers to any activities carried out to identify, assess, address, prevent or mitigate forced labor risks, such as developing internal processes, carrying out impact assessments, risk mapping, gap assessments, etc.

Excluding Mahoney Environmental Solutions

Rotterdam Capacity Growth Project included for the first time in 2025

Complaints received through site-level We Care channels

for third-party workers at Neste refineries as of 31 December 2025, %

󰑟

In 2025

, 48 (78) complaints were received via site-level We Care channels for third-party workers at Neste refineries in Porvoo,

Rotterdam and Singapore. Neste takes all complaints seriously and investigates all cases. All channels can be used anonymously

and complaints are handled confidentially and without fear of retaliation.

27% Inappropriate behavior

19% Safety

15% Wages and benefits

13% Logistics and facilities

10% Security

4% WASH (Water, Sanitation, and Hygiene)

4% Employment contracts

2% Privacy

2% Health and wellbeing

2% Working hours, leave and rest

2% Terms of employment

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Rightsholders Channels Initial assessment - Delegation - Investigation Resolution and decision - Documentation and reporting

Individuals or social

groups who may be

impacted by Neste’s

business activities

Complaints can be raised

anonymously, and are

handled confidentially and

without fear of retaliation

Case investigation follows Neste’s internal standards and guidelines;

Investigation approach and lead are decided depending on the nature

of the case; Communication with the person reporting the allegation

or concern is done in accordance with applicable laws

Case resolution and decision (incl. agreed actions or non-cases) are documented

following applicable practices; Communication with the person reporting the alle-

gation or concern is done in accordance with applicable laws

Neste

employees

Line manager,

HR representative,

Compliance,

Internal Audit

Ethics Online

Site-level We

Care complaints

channels

Local community

feedback &

complaints

channels

All external

stakeholders

Contracted

workers on

Neste sites

Communities

Initial assessment

and channelling of

cases to the correct

investigation group/

committee

Investigation Group

Investigates alleged breaches of Neste’s Code of Conduct, other Neste policies

or principles, applicable legislation or regulation, following Neste’s Misconduct

Investigation Standard

Report to Ethics &

Compliance Committee

Report to

Board Audit

Committee

Human Resources

Cases of neglect or breach of employee responsibilities or other similar employee

breaches are managed in accordance with Neste’s Discipline Standard

Sustainability Investigations Group (SIG)

Raw material supply chain sustainability grievances (such as breaches of

Supplier Code of Conduct). Cases can also be raised via Neste’s internal

sustainability processes

Local We Care Complaints Committee

Contracted/third-party worker cases

(possible breaches of Neste’s Supplier Code of Conduct)

Local Community Complaints Committee / Neste Liaison(s)

Cases or complaints raised by local communities are handled

by local Neste committees or liaisons.

incl. employees of Neste wholly-owned subsidiaries

incl. individuals, business partners, NGOs, contracted workers, communities

Neste’s grievance ecosystem is implemented in accordance with the UNGP Effectiveness Criteria and EU Corporate Sustainability Due Diligence Directive

Neste’s grievance ecosystem

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TCFD Recommendations Disclosure Location in the report

Governance

Disclose the organization’s

governance around climate-

related risks and opportunities.

a) Describe the board’s oversight of climate related risks and opportunities.

56, 60, 87–88

b) Describe management’s role in assessing and managing climate related risks and opportunities. 60, 62, 88

Strategy

Disclose the actual and potential

impacts of climate-related risks

and opportunities on the

organization’s businesses,

strategy, and financial planning

where such information is

material.

a) Describe the climate-related risks and opportunities the organization has identified over the short, medium, and long term.

69–71, 91, 103–105

b) Describe the impact of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning. 90, 91, 105, 157

c) Describe the resilience of the organization’s strategy, taking into consideration different climate related scenarios, including a 2°C or lower scenario. 90, 105

Risk management

Disclose how the organization

identifies, assesses, and manages

climate-related risks.

a) Describe the organization’s processes for identifying and assessing climate-related risks.

92–93, 104

b) Describe the organization’s processes for managing climate-related risks. 67–68, 106–109

c) Describe how processes for identifying, assessing, and managing climate-related risks are integrated into the organization’s overall risk management. 88, 93, 104

Metrics and targets

Disclose the metrics and targets

used to assess and manage

relevant climate-related risks and

opportunities where such

information is material.

a) Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its strategy and risk management process.

36–37, 106

b) Disclose Scope 1, Scope 2, and, if appropriate, Scope 3 greenhouse gas (GHG) emissions, and the related risks. 36, 111

c) Describe the targets used by the organization to manage climate related risks and opportunities and performance against targets. 16, 36, 111–112

TCFD Recommendations Disclosure

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SASB Content Index

Greenhouse Gas Emissions

EM-RM-110a.1 Gross global Scope 1 emissions, percentage covered under emissions-limiting regulations Metric tons (t) CO

-e,

Percentage (%)

111-112

EM-RM-110a.2 Discussion of long-term and short-term strategy or plan to manage Scope 1 emissions,

emissions reduction targets, and an analysis of performance against those targets

n/a

16–19, 106–107

Air Quality

EM-RM-120a.1 Air emissions of the following pollutants: (1) NOx (excluding N

O), (2) SOx, (3) particulate

matter (PM10), (4) H

S, and (5) volatile organic compounds (VOCs)

Metric tons (t)

36, 48

EM-RM-120a.2 Number of refineries in or near areas of dense population Number

Water management

EM-RM-140a.1 (1) Total water withdrawn, (2) total water consumed; percentage of each in regions with

High or Extremely High Baseline Water Stress

Thousand cubic meters

(m³), Percentage (%)

37, 48 Neste’s water withdrawal from areas with water stress is not significant and seen as not

material. (R)

EM-RM-140a.2 Number of incidents of non-compliance associated with water quality permits, standards,

and regulations

Number Zero incidents of non-compliance associated with water quality permits, standards and

regulations. (R)

Hazardous Materials Management

EM-RM-150a.1 (1) Amount of hazardous waste generated, (2) percentage recycled Metric tons (t),

Percentage (%)

37, 48 140,300 metric tons (t), recovered or recycled 16% (R)

Workforce Health and safety

EM-RM-320a.1 (1) Total recordable incident rate (TRIR), (2) fatality rate, and (3) near miss frequency rate

(NMFR) for (a) direct employees and (b) contract employees

Rate

39, 48–49 Neste reports the most relevant OHS performance figures in its own operations

(TRIF, LWIF, PSER, Safe days, Fatalities). (O/R)

EM-RM-320a.2 Discussion of management systems used to integrate a culture of safety n/a

30-31, 123–126

Management of the Legal & Regulatory Environment

EM-RM-530a.1 Discussion of corporate positions related to government regulations and/or policy

proposals that address environmental and social factors affecting the industry

n/a

69, 71, 91–92

Neste disclosure of SASB Sustainability Accounting Standards for Oil and Gas Refining and Marketing and Biofuels

Code Accounting metric Unit of measure

Location in the

report or our

webpage Additional SASB reporting information Reporting (R) / Omission (O)

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Critical Incident Risk Management

EM-RM-540a.1 Process Safety Event (PSE) rates for Loss of Primary Containment (LOPC) of greater

consequence (Tier 1) and lesser consequence (Tier 2)

Rate

39, 48–49 Neste reports PSER1 and PSER2 rates as described in Principles for calculating the key

indicators. (R)

EM-RM-540a.2 Challenges to Safety Systems indicator rate (Tier 3) Rate Tier 3 Challenges to Safety Systems are followed in Neste’s PSE3. The rate is not

disclosed. (O)

EM-RM-540a.3 Discussion of measurement of Operating Discipline and Management System

Performance through Tier 4 Indicators

n/a

31, 124–126 Process safety management system weaknesses that may cause PSE1/2 events in the

future, followed as part of PSE4 indicator at Neste. (R)

Code Activity metrics Unit of measure

Location in the

report or our

webpage Additional SASB reporting information

EM-RM-000.A Refining throughput of crude oil and other feedstocks Barrels of oil equivalent

(BOE)

Oil Products 88.9 MMBOE (R)

EM-RM-000.B Refining operating capacity Million barrels per

calendar day (MBPD)

14 Oil Products 0.24 MBPD (R)

RR-BI-000.A Biofuel production capacity Millions of litres (ML)

14, 81 Volumes disclosed in tons. (R)

RR-BI-000.B Production of:

(1) renewable fuel, (2) advanced biofuel, (3) biodiesel, and (4) cellulosic biofuel

Millions of litres (ML)

81 Volumes disclosed in tons. (R)

RR-BI-000.C Amount of feedstock consumed in production Metric tonnes (t)

Code Accounting metric Unit of measure

Location in the

report or our

webpage Additional SASB reporting information Reporting (R) / Omission (O)

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PART C: Management of Salient Human Rights Issues

C1 Specific Policies

C1 Neste Human Rights Principle, Code of Conduct, Supplier Code of Conduct,

Sustainability Policy, Sustainability Principle, Responsible Sourcing Principle,

People Policy, Equality and Non-Discrimination Principle, Misconduct

Investigation Standard, Neste Life Saving Rules, Operations Excellence Policy,

Operational Safety Principle, Occupational Health Principle, Reproductive Health

Standard, Privacy Principle, Cyber Security Principle

p. 7–8

C1.1

p. 22–24, 27, 31, 42, 126, 131, 134–135 p. 20–21

C2 Stakeholder Engagement

p. 22–23, 94–95, 124, 131, Neste Human Rights Principle (p. 11–12) p. 22–24

C2.1

p. 22–23, 94–95, 124, 131, Neste Human Rights Principle (p. 11–12) p. 22–24

C2.2

p. 22–23, 94–95, 124, 131 p. 22–24

C2.3

p. 22–23, 94–95, 124, 131 p. 10–12, 22–44

C3 Assessing Impacts

p. 22–24, 25–27, 30–31, 38–42, 92–93, 123–133 p. 8, 10–18, 24

C3.1

p. 23–24, 26–27, 31, 38–42 p. 16–18

C3.2

p. 23–24, 26, 39, 42, Renewable Raw Material Grievance Log p. 11–12, 16

C4 Integrating Findings and Taking Action

p. 22–24, 25–27, 30–31, 123–133 p. 10–18

C4.1

Cross-functional collaboration and committees e.g. 22–24, 87–88, 131–132

Neste Human Rights Principle (p. 9–10)

p. 7–8, 11–12

C4.2

Neste Human Rights Principle p. 11–12,19

C4.3

p. 22–27, 30–31, 38–42 p. 7–24

C5 Tracking Performance

p. 22–27, 30–31, 38–42, 123–133 p. 16–18, 24

C5.1

p. 22–27, 30–31, 38–42 p. 16–18, 24

C6 Remediation

p. 22–23, 124–125, 131–133, 138, Neste Human Rights Principle (p. 7 & 6.5),

Grievances & Concerns webpage.

p. 9, 19, 24

C6.1

p. 22–23, 124–125, 131–133, 138, Neste Human Rights Principle (p. 7 & 6.5) p. 9, 19, 24

C6.2

p. 22–23, 42, 124–125, 131–133, 138, Renewable Raw Material Grievance Log p. 24

C6.3

p. 22–23, 42, 124–125, 131–133, 138, Renewable Raw Material Grievance Log,

Neste Human Rights Principle (p. 7)

p. 9, 19, 24

C6.4

p. 42, Renewable Raw Material Grievance Log N/A

C6.5

p. 42, Renewable Raw Material Grievance Log p. 18

Page numbers provided for 2024 Modern Slavery Statement, as the 2025 statement will only be published in Q2, 2026.

PART A: Governance of Respect for Human Rights

A1 Policy Commitment

p. 22, 124; Neste Human Rights Principle. p. 7–8

A1.1

p. 22, 124; Neste Human Rights Principle. Neste's Human Rights Principle was

updated in 2022, incorporating extensive consultation with topic experts, NGOs,

government representatives and trade union experts. In 2025, the Principle underwent

minor updates to reflect changes in Neste's governance structure for human rights.

p. 7–8

A1.2

All of Neste's rights-holders as defined on p. 14 of the Neste Human Rights Principle

A1.3

p. 22–24, 26–27, 42. Neste Human Rights Principle is published on our company

website and internally accessible on the Neste intranet. It is communicated to employees

via e-learnings, and to business partners via Neste's Supplier Code of Conduct

Guidance and capacity building workshops.

p. 7, 20–21

A2 Embedding Respect for Human Rights

p. 15, 22–24, NBNHR Joint Statement, Neste Human Rights Principle (p. 9–11) p. 3, 7–8, 22–23

A2.1

Described under section 6.1 of the Neste Human Rights Principle (p. 9–10) p. 7–8

A2.2

p. 60, 87–88; Neste Human Rights Principle (p. 9–11) p. 25

A2.3

p. 24, 42, 63, 131–132. Neste Code of Conduct (p. 7),

Neste Human Rights Principle (p. 11–12)

p. 7–8, 20–21

A2.4

p. 24, 26–27, 94, 137–138, Neste Supplier Code of Conduct Guidance (p. 13–21) p. 7, 13–19,

20–21

A2.5

p. 22–24, 26–27, 31, 42 p. 7–9, 10–12,

16, 20–22, 24

PART B: Defining the Focus of Reporting

B1 Statement of salient issues

p. 22; Neste Human Rights Principle (p. 2–9) p. 8

B2 Determination of salient issues

p. 22 p. 8

B3 Geographical focus

p. 130 p. 10–12

B4 Additional severe impacts N/A N/A

Section of the

Framework Location in annual report or website

Page location in 2024

Modern Slavery Statement

UN Guiding Principles Reporting Framework Index

The UN Guiding Principles Reporting Framework provides comprehensive guidance for companies to report

on human rights issues in line with their responsibility to respect human rights. For full details on the framework,

please visit www.ungpreporting.org

UN Guiding Principles Reporting Framework Index

Section of the

Framework Location in annual report or website

Page location in 2024

Modern Slavery Statement

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CEO’s review Strategy Our businesses Sustainability Sustainability data package

Principles for calculating the key indicators

Environment

Energy: Energy consumption and production data is col-

lected either from Neste’s own measurement devices or

via energy invoices. Some minor consumption sources

have been estimated. The share of fossil energy use cov-

ers consumption from crude oil and petroleum products

and natural gas and purchased or acquired electricity,

heat, steam and cooling from fossil sources. The share

of renewable energy use covers consumption of renew-

able fuels, purchased or acquired electricity, heat, steam

and cooling from renewable sources, and self-generated

non-fuel renewable energy.

Energy efficiency: Neste follows the Energy Effi-

ciency Agreement for Industries which is an agreement

between the Government and industrial associations on

the efficient use of energy, providing also guiding meth-

odology for energy efficiency calculations. Reporting is

based on the energy savings achieved by comparing

energy consumption to a selected baseline value.

Greenhouse gas emissions (GHG): Neste follows

GHG Protocol Corporate Standard and its supple-

ment Corporate Value Chain (Scope 3) Accounting and

Reporting Standard. The reporting includes emissions

of the GHGs covered by the GHG Protocol. Emissions

have been converted into carbon dioxide equivalents.

Carbon handprint: Carbon handprint describes the

difference of carbon footprint of a product or service

and a baseline product or service. Neste’s customer

GHG emissions reduction is calculated by aggregating

the customer’s GHG emission reduction for each batch

of renewable products delivered to Neste’s customers.

The GHG emission related to each batch is compared

with the GHG emission that the same quantity of a fossil

Principles for calculating the key numerical indicators presented in the Value creation and Performance in figures sections of the report.

The figures in the Neste Annual report may be subject to rounding, which may cause some differences in aggregate totals calculated from exact figures.

fuel reference (baseline) would emit. Emission factors for

the fossil references are dependent on the market where

the product was sold and its regulation.

More detailed reporting principles for energy

and GHG emissions are available in

the Sustainability statement

VOC, NOx, SO2, PM: Emissions to air (excluding CO

)

are determined by direct measurements (on-line or peri-

odic) or with indirect monitoring methods. Both direct

measurements and indirect monitoring is based on the

site environmental permit or other local environmental

regulation. Relevant process parameters linked to pol-

lutant emission measurements are monitored too. All

emission monitoring is done in accordance with stan-

dards. If EN standards are not available, ISO, national or

other international standard/method is used to ensure

the provision of data of high quality. Neste considers the

reported emissions as significant.

Water withdrawal: The water withdrawal volumes

are based on the company’s own measurements or on

invoicing. Categorization of water withdrawal volumes is

based on relevant definitions in GRI 303-3 Water with-

drawal. Neste’s water risk assessment is based on WWF

Water Risk Filter. The latest risk assessment was con-

ducted in 2024.

Wastewater discharges: Neste reports the waste-

water volumes, Chemical Oxygen Demand (COD), as

well as the oil, nitrogen and phosphorus effluents. The

figures are calculated on the basis of refinery- or ter-

minal-specific data based on sampling or continuous

metering. The figures do not include the loading val-

ues of wastewater treated in municipal or other external

wastewater treatment plants. Neste operates accord-

ing to local discharge permits and requirements. Waste

waters are treated to meet the requirements before they

are safely discharged. Categorization of water discharge

volumes is based on relevant definitions in GRI 303-4

Water discharge.

Waste generated: The waste volumes are based

on the invoicing data. Categorization of waste volumes

is based on definitions in GRI 306-3 Waste generated,

306-4 Waste diverted from disposal and 306-5 Waste

directed to disposal.

Number and magnitude of significant releases:

Significant releases are defined as releases to the envi-

ronment over 10 m

and confirmed to have originated

from Neste’s own operations. Volumes are based on

reporting in accordance with the Neste management

system.

Availability of pollution prevention technology:

Average of environmental control and abatement tech-

nology availability on a monthly basis at refineries, retail

sites and Oil Products’ terminals.

Non-renewable resource use replacement: Cal-

culations include fossil resource usage over Neste’s

renewable and circular solutions production life cycles.

An energy-based comparison is made with relevant fossil

references in transport, aviation and polymers & chem-

ical sectors. The difference is expressed as the energy

content of crude oil.

Supply chain and raw materials

Supplier Code of Conduct coverage: The share of

renewable and recycled raw material volumes and crude

oil and fossil raw materials volumes covered by the

Neste Supplier Code of Conduct or equivalent is calcu-

lated based on the volumes delivered to Neste during

the reporting year. The share of the Neste Supplier Code

of Conduct coverage for indirect procurement is calcu-

lated based on spend.

Renewable raw material inputs: Includes all renew-

able refinery production. The share of waste and residue

raw materials, such as used cooking oil, various wastes

and residues from vegetable oils processing and animal

fat from food industry waste, is calculated based on raw

material input volumes.

PFAD supply traceability: Based on risk-calibrated

traceability to palm oil mills and plantation. Figures are

weighted by refinery volumes supplied to Neste.

Reporting principles for supplier screening

and sustainability audits are available in

the Sustainability statement

Safety

Total Recordable Injury Frequency (TRIF): Work-

place accidents are those accidents that occur at work

or while performing work duties. Total Recordable Inju-

ries (TRI) includes the recorded accidents at work which

result in absence from work, restriction to work, medi-

cal treatment or fatality. The formula for calculating acci-

dent frequency (number of accidents at work per mil-

lion working hours): total number of accidents at work

× 1,000,000 / hours worked. The calculation includes

in-house personnel, contractors and service providers

working at Neste’s sites.

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Safe day: A day without any personal safety accident

(TRI), process safety incident (PSE 1 and PSE 2), fires,

leaks, environmental permit violations, traffic accidents

or marine safety incidents.

Hours worked: The hours worked by the whole per-

sonnel and the service providers during the period under

review. When recording the working hours of service

providers, an estimate (e.g. accounting hours) can be

used if the accurate number of hours is not known.

LWIF (Lost Workday injury frequency): The num-

ber of accidents at work resulting in lost workdays, rel-

ative to a million hours worked. The calculation includes

in-house personnel, contractors and service providers

working at Neste’s sites.

Process safety event rate (PSER): Rate of process

safety events per million hours worked. It includes PSE1

and PSE 2 cases in Neste’s own operations. Process

safety performance is tracked in accordance with the

American Petroleum Institute (API) standards.

PSE1 (Process Safety Event): An unplanned and

uncontrolled release of any material, including nontoxic

and non-flammable materials from a process, resulting

in consequences according to the PSE1 classification.

PSE2 (Process Safety Event): An unplanned and

uncontrolled release of any material, including nontoxic

and non-flammable materials from a process, resulting

in consequences according to the PSE2 classification.

Fatalities: An workplace accident or an accident

during a work-related travel causing an injury resulting in

death within one year of the day of the accident.

More detailed reporting principles for safety are

available in the Sustainability statement

Personnel

Personnel metrics: Calculated as numbers of employ-

ees, and include, as a rule, all personnel with active con-

tracts of employment or employees on leave. Temporary

hourly paid employees are included. Unless otherwise

specified, the personnel numbers are reported as of

December 31.

Employee categories: Top management at Neste

includes members of the Neste Leadership Team, Busi-

ness Area or Function Leadership Teams and the Pres-

ident and CEO of Neste’s subsidiary Mahoney Envi-

ronmental Solutions. Managers category includes all

employees with subordinates, if not already in the Top

management category.

Leaving rate of employees: The number of employ-

ees leaving a contract of employment from Jan 1 to

Dec 31/the number of employees on Dec 31. Includes

employees who have resigned or left due to dismissal,

retirement, death, end of temporary contract or mutual

consent.

Hiring rate of employees: The number of employ-

ees entering a contract of employment from Jan 1 to

Dec 31/ the number of employees on Dec 31.

Average training hours per FTE: Neste calculates

average training hours per FTE based on the definitions

in GRI 404-1 Average hours of training per year per

employee.

Training costs: The training costs include exter-

nal training-related costs, such as the fees of external

trainers, and the participation fees for external training

events, but not, for example, the salaries of participants

or the company’s own trainers.

Women to men pay ratio: The pay ratio includes all

salaried employees at Neste, also part-time employees,

which are calculated with full-time equivalent salary. It is

presented as a raw pay gap, calculated by dividing the

mean basic pay of women with the mean basic pay of

men.

Employee engagement: Engagement favorability

percentage based on employee engagement surveys

conducted during the reporting year.

Multi-country teams: Percentage of teams at Neste

with employees from more than one nationality. Manag-

ers are considered in their own peer group teams.

Employees who participated in voluntary work:

Number of employees who have reported participation

in voluntary work during the reporting year.

More detailed reporting principles for personnel are

available in the Sustainability statement

Economic

Economic value retained: The difference between

economic value generated (revenue, other income, rev-

enues from financial investments) and distributed (oper-

ating costs, employee wages and benefits, payments

to providers of capital, payments to government, dona-

tions and sponsorships) in the reporting year.

Donations and sponsorships: Total sum of dona-

tions and sponsorships in the reporting year, reported in

accordance with Neste’s Donation Principle and Spon-

soring Principle.

Oil Products and Renewable Products sold in

the wholesale market: The number of countries and

customers with product deliveries in the reporting year.

Number of service stations: The total number of

fuel stations operating at the end of the reporting year.

M&S B2B Customer satisfaction: The weighted

Net Promoter Score (NPS) from customer surveys con-

ducted during the reporting year. Scores are weighted

based on customer segment and country.

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CEO’s review Strategy Our businesses Sustainability Sustainability data package

To the Management of Neste Oyj

Scope of Assurance

We have been engaged by the management of Neste

Oyj (business ID 1852302-9) (hereafter “Neste”) to pro-

vide limited assurance on selected sustainability infor-

mation specified below.

Information Subject to Assurance

The selected sustainability information presented in Sus-

tainability data package section of the Neste’s Annual

Report 2025 for the reporting period January 1–Decem-

ber 31, 2025 subject to the limited assurance (hereaf-

ter “Sustainability Information”) consists of the following

information:

• Numerical information presented in the

“Value Creation” section on page 35 and

• Numerical information presented in the

“Performance in figures” section on pages 36–42.

Conclusion

Based on the procedures performed and the evidence

obtained, nothing has come to our attention that causes

us to believe that the Sustainability Information for the

reporting period January 1–December 31, 2025 subject

to the limited assurance engagement is not prepared, in

all material respects, in accordance with the Reporting

Criteria defined later in the report.

Independent Practitioners’

Assurance Report

Basis for Conclusion

We performed the assurance of the Sustainability Infor-

mation as a limited assurance engagement in com-

pliance with the International Standard on Assurance

Engagements (ISAE) 3000 (Revised) Assurance Engage-

ments Other than Audits or Reviews of Historical Finan-

cial Information.

Our responsibilities under this standard are further

described in the Responsibilities of the Independent

Practitioner section of our report.

We believe that the evidence we have obtained is

sufficient and appropriate to provide a basis for our

conclusion.

Independent Practitioner’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 our engagement, and we have ful-

filled our other ethical responsibilities in accordance with

these requirements.

KPMG Oy Ab applies International Standard on Qual-

ity Management ISQM 1, which requires the authorised

audit firm to design, implement and operate a system

of quality management including policies or procedures

regarding compliance with ethical requirements, pro-

fessional standards and applicable legal and regulatory

requirements.

Management’s Responsibilities

The management of Neste Oyj is responsible for the

preparation and presentation of the Sustainability Infor-

mation in accordance with the reporting criteria i.e. in

accordance with the company’s reporting principles

presented on pages 48–49 with additional information

on pages 35–42 of the Annual Report 2025 (“Report-

ing Criteria” in this assurance report). This responsibility

also includes such internal control as the management

determine is necessary to enable the preparation of Sus-

tainability Information that is free from material misstate-

ment, whether due to fraud or error.

Inherent Limitations in the Preparation

of Sustainability Information

Preparing Sustainability Information requires a company

to make materiality assessment to identify relevant mat-

ters to report. This includes significant management

judgement and choices. It is characteristic to reporting

on sustainability information that reporting of this kind of

information includes estimates and assumptions as well

as measurement and estimation uncertainty.

The determination of greenhouse gases is subject to

inherent uncertainty due to the incomplete scientific data

used to determine the emission factors and the numer-

ical values needed to combine emissions of different

gases.

Responsibilities of the Independent

Practitioner

Our responsibility is to perform an assurance engage-

ment to obtain limited assurance about whether the

Sustainability Information subject to the limited assur-

ance 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 Sustainabil-

ity Information.

Compliance with the International Standard on Assur-

ance Engagements (ISAE) 3000 (Revised) requires that

we exercise professional judgment and maintain profes-

sional scepticism throughout the engagement. We also:

• Identify and assess the risks of material misstatement

of the Sustainability Information, 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 parent

company’s or the group’s internal control.

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CEO’s review Strategy Our businesses Sustainability Sustainability data package

• 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. The procedures performed in a

limited assurance engagement primarily consist of mak-

ing inquiries and applying analytical procedures. Con-

sequently, the level of assurance obtained in a limited

assurance engagement is substantially lower than the

assurance that would have been obtained had a rea-

sonable assurance engagement been performed.

Our procedures included, among others, the following:

• We interviewed the company’s management and

persons responsible for collecting and preparing the

Sustainability Information.

• Through interviews we gained understanding

of the key processes, controls and information

systems related to collecting and consolidating the

Sustainability Information.

• We assessed the accuracy of the Sustainability

Information through an inspection of the background

documentation and documents prepared by

the company on a sample basis and assessed

whether they support the presented Sustainability

Information.

• We assessed the application of the reporting

principles of the Reporting Criteria in disclosing the

Sustainability Information.

Helsinki, 2 March 2026 KPMG OY AB

Leenakaisa Winberg

Authorized Public Accountant

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Governance

Corporate Governance Statement 53

Risk management 67

Remuneration report 72

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

This Corporate Governance Statement has been pre-

pared pursuant to the Finnish Corporate Governance

Code 2025, Chapter 7, Section 7 of the Finnish Securi-

ties Markets Act, as well as Section 7 of the Ministry of

Finance’s Decree on the Regular Duty of Disclosure of an

Issuer of a Security. The Corporate Governance State-

ment is issued separately from the Review by the Board

of Directors. The Review by the Board of Directors is pre-

sented on pages 78–150 of Neste’s Annual Report 2025

and it can be found, in addition to the Annual Report, at

www.neste.com/investors.

Regulatory framework

Neste Corporation (“Neste” or the “Company”) observes

good corporate governance practices in accordance

with the laws and regulations applicable to Finnish

listed companies, the Company’s own Articles of Asso-

ciation, and the Finnish Corporate Governance Code

2025. The Corporate Governance Code can be found

at cgfinland.fi/en/. Neste also complies with the rules of

Nasdaq Helsinki Ltd, where it is listed, and the rules and

regulations of the Finnish Financial Supervisory Authority.

Neste’s Audit Committee has reviewed the Corporate

Governance Statement, and the Company’s Auditor,

KPMG Oy Ab, has monitored that it has been issued,

and that the description of the main features of the inter-

nal control and risk management related to the financial

reporting process included in the statement match the

Financial statements.

Neste issues Consolidated Financial statements and

interim reports in accordance with the International Finan-

cial Reporting Standards (IFRS), as adopted by the EU,

the Securities Markets Act, as well as the appropriate

Financial Supervisory Authority standards, and Nasdaq

Helsinki Ltd’s rules. The Review by the Board of Direc-

tors and the Parent Company’s Financial statements are

prepared in accordance with the Finnish Accounting Act

and the opinions and guidelines of the Finnish Account-

ing Board.

Governance bodies

The control and management of Neste is split between

the Annual General Meeting of Shareholders (AGM),

the Board of Directors (Board), and the President and

Chief Executive Officer (President and CEO). Ultimate

decision-making authority lies with the shareholders at

the AGM, which appoints the members of the Board,

the Auditor and the Sustainability Reporting Assurer.

The Board is responsible for Neste’s strategy and over-

seeing and monitoring the Company’s business. The

Board appoints the President and CEO. The President

and CEO, assisted by the Neste Leadership Team (NLT),

is responsible for managing the Company’s business

and implementing its strategic and operational targets.

Neste’s headquarters is located in Espoo, Finland.

Marketing & Services is led through an internal board and its EVP is not a member of the Neste Leadership Team

Shareholders / Annual General Meeting

Shareholders’ Nomination Board

President & CEO

Neste Leadership Team

Neste’s governance bodies

External

Audit

Internal

Audit

Board of Directors

Audit Committee Personnel and Remuneration Committee

Assurance Functions

Risk Management Compliance Internal Controls

Renewable Products Oil Products Marketing & Services* Functions

COO Office

CFO Office

People & Culture

Corporate Governance Statement 2025

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Annual General Meeting

Under the Finnish Companies Act, shareholders exer-

cise their decision-making power at General Meetings

of Shareholders by attending the meetings in person or

through an authorized representative. Each share enti-

tles the holder to one vote.

Shareholders at the AGM make decisions on matters

including:

• the approval of the Financial statements;

• the distribution of profit for the year detailed in the

Balance Sheet;

• discharging the members of the Board and the

President and CEO from liability;

• if necessary, the approval of the Remuneration

Policy;

• the approval of the Remuneration Report; and

• the election and remuneration of the Chair, the Vice

Chair, and the members of the Board, the Auditor

and the Sustainability Reporting Assurer.

The AGM is held annually before the end of June. An

Extraordinary General Meeting of Shareholders address-

ing specific matters can be held when considered nec-

essary by the Board, or when requested in writing by the

Company’s Auditor or by shareholders representing at

least one tenth of all Company shares.

Under the Articles of Association, an invitation to a

General Meeting of Shareholders must be delivered to

shareholders by publishing it on the Company’s website

at neste.com no earlier than two months, and no later

than three weeks, prior to a meeting, but at least nine

days before the record date set for the meeting under the

terms of the Companies Act. In addition, the Company

may, if the Board decides, publish details on the date

and time and location of the meeting, with the address

of the Company’s website, in one or more newspapers.

Neste is unaware of any shareholders’ agreements

regarding the Company’s shares.

2025

Neste Corporation’s 2025 AGM was held on 25

March 2025 at Messukeskus, Helsinki Expo and

Convention Centre. The AGM adopted the com-

pany's Financial Statements and Consolidated

Financial Statements for 2024 and discharged the

Board of Directors and the President & CEOs from

liability for 2024. The AGM resolved to reject the

remuneration report for 2024. The resolution made

was advisory. The AGM supported other propos-

als presented to the meeting.

The AGM approved the Board of Directors' pro-

posal that a dividend of EUR 0.20 per share would

be paid on the basis of the approved balance

sheet for 2024. The dividend was paid to share-

holders registered in the shareholders' register of

the Company maintained by Euroclear Finland Oy

on the record date of the dividend payment, which

was 27 March 2025. The dividend was paid on 3

April 2025.

In accordance with the proposal made by the

Shareholders' Nomination Board, the AGM con-

firmed the number of members of the Board of

Directors at eight. The AGM decided the composi-

tion of the Board and the remuneration to be paid

to the members of the Board, and appointed the

Auditor and Sustainability Reporting Assurer. The

AGM also approved the Board’s proposals to the

AGM concerning authorisations to the Board to

decide on share buy-backs and share issues.

Shareholders’ Nomination Board

Based on a decision by the AGM, the Company has a

permanent Shareholders’ Nomination Board, which is,

according to its Charter, responsible for drafting and

presenting proposals covering the remuneration and

number of members of the Company’s Board and for

presenting candidates as potential Chair, Vice Chair and

members of the Board to the AGM and to an Extraor-

dinary General Meeting of Shareholders when required.

The Shareholders’ Nomination Board is also responsible

for identifying successors for existing Board Members.

The Shareholders’ Nomination Board consists of

three members appointed by the Company’s three larg-

est shareholders, who appoint one member each. The

Chair of the Company’s Board acts as an expert to the

Nomination Board. The Shareholders’ Nomination Board

elects a Chair among its members.

The Company’s largest shareholders entitled to elect

members to the Shareholders’ Nomination Board shall

be annually determined on the basis of the registered

holdings in the Company’s list of shareholders held by

Euroclear Finland Ltd. as of the first banking day in June

in the year concerned.

The Chair of the Company’s Board requests each of

the three largest shareholders established on this basis

to nominate one member to the Shareholders’ Nomina-

tion Board. In the event that a shareholder does not wish

to exercise their right to appoint a representative, the

right passes to the next largest shareholder who would

not otherwise be entitled to appoint a member.

The Chair of the Board convenes the first meeting of

the Shareholders’ Nomination Board, which is respon-

sible for electing a Chair from among its members; the

Shareholders’ Nomination Board’s Chair is responsible

for convening subsequent meetings. When the Share-

holders’ Nomination Board has been selected, the Com-

pany issues a release to this effect.

The Shareholders’ Nomination Board serves until fur-

ther notice unless a General Meeting of Shareholders

decides otherwise. Its members are appointed annually,

and their term of office ends when new members are

appointed to replace them.

The Shareholders’ Nomination Board forwards its pro-

posals for the AGM to the Company’s Board annually by

31 January, prior to the holding of the AGM. Proposals

intended for a possible Extraordinary General Meeting of

Shareholders are forwarded to the Company’s Board in

time for them to be included in the invitation to the meet-

ing sent out to shareholders.

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Corporate Governance Statement Risk management Remuneration report

Timo Sallinen of Varma Mutual Pension Insurance Com-

pany and President and CEO Jouko Pölönen of Ilmar-

inen Mutual Pension Insurance Company, as its mem-

bers. Matti Kähkönen, the Chair of Neste’s Board, acted

as an expert to the Nomination Board. The Sharehold-

ers’ Nomination Board presented its proposal covering

the members of the Board on 18 December 2024.

Maija Strandberg

(born in 1969)

M.Sc. (Econ.)

Chair of the Shareholders’ Nomination Board

Director General of the Ownership Steering

Department in the Prime Minister’s Office of Finland.

Member of the Board and Audit Committee of SSAB

AB (publ). Chair of Shareholder’s Nomination

Committee of Finnair Oyj, Fortum Oyj and Posti

Group Oyj. Member of the Nomination Committee

of Kuntarahoitus Oyj and Neova Oy.

Holdings in Neste Corporation

on 31 December 2025:

00 holdings.

Prime Minister’s Office:

340,107,618 shares.

Shareholders’ Nomination Board members

Timo Sallinen

(born in 1970)

M.Sc. (Econ.)

Member of the Shareholders’ Nomination Board

Senior Vice President, Investments of Varma Mutual

Pension Insurance Company. Member of the

Shareholders’ Nomination Board of Nordea Bank Oyj,

Nokian Renkaat Oyj, Finnair Oyj, Robit Oyj,

Koskisen Oyj, Modulight Oyj, Nokian Panimo Oyj

and Kalmar Oyj.

Holdings in Neste Corporation

on 31 December 2025:

00 holdings.

Varma Mutual Pension Insurance Company:

23,018,591 shares.

Annika Ekman

(born in 1977)

M.Sc. (Econ.)

Member of the Shareholders’ Nomination Board

since 9 June 2025

Chief Investment Officer at Ilmarinen Mutual Pension

Insurance Company. Member of the Board of Aspo

Oyj and Cinia Oy. Member of the Shareholders’

Nomination Board of Kesko Oyj, Kojamo Oyj,

Orion Oyj, Oriola Oyj, Orthex Oyj, Posti Group Oyj

and Wärtsilä Oyj.

Holdings in Neste Corporation

on 31 December 2025:

00 holdings.

Ilmarinen Mutual Pension Insurance Company:

24,891,508 shares.

Other Shareholders’

Nomination Board

members in 2025

Jouko Pölönen

(born in 1970)

eMBA, M.Sc. (Econ. & Bus. Adm.)

Member of the Shareholders’

Nomination Board until 9 June 2025

– Participated in 0/0 meetings between

31 January 2025 and 9 June 2025.

Holdings in Neste Corporation on 31 December 2025:

Own holdings and controlled entities.

Shareholder’s holdings represented by the member of the Shareholders’ Nomination Board.

Decisions on the proposals for the 2026 AGM were

made by the members of the Shareholders’ Nomination

Board in a manner set out in more detail in the stock

exchange release published on 19 December 2025.

Composition of the Shareholders’ Nomination

Board prior to the 2025 AGM

On 7 June 2024 the following members were appointed

to Neste’s Shareholders’ Nomination Board: Direc-

tor General Maija Strandberg of the Ownership Steer-

ing Department in the Prime Minister’s Office of Finland,

as the Chair, and Senior Vice President, Investments

Composition of the Shareholders’ Nomination

Board prior to the 2026 AGM

On 9 June 2025 the following members were appointed

to Neste’s Shareholders’ Nomination Board: Director

General Maija Strandberg of the Ownership Steering

Department in the Prime Minister’s Office of Finland, as

the Chair, and Senior Vice President, Investments Timo

Sallinen of Varma Mutual Pension Insurance Company

and Chief Investment Officer Annika Ekman of Ilmarinen

Mutual Pension Insurance Company, as its members.

Pasi Laine, the Chair of Neste's Board of Directors, acts

as an expert to the Nomination Board.

Attendance

Maija Strandberg 6/6

Timo Sallinen 6/6

Annika Ekman

6/6

Participated in 6/6 meetings between 9 June 2025

and 31 January 2026.

The Shareholders’ Nomination Board convened 6

times between 31 January 2025 and 31 January 2026,

and the members of the Shareholders’ Nomination

Board attended each meeting as follows:

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Board

Under the Company’s Articles of Association, the Board

consists of five to ten members elected at the AGM for

a term ending at the following AGM.

Diversity of the Board

In planning the composition of a skilled, competent,

experienced and effective Board, the Shareholders’

Nomination Board also follows the following diversity

principles defined by the Company. A cooperative and

functional Board requires diversity for it to be able to

respond to the requirements set out in Neste’s business

and strategic objectives and to support and challenge

the company’s operational management proactively and

constructively.

Significant factors concerning the composition of the

Board include a variety of competences that comple-

ment the other members of the Board, education and

experience in different professional and industrial fields,

and in business operations and management in different

development phases, as well as the personal qualities

of each member, all of which add diversity to the Board.

The diversity of the Board is also supported by experi-

ence in industrial fields and markets that are strategically

significant for Neste, experience and abilities in tech-

nologies and the international operating environment

and having balanced representation of genders on the

Board. In considering the composition of the Board, it is

important to pay attention to Neste’s current and evolv-

ing needs, and to ensure that the Board, as a whole,

enables the current and future business development of

Neste, which diversity also supports. The Company also

takes into account the goal set out in the Finnish Com-

panies Act to have at least 40 per cent (including the rel-

evant rounding rules) of the under-represented gender

on the Board of Directors.

Neste’s Board was composed of eight members after

the 2025 AGM. All the Board’s members hold a uni-

versity-level degree, one has a licentiate degree, and

two have doctorate degrees. These degrees are from

various fields, with technical fields and economics in the

majority. A majority of members of the Board have inter-

national work experience in different types of positions

and have worked or are working on the Board or in the

management of listed or unlisted companies. Two mem-

bers have worked in managerial positions at major inter-

national petrochemical companies. The Board is also

diverse in terms of cultural background: the members

come from four different countries and speak four dif-

ferent native languages. Women comprised 37.5% of all

members of the Board, which, taking into account the

relevant rounding rules, fulfills the goal set out in the Finn-

ish Companies Act to have at least 40 per cent (includ-

ing the relevant rounding rules) of the under-represented

gender on the Board of Directors. Regarding age, the

members of the Board are divided evenly between 57

and 68 years of age. The duration of the terms of office

of the Board members is divided as follows: three mem-

bers have been on the Board for three or more years,

while five members have been on the Board for less than

three years.

Activities of the Board

The Board must have at least eight regular meetings

annually, all scheduled in advance, with extraordinary

meetings when necessary. Extraordinary meetings, if

requested by a Board member or the President and

CEO, are convened by the Chair, or, if the Chair is pre-

vented from attending, by the Vice Chair, or if deemed

necessary by the Chair. The Board constitutes a quorum

if more than half its members are present. The Board is

responsible for preparing an operating plan for itself for

its period of office between AGMs, including a timeta-

ble of meetings and the most important matters to be

addressed at each meeting. The Board evaluates its

performance annually to determine whether it is func-

tioning effectively after the end of each financial year.

New Board members participate in an onboarding pro-

gram that covers all material areas of the company’s

operations.

Duties of the Board

The Board’s responsibilities and duties are defined in

detail in the Charter approved by the Board. A mem-

ber of the Board may not take part in decision making in

matters regarding (i) agreements between such member

and any entity within the Neste Group, (ii) agreements

between any entity within the Neste Group and third par-

ties where such a member has a material interest in the

matter which may conflict with the interests of Neste or

any other entity within the Neste Group, and (iii) agree-

ments between any entity within the Neste Group and a

legal entity at which such member may represent, either

individually or with any other person; provided however,

that this point (iii) does not apply where the party con-

tracting with Neste is a company within the Neste Group.

The term “agreement” as used here includes litigation or

other legal proceedings arising from or related to such

agreements.

2025

The 2025 AGM confirmed the membership of the

Board at eight members, and the following were

re-elected to serve until the end of the next AGM:

John Abbott, Nick Elmslie, Just Jansz, Conrad Kei-

jzer, Pasi Laine and Sari Mannonen. Anna Hyvönen

and Essimari Kairisto were elected as new mem-

bers. Pasi Laine was elected as the Chair and John

Abbott as the Vice Chair.

The Board convened 12 times in 2025. The

attendance rate at the meetings was 93.94%. In

2025, the Board focused on supervision of actions

to improve the Company's financial and opera-

tional performance, including the performance

improvement program which was launched in Feb-

ruary 2025. The Board also supervised strategy

execution relating to e.g. the continued scale-up

of the Company’s renewables businesses as well

as evaluated changes in the long-term operational

environment and their impact on the Company.

A particular focus area was monitoring of the

on-going Rotterdam refinery expansion project.

Sustainability topics, such as the revision of the

Company's sustainability targets and the new

CSRD reporting, were also on the Board agenda

in 2025. In addition to the above and matters set

out in the Board Charter, the Board continuously

monitored the Company’s safety, financial and

operational performance, as well as risk manage-

ment. The Board has during the year performed a

self-assessment of its work.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Board of Directors, 31 December 2025

Position Born Education Main occupation

Independent

of the company

Independent

of major

shareholders

Personnel and

Remuneration

Committee

Audit

Committee

Attendance

at meetings

Board Committees

Pasi Laine Chair 1963 M.Sc. (Eng.) Non-Executive Director • • • 12/12 10/10

John Abbott Member 1960 B.Sc. (Chem. eng.) Non-Executive Director • • • 10/12 6/6

Nick Elmslie Member 1957 B.Sc. (Chem.) Non-Executive Director • • • 11/12 9/10

Anna Hyvönen Member 1968

Licentiate in

Technology

Executive Vice President, Passenger Car

Tyres and Vianor at Nokian Tyres plc

• • • 9/12 5/6

Just Jansz Member 1957

Ph.D. (Chemical

Metallurgy)

Independent board member and advisor,

Managing Director of Expertise Beyond

Borders

• • • 12/12 6/6

Essimari Kairisto Member 1966

B.A. Business

Administration (FH)

Non-Executive Director • • • 9/12 5/6

Conrad Keijzer Member 1968

M.Sc. (Industrial

Engineering)

CEO, Clariant • • • 11/12 6/6

Sari Mannonen Member 1966 Ph.D. (Biochemistry)

Senior Vice President, New Business &

Hydrogen, Helen

• • • 11/12 10/10

The shareholdings of the members of the Board of Directors are presented below their CVs. The remuneration paid to the members of the Board of Directors is detailed in the Remuneration Report.

Main occupation ended in 2025.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

John Abbott

(born in 1960)

B.Sc. First Class Honours, Chemical Engineering

Vice Chair of the Board since 2025

Member of the Board since 2021

Independent member

Downstream Director and a Member of the Executive

Committee of Royal Dutch Shell plc 2013–2019.

Executive Vice President of Global Manufacturing at Shell

2012–2013. Executive Vice President of Shell’s Upstream

Americas Heavy Oil business, based in Calgary, Canada

2008–2012. Vice President Manufacturing (Refining

and Chemicals) Excellence and Support at Shell based

in Houston, USA 2006–2008. Various positions at

Shell in the UK, Singapore, Thailand, The Netherlands,

Canada, and the USA, predominantly in the areas of

Global Manufacturing (Refining and Chemicals) as well

as Supply, Trading and Distribution 1981–2006. In 1994,

he was also seconded to the British Government for a

short assignment. Non-Executive Director of Fiat Chrysler

Automobiles 2018–2021. Senior Non-Executive Director

of the Intercontinental Exchange (ICE) Futures Europe

2021–. Non-Executive Director of ICE Clear Europe

2023–. Member of Neste’s Audit Committee.

Holdings in Neste Corporation on 31 Dec 2025:

5,702 shares.

Nick Elmslie

(born in 1957)

B.Sc. (Chemistry)

Member of the Board since 2020

Independent member

Chief Executive, BP Global Petrochemicals based in

Shanghai 2011–2015. Controller, Head of Finance

Function, BP Downstream 2006–2011. Various directorial

positions at BP plc., including Chief Executive, Acetyls

Business and Business Unit Leader, Head of Chemicals

Strategy and CFO, Polymers & Olefins 1992–2006.

Various positions at BP plc 1978–1992. Member of the

Board and Investor at 3FBio Ltd 2017–, Chair 2023–.

Member of the Supervisory Board of OTI Greentech AG

2017–. Member of Neste’s Personnel and Remuneration

Committee.

Holdings in Neste Corporation on 31 Dec 2025:

7,056 shares.

Holdings in Neste Corporation: own holdings and controlled entities.

Members of the Board of Directors

Pasi Laine

(born in 1963)

M.Sc. (Eng.)

Chair of the Board since 2025

Member of the Board since 2024

Independent member

President and CEO, Valmet 2014–2024. Executive Vice

President, Deputy to the CEO and President of Metso

Pulp, Paper and Power, Metso 2011–2013. Member

of the Executive Team, Metso 2006–2013. Several

other leadership roles, Metso 1998–2011. Managing

Director, Elsag Bailey Hartmann & Braun Oy 1996–

1998. Various roles in Finland, Canada, Germany and

the United Kingdom, Valmet 1988–1996. Chair of the

Board of Directors at Ilmarinen Mutual Pension Insurance

Company 2020–2025. Member of the Board of Directors

at Konecranes Plc. 2022–, Chair 2024–. Chair of Neste’s

Personnel and Remuneration Committee.

Holdings in Neste Corporation on 31 Dec 2025:

8,153 shares.

Anna Hyvönen

(born in 1968)

Licentiate in Technology

Member of the Board since 2025

Independent member

Several leadership roles, most recently Executive Vice

President, Passenger Car Tyres and Vianor, at Nokian

Tyres plc 2016–2025. Executive Vice President, North

and Central Europe at Ramirent Oyj 2012–2016. Vice

President, Maintenance Business at KONE Oyj 2008–

2012. Several leadership positions at Nokia Networks

1995–2007. Member of the Board and Audit Committee

at FLSmidth Co. A/s 2024–. Chair of the Board at Duell

Oyj 2022–. Member of the Board and Personnel and

Remuneration Committee at SRV Yhtiöt Oyj 2025–.

Member of Neste’s Audit Committee.

Holdings in Neste Corporation on 31 Dec 2025:

3,234 shares.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Members of the Board of Directors

Essimari Kairisto

(born in 1966)

B.A. Business Administration (FH)

Member of the Board since 2025

Independent member

Member of the Board and CFO at Hochtief Solutions

AG 2013–2016. General Manager Finance and CFO at

Sasol O&S Group International (since 2008), CCO and

CFO at Sasol Germany Gmbh (since 2007) 2007–2013.

CCO and CFO (since 2004), RWE 2002–2007. Internal

Auditor at Schlumberger 1999–2001. Controller at

Schlumberger 1995–1999. Consultant at Treuhandanstalt

Cottbus 1993–1995. Member of the Supervisory Board

at MCF Corporate Finance 2024–. Chair of the Audit

Committee, Member of the Supervisory Board at Fugro

N.V. 2023–. Chair of the Audit Committee, Member of

the Supervisory Board at IVECO Group N.V. 2022–.

Many positions of trust at Tenne T Holding B.V. 2019–,

Chair of the Audit Committee 2020–, Vice Chair of the

Supervisory Board 2024–. Member of the Board and

Audit Committee at Fortum Oyj 2018–2025, Chair of the

Audit and Risk Committee 2019–2025, Vice Chair of the

Board 2023–2025. Member of the Supervisory Board and

Audit Committee at Freudenberg SE / Freudenberg Co.

2015–, Chair of the Audit Committee 2025–. Member of

the Board and Audit Committee at Huhtamäki Oyj 2025–.

Chair of Neste’s Audit Committee.

Holdings in Neste Corporation on 31 Dec 2025:

3,880 shares.

Holdings in Neste Corporation: own holdings and controlled entities.

Just Jansz

(born in 1957)

Ph.D. (Chemical Metallurgy), M.Sc. (Mineral Engineering)

Member of the Board since 2022

Independent member

Independent board member and advisor 2011–.

Managing Director of Expertise Beyond Borders 2011–.

President Technology Business, Basell / LyondellBasell

2004–2010. Senior Vice President, Advanced Polyolefins,

Basell 2001–2004. Various managerial positions at Shell

affiliate companies 1989–2000. Member of Neste’s Audit

Committee.

Holdings in Neste Corporation on 31 Dec 2025:

5,056 shares.

Matti Kähkönen

(born in 1956)

M.Sc. (Engineering)

Chair of the Board since 2018

Member of the Board since 2017

Independent member

– Chair and Member of the

Board until 25 March 2025

Eeva Sipilä

(born in 1973)

M.Sc. (Econ.), CEFA

Vice Chair of the Board

since 2023

Member of the Board since 2022

Independent member

– Vice Chair and Member of the

Board until 13 February 2025

Johanna Söderström

(born in 1971)

M.Sc. (Econ.)

Member of the Board since 2020

Independent member

– Member of the Board

until 25 March 2025

Other Board

members

during 2025

Conrad Keijzer

(born in 1968)

M.Sc. (Industrial Engineering)

Member of the Board since 2024

Independent member

CEO, Clariant, Switzerland 2021–. CEO and Director,

Imerys, France 2018–2019. Member of the Executive

Committee and Director of Performance Coatings,

AkzoNobel, The Netherlands 2013–2018. Several other

business leadership roles in the Netherlands, Germany,

Spain, the U.S. and Mexico, AkzoNobel 1994–2013.

Member of the Board and Chair of the Nomination

Committee of the European Chemical Industry Council

(Cefic) 2022–. Member of the Board of Directors of

American Chemistry Council (ACC) 2022–. Member of

Neste’s Personnel and Remuneration Committee.

Holdings in Neste Corporation on 31 Dec 2025:

4,272 shares.

Sari Mannonen

(born in 1966)

Ph.D. (Biochemistry)

Member of the Board since 2024

Independent member

Senior Vice President, New Business & Hydrogen, Helen

2024–. Senior Vice President, Solutions Business &

Portfolio Development, Helen 2020–2024. Vice President,

UPM Biofuels 2016–2019. Several leadership roles, UPM

Biofuels and Living 2011–2016. Senior Vice President,

Corporate Sales & Customer Management, Lindström

2007–2009. Vice President, Sales & Marketing, Biohit

2002–2007. Several management roles, Biohit 1995–

2001. Partner at Hallituspartnerit Helsinki – Board

Professionals Finland 2019–. Member of the Board at LUT

University, Lappeenranta & Lahti, Centre for Separation

Technology (CST) 2020–. Member of the Board at Helen

Aurinkopuisto Kalanti Oy & Kalanti Grid Oy 2022–.

Member of the Board at Korkia 2022–, Vice Chair 2024–.

Member of the Board at World Energy Council, WEC

Finland 2022–. Member of Director’s Institute Finland

(DIF) – Hallitusammattilaiset ry. 2023–. Member of Neste’s

Personnel and Remuneration Committee.

Holdings in Neste Corporation on 31 Dec 2025:

4,272 shares.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

2025

Starting from 25 March 2025, the Audit Committee

comprised Essimari Kairisto (Chair), John Abbott,

Anna Hyvönen and Just Jansz. In 2025, the Audit

Committee convened 6 times, and the attendance

rate was 100%.

As part of the tasks specified in its Charter, the

Audit Committee supervised and reviewed during

2025 external and internal audit activities, and the

Company’s financial and CSRD reporting. Partic-

ular focus areas during the year were the gover-

nance of and processes relating to the Company's

performance improvement program and financial

risk management. The Audit Committee also mon-

itored, e.g., cybersecurity and compliance devel-

opment topics as well as legal and tax matters.

Personnel and Remuneration Committee

The Personnel and Remuneration Committee consists

of the Chair of the Board and at least two non-executive

members of the Board.

Duties

The Personnel and Remuneration Committee is respon-

sible for preparing the Company’s remuneration princi-

ples and practices, reviewing the talent management and

development process as well as planning the remunera-

tion and succession of the President and CEO and other

senior executives. The responsibilities and duties of the

Personnel and Remuneration Committee are defined in

detail in the Charter approved by the Board.

2025

Starting from 25 March 2025, the Personnel and

Remuneration Committee comprises Pasi Laine

(Chair), Nick Elmslie, Conrad Keijzer and Sari Man-

nonen. In 2025, the Personnel and Remuneration

Committee convened 10 times, and the atten-

dance rate was 95%.

During 2025, the Personnel and Remunera-

tion Committee continued to focus on reviewing

and developing Neste’s total remuneration and

talent management and development to support

the Company’s operational and strategic targets.

The Personnel and Remuneration Committee of

Neste focused on the renewal of the short-term

(STI) and long-term (LTI) incentive plans. In line

with the duties in its Charter, the Personnel and

Remuneration Committee also followed up the

ongoing performance period 2025 and outcomes

of rewarding based on 2024 results. In addition,

the Personnel and Remuneration Committee fol-

lowed up the personnel engagement level based

on the Company’s Forward Pulse survey results.

President and CEO

Neste’s President and CEO, Heikki Malinen (b. 1962,

M.Sc. (Econ.), MBA (Harvard)), manages the Company’s

business operations in accordance with the Companies

Act and instructions issued by the Board. The President

and CEO oversees the executive management of the

Company in accordance with instructions and orders

given by the Board, and is responsible for ensuring that

the Company’s accounts are in compliance with the law,

and that its financial affairs have been reliably arranged.

The President and CEO is appointed by the Board,

which evaluates the performance of the President and

CEO annually and approves his remuneration based on

a proposal from the Personnel and Remuneration Com-

mittee. Information about the remuneration of the Presi-

dent and CEO can be found in the 2025 Remuneration

report.

Neste Leadership Team

The Neste Leadership Team assists the President and

CEO in managing the Company and in the deployment

of the Company’s strategic and operational goals. Mem-

bers are appointed by the Board. The Neste Leadership

Team meets regularly, on average once a month. Infor-

mation about the remuneration of the members of the

Neste Leadership Team can be found at neste.com.

2025

The Neste Leadership Team had 12 meetings

during the year. It also met regularly outside such

meetings in relation to specific themes.

In addition to supporting the President and CEO

in the fulfillment of his general duties, the Neste

Leadership Team regularly monitored the Compa-

ny’s safety, financial and operational performance.

A particular focus area was the improvement of the

Company's financial and operational performance,

including the performance improvement program

which was launched in February 2025. The Neste

Leadership Team continued during 2025 to work

on strategy execution. In such a context, the stra-

tegic focus areas included, among others, both

growth areas, such as the continued scale-up of

the Company’s renewables businesses, and effi-

ciency improvements initiatives. The Neste Lead-

ership Team also focused on the on-going Rot-

terdam refinery expansion project. In addition,

several other matters were given special atten-

tion during the year, including sustainability topics,

such as the revision of the Company's sustainabil-

ity targets and the new CSRD reporting, as well as

cybersecurity and other compliance matters.

Board Committees

The Board has established an Audit Committee and

a Personnel and Remuneration Committee. A quo-

rum exists when more than two members, including

the Chair, are present. All members are elected from

among the members of the Board for a one-year term.

The tasks and responsibilities of each committee are

defined in their Charters, which are approved by the

Board. The schedule and frequency of committee meet-

ings are determined by the Chair and committee mem-

bers. In addition, the Board can appoint committees as

needed, for example, for significant investment projects

or other special tasks. Committees meet at least twice

a year. Each committee reports regularly on its meetings

to the Board. Reports include a summary of the matters

addressed and the measures undertaken. Each com-

mittee conducts an annual self-evaluation of its perfor-

mance and submits a report to the Board.

Audit Committee

Under its Charter, the Audit Committee consists of a

minimum of three Board members who are independent

of the Company and its subsidiaries, and at least one

of whom must be independent of Neste’s major share-

holders. Members are required to have sufficient knowl-

edge of accounting practices, preparation of financial

statements and statutory sustainability reporting as well

as other qualifications that the Board deems necessary.

The Audit Committee is permitted to use external con-

sultants and experts when deemed necessary.

Duties

The Audit Committee is responsible for overseeing the

company’s financial reporting and sustainability reporting

processes, monitoring internal control, risk management

and auditing, as well as evaluating the independence of

the auditor and the provision of non-audit services. The

responsibilities and duties of the Audit Committee are

defined in detail in the Charter approved by the Board.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Members of the Neste Leadership Team

Hannele Jakosuo-Jansson

(born in 1966)

Executive Vice President,

People & Culture

M.Sc. (Eng.)

Member of the Neste Leadership Team since 2006

Employed by the company since 1990

Responsible for human resources, safety,

communications, brand, sustainability and public

affairs. Prior to her executive roles at Neste,

served as Vice President, Human Resources at Oil

Refining 2004–2005 and Laboratory and Research

Manager at the Technology Center 1998–

2004. Chair of the Committees of the Chemical

Industry Federation of Finland 2010– (Skills and

Competence Committee 2010–2025; Public

Affairs Committee 2026–). Member of the Skilled

workforce Committee at the Confederation of

Finnish Industries EK 2017–, Chair 2024–. Member

of the Board of Finnair, Chair of the People and

Remuneration Committee of the Finnair Board Plc

2021–. Directors’ Institute of Finland,

Senior Advisor 2023–.

Holdings in Neste Corporation on 31 Dec 2025:

39,117 shares.

Eeva Sipilä

(born in 1973)

Chief Financial Officer

M.Sc. (Econ.), CEFA

Member of the Neste Leadership Team

and employed by the company since 2025

Prior to her executive role at Neste, served

as Chief Financial Officer, Deputy to CEO at

Metso Corporation 2016–2025 (Metso Outotec

Corporation 2020–2023). Executive Vice President,

Chief Financial Officer, Cargotec Corporation 2008–

2016. Senior Vice President, Communications and

Investor Relations, Cargotec Corporation 2005–

2008. Various positions at Metso Corporation,

Mandatum Stockbrokers part of Sampo Group

and Arkwright AB 1997–2005.

Holdings in Neste Corporation on 31 Dec 2025:

3,198 shares.

Holdings in Neste Corporation: own holdings and controlled entities.

Heikki Malinen

(born in 1962)

President and CEO

M.Sc. (Econ.), MBA (Harvard)

President and CEO of Neste

and employed by the company since 2024

In addition to CEO duties, responsible for leading

the Renewable Products business area. Previously

served as President and CEO at Outokumpu

Corporation 2020–2024. President and CEO at

Posti Group Corporation 2012–2019. President

and CEO at Pöyry PLC 2008–2012. Executive

Vice President, Strategy, member of the Executive

Team at UPM-Kymmene Corporation 2006–

2008. President at UPM North America 2004–

2005. President of Sales at UPM North America

2002–2003. Managing Partner at Jaakko Pöyry

Consulting, New York, USA 2000–2001.

several directorial and managerial roles at

e.g., McKinsey & Co and UPM 1986–1999.

Holdings in Neste Corporation on 31 Dec 2025:

32,344 shares.

Markku Korvenranta

(born in 1966)

Executive Vice President,

Chief Operating Officer

M.Sc. (Eng)

Member of the Neste Leadership Team

and employed by the company since 2021

Previously served at Neste as Executive Vice

President for Oil Products business area. Prior to

his executive roles at Neste, served as SVP, Group

Portfolio Development at Marquard & Bahls, in

Germany 2019–2021. EVP, Base Chemicals and

Member of Executive Board at Borealis in Austria

2010–2018. Before that had several directorial and

managerial roles at Borealis in Austria, Finland,

Denmark and Belgium 1994–2010.

Has also served in various roles at Neste Chemicals

in Finland 1990–1994. Member

of the Board of Oiltanking in Germany 2021–.

Holdings in Neste Corporation on 31 Dec 2025:

3,454 shares.

Jori Sahlsten

(born in 1969)

Executive Vice President,

Oil Products business area

M.Sc. (Tech.)

Member of the Neste Leadership Team since 2025

Employed by the company since 2016

Previously served at Neste as Senior Vice

President, Refining 2024–2025, Vice President,

Production 2019–2024 and Operations Director

2016–2019 in Oil Products business area. Before

that he had several directorial roles in HKScan

Finland Oy 2014–2016 and Metsä Tissue Oyj

2007–2014 among others. International experience

he has gained from working for forest industry’s

production and sales positions. Member of the

Board of Kilpilahti Power Plant Oy 2021–, Chair

2024–2025. Member of the Board of Soilfood Oy

2019–.

Holdings in Neste Corporation on 31 Dec 2025:

7,836 shares.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

2025

The 2025 AGM elected KPMG Oy Ab as the Com-

pany’s auditor, and Authorized Public Accountant

Leenakaisa Winberg acted as the auditor with

principal responsibility. The statutory audit fees in

2025 were EUR 1.7 million, statutory sustainabil-

ity reporting assurance was EUR 0.2 million and

other fees charged amounted to EUR 0.5 million.

Sustainability Reporting Assurer

The AGM elects the Sustainability Reporting Assurer

annually. The Sustainability Reporting Assurer’s term of

office ends at the end of the next AGM following election.

The Sustainability Reporting Assurer is responsible for

auditing the information included in the Review by the

Board of Directors that the Company has presented as

its sustainability report.

2025

The 2025 AGM elected KPMG Oy Ab as the Com-

pany’s Sustainability Reporting Assurer, and Autho-

rized Public Accountant, Authorized Sustainability

Auditor Leenakaisa Winberg acted as the princi-

pally responsible sustainability reporting assurer.

The statutory sustainability reporting assurance

fees in 2025 were EUR 0.2 million.

Internal Audit

Neste’s Internal Audit provides independent and objec-

tive assurance and advisory services designed to add

value and improve the operations of Neste. As a com-

ponent in the corporate governance process, it supports

the organization by bringing a systematic approach to

evaluating and improving the effectiveness of gover-

nance, risk management and control processes.

Internal Audit’s activities encompass objective exam-

inations for the purpose of providing assessments to

Neste’s Board’s Audit Committee and management

of the adequacy and effectiveness of governance, risk

management and control processes at Neste. The

scope of Internal Audit assessments includes evaluat-

ing that risk management practices are in place, signifi-

cant risks are appropriately identified and managed, key

policies and guidelines exist and are documented and

effectively implemented, organizational structures and

governance models enable efficient decision making,

the steering system, roles and responsibilities are clear,

and the results of operations and programs are consis-

tent with established goals and objectives.

Internal Audit work is carried out based on an annual

Internal Audit Plan. Neste’s strategic priorities, key proj-

ects and identified risks are key elements in the audit

planning process. The Vice President of Internal Audit

reports periodically to the senior management and the

Board Audit Committee Internal Audit’s activities relative

to the annual plan, including audit recommendations

and action plans established by organizations aiming for

the continuous improvement and mitigation of risks.

Internal Audit is also responsible for conducting spe-

cial assignments on behalf of management or the Board

Audit Committee. As a member of Neste’s Investiga-

tion Group, the Vice President of Internal Audit partici-

pates in the investigation of suspected misconduct and

breaches of Neste’s policies, principles, and applicable

laws and regulations. To assure an effective, efficient and

value-adding process, Internal Audit actively cooperates

with other Neste’s assurance functions (Corporate Risk

Management, Internal Control and Compliance) and

senior management and shares best practices from a

process and governance perspective.

Internal Audit follows the mandatory elements of

the Institute of Internal Auditors’ International Profes-

sional Practices Framework, including the Professional

Practice of Internal Auditing. The Internal Audit reports

Neste Extended Leadership Team

The Neste Extended Leadership Team (NELT) consists

of members of the Neste Leadership Team (NLT) and

other appointed leaders.

The key role of the Neste Extended Leadership Team

is to support the company’s long-term strategic deci-

sion-making and value creation as well as to ensure the

alignment and implementation of the company’s strate-

gic decisions throughout the organization.

The members of the extended leadership team in 2025:

• Heikki Malinen, President & CEO (Chair)

• Markku Korvenranta, EVP, COO Office, and

Chief Operating Officer

• Jori Sahlsten, EVP, Oil Products

• Eeva Sipilä, CFO

• Hannele Jakosuo-Jansson, EVP, People & Culture

• Carl Nyberg, SVP, RP Commercial

• Sami Oja, SVP, OP SCM, Supply & Trading

• Anssi Tammilehto, SVP, Strategy, M&A

and Investor Relations

• Lars Peter Lindfors, SVP, Technology & Innovation

• Hanna Maula, SVP, Communications, Marketing,

Sustainability & Public Affairs

• Christian Ståhlberg, SVP, Legal & Compliance

Company Auditor

The AGM elects the Auditor annually. The Auditor’s

term of office ends at the end of the next AGM following

election.

The Auditor is responsible for auditing the Company’s

accounts, its financial statements and Neste’s admin-

istration. The Auditor’s Report covers the Consolidated

Financial statements and the Parent Company’s Finan-

cial statements, and can be found in the Financial state-

ments section of the Annual Report.

directly to the Board of Directors’ Audit Committee and

administratively to the CFO. The Board of Directors is

responsible for approving the Internal Audit Charter and

the annual Internal Audit Plan. The Internal Audit Charter

includes the determination regarding the Internal Audit

position, operational model, process and reporting lines.

Internal Audit holds a non-executive meeting with the

Audit Committee members and the Audit Committee

Chair at least annually. The Vice President of Internal

Audit is responsible for the internal audit activities spec-

ified in the Internal Audit Charter.

2025

Internal Audit performed internal audits set out in

the Internal Audit Plan 2025, and reported audit

results to the senior management and the Board

Audit Committee. The Internal Audit function con-

tinued to strengthen cooperation with other Neste

assurance functions such as compliance, risk man-

agement and internal controls with an aim of inte-

grating activities and reporting to management.

Neste’s strategic priorities, top risks and key

business processes were the focus during 2025,

including cybersecurity, procurement practices

and continuity management.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Ethics and Compliance Committee, which oversees and

steers the management of the ethics and compliance

program in Neste.

Reports on suspected misconduct received via the

Company’s externally operated reporting system and

other reporting channels are investigated in accordance

with applicable laws and Neste’s internal Misconduct

Investigation Standard. More information about the Mis-

conduct Investigation Standard and reported suspected

incidents of misconduct can be found in the Sustainabil-

ity statement in the Review by the Board of Directors.

In addition to other reporting channels, Neste has an

externally operated misconduct reporting system, Eth-

ics Online, available to all Neste’s internal and external

stakeholders, including actors in its supply chains. Eth-

ics Online serves as a grievance mechanism and enables

Neste’s stakeholders to raise concerns related to alleged

misconduct in Neste’s operations. Neste’s Investiga-

tion Group is responsible for evaluating and investigat-

ing such reported cases. Neste has a strict non-retalia-

tion policy for concerns reported in good faith. Neste’s

main principles and policy followed in internal miscon-

duct investigations is described in the Company’s inter-

nal Misconduct Investigation Standard. Any irregulari-

ties or misconduct are reported regularly to the Board’s

Audit Committee.

Insider administration procedures

Neste complies with the EU Market Abuse Regula-

tion (596/2014), including related regulation, as well as

Nasdaq Helsinki Ltd’s Insider Guideline as a minimum

standard on insider matters. In addition, the Board has

approved the Company’s own Guidelines for Insiders.

The Company’s General Counsel is responsible for

the coordination and supervision of insider matters,

along with the insider register manager, the insider

Compliance function

Neste is committed to high ethical standards and con-

ducts its business and operates in compliance with

applicable laws, regulations and generally accepted

good corporate governance practice. Neste’s Code of

Conduct sets the framework for Neste’s global business

operations and establishes the ethical practices to guide

Neste employees in their day-to-day business activ-

ities and decisions. Neste also requires suppliers and

other business partners to comply with applicable laws

and expects them to follow equivalent ethical business

standards as stated in the Code of Conduct and fur-

ther described in our Supplier Code of Conduct. More

information about Neste’s Code of Conduct in Neste’s

Sustainability statement in the Review by the Board of

Directors and on Neste’s external web pages.

The purpose of Neste’s Compliance function is

to develop, establish, facilitate and oversee compli-

ance procedures and programs aimed at ensuring that

Neste’s global organizations have effective systems and

processes in place for identifying, preventing, detecting

and correcting non-compliance with applicable laws,

regulations and Neste’s internal rules. The function sup-

ports Neste’s management in their responsibility for

overall compliance risk management, as well as Neste’s

organizational unit management in their responsibilities

to identify and manage compliance risks related to their

operations. The compliance function works in close col-

laboration with Neste’s business areas, functions and

other internal assurance organizations, in particular the

Risk Management, Internal Control and Internal Audit

functions. The compliance function is headed by the

Chief Compliance Officer (CCO), who reports to Neste’s

General Counsel. The CCO reports regularly on compli-

ance activities to the Neste Extended Leadership Team

and to the Board’s Audit Committee. Neste also has an

communication manager and individuals responsible as

heads of project-specific registers. All the above indi-

viduals have their own deputies. In addition, the head

of each organizational unit is responsible for supervising

insider matters within their organization. The Company

arranges training related to the insider guidelines.

The creation and maintenance of a project-specific

insider register is the responsibility of the head of such

a register, who is named in the relevant project-specific

insider register.

The Company has defined, as persons discharging

managerial responsibilities, the members of the Board

and its secretary, the President and CEO, as well as the

members of the Neste Leadership Team and its secre-

tary. These managerial persons and their closely asso-

ciated persons must report their own transactions con-

ducted with the Company’s financial instruments or

financial derivatives to the Company and the Financial

Supervisory Authority without delay, and no more than

three business days of completing the business transac-

tion. Reports to the Company and the Financial Supervi-

sory Authority can be made by following the instructions

on neste.com/trading.

The Company has also named certain other persons

as core persons, as they have better or more informa-

tion about the Company than the market. These indi-

viduals are typically those who prepare the Compa-

ny’s Interim reports and Financial statements, persons

responsible for the Company’s finances, financial report-

ing or communication, or persons who have access to

said information, as well as certain individuals in execu-

tive positions.

Persons discharging managerial responsibilities and

core persons may not trade with or conduct business

with the Company’s financial instruments for themselves

or a third party, directly or indirectly during the period

from the closing date of an interim or annual accounting

period to the date of publication of the interim report or

financial statements for that period. The minimum period

concerned is always 30 days prior to the date of publi-

cation of the interim report or the financial statements,

including the date of publication (“closed window”).

The Company also maintains a project- or event-spe-

cific list of insiders for all individuals that have access to

insider information and who are employed by the Com-

pany or otherwise perform tasks that provide them with

access to insider information. Individuals who partici-

pate in the development and preparation of projects or

events that involve insider information, such as mergers

and acquisitions, are considered project- or event-spe-

cific insiders. Project-specific insiders may not trade or

conduct other business using the Company’s financial

instruments during the project.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Related party transactions

Neste has identified its related parties, and it is regu-

larly engaged in transactions with some of these parties.

These transactions relate to the Company’s normal busi-

ness operations and are in line with the purpose of the

company and executed on market or market equivalent

terms and practices generally observed and accepted

within the industry in question.

The related party transactions are monitored in coop-

eration with finance and legal functions as a part of the

Company’s normal reporting and control procedures.

The Board is responsible for overseeing the processes

established for monitoring related party transactions.

Information about material transactions concluded

between the Company and its related parties is dis-

closed annually in the notes on the Company’s consol-

idated financial statements. When required under the

applicable laws and regulations, material transactions

conducted with related parties are also published via a

stock exchange release.

Internal controls

The objective of internal controls at Neste is to provide

reasonable assurance concerning the reliability of the

financial and sustainability reporting.

Additionally, internal controls support the business in

the achievement of its operational and strategic objec-

tives by acting as performance accelerators in business

processes.

The system of internal controls at Neste is based on

the Committee of Sponsoring Organizations framework

(the “COSO framework,” 2013).

Neste’s internal control requirements are defined in

the Neste Internal Control Principle, Access Risk Man-

agement Principle and related standards.

Neste Internal Control function leads the Group-wide

control development and monitors the internal controls

throughout Neste. The Internal Controls function pro-

vides the necessary guidance for designing and per-

forming the controls effectively.

Control environment

The Board is responsible for ensuring that there is

adequate control over the Company’s accounts and

finances. Responsibility for arranging this control is del-

egated to the President and CEO, who is required to

ensure that the Company’s accounts are in compliance

with the law, and that its financial management has been

reliably arranged.

The internal control at Neste is based on the cor-

porate structure, whereby the operations are organized

into organizational units. The heads of business areas

and the finance function are responsible for establishing

and maintaining appropriate, up-to-date, effective and

adequate controls of financial and sustainability report-

ing. Operational management owns the risks and con-

trols and is responsible for ensuring controls and defi-

ciency-related corrective actions are implemented.

The Internal Control Principle emphasizes the impor-

tance of internal controls and clarifies the responsibilities

of the Three Lines for establishing effective controls in

business processes. Neste’s values and management

system containing the formal Code of Conduct are the

foundation of the control environment. The President

and CEO and corporate management are responsible

for emphasizing the importance of ethical principles and

correct financial and sustainability reporting.

Risk assessment

As a prerequisite for risk assessment, the organization’s

objectives need to be established.

With respect to financial reporting, the general objec-

tive is to have reliable reporting and ensure that trans-

actions are recorded and reported completely and cor-

rectly. The assessment of risk includes risks related to

fraud.

More information about risk management principles is

available in the Risk management section of the Annual

Report.

Control activities

Neste control activities include instructions, guidelines

and procedures to ensure that the actions identified by

management to address the relevant risks are carried

out effectively. The most important guidelines related to

financial and sustainability reporting systems and prac-

tices are documented in the Neste Corporate Gover-

nance Policy, Neste Internal Control Principle, Access

Risk Management Principle, the Controls over Financial

and Sustainability Reporting Standard (COFR), Internal

Control Process Standard, process charts, month end

workflows and detailed Finance Instructions.

Key control activities are documented in a global con-

trol catalog covering each business or financial process.

Group-level policies and guidelines are documented in

the Neste Management System. The control catalog is

maintained in SAP GRC, the platform used for internal

control management.

Information and communication

Neste corporate-level communication practices sup-

port the completeness and correctness of financial and

sustainability reporting. Neste personnel have access

to adequate information and communication regard-

ing accounting and reporting principles and control

guidelines, including clarity on control responsibility and

accountability. Sustainability reporting requirements

and processes are communicated to the personnel,

with emphasis to data correctness. The main means

of communicating the relevant matters for appropriate

financial and sustainability reporting consist of internal

control training, detailed Finance Instructions contain-

ing accounting principles, sustainability manuals, guide-

lines for forecasting and reporting, information sessions,

on-the-job training, process walkthroughs, and postings

on internal channels and pages.

Neste business areas prepare regular financial and

management reports for the management review, includ-

ing analysis of and comments on financial performance.

The Neste Leadership Team and the Board receive

financial reports monthly. Interim reports, Financial state-

ments and the Sustainability statement are reviewed at

Audit Committee meetings, and thereafter by the Board.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Training and communication

Neste personnel have access to

adequate information regarding

accounting and reporting

principles and control guidelines.

Remediation

Implementation of

management actions

to strengthen the

control environment.

Scope

Defined based on

Strategy, Regulatory

requirements and Risk

assessment.

Monitoring, testing

and reporting

Management uses

various approaches

such as Continuous

Control Monitoring,

separate Internal

Control assessments,

management testing, etc.

The findings are reported

to relevant stakeholders.

Control development

Define and enhance

the controls. Increase

control automation and

continuous monitoring.

Internal

Control activity

Focus on controls over nancial and

sustainability reporting and prevention

of fraud and nancial losses.

Building effective Internal Control is an ongoing process

driven by strategy and control objectives

Monitoring

The Audit Committee oversees the Company’s finances,

financial reporting, statutory sustainability reporting, risk

management, as well as the Internal Control and Inter-

nal Audit functions, as part of the Company’s corporate

governance. Internal control deficiencies are communi-

cated in a timely manner to those parties responsible for

taking corrective action, and to management and the

Board’s Audit Committee as appropriate.

The Internal Control function acts on behalf of the

stakeholders to monitor the performance and assess

the adequacy of the controls. Results are reported reg-

ularly to the Neste Leadership Team.

Corporate Internal Audit assesses the operational

model and practices of internal control over Neste’s

financial and sustainability reporting as part of business

and process-level audits.

2025

In 2025, the Internal Control function focused its

resources on adapting the mature control environ-

ment to a changing operational landscape. Con-

currently with significant updates to the organiza-

tional structure and the clarification of roles, the

function performed essential maintenance and

adaptation of the control framework to reflect

the clarified organizational structure and updated

responsibilities, thereby ensuring continued align-

ment with the new operating model. Following the

multi-year development phase (2019–2024), the

primary emphasis shifted to maintaining the effec-

tiveness and quality of the critical controls. This

approach ensured that the control framework

remained up-to-date and fit for purpose in accor-

dance with the new operating model.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Performance Management Process

Neste’s Performance Management Process plays an

essential role in helping the Group attain its strategic

goals and reinforcing its performance-driven mindset.

Neste's performance leadership approach fosters con-

tinuous dialog and adaptability to ensure daily opera-

tions are aligned with changing business needs.

Performance management comprises daily leader-

ship, through which individuals, teams, units and the

Company can achieve selected strategic priorities and

develop organizational capability. Performance leader-

ship is used to ensure that everyone knows the values

and objectives of the Company, and their short- and

long-term objectives, and what kind of competence is

needed and developed to achieve these objectives.

Individual and team goals are based on Neste’s strat-

egy and way of working. There is a clear link between

wellbeing at work and good leadership performance.

The key elements in the Neste daily performance lead-

ership approach are:

• setting challenging goals and following them through;

• supporting the achievement of goals with regular

feedback;

• evaluating one’s own performance and results;

• developing ways of working and taking responsibility

for one’s own competence development; and

• holding regular personal development discussions

and check-in discussions that support day-to-day

work.

From a financial outlook and reporting perspective, the

Neste Performance Management Process consists

of long-term financial projections based on the strat-

egy and annual planning and forecasting in a midterm.

During the year, performance is evaluated weekly and

monthly through Management Reporting and Monthly

performance reviews.

Financials and KPI-related information is evaluated

against the strategic goals and business plans, and

required actions are steered and followed throughout

the year.

Leading performance in daily work

Target setting discussion

One-on-on

uraging

Forward discussionCaring and intervening

eam members – current topics

Mission

Vision

Strategy

Value

creation

programs

Continuous development, rewarding

Value creation

Results Wellbeing

at work

Renewal

Performance Management Process

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Risk management objectives and scope

Neste recognizes risk management as an integral part of

sound management practice and an essential element

of good corporate governance. As an element of uncer-

tainty (opportunity or threat), risk is an inevitable compo-

nent of running the business. Systematic risk manage-

ment practices are the means to ensure that Neste is

successful in achieving the set strategic goals and busi-

ness objectives and can maintain continuous operations

in a changing business environment. Neste’s risk man-

agement practices can be characterized by the follow-

ing statements:

• The company emphasizes risk awareness and

proactive management of risks;

• Risk management is a continuous process that is

subject to improvement to reflect changes in the

external and internal environment;

• The purpose of risk management is to systematically

analyze and manage risks to increase the likelihood

of achieving set objectives;

• Risks are managed as an integrated part of planning,

decision making, and operational processes with a

defined structure of roles and responsibilities; and

• Risk status and the sufficiency of risk treatment

actions and controls are monitored systematically.

Risk management framework

and principles

Framework and principles for risk management have

been defined in the Neste Corporate Risk Management

policy, which has been approved by the Board of Direc-

tors. The policy is supplemented by risk management

principles, guidelines and instructions for specific risk

disciplines. Neste’s risk management framework and

processes are aligned with the internationally recognized

best practices for risk management (COSO: Enterprise

Risk Management – Integrating with Strategy and Per-

formance; and ISO 31000 standard).

Risk governance

The Neste Board of Directors has the ultimate account-

ability for risk oversight. Among other duties, the Board

is in this role responsible for setting the Group’s risk

appetite and for approving the Corporate Risk Man-

agement Policy. Practical implementation, development

and monitoring of risk management processes is based

on the three lines of defense model. The model distin-

guishes between:

1st line of defense

The first line of defense is responsible for setting the objec-

tives, managing day-to-day performance and reinforcing

risk responses to achieve the set targets. At Neste, the

first-line actors include Business Areas and Functions in

their first-line roles. As a part of the first line of defense,

Neste’s President and CEO and the Neste Leadership

Team have the overall accountability for appropriate risk

management practices.

In practice, Business Areas and Functions own and

manage risks with the help of a dedicated network of

risk champions and coordinators. The role of the risk

champions/coordinators is to represent different risk dis-

ciplines and to ensure that risk discussions are embed-

ded in everyday management routines.

2nd line of defense

The role of the actors in the second line of defense is to

provide guidance, support, facilitation and consultation

for risk management. The second line of defense needs

to have some degree of independence from the first line

of defense to be able to challenge the first line in man-

aging performance and making risk-informed decisions.

At Neste, the second line of defense includes Functions

in their second-line roles and specialist teams (corporate

risk management, compliance and internal controls).

Risk management

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Corporate Governance Statement Risk management Remuneration report

President and CEO and

Neste Leadership Team

1st Line of Defense

Ownership for risk taking

and risk treatment

2nd Line of Defense

Risk management support, facilitation,

and consultation

3rd Line of Defense

Independent assurance

Risk governance

Board of Directors

Audit Committee

Ethics and Compliance

Committee, CFO

Internal

Control

CRO

Risk

management

Compliance Internal Audit

Risk champions

Functions

Business Areas

The Chief Risk Officer (CRO) assisted by the corpo-

rate risk management team has the overall responsibil-

ity to confirm that risk management activities are car-

ried out consistently throughout Neste Group and all

risk classes. Corporate risk management also drives the

overall development of risk management practices and

tools. In addition, Neste has established a separate Eth-

ics and Compliance Committee that increases manage-

ment oversight of compliance and ethics-related issues

within the Group. The Committee also ascertains the

adequacy of mitigation actions in higher-risk compliance

areas.

3rd line of defense

As an independent team, Internal Audit evaluates the

effectiveness and efficiency of the corporate-level risk

governance model and related risk management pro-

cesses, including the effectiveness of internal controls

and other risk treatment actions in the scope of each

audit. Internal Audit also provides recommendations for

improvement areas.

Risk reporting

Risk reporting aims for transparent, consistent and

comprehensive communication of risk status in different

areas. As a result of risk reporting, the Company’s risk

profile can be compared with the defined risk appetite,

and it can be concluded whether additional risk treat-

ment actions are needed.

Communication regarding the most important risk

issues takes place along the strategic planning and per-

formance management cycle. Formal risk reporting is

directed to the Business Area and Function manage-

ment teams, the Neste Leadership Team, the Audit

Committee and the Board of Directors. The corporate

risk management team is responsible for aggregating

risk information for reporting to different internal and

external audiences.

Risk management focus in 2025

In 2025, risk management initiatives focused on stra-

tegic and external risks including scenario analyses on

geopolitical risks. Other specific focus areas included

risk management support for investment projects and

the Performance Improvement Program. Risk manage-

ment also played an important role in aligning risk pro-

cesses, roles and responsibilities after the organizational

changes in 2025.

Risks related to Neste’s business

In the pursuit of its objectives and targets, Neste is

exposed to various risk factors that stem from the exter-

nal environment, internal decision making, operating

processes and systems in use. In Neste’s risk model,

risks are classified as external, strategic and operational

risks based on their origin.

• External risks are exposures that Neste cannot fully

influence or control. Main risk classes are changes in

the external environment and risks in the extended

enterprise;

• Strategic risks relate to strategic choices, strategy

implementation and risks in the execution of

major projects. Strategic risks are not inherently

undesirable, as they typically contain both upside

and downside risk potential; and

• The third category of risks, operational risks,

consists of various risk classes that arise within the

organization and are mostly controllable. In general,

Neste does not gain strategic benefits from taking

these risks.

The most significant risk factors relate to the areas men-

tioned below. Any one of the risks, either singly or in

the aggregate, may have a material adverse effect on

Neste’s business, financial condition, operating results

and future prospects.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Risk type Risk level

External

Economic conditions While the macroeconomic outlook has shown some signs of improvement, growth forecasts in Neste's key markets remain modest. A decline in global economic activity could adversely

affect demand for Neste's products and associated margins. Furthermore, macroeconomic uncertainty has prompted governments to re-evaluate the affordability and funding of renewable

energy. This reassessment could slow the advancement of climate policies or diminish overall climate ambitions, both of which are important for supporting demand for Neste's renewable

products.

Geopolitics Geopolitical and trade policy tensions, alongside emerging conflicts, may disrupt international trade, financial markets, and supply chains. For instance, the continuation or escalation of ten-

sions in Europe, the Middle East, and the South China Sea could increase regional instability and disrupt the balance and security of global energy markets. These factors could impact the

balance of supply and demand in Neste's key markets and expose supply chains to additional disruption. Such disruptions could materially and adversely impact Neste's access to feed-

stocks, its ability to deliver products, and the completion of investment projects.

Climate change Neste's businesses are exposed to both physical risks (direct and acute) and transition risks. Extreme weather events and natural hazards could expose Neste's production and logistics

infrastructure to unexpected disruption. Physical risks could also affect availability of key utilities and viability of different feedstock sourcing initiatives. Policy and legal implications of transi-

tioning to a low-climate-impact economy could include economic and regulatory adjustments that affect e.g. emission trading schemes, technology requirements and valuation of assets.

The indirect economic and political consequences of climate change may also contribute to the general uncertainty in the business environment.

Laws and regulation Changing regulation presents both an opportunity and a threat to Neste’s business. Neste benefits from increased support for biofuels and renewable fuels, like Renewable Energy Directive

III targets for renewable fuels in transport and its implementation in EU member states. However, changes in regulation, especially in the European Union and the United States, also create

uncertainties. Regulatory changes may influence the speed at which the demand for renewable products develops, and which raw materials sources are accepted. Increasing nationalism

and protectionist regulation may further fragment global renewable markets, leading to more regionalized incentive schemes, like Clean Fuel Production Credit in the US.

Low to moderate risk level and potential impact on the execution of set targets and objectives.

Efficient risk mitigating actions and controls in place.

Moderate risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

Substantial risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

Risks related to Neste’s business

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Risk type Risk level

Strategic

Technology Neste’s proprietary NEXBTL production technology is a proven technology for producing high-quality diesel and sustainable aviation fuel (SAF) from renewable raw materials. However, there

is no assurance that this competitive position will continue as new players enter the market, and current competitors develop their technologies or preferences, either customer or legislative.

The more rapid than anticipated development of alternative feedstocks and production technologies for liquid fuels, the evolution and adoption of engine technologies, and the introduction of

alternative powertrains could increase competition for NEXBTL, which may decrease demand and lower margins for Neste’s products. Furthermore, the demand for and margins of Neste’s

products could be adversely affected by regulatory preferences for technologies or products that compete with Neste’s.

Competition Increases in global renewable refining and co-processing capacity relative to growth in demand for the renewable products may have a material adverse effect on Neste. Staying ahead of

the competition requires continuous improvement, the ability to challenge current business models and a strong focus on innovations such as new production technologies and feedstock

platforms. Neste’s ability to source renewable feedstocks at quantities sufficient for its production targets and at acceptable prices is vital to achieving its strategic objectives. If new compet-

itor capacities lead to supplies of renewable products exceeding demand, or if Neste’s renewable products become less competitive, it may reduce Neste’s refining margins for renewable

products.

Project risks Successful projects play a key role in Neste’s strategy deployment, operational development and the digitization of processes. Possible delays in growth projects or in the ramp-up of new

production facilities pose a risk to Neste. Significant delays in project planning or execution may also reduce operational efficiency or impair Neste’s ability to secure its competitive position

in the future.

Operational

Business continuity The importance of business continuity management has been highlighted in the changing environment. At the company level, scenario work has played an important role, e.g., in testing

potential market environment drivers and resilience to various scenarios.

At the operational level, Neste’s business performance greatly depends on the continuous reliability of its refining activities. Any shutdown of Neste’s operations, whether planned or

unplanned, could have a material adverse effect on Neste’s business. In addition to the planned maintenance turnarounds, disruptions in the supply of utilities or breakdown of critical machin-

ery could cause unexpected shutdowns that would affect Neste’s ability to fulfill demand for end products. Likewise, interruptions in the supply chain and logistics network are a risk for Neste

including inherent risks in maritime operations.

Neste has insurance programs in place to provide protection e.g. in respect of its industrial assets. However, Neste is not insured against all potential losses. Neste could incur significant

uninsured losses arising from events including operational failures, deliberate sabotage or natural hazards. Such events could have a material adverse effect on Neste's business and results

of operations.

Safety and quality As Neste operates in a high-hazard industry there are inherent safety risks to people and the environment. To manage these risks Neste has robust safety and environmental management

systems in place. Neste’s products and services must also continuously meet customer requirements related, e.g., to product quality and sustainability. Evolving customer requirements,

complex sourcing and logistics networks and production methods increase the exposure to quality risks that need to be managed well to maintain the high-quality brand image. As risk mit-

igation, Neste has implemented systematic quality management measures, both in its own operations and in partner networks.

Low to moderate risk level and potential impact on the execution of set targets and objectives.

Efficient risk mitigating actions and controls in place.

Moderate risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

Substantial risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

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Corporate Governance Statement Risk management Remuneration report

Risk type Risk level

Operational

Market risks

Neste’s financial results are primarily affected by the price differential, or margin, between refined petroleum and renewable product prices; and the prices for the crude oil, different vegeta-

ble oils and other feedstock used. Historically, refining margins have been volatile, and they are likely to continue to be so in the future. The main factors that may affect the refining margins

include:

• Changes in the aggregate demand for and supply of raw materials and products;

• Changes in the demand for and supply of specific raw materials and products;

• Raw materials and product price fluctuations; and

• The evolution of worldwide refining capacity, and especially the development of refining capacity related to petroleum and renewable products similar to Neste’s.

Volatility in oil and gas markets is expected to remain high due to eg. supply risks associated with the Ukraine war, conflicts in the Middle East and trade tensions. In the renewable fuels mar-

ket, fuel supply and demand are impacted by changing regulation and trade politics, both on the feedstock and product side. Overall supportive trend for energy transition has incentivized

growth in renewables production capacity whereas demand and renewables margin levels are highly dependent on both regulatory and voluntary demand growth.

As a part of risk management, Neste uses derivative instruments to protect its position against fluctuations in commodity prices. Neste is exposed to foreign exchange risks because most

of the sales are denominated in US dollars, whereas operating expenses (except the purchase of raw materials) are recorded in euros. Neste limits the uncertainties related to changes in for-

eign exchange rates by hedging its currency risks in contracted and forecasted cash flows and balance sheet exposures. More information about market risks can be found in the Financial

statements Note 3 section of the Annual Report.

Compliance Neste’s operations and products are subject to extensive regulation (incl. environmental, health and safety, sustainability). General regulatory requirements in areas like commodity trading

and data protection have also contributed to the formalization of operating procedures. As Neste’s supply base has become more fragmented and diversified, and global supply chains have

expanded, there is an increased exposure to regulatory requirements, as well as business conduct and sustainability risks. It is critical that Neste stays at all times compliant with various

regulatory acts and sanction regimes. Non-compliance with applicable regulation or external requirements would have both adverse financial and reputational impact on Neste.

Counterparty

and credit risks

Counterparty risk arises from all business relationships where Neste is exposed to the counterparty’s failure to perform according to Neste’s requirements and contractual commitments.

The extent of counterparty risk has increased along the continued diversification of Neste’s supply base and customer segments. To manage the risk, Neste has implemented systematic

controls for counterparty screening and monitoring. Especially on the sales side, Neste is also exposed to credit risk, i.e., the potential failure of a counterparty to meet its contractual payment

obligations. Risk magnitude depends on the size of the exposure concerned and the counterparty’s creditworthiness, which is assessed systematically both during onboarding and during

the relationship.

Sustainability risks

The most significant sustainability risks that relate to Neste’s own operations or to the extended enterprise have been reported in line with the requirements of the Sustainability statement as

a part of the Review by the Board of Directors.

Information

security and cyber

Neste's core business processes rely heavily on the secure and reliable operation of its information technology (IT) systems and the availability of critical data. While Neste leverages digitali-

zation and emerging technologies to enhance operational efficiency and innovation, it recognizes the evolving threat landscape posed by increasingly sophisticated cyberattacks, particularly

targeting the oil and gas sector.

Neste acknowledges that disruptions to its key IT systems, data breaches, violations of data privacy regulations, malicious cyberattacks or any other malicious attempts targeting operational

technology (OT) and industrial control systems (ICS) could significantly impact business operations, profitability, and reputation. Therefore, Neste is committed to implementing and maintaining

a robust cybersecurity program to ensure the confidentiality, integrity, and availability of its critical assets.

Low to moderate risk level and potential impact on the execution of set targets and objectives.

Efficient risk mitigating actions and controls in place.

Moderate risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

Substantial risk level and potential impact on the execution of set targets and objectives.

Limited risk mitigation possibilities, area of risk management focus.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

Dear Shareholder,

I am pleased to present the first remuneration report

since my appointment as Chair of the Neste Board and

Personnel and Remuneration Committee.

At Neste, we want to ensure that our remuneration

supports the business strategy and performance on all

organizational levels. We believe competitive and fair

rewarding will contribute to Neste’s long-term financial

success, encouraging value-based behavior and individ-

ual accountability. It also contributes to long-term value

for all our stakeholders.

The year 2025 was Heikki Malinen’s first full year as

the President and CEO, during which Neste focused

on selected priorities to improve profitability, operational

excellence and safety. In 2025, all Neste’s business areas

had solid performance – successful commercial opera-

tions in Renewable Products, high operational availabil-

ity in Oil Products and good operational performance in

Marketing and Services.

In 2025, Neste renewed its short-term incentive

(STI) plan to better support the company's priorities by

more focused goal structure and metrics. The aim is to

enhance overall performance, drive operational excel-

lence, and foster continuous improvement across all

businesses and functions. Performance is measured by

all businesses’ comparable EBITDA, group free cash

flow and safety metrics. Solid business performance is

reflected in the short-term incentives (STI) that will be

paid in 2026 for the financial year 2025.

Over the past three years, Neste faced significant

challenges in the markets, which affected the develop-

ment of Neste’s shareholder return. The Performance

Share Plan (PSP) 2023–2025 main performance met-

ric was relative Total Shareholder Return (relative TSR)

of Neste shares compared to the STOXX Europe 600

index between 2023 and 2025 with a weight of 80%.

The Neste Total Shareholder Return was compared to

the index at the 1.3th percentile and the result of this

metric was 0%. The second performance metric was

combined Greenhouse Gas impact with a weight of

20%. The result of this metric was 0%. Consequently,

no shares reward will be paid in 2026 under the Perfor-

mance share plan (PSP) 2023–2025.

In 2025, Neste renewed its long-term incentive (LTI)

plan to support the company’s strategy implementation

and long-term value creation. The new performance

metrics are Renewable Fuels Sales Volume and Neste

comparable ROACE. We at Neste believe these new

metrics will further encourage management’s and key

employee’s commitment to Neste’s sustainable growth.

Simultaneously, a pay cap for paid total variable remu-

neration was implemented and set at 230% of annual

fixed compensation for the CEO and at 200% of annual

fixed compensation for the senior management.

Neste continues to utilize short- and long-term incen-

tive plans to drive the company's performance and long-

term financial success. To ensure continuity and clarity,

in 2026 metrics for variable pay plans will be the same

as in 2025.

Neste Remuneration Report 2025

Letter from the Chair of the Neste Board of Directors

The following Remuneration Report outlines the remu-

neration of the members of the Board of Directors, the

President and CEO Heikki Malinen and the previous

President and CEO Matti Lehmus for the financial year

2025.

I welcome any feedback on Neste’s Remuneration

Report for 2025.

Pasi Laine

Chair of the Board of Directors and

Personnel and Remuneration Committee

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Corporate Governance Statement Risk management Remuneration report

This Remuneration Report has been prepared in accordance with the Finnish Corporate Governance Code 2025,

and the requirements set forth in the Finnish Limited Liability Companies Act, the Finnish Securities Markets Act and

the Decree of the Ministry of Finance. The report will be presented at the 2026 AGM of Neste for an advisory share-

holder vote.

Our remuneration programs at Neste reflect our longstanding remuneration principles of supporting the strat-

egy, paying for performance and thereby supporting Neste’s long-term financial success, encouraging value-based

behavior and individual accountability, and paying competitively and fairly.

Based on our remuneration principles, we have designed our remuneration policies, practices and processes to

ensure that we can compete and retain the best talents in the diverse markets in which we operate. We believe that

our performance-based remuneration programs, combined with selecting the right individuals for key positions, tar-

geted talent development, proactive succession planning and appropriate market competitive compensation are key

to our future success.

Introduction

For our CEO, a significant proportion of remuneration is derived from variable pay to ensure that there is a strong

alignment between sustainable value creation for shareholders, company performance and compensation. The Board

of Directors sets the targets for both short- and long-term incentives, and the variable payouts are directly linked to

strategic financial and ESG measures.

Application of the Remuneration Policy in 2025

The remuneration for the Board of Directors and the CEOs during the financial year 2025 was executed in accor-

dance with the 2024 Remuneration Policy. No deviations from the Remuneration Policy have been made, and no

remuneration of the Board of Directors or the CEOs has been reclaimed or restated during the financial year 2025.

Remuneration and company performance over the last five financial years

2021 2022 2023 2024 2025

Company performance (in EUR million)

Comparable EBITDA 1,920 3,537 3,458 1,252 1,683

Paid compensation (in EUR thousands)

Average compensation of Members of the Board

51 73 63 83 83

President and CEO

2,046 1,436 2,014 1,689 2,839

Average compensation of Neste employee

78 86 89 85 90

Average compensation of Neste employee in Finland

72 76 77 74 80

Includes all fees paid to the members (annual board fees, meeting fees). The payment practice changed in 2022 and board fee was paid monthly until AGM and total annual board fee from board membership 2022–2023 was paid in May 2022.

Taxable value of the remuneration in each year, includes all remuneration elements: fixed salary including benefits, short- and long-term incentive payments and supplementary pension contributions. The total amount reflects the remuneration of Peter Vanacker until 4/2022,

Matti Lehmus from 5/2022 until 14 October 2024 and Heikki Malinen from 15 October 2024 onwards.

Includes all wages and salaries incl. incentive payments (STI based on accrual, LTI based on accounting value) without indirect employee costs (social security costs, pension costs, other costs) divided by the average number of personnel during the year.

Annual review Governance Review by the Board of Directors Financial statements

Corporate Governance Statement Risk management Remuneration report

The Annual General Meeting decides on the remuneration for the members of the Board, based on the proposal of

the Shareholders’ Nomination Board, for one period at a time until the closure of the next AGM. On 25 March 2025,

the 2025 AGM confirmed the following annual fees for the members of the Board of Directors. 99.34% of the votes

cast were in favor of the proposal of the Shareholders’ Nomination Board.

Remuneration of the Board of Directors for the previous financial year

Chair 165,000 EUR per annum

Vice Chair 90,000 EUR per annum

Chair of Audit Committee

90,000 EUR per annum

Members 75,000 EUR per annum

Meeting fees

Meeting held in the member’s home country 1,000 EUR

Meeting held outside the member’s home country 2,000 EUR

If he or she does not simultaneously act as Chair or Vice Chair of the Board

EUR Total annual fee Meeting fees Total

Pasi Laine, Chair

165,000 25,000 190,000

John Abbott, Vice Chair

90,000 21,000 111,000

Nick Elmslie 75,000 29,000 104,000

Anna Hyvönen

75,000 16,000 91,000

Just Jansz 75,000 23,000 98,000

Essimari Kairisto

90,000 20,000 110,000

Conrad Keijzer 75,000 26,000 101,000

Sari Mannonen 75,000 24,000 99,000

Former Board members

Matti Kähkönen (Chair until 25 March 2025) - 3,000 3,000

Eeva Sipilä (Vice Chair until 13 February 2025) - 4,000 4,000

Johanna Söderström (Member until 25 March 2025) - 6,000 6,000

Chair of the Board since 25 March 2025.

Vice Chair of the Board since 25 March 2025.

Member of the Board since 25 March 2025.

Remuneration has been paid from the parent company.

Meeting fees were paid based on attendance, plus compensation for expenses in accordance with the Company’s

travel guidelines.

The meeting fee for meetings held over the telephone or through other means of data communication was paid

according to the fee payable for meetings held in each member’s home country. The meeting attendance fees include

meeting fees paid due to special tasks set by the Board of Directors, but not travel expenses.

Details of the shareholdings of the Board of Directors are shown on the web pages.

Remuneration paid to the members of the Board in 2025

The AGM 2025 decided that 40% of the fixed annual fee was to be paid in the form of shares, and 60% in cash.

The shares were purchased directly on behalf of the Board members within two weeks following the publication of

the interim report for the period 1 January to 31 March 2025 from the market at a price formed in public trading.

The Company has paid all costs and transfer tax related to the purchase of Company shares. Transfer tax has been

handled as taxable income for each member. The total cash part of the annual Board fee for the Board membership

period 2025–2026 were paid in May 2025. Meeting fees were paid during the year after the meetings.

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Corporate Governance Statement Risk management Remuneration report

Neste’s Board of Directors decides on the remuneration of the President and CEO. The available remuneration ele-

ments are defined in Neste’s Remuneration Policy and are aligned with market practices. The remuneration of the

CEO consists of a fixed annual remuneration, including a base salary and fringe benefits, and variable remuneration,

including short- and long-term incentives plans and a supplementary pension.

Variable remuneration

The President and CEO’s short-term incentives, including the terms and conditions, are determined by Neste’s Board

of Directors. The Board of Directors annually sets and evaluates targets for the President and CEO. The maximum

short-term incentive for the current President and CEO was 120% in 2025.

The Board of Directors decides on and implements Neste’s long-term incentive plans and the earning opportu-

nity for the President and CEO. The purpose of these plans is to drive Neste’s long-term performance and success.

Currently the maximum LTI earning opportunity for the President and CEO is 200% of annual fixed salary at grant.

The combined value of variable remuneration elements (the STI and LTI) paid during a calendar year cannot exceed

230% of annual fixed compensation.

Supplementary pension

The supplementary pension of the current President and CEO is a defined contribution plan with an annual contribu-

tion of 20% of the fixed annual salary and a retirement age of 66 years.

Remuneration of the President and CEO in 2025

President and CEO’s total remuneration Paid in 2025 (EUR)

Fixed annual salary

1,200,240

Short-term incentive plan

11,340

Long-term incentive plan, taxable value

of one-time supplementary arrangement 1,250,000 EUR paid in shares

1,375,573

Supplementary pension 252,000

Total 2,839,153

Proportion of fixed and variable remuneration (supplementary pension excluded)

Fixed 46%

Variable 54%

Benefits and vacation pay included in the fixed remuneration.

Based on the financial year 2024 performance and prorated to start date.

Taxable value of one-time supplementary arrangement of 1,250,000 EUR paid in shares that vested in October 2025. The monetary

amount of this reward was converted to shares based on the fair value of Neste share which prevailed at the vesting time. The difference

between the value of this reward at vesting and the taxable value on the date of actual payment is due to the development of the share

price. At vesting the share price used was EUR 16.42 (based on volume weighted average price during 8 August – 29 October 2025)

and the date of payment 31 October 2025 the share price was EUR 18.07 (volume weighted average price on 31 October 2025).

The previous CEO Matti Lehmus received in 2025 as termination benefits in accordance with his contract

475,430 EUR fixed salary including benefits and vacation pay, 162,672 EUR STI (STI 2024 paid in 2025 and STI

2025 prorated until end date), 4,742 EUR LTI payment for PSP 2022–2024, 56,329 EUR supplementary pension

payment and 450,630 EUR severance payment of six months salary.

Remuneration has been paid from the parent company.

The table below includes the taxable value of the remuneration for the President and CEO Heikki Malinen:

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Corporate Governance Statement Risk management Remuneration report

STI 2024,

paid in 2025

STI 2025,

to be paid in March 2026

Performance metric

Weight

in 2024

2024 Performance

outcome %

Threshold 50%

Target 100%

Maximum 200%

Weight

in 2025

2025 Performance

outcome %

Minimum 0%

Maximum 100%

Renewable Products

comparable EBITDA 30% 0 35% 70%

Oil Products comparable

EBITDA 20% 0 25% 62%

Group Free Cash Flow 20% 0 30% 100%

Comparable ROACE 10% 0 - -

Group Safety (TRIF) 10% 60 5% 13%

Group Process Safety (PSER) 10% 0 5% 67%

Total weighted outcome

100% 6 100% 74%

The maximum short-term incentive for the President and CEO is 120% in 2026. Details of the short-term incen-

tive plan 2026 metrics for the President and CEO for 2026, potential reward payment in March 2027:

Performance metric Weight

Renewable Products comparable EBITDA, MEUR 35%

Oil Products comparable EBITDA, MEUR 25%

Group Free Cash Flow, MEUR 30%

Group Safety (TRIF) 5%

Group Process Safety (PSER) 5%

With performance metric outcomes without rounding

Short-term incentives

The purpose of the short-term incentives is to reward and incentivize improvements in short-term financial and oper-

ational performance and support the delivery of the business strategy.

The incentive payment of 1,512,000 EUR will be paid in March 2026 for the President and CEO Heikki Malinen.

According to his contractual agreement, STI 2025 and STI 2026 include a multiplier and final STI payment will be mul-

tiplied by two. However the maximum STI payment is capped at 120% of the annual fixed compensation, and any

STI reward exceeding this will not be paid.

Below are details of the short-term incentive plans in 2024 and 2025. STI scale changed for 2025 related to the

renewal of the short-term incentive plan.

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Long-term incentives

The objectives of the share-based long-term incentive scheme are to align the interests of Neste’ management and

key employees with those of the Company’s shareholders and, thus, to promote shareholder value creation in the

long term, to commit management to achieving Neste’s strategic targets and to retain its key employees.

Performance Share Plan 2023–2025 will vest in 2026. The plan had a three year-long performance period for both

metrics and the total performance outcome was 0%.

Performance

Share Plan Performance metric Weight

Performance

metric

outcome %

Total weighted

Performance

outcome % Number of max gross shares granted Number of gross shares vested

Vesting

time

Heikki Malinen Matti Lehmus Heikki Malinen Matti Lehmus

PSP 2022–2024 Relative Total Shareholder Return (TSR) compared

to the STOXX Europe 600 Index

80% 0% 2% - 26,400 - 528 2025

Combined Greenhouse Gas Impact 2022–2024 20% 10%

PSP 2023–2025 Relative Total Shareholder Return (TSR) compared

to the STOXX Europe 600 Index

80% 0% 0% Prorated 29,097 from

employment start date

Original 23,600,

prorated 18,683

until end date

0 0 2026

Combined Greenhouse Gas Impact 2023–2025 20% 0%

PSP 2024–2026 Relative Total Shareholder Return (TSR) compared

to the STOXX Europe 600 Index

80% - - Prorated 54,038 from

employment start date

Original 33,700

Prorated 15,446

until end date

- - 2027

Combined Greenhouse Gas Impact 2024–2026 20% - -

PSP 2025–2027 Renewable Fuels Sales Volume 2025–2027 60% - - 290,200 n/a n/a 2028

Neste comparable ROACE 2027 40% - -

Restricted

Share Plan

RSP 2022–2024

RSP 2023–2025

RSP 2024–2026

- - - - 1,250,000 EUR

in shares

n/a 76,123

RSP 2022–2024: 53,700

RSP 2023–2025: 18,680

RSP 2024–2026: 3,743

n/a 2025

The President and CEO Heikki Malinen was also entitled to a one-time supplementary arrangement of 1,250,000

EUR payable in shares (Restricted Share Plan) which vested in October 2025. This was granted at hire in recognition

of forfeiting previous employer awards according to Neste Remuneration Policy. The one-time award was granted in

shares to create a link to company long-term share performance and encourage share ownership. The President and

CEO is required to accumulate and maintain a shareholding which is equivalent to the annual fixed salary.

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Review by the

Board of Directors

Review by the Board of Directors 79

Sustainability statement 86

Key gures 146

Calculation of key gures 148

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Review by the Board of Directors 2025

The year 2025 marked a turning point for Neste, and the company succeeded in improving its financial performance. The beginning

of the year was challenging for the company in many ways amidst depressed oil and renewable products markets. To change course,

the company decisively initiated a group-wide performance improvement program, including strict capital discipline. During the

year, Neste managed to streamline the operations, improve cost-competitiveness and strengthen the financial performance. While

the program continues in 2026 and there is still a lot to do, Neste’s operational efficiency and financial position have significantly

improved. At the same time, the company is seeing favorable regulatory developments and increasing demand for renewable fuels

in Europe.

Group full-year comparable EBITDA reached EUR 1,683 (1,252) million. The performance improvement program managed to

reach EUR 376 million EBITDA run rate improvement in 2025. The program exceeded the target of EUR 350 million EBITDA run

rate improvement one year ahead of the original timeline of the end of 2026. The free cash flow was EUR 759 (-341) million driven

by improved business performance, tight working capital management and successful execution of the performance improvement

program. This decreased the company’s leverage ratio to 34.3% (36.1%), which is well below its financial target of 40%.

In Renewable Products, the full-year comparable sales margin was USD 411 (377)/ton and the segment’s comparable EBITDA

improved to EUR 764 (514) million. Sales volume in Renewable Products reached 4.1 (3.7) million tons. The renewable diesel market

improved towards the end of the year.

In Oil Products, the full-year total refining margin was USD 14.0 (14.1)/bbl and comparable EBITDA increased to EUR 808 (633)

million. Average refinery utilization rate of the Porvoo refinery was 90% (76%) in 2025.

In Marketing & Services, the comparable EBITDA for the full year reached EUR 111 (101) million.

Neste’s strategic investment project in Rotterdam proceeded throughout 2025 and when completed the expanded refinery will

be optimally positioned to support the growing European renewables market. The investment will increase Neste’s total renewables

annual nameplate production capacity to 6.8 Mt.

The Board has proposed a dividend payout of 0.20 euros (0.20) per share for the year 2025 to the Annual General Meeting.

Figures in parentheses refer to the financial statements for 2024, unless otherwise noted.

The Group’s results for 2025

Neste's full-year 2025 revenue totaled EUR 19,016 (20,635) million. Lower prices reduced revenue by EUR -1.2 billion. This was

compensated by volume increases in both Renewable Products and Oil Products that resulted in EUR 2.0 billion positive impact.

Currency exchange rates together with lower Oil Products trading volume and trading price had an approximately EUR -2.4 billion

negative impact on revenue.

Group comparable EBITDA was EUR 1,683 (1,252) million. Higher sales volumes and margins supported Renewable Products

with comparable EBITDA increasing to EUR 764 (514) million and higher sales margins increased Oil Products' comparable EBITDA

to EUR 808 (633) million. Marketing & Services’ comparable EBITDA rose to EUR 111 (101) million.

Group EBITDA was EUR 1,438 (1,005) million. Inventory valuation losses were EUR -159 (-359) million and changes in the fair

value of open commodity and currency derivatives EUR -42 (84) million. Organizational restructuring related one-off costs booked

totaled EUR 37 million. These one-off costs have been eliminated from comparable EBITDA. Profit before income taxes was EUR

199 (-113) million, and net profit was EUR 144 (-95) million. Earnings per share were EUR 0.19 (-0.12).

Annual review Governance Review by the Board of Directors Financial statements

Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

2025 2024

Comparable EBITDA 1,683 1,252

- inventory valuation gains/losses -159 -359

- changes in the fair value of open commodity and currency derivatives -42 84

- capital gains/losses 4 -2

- other adjustments -49 29

EBITDA 1,438 1,005

Revenue 2025 2024

Renewable Products 8,095 7,321

Oil Products 9,322 11,829

Marketing & Services 4,310 4,687

Others 166 125

Eliminations -2,878 -3,326

Total 19,016 20,635

Comparable EBITDA 2025 2024

Renewable Products 764 514

Oil Products 808 633

Marketing & Services 111 101

Others -1 -1

Eliminations 1 6

Total 1,683 1,252

Operating profit 2025 2024

Renewable Products 151 -347

Oil Products 325 345

Marketing & Services 82 72

Others -62 -51

Eliminations 6 6

Total 503 25

Group key figures, MEUR

Financial targets

Neste’s key financial targets are to reach EUR 350 million EBITDA

run rate improvement by the end of 2026 from the performance

improvement program, and to maintain the leverage ratio below 40%. At the end of December, the EBITDA run rate improvement

from the performance improvement program reached EUR 376 million, and leverage ratio was well below the 40% target at 34.3%.

Cash flow, investments, and financing

The Group’s net cash generated from operating activities totaled EUR 1,747 (1,154) million in 2025. The increase to the previous

year resulted from improved profitability and release of net working capital. The Group's net working capital in days outstanding was

34.7 (39.4) days on a rolling 12-month basis at the end of the year. Despite the continued capital expenditure in Rotterdam refinery

expansion project, the Group’s cash flow before financing activities improved to EUR 759 (-341) million during 2025.

MEUR 2025 2024

EBITDA 1,438 1,005

Capital gains/losses -3 1

Other adjustments 139 -150

Change in net working capital 364 454

Finance cost, net

-180 -150

Income taxes paid -11 -5

Net cash generated from operating activities 1,747 1,154

Capital expenditure -936 -1,563

Other investing activities -52 67

Free cash flow (Cash flow before financing activities) 759 -341

Cash-out investments excluding M&A were EUR 923 (1,552) million, and totaled EUR 939 (1,566) million including M&A in 2025.

Renewable Products' investments amounted to EUR 753 (1,012) million, Oil Products’ investments totaled EUR 139 (466) million

and Marketing & Services' investments were EUR 24 (27) million. Investments in Others were EUR 23 (61) million. The comparison

figure in both Group and Oil Products segment is impacted by the Porvoo turnaround 2024.

Neste completed several financing transactions in 2025. These included the issuance of a EUR 700 million green bond through

its Euro Medium Term Note (EMTN) program and refinancing of its EUR 1,300 million syndicated multicurrency revolving credit

agreement. Furthermore, Neste refinanced a total of EUR 500 million of debt.

Interest-bearing net debt was EUR 3,817 (4,192) million at the end of December 2025. The net debt ratio to rolling 12 months

EBITDA was 2.7 (4.2). The average interest rate of borrowing at the end of December was 3.8% (3.3%) and the average maturity

was 3.9 (4.1) years.

The Finance cost, net has been adjusted in 2025 to exclude the effect of exchange rate fluctuations on cash held in line with IAS 7.

The comparison figures have been adjusted accordingly.

EBITDA improvement vs. 2024 baseline, including depreciation of leases

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US dollar exchange rate 2025 2024

EUR/USD, market rate 1.13 1.08

EUR/USD, effective rate

1.10 1.09

The effective rate includes the impact of currency hedges.

Key financials 2025 2024

Revenue, MEUR 8,095 7,321

Comparable EBITDA, MEUR 764 514

EBITDA, MEUR 718 242

Operating profit, MEUR 151 -347

Net assets, MEUR 8,863 9,064

Comparable sales margin, USD/ton 411 377

Key drivers 2025 2024

Renewable diesel reference gross margin

, USD/ton 435 460

Biomass-based diesel (D4) RIN, USD/RIN 1.01 0.59

California LCFS Credit, USD/CO

ton 56 60

Waste and residues’ share of total feedstock, % 95 90

RD Reference gross margin = 60% Argus HVO Class II less UCO CIF ARA adjusted by standard production yield, 40% Argus R100 UCO California

less Argus UCO US Gulf Coast adjusted by standard production yield.

Segment reviews

Neste's businesses are grouped into three reporting segments: Renewable Products, Oil Products and Marketing & Services.

Renewable Products

The Group's liquid funds and committed, unutilized credit facilities amounted to EUR 3,567 (2,880) million at the end of December.

There are no financial covenants in the Group’s loan agreements.

In accordance with its hedging policy, Neste hedges a large part of its net foreign currency exposure for the next 12 months, mainly

using forward contracts and currency options. The most important hedged currency is the US dollar. At the end of December, the

Group's foreign currency hedging ratio was approximately 52% of the sales margin for the next 12 months.

Renewable Products' 2025 comparable sales margin reached USD 411 (377)/ton. The segment’s full-year comparable EBITDA rose

to EUR 764 (514) million. Sales volumes increased and contributed EUR 420 million to comparable EBITDA year-over-year. However,

due to higher feedstock costs, sales margin had a negative impact of EUR -164 million while a weaker US dollar had a negative

impact of EUR -72 million on the segment's comparable EBITDA compared to the previous year. The segment's fixed costs were

EUR 43 million lower than in 2024. The Blender’s Tax Credit (BTC) contribution decreased from EUR 590 million in 2024 to EUR 27

million in 2025 as it was only applicable for SAF sales until September of 2025. Neste recognized EUR 126 million from Clean Fuel

Production Credits (CFPC) in 2025.

Production 2025 2024

Renewable Diesel

, 1,000 ton 3,313 2,981

SAF, 1,000 ton 841 526

Other products, 1,000 ton 89 87

Total 4,244 3,594

Utilization rate

, own production, % 73 65

Including production from Martinez joint operation.

Based on nameplate capacity of 4.5 Mton/a of own operations

Sales 2025 2024

Renewable Diesel, 1,000 ton 3,175 3,225

SAF, 1,000 ton 867 412

Other products, 1,000 ton 93 92

Total 4,134 3,729

Share of RD & SAF sales volumes to Europe, % 72 51

Share of RD & SAF sales volumes to North America, % 28 49

In 2025, European end product markets were weak in the first half but strengthened during the second half of the year as the

market began preparing for EU RED III (Renewable Energy Directive) implementations. At the end of the year, the renewable diesel

benchmark HVO class II market price was nearly 700 USD/t and SAF 400 USD/t higher compared to previous year. Strong end of

year performance was driven by constraints in production and stronger demand while imports stayed contained following the EU

anti-dumping duties on Chinese biomass-based diesel introduced in February. For most of the year, SAF traded at a discount to

HVO II except from August to November when SAF imports were at a lower level.

In the US, the year was characterized by uncertainty over regulation. Mid-year, markets strengthened on release of IRS’s Clean

Fuel Production Credit (CFPC) plans, but as the year progressed, uncertainty returned due to the delay in the finalization of the

Environmental Protection Agency’s (EPA) 2026 Renewable Fuel Obligation (RVO) proposal. This uncertainty impacted US product

margins and feedstock demand negatively. As new regulation was indicated to favor North American feedstocks, demand for

imported feedstocks reduced, which then increased the availability of feedstocks globally but the prices remained above the previous

year’s level.

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Key financials 2025 2024

Revenue, MEUR 9,322 11,829

Comparable EBITDA, MEUR 808 633

EBITDA, MEUR 639 667

Operating profit, MEUR 325 345

Net assets, MEUR 1,999 2,300

Total refining margin, USD/bbl 14.0 14.1

Production 2025 2024

Refinery

Production, 1,000 ton 11,278 9,652

Utilization rate, % 90 76

Refinery production costs, USD/bbl 6.5 6.7

Oil Products

Oil Products' full-year comparable EBITDA rose to EUR 808 (633) million. The total refining margin averaged USD 14.0/bbl (14.1/bbl)

in 2025 and had a negative impact of EUR -44 million on the comparable EBITDA compared to the previous year. The margin was

weighed down by mild winter in the first quarter and higher supply costs in the second quarter but strengthened markedly during

the second half of the year. Sales volumes were at a higher level and had a positive impact of EUR 187 million on the comparable

EBITDA year-over-year. Currency exchange rates had a negative impact of EUR -31 million on the comparable EBITDA, and the

segment’s fixed costs were EUR 13 million lower than in 2024.

Crude oil prices were volatile during 2025 and Brent traded between USD 59/bbl and USD 82/bbl. Oil markets were affected by

macro-economic uncertainties, geopolitical events, sanctions and OPEC’s decision to unwind production cuts which drove global

oil inventories up.

European refining margins were volatile but higher than in 2024. After a milder first half of the year, margins strengthened clearly

during the second half as supply side drivers supported the markets. On average, both diesel and gasoline cracks were above their

long-term averages in 2025. Key utility prices did not change materially year-over-year.

Sales from in-house production, by product category (1,000 t) 2025 % 2024 %

Middle distillates

5,688 48 4,626 46

Light distillates

4,461 38 3,877 38

Heavy fuel oil 1,087 9 1,079 11

Other products 632 5 565 6

Total 11,868 100 10,147 100

Diesel, jet fuel, heating oil, low sulphur marine fuels

Motor gasoline, gasoline components, LPG

Sales from in-house production, by market area (1,000 t) 2025 % 2024 %

Baltic Sea area

7,778 66 6,606 65

Other Europe 3,665 31 2,401 24

North America 142 1 443 4

Other areas 284 2 697 7

Total 11,868 100 10,147 100

Finland, Sweden, Estonia, Latvia, Lithuania, Poland, Denmark

Marketing & Services

Key financials 2025 2024

Revenue, MEUR 4,310 4,687

Comparable EBITDA, MEUR 111 101

EBITDA, MEUR 109 100

Operating profit, MEUR 82 72

Net assets, MEUR 215 198

Marketing & Services segment's full-year comparable EBITDA was EUR 111 (101) million. Lower market demand driven by the mild

winter early in the year decreased sales volumes and had a negative impact of EUR -4 million. Unit margins increased and had a

positive impact of EUR 11 million on the comparable EBITDA. Prior year margins were negatively impacted by inventory losses from

decreased global fuel prices. The segment’s fixed costs were EUR 1 million higher year-over-year.

Sales volumes by main product categories, million liters 2025 2024

Gasoline, station sales 615 608

Diesel, station sales 1,526 1,549

Heating oil 773 842

Net sales by market area, MEUR 2025 2024

Finland 3,336 3,657

Baltic countries 974 1,030

Total 4,310 4,687

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Breakdown of share ownership as of 31 December 2025

By the number of shares owned

No. of shares

No. of

shareholders

% of

shareholders

Total no.

of shares

% of

1–100 91,574 47.11 3,579,639 0.47

101–500 63,261 32.55 16,086,792 2.09

501–1,000 18,742 9.64 13,856,331 1.80

1,001–5,000 17,850 9.18 37,235,165 4.84

5,001–10,000 1,849 0.95 12,873,619 1.67

10,001–50,000 934 0.48 17,417,620 2.26

50,001–100,000 81 0.04 5,505,247 0.72

100,001–500,000 50 0.03 10,182,146 1.32

500,001+ 41 0.02 652,474,499 84.82

Total 194,382 100.00 769,211,058 100.00

of which nominee registered 11 0.00 201,854,362 26.24

By the owner sector % of shares

State of Finland 44.2

Non-Finnish shareholders 26.4

Households 11.7

General government 10.0

Financial and insurance companies 3.2

Corporations 3.0

Non-profit organizations 1.6

Total 100.0

Largest shareholders as of 31 December 2025

Shareholder Shares % of shares

Prime Minister's Office 340,107,618 44.22

Ilmarinen Mutual Pension Insurance Company 24,891,508 3.24

Varma Mutual Pension Insurance Company 23,018,591 2.99

Elo Mutual Pension Insurance Company 10,430,000 1.36

The Finnish Social Insurance Institution 6,100,272 0.79

The State Pension Fund 5,000,000 0.65

Kurikan Kaupunki 4,652,625 0.60

OP-Finland 3,056,233 0.40

Nordea Bank Abp 2,709,897 0.35

St1 Nordic Corporation 2,530,000 0.33

Keele Oy 2,400,000 0.31

Säästöpankki Kotimaa Mutual Fund 1,983,290 0.26

Veritas Pension Insurance Company Ltd. 1,852,429 0.24

Danske Invest Finnish Equity Fund 1,821,556 0.24

Seligson & Co OMX Helsinki 25 Exchange Traded Fund (ETF) 1,557,010 0.20

OP-Henkivakuutus Ltd. 1,520,272 0.20

Nordea Pro Finland Fund 1,515,680 0.20

Society of Swedish Literature in Finland 1,453,153 0.19

OP-Finland Index Fund 1,427,182 0.19

Nordea Fennia Fund 1,341,634 0.17

20 largest shareholders total 439,368,950 57.12

Nominee registered 201,854,362 26.24

Other shares 127,987,746 16.64

Total 769,211,058 100.00

Shares, share trading, and ownership

Neste’s shares are listed at Nasdaq Helsinki Ltd. The share price closed the year at EUR 19.41 up by 60.0% compared to the end

of 2024. At its highest during the year, the share price reached EUR 20.22, while the lowest share price was EUR 6.79. Market

capitalization was EUR 14.9 billion as of 31 December 2025. An average of 2.02 million shares were traded daily, representing 0.3%

of the company’s shares.

At the end of December 2025, Neste held 936,999 treasury shares. Neste’s share capital registered with the Trade Register totaled

EUR 40 million, and the total number of shares was 769,211,058.

The Board of Directors has authorizations to issue and buy back shares. The authorizations shall remain in force for 18 months

from the decision taken by the AGM on 25 March 2025. The Board is authorized to decide the issue and purchase of 23,000,000

(2.99%) Company shares.

As of 31 December 2025, the State of Finland owned directly 44.2% (44.2% at the end of 2024) of outstanding shares, foreign

institutions 26.4% (29.8%), Finnish institutions 17.7% (14.8%) and households 11.7% (11.2%).

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first trading day of the Helsinki Stock Exchange following the publication of the interim report for the period 1 January to 31 March

2025. If the shares had not been purchased and/or delivered based on a reason pertaining to the Company or the Board member,

the fee would have been in cash in its entirety. The Company was responsible for any transfer tax potentially levied on the purchase.

Company Auditor

In accordance with a proposal by the Board of Directors, KPMG Oy Ab, Authorized Public Accountants, was re-elected as the

company's Auditor, with Authorized Public Accountant Leenakaisa Winberg as the principally responsible auditor for Neste Corporation,

until the end of the next AGM. Payment for their services shall be made in accordance with their invoice approved by the Company.

Sustainability Reporting Assurer

In accordance with a proposal by the Board of Directors, KPMG Oy Ab, Authorized Sustainability Audit Firm, was re-elected as

the company’s Sustainability Reporting Assurer, with Authorized Public Accountant, Authorized Sustainability Auditor Leenakaisa

Winberg as the principally responsible sustainability reporting assurer for Neste Corporation, until the end of the next AGM. Payment

for their services shall be made in accordance with their invoice approved by the Company.

Authorizing the Board of Directors to decide the buyback of Company shares

The AGM approved the authorization, under which the Board is authorized to decide the purchase of and/or take as security a

maximum of 23,000,000 Company shares using the Company's unrestricted equity. The number of shares shall be equivalent to

approximately 2.99% of the Company's total shares. The Buyback authorization shall remain in force for eighteen (18) months from

the decision taken by the AGM.

Authorizing the Board of Directors to decide on share issue

The AGM approved the authorization, under which the Board is authorized to take one or more decisions on the issuance of new

shares and/or the conveyance of treasury shares held by the Company, provided that the number of shares thereby issued and/or

conveyed totals a maximum of 23,000,000 shares, equivalent to approximately 2.99% of all the Company's shares. The authorization

shall remain in force for eighteen (18) months from the decision taken by the AGM.

Innovation

Neste's innovation expenditure totaled EUR 63 (86) million in 2025. The focus was on supporting and enhancing the competitiveness

of Neste's businesses. We continue to strengthen our innovation capabilities to grow and diversify our current raw materials base

and elevate refinery performance and safety.

Main events published during 2025

On 13 February, Neste announced that it started a performance improvement program and updated its financial targets and capital

allocation, including dividend for the year 2024. The goal of the performance improvement program is to secure the company’s

strong market position and cost competitiveness in renewable fuels and to enhance Neste’s financial performance. The program

targets a total of EUR 350 million EBITDA run rate improvement by the end of 2026, of which EUR 250 million from operational costs.

In order to further simplify its operating model and increase internal efficiency, the company conducted change negotiations. Also,

the schedule and costs of the Rotterdam refinery expansion project were re-evaluated.

On 13 February, Neste announced that Jori Sahlsten, M.Sc. (Paper Technology), had been appointed as Executive Vice President,

Oil Products, and member of the Neste Leadership Team as of 13 February 2025. Markku Korvenranta will continue as Executive

Vice President, Chief Operating Officer, and member of the Neste Leadership Team.

Corporate governance

Neste’s Corporate Governance Statement 2025 is issued separately from the Review by the Board of Directors. The Corporate

Governance Statement can be found, in addition to the Annual Report, at www.neste.com/investors/corporate-governance.

The control and management of Neste Corporation is divided between shareholders, the Board of Directors, and the President

and Chief Executive Officer (CEO). The Annual General Meeting of Shareholders appoints the Board of Directors based on a proposal

made by the Shareholders' Nomination Board. The term of office of the Board of Directors will expire at the end of the next Annual

General Meeting of Shareholders (AGM) following its election. Neste's President and CEO is appointed and expelled by the Board

of Directors.

Changes to the company's Articles of Association can be made at the General Meeting of Shareholders based on a proposal by

the Board of Directors.

Neste Corporation's Annual General Meeting (AGM) was held on 25 March 2025 in Helsinki. The AGM adopted the company's

Financial Statements and Consolidated Financial Statements for 2024 and discharged the Board of Directors and the President &

CEOs from liability for 2024. The AGM resolved to reject the remuneration report for 2024. The resolution made is advisory. The AGM

supported other proposals presented to the meeting.

Dividend payment

The AGM approved the Board of Directors' proposal that a dividend of EUR 0.20 per share would be paid on the basis of the

approved balance sheet for 2024.

The dividend was paid to shareholders registered in the shareholders' register of the Company maintained by Euroclear Finland

Oy on the record date of the dividend payment, which was 27 March 2025. The dividend was paid on 3 April 2025.

Composition and remuneration of the Board of Directors

In accordance with the proposal made by the Shareholders' Nomination Board, the AGM confirmed the number of members of the

Board of Directors at eight.

The AGM decided that the following were re-elected to serve until the end of the next AGM: John Abbott, Nick Elmslie, Just Jansz,

Conrad Keijzer, Pasi Laine and Sari Mannonen. Anna Hyvönen and Essimari Kairisto were elected as new members.

Pasi Laine was elected as the Chair and John Abbott as the Vice Chair of the Board.

The AGM decided on the remuneration to the Board for the term starting at the end of the 2025 AGM and ending at the end of

the 2026 AGM as follows:

• Chair: EUR 165,000;

• Vice Chair: EUR 90,000;

• Chairs of the Committees: EUR 90,000 if the person does not simultaneously act as Chair or Vice Chair; and

• Members: EUR 75,000.

The AGM decided on the remuneration for participation in Board or committee meetings:

• EUR 1,000 for meetings, or

• EUR 2,000 for meetings, if the member travels to the meeting outside his/her home country

• The meeting fee for meetings held over the telephone or through other means of data communication is paid according to the

fee payable for meetings held in the member's home country.

• In addition, compensation for expenses is paid in accordance with the Company's travel guidelines.

The AGM decided that a portion of 40% of the fixed annual fee would be paid in the form of shares and the remainder in cash.

Meeting fees would be paid in cash. The shares were purchased directly on behalf of the Board members within two weeks as of the

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The uncertainty around trade sanctions such as tariffs in global trade continues, and they could affect economic growth, create

an uneven playing field and/or hurt the demand and supply balance in markets Neste operates in.

Regulatory development in the EU or individual member states or in the US may adversely affect Neste's Renewable Products

business, and such regulatory risks can materialize rapidly. Recent regulatory developments like mandate increases and transposition

of RED III into national laws can drive up demand for renewables. This development may also include risks relating to decreased

mandates or acceptance of various feedstocks, which can have a negative impact on Neste. Emphasizing national energy security

may lead to prioritization of domestic supply sources and companies, which may reduce feedstock availability and create pressure

on feedstock prices as well as create an unfair competitive environment, and hence, impact Neste’s business.

Other risks potentially affecting Neste's financial results in the next 12 months include scheduled or unexpected shutdowns or

delays in the ramp-up of production at Neste’s refineries, delays or cost overruns in Rotterdam refinery expansion project, potential

strikes, cyber and IT related risks, counterparty risks and outcome of legal disputes.

For more detailed information on Neste's risks and risk management, please refer to the Annual Report and the Notes to the

Financial Statement.

Sustainability risks

The Neste Corporate Risk Management Policy and supporting principles, requirements and processes also apply to sustainability

risks.

For more detailed information about Neste’s risks and risk management, please refer to Risk Management in the Annual Report’s

Governance chapter and the Notes to the Financial Statements. For more information about Neste’s sustainability risks, please see

Sustainability statement (CSRD).

Outlook

Guidance for 2026

• Renewable Products' sales volumes in 2026 are expected to be approximately at the same level as in 2025.

• Oil Products' sales volumes in 2026 are expected to be lower than in 2025 due to the planned maintenance turnaround.

Additional information

• The Group's full-year 2026 cash-out capital expenditure excluding M&A is estimated to be approximately EUR 1.0–1.2 billion.

Dividend distribution proposal

The parent company's distributable equity as of 31 December 2025 amounted to EUR 3,192 million, and there have been no material

changes in the company’s financial position since the end of the financial year. The Board of Directors proposes a dividend payout

of EUR 0.20 per share based on the approved balance sheet for 2025 to the Annual General Meeting. The dividend shall be paid in

one installment to shareholders registered in the shareholders’ register of the Company maintained by Euroclear Finland Ltd on the

record date for the dividend payment, which shall be 27 March 2026. The Board proposes to the AGM that the dividend would be

paid on 7 April 2026.

The proposed dividend EUR 0.20 per share represents a yield of 1.0% (at year-end 2025 share price of EUR 19.41). The total

dividend payout in 2026 would amount to approximately EUR 154 million.

On 13 February, Neste announced that Eeva Sipilä, a member of the Board of Directors and the Chair of the Audit Committee of

Neste Corporation, had announced her resignation from the Board of the company as of 13 February. The reason for the resignation

was her appointment as Neste’s Chief Financial Officer.

On 9 June, Neste announced that the following members had been appointed to Neste's Shareholders' Nomination Board:

Director General Maija Strandberg of the Ownership Steering Department in the Prime Minister’s Office of Finland, as the Chair, and

Senior Vice President, Investments Timo Sallinen of Varma Mutual Pension Insurance Company and Head of Equities Annika Ekman

of Ilmarinen Mutual Pension Insurance Company, as its members. Pasi Laine, the Chair of Neste's Board of Directors, acts as an

expert to the Nomination Board.

On 19 December, Neste announced that the Shareholders' Nomination Board had forwarded to the Board of Directors of the

Company its proposals to the 2026 AGM. The Nomination Board proposed that Pasi Laine should be re-elected as the Chair of the

Board of Directors and that John Abbott continue as the Vice Chair of the Board. In addition, the current members of the Board, Nick

Elmslie, Anna Hyvönen, Just Jansz, Essimari Kairisto, Conrad Keijzer ja Sari Mannonen were proposed to be re-elected for a further

term of office. The Nomination Board further proposed that the Board should have nine members and that Simo Sääskilahti should

be elected as a new Board member. The Nomination Board also presented its remuneration proposal which is part of a program for

bringing Board remuneration to market level by 2026 as part of a long-term bringing of Board remuneration to a level comparable to

those of peer companies. Through this proposal the program has been concluded.

Events after the reporting period

There have been no significant events after the reporting period.

Personnel

Neste employed an average of 5,214 (5,796) employees during 2025, of which 2,040 (2,153) were based outside Finland. At the end

of December, the company had 4,848 (5,481) employees, of which 1,987 (2,133) were located outside Finland.

Risk Management

Neste considers risk management an integral part of daily management processes and good corporate governance. Systematic risk

management practices are the means to ensure that Neste is successful in achieving its strategic targets and business objectives and

can maintain continuous operations. Neste’s risk management framework and processes are aligned with internationally recognized

best practices: the COSO Enterprise Risk Management framework; and the International Standard for risk management, ISO 31000.

Neste’s risk management framework and risk management principles have been defined in the Corporate Risk Management

Policy, approved by the Neste Board of Directors. The Risk Management Policy is supplemented by risk management principles,

guidelines and instructions for specific risk disciplines. Communication regarding the most important risks takes place during the

strategic planning and performance management cycle. Formal risk reporting is directed to the business management and function

management teams, the Neste Leadership Team, the Audit Committee and the Board of Directors.

Risks related to Neste’s business

Geopolitical tensions are creating market turbulence that risk leading to significant shifts and fragmentation in global trade. The

continuing war in Ukraine and related sanctions as well as geopolitical tensions in the Middle East and recently in South America

create uncertainty in the global oil and related products markets. This could reduce demand and market prices for Neste’s Oil

Products and Marketing & Services segments. Also, renewable product pricing includes a diesel price linked component, which

tends to fluctuate faster than feedstock prices. Abrupt changes in diesel prices without a corresponding change in input costs would

impact renewable product margins.

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Sustainability

statement

General information 87

ESRS 2 General disclosures 87

Environmental information 97

EU taxonomy 97

E1 Climate change 103

E2 Pollution 114

E4 Biodiversity and ecosystems 117

E5 Resource use and circular economy 120

Social information 123

S1 Own workforce 123

S2 Workers in the value chain 130

Governance information 134

G1 Business conduct and compliance 134

Appendixes 140

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Sustainability statement

General information

ESRS 2 General disclosures

General basis for preparation of the

Sustainability statement

Neste’s Sustainability statement covers the entire Neste

Group. The scope of consolidation is in principle the

same as for the Financial statements. Entities that are

subsidiaries or controlled similarly to subsidiaries are

fully included in the reporting scope. The scope of con-

solidation differs from the Financial statements for joint

operations, joint ventures and associates, including Mar-

tinez Renewables: they are excluded from sustainability

reporting as they are outside of Neste’s operational con-

trol and hence treated as part of Neste’s value chain and

excluded from information related to Neste’s own oper-

ations. Individual exceptions are communicated in the

reporting principles of specific metrics. See the Account-

ing policies of the consolidated Financial statements for

more information on the scope of consolidation.

The Sustainability statement is published annually as

part of the Review of the Board of Directors. Similarly

to the Financial statements, the reporting period of the

Sustainability statement is the financial reporting year,

January 1–December 31, 2025. The Sustainability state-

ment is prepared in accordance with the sustainability

reporting standards referred to in Chapter 7 of the Finn-

ish Accounting Act and with Article 8 of the Taxonomy

Regulation. An independent third party, KPMG Oy Ab,

has assured the Sustainability statement in accordance

with International Standard on Assurance Engagements

(ISAE) 3000 (Revised), Assurance Engagements other

than Audits or Reviews of Historical Financial Informa-

tion, issued by the International Auditing and Assurance

Standards Board IAASB.

The disclosed sustainability information is based on

Neste’s double materiality assessment. The assessment

covers Neste’s value chain, including upstream and

downstream, and its own operations. Value chain infor-

mation is included in this report where material. For pol-

icies, targets and action plans disclosed in this report,

Neste specifies which parts of the value chain or own

operations it covers. The reporting principles for metrics

are described at the end of each topic-specific section.

Neste has not omitted information corresponding to

intellectual property, know-how or the results of innova-

tion or used the exemption from disclosure of impending

developments or matters in the course of negotiation in

its Sustainability statement.

Disclosures in relation to specific

circumstances

Neste applies same time horizons as in its Performance

Management Process to align its Sustainability state-

ment with relevant internal processes such as financial

outlook, risk management and strategy. Short-term is

defined as 1 year, medium term is defined as 1-3 years,

and long term as 3+ years. Medium- and long-term time

horizons applied differ from the time horizons defined in

ESRS 1 General principles.

Specific circumstances applying to metrics are dis-

closed in the reporting principles of relevant metrics. The

figures in the tables in the Sustainability statement are

subject to rounding, which may cause some rounding

inaccuracies in aggregate column and row totals.

Governance

The role of the administrative, management

and supervisory bodies

The Board of Directors of Neste Corporation

(“Board”) is in charge of sustainability matters of major

significance to the Neste Group including, among other

things, the approval of the long-term ambition and tar-

gets, adoption of Neste’s statutory sustainability reports

and reviewing the sustainability performance. The Board

also approves Neste Group’s corporate values, policies

and the most important corporate principles, includ-

ing Neste’s Sustainability Policy, which outlines Neste’s

approach to managing material sustainability impacts,

risks and opportunities. The outcome of the double

materiality assessment is reviewed by the Board. The

Board has the ultimate responsibility for sustainability

matters and risk oversight of Neste.

The Audit Committee of the Board (“Audit Com-

mittee”) monitors and supervises the statutory sustain-

ability reporting process including the related controls,

the assurance of the sustainability report and risk man-

agement of Neste Group. The Annual General Meeting

selects the Sustainability Reporting Assurer. The respon-

sibilities of the Board and Audit Committee are reflected

in the Charter for the Board and the Audit Committee,

respectively, and in the Sustainability Policy.

Proposal for the composition of Neste’s Board of Direc-

tors is prepared annually by the Shareholders’ Nomina-

tion Board consisting of three members appointed by the

company’s three largest shareholders. The Chair of the

Board of Directors acts as an expert to the Nomination

Board. The Nomination Board’s most important respon-

sibility is to ensure that the Board of Directors and its

members have sufficient expertise, knowledge and qual-

ifications for the company’s needs, including capabili-

ties related to sustainability matters. In the preparation

of its proposal the Nomination Board pays attention to

achieving a good and balanced gender distribution and

diversity. Having balanced representation of genders in

the Board of Directors is one element of diversity. The

company takes into account the goal set out in the Finn-

ish Companies Act to have at least 40 per cent (includ-

ing the relevant rounding rules) of the under-represented

gender in the Board of Directors.

The members of the Board of Neste have diverse

backgrounds in terms of education and experience in

different professional and industrial fields and in busi-

ness operations and management, all of which include

competences on sustainability-related issues. The diver-

sity of the Board of Directors is also supported by expe-

rience in industrial fields and markets that are strategi-

cally significant for Neste. Several of the Board members

have experience within industries and products relevant

for Neste, including e.g., biofuels, chemicals and fossil

fuels. The members of the Board have gained an under-

standing of business conduct matters through various

leadership and board positions in other companies. The

members of the Audit Committee especially have knowl-

edge and experience of accounting practices, prepara-

tion of financial statements and statutory sustainability

reporting. The Board also calls on external expertise if

and when it deems such expertise appropriate. Neste’s

Board does not include employee representatives.

Annual review Governance Review by the Board of Directors Financial statements

Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Neste’s President and CEO prepares and makes

necessary proposals to the Board on key sustainability

matters in particular related to corporate strategy, includ-

ing the long-term ambition and targets for the sustain-

ability vision. The Neste Leadership Team approves

Neste’s sustainability priorities and sustainability is rep-

resented in the Leadership Team through Executive Vice

President, People & Culture. Responsibility for monitor-

ing individual corporate sustainability targets is shared

among the members of the Neste Leadership Team and

reviewed periodically by the Leadership Team. Neste’s

sustainability work is managed by the Sustainability,

Human Resources, and Safety units and is imple-

mented across all applicable business areas and func-

tions, supported by internal policies, principles and

standards.

Material sustainability risks are identified and man-

aged in quarterly risk reviews as part of annual Enter-

prise Risk Management (ERM) process at Neste in line

with the Corporate Risk Management Policy and sup-

porting principles and standards.

Information provided to and sustainability

matters addressed by Neste’s

administrative, management and

supervisory bodies

Neste’s Board of Directors reviews the sustainability per-

formance at least once a year. Other sustainability top-

ics are also regularly reviewed by the Board. Risks are

reported to the Board of Directors at least two times

a year as a part of strategy and performance planning

processes. Formal risk reporting is directed to the busi-

ness management teams, Neste Leadership team,

Audit Committee and Board of Directors. Material sus-

tainability risks are presented to the Audit Committee in

connection with the risk reviews. The Audit Committee

supervised the statutory sustainability reporting process

throughout the year. In April 2025, the Board reviewed

the results of Neste’s double materiality assessment.

In February 2025, the Board decided to revise the time-

line for the earlier announced transformation of Neste’s

Porvoo refinery from crude oil refining into a renewable

and circular solutions refining hub. In the short term, the

focus of the Porvoo refinery transformation is planned

to be on energy efficiency and renewable hydrogen

while other components of the plan are considered to

be delayed. At the Board’s annual strategy meeting, dis-

cussions included among other things the impact of cli-

mate and ESG-related regulation on Neste’s business,

Specification of administrative,

management and supervisory bodies 2025 2024

Number of executive members 0 0

Number of non-executive members 8 9

Average percentage of male board members, % 63.9 69.3

Average percentage of female board members, % 36.1 30.7

Board members diversity (average female to male ratio), % 56.9 44.6

Percentage of independent board members, % 100 100

taking into account the company’s current financial posi-

tion and streamlined investment portfolio. In December

the Board decided to revise some of Neste’s climate tar-

gets, as further elaborated under E1 Climate change, to

reflect current financial position and the phased trans-

formation of the Porvoo refinery. The Board recognized

that the transition from crude oil to processing renew-

able and circular raw materials will be calibrated against

market demand, legislative developments and techno-

logical readiness. These topics addressed by the Board

are especially important in relation to Neste's material cli-

mate-related impacts, risks and opportunities, and also

indirectly linked to other material environmental topics.

Safety is addressed by the Board at every meeting, also

relating to Neste’s material impacts, risks and opportuni-

ties on the health and safety of its own employees. The

Board also reviewed and approved the Modern Slavery

Statement 2025. The annually published Modern Slav-

ery Statement details the steps Neste is taking to iden-

tify, assess and address the risks of modern slavery in its

business operations and supply chains.

Integration of sustainability-related

performance in incentive schemes

Neste’s Remuneration Policy aligns remuneration with

the successful delivery of its long-term strategic and

sustainability goals. The Neste Board of Directors is

responsible for deciding the remuneration to the Pres-

ident and CEO and the members of the Neste Leader-

ship Team, and for deciding the long- and short-term

incentive plans. The Personnel and Remuneration Com-

mittee is responsible for drafting the remuneration-re-

lated matters and proposals for the Board.

Neste’s climate commitments are connected with the

remuneration of Neste’s key personnel through perfor-

mance metrics in Neste’s long-term incentives (LTIs). In

2025, the main performance metric is renewable fuels

sales volume with the weight of 60% of the total plan.

It is linked to Neste’s climate targets related to car-

bon handprint, with customers replacing fossil fuel with

renewable fuels produced by Neste. Combined Green-

house Impact represents 20% of LTI in the Performance

Share Plan 2023–2025 and 2024–2026 and includes

greenhouse gas emissions (GHG) emission reductions

achieved with Neste renewable products by customers

and GHG emissions from Neste production. These met-

rics are also directly related to the climate targets, as

described under the E1 Climate change section. Addi-

tionally, measures related to the improvement in both

process and personnel safety constitute at least 10% of

the short-term incentives’ measures in 2025.

Risk management and internal controls over

sustainability reporting

Neste’s assurance functions consist of risk manage-

ment, compliance and internal controls. Neste is com-

mitted to accurate and transparent sustainability report-

ing. Neste manages risks within this process through

a robust internal control system. Neste’s internal con-

trol framework is based on the Committee of Sponsor-

ing Organizations framework (the “COSO framework”,

2013), it covers both financial and sustainability report-

ing and it promotes a unified approach to risk manage-

ment and control activities.

Internal control requirements, as defined in the Internal

Control Principle and Controls over Financial and Sus-

tainability Reporting Standard, are implemented across

all levels of the organization. Operational management

owns the risks and controls related to sustainability data

within their respective areas, while Group Finance has

overall responsibility for the Sustainability statement,

mirroring the financial reporting responsibility structure.

Specialists in sustainability reporting provide guidance

and support.

Annual review Governance Review by the Board of Directors Financial statements

Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Neste has assessed and prioritized risks based on their

potential impact on the reliability of its reporting, consid-

ering factors such as data materiality, process complex-

ity and potential for human error. The company contin-

ues to mature in its sustainability reporting processes

and systems, however some data collection and input

still rely on manual processes. Risks identified include

accuracy and completeness of the data. These risks are

mitigated by clearly defined roles and responsibilities for

data collection and reporting, and a common reporting

guideline provided in Neste manual for CSRD reporting.

Neste has implemented preventive and detective control

activities based on the identified risks, including recon-

ciliation controls and review controls for quantitative and

qualitative sustainability data.

Internal Control function monitors the control perfor-

mance and assesses control adequacy. Deficiencies are

promptly reported to responsible parties for corrective

action, with appropriate escalation to management and

the Audit Committee. This process is consistent with

financial reporting control deficiency reporting.

Strategy, business model

and value chain

Neste’s business model and value chain

Neste has three business areas: Renewable Products,

Oil Products and Marketing & Services. The company

provides renewable and fossil fuels for transportation,

aviation, marine and other industrial uses, as well as

renewable and circular solutions for the polymers and

chemicals industries. Neste has an extensive network of

fuel stations with expanding service offering, such as EV

charging, in Finland and in the Baltics.

Neste’s upstream value chain consists of the sourc-

ing of raw materials for production, indirect procurement

and the sourcing of materials and products for trading.

Indirect procurement includes the sourcing, purchasing,

contract and supplier management in energy and util-

ities, technical materials and services, chemicals and

catalysts, IT and professional services, and land logistics

categories. Neste’s own operations cover refining and

raw material pre-treatment activities as well as commer-

cial operations related to both sales and supply opera-

tions, planning and development. Downstream activities

include the further processing, distribution and use of

Neste’s products. In addition, investment projects and

asset maintenance, logistics and storage, distribution of

products, innovation and R&D activities and end-of-life

management occurs across Neste’s value chain.

The value chains of Renewable Products, Oil Prod-

ucts and Marketing & Services, including their key inputs

and outputs are further described below.

Renewable Products segment produces, markets

and sells renewable diesel, sustainable aviation fuel (SAF)

and related solutions to business customers, as well as

domestic and international wholesale markets. Neste’s

renewable raw material portfolio consists of a wide variety

of waste and residue raw materials and smaller amounts

of vegetable oils. Neste sources renewable raw materi-

als globally. Neste produces renewable fuels at its refin-

eries in Finland, the Netherlands and Singapore, as well

as through a joint operation with Marathon Petroleum in

Martinez, California, the US, entirely from renewable raw

materials. Significant customer groups include transpor-

tation and logistics companies, retailers, airlines, and

aviation fuel suppliers. In 2025, the main market areas

were Europe and North America.

Oil Products segment produces, markets and sells

high-quality oil products and related services for the

road transportation, heavy machinery, agriculture, avi-

ation and marine sectors, as well as products for the

oil and petrochemical industries. In 2025, the compa-

ny’s major crude oil and fossil raw material sources were

Norway, the US and the Netherlands. Neste’s oil prod-

ucts are refined at Neste’s refinery in Porvoo, Finland.

The main customers for the Oil Products include retail-

ers and distributors, oil majors and trading companies

and companies marketing lubricants and solvents. The

main market areas in 2025 were the Baltic Sea area and

Europe.

Marketing & Services segment markets and sells

high-quality products and associated solutions to its

customers in Finland and the Baltic countries. The most

important customers include consumers, transport

service providers, customers in the aviation, shipping,

industrial and agricultural sectors, municipalities and

heating fuel customers. Transport fuels and electric vehi-

cle charging services are marketed through Neste’s own

station network in Finland and the Baltics.

Neste’s Supplier Code of Conduct outlines the basic

requirements Neste expects its suppliers and their first

tier suppliers, contractors and business partners to

adhere to and implement throughout their businesses.

The Supplier Code of Conduct and Neste’s approach

to the development of its supplier relationships is further

described under G1 Business Conduct.

Neste’s value chain

Upstream DownstreamOwn operations

Refining and

pre-treatment

activities

Commercial

operations

Fossil, renewable and

recycled raw materials

for production

Indirect procurement

Materials and

products for trading

Consumption by

end-customers

Cross-cutting activities, e.g. investments and maintenance, logistics and storage,

distribution of products, innovation and R&D and end-of-life management

Annual review Governance Review by the Board of Directors Financial statements

Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Total revenue

by segment, MEUR 2025 2024

Renewable Products 8,095 7,321

Oil Products 9,322 11,829

Marketing & Services 4,310 4,687

Others 166 125

Eliminations -2,878 -3,326

Total revenue 19,016 20,635

Breakdown of total revenue

from fossil fuel, MEUR 2025 2024

Revenue from oil 11,114 13,442

Revenue from gas 136 142

Total revenue from

fossil fuel sector 11,249 13,584

CapEx related to fossil fuel

activities, MEUR 2025 2024

Significant CapEx for oil-related

economic activities 97 387

Significant CapEx for gas-

related economic activities 0 0

Headcount of employees

by geographical areas 2025 2024

Europe 3,719 4,203

Americas 778 878

Asia-Pacific 439 493

Total employees 4,936 5,574

Headcount

Reporting principles for revenue metrics are included

in Note 5 Revenue in the Consolidated Financial state-

ments. Reporting reconciles with Neste’s operating seg-

ments as defined by IFRS 8.

Reporting principles for headcount are included under

S1 Own workforce.

Revenue by segment Neste’s strategy and relation to

sustainability matters

Sustainability work at Neste is guided by the Neste sus-

tainability vision covering climate, biodiversity, human

rights, as well as supply chain and raw materials:

• Climate: Neste enables its customers to reduce

their carbon footprint, while reducing its own.

• Biodiversity: Neste aims to drive a positive impact

on biodiversity and achieve a nature positive value

chain by 2040.

• Human rights: Neste strives to create a more

equitable and inclusive value chain by 2030, in which

everyone works with dignity.

• Supply chain & raw materials: Neste drives a

safe and healthy workplace, fair labor practices and

increased commitment to sustainability across the

supply chain.

Creating solutions to mitigate climate change and accel-

erating the shift to a circular economy are the key ele-

ments of Neste’s strategy that relate to or affect material

sustainability matters.

• Neste’s renewable products enable customers to

reduce their GHG emissions. Renewable diesel,

SAF and renewable feedstocks for polymers and

chemicals offer GHG reductions over the product

life cycle compared to fossil alternatives. Neste’s

target is to enable its customers to reduce their

GHG emissions with Neste’s renewable and circular

solutions by at least 20 Mt CO

e annually by 2030.

• Neste’s oil refinery in Porvoo, Finland has significant

potential to process renewable and recycled raw

materials and Neste’s long-term plan is to gradually

transform the oil refinery into a renewable and

circular solutions refining hub. Neste finalized the

construction of a new upgrading unit for processing

recycled raw materials, such as liquefied waste

plastic, and production ramp-up will commence in

2026. The Porvoo oil refinery is using existing refinery

units to enable co-processing of renewable and

recycled raw materials with fossil raw materials in

the conventional refining process. With the help of

co-processing, the company can produce additional

renewable and recycled volumes.

Neste believes that by executing its strategy and act-

ing in line with its Sustainability and Safety visions and

its Code of Conduct, the company’s strategy and busi-

ness model have resilience towards identified material

impacts, risks and opportunities. Resilience to mate-

rial negative impacts and risks is supported by Neste’s

ongoing impact and risk management, safety leadership

and due diligence activities, as described in the topical

sections. Neste pursues material environmental oppor-

tunities through for example, offering renewable and cir-

cular solutions to its customers and diversifying its raw

material portfolio in line with its strategy. These actions

also support the mitigation of and response to the effects

of relevant risks and impacts.

Revenues from and CapEx related

to fossil fuel activities

Neste has operations in the fossil fuels sector and rev-

enues from these sectors are presented in the adjacent

table. Revenue from gas is reconciled with fossil gas-re-

lated activities presented as part of the EU taxonomy

reporting. Neste has no revenue from coal and taxono-

my-aligned economic activities related to fossil gas.

Annual review Governance Review by the Board of Directors Financial statements

Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Material topics Summary of material impacts, risks and opportunities for Neste as evaluated in

the double materiality assessment

Environment

Climate change Impacts • Neste's renewable and circular solutions enable GHG emissions reductions by Neste's

customers, reducing dependency on fossil resources (positive impact)

• GHG emissions across Neste’s value chain contribute to global warming and

climate change (negative impact)

• Neste's operations in an energy-intensive sector lead to environmental impacts

associated with energy consumption (negative impact)

Risks • Uncertainty related to regulatory support, protectionist policies or voluntary demand for

renewable and circular solutions can lead to e.g. lower sales volumes

• Regulatory uncertainty related to raw materials acceptance can cause limitations to

the raw materials pool

• Not meeting climate commitments can result in increased operational costs, reputational

damage or impact access to capital (new in 2025)

Opportunities • Expanding operations into new raw materials, products and technologies can

create business opportunities

• New regulations, policy support or more ambitious climate targets can result in demand

growth in renewable and circular solutions

• Strengthening Neste’s current raw materials portfolio can lead to improved

competitiveness and adaptability towards climate change

• Gradual transformation of Neste's business model and operations can strengthen

resilience to decreased fossil demand, allow leveraging existing assets for renewable

and circular production and potentially have positive impact on capital access and cost

(new in 2025)

Pollution Impacts • Substances of concern are hazardous and may have a negative impact on human health

and/or the environment, if effective risk management measures are not in place or fail

(negative impact)

Biodiversity

and ecosystems

Impacts • The use of waste and residue raw materials for renewable products can contribute to

positive impacts for biodiversity in the upstream value chain (positive impact)

• Upstream extraction and potential incidents across the supply chains of raw materials

and utilities can damage terrestrial and marine ecosystems, habitats and species or

result in soil and marine pollution (negative impact)

Risks • Biodiversity loss mitigation and increased nature-related requirements can pose a

transition risk for Neste's renewable raw material pool

Opportunities • Using waste and residue raw materials and novel vegetable oils from regenerative

agricultural practices can reduce land use impacts from agriculture and lead to e.g.

access to new markets or strengthened brand value

Material impacts, risks and

opportunities

The adjacent table summarizes material impacts, risks

and opportunities for Neste. More detailed descriptions

of each material impact, risk and opportunity, includ-

ing how they relate to Neste’s business model, value

chain and strategy, are provided in the topical sections

under Environment, Social and Governance. Compared

to 2024, there are five new material impacts, risks and

opportunities, including a new material sub-topic under

G1 Business conduct. There are only minor changes to

the descriptions of other impacts, risks and opportunities.

The sectors in which Neste operates are subject to both

opportunities and risks arising especially from demand

for renewable fuels, regulatory changes impacting either

renewable fuels or fossil fuels, technological shifts and

growing global competition.

The increasing global pressure to reduce greenhouse

gas emissions is primarily a positive driver for Neste’s

business. However, the macroeconomic uncertainty has

prompted governments to re-evaluate the affordability

and funding of renewable energy. Changing regulation

presents both an opportunity and a threat to Neste’s

business. Neste benefits from increased support for bio-

fuels and renewable fuels. However, changes in regu-

lation also create uncertainties and may influence the

speed at which the demand for renewable products

develops and raw materials sources are accepted. Tran-

sitioning to a low carbon economy could also include

economic and regulatory adjustments that affect e.g.

emission trading schemes, technology requirements

and valuation of assets.

In the renewable fuels market, fuel supply and demand

are impacted by changing regulation and trade politics,

both on the feedstock and product side. Increasing

nationalism and protectionist regulation may further frag-

ment global renewable markets, leading to more region-

alized incentive schemes. Also geopolitical and trade

policy tensions may disrupt international trade, financial

markets, and supply chains.

Oil & Gas sector specific sustainability impacts include

greenhouse gas (GHG) emissions from the extraction

and use of fossil resources, the use of fossil raw mate-

rial based products and potential pollution and land-

use change effects related to sourcing and extraction

of fossil resources. Neste does not own or operate any

oil exploration or drilling sites or activities, which signifi-

cantly reduces its exposure to direct environmental risks.

Most of the short-term risks and opportunities identi-

fied under climate change, biodiversity and circular econ-

omy relate to changes in regulation or policies. In 2025,

there were several regulatory developments, both new

proposals and modifications, which are mainly expected

to have a financial impact in the coming years. Of the reg-

ulatory changes that materially impacted Neste in 2025,

a key one was the change in US federal fuel incentive

tax credits to support local producers, replacing the pre-

vious incentive to support local blenders. The change

narrowed eligibility only to Neste’s joint operation in the

US and affected Neste’s financial performance in 2025.

None of the other environmental risks and opportunities

alone are considered to have had a material impact on

2025 financial position, financial performance and cash

flows.

In 2025, Neste did not have financially material com-

pliance breaches, or safety incidents (PSE tier 1 events,

>50 MEUR impact) that resulted in negative health and

safety impacts (TRI) on its own workforce. The order

subject to a penalty imposed by the authorities in 2024

on the Rotterdam refinery related to flaring has been

suspended in a legal injunction procedure in December

2025. Neste is applying for amendment to the environ-

mental permit on this topic. Investigations initiated by

the authorities during 2023 and 2024 concerning Rot-

terdam refinery’s flaring and volatile organic compound

(VOC) emissions are still pending.

Annual review Governance Review by the Board of Directors Financial statements

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Environment

Resource use

and circularity

Impacts • Use of virgin raw materials leads to depletion of finite resources (negative impact,

new in 2025)

Risks • Competition, trade policies or import restrictions may reduce availability or create

price volatility for raw materials

Opportunities • Circular economy drivers, such as increased raw material availability and new market

openings, can create opportunities for Neste

Social

Own workforce Impacts • Hazardous processes in Neste’s operations could directly impact own employees'

health and safety (negative impact)

Risks • Workplace injuries and/or ill-health of Neste’s employees can lead to various financial

effects from one-off costs to prolonged production disruptions

Opportunities • With a robust safety management system Neste aims to prevent injuries as well as

reduce sick leaves and downtimes caused by incidents and accidents

Workers in the

value chain

Impacts • Workers in Neste's upstream supply chains for wastes and residues and third-party

workers at Neste refineries may face risks of forced labor (negative impact)

Governance

Business conduct

and compliance

Impacts • Neste’s commitment to ethical business practices has a positive impact on

stakeholders of the company (positive impact, new in 2025)

• Neste drives improved working conditions, ethical business practices and safety

in its supply chain (positive impact)

Risks • Unethical behavior or breaches of Neste’s Code of Conduct or applicable legislation

or regulations can lead to adverse legal, financial or reputational consequences

(new in 2025)

Processes to identify and assess

material impacts, risks and

opportunities

The disclosed sustainability information is based on

Neste’s double materiality assessment which is reviewed

annually. The double materiality assessment (DMA) was

divided into four phases based on general steps out-

lined in ESRS 1 General principles. The phases of the

double materiality assessment are the same as in 2024

and the assessment built on the previous year’s results.

1. Value chain mapping

The purpose of the value chain mapping was to describe

Neste’s value chain and related business activities in

upstream, own operations and downstream. The focus

was on specific activities, business relationships, geog-

raphies or other factors that could give rise to a height-

ened risk of adverse impacts. The value chain mapping

was conducted by internal stakeholders and the results

of the mapping were validated internally. There have not

been material changes in the value chain mapping since

2024.

Neste’s double materiality assessment covered the

whole value chain including activities in the upstream,

own operations and downstream. In the double materi-

ality assessment process, all identified business activities

were screened to identify actual and potential impacts,

risks and opportunities (IROs).

2. Impact assessment

The purpose of the impact assessment was to iden-

tify actual and potential, positive and negative impacts

of Neste business activities. The impact assessments

covered the entire value chain and it considered inputs

from Neste’s ongoing due diligence activities and impact

assessments.

For each relevant business activity identified in the

value chain mapping phase, the driver of impact as well

as the effect of the impact on the environment or peo-

ple were defined. In addition, each impact was charac-

terized (positive/negative, actual/potential, time horizon),

and linked to relevant ESRS sub-topics, and sub-sub

topics, if applicable. The time horizons defined in ESRS

for medium and long term were modified in the assess-

ment to be in line with time horizons defined in Neste’s

relevant internal processes such as financial outlook,

risk management and strategy. The time horizons used

by Neste are: short 1 year, medium 1–3 years, and long

3+ years.

3. Financial assessment

The purpose of the financial assessment was to identify

risks and opportunities that materially influence or may

reasonably be expected to influence Neste’s financial

development, performance, position, cash flows, access

to finance, and cost of capital. The identified risks or

opportunities were characterized and their associated

financial impact to Neste was described. In the financial

assessment, the time horizons used were modified sim-

ilarly as in the impact assessment. The identified risks

and opportunities were linked to relevant ESRS sub-top-

ics and sub-sub topics, if applicable, and to geographi-

cal and value chain location (upstream, own operations,

downstream or cross-cutting).

The assessment utilized already identified risks and

opportunities as defined and managed within Neste’s

Enterprise Risk Management (ERM). Furthermore, con-

sideration was given to any potential significant risks or

opportunities that may arise as a result of the impacts

and dependencies that were identified during the impact

materiality assessment phase.

Material topics Summary of material impacts, risks and opportunities for Neste as evaluated in

the double materiality assessment

Annual review Governance Review by the Board of Directors Financial statements

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4.1 Scoring

In the scoring phase, impacts were scored based on a

combination of severity (scale, scope, irremediability) and

likelihood. The materiality of a negative impact is deter-

mined by its severity: For actual negative impacts, mate-

riality is based on severity alone while for potential neg-

ative impacts, materiality is based on severity weighted

by likelihood. Severity is determined by three factors:

scale (magnitude), scope (reach), and irremediable char-

acter of the impact. The materiality of a positive impact

is determined by its scale and scope: for actual positive

impacts, materiality is based on scale and scope alone

while for potential positive impacts, materiality is based

on scale, scope, and likelihood.

Risks and opportunities were assessed based on a

combination of likelihood and magnitude of financial

effects. Magnitude was considered as estimated annual

impact on operating profit; for risks, worst case annual

impact while for opportunities a best case approach was

applied. Financial impacts were assessed based on risk

assessment scales in Neste Corporate Risk Manage-

ment Policy.

4.2 Determination

In the determination phase, thresholds were set to

determine which IROs are material for Neste. Threshold

for impacts considers that both severity and likelihood

need to be high for impact to be deemed material. For

risks and opportunities, the threshold was aligned with

Neste’s ERM risk rating and set so that considerable

risks and opportunities were deemed material. Topics,

which did not exceed the set materiality threshold but

are seen as central for Neste’s strategy and core values,

or hold importance due to external stakeholder inter-

est and strong industry relevance, are deemed mate-

rial based on a separate management decision. Result-

ing material IROs, including the applied thresholds, were

validated with internal stakeholders to ensure material

topics and IROs are representative of Neste’s business.

The thresholds set in the double materiality assess-

ment are not static and may be subject to periodic review

and adjustment.

4.3 Validation

Neste Leadership Team and Board of Directors reviewed

the outcomes of the double materiality assessment. Each

double materiality process step was also validated with a

group of internal subject matter experts, and Neste Lead-

ership Team and Board of Directors were kept informed

throughout the assessment. Neste has defined internal

controls to ensure the fulfillment of relevant requirements

when conducting the double materiality assessment.

The controls aim to ensure valid, complete and accurate

results. Through the controls, it is ensured that the views

of key experts, stakeholders and decision-makers are

taken into account, and that a pre-defined approach is

followed consistently.

4.4 Integration with Neste processes

Sustainability-related risks are identified and managed

in quarterly risk reviews as a part of Enterprise Risk

Management (ERM) at Neste in line with the Corporate

Risk Management Policy and supporting principles and

standards. The assessment considers short-, medium-

and long-term perspectives. The prioritization of risks is

based on the risk assessment scales according to the

Neste Corporate Risk Management Policy.

Stakeholder engagement

The double materiality assessment was supported by

internal sustainability experts and informed by Neste’s

ongoing due diligence activities. Stakeholders’ views

were indirectly taken into account in different ways during

the assessment process. For example, Neste’s ongo-

ing due diligence activities and related engagement with

affected stakeholders act as input to the double materi-

ality assessment. Neste also engages in dialog and col-

laboration with local communities and production site

neighbors, covering environmental, social, and safety

impacts. Neste’s approach to stakeholder engagement

is further described under the Interests and views of

stakeholders section of this report.

Specific considerations

on topical assessments

Neste continuously identifies and assesses relevant

topic-specific impacts, risks and opportunities. These

ongoing processes serve as inputs for Neste’s double

materiality assessment and when determining material

topics and sub-topics.

Neste sites are responsible for identifying, assessing

and, where relevant, monitoring environmental impacts

related to their operations, including issues related to

emissions, surface water and waste generation. At the

Porvoo refinery, regular environmental monitoring is con-

ducted to comply with the requirements of the site’s envi-

ronmental permit issued by local authorities, and Neste

actively participates in the monitoring activities. Similar

monitoring is in place at selected retail sites in Finland,

Estonia, Lithuania, and all sites in Latvia. In Rotterdam

and Singapore, Neste sites are located on broad indus-

trial areas together with other companies’ sites. Author-

ities conduct environmental monitoring outside the site

fenceline of these industrial areas. In cases where spe-

cific impact monitoring requirements are not stipulated

by local authorities or legislation, expert judgment is

used to assess potential impacts. The Environmental

Management Principle is further described under the E2

Pollution section of this report.

Environmental, social and business conduct related

impacts, risks and opportunities in the value chain are

further identified through ongoing due diligence activ-

ities. Neste’s due diligence process and controls for

counterparty screening and monitoring are described in

the G1 Business Conduct section of this report. The

further identification of climate and biodiversity related

impacts, risks and opportunities are also described in

the related topical chapters.

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Stakeholders Purpose and key topics How engagements are organized How outcomes are taken into account by Neste

Suppliers,

contractors

and value chain

workers

• Implementing Neste Supplier Code of Conduct and Responsible Sourcing

Principles

• Improving supplier engagement and collaboration

• Driving performance improvements and positive impacts across

sustainability topics

• Ensuring availability of raw materials, products and services

• Collecting information on Neste’s scope 3 emissions

• Increasing the understanding of sustainability risks in the value chain

• Information sharing and capacity building such as sustainability

workshops, trainings and seminars, meetings and newsletters

• Collaboration initiatives

• Evaluating new and existing raw material suppliers

• Monitoring and auditing supplier sustainability, incl. worker interviews,

worker voice surveys

• Site-level grievance channels at Neste refineries designed to address

concerns of contracted and subcontracted workers, incl. migrant workers

• Ensuring Neste sourcing process adheres to own sustainability policies

and principles

• Ensuring supplier due diligence complies with upcoming regulations, such

as the Corporate Sustainability Due Diligence Directive

Employees • Engaging employees in executing company strategy

• Increasing understanding of Neste business outlook and priorities

• Supporting Neste’s values based culture and ways of working (Code of

Conduct)

• Promoting continuous improvement and learning

• Promoting health, safety and wellbeing

• Employment relations and local cooperation committees or work councils

• Active, regular communication on Neste business outlook, strategic

priorities and financial results

• Goal setting and development plans

• Development and wellbeing discussions

• Measuring employee engagement via surveys

• Encouraging employees to participate in voluntary work

• Proactive and systematic communication, listening and feedback

• Discussing results from surveys and agreeing on measures and actions

plans

• Follow-up actions agreed based on employee engagement surveys

• Ensuring employee cooperation in line with local labor laws and collective

agreements

Customers • Enabling customers to reduce their GHG emissions with renewable and

circular solutions

• Enhancing products and service quality and availability

• Informing and educating on Neste’s products, sustainability, safety and

operations

• Cooperating e.g. on innovation and R&D

• Meetings, newsletters and training

• Product related technical information, such as fact sheets

• Customer satisfaction surveys

• Engaging in joint marketing and communications

• Partnerships to reduce customers’ carbon footprint

• Bilateral and consortium R&D projects

• Arranging site visits

• Responding to the customer needs by providing high-quality products and

solutions, and securing supply chains

• Forming partnerships and co-creating new solutions and services,

educating experts and de-risking technology investments

Consumers • Enhancing product, service and operations quality and availability

• Providing information about products, their safety, pricing, raw materials

and the value the products provide

• Gathering insights via surveys

• Sharing up- to-date information on webpages

• Working with local distributors

• Running advertising campaigns

• Responding to consumer inquiries

• Expanding availability of renewable products and related services

Interests and views of stakeholders

Neste aims for continuous dialog with its stakehold-

ers and regularly seeks external views on its activities

across the value chain. The company’s key stakehold-

ers include those who the business can influence as well

as those that have the opportunity to influence Neste.

Where relevant, stakeholders and their views are taken

into account when developing e.g., Neste’s strategy,

sustainability ambition and targets. Neste’s short term

priorities include improving its financial performance and

competitiveness, in line with stakeholder expectations

on Neste as an economic operator. Neste continuously

aims to improve operational efficiency through reliable

and safe operations, with focused actions on ensuring

the safety of its own employees and all other workers on

its sites. Examples of key topics of interest for different

stakeholder groups are provided in the adjacent table.

Through the Sustainability Policy, Neste is commit-

ted to engaging and collaborating with its stakeholders

and taking an active role in multi-stakeholder initiatives

to help develop solutions for mitigating climate change.

Neste also provides stakeholders with relevant informa-

tion on its value chains and solutions to secure accept-

ability of Neste offerings in the key markets.

The Stakeholder Advisory Panel has been established

to promote discussion between Neste and its stake-

holders on subjects such as the company’s operations,

business development, and changes in its operating

environment. The Advisory Panel, which includes rep-

resentatives from members of the Parliament of Finland

and Neste’s personnel, ensures that the management

and supervisory bodies are kept informed about stake-

holders’ views, particularly on sustainability-related

impacts.

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Local

communities

• Providing employment and cooperation opportunities

• Sharing information on health and safety matters, site investments and

development projects

• Understanding environmental and social impacts on local communities

• Engaging via newsletters, meetings, websites and social media

• Arranging site tours for interest groups

• Collaborating with local authorities and city representatives

• Conducting surveys with local communities and stakeholders impacted by

the Porvoo refinery operations

• Providing complaint channels for local communities

• Community development initiatives

• Maintaining open dialogue with local communities

• Encouraging and enabling employee volunteering for local charities

NGOs • Understanding NGO views on Neste and sharing Neste perspective

• Collaborating on relevant sustainability matters

• Dialogue with selected NGOs

• Collaborating on joint projects for smallholder support

• Transparent reporting on sustainability performance and grievances

• Developing Neste’s sustainability approach and processes

Capital markets:

Investors and

analysts

• Informing capital markets and investors about Neste’s strategy, financials,

outlook and demand drivers related to energy transition

• Sharing progress and gathering expectations on sustainability matters

• Financial communications via reports, releases, calls, meetings, and

Capital Markets Day

• Transparent, regular reporting and disclosures

• Cooperation with rating agencies and investor assessments

• Developing reporting and disclosure practices

• Neste Green Finance Framework

• Responding to questionnaires by rating companies and investors

Media • Sharing company news, interim and annual results

• Sharing information about company strategy and major projects

• Sharing information on customer cooperation, sustainability, innovation,

renewable and circular solutions

• Press releases and other materials

• Following and responding to media inquiries

• Engaging with media

• Organizing interviews, media visits and events, background briefings

• Developing Media service, e.g., by making the media desk service more

accessible by extending the service time and offering more detailed

information when feasible

• Serving the media through their preferred channels

Universities

and research

organizations

• Development and collaboration in key R&D and innovation topics, incl. raw

material and technology development

• Cooperation with Aalto University, Savonia University of Applied Sciences

and VTT in Finland, as well as international partners

• Supporting R&D&I project portfolio related to the development of existing

and new renewable and circular solutions

• Promoting Neste as an employer of choice by traineeships, master's

thesis projects, part-time employment etc.

Policymakers &

governmental

organizations

• Driving ambitious and technology neutral policies on climate and GHG

emission reduction targets

• Advocating for renewable fuels in transportation and other industries

• Advancing market development for renewable and recycled materials,

circular economy

• Sharing views on policies, laws and regulations with policymakers

• Supporting policymakers with industry insights and information on

technological capabilities

• Responding to public consultations and meeting with officials

• Monitoring regulatory and legislative development that can affect e.g., the

demand outlook of renewable and circular solutions to influence strategy

planning

• Developing processes and operations to ensure compliance with relevant

laws and regulations

Industry

associations

and cooperation

bodies

• Collaboration in key topics, including industry regulatory environment,

safety, climate change, renewable and circular solutions, transport sector

GHG emission reductions

• Advocating for ambitious and technology neutral policies on climate and

GHG emission reduction targets, and market development for renewable

and recycled materials

• Advocating for supply chain sustainability

• Memberships in relevant industry associations, such as FuelsEurope,

European Biodiesel Board, Advanced Biofuels Association (US), The

Chemical Industry Federation of Finland, Cefic

• Cooperating with e.g. International Sustainability & Carbon Certification

(ISCC), UN Global Compact, World Business Council for Sustainable

Development (WBCSD), Nordic Network for Human Rights, Concawe

• Participating in events, seminars and working groups

• Shaping approach and expectations to advocacy for industry specific

issues

• Leveraging coalitions of like-minded organizations to exhibit a united front

on impactful policy

Stakeholders Purpose and key topics How engagements are organized How outcomes are taken into account by Neste

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Policies to manage material

sustainability matters

A summary of the relevant policies and principles at Neste

to address material sustainability matters is summarized

in the adjacent table. Neste’s policies define the organi-

zation’s overall purpose, goals, mission and vision; while

principles describe the minimum requirements that are

common to all Neste locations and operations. Details

of each policy are further described under relevant sus-

tainability matter standards. For all mentioned policies

throughout the report, the most senior level in Neste’s

organization that is accountable for implementing the

policies is the CEO. The accountability for implement-

ing principles lies with the respective leadership team

members.

Type Name E1 E2 E4 E5 S1 S2 G1

Code of

Conduct

Code of Conduct • • • •

Supplier Code of Conduct • • • • •

Policies People Policy •

Sustainability Policy • • •

Operations Excellence Policy • • •

Principles Sustainability Principle • • •

Human Rights Principle • •

Environmental Management Principle • •

Product & Chemical Safety Principle •

Anti-corruption Principle •

Safety Leadership Principle •

Responsible Sourcing Principle • • • •

Supplier Sustainability Approval Principle • • •

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The EU taxonomy is a classification system for envi-

ronmentally sustainable economic activities. Neste is

required to disclose information about how and to what

extent business activities are associated with environ-

mentally sustainable economic activities as defined in

the Taxonomy Regulation. The EU taxonomy is reported

in financial terms as the proportion of economic activ-

ities that is determined to be non-eligible, eligible and

aligned in turnover, Capital Expenditure (CapEx) and

Operating Expenses (OpEx). The framework defines

economic activities contributing to six environmental

objectives. Neste has operations that contribute to the

climate change mitigation objective.

Assessment of compliance with the

Taxonomy Regulation

Taxonomy eligibility for an activity is determined by the

activity description in the Annexes of the climate and

environmental delegated acts in the Taxonomy Regula-

tion. Neste has screened its business areas and inno-

vation initiatives to identify activities within the scope

of the taxonomy. Eligible activities are identified based

on the description of the activity in Annex I of the Cli-

mate Delegated Act of the Taxonomy Regulation. Tax-

onomy alignment for an activity is evaluated by the tech-

nical screening criteria for substantial contribution and

“do no significant harm” (DNSH), as set out in the rele-

vant Annexes. An activity is taxonomy-aligned when it

substantially contributes to at least one environmental

objective while doing no significant harm to the other

environmental objectives set by the technical screening

criteria. Neste has evaluated the substantial contribution

and DNSH criteria for each activity identified to recog-

nize the share of taxonomy-aligned economic activities.

Additionally, an entity needs to comply with the minimum

safeguards.

Environmental information

EU taxonomy

Based on this process, the following activities in the

taxonomy have been identified as relevant for Neste:

4.13 Manufacture of biogas and biofuels

for use in transport and of bioliquids

• Manufacture of renewable fuels

• Renewable co-processing of fuels

6.15 Infrastructure enabling low-carbon road

transport and public transport

• Electric vehicle charging services

Taxonomy criteria assessment

Substantial contribution criteria

The EU taxonomy refers to the manufacture of biofuels

for use in transport as a sustainable activity, and Neste

has assessed its manufacturing of renewable fuels for

the road transport and aviation sectors, as well as the

co-processing of renewable raw materials to be taxon-

omy-relevant economic activities based on the Climate

Delegated Act of the Regulation. Neste’s Renewable

Products provides renewable fuels for transportation,

aviation and other sectors. By co-processing renewable

raw materials the company can increase the production

volumes of its renewable products.

The EU taxonomy technical screening criteria for the

Climate Delegated Act including climate change mitiga-

tion establishes criteria for the “Manufacture of biogas

or biofuels for use in transport and of bioliquids” activ-

ity. The recognized activities, manufacturing renewable

fuels and co-processing renewable raw materials, make

a substantial contribution to climate change mitigation.

The substantial contribution criteria sets the threshold

for greenhouse gas (GHG) emission savings from the

manufacture of biofuels and biogas for use in transport

to at least 65% in relation to the GHG emission sav-

ing methodology and the relative fossil fuel comparator

in accordance with Directive (EU) 2018/2001. Addition-

ally, the criteria require that no food and feed crops are

used in the manufacturing. The share of manufacturing

from raw materials fulfilling the aforementioned criteria is

therefore included in the alignment figures for this activ-

ity. The alignment figures for biofuel sales outside the EU

are reported separately as even though they meet GHG

emission saving thresholds for the EU taxonomy, the

market-based GHG emission calculation differs. Neste’s

renewable products comply with market-specific sus-

tainability criteria.

The activity “Infrastructure enabling low-carbon road

transport and public transport” includes Neste’s electric

vehicle charging service, which is eligible for the taxon-

omy. The electric charging stations serve both compa-

nies and consumers.

Neste’s innovation and R&D focuses on increasing the

availability of lower-quality waste and residue raw mate-

rials, while developing technologies to diversify Neste’s

portfolio with new types of raw materials. As the majority

of innovation and R&D activities relevant for the taxon-

omy support Neste’s other taxonomy-eligible and tax-

onomy-aligned activities, Neste no longer reports the

activity “Close to market research, development and

innovation” separately. Relevant innovation and R&D

activities, such as the development of Neste’s existing

renewable products, are accounted for in the taxonomy

figures of the activity which they support.

Do no significant harm -criteria

The relevant activity-specific DNSH criteria from Annex

I have been evaluated for each taxonomy-aligned eco-

nomic activity. Neste has established and implemented

procedures to ensure that Neste operations comply with

relevant legal requirements and environmental objec-

tives. Where necessary, Neste expects this approach to

minimize adverse impacts of the company’s operations

on the environment. Neste’s approach to environmen-

tal management, including biodiversity, pollution and

water, is further described in the Sustainability state-

ment. The identification of climate risks, including physi-

cal climate risks, is included in Neste’s annual risk man-

agement cycle. The identified climate risks are included

in the Enterprise Risk Management (ERM) process, and

risk mitigation plans are implemented where appropri-

ate. Neste’s material climate-related risks are further

described in the Sustainability statement.

Minimum safeguards

Compliance with the minimum safeguards has been

assessed at the group level based on the Report on Min-

imum Safeguards published by the EU Platform on Sus-

tainable Finance in October 2022. Neste has assessed

its operations to be compliant with the minimum safe-

guards as determined in Neste’s Code of Conduct. The

Code of Conduct includes topics related to human rights,

including workers’ rights, bribery and corruption, taxa-

tion and fair competition. No violations have been iden-

tified with the safeguards. Neste’s approach to human

rights is described in more detail in the S1 Own work-

force, S2 Workers in the value chain and G1 Business

conduct sections of the Sustainability statement. More

information about Neste’s compliance program, includ-

ing anti-corruption and competition law compliance, is

disclosed in the G1 Business conduct section. Neste

also publishes its tax footprint annually.

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Accounting policy

The definitions of taxonomy key performance indica-

tors (KPIs) are based on the Disclosures Delegated Act,

which supplements the Taxonomy Regulation and fol-

lows requirements that apply to the disclosures under

Article 8(2) of Regulation (EU) 2020/852. Neste applies

the version of the Disclosures Delegated Act that pre-

ceded the amendments of the Omnibus Delegated Act

and was in effect until the end of 2025. The taxonomy

reporting scope is aligned with the Consolidated Finan-

cial statements and covers Neste’s global operations.

The calculations follow general materiality principles.

Taxonomy KPIs are calculated using the financial infor-

mation presented in Notes to Neste’s 2025 Consoli-

dated Financial statements. To avoid double counting

in the reported figures, allocations were made for each

activity separately based on reporting structures, and a

reconciliation has been carried out for the final figures.

Neste does not present a table for the extent of eligibil-

ity and alignment per environmental objective, as 100%

of the KPIs are related to the climate change mitigation

objective.

Breakdown of the CapEx KPI, MEUR

Taxonomy-aligned

activities (A.1)

Taxonomy-eligible but

not taxonomy-aligned

activities (A.2)

Additions to property, plant and equipment 629 109

Additions to intangible assets 0 0

Additions to capitalized right-of-use assets 157 27

Additions related to acquisitions 0 0

Total CAPEX (A.1 + A.2) 786 136

Breakdown of the OpEx KPI, MEUR

Taxonomy-aligned

activities (A.1)

Taxonomy-eligible but

not taxonomy-aligned

activities (A.2)

Costs of R&D 37 3

Costs of short-term leases 5 1

Costs of maintenance and repair 97 17

Total OPEX (A.1 + A.2) 139 21

Turnover

In calculating the proportion of turnover from products

associated with taxonomy-eligible and -aligned eco-

nomic activities, Neste includes revenue from goods and

services which have a clear relationship with the identi-

fied economic activities. Turnover for the manufacture of

biofuels and co-processing includes sales of bio-based

fuels, biofuel credits related to the physical product

and exchange rate hedges. Turnover for infrastructure

enabling low-carbon road transport activity includes

sales from electric charging services. The denominator

is Neste’s total sales and refers to Note 5 Revenue in the

consolidated financial statements.

Capital Expenditure

Capital Expenditure (CapEx) includes investments

related to activities identified as taxonomy-eligible or

-aligned. The CapEx figures consist mainly of invest-

ments enabling Neste’s renewable production capacity

growth. To provide an accurate allocation of CapEx for

taxonomy-aligned activities, Neste has used the share

of taxonomy-aligned production volumes to allocate the

proportion to the CapEx alignment figures. For exam-

ple, allocations for the manufacture of biofuels activity

are made based on production volumes which fulfil the

GHG emission savings and raw material criteria outlined

in the technical screening criteria for the activity.

The breakdown of the CapEx figures is based on the

Disclosures Delegated Act and includes taxonomy-eligi-

ble and -aligned CapEx. These taxonomy CapEx figures

refer to additions in Note 13 Intangible assets (IAS38)

and Note 14 Property, plant and equipment (IAS16).

Right-of-use assets refer to Note 29 Leases (IFRS16) in

the consolidated financial statements. However, the tax-

onomy figures only include the proportion of the invest-

ments within the scope of the EU taxonomy and there-

fore cannot be directly derived from the Notes. CapEx

also covers additions to tangible and intangible assets

resulting from business combinations.

Based on the Disclosures Delegated Act, companies

can report aligned CapEx, when it is a part of a plan

to expand taxonomy-aligned economic activities or to

allow taxonomy-eligible economic activities to become

taxonomy-aligned, as part of a so-called CapEx plan.

Neste’s taxonomy figures include investments made

to expand the production capacity of existing taxon-

omy-aligned economic activities, which contribute to

the climate change mitigation objective. Allocations to

taxonomy-aligned CapEx for these activities are made

based on the production volumes. The taxonomy

requires figures to be restated if the current allocation to

taxonomy-aligned CapEx is not fulfilled in the scope of

the CapEx plan. The status of the CapEx plan will be fol-

lowed up annually.

Operating Expenses

Taxonomy-eligible and -aligned Operating Expenses

(OpEx) cover direct non-capitalized expenses related to

research and development, short-term leases (IFRS 16)

and maintenance and repair. OpEx figures also include

costs related to personnel, identified as other direct

expenses related to the day-to-day servicing required

to maintain tangible fixed assets. The allocation of OpEx

to activities that are partially taxonomy-aligned follows

the same methodology as Neste uses in the taxonomy

CapEx calculation, and the expenses are therefore allo-

cated using the share of taxonomy-aligned production

volumes.

Neste’s taxonomy OpEx figures include expenses pre-

sented in Note 9 Other expenses but since the figures

only include the proportion of expenses within the scope

of the EU taxonomy, they cannot be derived directly from

the note.

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Financial Year 2025 Substantial contribution criteria DNSH criteria (‘Does Not Significantly Harm’) 2024

Economic activities

Codes

Turnover (MEUR)

Proportion of Turnover (%)

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Minimun safeguards

Proportion of Taxonomy

aligned (A.1) or eligible (A.2)

turnover (%)

Category enabling activity (E)

Category transitional activity (T)

A. TAXONOMY-ELIGIBLE ACTIVITIES

A.1. Environmentally sustainable activities (Taxonomy-aligned)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 4,627 24 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 13 - -

Manufacture of biogas and biofuels for use in transport and of bioliquids

CCM 4.13 1,811 10 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 13 - -

Turnover of environmentally sustainable activities

(Taxonomy-aligned) (A.1) 6,438 34 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 26

Of which Enabling 0 0 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0 -

Of which Transitional 0 0 0% Y Y Y Y Y Y Y 0 -

A.2. Taxonomy-Eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 530 3 EL N/EL N/EL N/EL N/EL N/EL 3

Infrastructure enabling low-carbon road transport and public transport CCM 6.15 3 0 EL N/EL N/EL N/EL N/EL N/EL 0

High-efficiency co-generation of heat/cool and power from fossil gaseous fuels CCM 4.30 18 0 EL N/EL N/EL N/EL N/EL N/EL 0

Turnover of Taxonomy-eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities) (A.2) 552 3 100% 0% 0% 0% 0% 0% 3

A. Turnover of Taxonomy eligible activities (A.1 + A.2) 6,990 37 100% 0% 0% 0% 0% 0% 29

B. TAXONOMY-NON-ELIGIBLE ACTIVITIES

Turnover of Taxonomy-non-eligible activities 12,026 63

Total (A+B) 19,016 100

Share of sales to outside of the EU.

Turnover

Y Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective

EL Taxonomy-eligible activity for the relevant objective

N/EL Taxonomy-non-eligible activity for the relevant objective

100

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Financial Year 2025 Substantial contribution criteria DNSH criteria (‘Does Not Significantly Harm’) 2024

Economic activities

Codes

CapEx (MEUR)

Proportion of CapEx (%)

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Minimun safeguards

Proportion of Taxonomy

aligned (A.1) or eligible (A.2)

CapEx (%)

Category enabling activity (E)

Category transitional activity (T)

A. TAXONOMY-ELIGIBLE ACTIVITIES

A.1. Environmentally sustainable activities (Taxonomy-aligned)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 542 43 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 27 - -

Manufacture of biogas and biofuels for use in transport and of bioliquids

CCM 4.13 244 19 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 32 - -

CapEx of environmentally sustainable activities

(Taxonomy-aligned) (A.1) 786 63 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 59

Of which Enabling 0 0 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0 -

Of which Transitional 0 0 0% Y Y Y Y Y Y Y 0 -

A.2. Taxonomy-Eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 135 11 EL N/EL N/EL N/EL N/EL N/EL 11

Infrastructure enabling low-carbon road transport and public transport CCM 6.15 1 0 EL N/EL N/EL N/EL N/EL N/EL 1

CapEx of Taxonomy-eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities) (A.2) 136 11 100% 0% 0% 0% 0% 0% 12

A. CapEx of Taxonomy eligible activities (A.1 + A.2) 922 74 100% 0% 0% 0% 0% 0% 71

B. TAXONOMY-NON-ELIGIBLE ACTIVITIES

CapEx of Taxonomy-non-eligible activities 331 26

Total (A+B) 1,253 100

Share of sales to outside of the EU.

Capital Expenditure

Y Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective

EL Taxonomy-eligible activity for the relevant objective

N/EL Taxonomy-non-eligible activity for the relevant objective

101

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Financial Year 2025 Substantial contribution criteria DNSH criteria (‘Does Not Significantly Harm’) 2024

Economic activities

Codes

OpEx (MEUR)

Proportion of OpEx (%)

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Climate change mitigation

Climate change adaptation

Water

Pollution

Circular economy

Biodiversity

Minimun safeguards

Proportion of Taxonomy

aligned (A.1) or eligible (A.2)

OpEx (%)

Category (enabling activity)

Category (transitional activity)

A. TAXONOMY-ELIGIBLE ACTIVITIES

A.1. Environmentally sustainable activities (Taxonomy-aligned)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 102 34 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 26 - -

Manufacture of biogas and biofuels for use in transport and of bioliquids

CCM 4.13 37 12 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 21 - -

Close to market research, development and innovation CCM 9.1 - - 2 E -

OpEx of environmentally sustainable activities

(Taxonomy-aligned) (A.1) 139 46 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 49

Of which Enabling 0 0 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 4 -

Of which Transitional 0 0 0% Y Y Y Y Y Y Y 0 -

A.2. Taxonomy-Eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities)

Manufacture of biogas and biofuels for use in transport and of bioliquids CCM 4.13 21 7 EL N/EL N/EL N/EL N/EL N/EL 8

Infrastructure enabling low-carbon road transport and public transport CCM 6.15 0 0 EL N/EL N/EL N/EL N/EL N/EL 0

OpEx of Taxonomy-eligible but not environmentally sustainable activities

(not Taxonomy-aligned activities) (A.2) 21 7 100% 0% 0% 0% 0% 0% 8

A. OpEx of Taxonomy eligible activities (A.1+A.2) 159 53 100% 0% 0% 0% 0% 0% 56

B. TAXONOMY-NON-ELIGIBLE ACTIVITIES

OpEx of Taxonomy-non-eligible activities 144 47

Total (A+B) 303 100

Share of sales to outside of the EU.

Operating Expenses

Y Yes, Taxonomy-eligible and Taxonomy-aligned activity with the relevant environmental objective

EL Taxonomy-eligible activity for the relevant objective

N/EL Taxonomy-non-eligible activity for the relevant objective

102

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Fossil gas related activities

Template 1 Nuclear and fossil gas related activities

Template 4 Taxonomy-eligible but not taxonomy-aligned economic activities

Neste reports its fossil gas related activities in accor-

dance with the Complementary Climate Delegated Act

(2022/1214). Neste has exposures to natural gas related

activities through its 40% ownership of Kilpilahti Power

Plant Ltd, which is a joint venture company operating a

combined heat and power plant. Taxonomy-eligible turn-

over for the activity 4.30. High-efficiency co-generation

of heat/cool and power from fossil gaseous fuel includes

Row Nuclear energy related activities

1 The undertaking carries out, funds or has exposures to research, development, demonstration and deployment of innovative electricity generation facilities that produce

energy from nuclear processes with minimal waste from the fuel cycle. NO

2 The undertaking carries out, funds or has exposures to construction and safe operation of new nuclear installations to produce electricity or process heat, including for the

purposes of district heating or industrial processes such as hydrogen production, as well as their safety upgrades, using best available technologies. NO

3 The undertaking carries out, funds or has exposures to safe operation of existing nuclear installations that produce electricity or process heat, including for the purposes

of district heating or industrial processes such as hydrogen production from nuclear energy, as well as their safety upgrades. NO

Fossil gas related activities

4 The undertaking carries out, funds or has exposures to construction or operation of electricity generation facilities that produce electricity using fossil gaseous fuels. NO

5 The undertaking carries out, funds or has exposures to construction, refurbishment, and operation of combined heat/cool and power generation facilities using fossil

gaseous fuels. YES

6 The undertaking carries out, funds or has exposures to construction, refurbishment and operation of heat generation facilities that produce heat/cool using fossil gaseous

fuels. NO

Row Economic activities Proportion of turnover

(CCM+CCA) Climate change mitigation Climate change adaptation

Amount % Amount % Amount %

5 4.30. High-efficiency co-generation of heat/cool and power from

fossil gaseous fuels 18 13 18 13 - -

7 Amount and proportion of other taxonomy-eligible but not

taxonomy-aligned economic activities not referred to in rows 1 to 6

above in the denominator of turnover 118 87 118 87 - -

8 Total amount and proportion of taxonomy eligible but not taxonomy-

aligned economic activities in the denominator of turnover 136 100 136 100 - -

Neste’s sales of natural gas to Kilpilahti Power Plant and

other fossil gas related turnover relates to Neste’s natu-

ral gas sales to other parties.

Taxonomy-eligible OpEx related to natural gas should

cover direct expenses in accordance with the definitions

in the Disclosures Delegated Act. As there have been

no significant operating expenses during the report-

ing period and the information is financially immaterial,

Neste does not disclose the template for natural gas

related OpEx.

Additionally, CapEx related to natural gas is not dis-

closed because the investments related to the Kilpila-

hti Power Plant are not included in Neste’s total cap-

ital expenditure. Neste did not recognize any nuclear

related activities as defined in the Complementary Cli-

mate Delegated Act.

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E1 Climate change

Material impacts, risks and opportunities

Neste has identified the following material impacts, risks and opportunities with regards to climate change:

Climate change mitigation

Carbon handprint (entity-specific topic)

Positive impacts Across the value chain Neste’s renewable and circular solutions enable GHG emissions reductions by Neste’s customers, reducing dependency on fossil resources. Gradual development of the

raw material and product portfolio composition by e.g., increasing share of renewable raw materials as opposed to fossil-based leads to a less carbon-intensive raw

material pool and end products. These impacts apply across the short- to long-term.

Negative impacts Across the value chain GHG emissions across Neste’s value chain contribute to global warming and climate change. GHG emissions occur upstream in fossil raw material sourcing, in own

operations, and downstream from the use and further processing of Neste’s products. The related global impacts of climate change apply across the short- to long-term.

Opportunities Across the value chain New regulations, policy support or more ambitious climate targets can result in demand growth in renewable and circular solutions in the long-term.

Expanding operations into new raw materials, products and technologies can create business opportunities or drive higher product value in the medium- and long-term.

Gradual transformation of Neste’s business model and operations can strengthen resilience to decreased fossil demand, allow leveraging existing assets for renewable and

circular production and potentially have a positive impact on capital access and cost in the long-term.

Risks Across the value chain Uncertainty related to regulatory support, protectionist policies or voluntary demand for renewable and circular solutions can lead to e.g. lower sales volumes. The risk

applies across the short- to long-term.

Regulatory uncertainty related to raw materials acceptance can cause limitations to the raw materials pool, leading to competitive disadvantage for Neste or to loss of

existing or potential markets. The risk applies across the short- to long-term.

Not meeting climate commitments due to e.g., market drivers, financial constraints, technology or operational issues can result in reputational damage or increased

operational costs, e.g. related to EU ETS or impact the cost and access to capital. The risk applies in the medium- to long-term.

Climate change adaptation

Opportunities Upstream Strengthening Neste’s current raw materials portfolio through e.g., global sourcing capabilities, partnerships, pre-treatment capabilities or M&A can lead to improved

competitiveness and adaptability towards climate change in the medium- to long-term.

Energy

Negative impacts Own operations Neste’s operations in an energy-intensive sector, especially the energy-intensity of its refining processes, lead to environmental impacts associated with energy

consumption, such as GHG emissions and exploitation of natural resources. These impacts apply across the short- to long-term.

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Processes to identify climate-related

impacts, risks and opportunities

Neste uses scenario analysis and enterprise risk man-

agement to identify and assess climate-related risks and

opportunities, and evaluate the resilience and adaptabil-

ity of Neste’s business model. The risks and opportu-

nities are incorporated into Neste’s double materiality

assessment, further described under ESRS 2 General

disclosures. Neste does not conduct a separate climate

resilience analysis.

The scenario analysis, conducted in 2024 and based

on prioritized inputs from a separate Task Force on Cli-

mate-related Financial Disclosures (TCFD) assessment,

focused on transition risks, such as the anticipated

financial effects related to e.g., climate policy devel-

opments. In the TCFD assessment, some acute and

chronic physical risks to assets and raw materials were

identified in higher global warming outcomes and lon-

ger timeframes, however none were deemed material.

The identified climate risks are included in Neste’s Enter-

prise Risk Management (ERM) process. Risk mitigation

plans are implemented where appropriate, as described

in ESRS 2 General disclosures.

Climate scenarios describing different global warming

outcomes were one of the key input factors. Neste based

the scenario analysis and the underlying TCFD assess-

ment on the internationally acknowledged climate path-

ways that represent benchmarks for the energy indus-

try, for example the IEA Stated Policies Scenario and

Announced Pledges Scenario, as well as the Net Zero

2050 scenario. These pathways cover concentration

pathways similar to RCP 6.0, RCP 4.5 and RCP 2.6.

Neste complemented the climate scenarios through

internal analysis and identification of trends and factors

relevant to its business. The complementary assump-

tions and weightings varied between the scenarios. The

implications to Neste were analyzed in three climate

scenarios:

• Net Zero World 2050, which is in line with the 1.5°C

pathways

• Net Zero EU and North America by 2050, consistent

with a 2°C trajectory

• Compromised Climate Targets, reflecting global

warming of 2.5°C or more by the end of the century.

Each scenario takes into consideration the development

of global climate ambitions, projections of economic

growth, globalization and geopolitics and development

of key technologies. These drivers are relevant due to

their effects on the demand of Neste’s products, supply

and deployment of key and new raw materials, availabil-

ity of capital and Neste’s overall position in supporting

the global energy transition and global climate goals.

Neste’s strategic planning focuses on the next 5 years,

with the scenario analysis extending to 2050 to account

for the increasing impact of climate change. The time

horizons used in the scenario assessment were defined

as short-term (1–2 years), medium-term (3–5 years) and

long-term (over 6 years) to align with and cover strate-

gic planning, capital allocation as well as expected life-

time of assets. The underlying climate scenario analysis

focuses also on the “beyond 10 years” horizon.

Uncertainties related to the scenario analysis include

the pace and scope of regulatory changes, technological

advancements, market dynamics, the varying impacts

of climate change across geographies and industries, as

well as the use of national or regional data. These factors

affected the considered projections for energy demand,

the adoption of low-climate-impact technologies and

the global transition to renewable solutions. The impact

potential of these drivers on Neste were evaluated in

short-, medium- and long-term time horizons with vary-

ing degrees of certainty.

Neste believes that the applied scenarios represent

material risks, opportunities and uncertainties related

to climate change. Key climate-related assumptions

made in the financial statements are described in Note

2 Accounting Policies in Neste’s Consolidated Finan-

cial statements, under the heading “Climate related

topics”. The assumptions are based on the same risks

and opportunities as described in this section. Key cli-

mate-related assumptions in Neste’s Financial state-

ments are described in the Notes to the Consolidated

Financial Statements in line with application requirement

15 in the E1 Climate change standard.

Climate impacts

To assess, quantify and manage the impacts to climate,

Neste follows the Greenhouse Gas Protocol guidance for

screening GHG emissions sources and calculating emis-

sions from its operations and value chain. The evaluation

of GHG emissions is integrated into Neste’s investment

processes to increase transparency and control the cli-

mate impacts of the company’s investments. In addition

to earlier scope 1 & 2 assessments, Neste conducted

a thorough scope 3 materiality assessment in 2024 to

ensure all relevant scope 3 categories for the company

have been identified. Relevant categories were selected

based on their materiality and business relevance, while

ensuring completeness and availability of consistent

emissions data.

GHG- or energy-intensive assets

Neste operates GHG- and energy-intensive assets in its

refineries. Neste has identified its Porvoo refinery and oil

refining business in Finland as assets and activities at risk

due to climate policy developments and the energy tran-

sition. Following the 2021 closure and later decommis-

sioning of its oil refinery in Naantali, Finland, the Porvoo

refinery is Neste’s only oil refinery. However, the Porvoo

refinery has significant potential as a provider of renew-

able and circular solutions, and Neste is enhancing its

capabilities to leverage co-processing of both renewable

and recycled raw materials at the refinery. Neste’s long-

term plan is to gradually transform the Porvoo oil refinery

into a renewable and circular solutions refining hub.

Identified risks and opportunities

Neste has identified three material transition risks related

to climate change mitigation in its double materiality

assessment, as described in the Material impacts, risks

and opportunities table of this section. No material phys-

ical climate risks were identified in the double materiality

assessment.

The energy transition will shift the energy mix from

fossil fuels towards renewable fuels, and the magnitude

of the transition is expected to depend on technologi-

cal development and growing use of a number of novel

solutions. Development of novel technologies is likely to

continue. The growing global population and economic

growth continue to drive increase in energy demand,

yet energy efficiency improvements balance out the net

impact.

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Potential implications of climate change to Neste

Net Zero World 2050 Net Zero EU and North America by 2050 Compromised Climate Targets

Description Rapid and radical emission reductions globally to meet Net Zero

emissions by 2050 and limit global warming to 1.5°C, building

on the IEA Net Zero 2050 Scenario.

Advanced economies demonstrate strong climate action while

developing economies follow slower, consistent with a 2°C

trajectory, building on the IEA Announced Pledges Scenario.

Failure to take climate action leads to the continuation of the

current trends, causing global warming of 2.5°C to 3°C or more

by the end of the century. Scenario is partly building on the IEA

Stated Policies Scenario.

Opportunities The accelerated global demand for renewable and circular

solutions provides Neste opportunities to leverage global reach,

expand to new markets, and optimize across raw materials,

countries and customer sectors.

Continued demand growth in renewable and circular solutions;

regulatory markets supported by voluntary climate ambitions.

Modest demand growth in renewable products due to less

favorable regulatory framework gives room for differentiation and

serving selected markets efficiently.

Risks Accelerated global demand for renewable and circular solutions

and supportive regulatory landscape may present transition

risks related to stringent competition for key raw materials and

when entering new markets.

Identified transition risks relate to regulation limiting the

competitiveness of renewable fuels or narrowing the eligibility of

key raw materials. A decline of fossil fuel demand could also be

seen as a transition risk for Neste’s current business. Risks

related to accelerated alternative technology development have

also been identified.

Transition risks include downscaled regulatory drivers, slowing

down the demand growth for renewable products. In the long-

term, physical risks related to chronic and acute climate change

impacts can have significant negative effects on raw materials

availability, supply chains and assets.

Indicative financial

impact to Neste

Positive Base case Slightly negative

Resilience analysis

Impacts, risks, and opportunities identified and assessed

as material through business environment and busi-

ness area specific analysis and evaluations, as well as

covered in the double materiality assessment, inform

and influence Neste’s strategy development and deci-

sion-making on a broad scale, including major invest-

ments and capital allocation. Neste believes it is well-po-

sitioned to adapt its strategy and business model to a

climate-resilient economy. While Neste does not con-

duct a separate climate resilience analysis as defined in

ESRS E1, the identified climate-related impacts, risks

and opportunities are indirectly considered in strate-

gic planning. Neste’s strategy aims, among other pri-

orities, at growth in renewable fuels, and for instance

raw material choices can be adjusted depending on the

conditions in the business environment.

Policies

Neste addresses material climate-related impacts, risks

and opportunities in the following policies and principles:

Sustainability Policy, Sustainability Principle, Envi-

ronmental Management Principle, Supplier Code

of Conduct and Operations Excellence Policy. In

addition, the Code of Conduct sets out the compa-

ny’s commitment to reduce its GHG emissions, reach

its climate targets and use energy-efficient solutions in

its operations. The Code of Conduct is described more

in detail in the G1 Business conduct -section of this

report.

The purpose of Neste’s Sustainability Policy is to

give clear guidance to Neste’s sustainability commit-

ments and governance. The aim, through the Policy, is

to ensure that aspects of sustainability are addressed

in Neste’s everyday business and to contribute to

sustainable development. This includes ensuring socially,

environmentally and economically sustainable business

conduct in all Neste’s activities throughout the value

chain, while creating value to the company’s stakehold-

ers. Neste’s climate and other sustainability commit-

ments reflect its ambition to support the objectives of

the Paris Agreement, contributing to global efforts to limit

global warming. Neste also recognizes the importance

of just transition as envisaged in the Paris Agreement.

The Sustainability Policy covers IROs related to climate

change mitigation and adaptation, and energy. The CEO,

on behalf of the Board, has the ultimate accountability

for sustainability matters and risk oversight of major sig-

nificance to the Neste Group.

The purpose of the Sustainability Principle is to set

out Neste’s core sustainability commitments and define

what living up to these commitments means. The Prin-

ciple also describes how sustainability and its risks are

managed at Neste. It covers Neste’s approach to cli-

mate change mitigation and climate change adaptation

and sets out Neste’s ambition in relation to renewable

energy and energy efficiency.

The Sustainability Policy and Principle are applicable

in all Neste operating locations and apply to all Neste

employees and to anyone working for or representing

any business entity within the Neste Group. They are

available in English on Neste’s webpage. The Sustain-

ability Policy and Principle address several international

frameworks, of which the most relevant ones for climate

change are the TCFD reporting principles to disclose cli-

mate-related financial risks, and the ten principles of the

UN Global Compact.

The Supplier Code of Conduct defines the mini-

mum climate requirements for the company’s suppliers

and business partners. Neste’s suppliers are expected

to, at a minimum, consider the climate impact of their

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operations and undertake greenhouse gas reduction

measures where reasonable. More detail on the Supplier

Code of Conduct and its implementation is provided in

the G1 Business conduct section.

The Operations Excellence Policy and the Envi-

ronmental Management Principle further describe

how Neste ensures the efficient use of resources and

energy in its operations. Ensuring the energy efficiency

of investment projects is included in the Environmen-

tal Compliance Analysis, which is executed for all major

investment projects when building new production

capacity or increasing current capacity. The Operations

Excellence Policy is further described in the S1 Own

workforce section and the Environmental Management

Principle is further described in the E2 Pollution section.

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Transition plan for climate change

mitigation

Increasing the availability of renewable and circular solu-

tions to reduce reliance on fossil resources is central to

Neste’s strategy. Neste’s renewable products enable

customers to reduce their GHG emissions. In addi-

tion to increasing production at its renewable refiner-

ies, Neste has a long-term plan to gradually transform

Neste’s targets on climate change mitigation

Targets Target details 2025 2024

Carbon handprint: Help Neste’s customers to reduce

their greenhouse gas emissions by at least 20 million

tons annually by 2030 with renewable and circular

solutions

Key performance indicator: Reduced GHG emissions by Neste customers with Neste’s renewable products

during the reporting year (compared to fossil fuel) (MtCO

Baseline year: n.a.

Period: Annually and until 2030

Scope: Own operations and upstream and downstream value chain, customer use of

products

14.2 MtCO

e 12.1 MtCO

Scope 1 & 2: Reduce GHG emissions in Neste’s own

operations by 24% by 2030, 50% by 2035, and 80%

by 2040 compared to 2019 baseline

Key performance indicator: Absolute scope 1 & 2 GHG emissions (MtCO

Unit: % reduction in tCO

Baseline year: 2019

Period: Until 2040

Scope: Own operations

3.08 MtCO

12% reduction

compared to baseline

2.68 MtCO

24% reduction

compared to baseline

Scope 3: Reduce the use-phase emission intensity of

sold products by 50% by 2040 compared to 2020

levels

Key performance indicator: Use-phase emission intensity (gCO

e/MJ)

Unit: % emission intensity reduction in tCO

Baseline year: 2020

Period: Until 2040

Scope: Downstream supply chain (sold products)

54 gCO

e/MJ

7% reduction

compared to baseline

54gCO

e/MJ

7% reduction

compared to baseline

its oil refinery in Porvoo, Finland into a renewable and

circular solutions refining hub. Neste does not have a

separate climate transition plan as detailed in the ESRS

but its targets, actions, resource plans and internal car-

bon price are intended to support the transition and cli-

mate change mitigation. Neste will evaluate developing

a dedicated climate transition plan in line with emerging

sustainability and due diligence regulations and evolving

regulatory expectations. All Neste’s strategic plans are

governed by the Board of Directors, including actions

and related investments needed to meet Neste’s climate

targets. Neste is excluded from the EU Paris-aligned

Benchmarks (PABs), as the company derives revenue

from the refining of fossil fuels.

Targets

Neste has three quantifiable, time-bound targets for cli-

mate change mitigation (Table Neste’s targets on climate

change mitigation). In 2025, Neste revised its scope 1 &

2 target by setting a greenhouse gas emission reduction

target of 80% by 2040 compared to 2019, replacing the

target of reaching carbon neutral production by 2035.

The interim targets supporting this long-term target are

24% reduction by 2030 and 50% reduction by 2035.

With this revision Neste focuses solely on absolute GHG

emission reductions and removes the option of using

emission compensation from its climate target setting.

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The base year and baseline for the scope 1 and 2 tar-

get stay the same. Two of Neste’s climate targets remain

unchanged: the carbon footprint target to reduce the

use-phase emission intensity of sold products by 50%

from 2020 by 2040, and the carbon handprint target to

help customers reduce their greenhouse gas emissions

by 20 Mt annually by 2030 with Neste’s renewable and

circular solutions. Neste’s climate targets are linked to

its overall business strategy, and considered in financial

planning and resource allocation, for example, through

the use of internal carbon price. The revision aligns

Neste’s climate targets with the current market and reg-

ulatory environment as well as the company’s current

financial position and streamlined investment portfolio.

For target setting, Neste has been using the guidance

of the leading climate frameworks, such as the GHG

Protocol, the Science Based Targets initiative (SBTi,

incl. both the general guidance and the draft guidance

for oil & gas sector), Transition Pathway Initiative (TPI)

(GHG emission intensity pathways incl. scope 1 & 2

and scope 3 use of sold products based on IEA Net

Zero 2050 scenario) and Exponential Roadmap initiative

(ERI) (50 % reduction every decade). The target revision

broadly involved internal stakeholders such as all busi-

ness areas, strategy, finance and executive leadership,

and also external stakeholder views were incorporated

into the analysis and decision-making as brought for-

ward by these internal stakeholders.

While Neste’s current near-term targets are not

aligned with the 1.5°C pathways, Neste believes they

remain broadly consistent with the Paris Agreement’s

goal to limit global warming to well below 2°C. The tar-

gets ensure GHG emissions are consistently reduced in

the company’s operations and value chain. Neste’s cli-

mate roadmap is designed to accelerate with a sharper

emissions reduction curve towards 2040 in line with

expected development in the demand and regulatory

environment. In the near term, reductions will be made

at a financially viable pace, while demonstrating prog-

ress in mitigating the company’s climate impact. Neste

continues to develop and strengthen its targets in line

with the latest climate science, developing regulation,

available and emerging sector standards, as well as its

financial capabilities.

Neste’s GHG emissions reduction targets align with

the GHG inventory boundaries, following the same

scope and category breakdowns and using the same

calculation approach as explained in the reporting prin-

ciples for the climate metrics in this report. The base-

line values for Neste’s climate targets generally repre-

sent the company’s overall activities covered as well as

any external influences that would lead to major devia-

tions from annual emissions. Key Performance Indica-

tors (KPIs) associated with targets on scope 1 and 2

are in accordance with ESRS metrics. Carbon handprint

and related KPI, as well as scope 3 use-phase emission

intensity KPI are entity-specific. Scope 1 & 2 and scope

3 use-phase emission intensity targets’ baselines have

been compared to previous years values to ensure no

major changes or external impacts have taken place.

The baseline values include all activities included in the

operational control reporting boundary. The scope 1 & 2

target considers market-based scope 2 emissions.

Neste does not have separate measurable, time-

bound and outcome-oriented targets in place for IROs

related to climate change adaptation nor upstream IROs

related to climate change mitigation, but does neverthe-

less track the effectiveness of its policies and actions as

set out below.

Climate change adaptation: To address the oppor-

tunity to enhance flexibility in the supply chain through

renewable raw materials, Neste continues growing and

diversifying its raw materials portfolio as explained fur-

ther in E5 Resource use and circular economy sec-

tion. These actions are relevant for Neste’s upstream

activities.

Climate change mitigation: Neste continues to

work with the company’s suppliers and partners to

reduce GHG emissions across its value chain. The Neste

Supplier Code of Conduct sets requirements towards

Neste’s suppliers regarding environmental impact and

climate change, as further elaborated in the G1 Busi-

ness conduct section. The scope of these activities are

upstream and downstream scope 3 emissions, e.g.,

purchased goods, services, transportation and logis-

tics. Progress will be reflected in relevant scope 3 GHG

emissions.

Progress in targets

Neste’s climate targets are monitored and reviewed as

part of e.g., the remuneration of Neste’s key personnel,

as core climate targets are connected with the perfor-

mance metrics in Neste’s long-term incentives (LTIs), as

described in ESRS 2 General disclosures. Performance

towards climate targets in 2025 is presented below:

• Carbon handprint: In 2025, Neste’s renewable and

circular solutions helped its customers to reduce

GHG emissions by 14.2 million tons (compared to

fossil fuel).

• Scope 1 and 2 GHG emissions: To date Neste has

achieved 0.4 MtCO

e (12%) reduction in its scope 1

& 2 GHG emissions compared to the 2019 baseline

of 3.52 MtCO

• Scope 3 use-phase emission intensity: To date

Neste has achieved 7% reduction to its use-phase

emission intensity compared to its 2020 baseline of

58 gCO

e/MJ.

Progress towards targets is in general in line with planned.

Due to the nature of the industry Neste operates in, prog-

ress towards targets is not expected to be linear year-

on-year but depend on e.g., investment life cycle, R&D&I

breakthroughs, market conditions reflected in sales vol-

umes and product mix and refinery turnarounds. There

have not been significant changes or trends that would

have affected 2025 performance towards climate tar-

gets. However, scope 1 and 2 emissions were tempo-

rarily lower in 2024 due to a turnaround at Neste’s Por-

voo refinery, resulting in reduced operational activity. In

2025, GHG emissions increased as production returned

to a normal operating level. As a result, the progress in

emissions reductions from the 2019 base year is smaller

when comparing 2025 to 2024, despite the progress in

underlying long-term GHG emission reduction plans.

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Actions

Neste’s key actions and identified climate change mit-

igation levers, including those currently implemented,

planned, or under evaluation, to address material cli-

mate-related impacts, risks and opportunities, and to

support progress toward its climate targets are pre-

sented in the adjacent table and graph.

Expected outcomes

The expected outcomes of these actions include

reduced scope 1 and 2 GHG emissions (reduction poten-

tial estimated to be ~2.8 MtCO

e from 2019 by 2040),

improved energy efficiency, lower use-phase emission

intensity of sold products and higher carbon handprint.

These actions contribute to the management of material

negative impacts associated with GHG emissions from

Neste’s own operations and value chain, energy con-

sumption, as well as positive impacts related to reduced

GHG emissions by Neste’s customers. Through these

actions, Neste is aligning with the objectives of the Sus-

tainability Policy.

The implementation and timing of the actions pre-

sented are subject to individual investment deci-

sions and depend on various factors including market

demand, availability of financial resources, evolving pol-

icy and regulatory frameworks, technological readiness,

and wider macroeconomic conditions enabling signifi-

cant and long-term investments.

Identified climate change mitigation levers

Relevance for Neste’s climate

targets (indicative)

Actions

Scope

1 & 2

Scope 3

use-phase

emission

intensity

Carbon

handprint

Renewable and

recycled

raw materials

and reducing

reliance on

fossil fuels

Continuous • Increasing production capacity for renewable products,

e.g., Rotterdam refinery capacity expansion project

• Diversifying raw materials portfolio, increasing the use of low-carbon-intensity raw

materials

• New processing capacity for recycled raw materials in Porvoo

• Enhancing Porvoo refinery capabilities to leverage renewable

and recycled raw materials co-processing

• Gradual transition away from fossil refining

• • •

Renewable

energy

Continuous • Renewable electricity, such as Power Purchase Agreements and Guarantees of Origin

• Renewable marine fuel procurement for shipping operations

• •

Under

evaluation

• Renewable steam, e.g., renewable energy boilers and potential future investments

• Replacing fossil fuels with own offgases and renewable fuels

• •

Operational

excellence

Continuous • Energy efficiency improvements to e.g. reduce steam consumption

• New shipping fleet

• •

Under

evaluation

• Exploring options for electrification of process heating, new technology,

and asset and digital optimization

• •

Implemented

in 2025

• Energy efficiency improvements in refineries

• New shipping fleet

• •

Replacing fossil

hydrogen with

alternative

solutions

Under

evaluation

• Evaluating alternatives for replacing fossil hydrogen use at refineries

• Exploring opportunities to expand to new solutions and technologies

• • •

Carbon capture

and storage

Under

evaluation

• Solutions for carbon capture and storage •

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Resources to implement actions

Implementation of the actions required to meet Neste’s

climate targets are expected to require significant (>50

MEUR) operational and/or capital expenditures. In 2025,

relevant financial resources related to actions on increas-

ing the use of renewable raw materials and reducing reli-

ance on fossil fuels are included under Neste’s report-

ing in accordance with the EU taxonomy. For example,

Neste’s taxonomy reporting includes investments made

to expand the production capacity of existing taxono-

my-aligned economic activities as part of a so-called

CapEx plan. Further information on the CapEx plan is

provided in Neste’s taxonomy reporting.

2019

Baseline

Past

reductions

Increase from

renewable

volume growth

Energy

efficiency and

electrification

Asset

optimization

Renewable

fuels and

steam

Replacing

fossil H2

Carbon capture

from own

operations

Biomethane Transition

away from

fossil refining

2040

Target

100%

80%

60%

40%

20%

Graphical presentation of scope 1 and 2 emission reduction levers

More detailed breakdown of identified scope 1 and 2 GHG emission reduction levers and their illustrative impact on Neste’s GHG emission as a percentage of the baseline.

Internal carbon pricing

Neste applies an internal carbon price for its scope 1 and

2 GHG emissions in investment calculations, business

case evaluations and in strategic planning. The inter-

nal shadow price for carbon is utilized globally, across

Neste’s business areas and functions.

Neste’s internal carbon price is 100 EUR/tCO

e and

remains unchanged compared to 2024. When setting

the internal carbon price, Neste utilizes various sources,

for example the EU Emission Trading System (ETS)

allowance price and forecasts, and other external refer-

ences such as carbon prices used in International Energy

Agency (IEA) climate scenarios. While the EU ETS is

chosen as a source based on its direct financial rele-

vance for Neste, the IEA also provides indication of sec-

tor- or industry-specific price levels required to reach the

climate goals in the Paris Agreement, especially for time

horizons where the visibility to detailed climate policies is

unclear. Neste regularly reviews the internal carbon price

as part of its strategic planning process. Neste internal

carbon price does not cover scope 3 GHG emissions.

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Energy consumption and mix 2025 2024

Fuel consumption from coal and coal products, MWh 0 0

Fuel consumption from crude oil and petroleum products, MWh 8,401,000 7,322,000

Fuel consumption from natural gas, MWh 881,000 858,000

Fuel consumption from other fossil sources, MWh 0 0

Consumption of purchased or acquired electricity, heat, steam, and cooling from

fossil sources, MWh 1,503,000 1,577,000

Total fossil energy consumption, MWh 10,785,000 9,757,000

Share of fossil sources in total energy consumption, % 80 80

Total consumption from nuclear sources, MWh 708,000 600

Share of consumption from nuclear sources

in total energy consumption, % 5 0

Fuel consumption from renewable sources, including biomass, MWh 1,143,000 994,000

Consumption of purchased or acquired electricity, heat, steam, and cooling from

renewable sources, MWh 926,000 1,520,000

The consumption of self-generated non-fuel renewable energy, MWh 1,000 10

Total renewable energy consumption, MWh 2,071,000 2,514,000

Share of renewable sources in total energy consumption, % 15 20

Total energy consumption, MWh 13,564,000 12,272,000

Metrics

Energy consumption and mix

Energy production 2025 2024

Renewable energy production, MWh 6,000 1,000

Non-renewable energy production, MWh 263,000 176,000

Energy intensity per net revenue 2025 2024

Total energy consumption from activities in high-climate-impact sectors per net

revenue from activities in high-climate-impact sectors, MWh/MEUR 713 595

Carbon handprint

Carbon handprint 2025 2024

Reduced GHG emissions by Neste customers with

Neste’s renewable products during the reporting

year (compared to fossil fuel), MtCO

e 14.2 12.1

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Retrospective

Scope 1 GHG emissions Base year (2019) 2025 2024

Gross scope 1 GHG emissions from the consolidated accounting group, tCO

eq 2,669,000 2,290,000

Gross scope 1 GHG emissions from investees for which Neste has operational control, tCO

eq 0 0

Gross scope 1 GHG emissions, tCO

eq 2,580,000 2,669,000 2,290,000

Percentage of scope 1 GHG emissions from regulated emission trading schemes, % 94 94

Scope 2 GHG emissions 

Gross location-based scope 2 GHG emissions from the consolidated accounting group, tCO

eq 466,000 470,000

Gross location-based scope 2 GHG emissions from investees for which Neste has operational control, tCO

eq 100 100

Gross location-based scope 2 GHG emissions, tCO

eq 513,000 466,000 470,000

Gross market-based scope 2 GHG emissions from the consolidated accounting group, tCO

eq 412,000 393,000

Gross market-based scope 2 GHG emissions from investees for which Neste has operational control, tCO

eq 0 0

Gross market-based scope 2 GHG emissions, tCO

eq 936,000 412,000 393,000

Significant scope 3 GHG emissions 

Total gross indirect (scope 3) GHG emissions, tCO

eq 51,590,000 56,490,000

1 Purchased goods and services, tCO

eq 5,070,000 7,390,000

3 Fuel and energy-related activities (not included in scope 1 or scope 2), tCO

eq 90,000 100,000

4 Upstream transportation and distribution, tCO

eq 670,000 820,000

5 Waste generated in operations, tCO

eq 30,000 310,000

9 Downstream transportation, tCO

eq 590,000 720,000

11 Use of sold products, tCO

eq 42,240,000 45,070,000

12 End-of-life treatment of sold products, tCO

eq 1,110,000 900,000

15 Investments, tCO

eq 1,790,000 1,180,000

Total GHG emissions

Total GHG emissions (location-based), tCO

eq 54,724,000 59,250,000

Total GHG emissions (market-based), tCO

eq 54,670,000 59,173,000

Gross scopes 1, 2, 3 and Total GHG emissions

GHG intensity

per net revenue 2025 2024

Total GHG emissions

(location-based) per net

revenue, tCO

eq/MEUR 2,878 2,871

Total GHG emissions

(market-based) per net

revenue, tCO

eq/MEUR 2,875 2,868

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Reporting principles

Majority of the energy consumption and production

data is collected either from Neste’s own measurement

devices or via energy invoices. Estimates are used for

minor energy consumption sources like small rented

offices and own logistics. Data coverage is estimated

to be > 99 %.

Neste follows GHG Protocol Corporate Standard

and its supplement Corporate Value Chain (Scope 3)

Accounting and Reporting Standard. The reporting

includes emissions of the GHGs covered by the GHG

Protocol (CO

, CH

, N

O, HFCs, PFCs, SF

and NF

Emissions have been converted into carbon dioxide

equivalents.

Scope 1 and 2: Neste’s scope 1 accounting is based

on fuel consumption and emissions calculations. To cal-

culate scope 1 emissions, activity data (MWhs contained

by consumed fuel) is multiplied with site and fuel-spe-

cific emission factors to arrive at the total GHG emis-

sions impact. When emissions are reported under the

ETS or other regulations, the emission factors from these

schemes are used. Otherwise country-based published

emission factors are used. Other relevant GHG emis-

sions than CO

are calculated separately for all combus-

tion taking place in the refinery facilities. Other sources

are excluded as negligible.

To calculate scope 2 emissions, activity data (MWhs

of purchased energy consumption) is multiplied by emis-

sion factors to arrive at the total GHG emissions impact

of purchased energy (electricity, heat, steam) use. Mar-

ket-based scope 2 emissions are based on supplier-spe-

cific emission factors when available. In other cases,

residual grid mix or country-specific emission factors

are used. Location-based scope 2 emissions are based

on country-specific emission factors published by IEA,

Motiva and other country-based public sources. Emis-

sion factors for CO

eq are used when available.

Market-based scope 2 accounting covers contractu-

ally purchased electricity both bundled with energy attri-

bute instruments, such as Guarantees of Origin (GoOs),

and through the use of unbundled GoOs purchased sep-

arately. In 2025, 90.7% (2024: 86.2%) of Neste’s total

electricity usage was covered by GoOs, of which 29.4%

was covered with bundled instruments and 61.3%

unbundled GoO’s.

Biogenic scope 1 emissions were 467,000 tCO

(2024:

421,000 tCO

) and scope 2 biogenic emissions 47,000

tCO

(2024: 58,000 tCO

) in 2025. The scope 1 figure

includes process emissions that are partially based on

estimation.

GHG intensity and energy intensity is calculated

based on the revenue as presented in Note 5 Revenue

in the consolidated financial statements. All Neste oper-

ations in operational control are included in the energy

intensity figure. Relevant high climate impact sectors

(based on ESRS definition) include activities related to

Neste’s refining operations, sale and trading of fuels and

raw materials, retail sale of fuels and related products,

shipping operations and other supporting activities, such

as terminal operations.

Scope 3: For the scope 3 GHG emissions, each

reported category can have different methodologies as

detailed in the Technical Guidance for Calculating Scope

3 Emissions from GHG Protocol. Neste has used the

following methodologies per categories: Average data

method (categories 1 & 3); Spend-based method (cat-

egory 1); Supplier-specific method (category 1); Dis-

tance-based method (categories 4 & 9); Waste-type-spe-

cific method (categories 5 & 12); Methodology for direct

use-phase emissions according to Standard ISO 14083

(category 11); Investment-specific method (category

15); Life Cycle Assessment biofuel regulation method-

ology from Renewable Energy Directive (EU) 2018/2001

or from CARB Regulation (categories 1, 4, 9 & 11).

Methodologies have been chosen based on the avail-

ability and accuracy of the data and, when possible, on

involvement of a third-party certification process.

When actual GHG emission factors are not available,

industry- or location-specific GHG emission factors

from industry databases or scientific reports are used.

Sources include European Commission JRC studies,

UK Department for Energy Security & Net Zero, EN

ISO 14083 standard, Renewable Energy Directive (EU)

2018/2001 and Commission Implementing Regulation

(EU) 2022/996, IPCC, California Air Resources Board,

Tilastokeskus (Statistics Finland), Ecoinvent, ICCT and

S&P Global.

With upstream (category 4) and downstream (cate-

gory 9) transportation, Neste’s categorization of trans-

portation emissions into upstream and downstream

(product flow approach) differs slightly from the finan-

cial flow approach stated in the GHGP Corporate Value

Chain (Scope 3) Accounting and Reporting Standard.

All Neste’s scope 3 GHG emissions are calculated

using inputs from Neste-specific activities using data

from enterprise resource planning systems for supply,

sales or procurement and from operating systems for

production and site data. Neste’s renewables business

also provides input through product and feedstock bio-

criteria management and traceability systems. 74.7%

(2024: 61.3%; recalculated) of emissions are calculated

using primary data obtained from suppliers or other value

chain partners. Calculation principles for primary data

were updated in 2025 to include the emissions from the

use-phase of Neste’s produced fuel (category 11), and

2024 value has been recalculated respectively.

For a part of transportation emission (categories 4 & 9)

and purchased goods and services (category 1), in the

case where reliable data is not available, sector average

data is used. For some subsidiaries, joint ventures or other

entities outside Neste’s operational control, estimation

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based on quantitative data, such as production capac-

ity, has been done. The estimations are compared to the

known part of activity data and/or use industry average

data, to ensure a sufficient level of accuracy. As part of

the company’s actions related to climate change mitiga-

tion, Neste continues to work with suppliers and part-

ners to improve access to reliable value chain data.

For scope 3 category 5 (Waste generated in opera-

tions), in 2025, Neste has used the suggested approach

in the Technical Guidance for Calculating Scope 3 Emis-

sions from GHG Protocol to only include transportation

emissions for waste with recovery, recycling or re-use as

the GHG emissions from waste treatment should be allo-

cated to the next life cycle. Additionally, in 2025 Neste

was able to use primary data for the waste treatment and

transportation emission factors. These changes partly

explain the deviation between 2024 and 2025 reported

values for category 5 emissions, as 2024 value has not

been recalculated.

Significant scope 3 categories for Neste include cate-

gories 1, 3, 4, 5, 9, 11, 12 and 15. Excluded categories

include:

• Capital goods (category 2): Compared to Neste’s

supplier spend, capital goods spend is not relevant.

Currently capital goods and other purchased

materials are included in category 1 through spend

data.

• Business travel (category 6): based on qualitative

assessment, the significance of the emissions related

to business travel are assessed to be minimal (<0,5

%) compared to other scope 3 categories.

• Employee commuting (category 7): based on

qualitative assessment, the significance of the

emissions related to employee commuting are

assessed to be minimal (<0,5 %) compared to other

scope 3 categories.

• Upstream leased assets (category 8): based on

qualitative assessment, Neste does not operate

upstream leased assets; therefore, the category is

not relevant.

• Processing of sold products (category 10): based

on qualitative assessment, GHG emissions from the

processing of Neste’s sold products are accounted

for in category 1 or 11.

• Downstream leased assets (category 13): based

on qualitative assessment, the significance of the

emissions related to downstream leased assets is

assessed to be minimal (<0,5 %) compared to other

scope 3 categories.

• Franchises (category 14): Neste does not engage in

franchising activity.

In the upstream and downstream value chain of Neste,

13.3 Mt of biogenic CO

(2024: 12.3 MtCO

) is emitted

from the combustion or biodegradation of biomass.

Use-phase emission intensity is calculated by divid-

ing the GHG emissions from the use of products pro-

duced by Neste and sold by Neste (part of scope 3) with

the total amount of sold energy (gCO

e/MJ).

Energy and climate metrics described above have

not been validated separately by an external third party.

Some underlying data sources are covered by certifica-

tion and emission trading schemes and related valida-

tion processes.

Carbon handprint describes the difference of carbon

footprint of a product or service and a baseline product

or service. The bigger the handprint, the better. In this

report, it is expressed in millions of tons of CO

equiva-

lent (CO

e). In addition to data included in line with the

ESRS 2 General disclosures General basis for prepara-

tion of the Sustainability statement, the metric includes

Neste-sold volumes from the joint operation Martinez

Renewables.

Neste’s customer GHG emissions reduction is cal-

culated by aggregating the customer’s GHG emission

reduction for each batch of renewable products deliv-

ered to Neste’s customers. For each batch of product,

Neste collects the quantity of energy and the emission

factor for the product in gCO

e/MJ. Biofuel and biochem-

ical industry traceability requirements, i.e. Renewable

Energy Directive, California CARB regulations or COR-

SIA, ensure that these emission factors are allocated

correctly to a unique batch by a third party audited bio-

criteria management system. Moreover, these emis-

sion factors on a lifecycle basis are calculated based on

third-party certified actual production data, or approved

default value, according to industry and market regula-

tions listed above. Renewable products sold to the pet-

rochemical industry are considered as combusted as

fuels in this calculation methodology. The GHG emis-

sion related to each batch is compared with the GHG

emission that the same quantity of a fossil fuel reference

(baseline) would emit. Emission factors for the fossil ref-

erences are dependent on the market where the prod-

uct was sold and its regulation.

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Processes to identify pollution-related

impacts, risks and opportunities

Neste assesses the health and environmental impacts of

all its products. This is a regulatory requirement for chem-

icals. Results of these assessments are documented in

e.g., the chemical safety data sheet that is supplied to

customers and own employees using or manufacturing

these chemicals. The health and safety impacts of raw

materials used in manufacturing of Neste products are

also assessed.

Many crude oil based Neste products as well as

some chemicals used in the manufacturing processes

in Neste refineries are or contain substances of concern

as defined in the CSRD. The definition of substances of

concern is purely based on the hazard properties of a

substance, not on the likelihood of the exposure or risk

considerations. All countries of Neste’s operations have

regulatory requirements relating to protecting human

health and the environment. In addition to following and

implementing such regulations, Neste also has its own

safety management system, internal instructions and

processes in place to manage the risk from hazardous

chemicals and follow performance. Part of Neste’s reve-

nue is based on manufacturing and selling products that

contain substances of concern – chemicals like trans-

portation and marine fuels. Substances of concern are

thus considered material for Neste, while the safety man-

agement systems are in place to protect people and the

environment from actual impacts.

All Neste’s operations must comply with relevant

legal requirements and environmental objectives. The

legal requirements have been set by regulators for the

purposes of protecting human health and the environ-

ment. In the EU, for example, an environmental permit

is required for operations that cause a risk of environ-

mental pollution. The requirements and limit values set

by the authorities for operations are based on air and

water quality standards, assessment of environmen-

tal impacts and latest scientific research. By following

the legal requirements, permit conditions and limit val-

ues, no significant harm is caused to the environment or

human health. Therefore, emissions that do not exceed

permit conditions and limits are not considered material

in Neste’s double materiality assessment. Neste reports

emissions (emission components) classified as sub-

stances of concern for its refineries. The selected report-

ing scope complies with the general requirement of the

E2 Pollution standard for consolidated emissions from

facilities for which the applicable E-PRTR (current IEPR)

threshold is exceeded.

Policies

The foundations of safety excellence and contin-

ual improvement are defined by Neste’s Operations

Excellence Policy and Operations Excellence Man-

agement System (OEMS), which includes the Oper-

ations Excellence Policy, Principles and supplementary

detailed Standards. The Operations Excellence Policy

sets out Neste’s approach to preventing incidents and

ensuring effective safeguards for people and the envi-

ronment. Under the Policy, substances of concern are

addressed through ensuring that product compliance

and chemical safety hazards are effectively managed.

More information on the Operations Excellence Policy is

provided under S1 Own workforce.

Through the implementation of the OEMS, Neste

aims to ensure that product compliance and chemi-

cal safety hazards are effectively managed in its oper-

ations. The OEMS includes the Product & Chemical

Safety Principle, which outlines mandatory chem-

ical legislation requirements and their handling across

operations. It covers the mitigation of material impacts

related to Neste’s use and processing of substances of

concern. Neste is dedicated to product and chemical

safety, ensuring compliance with regulations, minimizing

risks and fostering a sustainable approach to chemical

management.

The Product & Chemical Safety Principle mandates

the identification of substances of concern. Neste is

actively working towards substituting chemicals with

less harmful alternatives where possible and increas-

ing the use of renewable raw materials and products.

This shift towards renewable resources is key in gradu-

ally reducing the presence of substances of concern in

Neste’s operations.

The Principle covers all chemicals used, stored,

sold, manufactured, purchased or imported by Neste,

including substances of concern. It applies to all Neste

employees and anyone working on behalf of the com-

pany, including service providers and contractors. The

implementation of the Principle is a collaborative effort

involving Neste’s Business Areas, Procurement, R&D

and the Safety organization. Business Areas are respon-

sible for compliance in sales, trade and production, as

well as the safe handling and disposal of chemicals. The

Safety organization plays a crucial role in identifying reg-

ulatory requirements, raising awareness, providing train-

ing, assessing hazards and supporting the minimization

of occupational exposure.

The requirements of the Principle are based on legal

requirements applicable to Neste’s operations, including

the REACH and CLP Regulations in the EU, the TSCA in

the US, the Workplace Safety and Health Act in Singa-

pore, and international agreements like the ILO Chemi-

cal Convention. The Principle is available internally in the

Neste Management System and the requirements are

monitored through OEMS audit procedures and contin-

uous internal engagement with relevant stakeholders.

Neste’s Environmental Management Principle

describes key aspects and minimum requirements for

environmental protection and related environmental

improvements in Neste’s operations, and provides an

approach to ensure such requirements are performed

in a uniform way. This includes e.g., identifying and mit-

igating emissions, as well as recognizing and mitigat-

ing potential environmental risks. For the purposes of

E2 Pollution

Material impacts, risks, and opportunities

Neste has identified the following material impact with regards to pollution:

Substances of concern

Negative impact Across the value chain Substances of concern are hazardous and may have a negative impact on human health and/or the environment if effective risk management measures are not in

place or fail. Many Neste products are substances of concern (SoC) and SoCs are used in manufacturing them. The impact applies across short- to long-term time

horizons.

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Actions and resources

Actions

Key actions related to substances of concern at Neste

include the continued development of practices in ensur-

ing compliance and maintaining safety standards and

requirements in Neste’s own operations and the supply

chain in accordance with product and chemical safety

legislation. Further information on current and planned

actions is provided in the adjacent table. Information

about how safety incidents (including those related to

substances of concern) are addressed in the S1 Own

Workforce section of this report.

Expected outcomes

As a result of the actions, Neste expects its products to

continue complying with product and chemical safety

requirements, while also minimizing chemical compli-

ance or safety incidents. The progress towards actions

related to chemical compliance is followed through con-

tinuous monitoring of incidents of non-compliance con-

cerning the health and safety requirements of products,

including the compliance with product and chemical

safety legislation and Neste’s policies and principles.

As a result of its environmental compliance assurance

efforts and implementation of the updated Environmen-

tal Management Principle, Neste ensures its operations

comply with relevant environmental requirements. Neste

is committed to correct any potential environmental

non-compliances. Furthermore, Neste aims to ensure

that its operations do not cause significant harm to the

environment.

Resources to implement actions

Implementation of actions related to substances of con-

cern are covered by e.g., process safety investments

under prioritized maintenance operational or capital

expenditures to ensure safety and reliability of oper-

ations. Actions related to compliance with regulatory

requirements for product and chemical safety are busi-

ness-as-usual activities that did not require dedicated

significant (> 50 MEUR) financial resources during the

reporting year, and are not expected to require such

resources in the future. Future financial resources allo-

cated to actions listed above may be subject to individ-

ual investment decisions and depend on various internal

and external factors.

avoiding incidents and accidents with significant envi-

ronmental impact, Neste’s operations identify environ-

mentally critical operations, systems and equipment,

and prepare management plans accordingly. The Princi-

ple also concerns the management of material impacts

related to substances of concern by requiring that pro-

duction sites evaluate presence and current or earlier

use of substances of very high concern (SVHCs) and

establish a program for risk management, control or

removal and proper handling.

The Environmental Management Principle is applica-

ble to all Neste owned and operated production sites

and terminals and Neste operated logistics, Market-

ing & Services operations and other Neste operations

like Investment Project Execution and Governance. It is

available internally in the Neste Management System,

while a description of the key contents of the Principle is

available publicly. The implementation of the Principle is

done through a dedicated program during 2025–2027

and furthermore, monitored through internal audits and

monthly environmental compliance reporting.

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Targets

Neste complies with requirements for product and chem-

ical safety, as described in the Operations Excellency

Policy and Product and Chemical Safety principle, to

address impacts associated with substances of concern

in its supply chain and products. Neste does not have

separate targets in place with regards to substances of

concern but tracks the effectiveness of its policies with

e.g., the entity-specific KPI presented in the adjacent

table. Neste aims to minimize the number of non-com-

pliances related to the health and safety requirements of

its products. Neste has not defined a base year for the

key performance indicator.

Key performance indicator Performance in 2025 Performance in 2024

Incidents of non-compliance

concerning the health and safety

requirements of products

No cases of non-compliance as

defined in reporting principles.

One case relating to a lacking

authority notification in 2023,

which Neste received an authority

warning/notice for in 2024.

Action area Description Actions in 2025 Planned actions

Chemical

compliance

Neste ensures chemical compliance and safety through

implementing internal monitoring systems, maintaining and

developing instructions, training, awareness campaigns,

networking and practical tools for managing product and

chemical safety compliance, and conducting systematic self-

assessments and audits to ensure compliance.

In 2025, key actions included updating internal instructions,

providing training to own employees and updating several

REACH registration dossiers and safety data sheets as well as

maintaining the daily compliance work in line with business

development.

Current actions will be continued on an ongoing basis over the

long term to ensure chemical compliance and internal

competence and processes.

Environmental

management

and compliance

Neste follows up environmental compliance utilizing site-

specific leading and lagging environmental indicators.

To ensure compliance, Neste develops environmental

management practices and conducts environmental self-

assessments and audits.

In 2025, key actions focused on implementing the updated

Environmental Management Principle. Implementation actions

were determined through a detailed site-specific gap analysis.

The implementation of the Environmental Management

Principle continues until 2027.

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Reporting principles

Substances of concern are recognised and tracked in

Neste’s internal IT systems. There are a variety of existing

regulatory requirements in place for notifying manufac-

tured and imported chemicals and their annual volumes

to the national authorities. By managing these and many

other EU and national requirements Neste has gathered

depositories of data on hazardous chemicals. Reporting

substances of concern as defined in the ESRS are man-

aged together with the work related to these regulatory

requirements.

Chemical substances

The substance is a substance of concern (SoC) if it

• Is a Substance of Very High Concern (SVHC)

as identified in accordance with the EU REACH

Regulation and added by European Chemicals

Agency (ECHA) to the candidate list for authorization

(subsection i. in the definition of SoC in EC

2023/2772);

• Has harmonized classification in Part 3 of Annex VI

to EU CLP Regulation with one of the hazard classes

or hazard categories declared in the subsection ii. in

the definition of SoC in EC 2023/2772;

• Has negative effects on reuse and recycling

according to the EU product-specific ecodesign

requirements. Ecodesign for Sustainable Products

Regulation (ESPR) entered into force in July 2024,

and it establishes a framework for setting ecodesign

requirements on specific product groups.

Chemical substances are identified by the CAS/EC

number that is declared in the SVHC list and in Annex

VI to CLP. Neste has introduced CAS/EC numbers of

the chemicals in its ERP systems so that substances of

concern can be screened and amounts calculated.

None of the chemicals Neste supplies as feedstock or

manufactures is listed in the SVHC list by ECHA. How-

ever, many of the petroleum products are included in

Metrics

2025 2024

Substances of concern, kilotons

Health

hazard class

Environmental

hazard class

Health

hazard class

Environmental

hazard class

Total amount of substances of

concern that are generated or used

during production or that are procured

12,309 0 10,468 0

Amount of substances of concern that

leave facilities as products

5,792 10 6,378 22

Amount of substances of concern that

leave facilities as part of products

4,623 0 5,307 0

Total amount of substances of

concern that leave facilities as

products or as part of products

10,415 10 11,686 22

Amount of substances of concern that

leave facilities as emissions

0.7 0 0.6 0

Total amount of substances of

concern that leave facilities as

emissions, as products or as

part of products

10,416 10 11,686 22

the Annex VI to CLP due to harmonized classification

of health effects such as carcinogenicity. Majority of the

reported amounts are from substances that are hazard-

ous to health because there is no harmonized environ-

mental classification in CLP Annex VI e.g., for petroleum

products. However, petroleum products have prop-

erties that are hazardous to the environment and thus

self-classified to indicate the environmental hazards.

The self-classification is declared e.g., in the safety data

sheets.

Emissions

Production sites evaluate SoC emissions that are iden-

tified as significant in accordance with their environ-

mental permits or other authority or legal requirements.

The main reference for the identification is the Annex

II of the Industrial Emission Portal Regulation (EC) No.

2024/1244, which also covers the most significant SoC/

SVHC polluting substances.

In 2025, Neste reports the total amount of substances

of concern that leave its refineries as emissions to the

environment and that can be identified with certainty and

estimated or measured in a reliable manner in terms of

the amount of such emission. The reporting refers to the

Annex II of the EU’s Industrial Emissions Portal Regula-

tion (2024/1244) and focuses on those substances that

exceed the threshold values of the aforementioned Reg-

ulation for air, water and soil. In terms of air emissions,

reported pollutants are carbon monoxide (over 95% of

total reported SoC emissions), benzene, hydrogen cya-

nide and vinyl chloride. The environmental permits of all

sites and local regulations allow these emissions. Car-

bon monoxide is formed in the combustion processes,

but upon entering the atmosphere, it oxidizes further into

carbon dioxide, which is not classified as SoC. Less than

0.1% of total reported SoC emissions (such as phenol,

nickel and zinc) end up in water courses. These emis-

sions have not been found to have a significant impact

on, for example, the state of receiving water bodies.

Benzene has been identified and reported as the

most significant SoC substance of non-methane volatile

organic compounds (NMVOC) emissions at the Porvoo

refinery. Neste is aware that other SoC substances can

potentially also be present in NMVOC emissions. The

total NMVOC of oil refineries is calculated as total car-

bon and the exact composition has not been reported.

As the reporting definitions become more precise and

the general knowledge base accumulates, the reporting

of SoC emissions will be re-evaluated.

Validation by an external body other than the

assurance provider: Neste is subject to annual envi-

ronmental authority inspections and conducts emis-

sion reporting to competent authorities. Neste annually

reports to its competent authority data on the releases to

air, water and land of pollutants listed in IEPR Annex II for

which the applicable threshold specified in that Annex

is exceeded to the extent required in environmental

permits or other national requirements. The authorities

assess the quality of the data, in particular the accuracy,

completeness, consistency and credibility. This process

is based on the requirements of the Industrial Emissions

Portal Regulation (IEPR).

In Singapore the national water agency (PUB) regu-

lates the sewerage system, as well as the treatment and

discharge of industrial wastewater into public sewers.

The industrial wastewater from the Singapore refinery is

discharged to these sewers. If necessary, they must be

treated to specified standards before being discharged

into a sewer.

Incident of non-compliance concerning the

health and safety requirements of products

(entity-specific KPI) is an incident involving non-compli-

ance with regulations resulting in a fine, penalty or warn-

ing. Incidents of non-compliance concerning the health

and safety requirements of chemicals are reported

according to the Neste management system. The met-

ric is based on the definitions in GRI indicator 416-2.

The KPI has not been validated separately by an exter-

nal third party.

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E4 Biodiversity and ecosystems

Material impacts, risks and opportunities

Neste has identified the following material impacts, risks and opportunities with regards to biodiversity:

Direct impact drivers of biodiversity loss

Positive impacts Upstream The use of waste and residue raw materials for renewable products can contribute to positive impacts for biodiversity in the upstream value chain. These short- to long-

term impacts include reduced pressures on land use and land conversion, as well as reducing environmental pollution.

Negative impacts Upstream Upstream extraction and potential incidents, such as spills, across the supply chains of raw materials and utilities, can damage terrestrial and marine ecosystems, habitats

and species or result in soil and marine pollution in the short- to medium-term.

Opportunities Upstream Using waste and residue raw materials and novel vegetable oils from regenerative agricultural practices can reduce land use impacts from agriculture and lead to

e.g., access to new markets, new material streams or strengthened brand value. The opportunity applies across short- to long-term time horizons.

Risks Upstream Biodiversity loss mitigation can pose a transition risk for Neste’s renewable raw material pool through increased nature-related requirements which might e.g., limit

the availability of raw materials or increase supply chain complexity. The risk applies in the medium- to long-term.

Neste’s material biodiversity impacts, risks and opportu-

nities are related to green transition in society. The key

strategic choices by Neste that address material impacts,

risks and opportunities related to biodiversity are the

focus on renewable and circular solutions and reducing

reliance on fossil fuels. Neste continues to work toward

increasing the availability of renewable and recycled raw

materials, while developing technologies to diversify its

current portfolio with new scalable raw materials. These

actions support the company’s resilience to biodiversity

and ecosystems-related risks. Neste is also address-

ing its material biodiversity risks and impacts through

landscape initiatives. These projects aim, among other

things, to prevent deforestation, develop sustainability

awareness and drive structural change to promote for-

est conservation in Neste’s renewable raw material sup-

ply chain.

Neste’s material biodiversity-related impacts arise

from activities in the upstream value chain. No mate-

rial biodiversity-related impacts on biodiversity-sensitive

areas have been identified for Neste sites. Neste has

conducted biodiversity evaluation and identified some

vulnerable species and habitats close to its refinery in

Porvoo and terminal in Naantali, Finland. This includes

for example, a 3-hectare forest area out of a total of 300

hectares of its land in Naantali protected under national

legislation. Neste undertook biodiversity baseline inven-

tories at Porvoo and Naantali between 2022 and 2023

to identify potential mitigation measures. Certain areas

with moderate biodiversity values with potential for

biodiversity impact mitigation were defined, based on

national and European regulation.

In 2025, the company complemented previous eval-

uations with an assessment of biodiversity-sensitive

areas near Neste’s direct operations. In addition to

the protected forest area within the Naantali site, there

are three nature conservation areas or protected sites

located within 2 km from Neste’s production sites in

Finland (Porvoo) and in The Netherlands (Rotterdam

and Sluiskil). Material negative impacts in Neste’s value

chain are not related to land degradation, desertification

and soil sealing.

Processes to identify biodiversity- and

ecosystem-related impacts, risks and

opportunities

Neste has increased its understanding of biodiversity-re-

lated risks and opportunities through holistic materiality

analyses. These assessments have covered both tran-

sition- and systemic biodiversity risks and opportunities.

The initial Neste biodiversity impact and risk materi-

ality assessment was conducted in 2021, which con-

sisted of in-house interviews focusing on evaluating

anticipated magnitude, irreversibility, frequency and

likelihood of impacts and risks. The approach is aligned

with Intergovernmental Science-Policy Platform on

Biodiversity and Ecosystem Services (IPBES) recog-

nized pressures on biodiversity and ecosystem change.

Material topics were identified in Neste’s supply chain,

and included land use and land use change, fresh water

use and pollution. The assessment and prioritization of

the upstream and direct operations material biodiver-

sity impacts and risks continued in 2022 with the Sci-

ence Based Targets Network (SBTN) methodology for

nature and further in 2023–2024 within the SBTN initial

validation pilot for the development of land and fresh-

water targets. The methodology includes screening of

key biodiversity aspects and pressures based on ISIC

(International Standard Industrial Classification of All

Economic Activities) sector related risk categories.

Based on these evaluations, Neste’s upstream value

chain was identified as material when considering bio-

diversity. The collaboration with the non-governmental

organization (NGO) Fauna & Flora in 2022–2024 pro-

vided further insights into the material supply chains

from the biodiversity perspective.

The opportunities and dependencies assessments

were further developed in the double materiality assess-

ment process in line with ESRS requirements, including

transition and physical risks and opportunities related to

biodiversity and ecosystems. Impacts and dependen-

cies on ecosystems or ecosystem services have also

been assessed.

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Neste’s materiality assessments for biodiversity have

been conducted with internal stakeholders and exter-

nal experts, including Fauna & Flora and SBTN. As

described in the ESRS 2 General disclosures section

of this report (see Stakeholder engagement and Dou-

ble materiality assessment process), Neste engages

with local communities, production site neighbors and

other stakeholders to identify and mitigate biodiversity

impacts in the value chain. Affected communities have

not directly been involved in Neste’s biodiversity materi-

ality assessment.

Neste is participating in landscape initiatives, where

collaboration with local communities has provided

insights on biodiversity in Neste’s upstream renewable

value chain. In the Siak and Pelalawan Landscape Pro-

gramme in Indonesia, targeted communities are sup-

ported in village-level regulations on land use, forest

and natural ecosystem protection, to safeguard their

shared biological resources and critical ecosystems

from the negative impacts of palm oil production. Par-

ticipatory community consultations to map remaining

forests strengthened community-led forest protection

and initiated community-based mangrove protection at

selected villages.

Engagement with SBTN and the materiality assess-

ment tool used therein has helped Neste to understand

its business’ resilience in relation to biodiversity-related

risks. However, the work thus far does not yet fulfil ESRS

requirements for a resilience analysis of Neste’s busi-

ness model to biodiversity-related transition and sys-

temic risks.

Policies

Neste’s key policies and principles concerning biodi-

versity are the Sustainability Policy and the Sup-

plier Code of Conduct. In addition, the Sustainability

Principle, Responsible Sourcing Principle and Sup-

plier Sustainability Approval Principle set require-

ments for how biodiversity matters are considered in the

company’s upstream value chain and in its relationships

with suppliers. The Code of Conduct sets Neste’s

commitment on reducing environmental impacts, which

includes strengthening the protection of biodiversity and

high conservation value areas, promoting and support-

ing the resilience of their natural values as well as pre-

venting deforestation. The Code of Conduct is described

in the G1 Business conduct section.

Neste’s Sustainability Policy includes promoting

sustainable land and water use and mitigating environ-

mental impacts from pollution as required under reg-

ulation. As described in the Sustainability Princi-

ple, Neste aims to protect the natural environment in

the areas where it operates, as well as the surround-

ing communities. Neste monitors environmental quality,

including air, marine, and groundwater, at relevant sites

and takes action to rectify any potential environmental

damage caused by its operations.

The Sustainability Principle also sets out Neste’s com-

mitment to biodiversity in its sourcing activities. Neste

aims to avoid the conversion of habitats with valuable

biodiversity for biomass production and encourages

strengthening the protection of biodiversity and high

conservation value areas. The company accepts only

renewable raw materials that fulfill the regulatory require-

ments for traceability at minimum. The Sustainability

Policy and Sustainability Principle are described more in

detail in the E1 Climate Change section of this report.

More detailed biodiversity requirements for Neste’s

renewable raw material suppliers are set out in the

Responsible Sourcing Principle. Neste expects its

suppliers to share its commitment to promote positive

impacts and prevent habitat conversion. Neste works to

prevent deforestation and habitat conversion, as well as

other environmental impacts. The Responsible Sourcing

Principle covers the management of material biodiversi-

ty-related impacts, risks and opportunities related to the

sourcing of renewable raw materials.

The Responsible Sourcing Principle prohibits sourcing

from areas where feedstock production has adversely

affected land use and habitat conversion of forested

areas, wetlands, grasslands, and other natural ecosys-

tems. Neste encourages any future development of bio-

mass production to take place on degraded lands, or

lands where cultivation increases the carbon stock of

those areas, and monitoring is conducted in line with

Neste’s due diligence processes, where relevant. The

Responsible Sourcing Principle also contains require-

ments on community land rights and food security, sus-

tainable land practices, direct impact drivers of biodiver-

sity and impacts on ecosystem services, the extent and

condition of ecosystems and the state of species. Fur-

ther information on the Responsible Sourcing Principle

is available in E5 Resource use.

All Neste’s renewable raw material suppliers are

approved in accordance with the Supplier Sustain-

ability Approval Principle, which outlines require-

ments relevant for the protection of biodiversity, such

as the traceability of renewable raw materials. The Prin-

ciple and the outlined approach for sustainability due

diligence supports the management and mitigation of

Neste’s material impacts and risks related to biodiversity

in its renewable raw material value chain.

In accordance with the Supplier Code of Conduct,

Neste’s suppliers are encouraged to establish and imple-

ment procedures to minimize any adverse impact of

their operations on the environment, while also demon-

strating continuous improvements. Neste does not have

a specific policy covering sustainable oceans practices

in its value chain, but the Supplier Code of Conduct

addresses environmental impacts, including impacts

on oceans. The Supplier Code of Conduct contributes

to the mitigation of Neste’s material impacts and risks

related to biodiversity and covers several factors that

directly contribute to impacts on biodiversity, such as

emissions to air and water. The Supplier Sustainability

Approval Principle and Supplier Code of Conduct are

described in detail within the G1 Business conduct sec-

tion of this report.

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Targets

As part of its sustainability vision, Neste aims to drive

positive impacts on biodiversity in its operations and in

its value chain. Neste is committed to develop its bio-

diversity approach and science-based methodology to

assess, prioritize, mitigate and track impacts identified

for land, water and pollution, in line with EU Corporate

Sustainability Due Diligence Directive, which supports

the policy objectives of the Sustainability Policy, Respon-

sible Sourcing Principle and Supplier Code of Conduct.

Neste does not have separate measurable, time-bound

and outcome-oriented targets specific to upstream

material biodiversity impacts, risks and opportunities.

Neste tracks the effectiveness of policies and actions

through other relevant metrics and key performance indi-

cators. These include for example, KPIs under the E1

Climate change and G1 Business conduct sections of

this report, which focus on the reduced reliance on fos-

sil resources and implementing environmental require-

ments within the supply chain, respectively.

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Actions and resources

Actions

To cover its biodiversity-related impacts, risks and

opportunities in its upstream value chain, Neste works

with suppliers to implement the Supplier Code of Con-

duct requirements. Neste’s due diligence process for its

suppliers is further described in the G1 Business con-

duct section. For example, Neste conducts a sustain-

ability review of all new crude oil suppliers with the aim to

reduce impacts to the environment and ensure suppli-

ers have sufficient environmental policies and practices

in place, with a focus on crude oil production-specific

issues.

Neste aims to advance circular economy and resource

efficiency through utilizing waste and residue raw mate-

rials in the production of its renewable products. As

a result, the demand for virgin raw materials can be

decreased, alleviating the pressure on natural resources

Action area Description Actions in 2025 Planned actions

Nature-related

risks of

upstream

activities

Evaluating and assessing the

dependencies and impacts of prioritized

raw materials on biodiversity and natural

ecosystems, and locate where those

impacts are taking place.

Neste has identified its prioritized raw materials based on the SBTN pilot

exercise and other, previously conducted, biodiversity impact and risk

materiality assessments. In 2025–2026, Neste continues its learning

journey with the SBTN Land Method version 2 pilot as observer.

Internally, Neste began an exercise of data gathering and mapping to

increase understanding of current data gaps.

Neste plans to further assess prioritized raw materials critical for biodiversity

and natural ecosystems, and continue to develop metrics and indicators to

monitor biodiversity mitigation actions. Overall, the aim is to develop,

i) a materiality and risk assessment process for upstream activities

in the short- to medium term, and

ii) action plans to mitigate risks and impacts on land,

water and pollution in the long term.

Novel vegetable

oils and

regenerative

agriculture

Neste’s activities related to novel

vegetable oils (NVOs) focus on three

concepts, i.e. low-carbon intensity,

intermediate cropping and severely

degraded land. These activities are aimed

at: i) producing novel vegetable oils using

regenerative agriculture management

practices, reducing indirect land use

changes, and ii) improving soil health and

biodiversity in agroecosystems.

In 2025, Neste collaborated with the International Sustainability and

Carbon Certification (ISCC) body to develop a regenerative agriculture

add-on that couples with the ISCC First Gathering Point (FGP) certificate.

The criteria for the add-on were developed based on results of

sustainability case studies on novel vegetable oils and will be tested in

farms producing intermediate crops.

Additionally, a long-term plantation trial was established to understand the

feasibility of cultivation in different soil types.

Going forward, collaboration with relevant organizations will be continued to

increase the understanding on

i) improving soil carbon methodologies,

ii) increasing carbon build up in the soil and improving its measurement,

and

iii) improving GHG emission savings of novel vegetable oil feedstocks.

These actions are especially relevant in the long-term.

Monitoring of the trial plantation established in 2025 and evaluation of potential

projects related to severely degraded land will continue in different geographies,

depending on e.g., the implementation of relevant regulations.

and reliance on crude oil and other fossil resources. The

use of waste materials instead of crop-based raw mate-

rials is aligned with the EU Biodiversity Strategy goal of

prioritizing renewable energy solutions favorable to bio-

diversity. Actions related to expansion and diversification

of Neste’s renewable and recycled raw material portfolio

are described in E5 Resource use and circular econ-

omy. Further information on actions related to increas-

ing the use of renewable and recycled raw materials and

reducing reliance on fossil fuels is provided in E1 Cli-

mate change.

Scope of actions is in the upstream value chain, espe-

cially focusing on sourcing of renewable raw materials.

Thus far, Neste’s actions for biodiversity have predomi-

nantly concentrated on avoiding impacts on land, water,

and pollution, which have not necessitated the incorpo-

ration of local or indigenous knowledge, nor the encom-

passing of nature-based solutions.

Expected outcomes

These actions are expected to mitigate biodiversity risks

in Neste’s supply chains, and eventually reduce impacts

identified for land, water and pollution and enhance

waste material utilization, in line with Neste’s Sustainabil-

ity Policy and other biodiversity and ecosystems-related

policy commitments.

Resources to implement actions

Implementation of the actions reported above did not

require significant (> 50 MEUR) financial resources during

the reporting year, and is not expected to require such

resources in the future.

Impact metrics related to biodiversity

and ecosystems change

Neste follows key frameworks and engages in collabora-

tions in developing impact metrics related to biodiversity.

Neste has been collaborating with the World Business

Council for Sustainable Development (WBCSD) and

closely following SBTN methodology to develop metrics

and indicators to monitor biodiversity mitigation actions.

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E5 Resource use and circular economy

Material impacts, risks and opportunities

Neste has identified the following material impacts, risks and opportunities with regards to resource use and circular economy:

Resource inflows, including resource use

Negative impact Upstream Use of virgin raw materials leads to depletion of finite resources, which is a driver for long-term scarcity, ecosystem disruption and biodiversity loss.

This negative impact applies in the short- to long-term.

Opportunity Upstream Circular economy drivers can bring opportunities for Neste in the medium- to long-term. These include, for example, increased availability of new or existing

raw materials and incentives or mandates to support the utilization of renewable and circular resources in the chemical industry.

Risk Upstream Competition, trade policies or import restrictions may reduce availability or create price volatility for raw materials, impacting Neste’s profitability.

This poses a short- to long-term risk for Neste.

The identified impacts, risks and opportunities interact

especially with the following four dimensions of Neste’s

strategy and business model: renewable and recycled

raw materials, resource efficiency and environmen-

tal impacts in own operations, renewable and circular

solutions and innovation and collaboration.

• Renewable and recycled raw materials: Neste is

working to diversify its current portfolio with scalable

new raw materials as well as to develop technologies

enabling their use. This helps to reduce the reliance

on fossil raw materials. To mitigate the negative

environmental impacts from the use of virgin raw

materials, Neste is committed to resource efficiency

and circular economy practices, ensuring sustainable

management of resources throughout its operations.

• Resource efficiency and environmental impacts

in own operations: All sites operated by Neste are

responsible for understanding and managing their

environmental impacts and aspects, including issues

related to waste generation. Waste in Neste’s own

operations is handled by contracted third parties

locally. Neste follows the local waste legislation in its

operations and continuously seeks new opportunities

to minimize the waste sent to landfill and find new

waste recovery solutions.

• Renewable and circular solutions: Neste’s

renewable and circular solutions have lower GHG

emissions over the product life cycle when compared

to fossil alternatives, and cater to the demanding

needs of transportation, aviation, marine, polymers

and chemicals industry and other industrial uses.

• Innovation and collaboration: Innovation has

enabled Neste’s transformation from a local oil

refining company towards global leadership in

renewable fuels. The focus of Neste’s innovation

and R&D work is to support and enhance Neste

competitiveness. Neste collaborates with various

stakeholders, including universities and research

institutes to advance raw material and technology

development.

The above elements of Neste’s strategy and business

model support resilience with relation to the impacts,

risks and opportunities identified regarding resource

use and circularity.

Policies

The policies and principles described below are utilized

to manage Neste’s material impacts, risks and opportu-

nities related to resource use.

Through the Sustainability Policy, Neste sets out

its guidelines on using natural resources and working

towards a more efficient value chain by providing solu-

tions taking advantage of waste and residue raw mate-

rials and contributing to a circular economy and there-

fore helping to reduce the dependency on virgin fossil

raw materials. In the related Sustainability Principle,

Neste sets out relevant requirements for the sourcing

and use of renewable resources, in alignment with rele-

vant regulatory requirements. More detailed information

regarding the Sustainability Policy and Principle is avail-

able under the E1 Climate change section.

Neste’s key principles relating to the sustainability of

its renewable raw material supply chains are the Sup-

plier Code of Conduct and the Responsible Sourc-

ing Principle. Additionally, the Supplier Sustainabil-

ity Approval Principle sets the minimum sustainability

requirements for approving renewable raw material sup-

pliers. The Supplier Code of Conduct, applicable for all

Neste’s raw material suppliers, and the Supplier Sus-

tainability Approval Principle are described more in detail

under G1 Business Conduct.

In addition to the Supplier Code of Conduct, renew-

able raw material suppliers need to comply with Neste’s

Responsible Sourcing Principle. Neste expects its sup-

pliers to have the same commitment to promote positive

impacts and to prevent habitat conversion throughout

its supply chain. Neste works to prevent deforestation,

habitat conversion, and other social and environment

negative impacts. The Responsible Sourcing Principle

is aligned with relevant regulatory requirements, such

as the EU RED and the US Renewable Fuels Standard

(RFS), and the UN Guiding Principles on Business and

Human Rights.

Neste monitors the implementation of these princi-

ples through sustainability due diligence, as described

in the G1 Business Conduct section. General gover-

nance, including the highest level of accountability for

the policy, and stakeholder engagement related to pol-

icy implementation are described in the ESRS 2 General

disclosures section of this report.

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Targets

To address the material impacts, risks and opportuni-

ties related to resource use and circular economy, Neste

continues to strengthen and expand its raw materials

portfolio and global sourcing capabilities. Neste does

not have separate measurable, time-bound and out-

come-oriented targets in place for the material impacts,

risks and opportunities related to resource use and cir-

cular economy. Neste tracks the effectiveness of poli-

cies and actions through other relevant metrics and key

performance indicators, which include for example, the

Supplier Code of Conduct KPI as introduced under the

G1 Business conduct section of this report.

Actions and resources

Actions

Neste’s main actions related to resource use and circu-

lar economy include the use of renewable and recycled

raw materials in the production of renewable and circular

solutions as well as the continuous development of sup-

plier relationships, as further described in the adjacent

table. These actions span over the short-, medium and

long term. To align with the material impacts, risks and

opportunities identified, the scope of the actions is espe-

cially focused on the company’s upstream value chain

and the use of renewable, particularly waste and resi-

due, and recycled raw materials. Neste aims to advance

resource efficiency and circular economy through uti-

lizing renewable raw materials, particularly waste and

residue, and recycled raw materials in its products. As

a result, the demand for virgin raw materials could be

decreased, alleviating the pressure on natural resources

and reliance on crude oil and other fossil resources. Fur-

ther information on actions related to increasing the use

of renewable and recycled raw materials and reduc-

ing reliance on fossil fuels is provided in the E1 Climate

change section.

Expected outcomes

By implementing these actions, Neste aims to manage

the identified material impact related to the use of vir-

gin raw materials and the risks and opportunities related

to the use of renewable, particularly waste and residue,

and recycled raw materials. The actions also support

the implementation of the objectives in Neste’s Sustain-

ability Policy on providing solutions taking advantage of

waste and residue raw materials and contributing to a

circular economy.

Action area Description Actions in 2025 Planned actions

Raw material

portfolio

expansion and

diversification

Neste sources renewable raw materials

globally for its renewables refineries in

Finland, the Netherlands and Singapore, and

for its joint operation in California in the US.

Neste continues to work towards increasing

the availability of renewable and recycled raw

materials and developing technologies to

diversify its raw material portfolio with new

scalable alternatives, such as lignocellulosic

waste and residues.

Neste continued actions towards increasing

the availability of emerging, lower-quality

waste and residue raw materials. In 2025,

Neste’s technology and innovation

expenditure was EUR 63 (86) million, which

includes R&D for new raw materials and the

technologies that could enable their use.

For example, Neste started cooperation to

develop technologies for processing

lignocellulosic waste and residues into

renewable fuels.

Neste is also exploring novel vegetable oils

produced with regenerative agricultural

practices. More information is available in the

E4 Biodiversity and ecosystems section.

Neste will continue these actions in line with

business needs and priorities. Neste’s long-

term raw material development efforts are

centered on studying the potential of forest

industry and agricultural waste and residues

(lignocellulose) as future raw materials,

and on developing technologies to enable

their use.

Continuous

development in

supplier

relationships

Neste works to eliminate deforestation,

habitat conversion, and other social and

environmental negative impacts.

Further information on current actions related

to the development in supplier relationships is

provided in the S2 Workers in the value

chain and G1 Business conduct sections.

Neste will continue developing its supplier

due diligence in accordance with upcoming

regulations, such as the Corporate

Sustainability Due Diligence Directive.

Resources to implement actions

Implementation of the actions listed above as well as

the related actions under E1 Climate Change section

are expected to require significant (>50 MEUR) financial

resources. Implementation of these actions may be sub-

ject to individual investment decisions and depend on

various factors, including external drivers such as mar-

ket development and supportive policy environment.

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Resource inflows 2025 2024

Overall total weight of products and technical and biological

materials used during the reporting period, tons 17,190,000 15,285,000

Biological materials, % 24 25

The absolute weight of secondary reused or recycled

components, secondary intermediary products and

secondary materials used to manufacture Neste’s products

and services, tons 5,000 2,000

Secondary reused or recycled components, secondary

intermediary products and secondary materials used to

manufacture Neste’s products and services, % 0 0

Metrics

Reporting principles

The following materials are included in the resource

inflow metric:

• Total weight of renewable and fossil raw materials

used in production, including co-processed volumes

• Purchased hydrogen used in production

• Natural gas used in production

• Recycled (liquefied waste plastic) raw materials used

for production

• Ethanol used in production

• Purchased propane used in production

• Raw materials used for blending.

The metrics described above have not been validated

separately by an external third party. Neste uses only

renewable raw materials that fully meet the sustainability

requirements specified in the legislation in its key mar-

kets. Neste further addresses sustainability in its renew-

able fuel production chain through certifications such

as European Commission-approved voluntary schemes

like ISCC EU and national verification schemes. All Neste

renewable product refineries have EU-compliant Inter-

national Sustainability and Carbon Certification (ISCC)

certificates. The data for resource inflows metrics are

collected from Neste’s internal source systems. Data in

source systems is based on e.g., direct measurement

and invoicing.

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Social information

S1 Own workforce

Material impacts, risks and opportunities

Neste has identified the following material impacts, risks and opportunities with regards to own workforce:

Working conditions: Health and safety

Negative impact Own operations Hazardous processes in Neste’s operations could directly impact own employees’ health and safety in the short-term.

Risk Own operations Workplace injuries and/or ill-health of Neste’s employees can lead to various financial effects from one-off costs to prolonged production disruptions, due to injuries, sick

leave costs, and potential safety related process shutdowns. This represents a short-term risk for the company.

Opportunity Own operations With a robust safety management system and implementing preventive measures for health and safety hazards, Neste aims to prevent injuries as well as reduce sick

leaves and downtimes caused by incidents and accidents. The opportunity primarily applies in the short-term.

Safety is a fundamental prerequisite for Neste’s busi-

ness. In 2025, Neste updated its safety vision, “Creating

safety together”, to emphasize the actions, skills, exper-

tise and safeguards needed to maintain safe and reli-

able operations every day. Neste’s ambition is to con-

tinually prevent fatalities, serious injuries, occupational

illnesses, major accidents and compliance incidents

across all operations. Achieving this is essential for pro-

tecting people, ensuring business continuity and sup-

porting long-term performance.

Safety is an integral part of Neste’s values and cul-

ture, and is essential for fostering a psychologically safe

working environment. Neste’s dependence on its own

workforce presents both material risk and opportuni-

ties concerning employee safety. A robust safety man-

agement system can enable the company to prevent

and reduce negative impacts on employees working at

refineries and other sites. Strong safety awareness and

understanding of hazards, risks and opportunities sup-

port systematic and effective safety management. All of

Neste’s own employees are included in the scope of dis-

closure for this report.

Material negative impacts related to employee health

and safety may affect Neste’s employees working on

production sites, commercial operations, and construc-

tion and maintenance projects. These impacts can range

from individual cases to more widespread or systemic

issues. Operations in a high-hazard industry requires

rigorous and systematic safety management to protect

people and the environment, and to safeguard opera-

tions, assets, information and brand integrity. Workplace

assessments and regular safety reporting help Neste

identify and understand these material negative impacts

and inform continuous improvement.

Policies

Working conditions

Neste has the following policies, principles and man-

agement systems in place to manage impacts, risks and

opportunities related to employee health and safety:

The People Policy provides a framework for Neste’s

people processes and practices that support strategy

execution and business performance. Neste’s values –

we care, we have courage, we cooperate – underpin

its culture, performance leadership and efficient ways

of working. The Policy also sets the company’s com-

mitment to providing a safe and healthy workplace. It

applies to all Neste Group employees. A public sum-

mary is available on Neste’s website, and the full Pol-

icy is available internally through the Neste Management

System.

The foundations of safety excellence and continuous

improvement are defined by Neste’s Operations Excel-

lence Policy and Operations Excellence Manage-

ment System (OEMS). OEMS consists of the Oper-

ations Excellence Policy, Principles and supplementary

detailed Standards. The requirements apply to all Neste

employees and to anyone working for or representing

any business entity within the Neste Group. The objec-

tives of Operations Excellence at Neste are to:

• Prevent fatalities, injuries and incidents

• Ensure effective safeguards that protect people,

the environment and property

• Assure employee and contractor health and

wellbeing

• Manage product compliance and chemical safety

hazards

• Sustain asset integrity and reliable operations

• Optimize resource and energy use

• Ensure product and service quality meets customer

needs

• Comply with laws, regulations and permits

• Drive continuous improvement in OEMS

implementation.

Neste’s OEMS is based on continual improvement

and process-based thinking and is aligned with ISO

Standards 9001, 14001 and 45001. The leadership

teams of Neste’s business areas and functions are

responsible for implementing the Policy in daily oper-

ations. The implementation of the Policy is monitored

through on-site OEMS audits. All organizations in

scope of the OEMS undergo internal audits in line with

the Continual Improvement Principle, with each Prin-

ciple (element) audited at least every three years. The

Policy is publicly available on Neste’s website, while

the detailed Principles and Standards are accessible

internally in the Neste Management System. The Pol-

icy covers impacts, risks and opportunities related to

employee safety and defines Neste’s approach to pre-

venting workplace accidents.

The Safety Leadership Principle sets the min-

imum requirements and expectations for safety lead-

ership and accountability across Neste. It includes the

Life Saving Rules and Stop Work Authority and covers

impacts, risks and opportunities related to employee

safety. The Principle applies to all Neste employees and

to anyone working for or representing any business

entity within the Neste Group. It is available internally

through the Neste Management System. Members of

the Neste Leadership Team are responsible for over-

seeing its implementation within their respective busi-

ness areas and functions.

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Human Rights

The Human Rights Principle describes Neste’s com-

mitment to respect human rights and engage in the reme-

diation of adverse human rights impacts throughout its

business operations and value chains. As stated in the

Principle, Neste demonstrates and meets this commit-

ment by implementing, and acting in accordance with,

the United Nations Guiding Principles on Business and

Human Rights (UNGPs) and OECD Guidelines for Multi-

national Enterprises. Neste respects internationally rec-

ognized human rights as set out in the International Bill

of Human Rights (consisting of the Universal Declaration

of Human Rights, the International Covenant on Civil

and Political Rights and the International Covenant on

Economic, Social and Cultural Rights) and the principles

concerning fundamental rights set out in the ILO Dec-

laration on Fundamental Principles and Rights at Work.

The Human Rights Principle explains how Neste

implements an ongoing process of human rights due dil-

igence to identify, prevent, mitigate and account for how

it addresses adverse human rights impacts on people.

This covers actual and potential human rights impacts

that Neste may cause or contribute to through its own

activities, or which may be directly linked to its business

operations, products or services.

Stakeholder engagement is a key component of

Neste’s human rights due diligence activities. Neste

implements stakeholder engagement as an ongoing

process of interaction and dialog with its affected stake-

holders, including its own employees, employees of

contractors and service providers, supply chain work-

ers, communities and customers. The Human Rights

Principle also outlines Neste’s approach to remediating

adverse impacts. Neste provides access to appropri-

ate and effective remedy by making efficient grievance

mechanisms available. Where Neste identifies that it has

caused or contributed to adverse impacts, Neste pro-

vides for or cooperates in remediation through legitimate

processes intended to deliver remedy. Where adverse

impacts have occurred that Neste has not caused or

contributed to, but which are directly linked to Neste’s

activities through its business relationships, Neste seeks

to use its leverage to prevent or mitigate the risk of the

impacts continuing or recurring.

The Human Rights Principle explicitly addresses traf-

ficking in human beings, forced labour or compulsory

labour and child labour. It also specifically addresses dis-

crimination and harassment, and the promotion of equal

opportunities and other ways to advance diversity and

inclusion. The Human Rights Principle prohibits discrim-

ination on the basis of any grounds, including for exam-

ple, gender, race, color, ethnic origin, nationality, age,

pregnancy, sexual orientation, gender identity, disability,

religion or political opinion. This applies to all areas of

employment. The Human Rights Principle applies to the

entire Neste group and is publicly available on Neste’s

website.

Major updates to the Human Rights Principle typi-

cally include consultation with both internal and exter-

nal stakeholders. During an external consultation pro-

cess, Neste seeks recommendations for improvements

for example from recognized topic experts, such as

human rights NGOs, government representatives and

trade union experts. Internally consultation and feed-

back is gathered broadly within for example Sustainabil-

ity, Human Resources, Safety, Public Affairs, Compli-

ance and Legal functions.

Neste’s Supplier Code of Conduct, which includes

requirements related to the safety of workers, is described

in the G1 Business conduct section. Requirements

related to the human rights of supply chain workers are

detailed in S2 Workers in the value chain.

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Processes for engaging with own

workers and workers’ representatives

Continuous engagement and communication ensure

that employees at Neste are informed and consulted.

Neste conducts global employee engagement surveys

annually to understand how the company’s operations

impact its employees and to identify expectations for

improvement. These surveys gather direct input from

employees on topics such as engagement, strategy,

leadership, wellbeing and safety. Employee surveys are

used to integrate feedback into decision-making and

concrete action plans at every team level. Agreed actions

are communicated and monitored across the organiza-

tion to develop engagement and ways of working. The

effectiveness of these actions is assessed, for example,

through the employee engagement scores in the next

survey cycles. The EVP, People & Culture is accountable

for ensuring these engagement activities take place.

At the local level, employee cooperation follows the

specific legal and collective-agreement requirements

in each country of operation. Neste is committed to

complying with applicable local collective agreements.

Neste maintains established cooperation bodies in its

main operating countries, including Finland, the Nether-

lands and Singapore. In 2025, a European Works Coun-

cil (EWC) was established following collaborative nego-

tiations with employee representatives from European

countries. The agreement will become effective in March

2026.

Neste’s Safety Leadership Principle sets the require-

ments for engaging the employees in occupational

health and safety topics, including work practice devel-

opment, incident investigation and risk assessments

across all operations. Neste conducts OEMS audits to

verify fulfilment of these requirements and to assess the

effectiveness of related processes and the management

system. The President and CEO and members of the

Neste Leadership Team oversee the implementation of

the Safety Leadership Principle within their respective

business areas and functions.

Safety topics are also addressed in regular team safety

discussions, which support peer-to-peer learning, shar-

ing of experiences and continuous improvement. Team

leaders are responsible for ensuring these discussions

take place as required, with organization-level targets set

for frequency and coverage. Feedback from team safety

discussions is used to strengthen safety management

practices and further develop Neste’s safety culture.

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Processes to remediate negative

impacts and channels for own workers

to raise concerns

Grievance channel

Neste provides mechanisms for employees to raise

concerns or grievances without fear of retaliation and

is committed to handling issues fairly, confidentially and

promptly. The process for reporting and managing griev-

ances and Neste’s policies regarding the protection of

individuals reporting concerns are described more in

detail under G1 Business Conduct. Adverse impacts

are remediated by providing and promoting access to

grievance mechanisms and complaints channels, and

by cooperating in the remediation of the adverse impacts

that Neste has caused or contributed to.

Remediation process for material negative

impacts related to employee safety

In addition to general grievance channels, Neste’s Haz-

ard Identification, Risk Assessment and Control

Principle includes processes, Standards and Work

Procedures for workers to identify, assess and control

workplace hazards. Key common requirements include

process hazard analysis, process risk classification, pro-

cess safety information and work risk management.

Neste applies the hierarchy of controls to guide hazard

elimination and control. All Neste’s employees and con-

tractors have the authority to use the Stop Work Author-

ity which empowers anyone to stop work and remove

personnel from hazardous situations.

Neste’s OEMS includes Emergency Management

and Crisis Management Principles designed to ensure

that each business has sufficient capability to detect

and respond effectively to emergent situations which

may affect worker health and safety or the environment.

Neste’s businesses are expected to meet the require-

ments of these principles to maintain this capability.

The OEMS Incident Learning Standard provides a

structured process for reporting hazardous situations,

supporting incident learning and identifying improvement

actions. When a safety incident or near miss is reported,

corrective actions are defined and the effectiveness

of these actions is followed up within the responsible

organization.

Targets

Neste’s safety targets contribute to the safety-related

commitments set out in the Operations Excellence Pol-

icy, Safety Leadership Principle and People Policy.

Neste’s safety targets have been set in line with Neste’s

safety vision “Creating safety together”, the Operations

Targets Key performance indicator Performance in 2025

Performance in 2024

Permanent annual safety target of zero fatalities

and serious accidents in own operations.

Total fatalities, own employees 0 fatalities 0 fatalities

Long term target to continuously reduce the risk of

all accidents and increase the number of Safe Days

in own operations.

Process Safety Event Rate (PSER) in own operations

0.9 1.3

Total recordable injury frequency (TRIF) in own

operations

2.1 2.2

Excludes green-field expansion projects where Neste is not responsible for the construction site.

Includes contractors working on Neste’s sites.

Neste’s targets related to health and safety of own workforce

Excellence Policy, Safety Leadership Principle and indus-

try best-practices to ensure minimal harm to workforce.

The targets are continuous and compared to the compa-

ny’s performance in the previous year. Key performance

indicators on total fatalities and total recordable injuries

(TRIF) are in accordance with ESRS metrics, while Pro-

cess Safety Event (PSER) is an entity-specific KPI.

Neste engages in a dialog with its employees to share

the safety vision through, for example, “I Act Safe” work-

shops. Neste incorporates changes, including changing

safety targets, tracking performance and identifying les-

sons or improvements as a result of performance.

Progress in targets

In 2025, Neste’s occupational safety performance (TRIF)

2.1 did not meet the target level (1.8). However, improve-

ments were achieved as TRIF improved from 2.2 in 2024

to 2.1 in 2025. Process safety performance (PSER) was

0.9, which was better than the target level (1.0). PSER

performance also improved from 1.3 in 2024 to 0.9 in

2025. Neste’s safety performance and performance in

targets is monitored monthly, including at Neste Lead-

ership Team and at every Board of Directors meeting.

Process and personnel safety targets are part of Neste’s

short-term incentives, as described in ESRS 2 General

disclosures.

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Action area Description Actions in 2025 Planned actions

Prevention of fatalities

and serious incidents

Preventing fatalities and serious injuries is

the focus of Neste’s safety roadmap.

Ensuring critical controls are in place,

functioning and effective is vital for safe

and successful high risk work.

In occupational safety, continued focus

was placed on harmonizing the critical

controls for three Safe Work Practices and

verifying and validating their efficacy in the

field.

Planned actions include continuing to

harmonize practices for remaining Safe

Work Practices according to plans.

Continual improvement

of the maturity of Neste’s

Operations Excellence

Management System

Neste’s OEMS promotes excellence in

process safety, through the design and

construction of safe facilities, operations,

life cycle asset management and regular

inspections.

In 2025, Neste initiated a five-year

Process Safety Improvement Program to

make impactful and sustainable

improvements in process safety

group-wide.

Planned actions include executing Process

Safety Improvement Program according to

workstream goals and objectives.

Investments prioritized

to improve safety

and reduce risk

Incorporating safety into projects such as

investments, change initiatives, and

turnarounds remained Neste’s focus in

2025. Neste places emphasis on

organizational learning to ensure its

success in this area. Additionally,

strengthening safety protocols, improving

hazard identification and risk assessment

processes are part of these actions.

These actions are continuous and part of Neste’s daily operations and practices,

where relevant.

Actions and resources

Actions

Neste’s process for identifying and addressing health and

safety matters is in line with its safety vision. The actions

described in the adjacent table are continuous and part of

Neste’s daily operations and practices. Action areas are

developed in line with the Operations Excellence Policy

and are included in the “Creating safety together” -road-

map. Furthermore, it is ensured that the practices do not

cause or contribute to any further impacts on Neste’s

own workforce. The initiatives are focused on Neste’s

own workforce, with some additional initiatives aimed at

contractors and value chain workers. The effectiveness

of the safety processes at Neste is followed through reg-

ular monitoring of the safety performance in the organi-

zation and OEMS audits in Neste’s own operations.

Expected outcomes

These activities are expected to lead to an enduring cul-

ture for safety and effective control of hazards and risks.

Through these actions, Neste can improve the proactive

identification and mitigation of workplace hazards, and

reduce the incidence of injuries. The progress and effec-

tiveness in the actions is monitored through Neste’s tar-

gets described above.

Resources to implement actions

Safety-related investments are part of prioritized main-

tenance operational or capital expenditures to ensure

safety and operational reliability, and as such expected

to require significant (>50 MEUR) operational and/or

capital expenditures. Future financial resources allo-

cated to safety and actions listed above may be subject

to individual investment decisions and depend on vari-

ous internal and external factors.

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Headcount by gender

Gender 2025 2024

Male 3,460 3,830

Female 1,476 1,744

Total employees 4,936 5,574

The total number and rate of employees who

have left Neste during the reporting period

2025 2024

The total number

of employees who

have left Neste

during the reporting

period 1,125 1,184

The rate of employee

turnover in the reporting

period, % 22.8 21.2

Headcount by Neste’s main countries

Country 2025 2024

Finland 2,947 3,439

United States (USA) 771 870

The Netherlands 555 511

Singapore 406 451

Others 257 303

Total 4,936 5,574

Headcount by contract type,

broken down by gender

2025 2024

Female Male Total Female Male Total

Number of employees 1,476 3,460 4,936 1,744 3,830 5,574

Number of permanent employees 1,369 3,016 4,385 1,641 3,294 4,935

Number of temporary employees 35 43 78 36 55 91

Number of non-guaranteed hours employees 72 401 473 67 481 548

Number of full-time employees 1,391 3,361 4,752 1,648 3,733 5,381

Number of part-time employees 85 99 184 96 97 193

Headcount by contract type,

broken down by region

2025 2024

Europe Americas Asia-Pacific Total Europe Americas Asia-Pacific Total

Number of employees 3,719 778 439 4,936 4,203 878 493 5,574

Number of permanent employees 3,579 369 437 4,385 4,062 385 488 4,935

Number of temporary employees 75 1 2 78 86 0 5 91

Number of non-guaranteed hours employees 65 408

0 473 55 493 0 548

Number of full-time employees 3,535 778 439 4,752 4,010 878 493 5,381

Number of part-time employees 184 0 0 184 193 0 0 193

US: Based on local legislation, no contractual obligation exists to offer the employees specified under this group a minimum or fixed number of working hours per day, week, or month. However, in practice, employees specified under this group have typically worked

full-time hours in 2025.

2024 figure not fully comparable as reporting approach was updated to align with the ESRS in 2025.

Neste’s definition of its main countries is presented in the Reporting principles.

Metrics

Characteristics of Neste’s employees

Collective bargaining coverage Social dialog

Coverage rate

Employees

– EEA (main countries)

Employees

– Non-EEA (main regions)

Workplace representation

– EEA (main countries)

0–19% Americas

20–39% Asia-Pacific

40–59%

60–79%

80–100% Finland, The Netherlands Finland, The Netherlands

Collective bargaining and social dialog

Neste recognizes and respects the employees’ rights to

organize freely and bargain collectively. In 2025, 71%

(2024: 65%

) of Neste employees globally were covered

by collective bargaining agreements. In addition to com-

plying with local legal requirements, Neste is committed

to respecting the internationally recognized human and

labor rights and ensuring fair terms of employment for all

employees, as set out in Neste’s Code of Conduct and

Human Rights Principle.

In the European economic area (EEA), Neste employ-

ees are covered by several different collective bargaining

agreements.

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Distribution of employees by age group

2025 2024

Headcount Percentage Headcount Percentage

Under 30 years old 470 9.5 584 10.5

30-50 years old 3,138 63.6 3,594 64.5

Over 50 years old 1,328 26.9 1,396 25.0

Gender distribution of top management

2025 2024

Headcount

Percentage Headcount Percentage

Female 13 28.3 31 33.3

Male 33 71.7 62 66.6

Health and safety, own employees 2025 2024

Percentage of people in own workforce who are covered by health and safety

management system 100 100

Number of fatalities in own workforce as result of work-related injuries 0 0

Number of fatalities in own workforce as result of work-related ill health 0 0

Number of fatalities in own workforce as result

of work-related injuries and work-related ill health 0 0

Number of fatalities as result of work-related injuries

of other workers working on Neste's sites 0 0

Number of fatalities as result of work-related ill health

of other workers working on Neste's sites 0 0

Number of fatalities as result of work-related injuries

and work-related ill health of other workers working on Neste's sites 0 0

Number of recordable work-related accidents for own workforce

22 29

Rate of recordable work-related accidents for own workforce

2.4 2.8

Organizational restructuring in 2025 impacts comparability of headcount.

Excludes green-field expansion projects where Neste is not responsible for the construction site.

Health and safety

Adequate wages

Based on the assessment done in 2025, all Neste

employees receive an adequate wage. This has been

confirmed in line with applicable benchmarks as defined

in the ESRS, comparing employee salaries in the low-

est pay category to the benchmark data on adequate

wages. This benchmark data is established either in col-

lective bargaining agreements, national or sub-national

legislation or living wage references.

Social protection

Neste’s commitment to social protection is included in

its Human Rights Principle. Employees in all Neste oper-

ating countries are covered by social protection for sick-

ness, unemployment, injury, disability, parental leave and

retirement, through public programs or benefits offered

by Neste. In India, the same social protection coverage

applies, with the exception that the coverage for unem-

ployment starts after 4.8 years of employment. Com-

pared to 2024, employees in Singapore are now cov-

ered by social protection for unemployment through a

public program. The coverage of social protection is

assessed annually, if any changes occur in the coun-

tries where Neste has employees or in the applicable

public programs and employee benefits providing social

protection.

Incidents, complaints and severe

human rights impacts

Suspected misconducts reported in person or via

Neste’s externally operated reporting channel Eth-

ics Online to Neste Investigation Group are described

under G1 Business Conduct. During 2025, four inci-

dents of suspected misconduct related to discrimination

or harassment were reported to the Neste Investigation

Group. No cases of discrimination or harassment were

confirmed. In addition, seven incidents of suspected

misconduct related to Neste’s own workforce, including

cases related to employment matters and inappropriate

behavior, were reported to Neste Investigation Group.

Diversity No severe human rights incidents (including cases

of forced labor, human trafficking or child labor) related

to Neste’s own workforce were identified during 2025.

Neste has not paid significant fines, penalties or com-

pensation for damages related to the remediation of the

reported incidents or complaints related to its own work-

force in 2025.

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Reporting principles

Headcount: The reported headcount reflects the end of

the reporting period (31.12.2025) and includes all Neste

employees. The headcount typically increases during

summer months due to summer trainees. The total

headcount compared to previous year has decreased

due to organizational change and related change nego-

tiations. Note 8 Employee benefit costs in the Consoli-

dated Financial statements includes the number of per-

sonnel in the reporting year. The number in the Financial

statements is reported as an average headcount during

the reporting year and does not include temporary hourly

workers. Neste does not disclose employee figures for

the categories ‘Other’ and ‘Not reported’ in the Head-

count by gender table.

Main countries: The main countries presented in the

Headcount by Neste’s main countries breakdown and

Collective bargaining and social dialog coverage include

countries where Neste has employees representing at

least 10% of its total number of employees, and coun-

tries where Neste has production capacity.

The rate of employee turnover includes the num-

ber of employees who have resigned or left due to dis-

missal, retirement, death, end of temporary contract or

mutual consent divided by the headcount at the end of

the reporting period. Leavers due to business transfer

are not included.

Collective bargaining and social dialog: For deter-

mining the coverage rate of collective bargaining and

social dialog, Neste personnel in all employee groups

have been observed. Top management personnel are not

typically included in collective bargaining agreements.

Diversity: Top management at Neste includes mem-

bers of the Neste Leadership Team, members of the

Business Area or Function Leadership Teams and the

President and CEO of Neste’s subsidiary Mahoney Envi-

ronmental Solutions.

Incidents, complaints and severe human rights

impacts: Neste reports the number of suspected mis-

conducts reported in person or via the available report-

ing channels including Ethics Online to the Investiga-

tion Group. Neste’s process for reporting and handling

grievances is described more in detail under G1 Busi-

ness Conduct. As the reporting approach for the disclo-

sure has been defined during the reporting year, com-

parative information is not presented.

Workplace accidents are those accidents that occur

at work or while performing work duties. Total Record-

able Injuries (TRI) includes the recorded accidents at work

which result in absence from work, restriction to work,

medical treatment or fatality. Reported fatalities include

workplace accidents or accidents during work-related

travel causing an injury resulting in death within one year

of the day of the accident.

Total Recordable Injury Frequency (TRIF): The

formula for calculating accident frequency (number of

accidents at work per million working hours): total num-

ber of accidents at work × 1,000,000 / hours worked.

Neste’s entity specific KPI for TRIF includes contractors

working on Neste’s sites, while ESRS-metrics related to

health and safety refer to Neste’s own employees.

Process Safety Event Rate (PSER) is the rate of pro-

cess safety events per million hours worked. It includes

PSE1 and PSE2 cases in Neste’s own operations. Pro-

cess safety performance is tracked in accordance with

the American Petroleum Institute Recommended Prac-

tice 754.

PSE1 (Process Safety Event) is an unplanned and

uncontrolled release of any material, including non-toxic

and non-flammable materials, from a process resulting

in a consequence according to the PSE1 classification.

Possible consequences:

• Injury leading to absence (LWI) or fatality.

• A hospital admission and/or fatality of a third party.

• Fires or explosions with direct costs (excluding loss

of production) higher than EUR 100,000.

• An officially declared community evacuation

or community shelter-in-place, including

precautionary community evacuation or community

shelter-in-place.

• An unignited release of material greater than or equal

to the threshold quantities described in the American

Petroleum Institute (API) Recommended Practice

(RP) 754 Table 1, in any 1-hour period.

• Pressure relief discharge / upset emission to

atmosphere that exceeds the PSE1 threshold value

and has one or more of these consequences:

Rainout; Discharge to a potentially unsafe location;

An on-site shelter-in-place or on-site evacuation,

excluding precautionary on-site shelter-in-place or

on-site evacuation; Public protective measures,

including precautionary public protective measures.

PSE2 (Process Safety Event) is an unplanned and

uncontrolled release of any material, including nontoxic

and non-flammable materials from a process, resulting

in consequences according to the PSE2 classification.

Possible consequences:

• An employee, contractor or subcontractor

recordable injury (RWI, MTC).

• Fires or explosions with direct costs (excluding loss

of production) higher than EUR 2,500.

• An unignited release of material greater than or equal

to the threshold quantities described in API RP 754

Table 1, in any 1-hour period.

• Pressure relief discharge / upset emission to

atmosphere that exceeds the PSE2 threshold value

and has one or more of these consequences:

Rainout; Discharge to a potentially unsafe location;

An on-site shelter-in-place or on-site evacuation,

excluding precautionary on-site shelter-in-place or

on-site evacuation; Public protective measures,

including precautionary public protective measures.

Hours worked: The hours worked by the whole per-

sonnel and contractors during the period under review.

When recording the working hours of contractors, an

estimate (e.g. accounting hours) can be used if the accu-

rate number of hours is not known.

The metrics related to the own workforce described

above have not been validated separately by an external

third party.

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S2 Workers in the value chain

Material impacts, risks and opportunities

Neste has identified the following material impact with regards to workers in the value chain:

Other work-related rights: Forced labor

Negative impacts Upstream Workers in Neste’s upstream supply chains for wastes and residues and third-party workers at Neste refineries may face risks of forced labor. Forced labor in the value

chain can severely impact workers by harming their physical and mental health, restricting their freedom, eroding their dignity, and depriving them of basic human rights.

Neste is exposed to forced labor risks through its business relationships, particularly in high risk geographies and sectors where forced labor is a systemic issue. These

systemic issues present long-term, ongoing risks that necessitate continuous mitigation efforts.

While Neste acknowledges that modern slavery can be

found in all countries and industries, the company has

identified its renewable products supply chains across

Asia as having the highest risks for child, forced and

indebted labor, with migrant workers being especially

vulnerable to negative impacts. As detailed in Neste’s

Modern Slavery Statements, the palm oil sector

Southeast Asia is identified as being particularly high

risk, based on the results of ongoing human rights due

diligence conducted by Neste from 2016–2025, includ-

ing collaboration with third-party experts, findings from

on-the-ground sustainability audits and labor studies,

human rights risk assessments, and collaboration in var-

ious multi-stakeholder initiatives. Based on the assess-

ments, these forced labor risks are systemic, pre-exist-

ing structural issues, and not caused through Neste’s

business model or strategy.

In its own operations, Neste has identified construction

and maintenance projects at its refineries in Singapore,

Rotterdam and Porvoo as being high risk for exploit-

ative practices and forced labor. During such projects,

large numbers of third-party construction and mainte-

nance workers temporarily work onsite at Neste’s refin-

eries, with numbers peaking during refinery shutdowns,

turnarounds and expansion projects. This includes third-

party migrant workers who may not be familiar with the

local working language, culture, labor standards or legal

requirements, which makes them more vulnerable to

labor exploitation. Recognizing these risks and under-

standing that exploitation is systemic in the construction

industry, Neste has proactively adapted its sustainability

work to safeguard the rights of third-party and migrant

workers on its sites.

Policies

The following policies and principles cover the man-

agement of material impacts related to forced labor in

Neste’s upstream value chain:

Neste’s Code of Conduct applies to the entire Neste

Group and contains the key human rights requirements

and expectations with which all Neste employees are

to comply in their daily work. The Code of Conduct is

described more in detail in the G1 Business conduct

section.

The Human Rights Principle describes Neste’s

commitment to respect human rights and engage in the

remediation of adverse human rights impacts through-

out its business operations and value chains. It explains

Neste’s approach to implementing the UN Guiding Prin-

ciples on Business and Human Rights and carrying out

ongoing human rights due diligence and stakeholder

engagement. The Human Rights Principle sets the stan-

dards for a rights-based approach in all of Neste’s busi-

ness decisions.

In accordance with the Human Rights Principle, Neste

will not engage in or support the use of any form of forced

or child labor, and is committed to identify, assess and

address these risks in its global operations and value

chains. This includes all situations of exploitation that a

person cannot refuse or leave, because of threats, vio-

lence, coercion, abuse of power or deception, including,

but not limited to trafficking in persons, slavery, servitude,

forced marriage, forced labor, compulsory labor, debt

bondage, involuntary prison labor, deceptive recruiting

for labor or services, and child labor. The Principle also

prohibits practices that can lead to forced labor such as

document retention, recruitment fees, deceptive prac-

tices regarding employment contracts and violations

of freedom of movement. The Human Rights Principle

is described in more detail in the S1 Own Workforce

section.

Neste’s minimum human rights requirements for sup-

pliers are outlined in the Supplier Code of Conduct,

which references the Universal Declaration of Human

Rights and ILO Fundamental Principles and Rights at

Work. The Supplier Code of Conduct prohibits child

labor and all forms of forced and compulsory labor. It

also explicitly requires that all Neste suppliers ensure any

recruitment fees and associated costs are not borne by

their workers, and that all employees are made aware of

the key terms of their employment prior to commitment

to work. These requirements are aimed at reducing the

risk of precarious work, in combination with minimum

requirements for suppliers to ensure a safe and secure

workplace and comply with local labor laws. Neste’s sup-

plementary Supplier Code of Conduct Guide for Sup-

pliers specifies that human trafficking is included under

Neste’s definition of forced labor, and provides further

references to specific applicable ILO standards, such as

the ILO Minimum Age Convention, 1973 (No. 138). Sup-

plier Code of Conduct is described in more detail in the

G1 Business conduct section.

The Responsible Sourcing Principle sets out addi-

tional requirements for all Neste’s renewable raw material

suppliers. The Principle includes Neste’s commitment to

respect the human rights of all workers and communi-

ties in its supply base.

Neste communicates about the above policies on

forced labor in various ways, including making policies

available on Neste’s public website in various languages,

implementing mandatory e-learnings on policies for

Neste employees, and providing training workshops for

contractors, suppliers and sub-suppliers. General gov-

ernance, including the highest level of accountability for

policies, and stakeholder engagement related to policy

implementation are described in the ESRS 2 General

disclosures section of this report.

Neste does not source crude palm oil but uses different palm oil industry residues in the production of renewable fuels.

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Processes

Ongoing human rights due diligence

Neste conducts ongoing human rights due diligence

across its operations and value chains to identify, pre-

vent, mitigate, and, where necessary, remediate risks of

forced and child labour. To prioritize its activities, Neste

applies a risk-based approach that includes, but is not

limited to, value chain mapping, country and sector risk

assessments, project-level risk assessments, desk-

based research, on-the-ground assessments and sus-

tainability audits, worker voice surveys, and supplier and

contractor engagement, pre-screening and self-assess-

ment questionnaires. Due diligence activities are carried

out by Neste and/or by credible third party experts on

Neste’s behalf. Findings are used to inform mitigation

actions, strengthen preventive and corrective measures,

and monitor effectiveness over time.

Neste’s Sustainability organization holds operational

responsibility for implementing and tracking human

rights due diligence and related stakeholder engagement

mechanisms, supported by engagement with expert

stakeholders and participation in multi-stakeholder initia-

tives to address systemic risks and collectively address

structural issues within Neste’s supply chains.

Processes for engaging with value chain

workers about impacts

Stakeholder engagement, including engagement with

workers in the value chain, is a key component of Neste’s

human rights due diligence. Neste implements stake-

holder engagement as an ongoing process of interac-

tion and dialogue with its affected stakeholders in order

to hear, understand and respond to their interests and

concerns, including through collaborative approaches.

Neste takes a proactive approach in identifying affected

and potentially affected stakeholders, and the best ways

to engage with them or their legitimate representatives,

paying special attention to individuals and groups who

may be particularly vulnerable to adverse impacts.

Neste seeks to engage with potentially affected groups

early on and before decisions are made, not only when

a decision is imminent or a situation is already escalat-

ing. Neste seeks to take the perspectives of affected

stakeholders into account in its decision-making, and

design of prevention, mitigation and remediation actions

to address adverse human rights impacts. Neste takes

steps to design stakeholder engagement processes that

are inclusive, participatory, accessible, transparent, cred-

ible, culturally-appropriate, context-specific and gender

sensitive. When assessing human rights risks, the com-

pany pays special attention to vulnerable groups such

as women, children, migrant workers and Indigenous

peoples.

Neste engages with value chain workers both directly

and through representatives. Examples include:

• Audiovisual worker voice technology: Neste

has implemented worker voice technology to scale

up the number of workers the company engages

with in its operations and value chains, and to

improve the company’s overall understanding of

workers’ experiences. The technology uses an

audiovisual survey to enable direct and anonymous

engagement with workers via mobile devices. The

surveys are easily accessible for illiterate workers,

can be taken in their mother-tongue language, and

function even in remote regions without internet

access, allowing Neste to engage with even the

most vulnerable groups of workers. The technology

is used on an ongoing basis throughout the year

across Neste’s global sourcing regions. The worker

voice surveys provide direct insights from value

chain workers on a range of topics including but

not limited to indicators of forced labor, recruitment

fees, children’s rights, living wages, inequality, living

standards, and issues impacting vulnerable groups

such as young workers, migrant workers, women

and workers with disabilities. The insights gathered

through these engagements inform the annual

human rights saliency assessment, which underpins

Neste’s human rights policies, and approach to risk

mitigation.

• Sustainability audits: Neste’s sustainability

audits cover a range of social criteria and prioritize

the assessment of impacts on people, including

identifying any signs of forced and child labor. The

audits typically include one-on-one interviews with

different employee groups, including management,

workers with different job profiles, third-party

employees and, when possible, union or worker’s

committee representatives. Sustainability audits

are further described in the G1 Business conduct

section.

• Human rights risk and impact assessments:

Neste conducts targeted human rights risk

and impact assessments as needed, based on

identified risks, evolving operating contexts, and

expansion into new regions or supply chains. These

assessments typically include on-the-ground field

research and interviews with rights-holders

and/or

their legitimate representatives.

• Engaging with third-party workers on Neste

sites: Neste engages with third-party workers at

its refineries through a variety of practices designed

to ensure open communication and support. The

company prioritizes educating third-party workers on

their labor rights during site-entry-permit inductions

and social toolbox meetings. These sessions aim

to provide a safe space for two-way conversations,

allowing workers to voice concerns and discuss

social issues directly with Neste representatives.

In addition, Neste actively promotes the availability

of site-level grievance channels and suggestion

boxes, encouraging workers to share feedback and

concerns in a manner that respects their anonymity

and safety. Recognizing that migrant workers are a

particularly vulnerable group, Neste aims to ensure

that key engagement materials are available in

the languages most commonly spoken by these

workers, for example, site induction pamphlets and

posters.

The effectiveness of engagement channels is primarily

assessed through direct worker feedback and ongo-

ing monitoring of the number and quality of responses

received via different engagement channels.

Processes to remediate negative impacts

and channels for value chain workers to

raise concerns

Neste is committed to the remediation of adverse human

rights impacts in its business operations and value

chains, in accordance with its Human Rights Principle.

Neste provides access to appropriate and effective rem-

edy by making efficient grievance mechanisms available

to its rights-holders, including at the operational level

and site level and seek to ensure that grievances are

addressed early and remediated directly.

Where Neste identifies that it has caused or contrib-

uted to adverse impacts on the human rights of others,

the company provides for or cooperates in the reme-

diation of the adverse impacts through legitimate pro-

cesses intended to deliver an appropriate and effective

remedy. This may include cooperating in good faith in

the provision of remedy through state-led mechanisms,

such as the OECD national contact points.

Where adverse impacts have occurred that Neste has

not caused or contributed to, but which are directly linked

to Neste’s activities through its business relationships,

Neste seeks to use its leverage to prevent or mitigate

the risk of the impacts continuing or recurring. This may

include supporting the company’s business partners

As defined in Neste’s Human Rights Principle, rights-holders are the individuals or social groups whose rights may be impacted by Neste’s business activities, operations, products or services. Neste’s rights-holders include its

own employees, employees of its contractors and service providers, supply chain workers, customers, and the communities who may be affected by Neste and its business partners, including in the supply chain.

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in the remediation of those impacts through their own

grievance management processes, or support collab-

oration to provide for non-judicial remediation through

third parties.

Neste has established a comprehensive grievance

ecosystem. This interconnected network of chan-

nels and processes is designed to facilitate the raising,

assessment, and resolution of grievances across all its

operations and value chains, in accordance with the UN

Guiding Principles on Business and Human Rights. A

diagram of the grievance ecosystem is publicly available

via Neste’s Annual Report and website.

Neste takes seriously any allegations that human

rights are not properly respected in its business or supply

chains, and encourages individuals, communities, busi-

ness partners or other stakeholders who have reason

to believe such activity is taking place to raise their con-

cerns, without fear of retaliation, via Ethics Online. Ethics

Online is further described under the G1 Business con-

duct section of the report. Ethics Online is available 24/7

and is accessible in multiple languages. Reports can be

made anonymously via phone or web service, and can

be made by anyone, including value chain workers.

Neste has established procedures for tracking and

processing grievances at the group-level, including a

cross-functional team that ensures speed and consis-

tency in managing grievance cases and assessing the

effectiveness of its actions. The company publicly dis-

closes and tracks the number and type of grievances

that have been raised in person or via Ethics Online.

Neste has also established permanent site-level com-

plaints channels at its refineries to address concerns

of contracted and subcontracted workers, including

migrant workers. These channels, accessible via both

suggestion boxes and QR codes on posters discreetly

placed around the sites, enable workers to submit anon-

ymous complaints directly to Neste. The posters inform

workers of their rights in various languages and use

illustrations and simple terminology to encourage them

to report situations in which they may be experienc-

ing exploitation. The complaints are received and man-

aged by local committees, who implement remediative

actions and assess the effectiveness of these actions

on an ongoing basis. Workers also have the option to

report concerns directly to supervisors, or to use Neste’s

company-wide Ethics Online whistleblowing channel. All

channels guarantee confidentiality and protection from

retaliation.

Neste maintains a publicly available log of sustainabil-

ity-related concerns and complaints raised in its renew-

able raw materials supply chains on its website. This

grievance log is updated on a monthly basis to include

new grievances, provide status updates on the remedia-

tion of existing grievances, and track the effectiveness of

the remedial actions taken. Reports documented in the

grievance log may involve cases of forced labor or severe

human rights issues. Descriptions of the nature of such

cases are provided within the log. The log also encom-

passes cases of actual or suspected non-compliance

with the UN Guiding Principles on Business and Human

Rights, the ILO Declaration on Fundamental Principles

and Rights at Work, and the OECD Guidelines for Mul-

tinational Enterprises that involve value chain workers.

Descriptions of the nature of such cases are provided

within the log.

Neste encourages its suppliers to put in place appro-

priate complaints channels and grievance mechanisms

that workers can use to report actual or suspected

cases of human rights violations, and have transparent

processes for receiving and following up on reports. This

is outlined in the Supplier Code of Conduct Guide for

Suppliers and included as a regular topic in Neste-led

capacity building sessions for its renewable raw materi-

als suppliers. Neste uses worker voice technology and

in-person interviews conducted during sustainability

audits to assess whether value chain workers are aware

of and trust the grievance channels in their workplace as

a way to raise their concerns and have them addressed.

Neste believes that close engagement and collabora-

tion with contractors on its sites and raw material suppli-

ers provides it the best opportunities to advance human

rights and proactively mitigate forced and child labor

risks within company supply chains. Neste therefore

engages regularly in capacity building with its suppliers

and contractors.

Neste reports annually on the percentage of human

rights and labor violations identified through its sustain-

ability audits, and the percentage and type of complaints

reported via its site-level We Care Channels. Certain

cases may be further detailed in Neste’s annual Mod-

ern Slavery Statement to provide additional context and

transparency.

Neste addresses adverse sustainability impacts once

the company becomes aware of them, including any

adverse human rights impacts, as further detailed under

the description of Neste’s remediation process below, a

key part of its due diligence process. Remediation takes

place in cases where adverse impacts are identified. The

company’s primary means of action is engagement and

cooperation with its suppliers and contractors to rem-

edy issues. This is because Neste seeks to prioritize the

wellbeing of those whose rights have been harmed, and

ending purchases does not resolve problems or provide

access to remedy for affected rights holders. Remedia-

tion activities include:

• Conducting a thorough and impartial investigation

and depending on the severity of the impact,

selecting the course of action (e.g., supplier

engagement, audits by the company’s own local

sustainability specialists or a third-party auditor).

• Implementing immediate actions to address

any urgent or critical issues identified during the

investigation.

• Requiring a detailed plan with a timeline for corrective

actions from the supplier.

• Cooperating with the supplier and other stakeholders

to help develop their operations, practices and

processes, perform necessary corrective actions,

and monitor the outcomes.

• Monitoring and reporting on the progress online via

Neste’s log of renewable raw material supply chain

grievances.

• Ending purchases if Neste does not see

adequate progress or if the supplier loses relevant

certifications.

• Reviewing, improving and adjusting the company’s

processes where needed.

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Key performance indicator Performance in 2025 Performance in 2024

Human Rights Due Diligence

carried out for key business

areas/functions (amount and

description)

Four major assessments/initiatives undertaken in 2025:

• Corporate-wide assessment to review Neste’s salient human rights issues

and mitigation actions.

• Collaboration with third-party experts to conduct three on-the-ground human

rights risk assessments, focused on salient issues in Neste’s high risk supply chains.

• Human rights due diligence maturity assessments completed for Neste’s offices,

owned pre-treatment facilities, and ground transportation.

• Living wage gap assessments completed for Neste’s own employees globally.

Four major assessments/initiatives undertaken in 2024:

• Corporate-wide assessment to review Neste’s salient

issues and mitigation actions.

• Human rights impact & risk assessment completed for the potential

construction and operation of a new unit at Porvoo refinery.

• Human rights due diligence assessments completed for

Neste-owned terminals in Finland, Rotterdam and Baltics.

• Living wage gap assessments completed for

Neste’s own employees globally.

Targets

As part of its sustainability vision, Neste aims to ensure

that people across its value chain can work with dignity,

guided by 2030 goals on responsible recruitment, living

wages, children’s rights, and reducing inequality. Neste

is committed to implement and sustain comprehensive

sustainability due diligence across its own operations

and supply chains in line with Corporate Sustainability

Due Diligence Directive requirements. Neste does not

have a separate measurable, time-bound target related

to human rights-related issues in the value chain but

does track the effectiveness of its policies and actions

with e.g., an entity-specific Key Performance Indica-

tor (KPI) of Human Rights Due Diligence carried out for

key business areas/functions. The scope of the KPI is

focused on Neste’s upstream and own activities. The

KPI has not been validated by an external third party.

Actions and resources

Actions

The adjacent table outlines key actions undertaken

during the reporting year to identify, assess, and address

human rights risks, including forced and child labor,

) See description of Human Rights Due Diligence process under ‘Processes’.

across Neste’s value chain. These represent selected

examples of Neste’s human rights due diligence activi-

ties and do not cover all actions taken. Additional mea-

sures are described in the processes and targets sec-

tions above, which outline Neste’s ongoing human rights

due diligence, including risk identification and assess-

ment, supplier engagement and monitoring, rights-

holder engagement, capacity-building and grievance

management. Further information on supplier and con-

tractor pre-screening and continuous monitoring pro-

cesses is provided in the G1 Business conduct section.

Expected outcomes

Through these actions, Neste aims to ensure respect

for human rights and mitigate the risk of forced labor

across the value chain. In addition, these actions sup-

port improving social and environmental conditions in the

supply chain and enhance supplier sustainability perfor-

mance over the short and medium term. The actions are

also relevant in ensuring compliance with the Supplier

Code of Conduct requirements for environment, social,

business conduct, safety and human rights issues.

Action area Description Actions in 2025 Planned actions

Human rights

saliency

assessment

Annual saliency assessment to evaluate actual

and potential human rights impacts along the

value chain, based on severity and likelihood. As

part of the assessment, Neste also evaluates the

effectiveness of current prevention and mitigation

actions.

Saliency assessment reviewed and updated in 2025, based on information gathered through discussions with internal and

external experts, findings from sustainability audits, third-party human rights and labor assessments in Neste’s supply

chains, topics raised through Neste’s grievance channels, and other ongoing human rights due diligence activities.

Continued annual review and update of Neste’s

human rights saliency assessment.

Human rights

risk and

impact

assessment

Targeted human rights risk and impact

assessments conducted to deepen Neste’s

understanding of specific human rights risks in

selected operations, sourcing regions or supply

chains. Findings inform preventative and

corrective actions, and strengthen ongoing due

diligence and mitigation efforts.

Collaboration with third-party experts to conduct three on-the-ground human rights risk assessments in high-risk supply

chains, focusing on salient issues and engagement with workers, suppliers, and local communities. Following the

assessments, third-party experts facilitated a workshop to provide capacity building, recommendations, and action planning

for Neste teams.

In 2025, Neste collaborated with its supplier Golden Agri-Resources (GAR) and independent experts to assess human rights

risks at third-party mills in Riau, Indonesia, beyond Neste's first tier of sourcing. The assessments covered maturity of mill

policies and practices on various issues including forced labor, child labor and fair recruitment, and were followed by

capacity-building sessions with mill management to strengthen due diligence and implement corrective actions.

Continued human rights risk and impact

assessments conducted as needed, based on

identified risks, evolving operating contexts, and

expansion into new regions or supply chains.

Integration of findings from assessments into

ongoing Neste risk-based due diligence and

prevention and mitigation actions.

The progress in these actions is monitored e.g., by the

human rights due diligence KPI presented above.

Resources to implement actions

Implementation of the actions reported above did not

require significant (> 50 MEUR) financial resources

during the reporting year, and is not expected to require

such resources in the future.

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Governance information

G1 Business conduct and compliance

Material impacts, risks and opportunities

Neste has identified the following material impacts and risks with regards to the company’s business conduct:

Compliance

Positive impact Across the value chain Neste’s commitment to ethical business practices has a positive impact on stakeholders of the company. Neste’s Code of Conduct sets the framework for the company’s

global business operations and establishes the ethical practices to guide every Neste employee in their day-to-day business tasks and in interactions with customers,

suppliers, other business partners and stakeholders. The impact applies across short- to long-term time horizons.

Risk Across the value chain Unethical behavior or breaches of Neste’s Code of Conduct, or applicable legislation or regulations can lead to adverse legal, financial and/or reputational consequences

for Neste. The risk applies across short- to long-term time horizons.

Management of relationships with suppliers

Positive impact Upstream As stated in Neste's Code of Conduct and Sustainability Policy, Neste is committed to following the guidance by the UN Guiding Principles on Business and Human Rights

(UNGPs) and OECD Guidelines for Multinational Enterprises in its sourcing activities. Through these commitments, Neste drives e.g., improved working conditions, ethical

business practices and safety in its supply chain. This impact applies across short- to long-term time horizons and is particularly relevant to Neste’s renewable and

recycled raw material sourcing.

Neste’s commitment to ethical business conduct is an

integral part of the company’s long-term value creation

and maintaining its license to operate. This is especially

relevant considering Neste’s operating sector and its

global supply chains.

As part of its sustainability vision, Neste aims to drive

a safe and healthy workplace, fair labor practices and

increased commitment to sustainability across the sup-

ply chain. Neste’s commitments to business conduct

depend not only on its own people but also on selecting

business partners who share the company’s commit-

ments. In addition to the material positive impact iden-

tified related to the management of relationships with

suppliers, relevant impacts, risks and opportunities in

Neste’s upstream value chain are also disclosed in for

example, E4 Biodiversity and ecosystems, E5 Resource

use and circular economy and S2 Workers in the

value chain.

Compliance

Policies

Neste’s Code of Conduct sets the framework for the

company’s global business operations. The Code of

Conduct is approved by the Board and applies to the

entire Neste Group. It contains the company’s main prin-

ciples and key requirements for all Neste employees to

comply with in their daily work, as well as in interactions

with customers, suppliers and other business partners

and stakeholders. It also contains references to more

detailed requirements and guidance in other govern-

ing documents. Neste management is responsible for

ensuring the implementation of the Code of Conduct,

supported by Neste’s Compliance Function.

The Code of Conduct references several international

frameworks. In line with the United Nations Guiding Prin-

ciples on Business and Human Rights, Neste respects

internationally recognized human and labor rights as

laid out in the International Bill of Human Rights and the

International Labour Organization (ILO) Declaration on

Fundamental Principles and Rights at Work. Neste is also

committed to upholding and implementing the ten prin-

ciples of the UN Global Compact, to which the company

is a signatory. The Code of Conduct is publicly avail-

able for Neste’s stakeholders. Raising awareness of and

training in the Code of Conduct and its topics are central

elements of the Neste compliance program. Neste reg-

ularly communicates internally on compliance-related

topics and trains its employees through both e-learning

courses and in-person training. Selected compliance

topics are trained annually based on a yearly action

plan. The Code of Conduct e-learning is part of the new

employee onboarding and is also regularly updated and

assigned to the organization, most recently in 2025. All

members of Neste Board of Directors have also com-

pleted the Code of Conduct e-learning.

The Compliance Function, headed by the Chief Com-

pliance Officer, regularly reports on compliance activities

to the Neste Leadership Team and the Audit Commit-

tee. Neste also has an Ethics and Compliance Commit-

tee, which oversees and steers the management of the

ethics and compliance program in Neste. Compliance

topics and risks are also regularly reported and man-

aged on a Business area and Function level.

As stated in the company’s Code of Conduct, Neste

has zero tolerance of corruption and bribery of any kind

in connection with Neste’s operations, whether com-

mitted by Neste employees or third parties acting on

behalf of Neste. Neste’s Anti-Corruption Principle

sets the rules for preventing corruption in connection

with Neste’s business operations and provides more

detailed guidance on responsible business practices.

The Principle applies to all Neste employees and to

anyone working for or representing any business entity

within the Neste Group. The principle is consistent with

the United Nations Convention against Corruption. The

Anti-Corruption Principle and related guidance is inter-

nally available in Neste’s global intranet and further com-

municated and trained via an anti-corruption e-learning

assigned to all office workers, targeted trainings and via

regular newsletters. Neste management is responsible

for ensuring the implementation of the Anti-Corruption

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Principle, supported by Neste’s Compliance Function.

Risks of corruption and bribery are typically treated as

inherent risks in the oil and gas sector due to its global

nature, contractual relationships with local governments,

and involvement in complex networks with various sup-

pliers and contractors. As a preventive measure, Neste

has developed a compliance program which includes

policy statements (Code of Conduct, Anti-Corruption

Principle), dedicated e-learning packages, an annual

compliance acknowledgment, regular communication

and Ethics Online for the reporting of suspected miscon-

duct. Neste’s counterparties are required to comply with

the Supplier Code of Conduct and/or their own equiva-

lent principles and undergo a compliance clearance and

counterparty risk assessment. As stated in the Code

of Conduct, Neste has processes in place to carry out

due diligence on its business partners. The compliance

clearance and counterparty risk assessment covers the

following risks: trade sanctions; politically exposed per-

sons; money laundering; corruption and bribery.

Employees are encouraged and required to report

their concerns, or observed or suspected violations of

Neste’s Code of Conduct or Anti-Corruption Principle to

their own manager, Neste’s HR, and the Compliance or

Internal Audit functions. The Code of Conduct e-learning

course includes guidelines on how to report observed or

suspected violations of Neste’s Code of Conduct, other

Neste policies or principles or applicable legislation or

regulations. In addition to other reporting channels,

Neste has an externally operated misconduct report-

ing system, Ethics Online, available to all Neste’s inter-

nal and external stakeholders, including various actors

in its supply chains. Ethics Online serves as a grievance

mechanism and enables Neste’s stakeholders to anon-

ymously raise concerns related to alleged misconduct

in Neste’s operations. The Ethics Online can be used by

phone or via the website. To assess the effectiveness of

Neste’s reporting channels, the number of reports sub-

mitted through the channels is followed regularly. Neste

may seek feedback from its employees on the channels,

for example, through employee engagement surveys.

Neste’s Investigation Group is responsible for evalu-

ating and investigating reported cases in a professional,

objective, confidential and prompt manner. The Investi-

gation Group will decide on the investigation lead and

approach to investigate depending on the nature of the

reported allegation and/or concern. All investigations

shall be impartial, unbiased and based on fact finding

and managed by appropriate resources. Upon need

and depending on the nature of the investigation, Neste

Investigation Group regularly retains independent exter-

nal forensic and/or legal expertise to conduct the inves-

tigation. Misconduct investigations and their outcome

are regularly reported to Neste’s Ethics and Compliance

Committee and to the Audit Committee.

Neste has a strict non-retaliation policy for concerns

reported in good faith. Neste’s main principles and pro-

cess followed in internal misconduct investigations is

described in the Company’s internal Misconduct Inves-

tigation Standard. The Standard is aligned with the

Directive (EU) on the protection of persons who report

breaches of Union law (2019/1937).

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Targets

Neste does not have a separate measurable, time-

bound target related to compliance, but does track the

effectiveness of its policies and actions via certain indi-

cators. As a key performance indicator, Neste tracks the

percentage of active employees who have completed

the Code of Conduct e-learning updated and assigned

to the organization in 2025. Neste’s ambition is that all

active employees complete this training by the end of

the reporting year. Neste has not defined a separate

base year for the key performance indicator.

Key performance indicator Performance in 2025

Code of Conduct e-learning

completion rate

By the end of the reporting year, 99% of all active employees

completed the Code of Conduct e-learning revision in 2025

Actions

Neste’s compliance program is implemented via aware-

ness raising of and training in the Code of Conduct

and its topics. Neste regularly communicates internally

on compliance-related topics and trains its employ-

ees through diverse training activities. Selected com-

pliance topics are trained annually based on a yearly

action plan. Compliance risk assessments are carried

out annually to support the risk-based approach and to

guide the compliance efforts, risk prevention and miti-

gation actions in the organization.

Action area Description Actions in 2025 Planned actions

Implementation

and development

of Neste’s

compliance

program

Neste’s compliance policies, principles and standards are updated

regularly and form the basis of Neste’s compliance program. They

are implemented through communication and training. As part of

this, Neste regularly communicates internally on compliance-related

topics and trains employees through both e-learning courses and

targeted in-person and virtual training. The target groups for the

trainings are based on role and risk level.

Neste constantly develops its compliance program with special

efforts in the defined key focus areas: competition law compliance;

anti-corruption; trade sanctions; privacy and anti-money laundering.

As part of the continuous training efforts, two e-learning courses were revised and assigned in

2025:

• Trade Sanctions e-learning for a defined group of approximately 2,500 employees

with a completion rate of 99%;

• Code of Conduct e-learning for approximately 4,800 employees.

To enhance awareness, Neste organized in 2025 its first ever Compliance days awareness

campaign, focusing on the Code of Conduct, anti-corruption, privacy and competition compliance.

In addition, regular compliance communication was shared via various channels, including

Compliance Hub channel and global intranet. In 2025, this communication covered topics such as

privacy, trade sanctions, Code of Conduct and gifts and hospitality rules.

Neste plans to continue

compliance program

implementation and

development actions

similarly in the future.

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2025 2024

Number of

suspected

misconducts

reported in

person or via the

whistleblowing

system to the

Investigation

Group

Number of suspected misconducts reported in person or via the available reporting channels

including Ethics Online to the Investigation Group was in total 25 (2 reports concerning same

issue) of which employment matters 6 reports, conflict of interest 3, inappropriate behavior 1,

supplier/business partner misconduct/unethical behavior 4, discrimination and harassment 4,

misuse of sensitive information 4, fraud 1, bribery, corruption, facilitation payment 2. Misconduct

by Neste employees confirmed in 4 cases, related to conflict of interest, misuse of sensitive

information, breach of internal rules, or inappropriate behavior. All leading to further actions and/

or process improvements. 1 investigation is pending. The confirmed cases of employee

misconduct were not related to corruption, bribery or facilitation payments. Renewable raw

material Supply chain related external grievances are reported separately by the Sustainability

team on Neste's website.

Number of suspected misconducts reported in person or via the available reporting channels including

Ethics Online to the Investigation Group was in total 57 (numerous reports concerning same issue) of

which employment matters 21 reports, health & safety 7, conflict of interest 7, inappropriate behavior 5,

supplier/business partner misconduct/unethical behavior 5, discrimination and harassment 3, misuse of

sensitive information 3, other 2, fraud 1, unethical conduct towards clients/suppliers/ business contacts 1,

theft, asset misuse, embezzlement 1, bribery, corruption, facilitation payment 1. Misconduct by Neste

employees confirmed in 9 cases, related to conflict of interest, attempted fraud, misuse of sensitive

information, breach of internal rules, leadership behaviour and/or inappropriate behavior. All leading to

further actions and/or process improvements. 1 investigation is pending. The confirmed cases of

misconduct were not related to corruption, bribery or facilitation payments. Renewable raw material

Supply chain related external grievances are reported separately by the Sustainability team on Neste's

website.

Metrics

Management of relationships with

suppliers

Policies

Neste requires all its suppliers and other business part-

ners to comply with applicable laws and expects them to

follow equivalent ethical business standards as stated in

the Code of Conduct, further described in Neste’s Sup-

plier Code of Conduct. The Supplier Code of Conduct

outlines the basic requirements Neste expects its suppli-

ers and their first tier suppliers, contractors and business

partners to adhere to and implement throughout their

businesses. Neste aims to include the Supplier Code of

Conduct in the contract terms for suppliers, contractors

and other business partners participating in the sup-

ply of raw materials, products, components, materials

or services to Neste. Companies consolidated through

mergers and acquisitions are also expected to imple-

ment Neste’s Supplier Code of Conduct in their sourcing.

The Supplier Code of Conduct includes requirements on

compliance with laws and regulations, business conduct,

human and labor rights, occupational health, safety and

security and environmental impact and climate change.

It references the Universal Declaration of Human Rights

and the fundamental rights in the eight core conventions

of the International Labor Organization.

The Supplier Code of Conduct is publicly available on

Neste’s webpages in several languages. Neste carries

out training and provides a guide with practical recom-

mendations to support the implementation and help its

suppliers meet their obligations to comply with the Sup-

plier Code of Conduct.

Additionally Neste requires all its renewable raw mate-

rial suppliers to comply with Neste’s Responsible

Sourcing Principle. The requirements of the Responsi-

ble Sourcing Principle are described more in detail in the

E5 Resource Use section. The Supplier Code of Con-

duct and related principles are a key tool for enhancing

the positive impact Neste aims to achieve throughout its

value chain.

General governance, including the highest level of

accountability for policies, and stakeholder engagement

related to policy implementation are described in the

ESRS 2 General disclosures section of this report.

Expected outcomes

Neste’s compliance program implementation and devel-

opment actions aim at raising awareness on compli-

ance topics and requirements among Neste’s personnel

and making sure all employees act in accordance with

applicable legislations, regulations and Neste’s compli-

ance policies and principles in order to prevent compli-

ance breaches or misconducts.

Resources to implement actions

Implementation of these actions did not require signifi-

cant (> 50 MEUR) financial resources during the report-

ing year, and is not expected to require such resources

in the future.

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Targets

Neste is committed to implement and sustain compre-

hensive sustainability due diligence across Neste’s own

operations and supply chains in line with Corporate

Sustainability Due Diligence Directive (CSDDD) require-

ments. Specific targets in line with the European Sus-

tainability Reporting Standard and the CSDDD require-

ments may be developed where relevant.

Neste’s sustainability due diligence process is a key

element in addressing material impacts and implement-

ing its policy commitments related to the management

of relationships with suppliers. Neste’s sustainability

due diligence process covers renewable, recycled and

fossil raw material suppliers, and includes country risk

assessment, supplier due diligence and audits, supplier

engagement and grievance investigations.

As a key performance indicator, Neste tracks per-

centages of business partners who have committed to

Neste’s minimum sustainability requirements covered in

the Supplier Code of Conduct or equivalent as detailed

in the adjacent table. Neste expects all its suppliers and

other business partners to comply with applicable laws

and to follow equivalent ethical business standards as

stated in the Code of Conduct, further described in the

Supplier Code of Conduct. Neste has not defined a sep-

arate base year for the key performance indicator.

Actions

Key actions related to the management of relationships

with suppliers are described below:

Risk assessment in supply chains: A key element

in understanding the sustainability risks in the compa-

ny’s supply chains is assessing country risks. Neste

uses a bespoke, industry-leading country risk assess-

ment methodology from Verisk Maplecroft to identify

high sustainability risk countries or geographical areas

in which it operates and has raw material supply chains.

The country risk assessment allows Neste to effectively

prioritize its activities by identifying the most significant

sustainability risks in certain countries or geographical

areas.

Conducting sustainability due diligence: Assess-

ing sustainability risks in the company’s supply chains

begins before agreements have been signed or raw

materials, products, components, materials or services

are delivered. To ensure its suppliers’ compliance with

the Supplier Code of Conduct, Neste performs system-

atic controls for counterparty screening and monitor-

ing, during which potential business partners undergo

automated screening. Counterparties are screened

for economic sanctions and similar compliance issues

and selected ethical concern categories in third-party

enforcement databases and major news outlet sources.

All Neste’s raw material suppliers and selected contrac-

tors are subject to additional sustainability due diligence.

Neste uses a risk based approach to determine the type

of assessment, which can include desktop reviews,

the mapping of supply chains and operations, supplier

engagement and sustainability audits. The risk-based

approach uses country risk as one element of the risk

assessment. Knowing the origin of raw materials is a

fundamental supplier requirement. Where possible, the

aim is to gain visibility throughout the raw material sup-

ply chain, including Neste’s suppliers’ suppliers.

Renewable raw materials sourcing: Neste requires

all its renewable raw material suppliers to comply with

Key performance indicator Performance in 2025 Performance in 2024

Business partners who have

committed to Neste’s minimum

sustainability requirements

covered in the Supplier Code of

Conduct or equivalent

100% of the renewable and

recycled raw material volumes

93% of crude oil and fossil raw

material volumes

92% overall indirect contracted

spend

100% of the renewable and

recycled raw material volumes

81% of crude oil and fossil raw

material volumes

91% overall indirect contracted

spend

the Supplier Code of Conduct and Responsible Sourc-

ing Principle. All Neste’s renewable raw material suppli-

ers are also subject to sustainability due diligence, as

stated in Neste’s Supplier Sustainability Approval Prin-

ciple. The principle applies globally to any Neste com-

pany establishing a business relationship with a supplier

of renewable raw materials. It sets the minimum sus-

tainability requirements for approving suppliers through

a five-step process, including raw material evaluation,

risk assessments, counterparty screening, a sustainabil-

ity review and audits. The Principle is available internally.

Neste verifies suppliers’ compliance with Neste’s

Supplier Code of Conduct with the sustainability review,

encompassing a range of topics such as governance,

labor standards and practices, human rights, the envi-

ronment, health and safety. The company continues

commercial negotiations only with approved parties that

meet its sustainability requirements. The validity period

of the sustainability approval for a supplier is three or five

years, depending on, e.g., country risk, raw material vol-

umes supplied to Neste and the outcome of the sustain-

ability review. Once the validity period expires, the sup-

plier undergoes a new review.

Liquefied waste plastics sourcing: Neste requires

its liquefied waste plastic suppliers to fulfill the require-

ments in the Supplier Code of Conduct and only accepts

liquefied waste plastic that is traceable and complies with

the ISCC Plus certification requirements. Suppliers with

whom Neste has an established and ongoing business

relationship are subject to sustainability due diligence.

Crude oil and other fossil raw material sourcing:

The due diligence process for the company’s crude oil

and other fossil raw material suppliers includes a coun-

try risk assessment and a counterparty screening. Neste

also conducts a sustainability review of all new suppliers

based on publicly available information regarding top-

ics outlined in the Supplier Code of Conduct, suppliers’

climate and environmental commitments, and crude oil

production-specific issues such as flaring and spills. The

sustainability review is renewed for fossil raw material

suppliers every three years.

Indirect procurement: Neste’s indirect procurement

activities include the sourcing, purchasing as well as

contract and supplier management of goods and ser-

vices that are not included in the sourcing and delivery

of crude oil and other fossil raw materials or renewable

and recycled raw materials. In addition to the automated

counterparty compliance screening, Neste has carried

out category and supplier specific risk assessments to

enhance its understanding of the sustainability risk in

Neste’s indirect procurement supply chains. Neste has

completed Sedex self-assessment questionnaires for its

refineries in Porvoo, Rotterdam and Singapore, allowing

the company to thoroughly assess gaps in its manage-

ment systems and human rights due diligence. See S2

Workers in the value chain section for a more detailed

description of Neste’s processes for engaging with value

chain workers about impacts.

Sustainability audits: Neste carries out audits to

mitigate sustainability risks in its supply chains. When

selecting suppliers to be audited, special attention is

paid to suppliers, raw materials or countries with the

highest sustainability risks. The sustainability audits are

conducted either by Neste’s own local sustainability

specialists or a third-party auditor. Where possible, the

company also conducts audits on its suppliers’ suppliers

(second-tier suppliers or even beyond). After the audit,

Neste follows up cases of non-compliance and requires

its suppliers to remediate significant open issues within

a specified timeframe. The main purpose of Neste’s sus-

tainability audits is to verify that its suppliers comply with

Neste’s Supplier Code of Conduct and local regulatory

requirements. Neste’s Sustainability Audit Standard sets

out the overall requirements for sustainability audits at

Neste, which include a social scope, and is regularly

benchmarked against globally recognized methodolo-

gies such as SMETA and SA8000.

Capacity building: Neste understands that due dil-

igence processes and sustainability audits alone are

insufficient for a positive impact in its value chain. The

company therefore engages regularly in capacity building

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with its suppliers. Neste regularly organizes training ses-

sions and workshops on topics such as the Supplier

Code of Conduct requirements, sustainability policy

development, due diligence, traceability and grievance

management. The company is also committed to train-

ing its employees on its policies. To support implemen-

tation across its business, Neste provides an e-learning

to train relevant Neste employees on the Supplier Code

of Conduct requirements, while also providing live train-

ing sessions for selected Neste teams, led by the com-

pany’s human rights and sustainability specialists.

Grievances and concerns in the supply chain:

Neste investigates all complaints and allegations of sus-

pected sustainability violations. This includes any sus-

pected breaches of the Supplier Code of Conduct or

the Responsible Sourcing Principle. Engagement and

cooperation with the company’s suppliers and contrac-

tors are its primary ways of addressing any grievances

and concerns. Ending purchases does not necessarily

solve the problem, while by working with the suppliers,

Neste can work for improvements. If the sustainabil-

ity criteria or contractual requirements included in con-

tracts have been verifiably breached, their nature is con-

sidered serious, and progress to resolve those issues

Action area Description Actions in 2025 Planned actions

Risk

assessment

in supply

chains

Neste maintains an up-to-date country risk

categorization based on country risk indices such

as ethical business practices, human and labor

rights, health and safety, and the environment.

The categorization also includes a list of no-go

countries and regions based on regulatory and

risk considerations such as trade sanctions.

As part of the annual review, Neste updated its country risk categorization. Furthermore, the

company enhanced its risk-based approach to sustainability due diligence, aligning it with

strategic priorities and ensuring that focused actions target highest-risk suppliers and

countries.

Neste plans to strengthen its risk-based approach

across the company to focus on most salient

sustainability risks.

Conducting

sustainability

due diligence

All Neste’s raw material suppliers are subject to

additional sustainability due diligence.

New renewable raw material suppliers that were evaluated using sustainability criteria: 100%

New recycled raw material suppliers that were evaluated using sustainability criteria: 83%

New fossil raw material suppliers that were evaluated using sustainability criteria: 100%

Number of sustainability audits conducted: 36

Neste will continue developing its supplier

due diligence in accordance with upcoming

regulations, such as the Corporate Sustainability

Due Diligence Directive.

The company also plans to further integrate

sustainability into indirect procurement activities

and continue to work proactively to promote

respect for labor rights across its production sites.

Supplier

engagement

Engagement and cooperation with Neste’s

suppliers is the company’s primary way to drive a

positive impact in its supply chain.

In 2025, key actions included targeted supplier training on the Neste Supplier Code of

Conduct and proactive measures for mitigating deforestation risks.

Furthermore, Neste collaborated with third-party experts to conduct three focused risk

assessments covering the most salient human rights issues in its high risk supply chains,

with more information available in S2 Workers in the value chain.

Neste, a founding member of the Siak Pelalawan Landscape Programme, continues

to invest in the programme’s second phase to support sustainable palm oil production

in Riau, Indonesia.

Neste will continue supplier engagement

based on a risk-based approach.

Grievances

and concerns

in the supply

chain

Neste monitors grievances or shortcomings in its

supply chains through concerns raised by

stakeholders, regular audits and assessments,

laboratory tests, engagement with its suppliers as

well as through its third party partners.

Neste updates its raw material grievance log on the company’s webpage monthly to include

new grievances as well as provide status updates on the remediation of existing grievances.

Further information on Neste’s remediation process is provided in S2 Workers in the value

chain.

Neste continues to take seriously and investigate

all complaints and allegations of suspected

sustainability violations. This includes any

suspected breaches of the Supplier Code of

Conduct or Responsible Sourcing Principle.

is not made in a reasonable time, Neste will terminate

its contract with the supplier or contractor in question.

See S2 Workers in the value chain section for a more

detailed description of Neste’s processes to remedy

negative impacts and ensure grievance mechanisms are

available for value chain workers to raise concerns.

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Expected outcomes

Through these actions, Neste aims to improve social

and environmental conditions in the supply chain and

enhance supplier sustainability performance over the

short and medium term. The actions support compli-

ance with the Supplier Code of Conduct requirements

for environment, social, business conduct, safety and

human rights topics. The progress in these actions is

monitored by the Supplier Code of Conduct KPI pre-

sented above.

Resources to implement actions

Implementation of the actions reported above did not

require significant (> 50 MEUR) financial resources during

the reporting year, and is not expected to require such

resources in the future.

Reporting principles

Code of Conduct e-learning completion rate (enti-

ty-specific metric): Completion rate of the Code of Con-

duct e-learning revised in 2025 is reported as the share

(%) of active employees who have completed the e-learn-

ing by the end of the reporting year.

The completion rate of the e-learning disclosed under

Compliance Actions is calculated based on the number

of employees who have been assigned the training. As

the topic of the e-learning varies annually, comparative

information for the completion rate is not provided.

Number of suspected misconducts (entity-specific

metric): Neste reports the number of suspected mis-

conducts reported in person or via the available report-

ing channels including Ethics Online to the Investigation

Group. Neste’s process for reporting and handling griev-

ances is described more in detail under the Compliance

Policies section.

Supplier Code of Conduct coverage (entity-

specific metric): The share of renewable and recycled

raw material volumes and crude oil and fossil raw mate-

rials volumes covered by Neste’s Supplier Code of Con-

duct or equivalent is calculated based on the volumes

delivered to Neste during the reporting year. The share

of the Supplier Code of Conduct coverage for indirect

procurement is calculated based on spend.

New renewable, recycled or fossil raw materials

suppliers that were evaluated using sustainabil-

ity criteria (entity-specific metric) is calculated based

on the number of new raw material suppliers that were

approved or declined during the reporting year. The sus-

tainability criteria used in the evaluation is described in the

Actions related to Supplier relationship management. As

the definitions of the metrics have changed compared to

previous reporting years, comparative information is not

presented.

The number of sustainability audits (entity-spe-

cific metric) includes audits of renewable and recycled

raw material suppliers, terminal audits, and contractor

audits, where conducted during the reporting year.

An external third party has not validated the KPIs and

metrics described above.

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Appendixes

Statement on due diligence

Core elements of due diligence Sections in the Sustainability statement Page

a) Embedding due diligence in governance, strategy and business model S2 Workers in the value chain 130–131

G1 Business conduct 134–139

b) Engaging with affected stakeholders in all key steps of the due diligence ESRS 2 General disclosures 94–95

S1 Own workforce 124

S2 Workers in the value chain 131

c) Identifying and assessing adverse impacts ESRS 2 General disclosures 92–93

S1 Own workforce 123–125

S2 Workers in the value chain 130–131, 133

G1 Business conduct 137–139

d) Taking actions to address those adverse impacts S1 Own workforce 124–126

S2 Workers in the value chain 131–133

e) Tracking the effectiveness of these efforts and communicating S1 Own workforce 124–126

S2 Workers in the value chain 131–133

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ESRS 2 General disclosures

Disclosure requirement Page

BP-1 General basis for preparation of sustainability statements 87

BP-2 Disclosures in relation to specific circumstances 87, 112–113, 116

GOV-1 The role of the administrative, management and supervisory bodies 87–88

GOV-2 Information provided to and sustainability matters addressed by the

undertaking’s administrative, management and supervisory bodies

GOV-3 Integration of sustainability-related performance in incentive schemes 88

GOV-4 Statement on due diligence 140

GOV-5 Risk management and internal controls over sustainability reporting 88–89

SBM-1 Strategy, business model and value chain 89–90

SBM-2 Interests and views of stakeholders 94–95

SBM-3 Material impacts, risks and opportunities and their interaction with strategy

and business model

90–92

IRO-1 Description of the processes to identify and assess material impacts, risks and

opportunities

92–93

IRO-2 Disclosure requirements in ESRS covered by the undertaking’s sustainability

statement

141–145

Disclosure Requirements in ESRS

covered by Neste’s Sustainability

statement

The following table lists all ESRS disclosure require-

ments in ESRS 2 and the seven topical standards which

are material to Neste and included in the Sustainability

statement. Neste omits all disclosures related to topical

standards E3 Water and marine resources, S3 Affected

communities and S4 Consumers and end-users, as

these have not been deemed material in the double

materiality assessment. Relevant disclosure require-

ments have been identified by linking material impacts,

risks and opportunities, and their related sub-topics or

sub-sub topics, to the relevant ESRS. Additional enti-

ty-specific disclosures have been defined based on

implemented targets and for the entity-specific topic

carbon handprint.

ESRS E1 Climate change

Disclosure requirement Page

ESRS 2 GOV-3 Integration of sustainability-related performance in incentive schemes 88

E1-1 Transition plan for climate change mitigation 89–90, 104, 106–109

ESRS 2 SBM-3 Material impacts, risks and opportunities and their interaction with

strategy and business model(s)

90–91, 103–105

ESRS 2 IRO-1 Description of the processes to identify and assess material climate-

related impacts, risks and opportunities

92–93, 104–105

E1-2 Policies related to climate change mitigation and adaptation 96, 105–106

E1-3 Actions and resources in relation to climate change policies 108–109

E1-4 Targets related to climate change mitigation and adaptation 106–107

E1-5 Energy consumption and mix 110, 112

E1-6 Gross Scopes 1, 2, 3 and Total GHG emissions 111–113

E1-8 Internal carbon pricing 109

ESRS E2 Pollution

Disclosure requirement Page

ESRS 2 IRO-1 Description of the processes to identify and assess material pollution-

related impacts, risks and opportunities

92–93, 114

E2-1 Policies related to pollution 96, 114–115

E2-2 Actions and resources related to pollution 115

E2-3 Targets related to pollution 115

E2-5 Substances of concern and substances of very high concern 116

ESRS E4 Biodiversity and ecosystems

Disclosure requirement Page

E4-1 Transition plan on biodiversity and ecosystems 117–118

ESRS SBM 3 Material impacts, risks and opportunities and their interaction with

strategy and business model

90–91, 117

ESRS 2 IRO-1 Description of processes to identify and assess material biodiversity

and ecosystem-related impacts, risks and opportunities

92–93, 117–118

E4-2 Policies related to biodiversity and ecosystems 96, 118

E4-3 Actions and resources related to biodiversity and ecosystems 119

E4-4 Targets related to biodiversity and ecosystems 118

E4-5 Impact metrics related to biodiversity and ecosystems change 119

142

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ESRS E5 Resource use and circular economy

Disclosure requirement Page

ESRS 2 IRO-1 Description of the processes to identify and assess material resource

use and circular economy-related impacts, risks and opportunities

92–93

E5-1 Policies related to resource use and circular economy 96, 120

E5-2 Actions and resources related to resource use and circular economy 121

E5-3 Targets related to resource use and circular economy 121

E5-4 Resource inflows 122

ESRS S1 Own workforce

Disclosure requirement Page

ESRS 2 SBM-2 Interest and views of stakeholders 94–95

ESRS 2 SBM-3 Material impacts, risks and opportunities and their interaction with

strategy and business model

90–92, 123

S1-1 Policies related to own workforce 96, 123–124

S1-2 Processes for engaging with own workers and workers’ representatives about

impacts

124

S1-3 Processes to remediate negative impacts and channels for own workers to

raise concerns

125, 134–135

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

126

S1-5 Targets related to managing material negative impacts, advancing positive

impacts, and managing material risks and opportunities

125

S1-6 Characteristics of Neste’s employees 127, 129

S1-8 Collective bargaining coverage and social dialogue 127, 129

S1-9 Diversity metrics 128, 129

S1-10 Adequate wages 128

S1-11 Social protection 128

S1-14 Health and safety indicators 128, 129

S1-17 Incidents, complaints and severe human rights impacts 128, 129

ESRS S2 Workers in the value chain

Disclosure requirement Page

ESRS 2 SBM-2 Interest and views of stakeholders 94–95

ESRS 2 SBM-3 Material impacts, risks and opportunities and their interaction with

strategy and business model

90–92, 130

S2-1 Policies related to value chain workers 96, 130

S2-2 Processes for engaging with value chain workers about impacts 131

S2-3 Processes to remediate negative impacts and channels for value chain workers

to raise concerns

131–132

S2-4 Taking action on material impacts on value chain workers, and approaches to

mitigating material risks and pursuing material opportunities related to value chain

workers, and effectiveness of those actions

133

S2-5 Targets related to managing material negative impacts, advancing positive

impacts, and managing material risks and opportunities

133

ESRS G1 Business conduct

Disclosure requirement Page

ESRS 2 GOV-1 The role of the administrative, supervisory and

management bodies

87–88

ESRS 2 IRO-1 – Description of the processes to identify and assess material impacts,

risks and opportunities

92–93

G1-1 Corporate culture and business conduct policies 96, 134–135

G1-2 Management of relationships with suppliers 136–139

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List of datapoints in cross-cutting and

topical standards that derive from other

EU legislation

The table below includes all of the data points that

derive from other EU legislation as listed in ESRS 2

appendix B. The table indicates on which page the data

points can be found in Neste’s Sustainability statement.

ESRS 2 GOV-1 Board's gender diversity paragraph 21 (d) • • 88

ESRS 2 GOV-1 Percentage of board members who are independent paragraph 21 (e) • 88

ESRS 2 GOV-4 Statement on due diligence paragraph 30 • 140

ESRS 2 SBM-1 Involvement in activities related to fossil fuel activities paragraph 40 (d) i • • • 90

ESRS 2 SBM-1 Involvement in activities related to chemical production paragraph 40 (d) ii • • Not applicable

ESRS 2 SBM-1 Involvement in activities related to controversial weapons paragraph 40 (d) iii • • Not applicable

ESRS 2 SBM-1 Involvement in activities related to cultivation and production of tobacco paragraph 40 (d) iv • Not applicable

ESRS E1-1 Transition plan to reach climate neutrality by 2050 paragraph 14 • 106–109

ESRS E1-1 Undertakings excluded from Paris-aligned Benchmarks paragraph 16 (g) • • 106

ESRS E1-4 GHG emission reduction targets paragraph 34 • • • 106–107

ESRS E1-5 Energy consumption from fossil sources disaggregated by sources (only high climate impact sectors) paragraph 38 • 110

ESRS E1-5 Energy consumption and mix paragraph 37 • 110

ESRS E1-5 Energy intensity associated with activities in high climate impact sectors paragraphs 40 to 43 • 110, 112

ESRS E1-6 Gross Scope 1, 2, 3, and Total GHG emissions paragraph 44 • • • 111

ESRS E1-6 Gross GHG emissions intensity paragraphs 53 to 55 • • • 111, 112

ESRS E1-7 GHG removals and carbon credits paragraph 56 • Not material

ESRS E1-9 Exposure of the benchmark portfolio to climate-related physical risks paragraph 66 • Not disclosed

ESRS E1-9 Disaggregation of monetary amounts by acute and chronic physical risk paragraph 66 (a) • Not disclosed

ESRS E1-9 Location of significant assets at material physical risk paragraph 66 (c) • Not disclosed

ESRS E1-9 Breakdown of the carrying value of its real estate assets by energy-efficiency classes paragraph 67 (c) • Not disclosed

ESRS E1-9 Degree of exposure of the portfolio to climate-related opportunities paragraph 69 • Not disclosed

ESRS E2-4 Amount of each pollutant listed in Annex II of the E-PRTR Regulation (European Pollutant Release and Transfer Register) emitted to air,

water and soil, paragraph 28

• Not material

ESRS E3-1 Water and marine resources paragraph 9 • Not material

Excluded data points are marked as i) ‘Not material’

based on the results of the double materiality assess-

ment, ii) ‘Not disclosed’, if the disclosure requirement

is phased in based on the provision in Appendix C of

ESRS 1, or iii) ‘Not applicable’ if the disclosure require-

ment is not relevant for Neste’s business.

Disclosure requirement and related datapoint SFDR Pillar 3

Benchmark

regulation

Climate Law

Page reference in

Sustainability statement

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ESRS E3-1 Dedicated policy paragraph 13 • Not material

ESRS E3-1 Sustainable oceans and seas paragraph 14 • Not material

ESRS E3-4 Total water recycled and reused paragraph 28 (c) • Not material

ESRS E3-4 Total water consumption in m3 per net revenue on own operations paragraph 29 • Not material

ESRS 2- IRO 1 - E4 paragraph 16 (a) i • Not material

ESRS 2- IRO 1 - E4 paragraph 16 (b) • 117

ESRS 2- IRO 1 - E4 paragraph 16 (c) • 117

ESRS E4-2 Sustainable land / agriculture practices or policies paragraph 24 (b) • 118

ESRS E4-2 Sustainable oceans / seas practices or policies paragraph 24 (c) • 118

ESRS E4-2 Policies to address deforestation paragraph 24 (d) • 118

ESRS E5-5 Non-recycled waste paragraph 37 (d) • Not material

ESRS E5-5 Hazardous waste and radioactive waste paragraph 39 • Not material

ESRS 2- SBM3 - S1 Risk of incidents of forced labor paragraph 14 (f) • Not material

ESRS 2- SBM3 - S1 Risk of incidents of child labor paragraph 14 (g) • Not material

ESRS S1-1 Human rights policy commitments paragraph 20 • 124

ESRS S1-1 Due diligence policies on issues addressed by the fundamental International Labour Organisation Conventions 1 to 8, paragraph 21 • 124

ESRS S1-1 Processes and measures for preventing trafficking in human beings paragraph 22 • 124

ESRS S1-1 Workplace accident prevention policy or management system paragraph 23 • 123

ESRS S1-3 Grievance/complaints handling mechanisms paragraph 32 (c) • 125, 134–135

ESRS S1-14 Number of fatalities and number and rate of work-related accidents paragraph 88 (b) and (c) • • 128

ESRS S1-14 Number of days lost to injuries, accidents, fatalities or illness paragraph 88 (e) • Not disclosed

ESRS S1-16 Unadjusted gender pay gap paragraph 97 (a) • • Not material

ESRS S1-16 Excessive CEO pay ratio paragraph 97 (b) • Not material

ESRS S1-17 Incidents of discrimination paragraph 103 (a) • 128

ESRS S1-17 Non-respect of UNGPs on Business and Human Rights and OECD paragraph 104 (a) • • 128

ESRS 2- SBM3 – S2 Significant risk of child labour or forced labour in the value chain paragraph 11 (b) • 130

ESRS S2-1 Human rights policy commitments paragraph 17 • 130

ESRS S2-1 Policies related to value chain workers paragraph 18 • 130

ESRS S2-1 Non- respect of UNGPs on Business and Human Rights principles and OECD guidelines paragraph 19 • • 132

Disclosure Requirement and related datapoint SFDR Pillar 3

Benchmark

regulation

Climate Law

Page reference in

Sustainability statement

145

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

ESRS S2-1 Due diligence policies on issues addressed by the fundamental International Labor Organisation Conventions 1 to 8, paragraph 19 • 130–131

ESRS S2-4 Human rights issues and incidents connected to its upstream and downstream value chain paragraph 36 • 132

ESRS S3-1 Human rights policy commitments paragraph 16 • Not material

ESRS S3-1 Non-respect of UNGPs on Business and Human Rights, ILO principles or and OECD guidelines paragraph 17 • • Not material

ESRS S3-4 Human rights issues and incidents paragraph 36 • Not material

ESRS S4-1 Policies related to consumers and end-users paragraph 16 • Not material

ESRS S4-1 Non-respect of UNGPs on Business and Human Rights and OECD guidelines paragraph 17 • • Not material

ESRS S4-4 Human rights issues and incidents paragraph 35 • Not material

ESRS G1-1 United Nations Convention against Corruption paragraph 10 (b) • Not applicable

ESRS G1-1 Protection of whistle-blowers paragraph 10 (d) • Not applicable

ESRS G1-4 Fines for violation of anti-corruption and anti-bribery laws paragraph 24 (a) • • Not material

ESRS G1-4 Standards of anti-corruption and anti-bribery paragraph 24 (b) • Not material

Disclosure Requirement and related datapoint SFDR Pillar 3

Benchmark

regulation

Climate Law

Page reference in

Sustainability statement

146

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Key figures

Income statement 2025 2024 2023

Revenue EUR million 19,016 20,635 22,926

EBITDA EUR million 1,438 1,005 2,548

- of revenue % 7.6 4.9 11.1

Operating profit EUR million 503 25 1,682

- of revenue % 2.6 0.1 7.3

Profit before income taxes EUR million 199 -113 1,596

- of revenue % 1.0 -0.5 7.0

Profit for the period EUR million 144 -95 1,436

- of revenue % 0.8 -0.5 6.3

Comparable EBITDA EUR million 1,683 1,252 3,458

Profitability

Return on equity (ROE) % 2.0 -1.2 17.9

Comparable return on average capital

employed, after tax (Comparable ROACE) % 5.3 2.5 23.9

Financing and financial position

Interest-bearing net debt EUR million 3,817 4,192 2,488

Leverage ratio % 34.3 36.1 22.7

Equity-to-assets ratio % 46.6 47.7 53.1

Net Debt to EBITDA 2.7 4.2 1.0

Other indicators

Capital employed EUR million 12,497 12,564 12,532

Net working capital in days outstanding 34.7 39.4 41.0

Capital expenditure and investments in shares EUR million 1,253 2,006 2,351

- of revenue % 6.6 9.7 10.3

Research and development expenditure EUR million 63 86 94

- of revenue % 0.3 0.4 0.4

Average number of personnel 5,214 5,796 6,018

Board of Directors' proposal to the Annual General Meeting.

The 2024 and 2023 cash flow per share has been restated in line with the restatement made into Consolidated Cash Flow Statement.

Share-related indicators 2025 2024 2023

Earnings per share (EPS) EUR 0.19 -0.12 1.87

Equity per share EUR 9.52 9.65 11.02

Cash flow per share

EUR 2.27 1.50 2.99

Dividend per share EUR 0.20

0.20 1.20

Dividend payout ratio % 106.6

-162.3 64.3

Dividend yield % 1.0

1.6 3.7

Share prices

Closing price EUR 19.41 12.13 32.21

Average price EUR 11.84 19.26 37.66

Lowest price EUR 6.79 10.98 28.55

Highest price EUR 20.22 33.60 48.50

Market capitalization EUR million 14,930 9,331 24,776

Trading volumes

Number of shares traded 1,000 505,305 443,798 242,189

- of weighted average number of shares % 66 58 32

Weighted average number of

shares outstanding 768,246,779 768,212,287 768,175,637

Number of shares outstanding

at the end of the period 768,274,059 768,215,734 768,199,747

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Reconciliation of key figures to IFRS Financial Statements

Reconciliation between comparable EBITDA, EBITDA and operating profit is presented in Note 4, Segment information.

EUR million 2025 2024 2023

Comparable EBITDA, last 12 months 1,683 1,252 3,458

Depreciation, amortization and impairments -934 -980 -866

Items in depreciation, amortization and impairments affecting

comparability -1 15 0

Financial income 27 47 45

Exchange rate and fair value gains and losses -125 -29 -9

Income tax expense -55 19 -160

Tax on other items affecting comparable ROACE -63 -59 -145

Comparable net profit, net of tax 531 266 2,324

Capital employed average 12,576 12,398 11,514

Assets under construction average -2,468 -1,756 -1,789

Return on comparable average capital employed,

after tax (Comparable ROACE), % 5,3 2,5 23,9

Reconciliation of equity-to-assets ratio, %

EUR million 2025 2024 2023

BS Total equity 7,314 7,417 8,463

BS Total assets 15,749 15,581 15,983

Advances received -50 -42 -39

Equity-to-assets ratio, % 46.6 47.7 53.1

Reconciliation of net working capital in days outstanding

EUR million 2025 2024 2023

Operative receivables 1,305 1,488 1,788

BS Inventories 2,895 2,898 3,366

Operative liabilities -2,391 -2,159 -2,581

Net working capital 1,808 2,227 2,573

IS Revenue 19,016 20,635 22,926

Net working capital in days outstanding 34.7 39.4 41.0

Reconciliation of comparable return on average capital employed, after tax (Comparable ROACE), %

OCI

148

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Calculation of key figures

Neste presents Alternative Performance Measures to enhance comparability between financial periods as well as to reflect operational performance and financial risk level. These indicators should be examined together with the IFRS-compliant performance

indicators.

Key figure Calculation Reason for use

EBITDA = Operating profit + depreciation, amortization and impairments

EBITDA is an indicator to measure the operational performance and cash flow

generation.

Comparable EBITDA =

EBITDA -/+ inventory valuation gains/losses -/+ changes in the fair value of open

commodity and currency derivatives -/+ capital gains/losses - insurance and other

compensations -/+ other adjustments

Comparable EBITDA describes underlying operational performance and cash flow

generation.

Items affecting comparability =

Inventory valuation gains/losses, changes in the fair value of open commodity and

currency derivatives, capital gains/losses, insurance and other compensations,

impairments and other adjustments

Items affecting comparability are linked to unpredictability events of a significant

nature that do not form part of normal day-to-day business.

Return on equity (ROE), % = 100 x

Profit before income taxes - income tax expense, last 12 months

Return on equity provides additional information on the profitability of operations.

Total equity average, 5 quarters end values

Comparable return on average

capital employed, after-tax

(Comparable ROACE), %

= 100 x

Comparable EBITDA - depreciation, amortizations and impairments -/+ items in

depreciation, amortization and impairments affecting comparability + financial income +

exchange rate and fair value gains and losses - income tax expense - tax on other items

affecting Comparable ROACE, last 12 months

Comparable return on average capital employed after-tax (Comparable ROACE) is a

long-term over the cycle indicator measuring Neste's profitability and efficiency of

capital usage.

Capital employed average - assets under construction average, 5 quarters end values

Capital employed = Total equity + interest bearing liabilities

Capital employed is primarily used to determine the comparable return on average

capital employed (Comparable ROACE) which is Neste’s key financial target.

Interest-bearing net debt = Interest-bearing liabilities - cash and cash equivalents - current investments Interest-bearing net debt is an indicator to measure the total external debt financing.

Leverage ratio, % = 100 x

Interest-bearing net debt

Leverage ratio is one of Neste’s key financial targets. It provides useful information

regarding Neste’s capital structure and financial risk level.

Interest bearing net debt + total equity

149

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Review by the Board of Directors Sustainability statement Key figures Calculation of key figures

Equity-to-assets ratio, % = 100 x

Total equity

Equity-to-assets ratio provides useful information regarding financial risk level.

Total assets - advances received

Net working capital in days outstanding = 365 x

Net working capital

Net working capital in days outstanding measures efficiency in turning net working

capital into revenue.

Revenue, last 12 months

Net Debt to EBITDA =

Interest-bearing net debt

Net debt to EBITDA measures capital structure and ability to cover debt.

EBITDA, last 12 months

Return on net assets, % = 100 x

Segment operating profit, last 12 months

Neste uses return on net assets to follow the operational performance of its

operating segments.

Average segment net assets, 5 quarters end values

Comparable return on net assets, % = 100 x

Segment comparable EBITDA, last 12 months - depreciation, amortization and

impairments +/- items in depreciation, amortization and impairments affecting

comparability

Neste uses comparable return on net assets to follow the underlying operational

performance of its operating segments.

Average segment net assets, 5 quarters end values

Segment net assets =

Property, plant and equipment + goodwill + intangible assets + investments in associates

and joint ventures + inventories + interest-free receivables and liabilities - provisions -

pension liabilities allocated to the business segment

Segment net assets are primarily used to determine the return on net assets and

comparable return on net assets.

Calculation of share-related indicators

Earnings per share (EPS) =

Profit for the period attributable to the owners of the parent

Weighted average number of shares outstanding during the period

Equity per share =

Shareholder's equity attributable to the owners of the parent

Number of shares outstanding at the end of the period

Cash flow per share =

Net cash generated from operating activities

Weighted average number of shares outstanding during the period

Key figure Calculation Reason for use

150

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Dividend payout ratio, % = 100 x

Dividend per share

Earnings per share

Dividend yield, % = 100 x

Dividend per share

Share price at the end of the period

Average share price =

Amount traded in euros during the period

Number of shares traded during the period

Market capitalization = Number of shares at the end of the period x share price at the end of the period

Calculation of key drivers

Oil Products total refining margin (USD/bbl) =

Comparable sales margin x average EUR/USD exchange rate for the period

x standard refinery yield

Oil Products total refining margin measures the segment's comparable sales margin

per refined unit sold. USD/bbl is a standard unit used in the oil industry.

Refined sales volume x standard barrels per ton

Renewable Products comparable sales

margin (USD/ton)

Comparable sales margin x average EUR/USD exchange rate for the period

Renewable Products comparable sales margin measures the sales margin

per unit sold.

Sales volumes of renewable diesel, sustainable aviation fuel and other products

In the business environment where Neste operates, commodity prices and foreign exchange rates are volatile and can cause significant fluctuations in inventory values and operating profit. Comparable EBITDA eliminates both the inventory valuation gains/losses generated by the volatility in raw material

prices and changes in open derivatives, and better reflects the company’s underlying operational performance. Also, it reflects Neste’s operational cash flow, where the change in operating profit caused by inventory valuation is mostly compensated by changing net working capital. Items affecting

comparability are linked to unpredictability events of a significant nature that do not form part of normal day-to-day business. They include among others impairment losses and reversals, gains and losses associated with the combination or termination of businesses, restructuring costs, and gains and

losses on the sales of assets. Only items having an impact of more than EUR 1 million on Neste’s result will be classified as items affecting comparability.

Key figure Calculation Reason for use

151

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Financial

statements

Consolidated statement of income 152

Consolidated statement of comprehensive income 152

Consolidated statement of nancial position 153

Consolidated cash ow statement 154

Consolidated statement of changes in equity 155

Notes to the consolidated nancial statements 156

Parent company income statement 209

Parent company balance sheet 209

Parent company cash ow statement 210

Parent company notes to the nancial statements 211

Proposal for the distribution of earnings and

signing of the Review by the Board of Directors

and the Financial Statements

230

Auditor’s Report 231

152

Annual review Governance Review by the Board of Directors Financial statements

Consolidated Statement of Income

EUR million Note 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Revenue 4, 5 19,016 20,635

Other income 6 125 54

Share of profit (loss) of associates and joint ventures 15 7 -9

Materials and services 7 -16,372 -18,388

Employee benefit costs 8 -584 -582

Depreciation, amortization and impairments 4 -934 -980

Other expenses 9 -753 -706

Operating profit 503 25

Financial income and expenses 10

Financial income 27 47

Financial expenses -205 -156

Exchange rate and fair value gains and losses -125 -29

Total financial income and expenses -304 -138

Profit before income taxes 199 -113

Income tax expense 11 -55 19

Profit for the period 144 -95

Profit attributable to

Owners of the parent 144 -95

Non-controlling interests 0 0

144 -95

Earnings per share from profit attributable to

owners of the parent (in euro per share) 12

Basic earnings per share 0.19 -0.12

Diluted earnings per share 0.19 -0.12

Consolidated Statement of Comprehensive Income

EUR million 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Profit for the period 144 -95

Other comprehensive income net of tax:

Items that will not be reclassified to profit or loss

Remeasurements on defined benefit plans 3 5

Net change of other investments at fair value -7 -15

Total -4 -10

Items that may be reclassified subsequently to profit or loss

Translation differences -187 100

Cash flow hedges

recorded in equity 165 -141

transferred to income statement -72 19

Share of other comprehensive income of investments

accounted for using the equity method 0 -2

Total -93 -23

Other comprehensive income for the period, net of tax -97 -34

Total comprehensive income for the period 47 -128

Total comprehensive income attributable to:

Owners of the parent 47 -128

Non-controlling interests 0 0

47 -128

The notes are an integral part of these consolidated financial statements.

153

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Consolidated Statement of Financial Position

EUR million Note 31 Dec 2025 31 Dec 2024

ASSETS

Non-current assets

Goodwill 13 478 514

Intangible assets 13 130 164

Property, plant and equipment 14 8,908 8,872

Investments in associates and joint ventures 15 54 53

Non-current receivables 17 91 128

Deferred tax assets 11 221 222

Derivative financial instruments 16, 19 13 33

Other financial assets 17 36 40

Total non-current assets 9,931 10,026

Current assets

Inventories 18 2,895 2,898

Trade and other receivables 17 1,416 1,539

Current tax assets 33 50

Derivative financial instruments 16, 19 107 113

Current investments 17 0 0

Cash and cash equivalents 17 1,367 955

Total current assets 5,817 5,555

Total assets 15,749 15,581

EQUITY

Capital and reserves attributable to the owners

of the parent 20

Share capital 40 40

Other equity 7,274 7,377

Total 7,314 7,417

Non-controlling interests 0 0

Total equity 7,314 7,417

LIABILITIES

Non-current liabilities

Interest-bearing liabilities 21 4,713 4,362

Deferred tax liabilities 11 370 335

Provisions 22 165 144

Pension liabilities 23 65 73

Derivative financial instruments 16, 19 5 8

Other non-current liabilities 21 32 32

Total non-current liabilities 5,350 4,953

Current liabilities

Interest-bearing liabilities 21 470 786

Current tax liabilities 45 11

Derivative financial instruments 16, 19 129 230

Trade and other payables 21 2,440 2,185

Total current liabilities 3,085 3,210

Total liabilities 8,435 8,164

Total equity and liabilities 15,749 15,581

The notes are an integral part of these consolidated financial statements.

EUR million Note 31 Dec 2025 31 Dec 2024

154

Annual review Governance Review by the Board of Directors Financial statements

Consolidated Cash Flow Statement

Restated

EUR million Note 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Cash flows from operating activities

Profit before income taxes 199 -113

Adjustments for

Share of profit (loss) of associates and joint ventures 4, 15 -7 9

Depreciation, amortization and impairments 4 934 980

Other non-cash income and expenses 146 -159

Financial expenses - net 10 304 138

Profit / loss from disposal of non-current assets -3 1

Cash flow before change in net working capital 1,574 855

Change in net working capital

Decrease (+) / increase (-) in trade and other receivables 139 326

Decrease (+) / increase (-) in inventories -61 504

Decrease (-) / increase (+) in trade and other payables 287 -376

Change in net working capital 364 454

Cash generated from operations 1,938 1,309

Interest and other finance cost paid -197 -189

Interest income received 16 38

Income taxes paid -11 -5

Finance cost and income taxes paid

-191 -155

Net cash generated from operating activities 1,747 1,154

Cash flows from investing activities

Purchases of property, plant and equipment -910 -1,525

Purchases of intangible assets 13 -12 -27

Acquisitions of subsidiaries -14 -11

Proceeds from sales of property, plant and equipment and

intangible assets 15 8

Changes in long-term receivables and other financial assets -66 59

Cash flows from investing activities -988 -1,496

Cash flow before financing activities 759 -341

Cash flows from financing activities

Payment of (-) / proceeds from (+) current interest-bearing liabilities -322 295

Proceeds from non-current interest-bearing liabilities 1,195 1,374

Repayments of non-current interest-bearing liabilities -756 -782

Repayments of lease liabilities -275 -278

Dividends paid to the owners of the parent -154 -922

Dividends paid to non-controlling interests -1 -1

Cash flows from financing activities -312 -314

Net decrease (-) / increase (+)

in cash and cash equivalents 447 -655

Cash and cash equivalents at beginning of the period 955 1,575

Exchange gains (+) / losses (-) on cash and cash equivalents

-36 36

Cash and cash equivalents at end of the period 17 1,367 955

The notes are an integral part of these consolidated financial statements.

Restated

EUR million Note 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Finance cost and income taxes paid has been adjusted in 2025 to exclude the effect of exchange rate fluctuations on cash held in line with IAS 7.

These are presented in the Exchange gains (+) / losses (-) on cash and cash equivalents. Comparative figures in 2024 have been restated accordingly.

155

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The notes are an integral part of these consolidated financial statements.

Consolidated Statement of Changes in Equity

EUR million Note

capital

Reserve

fund

Reserve of

invested

unrestricted

equity

Treasury

Fair value

and other

reserves

Actuarial

gains and

losses

Translation

differences

Retained

earnings

Owners of

the parent

Non-

controlling

interests

Total

equity

Total equity at 1 January 2025 40 7 16 -5 -82 -63 -32 7,536 7,417 0 7,417

Profit for the period 0 0 0 0 0 0 0 144 144 0 144

Other comprehensive income for the period, net of tax 0 0 0 0 87 3 -187 0 -97 0 -97

Total comprehensive income for the period 0 0 0 0 87 3 -187 144 47 0 47

Transactions with the owners in their capacity as owners

Dividend decision 0 0 0 0 0 0 0 -154 -154 0 -154

Share-based compensation 0 0 0 0 0 0 0 3 3 0 3

Transfer from retained earnings 0 0 0 0 0 0 0 0 0 0 0

Total equity at 31 December 2025 20 40 7 16 -4 5 -60 -218 7,529 7,314 0 7,314

EUR million Note

capital

Reserve

fund

Reserve of

invested

unrestricted

equity

Treasury

Fair value

and other

reserves

Actuarial

gains and

losses

Translation

differences

Retained

earnings

Owners of

the parent

Non-

controlling

interests

Total

equity

Total equity at 1 January 2024 40 7 16 -5 56 -67 -131 8,548 8,463 0 8,463

Profit for the period 0 0 0 0 0 0 0 -95 -95 0 -95

Other comprehensive income for the period, net of tax 0 0 0 0 -138 5 100 0 -34 0 -34

Total comprehensive income for the period 0 0 0 0 -138 5 100 -95 -128 0 -128

Transactions with the owners in their capacity as owners

Dividend decision 0 0 0 0 0 0 0 -922 -922 0 -922

Share-based compensation 0 0 0 0 0 0 0 3 3 0 3

Transfer from retained earnings 0 0 0 0 0 0 0 0 0 0 0

Total equity at 31 December 2024 20 40 7 16 -5 -82 -63 -32 7,536 7,417 0 7,417

156

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1 General information

2 Accounting policies

Notes to the Consolidated Financial Statements

Neste Corporation is a Finnish public limited liability company domiciled in Espoo, Finland. Neste Corporation is listed on the

NASDAQ Helsinki Oy. The address of its registered office is Keilaranta 21, P.O. Box 95, 00095 Neste, Finland.

Neste Corporation and its subsidiaries (together referred to as Neste) is the world’s leading producer of renewable diesel and

sustainable aviation fuel (SAF), with production on three continents. The company’s renewables production capacity is expected

to reach 6.8 million tons annually in 2027. Neste also produces high-quality oil products at its Porvoo refinery in Finland. The

company has a network of nearly 1,000 fuel stations with expanding service offering, such as EV charging, in Finland and in the

Baltics.

Neste’s refineries are located in Finland, the Netherlands and Singapore. Additionally, Neste has a joint operation together with

Marathon Petroleum to produce renewable diesel in the United States.

The Board of Directors has approved these consolidated financial statements for issue on 4th of February 2026.

The principal accounting policies applied in the preparation of these consolidated financial statements are set out below. These

policies have been consistently applied to all the years presented, unless otherwise stated.

Basis of preparation

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards

(IFRS) and IFRS Interpretations Committee interpretations (IFRIC) applicable to companies reporting under IFRS as adopted

by the European Union. The consolidated financial statements also include compliance with Finnish accounting and corporate

legislation. The consolidated financial statements have been prepared under the historical cost convention unless otherwise

stated in the Neste’s accounting policies.

The consolidated financial statements are presented in million euros unless otherwise stated. The figures in the tables are

subject to rounding, which may cause some rounding inaccuracies in aggregate column and row totals.

Neste discloses its accounting policies in conjunction with each Note to provide enhanced understanding of each accounting

area. The following symbols IS, OCI, BS, and CF are used to show which amounts in the Notes can be reconciled to consolidated

statement of income (IS), consolidated statement of comprehensive income (OCI), consolidated statement of financial position

(BS) or consolidated cash flow statement (CF).

New standards, significant amendments and interpretations adopted by Neste

Neste applied, for the first time, certain standards and amendments, which are effective for annual periods beginning on or after

1 January 2025. These amendments did not have a material impact on the consolidated financial statements of Neste. Neste

has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

The following new standards and amendments became effective as of 1 January 2025 (unless otherwise stated):

• Lack of Exchangeability – Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates

New standards, amendments and interpretations not yet adopted

Certain new interpretations, amendments to existing standards or new standards have been published. Neste intends to adopt

these standards when they become effective.

IFRS 18 Presentation and Disclosure in Financial Statements will be effective on financial years beginning on or after 1.1.2027.

IFRS 18 will replace IAS 1 Presentation of Financial Statements and affects the way of presentation in the financial statements,

but not the recognition or valuation principles. The new accounting standard introduces following key requirements:

• Classifying all income and expenses into five categories in the statement of profit or loss, namely the operating, investing,

financing, discontinued operations and income tax categories.

• Presentation of a newly-defined operating profit subtotal. Neste’s net profit will not change.

• Management-defined performance measures (MPMs) are disclosed in a single note in the financial statements.

• Using the operating profit subtotal as the starting point for the statement of cash flows when presenting operating cash flows

under the indirect method.

• Grouping information in the financial statements in line with enhanced guidance.

Neste is still in the process of assessing the impact of the IFRS 18, particularly with respect to the structure of the Neste’s

consolidated statement of income and consolidated statement of cash flows and the additional disclosures required for MPMs.

Neste is also assessing the impact on how information is grouped in the financial statements and presentation of items currently

labelled as ‘other’.

There is no other IFRS or IFRIC interpretations that are not yet effective and that would be expected to have a material impact

on Neste.

Accounting estimates and judgements

The preparation of consolidated financial statements in conformity with the International Accounting Standard as adopted by EU

requires Neste’s management to make estimates and assumptions about the future, including climate-related risks. Furthermore,

management judgement may be required in applying the accounting principles. These estimates and assumptions have an

impact on the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the

consolidated financial statements, and the reported amounts of income and expenses during the reporting period.

These estimates, assumptions and judgements are based on management’s prior experience and other factors and expectations

of future events that are believed to be reasonable under the circumstances. The actual amounts may differ significantly from the

estimates used in the financial statements.

Neste reviews the changes in estimates, assumptions and the factors affecting them on an ongoing basis by using multiple

internal and external sources of information. Possible changes in estimates and assumptions are recognized in the financial

period when the estimate or assumption is changed.

Further information about the most significant estimates, assumptions and judgements made in applying accounting policies

are included in the following notes:

• Note 5 Revenue – Recognition of biofuel credits and certain tax credits

• Note 11 Income Taxes – Recognition and measurement of deferred taxes

• Note 13 Goodwill and intangible assets – Assets’ useful lives and impairment testing

• Note 16, 17 and 21 relating to financial assets and liabilities – Valuation of certain financial assets and liabilities and impairment

of financial assets

• Note 18 Inventories – Valuation method and net realization value

• Note 22 Provisions – Likelihood and magnitude of an outflow of resources e.g. environmental provisions

• Note 23 Employee benefit obligations – Measurement of future defined benefit obligations and key actuarial assumptions

• Note 29 Leases - Lease term and extension and termination options

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Macroeconomic environment

Neste’s growth and financial performance may be impacted by the general macroeconomic development and geopolitical tensions

which could reduce demand and market prices. In addition, regulatory changes in the European Union or individual member

state level or in the US may adversely affect Neste’s Renewable Products segment. The uncertainty around trade sanctions such

as tariffs in global trade continues, and they could affect economic growth, create an uneven playing field and/or hurt the demand

and supply balance in markets Neste operates in. Changes in the macroeconomic environment have been taken into account by

updating the interest rate, discount rate and inflation assumptions to reflect the current situation. More information can be found

in the Note 3 Financial risk management, Note 13 Goodwill and intangible assets and Note 23 Employee benefit obligations.

Climate-related topics

Climate change and the energy transition poses both business risks and opportunities to Neste. Neste’s Sustainability statement

in Review by the Board of Directors describes Neste’s climate targets and the material impacts, risks and opportunities arising

from climate for Neste. The increasing global pressure to mitigate climate change is a primary positive driver for Neste’s business

through increased support for biofuels and renewable fuels.

Neste contributes to climate impact mitigation efforts by producing increasing volumes of renewable and circular products,

investing in the Rotterdam refinery expansion and through its actions aiming to reduce its own carbon footprint. Furthermore,

Neste’s renewable and circular products enable the company’s customers to reduce their greenhouse gas (GHG) emissions.

Changes in regulation may influence the speed at which the demand for renewable products develops and raw materials

sources are accepted. Policy and legal implications of transitioning to a low carbon economy could also introduce economic and

regulatory adjustments that affect e.g. emission trading schemes, technology requirements and valuation of assets.

Relevant market drivers presenting both risks and opportunities include changing stakeholder and customer attitudes, shifts

in Neste’s products’ supply and demand and changes in raw material or utility costs and availability of renewable raw materials.

More ambitious global climate targets can result in demand growth for Neste’s renewable and circular solutions.

The financial impacts of climate-related matters are recognized in the financial statements in accordance with the accounting

policies when they realize. The climate-related matters had no material effect on Neste’s consolidated financial statements in

2025. Climate-related matters are expected to have most significant impact on the following financial statement items:

• Note 13 Goodwill and intangible assets: Goodwill impairment testing

• Note 13 Goodwill and intangible assets and Note 22 Provisions: Emission allowances

• Note 14 Property, plant and equipment: Porvoo refinery transformation and EU Taxonomy alignment

• Note 18 Inventories: Inventory net realization value

• Note 21 Financial liabilities: Neste Green Finance Framework

• Note 24 Share-based payments: Long-term incentives

Consolidation

Subsidiaries

The consolidated financial statements cover the parent company, Neste Corporation, and all those companies over which Neste

has control. Neste controls an entity when Neste is exposed to, or has rights to, variable returns from its involvement with the

entity and has the ability to affect those returns through its power over the entity. Subsidiaries are fully consolidated from the date

on which control is transferred to Neste and are no longer consolidated when this control ceases.

Acquired or established subsidiaries are accounted for by using the acquisition method. The consideration transferred and

the identifiable assets acquired, and liabilities assumed in the acquired company are measured at their fair value on their date of

acquisition. The consideration transferred includes any assets transferred by the acquirer, liabilities incurred by the acquirer to

former owners of the acquiree. Any contingent consideration related to the business combination is measured at fair value on

their acquisition date and it is classified as either liability or equity. Contingent consideration classified as liability is re-measured

at its fair value at the end of each reporting period and the subsequent changes to fair value are recognized in profit or loss.

Contingent consideration classified as equity is not subsequently re-measured. The consideration transferred does not include

any transactions accounted for separately from the acquisition. Acquisition-related costs are expensed as incurred.

Changes in non-controlling interest without losing control, due to changes in ownership interest of a subsidiary, are accounted

for as equity transactions. Subsidiaries are treated as 100% owned subsidiaries, if Neste has an obligation to redeem the

remaining non-controlling interest within an agreed period. Thus, the share of the non-controlling interest is not recognized in

the statement of financial position and the non-controlling shareholders’ share of the financial year’s profit is included until the

derecognition of the obligation. The obligation is measured at fair value and recorded as a liability in the consolidated statement

of financial position.

All intra-group transactions, receivables, liabilities and unrealized margins, as well as distribution of profits within Neste, are

eliminated in the preparation of consolidated financial statements.

The result for the period and items recognized in other comprehensive income are allocated to the equity holders of the

parent company and non-controlling interests and presented in the statement of income and statement of other comprehensive

income. Non-controlling interests are presented separately from the equity allocated to the equity holders of the company.

Other comprehensive income is allocated to the equity holders of the parent company and to non-controlling interests even in

situations where the allocation would result in the non-controlling interests’ share being negative, unless non-controlling interests

have a legal or contractual right to not contribute further capital to cover the deficit, which exceeds the non-controlling interests’

investment in the company.

Joint arrangements

A joint arrangement is an arrangement in which two or more parties have joint control, and in which the sharing of control has

been contractually agreed between the parties. Joint control exists only when decisions about the relevant activities require the

unanimous consent of the parties sharing control. Joint arrangements are classified as either joint operations or joint ventures,

depending on the contractual rights and obligations of each investor, rather than the legal structure of the joint arrangement.

Neste has assessed the nature of its joint arrangements and determined them to be either joint ventures or joint operations.

Joint operation is a joint arrangement, whereby the parties that have joint control of the arrangement have rights to the assets,

and obligations for the liabilities relating to the arrangement. Joint venture is a joint arrangement whereby the parties that have

joint control of the arrangement have rights to the net assets of the arrangement.

Neste has 50% interest in Martinez Renewables, a joint arrangement, which was established for production of renewable fuels.

At the time of making the investment, Neste made the interpretation to treat the establishment and initial investment into the joint

arrangement as an asset acquisition. After the initial investment, Neste classified the joint arrangement as a joint operation as

Neste and Marathon Petroleum have a joint control over the arrangement’s relevant activities, and the production output will be

divided evenly between Neste and Marathon Petroleum. As a result of the joint operation classification, Neste recognizes its 50%

share of Martinez Renewables’ assets, liabilities, revenues and expenses.

Joint operations are consolidated for its share of the assets, liabilities, revenues, expenses and cash flow on a line-by-line

basis. Joint ventures are accounted for using the equity method. Under the equity method of accounting, interests in joint

ventures are initially recognized at cost and adjusted thereafter to recognize Neste’s share of the post-acquisition profits or losses

and movements in other comprehensive income. When Neste’s share of losses in a joint venture equals or exceeds its interests

(including any long-term interests that, in substance, form part of Neste’s net investment in the joint ventures), Neste does not

recognize further losses, unless it has incurred obligations or made payments on behalf of the joint ventures.

Unrealized gains on transactions between Neste and its joint arrangements are eliminated to the extent of Neste’s interest in

the joint ventures. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset

being transferred.

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Associates

Associated companies are entities over which Neste has significant influence but not control, and generally involve a shareholding

of between 20% and 50% of the voting rights. Investments in associates are accounted for by using the equity method as

described above in the ´Joint arrangements´ paragraph.

Structured entities

Neste engages in business activities with structured entities which are designed to achieve a specific business purpose. A

structured entity is one that has been set up so that voting rights or similar rights are not the dominant factor in deciding who

controls the entity. An example is when voting rights relate only to administrative tasks and the relevant activities are directed by

contractual arrangements.

Structured entities are consolidated when the substance of the relationship between Neste and the structured entities indicate

that the structured entities are controlled by Neste. The extent of Neste’s interests in unconsolidated structured entities will vary

depending on the type of structured entities. Entities are not consolidated because Neste does not control them through voting

rights, contract, funding agreements, or other means.

Management uses judgement when determining the accounting treatment of the structured entities. In addition to the voting

rights or similar rights, the management considers other factors such as the nature of the arrangement, contractual arrangements

and level of influence with the structured entities.

Foreign currency translation

(a) Presentation currency

Items included in the financial statements of each of Neste’s entities are measured using the currency of the primary economic

environment in which the entity operates (‘the functional currency’). The consolidated financial statements are presented in euros,

which is the company’s presentation currency.

(b) Transactions in foreign currencies

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of

the transactions or valuation where items are re-measured. Foreign exchange gains and losses resulting from the settlement of

such transactions, and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign

currencies, are recognized in the income statement, except when deferred in other comprehensive income as qualifying cash

flow hedges and qualifying net investment hedges.

The results and financial position of all Neste entities (none of which uses a hyperinflationary economy currency) that have a

functional currency different from the presentation currency are translated into the presentation currency as follows:

• Assets and liabilities are translated at the closing rate quoted on the relevant balance sheet date;

• Income and expenses are translated at average exchange rates (unless this average is not a reasonable approximation of the

cumulative effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the

dates of the transactions);

• All resulting exchange differences are recognized in other comprehensive income.

On consolidation, exchange differences arising from the translation of the net investment in foreign entities and currency instruments

designated as hedges of such investments, are recognized in other comprehensive income and allocated to the translation

differences in equity. When a foreign operation is partially disposed of, sold, or liquidated, translation differences accrued in equity

3 Financial risk management

Financial risk management principles

The Neste Board of Directors has approved the Corporate risk management policy. This policy together with the related principles

and instructions defines the framework for financial risk management within Neste. Mandates and limits that are applicable to

financial risks have been defined in the risk management policy.

For more information regarding Neste’s risk management principles and key risk areas, please refer to the risk management

section in the annual report.

Market risks

Market risk is the risk or uncertainty arising from possible market price movements and their impact on the future performance

of a business. For Neste, the main types of market risks are commodity price risk, foreign exchange risk and interest rate risk.

These are specified in more detail in the following sections. In accordance with the Corporate risk management policy, various

derivative transactions are executed to mitigate exposure to risk. The positions are monitored and managed on a daily basis.

1. Commodity price risks

The main commodity price risks Neste faces in its businesses are related to market prices for crude oil, renewable feedstocks,

and other feedstocks, as well as refined petroleum and renewable products. These prices are subject to significant fluctuations

resulting from a periodic over-supply and supply tightness in various regional markets, coupled with fluctuations in demand.

Neste’s operational results in any given period are principally driven by the demand for and prices of renewable and oil products

relative to the supply and cost of raw materials. These factors, combined with Neste’s own consumption of raw materials and

output of refined products, drive operational performance and cash flows in Renewable Products and Oil Products, which are

Neste’s largest segments in terms of revenue, profits and net assets.

Neste divides the commodity price risks affecting Neste’s revenue, profits and net assets into two main categories: inventory

price risk and refining margin risk.

Inventory price risk

From a price risk management perspective, Neste’s refinery inventory consists of two components. The first and largest component

remains relatively constant over time and is referred to as the ‘base inventory’. The second and daily fluctuating component is the

amount of inventories differing from the base inventory level and at Neste it is called ‘transaction position’.

The base inventory is the minimum level that can reasonably assure the continuous operation of the refineries and prevent

deliveries from being compromised. It comprises inventories at the refineries and within the supply chain. The base inventory

includes the minimum level of stocks that Neste is required to maintain under Finnish laws and regulations.

The base inventory creates a risk in Neste’s consolidated statement of income and consolidated statement of financial

position since Neste applies the weighted average method for measuring the cost of goods sold, raw materials and inventories.

Hedging operations related to price risk do not target the base inventory. Instead, Neste’s inventory risk management policies

target the ‘transaction position’ to the extent that these stocks create cash flow risks depending on the relationships between

feedstock purchases, refinery production and refined petroleum product sales over any given period. According to the Neste’s

are recognized in the income statement as part of the gain or loss on the sale/liquidation. Goodwill and fair value adjustments

arising on the acquisition of a foreign entity are treated as assets and liabilities of the entity in question and translated at the

closing rate.

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risk management policy, open exposures of the transaction position are hedged without delay when the underlying pricing-in or

pricing-out occurs if existing hedging instruments provide appropriate hedging efficiency.

In hedging the transaction position, derivative financial instruments are used. Because of the differences between the quality of

the underlying feedstocks or end products for which derivative financial instruments can be sold and purchased and the actual

quality of Neste’s feedstocks and end products, the business will remain exposed to some degree of basis risk. Basis risk is

typically higher in the Renewables business compared to the fossil fuel refining due to the nature of the feedstock pool and limited

availability of hedging instruments.

If crude oil feedstock or oil product markets are in contango where current forward prices are higher than current spot prices,

Neste has the capability to build physical contango storages from time to time. These storages are excluded from the transaction

position and are hedged separately.

Refining margin risk

Neste is exposed to a greater margin volatility in the Renewable Products segment compared to that of fossil fuel refining. In the

Renewables business, the refining margin is mainly an outcome of the renewable product sale price received, and the cost of

feedstocks used. The underlying price quotations used in renewable diesel pricing are primarily related to oil products. Premiums

over pricing indices fluctuate regionally depending on the nature of bio mandates and incentives, local supply and demand, and

fossil fuel prices. In North America, Soy Methyl Ester (SME) is an important price driver through its link to Renewable Identification

Number (RIN) prices. The cost of feedstocks depends on feedstock selection and is typically derived from different vegetable oils

and fats. Feedstock prices are mainly driven by supply and demand balances, crop forecasts and regional weather. In Renewable

Products segment, operational activities and margin hedges are the primary means of mitigating margin volatility.

Refining margin is an important determinant of Oil Products segment’s earnings. Its fluctuations constitute a significant risk.

The refining margin risk is a result of the revenue from sold petroleum products and the cost of raw materials together with other

costs. Neste’s exposure to low refining margins in traditional oil refining is partly offset by its high-conversion refinery capacity.

With the aim of securing its margin and cash flow, Neste has defined margin hedging principles for its main refining businesses.

In the Renewable Products segment, the targeted hedge ratios are typically higher and can be expected to fluctuate over time.

In the fossil fuel business, the hedge ratios are typically moderate.

Both Oil Products and Renewable Products segments’ margins are also exposed to utility price risk that mainly arises from

consumption of electricity and natural gas. Neste has also defined principles for hedging these exposures. In hedging the refining

margin and utility price risks, commodity derivatives are used. Just as in transaction position hedging, also when hedging the

refining margin and utility risks, the business will remain exposed to a certain degree of basis risk that comes from the differences

between actual qualities of feedstocks and products and qualities of available hedging arrangements.

The exposure to open positions of commodity derivative contracts is summarized in Note 19 Derivative financial instruments.

Neste does not apply IFRS hedge accounting for commodity hedging positions.

2. Foreign exchange risk

As the underlying currency of Neste’s main markets is the U.S. Dollar, and Neste operates and reports in Euro, this exposes

Neste’s business to currency risk. The objective of foreign exchange risk management in Neste is to limit the uncertainty created

by changes in foreign exchange rates on the future value of cash flows and earnings, and in the balance sheet. Generally, foreign

exchange risk can be managed by hedging currency risks in contracted and forecast cash flows and balance sheet exposures

(referred to as transaction exposure) as well as the equity of non-euro-based subsidiaries (referred to as translation exposure).

Transaction exposure

In general, all reporting segments hedge their transaction exposure related to highly probable future cash flows. Net foreign

currency cash flows are forecasted over a 12-month period on a rolling basis and hedged on average 70% for the first six

months and 30% of the next six months for the Renewable business and on average 80% for the first six months and 40% for

the following six months for the fossil fuel business. Deviations from the benchmark hedging ratio are allowed in line with the limits

set by the Corporate risk management policy. The most important hedged currency is the U.S. dollar. Other currencies to which

Neste is exposed to are the Swedish crown (SEK), the Chinese renminbi (CNY), the Singapore dollar (SGD) and the Australian

dollar (AUD). Neste’s net exposure is managed through the use of forward contracts and options. All transactions are made for

hedging purposes, and the majority also qualifies for hedge accounting under IFRS. The reporting segments are responsible for

forecasting net foreign currency cash flows, while Group Treasury & Risk Management is responsible for implementing hedging

transactions. In addition to the above-mentioned foreign currency hedging programs, Neste has continued to hedge material

currency exposures related to investments.

Neste has several currency-denominated assets and liabilities in its balance sheet, such as foreign currency loans, deposits, net

working capital and cash in other currencies than home currency. The principle is to hedge this balance sheet exposure fully using

forward contracts. Similarly to commodity price risk management, the foreign exchange transaction hedging targets inventories

in excess of the base inventory. Open exposures are allowed based on risk limits set by the Corporate risk management policy.

The largest and most volatile item in terms of balance sheet exposure is net working capital. Since many of the Neste’s business

transactions, sales of products and services and purchases of crude oil and other feedstock are linked to the U.S. dollar, the

daily exposure of net working capital is hedged as part of the balance sheet hedge in order to neutralize the effect of volatility in

EUR/USD exchange rate. During 2025, the daily balance sheet exposure fluctuated between approximately USD 92 million and

1,334 million (2024: USD 830 million and 2,083 million).

Group Treasury & Risk Management is responsible for consolidating various balance sheet items and carrying out hedging

transactions. The exposure to open positions of foreign exchange derivative contracts is summarized in Note 19 Derivative

financial instruments.

Translation exposure

Group Treasury & Risk Management is responsible for managing Neste’s translation exposure. This consists of net investments

in foreign subsidiaries associates and joint arrangements. Although the main principle is to leave translation exposure unhedged,

Neste may seek to reduce the volatility in equity in the consolidated balance sheet through hedging transactions. Any hedging

decisions are made by Group Treasury & Risk Management. At the end of 2025, the most important translation exposures were:

U.S. dollar EUR 2,784 million and Swedish Crown EUR 105 million (2024: U.S dollar EUR 2,963 million, Swedish Crown EUR

92 million). Neste has not hedged the exposures in 2025 or 2024.

USD transaction exposure under hedge accountingUSD million 31 Dec 2025 31 Dec 2024Net exposure, 12 months 3,507 3,686Hedging, 12 months (forward) 1,922 1,874Average rate of hedging 1.163 1.098

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3. Interest rate risk

Neste is exposed to interest rate risk mainly through its interest-bearing net debt. The objective of the interest rate risk management

is to limit the volatility of interest expenses in the income statement. The benchmark duration for the debt portfolio is 12 months,

and the duration can vary between six and 96 months. As of 31 December 2025, the duration was 29 months (2024: 27 months).

In addition to duration, Neste has defined a limitation for interest flow risk.

Interest rate derivatives are used to adjust the duration of the debt portfolio. Neste’s interest rate risk management is handled

by Group Treasury & Risk Management. The nominal and fair values of the outstanding interest rate derivative contracts as of 31

December 2025 (2024) are summarized in Note 19.

The re-pricing period of interest-bearing liabilities occurs Within 1 year– 20251 year5 years > 5 years TotalFinancial instruments with floating interest rateLoans from financial institutions 1,411 0 0 1,411Other loans 1 0 0 1Effect of interest rate swaps 250 0 0 250Financial instruments with fixed interest rateBonds 0 1,691 1,105 2,796Commercial paper liabilities 0 0 0 0Lease liabilities 205 373 367 945Other loans 0 30 0 30Effect of interest rate swaps 0 300 -550 -2501,867 2,394 922 5,183

The re-pricing period of interest-bearing liabilities occurs Within 1 year– 20241 year5 years > 5 years TotalFinancial instruments with floating interest rateLoans from financial institutions 1,580 0 0 1,580Other loans 1 0 0 1Effect of interest rate swaps 250 0 0 250Financial instruments with fixed interest rateBonds 0 994 1,121 2,115Commercial paper liabilities 307 0 0 307Lease liabilities 224 420 470 1,114Other loans 0 30 0 30Effect of interest rate swaps 0 100 -350 -2502,363 1,544 1,240 5,147

4. Key sensitivities to market risks

Sensitivity of operating profit to market risks arising from the Group’s operations

Due to the nature of its operations, Neste’s financial performance is sensitive to the market risks described above. The following

table details the approximate impact that movements in the Neste’s key price and currency exposures would have on its operating

profit for 2026 (2025), assuming normal market and operating conditions and with following assumptions on sensitivities:

• Hedging transactions are excluded.

• The sensitivity of each factor in the table is individual, assuming other factors to remain constant, i.e., the ceteris paribus

principle.

• The sensitivity in the EUR/USD exchange rate is based on exposure forecast.

• The sensitivity in the Oil Product total refining margin is based on forecast volumes, representing an impact from change of

1 USD/barrel.

• The sensitivity in the Oil Products crude oil price is based on impacts through inventory valuation gains / losses and changes

in utility and freight costs.

• The sensitivity in the Renewable Products refining margin is based on nameplate capacity at end of 2025, representing an

impact from a change of 50 USD/ton.

Sensitivity to market risks arising from financial instruments as required by IFRS 7 Financial Instruments:

Disclosures

The following analysis, required by IFRS 7, is intended to illustrate the sensitivity of Neste’s profit for the period and equity to

changes in oil prices, the EUR/USD exchange rate, and interest rates, resulting from financial instruments, such as financial

assets and liabilities and derivative financial instruments, as defined by IFRS, included in the balance sheet as of 31 December

2025 (2024). Financial instruments affected by the above market risks include net working capital items, such as trade and other

receivables and trade and other payables, interest-bearing liabilities, deposits, liquid funds, and derivative financial instruments.

When cash flow hedge accounting is applied, the change in the fair value of derivative financial instruments is assumed to be

recorded fully in equity.

The following assumptions were made when calculating the sensitivity to the change in oil prices:

• The price variation for oil derivative contracts of crude oil, refined oil products and vegetable oil is assumed to be +/- 20%.

• The sensitivity related to oil derivative contracts held for hedging refinery oil inventory position is included; the underlying

physical oil inventory position is excluded from the calculation, since inventory is not a financial instrument.

• The sensitivity related to oil derivative contracts held for hedging expected future refining margin is included; the underlying

expected refining margin position is excluded from the calculation.

Approximate impact on operating profit, excluding hedges 2026 2025+/- 10% in the EUR/USD exchange rate EUR million -271/+332 -323/+394+/- USD 1.00/barrel in Oil Products total refining margin USD million +/-85 +/-85 1)+/- USD 10/barrel in crude oil price for Oil ProductsUSD million +/-115 +/-1152)+/- USD 50/t in Renewable Products refining margin USD million +/-280 +/-2801) Inventory valuation gains/losses excluded from comparable EBITDA2) Based on nameplate capacity

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2025 2024Sensitivity to market risk arising from Income Income financial instruments as required by IFRS 7statement Equitystatement Equity1)+/- 20% change in oil price EUR million +/-91 +/-0 +/-25 +/-0+/- 10% change in EUR/USD exchange rate EUR million +103/-125 +118/-145 +114/-139 +143/-143+/- 1% parallel shift in interest rates EUR million -/+11 +/-1 -/+14 +/-11)Includes crude oil, refined oil products and vegetable oil derivatives

The following assumptions were made when calculating the sensitivity to changes in the EUR/USD exchange rate:

• The variation in the EUR/USD-rate is assumed to be +/- 10%.

• The position includes USD-denominated financial assets and liabilities, such as interest-bearing liabilities, deposits, trade and

other receivables, trade and other payables, and liquid funds, as well as derivative financial instruments.

• The position excludes USD-denominated future cash flows.

The following assumptions were applied when calculating the sensitivity to changes in interest rates:

• The variation of interest rate is assumed to be a 1 percentage point parallel shift in the interest rate curve.

• The interest rate risk position includes interest-bearing liabilities (excluding leases), interest-bearing receivables, and interest

rate swaps, however liquid funds are excluded.

• The income statement is affected by changes in the interest rates of floating-rate financial instruments except derivative

financial instruments that are designated as and qualifying for cash flow hedges, which are recorded directly in equity.

The sensitivity analysis presented in the following table may not be representative, since Neste’s exposure to market risks also

arises from balance sheet items other than financial instruments, such as inventories. As the sensitivity analysis does not take

into account future cash flows, which Neste hedges in significant volumes, it only reflects the change in fair value of hedging

instruments. In addition, the size of the exposure sensitive to changes in the EUR/USD exchange rate varies significantly, so the

position on the balance sheet date may not be representative for the financial period on average. Equity in the following table

includes items which are recorded directly in equity. Items affecting the consolidated statement of income are not included in

equity.

Liquidity and refinancing risks

Liquidity risk is defined as financial distress or extraordinarily high financing costs due to a shortage of liquid funds in a situation

where business conditions unexpectedly deteriorate and require financing. The objective of liquidity risk management is to

maintain sufficient liquidity at all times to prevent financial distress.

Neste’s principal source of liquidity is expected to be cash generated from operations. In addition, Neste seeks to reduce

liquidity and refinancing risks by maintaining a diversified maturity profile in its loan portfolio. Certain other limits have also been

set to minimize liquidity and refinancing risks. The amount of short-term financing is limited to the greater of the following: EUR

500 million or 30% of total interest-bearing liabilities. Unused committed credit facilities together with cash must always be at a

minimum EUR 700 million and sufficient to cover all forecasted negative free cash flows and interest-bearing liabilities maturing

within the next 12-month period.

The average loan maturity as of 31 December 2025 was 3.9 years (2024: 4.1 years). The most important financing programs in

place are committed revolving multicurrency credit agreement of EUR 1,300 million, other committed revolving credit agreements

totaling EUR 750 million, overdraft facilities totaling EUR 150 million and uncommitted domestic commercial paper program

of EUR 400 million. The EUR 1,300 million revolving multicurrency credit agreement signed in 2025 for general corporate

purposes will expire in April, 2030. Other committed revolving credit agreements, totaling EUR 750 million, will expire during years

2027–2028.

Liquid funds and committed unutilized credit facilities 31 Dec 2025 31 Dec 2024Liquid funds 1,367 955Overdraft and revolving credit facilities, expiring within one year 150 242Revolving credit facility, expiring beyond one year 2,050 1,683Total 3,567 2,880In addition: unused commercial paper program (uncommitted) 400 89

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Maturity profile of financial liabilities based on contractual payments 31 Dec 2025 2026 2027 2028 2029 2030 2031- TotalTrade payables and other liabilities 2,287 1 17 1 1 12 2,319Interest-bearing liabilities 1)Bonds0 0 500 500 700 1,100 2,800Loans from financial institutions 265 248 500 200 200 0 1,413 2)Lease liabilities205 133 108 83 49 367 945Commercial papers 0 0 0 0 0 0 0Other loans 1 0 0 30 0 0 31Interest of lease liabilities 48 40 34 29 26 197 374Interest of other liabilities 120 116 100 84 81 135 636Total 2,926 538 1,259 927 1,056 1,812 8,518Commodity derivatives 106 3 108Interest rate swaps 1 1 0 0 0 0 2Gross settled forward foreign exchange contracts- inflow (-) -2,038 -2,038- outflow 2,062 2,062Derivatives total 130 3 0 0 0 0 1341) 2) Refer to Note 21 Financial liabilities for further information Refer to Note 29 Leases for further information

Maturity profile of financial liabilities based on contractual payments 31 Dec 2024 2025 2026 2027 2028 2029 2030– TotalTrade payables and other liabilities 2,092 1 1 15 1 13 2,124Interest-bearing liabilities 1)Bonds0 0 0 500 500 1,100 2,100Loans from financial institutions 253 156 773 0 200 200 1,582 2)Lease liabilities224 160 107 85 68 470 1,114Commercial papers 307 0 0 0 0 0 307Other loans 1 0 0 0 30 0 31Interest of lease liabilities 54 46 40 35 31 323 528Interest of other liabilities 120 116 100 84 81 135 636Total 3,052 479 1,021 719 910 2,241 8,423Commodity derivatives 83 2 0 0 0 0 84Interest rate swaps 0 2 1 1 1 0 6Gross settled forward foreign exchange contracts- inflow (-) -3,636 0 0 0 0 0 -3,636- outflow 3,783 0 0 0 0 0 3,783Derivatives total 230 4 1 1 1 0 2371) 2) Refer to Note 21 Financial liabilities for further information Refer to Note 29 Leases for further information

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As described in Note 21, Neste also participates in supplier finance arrangements with the principal purpose of facilitating

efficient payment processing of supplier invoices. Under the arrangements the supplier may elect to receive early payment from

the financial institution by selling its receivables from Neste. On average, the payment terms for invoices relating to participating

suppliers are extended by 60 days compared to the normal terms agreed with other suppliers individually.

Neste maintains sufficient cash and unused committed credit facilities to reduce the refinancing risk in relation to the supplier

finance arrangement.

Credit and counterparty risk

Counterparty risk arises from all business relationships, where Neste is exposed to the counterparty’s failure to perform according to

Neste’s requirements and contractual commitments. The risk arises especially from sales, supply, hedging and trading transactions

as well as from cash investments. Risk magnitude depends on the size of the business exposure and creditworthiness of the

counterparty. The objective of counterparty and credit risk management is to prevent and minimize the losses incurred as a result

of a counterparty not fulfilling its obligations. Limits, mandates and management principles for counterparty and credit risk are

covered in the Corporate risk management policy and separate principle and instruction-level documents. Credit risk limits are

set at the Group level, designated by different levels of authorization and delegated to Neste’s reporting segments, which are

responsible for counterparty risk management within these limits.

When determining the credit lines for sales contracts, counterparties are screened and evaluated vis-à-vis their creditworthiness

to decide whether an open credit line is acceptable or collateral, for example, a letter of credit, bank guarantee or parent company

guarantee has to be posted. In the event that collateral is required credit risk is evaluated based on a financial evaluation of

the party posting the collateral. If appropriate in terms of the potential credit risk associated with a specific customer, advance

payment is required before delivery of products or services. In addition, Neste may reduce its counterparty risks by selling trade

receivables to a third party, e.g. a bank.

Neste risk management policy divides credit lines for counterparties into following categories according to contract type: physical

sales transactions, derivative transactions and financial transactions. In each of the categories counterparty credit limits and decision

making mandates are determined separately for counterparties rated by general rating agencies and unrated counterparties. For

OTC (over-the-counter) derivative financial instrument contracts, Neste has negotiated framework agreements in the form of the

ISDA (International Swaps and Derivatives Association) master agreement with the main counterparties concerning commodity,

emission allowance, currency and interest rate derivative financial instruments. These contracts permit netting and allow for

termination of the contract on the occurrence of certain events of defaults and termination events. Some of these agreements

include Credit Support Annexes (CSA) with the aim of reducing credit and counterparty risk by requiring margin call deposits in

the form of cash or letter of credit for balances exceeding the mutually agreed limit. At the end of December 2025, Neste had

received EUR 1 million in cash collateral (2024: EUR 1 million) and EUR 0 million letter of credit (2024: EUR 0 million) due to CSA

agreements. Neste had issued EUR 5 million in cash collateral (2024: EUR 21 million) and EUR 0 million letter of credit (2024:

EUR 0 million) due to CSA agreements.

31 Dec 2025 31 Dec 2024Financial assets Financial liabilities Financial assets Financial liabilitiesFinancial impact of netting for instruments subject to an enforceable master netting agreement (or similar)Derivatives Trade receivables Derivatives Trade payables Derivatives Trade receivables Derivatives Trade payablesGross amount of recognized financial instruments 119 0 134 13 145 18 238 3Related liabilities or assets subject to master netting agreements 89 0 89 0 128 0 128 0CSA agreements 1 0 5 0 1 0 21 0Net exposure 29 0 40 13 16 18 89 3

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Neste subsidiaries are required to deposit their excess cash balances with the Group Treasury on an ongoing basis in order to

provide sufficient visibility and management of Neste’s cash balance and risks associated with it.

As for counterparty risk management, the minimum credit rating requirement for companies providing insurance for Neste

Group is defined in the insurance principles.

Neste has a large number of different international counterparties. As to the range of counterparties, the most significant types

are primarily large international oil companies and financial institutions. Neste’s exposure to unexpected credit losses within one

reporting segment may increase with the concentration of credit risk through a number of counterparties operating in the same

industry sector or geographical area, which may be adversely affected by changes in economic, political or other conditions.

These risks are reduced by taking concentration risks into consideration in credit decisions.

Counterparties to contracts comprising derivative financial instruments exposure on 31 December 2025: over 85% of the

counterparties or their parent companies related to commodity derivative contracts have investment-grade rating from an

established international credit rating agency. Respectively, Group Treasury & Risk Management had an exposure for currency

and interest rate derivative contracts as of 31 December 2025 with banks, of which all have investment-grade rating at a

minimum. Commodity derivative transactions are also done through exchanges.

Neste assesses expected credit losses and calculates impairment loss from trade receivables based on historical credit

loss experience combined with current conditions and forward-looking macroeconomic analysis. Analysis is conducted utilizing

industry outlook and economic forecasts from various data sources. Neste has chosen a cautious expected credit loss calculation

as indicated by the low level of actual historical credit losses compared to the expected credit loss provision. The receivables

have been divided in aging buckets and segments depending on business area and geographic region, in addition to which they

are assessed case by case. Impairment loss from trade receivables for the period is EUR 38 million (2024: EUR 14 million).

Trade receivables and contract assets are written off when there is no reasonable expectation of recovery. Indications that there is

no reasonable expectation of recovery may be, e.g. a debtor failing to engage in a repayment plan with the company, or a debtor

failing to make contractual payments more than 180 days past due. However, the write-offs are interpreted case by case and thus

if there is a high probability that the receivable will still be paid, no write-off is made. For all bankruptcies and debt restructurings,

Neste makes an immediate write-off. Where trade receivables or contract assets have been written off, the company continues

to engage in enforcement activity to attempt to recover the receivable due. Where recoveries are made, these are recognized in

profit or loss as a reversal of the write-off.

Analysis of trade receivables by age 31 Dec 2025 31 Dec 2024not past due 968 1,1001–30 days overdue 74 11131–60 days overdue 5 761–90 days overdue 7 1191–180 days overdue 27 4 1)more than 180 days overdue46 85Trade receivables – Net 1,128 1,3191) Blender’s Tax Credit receivables from the US tax authorities on 31 December 2025 were EUR 49 million (2024: EUR 200 million), of which EUR 41 million (2024: EUR 76 million) was more than 180 days overdue.

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Capital risk management

Neste’s objective when managing capital is to secure a capital structure that ensures access to capital markets at all times

despite the business cycle of the industry in which Neste operates. Neste seeks to maintain a capital structure consistent with

an investment-grade rating. The capital structure of Neste is reviewed by the Board of Directors on a regular basis.

Neste monitors its capital on the basis of leverage ratio, the ratio of interest-bearing net debt to interest-bearing net debt plus

total equity. Interest-bearing net debt is calculated as interest-bearing liabilities less liquid funds. Over the cycle, Neste’s leverage

ratio is likely to fluctuate, and it is Neste’s objective to maintain the leverage ratio below 40%.

The leverage ratio 31 Dec 2025 31 Dec 2024Total interest-bearing liabilities 5,183 5,147Liquid funds 1,367 955Interest-bearing net debt 3,817 4,192Total equity 7,314 7,417Interest-bearing net debt and total equity 11,130 11,609Leverage ratio 34.3% 36.1%

Reconciliation of interest-bearing net debt Cash and cash equivalents Liquid investments Lease liabilities Borrowings TotalNet debt as of 1 January 2025 -955 0 1,114 4,034 4,192Cash flows -447 0 -275 80 -642New lease liabilities 0 0 254 0 254Acquisitions and disposals 0 0 0 0 0Foreign exchange differences 35 0 -75 -20 -60Other non-cash movements 0 0 -72 144 72Net debt as of 31 December 2025 -1,367 0 945 4,238 3,817

Reconciliation of interest-bearing net debt Cash and cash equivalents Liquid investments Lease liabilities Borrowings TotalNet debt as of 1 January 2024 -1,575 -5 967 3,101 2,488Cash flows 655 5 -278 943 1,325New lease liabilities 0 0 420 0 420Acquisitions and disposals 0 0 0 0 0Foreign exchange differences -36 0 11 -10 -35Other non-cash movements 0 0 -6 0 -6Net debt as of 31 December 2024 -955 0 1,114 4,034 4,192

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4 Segment information

Accounting policy

Neste’s operations are divided into three operating segments: Renewable Products, Oil Products, Marketing & Services.

The performance of the reporting segments is reviewed regularly by the chief operating decision-maker, Neste’s President

& CEO, to assess performance and to decide on allocation of resources. Operating segments are reported in a manner

consistent with the internal reporting provided to the chief operating decision-maker.

The segments’ operating results are measured based on comparable EBITDA. The accounting policies applicable to

the segment reporting are the same as those used in the Neste’s consolidated financial statements. All inter-segment

transactions are on an arm’s length basis and are eliminated in consolidation. Segment operating profit includes realized

gains and losses from foreign currency and commodity derivative contracts hedging cash flows of commercial sales and

purchases that have been recognized in the consolidated statement of income.

Segments’ operating assets and liabilities consist of assets and liabilities utilized in the segments’ business operations.

Assets consist primarily of property, plant and equipment, goodwill, intangible assets, investments in associates and joint

ventures, inventories and operative receivables. They exclude current and deferred taxes, interest-bearing receivables,

and derivative financial instruments designated as hedges of forecasted future cash flows. Segment operative liabilities

consist of operative liabilities, pension liabilities, current and non-current lease liabilities and provisions; and exclude items

such as current and deferred taxes, interest-bearing liabilities, and derivative financial instruments designated as hedges of

forecasted future cash flows.

Neste's business structure

Neste’s organization consists of three business areas and three functions. The business areas act as profit centers and are

responsible for their customers, products, and business development. Business areas are Renewable Products, Oil Products,

and Marketing & Services. The functions are COO Office, CFO Office and People & Culture. The functions are responsible

for supporting business areas and other organizations, and ensuring their cost efficiency, transparency, and harmonization of

processes across the company, and for overseeing the use and sufficiency of Neste’s resources.

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Renewable

Products

Oil

Products

Marketing &

Services

Operating segments

Operating segments are engaged in the following key business

activities:

Renewable Products segment produces, markets and

sells renewable diesel, sustainable aviation fuel (SAF) and

related solutions to business customers, as well as domestic

and international wholesale markets. Renewable products are

produced at Neste’s refineries in Finland, the Netherlands and

Singapore, as well as through a joint operation with Marathon

Petroleum in Martinez, California, the US, from renewable raw

materials with an annual nameplate capacity of approximately

5.5 million tons. When completed, Neste’s Rotterdam refinery

capacity expansion project will further increase the company’s

total annual production capacity of renewable products to

6.8 million tons in 2027. Renewable Products segment is

assessed to contain taxonomy-eligible and -aligned economic

activities based on the Climate Delegated Act of the Taxonomy

Regulation.

Neste’s calculations related to its carbon handprint and the

EU Taxonomy eligibility and alignment figures are mainly based

on Renewable Products segment figures. More information

about sustainability at Neste including climate-related matters

can be found in the Annual review and the Sustainability

statement (CSRD) in the Review by the Board of Directors.

Oil Products segment produces, markets and sells an

extensive range of high-quality oil products and related services

to a global customer base. The product range includes diesel,

gasoline, aviation and marine fuels, light and heavy fuel oils,

gasoline components, special fuels, such as small-engine

gasoline, solvents, and liquid gases. Oil products are refined

at Neste’s refinery in Porvoo, Finland.

Marketing & Services segment markets and sells lower-

emission fuels and high-quality oil products and associated

digital solutions to its customers in Finland, Estonia, Latvia, and

Lithuania. The most important customers include consumers,

transport service providers, customers in aviation, shipping,

industrial and agricultural sectors, municipalities and heating

fuel customers. Transport fuels, high power EV charging

services and other services are marketed through Neste’s

own station network in Finland and the Baltics.

‘Others’ consist of common corporate and functional costs.

The operating segments presented above do not include

any segments which are formed by aggregating two or more

smaller segments.

The ‘other expenses’ included in the consolidated statement

of income for each business segment includes the following

major items:

Renewable Products: repairs and maintenance, planning

and consulting services, rents and other property costs, travel,

HSE and marketing costs, and insurance premiums.

Oil Products: repairs and maintenance, planning and

consulting services, rents and other property costs, travel and

HSE costs and insurance premiums.

Marketing & Services: repairs and maintenance, rents and

other property costs and marketing costs.

Neste’s customer structure in 2025 and 2024 did not result

in any major concentration in any given geographical area or

operating segment.

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Information about Neste’s operating segments as of and for the years ended December 31, 2025 and 2024 is presented in the following tables:

Renewable Oil Marketing & 1)2025Products ProductsServices Others Eliminations Group NoteIS External revenue 7,817 6,920 4,272 7 0 19,016Internal revenue 278 2,403 37 160 -2,878 0IS Total revenue 8,095 9,322 4,310 166 -2,878 19,016 5IS Other income 48 60 5 37 -25 125 6IS, CF Share of profit (loss) of associates and joint ventures -4 11 0 0 0 7 15IS Materials and services -6,644 -8,353 -4,089 -6 2,720 -16,372 7IS Employee benefit costs -247 -133 -34 -170 0 -584 8IS, CF Depreciation, amortization and impairments -567 -314 -27 -32 5 -934IS Other expenses -530 -268 -82 -58 184 -753 9 1) IS Operating profit151 325 82 -62 6 503IS Financial income and expense -304 10IS Profit before income taxes 199IS Income tax expense -55 11IS Profit for the period 144Comparable EBITDA 764 808 111 -1 1 1,683inventory valuation gains/losses 2 -161 0 0 0 -159changes in the fair value of open commodity and currency derivatives -44 3 0 0 0 -42capital gains and losses 0 3 0 2 0 4other adjustments -4 -13 -2 -30 0 -49EBITDA 718 639 109 -30 1 1,438IS, CF Depreciation, amortization and impairments -567 -314 -27 -32 5 -934IS Operating profit 151 325 82 -62 6 5031) The Clean Fuel Production Credit (CFPC) contribution was EUR 126 million and the US Blender’s Tax Credit (BTC) contribution was EUR 27 million to the Renewable Products’ operating profit in 2025. More information about biofuel credits and tax credits in general in addition with their accounting policies,sold volumes and average prices can be found in Note 5 Revenue.

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Renewable Oil Marketing & 2025ProductsProductsServices Others Eliminations Group NoteCapital expenditure and investments in shares 928 270 34 22 0 1,253Segment operating assets 10,038 3,217 558 259 -250 13,821BS Investments in associates and joint ventures 22 32 0 0 0 54 15BS Deferred tax assets 221 11Unallocated assets 1,653BS Total assets 10,060 3,249 558 259 -250 15,749Segment operating liabilities 1,979 1,347 403 196 -250 3,674BS Deferred tax liabilities 370 11Unallocated liabilities 4,391BS Total liabilities 1,979 1,347 403 196 -250 8,435Segment net assets 8,863 1,999 215 70 0 11,146Return on net assets, % 1.7 15.0 39.6Comparable return on net assets, % 2.2 22.7 40.5

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Renewable Oil Marketing & 1)2024Products ProductsServices Others Eliminations Group NoteIS External revenue 7,075 8,904 4,645 11 0 20,635Internal revenue 246 2,925 42 114 -3,326 0IS Total revenue 7,321 11,829 4,687 125 -3,326 20,635 5IS Other income 22 22 5 33 -27 54 6IS, CF Share of profit (loss) of associates and joint ventures -6 -2 0 0 0 -9 15IS Materials and services -6,289 -10,839 -4,475 -12 3,228 -18,388 7IS Employee benefit costs -257 -135 -33 -156 0 -582 8IS, CF Depreciation, amortization and impairments -589 -322 -28 -41 0 -980IS Other expenses -549 -207 -83 1 132 -706 9 1) IS Operating profit-347 345 72 -51 6 25IS Financial income and expense -138 10IS Profit before income taxes -113IS Income tax expense 19 11IS Profit for the period -95Comparable EBITDA 514 633 101 -1 6 1,252inventory valuation gains/losses -352 -7 0 0 0 -359changes in the fair value of open commodity and currency derivatives 86 -2 0 0 0 84capital gains and losses 0 -2 0 0 0 -2other adjustments -6 45 -1 -9 0 29EBITDA 242 667 100 -10 6 1,005IS, CF Depreciation, amortization and impairments -589 -322 -28 -41 0 -980IS Operating profit -347 345 72 -51 6 251) The US Blender’s Tax Credit (BTC) contribution was EUR 590 million to the Renewable Products’ operating profit in 2024. More information about biofuel credits and tax credits in general in addition with their accounting policies, sold volumes and average prices can be found in Note 5 Revenue.

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Other Other Other 2025 FinlandNordic countries Baltic rimEuropean countries USAcountries GroupIS Revenue by destination 4,855 2,312 2,044 6,054 3,285 465 19,016Non-current assets 2,679 2 74 3,469 1,427 1,920 9,571Capital expenditure 380 0 5 761 45 61 1,253

Other Other Other 2024 FinlandNordic countries Baltic rimEuropean countries USAcountries GroupIS Revenue by destination 5,641 1,911 1,763 4,236 6,242 841 20,635Non-current assets 2,763 3 79 2,835 1,865 2,059 9,603Capital expenditure 678 3 8 966 165 187 2,006

Geographical information

Neste operates production facilities in Finland, Singapore, the Netherlands and in the USA and its retail sales network in Finland, Estonia, Latvia and Lithuania. The following table provides information on Neste’s revenue, which is allocated based on the

country of destination, irrespective of the origin of the goods or services, and non-current assets and capital expenditure, which are allocated based on where the assets are located.

Non-current assets consist of goodwill, intangible assets, property, plant and equipment and investments in associates and joint ventures. ‘Other Nordic countries’ includes Sweden, Norway, Denmark and Iceland. ‘Baltic rim’ includes Estonia, Latvia,

Lithuania and Poland. Neste’s activities in this geographical area consists mainly of retail activities in the aforementioned countries.

Renewable Oil Marketing & 2024ProductsProductsServices Others Eliminations Group NoteCapital expenditure and investments in shares 1,446 453 39 69 0 2,006Segment operating assets 9,911 3,560 559 357 -333 14,053BS Investments in associates and joint ventures 32 21 0 0 0 53 15BS Deferred tax assets 222 11Unallocated assets 1,252BS Total assets 9,943 3,581 559 357 -333 15,581Segment operating liabilities 1,891 1,310 421 280 -328 3,574BS Deferred tax liabilities 335 11Unallocated liabilities 4,255BS Total liabilities 1,891 1,310 421 280 -328 8,164Segment net assets 9,064 2,300 198 88 -5 11,646Return on net assets, % -4.0 14.0 30.9Comparable return on net assets, % -0.9 13.2 31.4

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5 Revenue

Accounting policy

Revenue from contracts with customers is recognized when or as Neste satisfies a performance obligation by transferring

control of a promised good or service to a customer. A customer obtains control when it has the ability to direct the use

of and obtain the benefits from the good or service, either over time or at a point in time. Neste principally satisfies its

performance obligations at a point in time. The amounts of revenue recognized relating to performance obligations satisfied

over time are not significant.

When, or as, a performance obligation is satisfied, Neste recognizes as revenue the amount of the transaction price that

is allocated to that performance obligation. The transaction price is the amount of consideration to which Neste expects

to be entitled in exchange for the promised goods or services. The transaction price is allocated to the performance

obligations in the contract based on the standalone selling prices of the goods or services promised.

Timing for revenue recognized at a point in time is typically when control has been transferred based on the delivery

terms used. A receivable is recognized when the goods are delivered as this is the point in time that the consideration is

unconditional because only the passage of time is required before the payment is due.

Revenue recognized over time is measured in accordance with the input method (progress measured based on costs

incurred) when the outcome of the contract can be estimated reliably. Neste uses an input method in measuring progress

of the services because there is a direct relationship between Neste’s effort and the transfer of service to the customer.

When the outcome cannot be reliably determined, the costs arising are expensed in the same financial period in which

they occur, but the revenue is recorded only to the extent that the company will receive an amount corresponding to actual

costs. Any losses are expensed immediately.

Neste provides its customers with standard payment terms. If extended payment terms exceeding one year are offered

to customers, the invoiced amount is discounted to its present value and interest income is recognized over the credit term.

Revenue is presented net of indirect sales taxes such as value added tax and statutory stockpiling fees, penalties and

discounts.

Biofuel credits

Neste earns biofuel credits in the US in the form of California Low Carbon Fuel Standard credits (LCFS) and Renewable

Identification Numbers (RINs) which are recognized in revenue. Neste considers biofuel credits as assets created under

various government programs to incentivize renewable fuel supply and recognizes them as government grants upon

generation and as revenue when sold to third parties.

The LCFS (Low Carbon Fuel Standard) is designed to reduce greenhouse gas (GHG) emissions from the transportation

sector. Established by the California Air Resources Board (CARB), the target is to lower the carbon intensity (CI) of

transportation fuels used within the state. Credits are earned by producing fuels with CI levels which are below the set

target. A Renewable Identification Number (or RIN) is a serial number assigned to a batch of biofuel for the purpose of

tracking its production, use, and trading. RINs are earned when either producing or importing renewable fuels that meet

the United States Environmental Protection Agency’s (EPA) eligibility criteria. Both LCFS credits and RINs are actively

traded in the market.

Blender’s Tax Credit (BTC) and Clean Fuel Production Credit (CFPC) are accounted similar to biofuel credits. Neste

considers these also as assets created under various government programs to incentivize renewable fuel supply and

production, and recognizes them upon generation and revenue is recognized when sold to third parties. The BTC expired

at the end of 2024 for renewable diesel and at the end of September 2025 for sustainable aviation fuel. The CFPC replaced

BTC in 2025. CFPC is earned from qualifying sales of low-carbon transportation fuel produced.

Estimates and judgements requiring management estimation

Some of Neste’s contracts may involve elements of variable considerations, such as rebates, bonuses or penalties. The

variable consideration is estimated by using either the expected value or the most likely amount –method, depending on

the type of variable element and related contractual terms and conditions. Amount of variable consideration is included in

the transaction price only to the extent that management considers it is highly probable that a significant reversal of revenue

does not occur later.

As CFPC is not in the scope of IFRS standards, management has developed an accounting policy to be applied.

Management has decided to recognize CFPC similar to biofuel credits since management considers CFPCs also as assets

created under government program to incentivize renewable fuel supply and production. Thus, Neste recognizes them

upon generation and revenue is recognized when sold to third parties.

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Timing of revenue recognition 2025 2024Renewable Marketing & Renewable Marketing & External revenueProducts Oil ProductsServices Others TotalProducts Oil ProductsServices Others TotalGoods transferred at point in time 7,787 6,787 4,265 0 18,838 7,037 8,780 4,635 0 20,452Services transferred at point in time 30 133 8 3 174 38 124 10 1 173Services transferred over time 0 0 0 4 4 0 0 0 10 10IS Total 7,817 6,920 4,272 7 19,016 7,075 8,904 4,645 11 20,635

Revenue by operating segment 2025Renewable Products Oil Products Marketing & Services Others Eliminations TotalExternal revenue 7,817 6,920 4,272 7 0 19,016Internal revenue 278 2,403 37 160 -2,878 0IS Total revenue 8,095 9,322 4,310 166 -2,878 19,016

Revenue by operating segment 2024Renewable Products Oil Products Marketing & Services Others Eliminations TotalExternal revenue 7,075 8,904 4,645 11 0 20,635Internal revenue 246 2,925 42 114 -3,326 0IS Total revenue 7,321 11,829 4,687 125 -3,326 20,635

RINs (Renewable Identification Number), LCFS (Low Carbon Fuels Standard) credits, CFPCs (Clean Fuel Production Credits), and BTCs (Blender’s Tax Credits) are included in the corresponding fuel categories in the Renewable Products segment.

Fuels category includes product sales from Neste’s own refineries, other production facilities and retail stations as well as other sale of petroleum products, feedstock, raw materials and oil trading. Excise taxes included in the retail selling price of finished oil

products amounting to EUR 1,412 million (2024: EUR 1,422 million) are included in the Middle distillates amount. The corresponding amount is included in the purchase price of petroleum products and included in Materials and Services, in Note 7.

Oil trading included in the Fuels category comprise of result from physical trading activities conducted on international and regional markets by taking delivery of and selling petroleum products and raw materials within a short period of time for the purpose of

generating a profit from short-term fluctuations in product and raw material prices and margins.

Net gains and losses on sales-related derivatives qualifying for cash flow hedge accounting are included in revenue amounting to EUR 81 million (2024: EUR -23 million).

Revenue by category 2025 2024Renewable Marketing & Renewable Marketing & External revenueProducts Oil ProductsServices Others TotalProducts Oil ProductsServices Others TotalFuels 7,273 6,428 4,171 0 17,872 6,355 8,421 4,539 0 19,315 1) Middle distillates7,133 3,600 3,279 0 14,012 6,203 4,650 3,596 0 14,449 2) Light distillates140 2,469 889 0 3,498 153 3,161 938 0 4,252Heavy fuel oil 0 359 4 0 363 0 610 5 0 615Other products 515 358 93 0 966 681 359 96 0 1,136Other services 30 133 8 7 177 38 124 10 11 183IS Total 7,817 6,920 4,272 7 19,016 7,075 8,904 4,645 11 20,6351) Middle distillates comprise diesel, jet fuels, low sulphur marine fuels, heating oil, renewable fuels, and sustainable aviation fuels (SAF). 2) Light distillates comprise motor gasoline, gasoline components, liquefied petroleum gas, renewable naphtha, and biopropane.

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7 Materials and services

Accounting policy

Materials and supplies include the direct and indirect costs of purchase of raw materials, finished goods and other supplies

used in the production. External services consist primarily of subcontracting and other production-related services.

Emission allowances

The difference between emissions generated and emission allowances received, as well as any change in the probable

amount of the provision, are reflected in the operating profit. Refer to Note 13 Goodwill and intangible assets and Note 22

Provisions for further information.

6 Other income

Accounting policy

Revenue from activities outside normal operations is reported in other income. This includes items such as government

grants, insurance compensations, rental income and capital gains on disposal of non-current assets.

2025 2024Government grants 20 19Insurance compensations 27 11Rental income 21 7Settlements 41 4Capital gains on disposal of non-current assets 5 3Other 11 11IS Other income 125 54

2025 2024Materials and supplies 16,393 17,821Change in inventories -56 497External services 35 70IS Materials and services 16,372 18,388

Biofuel credits

Key drivers 2025 2024Biomass-based diesel (D4) RIN, USD/RIN 1.01 0.59California LCFS Credit, USD/CO2ton 56 60Number of sold RIN Credits (1,000) 617,792 1,161,628Number of sold LCFS Credits (1,000) 2,996 2,886

Government grants relate mainly to innovation subsidies, and grants to shipping operations, which are entitled to apply for certain

grants based on Finnish legislation.

Materials and supplies include excise taxes included in the retail selling price of petroleum products amounting to EUR 1,412

million (2024: EUR 1,422 million). The corresponding amount is included in Revenue in Note 5.

The new US tariffs established in 2025 have had limited direct impact on Neste. Energy products, including renewable fuels,

have been excluded from the scope of the tariffs.

Neste has recognized EUR 35 million of expenses relating to emission allowances in Materials and supplies in 2025.

The net result of non-hedge accounted commodity and foreign exchange derivatives amounted to EUR -7 million (2024: EUR

2 million). Above-mentioned items are included in Materials and supplies.

Materials and supplies also include EUR 20 million (2024: EUR 17 million) of expenses related to lease contracts which are

accounted for as an expense on a straight-line basis over the lease term. Refer to Note 29 Leases for further information.

Revenue by operating destination 2025 2024Renewable Marketing & Renewable Marketing & External revenueProducts Oil ProductsServices Others TotalProducts Oil ProductsServices Others TotalFinland 289 1,267 3,293 7 4,855 172 1,849 3,609 11 5,641Other Nordic countries 966 1,344 2 0 2,312 722 1,187 2 0 1,911Baltic Rim 98 971 975 0 2,044 56 676 1,031 0 1,763Other European countries 3,761 2,291 3 0 6,054 2,392 1,841 3 0 4,236USA 2,485 800 0 0 3,285 3,556 2,687 0 0 6,242Other countries 219 246 0 0 465 177 664 0 0 841IS Total 7,817 6,920 4,272 7 19,016 7,075 8,904 4,645 11 20,635

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8 Employee benefit costs

2025 2024Wages and salaries 487 500Social security costs 29 28Share-based payments 5 5Pension costs – defined contribution plans 60 62Pension costs – defined benefit plans 2 2Wages and salaries capitalized in fixed assets -13 -33Other costs 15 18IS Employee benefit costs 584 582

9 Other expenses

2025 2024Repairs and maintenance 216 210Services 294 328Rents and other property costs 52 49Insurances 36 50Other 154 69IS Other expenses 753 706

Fees charged by the statutory auditor 2025 2024Authorized Public Accountants KPMG KPMGAudit fees 1.7 1.8Sustainability reporting assurance 0.2 0.1Tax advisory 0.2 0.6Other advisory services 0.2 0.22.4 2.8

Number of personnel (average) 2025 2024Renewable Products 1,894 2,046Oil Products 1,350 1,301Marketing & Services 424 424Others 1,546 2,0255,214 5,796

Wages, salaries and other compensation for key management are presented in Note 25 Related party transactions. Share-based

payments are described in Note 24 Share-based payments and defined benefit plans in Note 23 Employee benefit obligations.

Services include planning and consulting services, IT services, information services, research and lab services and other services.

Rents and other property costs include EUR 16 million (2024: EUR 13 million) of expenses related to lease contracts which are

accounted for as an expense on a straight-line basis over the lease term. Refer to Note 29 Leases for further information.

Other expenses include travel, health, safety, environmental, and marketing costs, as well as credit losses.

Research expenditure is recognized as an expense as incurred and included in other expenses in the consolidated statement

of income.

KPMG Oy Ab’s fees included 738 thousand euros (2024: 791 thousand euros) for audit and 37 (41) thousand euros for auditor’s

statements. Fees for sustainability reporting assurance, which were previously included in ‘Auditor’s statements’, are now disclosed

separately. Fees for the sustainability reporting assurance were 181 (119) thousand euros. Non-audit services to entities of Neste

Group were 400 thousand euros (2024: 737 thousand euros) in total during the financial year 2025. These services included 209

(559) thousand euros tax advisory and 191 (178) thousand euros of other advisory services.

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10 Financial income and expenses

2025 2024Financial incomeIncome from financial assets at fair value through profit or loss 0 0Interest income from financial assets at amortized cost 26 4727 47Financial expensesInterest expensesFinancial liabilities measured at amortized cost -96 -87Lease liabilities -55 -60Write-downs of loan receivables -50 0Other financial expenses -5 -9-205 -156Exchange rate and fair value gains and lossesExchange rate differences from financial instruments at amortized cost -90 26Fair value changes of foreign exchange derivatives through profit or loss (non-hedge accounted) 89 -62 1)Fair value changes of precious metal loans through profit or loss-124 7-125 -29IS, CF Total financial income and expenses -304 -1381) Includes the price and exchange rate changes of loan agreements for precious metals used in catalysts.

Net gains/losses on financial instruments included in operating profit and fixed assets 2025 2024Foreign exchange derivatives, hedge accountedIncluded in revenue 81 -23Foreign exchange derivatives, non-hedge accounted Included in materials and services -35 -2Commodity derivatives, non-hedge accountedIncluded in materials and services 28 473 -21

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11 Income taxes

Accounting policy

Neste’s income tax expenses include taxes of group companies calculated on the basis of the taxable profit for the period,

adjustments for previous periods taxes, as well as the change in deferred income taxes. In respect of the deferred tax

liability on undistributed foreign earnings, the amount recorded is based on expected circumstances and management’s

expectations regarding the profit distribution. For items recognized directly in equity or other comprehensive income, the

income tax effect is similarly recognized.

If adjustments regarding uncertain tax positions (IFRIC 23) are made in situations where it is not likely that the tax

authority and/or the court would accept a certain tax treatment, Neste will choose a method of recording the liability that

best describes the realization of the uncertainty.

Deferred income taxes are stated using the balance sheet liability method, to reflect the net tax effect of temporary

differences between the financial reporting and tax bases of assets and liabilities. Deferred tax assets are recognized to the

extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized.

Deferred income tax is determined using tax rates that are in force on the balance sheet date and are expected to apply

when the related deferred income tax asset is realized or the deferred income tax liability is settled. Deferred tax balances

are not discounted.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against

current tax liabilities and when the deferred income taxes relate to the same fiscal authority. Deferred tax assets are

recognized for tax loss carryforwards and other unused tax credits to the extent that the utilization of the related tax benefit

through future taxable profits is probable.

Neste has determined that the global minimum top-up tax, which it is required to pay under Pillar Two legislation, is an

income tax in the scope of IAS 12 and accounts for it as a current tax when it is incurred. Neste applies the IAS 12 exception

to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes.

Estimates and judgements requiring management estimation

Income tax liabilities and assets are recognized based on the amounts management expects to pay or recover.

Neste has deferred tax assets and liabilities which are expected to be realized through the consolidated statement of

income over extended periods of time in the future. Neste management has made certain assumptions regarding future

tax consequences and used certain estimates when calculating differences between carrying amounts of assets and

liabilities and their tax bases. Key assumptions underlying tax calculations include e.g. likelihood that recoverability periods

for tax loss carryforwards will not change, and that existing tax laws and rates remain unchanged into the foreseeable

future. At each balance sheet date, management uses judgment to assess the recoverability of deferred tax assets. When

circumstances indicate that it is no longer estimated probable that deferred tax assets can be recovered in the foreseeable

future, balances are reduced to their recoverable amounts.

The major components of income tax expense 2025 2024Current tax -58 -22Global minimum top-up tax -1 0Adjustments recognized for current tax for prior periods 0 -7Change in deferred taxes 3 48IS Income tax expense -55 19

The reconciliation of income taxes to the Finnish corporate tax rate 2025 2024IS Profit before income taxes 199 -113Hypothetical income tax calculated at Finnish tax rate 20% -40 23Differences in tax rates in other countries 26 -17Non-deductible expenses and other permanent differences -11 -1Tax exempt income 25 98Tax on undistributed earnings 0 -1Taxes for prior periods -1 -9Net results of associates and joint ventures 1 -2Realisability of deferred tax assets -56 -77Global minimum top-up tax -1 0Other 0 5IS Income tax expense -55 19Effective tax rate, % 28 17

In 2025, the Group’s effective tax rate was primarily increased by the valuation of deferred tax assets. Majority of this EUR -56

million relates to a write-down that was recognized against deferred tax assets related to tax loss carryforwards in the USA,

reflecting a revised assessment of their realisability in the foreseeable future. Additionally, the effective tax rate was notably

decreased by tax exempt income EUR 25 million, which mainly relates to the US Clean Fuel Production Credit (CFPC), as this

credit is treated as tax-exempt income for US federal income tax purposes.

Non-deductible expenses included a EUR -10 million tax impact arising from the write-down of a loan receivable. The global

minimum tax (Pillar Two) rules are in force in several of the Group’s jurisdictions, including Finland and Singapore. The impact

from Pillar Two taxes in the 2025 financial statements amounted to EUR -1 million.

In 2024, the Group’s effective tax rate was significantly decreased (EUR 98 million) by the US Blender’s Tax Credit (BTC), as

a portion of this credit was treated as tax-exempt income. Similar to 2025, the write-down of deferred tax assets related to tax

loss carryforwards in the USA increased the effective tax rate.

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Charged to Charged in Other Exchange rate differences Changes in deferred tax assets and liabilities 2025 On 1 Jan 2025Income Statementcomprehensive incomeand other changes On 31 Dec 2025Tax loss carried forward 407 -7 0 -44 356Provisions 22 4 0 0 27Pensions 15 -1 -1 0 13Fixed assets 230 -10 0 -8 213Derivative financial instruments 13 0 -13 0 0Other temporary differences 42 2 0 -3 42Total deferred tax assets 730 -11 -14 -54 651Netting against liabilities -508 47 0 31 -430BS Deferred tax assets 222 36 -14 -23 221Tax on undistributed earnings 10 2 0 0 12Fixed assets 638 -27 0 -10 601Derivative financial instruments 1 0 2 0 3Investments in joint operations 176 6 0 -21 161Other temporary differences 18 5 0 0 23Total deferred tax liabilities 843 -14 2 -31 800Netting against assets -508 47 0 31 -430BS Deferred tax liabilities 335 33 2 0 370

Charged to Charged in Other Exchange rate differences Changes in deferred tax assets and liabilities 2024 On 1 Jan 2024Income Statementcomprehensive incomeand other changes On 31 Dec 2024Tax loss carried forward 280 107 0 21 407Provisions 34 -12 0 0 22Pensions 18 -3 -1 0 15Fixed assets 191 35 0 4 230Derivative financial instruments 2 11 0 0 13Other temporary differences 32 7 2 1 42Total deferred tax assets 557 146 1 26 730Netting against liabilities -431 -61 0 -17 -508BS Deferred tax assets 127 85 1 9 222Tax on undistributed earnings 11 -1 0 0 10Fixed assets 531 102 0 6 638Derivative financial instruments 17 3 -19 0 1Investments in joint operations 181 -16 0 11 176Other temporary differences 8 10 0 0 18Total deferred tax liabilities 747 98 -19 17 843Netting against assets -431 -60 0 -17 -508BS Deferred tax liabilities 317 37 -19 0 335

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The Group has accumulated tax losses of EUR 1,191 million (2024: EUR 1,143 million) for which no deferred tax asset has been

recognized in the statement of financial position. The majority of these losses were generated in the USA, where deferred tax

assets have not been fully recognized because the utilization of these losses is not considered probable in the foreseeable future.

Under current US tax legislation, these tax losses may be carried forward indefinitely and do not expire.

The line item ‘Investments in joint operations’ includes temporary differences arising from the Group’s interest in the joint

operation, Martinez Renewables LLC.

The decrease in deferred tax assets and liabilities related to property, plant, and equipment is attributable to the reduction in

leases accounted for under IFRS 16. Furthermore, deferred tax liabilities decreased due to the reversal of temporary differences

related to tax depreciations.

A deferred tax liability has been recognized for undistributed earnings of subsidiaries where income taxes would be payable

upon distribution.

Deferred tax recognized relating to components of other comprehensive income:

Earnings per share

Basic earnings per share is calculated by dividing the profit for the period attributable to owners of the parent by the weighted

average number of shares outstanding during the year. The dilutive effect of equity settled share-based payments is included in

the computation of diluted earnings per share.

Dividend per share

The dividends paid in 2025 were EUR 0.20 per share, totaling EUR 154 million (2024: EUR 1.20 per share, totaling EUR 922

million). A dividend of EUR 0.20 per share, totaling approximately EUR 154 million, will be proposed at the Annual General

Meeting on 25 March 2026. This dividend is not recognized in the financial statements.

2025Tax (charge)Before tax / credit After taxOCI Remeasurements of defined benefit plans 4 -1 3OCI Net change of other investments at fair value -7 0 -7OCI Translation differences -187 0 -187Cash flow hedgesOCI recorded in equity 189 -25 165OCI transferred to income statement -81 9 -72OCI Share of other comprehensive income of investments accounted for using the equity method 0 0 0OCI Other comprehensive income -80 -16 -97

2024Tax (charge)Before tax / credit After taxOCI Remeasurements of defined benefit plans 6 -1 5OCI Net change of other investments at fair value -19 4 -15OCI Translation differences 100 0 100Cash flow hedgesOCI recorded in equity -163 23 -141OCI transferred to income statement 23 -4 19OCI Share of other comprehensive income of investments accounted for using the equity method -2 0 -2OCI Other comprehensive income -55 21 -34

12 Earnings per share and dividend per share

2025 2024IS Profit for the period attributable to owners of the parent, EUR million 144 -95Weighted average number of shares outstanding during the year (thousands) 768,247 768,212IS Basic earnings per share (euro per share) 0.19 -0.12 1)Effect of share-based incentive plans (thousands)460 289Diluted weighted average number of shares during the year (thousands) 768,707 768,501IS Diluted earnings per share (euro per share) 0.19 -0.121) Effect of share-based incentive plans not taken into account in 2024 as the diluted earnings per share is negative.

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13 Goodwill and intangible assets

Accounting policy

Goodwill

Goodwill represents the excess of the cost of an acquisition over the fair value of Neste’s share of the net identifiable

assets of the acquired business, subsidiary, joint operation, associate or joint venture at the date of acquisition. Separately

recognized goodwill is tested for impairment and carried at cost, less accumulated impairment losses. Impairment testing

is done annually and whenever there is an indication that the asset may be impaired. Impairment losses on goodwill are not

reversed. Goodwill is allocated to cash-generating units for the purpose of impairment testing, using those cash-generating

units or groups of cash-generating units that are expected to benefit from the business combination in which the goodwill

arose. Gains and losses on the disposal of an entity include the carrying amount of goodwill relating to the entity sold.

The discount rates used in impairment testing of goodwill represent the WACC specified for the business area in question

after tax. The WACC formula inputs are risk-free rate of return, market risk premium, industry-specific beta factor, target

capital structure, borrowing cost and country risks. The WACC rate is specified separately for the cash-generating unit.

WACC-% and growth rate are used purely for the impairment testing.

Intangible assets

Intangible assets are stated at historical cost and amortized in a straight-line method over expected useful lives. Intangible

assets comprise the following:

Computer software

Computer software licenses are capitalized on the basis of the costs incurred to acquire and introduce the software in

question. The costs include the software development employee costs and professional fees arising directly from bringing

the asset to its working condition. Capitalization also depends on the technology used, e.g., cloud services are not

capitalized. Costs are amortized over their estimated useful lives (three to five years). Costs associated with updates or

maintaining computer software programs are recognized as an expense when they occur.

Trademarks and licenses

Trademarks and licenses have a definite useful life and are carried at cost less accumulated amortization. They are amortized

over their estimated useful lives (three to ten years).

Emission allowances

Emission allowances, which are purchased to cover periods deficit, are recorded in intangible assets and measured at

cost, and emission allowances received free of charge are recorded in their nominal value, i.e., at zero.

A provision is recognized to cover the obligation to buy emission allowances if emission allowances received free of

charge and purchased emission allowances intended to cover the deficit do not cover actual emissions. The provision

is measured at its probable settlement amount. The difference between emissions generated and emission allowances

received, as well as any change in the probable amount of the provision, are reflected in the operating profit.

Impairment of non-financial assets

Intangible assets that have an indefinite useful life or intangible assets not ready to use are not subject to amortization and

are tested annually for impairment. Assets that are subject to amortization are reviewed for impairment whenever events or

changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized in

the consolidated statement of income to the extent that the asset’s carrying amount exceeds its recoverable amount. The

recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. Non-financial assets other than

goodwill are reviewed for possible reversal of impairment recognised in prior periods at each reporting date.

Estimates and judgements requiring management estimation

Intangible assets as well as property, plant and equipment are always tested for impairment, when there is any indication

that an asset may be impaired. When the recoverable amount of an asset is less than the carrying amount, an impairment

loss is recognized as an expense immediately and the carrying amount is reduced to the asset’s recoverable amount.

Neste’s management applies judgement in determining the depreciation methods and useful lives of assets. The useful

lives are reviewed annually and when there is indication that an asset may be impaired.

Management has used judgement in determining Renewables Products as one of the cash-generating units and in

choosing to determine the amounts recoverable from cash-generating units’ operating activities based on value in use

calculations. These calculations are based on estimated future cash flows in financial plans approved by Neste’s management,

covering a period of six years. Preparation of these estimates requires management to make assumptions relating to future

expectations. The main assumptions are considered to be the sales margin and discount rate. Expectations are based on

Neste’s analysis which also considers publicly available information, e.g. regulations, to estimate industry’s and Neste’s

business growth and changes in supply, demand and pricing.

The climate-related assumptions are included in the estimation of future cash flows which require making assumptions

of the demand development and regulation changes affecting Renewable Products. These affect the assumptions of sales

margins and nominal growth rate of the Renewable Products industry.

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Intangible 2025 Goodwillassets TotalGross carrying amount on 1 January 516 559 1,075Exchange rate differences -36 -1 -37CF Additions 0 12 12Disposals 0 -9 -9Reclassifications 0 5 5Gross carrying amount on 31 December 480 566 1,046Accumulated amortization and impairment losses on 1 January 2 395 396Exchange rate differences 0 -2 -2Disposals 0 -5 -5Amortization and impairments for the period 0 48 48Accumulated amortization and impairment losses on 31 December 2 436 437BS Carrying amount on 1 January 2025 514 164 678BS Carrying amount on 31 December 2025 478 130 608

Intangible 2024 Goodwillassets TotalGross carrying amount on 1 January 498 537 1,035Exchange rate differences 19 4 23CF Additions 0 27 27Disposals 0 -10 -10Gross carrying amount on 31 December 516 559 1,075Accumulated amortization and impairment losses on 1 January 2 352 354Exchange rate differences 0 1 1Disposals 0 -10 -10Amortization and impairments for the period 0 51 51Accumulated amortization and impairment losses on 31 December 2 395 396BS Carrying amount on 1 January 2024 496 185 681BS Carrying amount on 31 December 2024 514 164 678

2025 2024Renewable Products 478 514BS Goodwill 478 514WACC% 11.5 10.8

Impairment test of goodwill

Goodwill is allocated to Neste’s Renewable Products cash-generating unit (CGU), which is equal with the Renewable Products segment. In 2025 impairment testing, the recoverable amount of Renewables Products cash-generating unit was higher than the

carrying amount. The impairment testings of 2025 and 2024 did not indicate need for an impairment.

A segment-level summary of the goodwill allocation is presented below:

Based on the sensitivity analysis, a decrease of 20% (2024: 20%) in sales margin or 2.4%-points (2024: 2.9%) increase in the discount rate would not create a situation in which the carrying amounts of the cash-generating units would exceed their

recoverable amounts. Cash flows beyond the six year period are extrapolated by using 2.0% (2024: 2.0%) nominal growth rate. The post-tax WACC is 9.8% (2024: 9.4%).

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14 Property, plant and equipment

Accounting policy

Property, plant, and equipment mainly comprise refineries, production plants, storage tanks, and the marine fleet, as well

as retail station network infrastructure and equipment - excluding dealer-owned stations. Property, plant, and equipment

are stated at historical cost in the balance sheet, less depreciation and any accumulated impairment losses. Historical cost

includes expenditure that is directly attributable to the acquisition of the items in question and the initial estimate of the

costs of dismantling and removing the item and restoring the site on which it is located. Cost may also include transfers

from equity of any gains/losses on qualifying cash flow hedges related to foreign currency purchases of property, plant,

and equipment. Assets acquired through the acquisition of a new subsidiary are stated at their fair value on the date of

acquisition.

Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only

when it is probable that future economic benefits associated with the item will flow to Neste and the cost of the item can be

measured reliably. Costs for planned maintenance turnaround at refineries and other production plants on a 2–5 year cycle

are capitalized when they occur and then depreciated during the maintenance turnaround cycle, i.e., the time between

shutdowns. All other repairs and maintenance are charged to the consolidated statement of income during the financial

period in which they are incurred.

Land areas are not depreciated. The bottom of crude oil rock inventory and precious metals in catalysts used in production

process are included in other tangible assets and are depreciated according to possible usage. Depreciation on tangible

assets is calculated using the straight-line method to allocate their cost to their residual values over their estimated useful

lives as follows:

The residual values and useful lives of assets are reviewed and adjusted where appropriate at each balance sheet date.

The carrying amount of an asset is written down immediately to its recoverable amount if the former amount is greater than

its estimated recoverable amount. Gains and losses on disposals are determined by comparing proceeds with carrying

amounts. These are included in ‘Other income’ or ‘Other expenses’ in the consolidated statement of income.

Borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset, a major

initial investment, such as a new production facility, form part of the cost of that asset. Other borrowing costs are recognized

as an expense.

Research expenditure is recognized as an expense as incurred and included in other expences in the consolidated

statement of income. Expenditure on development activities is capitalized only when it fulfills strict criteria e.g., development

relates to new products that are both technically and commercially feasible. The majority of Neste’s development expenditure

does not meet the criteria for capitalization and are recognized as expenses as incurred.

Buildings and structures, including terminals 20–40 yearsMachinery and equipment: Production machinery and equipment 15–20 years Marine fleet 15–20 years Retail station network infrastructure and equipment 5–15 years Other equipment and vehicles 2–15 yearsOther tangible assets 20–40 years

Neste’s climate targets and risks, as well as plans regarding the transformation of the Porvoo refinery, may impact the

valuation and useful lives of property, plant and equipment. The planned transformation of the Porvoo refinery did not have

a material impact on property, plant and equipment during 2025. Investments in the Renewable Products segment are

mainly EU Taxonomy-aligned; further information is presented in the Sustainability Report.

Leases

Neste assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right

to control the use of an identified asset for a period of time in exchange for consideration.

As a lessee, Neste recognizes the right-of-use asset on the balance sheet as property, plant and equipment at a value

equivalent to the initial measurement of the lease liability adjusted for lease prepayments, lease incentives, initial direct

costs and any restoration obligations at the commencement date of the lease.

Right-of-use assets are depreciated on a straight-line basis over the lease term of the assets. Right-of-use assets are

assessed for impairment in line with the accounting policy for impairment of property, plant and equipment, intangible

assets, and goodwill (see Note 13 Goodwill and intangible assets).

Refer to Note 29 Leases for further information.

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Buildings Machinery and Other Assets under 2025 Landand constructionsequipmenttangible assetsconstruction TotalGross carrying amount on 1 January 395 3,668 7,776 1,449 2,236 15,524Exchange rate differences -6 -5 -165 -48 -3 -227Additions 17 36 235 79 811 1,177Disposals -14 -55 -261 -138 -1 -469Reclassifications -1 342 267 2 -549 61Gross carrying amount on 31 December 390 3,987 7,852 1,344 2,494 16,067Accumulated depreciation and impairment losses on 1 January 73 1,525 4,513 494 48 6,653Exchange rate differences -1 -2 -33 -19 0 -54Disposals -5 -31 -218 -74 0 -328Reclassifications 2 0 0 0 0 2Depreciation and impairment losses for the period 15 122 560 183 6 886Accumulated depreciation and impairment losses on 31 December 84 1,614 4,821 585 54 7,158BS Carrying amount on 1 January 2025 322 2,144 3,264 955 2,188 8,872BS Carrying amount on 31 December 2025 306 2,373 3,031 759 2,439 8,908

The carrying amount of assets under construction on 31 December 2025 includes mainly assets related to the ongoing expansion project in the Rotterdam, Netherlands. Property, plant and equipment includes right-of-use (ROU) assets where Neste is a lessee

as specified in Note 29 Leases.

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The carrying amount of assets under construction on 31 December 2024 includes mainly assets related to the ongoing expansion project in the Netherlands. Property, plant and equipment includes right-of-use (ROU) assets where Neste is a lessee as specified

in Note 29 Leases.

Capitalized borrowing costs

During 2025 interest costs amounting to EUR 69 million (2024: EUR 53 million) were capitalized related mainly to the expansion project in the Rotterdam, Netherlands. They are included in property, plant and equipment. Neste’s average interest rate of borrowings

for each month was applied as the capitalization rate, which was 3.4% in 2025 (2024: 3.6%).

Buildings Machinery and Other Assets under 2024 Landand constructionsequipmenttangible assetsconstruction TotalGross carrying amount on 1 January 349 3,637 7,242 1,108 1,274 13,610Exchange rate differences 3 3 85 21 1 113Additions 45 35 501 320 1,026 1,927Disposals -3 -23 -54 -104 6 -178Reclassifications 1 16 3 104 -72 52Gross carrying amount on 31 December 395 3,668 7,776 1,449 2,236 15,524Accumulated depreciation and impairment losses on 1 January 54 1,407 3,988 341 33 5,824Exchange rate differences 0 1 12 7 0 21Disposals 0 -8 -22 -93 0 -123Reclassifications 2 0 -52 52 0 2Depreciation and impairment losses for the period 16 124 586 188 15 929Accumulated depreciation and impairment losses on 31 December 73 1,525 4,513 494 48 6,653BS Carrying amount on 1 January 2024 295 2,230 3,254 767 1,241 7,786BS Carrying amount on 31 December 2024 322 2,144 3,264 955 2,188 8,872

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15 Investments in associates and joint ventures

Carrying amount 2025 2024On 1 January 53 58IS, CF Share of profit (loss) of associates and joint ventures 7 -9OCI Share of other comprehensive income of investments accounted for using the equity method 0 -2Translation differences -3 1Investments -3 5BS On 31 December 54 53

2025 2024Nature of the Country of % interest % interest relationshipincorporationheldheld 1)Alterra Energy LLC Associated companyUSA 29.50 29.99 2)Kilpilahti Power Plant Ltd Joint VentureFinland 40.00 40.00

Neste’s interest and nature of of the relationship in its principle associates and joint ventures at 31 December, all of which are

unlisted, are listed in the following table:

1) Alterra Energy LLC is a US-based, chemical recycling technology company. The cooperation between Neste and Alterra

includes joint technology development and commercialization of the technology. Management has classified Alterra as an

associated company due to the interest held in the company.

2) Kilpilahti Power Plant Ltd is a joint venture company that produces and supplies steam and other utilities to Neste’s

refinery and Borealis’ petrochemical plant in Porvoo, Finland. The joint venture is owned 40% each by Neste and Veolia

and 20% by Borealis. Management has classified this ownership as a joint venture because the arrangement is structured

through a separate vehicle, the legal form of which separates its assets and liabilities of its shareholders and it is directed

so that the relevant activities of the company require unanimous consent from all parties sharing control. The power plant’s

capacity is also meant to serve external customers in addition to Neste and Borealis and thus optimize the returns of all

shareholders in form of net profit. Management has also taken into account that Kilpilahti Power Plant Ltd is independently

responsible for the power plant operated by Veolia.

Accounting policy

Associates and joint ventures have been consolidated using the equity method. Further information on the equity method

is presented in Note 2 Accounting policies, under the section Joint arrangements.

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Alterra Energy LLC Kilpilahti Power Plant Ltd2025 2024 2025 2024Non-current assets 34 36 468 501Current assetsCash and cash equivalents 4 20 45 9Other current assets (excl. cash and cash equivalents) 2 1 43 78Total current assets 6 21 88 87Non-current liabilitiesNon-current financial liabilities (excl. trade payables and provisions) 5 6 432 490Other non-current liabilities 0 0 21 21Total non-current liabilities 5 6 453 512Current liabilitiesCurrent financial liabilities (excl. trade payables and provisions) 0 0 31 31Other current liabilities 2 4 23 24Total current liabilities 2 4 54 55Net assets 33 47 49 22Revenue 13 8 210 234Depreciation, amortization and impairments 2 2 34 33Interest income 0 0 2 6Interest expense 0 1 22 26Income tax expense 0 0 0 0Profit/loss -14 -17 3 1

Summarized financial information in respect of Neste’s associates and joint ventures are set out in the following table:

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Alterra Energy LLC Kilpilahti Power Plant Ltd2025 2024 2025 2024Opening net assets 1 January 107 82 52 62Investment in associate/joint venture -8 38 0 0Profit for the period -14 -17 27 -6Other comprehensive income -9 4 1 -4Closing net assets 31 December 76 107 79 52Interest in joint venture 22 32 32 21Carrying value 22 32 32 21

The share of profits of associates and joint ventures are consolidated based on the companies’ preliminary results for the financial period.

Transactions carried out with associates and joint ventures are disclosed in Note 25 Related party transactions. Contingent liabilities relating to the Neste’s interest in the associates and joint ventures are disclosed in Note 28 Contingencies and commitments.

Reconciliation of summarized financial information

Reconciliation of the summarized financial information presented to the carrying amount of its interest in the associates and joint ventures:

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16 Financial assets and liabilities by measurement categories

Neste classifies financial assets and liabilities according to IFRS 9. Accounting policies, classification criterias and other information relating to financial assets and liabilities can be found in Note 17 Financial assets and Note 21 Financial liabilities.

Derivative financial instruments under Fair value through OCI -category meet criteria for hedge accounting. Derivative financial instruments are initially recognized at fair value on the trade date and are subsequently re-measured at their fair value on the balance

sheet date.

The fair values of the foreign exchange forward and the interest rate swap contracts are calculated as the present values of the future cash flows. During 2025, Neste updated the valuation model for fair values of foreign exchange options from the Black-

Scholes model to the Garman-Kohlhagen model. This has been treated as a change in accounting estimate and applied prospectively. The change did not have a material impact on the consolidated financial statements, and prior period comparatives have not

been restated.

The fair value of the exchange traded commodity derivatives is based on exchange market quotations and the fair value of over-the-counter commodity derivative contracts is based on the net present value of cash flows. The fair value of all derivatives is

calculated using the observable market inputs for currency and interest rates, volatilities and commodity price quotations on the closing date. Derivative contracts are included in current assets or liabilities, except derivatives maturities over 12 months after the

balance sheet date, which are classified as non-current assets or liabilities. More information relating to derivative financial instruments can be found in Note 19 Derivative financial instruments.

31 Dec 2025 Fair value through Balance sheet item Fair value through OCIprofit or loss Amortized cost Carrying amount Fair value Level 1 Level 2 Level 3Non-current financial assetsBS Non-current receivables 91 91 91BS Derivative financial instruments 0 12 13 13 13BS Other financial assets 23 13 36 36 36Current financial assets 1)Trade and other receivables1,364 1,364 1,364BS Derivative financial instruments 29 78 107 107 55 52BS Current investments 0 0BS Cash and cash equivalents 1,367 1,367 1,367Financial assets 52 103 2,822 2,977 2,977Non-current financial liabilitiesBS Interest-bearing liabilities 4,713 4,713 4,754 2,837 1,917BS Derivative financial instruments 2 2 5 5 2 3 1)Other non-current liabilities16 16 32 32 16Current financial liabilitiesBS Interest-bearing liabilities 253 218 470 470 470BS Derivative financial instruments 10 119 129 129 69 60 1)Trade and other payables2,287 2,287 2,287Financial liabilities 12 390 7,234 7,636 7,6771) Excluding non-financial items

Financial instruments that are measured at fair value in the balance sheet and the interest-bearing liabilities are presented according to fair value measurement hierarchy:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2: other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly

Level 3: inputs for the assets or liability that is not based on observable market data.

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During the year 2024 there were no transfers between Level 1 and Level 2 fair value measurements, and no transfers into and out of Level 3 fair value measurements.

31 Dec 2024 Fair value through Balance sheet item Fair value through OCIprofit or loss Amortized cost Carrying amount Fair value Level 1 Level 2 Level 3Non-current financial assetsBS Non-current receivables 128 128 128BS Derivative financial instruments 33 33 33 0 33BS Other financial assets 30 10 40 40 40Current financial assets 1)Trade and other receivables1,490 1,490 1,490BS Derivative financial instruments 27 85 113 113 22 90BS Current investments 0 0BS Cash and cash equivalents 955 955 955Financial assets 57 128 2,573 2,758 2,758Non-current financial liabilitiesBS Interest-bearing liabilities 4,362 4,362 4,348 2,101 2,247BS Derivative financial instruments 6 2 8 8 8 1)Other non-current liabilities14 17 32 32 14Current financial liabilitiesBS Interest-bearing liabilities 153 633 786 786 786BS Derivative financial instruments 114 116 230 230 46 184 1)Trade and other payables13 2,080 2,092 2,092 13Financial liabilities 120 297 7,092 7,509 7,4951) Excluding non-financial items

Interest-bearing liabilities at level 1 consist of listed bonds. Derivative financial instruments at level 1 consist of commodity derivatives which are directly valued based on exchange quotations. Other financial assets in fair value through profit and loss category

include unlisted other investments of EUR 13 million. Other financial assets in fair value through other comprehensive income category include unlisted shares of EUR 23 million. Current interest-bearing liabilities in fair value through profit and loss category

consist precious metal loans. Other financial liabilities in fair value through profit and loss category mainly consist contingent considerations of acquisition made in prior years. Fair values are determined in accordance of IFRS 13. During the year 2025 there were

no transfers between Level 1 and Level 2 fair value measurements, and no transfers into and out of Level 3 fair value measurements.

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Liquid funds 2025 2024BS Current investments 0 0BS, CF Cash and cash equivalents 1,367 955Liquid Funds 1,367 955

Trade and other receivables 2025 2024Trade receivables 1,128 1,319Other receivables 205 150Advances paid 18 12Accrued income and prepaid expenses 65 58BS Trade and other receivables 1,416 1,539Trade and other receivables excluding non-financial items 1,364 1,490

Non-current financial assets 2025 2024Non-current interest-bearing receivables 69 113Other non-current receivables 22 15BS Non-current receivables 91 128BS Other financial assets 36 40

The maximum exposure to credit risk is the carrying amount of the liquid funds. Note 3 Financial risk management sets out more

information about credit risk. The impairment of liquid funds has not been recognized because the amount is immaterial.

Due to the nature of short-term trade and other receivables their carrying amount is expected to be equal to their fair value.

The maximum exposure to credit risk is the carrying amount of the trade and other receivables. Analysis of trade receivables by

age, information about the impairment and credit losses are presented in Note 3 Financial risk management, section ‘credit and

counterparty risk’.

The fair value of non-current financial receivables is not materially different from the carrying amount which is also the maximum

exposure to credit risk. During 2025, an impairment of EUR 50 million was recognized to loan receivables. Other financial assets

consist of unlisted shares.

17 Financial assets

Accounting policy

Financial assets are classified in the following measurement categories: amortized cost, fair value through other comprehensive

income and fair value through profit or loss. The classification depends on used business model for managing the financial

assets and the contractual terms of the cash flows. Assets are classified as current assets, except for maturities over 12

months after balance sheet date, which are classified as non-current assets. Purchases and sales of financial assets are

recognized on the settlement date (excluding derivatives, Note 19 Derivative financial instruments). Financial assets are

derecognized when the rights to receive cash flows from the investments have expired or have been transferred and the

Group has transferred substantially all risks and rewards of ownership.

Amortized cost category consists of liquid funds, trade receivables and loan receivables where the business model is

to hold the asset to collect the contractual cash flows which represent only payments of principal and interest. Financial

assets recognized at amortized cost are valued using the effective interest method.

Assets at fair value through profit or loss consists of equity investments (and derivatives which do not meet the criteria

for hedge accounting). The investments in unlisted companies are measured at their fair value according to IFRS 13. Gains

or losses of the equity investments are included in financial income and expenses.

Other financial assets in fair value through other comprehensive income category include unlisted shares which are not

held for trading. These are strategic investments and Neste considers this classification to be more relevant.

Liquid funds

Liquid funds consists of cash and cash equivalents and current investments. Cash and cash equivalents includes cash in

hand, deposits held at banks, and other highly liquid investments with original maturities of three months or less. Current

investments includes deposits held at banks and other liquid investments including money market funds with original

maturities from 3 to 12 months.

Impairment

The general expected credit loss model is used for debt instruments carried at amortized cost and the impairment is

recognized through profit or loss. The credit loss is recognized based on individual assessment of receivable. The simplified

expected credit loss model is applied for trade receivables according to IFRS 9. Every business area uses a specific provision

matrix for the trade receivables due to the different nature of the businesses. The business area impairment process is

based on historical credit loss experience combined with current conditions and forward looking macroeconomic analysis.

The impairment or credit loss of trade receivables is recognized in the consolidated statement of income within other

expenses and regarding non-current interest-bearing receivables within financial expenses.

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18 Inventories

19 Derivative financial instruments

Accounting policy

Inventories are stated at either cost or net realizable value, whichever is the lowest. Cost is determined using the weighted

average method. The cost of finished goods and work in progress comprises raw materials, direct labor, other direct costs,

and related production overheads (based on normal operating capacity). Net realizable value is the estimated selling price

in the ordinary course of business, less applicable variable selling expenses. Inventories held for trading purposes are

measured at fair value less selling expenses. Standard spare parts are carried as inventory and recognized in profit or loss

as consumed. RIN (Renewable Identification Number) and LCFS (Low Carbon Fuels Standard) credits are accounted for as

government grants upon receipt of the product inventory in the USA and are accounted for as inventory. RINs and LCFSs

are included in Finished products and goods -category. In addition to LCFS and RINs, Clean Fuel Production Credits

(CFPCs) are recognized in inventory upon generation.

Accounting policy

The derivative instruments are mainly held for economic hedging purposes, but hedge accounting is not applied to all

contracts. Changes in the fair value of derivatives, for which hedge accounting is not applied, are recognized in the

consolidated statement of income either in operating profit or financial income and expenses, depending on the underlying

hedged item. Impact to the consolidated statement of income from the derivatives is presented in Note 10 Financial income

and expenses.

When hedge accounting is applied to the derivative contracts, the method of recognizing any resulting gain or loss

depends on the nature of the item being hedged. Neste designates certain derivative financial instruments as either hedges

of highly probable forecasted transactions (cash flow hedges); or hedges of the fair value of recognized assets or liabilities

or a firm commitment (fair value hedges); or hedges of net investments in foreign operations.

The effective portion of the changes in the fair value of derivative financial instruments that are designated and qualified

as cash flow hedges are recognized in equity. Amounts accumulated in equity from hedging future sales are recorded

within revenue, or in case of capital expenditure as part of acquisition cost, when future cash flows of the hedged item

occur. Forward points in currency forwards and time value of options are transaction related and thus recognized in equity

and reclassified either to the consolidated statement of income or adjusting acquisition cost of hedged item according

to hedging relationship. In cash flow hedges the critical terms in hedged item and hedging instruments are the same and

hedge ratio is 1:1. Any potential gain or loss relating to the ineffective portion is recognized immediately in the consolidated

statement of income. Accured interest of interest rate swaps hedging floating rate interest-bearing liabilities is recognized in

the consolidated statement of income within financial expenses. If a forecasted transaction is no longer expected to occur,

the cumulative gain or loss reported in equity is immediately transferred to the consolidated statement of income.

Changes in the fair value of interest rate swaps that are designated and qualified as fair value hedges are recorded in

the consolidated statement of income in financial income and expenses, together with any changes in the fair value of the

hedged asset or liability attributable to the hedged risk compensating the effect. Any gain or loss relating to the ineffective

portion is recognized immediately in the consolidated statement of income.

Neste documents at the inception of the transaction the relationship between hedging instrument and hedged items, as

well as its risk management objective and strategy for undertaking various hedge transactions. Neste also documents its

assessment, both at hedge inception and on an ongoing basis quarterly, of whether the derivatives that are used in hedging

transactions are effective in offsetting changes in fair values or cash flows of hedged items.

Estimates and judgements requiring management estimation

Estimates of net realizable value are based on the most reliable evidence available at the time the estimates are made.

These estimates take into consideration fluctuations of price or cost directly relating to events occurring after the end of the

period to the extent that such events confirm conditions existing at the end of the period.

Neste considers biofuel credits as assets created under various government programs to incentivize renewable fuel

supply.

2025 2024Materials and supplies 1,319 1,356Finished products and goods 1,576 1,541BS Inventories 2,895 2,898

Write-downs included in the inventories at the end of the period were EUR 100 million (2024: EUR 112 million).

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31 Dec 2025 31 Dec 2024Nominal value by maturity Fair Value Nominal value by maturity Fair Value < 1 year > 1 year Positive Negative Net < 1 year > 1 year Positive Negative NetForeign exchange rate derivativesInterest rate swaps 0 300 0 2 -2 0 300 0 6 -6Foreign exchange derivatives, forwards 1,993 0 29 10 18 3,135 0 27 114 -86Foreign exchange optionsPurchased 0 0 0 0 0 7 0 0 0 0Written 0 0 0 0 0 7 0 0 0 0Derivatives designated as cash flow hedges 1,993 300 29 12 17 3,148 300 27 120 -93Interest rate swaps 0 550 12 0 12 0 550 29 0 29Derivatives designated as fair value hedges 0 550 12 0 12 0 550 29 0 29Foreign exchange derivatives, forwards 2,479 0 9 13 -5 2,018 0 11 33 -22Non-hedge accounting derivatives 2,479 0 9 13 -5 2,018 0 11 33 -22Commodity derivativesOil and vegetable oil derivativesSold forwards, million bbl 21 0 65 17 48 16 0 21 26 -5Purchased forwards, million bbl 12 0 3 78 -75 17 0 37 51 -14Electricity and gas derivativesSold forwards, GWh 159 0 1 0 1 7 126 0 1 -1Purchased forwards, GWh 2,152 751 0 13 -13 2,348 873 20 6 13Non-hedge accounting derivatives 70 108 -39 78 84 -7Derivatives Total 119 134 -15 145 238 -92of whichBS Non-current derivative financial instruments 13 5 8 33 8 25BS Current derivative financial instruments 107 129 -23 113 230 -117

Neste uses foreign exchange, interest rate and commodity derivatives to manage market risks (More information in Note 3 Financial risk management). Hedge accounting is not applied to commodity derivatives, although these are mainly held for economic

hedging purposes. Commodity derivatives include oil, vegetable oil, freight, electricity and gas contracts. Neste uses forwards as hedging instruments for commodities.

Neste has designated certain foreign currency and interest rate derivatives as hedges of future transactions i.e., as cash flow hedges. Such contracts are, e.g., foreign exchange derivatives hedging USD- and SEK-sales for the next twelve months according

to the Corporate risk management policy. (More information in Note 3 Financial risk management). Interest rate swaps are designated as fair value hedges. The result of these hedging instruments recognized in the consolidated statement of income was EUR

12 million (2024: EUR 29 million) and of hedged item EUR -13 million (2024: EUR -30 million).

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20 Equity

Share capital

The Parent Company’s share capital registered with the Trade Register as of 31 December 2025 totalled EUR 40,000,000, divided into 769,211,058 shares of equal value. Neste Oyj has one class of shares and each share entitles a shareholder to one vote at

the Annual General Meeting. The nominal value of one share is not determined. The share capital is fully paid. There have been no changes in share capital in 2025 or 2024.

Treasury shares

On 31 October 2025 Neste Corporation transferred 30,449 treasury shares to the President and CEO as a participant of the

Restricted Share Plans 2022–2024, 2023–2025 and 2024–2026 of Neste Corporation. The shares were transferred in accordance

with his managing director agreement and the terms and conditions of the plans. This one-time supplementary arrangement was

granted at hire in recognition of forfeiting previous employer awards. The transfer of own shares was implemented as a directed

share issue without consideration based on a decision made by the Board of Directors of Neste Corporation. The decision of

the Board of Directors was based on a share issue authorization granted by the Annual General Meeting of Shareholders on 25

March 2025. After this transfer of own shares Neste Corporation holds 936,999 own shares.

On 12 March 2025 Neste Corporation transferred a total of 27,876 treasury shares without consideration to the participants of

Neste Group’s Performance Share Plan 2022–2024 and the Restricted Share Plan 2022–2024 as share rewards based on the

terms and conditions of these plans. The transfer of own shares was implemented as a directed share issue without consideration

based on the authorization granted by the Annual General Meeting of Shareholders on 27 March 2024. The number of treasury

shares after the transfer was 967,448 shares.

On 26 April 2024 Neste Corporation transferred a total of 2,201 treasury shares without consideration as a share reward to

a participant of the Performance Share Plan 2021–2023 and in the Restricted Share Plans 2021–2023 and 2022–2024 of the

share-based incentive program 2019 in accordance with the terms and conditions of the program. The transfer of own shares

was implemented as a directed share issue without consideration based on the authorization granted by the Annual General

Meeting of Shareholders on 28 March 2023. The number of treasury shares after the transfer was 995,324 shares.

On 14 March 2024 Neste Corporation transferred a total of 13,786 treasury shares without consideration as a share reward

to the participants of the Performance Share Plan 2021–2023 and in the Restricted Share Plan 2021–2023 of the share-

based incentive program 2019 in accordance with the terms and conditions of the program. The transfer of own shares was

implemented as a directed share issue without consideration based on the authorization granted by the Annual General Meeting

of Shareholders on 28 March 2023. The number of treasury shares after the transfer was 997,525 shares.

Number of shares, 1,000 Treasury shares, 1,000 Outstanding shares, 1,0001 January 2025 769,211 -995 768,216Transfer of treasury shares 0 58 5831 December 2025 769,211 -937 768,2741 January 2024 769,211 -1,011 768,200Transfer of treasury shares 0 16 1631 December 2024 769,211 -995 768,216

Other reserves

Reserve fund comprises of restricted reserves other than share capital.

The reserve of invested unrestricted equity includes other equity-related investments and that part of the share subscription

price that has not specifically been allocated to share capital.

Fair value and other reserves mainly consist of fair value reserves. Fair value reserves include the effective portion of the

change in fair value of derivative financial instruments that are designated as and qualify for cash flow hedges and net change

of other investments at fair value, which are recognized in other comprehensive income. Other reserves include share of other

comprehensive income of investments accounted for using the equity method.

Actuarial gains and losses includes the remeasurements of defined benefit plans.

Translation differences include exchange differences arising from the translation of the net investment in foreign entities on

consolidation, change in the fair value of currency instruments designated as hedges of the net investment, and exchange

differences resulting from the translation of income statement of foreign entities at the average exchange rates and balance sheet

at the closing rates.

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21 Financial liabilities

Accounting policy

Financial liabilities are classified at amortized cost (except derivative financial liabilities whose accounting policy is presented

at Note 19 Derivative financial instruments). Financial liabilities measured at amortized cost are recognized initially at fair

value, net of transaction costs and subsequently measured at amortized cost using the effective interest method. Liabilities

are recognized on the date when the entity becomes a party to the contractual provisions of the instrument. Any difference

between net proceeds and nominal amount is recognized as interest cost over the period of the borrowing using the

effective interest method. Financial liabilities are included in non-current liabilities, except for items with maturities less than

12 months after the balance sheet date, which are included in current liabilities. A financial liability is derecognized when

the related obligation is discharged, cancelled or expires.

Bank overdrafts are recorded in current liabilities on the consolidated statement of financial position. Fees of revolving

credit facility are capitalized and amortized over the period of the facility.

The fair values of the listed bonds are driven from market quotations. The fair values of other interest-bearing liabilities at

amortized cost are determined by using the discounted cash flow method employing market interest rates at the balance

sheet date.

Climate-related topics

Neste has a Green Finance Framework which is developed in alignment with the ICMA Green Bond Principles (GBP) 2021

(with June 2022 Appendix 1) and various loan market standards. In accordance with the Framework, Neste may issue

Green bonds or loans and allocate the proceeds to eligible assets and projects. Eligible assets and projects must fall under

the ICMA green project category of eco-efficient and circular economy adapted products, production technologies and

processes or renewable energy. Each of Neste’s eligible assets and projects satisfies this criteria as set out in the Neste’s

Green Finance Report published in 2024.

Non-current financial liabilities 2025 2024 1)Bonds2,796 2,115 2)Loans from financial institutions1,147 1,327 3)Lease liabilities740 890Other loans 30 30Other non-current liabilities 32 32Total 4,745 4,394BS of which interest-bearing 4,713 4,362Other non-financial items included to other non-current liabilities 0 0

Listed bond issues

Interest Interest Nominal Carrying Issued/Maturitybasisrate, % Currencyamountamount2021/2028 Fixed 0.750 EUR 500 4982023/2029 Fixed 3.875 EUR 500 4982023/2031 Fixed 3.875 EUR 600 6002023/2033 Fixed 4.250 EUR 500 5052025/2030 Fixed 3.750 EUR 700 695Total 2,800 2,796

Current financial liabilities 2025 2024Loans from financial institutions 265 253Commercial paper liabilities 0 3073)Lease liabilities 205 224Other loans 1 1Advances received 34 25Trade payables 1,653 1,475Other current liabilities 600 592Total 2,757 2,878BS of which interest-bearing 470 786Other non-financial items included to trade and other payables 153 92

On 13 March 2025, Neste issued a EUR 700 million green bond with 5-year maturity under its EMTN (Euro Medium Term Note) programme updated on

12 September 2024 and supplemented by the supplement dated 10 March 2025, and will pay a fixed coupon of 3.750 per cent. The proceeds from the

issue will be allocated to Eligible Projects and Assets as set out in Neste Corporation’s Green Finance Framework 2024.

In October 2025, Neste signed two term loan agreements, each EUR 250 million with maturity in October 2028, to refinance a total of EUR 500 million

of debt. Neste has signed three green term loan agreements totaling EUR 550 million in 2024. The proceeds of the loans will be used to finance Eligible

Assets and Projects in accordance with Neste’s Green Finance Framework. The loans have a tenor of 2-6 years. Maturities of the loans are disclosed in

Note 3 Financial risk management.

Refer to Note 29 Leases.

The fair values of financial liabilities can be found in Note 16 Financial assets and liabilities by measurement category. Re-pricing

periods of interest-bearing liabilities are disclosed in Note 3 Financial risk management, section ‘Market risks’.

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Supplier finance arrangements

Neste has entered a supplier finance arrangements under which the supplier may elect to receive early payment from the

financial institution by selling its receivables from Neste. The principal purpose of this arrangement is to facilitate efficient payment

processing and provide access to the supplier finance. The payment terms with the suppliers have generally been extended up

to 90 days. The obligations to suppliers, including amounts due, are not impacted.

Neste has not derecognized the original trade payables relating to the arrangement because neither a legal release was

obtained nor was the original liability substantially modified on entering into the arrangement.

From the Neste’s perspective, the arrangements extend to some extent payment terms beyond the normal terms agreed

with other suppliers that are not participating; however the arrangement does provide willing suppliers with the benefit of early

payment. Additionally, Neste does not incur any additional interest towards the financial institution on the amounts due to the

suppliers. Neste therefore includes the amounts subject to the arrangement within trade payables because the nature and

function of these payables remains the same as those of other trade payables.

All payables under the arrangements are classified as current liabilities as at 31 December 2025 and 2024.

There were no significant non-cash changes in the carrying amount of financial liabilities subject to supplier finance arrangements.

The payments to the financial institution are included within operating cash flows because they continue to be part of the

normal operating cycle of Neste and their principal nature remains operating like payments for the purchase of goods and

services. For additional information about how these arrangements affect Neste’s exposure to liquidity risk, see Note 3 Financial

risk management.

Carrying amount of financial liabilities 2025 2024Presented in trade and other payables: 291 145– of which suppliers have received payment from finance provider 272 125

Range of payment due dates 2025 2024Liabilities that are part of the supplier finance arrangements 90 days 90 daysComparable trade payables that are not part of the supplier finance arrangements 5–30 days 5–30 days

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22 Provisions

Provision to Environmental Restructuring return emission Other provisionsprovisionsallowancesprovisions TotalBS On 1 January 2025 121 2 0 21 144Additions 6 17 63 7 94Amounts used during the period -5 -19 -28 -3 -55Reversed unused provisions 0 0 0 0 0Changes in the discount rate and inflation assumption -17 0 0 0 -17BS On 31 December 2025 105 0 35 25 165

Provision to Environmental Restructuring return emission Other provisionsprovisionsallowancesprovisions TotalBS On 1 January 2024 177 0 0 10 187Additions 2 14 89 16 121Amounts used during the period -6 -12 -89 -3 -110Reversed unused provisions -46 0 0 -2 -48Changes in the discount rate and inflation assumption -5 0 0 0 -5BS On 31 December 2024 121 2 0 21 144

Environmental provisions consist mostly of the Naantali refinery’s shutdown provision and provisions for decommissioning and

restoration of retail stations and refineries. The provision related to Naantali refinery’s shutdown is expected to be realised before

the year 2032. Decommissioning and restoration obligations are mainly expected to be realized within the next 30 to 50 years.

Neste recognizes a provision for the expected costs of decommissioning and site restoration of retail stations and refineries,

representing the obligation to return the site to its original condition. The provisions are to be discounted, where the effect of the

time value of money is material.

The environmental provision related to Naantali refinery’s shutdown was reduced by 46 million euros during 2024 based on an

action plan updated in line with the assessment of the situation and research findings.

Restructuring provisions are related to the organizational change process completed on April 7, 2025.

Accounting policy

A provision is recognized in the consolidated statement of financial position when Neste has a present legal or constructive

obligation as a result of a past event, and it is probable that the obligation will result in payment, and the amount of payment

can be estimated reliably. Provisions can arise from environmental risks, litigation, restructuring plans or onerous contracts.

The nature of certain Neste’s businesses exposes Neste to risks of environmental costs and potential contingent

liabilities. The risks arise from the manufacture, use, storage, disposal and maritime and inland transport as well as sale of

materials that may be considered to be contaminants when released into the environment. Liability may also arise through

the acquisition, ownership or operation of properties or businesses. Environmental provisions are recorded based on

current interpretations of environmental laws and regulations when the conditions referred to above are met. Neste has

decommissioning and restoration provisions recorded in the consolidated statement of financial position.

Where there are a number of similar obligations, the likelihood that an outflow of resources will be required in settlement is

determined by considering the class of obligations as a whole. A provision is recognized even if the likelihood of an outflow

with respect to any one item in the same class of obligations may be small.

Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using

a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation.

The increase in the provision due to passage of time is recognized as an interest expense.

Estimates and judgements requiring management estimation

The recognition of a provision requires management’s judgment to determine if a present obligation exists as a result of a

past event and whether an outflow of resources is probable. The amount recognized represents the best estimate of the

expenditure required to settle the obligation at the reporting date or to transfer it to a third party, taking into account the

risks and uncertainties surrounding the obligation. These estimates are based on historical experience of similar events

and, where applicable, the opinion of external experts. Estimates may differ from the actual future amount of the obligation

and with respect to the existence of the obligation. In addition to the provisions recognized, there are some off-balance-

sheet contingent liabilities for which the likelihood, timing and magnitude of an outflow of resources cannot be estimated

reliably. The carrying amounts of provisions are reviewed regularly and adjusted when needed to consider changes in cost

estimates, regulations, applied technologies and conditions.

The most significant provisions in the consolidated statement of financial position relate to environmental liabilities.

Environmental provisions are based on management’s best estimate of remediation costs discounted to its present value

where the effect of the time value of money is material. The restructuring provision is recognized when Neste has prepared

a detailed restructuring plan and published it.

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23 Employee benefit obligations

Accounting policy

Neste has pension arrangements in different countries, which are generally funded through insurance companies. Pension

cover is based on the legislation and agreement in force in each country. Pension schemes consist of both defined

contribution plans and defined benefit plans. Finnish statutory pensions are accounted for as a defined contribution plan in

the consolidated financial statements.

Contributions to the defined contribution plans are charged directly to the consolidated statement of income in the year

to which these contributions relate. In defined contribution plans, Neste has no legal or contractive obligations to pay

further contributions in case the payment recipient is unable to pay the retirement benefits. All arrangements that do not

fulfill these conditions are considered defined benefit plans.

In defined benefit plans, after Neste has paid the amount for the period, an excess or deficit may result. The defined benefit

obligation represents the present value of future cash flows from payable benefits, which are calculated for by using the

projected unit credit method. The discount rate assumed in calculating the present value of the pension obligation is based

on the market yield of high-quality corporate bonds (AA-rated) with appropriate maturities. Pension costs are recognized in

the consolidated statement of income so as to spread the current service cost over the service lives of employees based

on external calculations. The net interest is included as part of the finance cost in the consolidated statement of income.

The liability (or asset) recognized in the consolidated statement of financial position is the pension obligation at the

closing date less the fair value of plan assets. Actuarial gains and losses arising from experience adjustments and changes

in actuarial assumptions are charged or credited to equity in other comprehensive income in the period in which they arise.

Actuarial valuations for Neste’s defined benefit pension plans are performed annually.

Estimates and judgements requiring management estimation

Accounting for defined benefit obligations and other long-term employee benefits requires the selection of actuarial

assumptions and the use of significant estimates. Based on these, actuaries calculate Neste’s expenses and liabilities. The

assumptions that are the most significant to the amounts reported are the discount rate, the rate of salary increase and

future benefit increase. Changes in these assumptions could result in significant changes to the carrying amount of Neste’s

pension liability and future pension expenses. Possible effects of the changes are presented in the sentivity analysis of

significant actuarial assumptions.

The order subject to a penalty imposed by the authorities in 2024 on the Rotterdam refinery related to flaring has been suspended

in a legal injunction procedure in December 2025. Neste is applying for amendment to the environmental permit on this topic.

Investigations initiated by the authorities during 2023 and 2024 concerning Rotterdam refinery’s flaring and volatile organic

compound (VOC) emissions are still pending. A provision relating to this has been recorded within ‘Other provisions’. The order

had no material impact on the financial statements.

Climate-related matters do not have material impact on provisions, excluding emission allowances, which are described further

below.

The exchange rate difference relating to Neste’s provisions is immaterial.

Emission allowances

Neste Finland Refinery in Porvoo and Neste Shipping operations fall within the scope of the European Union’s greenhouse gas

emission trading system. Neste is granted a total of 2.0 million tons emission allowances for 2025. In addition to own operations,

Neste purchases allowances to cover certain emissions of the local partners who provide utility services to Neste. A provision is

recognized for the cost of purchasing additional emission allowances if the actual emissions exceed the total of those received

for free and those already purchased. Emission allowances, which are purchased to cover future periods deficit are accounted

for as intangible assets and measured at cost, and emission allowances received free of charge are accounted for at nominal

value, i.e. at zero.

As at 31 December 2025 estimated obligation to purchase emission allowances amounted to EUR 35 million (31 December

2024: EUR 0 million). Neste purchases these emission allowances during 2026. The actual amount of CO2 emissions in 2025

were 3.0 million tons (2024: 2.6 million tons) in total. The Group has traded emission allowances for net amount of 0.5 million

tons during the financial period ended 31 December 2025 (2024: 0.6 million tons).

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Neste has defined benefit pension plans in Finland, Switzerland and the Netherlands. The largest plans are in Finland, which

account for 94% (2024: 94%) of Neste’s total defined benefit pension obligation and 93% (2024: 94%) of Neste’s total plan

assets. The voluntary pension plan in Finland accounting for most of this has been closed since 1 January 1994. The insured

supplementary pension scheme consists of defined benefit group pension insurances, which are very similar in structure, with

the exception of retirement age and pension accrual rules.

Other long-term employee benefits are long-service remunerations, which are accounted for as an unfunded defined benefit

plan in accordance to IAS 19.

Characteristics of the post-employment defined benefit plans in Finland

In Finland, Neste has a voluntary pension plan for a certain group of employees to fulfill an aggregated benefit after retirement.

The voluntary pension plan is managed in an insurance company.

The voluntary plan’s benefit is based on the aggregated benefits determined by the insurance contract. The voluntary benefit is

the difference between aggregated benefits and compulsory benefits calculated at the age 63 in the old age plan. The aggregated

benefits are at most 60% or 66% of the supplementary pension salary depending on the plan. The supplementary pension salary

is calculated based on the last 10 years’ salaries prior to the pension event adjusted by the index level. The benefits in the plans

are old age and disability pensions, survivors’ pensions for widows and children, and funeral grants. Old-age pension ages are

60, 62 and 65 years. In some pension schemes the pension cover also includes the right to early old-age pension retirement

ages.

The insurance company collects premiums on a yearly basis from the employer. The future premiums are adjusted so that

the old-age pension will be fully funded until retirement. The disability and survivor’s pension are also financed by risk premiums

collected during the employment period. The premiums with fixed discount rate 1.5% are based on the last known salary without

any assumptions on future salary increases. The insurance company guarantees the same interest yield to the assets in the plan,

as the one they have used in calculating the premiums.

The employer finances the index-linkage by paying an additional premium covering the index increase during the year.

Discretionary bonuses from the insurance company will lower the index premium. The insurance company decides the amount

of the bonus annually.

Neste has insured the benefits index increases each year as the benefits have been increased. If the insurance company’s

granted bonus index does not cover the annual index increase, the insurance company collects a premium from the employer

to cover the increase. The insurance company’s bonus index varies on yearly basis.

Risks associated with defined benefit plans

Through its defined benefit pension plans Neste is exposed to a number of risks. The employer´s defined benefit obligations

pension liability depends on the discount rate which is determined to a yield of corporate bonds as at the reporting date. A

decrease in used discount rates increase the defined benefits obligations. However, a decrease in the used discount rate yield

also increases the fair value of the assets partially offsetting the total impact of change in yield on the net defined benefit pension

liability.

The benefit of the plans is tied to the future benefit increase, which depends on inflation and common salary index. Higher

inflation increases the benefit increase, which leads to an increase in liabilities and annual payments to the insurance company.

If the active employee’s salary increases more than the common salary index, the amount of promised benefit and the benefit

obligation increases together with annual payments to life insurance company.

The longevity risk is borne by the insurance company in case the actual mortality differs from the assumed. Possible adjustments

in mortality assumption have an effect on the employer’s liability according to IFRS. The insurance company completely bears the

mortality risk on accrued benefits. The employers have a mortality risk only if the insurance company will raise its future benefit

accruals premiums because of mortality adjustment.

Defined benefit plans

Cost of defined benefit plans 2025 2024Service cost 2 2Net interest (+expense/-income) 2 3Defined benefit cost recognized in the consolidated statement of income 4 5

Remeasurements of defined benefit plans 2025 2024Actuarial gains/lossesChanges in demographic assumptions 0 0Changes in financial assumptions 16 -9Return on plan assets, excluding amounts included in net interest expense -13 13Experience adjustments 0 2Total remeasurements recognized in other comprehensive income 4 6

Net defined benefit liability recognized in the consolidated statement of financial position 2025 2024Present value of funded defined benefit obligations 318 346Present value of unfunded defined benefit obligations 5 7Fair value of plan assets -257 -280BS Net defined benefit liability 65 73

Changes in fair value of plan assets 2025 2024January 1 280 268Interest income 8 9Return on plan assets (excluding amounts included in net interest expense) -13 13Employer contributions 8 19Settlements 0 -1Benefits paid -25 -29December 31 257 280

The assets are the responsibility of the insurance company and a part of the insurance company’s investment assets.

The distribution within categories is not possible to provide.

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2025 2024Changes in the present value of the defined benefit obligationFunded Unfunded Funded UnfundedJanuary 1 346 7 354 7Current service cost 2 0 2 0Interest cost 10 0 12 0Actuarial gains (-)/ losses (+) -17 -1 8 0Settlements 0 0 -1 0Benefits paid -24 -1 -28 -1December 31 318 5 346 7

Significant actuarial assumptions (presented as weighted average) 2025 2024Discount rate, %Finland 3.70% 3.10%Other countries 1.19% 0.91%Future salary increase, %Finland 3.15% 3.05%Other countries 1.10% 1.11%Future benefit increase, %Finland 2.20% 2.10%Other countries 0.00% 0.00%

Impact on the defined benefit pension obligationAssumptions Change in assumption 2025 2024Discount rate0.50% increase EUR million -16 -190.50% decrease EUR million 18 21Future salary increase0.50% increase EUR million 1 10.50% decrease EUR million -1 -1Future benefit increase0.50% increase EUR million 15 170.50% decrease EUR million -13 -16

The expected contributions to be paid to the defined benefit plans in 2026 are EUR 6 million.

Sensitivity analysis of significant actuarial assumptions

Reasonably possible changes at the reporting date to one of the weighted principal assumptions, while holding all other

assumptions constant, would have affected the defined benefit obligation as shown below:

- 0.50% increase /decrease in the discount rate would lead to a decrease /increase of 5.1% /5.6% in the defined

benefit obligation.

- 0.50% increase /decrease in the rate of salary increase would lead to a increase /decrease of 0.2% /0.3% in the

defined benefit obligation.

- 0.50% increase /decrease in the rate of pension index would lead to a increase /decrease of 4.5% /4.2% in the

defined benefit obligation.

The above sensitivity analysis may not be representative of the actual impact of change. If more than one assumption is changed

simultaneously, the combined impact of changes would not necessarily be the same as the sum of the individual change. If the

assumptions change to a different level compared to that presented above, the effect on the defined benefit obligation may not

be linear.

Maturity profile of the undiscounted defined benefit obligation 2025Within the next 12 months 24Between 1 and 5 years 88Between 5 and 10 years 96Beyond 10 years 299Total 507

The average duration of the defined benefit pension obligation at the end of the reporting period is 11 years.

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24 Share-based payments

Accounting policy

Neste’s share-based incentive plans include a net settlement feature, i.e., share-based payments are settled net in shares

after withholding taxes, and thus they are accounted for as fully equity settled plans. The compensation expense for the

shares is recognized as an employee benefit expense evenly during the required service period whereas the compensation

expense resulting from the cash portion is recognized as an employee benefit expense on accrual basis between grant and

payment date. The entire transaction is measured at fair value prevailing on the grant date of the share-based incentive plan

and the amounts recognized in the consolidated statement of income are accumulated in equity. The difference realized

upon the settlement date is also accounted for against equity.

The purpose of Neste’s share-based long-term incentive plans is to drive long-term sustainable growth and align the interests of

executives with shareholders. The Board annually selects the members of Neste’s senior management and other key employees

to participate in the long-term incentive plans.

Neste applies a share ownership policy to the members of the Neste Leadership Team (NLT). According to the policy, each

member of the NLT is expected to retain in his/her ownership at least half of the shares received under the share-based incentive

programs of Neste until the value of his/her share ownership in Neste corresponds to at least his/her annual gross base salary.

The amount of rewards payable to participants based on Neste’s long-term incentive scheme is limited by a share price

development-based pay cap, the level of which the Board of Directors sets. The level of the pay cap in the ongoing plans is two

times the share price which prevailed at the beginning of the plan period. If Neste share price more than doubles during the plan,

the exceeding value of the payable rewards will not be paid to the plan participants.

Share-based incentive plan as of 1 January 2025

The Board of Directors of Neste Corporation decided on 12 June 2025 on the continuation of the share-based long-term incentive

scheme for selected members of Neste’s management and key employees. The decision includes a Performance Share Plan

(PSP) as the main structure and a Restricted Share Plan (RSP) as a complementary structure for specific situations.

The Performance Share Plan consists of three annually commenced individual performance share plans, each with a three-year

performance period, followed by the payment of the potential share reward. The three plans commenced as of the beginning

of the years 2025, 2026 and 2027. The commencement of each individual plan is subject to a separate Board approval in each

case.

The potential reward will be paid in shares of Neste (deducted with the applicable payroll tax), provided that the performance

target set by the Board of Directors is achieved. For award plan cycles commencing in 2025 (PSP 2025–2027), 2026 (PSP

2026–2028) and 2027 (PSP 2027–2029), the performance measures are Renewable Fuels Sales Volume and Neste comparable

ROACE.

The Restricted Share Plan consists of annually commencing individual restricted share plans and Neste may during the plan

period grant fixed share rewards to individually selected key employees. The rewards are paid at the latest after the end of the

restriction period during H1 of the fourth year of the individual plan. The rewards are paid in listed shares of Neste Corporation

(deducted with the applicable payroll tax). A precondition for the payment of the share reward based on the Restricted Share Plan

is that the employment or service of the individual with Neste continues until the payment date of the reward.

Share-based incentive plan as of 1 January 2022

The Board of Directors of Neste Corporation decided on 9 February 2022 to establish a share-based long-term incentive scheme

for selected members of Neste’s management and key employees. The decision includes a Performance Share Plan (PSP) as

the main structure and a Restricted Share Plan (RSP) as a complementary structure for specific situations.

The Performance Share Plan consists of three annually commenced individual performance share plans, each with a three-year

performance period, followed by the payment of the potential share reward. The three plans commenced as of the beginning of

the years 2022, 2023 and 2024.

The potential reward will be paid in shares of Neste (deducted with the applicable payroll tax), provided that the performance

target set by the Board of Directors is achieved. For award plan cycles commenced in 2022 (PSP 2022–2024), 2023 (PSP

2023–2025) and 2024 (PSP 2024–2026), the performance measures are relative total shareholder return and Neste’s combined

greenhouse gas (GHG) impact. The combined GHG impact includes GHG emission reductions achieved with Neste renewable

products by customers and GHG emissions from Neste production. These GHG-related targets are directly linked to Neste’s key

climate commitments.

The Restricted Share Plan consists of annually commenced individual restricted share plans and Neste may during the plan

period grant fixed share rewards to individually selected key employees. The rewards are paid at the latest after the end of the

restriction period during H1 of the fourth year of the individual plan. The rewards are paid in listed shares of Neste Corporation

(deducted with the applicable payroll tax). A precondition for the payment of the share reward based on the Restricted Share

Plan is that the employment or service of the individual with Neste continues until the payment date of the reward.

During the financial period 2025, under the share-based incentive plans PSP 2022–2024, RSP 2022–2024, RSP 2023–2025

and RSP 2024–2026, total gross reward of 151,075 shares equaling EUR 2.0 million was awarded to the participants of the

plans. The net amount of shares delivered totalled 58,325 shares and the rest of the reward was paid in cash to cover taxes and

other regulatory charges. The fair value of the share as of the delivery date was EUR 8.98 (12 March 2025) and EUR 18.07 (31

October 2025). The members of Neste’s Leadership Team received a gross reward corresponding to 79,587 shares.

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More specific information on the share-based incentive plans is presented in the following tables.

Plan Long-Term Incentive Plan 2025 Long-Term Incentive Plan 2022Type Share allocation Share allocationInstrument PSP 2025–2027 RSP 2025–2027 PSP 2024–2026 RSP 2024–2026 PSP 2023–2025 RSP 2023–2025 PSP 2022–2024 RSP 2022–2024Grant dates 23 Jun 2025 23 Jun 2025 20 Feb 2024 12 May 2025 11 Jan 2023 1 Sep 2023 11 Feb 2022 11 May 2022Grant prices, euros 11.17 11.17 23.99 9.18 40.36 30.06 35.14 36.58Share price as at grant date, euros 11.72 11.72 27.55 9.55 44.98 34.07 37.97 39.40Beginning of earnings period 1 Jan 2025 1 Jan 2025 1 Jan 2024 1 Jan 2024 1 Jan 2023 1 Jan 2023 1 Jan 2022 1 Jan 2022End of earnings period 31 Dec 2027 31 Dec 2027 31 Dec 2026 31 Dec 2026 31 Dec 2025 31 Mar 2026 31 Dec 2024 31 Mar 2025Vesting date 31 Mar 2028 31 Mar 2028 31 Mar 2027 31 Mar 2027 31 Mar 2026 31 Mar 2026 31 Mar 2025 31 Mar 2025Changes during the period, share allocation Shares Shares Shares Shares Shares Shares Shares SharesOutstanding at the beginning of the reporting period, pcs 0 0 437,817 0 286,689 4,500 270,614 75,800Granted during the period 1,725,194 28,000 10,400 19,243 3,000 34,180 0 53,700Forfeited during the period 32,100 0 72,310 0 45,702 1,500 265,462 6,000Excercised during the period 0 0 0 3,743 0 18,680 5,152 123,500Outstanding at the end of the period, pcs 1,693,094 28,000 375,907 15,500 243,987 18,500 0 0Number of persons at the end of the reporting year 105 7 100 1 95 2 0 0Share price at the end of the reporting period, euros 19.41 19.41 19.41 19.41 19.41 19.41 12.13 12.13Estimated rate of realization of the earnings criteria, % 50% 100% 17% 100% 46% 100% 27% 100%Estimated termination rate before the end of the restriction period, % 10% 0% 0% 0% 0% 0% 0% 0%

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Fair value determination

The fair value of share-based incentives have been determined at grant date and the fair value is expensed until vesting. The

grant price, i.e., fair value as of the grant date, has been determined as follows: grant price equals the share price as at grant date

deducted by expected dividends payable during the earning period. For plans under the Long-Term Incentive Plan 2022, which

include market based criteria, the fair value estimation is calculated using the Monte Carlo simulation with Geometric Brownian

Motion. The simulation requires some parameters, such as volatility and the risk-free rate to be estimated.

The expense included in the consolidated statement of income is specified in the following table:

2025 2024Expense arising from equity-settled share-based payment transactions 5 5Total expense arising from share-based payment transactions 5 5

At the end of the period the estimated future cash payments to be paid to the tax authorities from share-based payments are

EUR 10 million (2024: EUR 4 million).

25 Related party transactions

Neste is controlled by the State of Finland, which owns 44.2% of the company’s shares. The remaining 55.8% of shares are

widely held.

Neste has a related party relationship with its subsidiaries, associates, joint arrangements and the entities controlled by Neste’s

controlling shareholder, the State of Finland. Related parties also include the members of the Board of Directors, the President

and CEO and other members of the Neste Leadership Team (key management persons), close members of the families of the

mentioned key management persons and entities controlled or jointly controlled by the mentioned key management persons or

close members of those persons’ families.

Subsidiaries, associates and joint arrangements are presented in Note 26 Group companies.

Parent company of Neste is Neste Corporation. The transactions between Neste, its subsidiaries and joint operations, which

are related parties of the company, have been eliminated during consolidation and are not disclosed in this Note. All transactions

between Neste and other companies controlled by the State of Finland are on an arm’s length basis. Details of transactions

between Neste and other related parties are disclosed below.

Transactions carried out with related parties

Sales of Purchases of Financial goods and goods and income and 2025servicesservicesexpense Receivables LiabilitiesAssociates and joint ventures 103 97 6 141 9Other related parties 162 195 0 1 0265 292 6 142 9

Sales of Purchases of Financial goods and goods and income and 2024servicesservicesexpense Receivables LiabilitiesAssociates and joint ventures 106 107 6 142 11Other related parties 210 234 0 2 0316 341 6 144 11

There were no material transactions with key management persons or entities controlled by them.

The major part of business between Neste and its joint ventures was with Kilpilahti Power Plant Ltd. Neste’s transactions with

Kilpilahti Power Plant Ltd consisted mainly of steam purchases and sales of heavy fuel oil, water and asphaltene. The steam

supply agreement includes a fixed annual fee of EUR 48 million until 2037.

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Board of Directors and key management compensation

EUR thousand 2025 2024Salaries and other short-term employee benefits 3,541 5,370Termination benefits 0 2,657Statutory pensions 438 685Supplementary pensions 676 582Share-based payments 1,420 414Total 6,075 9,709

Compensation to the Board of Directors

EUR thousand 2025 2024Board of Directors at 31 December 2025Pasi Laine, since 27 March 2024 190 79John Abbott 111 93Nick Elmslie 104 95Anna Hyvönen, since 25 March 2025 91 0Just Jansz 98 89Essimari Kairisto, since 25 March 2025 110 0Conrad Keijzer, since 27 March 2024 101 85Sari Mannonen, since 27 March 2024 99 83Former Board membersMatti Kähkönen, until 25 March 2025 3 158Heikki Malinen, until 13 June 2024 0 29Eeva Sipilä, until 13 February 2025 4 102Johanna Söderström, until 25 March 2025 6 101Kimmo Viertola, until 27 March 2024 0 4Board of Directors, all members total 917 918

Compensation to President and CEO and members of the Neste Leadership Team

Key management consists of President and CEO and other members of the Neste Leadership Team. There were no outstanding

loan receivables from key management on 31 December 2025 or 31 December 2024.

Compensation to the Board of Directors include annual remuneration and meeting fee paid to each member of the Board for

each meeting attended as well as for any meetings of the Board committees attended. Board members are not covered by the

company’s remuneration systems and do not receive any performance or share related payments.

The CEO’s notice of termination period is 6 months on both sides. Should the company decide to give notice of termination,

the President & CEO shall be entitled to his salary during the 6 months period of notice, together with a severance payment

equivalent to 6 months’ salary. The supplementary pension of the President and CEO is a defined contribution (DC) plan with an

annual contribution of 20% of the fixed annual salary and a retirement age of 66 years.

Net liability of defined benefit plans of former Presidents and CEOs on 31 December 2025 were EUR 859 thousand (2024:

EUR 978 thousand).

Members of the President President Neste Leadership and CEOand CEO 1)TeamHeikkiMatti TotalEUR thousand2025MalinenLehmus2024 20252024Annual remunerationBase salary 1,189 245 743 987 1,340 1,974Taxable benefits 11 3 12 15 30 77Annual incentive (STI plan) 11 0 501 501 43 897Total annual remuneration 1,212 248 1,256 1,504 1,413 2,948Termination benefits 0 0 1,365 1,365 0 1,292Vested long term remunerationSupplementary pension (insurance contributions) 252 51 119 170 424 412Share-based incentive plan 1,376 0 15 15 45 399Total remuneration 2,839 299 2,755 3,054 1,882 5,0521) Includes the Neste Executive Committee (active until Oct 28, 2024) and the new Neste Leadership Team

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Subsidiaries Group holding % Country of incorporationB J B, LLC 100.00% USAKiinteistö Oy Espoon Keilaranta 21 100.00% FinlandMahoney Environmental Solutions, LLC 100.00% USAMahoney Transportation Services LLC 100.00% USANavidom Oy 50.00% FinlandNERM Solutions India Private Limited 100.00% IndiaNeste (Shanghai) Trading Company Limited 100.00% ChinaNeste (Suisse) S.A. 100.00% SwitzerlandNeste AB 100.00% SwedenNeste Asia Pacific Pte. Ltd 100.00% SingaporeNeste Australia Pty Ltd 100.00% AustraliaNeste Belgium NV 100.00% BelgiumNeste Brazil LTDA 100.00% BrazilNeste Canada Inc. 100.00% CanadaNeste Components B.V. 100.00% The Netherlands1)Neste Demeter B.V. 80.00% The NetherlandsNeste Eesti AS 100.00% EstoniaNeste Germany GmbH 100.00% GermanyNeste Insurance Limited 100.00% GuernseyNeste Markkinointi Oy 100.00% FinlandNeste Netherlands B.V. 100.00% The NetherlandsNeste Pretreatment Rotterdam B.V. 100.00% The NetherlandsNeste Renewable Products Inc. 100.00% USANeste Renewable Solutions US, Inc. 100.00% USANeste RPC Solutions US, Inc. 100.00% USANeste Shipping Oy 100.00% FinlandNeste Singapore Pte. Ltd. 100.00% SingaporeNeste Spain S.L. 100.00% SpainNeste Terminal Rotterdam B.V. 100.00% The NetherlandsNeste US, Inc. 100.00% USA

26 Group companies

Subsidiaries Group holding % Country of incorporationNeste Walco Limited 100.00% IrelandSIA Neste Latvija 100.00% LatviaSterling Logistics, LLC 100.00% USAUAB Neste Lietuva 100.00% Lithuania

Associates Group holding % Country of incorporationAlterra Energy LLC 29.50% USANeste Arabia Co. Ltd. (inactive) 48.00% Saudi Arabia

Country of Joint arrangements Group holding % ClassificationincorporationA/B Svartså Vattenverk - Mustijoen Vesilaitos O/Y 40.00% Joint operation FinlandKilpilahti Power Plant Ltd 40.00% Joint venture FinlandMartinez Renewables LLC 50.00% Joint operation USA

Neste increased its ownership in its subsidiary Neste Demeter B.V. on November 1, 2023 and the entity has been treated as a 100% owned subsidiary

in the Group. In addition, Neste has an obligation to redeem the remaining non-controlling interest of Neste Demeter within an agreed period, thus the

share of the non-controlling interest has not been recognized in the consolidated statement of financial position. The obligation has been measured at

fair value and recorded as a liability in the consolidated statement of financial position.

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Specification of financial information on subsidiaries with material non-controlling interests

Navidom Oy2025 2024Proportion of shares held by non-controlling interests 50.00% 50.00%Current assets 0 0Non-current assets 0 0Current liabilities 0 0Non-current liabilities 0 0Revenue 1 1Profit for the period 0 0Dividends paid to non-controlling interests 0 0Cash flows from operating activities 0 0Cash flows from financing activities 0 0

Unconsolidated structured entities

In 2015, Neste sold its shares of Aurora Kilpilahti Oy (former Kilpilahden Sähkönsiirto Oy). After the sale Neste does not have direct

or indirect investment in the company. Aurora Kilpilahti Oy is responsible for high- and medium-voltage electricity distribution

in the Kilpilahti industrial area where Neste’s refinery in Porvoo, Finland, is situated. In addition to Neste, Aurora Kilpilahti Oy’s

customers include other companies operating in the area.

Under the contractual arrangements with Aurora Kilpilahti Oy Neste has been supplying small and decreasing part of the

operating services needed in electricity distribution. It can be considered that Neste has the possibility to influence only limited

development investments made by Aurora Kilpilahti Oy. Aurora Kilpilahti Oy distributes electricity to Neste and Neste remains to

be the main user of the capacity of the electricity distribution network. Aurora Kilpilahti Oy operates on land leased from Neste for

30 years with an option to extend the lease. Neste has not provided any financial support or other significant support to Aurora

Kilpilahti Oy without contractual obligation.

Based on the factors described above Neste has determined that it has limited influence though no control over Aurora

Kilpilahti Oy and treats the company as unconsolidated structured entity in its consolidated financial statements. Management

has assessed the company’s exposure to losses by considering the nature of Neste’s involvement in Aurora Kilpilahti Oy, and

the company’s significance to Neste from an operative perspective. Neste’s exposure is mainly dependent upon the efficient

operation of the distribution network.

Consolidated structured entities

Since 2014, Neste has treated the vessels’ long-term agreements made with Ilmarinen Mutual Pension Insurance Company

and Finland’s National Emergency Supply Agency as structured entities. As a part of these arrangements, Neste guarantees the

vessels’ residual value and certain return on the investors’ investments.

27 Acquisitions and disposals

Acquisitions

No major acquisitions took place in financial periods 2025 and 2024.

Disposals

No major disposals took place in financial periods 2025 and 2024.

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Commitments 2025 2024Commitments for purchase of property, plant and equipment and intangible assets 291 585Other commitments 4 5Total 295 590

Value of collateral Value of collateralContingent liabilities 2025 2024On own behalf for commitmentsReal estate mortgages 26 26Other contingent liabilities 16 24Total 42 50On behalf of joint arrangementsPledged assets 125 119Total 125 119On behalf of othersGuarantees 1 1Total 1 1Total 168 170

28 Contingencies and commitments

The pledged assets on behalf of joint arrangements are granted to the secured creditors as continuing security for due and

punctual payment, discharge and performance of all or any part of the secured obligations of Kilpilahti Power Plant Ltd. The

pledged assets mean all shareholder loan receivables, all contribution loan receivables and the shares of Kilpilahti Power Plant

Ltd. The security period ends on the date on which all the secured obligations have been unconditionally and irrevocably paid

and discharged in full.

Capital commitments are mainly related to the Rotterdam refinery expansion project in Netherlands.

Take-or-pay contracts

Neste has long-term supply agreements related to hydrogen, nitrogen, steam, natural gas and electricity. These agreements are

generally take-or-pay by nature. In addition to minimum purchase obligations, agreements normally include termination fees if

the contract is being terminated early. The probability of such circumstances is considered to be low.

29 Leases

Accounting policy

Neste assesses at contract inception whether a contract is, or contains, a lease, i.e., if the contract conveys the right to

control the use of an identified asset for a period of time in exchange for consideration.

Neste as a lessee

Neste has lease contracts for various land areas, vessels, tanks, containers, facilities and other equipment used in its

operations. Lease contracts are made for fixed periods of 1 to 82 years, the longest durations relating typically to land

leases. Some leases include an option to extend the lease for an additional period after the end of the contract term or

terminate the contract during the lease term.

Neste recognizes a leased asset and a lease liability at the lease commencement date, except for short-term leases and

leases of low-value assets.

i) Right-of-use assets

Neste recognizes right-of-use assets on the commencement date of the lease (i.e., the date the underlying asset is

available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses,

and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease

liabilities recognized, initial direct costs incurred, any restoration obligations and lease payments made at or before the

commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over

the lease term. If ownership of the leased asset transfers to Neste at the end of the lease term or the cost reflects the

exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. The right-of-use assets

are also subject to impairment.

Neste’s right-of-use assets are included in Property, plant and equipment (see Note 14 Property plant and equipment).

ii) Lease liabilities

At the commencement date of the lease, Neste recognizes lease liabilities measured at the present value of lease payments

to be made over the lease term. The lease payments include fixed payments (including insubstance fixed payments) less

any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to

be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option that is

reasonably certain to be exercised by Neste and payments of penalties for terminating the lease, if the lease term reflects

Neste exercising the option to terminate.

In calculating the present value of lease payments, Neste uses interest rate implicit in the lease if readily determinable

and if not, Neste uses its incremental borrowing rate at the lease commencement date. This incremental borrowing rate

is similar with the rate of interest that a lessee would have to pay to borrow over a similar security, the funds necessary to

obtain an asset of a similar value to the right-of-use assets in similar economic environment.

Variable lease payments that do not depend on an index or a rate are recognized as expenses in the period in which the

event or condition that triggers the payment occurs.

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The carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in

the lease payments (e.g., changes to future payments resulting from a change in an index or rate used to determine such

lease payments) or a change in the assessment of an option to purchase the underlying asset. Neste’s lease liabilities are

included in Interest-bearing liabilities (see Note 21 Financial liabilities).

iii) Short-term leases and leases of low-value assets

Neste applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term

of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-

value assets recognition exemption to leases that are considered to be low value. Lease payments on short-term leases

and leases of low-value assets are recognized as expense on a straight-line basis over the lease term.

Neste as a lessor

At inception of a lease contract, Neste makes an assessment whether the lease is a finance lease or an operating lease.

If the lease substantially transfers all the risks and rewards incidental to ownership of the asset, it is considered to be

a finance lease; if not, the lease is considered to be an operating lease. Neste has a minor amount of operating lease

contracts, whereby the lease payments are recognized on a straight-line basis over the lease term and is included in other

income in the statement of profit or loss due to its operating nature. Initial direct costs incurred in negotiating and arranging

an operating lease are added to the carrying amount of the leased asset and recognized over the lease term on the same

basis as rental income.

Estimates and judgements requiring management estimation

Neste determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option

to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if

it is reasonably certain not to be exercised.

Neste has several lease contracts that include extension and termination options. Neste’s management applies judgement

in evaluating whether it is reasonably certain whether or not to exercise the option to renew or terminate the lease. That

is, it considers all relevant factors that create an economic incentive for it to exercise either the renewal or termination.

After the commencement date, Neste’s management reassesses the lease term if there is a significant event or change in

circumstances that is within its control and affects its ability to exercise or not to exercise the option to renew or to terminate.

Neste’s management applies judgement also for estimating the term of lease agreements in effect until further notice.

The management’s estimates are based on the company’s strategic situation and market conditions, as well the costs that

would incur if the leased asset would be replaced by another asset.

Right-of-use assets Note 2025 2024Land 236 257Buildings and constructions 47 54Machinery and equipment 202 164Other tangible assets 462 629Total assets included in property, plant and equipment 948 1,104Lease liabilities Non-current interest-bearing liabilities 740 890Current interest-bearing liabilities 205 224Total liabilities included in interest-bearing liabilities 21 945 1,114

Additions to the right-of-use assets during the 2025 financial year were EUR 254 million (2024: EUR 423 million).

The maturity analysis of lease liabilities is disclosed in Note 3 Financial risk management.

Amounts recognized in the statement of profit or loss

The statement of profit or loss shows the following amounts relating to leases:

Amounts recognized in the balance sheet

The balance sheet shows the following amounts relating to leases:

Depreciation charge of right-of-use assets Note 2025 2024Land 15 17Buildings and constructions 13 18Machinery and equipment 74 84Other tangible assets 174 181Total depreciation 276 299

Finance costs in the statement of profit or loss Note 2025 2024Interest expense 10 55 60Included in materials and servicesExpense relating to short-term leases 7 20 17Variable lease payments not included in lease liabilities 7 0 0Included in other operating expensesExpense relating to short-term leases 9 10 10Expense relating to leases of low-value assets 9 1 1Variable lease payments not included in lease liabilities 9 5 3

208

Annual review Governance Review by the Board of Directors Financial statements

30 Disputes and potential litigations

31 Events after the balance sheet date

Neste is involved in legal proceedings and disputes incidental to its business. In management’s opinion, the outcome of these

cases is difficult to predict but not likely to have material effect on the Neste’s financial position.

No significant events took place in Neste after the balance sheet date.

209

Annual review Governance Review by the Board of Directors Financial statements

EUR million Note 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Revenue 2 12,870 12,266

Change in product inventories -136 -205

Other operating income 3 63 33

Materials and services 4 -11,599 -10,851

Personnel expenses 5 -298 -303

Depreciation, amortization and write-downs 6 -213 -230

Other operating expenses 7 -467 -666

Operating profit/loss 219 43

Financial income and expenses 8 -134 156

Financial income and expenses total -134 156

Profit/loss before appropriations and taxes 86 199

Appropriations 9 132 41

Income tax expenses 10 -43 9

Profit for the year 174 250

Parent company income statement

Parent company balance sheet

EUR million Note 31 Dec 2025 31 Dec 2024

ASSETS

Fixed assets and other long-term investments 11, 12

Intangible assets 93 111

Tangible assets 1,864 1,907

Other long-term investments 6,400 5,948

Fixed assets and other long-term investments total 8,357 7,966

Current assets

Inventories 13 1,299 1,375

Long-term receivables 14 48 104

Short-term receivables 15 1,828 2,020

Cash and cash equivalents 1,103 706

Current assets total 4,278 4,204

Total assets 12,635 12,170

SHAREHOLDERS' EQUITY AND LIABILITIES

Shareholders' equity 16

Share capital 40 40

Other funds and reserves

Invested non-restricted equity fund 19 19

Fair value reserve 10 -53

Other funds and reverses total 29 -33

Retained earnings 3,001 2,906

Profit for the year 174 250

Shareholders' equity total 3,245 3,162

Accumulated appropriations 17 1,164 1,205

Provisions for liabilities and charges 18 77 45

Liabilities 19

Long-term liabilities 3,964 3,471

Short-term liabilities 4,184 4,287

Liabilities total 8,148 7,758

Total equity and liabilities 12,635 12,170

210

Annual review Governance Review by the Board of Directors Financial statements

EUR million 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Cash flows from operating activities

Profit/loss before approriations and taxes 86 199

Adjustments:

Depreciation, amortization and write-downs 213 230

Other non-cash income and expenses

31 -107

Financial income and expenses 134 -156

Divesting activities, net -3 -1

Operating cash flow before change in working capital 461 166

Change in working capital

Decrease (+)/increase in group bank account receivables 76 86

Decrease (+)/increase (-) in other interest-free receivables 182 297

Decrease (+)/increase (-) in inventories 76 143

Decrease (+)/increase in group bank account liabilities 58 1,044

Decrease (-)/increase (+) in other interest-free liabilities 279 -200

Change in working capital 671 1,369

Cash generated from operations 1,132 1,535

Interest and other financial expenses paid, net -95 -96

Dividends received 51 284

Income taxes paid -2 20

Realized foreign exchange gains and losses, net 16 23

Net cash from operating activities 1,102 1,766

Parent company cash ﬂow statement

Cash flows from investing activities

Capital expenditure -159 -282

Proceeds from sale of fixed assets 9 3

Investments in shares in subsidiaries -1,030 -1,281

Investments in shares in other shares -2 -2

Proceeds from shares in subsidiaries 0 15

Proceeds from other shares 0 0

Loan receivable repayments 477 0

Change in other investments, increase (-) -6 -530

Change in other investments, decrease (+) -58 96

Net cash used in investing activities -769 -1,982

Cash flow before financing activities 332 -216

Cash flows from financing activities

Proceeds from long-term liabilities 1,195 1,374

Payments of long-term liabilities -756 -1,285

Change in short-term liabilities -304 308

Dividends paid -154 -922

Group contributions, net 84 120

Cash flow from financing activities 65 -405

Net increase (+)/decrease (-) in cash and cash equivalents 397 -622

Cash and cash equivalents at the beginning of the period 706 1,328

Cash and cash equivalents at the end of the period 1,103 706

Net increase (+)/decrease (-) in cash and cash equivalents 397 -622

EUR million 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Other non-cash income and expenses consist of change in FX derivatives, change in commodity derivatives, change in provisions

and adjustments to realized FX gains/losses.

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Buildings and structures 20–40 years

Production machinery and equipment, including special spare parts 15–20 years

Other equipment and vehicles 2–15 years

Other tangible assets 20–40 years

Goodwill and Intangible assets

3–10 years

Intangible assets include capitalized development expenditures

1 Accounting policies

The financial statements of Neste Corporation (Parent company) are prepared in accordance with Finnish GAAP. The financial

statements are presented in thousands of euros unless otherwise stated. The figures in the tables are exact figures and consequently

the sum of individual figures may deviate from the sum presented.

Neste Oyj prepares separate natural gas sale and network financial statements that is published in Neste Oyj’s consolidated

financial statements.

Neste’s growth and financial performance may be impacted by the general macroeconomic and geopolitical development. In

addition, regulatory changes on the European Union or individual member state level may adversely affect particularly Neste’s

renewables businesses. Neste’s financial position remained good.

Revenue

Revenue include sales revenues from actual operations less discounts, indirect taxes such as value added tax and excise tax

payable by the manufacturer and statutory stockpiling fees.

Other operating income

Other operating income includes gains on the sales of fixed assets and contributions received as well as all other operating

income not related to the sales of products or services and non-recurring income.

Foreign currency items

Transactions denominated in foreign currencies have been valued using the exchange rate at the date of the transaction.

Receivables and liabilities denominated in foreign currencies outstanding on the balance sheet date have been valued using the

exchange rate quoted on the balance sheet date. Exchange rate gains and losses related to operative items are recognized as

adjustments to operative income and expenses in the income statement. Net exchange rate differences related to financial items

are reported under financial income and expenses.

Financial assets and liabilities

Derivative financial instruments are initially recognized at fair value on the trade date and are subsequently re-measured at their

fair value on the balance sheet date. Liabilities subject to fair value hedging are partly recognized at fair value. Other financial

assets and liabilities are measured at amortized cost and recognized initially at fair value on the settlement date.

Loans and receivables consist of cash and cash equivalents, loans granted together with trade receivables and other receivables.

Other financial liabilities include interest-bearing liabilities together with trade payables and other payables. Due to the nature of

short-term trade receivables and other receivables their carrying amount is expected to be equal to their fair value.

Changes in the fair value of derivatives, for which hedge accounting is not applied, are recognized in the income statement.

The effective portion of the changes in the fair value of derivative financial instruments that are designated and qualified as cash

flow hedges are recognized in equity.

Derivative financial instruments

The company uses derivative financial instruments mainly to hedge commodity price, foreign exchange and interest rate exposures.

Derivatives not qualified for hedge accounting are recognized in the income statement either in operating profit or financial income

and expenses, depending on the underlying hedged item.

Current investments

Current investments includes deposits held at banks and other liquid investments with original maturities from three months to

12 months.

Hedge accounting

The company applies hedge accounting on certain forward foreign exchange contracts, options and interest rate derivatives.

Fair value hedges

The company applies fair value hedge accounting to reduce exposure to fair value fluctuations of interest-bearing liabilities due

to changes in interest rates. Changes in fair value of derivatives designated and qualifying as fair value hedges, together with any

changes in the fair value of hedged liabilities attiributable to the hedged risk, are recognized in financial income and expenses.

Cash flow hedges

The company applies cash flow hedge accounting to reduce exposure of currency and interest rates fluctuations. The result of

foreign currency derivative contracts hedging future cash flows and qualifying for hedge accounting is recognized once matured

and when the hedged item affects the income statement. Gains or losses for interest rate swaps used to hedge the interest rate

risk exposure are accrued over the period to maturity and are recognized as an adjustment to the interest income or expense of

the underlying liabilities.

Fixed assets and other long-term investments

The balance sheet value of fixed assets consists of historical costs less depreciation according to plan and other possible write-

offs, plus revaluation permitted by local regulations. Fixed assets are depreciated using straight-line depreciation based on the

expected useful life of the asset. Land areas are not depreciated. The depreciation is based on the following expected useful

lives:

Investments in subsidiaries and other companies are measured at acquisition cost, or fair value in case the fair value is lower

than cost.

212

Annual review Governance Review by the Board of Directors Financial statements

2 Revenue

3 Other operating income

Revenue by segment, EUR million 2025 2024

Renewable Products

4,338 3,230

Oil Products 8,383 8,871

Marketing & Services 2 4

Other 146 161

12,870 12,266

EUR million 2025 2024

Rental income 1 2

Gain on sale of intangible and tangible assets 5 2

Insurance compensations 2 14

Government grants 14 13

Purchase agreement adjustments 39 0

Other 2 2

Other operating income total 63 33

Revenue by market area, EUR million 2025 2024

Finland 3,718 4,337

Other Nordic countries 2,116 1,809

Baltic Rim 1,060 1,128

Other European countries 5,643 4,024

USA 96 375

Other countries 238 591

12,870 12,266

The tax administrations of Finland and Singapore concluded in 2024 a bilateral advance pricing agreement (BAPA) impacting the transfer pricing between Neste Oyj

and Neste Singapore Pte. Ltd. This resulted in an increase in the net sales of Neste Oyj for 2024 of EUR 95 million of which EUR 58 million relate to transfer pricing

adjustments for 2022 and 2023.

Inventories

Inventories are stated at either cost or net realizable value, whichever is the lowest. Cost is determined using the weighted

average method. The cost of finished goods and work in progress comprises raw materials, direct labor, other direct costs,

and related production overheads (based on normal operating capacity). Net realizable value is the estimated selling price in the

ordinary course of business, less applicable variable selling expenses. Inventories held for trading purposes are measured at fair

value less selling expenses. Standard spare parts are carried as inventory and recognized in profit or loss as consumed.

Research and development

Research expenditure is recognized as an expense as incurred and included in other operating expences in the income statement.

Expenditure on development activities is capitalized only when it fulfills tight criteria e.g. development relates to new products that

are techincally and commercially feasible. The majority of the company’s development expenditure does not meet the criteria for

capitalization and are recognized as expences as incurred.

Cash pool receivables/liabilities

Cash pool items are presented as short-term receivables or liabilities.

Pension expenses

An external pension insurance company manages the pension plan.The pension expenses are booked to income statement

during the year they occur.

Appropriations

Appropriations consist of received or given group contributions from or to Neste Group companies and depreciation above the

plan.

Deferred taxes

Deferred taxes are determined on the basis of temporary differences between the financial statement and tax bases of assets

and liabilities. Deferred income tax is determined using tax rates that have been enacted at the balance sheet date and are

expected to apply.

Provisions

Foreseeable future expenses and losses that have no corresponding revenue and which Neste Corporation is committed or

obliged to settle, and whose monetary value can reasonably be assessed, are entered as expenses in the income statement

and included as provisions in the balance sheet. These items include expenses relating to the pension liabilities, guarantee

obligations, restructuring provisions, expenses relating to the future clean-up of proven environmental damage and obligation to

return emission allowances. Provisions are recorded based on management estimates of the future obligation.

213

Annual review Governance Review by the Board of Directors Financial statements

EUR million 2025 2024

Depreciation according to plan 206 213

Write-offs 7 18

Depreciations, amortization and write-downs total 213 230

EUR million 2025 2024

Operating leases and other property costs

25 -15

Repairs and maintenance

99 331

Planning and consulting services 48 45

IT services 125 141

Other 170 163

Other operating expenses total 467 666

Fees charged by the statutory auditor

EUR thousands 2025 2024

Authorized Public Accountants KPMG KPMG

Auditor's fees 660 717

Assurance of sustainability reporting 181 119

Auditor's statements 32 33

Tax advisory 33 233

Other advisory services 191 174

1,097 1,276

4 Materials and services 6 Depreciation, amortization and write-downs

7 Other operating expenses

5 Personnel expenses

EUR million 2025 2024

Materials and supplies

Purchases during the period 11,145 10,476

Change in inventories -60 -62

11,085 10,414

External services 514 437

Materials and services total 11,599 10,851

EUR million 2025 2024

Wages, salaries and remunerations 249 259

Indirect employee costs

Pension costs 47 60

Other indirect employee costs 9 9

Wages and salaries capitalized in fixed assets -8 -24

Personnel expenses total 298 303

Average number of employees 2025 2024

White-collar 2,150 2,514

Blue-collar 734 717

2,884 3,231

Salaries and remuneration

Key management compensations are presented in Note 25 in the Neste Group consolidated financial statements.

The environmental provision related to the closure of the Naantali refinery was released by EUR 55 million during the third quarter of 2024.

In 2024 the increase in maintenance costs is due to a major turnaround at the Porvoo refinery.

214

Annual review Governance Review by the Board of Directors Financial statements

EUR million 2025 2024

Dividend income

From Group companies 51 284

Dividend income total 51 284

Interest income from long-term loans and receivables

From Group companies 0 4

From others 6 6

Interest income from long-term loans and receivables total 6 10

Other interest and financial income

From Group companies 36 40

Other 17 34

Other interest and financial income total 53 74

Write-downs on long-term investments

Loan receivable loss provision -50 0

Write-drowns of other long-term investments 0 0

Write-downs on long-term investments total -50 0

Interest expenses and other financial expenses

To Group companies -32 -52

Other -140 -135

Interest expenses and other financial expenses total -172 -186

Exchange rate differences -21 -25

Financial income and expenses total -134 156

Total interest income and expenses, EUR million 2025 2024

Interest income 59 84

Interest expenses -167 -179

Net interest expenses -109 -96

EUR million 2025 2024

Change in depreciation difference

Difference between depreciation according to plan

and depreciation in taxation 41 -42

Group contributions

Group contributions received 91 84

Appropriations total 132 41

EUR million 2025 2024

Income taxes on regular business operations 21 2

Taxes for prior periods

1 11

Change in deferred tax assets 21 -23

Income tax expense total 43 -9

8 Financial income and expenses

9 Appropriations

10 Income tax expense

In 2024 the adjustments to prior period taxes resulted largely from the finalization of a bilateral advance pricing agreement (BAPA) between the tax administrations

of Finland and Singapore, which also resulted in transfer pricing adjustments for 2022 and 2023.

215

Annual review Governance Review by the Board of Directors Financial statements

Intangible assets, EUR million Goodwill Other intangible assets Total

Acquisition cost as of 1 January 2025 1 406 407

Increases 0 11 11

Decreases 0 -6 -6

Transfers between items 0 3 3

Acquisition cost as of 31 December 2025 1 415 416

Accumulated amortization and write-downs as of 1 January 2025 1 295 296

Amortization for the period 0 26 26

Accumulated amortization and write-downs as of 31 December 2025 1 321 323

Balance sheet value as of 31 December 2025 0 93 93

Intangible assets, EUR million Goodwill Other intangible assets Total

Acquisition cost as of 1 January 2024 1 382 383

Increases 0 26 26

Decreases 0 -3 -3

Transfers between items 0 0 0

Acquisition cost as of 31 December 2024 1 406 407

Accumulated amortization and write-downs as of 1 January 2024 1 266 268

Amortization for the period 0 29 29

Accumulated amortization and write-downs as of 31 December 2024 1 295 296

Balance sheet value as of 31 December 2024 0 111 111

11 Fixed assets and long-term investments

216

Annual review Governance Review by the Board of Directors Financial statements

Tangible assets, EUR million Land areas

Buildings

and structures

Machinery

and equipment

Other

tangible assets

Advances paid and

construction in progress Total

Acquisition cost as of 1 January 2025 26 1,511 3,580 103 218 5,439

Increases 0 6 18 0 122 146

Decreases 0 -27 -3 -1 -2 -32

Transfers between items 0 31 25 0 -60 -3

Acquisition cost as of 31 December 2025 26 1,522 3,621 103 278 5,550

Accumulated depreciation and write-downs as of 1 January 2025 0 917 2,588 53 0 3,559

Accumulated depreciation and write-downs of decreases and transfers 0 -23 -2 0 0 -25

Depreciation and write-downs for the period 0 40 138 2 0 180

Accumulated depreciation and write-downs as of 31 December 2025 0 934 2,724 55 0 3,713

Revaluations 6 21 0 0 0 27

Balance sheet value as of 31 December 2025 31 608 897 49 278 1,864

Balance sheet value of machinery and equipments used in production 897

Tangible assets, EUR million Land areas

Buildings

and structures

Machinery

and equipment

Other

tangible assets

Advances paid and

construction in progress Total

Acquisition cost as of 1 January 2024 26 1,487 3,408 103 204 5,228

Increases 0 8 95 0 124 228

Decreases 0 -1 -3 0 -12 -17

Transfers between items 0 17 81 0 -98 0

Acquisition cost as of 31 December 2024 26 1,511 3,580 103 218 5,439

Accumulated depreciation and write-downs as of 1 January 2024 0 879 2,446 51 0 3,377

Accumulated depreciation and write-downs of decreases and transfers 0 -1 -1 0 0 -2

Depreciation and write-downs for the period 0 39 142 2 0 184

Accumulated depreciation and write-downs as of 31 December 2024 0 917 2,588 53 0 3,559

Revaluations 6 21 0 0 0 27

Balance sheet value as of 31 December 2024 31 615 993 50 218 1,907

Balance sheet value of machinery and equipments used in production 993

217

Annual review Governance Review by the Board of Directors Financial statements

Other long-term investments, EUR million

Shares in

group companies

Receivables from

group companies

Shares in

associated

companies

Receivables

from associated

companies

Other shares

and holdings

Other

receivables Total

Acquisition cost as of 1 January 2025 5,206 603 7 113 20 0 5,948

Increases

1,030 55 0 8 2 0 1,095

Decreases 0 -591 0 0 0 0 -591

Acquisition cost as of 31 December 2025 6,236 67 7 121 21 0 6,452

Accumulated depreciation and write-downs as of 1 January 2025 0 0 0 0 0 0 0

Decreases 0 0 0 -52 0 0 -52

Accumulated depreciation and write-downs as of 31 December 2025 0 0 0 -52 0 0 -52

Balance sheet value as of 31 December 2025 6,236 67 7 69 21 0 6,400

Other long-term investments, EUR million

Shares in

group companies

Receivables from

group companies

Shares in

associated

companies

Receivables

from associated

companies

Other shares

and holdings

Other

receivables Total

Acquisition cost as of 1 January 2024 3,939 0 7 107 23 3 4,079

Increases

1,281 603 0 6 3 0 1,892

Decreases -15 0 0 0 0 0 -15

Acquisition cost as of 31 December 2024 5,206 603 7 113 25 3 5,956

Accumulated depreciation and write-downs as of 1 January 2024 0 0 0 0 5 3 8

Decreases 0 0 0 0 0 0 0

Accumulated depreciation and write-downs as of 31 December 2024 0 0 0 0 5 3 8

Balance sheet value as of 31 December 2024 5,206 603 7 113 20 0 5,948

Interest-bearing and interest-free receivables, EUR million 2025 2024

Interest-bearing receivables 136 716

136 716

Additions regarding shares mainly comprise capital contributions

Additions regarding shares comprise investments in group companies

218

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12 Revaluations

13 Inventories

14 Long-term receivables

15 Short-term receivables

EUR million

Revaluations as of

Jan 1 2025 Increases Decreases

Revaluations as of

Dec 31 2025

Land areas 6 0 0 6

Buildings 21 0 0 21

Revaluations total 27 0 0 27

EUR million

Revaluations as of

Jan 1 2024 Increases Decreases

Revaluations as of

Dec 31 2024

Land areas 6 0 0 6

Buildings 21 0 0 21

Revaluations total 27 0 0 27

EUR million 2025 2024

Raw materials and supplies 809 749

Work in progress 118 193

Products/finished goods 372 433

Inventories total 1,299 1,375

Replacement value of inventories 1,337 1,438

Book value of inventories 1,299 1,375

Difference 39 63

EUR million 2025 2024

Long-term receivables from others

Long-term advance payments 12 13

Other receivables 15 33

Deferred tax assets 21 57

Long-term receivables total 48 104

Short-term accrued income and prepaid expenses, EUR million 2025 2024

Accrued interest 13 10

Derivative financial instruments 189 198

Other 24 26

Total 226 235

EUR million 2025 2024

Receivables from Group companies

Trade receivables 388 625

Loan receivables 6 6

Group contribution receivables 91 84

Other receivables 421 500

Accrued income and prepaid expenses 87 94

Total 993 1,308

Receivables from associated companies

Trade receivables 14 18

Other receivables 0 0

Total 14 18

Receivables from others

Trade receivables 539 477

Other receivables 143 75

Accrued income and prepaid expenses 139 141

Total 822 693

Short-term receivables total 1,828 2,020

Policies and principles for revaluations and evaluation methods

The revaluations are based on fair values at the moment of revaluation.

Deferred taxes have not been booked on revaluations.

219

Annual review Governance Review by the Board of Directors Financial statements

16 Changes in shareholders' equity

17 Accumulated appropriations

18 Provisions for liabilities and charges

EUR million 2025 2024

Share capital at 1 January 40 40

Share capital at 31 December 40 40

Fair value reserve at 1 January -53 24

Increases 5,167 1,667

Decreases -5,104 -1,744

Fair value reserve at 31 December 10 -53

Restricted shareholders equity 50 -13

Invested non-restricted equity fund at 1 January 19 19

Invested non-restricted equity fund at 31 December 19 19

Retained earnings at 1 January 3,155 3,827

Dividends paid -154 -922

Profit for the year 174 250

Retained earnings at 31 December 3,176 3,155

Non-restricted shareholders equity 3,195 3,174

Capitalized development expenditure 4 14

Distributable equity 3,192 3,108

The amount of own shares is presented in the group’s consolidated financial statements in Note 20.

EUR million 2025 2024

Depreciation difference 1,164 1,205

2025

EUR million

Restructuring

provisions

Provision for

environment

Provision for

environment for

Naantali refining

operations

closure

Liability

to return

emission

rights

Other

provisions Total

Balance sheet value

as of 1 January 2025 2 1 42 0 0 45

Increase 17 2 0 63 0 83

Decrease 19 0 3 28 0 50

Balance sheet value

as of 31 December 2025 0 3 39 35 0 77

2024

EUR million

Restructuring

provisions

Provision for

environment

Provision for

environment for

Naantali refining

operations

closure

Liability

to return

emission

rights

Other

provisions Total

Balance sheet value

as of 1 January 2024 0 1 99 0 3 103

Increase 13 0 0 0 0 13

Decrease

11 0 58 0 2 71

Balance sheet value

as of 31 December 2024 2 1 42 0 0 45

The environmental provision related to Naantali refinery’s shutdown in 2021 was reduced by EUR 55 million during the third quarter of 2024 based on an action plan

updated in line with the assessment of the situation and research findings.

220

Annual review Governance Review by the Board of Directors Financial statements

19 Liabilities

Long-term liabilities, EUR million 2025 2024

Bonds 2,796 2,115

Loans from financial institutions 1,147 1,327

Advanced payments 16 17

Liabilities to Group companies

Other long-term liabilities 0 3

Accruals and deferred income 5 8

Long-term liabilities total 3,964 3,471

Interest-bearing liabilities due after five years, EUR million 2025 2024

Loans from financial institutions 93 93

Bonds 1,092 1,091

1,186 1,184

Short-term liabilities, EUR million 2025 2024

Bonds 0 0

Loans from financial institututions 6 81

Advances received 18 14

Trade payables 421 642

Liabilities to Group companies

Advances received 0 0

Trade payables 1,113 643

Other short-term liabilities 1,796 1,737

Accruals and deferred income 60 67

Total 2,969 2,448

Liabilities to associated companies

Trade payables 9 11

Total 9 11

Other short-term liabilities 427 738

Accruals and deferred income 334 355

Short-term liabilities total 4,184 4,287

Short-term accruals and deferred income, EUR million 2025 2024

Salaries and indirect employee costs 94 55

Accrued interests 81 57

Accrued taxes 29 9

Derivative financial instruments 190 296

Other short-term accruals and deferred income 1 5

394 421

Interest-bearing and interest-free liabilities, EUR million 2025 2024

Long-term liabilities

Interest-bearing liabilities 3,943 3,442

Interest-free liabilities 21 29

3,964 3,471

Short-term liabilities

Interest-bearing liabilities 1,799 2,117

Interest-free liabilities 2,385 2,170

4,184 4,287

Listed bond issues

Issued/Maturity

Interest

basis

Interest

rate, % Currency

Nominal

EUR million

Carrying

amount,

EUR million

2021/2028 Fixed 0.750 EUR 500 498

2023/2029 Fixed 3.875 EUR 500 498

2023/2031 Fixed 3.875 EUR 600 600

2023/2033 Fixed 4.250 EUR 500 505

2025/2030 Fixed 3.750 EUR 700 695

Total outstanding carrying amount 31 December 2025 2,800 2,796

221

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20 Contingencies and commitments

Contingent liabilities, EUR million 2025 2024

Contingent liabilities given on own behalf

Real estate mortgages 26 26

Pledged assets 0 0

Other contingent liabilities 16 21

Total 42 47

Contingent liabilities given on behalf of Group companies

Guarantees 15 164

Total 15 164

Contingent liabilities given on behalf of associated companies

Pledged assets 125 119

Total 125 119

Contingent liabilities given on behalf of others

Guarantees 1 1

Total 1 1

Other contingent liabilities

The Company is obliged to adjust VAT deductions made from real estate investments if the taxable utilization of real estate will

decrease during a 10 years control period. The amount of VAT deductions on 31 December 2025 was EUR 35 million.

Operating lease liabilities 2025 2024

Due within a year 36 23

Due after a year 30 32

Total 67 55

Capital commitments 2025 2024

Commitments for purchase of property,

plant and equipment and intangible assets 83 35

Other commitments 4 5

Total 86 40

222

Annual review Governance Review by the Board of Directors Financial statements

31 Dec 2025 31 Dec 2024

Nominal value by maturity Fair Value Nominal value by maturity Fair Value

EUR million < 1 year > 1 year Positive Negative Net < 1 year > 1 year Positive Negative Net

Foreign exchange derivatives

Interest swaps 0 300 0 2 -2 0 300 0 6 -6

Foreign exchange derivatives, forwards 1,278 0 19 5 14 1,882 0 15 75 -60

Foreign exchange options

Purchased 0 0 0 0 0 7 0 0 0 0

Written 0 0 0 0 0 7 0 0 0 0

Derivatives designated as cash flow hedges 1,278 0 19 7 12 1,896 0 15 81 -66

Interest rate swaps 0 550 12 0 12 0 550 29 0 29

Derivatives designated as fair value hedges 0 550 12 0 12 0 550 29 0 29

Foreign exchange derivatives, forwards 3,195 0 18 19 0 3,270 0 24 72 -48

Intra-group forward foreign exchange contracts 1,213 0 12 12 0 1,795 0 44 22 22

Currency options

Purchased 0 0 0 0 0 0 0 0 0 0

Written 0 0 0 0 0 0 0 0 0 0

Intra-group currency options

Purchased 0 0 0 0 0 0 0 0 0 0

Written 0 0 0 0 0 0 0 0 0 0

Non-hedge accounting 4,408 0 30 30 -1 5,065 0 68 94 -26

21 Derivative financial instruments

223

Annual review Governance Review by the Board of Directors Financial statements

31 Dec 2025 31 Dec 2024

Nominal value by maturity Fair Value Nominal value by maturity Fair Value

EUR million < 1 year > 1 year Positive Negative Net < 1 year > 1 year Positive Negative Net

Commodity derivatives

Oil and vegetable oil derivatives

Sold forwards, million bbl 21 0 65 17 48 16 0 21 26 -5

Purchased forwards, million bbl 12 0 3 78 -75 17 0 37 51 -14

Intra-group oil and vegetable oil derivatives

Sold forwards, million bbl 12 0 52 4 48 9 0 24 19 5

Purchased forwards, million bbl 12 0 10 43 -33 10 0 17 18 -1

Electricity and gas derivatives

Sold forwards, GWh 159 0 1 0 1 7 126 0 0 0

Purchased forwards, GWh 2,152 751 0 13 -13 2,348 873 20 6 13

Intra-group electricity and gas derivatives

Sold forwards, GWh 155 0 0 1 -1 1,061 661 2 12 -10

Purchased forwards, GWh 1,260 566 11 0 11 0 0 0 0 0

Non-hedge accounting 3,783 1,317 143 157 -14 3,469 1,659 119 132 -12

Derivatives Total 204 194 10 232 307 -75

of which

Current derivative financial instruments 189 190 0 198 296 -98

Non-current derivative financial instruments 15 5 11 33 11 22

Commodity derivative contracts with non-hedge accounting status include oil, vegetable oil, electricity and gas derivative contracts. They consist of trading derivative contracts and cash flow hedges without hedge accounting status.

224

Annual review Governance Review by the Board of Directors Financial statements

Fair value hierarchy of derivatives, EUR million 2025 2024

Financial assets Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total

Non-current derivative financial instruments

Interest rate derivatives 0 12 0 12 0 29 0 29

Currency derivatives 0 0 0 0 0 0 0 0

Commodity derivatives 0 2 0 2 0 4 0 4

Other financial assets 0 0 0 0 0 0 0 0

Current derivative financial instruments

Currency derivatives 0 49 0 49 0 83 0 83

Commodity derivatives 106 35 0 141 57 58 0 115

Financial liabilities

Non-current derivative financial instruments

Intrest rate derivatives 0 2 0 2 0 6 0 6

Currency derivatives 0 0 0 0 0 0 0 0

Commodity derivatives 3 1 0 3 0 5 0 5

Current derivative financial instruments

Currency derivatives 0 36 0 36 0 169 0 169

Commodity derivatives 110 43 0 153 71 56 0 127

Financial instruments that are measured in the balance sheet at fair value are presented according to following fair value measurement hierachy:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities

Level 2: inputs other than quoted price included within Level 1 that are observable for the assets or liability, either directly (i.e. as prices) or indirectly (i.e derived from prices)

Level 3: inputs for the assets or liablity that is not based on obervable market data (unobservable inputs).

Fair value estimations

Derivative financial instruments are initially recognized and subsequently re-measured at their fair values i.e.the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participant and the measurement

date.

The fair value of exchange traded commodity futures and option contracts is determined using the forward exchange market quotations as per last business day of financial year. The fair value of over-the-counter derivative contracts is calculated using the net

present value of the forward derivative contracts quoted market prices as per last business day of financial year.

225

Annual review Governance Review by the Board of Directors Financial statements

Country of

incorporation No. of shares Holding -%

Subsidiary shares

Kiinteistö Oy Espoon Keilaranta 21 Finland 16,000 100.00

Navidom Oy Finland 50 50.00

Neste (Suisse) S.A. Switzerland 200 100.00

Neste AB Sweden 2,000,000 100.00

Neste Belgium NV Belgium 615 100.00

Neste Canada Inc. Canada 30,000 100.00

Neste Components B.V. Netherlands 40 100.00

Neste Eesti AS Estonia 10,000 100.00

Neste Germany GmbH Germany 25,000 100.00

Neste Insurance Limited Guernsey 7,000,000 100.00

Neste Markkinointi Oy Finland 210,560 100.00

Neste Netherlands B.V. Netherlands 18,000 100.00

Neste Pretreatment Rotterdam B.V. Netherlands 18,000 100.00

Neste Renewable Products Inc. USA 5,000 100.00

Neste Renewable Solutions US, Inc. USA 1,000 100.00

Neste RPC Solutions US, Inc. USA 1,000 100.00

Neste Shipping Oy Finland 101 100.00

Neste Singapore Pte. Ltd. Singapore 1,727,535,875 100.00

Neste Spain S.L. Spain 3,000 100.00

Neste US, Inc. USA 1,000 100.00

SIA Neste Latvija Latvia 348 100.00

UAB Neste Lietuva Lithuania 1,055,134 100.00

Associated companies

A/B Svartså Vattenverk - Mustijoen Vesilaitos O/Y Finland 14 40.00

Kilpilahden Voimalaitos Oy Finland 20,000 40.00

Neste Arabia Co. Ltd. Saudi-Arabia 480 48.00

22 Shares and holdings

23 Disputes and potential litigations

Other shares and holdings

Circularise B.V. Netherlands 19,420

CLEEN Oy Finland 100

Kiinteistö Oy Himoksen Aurinkopaikka Finland 51

Kiinteistö Oy Katinkullan Hiekkaniemi Finland 102

Kiinteistö Oy Katinkultaniemi Finland 51

Kiinteistö Oy Kotkan Klubi Finland 30

Kiinteistö Oy Kuusamon Tähti 1 Finland 51

Kiinteistö Oy Laavutieva Finland 51

Kiinteistö Oy Lapinniemi & Osakeyhtiö Lapinniemi Finland 24

Posintra Oy Finland 190

Sunfire GmbH Germany 264,121

Telephone shares

Elisa Oyj Finland 1

Pietarsaaren Seudun Puhelin Oy Finland 3

Savonlinnan Puhelinosuuskunta SPY Finland 1

Country of

incorporation No. of shares

Neste Corporation is involved in legal proceedings and disputes incidental to its business. In management’s opinion, the outcome

of these cases is difficult to predict but not likely to have material effect on the Neste’s financial position.

226

Annual review Governance Review by the Board of Directors Financial statements

24 Unbundling of natural gas network operations

INCOME STATEMENT, EUR million 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Revenue 7 10

Other operating income

Utility income 12 13

Materials and services

External services

Network service fees -19 -21

Other external services 0 0

Personnel expenses

Wages and salaries 0 0

Depreciation, amortization and write-downs

Depreciation according to the plan

Planned depreciation of natural gas network assets 0 0

Other operating expenses -1 -1

Operating profit/loss 0 1

Financial income and expenses 0 0

Profit/loss before appropriations and taxes 0 1

Appropriations

Group contribution received 1 0

Profit for the year 1 1

BALANCE SHEET, EUR million 31 Dec 2025 31 Dec 2024

ASSETS

Fixed assets and other long-term investments

Tangible assets

Tangible assets of natural gas network 0 0

0 0

Current assets

Inventories 0 0

Receivables

Long-term receivables 0 0

Short-term receivables

Trade receivables 1 1

Other receivables 0 1

Cash and cash equivalents 0 -1

2 1

Total assets 2 1

SHAREHOLDERS' EQUITY AND LIABILITIES

Shareholders' equity

Share capital 0 0

Other funds and reserves 0 0

Retained earnings 0 -1

Profit/loss for the year 1 1

1 0

Accumulated appropriations 0 0

Provisions for liabilities and charges 0 0

Long-term liabilities

Short-term liabilities 0 0

Short-term interest-free liabilities

Trade payables 1 1

1 1

Total equity and liabilities 2 1

Accounting policies

According to the Natural Gas Market Act, business transactions and balance sheet items are booked in to the income

statements and balance sheets of business in accordance with the accrual principle.

Income statement and balance sheet items that not directly attributable to business operations in accordance with the

accruals principle, distributed on the basis of the size of the business.

The remaining balance sheet diffrence will be equalized in the balance sheet to the point ‘Cash and cash equilevants’.

Unbundling of natural gas network and natural gas sales operations

Chapter 13 of the Natural gas Market Act (587/2017) provides for accounting separation of natural gas business and non-

natural gas business. In addition, computational separation is regulated by the Decree of the Ministry of Economic Affairs and

Employment of the separation natural gas businesses (1306/2019).

227

Annual review Governance Review by the Board of Directors Financial statements

Tangible assets Natural gas network

Acquisition cost as of 1 January 2025 0

Increases 0

Decreases 0

Acquisition cost as of 31 December 2025 0

Accumulated depreciation and write-downs as of 1 January 2025 0

Depreciation and write-downs for the period 0

Accumulated depreciation and write-downs as of 31 December 2025 0

Balance sheet value as of 31 December 2025 0

Tangible assets Natural gas network

Acquisition cost as of 1 January 2024 0

Increases 0

Decreases 0

Acquisition cost as of 31 December 2024 0

Accumulated depreciation and write-downs as of 1 January 2024 0

Depreciation and write-downs for the period 0

Accumulated depreciation and write-downs as of 31 December 2024 0

Balance sheet value as of 31 December 2024 0

Natural gas network’s xed assets net investments

Natural gas network’s return on investment

2025 2024

Return on investment, % 54.11 43.81

Notes to the unbundling of natural gas network operations

228

Annual review Governance Review by the Board of Directors Financial statements

Unbundling of natural gas sales operations

INCOME STATEMENT, EUR million 1 Jan–31 Dec 2025 1 Jan–31 Dec 2024

Revenue 78 79

Other operating income

Utility income 0 75

Materials and services

Materials, supplies and goods

Purchases during the period -93 -158

Change of inventory 0 0

Personnel expenses

Wages and salaries 0 0

Depreciation, amortization and write-downs 0 0

Other operating expenses 0 0

Operating profit/loss -15 -3

Financial income and expenses 0 0

Profit/loss before appropriations and taxes -15 -3

Appropriations

Group contribution received 15 0

Profit/loss for the year 0 -3

BALANCE SHEET, EUR million 31 Dec 2025 31 Dec 2024

ASSETS

Fixed assets and other long-term investments 0 0

Current assets

Inventories 0 0

Receivables

Long-term receivables 0 0

Short-term receivables

Trade receivables 8 5

Other receivables 1 4

Cash and cash equivalents 9 30

18 39

Total assets 18 39

SHAREHOLDERS’ EQUITY AND LIABILITIES

Shareholders' equity

Share capital 0 0

Other funds and reserves 0 0

Retained earnings 1 4

Profit/loss for the year 0 -3

1 1

Accumulated appropriations 0 0

Provisions for liabilities and charges 0 0

LIABILITIES

Long-term liabilities 0 0

Short-term liabilities

Short-term interest-fee liabilities

Trade payables 17 38

17 38

Total equity and liabilities 18 39

229

Annual review Governance Review by the Board of Directors Financial statements

The effect of financial instruments in the income statement 2025 2024

Materials and services; Derivatives

Realized gain 1 0

Realized loss 0 0

Unrealized gain 0 0

Unrealized loss 0 0

Currency derivatives

Realized and unrealized gains and losses on currency derivatives related to the sale of natural gas are booked in the materials

and services group on the income statement in the sale of natural gas.

Notes to the unbundling of natural gas sales operations

230

Annual review Financial statements Governance Review by the Board of Directors

Proposal for the distribution of earnings and signing

of the Review by the Board of Directors and the Financial Statements

Espoo, 4 February 2026

Pasi Laine

John Abbott Nick Elmslie

Anna Hyvönen Just Jansz

Essimari Kairisto Conrad Keijzer

Sari Mannonen

Heikki Malinen

President and CEO

The Parent company’s distributable equity as of 31 December 2025 stood at EUR 3,192 million. The Board of Directors proposes

Neste Corporation to pay a dividend of EUR 0.20 per share for 2025, totalling EUR 154 million, and that any remaining distributable

funds be allocated to retained earnings.

Confirmation of the Board of Directors and the CEO

We confirm that

• the consolidated financial statements prepared in accordance with the International Financial Reporting Standards (IFRS) as

adopted by the European Union and the financial statements of the parent company prepared in accordance with the laws

and regulations governing the preparation of financial statements in Finland give a true and fair view of the assets, liabilities,

financial position and profit or loss of the company and the undertakings included in the consolidation taken as a whole;

• the management report includes a fair review of the development and performance of the business and the position of the

company and the undertakings included in the consolidation taken as a whole, together with a description of the principal

risks and uncertainties that they face and

• that the sustainability report within management report is prepared in accordance with sustainability reporting standards

referred to in Chapter 7 of the Accounting Act and with the Article 8 of Taxonomy Regulation

The Auditor’s Note

A report on the audit performed has been issued today.

Helsinki, 4 February 2026

KPMG Oy Ab

Authorized Public Accountants

Leenakaisa Winberg

Authorized Public Accountant

231

Annual review Governance Review by the Board of Directors Financial statements

This document is an English translation of the Finnish auditor’s report. Only the Finnish version of the report is legally binding.

Report on the Audit of the Financial Statements

Opinion

We have audited the financial statements of Neste Corpora-

tion (business identity code 1852302-9) for the year ended 31

December 2025. The financial statements comprise the con-

solidated statement of financial position, income statement,

statement of comprehensive income, statement of changes

in equity, statement of cash flows and notes, including mate-

rial accounting policy information, as well as the parent com-

pany’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 ser-

vices that we have provided have been disclosed in note 9 to

the consolidated financial statements.

We believe that the audit evidence we have obtained is suf-

ficient and appropriate to provide a basis for our opinion.

Materiality

The scope of our audit was influenced by our application of

materiality. The materiality is determined based on our profes-

sional 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 assess-

ment 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 state-

ments. 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.

Auditor’s Report

To the Annual General Meeting of Neste Corporation

Key Audit Matters

Key audit matters are those matters that, in our professional

judgment, were of most significance in our audit of the finan-

cial statements of the current period. These matters were

addressed in the context of our audit of the financial state-

ments 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.

232

Annual review Governance Review by the Board of Directors Financial statements

THE KEY AUDIT MATTER HOW THE MATTER WAS ADDRESSED IN THE AUDIT

Biofuel credits

(reference to notes 4, 5 and 18 in the consolidated financial statements)

Renewable Products revenue includes income deriving

from biofuel credits which Neste earns based on its sales

operations and production, especially in the USA. These

types of credits relate to the import and sales of renewable

fuels in the form of Renewable Identification Number (RINs)

and Low Carbon Fuel Standard (LCFSs) credits, as well

as to the production of renewable fuels in the form of Clen

Fuel Production Credit (CFPCs).

RINs, LCFSs and CFPCs are accounted for as

government grants upon receipt of the product inventory

in the USA and are recognized as revenue when biofuel

credits are sold to a third party. RINs and LCFSs are

accounted for as inventory to the extent they have been

separated from the physical goods, which happens when

renewable fuel is blended with fossil fuel.

As there is a risk relating to accuracy of biofuel credits

accounting it has been considered as a key audit matter.

Our audit procedures related to biofuel credits included:

• Evaluating the appropriateness of the accounting

policies applied when recording biofuel credits in relation

to relevant IFRS principles.

• Evaluation of the process for registering biofuel credits

and reconciling balances to the eligible credits.

• Comparing of the registered balances against the

systems administered by the Environmental Protection

Agency (EPA) in the USA.

In addition, our audit procedures to confirm accuracy of

biofuel credits accounting included:

• Testing of revenue recognition on a sample basis based

on the sales agreements and system generated reports.

• Comparing the valuation of RINs and LCFSs accounted

for as inventory to quoted market prices.

• Comparing of the value of the CFPCs to the actual or

agreed transaction prices.

THE KEY AUDIT MATTER HOW THE MATTER WAS ADDRESSED IN THE AUDIT

Valuation of inventories

(reference to note 18 in the consolidated financial statements and to note 13 in the parent company

financial statements)

The company has significant inventory balances both in

the Renewable Products and Oil Products segments. The

inventory is valued at the lower of cost or net realizable

value. The cost of inventory in the Renewable Products

segment reflects purchase prices, which are impacted by

the market prices of different feedstocks as well as the mix

of feedstocks purchased.

Inventory management, stocktaking routines and costing

of inventories are underlying key factors in determining the

value of inventories.

Due to complexity of the inventory valuation calculations

for Renewable Products the valuation of inventories in

Renewable Product segment is considered as a key audit

matter.

Our audit procedures related to valuation of Renewable

Products’ inventories included:

• Evaluating the appropriateness of the accounting

policies applied in relation to IFRS standards.

• Testing of controls over inventory management and

valuation.

• Performing substantive audit procedures in order to test

the accuracy of inventory valuation at the lower of cost

or net realization value at reporting date by testing on a

sample basis accuracy of relevant components related

to valuation.

In addition, we have assessed the appropriateness of dis-

closures in the consolidated financial statements in respect

of inventory valuation.

233

Annual review Governance Review by the Board of Directors 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 respon-

sible for the preparation of consolidated financial statements

that give a true and fair view in accordance with IFRS Account-

ing Standards as adopted by the EU, and of financial state-

ments that give a true and fair view in accordance with the laws

and regulations governing the preparation of financial state-

ments in Finland and comply with statutory requirements. The

Board of Directors and the Managing Director are also respon-

sible 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 Direc-

tors and the Managing Director are responsible for assess-

ing the parent company’s and the group’s ability to continue

as a going concern, disclosing, as applicable, matters relat-

ing 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 opera-

tions, 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. Reasona-

ble assurance is a high level of assurance, but is not a guar-

antee that an audit conducted in accordance with good audit-

ing 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 reasonably be expected to influence the economic deci-

sions of users taken on the basis of the financial statements.

As part of an audit in accordance with good auditing prac-

tice, we exercise professional judgment and maintain profes-

sional 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.

THE KEY AUDIT MATTER HOW THE MATTER WAS ADDRESSED IN THE AUDIT

Valuation of property, plant and equipment and goodwill in Renewable Products

(reference to notes 4, 13 and 14 in the consolidated financial statements and to accounting policies as

well as note 11 in the parent company financial statements)

As of 31 December 2025, the total assets of Renewable

Products (RP) segment amounts EUR 10.1 billion including

EUR 0.5 billion value of goodwill.

During the latest years Neste has made remarkable

investments to increase its capacity in RP business. At

the same time geopolitical tensions and political issues in

global trade could affect economic growth and hurt the

demand and supply balance in the markets Neste

operates in.

During 2025 the company started to implement

performance improvement program. Over the financial

year, the company’s financial position and result have

strengthened.

At each reporting date, the management has to assess

whether there are any indications that assets may be

impaired. If any such indications exists, the recoverable

amount of the asset is to be estimated. In addition,

goodwill is subject to an annual impairment test.

The main assumptions used in the valuation of RP’s

property, plant and equipment and goodwill relate to the

estimated future operating cash flows and underlying sales

margins as well as the discount rates that are used in

calculating the present value.

The assumptions used in the valuation of the balances in

question require substantial management estimation, and

thus this is a key audit matter.

Our audit procedures regarding impairment testing

included, among others:

• Assessing the key assumptions used in the calculations,

such as profitability levels, discount rates used and long-

term growth rate.

• Assessing whether the methods and the key

assumptions used are appropriate and have been

consistently applied year-on-year.

• Involving KPMG valuation specialists when considering

the appropriateness of the assumptions used by

comparing to external market and industry information

and testing the technical accuracy of the calculations.

Regarding property, plant and equipment we have also

assessed the management process to evaluate the appro-

priateness of the depreciation periods.

In addition, we have assessed the appropriateness of the

related disclosures in the Group’s financial statements.

We have not identified other key audit matters relating to the parent company’s financial statements.

234

Annual review Governance Review by the Board of Directors Financial statements

We communicate with those charged with governance regard-

ing, among other matters, the planned scope and timing of

the audit and significant audit findings, including any signifi-

cant 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 require-

ments 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 March 30, 2021, and our appointment represents

a total period of uninterrupted engagement of 5 years.

Other Information

The Board of Directors and the Managing Director are respon-

sible for the other information. The other information com-

prises the report of the Board of Directors and the informa-

tion included in the Annual Report 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, and the Annual Report is expected to

be made available to us after that date. 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 com-

pliance with the applicable provisions, excluding the sustaina-

bility report information on which there are provisions in Chap-

ter 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 infor-

mation 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.

Other Opinions Based on Statutory Law

Opinion required by the Finnish Natural Gas Market Act

Based on our audit, it is our responsibility to express an opin-

ion on the matters required by the Finnish Natural Gas Market

Act Chapter 13, Section 64.

The unbundled income statements, balance sheets and the

supplementary information of the natural gas business opera-

tions are prepared in accordance with the Finnish Natural Gas

Market Act and the rules and regulations issued thereunder.

Opinion regarding income tax report

Our responsibility is to, based on our audit, express an opin-

ion on the registration and publication of the income tax report

required in Chapter 7 b of the Accounting Act.

The Board of Directors and the Managing Director are

responsible for the registration and the publication of the

income tax report.

In our opinion, the company has not been obliged to regis-

ter and publish an income tax report referred to in Chapter 7

b of the Accounting Act for the financial year immediately pre-

ceding the financial year.

Other Statements

We support that the financial statements and the consolidated

financial statements should be adopted. The proposal by the

Board of Directors regarding the use of the profit shown in

the balance sheet is in compliance with the Limited Liability

Companies Act. We support that the Members of the Board

of Directors and the Managing Director of the parent com-

pany should be discharged from liability for the financial period

audited by us.

Helsinki, 4 February 2026

KPMG OY AB

Audit Firm

LEENAKAISA WINBERG

Authorized Public Accountant, KHT

235

Annual review Governance Review by the Board of Directors Financial statements

This document is an English translation of the Finnish Assurance Report on the Sustainability Statement. Only the Finnish version of the report is legally binding.

We have performed a limited assurance engagement on the

group sustainability statement of Neste Corporation (business

identity code 1852302-9) 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 1.1.–31.12.2025.

Opinion

Based on the procedures we have performed and the evi-

dence we have obtained, nothing has come to our attention

that causes us to believe that the group sustainability state-

ment does not comply, in all material respects, with

1) the requirements laid down in Chapter 7 of the Account-

ing Act and the sustainability reporting standards (ESRS),

and

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 Neste Cor-

poration has identified the information for reporting in accord-

ance with the sustainability reporting standards (double mate-

riality assessment).

Our opinion does not cover the tagging of the group sus-

tainability statement with digital XBRL sustainability tags in

accordance with Chapter 7, Section 22, Subsection 1(2), of

the Accounting Act, because sustainability reporting compa-

nies have not had the possibility to comply with that require-

ment in the absence of requirements for the tagging of sus-

tainability information in the ESEF regulation or other European

Union legislation.

Basis for Opinion

We performed the assurance of the group sustainability state-

ment 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 His-

torical 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.

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 accord-

ance with these requirements.

The authorized group sustainability auditor applies Interna-

tional Standard on Quality Management ISQM 1, which requires

the authorized sustainability audit firm to design, implement

and operate a system of quality management including poli-

cies or procedures regarding compliance with ethical require-

ments, professional standards and applicable legal and regu-

latory requirements.

Responsibilities of the Board of Directors

and the Managing Director

The Board of Directors and the Managing Director of Neste

Corporation are responsible for:

• the group sustainability statement 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,

• the compliance of the group sustainability statement 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, and for

• such internal control as the Board of Directors and the

Managing Director determine is necessary to enable the

preparation of a group sustainability statement that is free

from material misstatement, whether due to fraud or

Assurance Report on the Sustainability Statement

To the Annual General Meeting of Neste Corporation

236

Annual review Governance Review by the Board of Directors Financial statements

Inherent Limitations in the Preparation of

a Sustainability Statement

Preparing a group sustainability statement requires a com-

pany to make materiality assessment to identify relevant mat-

ters to report. This includes significant management judge-

ment 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 esti-

mation uncertainty.

The determination of greenhouse gases is subject to inher-

ent uncertainty due to the incomplete scientific data used

to determine the emission factors and the numerical values

needed to combine emissions of different gases.

When reporting forward-looking information in accordance

with ESRS standards, a company’s management is required

to make assumptions about possible future events, and to

disclose the company’s possible future actions in relation to

those events, as well as to prepare the forward-looking infor-

mation based on these assumptions. Actual results are likely

to differ because forecasted events often do not 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 sustaina-

bility statement 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 sustain-

ability statement.

Compliance with the International Standard on Assurance

Engagements (ISAE) 3000 (Revised) requires that we exercise

professional judgment and maintain professional scepticism

throughout the engagement. We also:

• Identify and assess the risks of material misstatement of the

group sustainability statement, 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 engage-

ment 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. Con-

sequently, the level of assurance obtained in a limited assur-

ance 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 the company’s management and persons

responsible for collecting and preparing the information

contained in the group sustainability statement.

• Regarding the double materiality assessment process,

we assessed the implementation of the process carried

out by the company and the information disclosed on the

double materiality assessment process in relation to the

requirements of the ESRS standards.

• Through interviews we gained understanding of the group’s

key processes and information systems related to collecting

and consolidating the sustainability information.

• We got acquainted with the group’s internal guidelines and

operating principles relevant to the sustainability information

disclosed in the group sustainability statement.

• We got acquainted with the background documentation and

documents prepared by the company, as applicable, and

assessed whether they support the information included in

the group sustainability statement.

• We assessed the information disclosed on material

sustainability matters in the group sustainability statement

in relation to the requirements of the ESRS standards.

• In relation to the EU taxonomy information, we gained

understanding about the process by which the company

has defined taxonomy eligible and taxonomy aligned

activities, and assessed the regulatory compliance of the

information provided.

Helsinki, 4 February 2026

KPMG OY AB

Authorized Sustainability Audit Firm

LEENAKAISA WINBERG

Authorized Sustainability Auditor, KRT

237

Annual review Governance Review by the Board of Directors Financial statements

Information

for investors

Information for investors 238

Key gures 2025 240

238

Annual review Governance Review by the Board of Directors Financial statements

Neste shares are listed on Nasdaq Helsinki under the trading code NESTE.

The company had 194,382 (187,413) shareholders at the end of 2025.

Information for investors

Annual General Meeting

Neste Corporation’s Annual General Meeting will be

held on Wednesday 25 March 2026 at 10:30 a.m. EET

in the Marina Congress Center, Katajanokanlaituri 6,

Helsinki. Registration and the distribution of voting papers

will begin at 8:30 a.m. EET. Shareholders wishing to par-

ticipate in the Annual General Meeting should inform the

company by 4:00 p.m. EET on 17 March 2026 at the

latest:

• Via Neste Corporation’s website www.neste.com, by

following the instructions detailed therein, or

• By phone, at +358 20 770 6862 (Monday–Friday,

9:00–11:00 a.m. and 1:00–3:00 p.m. EET), or

• By letter, addressed to Neste Corporation, Annual

General Meeting, POB 95, FI-00095 NESTE.

Holders of proxies are requested to forward them when

stating their wish to participate, ensuring that they reach

the company by 4:00 p.m. EET on 17 March 2026 at the

latest.

The Board of Directors proposes to the AGM that a

dividend of EUR 0.20 per share be paid on the basis of

the approved balance sheet for 2025. The dividend will

be paid in one installment.

Interim reports in 2026

Neste Corporation will publish financial reports

in 2026 as follows:

• Interim report January–March 2026:

29 April 2026

• Half-year financial report January–June 2026:

24 July 2026

• Interim report January–September 2026:

29 October 2026

The Interim reports are published in Finnish

and English and can be downloaded at

neste.com/investors.

Contact information

Investor Relations:

Jukka Miettinen,

Vice President,

Investor Relations

Tel. +358 40 778 8855

jukka.miettinen@neste.com

Debt Investor and

Banking Relations:

Katariina Perkkiö,

Vice President,

Treasury and Risk Management

+358 50 458 1492

katariina.perkkio@neste.com

Neste’s general email

address for investors:

investors@neste.com

Dividend payment in 2026

13 March 2026

AGM record date.

27 March 2026

Record date of the dividend

payment.

7 April 2026

Dividend payment date.

239

Annual review Governance Review by the Board of Directors Financial statements

239

Total shareholder return, %

20222021

2023 20252024

Shareholders’ total return, indexed

Neste Stoxx Nordic



Shareholder structure on 31 December 2025, %



Neste share’s trading volumes in 2025, %

Finnish State 44.2% (44.2%)

Non-Finnish shareholders 26.4% (29.8%)

Finnish institutions 17.7% (14.8%)

Households 11.7% (11.2%)

Nasdaq Helsinki 69.5% (69.9%)

CBOE Europe 26.0% (25.8%)

Turquoise 4.4% (4.3%)

BATS Europe 0.1% (0.1%)

120

160

2023 2024 202520222021

Neste’s share performance 2021–2025, EUR

2022 2023 2024 20252021

-20

-60

-40

-80

-25.4

1.1

-21.6

61.7

-58.6

Earnings per share and dividend

per share, EUR

20232022 2024 2025

0.19

0.20

2.46

1.52

1.87

1.20

2.5

2.0

3.0

1.5

1.0

0.5

-0.5

Earnings per share

Dividend per share

2022: Ordinary dividend 1.02 + Extraordinary dividend 0.50

2025: Board's proposal to the AGM.

-0.12

0.20

240

Annual review Governance Review by the Board of Directors Financial statements

2025 2024 Change,%

Income statement

Revenue, MEUR

19,016 20,635 -8%

EBITDA, MEUR

1,438 1,005 43%

Operating profit, MEUR

503 25 1,912%

Profit before income taxes, MEUR

199 -113 276%

Profit for the period, MEUR

144 -95 252%

Comparable EBITDA, MEUR

1,683 1,252 34%

Profitability, %

Return on equity (ROE), %

2.0 -1.2 267%

Comparable return on average capital employed after tax

(Comparable ROACE),% 5.3 2.5 112%

Financing and financial position

Total equity, MEUR

7,314 7,417 -1%

Interest-bearing net debt, MEUR

3,817 4,192 -9%

Leverage ratio, %

34.3 36.1 -5%

Equity-to-assets ratio, %

46.6 47.7 -2%

Net Debt to EBITDA, %

2.7 4.2 -36%

Net cash generated from operating activities, MEUR

1,747 1,154 51%

Other indicators

Capital employed, MEUR

12,497 12,564 -1%

Net working capital in days outstanding

34.7 39.4 -12%

Capital expenditure and investment in shares, MEUR

1,253 2,006 -38%

Research and development expenditure, MEUR

63 86 -27%

Average number of personnel

5,214 5,796 -10%

Total Recordable Injury Frequency per million hours worked (TRIF)

2.1 2.2 -5%

Process Safety Event Rate (PSER)

0.9 1.3 -31%

Share-related indicators

Earnings per share (EPS), EUR 0.19 -0.12 258%

Equity per share, EUR 9.52 9.65 -1%

Cash flow per share, EUR

2.27 1.50 51%

Dividend per share, EUR 0.20

0.20 0%

Dividend payout ratio, % 106.6

-162.3 166%

Dividend yield, % 1.0

1.6 -38%

Share price at the end of the period, EUR 19.41 12.13 60%

Average share price, EUR 11.84 19.26 -39%

Lowest share price, EUR 6.79 10.98 -38%

Highest share price, EUR 20.22 33.60 -40%

Market capitalization at the end of the period, MEUR 14,930 9,331 60%

The 2024 net cash generated from operating activities has been restated in line with the restatement made into Consolidated Cash Flow Statement.

The 2024 cash flow per share has been restated in line with the restatement made into Consolidated Cash Flow Statement.

Board of Directors proposal to the Annual General Meeting

2025 2024 Change,%

GHG indicators

Reduced GHG emissions by Neste customers

with Neste’s renewable products (compared to fossil fuel)

in MtCO

14.2 12.1 17%

Neste’s absolute GHG emissions in scope 1 and 2

(own operations) (tCO

3.1 2.7 15%

Use-phase emission intensity of sold fuel products (gCO

e/MJ)

54 54 0%

Annual Greenhouse gas (GHG) emission reduction achieved over the lifecycle with Neste’s renewable products compared to fossil fuel.

The value is based on market regulations which provide the methodology and define the fossil diesel reference GHG emissions values.

Market-based emissions for scope 2

Use phase emission intensity is calculated by dividing the GHG emissions from the use of fuel products sold by Neste (part of scope 3)

with the total amount of sold energy (gCO

e/MJ).

Key figures 2025

241

Annual review Governance Review by the Board of Directors Financial statements

We have performed a reasonable assurance engage-

ment on the financial statements 5493009GY1X8GQ-

66AM14-2025-12-31-1-fi.zip of Neste Corporation

(Business ID 1852302-9) that have been prepared in

accordance with the Commission's regulatory technical

standard for the financial year ended 31.12.2025.

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 com-

ply with the requirements of the Commission's regula-

tory 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 deter-

mine 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 assur-

ance on the financial statements that have been pre-

pared 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 evi-

dence 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

• 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 proce-

dures 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 Commis-

sion's regulatory technical standard.

We believe that the evidence we have obtained is suf-

ficient and appropriate to provide a basis for our opinion.

Independent auditor’s report on the ESEF financial statements of Neste Corporation

To the Board of Directors of Neste Corporation

Opinion

Our opinion pursuant to Chapter 7, Section 8 of the

Securities Markets Act is that the primary financial state-

ments, notes and company's identification data in the

consolidated financial statements that are included in

the ESEF financial statements of Neste Corporation

5493009GY1X8GQ66AM14-2025-12-31-1-fi.zip for the

financial year ended 31.12.2025 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 Neste Corporation for the financial year

ended 31.12.2025 has been expressed in our auditor's

report dated 4.2.2026. With this report we do not express

an opinion on the audit of the consolidated financial

statements nor express another assurance conclusion.

Helsinki 2 March 2026

KPMG OY AB

Audit Firm

Leenakaisa Winberg

Authorized Public Accountant, KHT