Circling Back to Square One: Revisiting Circularity from a Financial Materiality Perspective
A circular economy offers a sustainable alternative to the traditional linear “take-make-dispose” business models, but does it present advantages beyond the environmental upsides? In this report, we explore the link between circularity and financial performance by comparing “Circularity Leaders” who have embraced circular economy practices with “Late Adopters” who are yet to implement strong circularity measures.
Download the report to discover:
- Insights into Circularity as a Driver of Financial Performance: “Circularity Leaders” consistently outperform Late Adopters” across key financial metrics.
- Importance of Materiality: The positive link between circularity and financial performance was evident only among companies where circularity is a material issue, further reinforcing the importance of focusing on material topics.
- Strategies for Long-term Value Creation: Key channels through which circularity enhances profitability and business resilience.
- Insights from the ESG Corporate Rating: How the ISS ESG Corporate Rating framework can help issuers understand materiality and strengthen their circularity efforts.