Responsibility towards people and planet is a priority for Basic-Fit. Through our mission, we want to contribute to society by making fitness accessible to everyone and a habit that people love. And through responsible conduct we want to enhance our governance, support more people including workers and communities, and find innovative ways to support a healthy planet. We see this as a journey, a marathon more than a sprint. We hope this statement gives you a clear overview of our progress.

Our Sustainability Statement is prepared on a consolidated basis, covering Basic-Fit N.V. and all entities for which it holds management responsibility. Please see the Basic-Fit Organisational chart for an overview. The scope of consolidation and reporting period aligns with that of our financial statements, including consolidation of the acquisition of the RSG clubs in Spain from the end of March onwards (details can be found in our Business review section). Unless stated otherwise, the scope of our reported data encompasses Basic-Fit’s activities, while other parties in our value chain, such as subcontractors and suppliers, are not included.

This Sustainability Statement is prepared voluntarily applying the European Sustainability Reporting Standards (ESRS) as adopted by the European Commission in 2023, is compliant with the double materiality assessment process carried out by the company to identify the information reported pursuant to the ESRS, and meets the specifications adopted pursuant to Article 8 of the Taxonomy Regulation (Regulation (EU) 2020/852). All relevant information is included in this report. We have not applied either the option to omit information corresponding to intellectual property, know-how or the results of innovation, nor any exemption regarding disclosure of impending developments or matters in the course of negotiation.

With respect to metrics and the monetary amounts disclosed, the following have been deemed to be subject to a high level of measurement uncertainty: energy consumption and data used to calculate Scope 3 emissions. Data characteristics and estimations performed regarding these metrics are explained in the Climate Change and Energy section. In general, details of the measurement methodology, including assumptions, approximations and other measurements applied, are presented in the corresponding topic subsections of this Sustainability Statement. The figures reported are Basic-Fit's best estimate, and as such, measurement and estimation methodologies may be refined in the future as we gain better insights and inputs. None of the metrics' measurements were validated by an external body beyond the review undertaken by the assurance provider.

Incorporation by reference

We have reported the following disclosures (and specific datapoint or paragraph if relevant) in the indicated locations:

Recognising the importance of sustainability for our business and our role in society, Basic-Fit has extended its governance processes and controls to the oversight of sustainability matters. A key characteristic of this is the involvement of our ‘administrative, management and supervisory bodies’. At Basic-Fit, these bodies consist of the Leadership team (four members: CEO, CFO, CCO, COO) and the Supervisory Board (with six members). Regarding their composition and diversity, the following applies: the former are executive members while the latter are non-executive, the ratio of female to male¹ board members is 33% for the Leadership team and 50% for the Supervisory Board, and 83% of the Supervisory Board members are independent.

These boards are broadly responsible for the oversight of impacts, risks and opportunities. There is no dedicated body (such as a committee or similar) set specifically for sustainability matters, yet responsibility to perform strategy development, management, and supervision addressing sustainability is covered in the Management Board, Leadership Team and Supervisory Board rules².

In general, oversight of impacts, risks and opportunities is performed through a yearly risk assessment, the implementation of risk management, reporting to the Management Board and Supervisory Board, and the addressing of any recommendations for follow up, as described in the Risk Management and Control Systems section. We have an internal control framework, with quarterly reports. An annual risk assessment is conducted to address the most significant risks in four categories: (i) Strategic, (ii) Operational, (iii) Compliance, and (iv) Financial. Every risk is assigned a sponsor, an owner, and a champion (or champions). The sponsors are members of Leadership Team, and owners and champions come from relevant internal departments. They contribute to the risk assessments and identification of existing (and future) mitigation or control measures. The results are presented in the Risk Management and Control Systems section of this report. The statements in the latter are read by our external auditors in accordance with Dutch Standard 720 and, starting from 2025 (in accordance with the upcoming changes of the Dutch Corporate Governance Code), the mitigation measures and controls will be further tested. The improvement actions (if any) will be identified, monitored, and reported accordingly (per related requirements - i.e., the Risk Management statement). In particular, sustainability governance is assessed as a separate risk (within the category ‘compliance’) in the annual risk assessment.

Members of our Management Board and Supervisory Board have actively participated in discussions regarding our double materiality assessment (DMA), performed in 2024, helping them to understand how our material impacts, risks and opportunities are identified, as well as any reporting implications. As 2024 was the first year we prepared a Sustainability Statement (in accordance with the ESRS), this has been the main focus of the information provided to our governance bodies. This included the active participation of the CFO during meetings organised for the DMA, and one meeting where the DMA process and outcomes were discussed with the Supervisory Board’s Audit and Risk Committee. This is illustrated in the diagram below, which also presents the material topics identified via the DMA and covered as separate sections in this sustainability statement. In the coming years, as we develop policies and set targets to address material topics, the boards will be involved and informed of any progress achieved.

Although the boards do not include workers representation specifically, the CFO engages with the Workers Council periodically, as laid down in the company’s articles of association, and shares relevant topics with the members of the Supervisory Board.

Members of the boards have been involved in the establishment and monitoring of progress regarding our sustainability strategy, especially our Go for a fitter world programme 2030 and its goals. The Supervisory Board is informed annually of progress achieved, as part of the annual reporting cycle, whilst the Leadership Team is updated informally throughout the year. We will work on setting up a more formal updating schedule to enhance the boards’ involvement in managing our sustainability strategy. This will cover information currently shared informally, including aspects of implementation of due diligence and specific related actions, metrics and targets.

The boards discussed their sustainability-related expertise, particularly in relation to Basic-Fit’s material topics, in their meetings over the year, and whenever technical knowledge is required (e.g., on GHG emissions or climate change), they seek advice from external consultants.

Sustainability-related impacts, risks and opportunities, including associated potential trade-offs, are considered in conjunction with other business-related matters during discussions related to strategy, major transactions and risk management. For example, discussions regarding major acquisitions include considerations related to managing the introduction of any employees from the company acquired and how to ensure that this does not have a negative impact on their working conditions, and that they are treated as fairly and equally as all Basic-Fit employees.

As defined in the Management Board’s remuneration package, the members have targets (as part of short-term incentives) related to sustainability matters, for example regarding energy consumption and gender diversity. The former is the only consideration factored into their remuneration that can be considered climate-related. Their performance is not assessed against specific GHG emission reduction targets. You will find more details on this in the Remuneration report (Short-term incentive) section of this report.

In general, Basic-Fit has not defined any specific targets to manage impacts, risks or opportunities related to any of the material topics covered in this report. The main reason for this is that our approach to sustainability is not yet fully formalised, including for example, that we do not yet have specific approaches to track effectiveness of relevant policies or actions taken. In 2025, Basic-Fit will initiate dedicated process(es) to formally establish targets and or indicators to assess such effectiveness.

Unless stated otherwise, the Management Board is accountable for the implementation of any policies described in this Sustainability Statement.

Risk management and internal controls over sustainability reporting

We started to apply our internal control framework (ICF) to sustainability reporting in 2024. With this, we aim to address risks related to data quality to ensure compliant reporting as mandated. We began with the implementation of control processes for the data related to electricity and gas consumption. We prioritised these topics taking into account our goal to reduce our emissions and the importance of monitoring energy use to achieve this; however, we plan to develop dedicated controls for other sustainability topics in the coming years. We subject the processes and controls related to sustainability reporting to an annual design reassessment, which helps determine additional sustainability topics to be covered by the ICF. This follows the same approach as other processes and controls in scope for the ICF.

In general, as explained in our Risk Management and Control Systems section, the responsibility for performing controls lies with the relevant functions (1st line of defence), and the control owners are assigned accordingly. They periodically submit the evidence of controls performed to the 2nd line of defence function for review. They are also responsible for implementing remediation actions, if the controls have identified either operational or design deficiencies. In the case of sustainability reporting, the Sustainability Reporting Manager is assigned as process owner for all ESRS-related processes and is responsible for identifying major changes in the reporting requirements, if any. A quarterly reporting cycle is performed by the 2nd line of defence function, to coincide with the annual schedule of the Supervisory Board’s Audit and Risk Committee meetings. The ICF findings are first reported to the controls and process owners, then to the Management Board (CFO), and finally to the Audit and Risk Committee.

As this is our first year preparing a Sustainability Statement in accordance with ESRS requirements, we recognise that we can further develop our sustainability reporting practice and related controls. We will continue our work with that objective in the coming year.

Statement on due diligence

The following table provides a mapping of where the application of the main aspects and steps of the due diligence process are reflected in this Sustainability Statement.

1. Following ESRS requirements, the percentages are calculated as ratio of female to male members and not as percentage of total number of members
2. Found on our corporate website at https://corporate.basic-fit.com/about-us/corporate-governance

Empowering everyone to stay mentally and physically fit, while caring for our planet

We believe that everyone deserves to be fit and feel great. By removing the barriers that prevent people from exercising, we encourage everyone to adopt a healthy lifestyle. We aim to live up to our mission to make fitness accessible to all and make everyone feel comfortable and feel that they can be themselves when working out. We do this by being conscious of our environment and our communities, reaching out to our members and beyond.

At Basic-Fit, we aim to have a positive impact on people, our planet and the communities in which we operate. Our sustainability roadmap runs from offering both our members and employees a healthy and safe environment and reducing the impact of our business on the environment to the way we give back to our communities. Our ambition is to achieve a fitter world by 2030, which we outlined in a dedicated programme launched in 2021. This covers three key pillars, reflecting our core business and our role in society.

Our sustainable vision is reflected in our Go for a fitter world programme 2030¹, and its three pillars:

Fitter people focuses on providing access to fitness for as many people as possible. This also means providing a safe environment for people to exercise and work in. We do our best to ensure that our clubs are safe places for all our members, but also that our workforce is well trained, and their work environment is both diverse and inclusive. We also believe it is crucial to provide growth opportunities for our employees, both in the clubs and in our offices.

In line with this pillar, our goal is to keep increasing our reach so more people benefit from our products and services. We believe this is how we will help them move towards a healthy lifestyle.

Fitter planet is linked to our ambition to minimise the negative impact of our activities on our planet and more specifically to reduce our carbon emissions. Beyond our main focus on emissions, we also work to address other environmental issues. This includes initiatives to promote circular economy practices and to further reduce our use of natural resources.

We have made efforts to understand the main sources of our emissions, starting with Scopes 1 and 2 emissions and last year by measuring our Scope 3 emissions. In the coming year, we intend to define a pathway to tackle all our emissions.

Fitter communities focuses on our impact on the communities in which we operate. We believe that fitness has a positive impact on society, including the improvement of nearby communities by increasing the levels of exercise in young people's lives. Our efforts focus specifically on those who lack the opportunity to exercise, whatever their background or ability. In addition to this, part of our healthy communities drive also includes the promotion of responsible behaviour among our business partners.

With this in mind, we have invested in partnerships with organisations that, for example, run dedicated programmes that promote exercise among children and young adults. We aim to continue investing in such partnerships to keep helping people and communities to build healthier lifestyles.

Our business model is based on our mission to make fitness accessible to all and to get people to love their fitness habits. We aim to achieve this by using technology and innovations to provide the best affordable, high-value fitness solution that is easy to use for everyone. In this way, we help our members to pursue a fit and happy life. We operate in six countries in the European market: the Netherlands, Belgium, Luxembourg, France, Spain, and Germany. Key elements of our business model are a winning customer proposition and brand, scalability in existing and new regions, significant cost benefits in building and running clubs, and clear potential for continued growth. The output of our value creation model is aligned with our strategic, financial and sustainability goals: affordable, innovative and high-quality fitness that is available to everyone, resulting in cycles of strong returns and sustainable growth in a way that is responsible towards the environment and society. You will find more information on our sustainable vision and strategy in the Our strategy section of this report.

Our stakeholders

We are committed to creating opportunities to engage with our various stakeholders, enabling us to understand their interests and views, and to take those into account in the pursuit of our sustainable growth strategy, in line with our stakeholder engagement policy. Our stakeholder network is primarily structured around six categories, as listed below.

By maintaining an open dialogue with our key stakeholders, we gain a greater understanding of our shared interests and impact. This also helps us gain their support for our mission to make fitness accessible, and to foster healthy lifestyles. We interact with our stakeholders to ensure we have a clear understanding of their views regarding our performance as a business in general, including their views regarding how Basic-Fit connects with sustainability. We incorporate the information obtained from all these engagements and the outcomes in our strategy, as well as in how we assess and mitigate our risks, and how we view business opportunities. 

In addition to our general approach to stakeholder engagement, we have also performed dedicated engagements to gather information regarding specific topics or projects. One key example of this is the double materiality assessment we carried out last year. For this assessment, we went beyond our normal stakeholder interactions and engaged with a number of other specific stakeholders. For instance, we interviewed and surveyed representatives from our peers and from fitness industry associations, and from non-governmental organisations (NGOs) involved in topics related to sport and health, recognising the importance of their views in this process. You will find more details on this assessment in the Double materiality assessment section of this Sustainability Statement.

Our stakeholder network and engagements

Stakeholder	Relationships	Interactions
Employees	We employ more than 8,000 employees in six countries with different nationalities, personal backgrounds, genders, sexual orientations or religions. Our number one priority is to offer a safe and healthy working environment to our employees. We also provide them with the support they need to optimise their journey with us.	Employee surveys, intranet, calls, emails, regular meetings, team building, employee onboarding.
Members	More than 3.8 million members exercise either in our clubs or at home and outside through our Basic-Fit app. We aim to keep our members engaged and help them to stay active and move towards a fit and happy life. Members’ feedback and needs are taken into account and addressed by our Operations team. Members’ questions are handled by our fully dedicated Customer Care department.	Consumer website, Basic-Fit app, regular surveys, emails, focus groups, social media, online chats, webforms.
Suppliers	We have outsourced many aspects of our operations and therefore work in close cooperation with our suppliers. We view our primary suppliers as an integral part of our operations and the execution of our sustainability strategy. Our main suppliers are the ones providing us with fitness equipment, digital solutions, maintenance and cleaning, as well as builders.	Meetings and supplier code of conduct to foster responsible behaviour.
Financial community	We actively communicate with financial analysts, investors and other financial parties. We are transparent about our purpose, strategy, goals, financials and operations. We communicate in a structured way, ensuring that all parties have equal and timely access to all relevant and price-sensitive information about the company.	One-on-one and group meetings, press releases, corporate website.
Public sector	As a leader in its market, Basic-Fit interacts with a wide range of European, national and local government bodies. We are also actively engaged in discussions with the national fitness federations in the countries where we operate. We believe that the fitness industry has an important role to play in achieving several of the UN’s Sustainable Development Goals.	Partnerships and involvement with fitness federations, discussions with government bodies ranging from the European Union to local councils.
Local communities	We help to encourage our local communities to develop good habits and get an active life and facilitate access to career opportunities.	Collaboration with national and local organisations to support sports, education and job programmes.

Our value chain

We are in contact with many different business actors in our value chain to deliver our fitness services.

Regarding the upstream side of our value chain, our most direct suppliers help us run our clubs and provide our members with support, such as cleaning and maintenance personnel, physiotherapists and personal trainers, and outsourced customer service agents.

Additionally, we work with building partners, fitness equipment manufacturers and other suppliers to ensure our clubs are fully equipped for our members. Moreover, we also engage with digital support and content providers to offer fitness opportunities to our members beyond our clubs.

Our own operations focus on the provision of fitness services, both in person and digitally, for which we depend on our club and office employees.

Beyond our own operations, our members are a key part of our value chain, as they are the main users of the fitness services we strive to optimise. We also support local communities by partnering with organisations that help people become more physically active.

Our value chain diagram connects these different parties with the ESRS topical standard that covers impacts, risks and opportunities typically related to each of them.

Our value chain

1. We will revamp this programme during 2025, especially the goals connected to each
   of the pillars. The latter are therefore currently described in broad terms.

In 2024, we conducted a double materiality assessment. We had previously conducted other assessments and reviews between 2019 and 2022, but last year marked the first time we performed an assessment in accordance with ESRS. As such, the assessment involved the identification of both our impacts on people and the environment, and the business risks and opportunities resulting from sustainability topics. The process confirmed and deepened our understanding of Basic-Fit’s most significant sustainability topics.

The scope of the double materiality assessment included of Basic-Fit N.V’s operations and its value chain. The steps undertaken are summarised in the diagram below.

As a first step, we conducted a landscape assessment, which consisted of a review of industry analysis, peer analysis, a review of previous materiality assessments and a media scan analysis. Additionally, value chain mapping and stakeholder identification provided a broad view of the scope of our operations, our sustainability context, and more specifically, impacts, risks and opportunities (IROs) that could be related to Basic-Fit.

We held an initial workshop, with representatives from various departments, to discuss this overview and define a long list of IROs for more detailed assessment. We grouped IROs into topics to facilitate the assessment. The ESRS topics and (sub)sub-topics were used as initial basis for mapping out relevant topics. At the same time, this workshop and ensuing engagements also looked at whether there could be other topics not covered by the ESRS that apply specifically to Basic-Fit, and we did not identify any indication of such a topic or topics.

We then evaluated these topics by consulting with our stakeholders. The stakeholders consulted - either in an interview or survey - included peers, governmental organisations, NGOs, industry associations, investors and credit institutions, suppliers, and internal stakeholders from various areas of the business. This was supplemented by a review of other stakeholder inputs, including employee surveys and members' feedback about our services. Our aim was to ensure we had a complete picture of the sustainability issues that our stakeholders consider most important to Basic-Fit. We then assessed the resulting topics (and related IROs) internally in separate impact and financial materiality workshops.

Following the identification of relevant topics, sub-topics, sub-sub topics and impacts, we conducted an impact materiality workshop attended by members of the leadership team, the sustainability reporting team and our compliance officer. Depending on the context, we assessed these either at a sub-topic level or on an individual impact basis to ensure a focused and relevant analysis for Basic-Fit. We evaluated impacts using a matrix that scored them on the basis of severity (incorporating scale, scope, and irremediability) and likelihood, each rated on a scale from 1 to 5. Severity was represented on the vertical axis, and likelihood on the horizontal axis of the matrix. The threshold for materiality was determined by a combination of these scores—for example, an impact could qualify as material with a score of 5 on severity but 2 on likelihood, or with a balanced score of 4 on both dimensions.

We also conducted a workshop to determine financial materiality. This workshop was attended by our finance director, treasury director and our internal control officer. Firstly, participants scored identified risks and opportunities individually. Risks and opportunities were scored using a matrix that considered the size of the financial effect (ranging from less than €1 million to more than €25 million) and likelihood, rated on a scale from 1 to 5. The size of the financial effect was represented on the vertical axis, and likelihood on the horizontal axis. Following the individual scoring, the group convened to review and determine the final scores through consensus. The threshold for materiality was dependent on the combination of these scores; for instance, a risk or opportunity could qualify as material with a financial effect of over €25 million but a likelihood score of 2, or with an effect of over €10 million and a likelihood score of 4.

Through the DMA process, including impact and financial materiality workshops, we also considered the timeframes for these IROs as defined in the ESRS, i.e., short-term as one year, medium-term between one and five years, and long-term more than five years.

The different discussions and reviews included consideration of the interconnectedness between the IROs, how impacts on people or our dependency on environmental resources may trigger certain risks for the business. This is in line with our Risk management and control systems. Additionally, during the process we maintained a neutral and prudent approach towards depicting negative and positive aspects of information, trying to keep a focus on gross effects and, for example, avoid netting or compensating negative impacts or risks with mitigation actions or opportunities.

The monitoring and management of sustainability-related risks and opportunities is integrated into Basic-Fit’s overall management process. In effect, these risks and opportunities are prioritised along with other business risks and opportunities.

Looking ahead, we anticipate performing a review of our material topics in 2026. Future reviews and assessments will enable us to confirm whether material topics remain material but will also include re-evaluation of topics deemed not material in previous years. One example of the latter is water use. Taking into account that our clubs do not have facilities that require large quantities of water, such as swimming pools or saunas, and our wastewater discharge is minimal, primarily from showers, toilets and cleaning activities, we concluded that the topic is not material. Re-evaluation of this topic will be part of future processes seeking to maintain a complete view of material sustainability matters.

Results from projects undertaken for specific purposes, and performed between materiality assessments, may also offer insight into new topics. For example, as we performed a calculation of our full carbon emissions inventory for the first time, preliminary results, only available after finalising the present materiality assessment, suggested impacts, related to certain emission sources, which could become material in the future when we have a better understanding of our carbon inventory. 

Material topics, related IROs, and disclosures (ESRS or entity-specific)

Material topic1	Impacts, risks and opportunities		Location	Disclosures2
Climate change and energy		Energy efficiency and renewable energy usage: Basic-Fit's network of clubs consumes significant amounts of energy to operate, which generates GHG emissions. Implementing energy-efficient practices, such as self-powered fitness equipment and energy-efficient heating, ventilation and air-conditioning (HVAC) systems, along with transitioning to renewable energy sources, help mitigate the generation of GHG emissions.		E1-1 - E1-9
		Operational risks from climate change: Extreme weather events can damage clubs or disrupt power supplies, leading to operational downtime, potential revenue loss, and customer dissatisfaction. No specific weather event has been identified as financially material at the group level, but some events may be more pervasive in certain locations, requiring different approaches to address this risk.
		Cost reduction through energy-saving initiatives: Energy-saving initiatives lead to long-term operational cost reductions, improving profitability.
Circularity via smart resource use		Sustainable product design: As a key input in our clubs, Basic-Fit's demand for fitness equipment can have a significant environmental footprint. By servicing and refurbishing this equipment to extend its lifespan, both Basic-Fit (indirectly) and its suppliers (more directly) can reduce the need for raw materials to produce new equipment. Besides, exploring with our suppliers other circularity approaches, such as using recyclable materials, could potentially further reduce our footprint.		E5-1 - E5-4 Entity-specific: equipment per club
		Life-time extension of gym equipment: Reducing the environmental footprint of the business model by extending the life cycle of fitness equipment potentially leading to reduction of required investments.
		Opportunities from other circularity practices: exploring the use of products designed for disassembly and reuse and implementation of recycling solutions can reduce expenses required to purchase new products.
Our people: working conditions of the workforce		Ergonomic and safe working conditions: Ergonomic equipment and effective facility management ensures safe and clean working environments, promoting employee health and safety.		S1-1 - S1-17
		Physical strain, safety risks, and employee safety: Employees involved in facility management and equipment maintenance may face physical strain and risks associated with handling heavy equipment or cleaning chemicals. Additionally, we need to address safety concerns, particularly for employees working alone at clubs, to ensure a secure and supportive working environment for all staff members.
		High employee turnover and job security: High employee turnover rates raise concerns about job satisfaction and working conditions. Additionally, the introduction of the 24/7 model with the option of having clubs remotely surveyed and without staff may lead to the perception of reduced workforce stability and secure employment for current employees. This combination highlights the need to improve both job satisfaction and long-term job security to maintain a stable workforce.
Our people: equal treatment, opportunities and privacy for the workforce		Employee development and inclusion: Focusing on enhancing skills, ensuring gender equality, and fostering a diverse and inclusive workplace to boost employee satisfaction and productivity. Additionally, the fitness-centric nature of Basic-Fit's operations promotes a healthy workforce.
		Privacy breaches and workforce security: While privacy breaches are unlikely due to control measures in place, they can severely impact employees if they occur. Such breaches might expose personal and sensitive information.
		Potential exclusivity in policies: Incorrectly applied inclusivity policies could unintentionally exclude certain employee groups, such as part-time workers or those with disabilities, impacting morale and causing dissatisfaction.
Workers in our supply chain		Employment opportunities: Operations in Basic-Fit's value chain can provide various employment opportunities, and promote work environments with fairer wages and safer conditions, which can also promote economic growth in different regions.		S2-1 - S2-4
		Potential mistreatment in labour-intensive sectors: Workers in labour-intensive sectors, such as cleaning, security, and construction, may face risks of mistreatment and poor working conditions if not properly monitored.
		Equal treatment challenges: There could be challenges in ensuring equal treatment (incl. diversity) for subcontracted workers, particularly in countries without very strong labour laws.
1 Regarding time horizons, we expect each IRO to remain material in the short, medium and long-term 2 ESRS codes listed as general reference, specific (sub)disclosures covered by them may be phased-in and thus not reported for 2024.
Our members		Health and well-being promotion: Health and well-being promotion: Improving public health by providing accessible fitness facilities and promoting physical activity (through mass sports events) can enhance quality of life and reduce healthcare costs for people.		S4-1 - S4-5 Entity-specific: memberships, clubs, visits
		Inclusivity and accessibility: Visiting the club can be intimidating to some members, e.g., when they have little experience using the equipment. Initiatives like 'Be Comfortable' can help members avoid gymtimidation and make fitness accessible to a broader demographic, promoting social inclusion and ensuring facilities are welcoming for all users.
		Information complexity: The complexity of information available online or at clubs might lead to confusion or misuse of fitness equipment.
		Exclusivity and inaccessibility issues: Despite inclusivity initiatives, some groups might still find facilities physically inaccessible or financially prohibitive, leading to perceptions of exclusivity or discrimination. Basic-Fit is aware of a limited number of cases of clubs that may not be fully accessible to people with disabilities, including equipment and supportive services tailored to the needs of disabled members, which may exacerbate feelings of exclusion.
		Safety and security in 24/7 operations: Ensuring member safety during off-peak hours is crucial. Concerns about the adequacy of security measures, particularly remote surveillance and response times when clubs have limited or no staff, may affect member perceptions of safety.
		Enhanced digital engagement and member education: Utilising digital platforms like apps to provide personalised training programmes and manage memberships more efficiently can improve user satisfaction and operational efficiency. Also, providing members with information about health, wellness, and safe equipment use can enhance their experience and build long-term loyalty.
Community investment		Economic contributions: Job creation and local business engagement make a positive contribution to local economies and improve the presence of the business among local community members.		S3-4 Entity-specific: financial contribution
		Community engagement: By offering affordable fitness options and sponsoring initiatives to promote a healthy lifestyle, Basic-Fit has a positive impact on broader communities. These efforts advocate for healthier living, benefiting both local areas and our consumers.
Business conduct		Promotion of ethical business practices: By implementing rigorous training and detection mechanisms, Basic-Fit can lead by example in promoting a culture of integrity and ethical behaviour, not only within its own operations but also among its partners and peers in the fitness industry.		G1-1 - G1-3, G1-5 - G1-6
		Supplier relationship management and ethical risks: A commitment to transparent procurement, with clear documentation and open tenders, sets an accountability standard. However, Basic-Fit's commercial influence or high dependency of certain suppliers on Basic-Fit's payments might create power imbalances. This could pressure suppliers to cut corners to meet demands or contractual terms, potentially leading to unethical business practices. Transparency and ethical supplier engagement are crucial to maintaining integrity in the supply chain.
		Whistleblower protection and lobbying practices: Without robust whistleblower protections, Basic-Fit employees may feel intimidated or fearful of repercussions, leading them to refrain from reporting unethical practices, misconduct, or violations of laws within the organisation. Additionally, if political engagement is conducted unethically by lobbying agencies, it could be perceived as exerting undue influence by Basic-Fit.
1 In general, we expect all IROs to remain material in the short, medium and long-term 2 ESRS codes listed as general reference, specific (sub)disclosures covered by them may be phased-in and thus not reported for 2024.

Outcomes

The material impacts, risks and opportunities (IROs) we identified were grouped into topics as presented and described above. There are eight material topics: climate change and energy use; circular economy; working conditions of the workforce; equal treatment, opportunities and privacy for the workforce; value chain workers; communities; members; and business conduct. This Sustainability Statement describes how we address such topics.

All IROs connect to our business model and/or strategy and in some cases also to activities taking place upstream or downstream of our value chain. In general, we expect all IROs to remain material in the short, medium, and long- term, even if specific elements change over time (e.g., some types of physical risks related to climate change may become less material in time, yet climate change is expected to remain as a material risk). Anticipated materiality reviews and full assessments in the future will test this expectation.

Regarding current financial effects of material risks and opportunities, those related to a circular economy and mainly related to our ‘smart refurbishing’ model, are deemed to have an overall significant effect through higher maintenance expenses and lower capital expenditures and lower depreciation. This is explained in Note 4.3 of the Financial Statements. Other risks and opportunities are deemed to have limited financial effects, as is the case of savings regarding energy costs for example, which were offset by other housing expenses (as explained in Note 3.8 of the Financial Statements).

We have launched efforts with the aim of understanding the resilience of our business model in the face of climate change impacts on our business, including risks related to extreme weather events. This is explained in the Climate change and energy section. Beyond this, we believe our strategy and business model, including actions planned as per our risk management and control systems and improvements we are working on, will enable us to address material impacts and risks and take advantage of material opportunities.

Identification of information to disclose

Following the identification of material topics, we selected the corresponding material information to be disclosed in this statement. We evaluated disclosures in terms of how effectively they reflect our material topics, and we selected those we considered relevant and useful for an understanding of the related material IROs.

We began by assessing the reporting disclosure requirements and datapoints in the topical ESRS (including their (sub)sub-topics) to identify which of those we should report to reflect our material IROs. This assessment covered a broad perspective, in which the ESRS disclosures were only considered out of scope if they were clearly disconnected from the material topic and its IROs. For some topics, entity-specific disclosures were also considered relevant for reporting. This was the case for our reporting on members and communities, for which we include specific metrics that represent our impacts more specifically. For more details, see the ESRS Disclosure section of this Annual Report.

Topic-specific considerations

With respect to IROs related to our own workforce, club hosts and workers in our offices are considered employees, while live group instructors in clubs, contingent workers in Luxembourg, and freelancers in our offices are considered non-employees. The IROs we identified refer to the general working environment in Europe, where we operate. We recognise that our business is highly dependent on our workforce and thus strive to ensure their safety and fair working conditions.

Addressing negative impacts on the environment is primarily focused on energy use reductions and extending the lifespan of fitness equipment. This is not expected to lead to any significant change in the way we work, and therefore we consider there is no significant impacts on our workforce that would arise from addressing environmental impacts.

During the double materiality assessment, the level of dependency of certain suppliers on Basic-Fit’s business was used as a criterion to identify IROs relating to business conduct.

In addition to this materiality assessment, we performed a climate change risks and opportunities assessment, which identified physical and transition climate risks per country. Beyond this, we did not perform any specific site or country assessments regarding the environmental topics we assessed in order to identify their materiality; this means we identified material IROs and topics at an overall group level.

Fit to tackle climate change

Following our DMA outcomes, we recognise that extreme weather events and other climate-related risks can have material effects on our business, and we aim to take action to adapt our business. We understand that to adapt effectively it will be necessary to begin by gaining clear insights into the types of risks and opportunities that climate change creates for us. This would help us to assess the resilience of our business in relation to such risks and define adaptation solutions as needed. With this objective in mind, Basic-Fit conducted its first climate-related risks and opportunities assessment (CRRO) in 2024. The outcomes of this, including how climate change-induced extreme weather events can affect our business, are presented in this section.

We also work to mitigate our impact on climate change, mainly by reducing our GHG emissions through a more efficient use of energy. Last year, we set out to measure our Scope 3 emissions for the first time, and we now have a process for reporting our full emissions inventory, including improvements in our measurement of Scopes 1 and 2 emissions. Additionally, we will develop a register of climate change mitigation actions, including related decarbonisation levers and expected emissions reductions. All of this information is vital to develop a transition plan for climate change mitigation in a serious and well-informed manner. With these outcomes, we intend to have such a transition plan by the end of 2025.

As a leader in the fitness industry, it is Basic-Fit’s aim to implement a strong climate-related policy, yet this is still in the draft stage, including considerations of how we will manage other environmental impacts. We anticipate such a policy will tackle climate change mitigation and adaptation, as well as renewable energy deployment, with approval and launch expected in the course of 2025. At the moment, Basic-Fit is thus unable to describe in detail the key climate change mitigation and adaptation actions, targets or resources allocated to the implementation of this policy. That said, we are already engaged in certain climate change mitigation efforts, such as installation of solar panels and HVAC control systems, which are intended to reduce our energy consumption and related emissions. These are included in the EU Taxonomy section of this report.

As part of our Go for a fitter world programme, we are committed to working to reduce our emissions. However, specific related targets will be defined in 2025, when we have a better understanding of our full emissions inventory and decarbonisation trajectories. Currently, recognising that reducing energy use lowers related emissions, progress in the former serves as an indicator of the effectiveness of our efforts.

Climate-related risks and opportunities assessment

The core analysis consisted of identifying the material¹ physical and transition risks and opportunities to the business through a climate-related scenario analysis.The physical and transition risks and opportunities were listed and determined as per Task Force on Climate-Related Financial Disclosures (TCFD) recommendations. The selected scenarios were compatible with the climate-related assumptions and expectations made in our financial statements. Our efforts to reduce energy consumption, which can be considered as supporting climate mitigation, were considered mainly during the identification of transition risks and opportunities, effectively resulting at the basis of one risk and one opportunity identified (as described below).

For physical risks, the analysis used climate scenario data from a low emissions pathway (SSP1-2.6)³and a high emissions pathway (SSP5-8.5), with SSP5-8.5 representing a ‘reasonable’ worst-case climate scenario by 2050. Due to limitations in data availability and reach, Basic-Fit could not extend 2024’s physical risks analysis to its value chain. We are planning to include the value chain by the fourth year of our ESRS reporting.

We investigated a representative sample of clubs, allowing optimal use of our in-house data while still obtaining results with an acceptable level of granularity. To determine materiality, we analysed the relevant physical hazards under each pathway. The results are visualised and explained in the tables ‘physical risks’ and ‘transitional risks and opportunities’ below. We found water stress to be a material physical risk in all scenarios. A majority of clubs in the sample were at risk of either flooding or drought due to changing precipitation patterns. Heatwaves, heat stress, and storms are also projected to become highly material in a high-emissions pathway scenario.

We identified key transition risks and opportunities via an internal relevance assessment, including workshops with internal stakeholders. We used climate scenarios from recognised sources, such as the Network for Greening the Financial System (NGFS) and the International Energy Agency (IEA). These entail a ‘low-carbon’ net-zero policy scenario and a ‘business-as-usual’ scenario aligned with current climate policies. Each analysis scenario implements a 2030, 2040, and 2050 timeframe. We used the low -carbon scenario to map the transition risks and opportunities. The analysis also extended to Basic-Fit’s value chain as, being qualitative, data insights into the topics were more obtainable. The detailed results are explained in the ‘material transition risks and opportunities’ table below. The changes in materiality over the different timeframes are also visualised in this table. To briefly summarise our assessment, volatile energy prices were found to remain a material transition risk in 2040 and 2050. While material in 2030, the efforts to decarbonise Basic-Fit’s value chain are expected to decrease in materiality in 2040 and 2050. The analysis found one material transition opportunity in Basic-Fit’s proactive management of energy consumption, which may lead to significant savings. It is expected to remain a material opportunity across all three timeframes of the ‘low-carbon’ scenario.

As a follow up to this Climate-related risks and opportunities assessment (CRRO) assessment, in 2025 we will organise workshops to identify adaptation solutions, with the aim of monitoring their effectiveness during implementation. Additionally, we plan to carry out an internal review of the CRRO on a yearly basis, to ensure results remain faithful to changing climate developments.

Energy powering our operations

Controlling our use of energy and ensuring that it comes from renewable sources is key to the reduction of our direct emissions. It also helps us also to improve the cost efficiency of our club operations. As such, Basic-Fit sees energy use as a strategically important topic.

In broad terms, energy consumed in Basic-Fit operations consists primarily of purchased electricity and gas for running clubs and offices, self-generated renewable energy from solar panels and fuel for company vehicles.

Sources of energy consumed

Basic-Fit has taken some actions in 2024 to address our negative impacts on the environment. This includes the installation of solar panels, heat pumps, efficient water boilers and HVAC control systems. These actions were taken with the expected outcome of reducing our energy consumption and related emissions. You can find more information on these actions in Note 2.3 of the Financial Statements.

Renewable energy production

Methodology Notes

The data regarding sources of energy used⁴ covers Basic-Fit’s club operation and energy use in offices. It is disaggregated by country. Company leased cars and self-generated renewable energy are also taken into account in these results.

Actual electricity data was available for 73% of clubs and gas data for 68% of relevant clubs. In cases where actual energy consumption data for 2024 was unavailable, we calculated the median energy usage per club per square metre for each country, using actual data sourced directly from energy suppliers and smart meters. This information was then used to estimate energy consumption for clubs without data, based on their size (in square metres).

Regarding the disaggregation of energy by sources, we applied the following:

1. The electricity purchased in France, Spain, and Germany was disaggregated based on information from national suppliers or energy authorities regarding country-level electricity generation sources. Basic-Fit intends to purchase GOs for total electricity consumption in 2024, with the purchase planned for 2025 once electricity consumption data has been settled, and the actual consumption is known. As a result, the energy mix indicated in this report may be updated accordingly.

2. In the Netherlands and Belgium, all electricity purchased was classified as renewable based on purchased guarantees of origin (GOs) certifying that electricity comes from renewable sources.

3. In Luxembourg, the energy contract certifies that all electricity comes from renewable sources.

1. Gas consumption is accounted as ‘energy from fossil sources’.

2. Fuel consumption by company leased cars is accounted for as ‘energy from fossil sources’ and is based on data from fleet reports. An assumption of 5.5 L/100km was applied for fuel consumption. Energy consumption from electric company- leased cars is considered under purchased electricity.

Regarding the disclosure requirement applicable to high climate impact sectors (disaggregation of sources as per paragraph 38), we consider this does not apply to Basic-Fit, as we deem our operations to be classified under NACE section R code 93.13 ‘Activities of fitness facilities’, whilst the ESRS defines high climate impact sectors as those listed in NACE Sections A to H and L. 

Regarding renewable energy production data from our solar panels (E1-5 39), we had access to actual solar generation data for all relevant clubs. In cases where a club produced more renewable energy than it could consume, the excess energy was returned to the grid. The amount of renewable energy sold is based on actual data from the energy supplier and is reported in the table "renewable energy production". The difference between the self-generated renewable energy produced and sold is reported in the table 'Sources of energy consumed', under self-generated renewable energy (E1-5 37ciii). Basic-Fit did not engage in the production of non-renewable energy (E1-5 39).

GHG Emissions

Last year, we undertook a full calculation of our emissions inventory, updating our calculations of Scope 1 and 2 emissions and for the first time measuring our Scope 3 emissions. In summary, the emissions comprise the following:

Scope 1 emissions relate to gas consumption in clubs and offices, travel using vehicles leased by Basic-Fit, and refrigerant fluids used in heating, ventilation, air conditioning, and refrigeration machines.

Scope 2 emissions are related to the indirect emissions based on the electricity purchased by Basic-Fit. This is equivalent to the electricity consumption as reported under E1-5. The Scope 2 emissions reported here include the gross location-based and market-based emissions.

Scope 3 emissions are calculated after assessing the applicability of the corresponding 15 categories in the GHG protocol. Applicable categories are included in the GHG emissions table below.

The following Scope 3 categories were excluded from the calculation:

• Upstream and Downstream Leased Assets: Leased assets, including vehicles and buildings, were accounted for under other categories, as they are integral to Basic-Fit’s operations.

• Processing of Sold Products: Basic-Fit does not engage in the sale of intermediate products.

• Franchises: Basic-Fit did not operate franchises in 2024.

GHG emissions

1. 2024 is the base year for GHG emission calculations for Basic-Fit. Since this is the first year, we have omitted the retrospective columns from the E1-6 AR 48 standardised table. Additionally, the 'Milestones and target years' columns have not been included in the GHG emission table above. As outlined earlier in the report, we plan to define milestones and targets by the end of 2025, along with a transition plan (E1-6 AR 48)
2. Optional subcategory under the GHG Protocol

Emissions intensity

Methodology notes

GHG Emissions
The GHG Emissions table shows gross Scope 1, 2 & 3 emissions in metric tonnes of CO2eq. Scope 1&2 emissions are disaggregated by country. Scope 2 emissions also include the gross location-based and market-based emissions. 0% of Scope 1 GHG emissions come from regulated emission trading schemes. Basic-Fit did not purchase any carbon credits in 2024 and did not participate in any GHG removal or GHG mitigation projects financed through carbon credits. Basic-Fit has not applied any internal carbon pricing schemes. All emissions disclosed correspond to the consolidated accounting group. 

Scope 3 Emissions
The highest emitting categories for Scope 3 were purchased goods and services, capital goods and visitors.

• Category 1 - Purchased goods and services: The largest share of the purchased goods and services was attributed to the purchased services. Emissions from purchased services were calculated using supplier cost data. For each supplier, industry-specific emission factors from BaseCarbone (v23.4 & 2022), ExioBase (2022) and GES1points5 (2019) were used to determine the associated emissions.

• Category 2 - Capital goods: primarily related to the construction or renovation of new leased buildings and gym equipment. The building emissions were calculated based on the square meter data of new clubs opened in 2024, combined with emission factors from EcoInvent (3.10.1). Gym equipment emissions were based on delivery data from the equipment supplier which included the actual number of items delivered and the weight of the products in 2024. This was allocated per country according to the number of new clubs in each country. Due to data availability assumptions were made to estimate the composition of gym equipment. Emission factors from IPCC (2021) were then used to estimate associated emissions.

• Category 11 - Visitors: Although not required by the GHG Protocol, the guidance for the calculation of Scope 3 emissions category 11 'use of sold products' provides the option to include indirect use-phase emissions. This subcategory can be connected with the emissions generated by our Visitors’, traveling from their home to our clubs. To obtain a more complete view of our emissions inventory, Basic-Fit conducted a survey to assess visitor travel emissions. The survey collected data on transport modes and travel distances for members commuting to and from clubs. Survey results indicate an average travel distance of 8 km, which is used to estimate emissions for all visitors, including members and their friends. The results are presented as additional lines in the emissions calculation table below. We will refine this measurement in the future to obtain a clearer view of the size and significance of this type of emissions in our inventory.

Scope 3 emissions from categories 4, 6, 9, 12 and 15 individually account for less than 1% of total emissions. Categories 3, 5 and 7 have minor impacts accounting for less than 5% individually and data quality efforts are underway for future reporting. Our calculation methods for these categories are in line with the GHG Protocol and include activity-based method, distance-based approach, average-activity method, average spend-based method and other hybrid methods.

Scope 3 Emissions calculated using primary data
Where available, Scope 3 emissions are calculated using primary data, supported with assumptions where necessary. For the significant categories the use of primary data is stated under the section 'Scope 3 emissions' above. This includes parts of category 5 from waste collection contract data detailing liters collected and collection frequency, parts of category 6 with data from an external travel report with actual costs and kilometres travelled by employees, and parts of category 7 based on HR-reported actual distances and hours worked. Additionally, primary data is used for categories 2, 4, and 9, incorporating supplier-provided details on gym equipment quantity and weight, as well as category 2 solar panel data, including the actual number and type of panels.

Basic-Fit has some processes in place to reduce uncertainties and improve quality of data. This includes validation from external climate experts and internal reviews performed by management to identify abnormalities in data.

Emission Factors
Emissions were calculated in accordance with GHG Protocol guidelines, with emission factors selected by external climate advisors based on their relevance and appropriateness for each category. For Scope 1, the emissions factors were provided from DEFRA (2022 & 2024), CO2emissiefactoren (2024), IPCC (2013 & 2021), EcoInvent (v3.10.1) and ExioBase (2022). For Scope 2, the emissions factors were provided from AIB (2023) and ExioBase (2022). For significant Scope 3 categories, the emission factors were provided from BaseCarbone (v23.4 & 2022), ExioBase (2022), GES1point5 (2019), EcoInvent (3.10.1), DEFRA (2024) and AIB (2023). Other industry databases were used where deemed relevant by external climate advisors, with Basic-Fit acknowledging the inherent uncertainty associated with reliance on individual judgment.

GHG Emissions Intensity
GHG emissions intensity is calculated based on the gross Scope 1, 2 & 3 emissions reported in the Emissions Intensity table, per net revenue. Note 3.2 of the financial statements presents disclosures relating to revenue, as well as the accounting policy applied.

1. The term ‘material’ in this section is different from the use of the term in the DMA section, the CRRO followed a different methodology and the outcomes were not specifically considered during the DMA. As such, the term ‘material’ here, can be considered as pointing to the most significant physical risks and transition events.
2. A detailed account of our impacts on GHG emissions was not included in this analysis. Reporting on such impacts is covered in the 'GHG Emissions' section.
3. SSP stands for 'Shared Socioeconomic Pathways', a set of scenarios developed by the international scientific community to facilitate climate policy and impact analyses
4. This means the 'Sources of energy consumed' table presents totals for the following disclosures: E1-5 37a, 37b, 37cii and 37ciii. 37ci is not applicable to Basic-Fit.
5. Statistical Classification of Economic Activities in the European Community (NACE 2.1) https://ec.europa.eu/eurostat/documents/3859598/5902521/KS-RA-07-015-EN.PDF]

Smart resource use: promoting circularity in our clubs

In line with our ambition to achieve a ‘fitter planet’, we actively seek solutions to address our environmental impacts beyond reducing our use of energy. The manufacture of new fitness equipment can entail significant extraction of natural resources, which creates a key opportunity for us to implement circular economy practices in our operations.

Together with our fitness equipment supplier, we have developed a new approach to extend the useful life of our fitness equipment: the smart refurbishment model, extending the equipment’s useful life to 12 years. This model ensures that the quality of the equipment is safeguarded, by maintaining the excellent look, feel and technical operational level of the equipment. This is achieved via periodic inspections, the implementation of preventive maintenance activities, and the prompt repair of identified defects by our equipment supplier.

The agreement at the basis of this model also covers the responsible disposal or recycling of replaced equipment components, compliance with ESG reporting obligations, and the application of our Supplier Code of Conduct.

In summary, thanks to this model the lifespan of the equipment is extended and therefore our demand for new equipment will be reduced. This can be considered as a way to reduce the resource inflows required to provide our fitness services. As such, we expect the indicators regarding weight of fitness equipment below will reflect this evolution in upcoming years.

Resource inflows

Methodology notes

Primary data obtained from the gym equipment supplier includes details on the quantity of each equipment type and the total weight purchased by Basic-Fit in 2024. We consulted with our supplier regarding the weight of recycled and other secondary materials or components used to manufacture the fitness equipment as a proportion of total input used (in connection with ESRS E5-4-c) but this data is not available.

This model originated as a proactive effort to further reduce our environmental footprint. However, having no dedicated environmental policy, we will work in 2025 to develop one and thus formalise the management of our impacts, risks and opportunities related to topics such as sustainable sourcing, use of renewable resources, and circular economy. Similarly, we did not undertake any specific assessment process regarding our resource use and circular economy. For instance, we did not specifically screen activities in our value chain in terms of resource flows or waste, or perform any dedicated consultations on the topic.

Basic-Fit is subject to Regulation (EU) 2020/852 on EU Taxonomy. The taxonomy establishes an EU-wide classification framework that sets the criteria for defining ‘environmentally sustainable’ economic activities in relation to six climate and environmental objectives. Basic-Fit is required to disclose the percentage of Taxonomy-eligible and Taxonomy-aligned economic activities in terms of its total turnover, capital expenditures (capex) and operating expenses (opex)¹, and complementary qualitative information.

The six environmental objectives established by the EU Taxonomy are: climate change mitigation, climate change adaptation, sustainable use and protection of water and marine resources, transition to a circular economy, pollution prevention and control, and protection and restoration of biodiversity and eco-systems (abbreviated as follows in this subsection: CCM, CCA, WTR, CE, PPC, BIO). Delegated acts developed for each environmental objective define the list of applicable economic activities. Taxonomy-eligible economic activities refer to activities that are listed in the delegated acts, irrespective of whether the economic activity meets any or all of the technical screening criteria (TSC) laid down in said delegated acts. Taxonomy-aligned economic activities refer to Taxonomy-eligible economic activities that comply with the TSC laid down in the delegated acts, which include fulfilling the principle of do no significant harm (DNSH) to the other environmental objectives, and complying with minimum safeguards on human and labour rights.

The taxonomy regulation defines the turnover denominator as a company’s net turnover in the given year (for Basic-Fit this is reported as total revenue). The capex denominator is defined, for IFRS companies, as all costs accounted under IAS 16 Property, Plant, and Equipment, IAS 38 Intangible Assets, IAS 40 Investment Property, IAS 41 Agriculture, IFRS 16 Leases. Finally, the regulation defines opex as costs related to 'the research and development, building renovation measures, short-term lease, maintenance and repair, and any other direct expenditures relating to the day-to-day servicing of assets of property, plant and equipment by the undertaking or third party to whom activities are outsourced that are necessary to ensure the continued and effective functioning of such assets.'

Scope and methodology

At a high level, Basic-Fit's main activity – the operation of fitness clubs and offering fitness services to its members – does not fall under the activities covered by the EU Taxonomy (as per review of covered activities listed in the EU Taxonomy Navigator²). However, some specific activities undertaken in the pursuit of our business objectives may be covered. We carried out internal discussions and workshops to identify these activities and initiate the corresponding reporting in 2024. We first highlighted the eligible activities, based on the technical screening criteria. We then screened the selected activities for alignment, based on the DNSH criteria. Finally, we identified the relevant accounting items to determine the numerator values in accordance with regulation (EU) 2021/2178. This process is visualised in the ‘EU Taxonomy process’ diagram below.

EU Taxonomy process

Eligibility Analysis

Over the past year, TSC documentation has gone through several changes, namely through the addition of regulation (EU) 2023/2486. We re-mapped the potentially applicable activities covered by regulations (EU)2021/2139 and (EU)2023/2486. We then identified eligible activities in the scope of the climate change mitigation and circular economy objectives.

Basic-Fit’s main activity and source of revenue is the operation of fitness clubs. Since this activity is not covered by the EU Taxonomy, as explained above, we consider none of Basic-Fit’s turnover as eligible³. A portion of Basic-Fit’s capex is devoted to ensuring its clubs run sustainably, for example by installing energy-efficient components. This year, we also devoted capex and opex to the improvement of the maintenance of our fitness equipment. The sections below will explain how we find these amounts eligible for the capex and opex numerators.

Identified activities

Basic-Fit clubs are located in rented properties, which undergo a refurbishment to be elevated to the standard of a Basic-Fit club. Part of this transformation entails the improvement of on-site energy performance through the installation of efficient heat-pumps, boilers, heat recovery units, or solar panels (pending landlord approval). This leads to a significant sum of capex related to renovation works in rented real estate. In 2024, we also invested in improving the energy efficiency of our international headquarters. We identify this capex as eligible in accordance with the description of the “renovation of existing buildings” activities 7.3 and 7.6 for the climate change mitigation objective.

In addition, and as mentioned previously, in 2024 we signed a ‘smart refurbishment’ agreement with our fitness equipment supplier. This agreement entails preventive inspections and regular maintenance of fitness equipment in all clubs.

The main objective is to extend fitness equipment life. We thus concluded that the related capex and opex are eligible under the ‘services’ activity 5.1 ‘Repair, refurbishment and remanufacturing’ for the circular economy objective.

Compliance with TSC (CCM) 7.3 Installation, maintenance and repair of energy efficiency equipment

In 2024, we installed highly efficient water boilers and HVAC control systems in both new and re-built clubs in the Netherlands, France and Spain. Through a qualitative review of the technical documentation provided by our suppliers, we concluded that these installations were compliant with the laid-out requirements for eligibility.

Compliance with TSC (CCM) 7.6 Installation, maintenance and repair of renewable energy technologies

As part of our rebuild and gas transition efforts in 2024, we also installed solar panels and highly efficient heat pumps in both Belgium and the Netherlands. In line with our methodology, we reviewed the relevant documentation provided by our stakeholders and concluded that these installations complied with the legislative requirements for eligibility.

Compliance with TSC (CE) 5.1. Repair, refurbishment and remanufacturing

Our fitness equipment supplier carries out regular inspections and – if necessary – maintenance to refurbish fitness equipment until it reaches a new maximum lifetime of 12 years. After reviewing the criteria, we concluded that this activity corresponds to the refurbishment definition laid out in regulation (EU)2023/2486⁴. Furthermore, we consider the fitness equipment in question falls under NACE code C32.3⁵. To ensure full eligibility with the criteria, our supplier agreed to include a clause confirming that it will recycle replaced parts and/or dispose of them in accordance with EU law.

Reclassification of 2023 values

In 2023, we reported the CCM-related investments under activities 4.1, 4.16, 4.25 in the energy category of the CCM objective, yet after re-evaluation, we have considered that these activities rather relate to large scale, commercial energy production. Considering that Basic-Fit installs energy machinery in individual properties, often tied to gas transition renovations to improve the energy efficiency of rented real estate, from this year onward we identify such capex as eligible in accordance with the description of the “renovation of existing buildings” activities 7.3 and 7.6 (CCM). The corresponding eligible amounts from 2023 did not change but were reclassified under a different activity code (whilst the amounts for 2024 follow the new classification), as summarised in the table below:

1. No CE-related figures were reported in 2023
2. Represents Taxonomy-eligible values; no amount of capex, opex or turnover was deemed aligned in 2023

Alignment analysis by activity

The second step of our process is to determine which eligible activities are also aligned with the EU Taxonomy. As explained, this includes assessing whether the activity fulfils the principle of DNSH to other environmental objectives, as specified in the corresponding technical screening criteria. It also requires compliance with minimum social safeguards on human and labour rights, as per article 18 of Regulation (EU) 2020/852.

Regarding activities 7.3 and 7,6, while climate related hazards were identified as part of our CRRO, we are still in the process of determining pertinent adaptation solutions. We expect to roll these out in 2025, therefore these activities are not considered to be taxonomy aligned. Our process related to activity 5.1 does not meet the relevant DNSH criteria, so we also do not consider it to be taxonomy aligned. We thus find no activity to be Taxonomy aligned in 2024.

Given that the DNSH analysis has not determined any activity as taxonomy aligned, we did not assess compliance with minimum safeguards. In general, while we do not have a dedicated human rights policy, we aim to ensure compliance with international human rights principles through adherence to local laws, practices, and procedures. Our current procedures and policies, including our Speak-Up policy (whistleblowing policy), inherently align with standards such as the UN Guiding Principles on Business and Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work. However, we will continue to develop the instruments needed to ensure that how we work, including how we carry out taxonomy-eligible activities, fulfils the established minimum safeguards.

KPI Calculation

As outlined in regulation (EU) 2021/2178, the nominator figures reflect the proportion of Basic-Fit’s expenditure that is either aligned with or eligible as an activity in the EU Taxonomy. The figures relevant to each identified activity were carefully extracted from the available accounting items. Supplementary qualitative and quantitative information was used to avoid any inconsistencies or miscounting.

Compared to 2023, our eligible capex and opex have significantly increased. This is based on the expansion of our club gas transition efforts to other countries beyond the Netherlands and an increase in solar panel installations. Additionally, this year’s introduction of our new ‘smart refurbishment’ approach, as detailed earlier in this section, resulted in an increase in eligible amounts.

With respect to denominators, the figures were extracted from a single reporting tool displaying all of Basic-Fit’s annual accounts, in line with criteria defined by regulation (EU) 2021/2178⁶. The turnover denominator includes Basic-Fit’s total turnover realised over 2024. The capex denominator is the sum of investments in property, plant, and equipment, leases, and other intangible assets, excluding remeasurement. Finally, the opex denominator reflects the direct expenses needed to ensure the proper functioning of assets. Basic-Fit’s taxonomy figures for capex, opex and turnover are visualised in the following tables.

EU Taxonomy capex table

1. These columns refer to whether (Yes/No) the activity fulfils the principle of DNSH for environmental objective. Pending the thorough assessments required for this, and applying a prudent approach, all activities are marked as not fulfilling DNSH.
2. The description of each activity in the Climate Delegated Act (EU) 2021/2139 defines whether the activity can be categorised as 'enabling' or 'transitional'. No activity is marked in this table, as none is categorised as such in the regulation.

EU Taxonomy opex table

1. These columns refer to whether (Yes/No) the activity fulfils the principle of DNSH for each environmental objective. Pending the thorough assessments required for this, and applying a prudent approach, all activities are marked as not fulfilling DNSH.
2. The description of each activity in the Climate Delegated Act (EU) 2021/2139 defines whether the activity can be categorised as 'enabling' or 'transitional'. No activity is marked in this table, as none is categorised as such in the regulation.

EU Taxonomy turnover table

1. These columns refer to whether (Yes/No) the activity fulfils the principle of DNSH for each environmental objective. This is not filled in given that the applicable turnover is 0%.

EU Taxonomy: contribution per environmental objective

Information (in %) on the extent of eligibility and alignment per environmental objective in (amended) Annex II of Delegated Regulation (EU) 2021/2178

EU Taxonomy: nuclear and fossil gas related activities

Information on nuclear and fossil gas activities in Annex III of Delegated Regulation 2022/1214

1. The taxonomy regulation defines the turnover denominator as a company’s net turnover in the given year (for Basic-Fit this is reported as total revenue). The capex denominator is defined, for IFRS companies, as all costs accounted under IAS 16 Property, Plant, and Equipment, IAS 38 Intangible Assets, IAS 40 Investment Property, IAS 41 Agriculture, IFRS 16 Leases. Finally, the regulation defines opex as costs related to “the research and development, building renovation measures, short-term lease, maintenance and repair, and any other direct expenditures relating to the day-to-day servicing of assets of property, plant and equipment by the undertaking or third party to whom activities are outsourced that are necessary to ensure the continued and effective functioning of such assets.”
2. Found in: https://ec.europa.eu/sustainable-finance-taxonomy/activities
3. The table for turnover is included in this report as required in the Delegated Regulation
   (EU) 2021/2178, although no amount has been considered eligible.
4. ‘Refurbishment’ means testing and where necessary repairing, cleaning or modifying a used product to increase or restore its performance or functionality or to meet applicable technical standards or regulatory requirements, with the result of making a fully functional product to be used for a purpose that is at least the one that was originally intended and to maintain its compliance with applicable technical standards or regulatory requirements originally conceived at the design stage.
5. Other manufacturing, manufacture of sports goods.
6. The taxonomy regulation defines the turnover denominator as a company’s net turnover in the given year (for Basic-Fit this is reported as total revenue). The capex denominator is defined, for IFRS companies, as all costs accounted under IAS 16 Property, Plant, and Equipment, IAS 38 Intangible Assets, IAS 40 Investment Property, IAS 41 Agriculture, IFRS 16 Leases. Finally, the regulation defines opex as costs related to “the research and development, building renovation measures, short-term lease, maintenance and repair, and any other direct expenditures relating to the day-to-day servicing of assets of property, plant and equipment by the undertaking or third party to whom activities are outsourced that are necessary to ensure the continued and effective functioning of such assets.”

Basic-Fit is committed to managing material impacts, risks, and opportunities related to our workforce through a range of comprehensive policies. These policies cover all employees and are designed to create a safe, inclusive, and equitable workplace. Our Diversity, Inclusion, and Belonging policy promotes equal opportunities and prohibits discrimination based on race, ethnicity, gender, sexual orientation, disability, religion, or any other protected characteristics. This policy applies to all employees and temporary staff, consultants, interns, freelancers working for Basic-Fit N.V. and/or any of its group companies. It is made available to employees via our intranet. The HR Director is responsible for the policy and the Management Board is accountable for the implementation of the policy. We strive to create a culture of respect and belonging, actively working to eliminate harassment and discrimination in all its forms. Our policies are aligned with local laws and best practices, ensuring compliance with European Union regulations and any national legislation on anti-discrimination.

Basic-Fit maintains a robust health and safety framework. We implement measures to safeguard the well-being of our employees, adhering to both legal requirements and internal safety protocols. This includes ongoing risk assessments, employee training, and adherence to health and safety standards aimed at reducing workplace accidents. We have a system in place and connection to our certified Monitoring Alarm and Receiving Centre (MARC) for safety purposes and our duty of care towards our employees. Club employees who find themselves in trouble can rely on direct assistance from our MARC by using the alarm buttons.

Basic-Fit has implemented policies and procedures on data protection compliance that protect the privacy of employees. We have installed a Data Protection Officer to monitor GDPR compliance and with whom our employees can raise their concerns. Due to the fact that we handle personal data related to our workforce and have a security system in our clubs, including camera supervision, we established a specific policy regarding the protection of the privacy of our employees. This privacy policy outlines the principles to be adhered to when handling personal data and it regulates the operational management of personal data and how this data is protected. The policy covers all personal data of employees that is processed by Basic-Fit. We do not allow the use of camera images of our employees, for example, to check on their performance. The individual responsible for the processing of personal data is the person who determines the purpose of, and the means for, the processing of personal data. The Management Board is responsible for the implementation of this policy.

In terms of governance, our Code of Conduct establishes clear expectations for ethical behaviour, covering areas such as anti-discrimination, fair treatment, and compliance with legal and regulatory requirements. Employees are expected to uphold these standards, and we address any reported violations swiftly through appropriate disciplinary actions. To reinforce this, we have a robust Speak Up policy, providing employees with a confidential process to report concerns about violations, misconduct, or unethical behaviour without fear of retaliation. You will find more details on this policy in the Business Conduct section in this report. We post periodical reminders about this policy on our internal communication platforms, aiming to ensure that all employees are aware of the policy. At the same time, there is no specific assessment to ensure all employees are aware of and trust the process. When we remedy a situation, there is no specific assessment of the effectiveness of such a remedy.

While we do not have a dedicated human rights policy, Basic-Fit ensures compliance with international human rights principles through adherence to local laws, practices, and procedures. Our employee lifecycle processes inherently align with standards such as the UN Guiding Principles on Business and Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work. Human rights considerations, including labour rights, are embedded in our day-to-day operations and corporate governance.

We do not conduct separate assessments for human rights violations because they are integrated in our standard compliance monitoring. These procedures ensure that we meet legal and ethical obligations, making human rights violations, such as forced labour, human trafficking, or child labour highly unlikely in our operations. Basic-Fit operates as a low-risk organisation for its own employees in these areas due to our operating model and strict adherence to both internal policies and external legal frameworks. Additionally, engagement with our workforce follows a broad approach, aiming to gain insights from all people that we could impact, and there is no dedicated approach to seek input from specific groups that could be considered particularly affected or vulnerable, such as part-time workers or those with disabilities.

Our continuous development strategy includes onboarding training, periodic webinars, and leadership development programmes designed to align employee growth with company standards. We use performance assessments and a continuous feedback loop to steer employee performance, identify talent, and increase retention. These insights help us to create initiatives that address turnover and optimise employee engagement, ensuring that we remain an attractive employer. Furthermore, our newly implemented Talent Development Module and leadership behaviours framework enable us to systematically assess and develop leadership potential, contributing to long-term business goals.

In addition, Basic-Fit is committed to fostering a diverse, inclusive, and safe work environment. Our Diversity, Inclusion, and Belonging (DIB) strategy is actively embedded in the employee lifecycle through education and initiatives aimed at promoting equal opportunities. We use data from global dashboards to monitor headcount, diversity, and employee turnover, which helps us to make informed decisions and adjust our strategies to meet our goals. Employee surveys conducted every 18 months, alongside quarterly data analysis, provide valuable insights that shape our HR strategy and inform our ongoing efforts to create a supportive and productive workplace. These efforts, coupled with our use of internal communication platforms and professional HR tools, enable us to efficiently manage risks and leverage opportunities, ensuring our workforce remains motivated and aligned with our business objectives.

Our engagement with our employees is also undertaken via their representatives. Our Works Council meets with the company representation, including the CFO, whenever workers concerns are raised, in addition to two meetings every year to discuss the company’s end-of-year and half-year results. For example, the council must be involved in any major business decisions such as a merger or acquisition. While there is no specific process for the assessment of the effectiveness of these engagements, the Management Board is responsible of ensuring that engagements with employees and their representatives take place, ensuring they take into account outcomes and views form these engagements when defining or reviewing the business strategy.

We aim to avoid causing or contributing to material negative impacts on our employees through adherence to the policies described in this section, while our employee survey, carried out every 18 months, helps us to understand the views and satisfaction of our employees. However, we do not have specific processes aimed at ensuring that our practices do not cause or contribute to material negative impacts on our own workforce in place currently.

Impacts related to our workforce are addressed as a whole; no particular action has been launched specifically to provide or enable the remedy of negative impacts beyond those stipulated in existing policies, such as the Speak-Up policy. As such, we do not yet evaluate these actions by setting specific targets (for example, in terms of the metrics presented below) in relation to our employees.

In general, the resources devoted to HR, particularly training and health and safety, as well as some resources devoted to compliance are allocated to manage material impacts, risks and opportunities related to the topic of ‘Our people’.

Workers' characteristics and diversity

At year-end 2024, Basic-Fit had a workforce of 8,937 individuals, compared with 8,182 at the close of the previous year. This increase was primarily driven by the expansion of our fitness clubs, including the acquisition of the RSG clubs in Spain.

Gender diversity is thriving in our dynamic team, with a breakdown of 4,572 men, 4,358 women, and seven individuals who identify as gender-neutral.

See Note 3.4 of the financial statements for information regarding the total number of employees in FTE.

Employee breakdown by gender (head count)

Employees per country (head count)

Methodology notes

Workers in Luxembourg are not accounted as employees, as they are subcontracted.

It is noteworthy that a significant portion of our dedicated workforce, approximately 71%, opts for part-time roles, particularly within our club environment. A substantial part (91%) of our personnel works in our clubs, highlighting the focal point of our operations.

Employees per contract type and gender (head count)

Employees per contract type per country (head count)

Methodology notes

The calculation of the number and distribution of employees excludes the Management Board (CEO and CFO) but includes the rest of the Leadership team (CCO and COO). Workers in Luxembourg are not accounted as employees, as they are subcontracted. The classification of contract types is aligned with national legal definitions.

Collective bargaining and social dialogue

All of our employees in France, Spain, and Belgium benefit from the protective umbrella of collective bargaining agreements, adhering to standard sector norms. This commitment underscores our dedication to fostering a harmonious and supportive work environment across our international workforce.

Collective bargaining and social dialogue

1. 100% of our employees in France, Spain and Belgium are covered by collective bargaining agreements. 0% of our employees in Germany or the Netherlands are covered by such agreements.
2. 100% of our employees in Belgium, France and the Netherlands are covered by workplace representation. 28.62% of our employees in Spain and 0% of our employees in Germany are covered by this representation.

Methodology notes

The totals represent employees in the European Economic Area (EEA), as we do not have employees outside this region. We do not have agreements with our employees for representation by a European Works Council (EWC), a Societas Europaea (SE) Works Council, or a Societas Cooperativa Europaea (SCE) Works Council.

Turnover

Employee turnover reflects the changes in our employee base through the year. Given the nature of work, especially at clubs, our employees tend to take jobs temporarily, for example during study breaks. This is reflected in marked levels of turnover.

Employee Turnover

Methodology notes

As per local regulation, all instances of an employee leaving are counted separately, i.e., if the same employee who has left returns and leaves again, both times they left are accounted for as separate instances. Turnover is calculated as total number of leavers per month / (average number of employees per month), based on headcount numbers.

Top management

At the end of 2024, 35% of our employees in top management positions were female. You will find more information on our approach to diversity in the Corporate Governance section.

Methodology notes

Top management is defined as equal or higher than scale 18 in the Basic-Fit job classification system (based on Korn Ferry Hay Method), excluding the Leadership team (CEO, CFO, CCO, and COO). This is the same definition used for 'middle management' in the Corporate governance section of this report, yet 'top management' is used here to maintain consistency with ESRS language. The Hay Method is a pay equity compliant and gender-neutral evaluation system that assesses a job based on skill (know-how), effort (problem solving) and responsibility (accountability).

Employees age distribution

Beyond our employees’ gender, we also pay attention to their distribution in terms of age representation. Our vision is to have a workforce that respects and appreciates diversity in our clubs, and who can understand everyone’s needs and demands.

Distribution of employees by age group

Methodology notes

The calculation of the number and distribution of employees excludes the Management Board (CEO and CFO) but includes the rest of Leadership team (CCO and COO). Workers in Luxembourg are not accounted as employees as they are subcontracted.

Remuneration

All employees are paid an adequate wage, in line with applicable benchmarks, understood as either legal minimum wage per country or wage as per collective bargaining agreement (when the latter is higher).

We understand the need to ensure equal pay for the same job, regardless of the employee’s gender, which is reflected by our gender pay gap metrics. On the other hand, the annual remuneration ratio provides insights into the level of remuneration inequality within Basic-Fit and any significant disparities.

This year, we recorded an unadjusted gender pay gap of 3.1%. This is notably low compared to the EU average, which stood at 13% in both 2022 and 2023. Additionally, this number is below the threshold of the EU Gender Pay Transparency Directive, which has a threshold of 5% and does not mandate action for such a low pay gap. The use of the unadjusted gender pay gap also indicates that there is a low probability of structural injustices between genders within Basic-Fit.

Remuneration metrics

Methodology notes

The gender pay gap is defined by the weighted average pay gap per country. The annual total remuneration ratio is defined by the reward of the highest paid individual in the organisation, the CEO, divided by the median reward of the average employee of the total employee base.

Safety at work

Health and safety is managed locally by prevention officers in each country in which we operate. They supervise how clubs operate, have an overview of hazards and risks, and ensure that employees receive continuous safety training, including ergonomics, first-aid and fire prevention. They also coordinate with local authorities to ensure cooperation and compliance with regulations. They meet at periodic health and safety coordination sessions, where they share experiences and plan future actions to minimise the risk of accidents or injury.

In line with labour health and safety regulations, recorded accidents include any case deemed to be work-related regardless of the level of seriousness of the accident. In the case of Basic-Fit, the majority of work-related accidents were considered of minor level, such as finger cuts, falls from ground level, and muscular overexertion.

Work-related health and safety metrics

Methodology notes

Data refers to work-related incidents. It is gathered separately in each country, as per local regulation, and reported to local authorities as required. The rate of accidents is calculated by dividing the number of cases by the total number of hours worked by people in our own workforce and multiplied by 1,000,000.

Our efforts to ensure safety at work also involve addressing any concerns raised by our employees, which as explained in the Business Conduct section, can be reported through our Speak-Up officers (our grievance mechanism). In 2024, one incident was recorded via this channel. Resulting from this, no fines, penalties or compensation for damages (i.e., € 0.0) have had to be paid. Moreover, in 2024 there were 57 reported incidents of discrimination or harassment (including aggression on staff by members). These incidents are investigated and addressed separately in each country.

Basic-Fit’s impact on value chain workers is concentrated on workers in our supply chain, especially those working for our first tier suppliers. We consider these to be the workers who could be materially impacted by our activities, including via our products or services or business relationships.

These workers can be grouped as follows:

• Workers working directly at our facilities, mainly cleaners, maintenance personnel and trainers.

• Our outsourced customer service agents. They provide their services via an outsourcing partner, who has signed a Code of Conduct that covers standards of responsible business conduct.

• Construction workers who carry out minor renovation activities required to open a new club.

• Workers manufacturing our fitness equipment further upstream in our supply chain.

The groups above can include workers who may be particularly vulnerable due to their inherent characteristics, mainly those who could be mistreated due to their migrant status or their gender. Potential negative impacts are mainly systemic in nature in some contexts, including countries without very strong labour laws, such as some countries in Asia (where there could be a risk of forced labour), or labour-intensive sectors, such as construction. We have not identified workers downstream in the value chain as workers likely to be materially impacted by Basic-Fit and we do not have any joint ventures.

We expect our suppliers and partners to adhere to local legal and regulatory requirements, including respect for the human rights of workers. We have a supplier Code of Conduct that we apply to many of our long-standing suppliers, and we have open communication with subcontracted personal trainers in our clubs. We believe working with our suppliers to ensure they operate responsibly with respect to their employees can generate a positive impact on these workers.

Notwithstanding our efforts, we understand that as a responsible business we should have a closer engagement with our suppliers and partners to ensure their workers are fairly treated. We have not yet adopted a policy to manage our material impacts on workers in our supply chain, including setting up mechanisms to provide or enable remedy for human rights impacts. However, in 2024, we took a first step in this direction by performing a thorough assessment of our procurement processes, with the objective of, among other things, including sustainability and responsible business conduct considerations in our procurement policies. As this process is still in development, Basic-Fit has not yet been able to establish suitable processes nor defined any metrics or targets to monitor material matters regarding workers in our supply chain.

We consider the material impacts we could have on the workers in our supply chain as directly connected to our business model, but we do not anticipate any major strategy or business model adaptations will be required to address these impacts.

Making fitness more accessible

As part of our mission to make fitness accessible to everyone, we strive to make our clubs easy to reach, which is why we open clubs close to where people live and work. At the end of 2024, Basic-Fit operated 1,575 clubs in six countries with a membership base of 4.25 million. This represents an increase of 12% in our membership base compared with 2023.

Our reach

We believe we can have a positive impact on people’s health if we motivate them to maintain a fitness routine. We want to motivate our members to visit our clubs at least once a week, so they are on the right track to build a healthy lifestyle. Our objective is to inspire our members to visit our clubs at least this frequently or more.

Visiting frequency

We are always on the look-out for ways to ensure our products and services are affordable, innovative, high-quality and available to everyone. Our attractive prices allow more and more people to start working out. We continuously optimise the club workout environment in line with the needs of our members.

Our Basic-Fit app makes fitness available 24/7 and assists our members in the club, at home or outdoors, plus it delivers personalised fitness content, nutrition advice and a wide range of workouts, from meditation to cardio training. However, we recognise that the quantity of information available may become overwhelming to some. For example, the tutorials for equipment use provided could be unclear to members not familiar with the equipment, potentially leading to its misuse. We keep working to improve the Basic-Fit app functionalities and provide an in-app tour to guide users. We also offer customisation of the app so it can be personalised to each member's needs.

Ensuring the safety of our members at our clubs is of course one of our top priorities. The majority of our clubs are fitted with a remote surveillance system in order to ensure the safety of our employees and members. We recognise that this has important implications for the privacy of our members and endeavour to uphold high privacy standards in the use of this system. Our regulations for the use of camera surveillance include standards for image retention periods, transparency, transfers and the security of images. This regulation also outlines data subject rights and is made available to members via our website.

We have a set of terms and conditions in each country in which we operate, which any person seeking to become a member must declare they have read and accepted before becoming a member. The terms and conditions establish clear and transparent agreements between Basic-Fit and our members. The terms and conditions inform the members of: their rights regarding the withdrawal of their membership, the access that each type of membership grants to clubs and online resources, and options that can be added to memberships. The terms and conditions also provide members with the conditions regarding fees and payments, the use of QR codes and member cards, club opening hours, minimum age requirements, insurance, risks and liability and their personal data. The terms and conditions are made available to each member via Basic-Fit’s website in each country, and via email when they become a member.

While our policies regarding members are not explicitly aligned with internationally recognised instruments relevant to consumers, such as the UN Guiding Principles on Business and Human Rights, Basic-Fit ensures compliance with international human rights principles through adherence to local laws, practices, and procedures. A few incidents related to the right to privacy, which could be considered as non-severe cases of non-respect of human rights of members, were reported in 2024 and were addressed in accordance with our internal policies and procedures. We recognise that upholding our members right to privacy is crucially important, and as such we endeavour to collect, use and store personal data fairly, securely and safely, in line with international best practices and applicable laws. We have several policies in place in relation to our members privacy. Our privacy statement sets the standard for how we approach the management of our member’s personal data, including how potentially sensitive data is anonymised, not used for other purposes and deleted after a limited period. The privacy statement also describes the measures we take to safeguard personal data, and contact details necessary for consumers to exercise their privacy rights. Basic-Fit only processes data when there is a legal basis for doing so, in accordance with Article 6 of the GDPR. Additionally, the privacy statement describes the standards for transferring data to third parties, outside the EU as well as the handling of privacy complaints. The privacy statement is made available to customers via our website.

Engagement with our members occurs at every stage of their membership. For example, when members join, they receive a confirmation email providing them with their contract, terms and conditions and house rules, instructions for downloading the Basic-Fit app and using the QR code for accessing our clubs.

Basic-Fit also continuously gathers feedback from members through several channels. We collect feedback via our app periodically after members have visited a club, including questions related to the member’s overall experience, hygiene, staff, crowdedness, equipment and ambiance of the club. This feedback is requested from members once every two weeks after at least two club visits to a maximum of twice per month per member. Either seven weeks or six months after becoming a member, members are asked to tell us how likely they are to recommend Basic-Fit to other people. We monitor this feedback continuously and escalate as appropriate. Additionally, we review external sources of feedback such as Trustpilot and Google reviews to understand consumers experience of our clubs. The Customer Relationship Manager and Customer Service Manager have operational responsibility for these engagements, while the Management Board is responsible for ensuring that the results inform Basic-Fit’s approach.

Basic-Fit has several channels available to members to raise their concerns and have them addressed. From within our clubs, members can speak to our hosts or they can contact an agent 24/7 via an intercom. The host can provide a first line of support regarding any issues in the club, access to the club or inform the member about our self-service options. The intercom agents can provide incident related support or access to the club. Basic-Fit also makes a chatbot known as ‘Ruby’ available to members. Ruby can help members with certain queries and pass the member on to a customer service agent in cases it cannot resolve. Additionally, members can raise any concerns directly with customer service, which they can contact through the live chat on our website or app, on Facebook or via email. If the customer service team cannot resolve the member’s concern, it will be escalated as appropriate to the relevant internal department or external agents, such as the police. The process to address members’ complaints varies depending on the nature of the issue raised with customer service. If the complaint is in relation to the club facilities this will be forwarded to the regional or cluster manager to take action. If it is in relation to harassment or aggression from another member it will be escalated to the regional or cluster manager and a warning or a ban will be issued to the offending member. If it is a GDPR-related complaint, it will be escalated to the Privacy Officer. Basic-Fit has an International Customer Service Manager responsible for our customer service channels, while ultimate responsibility for the implementation of these processes lies with the Management Board.

We do not yet have in place specific processes to assess the effectiveness of remedies provided in the event that Basic-Fit has caused or contributed to a negative impact on a member. Additionally, while the contents of member complaints are monitored, we do not yet assess whether members are aware of these structures or trust them as a way to raise concerns. Basic-Fit does not currently have a specific policy in place to protect members who raise concerns from retaliation, as in most cases the nature of concerns raised by members would not lead to retaliation. We have not required the availability of channels for members to raise concerns by our business relationships given that we have directly made the channels and processes described above available to our members.

Engagement with our members, including when we are addressing their concerns or complaints, and collecting feedback from them, provides us with an understanding of the effectiveness of our policies and the actions we take. This also enables us to identify lessons to improve our services.

Tackling barriers to fitness

We have numerous initiatives to achieve our aim of helping more and more people stay motivated to work out and improve their health and well-being. For example, some subscription models give our members the opportunity to bring a friend, which can help our members feel more encouraged to keep working out.

Through our app, we offer workout programmes for people in specific conditions or with different goals, including for pregnancy or for those looking to gain muscle. Since 2023, we have also provided programmes tailored to those who can present with a lack of motricity. These programmes provide guidance videos for people with a motor disability, who, according to the De Nederlandse Sportdeelname Index, find unclear instructions to be a barrier to their participation in sport. With these programmes, we aim to pave the way for a future in which more people can experience the benefits of sports. All of these programmes are accompanied by a disclaimer explaining that the participant should consult a doctor or midwife before participating.

Generally speaking, we keep improving our fitness services, and developing online content for specific fitness goals, such as running training, with the objective of motivating more people to start working out and keep moving, at the clubs or at any other location.

In 2024, we launched our ‘Boost Your Mood’ campaign. The campaign was born out of the understanding that encouraging exercise as means to enhance overall health – particularly mental well-being – is becoming increasingly vital. In 2024, the World Health Organization (WHO), the Dutch National Institute for Public Health and the Environment (RIVM) and Municipal Health Services (GGD) (in the Netherlands) reported a decline in mental health among young adults. Since the COVID-19 pandemic, attention to mental health has become more critical than ever, with one in three young adults acknowledging challenges in this area. Scientific studies have shown that regular physical activity can reduce stress, boost self-esteem, improve sleep quality, and enhance mood in both the short and long term. Findings from research conducted among our members affirmed these benefits: more than 80% of respondents reported an improved mood immediately following exercise or feeling more relaxed and clear-minded afterward. Additionally, 93% of respondents advocate for exercise as an effective means to enhance overall well-being, both physically and mentally. The campaign was launched on television, social media, radio and outdoor advertising. Several ambassadors and mental health organisations also supported the campaign.

According to 2022 Eurobarometer data, 53% of adults in Basic-Fit’s operating countries don't engage in sports. Basic-Fit initiated extensive research on the barriers to participation. Two studies commissioned by Basic-Fit show that 30% experience ‘gymtimidation’. This is driven by internal factors like the lack of self-confidence, experience, and unfamiliarity with gym equipment, as well as external factors like fear of judgment and unwanted attention. With the introduction of another initiative, ‘Be Comfortable’, Basic-Fit wants to make fitness accessible to all. ‘Be Comfortable’ is the central concept for a range of activations in the upcoming years. The scope of the activations includes digital and in-club initiatives such as behavioural guidelines for members, staff training on how to create a comfortable environment, tailored training plans for various groups and social content to positively break through gym intimidation.

In addition to our safety trained employees in the club, we continue to install remote surveillance systems in our clubs to help our members feel safe when working out, and to ensure a swift response when incidents occur. These systems include smart camera networks, intercoms and alarm buttons, and they are now a standard feature in newly built clubs. A dedicated department operates these systems, including our EN50518:2019 certified Monitoring and Alarm Receiving Centre which acts as the first line for primary care and alarm verification.

In general, achieving increases in our membership base and seeing our members visit our clubs at least once a week, serves as a general indication that our efforts are broadly effective.

Technical notes

All of our members are included in the scope of this disclosure. Our members are not considered to be consumers of products that are inherently harmful to people or increase risk, or services that potentially negatively impact their rights to privacy, to have their personal data protected, to freedom of expression and to non-discrimination. Our members may be dependent on accurate and accessible information on the use of equipment in our clubs to avoid damage or injury, as such this information is available via our app. Our membership includes minors aged over sixteen. We are currently working to develop a comprehensive human rights policy that will include provisions for protecting the rights of our members.

We may work with partners to prevent, mitigate or enable remedy to material negative impacts on members. However, these activities do not require wider industry collaboration. Our material negative impacts relating to members are not systemic in nature, given that they relate to limited numbers of cases or faults in certain communications or services.

Impacts related to our members are addressed as a whole; no particular action has been launched specifically to provide or enable remedy of negative impacts beyond those stipulated in our existing policies detailed in this section. Basic-Fit is thus unable to describe in detail actions, targets or resources allocated to the implementation of these policies.

In general, the resources devoted to customer care, remote surveillance, product innovation, and marketing are allocated to manage material impacts, risks and opportunities related to the topic of ‘Members’.

Our ambition is to actively support our communities to help them lead fitter, healthier lives and create a more inclusive environment. We understand the importance of building healthy habits that will keep people healthy, both physically and mentally. This is why, since 2020, we have been partnering with organisations in the countries in which we operate, to help young people who lack the opportunity to exercise, stay fit and enjoy the social benefits of doing sports, regardless of background or ability. We do not have a specific policy for these partnerships, nor have we identified any severe human rights issues or incidents connected to the communities we operate in; we manage them primarily as philanthropic actions to enhance the benefits of sport in society.

Our main partner in the Netherlands and Spain is the Johan Cruyff Foundation. Together we focus on children and young people for whom sports is not guaranteed. Through sports sessions and workshops, we raise awareness of the benefits of physical activity, helping them thrive mentally and physically. In Belgium, we support Sport2be and our partner in France is Sport dans la Ville. Both organisations develop sports and job programmes to support young people in their learning process through sports, and help young adults acquire professional skills. Studies have shown that sports play a key role in education from an early age, and our goal is to accompany youngsters and young adults on their journey to a bright and healthy future.

Additionally, we have also provided fitness equipment for sport or health initiatives. For example, as part of the Week of Sport at the Hospital, in France, we donated bicycles to 72 medical facilities to promote physical activity for patients.

We support our partners financially but, at an operational level, we activate young people by hosting regular fitness training sessions in a number of regions, facilitating a partner’s event in our club facilities, giving professional advice or facilitating career opportunities. We aim to continue investing in such partnerships to keep supporting our communities towards healthy lifestyles.

Community partnerships

1. The amount in 2023 is restated due to an amount erroneously not accounted for before: the total reported in the previous annual report was € 527. This represents a correction of 8.3% with respect to previous data.

Methodology notes

Calculation is based on contributions to partners following indications from our communications and marketing teams regarding the identity of these partners. The calculation also includes any amount registered as donations. The growth after 2023 is mainly due to the donation of bikes to different initiatives and a dedicated contribution to the Grande Cause Nationale in the context of the 2024 Olympics in France.

We do not have a dedicated policy to manage these community initiatives, which we will work on developing in 2025, potentially in alignment with other instruments related to our social impacts, such as a human rights policy.

We recognise that doing business responsibly requires being transparent towards our stakeholders. In addition to reporting how we manage the different impacts of our operations on people and the environment, in this section we explain how we ensure that sustainability remains at the core of our corporate governance and business strategy, including our work to ensure that all our operations are performed with integrity and in compliance with applicable legal and regulatory requirements.

Significant developments and observations related to areas of business conduct, such as human rights, anti-bribery, tax reporting, and ESG reporting, are shared with the Management Board or second line of defence roles through various channels in the organisation. When they are noted by people in second line of defence roles in reviews, they are subsequently escalated to the Management Board. The Supervisory Board receives regular updates on these topics. In the event of any serious incident, the matter and any mitigation will be discussed in the Management Board and/or in the Supervisory Board.

We continue to work on the further integration of sustainability and ESG into our strategy and business processes. Together with our international and local teams, we ensure that our ESG priorities are concrete and manageable. The Leadership team takes overall responsibility for Basic-Fit’s sustainability strategy, approves targets and monitors performance.

Corporate culture and integrity

Basic-Fit is committed to avoiding any non-compliance with legal and regulatory requirements of the countries in which we operate, which include health and safety regulations, competition and antitrust laws, insider trading regulations and anti-corruption laws. Basic-Fit has a Code of Conduct, which reflects the company’s values and principles and ethical business practices in a wide range of areas, such as good business practice, integrity in dealing with third parties and financial reporting, health and safety, conflicts of interest and handling confidential information. Everyone working for Basic-Fit is required to diligently follow the principles as set out in the Code of Conduct when dealing with any business on behalf of Basic-Fit.

The principles and rules for ethical conduct, anti corruption and anti-bribery are laid down in the Code of Conduct. The Code of Conduct applies to all employees and temporary staff, consultants, interns and freelancers.

The compliance officer monitors compliance with the Code of Conduct. The compliance officer, together with other stakeholders/departments such as Human Resources (HR), are responsible for the continuous promotion of best practices from the Code of Conduct and for raising awareness of the elements of the Code of Conduct within Basic-Fit (in clubs, as well as offices in all countries). Our insider trading policy sets out obligations for Basic-Fit and its employees with respect to the ownership of, and transactions in Basic-Fit Securities, in accordance with the European Market Abuse Regulation. This policy applies to all employees or anyone in any other form of relationship of authority to Basic-Fit N.V. It is made available on our corporate website and to our employees on our internal communication channels. Our internal data security policy provides information on what is meant by a security incident and on what is expected of employees in the event of an incident. This policy applies to all employees and is made available to them via our internal communication channels. The Management Board is accountable for the implementation of these policies. Information on these policies is also provided to our employees in the employee handbook.

The company’s corporate governance framework and its Code of Conduct also include safeguards and controls by the Supervisory Board to avoid conflicts of interest.

The elements and values reflected in the Code of Conduct are assessed in an annual integrity, fraud and corruption risk assessment, based on a Systematische Integriteitrisicoanalyse (SIRA) model. The Basic-Fit compliance officer initiates and processes this assessment. This includes assessing those functions most at risk in respect of corruption and bribery, which are generally related to all employees who are qualified as 'insiders' due to our obligations as a stock exchange listed company. These functions include members of the Supervisory and Management Boards as well as some members of our finance, property, marketing, legal, investor relations, tax, IT development, operations and HR departments. All individuals designated as insiders are provided with an explanation of their role as an insider during their onboarding or upon becoming an insider, at this point, they must declare that they will comply with the insiders policy.

We do not have a specific policy for training related to these instruments, but the principles and rules of business conduct are embedded in our onboarding programme and other employee training. We are currently developing a process to integrate an annual review of the Code of Conduct for target groups into our HR management tool (Workday), which will ensure that the policy is reinforced across the organisation. Additionally, the Code of Conduct is made available via our intranet and on our corporate website. Our annual integrity risk assessment enables us to determine which target groups may require (re)training.

Our ‘Speak-Up’ (whistleblower protection) policy applies not only to employees but to all people who provide labour or services to Basic-Fit, including employees of our suppliers and contractors. The aim of this policy is to ensure that anyone affected has the ability to report issues that are not in line with Basic-Fit’s principles and values. Speak-Up officers are appointed in each country; they are legal counsels familiar with European and local laws related to whistleblowing, and are accessible directly and in the local language. The local Speak-Up officers are responsible for assessing reports, ensuring necessary investigations are carried out and the proper registration of reports, under the guidance of the central Speak-Up officer. The local Speak-Up officers inform the central Speak-Up officers of any reports received. The central Speak-Up officer has the most expertise on this topic and is responsible for coordinating all whistleblower reports. The central Speak-Up Officer is then responsible for informing the Management Board through a memo, which will be shared by the Management Board with the Supervisory Board if necessary. The Speak-Up Policy requires that the members of investigation committees must be impartial and have no prior involvement with the misconduct, nor a close personal or working relationship with the person being investigated. The investigators are also separate from the chain of management involved in the matter. Those who report an issue through Speak-Up in good faith, as well as anyone who helps them to report, or anyone connected to the person who is speaking up, are legally protected from any form of retaliation. The policy is reviewed and updated, and the new version shared on an annual basis. From 2025, this sharing will be integrated in our HR system, Workday. The Speak-Up policy is also made available to all employees via our intranet. Information on the number of incidents reported via Speak-Up in 2024 can be found in the 'Our People' section of this Sustainability Statement.

As a stock exchange listed company, Basic-Fit has been subject to all national laws, including Directive (EU) 2019/1937, related to the protection of whistleblowers since our initial public offering.

Political engagement

As a leader in its market, Basic-Fit interacts with a wide range of European, national and local government bodies. We are also actively engaged in discussions with the national fitness federations in the countries in which we operate. It is our position that the fitness industry has an important role to play in advancing health and well-being, and that making fitness accessible to more people enhances this role, benefiting society at large.

We manage our political engagement in coordination with trade unions and lobbying agencies advocating for the promotion of fitness and physical activity, such as Europe Active, Hague PA agency in the Netherlands, and APC PA agency in France. The amount of 'political contributions' in the table at the end of this subsection represents the financial resources paid to these organisations, no additional contribution was made to any other type of recipient or beneficiary.

Beyond addressing market conditions for operation of the business, lobbying activities are mainly focused on material impacts, risks and opportunities that connect with the promotion of health and well-being, working conditions of the workforce, and members' safety and security. The topics covered by lobbying activities can vary by country, but generally the following issues have our attention and support:

• Positioning fitness as an essential industry for a healthy and vital society.

• Promoting scientifically proven benefits of physical activity and the social value of our industry.

• Identify ways to stimulate sports participation and fitness penetration.

• Promote a good industry reputation at governmental/EU level, including our role in supporting a healthy lifestyle and saving healthcare-related costs by preventing chronic diseases.

• Anticipate industry trends and the role of technology in the fitness industry and the impact on consumer behaviour (AI, GLP-1 medicines, social media/influencers, gamification, longevity).

Topics mainly related to market conditions:

• Limiting as possible potential increases in related VAT rates in Europe.

• Understand local authority rules that influence our speed of expansion or our club model, e.g., 24/7 remote control of clubs, club safety requirements or staff training requirements.

• Recognise energy costs faced by the industry and identify possibilities for savings through government subsidies or support.

The Management Board is responsible for the oversight of these activities. Additionally, none of the members of Basic-Fit’s administrative, management and supervisory bodies appointed in 2024 held a comparable position in public administration in the two years prior to said appointment.

Political contributions

Methodology notes

Calculation is based on a list of lobbying partners provided by the Strategic Advisor to the Board, who supports the Management Board in overseeing these activities, and corresponding invoices for services provided by these partners.

Our relationship with suppliers

Basic-Fit applies a supplier Code of Conduct, and the 2nd line of defence regularly performs reviews regarding business conduct and corporate culture, including on supply chain matters.

In line with the company's growth, we continue to enhance our procurement framework to closely monitor the procurement process and to engage and partner with responsible suppliers. When entering into any engagement with suppliers, Basic-Fit always tries to apply its own contract documentation, including the principles and values related to sustainability, human rights, anti-corruption and anti-bribery, or negotiates the contract conditions to ensure that these principles and values are fulfilled. This helps us promote responsible business conduct practices in the industry and among our partners.

We do not monitor the size of our suppliers specifically to identify which are SMEs. Payment terms may be shorter for small suppliers in accordance with local legislation. When cases of late payments to small suppliers have occurred, these have been mainly caused by payment system integration issues.

Payments are performed upon receipt of invoice as per agreed payment terms with suppliers. Unless otherwise specified, these terms follow the generally applicable payment terms between companies¹of 60 days. These terms apply to all of our supplier categories, and 91% of payments are aligned with them.

Payment practices

Methodology notes

The average time for payment is calculated as the difference between the date of payment and the date of receipt of invoices. The calculation excludes direct debit payments and correction entries. The legal proceeding corresponds with a case in France which is, at the end of 2024, still outstanding.

Any case of misconduct by our suppliers, whether related to their integrity or the labour rights of their workers, could lead to financial and reputational damage for Basic-Fit. However, we believe that based on the policies and procedures we have implemented, combined with the background of most suppliers with whom Basic-Fit has been working for years, we have a strong basis to build on to enhance our control of this risk.

In 2024, we performed a thorough assessment to evaluate how the procurement cycle addresses and manages pertinent key strategic and tactical risks, and to define improvements required to ensure these risks are effectively tackled or mitigated.

We recognise that we need to continue to develop sustainability-related matters in our relationships with suppliers and that these are yet fully embedded. For example, the supplier selection procedures do not take into account social and environmental criteria, which we recognise as a gap we need to address.

Our goal is to appoint a procurement manager in 2025, who will, among other business objectives, continue to develop policies to improve the embedding of sustainability considerations in the management of supplier relationships. We anticipate the procurement manager function will begin by setting priorities and putting together a project plan with our CFO, with the formalisation of policies and implementation taking up at least the rest of 2025.

1. As laid down in the European Directive for combating late payments in business dealings.