Stella McCartney renews environmental commitment with first P&L report

By

Barbara Santamaria

Published
Oct 3, 2016

British luxury label Stella McCartney has released its first global environmental profit and loss account (E P&L) with results for the year 2015.

The brand, known for its strong commitment to never using leather, fur, skins or feathers, carried out a review for the past three years, measuring the impact of its business on natural capital.

The results reveal that Stella McCartney increased its environmental impact by 7% to €5.5mover the past three years, reflecting the expansion of the company. Last year, the vegetarian label reported its best performance to date as retail sales doubled.  Sales were up in all product categories and across all distribution channels.

Ads

Despite the increase in overall impact, the fashion brand reduced the average environmental footprint per kg used by 35%. Stella McCartney attributed the decline to changes made in its sourcing operations.

The E P&L looks at six major categories of environment impact: greenhouse gas emissions, air pollution, water pollution, water consumption, waste disposal, and changes in ecosystem services associated with land use change. According to the report, the most highly concentrated area of environmental impact for the company is at the supply chain (90%), with the highest concentration of impact at the raw material stage (57%). 

“Over the past three years we have focused heavily on reducing our environmental impact, we are not perfect, but we will continue this effort. In addition to researching new ways to reduce impacts, we are also beginning to move towards transitioning away from merely doing less bad, to doing measurable good,” commented the designer.

“We are striving to balance our accounts,” added Frederick Lukoff, CEO. “We are working towards projects and sources that would account for profits while delivering real benefits for the environment.”

Stella McCartney, designer of the label and co-owner with Kering, added:  “I’m hoping to share and encourage the industry to join in, and evaluate its environmental footprint for our future.”