Carsales com : FY23 Sustainability Report

Contents

carsales acknowledges

the Traditional Custodians of Country throughout Australia and their connections to land, sea and community. We pay our respect to their Elders past and present and extend that respect to all Aboriginal and Torres Strait Islander peoples today.

Globally, carsales recognises the significance of indigenous peoples’ communities, consistent with our efforts to build a culture that embraces diversity, equality and inclusion.

About this report

At carsales, our purpose is to make buying and selling a great experience. We bring together our people, consumers, dealers and manufacturers to deliver the best solutions and experiences in the automotive, commercial, industry and leisure vehicle classifieds markets globally.

Our success in remaining a leader in the long term lies in our operating model which embeds sustainable business practices across our value chain.

This Sustainability Report explains what sustainability means to us and our key stakeholders and how we constantly seek to improve our management practices to address material environmental, social and governance (ESG) issues within a fast-paced, evolving environment.

This desire for continuous improvement translates into a clear strategy to achieve our goals and targets, firm action across multiple areas of our business and monitoring of the outcomes and our progress towards achieving them.

This Sustainability Report provides information on the overall sustainability management and performance of carsales from 1 July 2022 to 30 June 2023, aligning to the company’s financial reporting period. The report complements carsales’ Annual Report, Corporate Governance Statement, Governance Charters, Corporate Policies and other key governance reports which are available on our shareholder website together with this report.

This report has been prepared with reference to the Global Reporting Initiative (GRI) Standards (2021), the Sustainability Accounting Standards Board (SASB) standard for the Internet Media and Services sub-industry and the United Nations (UN) Sustainable Development Goals (SDGs). Our disclosures relate to the most material sustainability areas of our business, as well as additional areas that are important to us and our stakeholders. For guidance on alignment with the GRI, SASB and the SDGs we have included indices at the back of the report.

This year we have also commenced reporting against the recommendations by the Task Force on Climate-related Financial Disclosures (TCFD) within our Annual Report.

An external sampling audit was undertaken on our carbon emissions data, and we worked with an external provider to validate our materiality and reporting approach.

All questions on the Sustainability Report or our sustainability initiatives should be addressed to our Sustainability team: sustainability@carsales.com.au.

Registered office

Level 4, 449 Punt Road, Richmond Vic 3121

T +61 3 9093 8600 F +61 3 9093 8697 carsales.com.au

The carsales Board believes that the tone of an organisation is set from the top, and we are active champions of the company’s sustainability journey. I’m pleased to say that we’ve made good progress towards achieving our own ESG commitments this year. The establishment of the Board Sustainability Committee has placed a spotlight on the key sustainability and ESG topics within carsales and has aided the board to stay abreast of the many emerging issues in this area. Similarly, carsales’ most senior leaders, headed by Cameron and his executive team, have demonstrated great dedication to ensuring that sustainability is a critical component of the company’s strategy.

As a board, we maintain our commitment to the highest ethics and integrity. We are conscious of the practice of greenwashing and the consequential deterioration of trust that often occurs. Our ambition and goals for our sustainability programs are set with a realistic plan in mind and aligned to the company’s strategy for a sustainable future. We do not aim for perfection, rather we embark on a roadmap focused on meeting both regulatory requirements and the expectations of our stakeholders and broader society. In reporting on our performance, we promote transparency and balance.

Our risk governance approach has also evolved this year, and we have been on high alert on matters such as cybersecurity and data privacy, considering recent high- profile cyber attacks and data breaches. As a global business which is part of a worldwide digital community, carsales seeks to learn from these events and share knowledge with our peers, both in Australia and internationally.

As a Board we are acutely aware that a significant proportion of carsales’ business relates to vehicles which emit carbon and greenhouse gases. The business wants to have a positive influence on the future of mobility, and that includes supporting the industry to become more environmentally friendly. We are working on this focus area as part of our broader business planning and sustainability strategy.

We are pleased with the team’s efforts to prepare for the introduction of mandatory climate reporting in Australia in line with international standards. This progress is demonstrated by voluntarily reporting against the Task Force on Climate-related Financial Disclosures recommendations (contained within our Annual Report). We welcome the development of international standards for sustainability and climate reporting by the International Sustainability Standards Board and the continuing developments by other organisations, including the Global Reporting Initiative, Sustainability Accounting Standards Board, and the United Nations. We aim to meet, and where appropriate, exceed the international standards and regulations in the countries in which we operate, while maintaining sensitivity toward local communities.

We know that this area will continue to undergo rapid changes, and we will implement our sustainability programs at a pace that is practical, responsible, and relevant to each jurisdiction.

Finally, the Board would like to express its gratitude to the leaders and people of carsales for their ongoing commitment, innovation and dedication which helps drive the continual advancement of our sustainability performance. We appreciate the trust put in carsales by every website user, team member, customer, shareholder and other stakeholder, and we will continue to do our utmost to honour that trust.

Kee Wong

Chair of the Sustainability Committee