Moncler Group | Annual Report 2024 Board of Directors’ Report 198 Moncler Group | Annual Report 2024 Board of Directors’ Report 199

The most signif icant water consumption occurs during

the production phase of raw materials of natural and animal

origin purchased by the Group. Regarding synthetic f ibres,

the highest water consumption is recorded during the processing

and dyeing stages of yarns and fabrics.

In 2024, indirect water consumption along the supply chain,

related to the production and processing of raw materials, amounted

to 5,428,118 m3, marking a decrease compared to 2023 (-10.6%).

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.

In 2024, the Group continued its regenerative agriculture projects

in the supply chains of natural and animal f ibers 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 drought conditions

(see also pages 113; 204; 206).

Throughout the year, the Group also continued its multi-year

research project launched in 2022 in collaboration with

the Umberto Veronesi Foundation, focusing on identifying the

mechanisms employed by specif ic cotton varieties to survive

or optimise growth in drought conditions. 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, in 2024, the study included

the implementation of an experimental f ield in Milan where

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 This could contribute to the development of cotton

3

Indirect water consumption related to the

production extraction and processing

of raw materials was estimated using

data on materials used which were

already considered for calculating the

Raw materials and f inished garment

production category of scope 3

emissions thus ensuring consistency

in the calculation perimeter The analysis

is mainly based on the World Apparel Life

4

Indirect water consumption associated

with the production and extraction of

raw materials such as

cottoncoltivation

the livestockraising phase for

wool and production processes for

synthetic f ibres

Cycle Database WALDB which collects

data on the production of the major

textile f ibres both natural and synthetic

in their main countries of origin also

including specif ic 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 processing such as spinning

weaving dyeing manufacturing ironing

garment dyeing etc

INDIRECT WATER CONSUMPTION3 (m3)2023 2024

Indirect water consumption for the production

of f inished products

6,074,618 5,428,118

of which for raw materials4 5,254,671 4,347,017

of which for processing5 819,947 1,081,101

varieties better suited to arid climates and/or requiring less water,

while maintaining productivity even in a context of climate change.

Finally, in 2024, the Moncler Group introduced an environmental

training course available to all employees, which includes a module

on water resource management. The module was designed

to provide employees with the necessary tools to understand

fundamental concepts, including water stress, and explores

the calculation of an organisation’s water footprint, analysing both

direct and indirect consumption (see also page 164).

[E3–3] Targets related to water

The Group aims to assess and/or continue with the mitigation

activities described above in the coming years, strengthening

its commitment to monitoring and managing water resources.

Furthermore, the Group’s goal is to continue ref ining the analyses

conducted to date by enriching them with increasingly granular

data, also in line with compliance with the requirements

of the Corporate Sustainability Reporting Directive. This involves

engaging suppliers of the upstream value chain to collect

information regarding water consumption in their production

processes, identifying theoretical risks and f inding solutions

to mitigate potential impacts as well as continuing to promote

regenerative agriculture projects.