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Sustainable corporations perform better financially, report finds

A report from CDP finds that S&P 500 companies with sustainability strategies are outperforming the other companies on the index. Photograph: Lucas Jackson/Reuters

 

Analysis of S&P 500 companies finds that corporations with sustainability strategies outperform others on the index

A new report by nonprofit CDP, released Tuesday, provides some of the first evidence of a link between business leadership on climate change and a company’s profitability.

The study, which coincides with the climate talks in New York, finds that S&P 500 companies that build sustainability into their core strategies are outperforming those that fail to show leadership.

Specifically, corporations that are actively managing and planning for climate change secure an 18% higher return on investment (ROI) than companies that aren’t – and 67% higher than companies who refuse to disclose their emissions.

The findings could help answer the long-debated industry question of whether sustainability undermines or improves financial results. Read more on how sustainable corporations perform better financially here.

From The Guardian by Jo Confino.

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