Ermenegildo Zegna N.v. · NYSE:ZGN
Ermenegildo Zegna — ESG Presentation (April 2025)
31 slides from Ermenegildo Zegna's sustainability presentation, April 2025
Slide 1: Custodian of Authenticity: Pioneers in ESG
CUSTODIAN OF AUTHENTICITY Pioneers in ESG April 2025 1
Slide 2: Disclaimer
Disclaimer Non-IFRS Financial Measures The Group’s management monitors and evaluates operating and financial performance using several non-IFRS financial measures including: adjusted earnings before interest and taxes (“Adjusted EBIT”), Adjusted EBIT Margin, Net Financial Indebtedness/(Cash Surplus)
Slide 3: Index
INDEX 1. OVERVIEW 2. PRODUCT 3. PLANET 4. PEOPLE 5. GOVERNANCE 3
Slide 4: 1. Overview
1. OVERVIEW 4
Slide 5: Our Group at a Glance
OUR GROUP AT A GLANCE €1.2bn revenues Revenues1 breakdown and Adjusted EBIT Margin #281 DOS €m,% Organic growth2 1,905 1,947 -2% 16 -32% Other3 30 138 151 -7% Textile 236 315 -1% TOM FORD FASHION €315m revenues 378 315 -20% Thom Browne #116 DOS 1,109 1,164 +6% ZEGNA brand FY 2023 FY 2024 €315m reven
Slide 6: Our ESG Strategy for Long-Term Sustainable Growth
OUR ESG STRATEGY FOR A LONG-TERM SUSTAINABLE GROWTH PRODUCT PLANET Responsible Supply Chain Water footprint Sustainable Raw Materials GHG Emissions reduction actions and initiatives Product traceability system Renewable energy Reforestation and forest protection activities PEOPLE GOVERNANCE Develop
Slide 7: Material Topics Driving Our ESG Strategic Path
MATERIAL TOPICS DRIVING OUR ESG STRATEGIC PATH We have identified 9 material topics to contribute to the four pillars of the ESG Strategy Product Planet People Governance Climate Change Pollution and Ecosystem Damage Resource Use & Biodiversity Human & Labor Rights Education & Training Employee Well
Slide 8: Our Strong & Relentless ESG Commitment Through the Years
OUR STRONG & RELENTLESS ESG COMMITMENT THROUGH THE YEARS 2022 2023 • Presented the Group’s ESG strategy during the Capital • Disclosed the financial impact of climate-related risks and Markets Day held on May 17,2022; opportunities aligned with TCFD (Task Force on Climate- • Established two sustaina
Slide 9: Our Ongoing ESG Commitments
OUR ONGOING ESG COMMITMENTS 1. PRODUCT 2. PLANET 3. PEOPLE 4. GOVERNANCE I. Chemical management: ZDHC I. Joined ZDHC as Signatory Brand I. 87% of employees received DE&I I. Board oversight of ESG strategy Foundational compliance level II. 100% electricity from renewable training & implementation (MR
Slide 10: Ratings Achieved by Relevant ESG Agencies
RATINGS ACHIEVED BY RELEVANT ESG AGENCIES 44/100 B B Climate Water 10
Slide 11: 2. Product
Ermenegildo Zegna Group
Slide 12: Ensuring Responsible Supply Chain & Procurement
ENSURING RESPONSIBLE SUPPLY CHAIN & PROCUREMENT 2024 Group spending on suppliers by geographical area Responsible management – 2024 updates: 7% ▪ Updated Code of Conduct for Suppliers 5% ▪ All suppliers required to accept our Code of Ethics/Code of Conduct for Suppliers, Italy Human Rights Policy, E
Slide 13: Sustainable Raw Materials from Traceable Origin and Lower-Impact Sources
SUSTAINABLE RAW MATERIALS FROM TRACEABLE ORIGIN AND LOWER-IMPACT SOURCES 52% certified traceable, of which 36% Traceable & lower-impact top priority raw materials trend Authentico® 51% certified SFA 32% 33%* About 27% certified GOTS 25% 16% About 17% certified RCS & 40% FSC 2021 2022 2023 2024 About
Slide 14: Traceability in Our Collections
TRACEABILITY IN OUR COLLECTIONS Following our Group commitment on traceability, the ZEGNA brand launched three collections based on this principle: 14
Slide 15: Supply Chain Transparency
SUPPLY CHAIN TRANSPARENCY The Group is making significant strides toward transparency and accountability in its supply chain through a strategic partnership with TextileGenesis, a leader in digital traceability solutions. TextileGenesis enables the Ermenegildo Zegna Group to validate the provenance
Slide 16: 3. Planet
3. PLANET 16
Slide 17: Our Energy Consumption & Intensity Ratio
OUR ENERGY CONSUMPTION & INTENSITY RATIO Energy Consumption Total revenues and intensity ratio* GJ (k €), GJ/k € revenues * Data related to FY23 and FY22 do not include TOM FORD FASHION. Data as of 31.12.2024 17
Slide 18: Our Greenhouse Gas Emissions and Carbon Footprint
OUR GREENHOUSE GAS EMISSIONS AND CARBON FOOTPRINT SCOPE 1 & 2 EMISSIONS (tCO2e) SCOPE 3 EMISSIONS (tCO2e) % FLAG emissions on Cat. 1 75% 74% 73% SCOPE 1 & 2 EMISSIONS INTENSITY RATIO (tCO2e/k € revenues) SCOPE 3 EMISSIONS INTENSITY RATIO (tCO2e/k € revenues) -22% -31% Data as of 31.12.2024 18
Slide 19: Our Science-Based Targets
OUR SCIENCE-BASED TARGETS The Group reviewed its emission reduction targets (previously adopted in 2023) to reflect the change in business perimeter due to the acquisition of Tom Ford International LLC, and the impact on Scope 3 categories of the allocation between FLAG* targets vs. non-FLAG targets
Slide 20: Our Strong Commitment on Water, Chemicals, Packaging & Waste
OUR STRONG COMMITMENT ON WATER, CHEMICALS, PACKAGING & WASTE WATER CHEMICALS WASTE & PACKAGING 2022: 2023: Retail packaging made of 51% First Group Water Footprint Achieved ZDHC Foundational post-consumer waste paper Assessment compliance level across all and 49% FSC-certified paper production sites
Slide 21: Oasi Zegna – The Home of Zegna Values
OASI ZEGNA – THE HOME OF ZEGNA VALUES OASI ZEGNA is the 100 km2 surrounding the wool mill enstablished in 1910. In the 1930s Ermenegildo Zegna, the founder, embarked on a vast environmental restoration project in this area in the mountains of Piedmont, Northern Italy, planting up to 500 thousand tre
Slide 22: 4. People
4. PEOPLE 22
Slide 23: Centricity of Our People in Driving Sustainable Growth
CENTRICITY OF OUR PEOPLE IN DRIVING SUSTAINABLE GROWTH Employees worldwide1 Group’s diversity breakdown by gender Female 39% Male 61% EMEA 65% AMERICAS 10% APAC Group’s diversity breakdown by category 25% Top executive 27.2% 72.8% Management 51.4% 48.6% Office sole contributor 65.0% 35.0% Retail per
Slide 24: People Growth & Development
PEOPLE GROWTH & DEVELOPMENT Average hours of employee training trend ▪ Strengthened Leadership Model with training and coaching programs to identify key competencies and behaviors to empower the workforce ▪ Evolved the onboarding program for new hires to foster integration and long-term success ▪ +1
Slide 25: Accademia dei Maestri – Crafting Tomorrow's Excellence
ACCADEMIA DEI MAESTRI – Crafting tomorrow’s excellence Casting a vision forward, empowered by a legacy of excellence, the Accademia dei Maestri pioneers innovative skill development, tailored learning paths and interdisciplinary development to cultivate Mastery across all facets and phases of value
Slide 26: 2024 Employees Engagement Initiatives
2024 EMPLOYEES ENGAGEMENT INITIATIVES • Implemented the Group parental leave standards, drafted in accordance with the Group DE&I Policy • Launched the first People Engagement Survey (POP – Perspectives of People), which reached 75% partecipation rate at Group Level • Implemented Group-wide local in
Slide 27: 5. Governance
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Slide 28: A Sound and Well-Structured Governance Framework
A SOUND AND WELL-STRUCTURED GOVERNANCE FRAMEWORK BOARD OF DIRECTORS BOARD OF DIRECTORS’ COMPOSITION1 & ESG OVERSIGHT 9% 30% 36% GOVERNANCE & AUDIT COMPENSATION 36% 55% 70% 64% SUSTAINABILITY COMMITTEE COMMITTEE COMMITTEE Woman Man Non-Independent Europe North America Asia We continued to maintain th
Slide 29: Main Improvements in Our Governance Framework
MAIN IMPROVEMENTS IN OUR GOVERNANCE FRAMEWORK FOUNDATIONS POLICIES Environmental Management Systems Management Systems Italian Gender Equality Certification Occupational Health and Safety (60% of our production sites certified) (In progress on selected Italian entities) (60% of our production sites
Slide 30: Task Force on Climate-Related Financial Disclosure (TCFD)
TASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURE (TCFD) Started the assessment of the financial impact on specific climate-related risks and opportunities, 1 aligned with the recommendations of the TCFD Identified two potential climate-related risks and opportunities: Risks: (i) lack of raw materi
Slide 31: Contacts
Contacts sustainability@zegna.com IR@zegna.com corporate.communication@zegna.com 31