Kering (KER) ESG Presentation summary

Group overview and financial performance

• Operates a portfolio of iconic luxury brands across fashion, leather goods, jewelry, eyewear, and beauty, with recent expansion into high-growth segments like eyewear and beauty.

• 2023 revenue reached €19.6 billion, with €3 billion net income and a recurring operating income margin of 24.3%.

• Geographically diversified revenue: Asia Pacific 35%, Western Europe 28%, North America 23%, Japan 7%, Rest of World 7%.

• Stable family shareholding (42.2% of capital, 59% of voting rights) and strong institutional investor base.

Sustainability strategy and achievements

• Committed to a 40% absolute reduction in GHG emissions across the supply chain by 2035, validated by SBTI.

• Achieved -77% absolute reduction in scope 1 & 2 GHG emissions and -55% intensity reduction in scope 3 since 2015.

• 97% traceability for key raw materials and 75% alignment with internal sustainability standards.

• Maintains 100% renewable electricity since 2022 and has converted 840,000 hectares to regenerative agriculture.

• Recognized in major ESG indices and ratings, including DJSI, MSCI AAA, CDP Triple A, FTSE4Good, and Corporate Knights Global 100.

Climate, biodiversity, and circularity initiatives

• 99% of GHG emissions are scope 3, with leather accounting for about a third of the total impact.

• Launched the €300 million Climate Fund for Nature to invest in nature-based solutions and regenerative projects.

• Among the first to adopt Science-Based Targets for Nature (SBTN) for both freshwater and land, including a 21% water use reduction in the Arno basin by 2030.

• Regenerative Fund for Nature aims to convert 1 million hectares to regenerative agriculture by 2026; 840,000 hectares achieved by end 2023.

• Circularity commitments include no unsold product destruction, 100% raw materials compliance by 2025, and zero single-use plastic by 2025.