Bæredygtighed bliver lov: Hvordan CSRD former ESG-rapporteringen i C25-virksomheder

Abstract

This thesis investigates how the implementation of the EU’s Corporate Sustainability Reporting Directive (CSRD) has transformed ESG reporting practices among Danish C25 companies. As ESG (Environmental, Social and Governance) information becomes a legal obligation rather than a voluntary initiative, the study explores how reporting entities adapt to new regulatory requirements and how financial statement users perceive and evaluate the quality and usefulness of these sustainability disclosures. The research is structured around six sub-questions, progressing from the foundation of ESG and its legislative framework to the practical implications, sectoral variation and future developments. A key focus is placed on the financial statement users, including investors, analysts and lenders, who increasingly rely on ESG data for risk assessment, valuation and capital allocation. The analysis is based on a combination of literature review, regulation (CSRD, ESRS and the Danish Financial Statements Act), peer-reviewed studies and a semi-structured expert interview with a certified sustainability auditor. Findings show that CSRD has led to a marked professionalization of ESG reporting through standardized requirements and the principle of double materiality. However, the study identifies four persistent cross-cutting challenges: lack of data quality and audit readiness, difficulties in operationalizing double materiality, insufficient sector-specific relevance, and fragmented internal governance structures. In parallel, financial statement users highlight a need for improved relevance, comparability, contextual clarity, integration with financial information and digital accessibility. The thesis concludes with a set of targeted recommendations for C25 companies, including the development of materiality matrices, assurance preparedness, the use of digital tagging systems (e.g., XBRL) and increased cross-sector collaboration. It is argued that companies able to professionalize their ESG processes, both technically and strategically, will be better positioned to comply with CSRD while simultaneously meeting users’ growing expectations for high- quality, decision-useful sustainability information.