Climate Change Data

ISDIN, S.A. Y SOCIEDADES DEPENDIENTES

Climate Impact & Sustainability Data (2020, 2022)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:8874 tCO2e/year
Renewable Energy Share:100% (electricity in 22@ and CLM from April 2019)
Total Energy Consumption:1200 MWh/year (approx, extrapolated data)
Water Consumption:3657 m3/year
Waste Generated:316 t/year (hazardous and non-hazardous)

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Obtained B Corp certification, the first dermocosmetic company in Spain to achieve this.
  • Worked on the first product line incorporating eco-design principles (baby naturals, launched January 2021).
  • Part of the vehicle fleet is hybrid.
  • Implemented various measures in Barcelona offices to reduce impact (waste segregation, 100% recycled paper, flow reduction filters on taps).

Social Achievements

  • Certified as "Top Employers" for the second year.
  • Increased percentage of women in the workforce to 63% in 2020 from 62% in 2019.
  • Implemented various work-life balance measures (flexible hours, special days off, new leave types).
  • Maintained a very low accident rate.

Governance Achievements

  • Established a Code of Ethics and a Compliance Committee.
  • Implemented a B-Right channel for ethical concerns and complaints.
  • Approved the Group's Tax Policy on December 5, 2020.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Define objectives and plan for 2024, including product, planet, and people aspects of CSR.
Short-term Goals:
  • Implement waste segregation and 100% recycled paper use in all subsidiaries.
  • Improve product and packaging design for sustainability.
  • Reduce emissions and achieve carbon neutrality.

Environmental Challenges

  • COVID-19 pandemic impacted markets, operations, and employee work arrangements.
  • Sales growth stagnated in 2020 due to the pandemic.
Mitigation Strategies
  • Implemented telework, flexible shifts, and safety measures.
  • Created a multidisciplinary team ("Comisión Stronger") to evaluate and implement measures.
  • Continued analyzing potential impacts and implementing short, medium, and long-term actions.

Supply Chain Management

Responsible Procurement
  • Code of Ethics and Conduct for suppliers; criteria for social responsibility in supplier selection and evaluation; ISO 14001 certification verification.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: B Corp, ISO 9001:2015, ISO 13485:2016

UN Sustainable Development Goals

  • Good Health and Well-being (SDG 3)
  • Industry, Innovation and Infrastructure (SDG 9)
  • Responsible Consumption and Production (SDG 12)
  • Climate Action (SDG 13)
  • Life Below Water (SDG 14)
  • Affordable and Clean Energy (SDG 7)

ISDIN's activities contribute to these SDGs through product development, environmental programs, social initiatives, and ethical practices.

Sustainable Products & Innovation

  • Baby naturals product line

Awards & Recognition

  • B Corp certification
  • Top Employer certification

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:76,386 tCO2e (location based) / 76,157 tCO2e (market based)
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:1675 MWh (non-renewable) / 1463 MWh (renewable)
Water Consumption:5428 m3
Waste Generated:212 tons (non-hazardous) / 5.2 tons (hazardous)
Carbon Intensity:180 tn CO2 eq/Mn€ (2022)

ESG Focus Areas

  • Good Governance
  • Environmental
  • Social

Environmental Achievements

  • Reduced direct emissions by 50% and indirect emissions intensity by 50% compared to 2018 (target for 2030)
  • Achieved 100% waste valorization at Montcada logistics center since September 2021
  • Improved carbon intensity from 243 tn CO2 eq/Mn€ in 2019 to 180 tn CO2 eq/Mn€ in 2022

Social Achievements

  • Certified as a Top Employer for the fifth consecutive year
  • Launched Speak Up program to ensure inclusion and diversity
  • Invested 1% of sales in charitable projects related to skin care in 2022 (exceeding 2030 target)

Governance Achievements

  • Modified Compliance Committee structure and centralized functions in a Compliance Officer role
  • Updated the penal risk map to identify and detect new risks in the penal field
  • Implemented training sessions on Compliance and the different crimes for which an organization can be held criminally liable

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Reduce direct emissions by 50% and indirect emissions intensity by 50% by 2030
  • Achieve 95% eco-designed packaging by 2030
  • Use a minimum of 25% recycled materials by 2030
  • All raw materials used in ISDIN products will be certified with the highest social and environmental evaluation criteria by 2030
Short-term Goals:
  • Increase the weight of low-emission shipments (e.g., ship and train) and decrease air shipments
  • Increase electrification of the last mile
  • Achieve zero waste to landfill in all European subsidiaries
  • Pilot at least one 100% electric commercial vehicle in each European subsidiary

Environmental Challenges

  • Supply chain disruptions and increased costs (energy, etc.) due to the pandemic and geopolitical instability
  • Potential recession in key markets impacting consumption
  • Climate-related risks such as extreme weather events and changes in precipitation patterns affecting raw material availability and consumer behavior
Mitigation Strategies
  • Developed alternative sourcing strategies
  • Implemented measures to improve energy efficiency (e.g., transition to renewable energy, insulation of warehouse)
  • Reduced air freight, incorporated more sustainable routes and transport methods
  • Diversification of business by opening up to new markets

Supply Chain Management

Supplier Audits: 69.6% of critical suppliers adhered to the Code of Ethics; 59% of suppliers (by purchase volume) connected with Ecovadis.

Responsible Procurement
  • Code of Ethics and Conduct for suppliers
  • Ecovadis certification for suppliers

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events (e.g., floods, storms)
  • Changes in precipitation patterns
Transition Risks
  • Regulatory changes (e.g., plastic packaging regulations)
  • Carbon pricing policies
  • Changes in consumer preferences
Opportunities
  • Development of energy-efficient products and eco-packaging
  • Development of low-impact formulas

Reporting Standards

Frameworks Used: GRI Standards

Certifications: B Corp, Top Employer, ISO 45001

Third-party Assurance: Ernst & Young, S.L.

UN Sustainable Development Goals

  • Goal 3: Good Health and Well-being
  • Goal 14: Life Below Water
  • Goal 12: Responsible Consumption and Production
  • Goal 17: Partnerships for the Goals
  • Goal 13: Climate Action
  • Goal 5: Gender Equality

ISDIN's initiatives contribute to these goals through various programs and actions detailed in the report.

Sustainable Products & Innovation

  • ISDIN Baby Naturals
  • ISDIN Woman
  • Sea Friendly sunscreens

Awards & Recognition

  • B Corp
  • Top Employer
  • Diversity Leading Company