DELFT, Netherlands —Ingka Group, the largest Ikea retailer, has released its Annual Summary and Sustainability Report for Financial Year 2025, marking its commitment to building a more resilient business, while serving more customers and enabling them to live more sustainably.
The report highlights several achievements: matching 94.8% of its operations with renewable electricity, notable progress in zero-emission home deliveries, food waste reduction and scaling circular services for customers.
“Our vision is to create a better everyday life for the many people, and we firmly believe that it’s good business to be a good business,” said Juvencio Maeztu, CEO of Ingka Group. “This principle guides every decision we make. As a foundation-owned company, we can stay true to that purpose by investing for the long-term, to drive both financial strength and have a positive impact on people and the planet.”
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Total Ingka Group revenue for financial year 2025, a year with a commercial focus on “Complete Sleep” solutions, amounted to €41.5 billion. While revenue decreased by 0.9% compared with the previous year, the company delivered operating income of €1.5 billion, representing 3.5% of sales, an improvement from 3% in 2024.
“In FY25, we achieved a 70.6% reduction in absolute emissions from our own operations (Scope 1 and 2) against our FY16 baseline, and a 22.3% reduction since FY24,” said Karen Pflug, chief sustainability officer. “Closing the remaining 5.2% gap for renewable electricity is an immediate focus, and we will continue to advance our efforts to drive emission reductions across the value chain by scaling zero emission home deliveries, energy efficiency, circular service offer, and maintaining our food waste recovery goals.”
In addition, zero-emission home deliveries increased to 60.1% (up from 41.1% last year) as well as a 60% cut in production food waste since FY17, avoiding waste equivalent to 9.6 million meals in FY25 (and 47.5 million since FY17).
Meanwhile, Buyback service sourced almost 686,500 used Ikea products (FY24: 495,000), making the Ikea furniture range live longer and offering an affordable and more sustainable solution to many consumers. Currently, 424 stores operate “As-is” areas, where customers can buy second-hand and discontinued items. The company also launched the Ikea second-hand marketplace in Norway, Portugal and Spain, with plans to scale it up across Europe in the coming year.
In addition, Ingka Group deepened its commitment to people. For example, its gender pay gap decreased to 3.4%, compared with 4% in FY24. Importantly, less than 0.6% of co-workers required monetary adjustment to close pay gaps.
For more highlights from the report, click here.
