Why 42% of CEOs already treat climate as an immediate financial risk

Climate change is no longer a reputational issue—it has entered the financial cycle of companies.

For years, sustainability occupied an ambiguous place within organizations. It was important, but often confined to reports, far from core business decisions. That scenario has changed—and it has changed fast.

Today, nearly half of CEOs acknowledge that climate change represents a significant financial risk in the short term—within just 12 months. We are no longer talking about 2030 scenarios or distant commitments, but about immediate decisions with a direct impact on margins, investment, and operational viability.

From reputational sustainability to real financial risk

The shift in approach is not driven solely by increased environmental awareness, but by a regulatory and financial landscape in Europe that has become significantly more stringent.

Sustainability has consolidated under an increasingly demanding regulatory framework, with regulations such as the CSRD, the ESRS standards, and the EU Taxonomy redefining how companies manage and report their environmental impact.

This regulatory environment is aligned with growing pressure from investors, financial institutions, and supervisory bodies, which are beginning to treat climate risk with the same logic as any other financial risk. It is no coincidence that, in this context, 42% of CEOs already anticipate a significant financial impact from climate change in the short term.

In fact, climate impact is already translating into variables that directly affect the income statement:

• Operating costs: driven by rising energy prices and certain raw materials
• Supply chain disruptions: increasingly frequent and harder to anticipate
• Access to financing: conditioned by environmental performance
• Asset valuation: particularly in carbon-intensive sectors

As these factors gain importance, sustainability is no longer a peripheral issue and becomes part of the company’s financial equation—not only due to regulatory pressure, but because of its direct impact on competitiveness.

A 12-month horizon that is reshaping decision-making

The significance of this figure lies not only in its scale, but in the timeframe it reflects. When nearly half of CEOs place climate risk within a 12-month horizon, they are signaling that its effects are already shaping present-day decisions. This is no longer about anticipating a future scenario—it is about managing an impact that is already underway.

This shift is beginning to show in how decisions are made within organizations. Sustainability is gaining ground at the executive level, where it intersects with variables such as investment, expansion, and risk management. Projects, suppliers, and geographies are increasingly evaluated not only for their profitability, but also for their climate exposure. And reporting, which for years has been the backbone of corporate sustainability, is evolving into a true management tool.

The challenge is not measuring—it’s making decisions with the data

As sustainability moves into the financial domain, many companies are facing an unexpected challenge. They have more environmental data than ever before, but that does not always translate into better decision-making. In many cases, the opposite happens: the complexity of this data makes it harder to use in contexts where time and clarity are critical.

The same challenges tend to repeat themselves:

• Fragmented information across departments
• Complex methodologies that hinder interpretation
• Limited traceability
• Weak connection between environmental indicators and financial metrics

When environmental data becomes part of strategy

For sustainability to move beyond a technical exercise and become a real part of decision-making, data must meet certain conditions.

It needs to be reliable, so it can support meaningful decisions. It must be traceable, so its origin is clear and it can be audited. And it must be useful, meaning it is connected to key business variables.

When this happens, environmental data stops being a reporting requirement and starts functioning as a strategic tool. This is the point where some organizations are beginning to transform their approach—shifting from simply collecting information to building systems that truly support decision-making.

From complexity to decision-making: the role of technology

Regulatory, financial, and operational pressure is pushing companies toward a common need: systems that allow them to manage environmental information in a structured and actionable way.

In this context, AI-based technological solutions like Manglai are gaining relevance. They enable companies to integrate data, automate calculations, and ensure methodological consistency—while translating environmental metrics into business-relevant insights.

The message from CEOs points in a clear direction: climate change has become a factor that directly affects the financial health of companies. And this has implications for how organizations operate, invest, and compete.

Companies that successfully integrate sustainability into their decision-making processes will be better positioned to navigate this new landscape. Those that remain focused solely on compliance, on the other hand, will face increasing levels of risk.