YG Entertainment Releases 2025 Sustainability Management Report

YG Entertainment has published its '2025 Sustainability Management Report,' highlighting its achievements and activities related to ESG (Environmental, Social, and Governance) initiatives. Released on June 30, the report features a special section on the company's pioneering 'Sustainable Performance' activities and their outcomes.

The 'Sustainable Performance Report,' first issued by a domestic entertainment company in 2024, is based on YG's extensive experience in live performances. It outlines the 'Seven Principles of Sustainable Performance,' which include greenhouse gas management, improving accessibility to performances, fan engagement, enhancing content impact, ensuring venue safety, reducing environmental pollution at venues, and establishing governance for sustainable performances. The report details key activities applied to each performance, improved outcomes, and stakeholder feedback.

This special report includes calculations of greenhouse gas emissions from audience movement, energy use, waste management, and equipment transportation during three performances held last year. It also features interviews with fans who express their willingness to participate in various initiatives stemming from a shared sense of responsibility, as well as specific improvements related to safety compliance standards and checklists for venues.

Additionally, the 2025 Sustainability Management Report conducts a 'Double Materiality Assessment,' analyzing both the social and environmental impacts of ESG activities and their financial implications. This assessment identifies four key areas: climate change response and carbon neutrality roadmap implementation, strengthening corporate governance, talent acquisition and development, and promoting compliance and ethical management.

YG Entertainment aims for carbon neutrality by 2040 and to achieve RE100 by 2025. The company has successfully reduced greenhouse gas emissions by 28% and energy usage by 3% over the past three years, while increasing the share of renewable energy used by 28.8%. This year, YG has also verified the greenhouse gas emissions of its major subsidiaries, YG PLUS and YG JAPAN, and expanded the categories for Scope 3 emissions calculations from two to four, laying the groundwork for effective reduction strategies.

To promote environmentally friendly album production, YG has established a 'Green Album Roadmap' that outlines step-by-step implementation plans to enhance sustainability across the industry. In the short term, the company plans to measure carbon emissions throughout the album production supply chain, reduce plastic use during production, and explore the use of recycled materials. In the long term, YG is considering the introduction of eco-friendly transportation methods within its distribution network and strengthening collaboration and efforts within the industry.

Furthermore, to enhance expertise and independence, YG has appointed a new outside director with accounting and legal expertise as the chair of the board, establishing a foundation for independent operations. The board evaluation system has also been introduced for the first time to improve board operations and increase reliability.

The report adheres to global reporting guidelines, including GRI (Global Reporting Initiative), SASB (Sustainability Accounting Standards Board), and ISSB (International Sustainability Standards Board), and has been verified by the Korea Management Certification Institute (KMR) to ensure its credibility.

YG plans to release an English version of the report for international stakeholders in August.