Climate Change Data

Environmental Metrics

ESG Focus Areas

• Diversity, Equity and Inclusion
• Employee Engagement
• Product Sustainability
• Packaging Sustainability
• Responsible Sourcing
• Climate Change and Emissions

Environmental Achievements

• Eliminated 1 million pounds of excess packaging since the inception of “Project Unicorn”
• First measurement of greenhouse gas emissions completed
• First beauty company to have a third-party manufacturing facility Fair Trade Certified™

Social Achievements

• 89% overall employee engagement—15 points above the industry benchmark
• 7 new or enhanced employee benefits launched
• ~$185,000 donated to support and empower underserved communities
• +14pp year-over-year increase in female leadership, with Executive Team now 57% female

Governance Achievements

• One of only 26 public companies in the U.S. with ≥33% underrepresented demographic groups on Board
• First materiality assessment completed
• Launched a new Social Impact page of our website to memorialize our commitment to transparent ESG practices

Climate Goals & Targets

Environmental Challenges

• Reducing environmental impact of packaging
• Measuring and reducing water usage
• Managing Scope 3 emissions

Mitigation Strategies

• Implementing Project Unicorn to reduce packaging
• Measuring water usage and engaging with suppliers to minimize impact
• Developing carbon reduction strategy based on baseline emissions data

Supply Chain Management

Supplier Audits: Over 40 suppliers completed EcoVadis assessments, covering over 90% of annual spend.

Responsible Procurement

• EcoVadis certification program
• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB

Certifications: PETA Certified, Leaping Bunny Certified, EWG VERIFIED™ (Well People)

Awards & Recognition

• #4 Best Small and Medium Workplaces in Manufacturing and Production in 2021 (Fortune)

Environmental Metrics

ESG Focus Areas

• Diversity, Equity and Inclusion
• Community Empowerment
• Employee Empowerment
• Product Sustainability
• Packaging Sustainability
• Responsible Sourcing
• Climate and Environment

Environmental Achievements

• Eliminated 2.5 million pounds of excess packaging since 2019
• 75% of paper cartons made with Forest Stewardship Council (FSC)-certified paper
• 76% of products made in Fair Trade Certified™ facilities
• Met reduction targets for Scope 1 and 2 greenhouse gas emissions (94% reduction vs FY22 baseline)

Social Achievements

• 91% employee engagement (19pp above industry benchmark)
• Donated nearly 3% of prior year's profits to community initiatives
• Ranked #48 out of ~4,200 US public companies for Board gender diversity (Top 0.3%)
• Launched Show Your(s)e.l.f., a YouTube series featuring inspirational role models
• Donated $75,000 to The Hidden Opponent, a non-profit for student-athlete mental health

Governance Achievements

• Board of Directors is at least 2/3 women and at least 1/3 diverse (out of nearly 4,200 public companies)
• 100% of full-time employees received annual equity awards

Climate Goals & Targets

Environmental Challenges

• Reducing Scope 3 emissions
• Increasing diversity representation in leadership
• Achieving 100% FSC-certified packaging and brush handles
• Achieving 100% RSPO-certified palm oil

Mitigation Strategies

• Established science-based target for Scope 1 and 2 emissions (42% reduction by 2030)
• Implemented DEI training and development programs
• Set goals for 100% FSC-certified paper cartons and wood brush handles by FY25
• Transitioning existing products with palm derivatives to RSPO-certified sources (goal of 100% by FY27)

Supply Chain Management

Supplier Audits: 45 suppliers assessed through EcoVadis

Responsible Procurement

• Supplier Code of Conduct
• EcoVadis sustainability certification program
• Fair Trade Certified™ manufacturing facilities

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB

Certifications: PETA Global Animal Test-Free, Leaping Bunny, EWG VERIFIED™ (Well People)

Awards & Recognition

• Newsweek’s ‘America’s 100 Most Loved Workplaces 2022’
• Forbes’ ‘America’s Best Midsize Employers 2023’

Environmental Metrics

ESG Focus Areas

• Board Diversity
• Responsible Sourcing
• Carbon Footprint Reduction
• Human Capital Investments

Environmental Achievements

• Achieved a 42% reduction in Scope 1 and 2 emissions by 2030 (from a fiscal 2022 base year).
• 100% of paper cartons across e.l.f. Cosmetics, e.l.f. SKIN, Well People and Keys Soulcare are now produced with FSC-certified materials.

Social Achievements

• One of only four public companies in the U.S. with a board of directors that is at least two-thirds women and at least one-third diverse.
• Employee base is 75% women, over 40% diverse and over 65% millennial and Gen Z.
• Recognized in the U.S. News & World Report 2023-2024 edition of “U.S. News Best Companies to Work For”.

Governance Achievements

• Enhanced ESG Policies and Disclosure.
• Launched “Change the Board Game” initiative to encourage other companies to diversify their boards.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Fair Trade Certified™ facilities

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Fair Trade Certified™

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• U.S. News & World Report 2023-2024 edition of “U.S. News Best Companies to Work For”