Companies still disclosing plenty about ESG

Here’s a note from Nawar Alsaadi:

According to a new analysis by WSJ of hundreds of thousands of corporate financial disclosures, companies are mentioning sustainability almost as much as ever with the trend line showing a steep climb between 2019 and 2021 before flattening out (chart included).

Its clear that companies are talking less about ESG and sustainability in earnings calls and marketing materials, but they are mentioning sustainability nearly as frequently as ever in their financial reports and disclosures. Said another way, companies are still talking about sustainability where it counts, and less where it doesn’t.

This is a healthy development in my book as a continued focus on sustainability in financial reporting is far more important than splashy public statements.