This Universal Registration Document including the Annual Financial Report is a reproduction in PDF format of the official version, which was prepared in ESEF format and can be accessed at  https://www.id-logistics.com. This reproduction is available on the same website.

Incorporation by reference

The Company’s website is www.id-logistics.com. The information on the website referred to by means of hyperlinks (www.id-logistics.com) in this Universal Registration Document does not form part of this Universal Registration Document, except for the information incorporated by reference as specified below. As such, this information has not been reviewed or approved by the AMF.

Pursuant to Article 19 of Regulation (EU) 2017/1129 of the European Parliament and of the Council of June 14, 2017, the following items are incorporated by reference in this Universal Registration Document:

Contents of this document

Definitions

In this Universal Registration Document, except where indicated otherwise:

Market information

The Universal Registration Document includes information about markets in which the Company and its competitors operate, their respective market shares and the Company’s competitive position, in particular in section 1.4 “The contract logistics market” and section 1.5 “ID Logistics market positioning”. This information is drawn primarily from external surveys. However, publicly available information deemed reliable by the Company has not been verified by an independent expert, and the Company cannot guarantee that a third party using different methods to gather, analyze or calculate market data would obtain the same results.

Risk factors

Investors are invited to give careful consideration to the risk factors described in chapter 2 of the Universal Registration Document, “Risk factors”, before making their decision to invest. The occurrence of all or part of these risks could have an adverse effect on the Company’s business, position, financial results or objectives. In addition, other risks not yet identified or considered by the Company to be immaterial as of the Universal Registration Document Date could have the same adverse effect, as a result of which investors could lose all or part of their investment.

Forward-looking information

The Universal Registration Document contains forward-looking statements and information on the Group’s objectives, in particular in sections 1.5 “ID Logistics market positioning” , 1.6 “ID Logistics growth strategy”  and 4.14 “Business trends”, which are sometimes characterized by the use of future and conditional verb forms and forward-looking expressions such as “estimate”, “consider”, “have as an objective”, “expect to”, “intend”, “should”, “wish” and “could”, in their affirmative or negative forms, or other similar terms. Such information is based on data, assumptions and estimates deemed reasonable by the Company. The forward-looking statements and objectives referred to in the Universal Registration Document may be affected by known or unknown risks, by uncertainty relating in particular to the regulatory, economic, financial and competitive environments and by other factors that could lead to the Company’s future results, performance and achievements being significantly different from the objectives expressed or implied. Such factors may in particular include the factors described in chapter 2 of the Universal Registration Document, “Risk factors”.

ID Logistics is an international group operating in the contractual logistics industry. Since its creation in 2001, the Group has achieved sustained and uninterrupted growth, reaching revenues of €2.75 billion in 2023.

ID Logistics has developed an asset light model mainly focused on highly technical customer-specific warehouse logistics. The Group currently operates almost 400 sites in 18 countries, representing 38,000 employees and over 8 million sqm in Europe, America, Asia and Africa.

ID Logistics serves a well-balanced portfolio of sectors including retail, e-commerce and consumer goods for leading international customers in their field.

The key dates in the history of the Company are as follows:

The financial information given below is based on the consolidated financial statements for the years ended December 31, 2023, 2022 and 2021, prepared pursuant to current IFRS. The 2023 financial statements are set out in section 4.8 of the Universal Registration Document, “Annual historic financial information”.

These key accounting and operational results should be read in conjunction with the information contained in sections 4.2 “Comparison of years ended December 31, 2023 and December 31, 2022”, 4.3 “Cash and capital” and 4.4 “Cash flow”.

Figures stated in euro millions in the tables shown in this chapter have been rounded in line with those shown under chapter 4, “Financial statements”.

The Group posted 2023 revenues of €2,747 million, underlying operating income (EBIT) before acquired customer relations amortization of €125.8 million and consolidated net income of €53.9 million.

Backed by some 38,000 employees, the Group had close to 400 sites comprising 8 million square meters of warehouses at December 31, 2023.

Logistics comprises all operations that enable the right product to be delivered at the right time, in the right place and at the lowest cost. Specifically, logistics refers to the business of managing flows between an enterprise, its suppliers and its customers. It consists in optimizing the physical flow of goods as well as internal and external information and financial flows.”

Logistics operations are a central feature of the supply chain, involving upstream freight forwarding (sea or air) and inland transport (road or rail) activities and downstream delivery operations, including last-mile delivery.

Contract logistics covers the portion of logistics operations that is outsourced and formalized between the customer and its service provider in an agreement setting out the resources implemented and objectives to be achieved.

The contract logistics market encompasses a wide range of activities including warehouse inventory management, related services such as packaging and end-of-production operations and the management of all associated flows, in particular transportation. In view of the varying degree of integration between transportation activities and contract logistics activities in different countries and the limited number of specific world market contract logistics studies, it is difficult to estimate the size of the market.

Given the Group’s international footprint and experience, and on the basis of its competitors’ publications, ID Logistics estimates that the global market was worth some €284 billion in 2023, up 3.3% over 2022 (sources: Transport Intelligence, Company estimate). Barring exceptional fluctuation due to the health crisis in 2020 and 2021, the global market is growing in line with inflation and GDP growth in the various local markets; growth is further boosted by a customer trend towards increased outsourcing.

The world contract logistics market by region was estimated to break down as follows in 2022 (source: Transport Intelligence, Company estimate):

The market share of the top 10 global players in 2022 was estimated as follows (source: Transport Intelligence, Company estimate):

The market is highly fragmented and the top five global players collectively account for just 15.0% of the total market share. DHL’s Supply Chain division has a global presence as the market leader in Europe and North America and a ranking of 4th in Asia-Pacific. GXO operates primarily in North America (3rd) and Europe (2nd). Ryder mainly operates in North America. Kuehne+Nagel and CEVA Logistics have increased their presence outside their home continent of Europe, whereas Nippon Express and Hitachi generate almost all of their revenues in Asia-Pacific, including 80% in Japan.

ID Logistics ranks 37th globally with an estimated market share of 1.1% in 2023.

The European market is the second largest contract logistics market in the world and the main market in which ID Logistics operates.

The European contract logistics market by region is estimated to break down as follows (source: Transport Intelligence, Company estimate):

The market share of the top five European players (including the United Kingdom) in 2022 was estimated as follows (source: Transport Intelligence, Company estimate):

The US market is the third largest contract logistics market in the world, with ID Logistics entering this market at the end of 2019.

The market share of the top five US players in 2022 was estimated as follows (source: Transport Intelligence, Company estimate):

While sensitive to the economic situation, household consumption (particularly for consumer goods) is relatively stable in volume given constant demographic trends. Indeed, during an economic recession, consumers focus primarily on price, with the result that they may reduce their outgoings in value terms but not necessarily in volume. Therefore contract logistics companies, whose income depends mainly on volumes handled (pallets, order picking, etc.) are less affected by economic slowdowns. Nevertheless, the major difficulty for contract logistics players during an economic crisis lies in the erratic fluctuation in volumes handled and the uncertainty that surrounds them. Household consumption also depends on changes in purchasing power and on demographic trends.

Developments in consumer habits (in particular the rise of hard discount stores, specialized retailers, e-commerce, etc.) may result in the emergence of new market players and may lead major customers to modify their logistics arrangements. Adaptation to consumer behavior is a key factor for large retailers and consequently for their logistics operators as well.

In order to respond to customers’ new expectations, logistics groups are positioning themselves as global providers able to manage all types of goods flow over an ever expanding geographical area. Good supply chain management for consumer goods customers has become an important selling point and source of added value through product availability, limiting inventory shortages, minimizing inventories and costs, etc.

In addition, major customers tend to prefer a limited number of suppliers capable of sustaining structuring projects that require genuine expertise and a capacity for investment to implement and manage increasingly large-scale innovative and technological projects. This growing importance of leading players in the industry is counterbalanced by a decline in the policy of purchasing services from a wide range of transportation and warehousing suppliers.

Besides economic factors, the environment in which logistics providers operate is characterized by a structural upward trend in the outsourcing of logistics functions by shippers. The use of subcontractors in this way is justified by the following needs:

Outsourcing is estimated to account for 32-38% of logistics activities depending on the source. It varies widely by geographic area from around 20% in the United States to almost 60% in the United Kingdom, for example. There is still considerable scope for progress, especially during the current period; the uncertainty and lack of confidence that plague the global economy confirm the choices made by economic players that have decided to focus on their core business and outsource their ancillary functions in order to gain flexibility and reduce costs.

Over the last five years, the e-commerce share of the global market has increased from 10% to 20%. The pandemic was certainly a driving force, but it also established e-commerce as a consumer trend in its own right whose share in the global market is expected to continue to grow.

Since it serves the end customer directly, e-commerce is more demanding in terms of reliability and order picking timeframes than conventional bricks-and-mortar retail. Order picking is also more intricate, as it only concerns a few units of a few items per parcel. The solutions to be implemented and managed are therefore much more complex and sophisticated, with greater reliance on automation and robotics. Finally, e-commerce is characterized by high return rates (around 30% of goods shipped) which generate additional logistics operations.

For these reasons, e-commerce has driven and will continue to drive growth in the contract logistics market, while ramping up revenues for well-positioned, recognized logistics companies in this segment, including ID Logistics.

The emergence of sustainable development issues has only accelerated this trend. Indeed, companies’ efforts to reduce their carbon footprint compel them to look for ways to step up transport consolidation.

These factors also reinforce the need to have global providers capable of measuring CO2 emissions throughout the supply chain, proposing sufficiently comprehensive action plans in order to reduce their impact and proposing global supply chain optimization solutions (see section 1.10 of the Universal Registration Document, “Consolidated statement of non-financial performance”).

Recent crises related to the COVID-19 pandemic, energy costs and supply disruptions have highlighted the need to make supply chains more resilient. In this context, customers are required to rethink their logistics organization and consider creating back-up inventories or relocating part of their inventory close to consumption areas such as Europe or North America. Such steps would provide new growth opportunities in the contract logistics market.

For 10 years, the logistics market has undergone considerable consolidation, as market players have sought to expand their competencies and reach the critical mass required to offer a wide range of services and support their customers’ international growth.

The table below summarizes the principal acquisitions carried out over the last 10 years:

The Group has made the strategic decision to pursue growth based on its expertise in developing technical solutions specific to individual customers. As such the Group does not aim to develop business lines where growth is driven by control of networks (i.e. inland transportation, air and sea freight forwarding, etc.).

As a pure player since incorporation backed by nearly 20 years of experience, ID Logistics can offer not only individual logistics services but also logistics solutions ranging from traditional logistics operations to developing solutions as part of the customer’s strategy.

This approach is particularly evident in the Group’s ongoing commitment to innovation, constant search for financial and environmental optimization solutions, constant endeavor to improve its customers’ flows, etc. 

ID Logistics places itself at the core of its customers’ logistics strategy. The Group has implemented a specific organizational system focusing on customer relations in order to meet customer expectations as closely as possible while offering proposals that anticipate their future development.

Specializing in key accounts and high-volume requirements, ID Logistics primarily operates warehouses dedicated to a single customer. Each warehouse is thus organized and managed specifically for the customer using directly dedicated resources.

In order to provide optimum and consistent service throughout its subsidiaries in France and abroad, the Group has established a set of “best practices”. These are intended to ensure world-class quality of service when setting up new operational facilities in France and abroad, while ensuring that know-how and values are shared within the Group.

In addition to these best practices, ID Logistics also implements “core models” that can be copied by customers developing several logistics operations in one or more countries. Based on perfect knowledge of customer needs and standardized organization and responses, this approach makes it possible to ramp up the implementation of start-ups and the monitoring of activities.

The Group’s expertise is based on the logistical management of high-volume contracts and the search for optimizing solutions along the entire supply chain from manufacturer through to end customer. The Group aims to continue to serve new types of customer within this sector. 

Thanks to this approach, the Group has established long-term relationships of trust with its customers, as borne out by the support that the Group has provided for those customers’ international development (operating bases in 16 new countries since 2001).

The Group is present in most of the major consumption countries where its large retail and mass consumption customers operate. The main objective is to increase market share in these countries, in particular through support offered to domestic customers. In the coming years, the activity of supporting existing customers could lead to openings in new countries. The first step would be to continue to offer support to existing customers for their growth in these countries. 

One avenue of potential growth lies in expanding the Group’s offer to existing customers. In fact, increasingly decisive logistics support is required in order to keep pace with changing modes of distribution.

The growth of online selling, the opening of “Click & Collect”-type models, home delivery and other factors entail changes to distributors’ logistics organization and thus provide the Group with new opportunities.

In a broader context, changes in consumer habits lead to growing complexity of logistical arrangements, due to:

Expansion of the logistics offering is a suitable response to these requirements. 

Since inception, the Group has made innovation one of its top priorities, notably by setting up an R&D department in order to offer customers cutting-edge technological solutions. This policy allows the Group to develop so as to improve the operational and financial performance of its operating sites and to offer better working conditions for its employees (e.g. via a reduction in accident rates, increased productivity, etc.).

ID Logistics also offers solutions and innovations in the areas of mechanization, automation and robotics, including high-speed automated sorting systems, load transfer, gripping and packing robots to optimize workstation ergonomics and operator working conditions, automated goods-to-person solutions (shuttles, mini-loads) to improve order-picking ergonomics, increase storage and production capacity, and high-rise stacker cranes for storing pallets. Drawing on its expertise and experience, ID Logistics has the ability to connect, interface and manage systems via fully digitized processes and interfaces and to offer scalable solutions as its customers mature.

The Group has acquired significant expertise in the management and implementation of information systems, allowing it to install customized solutions according to the site typology and to benefit from real-time access to structured information. The fluidity and reliability of this information allows the Group in particular to analyze and thus continuously improve site performance.

The Group attaches particular importance to imparting the following values among employees: enterprise, operational excellence, rigor and solidarity. Moreover, ID Logistics has been able to attract and retain talented people, resulting in a stable management team.

Finally, in addition to its competitive advantages, ID Logistics has adopted a customer-focused strategy of sustainable development and growth. To this end, the Group has set up a number of projects aimed at reducing the Group’s carbon footprint and has developed specific environmental and financial analysis and improvement expertise on behalf of its customers.

ID Logistics’ service offerings take into account the sustainable development challenges of its customers. These services focus heavily on occupational health and safety, based on training, innovation and empowerment of all people at the Company. They are also intended to support customer strategies for reducing their environmental footprint.

ID Logistics provides a broad range of logistical services to its customers:

The ID Logistics offer meets the specific requirements of ambient and fresh produce logistics and e-commerce.

The Group has implemented special tools designed to deal with specific issues related to e-commerce:

The Group has acquired particular expertise in this business and applies it in all countries where it operates.

E-commerce requires logistics providers to manage more complex flows. Indeed, a logistics provider must have the requisite systems allowing it to receive a purchase order for a product stored in one of its warehouses and viewed and purchased online by the customer, and to send the product directly to the customer from the warehouse or make it rapidly available at a retail outlet for collection by the customer.

Historically, the Group has built its development around major French-based multinationals and has proved its ability to support them in the long term and in their advanced foreign markets in South America and Asia. ID Logistics has been able to reinforce its long-standing relationships with its principal customers and to adapt to their changing needs, in particular by offering plans for continuous improvement and developing innovative solutions.

On the back of its operational successes with its long-term customers, the Group has expanded and diversified its customer portfolio by supporting the major French retail groups and large manufacturing groups in their foreign operations in regions with high growth potential (i.e. emerging countries).

With very few exceptions, all Group customers are leading players in their respective industries and operate in Europe and abroad.

The Group’s goal is to support these customers’ growth in France and worldwide while adapting to their changing strategies.

Since its inception, the Group has chosen to support its customers in their foreign operations. Today, the Group serves over half its customers in at least two countries.

The process of supporting customers in their foreign operations generally starts with an upgrade of operational processes prior to the installation of the technology currently used on customers’ sites in France. During this upgrading process, revenue per employee (permanent and temporary), converted into euros, is generally lower than the equivalent figure at French-based sites.

Contract logistics is based on systematic contractual formalization and the allocation of appropriate resources.

Contracts are formalized following a call for tenders procedure during which the service providers invited to bid propose the best logistics solution in a transparent manner and in collaboration with the customer on the basis of information provided by the latter (inbound sourcing zone, outbound distribution zone, volume, product mix, seasonality, etc.). This information is used to determine the best location for the warehouse (barycentric), its operational characteristics, associated IT processes, permanent and temporary staffing, etc.

After the tender procedure that is carried out almost systematically by shippers, ID Logistics signs a formal contract with the customer for each new project. This includes:

ID Logistics applies a rule whereby it does not enter into a new contract without prior clarification of all the aforementioned items with the customer.

All contracts are subject to different pricing terms and conditions (e.g. indexation or volumes) stemming from commercial negotiations based on customer assumptions regarding operating conditions (volume, seasonality, order mix, etc.). Revenue is generally recognized as follows: the customer is invoiced based on specifications (e.g. full pallet, preparation of special packages, etc.) and quantity of packages prepared.

Group revenues are mainly based on volumes handled, which are contractually defined on the basis of the information provided by the customer during the call for tenders. In the event of a significant change in volumes, prices are renegotiated accordingly.

Most agreements include annual price indexation clauses applicable on the anniversary date of the contract on the basis of official local inflation indices.

While the Group’s revenues are not subject to major seasonal fluctuations, second-half revenues tend to be slightly higher than first-half revenues, in view of the breakdown of customers and their growth profile.

However, first half revenues tend to be more volatile in terms of volumes with larger swings between business peaks and lows than in the second half. Excluding the impact of any new facility start-up costs, this volatility is reflected in lower operational productivity, and first-half operating income is generally lower than in the second half.

This feature of ID Logistics’ business, which is also experienced by some competitors, is entirely factored into its operating procedures and financial management and does not constitute a risk as such.

For each contract, ID Logistics provides a tailored solution designed to meet the specific requirements of each customer, including the following services:

ID Logistics has traditionally pursued its development according to a model based on flexibility and adaptability. This approach has enabled the Group to offer its customers bespoke solutions, without having to rely solely on its own assets and avoiding the risks associated with the acquisition of a large amount of property, plant and equipment. It is particularly suited to the present economic climate, as it allows the Group to adapt to consumer trends and the global economic situation in the medium to long-term.

The Group has therefore decided to focus on leasing its warehouses (all warehouse surface area in operation as of December 31, 2023). With each new contract, the Group can offer bespoke real estate solutions tailored to each customer’s requirements: leasing (takeover of the existing warehouse or search for a new location), use of the customer warehouse, construction, etc. In the case of leasing, the term of the lease corresponds to that of the customer’s contractual obligation.

In terms of human resources, the Group assigns a training and management team to each contract and determines the staffing requirements in accordance with the specific features of each site. Seasonal effects and activity peaks are absorbed by the use of temporary workers without impacting the ongoing cost structure. The Group works together with the main temporary employment agencies.

In addition, the equipment required for operating the warehouses (trolleys, forklifts, etc.) is generally leased for the duration of the contract.

The customer partnership approach developed by ID Logistics is based on transparency.

This transparency is reflected in the practice of notifying the customer of all assets deployed and costs incurred in order to guarantee the proper performance of the contract. ID Logistics’ operating margin is thus calculated on a clear and shared basis.

However, this transparent approach does not necessarily involve invoicing based on “cost + margin”, a practice which, although common in English-speaking countries, is relatively rare in the countries in which ID Logistics operates.

Every year, ID Logistics reviews price developments and the improvement procedures it undertakes with its customers. ID Logistics’ philosophy of long-term customer support is embodied in the form of improvement plans designed to ensure the continuous improvement of logistics operation performance (reducing the overall cost for the customer while optimizing the level of service). The benefits of these improvement plans are shared in a transparent manner between ID Logistics and its customers.

The legal term of a contract depends mainly on the value of the investments required or on other more specific elements, such as the takeover of staff in the context of outsourcing. The term varies between 3 and 10 years. Once the initial contractual term is completed, contracts are renewed on a regular basis.

If the logistics provider is able to establish a strong relationship with its customer based on transparency and solid communication, contracts are frequently renewed as changing providers involves major costs and risks.

In view of these different sources of growth, ID Logistics follows a strategy based on four major principles:

The Group has made the strategic decision to pursue growth based on its expertise in developing technical solutions specific to individual customers. As such the Group does not aim to develop business lines where growth is driven by control of networks (i.e. inland transportation, air and sea freight forwarding, etc.).

The Group is present in most mass consumption countries where its large retail and FMCG manufacturing customers operate. The main objective is to increase market share in these countries, in particular through support offered to domestic customers. In the coming years, the activity of supporting existing customers could lead to openings in new countries. The first step would be to continue to offer support to existing customers for their growth in these countries.

The Group’s expertise is based on the logistical management of high-volume contracts and the search for optimizing solutions along the entire supply chain from manufacturer through to end customer. The Group aims to continue to serve new types of customer within this sector.

One avenue of potential growth lies in expanding the Group’s offer to existing customers. In fact, increasingly decisive logistics support is required in order to keep pace with changing modes of distribution.

The growth of online selling, the opening of “Click & Collect”-type models, home delivery and other factors entail changes to distributors’ logistics organization and thus provide the Group with new opportunities.

In a broader context, changes in consumer habits lead to growing complexity of logistical arrangements, due to:

Expansion of the logistics offering is a suitable response to these requirements.

ID Logistics currently operates in most countries where the mass market is a major target for large manufacturers and retailers. The Group intends to focus on sectors where it is already present, in France and abroad.

In France, the Group has many sources of growth through the acquisition of new contracts (either due to a change in logistics supplier or by manufacturers or retailers outsourcing logistics) or development of multi-channel logistics solutions (“traditional” versus
“e-commerce” logistics) in conjunction with the support offered to existing customers. The Group also made significant inroads into this new business line, which has grown over 10 years and now accounts for 25% of its revenues.

The Group still has major growth potential abroad. In the first stage, ID Logistics pursued a strategy of supporting its customers based in France and abroad. In the second stage, the Group aims to boost its competitive position by supporting local customers, either in their country of origin or via the Group’s sites in other countries. In this respect, ID Logistics intends to focus on certain major growth sectors such as textiles, fresh produce, healthcare and fragrances.

Geographically speaking, the Group does not rule out the possibility of moving into new countries with high growth potential, while maintaining its usual approach of supporting its existing customers then consolidating its local market position.

The Group is also stepping up growth via acquisitions in order to:

It was precisely this strategy which led to the July 2013 acquisition of CEPL that confirmed the strategic advantage of stepping up external growth and the Group’s ability to carry out and integrate value-adding acquisitions.

Thanks to this acquisition, the ID Logistics Group has boosted its service offering in the single order picking market segment and has become the No. 1 French operator in automated order picking. The Group has expanded its customer base to take on new market segments such as electronic and cultural goods, perfumes and clothing and now serves well-known high-potential customers such as Sony, Bouygues Telecom, Givenchy, Guerlain, Yves Rocher, Elizabeth Arden, Le Coq Sportif and André. This operation also allowed ID Logistics to bolster its e-commerce services with customers such as vente-privee.com.

Furthermore, CEPL’s in-depth expertise in automation and order picking has allowed the ID Logistics Group to offer innovative solutions to all customers while providing flexible, bespoke logistics services to e-commerce customers. As a result of this transaction, ID Logistics has boosted its European network by expanding into Germany and the Netherlands while consolidating its traditional operations in Spain. Lastly, CEPL’s existing customers provided potential for commercial growth abroad.

Likewise, in 2016 ID Logistics continued to roll out its international growth strategy, strengthen its leadership in Europe and shore up its logistics pure player model via the acquisition of Logiters. In 2015, Logiters managed more than 50 warehouses equivalent to around 750,000 sqm, employed 3,300 people and posted revenues of €250 million. This important acquisition has allowed ID Logistics to develop its business in high-potential sectors such as healthcare/pharmaceuticals and the automotive industry, to strengthen its positioning in its historical sectors of FMCG and retail, and to enhance its portfolio with new, high-profile customers. Logiters also provided ID Logistics with new expertise and know-how, particularly in IT systems, engineering and transport organization, and new value-added solutions such as industrial pooling.

In late 2019 ID Logistics purchased a number of business operations from Jagged Peak, a US-based e-commerce logistics specialist which posted 2018 revenues of $80 million and employs around 200 people. Jagged Peak stands out by its ability to provide order picking and distribution solutions over the whole of North America, using its own resources backed by an extensive partner network, streamlined organization and an unrivaled IT system. This management system, which includes OMS (order management system), WMS (warehouse management system) and TMS (transport management system) modules, ensures record-time distribution of products for e-commerce key accounts throughout North America. Acquiring Jagged Peak has given ID Logistics a foothold in the USA, a new source of growth through acquisitions and organic growth.

In line with this strategy of targeted development through acquisitions, ID Logistics carried out the following operations in late 2021 and early 2022:

In 2023, ID Logistics continued this strategy with the acquisition of Spedimex (Poland), a company boasting extensive expertise and a strong reputation in the fashion sector. Spedimex has developed an asset-light model and operates 15 sites across the country spanning a total area of 230,000 sqm. The company has implemented sophisticated automation and technology solutions capable of managing large complex flows, such as e-commerce and store returns covering over 15 European countries for a single customer. The complementary nature of Spedimex and ID Logistics’ customer portfolios and technical expertise should also enable them to develop commercial synergies, particularly for international market-leading customers. Lastly, in line with the post-COVID industrial relocation trend, ID Logistics has strengthened its position in a booming market that is already playing a central role in the current reorganization of supply chains in Europe. The Spedimex acquisition has put ID Logistics in a leading position in the Polish market, backed by 35 sites, 7,000 employees and a prestigious customer portfolio of manufacturers, distributors and e-commerce companies.

The Group’s operations do not represent any material risk for the environment: as of the Universal Registration Document date, the Group stores and handles a certain amount of materials regarded as toxic under Seveso or equivalent regulations (aerosols, car batteries, paint, etc.) and provides the corresponding road transport services. These activities and services are of limited scope compared to the rest of the Group’s activities and the Group considers that it is not significantly exposed to environmental risks. The Group also maintains an active policy of sustainable development, as described in section 1.11 of the Universal Registration Document, “Consolidated statement of non-financial performance”.

Fewer than 10% of the facilities operated by the Group worldwide are located in areas exposed to natural risks such as earthquakes (e.g. Taiwan or USA West Coast) or cyclones (e.g. Réunion Island or South-East USA). These facilities comply with standards and regulations aimed at limiting the potential impact of these phenomena on their activity. In the regions concerned, the Group has organized its operations in such a way that movements can be reallocated between the various warehouses managed. Lastly, the Group pursues an asset-light approach and does not own the real estate assets it operates.

In this respect, outside the scope of the usual regulations relating to environmental and safety standards, there is no environmental issue that could significantly influence the use of the Group’s property, plant and equipment.

The Company is a holding company which has no business operations. It centralizes some of the Group’s central services. The business operations are carried out by the subsidiaries (see section 1.9.2 “Presentation of the Group’s main companies”).

As of December 31, 2023, the Company held direct and indirect equity investments in 125 companies, 57 of which are located within mainland France. This chapter only covers the Group’s main subsidiaries.

The Group companies’ business is described in chapter 1, “Business Overview”.

The duties carried out in the subsidiaries by the Company’s officers and directors are described in section 3.1, “Board of Directors’ corporate governance report”.

The Group’s operational structure and the main centralized services are described in section 1.9.4, “Operational organization chart”.

Section 1.11.3, “Consolidated non-financial performance indicators”, shows a breakdown of Group employees.

The companies included in the Group’s 2023 consolidated financial statements are listed in Note 30 to the Company’s consolidated financial statements appearing in section 4.8 “Annual historic financial information”.

As of December 31, 2023, the main Group companies are:

CEPL Barcelona is a Spanish company that operates a site for a cosmetics customer. The company had 153 employees as of December 31, 2023.

Colisweb is a company incorporated under French law created in 2013 and acquired by the Group in January 2022. Colisweb offers software solutions for organizing and optimizing last mile delivery. It does not operate any facilities as such and employed 65 people as of December 31, 2023.

Logistics IDL España Group is a company incorporated under Spanish law whose head office is in Madrid. Created in 2006, it operates eight sites for major retailers and the textile industry. Most of its sites are managed with the help of mechanical systems. As of December 31, 2023, Logistics IDL España Group had 947 direct employees.

GVT Transport & Logistics is a company incorporated under Dutch law whose head office is in Tilburg. Acquired by the ID Logistics Group in December 2021, GVT manages 13 sites and had 138 employees as of December 31, 2023.

ID Freight Management is a Dutch company that manages three transport sites in the Netherlands and Belgium, and does not directly employ any staff.

ID Logistics Belgium is a company incorporated under Belgian law whose head office is in Brussels. ID Logistics Belgium operates one site and had 349 direct employees as of December 31, 2023.

ID Logistics Benelux (formerly CEPL Tilburg) is a company incorporated under Dutch law whose head office is in Tilburg. It is an indirect subsidiary of CFL, acquired in 2013. ID Logistics Benelux operates eight sites and had 272 direct employees as of December 31, 2023.

ID Logistics Bucharest is a company incorporated under Romanian law and created in 2018. It operates six sites and had 662 employees as of December 31, 2023.

ID Logistics do Brasil is a company incorporated under Brazilian law whose head office is in São Paulo. Created in 2002, it manages approximately 44 sites for a varied portfolio of customers and provides a diversified range of services for major retailers, e-commerce, consumer goods and manufacturers. As of December 31, 2023, ID Logistics do Brasil had 4,734 direct employees.

ID Logistics France is a French simplified joint stock company (société par actions simplifiée) registered on December 1, 2000 with the Avignon Trade and Companies Registry under the name “La Flèche Logistique”. It was given its current name on February 11, 2002 within the framework of the spin-off of the logistics business of ID Projets (formerly La Flèche Cavaillonnaise) into a new company whose shares were transferred to ID Logistics in December 2001. Today, it is the Group’s main operating subsidiary and had 4,331 direct employees as of December 31, 2023.

ID Logistics GmbH is a company incorporated under German law whose head office is in Weilbach. It operates one site and had 335 direct employees as of December 31, 2023.

ID Logistics Italy is a company incorporated under Italian law whose head office is in Milan. Founded in 2022, it operates two sites and had 28 direct employees as of December 31, 2023.

ID Logistics Kaiserslautern is a company incorporated under German law and created in 2020. It operates one e-commerce site and had 193 direct employees as of December 31, 2023.

ID Logistics Polska is a company incorporated under Polish law whose head office is in Katowice. Created in 2008, it manages food and non-food warehouses for major retailers and their suppliers. It has also developed a transportation organization and management package and holds an international transportation license. As of December 31, 2023, ID Logistics Polska had 1,975 direct employees.

ID Logistics Kleinostheim is a company incorporated under German law and created in 2020. It operates one e-commerce site and had 117 direct employees as of December 31, 2023.

ID Logistics Polska is a company incorporated under Polish law whose head office is in Katowice. Created in 2008, it manages food and non-food warehouses for major retailers and their suppliers. It has also developed a transportation organization and management package and holds an international transportation license. As of December 31, 2022, ID Logistics Polska had 1,621 direct employees.

ID Logistics Taiwan is a company incorporated under Taiwanese law whose head office is in Lujhu. It was created in 2001, and was the Group’s first foreign subsidiary. It is jointly owned by its co-founder and current General Manager (who has a 40% shareholding). ID Logistics Taiwan manages food and non-food warehouses for major retailers, mainly in the form of cross-docking. It had 298 direct employees as of December 31, 2023.

ID Logistics Selective is a company incorporated under French law and created in 2012. It operates one e-commerce site and had 233 direct employees as of December 31, 2023.

ID Logistics Selective 3 is a French company specializing in last-mile delivery services, particularly for e-commerce customers. The company had 458 employees as of December 31, 2023.

ID Logistics Tilburg is a company incorporated under Dutch law and created in 2015 in order to operate a site for a pan-European industrial customer. ID Logistics Tilburg operates one site and had 60 direct employees as of December 31, 2023.

ID Logistics US, Inc. is a company incorporated under US law based in Tampa. It operates six sites throughout the USA serving e-commerce customers. The company had 422 employees as of December 31, 2023.

ID Supply Chain is a company incorporated under Argentinian law whose head office is in Buenos Aires. Created in 2008, it is held jointly by its co-founder and current General Manager, who holds a 40% equity stake. It manages food and non-food warehouses for major retailers. As of December 31, 2023, ID Supply Chain had 667 direct employees.

ID Logistics Iberia (formerly Logiters Logística) is a company incorporated under Spanish law and based in Madrid. Purchased by the Group in 2016, it operates around 50 sites throughout the region for retail, consumer goods, healthcare and automotive customers. As of December 31, 2023, ID Logistics Iberia had 2,351 employees. Following this acquisition, it acts as the head office housing all administrative operations for Spain.

Kane Logistics is a company incorporated under US law that was part of the Kane Logistics group acquired by the Group in March 2022. It operates three logistics sites for a specific customer and had 248 employees as of December 31, 2023.

Kane Warehousing is a company incorporated under US law that was part of the Kane Logistics group acquired by the Group in March 2022. It operates 20 logistics sites for a variety of customers in the consumer goods and distribution sectors. The company had 2,050 employees as of December 31, 2023.

La Flèche is a French simplified joint stock company (société par actions simplifiée) registered on December 5, 2007 with the Avignon Trade and Companies Registry. It was created at the time of the Group’s acquisition of ID Projets (formerly La Flèche Cavaillonnaise), whose business it operates pursuant to a lease management agreement. It operates three sites in France and had 185 direct employees as of December 31, 2023.

Logiters Logística Portugal is a company incorporated under Portuguese law, based in Azambuja. It is wholly-owned by ID Logistics Iberia. It operates 5 sites for consumer goods and healthcare customers. As of December 31, 2023, Logiters Logística Portugal had 305 employees.

Spedimex is a company incorporated under Polish law whose head office is in Strykow, Poland. Acquired by the ID Logistics group in May 2023, Spedimex manages 15 sites and had 752 employees as of December 31, 2023.

As stated in section 1.6, “ID Logistics market positioning”, since its inception the Group has placed a strong emphasis on technological innovation, enabling it to offer its customers solutions that combine quality of service with productivity, while ensuring more ergonomic working conditions for its staff.

This innovation culture is supported by the Group’s R&D department, staffed by forty technicians around the world, who add a new technological perspective to each commercial offer or reengineering request.

Nevertheless, the Group’s R&D expenditure does not entitle it to a material tax credit. The Group cannot capitalize its R&D expenses; they are posted to expenses as and when incurred. The annual amount of R&D costs recorded as expenses by the Company is not material.

The four core ID Logistics values as espoused by all Group business lines and regions form the foundation upon which the CSR strategy is built:

This watchword can be broken down into three simple concepts: daring, imagination, growth – with all due care and attention required when implementing and assessing risks.

Strict compliance with specifications, quality of service, new technologies, sustainable solutions, etc., in order to guarantee the customer optimal performance.

Rigor, discipline and professionalism in human relationships both within the Company and with customers and partners.

Between employees, between business units, with customers, with partners, taking the form of supportive actions during challenging situations or promoting sustainable development.

When applied to training and the identification and promotion of talent, these values help define the Group’s strong team spirit. This environment is strengthened by the internal ID Certification (CID), which promotes the sharing of best practices, in favor of the end customer.

Since 2011, in line with its values, ID Logistics has been committed to a Sustainable Development approach.

The ID Logistics materiality survey was carried out in February 2021 (next revision in 2024 including the creation of a double materiality matrix in accordance with CSRD requirements). ID Logistics teams presented 21 previously identified corporate social responsibility challenges to their priority contacts (defined using the stakeholder mapping – primarily customers, but also suppliers and employees, in all countries where the Group operates), based notably on the CSR framework for Logistics and ISO 26000. 266 respondents expressed the importance they attached to each of these challenges and their perception of ID Logistics’ maturity in addressing them. The findings of this consultation will be fed into the CSR roadmap to help set the 2030 objectives.

Based on this survey, the Group has defined three main pillars, broken down into 10 working priorities.

With the goal of:

• “Where we contribute”, covering societal issues: Act as a responsible corporate citizen throughout our value chain by encouraging local initiatives in keeping with the Group’s values, ensuring that our suppliers comply with our CSR charter and making ethics a prerequisite for any operation.

With the goal of:

Our CSR strategy is based on four tools.

• The Together + Responsible program: CSR principles are widely disseminated via this intranet platform.

Launched in 2022, the platform is an extension of the “Sustainable Development Toolbox” program, which enabled the completion of over 3,150 projects following its launch in 2009. Each site must commit to a long-term goal by selecting one of 14 themes (zero carbon warehouse, zero waste warehouse, certified company, etc.). ID Logistics’ CSR principles are widely disseminated via this intranet platform,

which fosters significant commitment among all Group employees. The system also allows activities to be organized at Group level so as to make them:

Each manager is responsible for promoting this sustainable development approach within their sphere of influence by carrying out a certain number of projects per year, as verified during CID audits.

Around 300 initiatives are listed Group-wide, covering five themes: waste management, water and energy management, greenhouse gas and pollutants management, staff welfare schemes (including health and safety) and social schemes.

A vigilance plan was established in 2017 to identify risks and prevent serious breaches of human rights and fundamental liberties as well as serious damage to personal health and safety and the environment.

To prepare the plan, which applies to all ID Logistics Group companies, a working group comprising the following department representatives was formed: purchasing, human resources, risk management, legal, operations.

In 2023, the plan was fully rolled out across all overseas Group subsidiaries and the system will be bolstered by a continuous improvement and audit procedure.

This plan was established on the basis of the following elements:

1.Risk mapping: 23 specific risks were identified and categorized into four groups: corruption & integrity, human rights and fundamental freedoms, health and safety of individuals and the environment.

2.Risk assessment and prevention: implementation of measures including: code of ethics, ethics training, development of the CID benchmark (see previous paragraph), suppler code of conduct (Purchasing and CSR Charter), procurement procedure, supplier risk mapping and survey.

3.Whistleblowing system: implementation of a standard Group-wide whistleblowing system designed to satisfy all regulatory requirements (whistleblowing channel security; management of alert confidentiality, the whistleblower’s identity, the identity of the third parties mentioned in the alert and all information collected while the alert is being processed), processing and protection of personal data, protection of whistleblowers and alert facilitators. The system is available both internally and externally.

4.Measuring effectiveness: by monitoring changes in CID certification scores, whistleblowing reporting and internal audits.

Carried out each year, the survey enables the Group to measure its response to the challenges faced by customers.

In view of current developments (strengthening of customer CSR commitments, stricter legislation, greater awareness of CSR issues within society), ID Logistics is stepping up its CSR strategy.

The CSR Director is a member of the Executive Committee, where he can act as a mouthpiece for CSR issues during discussions on related matters that have a direct or indirect impact on corporate social responsibility. The Executive Committee approves the broad sustainable development strategies, oversees progress in relation to established plans, approves key projects and resources allocated to sustainable development and establishes programs to reward staff so as to encourage and promote the best initiatives.

The Group also became a signatory to the UN Global Compact in April 2020, thereby publicly and unreservedly demonstrating its full support for the 10 principles and its commitment to integrating them into its corporate policy.

Group senior management has identified the non-financial risks likely to jeopardize the Group’s value-added model. The identification of these risks, which mainly concern staff and the environment, is combined with the tracking of performance indicators, which are reviewed on a monthly basis by the departments concerned in each country and at least once a year with the Group Executive Committee (GRI 101.4 / 101.6 / 101.7 / 101.8).

When the decree implementing the order transposing the European Directive was published, senior management reviewed the 41 themes listed in order to ensure that risks previously identified and already monitored by the Group were included and to see whether new risks needed to be added.

Ensuring the health and safety of employees and service providers is a key factor in ensuring ID Logistics’ development. This approach is set out in the Group’s health and safety policy published in December 2021.

For ID Logistics, safety comes first and is everyone’s responsibility. It is for this reason that the managers take initial responsibility and are tasked with ensuring that this strategy is applied and implemented. The entire management team, from country manager to site manager, is set results-based health and safety targets. Safety indicators are included in the SIM (Short Interval Management) briefs designed to raise employees’ awareness and keep them regularly informed. Indicators are displayed at all ID Logistics sites and compiled monthly at country and Group level. Safety rules are displayed at all ID Logistics sites, both inside warehouses and in outside work areas.

Days dedicated to workplace health and safety were organized (Safety Week in November in the Benelux countries, Green April and Yellow May in Brazil, Safety Month in France, Spain and Poland).

In order to provide managers with a concrete and coherent plan, all items related to health and safety, whether regulatory requirements or best practices, are set out in the various documents and procedures. Several elements of the CID cover workplace health and safety requirements. Additionally, the IDeliver best practice guide places a particular focus on the 5S approach, the first step towards a secure working environment.

ID Logistics is committed to improving the safety culture amongst all Group employees, by organizing specific training sessions for both permanent and temporary staff. The two annual CID audits verify the proper supervision of the safety training plan.

The training primarily focuses on behavior and movements inside the company. This includes (but is not limited to) training on movements and posture, electrical authorization, fire safety officers, occupational first aid, and analysis of industrial accidents.

The Group has incorporated health and safety management as an essential skills base into its drive to create essential training courses for all types of functions and positions within the Company, with a view to setting up an “ID Academy”.

More generally, this training aims to provide employees with the keys to a healthier lifestyle. For example, ID Logistics has implemented the #Salud360 program in Spain, which covers health, eating habits and stress management at work, while addiction awareness campaigns have been conducted in France.

ID Logistics provides its employees with a secure working environment that focuses on reducing arduous work via ergonomic equipment, innovations and enhancements. For example:

The Group has decided on a phased deployment of this application (or any similar application offering the same features) across all sites.

A specific ID Logistics insurance policy, in addition to social security cover and the general industry policy, covers all or part of the remaining charge for employees.

The scheme is free for ID Logistics employees and all premiums are paid by the Company.

In 2023, 37 people declared occupational sickness in France with the CPAM (French employee welfare organization) and to date have not been rejected, compared to 47 people in 2022. Given that the occupational sickness definition varies too widely between the Group’s countries of operation, only the indicator for France, which is the most significant, is disclosed. GRI 403-10

Hiring people capable of strengthening ID Logistics’ expertise is a key challenge in maintaining the Group’s rapid development. Faced with the increasing demands of our business lines, particularly in terms of innovation, supporting the acquisition of new talent is a key factor for success of the ID Logistics strategy.

Our hiring capacity involves strengthening our relationship and partnerships with targeted universities.

ID Logistics’ recruitment teams perform an essential task by handling requests and running a career page on which all job offers are posted.

We also need to show our customers that we are able to anticipate and meet their needs, whether in terms of innovative and sustainable solutions or, naturally, human resources. It was therefore essential to highlight the features that set ID Logistics apart from other companies and that rally our employees together. We therefore had to define our employer brand in order to meet the major challenges posed by recruitment and foster commitment and pride of belonging among our employees.

For this purpose, in 2023 ID Logistics conducted a major drive focusing on its employer identity and the pillars that sustain it, in order to highlight our logistics sector, our corporate culture and our propensity to develop and encourage innovation at all levels of the organization.

An internal communication campaign was launched in 2023, followed by an external campaign focusing on these pillars, while managers and recruiters were provided with appropriate tools.

ID Logistics currently partners with a number of schools:

Management aims to encourage each country even more strongly to welcome young graduates in order to let them enjoy a great international experience and share their knowledge and skills on assignments in various fields, such as operations, continuous improvement and finance.

In 2023, ID Logistics continued to work alongside organizations promoting the professional integration of young people, including Ecole de la 2e Chance and 100 Chances 100 Emplois.

Aware of the vital importance of a proactive talent acquisition and retention policy, ID Logistics has made firm commitments over a number of years to ensure that all its employees are offered professional development opportunities in line with the Company’s growth.

In order to attract and motivate its employees in the long term, the ID Logistics remuneration policy is based on several levers:

There is no Group employee incentive agreement. However, various incentive agreements are in place at all of the French legal entities. Similarly, while there is no Group employee profit-sharing agreement, profit-sharing agreements have been concluded at the French subsidiaries where legal conditions are met.

The main objective is to align the specific economic and operational requirements of each profit center with the terms of value-sharing schemes.

As of December 31, 2023 and as specified under section 3.1.1 of the Universal Registration Document, “Breakdown of capital stock and voting rights”, Group management holds a total of 3.1% of the Company’s capital (3.1% at December 31, 2022). Each manager is responsible for his or her own holdings and there is no collective scheme for equity holdings.

The Company has also established a collective Company share acquisition scheme for employees, the terms of which are as follows:

This scheme was introduced during first half 2013 when the 2012 employee profit share was paid out. Since then, a new scheme has been launched every spring when the employee profit share is paid out.

ID Logistics is conducting ambitious strategic workforce planning in order to anticipate the Company’s future staffing requirements. By identifying potential movements and preparing for them in advance, the Group aims to perform the requisite internal staff changes with greater speed and efficiency as opportunities arise.

Voluntary departure rates are as follows:

As of December 31, 2023, 944 employees, i.e. just over 13% of the French workforce, held shares via the FCPE amounting to some 0.2% of capital stock.

In 2023 for the first time, the survey was conducted in all 16 countries where the Group operated and covered all employees.

For this first global survey, the Group posted a recommendation rate of 60.1%, an overall score of 3.9/5 and a participation rate of over 60% of employees Group-wide (14,200 respondents out of 23,300 employees questioned).

Each of the countries concerned is committed to an action plan aimed at keeping the Group in the list of top performers.

At the end of the survey, ID Logistics ranked 10th in the 500+ employees category of this ranking based on the opinions of employees questioned during the HappyIndex®AtWork 2022 survey.

A similar survey will be launched in 2024 covering 18 countries.

Aware of the vital importance of a proactive talent acquisition and retention policy, ID Logistics has made firm commitments over a number of years to ensure that all its employees are offered professional development opportunities in line with the Company’s growth.

Launched by ID Logistics in 2019 for all employees, the IDev program is a growth and development tool designed to provide individuals with the means to flourish within the Group.

It comprises four components:

This development program will continue over the coming years with a view to gradual roll-out across the whole Group in terms of processes and shared assessment standards.

ID Logistics pays particular attention to its HR risks and issues related to the sustainability of its organizational systems.

This program is also designed to develop succession planning for key jobs, thereby ensuring continuity of the service delivered to customers.

ID Logistics has also launched IDev Talent, a program for identifying potential based on an assessment of performance and potential. France was the first country to set up a career committee and introduce a shared matrix and criteria.

The global job mapping initiative launched in 2019 led to the completion of new mapping and descriptions for all jobs in terms of tasks and skills in France in 2020. Argentina and Brazil also completed this exercise in 2020.

The IDev Function program continued in 2022 with all positions within the Group being categorized under a single job classification system. The main objective was to provide a clear overview of the various jobs and functions present in all countries, to be able to “weigh” positions and thereby facilitate transfers between countries by more easily measuring skills gaps between different organizations, while defining the packages associated with those positions.

Training represents a considerable challenge at ID Logistics for all Group employees.

In 2021, ID Logistics launched an initiative aimed at:

On a voluntary basis, this training course, which can be adapted to individual participants’ needs, aims to develop basic skills, including:

In 2023, 14 employees took part in this training course.

In Brazil, ID Logistics launched its Leadership Academy in 2020, an ambitious development program covering all three levels of management.

These initiatives are destined to be rolled out across all countries, as part of the drive to identify common standards, leading to:

In order to ensure balance between its employees’ expectations and business constraints, ID Logistics seeks to maintain effective dialog with staff. Social harmony is an important factor in the Group’s success.

Meetings and discussion should serve as a basis for resolving any difficulties. It is up to Group management and staff representatives to provide early warnings of difficulties encountered or breaches of the principles specified in the Code of Ethics. To comply with this early warning principle, local company management and staff representatives show willingness to communicate in order to prevent any difficulties arising from degenerating into labor conflicts.

The objective is to promote understanding between all levels of the company and to place labor relations at a global level, so as to improve them in all respects, including discussions between unions and management and between managers and their staff.

Employees themselves are the main focus of labor dialog and discussions are expanded to let them collectively or individually voice their opinions. By speaking and listening, the objective is to identify warning signs in advance and thereby avoid conflicts, while taking note of current working conditions and suggested improvements.

ID Logistics continuously strives to strike a fair balance between business needs and the collective interests of the staff.

Accordingly, in 2023 ID Logistics France signed a new agreement on professional equality with the trade unions.

Overall, nearly 90% of Group employees are covered by collective labor agreements covering, in particular, work arrangements and working hours, pay rates and fringe benefits.

In a continuous effort to reduce its environmental impact, managing its own waste is one of ID Logistics’ most direct tools.

Waste generated by ID Logistics at its sites is mainly derived from four sources:

The first category represents the vast majority of waste treated on site. In this case, ID Logistics is highly dependent on its customer (in terms of packaging and order structure). The main challenge for ID Logistics is therefore:

As the treatment of waste generated by the logistics sites is fully integrated into the Company’s operating policies, almost all sites sort their waste (verified during the CID audit).

For example:

Logistics activities impact the carbon footprint due to warehouse activities and, most of all, due to the logistics supplier’s positioning in its customer supply chains.

Introducing a scheme for measuring and reducing the overall carbon footprint enables operating expenses to be stabilized.

For warehousing and order picking, which represent the vast majority of our operations

The carbon footprint is primarily comprised of five elements. The Group works to reduce the carbon footprint in each of these areas, either by reducing volumes consumed or via less carbon-intensive consumption methods.

Representing 27% of the warehouse carbon footprint, used for lighting, charging handling equipment, the operation of mechanized equipment and computer system power supply.

15% of warehouse carbon footprint, covering depreciation of the impact of construction over 20 years.

17% of warehouse carbon footprint. Consideration of the end of waste generated by ID Logistics’ activity or waste treatment.

9% of warehouse carbon footprint. Used for handling and packing products, either inside the warehouse or at time of shipment.

6% of warehouse carbon footprint: used for heating premises.

As part of our logistics business we offer transportation services that also have a carbon footprint.

To produce a uniform measurement of its subcontracted transport footprint included in Scope 3 since 2022, the Group has partnered with EcoTransIT, which draws on the latest greenhouse gas reporting standards. The footprint of all subcontracted transport flows is included (see “Reported information”).

After the success of its 2020-2022 commitment and a total reduction of 8% in its transport GHGs, IDEO renewed its EVCOM commitment in 2023 with the aim of reducing emissions by a further 5% by 2025. Since the beginning of its commitment, IDEO has contributed to reducing its transport-related emissions by over 11,600 tCO2eq., the equivalent of over 15,000 full-load truck journeys between Paris and Lyon.

Note that managed transport operations are not included in the carbon footprint scope. Managed transport emissions are estimated at around 268,125 tCO2eq. for 2023.

The Group has entered into a carbon offsetting partnership with EcoAct. The partnership involves carrying out voluntary carbon offsets based on the most widely recognized certificates. No offsets were carried out in 2023.

The Group’s main activity of warehouse management generates minimal discharges into the air, water and soil that could seriously impact the environment. Nevertheless, through the CID, each site vigilantly monitors the potential for accidental pollution by:

In 2023, as in previous years, there was no accidental air or soil pollution. The CID audits have not highlighted any non-compliance in this regard.

The Group encourages local initiatives to reduce pollution. In France, for example, 24 employees at IDEO, the ID Logistics transport subsidiary, took part in World Cleanup Day on September 16 by collecting litter around their office in Saint-Priest. They collected 48kg of waste, part of which was sent for recycling. In Poland, ID Logistics Poland employees, supported by employees of ID Logistics customers, were involved in initiatives to clean up forests and rivers. Our employees also took part in a tree planting campaign in the Osobowice forest in Wrocław.

In 2022, the Group carried out a water criticality study using the WWF Water Analysis.

Operational water consumption mainly concerns warehouse cleaning and staff consumption. Water is not used in the production process. All ID Logistics sites are classified as OOR Low Risk or Very Low Risk. 

7% of water consumption is located in basins where water supply is limited (QBR index, WWF Water Analysis). 

This analysis will be repeated in 2024.

In addition, one site in France and one in Brazil recycle rainwater for internal use at the warehouse or for cleaning solar panels, while two sites in Brazil have introduced a solution to improve management of water consumption.

ID Logistics operates as a matter of priority in modern buildings in order to provide proper working conditions for employees and service providers and enable the Group to achieve or surpass its environmental objectives.

When ID Logistics is hired for the construction of a logistics building, and when the customer accepts, ID Logistics builds warehouses to high environmental standards. Seven new buildings of high environmental quality are currently under construction in France to house operations due to begin in 2024.

Due to the nature of its business activity, ID Logistics does not have a significant impact on biodiversity. However, the toolbox contains a number of biodiversity initiatives. Nine projects aimed at reducing our impact on biodiversity or promoting its development are currently underway. For example, employees at the Mszczonów warehouse in Poland have planted trees around the buildings and installed an insect hotel, bee hives and a birdhouse. In Germany, all sites host bee colonies in order to promote the local ecosystem. 

One of ID Logistics’ strengths is the diversity of its workforce, consisting of men and women of many different nationalities and backgrounds working together and sharing common goals. Encouraging staff diversity is one of the Group’s key commitments toward its employees.

In this respect, ID Logistics strives to build an inclusive culture where all employees are valued for their different knowledge, skills, experience, culture and background.

ID Logistics also strives to develop programs promoting the employment of disabled people. As an employer, ID Logistics encourages fair employment practices worldwide while respecting equal opportunity for all employees in terms of both hiring and career development.

In 2023, the Group focused on conducting a survey across France. This review, which was shared and discussed with staff representatives, revealed that:

In order to promote a long-term shared commitment, the Group signed an agreement with staff representatives towards the end of 2023.

The agreement mainly concerns hiring more women through a bold action plan covering:

Other countries have adopted the same approach: for example, since 2021 Spain and Portugal have conducted a campaign called “Corresponsabilidad” (joint responsibility) to promote gender equality.

Moreover, in France the 2023 Gender Equality Index was 84/100.

The Group has decided to structure its policy for promoting the employment and retention of persons with disabilities: the Group held discussions with AGEFIPH leading to the conclusion of a partnership agreement in January 2020 to promote the employment of persons with disabilities. The three-year agreement, which covers all French establishments included in the ID Logistics France socio-economic unit, is designed to go beyond statutory requirements and make disabled inclusion an opportunity for broader consideration regarding the company, its values and its organization. This initiative forms part of the global policy in favor of equal opportunities, promoting diversity and eliminating discrimination espoused by the ID Logistics Group.

The Company has drawn on the support of AGEFIPH to structure its disability policy and make contractual commitments in the following six areas:

Since 2020, awareness-raising campaigns and training for employees and managers on the concept of disability have enabled us to increase the proportion of employees with disabilities in our workforce by 2% to more than 6% in France. This rate has been calculated in accordance with the methodology prescribed by French regulations.

As the AGEFIPH convention has ended and cannot be renewed, France has decided to extend the process by creating a specific disability project and a multidisciplinary, multi-purpose working group tasked with identifying and leveraging best practices in terms of access to employment, communication, training and retention of persons with disabilities.

The best practices identified in this way will be disseminated across the other Group countries.

Meanwhile:

Moreover, last year we began working with the SIFU Foundation, which promotes the social and professional integration of persons with disabilities. The Foundation runs an inclusive artistic project known as “BecasSuperArte”, which aims to promote the artistic development of persons with disabilities. In May 2023, we signed a collaboration agreement with the Foundation to sponsor a disabled artist and grant him a scholarship to pursue his artistic studies during the 2023-2024 academic year. The aim is to promote the employability of persons with disabilities by encouraging their personal and artistic development through culture.

The location of our platforms allows us to offer jobs to people experiencing difficulty in the job market, with priority given to young people aged under 26.

In 2023, over 70 young people from disadvantaged neighborhoods were hired in our warehouses under fixed-term contracts of more than six months or permanent contracts.

ID Logistics has stepped up its commitment to work-study contracts and apprenticeships by adopting a structured, proactive policy of helping young people aged under 26 obtain qualifications ranging from the CAP certificate of professional competence to a Master’s degree.

In addition to the section entitled “Enhance the Company’s ability to attract potential”, this structured policy involves:

Lastly, in line with the initiatives organized over the previous years, all under-26 new hires are assigned a mentor for their first three months of employment.

The Group demonstrates its commitment to solidarity, one of its core values, by fostering new initiatives aimed at providing support to employees, customers and suppliers in difficulty and by driving or taking part in initiatives geared towards responsible and sustainable development.

In Brazil, so as to improve its local community relations, in 2002 ID Logistics founded a non-profit called “ID Esperanza” (renamed Idebra in 2011), which promotes education for young children and teenagers from the Favela Beira Mar, a slum situated right next to one of the Group’s Rio de Janeiro sites.

This project was managed directly by the Group to ensure that funds were used properly and to control the results. The aim of the project is to bring children back into education by means of a series of educational (tutoring), sporting (volleyball) and play-oriented (dance, reading, singing and audiovisual media workshops) projects.

The annual cost amounted to 1,200,000 reals, paid in full by ID Logistics.

Since the start of the program more than 3,884 children have benefited from this year-long program, while individual events (sport, dance classes) have brought together almost 24,000 people.

In 2023, a new branch of the charity was set up in Serra following the opening of branches in Extrema (2020), São Paolo (2021) and Sete Lagoas (2022).

In 2023 the program welcomed 369 students, 85% of whom have attended classes until the end of the cycle, double the average for a standard school curriculum in Brazil. 51% of students completed the Logistics Assistant training program launched in 2014 (39% in 2022). Seven of them were hired by ID Logistics in 2023.

In September 2014, ID Logistics France signed a partnership with the Trophée d’Improvisation Culture & Diversité (Improvisation, Culture & Diversity award). This association organizes a nationwide theatrical improvisation competition for college students. Under the program, created in 2010 by Jamel Debbouze and Marc Ladreit de Lacharrière, pupils enrolled in the schools (largely in disadvantaged neighborhoods and rural areas) can learn about and practice theatrical improvisation, a key factor for personal development and social inclusion.

For the 2022/23 season, 122 schools spanning 20 regional education authorities and represented by 2,000 budding young improvisers took part in the Impro Culture & Diversity Trophy thanks to the support of 29 companies and cultural organizations.

In the Netherlands, among other things ID Logistics offered opportunities to learn more about the jobs available in logistics, especially forklift handling, for people on social welfare or job seekers with disabilities. The aim was to give them an introduction to our profession and to allow them to consider looking for a job in logistics.

In Poland, ID Logistics organizes initiatives to help children: ID Logistics Poland supports two orphanages in Katowice, the Group’s historical base in the country, helping them to organize school trips for the children. ID Logistics helped fund a toy collection for children in hospital. Furthermore, ID Logistics took part in a nationwide initiative organized for Christmas by the Noble Gift (Szlachetna Paczka) association and for the Mère Solitaire home for single mothers. Lastly, ID Logistics helped finance a summer trip for children from an orphanage in Katowice.

In Spain, ID Logistics continued to work with the “Cruz Roja” (Red Cross) to support the inclusion of people facing barriers to the employment market.

In Poland, employees helped renovate rooms in an orphanage in Wólka Grodziska.

In Spain, Poland and France, used clothing collection containers have been installed at the warehouses.

In France, ID Logistics works alongside Télémaque, a pioneering charity in the field of equal opportunities and mentoring that helps motivated schoolchildren and apprentices from disadvantaged regions to succeed through a twofold school/company mentoring system. Five ID Logistics employees expressed an interest in becoming mentors and three were ultimately taken on under this partnership. The scheme will be developed further for the next school year.

In line with its policy of integration into its regional, economic and social environment, ID Logistics has a transparent and responsible tax policy. Accordingly, ID Logistics has no profit transfer mechanism (via transfer pricing re-invoicing, management fees, Group fees, etc.) and pays its taxes and social security contributions in the countries where it operates.

In addition to the items already mentioned (workplace health and safety, combating discrimination, employee training, etc.) and through the application of the vigilance plan guidelines, as specified in its Code of Ethics, ID Logistics is committed to defending and promoting human rights across the entire scope of its operation. In particular:

When these rights are threatened, the Group seeks to enforce international standards and to avoid situations that could be interpreted as tolerating human rights violations. In all cases, the Group seeks to ensure that its equipment and facilities are used in accordance with these rights.

The Group believes that all of the activities mentioned in this report help to safeguard the dignity, well-being and rights of Group employees, their families and the communities in which they live, as well as other persons affected by its operations.

ID Logistics acknowledges its responsibility in requesting that its suppliers apply the rules imposed by its Code of Ethics, covering the following areas in particular:

The Group has formalized its responsible procurement policy in a “Purchasing and CSR” charter. By recalling the major principles to which ID Logistics is committed and which are included in our code of conduct, ID Logistics formalizes its intention to share its CSR strategy with its suppliers. The code of conduct is based on the following texts: the Universal Declaration of Human Rights (UDHR), the Tripartite Declaration of Principles concerning Multinational Enterprises published by the International Labour Organization (ILO), the ILO Declaration on Fundamental Principles and Rights at Work, the ILO Eight Fundamental Conventions and the OECD Guidelines for Multinational Enterprises. Designed to be signed by all suppliers working with ID Logistics, this charter covers the following commitments:

The proportion of suppliers having signed the Purchasing and CSR Charter is 75% in number (% of suppliers having signed the charter) and 74% in value (% of total procurement carried out by suppliers having signed the charter). Chile, Morocco, Indonesia, Réunion Island and Italy are excluded from this calculation.

As a concrete expression of this commitment, the Group renewed its signature of the responsible procurement-supplier relations charter in September 2021.

In Brazil, in October 2023, the first Responsible Procurement Conference was held in order to raise awareness among all the main local suppliers of our CSR policy on procurement and their role in our procurement process.

In France, the implementation of centralized procedures for supplier approval and management guarantees the application of these provisions:

ID Logistics has opted to use a trusted third party to monitor suppliers regarding compliance with mandatory regulations (duty of vigilance, regulatory compliance of suppliers and CSR charter).

The Actradis platform verifies and authenticates documents and guarantees suppliers’ legal compliance.

Suppliers are logged in Actradis in accordance with two criteria:

The list of suppliers logged in Actradis is reviewed on a regular basis and at least annually depending on the aforementioned criteria.

The Group’s policies establish particular ethical rules for relations with the ID Logistics group’s competitors.

Specifically, the Code of Ethics specifies in Article 1.1.2 that “ID Logistics competes aggressively but fairly in the marketplace”. We do not engage in illegal acts and unfair competition to win a contract or retain a customer. This requires our employees to behave in a fair and honest manner towards customers, suppliers, competitors and their colleagues. They must respect the rights of all parties.”

No non-compliance was flagged in this regard in 2023, nor in the various audits or via the whistleblowing mechanism during previous years.

The Group’s policies set out the ethical rules of the ID Logistics group.

Accordingly, Article 2.3.1 of the Code of Ethics provides as follows: “We are committed to the practice of fair competition based solely on the quality of our services and solutions. As such, in view of our commitment to comply with current anti-corruption legislation, Group directors, senior executives and employees should not offer, promise or give anything to an individual from the public or private sector that could inappropriately influence the judgment of a third party on the services or solutions provided by ID Logistics or by another company, gain illegitimate advantage from a commercial transaction, influence the timing of business transactions or harm the reputation of ID Logistics if the offer, the promise or the payment were publicly disclosed.”

In light of Article 17 of the French Sapin 2 Act, the Group has implemented an anti-corruption protocol based on:

In accordance with the European Green Taxonomy Regulation, ID Logistics has listed its activities considered as contributing substantially to climate change mitigation.

An economic activity is considered eligible if it is included in the list of activities identified as likely to make a substantial contribution to the first two of the six environmental objectives listed below:

Eligible activities are restricted to purchasing, financing, credit and operations

A business activity is considered to be aligned if it (i) makes a substantial contribution and (ii) complies with the Do No Significant Harm (DNSH) principle.