Creating Sustainable Value

Sustain for a Good Life

With the vision of “Sustain for a Good Life”, FEDS adheres to the principle of “Thinking Globally, Acting Locally” and aligns itself with international sustainability trends, taking appropriate responsive actions to address local sustainable development needs.

We leverage our core ability to connect with the United Nations Sustainable Development Goals (SDGs), implementing various localized sustainable actions and contributing to the sustainable development of the economy, environment, and society through concrete sustainable practices, thereby creating a win-win model for sustainable growth.

Creating Corporate Sustainable Value

Six Key Sustainability Actions

Sustainable Management and Governance

Building a Safe and Resilient Foundation for Sustainable Growth

Refine Corporate Governance and Board Functions

Enhancing Cybersecurity and Information Security Resilience

Strengthen Risk Control Mechanisms and Operations

Establish a Sustainability-Oriented Management Model

  • Continue to enhance Board governance effectiveness, information disclosure, and internal controls.
  • Adopt advanced cybersecurity protection and monitoring technologies to strengthen real-time response capabilities.
  • Strengthen integrity and compliance training, increasing training participation and hours by at least 2%.
  • Integrate ESG goals into the management framework to improve overall sustainability performance.

Expand Membership Management Strategies and Data Application

Providing a Convenient Digital Experience

Introduce Intelligent Service Systems

Build a Safe and Friendly Shopping Environment

Maintain Long-Term, Positive Customer Relationships

  • Strengthen big data analytics to deepen customer insights and targeted marketing.
  • Integrate online and offline services to enhance convenience throughout the customer journey.
  • Continuously optimize at least one smart service application each year.
  • Strengthen safety facilities and environmental management to provide a quality shopping environment.
  • Enhance customer service management and professional training to improve customer satisfaction and trust.

Innovative Benchmark Stores

Enhance Smart Services, Create New Customer Experiences

Efficient Environmental Protection Operations

Deepen Green Initiatives and Advance Circular Sustainability

Promote Energy and Resource Efficiency Management

Enhance Green Consumption and Sustainable Services

Strengthen Green Procurement Capacity

Implement Waste Reduction and Circular Recycling Mechanisms

  • Continuously improve energy efficiency and resource efficiency.
  • Expand sustainable products and services to promote responsible consumption.
  • Gradually incorporate sustainability criteria into supplier selection and partnerships.
  • Increase the recycling rate and reduce waste generation, targeting a 3% annual reduction in waste.

Strengthen the Product Quality Management System

Establish a Contractor Safety Management System

Implement Food and Beverage Hygiene and Safety Management

Promote Sustainable Supply Chain Management

  • Stay updated on regulatory requirements and ensure proper product labeling and management.
  • Regularly review and update management policies to effectively protect the safety of contractors’ employees.
  • Strengthen food safety management to ensure food quality and hygiene.
  • Enhance procurement transparency and efficiency by integrating ESG performance into supplier management.

Safe Product Management

Strengthen Quality and Safety Management to Build a Trusted Value Chain

A Healthy and Happy Workplace

Create a Quality Workplace and Strengthen Talent Competitiveness

Establish a Systematic Talent Development Mechanism

Implement Labor and Human Rights Protection

Optimize the Compensation and Benefits System

Promote Employee Health and Workplace Safety

  • Regularly assess employee skills and promote digital learning programs for greater learning convenience.
  • Regularly review compliance and maintain zero major labor law violations.
  • Continuously review and optimize competitive compensation and benefits.
  • Establish structured health promotion programs and occupational safety management.

Continuously Invest in Social Welfare

Encourage Employee Participation in Volunteer Service

  • Expand the scale and impact of community initiatives focused on care, environmental protection, and health.
  • Enhance structured participation and incentive programs to encourage employee engagement in community service.

Heartwarming Social Welfare

Promote Community Engagement and Create Positive Social Impact

Responding to the UN Sustainable Development Goals

Environmental (E)

Environmental Aspect：Development of Green Energy、Resource Recycling、Optimize the Environment、Implementation of Biodiversity

Goal 7

Support renewable energy, improve energy efficiency, and reduce energy intensity.

FEDS’ 2025 Project Promotion and Results:

  • Improved energy efficiency, reducing electricity use per NT$1 of sales by 26% since 2015.
  • Installed 3 solar photovoltaic systems, with renewable electricity consumption reaching 1.698 million kWh, up 638% year over year.
  • Reduced annual electricity use to 301 kWh/m², down 2.6% year over year.
Goal 13

Developing climate change risk management actions to seek opportunities for green transformation.

FEDS’ 2025 Project Promotion and Results:

  • Set medium- and long-term GHG reduction targets and achieved 100% inventory and assurance coverage.
  • Reduced Scope 1 and 2 emissions by 1,696 metric tons, down 2.3% year over year.
  • Established internal carbon pricing at NT$300/metric ton to accelerate low-carbon transformation.
Goal 15

Promote environmental education and protect terrestrial ecosystems.

FEDS’ 2025 Project Promotion and Results:

  • Planted 6 purple trumpet trees and 40 china-berry trees at the Nanhua Visitor Center.
  • Held 14 cosmetic bottle recycling events at 8 branches, collecting over 11,750 bottles.
  • Collected 1,768 used books and 1,302 toys for children in remote areas through nonprofit organizations.
Social (S)

Social Aspect：Improve Gender Equality、Implement Universal Health Coverage、Promote Local Creation、Promote Rural Development

Goal 1

Provide essential supplies to support the basic needs of disadvantaged groups.

FEDS’ 2025 Project Promotion and Results:

  • Held the Christmas Charity Lighting event for 17 consecutive years, distributing over 4,200 pairs of athletic shoes and 27,000 gifts.
  • Held 17 holiday donation events, distributing 1,276 gift boxes, 1,800 kg of rice, and 990 rice dumplings.
Goal 3

Promote and facilitate various activities that enhance health and encourage a healthy lifestyle.

FEDS’ 2025 Project Promotion and Results:

  • Held 128 blood donation events across Taiwan, collecting over 5.44 million cc of blood.
  • Sponsored the High School Dance Championships for 8 consecutive years, attracting 111 teams and over 800 students.
  • Implemented employee health promotion programs for 7 consecutive years, with 100% of FEDS headquarters and branches obtaining Healthy Workplace Certification.
Goal 5

Establish and implement gender equality policies to create a friendly and respectful workplace.

FEDS’ 2025 Project Promotion and Results:

  • Gender equality training increased 2.6-fold in participation and 1.7-fold in training hours year over year.

  • Advanced DEI through diverse talent, equitable opportunities, and a supportive workplace.

  • Women accounted for 63% of directors and 57% of vice president-level and above managers.

  • Female floor managers can choose pants or skirts for their uniforms.

Governance (G)

Economy Aspect：Promote Inclusive Economic Growth、Promote Innovative Growth、Develop Digital Economy

Goal 8

Adjust the business model, enhance operational performance, increase employment opportunities, and promote economic growth.

FEDS’ 2025 Project Promotion and Results:

  • Distributed dividends and employee bonuses based on annual performance, with EPS of NT$1.56, sharing growth with shareholders and employees.
  • Implemented 25 management action projects to strengthen decision-making and operational performance.
  • Created employment opportunities for 17,113 employees and counter staff, supporting local economic growth.
Goal 9

Promote digital transformation and use technology to create a new shopping journey and consumer experience for customers.

FEDS’ 2025 Project Promotion and Results:

  • Expanded FEDS App membership by 14%, leveraging data-driven insights for personalized marketing.
  • Offered 12 categories of digital payment and services, enhancing convenience and efficiency.
  • Established 98 digital management systems to strengthen operational and service efficiency.
Goal 17

Establish multiple partnerships, exert positive influence, and enhance sustainable power.

FEDS’ 2025 Project Promotion and Results:

  • Joined 49 public associations and organizations to expand industry influence.
  • As Taiwan’s sole representative in IGDS, implemented the IGDS CSR Code with 44 global members.

Creating a Sustainable Value Creation Chain

遠東百貨致力打造永續價值創造鏈，結合產業鏈上游的專櫃廠商與下游的消費者，擘劃六大永續行動：「永續的經營治理、創新的標竿商場、高效的環保營運、安心的商品管理、健康的幸福職場、溫暖的社會關懷」，串聯價值鏈上游至下游，包含：商場建置營運、專櫃廠商進駐、商品採購管理到顧客服務等範疇、滿足每一位消費者，擴大社會影響力，於每一個環節創造最大的永續價值。
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Input

  • Through shareholders’ capital investment, FEDS maintains a sound corporate governance mechanism to drive corporate performance and shareholder interests.
  • NT$14.169 billion in capital

Output

  • Consolidated revenue of NT$126.0 billion, a growth of 12%
  • Standalone revenue of NT$57 billion, hitting a record high
  • EPS of NT$1.37, a growth of 59%
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Input

  • FEDS develops business in various regions, works with partners to provide high-quality products, and establishes a safe and secure shopping environment.
  • 12 operating stores of FEDS across Taiwan

Output

  • Signed a total of 1,117 CSR commitment letters by suppliers
  • Sold a total of 1,239 kg of environmentally friendly coffee
  • Green procurement accounted for 99%
  • Existing stores are 100% equipped with certified AED Safe Place (the Zhubei Store is currently processing the application)
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Input

  • FEDS utilizes digital technology to develop three major focuses of “digital operation, digital experience, and digital management” and provide customers with unique consumer experience.
  • Established a digital transformation team
  • Set up the Chief Information Security Officer and legal unit

Output

  • Established a mobile office and installed 97 sets of digital management systems
  • In terms of digital experience, FEDS’s app members exceeded 1 million
  • Protected goodwill, safeguarded intellectual assets, and shared 375 updates on laws and regulations
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Input

  • FEDS emphasizes talent cultivation and retention, provides competitive salaries, allows employees to grow together with the Company, and establishes a sustainable and inclusive workplace.
  • A total of 1,374 employees

Output

  • A total of 219 interns were trained under the industry-academia cooperation program
  • The total annual training hours of employees are 20,207 hours, with an average of 14.7 hours per employee
  • Average monthly salary of employees is 1.35 times higher than the retail industry
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Input

  • FEDS gives back to the society and joins hands with stakeholders to participate in social welfare activities to strengthen the energy of public welfare and create a better future.
  • Public welfare expenditure of NT$2,400 thousand

Output

  • Held 783 public welfare events
  • 925 hours of volunteer services
  • Sponsored 11,319 square meters of green parkland around the stores
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Input

  • FEDS promotes the four major actions of “energy saving, carbon reduction, green energy, and waste reduction” to create green value for the society through products and services, and transform towards low-carbon retail.
  • Launched 24 energy saving projects with total investment amount of NT$24,418 thousand
  • Installed 96 kilowatts of solar photovoltaic equipment, which will grow to 1,600 kilowatts next year

Output

  • Implemented energy saving and carbon reduction to improve Energy Use Intensity (EUI) by 5% in 5 years
  • Resource recycling reached 1,316 tons, an increase of 36%, in an effort to promote resource sustainability
  • Invested NT$6.2 million to renovate the sewage treatment system
  • 97,000 kWh of solar power generation

6 major goals to be achieved by 2030: Energy saving, carbon reduction, green energy, waste reduction, public welfare, and digitalization

  • Energy saving: 15% reduction in electricity consumption per NT$1 of revenue
  • Carbon reduction: Formulating a plan to move towards net zero and achieve a 30% carbon reduction by 2030
  • Green energy: Developing solar energy with 20% increase in green energy usage
  • Waste reduction: Reducing waste generation, minimizing environmental pollution, and increasing the proportion of resource recycling to 50% in each store
  • Public welfare: Caring for the society and holding more than 500 public welfare activities every year; 8,000 hours of service by employee volunteers
  • Digitalization: Promoting digitalization constantly, achieving 98% digitalization for all operations and moving towards a paperless working environment

Creating a Sustainable Value Chain

Financial Capital

Input

  • NT$14.169 billion in capital
  • NT$108.7 billion in consolidated operating costs
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Financial Capital

Output

  • NT$131.2 billion in consolidated sales
  • NT$1.56 earnings per share

Operational Capital

Input

  • 12 stores at operating locations in Taiwan
  • Total operating area of 971,229 m2
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Operational Capital

Output

  • 16,631 business partners
  • 100% of all stores are AED certified

Intellectual Capital

Input

  • 98 sets of management digital systems
  • Information, Information Security, and Legal teams:15 members
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Intellectual Capital

Output

  • 1.88 million App members
  • 170 trademarks and patents

Human Capital

Input

  • Employee salary and benefit expenses of NT$1,011.75 million
  • Employee training expenses of NT$810,000
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Human Capital

Output

  • A total of 1,200 employees
  • An average of 24 training hours per employee

Social Capital

Input

  • Charitable expenditure: NT$6.414 million
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Social Capital

Output

  • 1,053 charity events
  • 1,146 hours of employee volunteer service

Natural Capital

Input

  • Advanced 34 energy-saving projects, investing NT$8.905 million in energy-saving improvements
  • Green procurement amount of NT$89.72 million
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Natural Capital

Output

  • Electricity consumption decreased by 6.11 million kWh
  • Annual EUI decreased by 2.6%