Resources consumption and management

Water

Aware that water is a resource to be protected, since 2022 the Group has been periodically assessing its impact on water resources through a “water footprint” analysis.

 

This process, which constitutes the starting point for assessments of the double materiality analysis, allows the monitoring and quantification of both direct water consumption related to offices, stores, production sites and the logistics hub, and indirect consumption along the supply chain during raw materials extraction and production phases as well as in the processing and assembly stages for finished garments.

The activity, also carried out in 2025 in collaboration with a specialised external partner, was conducted following the principles defined by ISO 14046:Water Footprint – Principles, requirements and guidelines. The water footprint calculation method combines the direct and indirect consumption data with the Available Water Remaining (AWARE) water risk index, which reflects water scarcity in each analysed geographical area.

To date, the results of these analyses have confirmed that the most significant consumption, and therefore the potential negative impacts on aquifers due to excessive water withdrawal and the consequent effect on the ecological balance of water bodies, primarily occur along the supply chain, particularly during the production phases of natural and animal-derived raw materials, such as cotton and wool (the assessment did not take into account the mitigation actions implemented by the Group). In particular, preliminary evaluations of the Group’s cotton sourcing regions indicate that approximately over 50% may originate from areas subject to potential water stress.

Due to the nature of the Group’s business, direct water consumption, in contrast, is less significant and mainly relates to sanitary services and, to a minimal extent, steam production for ironing facilities and the dyeing facility in Stone Island’s prototyping department.

 

Since 2024, the Group has integrated the water footprint results with a more specific assessment of water stress and risk in the areas in Italy and Romania where its offices, production sites and logistics hub are located, as well as along the supply chain of “critical suppliers” involved in processes characterised by significant water consumption, such as dyeing and finishing. The analysis was carried out using a public available Aqueduct Water Risk Atlas tool from the World Resources Institute, which identifies areas of high water stress, i.e. those where the ratio between the water withdrawn annually and the water available is more than 40%.

This additional analysis showed that, again in 2025, neither the Group’s sites nor those of its “critical suppliers” are located in high water stress areas. With a view to continuous improvement, the Group is committed to continuing and expanding the analysis carried out on the sourcing areas for yarns and fabrics made with traced strategic raw materials1 in order to identify potential water stress areas and explore initiatives to mitigate impacts.

 

Over the last few years, the Group has launched a series of activities aimed at identifying improvement actions in the management of water resources and contributing to the commitments defined in the Environmental Policy.

 

Regarding direct consumption, the Group adopts an Environmental Management System according to the ISO 14001 standard at the production sites in Italy and Romania, the Italian corporate sites and at the logistics hub in Castel San Giovanni (Piacenza), whose objectives include the efficient use of water resources. In addition, in 2021 the Group initiated the process of obtaining environmental and energy certification for its stores and all new corporate buildings according to the LEED standard, which requires efficiency measures, including those related to water consumption. In support of this initiative, awareness-raising events were organised dedicated to the Purchasing & Procurement team, aimed at highlighting the importance of designing new sites in accordance with these requirements.

With regard to direct consumption (relating to offices, stores, production sites, and logistics hub), the Group periodically conducts assessment and monitoring procedures of consumption, which indicate that the Group’s main source of water supply is municipal aqueducts. In fact, this consumption is primarily associated with sanitary facilities and, to a lesser extent, with steam production for ironing departments or the dyeing facility in Stone Island’s prototyping department. Consequently, the wastewater is comparable to that of residential buildings and is therefore discharged into the sewage system. Despite low direct water consumption, the Group has launched water efficiency management programmes based on the results of periodic consumption assessment and monitoring with the aim of identifying further opportunities for improvement. In this context, the renovation of Stone Island’s dyeing department involved several initiatives aimed at improving the environmental efficiency of the production process while maintaining high quality standards. A water recycling system was first introduced in the dyeing facility used for Stone Island’s prototyping activities. Through this system, the water used to cool the dyeing tanks was recovered, brought back to the required temperature and reintroduced into the dyeing cycle. Previously, this water was discharged into the sewer system. Although relatively small in scale, this intervention enabled a reduction in the site’s overall water consumption and increased the amount of water recycled within the process. In addition, new dyeing machinery was installed to further reduce environmental impacts compared with previously adopted solutions. Among other benefits, the new technologies allow the optimisation of processes and of the “liquor ratio”, i.e. the ratio between the amount of water used and the weight of the material treated, thereby reducing water consumption and minimising the use of auxiliary materials such as salts and alkalis, as well as steam requirements. This results in improved energy and environmental efficiency across the dyeing department. Another example consists of the implementation of water efficiency management programs designed to achieve LEED certification (which includes water efficiency requirements) for all new sites: given that the Group's primary water usage is sanitary, this certification plays a crucial role in managing and reducing water consumption. In this context, the Sustainability Team has continued to conduct also in 2025 awareness training for the Procurement Team to emphasize the importance of aligning new site designs with LEED certification requirements, thereby promoting both energy and water consumption efficiency in future projects.

 

In 2025, water consumption amounted to 795 m3, showing a slight decrease compared with 2024  (-25%) following the temporary closure of the Ravarino dyeing facility due to renovation work on the building.

DIRECT WATER CONSUMPTION² (m³)20242025

Water withdrawals

72,920
72,386

Water consumption

1,057
795

Water discharges3

71,863
71,591

The most significant indirect water consumption occurs during the production phase of raw materials of natural and animal origin purchased by the Group. Regarding synthetic fibres, the highest water consumption is recorded during the processing and dyeing stages of yarns and fabrics. The Group is committed to engaging its dyeing suppliers in a capacity-building programme on water management, with the aim of strengthening skills and promoting more efficient practices by 2028.

 

In 2025, indirect water consumption along the supply chain, related to the production and processing of raw materials, amounted to 4,554,248 m³, marking a decrease compared with 2024 (-16%). This reduction is due both to the lower amount of cotton used by the Group, and to the increased use of “preferred” materials which have a lower impact on the water resources.

INDIRECT WATER CONSUMPTION⁴ (m³)20242025

Indirect water consumption for the production of finished products

5,428,118
4,554,248

   of which for raw materials5

4,347,017
3,524,849

of which for processing6

1,081,101
1,029,399
Regarding the raw materials production phase, in 2025, the Group continued its regenerative agriculture projects in the supply chains of natural and animal fibres such as cotton and wool. These initiatives not only help restore the ecological functions of the areas involved but also increase the soil’s capacity to store water, thereby improving its resilience to increasing drought conditions.

 

Again during the year, the long-term research project launched in 2022 in collaboration with the Umberto Veronesi Foundation continued. The project focused on identifying the mechanisms used by specific cotton varieties to survive or optimise growth in drought situations. The study aims to understand how to improve the resilience of species selected for agriculture in a less favourable environmental scenario with limited water resources. In particular, over the last two years, the study included the implementation of an experimental field in Milan, where 90 selected cotton varieties were analysed to represent the widest possible geographical distribution of a cultivation region. For each variety, the morphological, physiological and molecular traits were measured. These data, along with the environmental variables (such as radiation and temperature) recorded during the experiment, were then correlated using statistical models to identify key genes and biological processes with greater drought resistance. The 2025 results demonstrate substantial genetic variability in growth and responses to environmental conditions, providing valuable insights both for improving cultivated cotton varieties and for understanding natural plant adaptation mechanisms. This research could contribute to the development of cotton varieties better suited to arid climates and/or characterised by lower water requirements, maintaining high productivity levels even in a context of climate change.

 

With regard to processing processes, the Carbon Target Setting program includes also supplier engagement sessions focused on reducing water consumption generated either during production processes or in support of them. Among the main measures promoted are the recovery and reuse of clean cooling water and wastewater and the recovery of heat from hot wastewater flows and flue gases, as well as interventions on networks and the management of steam and hot water.

The Group is also committed to developing projects aimed at managing water resources along the entire supply chain, both in the production phase of raw materials and in the processing phase.

Finally, since 2024, the Moncler Group has provided all employees with a course on environmental sustainability, which includes the topic of water resource management. The module was designed to provide employees with the necessary tools to understand key concepts, including water stress, and explores the calculation of an organisation’s water footprint, analysing both direct and indirect consumption.

Waste

The waste generated by the Moncler Group's direct activity mainly comprises packaging material, office waste and textile processing scraps.

Aware of the potentially negative impact that improper waste disposal management could have on environment by leading to air, soil or water pollution, the Group is committed to continuously evaluating opportunities to reduce waste generation and improve waste management practices where appropriate. 

 

The actions taken by the Group in the area of waste management are closely aligned with the objectives defined in the Environmental Policy to minimise waste generation, maximise its recycling and reduce the environmental impacts of its activities on air, soil and water. In this regard, all corporate sites, production sites and the logistics hub, where the amount of waste generated is higher than at other sites, the Company implements an environmental management system certified according to the ISO 14001 standard. Over the years, the company has conducted assessments at its corporate sites (offices, production sites, logistics hub) to identify the types of waste generated and to determine the best collection and recovery solutions in collaboration with specialized waste management companies.

In 2025, the Group generated around 1,912 tonnes of waste at these sites, about 13% more than in 2024. This increase is mainly due to the generation of waste for some extraordinary activities7 carried out at the Group’s sites. In particular, no waste generated at its corporate offices, production sites and logistics hub was sent to landfill or incineration without heat recovery, and approximately 79% of waste generated was sent for recycling and/or recovery.

This result was achieved thanks to a series of programmes aimed to maximise the material sent to recycling networks, implemented with the support of companies specialised in proper waste disposal.

In recent years, the Group has implemented ad hoc procedures and processes for the management of textile materials, including inventories, fabric scraps and unsold garments. 

In this regard, in 2025 the Group sent around 99% of all textile waste material for recycling, in line with the figure for 2024. This was made possible by continuous dialogue with partners and organisations to explore innovative solutions and integrate recycling programmes to minimise the material sent to waste-to-energy and/or landfills.

In particular, the Sustainable Innovation team continued its research and collaboration with external partners to identify solutions for the recycling and recovery of textile material of finished garments. In 2025, as in previous years, no unsold garments were sent to incineration with energy recovery or to landfill; rather, they were recycled to recover fabric, yarn or other materials. Thanks to this effort, the vast majority of the Group's waste was diverted from disposal, thus recycled and/or recovered, leading to a lower social and environmental impact. It is estimated that in 2025, these disposal practices avoided around €140,000 in environmental and social costs8. 

 

With regard to textile scraps and their re-use and recovery, since 2024, the Group continues to actively collaborate, at its production sites and with various suppliers, to contribute to reducing scrap and losses, and consequently textile waste, by optimising the use and cutting of fabrics, while implementing the infrastructure needed to recycle and maintain the intrinsic value of unavoidable scrap. For example, also in 2025, 100% of the nylon production scraps from the Group’s direct sites was sent for recycling. 

 

In addition to the introduction of specific procedures to recycle nylon scraps, the Group has been implementing several innovations to its directly managed production processes over the years. For example, the 'smart factory' in the Trebaseleghe production site employs innovative techniques for the industry, integrating manufacturing processes inspired by the lean model and applying World Class Manufacturing (WCM) principles. This structured system encompasses all plant processes, from safety to environmental impact, maintenance, logistics, and quality.  The aim is to continually improve production performance and plant efficiency, ensure product quality, and maximize flexibility in meeting customer demands through the active involvement of plant workers. Specifically, the Group is planning and implementing focused action plans to reduce the amount of waste produced. Action plans at this site include substantial investments in research and installation of more innovative and efficient machinery for certain production stages (e.g., a new embroidery machine and a new laser cutting machine). Additionally, specialized training is being provided to site employees to minimize human errors that result in unnecessary waste and to optimize the use of the new machinery. Through the implementation of these measures, the Group aims to achieve a 5% reduction in the weight of waste per garment produced at the smart factory by the end of 2026, compared to 2025. 

 

The periodic and ongoing introduction of innovative production processes and advanced machinery reflects the Group’s continuous commitment to keeping pace with the industrial transitions typical of the sector. These transitions also require a constant focus on reskilling employees to ensure their readiness for new production processes and technologies. Specifically, alongside the implementation of the new factories at the neighborhood of Trebaseleghe, the Group carried out targeted training initiatives for the employees involved in the new production process.

 

Reducing the amount of waste sent to incineration or landfill has helped to avoid the greenhouse gas emissions associated with waste treatment, with a positive impact not only on the environment, but also on the alignment with the Group’s emission reduction targets.

Moncler actively engages its employees, encouraging them to properly dispose of waste in accordance with local regulations and/or best practices. To support this commitment, since 2024 the Group has provided a course, which includes a module dedicated to the efficient use of resources and circularity. The course, updated in 2025 to include the Group’s results from the previous year, covers key concepts such as the distinction between renewable and non-renewable resources and the main characteristics of the waste produced, and explores the benefits of a circular approach in the fashion industry.

Lastly, as previously described, the Group is a member of Re.Crea, the consortium founded by industry brands, coordinated by the Camera Nazionale della Moda Italiana, to manage textile and fashion products at the end of their lives and to promote the research and development of innovative recycling solutions.

RESOURCE OUTFLOWS BY TYPE⁹ (tonnes)20242025

Non-hazardous waste

1,688.2
1,908.7

Paper and cardboard

675.2
747.3

Mixed packaging

317.5
277.2

Wood

260.0
266.6

Plastic

148.5
155.9

Fabric

216.8
278.1

Metal

49.9
35.3

Glass

-
-

Other

20.3
148.3 ¹⁰

Hazardous waste11

3.7
3.0

Total waste produced

1,691.9
1,911.7
WASTE BY DESTINATION (TONNES)20242025

TOTAL WASTE RECYCLED OR RECOVERED

1,431.2
1,502.6

TOTAL WASTE DISPOSED

260.7
409.1

of which landfilled

-
-

of which incinerated with energy recovery

255.4
305.5

of which incinerated without energy recovery

-
-

of which transferred to other disposal operations

5.3
103.6¹²

Notes

1 At least 80% by volume of yarns and fabrics made of cotton, nylon, polyester and wool.

2 For the direct water consumption of offices, production sites and logistics hub, primary data were used. For the water consumption of stores and outlets, water withdrawals data, collected from a sample of LEED-certified stores, were used; water consumption indices were then applied to this sample to estimate total consumption across the entire network of directly managed stores and outlets.

3 Since the Group’s direct withdrawals are primarily based on consumption similar to sanitation services, almost all of the water withdrawn is discharged into urban water systems. Water consumption represents the portion of water not returned to the system due to evaporation losses, mainly caused by extraction and pre-sanitisation treatment and wastewater treatment.

4 Indirect water consumption related to the production, extraction and processing of raw materials was estimated using data on the materials used, which were already considered for calculating the “Purchased goods an services” category of scope 3 emissions, thus ensuring consistency in the calculation perimeter. The analysis is mainly based on the World Apparel Life Cycle Database (WALDB), which collects data on the production of the major textile fibres, both natural and synthetic, in their main countries of origin, also including specific information on processing. In turn, the WALDB is based on Ecoinvent, the leading global database for the Life Cycle Assessment (LCA) of apparel products.

5 Indirect water consumption associated with the production and extraction of raw materials, such as cotton-growing, the livestock-raising phase for wool and transformation processes for synthetic fibres.

6Indirect water consumption associated with processing such as spinning, weaving, dyeing, manufacturing, ironing, garment dyeing, etc..

7 Increase mainly due to an extraordinary septic tank emptying operation at a production site.

8 The environmental and social costs avoided thanks to the Group's disposal practices have been estimated using a methodology developed by a specialized institute that conducts research in labor markets, sustainability, and health, and aims to provide valid, comparable data to support evidence-based decision-making. This methodology quantifies the environmental and social costs of waste management practices, considering factors such as human health deterioration, quality of life reduction, and economic losses due to soil impoverishment.

9The data refers to offices, the logistics hub in Italy and the production site in Romania. It does not include waste directly managed by local municipalities. The data does not include waste generated in the stores in the Group’s retail network. This figure was estimated using primary waste volume data collected for a sample subject to LEED certification. The waste relates mainly to packaging material from the products sold. The estimated total is about 1,061 tonnes.  

10 Increase mainly due to an extraordinary septic tank emptying operation at a production site.

11 The data mainly refer to obsolete or decommissioned electronic devices. The Group did not generate radioactive waste in 2025, in line with 2024.

12 Increase mainly due to an extraordinary septic-tank emptying operation at a production plant.