Our reporting
practices
GRI 2-2, 2-3, 2-5, 2-6
Welcome to the 2024 edition of our Integrated Report. Here we present a summary of our financial and non-financial results, our vision for the future, and our main commitments, investments and strategies, aimed at showing our shareholders, investors, communities, suppliers, employees, Beauty Consultants, Representatives partners an integrated vision of the business and its impacts, risks and opportunities.
GRI 2-29
This report brings together indicators, data and a strategic narrative regarding both the Natura &Co Latin America and Avon International business units (the latter of which was reconsolidated in the Group’s economic-financial results in the fourth quarter of 2024, following the conclusion of the restructuring process set forth in the Chapter 11 proceedings of Avon Products Inc. (or API), in the United States), . The Latin America unit also includes the results of the financial platform, Emana Pay, and the beauty services platform, Bluma (which has been included in the sustainability report but not in the financial data). The reported data cover the period from January 1 to December 31, 2024, for both the business units, except for the period during which API was under Chapter 11 (between August 12 and December 4, 2024).
We follow the most widely used international guidelines for the publication of economic and sustainability performance: Integrated Reporting (principles of the IFRS Foundation), the standards established by the Global Reporting Initiative (GRI) and the Sustainability Accounting Standards Board (SASB), as well as the frameworks set forth by the Task Force on Climate-related Financial Disclosures (TCFD) and the Taskforce on Nature-related Financial Disclosures (TNFD).
The highly detailed publication of our reporting process is enabled by a wide range of multimedia resources and databases, including a Results Center, ESG Scorecard and a databook containing indicators relating to Natura &Co Latin America, as well as the Natura &Co Sustainability Compendium, the financial statements, and other documents concerning materiality and risks (see the table below).
The content of the Integrated Report was defined with the business’ key-themes in mind, these having been identified by means of a double materiality process, the pillars of the Commitment to Life and Natura’s strategic vision of regeneration. We are also reporting our actions as they align with the Ten Principles of the United Nations Global Compact and the Sustainable Development Goals (SDGs). Our board members and executives are responsible for defining the guidelines and approving the report’s content and structure.
GRI 2-14
This report has received external assurance from the auditing firm KPMG. The assurance confirms the adherence of the material to the principles of Integrated Reporting published by the IFRS Foundation, the GRI Standards and the SASB content and norms, according to the ISAE 3000 standard, as well as Technical Pronouncement 09 of the Accounting Pronouncements Committee (CPC), and Resolution 14/2020 of the Brazilian Securities Commission (CVM).
Access all informational resources associated with the Integrated Report.
For clarification on any doubts, please write to [email protected].
Materiality
GRI 3-1, 3-2
The list of topics that are of greatest relevance to Natura &Co, in environmental, social, governance and business terms, was last updated in 2022; we recognize the need for constant updating and, due to the organizational restructuring that is under way, we will be performing our next update very soon, in order to include them in the materiality matrix. We perform a double materiality evaluation, covering both the environmental and social impacts of our activities on the economy, the environment, and people (including their human rights), and the implications of the environmental and social aspects for the operational success, financial performance, and general values of the company.
We consider this process to be fundamental to our ability to produce periodically updated analyses regarding the Company’s priority agendas, as well as to test the relevance of the issues covered in the Commitment to Life in relation to the needs of our principal stakeholders.
Natura &Co has implemented the materiality analysis into its Enterprise Risk Management (ERM) process, thus ensuring that any and all risks and opportunities associated with the material topics are monitored and managed in a way that is properly structured. This process strengthens the company’s resilience and boosts positive impacts.
Our evaluation of the materiality is based upon quantitative studies - internal, in-depth interviews with the sustainability managers from each business unit, an online survey with 590 respondents including internal and external stakeholders (Employees, Consultants, Consumers, Suppliers, NGOs, Investors, Academics, Companies), as well as in-depth interviews during the approval phase. As benchmarks for the construction of the matrix, we also used external frameworks, ratings and rankings, as well as the materiality analyses of our competitors.
The process resulted in the establishment of five material topics, which include the stakeholders’ level of interest, and the potential impact on the businesses, each of which is in line with the Commitment to Life and the global sustainable development agendas.
Natura &Co material topics
|
Material topics |
Specific topics |
Description |
|---|---|---|
|
ENGAGEMENT IN THE VALUE CHAIN |
Circularity |
Increase sustainability in the product design, promote sustainable supply, manage water resources, reduce the use of disposable plastics, and boost innovation. |
|
Distribution of value |
Generate a positive impact on the community, foster diversity and inclusion, and prioritize employee health and wellbeing. |
|
|
SOCIO-ENVIRONMENTAL IMPACT |
Regeneration of nature |
Address biodiversity, promote regeneration, and combat deforestation. |
|
Social regeneration |
Defend human rights and combat social inequality. |
|
|
SYSTEMIC CHANGE |
Climate action |
achieve carbon neutrality by 2050 and reducing our absolute emissions by 42% by 2030, in compliance with the 1.5°C scenario approved by the Science Based Targets initiative (STBi). |
Details about the material topics
