In the release of its 2025 IFRS report, Natura (NATU3) highlighted the tactical allocation of R$ 111 million to climate risk mitigation initiatives, integrated into the period’s financial statements. According to the company, these investments acted as a financial shield, neutralizing the materialization of climate risks and preserving the balance sheet, with no need for adjustments to the financial statements or asset impairment.
The company reported that it voluntarily and pioneeringly adopted, in 2025, the standards of the International Sustainability Standards Board (ISSB) via CVM 193/244, with an initial focus on climate (IFRS S2) and limited assurance. Natura stressed that, in this first year, it will use transition reliefs, such as climate-only disclosures, exemption from comparative data from the previous period, and publication of the climate report on a different date from the annual financial statements.
The financial mapping of climate risks was discounted to present value at a 14.81% rate, aligned with the WACC used in the financial statements. The main risks mapped include the supply of bio-ingredients, disruptions in operations and logistics, prices of critical commodities, regulatory compliance costs, and investments in climate transition, with associated impacts in specific notes on revenue, cost of goods sold, property, plant and equipment, insurance, provisions, and carbon credits.
On the financial resilience front, Natura reported progress on its climate targets with 2020 as the base year, including a 49% reduction in absolute Scope 1 and 2 emissions in 2025 and a decline of around 40% in priority Scope 3 categories. The company also highlighted its liability management through Sustainability-Linked Bonds (SLBs), including a 2021 US$ 1 billion bond and a biodiversity SLB issued in 2024 in the amount of R$ 1.3 billion, in addition to reporting that 84% of revenue is classified as Green Revenue and 70% as Low-Carbon Revenue, according to SASB criteria.
For the coming years, Natura lists as priorities the implementation of an integrated internal control environment for ESG data, the expansion of financial quantification of climate risks and opportunities, and greater automation in the integration between non-financial and financial data, aiming to ensure traceability and reliability similar to that of traditional financial audits.
