At Coats, sustainability is a core part of how we grow, innovate and build long term value for our stakeholders. It shapes the decisions we make, the materials we choose, the partners we work with and the investments we commit to.
It is also a powerful competitive differentiator: as the apparel and footwear industries accelerate their transition to low carbon and circular solutions, customers are relying on suppliers to deliver both performance and environmental impact reductions, at scale. Coats is uniquely positioned to meet this need.
A Strategy Built on Credibility, Innovation and Scale
Our commitment to be Net Zero by 2050, validated by the Science Based Targets initiative (SBTi), underscores our approach across our operations and supply chain. It gives customers confidence that our actions – and the materials we produce – align with the industry’s decarbonisation trajectory.
Achieving this requires deep operational discipline, strong partnerships across our value chain and continuous innovation. Our global Sustainability and Innovation Hubs in Shenzhen, China, and Madurai, India, support this journey, enabling us to trial new materials, convert technical breakthroughs into commercial products and help customers reduce their own emissions.
2025 saw the impact of this strategy become even clearer. Our shift to non-virgin oil-based materials accelerated, we delivered operational emissions reduction ahead of our 2026 targets, and we continued to transparently report on our results.
At the same time, our acquisition of OrthoLite strengthened our ability to deliver sustainable material solutions across the footwear market – one of the fastest moving segments for environmental innovation.
Creating Long-Term Value Through Sustainability
Our commitment to impactful sustainability practices sets us apart in the industry:
- Differentiates our products: Revenue from products made with recycled or bio-based materials has continued to increase, and our investment in textile to textile technologies positions us at the forefront of circularity – an area of rising customer demand.
- Strengthens customer partnerships: Brands are prioritising suppliers who can support their Net Zero roadmaps with certified, traceable, low impact materials. Our Science Based Targets give customers confidence that Coats can deliver.
- Reduces risk and increases resilience: By improving energy efficiency, reducing waste and transitioning to lower carbon inputs, we protect the business from volatility in energy markets, regulatory change and raw material constraints.
Driving Meaningful Progress
In 2025, we delivered strong progress across our sustainability goals:
- Advanced our material transition agenda, with sales of 100% recycled thread increasing to $554m, and non‑virgin oil‑based materials representing 52% of our total Group primary materials.
- Exceeded 2026 target for Scope 1 and 2 emissions through transition to certified renewable electricity sources, energy efficiency projects and site level improvements.
- Achieved zero waste to landfill* one year ahead of goal.
- External recognition, including an ‘A’ from the Carbon Disclosure Project (CDP) for our work on climate change and an ‘A’ for our disclosures on water security.
Looking Ahead
In 2026, we will refine our targets for 2027–2030, expand lifecycle assessments for our key materials and embed supplier decarbonisation even more deeply into our Scope 3 plans. Results on this page exclude OrthoLite. Following the acquisition, we will integrate OrthoLite’s operations into our sustainability framework and align its roadmap with our 2027–2030 targets.