DNV has published its Annual Report for the year of 2023, showing significant growth and presenting key ESG initiatives adopted by the organization.
Trusting in ESG
ESG stands for Environmental, Social, and Governance. It is a set of criteria used to evaluate a company’s performance in these three areas. ESG criteria are increasingly being used by investors to evaluate the sustainability and ethical impact of an investment in a company or business. Many investors believe that companies that adhere to ESG principles are better long-term investments because they are better managed and less risky due to their focus on sustainability and ethical practices.
DNV firmly upholds the UN’s guiding principles, recognizing their critical role in achieving long-term value. The UN Sustainable Development Goals are important to the company, with Goal 3 (Good health), Goal 7 (Affordable and clean energy), Goal 13 (Climate action), and Goal 14 (Life under water) identified as areas where DNV can make a particularly positive impact, both through its work for customers and through strategic partnerships.
Despite geopolitical instability and turbulent economic conditions, DNV has yet again delivered excellent results. It demonstrates the resilience and relevance of our assurance and risk management position with our customers. I’m also glad to see that the growing demand for DNV’s services coincides with our customer satisfaction rates reaching a new high, demonstrating the excellent performance and expertise of our employees
… said Group President and CEO of DNV, Remi Eriksen.
Environmental
The company’s commitment to protecting the environment is central to its purpose. DNV strives to minimize its environmental footprint and assists its customers in doing the same.
As mentioned, DNV supports the UN Sustainable Development Goals and integrates environmental and social factors into its operations and decision-making processes through its Environmental Sustainability & Climate policy.
DNV reports greenhouse gas emissions in line with the GHG Protocol and calculates air travel emissions using the latest Defra CO2 emission factors. They report both absolute emissions and carbon intensity per employee.
Social
DNV’s strategy targets growth to meet its objectives, necessitating significant investment in the growth and development of its people. The company has improved its approaches to recruiting, onboarding, and retaining employees to support the growth ambitions of their 2025 strategy.
In 2023, DNV recruited 2,596 permanent employees, bringing their total workforce to 14,841 employees, a 15.5% increase year-on-year. DNV strives for diversity, equity, and inclusion at all levels of the organization and is firmly committed to providing equal opportunity in all aspects of employment.
The company is resolute in safeguarding human rights, both within its organization and along its supply chains, while maintaining rigorous ethical and governance standards. Cybersecurity is also a key focus.
Psychological safety
In times of uncertainty, DNV prioritizes showing ‘Care’ to improve employee resilience. This involves offering a work environment that is psychologically safe so that employees ‘Dare’ to raise concerns about their physical safety and ‘Share’ challenges to their mental health.
Psychological safety is considered a prerequisite for people to speak up, ask for support where needed, and feel empowered to contribute as DNV continues to build its safety and resilience culture. A psychologically safe work environment reduces barriers for people to discuss what they need to further develop their wellbeing, motivation, and performance. Transparent communication in such an environment also helps to reduce the stigma around mental health.
Governance
Within DNV, safety, occupational health, and resilience are structured across two lines of responsibility: by geography and by business area. At the highest level, the Group CEO and Executive Committee are responsible for all matters concerning safety, occupational health, and resilience. Line managers promote open communication and a learning culture to ensure safe and healthy working conditions. DNV considers sound corporate governance fundamental for ensuring trust in the company and issues an annual Corporate Governance Report in accordance with the most recent Norwegian Code of Practice for Corporate Governance.
According to the report, DNV achieves most of its impact by using its expertise and technical know-how to deliver products and services that improve its customers’ safety, social, and environmental performance.
Financial performance
The DNV Group recorded operating revenues of NOK 31,594 million in 2023, compared to NOK 25,031 million in 2022, representing growth of 26.2%. Adjusted for exchange rate fluctuations following from weakening of the NOK, the growth was 17.7%. The solid performance was driven by active sales promoting activities, supported by positive market developments in most of our businesses.
Maritime recorded revenues of NOK 11,013 million in 2023, corresponding to growth of 28.5% compared to 2022. The classification business model has continued to be resilient to geopolitical events, wars, and other global shocks and adverse developments throughout the year.
