The Influence of Environmental, Social, Governance (ESG) Disclosure on Firm Value: Mediating Role of Earning Quality
Year: 2025
Type: article
Abstract: This study aims to investigate the effect of environmental, social, governance (ESG) disclosure as a mechanism to improve firm value through earnings quality as a mediator. This study uses stakeholder theory as the main theory and signal theory as a supporting theory. This study uses secondary data in the form of annual reports and sustainability reports of non-financial companies listed on the Indonesia Stock Exchange (IDX) for the 2021-2023 period. The number of samples was 109 company data for 3 years, which was selected using the purposive sampling method. The results of this study show that ESG disclosure has a positive and significant effect on earnings quality. Earnings quality has a positive but not significant effect on firm value. ESG disclosure has a positive and significant effect on firm value. In addition, earnings quality do not play a role in mediating the relationship between ESG disclosure and firm value.
Source: AJAR
DOI: 10.35129/02a0dm70
Institution: Universitas Atma Jaya Makassar
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4413524628