719

human rights audits

41000

trees saved from felling thanks to the reuse of more than 2 million collection boxes

1. Business model

We founded our strategy on three pillars: the omnichannel model, digitisation and sustainable development. The achievement of strategic objectives was not disrupted by the difficult FY2022/2023, so heavily dominated by the war in Ukraine. We closed all physical stores and discontinued online sales in the Russian market, which accounted for nearly 25% of revenues. Our business response was a decision to rapidly strengthen the availability of LPP brand offer in Western and Southern European countries – both in stores and through e-commerce

Marek Piechocki

President of the Management Board, LPP

"Amidst ongoing war in Ukraine, the most difficult macroeconomic conditions in many years – is there space to talk about climate challenges and a more rational use of resources? I think there is. In LPP, regardless of the circumstances, we stick to the adopted sustainable development strategy."

Step 1Design

3 design offices in Poland
(Gdańsk, Cracow, Warsaw) and 1 office in Spain (Barcelona)

Over 338 designers, 5 diverse brands

Step 2Production

1 238 suppliers from Asia and Europe

We do not own any manufacturing facilities

Step 3Shipment and logistics

Global supply and distribution network with:

4 Distribution Centres and 4 Fulfillment Centres

413 thous. m2 of combined warehouse space

Step 4 Sale

Our collections are available in 39 countries 27 offline and 34 online

1962 stores with the combined
space of 1 673 thous. m2

Almost 430 mln items of clothing sold annually

29930

employees worldwide, including 16 686 in Poland

1962

stores in 27 countries on 3 continents

Almost 430 mln

pieces of clothing sold annually

Awards and rankings in the reporting period


Polityka weeklyCSR leafs of Polityka weekly

The Golden Leaf for all activities carried out and the Green Leaf, awarded for the first time to companies for which reducing the negative impact on the climate is a key element of business activities.

Association of PR companiesGolden Clips

Golden Clips award for the campaign “Take care of your clothes. Read. Check. Care”, promoting proper and responsible care of clothing.

Parkiet and Izba Domów MaklerskichResearch on investor relations in WIG30 companies

First place in the survey of investor relations in WIG30 companies as assessed by analysts and financial institution.

2. Environmental impact

At LPP, year after year we have been changing and improving the standards of clothing production and the way we sell the garments. We are consistently meeting targets to reduce the climate and environmental impact of our value chain. Our transport, logistics and our offices and warehouses are also changing.

by 567 tones

we have reduced the use of plastic – purchases from Reserved and Mohito are no longer shipped in extra polybags

80 %

of our direct producers in Bangladesh and over 70% in Pakistan organises their production for us in line with ZDHC’s Roadmap to Zero programme

over 2 million

cartons we reused, which translates into approx. 41,000 trees saved

3. Social impact

We have implemented numerous regulations and procedures in our companies to ensure a single standard for hiring and building relationships with employees. Our stakeholder map allows us to implement diverse forms of stakeholder engagement. Dialogue with each of them is important to us and significantly influences ESG decision-making processes and the non-financial reporting process. In the area of customer care, we outsource production to carefully selected suppliers, taking particular care to respect ethics and human rights at workplaces.

9309

quality checks in 2022/23

100 %

of our children’s collection garments are inspected with special metal detectors – thus eliminating the risk of leaving parts of sewing needles

18

audits in China and Bangladesh for mold and moisture

88

QAS (Quality Assurance System) checks in 2022/23

18.3

the average number of training hours per employee at LPP SA

4779749 PLN

outlays on development programmes at LPP central headquarters (PLN 1,357 person on average)

over 200

people and their relatives have already benefited from the help programme

4. Corporate governance

Our corporate governance supports effective management and supervision, respect for shareholders’ rights and transparent communication between LPP and the market. The implemented principles are applied in the daily operations of the company – they strengthen the transparency of LPP SA as a listed company and ensure a balance between the interests of all capital market entities.

The LPP Integrated Reports, which present non-financial and financial results for LPP SA and the LPP Group, have been produced since 2017 and initially cover the calendar year. In 2019, data, as an exception, came from 13 months (from 1 January 2019 to 31 January 2020). The 2020 report covers the period from 1 February 2020 to 31 January 2021.

The switch in reporting from the calendar year to the financial year, which ends on the last day of January, increases the usefulness of the reports as this treatment better captures the seasonality of the business. Accordingly, the latest report for 2021 also covers the financial year, i.e. the period from 1 February 2021 to 31 January 2022.

Modern Slavery Statement