CDP has published its 2026 Disclosure Dividend report, concluding that companies are increasingly seeing direct financial returns from managing environmental risk. Based on data from more than 11,260 large and mid-sized companies that disclosed through CDP in 2025, the report estimates an average potential benefit of up to US$10 for every US$1 spent responding to physical climate risk, up from US$8 in the inaugural 2025 edition. It also says companies have saved between US$80 billion and US$94 billion through emissions reduction initiatives since the report was launched. The analysis expands beyond the prior edition by covering both physical and transition risks across climate, forests and water. CDP estimates that inaction could result in cumulative losses of about US$1.24 trillion from environmental risks by 2030, rising to US$1.77 trillion by 2040. Corporate disclosure also points to a stronger financial link: 80% of companies identified substantive environmental risks in 2025, up from 46% in 2018, and 71% disclosed which financial metrics are exposed, with revenue the most commonly affected. In a separate profitability review of emissions reduction measures, waste reduction and material reuse delivered the strongest return at US$3.9 for every US$1 invested with a median payback of 1.3 years, followed by energy efficiency in production processes at US$3.6 with a 2.1-year payback.
CDP2026-06-17
CDP report finds companies can gain up to US$10 for every US$1 invested in physical climate risk response
CDP’s 2026 Disclosure Dividend report, based on 2025 disclosures from more than 11,260 companies, says firms can see an average potential benefit of up to US$10 for every US$1 spent responding to physical climate risk, up from US$8 in the prior edition. It also estimates US$80 billion to US$94 billion in savings from emissions reduction initiatives and warns that inaction could lead to cumulative environmental-risk losses of US$1.24 trillion by 2030 and US$1.77 trillion by 2040.