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New research from Natcap and Earth Capital Nexus has highlighted how investments in nature restoration and sustainable sourcing can help companies protect revenues, reduce operating costs and strengthen supply chain resilience.
The joint report, Understanding Nature's ROI: Case Studies of Nature-related Opportunities in Action, examines how businesses across several sectors are integrating nature-related investments into their commercial strategies, with examples from Mars, Coca-Cola Europacific Partners (CCEP), United Utilities, Natura and Bosch.
According to the research, business resilience has emerged as a key driver of investment, as companies seek to manage risks associated with water scarcity, resource availability, supply chain disruption and environmental degradation.
Among the case studies is Mars, which has committed $1 billion over ten years to its Cocoa for Generations strategy. The programme focuses on deforestation- and conversion-free cocoa sourcing, ecosystem restoration and climate-smart agriculture to support the long-term availability of cocoa.
The investment is particularly significant for the company's snacking division, which accounts for 39% of its total sales.
Meanwhile, CCEP has invested in water stewardship initiatives across 11 countries, including riverbank restoration, wetland rehabilitation, aquifer recharge and support for farmers to improve water efficiency.
According to the report, these initiatives replenish more than 100% of the water volume used in the company's finished beverages and help mitigate potential annual operating profit impacts of up to €64 million.
In the UK, United Utilities has undertaken peatland, woodland and habitat restoration projects across its water abstraction catchments to help protect water quality and supply.
The research estimates that these activities safeguard £1.8 billion in annual water supply revenue, with project costs representing less than 0.01% of that figure.
Elsewhere, Brazilian cosmetics company Natura has invested in Amazonian bio-ingredient sourcing and regenerative palm oil agroforestry, helping improve agricultural yields and reduce fertilisation costs compared with conventional monoculture systems. These initiatives have also helped the company secure approximately $258 million in additional financing.
Bosch, meanwhile, has redesigned packaging across its wiper blade product line, reducing packaging waste by 50% and the product's carbon footprint by 24%, without increasing costs.
Across the case studies, the researchers identified several factors contributing to successful nature-related investments, including linking environmental initiatives to core business priorities such as water security, supply continuity and cost efficiency.
The report also highlights the importance of incorporating nature-related considerations into corporate governance, budgets and commercial decision-making, alongside collaboration with governments, financial institutions and supply chain partners.
However, the researchers identified gaps in how companies measure the financial value of these investments, particularly when assessing avoided losses, long-term resilience and the financial implications of nature-related risks.
Sebastian Leape, CEO of Natcap, said: "For nature to become a core business priority, companies need to understand its financial materiality. These case studies show what that looks like in practice: businesses investing in nature to protect revenues, strengthen supply chains, reduce costs and build resilience."
He added: "The next step is making that business case more systematic, giving decision-makers credible evidence to understand where nature-related risks and opportunities could have the greatest financial impact and where investment should be prioritised."
The report calls for companies to assess nature-related investments over longer timeframes and develop stronger methods for measuring their commercial benefits, rather than focusing solely on immediate financial returns.
It also provides a framework to help sustainability, finance, procurement and risk teams identify opportunities where environmental improvements can deliver measurable business value.
