ADMP draft

The bottom line usually refers to net income on a company's income statement - how much profit a company generates. The term Triple Bottom Line refers to the fact that firms should focus equally on profits, social responsibility, and the environment. This is often referred to as the "3 Ps" - profits, people, & planet. Corporate Social Responsibility is the idea that corporations should take on economic, legal, ethical, and philanthropic responsibilities. Corporations should be mindful of their duties to itself, stakeholders, and the public. A Social Enterprise is a company that aims to maximize social benefits alongside corporate profits. They usually have specific social issues/challenges that they aim to tackle. Carbon Footprint is the amount of greenhouse gases produced by an action or entity. It is usually measured in tons and the it is important to decrease these harmful green house gas emissions as they cause global warming and climate change.

Aesop was established in 1987 with the goal of formulating the best quality skin, body, and hair products that are both effective and pleasing to the senses. Aesop is regarded as a top of the line luxury product which is reflected in their product design, packaging, marketing, store design, and pricing. Aesop is very strong financially. They have been turning a profit for the last decade and are still growing at an astonishing 20% yearly which is double the global market rate. In the first quarter of 2023, they did $7.88M in sales which was up 9.2% from the first quarter of the prior year. In the US, Aesop has over 90 stores in 16 states; however, a big focus for the company is the Asian markets which are still relatively untapped. With strong revenue growth, profitability, and further growth potential, Aesop is a very lucrative investment vehicle. In regards to AMDP, Aesop has 3 main goals - climate crisis, human rights, and regeneration. For their climate crisis goal, Aesop aims to have negative carbon emissions by 2023. This will be done through decarbonization, regeneration, resilience, and action & justice. For human rights Aesop has 4 main goals - gender balance of board members, 30% inclusion of under-represented groups, equitable pay, livable wage. For their regeneration goal, Aesop is applying circular principles to have all their packaging be reusable, recyclable, or compostable by 2025.

The Green Hive published a sustainability report about how all of Aesop's products are vegan, against animal testing, net 0 carbon footprint goals, and PETA recognition. Their products are re fillable which eliminates single use plastics, are responsibly sourced and does not exploit any people or practices, and Aesop gives back to their various organizations and charities and programs. Ethical Elephant also highlights how Aesops products are not animal tested and cruelty free. Products are also all manufactured in Australia and are vegan. 

I will strongly recommend investing in Aesop. In terms of financials, they have strong cash flow, growing revenues, and new market opportunities. In terms of their brand, they are known for high quality in both their packaging and product. They are regarded as a luxury brand in the cosmetics industry. Also for sustainability, Aesop has a variety of social efforts that include reducing carbon emissions, recyclable products, sustainable sourcing, diversity, equity, and inclusion. It is safe to say that Aesop meets the triple bottom line.