Meta Description: Philippine Large Unlisted Companies (LNLs) are now required to publish sustainability reports. Learn the SEC’s expectations, key frameworks (IFRS, TCFD, GRI), and how consultants like GCSS, Inc. can guide compliance and investor trust.

Published October 7, 2025

The New Normal for Large Unlisted Companies

In the Philippines, sustainability reporting is no longer the exclusive domain of publicly listed companies (PLCs). The Securities and Exchange Commission (SEC) has expanded its mandate, requiring Large Unlisted Companies (LNLs) to prepare and publish their own sustainability reports starting 2025.

This regulatory shift reflects the reality that sustainability, climate action, and ESG practices are not optional—they are essential for risk management, investor confidence, and long-term corporate governance.

Why LNLs Are Now Part of the ESG Conversation

LNLs represent a significant portion of the Philippine economy, with many serving as supply chain anchors, industry leaders, and major employers. As such, their sustainability impact—whether environmental, social, or governance-related—cannot be ignored.

By requiring reports from LNLs, the SEC aims to:

• Increase transparency for investors, lenders, and regulators
• Improve accountability on climate change and social governance
• Align the Philippines with global ESG and sustainability reporting standards

What the SEC Expects

The SEC requires LNLs to follow the Sustainability Reporting Guidelines for Publicly Listed and Large Unlisted Companies, which are aligned with international best practices. This means your company’s sustainability report should:

• Disclose material ESG impacts—not just generic statements
• Follow recognized frameworks like GRI, IFRS S1 & S2, and TCFD
• Provide investor-grade data that is auditable and comparable
• Outline climate action and net zero strategies
• Strengthen corporate governance practices for long-term resilience

Frameworks That Matter

For credibility, LNLs should align their sustainability reporting with:

• GRI: Stakeholder-focused disclosures on environmental and social impacts
• IFRS S1 & S2: Global investor-focused standards linking ESG to financial performance
• TCFD: Climate risk and resilience reporting, now embedded into IFRS S2

The goal is not just compliance—it’s producing a sustainability report that builds investor trust and prepares the business for green financing opportunities.

(Want to see how your sustainability report can meet global standards? Learn more about GCSS, Inc.’s Sustainability Reporting services here.)

The Risks of Non-Compliance

For LNLs, failure to prepare a compliant sustainability report could result in:

• Regulatory penalties from the SEC
• Limited access to capital, especially green financing
• Erosion of investor and customer trust
• Reputational harm at both local and global levels

These risks are far greater than the cost of preparing a high-quality, compliant sustainability report.

Why Partner with a Sustainability Consultant?

Many LNLs may feel unprepared to meet the SEC’s new requirements. This is where sustainability consultants like GCSS, Inc. provide essential support:

• Mapping disclosures to GRI, IFRS, and TCFD frameworks
• Establishing data systems for accuracy and assurance
• Strengthening corporate governance around ESG
• Ensuring sustainability reports are future-proof for net zero transitions

With our track record of working with publicly listed companies and large corporations, GCSS, Inc. helps LNLs deliver investor-grade reports that go beyond compliance.

A Call to Action for Large Unlisted Companies

LNLs in the Philippines are at a turning point. With sustainability reporting now a regulatory requirement, the opportunity lies in going beyond compliance to build investor trust, green financing eligibility, and long-term resilience.

ESG is not just for PLCs—LNLs must step up too. GCSS, Inc. is ready to help.

Reach out at sales@gcssinc.com to begin your IFRS- and TCFD-aligned ESG journey. Book your discovery call here and talk to our experts today.

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Future-proof your company’s sustainability strategy today—because in 2025, investors and regulators will expect nothing less.