Climate Change Data

Abasic, S.A. and its subsidiary companies

Climate Impact & Sustainability Data (2021, 2022)

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:7,770 tCO2eq (location-based method for Scope 2)
Renewable Energy Share:84% of total energy use
Total Energy Consumption:22,180,591 kWh (headquarters, logistics centers, and points of sale) + 3,615,629 kWh (franchises)
Water Consumption:31,332 m3 (offices and points of sale)
Waste Generated:1,188 tons (offices and stores in Spain)

ESG Focus Areas

  • Climate Change
  • Sustainable Products
  • Sustainable Packaging
  • Supply Chain Management
  • Employee Well-being
  • Diversity & Equality

Environmental Achievements

  • Reduced carbon footprint by 57% compared to 2019.
  • Removed single-use plastics from product packaging.
  • Achieved 50% sustainable garments in the collection ahead of schedule (55% in SS22 collection).
  • 84% of electricity consumed from renewable sources.

Social Achievements

  • Implemented a four-day workweek at Barcelona headquarters with 85% employee approval.
  • Approved and implemented the company’s Plan for Equality of Men and Women.
  • Improved customer satisfaction ratings in Customer Support to 4 out of 5.

Governance Achievements

  • Launched Awesome Lab, Spain's first startup accelerator in the fashion sector.
  • Continued monitoring and implementation of the Compliance Programme to prevent criminal risks.

Climate Goals & Targets

Long-term Goals:
  • Carbon neutral by 2050.
Medium-term Goals:
  • Reduce carbon footprint by 45% by 2030 (compared to 2019).
  • 100% of cotton used from more sustainable sources by 2025.
Short-term Goals:
  • 60% of sales from digital channel or geographies outside Europe by 2023.

Environmental Challenges

  • Supply chain disruptions due to the ongoing effects of the COVID-19 pandemic and logistical difficulties.
  • Maintaining sustainability goals amidst global supply chain instability.
Mitigation Strategies
  • Adapted purchase plans and anticipated distribution risks.
  • Strengthened stock control policy to prevent surplus production.
  • Prioritized more local production in the EMEA region (with minor increase in Asian production due to EMEA instability).

Supply Chain Management

Supplier Audits: 100% of manufacturing factories (Tier 1) audited in 2021.

Responsible Procurement
  • Code of Conduct for suppliers; compliance with human rights, employee rights, environmental regulations, and quality and safety standards.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards, European Commission’s guidelines on non-financial reports (2017/C 215/01)

Third-party Assurance:

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 5 (Gender Equality)

Desigual's initiatives contribute to these goals through renewable energy procurement, sustainable product development, waste reduction, and promotion of gender equality.

Sustainable Products & Innovation

  • Collaborations with designers featuring sustainable materials; increased use of recycled and sustainable fibres.

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:58,910 tCO2e/year
Scope 1 Emissions:529 tCO2e/year
Scope 2 Emissions:2,405 tCO2e/year
Scope 3 Emissions:55,976 tCO2e/year
Renewable Energy Share:83% of total consumption
Total Energy Consumption:25,146,325 kWh/year
Water Consumption:35,685 m3/year
Waste Generated:1,040 tons/year
Carbon Intensity:155.28 tCO2/€M

ESG Focus Areas

  • Climate Change
  • Sustainable Products
  • Waste Reduction

Environmental Achievements

  • Reduced carbon footprint by 62% (absolute value) versus 2019
  • More than 70% of products are sustainable in the SS23 collection
  • 87% more sustainable cotton, reaching a target originally established for 2025
  • Removed single-use plastics from product packaging

Social Achievements

  • 90% of employees happier with the new 4-day workweek
  • Implementation of the Equality Plan approved in 2021
  • 14,224 hours of training (25% more than in 2021)

Governance Achievements

  • Implementation and monitoring of the Compliance Programme to prevent criminal risks
  • No serious non-conformities detected in 2022 supply chain audits

Climate Goals & Targets

Long-term Goals:
  • Carbon neutral by 2050
  • 100% circularity in collections by 2030
Medium-term Goals:
  • 100% sustainable garments by 2025
  • 65% reduction in emissions by 2026
  • 100% sustainable cotton by 2025
Short-term Goals:
  • 60% of sales through digital channel or outside Europe by 2023
  • Complete roll-out of new store concept by 2023

Environmental Challenges

  • External factors such as the cost of transport and energy in a highly inflationary environment affected supply chain management.
  • Impact of the pandemic and the war in Ukraine on the political and economic context in Europe prevented further reduction in production from Asia.
Mitigation Strategies
  • Maintained advance planning measures and adapted production to actual market demand to control costs.
  • Prioritized the consolidation of a solid portfolio of suppliers and the configuration of a stable and sustainable supply chain.
  • Collaborated with Retraced to digitize supply chains and achieve full production transparency.

Supply Chain Management

Supplier Audits: 100% of manufacturing factories (Tier 1) audited in 2021 and 2022

Responsible Procurement
  • Code of Conduct for suppliers
  • Sustainability requirements for suppliers
  • Compliance with ILO conventions

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: GRI Standards, European Commission’s guidelines on the submission of non-financial reports

Certifications: FSC, PEFC

Third-party Assurance: Third-party verification services provider (name not specified)

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 5 (Gender Equality)
  • Goal 13 (Climate Action)

Desigual's initiatives contribute to these goals through emissions reduction, sustainable materials, and equality programs.

Sustainable Products & Innovation

  • Recycled materials
  • Sustainable cotton
  • Sustainable fibres

Awards & Recognition

  • Actualidad Económica’s “The Best 100 Ideas in 2021” for the four-day workweek
  • Expansión’s Innovation in Human Resources award for the four-day workweek