Community - KUO - Annual Report 2025

IMPULSE

Message from the Chairman of
the Board and Chief Executive Officer

How to read this report

HOW TO
READ THIS
REPORT

GRI 2-3, 2-4

We present our ninth Integrated Annual Report, in which we reaffirm our ongoing commitment to sustainable management and transparent disclosure, in line with the strategic priorities that shape our Sustainability Model.

In this document, we report on our progress in managing Environmental, Social and Corporate Governance impacts, as well as the most relevant financial and operational results for the year.
‍
The Report details our sustainability performance during 2025, with a focus on continuous improvement and innovation in our business practices, aimed at generating long-term value for both our shareholders and all our stakeholders.

The printed version of this Report serves as an executive summary of the most relevant messages, results, and milestones of the year. To access the extended and detailed version—including expanded content and technical appendices—we invite readers to visit our website, where the complete Report is available.

Below the title of each chapter, we indicate the applicable GRI Standards and SASB metrics, as appropriate.
The Download section of the digital version includes the appendices corresponding to the main sustainability indicators, the GRI and SASB content indexes and relevant financial information.

For any additional information related to the content of this Report, please visit our website at www.kuo.com.mx or direct further inquiries to:

Corporate Headquarters
Paseo de los Tamarindos 400-B, Piso 31,
Bosques de las Lomas, Mexico City, CDMX,
Zip Code 05120
ir@kuo.com.mx

Leadership and Responsible Management

Sustainability Vision and Strategy

Risk Management and Monitoring

People

Community

Environmental Management

Community

GRI 3-3, 203-1, 203-2, 413-1
SASB RT-CH-210a.1

At KUO, we manage our relationship with communities based on the areas in which we have a significant operational presence, with the objective of promoting local development through capacity building, the creation of opportunities, and the establishment of long‑term relationships grounded in collaboration, shared responsibility, and ongoing dialogue.

During 2025, social investment increased by 4% and the number of people benefiting from these initiatives grew by more than 34%, reflecting a strategy focused on measurable impacts and greater local outreach. Most of the initiatives are implemented in coordination with local authorities, educational institutions, community organizations, producers, community leaders, and other local stakeholders, promoting solutions that are locally driven and sustainable over time.

Health

Health Care Centers
High-quality healthcare services and free medication distribution were provided in 14 communities across Yucatán, improving access to essential services in areas with limited coverage.

Health and Prevention Fairs
In collaboration with Universidad Autónoma de Yucatán and the University of Florida, we provided free general medical care, dental services, nutritional counseling, and physical therapy. These initiatives also included breast cancer screening and preventive programs focused on children, diabetes, and personal hygiene.

“I Choose to Live Free from Addictions” Program:
A prevention initiative aimed at teenagers in communities across Yucatán communities, offering free workshops focused on developing personal and social skills, as well as promoting healthy recreational alternatives to reduce risk factors associated with substance use.

Health promotion campaigns including vision screenings, partnerships with opticians to provide eyeglasses at discounted prices, and vaccination campaigns against COVID-19, influenza, and tetanus.

Education

“Livelihoods” Program.

Skills Training:
Free training provided by accredited educational institutions, with the issuance of official certifications that enhance employability.

Entrepreneurship:
Courses focused on needs assessment, specialized training, and ongoing support for local entrepreneurs, as well as the organization of community fairs to promote the local economy across various communities in Yucatán.

Beekeeping:
Free training sessions on agricultural and beekeeping best practices, conducted at apiaries located on our farms.

Academic Partnerships:
Collaboration with Universidad Autónoma de Querétaro to develop outreach, teaching, and research programs aimed at strengthening talent development and generating applied knowledge.

Internship Program:
Integration of university students into areas such as automotive manufacturing, engineering, quality, logistics, management, and strategic functions, contributing to talent development and fostering greater exposure of young professionals to the productive environment.

Educational Industrial Visits:
Guided tours of production facilities that allow students to gain firsthand knowledge of industrial processes, quality standards, safety practices, and the use of advanced technologies within the automotive sector.

Culture

“Community Life” Program

Community Engagement:
Participation in local celebrations and events that help to preserve cultural traditions and strengthen social cohesion.

Engagement and Support:
Direct communication mechanisms to address concerns, share information, and maintain close relationships with the community.

Participation in Community and Cultural Activities:
Participation in local festivals, government civic events, local celebrations, Indigenous Peoples’ Day, Mother’s Day, and the holiday season, through in-kind donations and the active involvement of the company’s team.

Dialogue and Transparency:
Ongoing communication channels, including informational spaces, facility visits, and direct engagement mechanisms, aimed at strengthening community trust.

“Model Citizen” Project:
An initiative designed to promote social leadership among employees within their communities and strengthen the relationship between the Company and its local environment.

Community Infrastructure:
Investment in projects aimed at improving road safety and community surroundings in communities where we operate.

For community consultation processes, we operate community committees that facilitate ongoing dialogue. These forums enable alignment on social projects, coordination of activities, definition of outreach strategies, and timely response to community concerns.

Circular Economy and Social Inclusion:
‍Styrofoam collection programs that fund collection routes and enable recovered materials to be transformed into marketable products, generating income for vulnerable communities and groups.

Support for Social Causes:
Bottle cap collection campaigns aimed at supporting children’s homes and patients with heart conditions.

In-kind Support:
Donation of clothing to children's homes, helping to meet the basic needs of beneficiaries.

KUO takes a cross-cutting approach based on respect for the human rights of indigenous communities, supported by an engagement strategy that recognizes their culture, language, and traditions.

Rights to Land,
Resources, and
Indigenous Peoples

GRI 13.13.1, 13.14.1

Key initiatives include:

- Cultural activities linked to regional traditions, such as Janal Pixán or Indigenous Languages Day.
- Technical training programs that integrate traditional knowledge with modern practices.

This approach emphasizes respect for local customs and traditions, as well as the protection and preservation of the environment. In addition, we promote environmental awareness and education initiatives in coordination with local stakeholders.