What are sustainability and ESG ratings and why do they matter?
ESG stands for Environmental, Social, and Governance. ESG ratings evaluate how well companies manage impacts, risks and opportunities related to various sustainability areas. ESG ratings are used by investors, customers and other stakeholders to compare and evaluate companies' sustainability performance.
About: CDP runs a global disclosure system for investors, companies, cities, states and regions to measure and manage their risks and opportunities on climate change, water security and deforestation.
Scale: Responding companies are assessed and scored across four consecutive levels: A, B, C, D with A being the top score.
Our score: In 2024, Atlas Copco Group scored B for climate change-related disclosure and C for water-related disclosure (2023: B and B- respectively).
Find more information on the CDP website.
About: EcoVadis is a provider of business sustainability ratings, including more than 75,000 companies in its assessment. The EcoVadis rating covers a wide range of sustainability topics, including environment, labor and human rights, ethics and sustainable procurement.
Scale: EcoVadis medals (bronze, silver, gold and platinum) are awarded based on the percentile rank of a company which is calculated at the time of scorecard publication.
Our score: In August 2025, Atlas Copco Group obtained a gold medal (2024: silver medal), which places us on the top 5% of companies assessed by EcoVadis.
About: The FTSE4Good Index Series is a series of benchmark and tradable indexes which was launched in 2001. It focuses on companies that score highly in measures in corporate social responsibility. Indexes are used by a wide variety of market participants when creating or assessing sustainable investment products.
Our score: In 2025 Atlas Copco Group continues to be a constituent of the FTSE4Good Index Series.
About: Institutional Shareholder Services group of companies (ISS) analyzes a company’s management of ESG issues on the basis of up to 100 rating criteria.
Scale: Rating score ranges from D- to A+ where A+ is the highest score. Prime status is awarded to companies with an ESG performance above the sector-specific Prime threshold, which means that they fulfil ambitious absolute performance requirements.
Our score: In 2025, Atlas Copco Group received a rating of B- (2024: C+) which is above industry average and was awarded Prime status by ISS.
About: MSCI is a provider of ESG rating services that aims to measure a company’s management of financially relevant ESG risks and opportunities.
Scale: The ESG ratings range from leader (AAA, AA), average (A, BBB, BB) to laggard (B, CCC).
Our score: In 2025 Atlas Copco Group received a rating of AA and has maintained this rating since 2019. 33% of peers within the industrial machinery sector have received AA rating.
About: Sustainalytics is a provider of ESG research, ratings, and data to investors and companies. The rating evaluates a company's exposure to industry-related risks and respective risk management.
Scale: Rating ranges from negligible to severe risk.
Our score: In 2025, Atlas Copco Group received an ESG Risk Rating of “medium risk” (2024: medium) which is above industry average.
