Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Equity, & Inclusion
• Supply Chain Management
• Transparency & Accountability

Environmental Achievements

• Implemented several features at Egg Central Station (ECS) to conserve energy and water, including a water filtration system, LED lights, and bioretention features.
• Over 8,400 acres of land across the farm network are rejuvenated naturally through pasture rotation.

Social Achievements

• Created high-quality jobs with a people-first culture, including bonuses, equity, and a comprehensive benefits package.
• Achieved a 71% crew engagement score, equal to the Culture Amp benchmark for U.S. Food & Beverage companies.
• Donated nearly $1 million in monetary and product contributions to 31 non-profit organizations.

Governance Achievements

• Established a Diversity, Equity, and Inclusion (DEI) function and Diversity Council.
• Significant changes in Board composition to include members from diverse groups; women hold 44% of board seats.

Climate Goals & Targets

Environmental Challenges

• Scope 3 emissions make up the majority of Vital Farms' carbon emissions.
• Approximately 20% of sampled farms are located in areas with high levels of baseline water stress.
• 32% of animal feed is sourced from regions with High or Extremely High Baseline Water Stress.

Mitigation Strategies

• Working with greenhouse gas inventory experts to develop Scope 1, 2, and 3 emissions inventories.
• Planning to expand water risk assessment to include all suppliers.
• Assessing regional water stress levels for feed sourcing and refining analysis to assess specific producer locations.

Supply Chain Management

Supplier Audits: Yearly, bi-annual, or quarterly basis (depending on farm grade)

Responsible Procurement

• Supplier Code of Conduct covering non-discrimination, diversity and inclusion, child labor, forced labor, health & safety, wages, working hours, freedom of association, ethics, and environmental impact.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB

Certifications: Certified B Corporation, Public Benefit Corporation

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Effie Award

Environmental Metrics

ESG Focus Areas

• Climate change
• Ecological impacts
• Diversity, equity, and inclusion
• Farmer well-being
• Supply chain management
• Transparency
• Accountability

Environmental Achievements

• Achieved zero food waste at Egg Central Station.
• Egg Central Station named Green Plant of the Year by Food Processing.
• Reduced overall water consumption at ECS by recirculating water.
• Transitioned all PET cartons to a new hybrid package, reducing carbon footprint.
• 100% of pasture-raised egg farms are Certified Humane®.

Social Achievements

• Launched largest crew development program to date, equipping nearly 100 crew members with new problem-solving and communication skills.
• Launched a new world-class onboarding program.
• Hosted first Inclusive Farmer Open House.
• Donated over $175,000 to 22 charitable organizations and more than 469,000 pounds of food.
• Responded to consumer inquiries in an average of 56 minutes (down 89% from the prior year).

Governance Achievements

• Implemented director and officer stock ownership guidelines and an incentive clawback policy.
• Revised Supplier Code of Conduct and Human Rights Policy.
• Implemented an Environmental Policy.
• Established an ESG Steering Committee.
• B Corporation Certified since 2015 (most recently recertified in 2022).

Climate Goals & Targets

Environmental Challenges

• Avian influenza posed a challenge to the industry.
• Rising feed prices.
• Extreme heat days over the summer.
• Climate change increasing risk of infectious diseases and impacting animal productivity.
• Adverse weather conditions impacting feed (corn and soy) prices.

Mitigation Strategies

• Close relationship with farmers prevented major disruption to business.
• Adjusted compensation model to better account for volatile feed and pullet pricing.
• Listening tour to understand farmer challenges and experiences.
• Engaging farmers in regenerative agriculture practices.
• Improving energy and resource efficiency at facilities and investing in renewable energy projects.

Supply Chain Management

Supplier Audits: Feed mills audited to FDA and Vital Farms standards; Internal audits at least once a year at each farm.

Responsible Procurement

• Certified Humane® for pasture-raised egg production.
• USDA Organic Standard for all farms.
• National Dairy Farmers Assuring Responsible Management (FARM) program and Animal Care Standard for dairy farmers.

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (tornadoes, floods)
• Heat stress
• Water stress
• Infectious diseases

Transition Risks

• Increased stakeholder focus on sustainability
• Failure to meet ESG goals and standards

Opportunities

• Improved energy and resource efficiency
• Engaging farmers in strategies to reduce environmental impacts
• Alignment with growing consumer preferences for sustainable food

Reporting Standards

Frameworks Used: SASB, TCFD

Certifications: B Corp, Certified Humane®, Global Food Safety Initiative (GFSI), Safe Quality Food Institute (SQFI) Select Site

Sustainable Products & Innovation

• Restorative pasture-raised eggs
• Carbon-neutral hybrid egg carton

Awards & Recognition

• Built In Austin: 2022 Best Places to Work Awards
• Mindful Awards: Butter Product of the Year
• Cannes Silver Lion
• Food Processing: Green Plant Award for Egg Central Station
• Progressive Grocer ‘IMPACT’ Award
• Whole Foods Market 2023 Trends Report: ‘A Poultry Revolution’ Trend

Environmental Metrics

ESG Focus Areas

• Ecological Impacts
• Inclusion and Belonging
• Accountability
• Climate Change and Supply Chain Management
• Climate Change and Operations

Environmental Achievements

• Achieved zero waste to landfill at Egg Central Station (2.3% waste to landfill)
• 15% of farms engaged in additional regenerative agriculture practices
• Reduced operational greenhouse gas intensity (Scope 1 and 2) by 0.25%

Social Achievements

• Partnership with Ozarks Technical College for workforce development
• Broadening farmer network to include historically underrepresented communities
• Launched Cluck University, a learning management system with 95% crew participation
• Launched Leadership Eggcelerator, a leadership development program
• Completed a pay equity analysis with no significant pay discrepancies identified

Governance Achievements

• Gender-balanced Board of Directors (75% diverse/25% non-diverse)

Climate Goals & Targets

Environmental Challenges

• Climate change increasing frequency and severity of natural disasters (impacting production and operations)
• Climate change impacting supply chain through heat stress, water stress, and infectious diseases on farms
• Climate change impacting feed prices through adverse weather conditions
• Stakeholder focus on sustainability and corporate social responsibility

Mitigation Strategies

• Improving energy and resource efficiency at facilities
• Investing in renewable energy projects (solar panels)
• Engaging farmers in strategies to reduce environmental impacts
• Setting carbon reduction goals for operations
• Conducting climate-related risk assessments
• Implementing adaptation plans and regenerative/climate-smart farming practices

Supply Chain Management

Supplier Audits: 100% of supplier facilities certified to a GFSI food safety certification program

Responsible Procurement

• Working with organizations like KBFA, Farmer Veteran Coalition, and National Young Farmers Coalition to diversify supply chain

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (tornadoes, floods)

Transition Risks

• Increased fossil fuel prices
• Changes in consumer preferences
• Stakeholder expectations on sustainability

Opportunities

• Improved energy and resource efficiency
• Renewable energy investments
• Engaging farmers in sustainability strategies
• Stronger market position with sustainable products

Reporting Standards

Frameworks Used: SASB, TCFD

Certifications: Certified B Corp, Regenified™

Sustainable Products & Innovation

• Restorative Egg product

Awards & Recognition

• Top Impact Companies, Real Leaders, 2024
• “Egg Product of the Year,” Mindful Awards 2023
• Top Impact CEO Ranking, MO100 2023
• Brands That Matter, Fast Company 2023
• Sustainable Plant of the Year, Food Engineering 2023
• Inspiring Workplaces, Inspiring Workplaces 2023
• Best Snack Awards, Good Housekeeping 2023 Editors Picks “Best New Product,” Progressive Grocer