CDP reports: Sustainability Better for Bottom Line

A new report by nonprofit CDP, confirms what many in the sustainability focused finacial sector have long believed: a business with an ingrained sustastainablity strategy is likely to out perform one with out. It makes sense that a business with a long term outlook would be more resliliant and better protected from risk or depleting resources.

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....

... Beyond that, those companies investing in carbon reductions achieved a 50% lower volatility of earnings over the past decade and 21% stronger dividends than their low-ranking peers.

Read more at The Guardian 

Read the full report at CDP