As a country, Portugal dropped one place in KWD Webranking’s 2011 survey of 950 websites in 40 countries. Except for Portugal Telecom, the scores of Portuguese companies slipped – some of them badly. Results show, however, that Portuguese publicly traded companies have improved their communication of corporate responsibility. Findings also evidence that strategy falls short, financial goals are rare and the display of stress scenarios seems to be a concern for one company only – Galp Energia. This is all the more worrying as this is the kind of information financial markets are looking for in these troubled times.

For the fifteenth consecutive year, KWD has surveyed corporate websites of the largest listed companies to evaluate how they address the online information needs of their diverse institutional audiences. Previously known as H&H Webranking, KWD Webranking includes the FT Europe 500 and the 100 largest companies in FT Global 500.

Overall scores fall

As a country, Portugal went down by one notch, from 12th place in 2010, and its average score slid 4.64 points to 37.58 out of 100 points.

Online reporting is at an early stage

Across Europe online annual reports are ubiquitous as 71% of market participants now find them important or very important. However, no ranked company in Portugal provided an annual report in HTML to its target groups. EDP Renováveis, Jerónimo Martins and Portucel delivered Flash-based annual reports, which focus on design rather than navigation or functionality.

Attracting talent is not a concern

At least, if career sections are to be trusted. The traditional application form is the rule rather than the exception and engaging content about opportunities is all but lacking. Testimonials from employees are a virtually unknown feature. This is all the more worrying as 44% of students or job seekers between 18 and 44 years old find short interviews with or statements by employees important or very important. BCP did not score at all and Galp Energia, otherwise a good performer, did not deliver more than a job application form.

Investment case: An unknown concept

Investors look for the rationale for investing in a given company and Portuguese companies seem to be unconcerned about that. Among the surveyed companies, Galp Energia is the only one to provide online an investment case. Key items such as strategy, business model or risk management – let alone forward-looking guidance – seem to be out of scope for Portuguese corporate websites.

Content is an issue

Content in Portuguese websites does not generally take account of the web medium’s specific needs. Because people scan rather than read when they face the screen, clear and concise web copy is an absolute requirement. But what we see instead is content which has been written for the printed media, itself consisting of long and dull text. Video messages are on offer from just a few companies – BCP, EDP and Galp Energia.

Quick facts are missing

People such as journalists who look for useful, condensed information, have a hard time when trying to find at-a-glance data in Portuguese websites. Two-page fact sheets that provide instant information about the company are virtually non-existent – only Banco Espírito Santo offers one. This is hardly in line with user aspirations as 45% of market participants view a fact sheet in PDF (about the business, the stock, the management and the owners) as important or very important.

How rankings have changed over the year

For the fourth year running, Portugal Telecom is the winner in 2011; it has also been the only company to improve its performance year on year. Following a 20-point rise in 2010, Galp Energia lost steam, dropping 0.25 points to 50.5. In spite of a 7.5-point fall, EDP slipped one position to 3rd place. Jerónimo Martins, which plunged 8.75 points from 47.25 in 2010 to 38.5 in 2011, was the steepest faller and slid to 5th place, Banco Espírito Santo climbed to 4th after it could contain scoring losses. Portucel, the only newcomer to the survey, landed on the 8th place.

Staffan Lindgren, Managing Director International at KWD, said:

“Portugal Telecom was the winner once again, yet it is nearly halfway to the top and very distant from European peers such as Telecom Italia or TeliaSonera”.

“Portuguese companies still have quite a way to go towards meeting information needs from the investment community. No company discloses its financial targets and banks do not provide information on the outcome of stress tests as expected by investors”, adds Staffan Lindgren.

In corporate responsibility, though, Portugal scored big after moving up by 11 positions to 5th place. Nevertheless, Lindgren cautioned: “Given the current economic uncertainty, investing audiences tend to put a premium on financial rather than sustainability information.”

Weak spots continue to be employer branding (14% of full score on average), social media (16%) and press rooms (30%).

Read the full article or short snippets on Jornal de Negócios’ website.

• Full article Jornal de Negócios in Portuguese (PDF)
• Summary of article in Jornal de Negócios in English (PDF)
• Snippet on Jornal de Negócios’ website
• Second snippet in Jornal de Negócios’ website
• Article in Briefing.pt
• Portugal’s result