Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Sustainable Supply Chain
• Employee Well-being

Environmental Achievements

• Reduced energy consumption by 10.3% compared to 2015
• 100% of new dermo-cosmetics products with eco-friendly, socially responsible design
• Deployment of a carbon emissions measurement tool for subsidiaries
• Signed the Plastic Act, committing to the French AGEC anti-waste law
• 20% reduction in water consumption (versus 2015)

Social Achievements

• 89/100 Gender Equality Index score
• 86.3% employee subscription rate for the employee stock ownership scheme
• Launched an employee engagement survey with 87% participation
• Partnership with Junior Achievement Hong Kong for mentoring ethnic minority students
• Obtained Cap’Handéo label as a “Company committed to its employee caregivers”

Governance Achievements

• Unique shareholding structure with 86% owned by the Pierre Fabre Foundation
• Strengthened dialogue between the Executive Committee and Supervisory Board
• Implemented ethics and compliance training sessions
• 327 suppliers (44% of purchasing turnover) assessed using ECOVADIS

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic
• Cyber-attack in spring 2021
• Climate change
• Increasing consumer demand for natural and sustainable products
• Global health crisis impact on cancer diagnoses

Mitigation Strategies

• Implementation of the Transformation Plan
• Increased agility and responsiveness
• Focus on strategic developing markets
• Development of eco-friendly and socially responsible products
• Investment in R&D and digitalization

Supply Chain Management

Supplier Audits: 327 suppliers (44% of purchasing turnover) assessed using ECOVADIS

Responsible Procurement

• ECOVADIS assessment based on GRI, UN Global Compact, and ISO 26000 standards
• 80% of new plant extracts sourced from plants grown organically or without chemical treatments

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IIRC guidelines, Materiality analysis (2019)

Certifications: ECOCERT 26000 (Excellence level)

Sustainable Products & Innovation

• Triasorb™ sunscreen
• A-Derma Biology organic dermatological products
• Elgydium’s 100% FSC-certified wooden toothbrush

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Water Management
• Employee Development
• Responsible Sourcing
• Governance
• Human Rights
• Social Impact

Environmental Achievements

• Reduced carbon footprint by 11% between 2017 and 2021 across all scopes.
• Soual dermocosmetics site reduced water consumption by 22% over four years.
• Obtained AFNOR certification for corporate social responsibility at the “exemplary” level.

Social Achievements

• Launched pilot initiative providing Eau Thermale Avène dermocosmetic products to oncology patients to reduce side effects.
• Developed ViK CRC mobile app to support colorectal cancer patients.
• Launched ALL program to build the largest international private database on skin diseases.
• Organized a hair donation campaign for wig making.

Governance Achievements

• Completed Transformation plan, achieving objectives in medical and naturalness positioning, portfolio and geographical footprint, efficiency, digitalization, and organization.
• Unique shareholding structure with the Pierre Fabre Foundation (86%) and employees (9.2%).
• Implemented Green Impact Index, a social and environmental scoring tool.

Climate Goals & Targets

Environmental Challenges

• Water scarcity impacting cosmetics manufacturing and sourcing of natural ingredients.
• Climate change impacting supply chains.
• Need to balance preserving company culture with stimulating innovation and integrating new talent.

Mitigation Strategies

• Exploring new solutions like “dry” facilities to reduce water consumption.
• Increasing recourse to agroecological cultivation for medicinal plants.
• Reviewing industrial processes and increasing independence from external suppliers.
• Developing regulations to facilitate action against climate change.
• Investing in digital technologies to improve agility and competitiveness.

Supply Chain Management

Supplier Audits: 423 suppliers rated in ECOVADIS (2022)

Responsible Procurement

• Ecovadis and Fret 21 accredited initiatives; switching to biofuel for shuttle trucks; fair trade sourcing of natural ingredients; Green Impact Index for product assessment.

Climate-Related Risks & Opportunities

Physical Risks

• Droughts, heat waves

Transition Risks

• Regulatory changes, supply chain disruptions

Opportunities

• Development of energy-efficient products, innovation in circular economy.

Reporting Standards

Frameworks Used: AFNOR

Certifications: ISO 9001, ISO 13485, GMP, GDP, COSMOS Organic by Ecocert, THQSE®

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• A-Derma Biology range (Cosmos Organic certified); Hyaluron Activ B3 range (reduced environmental footprint).

Awards & Recognition

• Forbes ranking: 3rd among cosmetics companies and 6th among pharmaceutical laboratories (2022).

Environmental Metrics

ESG Focus Areas

• Decarbonization
• Responsible sourcing of natural active ingredients
• Eco-social product design
• Employee well-being
• Biodiversity protection
• Community investment

Environmental Achievements

• 26% reduction in greenhouse gas emissions (scopes 1 and 2) vs 2015
• 21% reduction in energy consumption in France vs 2015
• 30% reduction in water consumption in France vs 2018
• 90% of plant-based active ingredients extracted without solvents or using green solvents
• CSR policy assessed as “Outstanding” by AFNOR Certification

Social Achievements

• Employee engagement score rose by 1 point compared to 2022
• Ranked among the “World’s Best Employers” by Forbes magazine for the 3rd year running
• 4,910 employees involved in supporting an environmental or humanitarian association
• Launched Spor’Team Pierre Fabre, supporting 11 young athletes

Governance Achievements

• Unique shareholding structure: 86% Fondation Pierre Fabre, 9.5% employee stock ownership
• Regular assessment of Supervisory Board composition to ensure appropriate skills and experience
• High score from Carbon Disclosure Project (B score), highest score achievable for first-time assessment

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Geopolitical unrest
• Cybersecurity risks
• Product quality/safety risks
• Climate change and biodiversity loss
• Inflation and cost increases
• Exchange rate fluctuations
• Tax increases
• Water stress

Mitigation Strategies

• Secure sourcing of raw materials
• Continuous improvement of production and supply chain processes
• Cybersecurity plan
• Quality Management System and Vigilance procedures
• Insurance contracts
• Strategic planning to minimize climate risks and seize opportunities
• Measures to reduce energy and water consumption
• Dry factory concept
• Currency hedging policy

Supply Chain Management

Responsible Procurement

• Secure sourcing of strategic raw materials
• Prioritizing materials from France and neighboring countries
• Increased use of biofuels

Climate-Related Risks & Opportunities

Physical Risks

• Water stress
• Natural disasters

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of sustainable products and processes

Reporting Standards

Frameworks Used: AFNOR Spec 2215 (Green Impact Index)

Certifications: Responsibility Europe label (AFNOR Certification), Cosmos Bio and Fair Trade certification (lavender)

UN Sustainable Development Goals

• Goal 3 (Good Health and Well-being)
• Goal 7 (Affordable and Clean Energy)
• Goal 13 (Climate Action)
• Goal 12 (Responsible Consumption and Production)

Initiatives contribute to these goals through improved healthcare access, reduced environmental impact, and sustainable product development.

Sustainable Products & Innovation

• Products with organic active ingredients
• Eco-designed products (Green Impact Index)

Awards & Recognition

• Forbes “World’s Best Employers” (3 years running)
• Prix Galien award (EBVALLO®)