Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• 100% of paper used in magazines was FSC and PEFC certified.
• 30% waste recycling achieved, aiming for 50% by January 2020.
• Reduced energy consumption by approximately 25% in the largest UK office through LED lighting.

Social Achievements

• Launched a new manager development program with over 160 managers participating.
• Hired over 40 new roles into editorial.
• Paid out the maximum amount under the annual profit scheme for the second year running and increased the maximum payment for all tier profit pool payments by 60%.

Governance Achievements

• Strengthened the Board with Rob Hattrell joining as a Non-Executive Director.
• Completed a rigorous review of the Company’s internal control environment.
• Successfully completed and integrated eight acquisitions over the last 36 months.

Climate Goals & Targets

Environmental Challenges

• Collection, storage and use of personal data.
• Dependence on CEO.
• Increasing reliance on technology.
• Economic downturn/Brexit.
• Shift in advertising model.
• Reliance on 'search'.
• Risk of acquisition failure.

Mitigation Strategies

• Data Protection Officer oversees data protection matters.
• Succession planning and talent review exercise.
• Continual investment in and upgrading of IT systems and processes.
• Geographic and revenue stream diversification.
• Training sales teams and developing direct client relationships.
• Dedicated audience development team and investment in high-quality content.
• Due diligence and detailed integration plans for acquisitions.

Supply Chain Management

Responsible Procurement

• Supplier environmental and ethical audits
• Anti-bribery and modern slavery questionnaires

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Culture
• Responsible Content
• Diversity & Inclusion
• Sustainability

Environmental Achievements

• Reduced CO2e intensity from 0.8 tonnes CO2e per £m in 2021 to 0.74 tonnes CO2e per £m in 2022 (7.5% decrease)
• Invested in three new intelligent data center technologies that are 100% powered by renewable energy
• Removed single-use plastics from domestic shipping and marketing
• Increased recycling rate to 67% (from 35.4% in FY2021)

Social Achievements

• Launched ‘Our Future, Our Responsibility’ ESG strategy
• Accelerated payment of annual profit pool bonus scheme, paying 40% in June to mitigate inflationary pressures
• Accelerated standard salary review process from January 2023 to November 2022
• Made a one-off additional payment of 2% of salary in FY 2023 for lower-salaried colleagues
• 71% response rate in Annual Colleague Engagement Survey
• Continued support for Future Foundation and Future Frontiers programs
• Launched Positive Impact Award to celebrate content that has amplified or encouraged a positive impact

Governance Achievements

• Created a Responsibility Committee to oversee ESG strategy
• Published Responsible Content Framework internally
• Published Diversity Policy internally
• Implemented mandatory Privacy and Data Protection training
• Implemented Conduct Rules training for colleagues in FCA-regulated parts of the business
• Reconstituted Ethics Committee to address ethical behavior in content and commercial products

Climate Goals & Targets

Environmental Challenges

• Rising energy prices and inflation impacting employee financial well-being
• Secular decline in the magazine industry
• Economic downturn, fiscal policy changes, and geopolitical uncertainty impacting consumer spending and advertising
• Changing consumer habits and media consumption patterns
• Cyber threats and data security risks
• Reliance on third-party service providers
• Competition for advertising expenditures

Mitigation Strategies

• Diversified revenue streams and geographic reach
• Focus on high-quality content and market leadership positions
• Investment in employee well-being initiatives
• Investment in proprietary technology and data platform (Aperture)
• Robust continuity arrangements for key third-party providers
• Continuous monitoring of macroeconomic developments and market conditions
• Investment in digital advertising capabilities and video content
• Proactive approach to cyber security and data protection
• Strong relationships with advertising partners and agencies

Supply Chain Management

Responsible Procurement

• Responsible paper sourcing
• Removal of single-use plastics

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events impacting paper supply and electricity

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Development of energy-efficient products and services
• Attracting advertisers seeking to improve their ESG credentials

Reporting Standards

Frameworks Used: UN Sustainable Development Goals (SDGs), TCFD (partially compliant)

Certifications: NewsGuard Green certification for four websites

Third-party Assurance: BIU (for GHG emissions)

Sustainable Products & Innovation

• Products or stories that encourage a more sustainable approach to homes (Ideal Home)

Awards & Recognition

• Marie Claire won Innovation of the Year Award from the British Society of Magazine Editors for sustainability work

Environmental Metrics

ESG Focus Areas

• Climate
• Culture
• Community
• Content

Environmental Achievements

• Reduced digital GHG emissions from 1,125.1 gCO2e per ad impression in February 2023 to ~170 gCO2e per impressions by September 2023
• Switched to 100% renewable electricity for data centers in FY 2022
• Installed new LED lighting in UK offices resulting in significant reduction of total circuit watts

Social Achievements

• Launched Future Academy, a junior talent scheme
• Launched Future Safeguarding site to provide support and information to colleagues facing online harassment
• 81% response rate to Annual Employee Engagement Survey (11ppt improvement from previous year)
• 25% of promotions and vacancies filled internally

Governance Achievements

• Implemented new Directors’ Remuneration Policy approved by 93% of shareholders
• Appointed Jon Steinberg as CEO
• Adopted a new board Diversity and Inclusion Policy

Climate Goals & Targets

Environmental Challenges

• Wider market slowdown in audience numbers in the second half of the year
• Challenging advertising market and consumer pressure on affiliate product business
• Inflationary pressures
• Secular decline in Magazines
• Higher interest rates and depressed valuation creating a tougher environment for M&A activity

Mitigation Strategies

• Improved leadership positions in key verticals
• Strong performance in price comparison business
• Cost savings initiatives
• Higher proportion of subscription revenue in Magazines
• Share buyback program to return excess cash to shareholders
• Growth Acceleration Strategy (GAS) with a two-year investment plan of £25-30m

Supply Chain Management

Responsible Procurement

• Paper sourced from sustainable, managed forests with FSC certification

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events, flooding, heatwaves, wildfires

Transition Risks

• Increased regulatory costs, changes in advertising sector, increase in operational costs

Opportunities

• Increased consumer interest in sustainable products, opportunities for Future to be a trusted partner in guiding climate-motivated consumer choices

Reporting Standards

Frameworks Used: TCFD, GRI, UN SDGs

Certifications: FSC

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 13 (Climate action)

Initiatives to reduce emissions, increase renewable energy use, and create climate-related content contribute to these goals.