Resumen de What are the drivers behind Portuguese companies’ reporting on sustainable development goals?

Alice Loureiro, Sónia María da Silva Monteiro, Beatriz Aibar Guzmán, Verónica Paula Lima Ribeiro, Kátia Matos Lemos

• Objective: This study examines how the largest Portuguese companies integrate information on the Sustainable Development Goals (SDGs) in their non-financial reports, and analyses some potential drivers of SDG reporting (SDGR).

  Methodology: Standalone non-financial reports were collected from 2016 to 2022, resulting in a total of 161 reports from 41 companies. Through content analysis, a disclosure index was developed to assess the level of SDGR.

  Results: There is an upward trend in SDGR among Portuguese companies, albeit at a slow and modest pace. On average, they report on half of the 17 SDGs. We find that listing, industry, adoption of the GRI framework and external assurance by a Big Four firm are the driving factors for SDG disclosure. Conversely, firm size, ISO certification, a sustainability committee and extended reporting have no impact on the disclosure of SDG information by Portuguese companies.

  Limitations: Our study has two main limitations: the small sample size and the fact that the SDG Disclosure Index only measures whether information on the SDGs is disclosed, without assessing its content, scope, or quality.

  Practical implications: Businesses seeking to improve their SDG disclosure should consider adopting the GRI framework or seeking assurance from a Big Four firm. Regulators can use our findings when designing policies aimed at promoting SDG reporting.