CDP Corporate Health Check 2025
The annual state of Earth-positive business action
The degradation of the Earth’s vital ecosystems is inseparable from business risks. Climate inaction could reduce global GDP by 18% by 2050, as emissions continue to rise, and nature loss accelerates.
The new annual CDP Corporate Health Check, in partnership with Oliver Wyman, quantifies how effectively large corporations are integrating Earth-positive decisions into their business models. The indicators for the Corporate Health Check were developed as part of the World Economic Forum’s ‘State of Nature and Climate’, which places the latest data on planetary health next to data on corporate action, in partnership with CDP and the Potsdam Institute of Climate Impact Research (PIK).
This snapshot of business progress finds that too few companies are showing ambition. Just one in 10 companies are embedding Earth-positive decision-making through their business models.
When looking from transparency to action, CDP data shows that just one in three businesses are on track to achieve their emissions reduction targets.
Bringing the planet into the boardroom is critical. Companies making the most progress are those that most effectively pull key governance and strategy levers, linking executive pay to climate goals. Download the full report to find out the critical levers business are pulling to drive the change the Earth needs.
Protecting the planet and pursuing profit is possible, when the right conditions are in place. Companies are often hesitant to fully commit to a green transition because of what those strategies might mean for their bottom lines. To some, it’s either planet or profits. The CDP Corporate Health Check finds the reality to be more nuanced. On average across sectors, companies demonstrating progress on climate targets experienced a similar pace of growth in market capitalization since 2022 (+10%) to those that are not on track to deliver their targets.. Companies taking a leadership position can drive change. But many more companies need to follow the lead of the CDP Health Check frontrunners, and policymakers need to provide support and incentives to Earth-positive businesses. In a rapidly changing world, there is no guarantee that the trailblazers of today will be the trailblazers of tomorrow. Those already charting change cannot be complacent.
The inaugural CDP Corporate Health Check will be presented at the 2025 World Economic Forum Annual Meeting in Davos. If you are interested in connecting with our C-Suite team or attending our events, please get in touch.
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