China Dongxiang published its FY2025/26 Environmental, Social and Governance Report, detailing quantifiable progress in climate action, governance and product innovation while sustaining growth in its core sportswear business.
Financial & Operational Metrics • Group revenue reached RMB 1.72 billion for the year ended 31 March 2026. • Operating profit from the China sportswear segment rose 33.00% year-on-year to RMB 68.00 million. • KAPPA’s mainland retail network stood at 965 stores as of 31 March 2026.
Climate & Resource Indicators • Total Scope 3 greenhouse-gas emissions fell 31.00% versus FY2024/25, supported by logistics optimisation and greener raw-material sourcing; Scope 1 and 2 emissions totalled 592.03 tonnes of CO₂-e. • 100.00% of purchased shoe boxes and paper packaging now carry FSC certification. • Group water consumption decreased 3.00% year-on-year to 4,223 tonnes.
Product & Supply-Chain Highlights • Eco-friendly materials expanded: Sorona® bio-based fibres, PrimaLoft® recycled insulation and RDS-certified down were deployed across 383,756 apparel units for KAPPA and 2,600 units for PHENIX. • PU pour-moulded insoles accounted for more than 90.00% of total footwear output, replacing traditional EVA. • Core suppliers are required to obtain internationally recognised audits such as GRS and BSCI; nylon-fabric suppliers added GRS certification during the year.
Human Capital • Women comprised 66.27% of the workforce. • A year-long “Green Action for the Future” wellness campaign logged about 10,000 km of staff exercise and over 1,000 check-ins. • No work-related fatalities or serious safety incidents were reported.
Governance & Risk Oversight • The Board’s ESG Committee oversees a three-tier structure integrating strategy, management and execution. • Climate-scenario stress testing (RCP 2.6 and RCP 8.0) quantified physical and transition risks, including typhoon exposure in coastal stores and potential carbon-pricing impacts. • Strengthened anti-corruption controls and information-security audits resulted in zero reported fraud or data-leak cases.
Community & Philanthropy • Donations included more than 300 custom sports uniforms to flood-affected students in Beijing’s Miyun District and medical-aid visits to Shanghai DeltaHealth Hospital for children with congenital heart disease.
Outlook The company reaffirmed its medium-term targets to cut total water use 30 % by FY2026, maintain 100 % FSC-certified packaging and drive responsible-investment initiatives that align capital deployment with measured ESG outcomes.