42% of CEOs Say Their Companies Won’t Survive Without Reinvention, as Sustainability Drives Growth and Resilience
Climate-related investments are six times more likely to increase revenue (33%) than decrease it (5%), according to PwC’s 28th Annual Global CEO Survey. The survey, which gathered insights from 4,701 CEOs across 109 countries and territories, underscores the growing significance of sustainability in driving business growth and ensuring long-term viability. This article explores the four sustainability takeaways from the survey and their implications for businesses committed to sustainability and the net-zero transition.
1. Climate Investments Deliver Tangible Results
The survey reveals that nearly two-thirds of CEOs reported climate-related investments either reduced costs or had no significant financial impact. This highlights the dual benefits of sustainability initiatives, which not only contribute to environmental goals but also enhance profitability. However, challenges remain in implementing these investments. Regulatory complexity is cited as the top barrier (24%), surpassing concerns about lower returns on investment (18%) and a lack of buy-in from management or the board (6%).
2. Sustainability is Becoming a Strategic Priority
The findings emphasise the importance of integrating sustainability into core business strategies. Companies that have embraced climate-related investments are not only seeing financial benefits but are also better positioned to navigate regulatory changes and shifting consumer expectations. The survey highlights that one-third of companies are now generating revenue from climate investments made over the past five years. This percentage is expected to grow as economies decarbonise, making sustainability a critical component of long-term business strategy.
3. The Energy Transition is an Opportunity
The energy transition is creating new opportunities for businesses to act as “prosumers”—both producing and consuming energy. This shift enables companies to reduce costs, improve energy reliability, and even generate revenue by selling excess energy back to the grid. As such, CEOs are seeing the energy transition as a business opportunity to increase resilience and invest in creating a sustainable business.
4. The Regulatory Landscape is Evolving
The survey highlights that 24% of CEOs cite regulatory complexity as the biggest challenge in initiating climate-related investments. This suggests that evolving regulations, such as the Corporate Sustainability Reporting Directive (CSRD), are creating obstacles as businesses navigate new reporting requirements and compliance demands. The report stresses that companies must adapt to these regulatory changes to remain viable, with 42% of CEOs believing their organisations will not survive beyond the next decade without significant transformation.
Mohamed Kande, Global Chairman, PwC, commented: “The climate transition is revolutionising how businesses operate and compete. CEOs must act decisively to embed sustainability into their strategies, from supply chain management to product development, if they are to thrive in the future.”
In summary, PwC’s survey highlights that sustainability is no longer just a moral obligation, but a business necessity. Climate-related investments are seen to drive revenue growth, reduce costs, and strengthen resilience in an evolving regulatory and economic landscape. While challenges such as regulatory complexity remain, the shift towards sustainability is creating new opportunities for businesses that are willing to adapt. As the pressure to decarbonise intensifies, companies that integrate sustainability into their core strategy will be better positioned for long-term success and competitiveness in a rapidly changing world. If you want to read the full article see the reference below.
Reference:
PwC CEO survey 2025: https://www.pwc.co.uk/ceo-survey.html#:~:text=and%20lasting%20resilience.-,A%20window%20of%20opportunity,the%20pressure%20of%20intensifying%20challenges
