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.

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 green energy, install solar photovoltaic equipment, gradually increase the amount of green energy used, and improve energy efficiency.

FEDS’ 2024 Project Promotion and Results:

Implemented 28 energy-saving projects with a total investment of NT$8.73 million, achieving electricity savings of 3,001,708 kWh
Electricity consumption per unit of sales has decreased by 18% compared to 2017
Solar photovoltaic systems installation has increased capacity to 913 kW, a 950% increase

Goal 12

Promote green consumption, provide environmentally friendly services, and enhance resource sustainability.

FEDS’ 2024 Project Promotion and Results:

For ten consecutive years, FEDS has promoted green consumer services based on the 3R’s and 3E’s, including packaging and printing reduction, to minimize the environmental impact of consumer behavior
All procurement prioritizes green purchasing. In 2024, green procurement accounted for 100%, achieving the planned target
Recycling of reusable resources: In 2024, FEDS recycled 1,490 tons of reusable resources, an increase of 8.6%

Goal 13

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

FEDS’ 2024 Project Promotion and Results:

Establish medium and long term goals for greenhouse gas reduction, complete a comprehensive greenhouse gas inventory and verification, achieving a coverage rate of 100%
Total carbon emissions (Scope 1 + Scope 2) decreased by 1,169 metric tons compared to the previous year, a reduction of 1.5%

Social (S)

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

Goal 2

Organizing farmers’ markets to promote quality agricultural products and foster sustainable agriculture.

FEDS’ 2024 Project Promotion and Results:

A total of 69 farmers’ markets were held, featuring 800 booths and selling 5,946 items

Goal 3

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

FEDS’ 2024 Project Promotion and Results:

In response to the annual “Donate a Bag of Blood, Save a Life” campaign, FEDS held 136 blood donation events, collecting over 5.35 million cc of blood
Promoting healthy leisure, FEDS has sponsored the National High Schools Dance Competition for seven consecutive years. In 2024, over 800 students registered to participate
Breakdancing has become an Olympic event. FEDS Zhubei Store has co-hosted a breakdancing competition for three consecutive years

Goal 5

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

FEDS’ 2024 Project Promotion and Results:

Conducted gender equality trauning courses, with a total of 483 participants trained this year and 1,440 participants over three years
Implementing DEI and realizing diverse employee composition, equitable treatment and development, and an inclusive workplace environment

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’ 2024 Project Promotion and Results:

Promote economic development, adapt business models in line with current trends, and continue to generate profits while distributing dividends
Promote management innovation by implementing 51 management action projects to enhance accountability, agility, operational capability, and strategic capability

Goal 9

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

FEDS’ 2024 Project Promotion and Results:

FEDS APP membership increased by 22%. Through big data analysis, consumer preferences are identified to enable personalized and precise marketing
Provided 12 major categories of diverse payment options, electronic vouchers, and other digital services to establish a convenient and rapid smart consumption platform
Established 98 digital management systems aimed at enhancing the operational efficiency of various business management and service operations

Goal 17

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

FEDS’ 2024 Project Promotion and Results:

Joined 49 public associations and organizations to exert influence
The only representative from Taiwan to join the IGDS, implementing the IGDS CSR Code together 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。

Financial capital

Working capital

Intelligent capital

Human resources capital

Natural capital

2030 Goals

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%

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)

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

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

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

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 Creation Chain

Financial Capital

Input

NT$14.169 billion in capital
NT$3.35 billion in parent company only operating costs

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Financial Capital

Output

NT$132 billion in consolidated sales
NT$1.65 earnings per share

Working Capital

Input

There are 12 stores in Taiwan, with a total operating area of 971,229 m2

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Working Capital

Output

17,136 business partners
A total of 1,646 Supplier CSR Commitment Letters have been signed
100% of all stores are AED certified “Safe Places”

Intelligent Capital

Input

Digital/Information Security/Legal Teams: 28 members
98 sets of management digital systems

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Intelligent Capital

Output

FEDS app membership 1.65 million, increased by 22%
Trademarks and Patents: 169

Human Resources Capital

Input

A total of 1,241 employees
Employee salary expenses: NT$1.04 billion

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Human Resources Capital

Output

Average monthly salary of employees is 1.39 times higher than that of the retail industry
Increased employee benefits for 8 consecutive years, with a total increase of 82%
On average, employees received 25.8 hours of training, an increase of 4%

Social Capital

Input

Charitable expenditure: NT$3.417 million

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Social Capital

Output

Participated in 1,051 charity events, a 31% increase
Employees volunteered in 52 events, a 73% increase
Sponsored 11,319 square meters of green community parkland

Natural Capital

Input

Implemented 28 energy-saving projects, investing NT$8.73 million
Installed solar energy capacity of 913 kW
Expenditure for wastewater treatment: NT$32.04 million

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Natural Capital

Output

Annual electricity consumption decreased by 3.6%
Usage of green electricity increased by 166%
Sewer connection rate increased by 50%
Cumulative amount of recycled resources exceeded 7,787 tons
100% green procurement

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.