Xero Limited, commonly known as Xero, is a leading cloud-based accounting software provider headquartered in New Zealand. Founded in 2006, Xero has rapidly expanded its operations across major regions, including Australia, the United Kingdom, and North America, establishing itself as a key player in the financial technology industry. Xero offers a suite of innovative products designed to simplify accounting for small to medium-sized businesses. Its unique features, such as real-time collaboration and automated bank feeds, set it apart from traditional accounting solutions. With a strong market position, Xero has garnered numerous accolades, including recognition as one of the fastest-growing software companies globally. The platform's commitment to user-friendly design and robust functionality continues to drive its success in the competitive accounting software landscape.
How does Xero's carbon action stack up? DitchCarbon scores companies based on their carbon action and commitment to reducing emissions. Read about our methodology to learn more.
Mean score of companies in the Computer Services industry. Comparing a company's score to the industry average can give you a sense of how well the company is doing compared to its peers.
Xero's score of 64 is higher than 81% of the industry. This can give you a sense of how well the company is doing compared to its peers.
In 2025, Xero's total carbon emissions reached approximately 55,996,000 kg CO2e, with Scope 1 emissions at about 18,000 kg CO2e, Scope 2 emissions at approximately 681,000 kg CO2e, and Scope 3 emissions totalling around 53,297,000 kg CO2e. Notably, the Scope 3 emissions included significant contributions from business travel (about 13,299,000 kg CO2e) and capital goods (approximately 2,104,000 kg CO2e). Xero has set ambitious climate commitments, aiming for net-zero emissions across all scopes by no later than FY50. In the near term, the company targets a 42% reduction in Scope 1 and 2 emissions and a 17% reduction in Scope 3 emissions from FY20 levels by FY30. Additionally, Xero has committed to reducing Scope 1 and 2 emissions by 60% by 2034 from a FY24 baseline. The company is also aligned with the Science Based Targets initiative (SBTi), committing to a 58.8% reduction in absolute Scope 1 and 2 emissions and a 35% reduction in Scope 3 emissions from purchased goods and services and business travel by FY34. These targets reflect Xero's dedication to addressing climate change and reducing its carbon footprint in a meaningful way.
Access structured emissions data, company-specific emission factors, and source documents
2020 | 2021 | 2022 | 2023 | 2024 | 2025 | |
---|---|---|---|---|---|---|
Scope 1 | - | - | - | - | 000,000 | 00,000 |
Scope 2 | - | - | - | - | - | 000,000 |
Scope 3 | 11,721,000 | 0,000,000 | 0,000,000 | 00,000,000 | 00,000,000 | 00,000,000 |
Companies disclose and commit to reducing emissions to show they are serious about reducing emissions impact over time. They can also help a company track its progress over time.
Xero is participating in some of the initiatives that we track. This may change over time as the company engages with new initiatives or updates its commitments. DitchCarbon will update this information as it becomes available.