- The CONSOB 2023 report on non-financial reporting of Italian listed companies provides an in-depth analysis of the implementation of sustainability reporting requirements by Italian firms. The analysis follows the enactment of Directive 2014/95/EU, transposed in Italy through Legislative Decree No. 254/2016.
- Widespread Adoption: Out of 202 listed companies, 144 (71.3% of companies, representing 96.7% of market capitalization) issued non-financial statements (NFS) in compliance with Legislative Decree No. 254/2016. The Global Reporting Initiative (GRI) standards were widely used, and materiality analyses were updated by almost all companies (98.6%).
- Board Involvement and Governance: There was an increase in the involvement of boards in non-financial reporting processes, with 66.7% of companies reporting board engagement in identifying material sustainability topics.
- ESG and CEO Remuneration: A significant number of companies linked CEO remuneration to ESG goals. In 2023, 137 companies integrated ESG factors into their executive compensation policies, a rise from 127 in 2022.
- Taxonomy Regulation: For the second year, the report includes an addendum on the implementation of Article 8 of the EU Taxonomy Regulation. It assesses the quantitative and qualitative disclosures of firms subject to these new reporting requirements, with a focus on those included in the FTSE MIB index.
- Overall, the report concludes that Italian listed companies are making steady progress toward integrating sustainability considerations into their core activities. The forthcoming Corporate Sustainability Reporting Directive (CSRD) is expected to further enhance the transparency and comparability of sustainability information.
