Moody's Corporation

Carbon per million dollars of revenue. The legacy industry-standard reference (CDP, MSCI). Useful for cross-sector context, but distorted by margin — high-margin firms appear artificially efficient. Read alongside the operational and asset intensities for the full picture.

OpEx (operating expenditure) is the running cost of the business — staff, services, energy, materials. This shows how carbon-intensive operations are per million dollars of spend. Removes the margin distortion that revenue-based ratios introduce.

EVIC (Enterprise Value Including Cash) is the firm's total capital footprint — equity + debt + cash + minority interest. The EU's standard intensity measure (SFDR PAI 3) — answers: how much carbon does each million of capital deployed in this business produce?

PP&E (Property, Plant & Equipment) plus leased real-estate assets is the firm's physical infrastructure on the balance sheet. This shows the carbon intensity of that physical footprint — uses Scope 1+2+3 for consistency with the other headline intensities. Surfaces stranded-asset risk for asset-heavy firms.

Moody's achieved 100% renewable electricity globally in 2023 (fourth consecutive year). Where landlords cannot procure renewable electricity directly, Moody's procures unbundled renewable energy attribute certificates (EACs) – including wind RECs in the US/Canada (NAR), GO certificates in Spain, REGOs in the UK, I-RECs across India, China, Singapore, UAE, Brazil and others, and NFC-Renewable in Japan. Total ~18,192 MWh renewable electricity in 2023. Investment of ~$53,488 for EAC procurement.

Moody's retires carbon credits annually to offset Scope 1, Scope 2 (market-based), business travel and employee commuting emissions, retroactive to 2000. The 2023 portfolio of ~24,369 tCO2e retired credits included nature-based removals (Envira Amazonia REDD+, Keweenaw Bay forest carbon, UPM Blandin hardwoods, Otter Creek IFM) alongside reduction projects (Uganda safe water, Gyapa cookstoves, India solar/wind, China wind). Plans to follow SBTi guidance on neutralization and within next two years add explicit commitment on beyond-value-chain mitigation.

• Business travel reduction via internal carbon price

  $50/tCO2e internal carbon price applied to business travel emissions since 2020 (raised from $15 in 2019). Travel-related emissions are tracked using SBTi Transport Guidance (well-to-wheel). Funds allocated to renewable electricity procurement and offset purchases. Plan to roll out employee awareness campaigns favoring trains over planes and economy over business class.

• Employee commuting via hybrid work model

  Hybrid work program permanently reduced commuting emissions. Moody's set a science-based target to reduce Scope 3 emissions from employee commuting, business travel, and fuel-and-energy-related activities by 15% by 2025 from 2019 baseline – achieved in 2023. Car-free week photo contests and sustainable commuting awareness campaigns are ongoing.

• Office energy efficiency + hybrid work

  Moody's reduced energy intensity per sq ft 23% (11.7 → 9 kWh/sq ft) by retrofitting HVAC for lower GWP, fitting common areas with energy-efficient lighting, timers, and sensors, raising tech-room set-points, and limiting hot water from instant heaters. The hybrid work model permanently reduced office footprint and Scope 1/2 emissions ~281 tCO2e (-22% vs 2022). LED retrofits initiated in 2 offices in 2023 with completion in 2024.

• ESG & climate product line growth

  ~$200M (3% of total revenue) generated from ESG and climate-related offerings in 2023 across Moody's Ratings (SPOs, Net-Zero Assessments, ~120 SPOs delivered globally) and Moody's Analytics (temperature alignment data, GHG database, NGFS macro scenarios, climate-adjusted EDF, carbon transition indicators, physical risk data from RMS acquisition). Climate risk identified as a strategic growth driver.

• Supplier engagement on science-based targets

  Purchased goods/services + capital goods represent ~75% of Moody's 2023 footprint. Moody's SBTi-validated supplier engagement target requires 60% of suppliers by spend to set SBTs by 2025; reached 54% in 2023 (up from 25% in 2019). Joined CDP Supply Chain program in 2023, hosted webinars for top 500 suppliers, contract amendments now include SBT requirements (11 amended in 2023, raising covered spend to 18%). Sustainability Linked Facility (SLF) ties RCF cost to this target, saving $125,000 in 2023.