The World Business Council for Sustainable Development (WBCSD) launched Reporting Matters 2025: Embedding Change, Accelerating Impact (October 2025). The report identifies key trends in corporate sustainability reporting across three categories: principles, content and effectiveness. It reviews 185 reports in three regions: Europe, Middle East and Africa (EMEA); Asia Pacific (APAC); and the Americas.
Human Level’s Take:
- WBCSD’s 2025 findings show that — despite global headwinds for sustainability — corporate sustainability reporting is evolving to meet demands from regulations on the one hand, and increased expectations of investors and other stakeholders on the other.
- Since last year, there has been a shift (especially in EMEA) toward integrated sustainability and financial reporting away from stand-alone reports, likely driven by the CSRD. Meanwhile stand-alone reports dominate in the Americas (81%) and APAC shows a mix (58% stand-alone, 35% integrated).
- When it comes to which reporting standards companies are using, nearly half of companies report or prepare to report under the CSRD, while ISSB adoption remains more limited (4% reporting, 7% preparing). At the same time, use of GRI, SASB, and SBTN has declined as firms align with mandatory frameworks.
- Disclosure of sustainability governance has increased. Over 65% of companies disclose board-level sustainability expertise, led by APAC (72%), followed by EMEA (69%) and the Americas (53%). While 69% link executive pay to sustainability, disclosures on sustainability-linked compensation fell 4% from 2024, possibly due to growing caution amid increased scrutiny of sustainability practices. In addition, nearly three-quarters of companies demonstrate fully integrated strategies combining sustainability integration, an execution roadmap and financial impact disclosure.
- Ninety-one percent of companies disclose a materiality process, with 83% disclosing double materiality and 14% disclosing dynamic materiality, suggesting that companies are increasingly aware of the links between sustainability, financial performance and long-term business resilience.
- Some companies interviewed for the report acknowledged that better sustainability reporting has helped the company identify blind spots and mature their understanding of complex topics. For example, two companies indicated that human rights rose in priority with the introduction of the European Sustainability Reporting Standards. One of these companies noted that it broadened its own definition of human rights in reporting to cover workers along the full value chain, not solely its own employees. The issue is now considered a “top-tier” material issue.
- The trends and examples in the report show the benefit for companies of enhancing sustainability reporting, thinking of it not as compliance but as a strategic lever to improve both sustainability and business performance over the long term.
Some key takeaways:
- Reporting approach and frameworks: In 2025, stand-alone sustainability reports were most common (54%), though this share continues to decline (62% in 2023 and 59% in 2024). In the meantime, integrated sustainability and financial reporting rose by 11%. According to the authors, the shift reflects growing regulatory requirements, especially in Europe, where integrated reports now make up 42% (up from 24% in 2024). In contrast, stand-alone reports remain prevalent in the Americas (81%), while APAC shows a mixed approach with 58% stand-alone and 35% integrated reports. Some companies are also considering new ways to report, like narratives, case studies and web-based content. When it comes to the frameworks and standards companies are using to report, the majority of companies are reporting or are preparing to report in line with the EU Corporate Sustainability Reporting Directive (CSRD) (48%). Fewer companies are reporting in line with International Sustainability Standards Board (ISSB); only 4% are currently reporting in line with ISSB and another 7% are preparing to report in line with ISSB. There was also a decrease in the number of reports aligning with the Global Reporting Initiative (GRI), Sustainable Accounting Standards Board (SASB) and Science Based Targets Network (SBTN) framework, which the authors indicate could be due to the prevalence of mandatory reporting regulations through CSRD and ISSB. The dominant reporting standard varies by region, however. ISSB is more common in APAC, CSRD is most prominent in EMEA, and in the Americas 19% of companies are preparing to report in line with CSRD and 9% preparing for ISSB.
- Sustainability governance and strategy: WBCSD finds that over 65% of companies disclose board-level sustainability expertise and training. Disclosure of board sustainability expertise is strongest in APAC (72%), followed by EMEA (69%) and the Americas (53%). In addition, 69% report that they link executive pay to sustainability, however, despite reporting on corporate governance generally rising, disclosures on sustainability-linked compensation declined 4% from 2024 across all regions. The report suggests this could be because companies are extra-cautious in light of increased pushback on sustainability in some jurisdictions. Thirty-nine percent report on sustainability responsibilities for individual board members. Reporting on individual board responsibilities rose 7% since 2024, led by EMEA (52% report on this), which could reflect growing compliance with frameworks like CSRD and ISSB. In terms of strategy, 92% of reports demonstrate that sustainability is integrated into corporate strategy, 79% include an execution roadmap with measurable targets, and 87% disclose related financial impacts. Overall, 71% report on all three elements demonstrating a robust and integrated sustainability strategy—strategy integration, roadmap and financial linkage—demonstrating growing maturity in sustainability reporting. This is especially the case in APAC, where 93% disclose financial impact information.
- Materiality and external assurance: Overall, 91% of companies in 2025 disclose a materiality process. Rates are highest in EMEA (95%) and APAC (95%), compared with 74% in the Americas. This could be driven by growing regulatory expectations such as the CSRD in Europe and increasing expectations from investors and regulators in APAC. In addition, 83% of reports apply a double materiality approach (up from 77% in 2024), and 14% adopt dynamic materiality processes — i.e., identifying sustainability issues that could become financially material in the future. Reports referencing dynamic or regularly updated materiality processes rose to 57%, an 11% increase from 2024. According to the WBCSD, this reflects an increasing recognition that sustainability issues evolve over time and shows that more companies are looking ahead to build more resilience over time and create long-term value. When it comes to external assurance, the total number of reports seeking external assurance increased by 16% from 2024, aligning with growing regulatory expectations. The majority of reports (83%) have limited assurance and 16% have a combination of limited and reasonable assurance. Eight-seven percent of reports have external assurance for the majority of their sustainability KPIs or the reporting process, which reflects a 3% decrease from 2024.
