The best Annual Reports of 2025 – Six things that set them apart from the rest

What distinguishes a truly excellent annual report from one that merely meets the requirements? What trends are emerging, what solutions are common among the leading companies, and what shortcomings do we see over and over again?

To obtain as broad and fair a picture as possible, we at AVA have conducted a systematic review of 140 annual reports from Swedish Large- and Mid-Cap publicly traded companies, with a particular focus on those with the highest market capitalization. Instead of only examining design or individual elements, we evaluated the reports based on a number of criteria, including transparency and clarity, financial communication, strategy and future outlook, the quality of the CEO’s message, design and user-friendliness, risk reporting, sustainability and ESG, as well as corporate governance and accountability.

The results have not only given us an overview of which companies that maintain the highest quality – they have also revealed clear patterns in how annual reports are evolving and which characteristics recur in the very best reports.

In this article, we therefore not only highlight best practices but also summarize the key trends we see for the 2025 fiscal year, what distinguishes the strongest reports in each area, and the common shortcomings that still prevent many companies from reaching their full potential.

Transparency and Clarity

A good annual report should make it easy for the reader to understand the company’s operations, results, and key issues. In our assessment, we examined how openly, clearly, and consistently the companies communicate. One of the clearest trends in this year’s annual reports is that an increasing number of companies are succeeding in creating a clear common thread throughout the report. Business models, strategies, goals, and financial results are linked together in a more accessible way than before, often with the help of cover pages, summaries at the beginning of major chapters, and graphic elements that visualize complex relationships. Another clear trend is that an increasing number of companies are choosing to name their strategy or long-term vision and consistently refer back to it throughout the annual report. This creates recognition, reinforces the overarching theme, and makes it easier for the reader to follow how the business model, goals, and results are interconnected – a point we’ll return to in the strategy section.

The reports that stand out the most don’t just report on what has happened; they also help the reader understand why developments have unfolded the way they have. They create a logical narrative throughout the report, use consistent terminology and key metrics, and gradually build the reader’s understanding of the business. We also see several good examples of companies that succeed in making complex information more accessible. BioArctic, for example, uses simple illustrations to explain how antibodies clear misfolded proteins from the brain, thereby making advanced research easier to understand while effectively explaining the company’s operations. Loomis* stands out with a consistently clear structure in which symbols, diagrams, and an illustrated value chain help the reader quickly get their bearings and understand the business. Latour also impresses with a consistent and unified structure that creates a calm and accessible flow of information throughout the annual report.

An investment case in the introduction to the annual report enhances its clarity and transparency, and Instalco* is a good example of this. They present “Five Reasons to Invest” and the strength lies in the fact that these five qualitative reasons are supported by concrete figures and clear charts, making it easy to understand why the company considers itself a worthwhile investment. 

One recurring area for improvement concerns the writing style. Several reports use industry- or company-specific terminology, abbreviations, and concepts without providing sufficient context or explanation. For the knowledgeable reader, this is rarely a problem, but for new investors or other stakeholders, it can create unnecessary barriers. The strongest annual reports, on the other hand, succeed in making complex relationships understandable without oversimplifying the content, while clearly and concretely explaining how the business model works and how the company creates long-term value.

Financial Communication

Financial information is at the heart of the annual report, but it involves much more than simply presenting numbers. Perhaps the most noticeable trend in annual reports in recent years has been the shift from purely financial reporting toward more analysis and explanation. The best companies do not merely present figures and key performance indicators; they also help readers understand the drivers behind the company’s performance and how its financial results align with its strategy and long-term goals.

A common feature of the strongest reports is that they explain margin trends, cash flows, and other key metrics in an easy-to-understand way, while visualizing long-term trends with clear tables and charts. They create a natural link between operations, strategy, and financial results, making the information more accessible even to readers who are not deeply familiar with the company.

Saab is a clear example where each business area is presented with relevant and easy-to-understand key performance indicators, which provide a good understanding of the business’s development and performance. AFRY stands out by combining financial key performance indicators with commentary on market trends, demand, and profitability within each division. This gives the reader a deeper understanding of the factors driving performance and makes it easier to assess the company’s future opportunities and challenges. Other good examples include Investor, which provides a transparent presentation of its listed holdings and their performance, while JM effectively supplements the text with a large number of tables and charts, as well as reporting relevant key performance indicators for its geographic segments.

Hexagon* does an excellent job of describing the Octave spin-off as a separate financial entity even before the listing. They clearly outline which operations are included, present pro forma-style key metrics (revenue, EBIT margin, number of employees), and are transparent about the assumptions underlying the figures. At the same time, they communicate uncertainties, separation costs, and regulatory conditions in a balanced manner. This makes it easier for investors to value both the remaining Hexagon and the future Octave.

At the same time, there is room for improvement at many companies. A recurring shortcoming is the extensive use of alternative performance measures without explaining them clearly enough—why they are relevant or in what context they should be interpreted. We also see many examples where results and performance are described in detail, but where the analysis is relatively limited. It is therefore important that companies help readers interpret and understand the figures in their annual reports.

Strategy and Outlook

One of the areas where we see the greatest development in the 2025 annual reports is how companies communicate their strategy. Many companies are choosing to present it in a separate, cohesive chapter and are working more consciously to establish a clear link between their business model, strategy, investments, and long-term value creation. It is also becoming more common to use visual models to illustrate strategic pillars, priorities, and how different parts of the business are interconnected. This is perhaps the area where the difference between good and truly excellent annual reports has become most apparent.

The best reports go beyond general ambitions to outline clear priorities and concrete courses of action. They describe the market trends affecting the business, how the company is positioning itself to address them, and how the strategy is put into practice through investments, business development, and capital allocation.

Sweco is a clear example of this, as it first describes the key drivers affecting the market and then shows how the company is working to address each of these trends. The strategy is presented in an accessible way through the sections “Why,” “What,” and “How,” supplemented with visual symbols that help the reader navigate the section.

Billerud is another good example where the strategy is clearly grounded in the current market situation. Through its “Way Forward” strategy, changes in the external environment and geopolitical challenges are linked to concrete priorities such as cost-cutting measures, portfolio changes, and investments. Rather than stopping at broad visions, the company describes the choices it is making and why, creating a credible and action-oriented strategic narrative.

Axfood stands out by integrating sustainability as a natural and central part of its overall strategy and business development. Strategic priorities are clearly linked to issues such as sustainable food systems, responsible supply chains, and resource efficiency, while also being related to the company’s long-term growth and competitiveness. Throughout the report, a clear connection is established between external developments, business strategy, and sustainability goals, making it easy for the reader to understand how sustainability efforts contribute to both value creation and future business opportunities.

Despite this positive trend, many companies still use general language about growth and long-term value creation without specifically describing the priorities they are actually setting or the choices that underlie their strategy. Often, the future outlook is also described at a general level, while discussions of various scenarios, risks, and potential challenges are relatively limited. The most compelling annual reports not only present a vision for the future but also explain how the company plans to get there.

The Quality of the CEO’s Message

The CEO’s message is often the part of the annual report that sets the tone for the entire report and provides insight into the company’s culture, leadership, and outlook for the future. In this year’s review, we see a shift toward a more personal and narrative style, with more companies supplementing the traditional review of results with their own reflections on market trends, strategic decisions, and external challenges. In our previous article, you can read a more in-depth analysis of the art of writing the perfect CEO’s message.

The best CEO messages are characterized by a clear, personal voice and a willingness to reflect on both opportunities and challenges. Rather than solely highlighting successes, they explain why the strategy is structured the way it is, describe difficult decisions, and place the year’s developments in a broader context. We’re also seeing that themes such as AI, digitalization, and geopolitics are taking on an increasingly prominent role and are described as concrete drivers of the business’s future development.

Several companies stand out by challenging the traditional format. During his two years as CEO of Avanza, Gustaf Unger has used storytelling and personal anecdotes to create a sense of warmth and connection, with examples and quotes that convey a clear sense of the company’s culture and leadership: “When I was six years old, with my grandfather’s help, I bought my first share in the shipping company Svea” and “Even more so than today, we want to be the company that everyone wants to recruit from.”

Johan Hjertonsson, CEO of Latour, has chosen an interview format that makes communication more lively and personal, including sections such as “Three Things on My Radar for 2026,” where future-oriented issues and AI are discussed in a concrete and accessible way. SEB combines perspectives from Chairman Marcus Wallenberg and CEO Johan Torgeby in a dialogue format that creates an unusually open and reflective tone.

Another clear trend is that AI has taken on a significantly more prominent role in CEOs’ statements. Peter Nilsson, CEO of Trelleborg, for example, describes how the technology is used to optimize production, streamline administrative processes, and create a deeper understanding of customer needs. Similarly, Sweco’s CEO Åsa Bergman highlights innovative AI solutions and discusses how technological developments affects work methods, talent acquisition, and recruitment.

Many CEO messages are still perceived as overly polished and generic. The statements are often well-written but offer few real insights into the company’s challenges, difficult trade-offs, or lessons learned from the past year. The most memorable CEO statements aren’t necessarily the most optimistic—but rather those that feel genuine, personal, and give the reader a clearer understanding of the people and the thinking behind the decisions.

Design and User-Friendliness

A well-thought-out design is not just about aesthetics but also about making information easy to find and understand. We have evaluated the reports’ visual presentation, structure, navigability, and how effectively graphics and illustrations are used to reinforce the message. The design of this year’s annual reports is characterized by a clear trend toward a cleaner and more minimalist look. More companies are using airier layouts, limited color palettes, and a clear typographic hierarchy where readability and information structure take precedence over decorative elements. The focus is increasingly on helping readers find the right information quickly and creating a calm and consistent reading experience.

Among the best reports, we also see a thoughtful use of summaries, clear information hierarchies, and consistent illustrations that reinforce the message rather than compete with it. Clickable tables of contents and navigation solutions have become significantly more common and contribute to a more user-friendly experience, especially in extensive digital reports.

Saab stands out as a particularly good example of how design and function work together in an exemplary way. The clickable side menu on the right provides natural support for navigation without disrupting the reading flow, while the report features a clear structure and a consistent visual style. Bravida also impresses with a stylish and easy-to-navigate design featuring a side menu and a well-structured investment case with five clear investment arguments, reinforced by relevant charts showing, among other things, net sales, EBITA, and cash generation. 

Investor and AFRY also demonstrate the strength of a more minimalist design language. Investor employs a streamlined and consistent design that puts the content in the center, while AFRY combines an airy layout and pleasant color tones with a clear navigation structure that makes the report easy to navigate. At the same time, Dometic and Fabege demonstrate that an annual report can feel both modern and well-designed even without a side menu, thanks to a consistent visual style and a well-thought-out information structure.

Despite this, many reports are still characterized by excessive amounts of text, while charts are often too small and the information hierarchy becomes unclear. This makes it difficult for the reader to quickly identify and absorb the most important messages. We also see examples where graphic elements are used extensively without adding clear informational value or enhancing understanding. One company that excels at visual communication, however, is Viva Wine Group*. Through clear charts, well-balanced graphic elements, and a consistent design, the written content is reinforced, and the report becomes both more accessible and engaging to read.

An overarching conclusion from this year’s review is that the best design is rarely the most spectacular, but rather the one that, in a discreet and thoughtful way, helps the reader understand and absorb the content.

Risk Reporting

The risk section provides an important picture of how well the company understands and manages the challenges that may affect its operations. We have reviewed how specifically and relevantly the risks are described, as well as how clearly the companies report on their efforts to manage and monitor them. A generally positive trend is evident here.

Risk reporting has become an increasingly integrated part of companies’ overall narrative and is no longer merely a separate section prepared solely for regulatory compliance. In this year’s annual reports, we see a clear trend where risks are increasingly linked to business models, strategy, and long-term value creation. Climate-related risks, cybersecurity, and geopolitical uncertainty are also given significantly more attention than before and are increasingly described as business-critical issues rather than external circumstances. The best reports do not merely list various risks; instead, they prioritize the most material ones and explain both their potential consequences and how they are managed within the business. This makes the risk sections more relevant and gives the reader a clearer understanding of how the company approaches risk management in practice.

Several companies stand out for their structured approach. Addnode uses a clear framework in which risks are assessed based on both probability and impact, supplemented by an illustrative description of the company’s risk management process. Intea categorizes risks into strategic, operational, financial, and compliance-related areas, which creates a logical structure and makes it easy to understand how different types of risks are managed.

MEKO presents its risks using a clear model in which probability and impact are rated on a scale from 1 to 3, and changes over time are marked with arrows. Telia uses a similar visual approach by combining a materiality assessment with indicators that show whether each risk is increasing, decreasing, or unchanged compared to the previous year. Such visualizations help make an often-complex section significantly more accessible. Loomis* is also a positive example, with an unusually comprehensive and well-developed risk disclosure where the descriptions go beyond mere standard phrasing and provide a clear picture of the business’s risk profile.

However, not all companies have made the same progress. In many annual reports, the risk section still consists of long lists in which risks are described in a relatively standardized manner and given roughly the same weight. When priorities and analyses of the actual business impact are missing, it becomes difficult for the reader to understand which issues are most critical. The best reports, on the other hand, succeed in placing the risks in context and clearly explaining their significance for future development.

Sustainability and ESG

Sustainability has become an increasingly integral part of companies’ business and long-term strategies. In our previous article, you can read a more in-depth analysis of CSRD best practices from major Nordic companies. In this assessment, we have instead taken a more comprehensive look at how well sustainability issues are linked to business operations, which goals and results are reported, and how clearly companies demonstrate their work in the areas of the environment, social responsibility, and corporate governance.

If there is one clear overarching trend in the 2025 annual reports, it is that sustainability issues are increasingly less likely to be treated as a standalone chapter and are instead being woven into business strategy, goals, and operational management. The best reports clearly demonstrate how sustainability efforts contribute to the company’s competitiveness and long-term value creation. ESG is naturally integrated into strategy, investments, and risk management, while progress is tracked using concrete KPIs and transparent performance reporting. The focus is not merely on ambitions but on how sustainability efforts actually impact the business.

AB Volvo and Axfood are two clear examples where sustainability goals hold just as much importance as financial goals and are presented as an integral part of the companies’ overall governance and strategy. This signals that sustainability issues are not viewed as a separate initiative but as a natural part of the business’s long-term development.

Electrolux also provides several examples of best practices, particularly through its sustainability strategy – “For the Better.” In the strategy section of the front section, each page detailing strategic drivers is supplemented by a box listing “Sustainability Highlights.” The report thus establishes a clear link between sustainability and strategic priorities, as well as a well-illustrated value chain that concretely explains how sustainability efforts are integrated throughout the business.

There are still significant differences in companies’ sustainability reporting. Many report ambitious goals and initiatives but follow up on the results or demonstrate the actual business benefits to only a limited extent. The best annual reports, on the other hand, integrate sustainability into strategy, governance, and value creation and clearly show how these efforts strengthen the company’s long-term competitiveness.

Corporate Governance and Accountability

Good corporate governance is an important prerequisite for long-term trust and sustainable value creation. Here, we have assessed how clearly the companies describe the division of responsibilities, governance structure, control functions, and the processes designed to ensure responsible and transparent decision-making.

Corporate governance is one of the most heavily regulated sections of the annual report, but this year’s review shows that an increasing number of companies are actively working to make the information more understandable and easily accessible. We see clearer descriptions of governance structures, greater transparency regarding the division of responsibilities, and a stronger link between governance, strategy, incentive programs, and sustainability goals.

The best reports go beyond simply describing the organization’s structure on paper; they also show how decisions are actually made and how governance contributes to long-term value creation. Visual models, clear chains of responsibility, and educational illustrations are increasingly used to make complex governance issues understandable even to readers unfamiliar with the subject.

Electrolux is a prime example where governance, internal control, and risk management are presented through clear frameworks and easy-to-follow illustrations. Descriptions of control systems and the Enterprise Risk Management process make it easy to understand how the company approaches governance and monitoring in practice, rather than merely describing the formal structures.

BioArctic also stands out for its informative presentation of the board of directors and a clear graphical overview of corporate governance, which gives the reader a quick understanding of the division of responsibilities and the organization. Many companies still lack this type of illustration of their structure, even though it significantly improves readability. At the same time, SEB demonstrates how transparency can be further enhanced by supplementing the descriptions with visual summaries of the board’s composition, for example regarding gender distribution and nationality. This type of information makes the reporting more concrete while also providing an additional angle to the pages.

The quality of corporate governance reporting still varies widely among companies. Many sections are characterized by long, boilerplate text and a focus on regulatory compliance, while the best reports succeed in explaining how governance works in practice. In these cases, corporate governance becomes not just a formal report, but a tool for building trust through openness and clarity.

Six Things That Set a Good Annual Report Apart from a Really Good One in 2025

After reviewing 140 annual reports from Sweden’s largest publicly traded companies, a number of clear common themes emerge. The best reports do not necessarily stand out by containing more information, but by presenting the information in a more relevant, educational, and credible way.

1. The report explains why, not just what.

The best reports help the reader understand the driving forces behind the company’s performance, not just the results themselves. By placing figures and events in context, it becomes clearer how the company creates value and manages changes in the external environment.

2. The strategy permeates the entire report.

The business model, goals, investments, and results are interconnected and create a clear common thread throughout the annual report. Readers should be able to easily see how strategic priorities are translated into concrete activities and results.

3. Sustainability is presented as a core business focus, not as an afterthought.

ESG issues are integrated into strategy, risk management, and value creation rather than treated as a separate reporting requirement. The strongest reports clearly demonstrate how sustainability efforts impact the business and the company’s long-term competitiveness.

4. The CEO’s message feels like it was written by a person, not from a communications manual.

The most impactful CEO messages contain personal reflections, concrete insights, and a clear line of reasoning regarding opportunities and challenges. They give the reader a genuine picture of management’s perspective and priorities.

5. The design helps the reader understand.

Charts, illustrations, and layout are used to explain complex relationships and make the report easier to navigate. When the design supports the content, it becomes easier to quickly identify the most important messages.

6. A clear investment case demonstrates why the company is an attractive investment.

Several of this year’s strongest annual reports include a well-developed investment case that summarizes the company’s strengths, market position, and long-term value creation. This gives the reader a quick understanding of the business and serves as a bridge between strategy, business model, and investment perspective. 

This is also where the clearest distinction between a good and a truly excellent annual report emerges. The best reports don’t just report on the business – they help the reader understand it.

All annual reports mentioned in the article: 

Addnode, AFRY, Avanza, Axfood, Billerud, BioArctic, Bravida, Dometic, Electrolux, Fabege, Hexagon*, Instalco*, Intea, Investor, JM, Latour, Loomis*, MEKO, Saab, SEB, Sweco, Telia, Trelleborg, Viva Wine Group*, Volvo

*Refers to companies that are clients of AVA. The analysis was conducted by analysts who were not involved in the production of these annual reports, in order to ensure an independent and consistent assessment of all reports reviewed.