The CSRD applies to large EU companies that meet at least two of the following criteria:  

• more than 250 employees,  
• over €40 million in turnover,  
• or more than €20 million in total assets.  

It also affects EU-listed SMEs and non-EU companies with over €150 million in annual EU turnover and at least one subsidiary or branch in the EU. 

CSRD reporting requirements begin in phases: from 2024 for large listed companies previously subject to the NFRD, 2025 for other large companies, 2026 for listed SMEs (with a possible delay until 2028), and from 2028 for non-EU companies with significant EU operations.

Under CSRD, companies must disclose information aligned with the European Sustainability Reporting Standards (ESRS), covering environmental, social, and governance (ESG) topics. This includes sustainability targets, financial risks and opportunities, impacts, policies, and progress – based on the double materiality principle.

Double materiality is a core concept of the CSRD. It requires companies to report both how sustainability issues affect their financial performance (financial materiality) and how their business impacts people and the environment (impact materiality). If you want to learn more, read our blog article Double Materiality made easy.

Companies can simplify CSRD compliance by using digital tools like the osapiens HUB for CSRD. It automates data collection, enables double materiality assessments, ensures ESRS-aligned reporting, and prepares audit-ready documentation – saving time and ensuring accuracy.