J.D. Power Climate-Related Risk Report | TCFD & SB 261
J.D. Power Climate-Related Risk Report | TCFD & SB 261
J.D. Power’s climate-related financial risk and opportunity report aligned with TCFD recommendations and California SB 261 compliance requirements. Published November 2025.
Executive Summary
J.D. Power is a global leader in consumer insights, market research, data analytics, and advisory services. Our reputation is built on delivering trusted benchmarks, performance insights, and advisory solutions that empower clients to make data-driven decisions. We serve a wide range of industries, including automotive, financial services, insurance, healthcare, home improvement, technology, media and telecommunications, travel and hospitality, senior living, and utilities.
J.D. Power currently has operations in North America, Europe and Asia Pacific and is a privately held company within the Thoma Bravo portfolio.
J.D. Power recently expanded into sustainability-focused offerings through our Sustainability Index and the Certified Sustainability Leader Program, which supports the utility sector to advance customer engagement on climate programs. Additionally, with our acquisition of ZappyRide in 2023, we are positioned to deepen our role in supporting the automotive industry’s transition to electric vehicles. Additionally, within our Autovista business based in Europe, we have engaged in ESG-related reporting including through the EcoVadis platform.
This report marks our first formal assessment of climate-related risks and opportunities in North America by identifying our climate disclosures under California Senate Bill 261 (SB 261) and the Task Force on Climate Related Financial Disclosures (TCFD). Our disclosures reflect our current practices and establish a foundation for ongoing evolution in governance, strategy, risk management, and metrics.
Governance
Board Oversight of Climate-Related Risks and Opportunities
Our Board of Directors does not formally oversee climate-related risks, though at least on an annual basis, J.D. Power shares ESG-related information with Thoma Bravo. Additional Board oversight would be driven primarily by compliance requirements under California and other applicable climate regulations.
Management’s Role in Climate-Related Risks and Opportunities
Responsibility for climate-related disclosures for our North American business currently resides with our Corporate Legal Department, which has oversight for other related compliance matters. The Legal Department currently reports to our Chief Operating Officer and ultimately to the Board. Climate-related risks and opportunities are assessed in the context of regulatory compliance, supported by third parties engaged to assist with disclosure readiness. Climate considerations are not currently integrated into cross-functional decision-making across risk, finance, or operations.
Strategy
Climate-Related Risks and Opportunities Over the Short, Medium, and Long Term
We define short term as less than one year and medium term as 3–5 years for business planning and risk mitigation purposes. This disclosure represents our first structured evaluation as we have not historically monitored climate-related risks in our North American business.
Physical Risks
To complement our qualitative risk identification, we conducted a physical climate risk assessment using First Street Foundation’s risk modeling, under the SSP2 “Middle of the Road” scenario, across both current (2025) and long-term (2055, 30-year outlook) timeframes. Risks were evaluated for 1% annual probability (100-year event) across our physical footprint.
Physical risks do not present a widespread operational risk for our portfolio. Some properties face elevated risk of flooding, while properties across Central and Northern Europe registered a risk for operational disruptions from winter storms and freezing events. Drought exposure also emerges at higher levels in select sites, signaling possible long-term challenges around water availability and energy reliability. Other hazards such as wind, fire, and heat appear generally moderate in character, with no consistent pattern of high exposure. Overall, our portfolio’s leased office profile means building-level damage is less likely to be directly absorbed by the company, but operational continuity, access, and workforce safety remain core concerns. As a 95% remote workforce, our overall business model faces relatively limited direct exposure to acute or chronic physical risks. Our data centers have redundancy and business continuity plans in place.
Annual conferences represent another aspect of our business model. Physical interruptions to locations selected for these conferences may impact our business and require us to mitigate risk by transitioning to a remote hosting environment. Due to past weather-related disruptions affecting conferences, we have implemented contingency planning measures, including remote participation capabilities, and continue to evaluate locations to host future conferences and client events to mitigate potential disruption.
Transition Risks and Opportunities
Market Risks & Opportunities
Electric vehicles represent a market segment that we are well positioned to support. Our acquisition of ZappyRide strengthens our ability to serve electric auto manufacturers to a lower-carbon economy. Concurrently, we are noticing an increase of customer requests for emissions reporting and climate data, suggesting an evolving market expectation.
Alongside these developments, our Sustainability Index and Certified Sustainability Leader Program provide further opportunities to expand climate-related services and reinforce our role to support this market growth.
Policy & Legal Risks
The preparation of this TCFD-aligned report prepares us to meet SB 261 obligations and respond to future regulatory developments. In addition, we have a dedicated ESG
resource in the United Kingdom, responsible for UK compliance obligations such as SECR.
Technology Risks
More sustainable cloud and server infrastructures may become a priority over the medium term in the event it becomes more cost-effective to pursue a renewable energy data center infrastructure.
Impact on Business Model and Resilience of Strategy
Climate-related risks and opportunities are integrated in our business where appropriate. For example, our acquisition of ZappyRide was influenced by climate transition opportunities in the EV sector, reflecting our strategic intent to expand services in this market. Similarly, our Sustainability Index and certification program represents active lines of business that generate climate-related insights and recognition for utility companies, reinforcing our position as a trusted provider of sustainability-related intelligence. Similarly, our insurance underwriting is influenced by the need to protect against physical climate-related risks when assessing property exposures in our broader risk and financial planning framework. Our insurance brokers provide catastrophe likelihood and modeling for physical events such as floods, fires, and earthquakes. We also maintain redundancy in our technology infrastructure and rely on insurance risk models and contingency planning to evaluate resilience.
Risk Management
Processes for Identifying and Assessing Climate-Related Risks
We respond to climate-related risks and opportunities as they arise, with primary emphasis on ensuring regulatory compliance. Legislative monitoring serves as the primary tool for identifying new climate obligations.
Processes for Managing Climate-Related Risks
Management of North American climate risk resides within our legal department by an annual compliance review led by Senior Counsel. We leverage insights from insurance
providers regarding property-related risk exposures and maintain continuity planning for critical infrastructure.
Integration into Overall Risk Management
Current efforts for climate-related risks are compliance-driven, supported by insurance renewals and continuity planning.
Metrics & Targets
We currently report annual energy consumption through compliance with the UK’s SECR and ESOS frameworks. We have not set greenhouse gas (GHG) emissions targets or measured emissions beyond UK regulatory reporting requirements. Our focus remains on regulatory compliance and market-driven opportunities.
Cautionary Statement
NO PRESUMPTION OF MATERIALITY
This report has been prepared in accordance with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) to comply with California’s SB 261. It is intended to provide information regarding potential climate-related financial risks that the company may face. The risks and statements described herein are based on current knowledge, assumptions, and available data as of the date of publication.
Nothing in this document is intended to imply, nor should it be construed to indicate, that any specific risk or statement discussed is financially material to the company. The identification or discussion of any particular risk does not constitute an admission or representation regarding its materiality, probability, or potential impact under applicable securities laws or accounting standards. Readers are cautioned not to place undue reliance on forward-looking statements or scenario analyses, which are subject to inherent uncertainties.
The company undertakes no obligation to update any information contained in this report except as required by law.