Sustainability Reporting with KPMG: Naples Businesses in 2026

Sustainability reporting KPMG is a critical topic for businesses operating in Naples, Italy, and globally. As environmental, social, and governance (ESG) considerations become increasingly central to business strategy and investor decisions, understanding how to report effectively is paramount. KPMG, as a leading professional services firm, offers extensive expertise in helping organizations navigate the complexities of sustainability reporting frameworks and stakeholder expectations. This article explores the significance of sustainability reporting, KPMG’s role in guiding companies, and how businesses in Naples can leverage these services to enhance their transparency, resilience, and competitiveness by 2026.

In today’s market, stakeholders demand more than just financial performance; they seek assurance that businesses are operating responsibly and contributing positively to society and the environment. Sustainability reporting provides this assurance. This guide will delve into the core components of effective ESG reporting, the evolving regulatory landscape, and the practical benefits for businesses, particularly those based in a vibrant and historically significant city like Naples. We will examine how partnering with experts like KPMG can transform sustainability reporting from a compliance exercise into a strategic advantage for companies aiming for success in 2026 and beyond.

Understanding Sustainability Reporting

Sustainability reporting, often referred to as ESG (Environmental, Social, and Governance) reporting, is the practice of disclosing a company’s performance and impact on a broad range of environmental, social, and governance factors. These reports provide stakeholders—including investors, customers, employees, and regulators—with insights into a company’s long-term value creation potential, risk management strategies, and commitment to responsible business practices. The goal is to offer a transparent and comprehensive view of how a company operates beyond its financial statements.

The scope of sustainability reporting is broad, covering areas such as carbon emissions, energy efficiency, water management, waste reduction, biodiversity impact (environmental); labor practices, human rights, community relations, diversity and inclusion, product safety (social); and corporate governance structures, executive compensation, business ethics, and shareholder rights (governance). Frameworks like the Global Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB), and the Task Force on Climate-related Financial Disclosures (TCFD) provide standardized guidelines for companies to structure their reporting, ensuring comparability and credibility. Adherence to these standards is crucial for robust reporting in 2026.

The Growing Importance of ESG Disclosure

The imperative for robust ESG disclosure has grown exponentially in recent years. Investors increasingly use ESG data to assess investment risks and opportunities, recognizing that companies with strong sustainability performance are often more resilient and better managed. This trend is driven by a growing awareness of global challenges such as climate change, resource scarcity, and social inequality, as well as by regulatory developments and consumer demand for ethical products and services. For businesses in Naples, integrating ESG principles and transparent reporting can enhance their appeal to a wider range of investors and customers, fostering sustainable growth.

Beyond investor relations, strong ESG disclosure can improve brand reputation, attract and retain top talent, drive operational efficiencies, and mitigate risks. Employees, in particular, are increasingly seeking to work for organizations whose values align with their own. By providing clear and credible information about their sustainability efforts, companies can build trust, foster stronger relationships with all stakeholders, and ultimately enhance their long-term competitive advantage by 2026.

Key Frameworks and Standards

Several leading frameworks guide sustainability reporting, providing structure and ensuring comparability. The Global Reporting Initiative (GRI) Standards are the most widely used framework globally, offering a comprehensive set of guidelines for reporting on economic, environmental, and social impacts. The Sustainability Accounting Standards Board (SASB) focuses on financially material sustainability information specific to 77 industries, making it valuable for investors. The Task Force on Climate-related Financial Disclosures (TCFD) provides recommendations for disclosing climate-related risks and opportunities, which are becoming increasingly critical.

In Europe, the Corporate Sustainability Reporting Directive (CSRD) is setting new mandatory standards for sustainability reporting for many companies, requiring detailed disclosures across a wide range of ESG topics. Understanding which frameworks are most relevant to a company’s industry, size, and stakeholder expectations, and how they align with regulatory requirements like the CSRD, is crucial for effective reporting. KPMG’s expertise helps businesses navigate these evolving standards to produce compliant and impactful reports by 2026.

KPMG’s Role in Sustainability Reporting

KPMG plays a pivotal role in assisting organizations with their sustainability reporting journey. As a global leader in audit, tax, and advisory services, KPMG possesses deep expertise in financial and non-financial reporting, risk management, and strategic advisory. Their sustainability practice works with companies across all sectors and sizes to develop and implement robust ESG strategies and reporting processes. This includes helping clients understand complex frameworks, identify material ESG issues, collect and assure data, and prepare comprehensive sustainability reports that meet stakeholder expectations and regulatory requirements.

For businesses in Naples, engaging with KPMG can provide access to world-class knowledge and tailored solutions. Whether a company is just beginning its sustainability journey or looking to enhance its existing reporting practices, KPMG offers services ranging from initial assessments and strategy development to data assurance and communication support. Their global network ensures they can provide insights relevant to local markets while drawing on international best practices, ensuring compliance and maximizing the value derived from sustainability initiatives by 2026.

Expert Guidance and Strategy Development

KPMG assists businesses in developing a clear and actionable sustainability strategy that is aligned with their overall business objectives. This often begins with a materiality assessment to identify the ESG issues most relevant to the company and its stakeholders. Based on this assessment, KPMG helps clients set ambitious yet achievable ESG targets and develop roadmaps for implementation. They provide strategic advice on integrating sustainability into core business operations, supply chains, and innovation processes, ensuring that sustainability efforts drive long-term value creation.

Their approach emphasizes not just compliance but also leveraging sustainability as a source of competitive advantage. This includes identifying opportunities for cost savings through efficiency improvements, enhancing brand reputation, attracting investment, and fostering innovation. For companies in Naples, KPMG can help tailor these strategies to the local economic and environmental context, ensuring that sustainability initiatives are both impactful and relevant to the regional landscape by 2026.

Data Assurance and Verification

One of KPMG’s key contributions to sustainability reporting is providing independent assurance over ESG data and reports. As stakeholders increasingly scrutinize sustainability claims, independent verification lends credibility and trust to a company’s disclosures. KPMG’s assurance services help companies ensure the accuracy, completeness, and reliability of their reported ESG information, mitigating the risk of greenwashing accusations and enhancing stakeholder confidence. This process often involves reviewing data collection processes, testing internal controls, and validating reported metrics against evidence.

Assurance engagements can cover the entire sustainability report or specific elements, depending on the company’s needs and stakeholder requirements. By obtaining independent assurance from a reputable firm like KPMG, businesses can demonstrate a high level of commitment to transparency and accountability, strengthening their reputation and building trust with investors, customers, and regulators. This rigorous approach is vital for credible reporting in 2026.

Navigating Regulatory Compliance

The regulatory landscape for sustainability reporting is becoming increasingly complex and stringent, particularly in Europe with the introduction of the CSRD. KPMG helps companies understand these evolving requirements and ensure compliance. They provide guidance on reporting obligations, assist in interpreting new regulations, and help integrate these requirements into reporting processes. This proactive approach ensures that companies are well-prepared for upcoming changes and can meet their disclosure obligations effectively.

For businesses operating in or exporting to European markets, understanding and complying with regulations like the CSRD is essential. KPMG’s expertise in this area allows them to guide clients through the process, from understanding the scope of application to implementing the necessary data collection and reporting mechanisms. This support helps businesses avoid penalties, maintain market access, and position themselves as responsible corporate citizens in an increasingly regulated environment by 2026.

Sustainability Reporting in Naples: Opportunities and Challenges

Naples, with its rich history, vibrant culture, and significant industrial presence, offers a unique context for sustainability reporting. Businesses in the region face both opportunities and challenges in integrating and reporting on ESG factors. The opportunities lie in leveraging Naples’ potential for sustainable tourism, its growing renewable energy sector, and its strategic position in the Mediterranean. By embracing sustainability, companies can enhance their brand image, attract eco-conscious visitors and investors, and contribute to the region’s environmental and social well-being.

However, challenges also exist. These may include the legacy of industrial pollution in some areas, the need for significant investment in green infrastructure, navigating complex regulatory frameworks, and fostering a culture of sustainability throughout the business community. SMEs (Small and Medium-sized Enterprises), which form a significant part of the Neapolitan economy, may face resource constraints in implementing and reporting on sustainability initiatives. KPMG’s services can be invaluable in helping businesses of all sizes overcome these hurdles and capitalize on the opportunities by 2026.

Environmental Focus Areas for Naples Businesses

Businesses in Naples should pay particular attention to environmental factors relevant to the region. This includes managing waste effectively, especially in a densely populated urban environment, and reducing pollution impacting the Bay of Naples. Opportunities exist in adopting renewable energy sources, such as solar power, given the region’s climate. Water resource management is also critical, both for industrial use and for protecting coastal ecosystems. Companies involved in logistics and transportation may focus on reducing emissions through fleet modernization and route optimization. Embracing circular economy principles, aiming to minimize waste and maximize resource reuse, presents a significant opportunity for innovation and cost savings.

KPMG can assist Naples-based companies in identifying their most material environmental issues, setting relevant targets (e.g., carbon footprint reduction, waste diversion rates), and implementing strategies to achieve them. Reporting on these efforts provides transparency and demonstrates a commitment to environmental stewardship, enhancing the company’s reputation locally and internationally by 2026.

Social Responsibility and Community Engagement

The social dimension of sustainability is particularly relevant in a city like Naples, with its strong community ties and social fabric. Businesses have a significant opportunity to contribute positively by fostering local employment, investing in workforce development and training, and ensuring fair labor practices. Engaging with local communities through corporate social responsibility (CSR) initiatives can build strong relationships and enhance social license to operate. This could involve supporting local educational programs, cultural heritage preservation efforts, or social welfare projects.

Diversity and inclusion within the workplace are also key social factors. Promoting equal opportunities and fostering an inclusive environment can lead to a more engaged and productive workforce. KPMG can guide Naples businesses in developing effective community engagement strategies, improving labor practices, and measuring their social impact, translating these efforts into credible reporting that resonates with stakeholders by 2026.

Governance and Ethical Business Practices

Strong governance is the foundation for effective sustainability reporting and responsible business conduct. For businesses in Naples, robust governance structures ensure ethical decision-making, transparency, and accountability. This includes establishing clear codes of conduct, implementing anti-corruption policies, ensuring board oversight of ESG matters, and maintaining transparent communication with stakeholders. Good governance builds trust and confidence among investors, customers, and employees.

KPMG assists companies in strengthening their governance frameworks, ensuring they align with best practices and regulatory expectations. This includes advising on board composition, risk management processes, and stakeholder engagement mechanisms. By prioritizing good governance, businesses in Naples can demonstrate their commitment to long-term sustainability and ethical operations, enhancing their reputation and resilience in the market by 2026.

Benefits of Effective Sustainability Reporting

The advantages of comprehensive and transparent sustainability reporting are multifaceted. Firstly, it significantly enhances corporate reputation and brand value. Companies that openly communicate their ESG performance and commitments are often viewed more favorably by consumers, investors, and potential employees. This positive perception can translate into increased customer loyalty, market share, and a stronger employer brand. For businesses in Naples, demonstrating a commitment to sustainability can differentiate them in a competitive market and align them with the values of a region that cherishes its natural and cultural heritage.

Secondly, effective reporting can lead to improved financial performance. Investors are increasingly incorporating ESG factors into their decision-making, channeling capital towards companies with strong sustainability profiles. This can result in easier access to funding, lower cost of capital, and better long-term investment returns. Furthermore, the process of sustainability reporting often uncovers operational efficiencies, such as energy and resource savings, leading to cost reductions and improved profitability. KPMG’s involvement ensures that these benefits are maximized by 2026.

Attracting Investment and Enhancing Financial Performance

The link between strong ESG performance and financial success is becoming increasingly evident. Many investment funds now focus specifically on sustainable and responsible investing (SRI), creating significant demand for companies with robust sustainability credentials. By providing clear, data-driven ESG reports, companies can attract these investors, potentially securing capital at more favorable terms. Moreover, proactive management of ESG risks can prevent costly incidents, regulatory fines, and reputational damage, thereby safeguarding financial stability and performance. The insights gained from reporting can also drive innovation, leading to new products, services, and business models that enhance profitability.

For Naples-based businesses aiming to grow, demonstrating strong ESG performance through credible reporting can open doors to international markets and investment opportunities. It signals a forward-thinking approach and a commitment to long-term value creation, making the company more attractive to a global audience. KPMG’s expertise helps ensure that these financial benefits are realized through effective reporting and strategic integration of sustainability by 2026.

Improving Risk Management and Operational Efficiency

The process of sustainability reporting inherently involves identifying and assessing a company’s risks and impacts. By systematically evaluating environmental, social, and governance factors, businesses can proactively manage potential risks, such as supply chain disruptions due to climate change, regulatory non-compliance, or reputational damage from social issues. This proactive approach can prevent costly crises and ensure business continuity. KPMG assists companies in developing robust risk management frameworks that integrate ESG considerations, enhancing overall resilience.

Furthermore, the focus on resource efficiency, waste reduction, and energy conservation—key components of sustainability reporting—often leads to significant operational improvements. Companies can identify opportunities to reduce costs, streamline processes, and minimize their environmental footprint. For example, optimizing energy consumption in manufacturing facilities or adopting sustainable packaging solutions can yield substantial savings. These efficiencies not only improve the bottom line but also contribute to a company’s overall sustainability goals, reinforcing its commitment to responsible operations by 2026.

Strengthening Stakeholder Relations and Brand Trust

Transparent and credible sustainability reporting is essential for building and maintaining trust with stakeholders. When companies openly communicate their ESG performance, challenges, and progress, they foster stronger relationships with customers, employees, investors, and communities. This transparency builds credibility and enhances brand reputation, differentiating the company in the marketplace. For businesses in Naples, a strong sustainability narrative can resonate deeply with local communities and cultural stakeholders, reinforcing their social license to operate.

Employees are increasingly motivated by working for organizations that demonstrate a commitment to social and environmental responsibility. Effective reporting can boost employee morale, engagement, and retention, making the company a more attractive employer. By consistently demonstrating responsible practices and communicating them transparently, businesses can build lasting trust and loyalty among all stakeholder groups, which is invaluable for long-term success and reputation management by 2026.

Working with KPMG for Your Sustainability Reporting Needs (2026)

Engaging with KPMG for sustainability reporting needs offers businesses in Naples a pathway to enhanced credibility, compliance, and strategic advantage. KPMG’s integrated approach combines deep technical expertise in ESG frameworks and regulations with a thorough understanding of business strategy and risk management. They work collaboratively with clients to assess current practices, identify areas for improvement, and develop tailored solutions that meet specific needs and objectives.

Whether it’s setting up a robust data collection system, conducting a materiality assessment, preparing a comprehensive report aligned with GRI or CSRD, or obtaining independent assurance over reported data, KPMG provides end-to-end support. Their global network ensures access to best practices and insights from various industries and regions, while their local presence allows them to understand the specific context of the Naples market. Partnering with KPMG can transform sustainability reporting into a value-adding process, driving positive change and enhancing business performance by 2026.

The KPMG Assurance Process

KPMG’s assurance services for sustainability reporting provide an independent and objective evaluation of a company’s ESG disclosures. The process typically involves a risk-based approach, focusing on the most critical aspects of the report and the underlying data. KPMG professionals review the company’s sustainability strategy, data management processes, internal controls, and the final reported information against established criteria, such as recognized reporting frameworks (e.g., GRI) or regulatory requirements (e.g., CSRD). The objective is to provide reasonable assurance that the reported information is free from material misstatement and fairly represents the company’s ESG performance.

This assurance provides stakeholders with greater confidence in the reliability and credibility of the sustainability information presented. It helps mitigate risks associated with inaccurate or misleading disclosures and strengthens the company’s reputation as a transparent and responsible organization. For businesses in Naples seeking to enhance their credibility in sustainability reporting, KPMG’s assurance services offer a valuable validation of their efforts by 2026.

Tailored Solutions for SMEs

KPMG recognizes that businesses of all sizes have unique sustainability reporting needs and resource constraints. They offer tailored solutions designed to support Small and Medium-sized Enterprises (SMEs) in navigating the complexities of ESG disclosure. This might include simplified reporting frameworks, guidance on prioritizing material issues, and support in establishing basic data collection systems. For SMEs in Naples, KPMG can help develop practical and cost-effective approaches to sustainability reporting that align with their business size and operational capacity.

The focus for SMEs is often on embedding sustainability into core operations and demonstrating tangible progress on key issues. KPMG can help these businesses identify the most impactful initiatives, measure their progress, and communicate their efforts effectively to stakeholders, ensuring that sustainability becomes a source of competitive advantage rather than a burden by 2026.

Integrating Sustainability into Business Strategy

Beyond reporting, KPMG helps clients integrate sustainability considerations into their fundamental business strategies. This involves aligning ESG objectives with corporate goals, identifying opportunities for innovation driven by sustainability, and embedding responsible practices throughout the value chain. By treating sustainability not just as a reporting obligation but as a strategic imperative, companies can unlock new avenues for growth, enhance operational resilience, and build a more sustainable future.

For businesses in Naples, this could involve exploring opportunities in the circular economy, investing in green technologies, or developing sustainable supply chains that leverage local resources and expertise. KPMG’s advisory services facilitate this integration, helping companies to harness the full potential of sustainability to drive long-term value creation and competitive advantage throughout 2026.

Frequently Asked Questions About Sustainability Reporting with KPMG in Naples

Conclusion: Driving Sustainability Forward in Naples with KPMG by 2026

Sustainability reporting has evolved from a niche concern to a fundamental aspect of responsible business strategy, and its importance will only continue to grow. For businesses in Naples, embracing ESG principles and leveraging expert guidance from firms like KPMG is crucial for navigating the complexities of modern commerce, meeting stakeholder expectations, and ensuring long-term success. By focusing on material environmental, social, and governance issues, companies can not only enhance their reputation and attract investment but also drive operational efficiencies and build greater resilience.

KPMG’s comprehensive suite of services, from strategic planning and data assurance to regulatory compliance and integration into core business strategy, empowers organizations to transform their sustainability efforts. Whether a large corporation or a small and medium-sized enterprise, working with KPMG can provide the necessary expertise to develop credible, impactful sustainability reports. As Naples continues to develop its economic potential, a strong commitment to sustainability, communicated effectively through transparent reporting, will be key to fostering inclusive growth and preserving the region’s unique heritage for future generations. Embracing these practices now will position businesses for a prosperous and responsible future by 2026.

Key Takeaways:

• Sustainability reporting (ESG) is critical for business success in Naples by 2026.
• KPMG offers expertise in strategy, reporting frameworks (GRI, CSRD), data assurance, and regulatory compliance.
• Effective ESG reporting enhances reputation, attracts investment, improves risk management, and drives efficiency.
• Businesses should integrate sustainability into their core strategy, not just treat it as a compliance exercise.

Ready to elevate your sustainability reporting? Partner with KPMG for expert guidance and assurance to build trust and drive value.