Our value creation model

Our end markets are characterized by the structural drivers to capture food and beverage growth.

Population growth: every year the global population increases by approximately 70 million people¹. Rising disposable income: economic growth is leading to higher disposable incomes and a growing middle class in urban areas who demand packaged food. Consumers demand safe and hygienic food and beverages.

On top of the structural drivers, we consider four key consumer trends that shape the growth of the food and beverage market:

1 www.worldometers.info.

Healthy nutrition

There is increasing demand for healthier food and beverage products, for example products which are low in sugar, high in vitamins, high in protein or plant based. SIG’s unique filling capabilities including our drinksplus technology allow us to partner with our customers to identify and launch new products that expand the customers core portfolio e.g. protein drinks, drinking yoghurts.

Affordability

Affordability remains a major purchase driver, especially in emerging markets and value segments. Through the SIG NEO platform, SIG further strengthens its leading position in Total Cost of Ownership (TCO), enabling customers to optimize production costs and introduce entry-level products. This flexibility supports volume growth while keeping products accessible for consumers.

Sustainability

Sustainable packaging is a key purpose at SIG. We believe in better. Through our SIG Terra portfolio, we are an industry leader in low-carbon packaging, higher renewable content, and improved design for recycling, all while remaining fully compatible with our global installed machine base – enabling customers to transition without operational disruption or major investments.

Convenience

Changing lifestyles and the growth of out-of-home consumption are reshaping demand. SIG’s differentiated packaging systems support on-the-go formats and foodservice channels, enabling brands to expand into new consumption occasions with convenient, easy-to-use packs.

For many decades we have been combining our innovative packaging materials, aseptic filling technology, versatile packaging solutions, technical and digital services and strong global R&D network, to create one of the few true aseptic system suppliers in the world.

• By creating our systems with a TCO-mindset, our solutions offer best-in-class economics.
• We offer a unique packaging solutions portfolio providing filling machines and associated packaging materials for carton, bag-in-box and spouted pouch packaging. This portfolio enables our customers to broaden their core offering and enter new categories and channels.
• We are pioneers in sustainable packaging. That includes sourcing of certified raw materials, using renewable energy in our processes, and achieving numerous industry firsts with our packaging innovations including alu-free aseptic cartons. Our alu-free aseptic cartons have a carbon footprint that is approximately 25% lower than our standard carton (which are already best in class).
• Our in-depth commercial excellence framework allows us to understand customer demand and rigorously apply value-based solution selling, pricing, and deal structuring.

Developments in 2025

• Placed 68 aseptic carton filling machines
• Used our volume flexibility to offer customers entry level products in markets with soft demand.
• Start of production in our new aseptic carton plant in India.

For decades, we have led the food and beverage packaging industry through groundbreaking innovations, driven by our in-depth R&D capabilities, aseptic expertise and a track record of industry firsts. Our aim is to redefine the boundaries of packaging solutions, so that they are not only cutting-edge but also ahead of the evolving demands of the market.

Aseptic technology is at the core of our innovation, where we continuously aim to set new performance benchmarks for the highest levels of hygiene and product safety. Our focus on Total Cost of Ownership (TCO) and filling capabilities enables our customers to fill a variety of products with leading operational efficiency.

Innovation stems from deep consumer insights, rigorous testing, and continuous refinement. At SIG, we embrace a consumer-centric approach – discovering needs, generating ideas, testing concepts, and refining solutions until a breakthrough emerges that genuinely addresses customer and consumer demands.

Material science is key to creating differentiated and sustainable packaging. We develop next-generation materials that enhance recyclability, lower carbon footprints, and maximize renewability – ensuring our packaging solutions contribute more to people and the planet than they take from it.

Developments in 2025

SIG NEO – filling systems innovation and TCO excellence

SIG NEO represents our commitment to delivering best-in-class filling performance across all platforms. Our innovation efforts are centered on increasing output, improving line efficiency and reducing operational complexity for customers. By continuously enhancing machine performance, lowering energy consumption and optimizing maintenance requirements, SIG strengthens its position as an industry leader in Total Cost of Ownership. This enables customers to scale production efficiently, respond faster to market demand and operate with greater cost competitiveness.

SIG Terra – sustainable material leadership

SIG Terra focuses on innovative sustainable packaging materials across our portfolio. This includes expanding aluminum-layer-free aseptic carton structures and increasing renewable content while maintaining full barrier performance for oxygen-sensitive products. These innovations support SIG’s sustainability strategy and enable customers to reduce their environmental footprint without compromising product protection. Designed for plug-and-play use on existing SIG filling lines, SIG Terra delivers sustainable innovation without operational trade-offs – turning installed base compatibility into a genuine competitive advantage.

Packaging differentiation – convenience and shelf impact

We continue to innovate in packaging formats that combine consumer convenience with strong on-shelf differentiation. Through innovative formats and designs, SIG enables customers to differentiate their products at the point of sale and respond to evolving consumer needs for convenience.

In 2025, after completing a thorough strategic review, the Company established foundations to support future value creation.

Our value creation model is anchored in three core pillars: multiple growth drivers, an attractive margin profile, and a robust return profile.

Multiple Growth Drivers

We are positioned to benefit from long term secular consumer trends that continue to shape global demand for safe, convenient, and sustainable packaging solutions. Our differentiated product offering enables us to address a broad range of customer needs, while ongoing developments in our aseptic spouted pouch and bag-in-box (BIB) platforms provide further avenues for structural, category driven growth. These drivers collectively underpin a strong and diversified growth outlook.

Attractive Margin Profile

Our focus on asset efficiency and continuous performance improvement supports our ability to maintain and enhance industry leading margins. Innovation remains a key contributor to margin resilience, allowing us to offer premium solutions. This combination strengthens our long term profitability and reinforces our competitive position.

Robust Return Profile

A rigorous and disciplined capital allocation supports sustainable value creation for shareholders. Our business model benefits from low working capital intensity, enabling strong cash conversion and operational flexibility. Our commitment to further reduce leverage and re establish dividends reflects confidence in our cash-generation capabilities and long term financial outlook.