Impact of integrated reporting on firm value and earnings quality as a moderator in Southeast Asia

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The study analyzes the factors influencing integrated reporting and its implications for firm value with earnings quality as a moderating variable. The study was conducted on energy sector companies on stock exchanges of several Southeast Asian countries. The selection is due to Southeast Asia’s vulnerability to global market sentiment changes related to financial and sustainability aspects. The study employed the SEM-PLS analysis method. 208 data from 26 companies over 8 years were used. The investigation affirms that leverage, age, and board size have positively impacted integrated reporting. Firm size, growth, and board independence have a negative impact on integrated reporting. Profitability, board activity, and stakeholder pressure have not significantly influenced integrated reporting, but integrated reporting positively impacts firm value. Additionally, earnings quality does not moderate the influence of integrated reporting on firm value. The study provides insights for companies to improve the presentation of high-quality information to stakeholders. Increasing the firm value of energy companies in Southeast Asian countries needs to be done as a progressive concern for environmental impacts and sustainably creating integrated reporting. 

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    • Figure 1. Research model
    • Figure 2. Research hypothesis test results
    • Table 1. Indicator weight
    • Table 2. Structural model test
    • Table 3. Summary of P-value and path coefficient results
    • Table A1. Observed company data
    • Conceptualization
      Dwi Prastowo Darminto, Humaira Dinda Mulyadi
    • Data curation
      Dwi Prastowo Darminto
    • Formal Analysis
      Dwi Prastowo Darminto, Shanti Lysandra, Humaira Dinda Mulyadi, Nurmala Ahmar
    • Investigation
      Dwi Prastowo Darminto, Shanti Lysandra, Humaira Dinda Mulyadi, Nurmala Ahmar
    • Methodology
      Dwi Prastowo Darminto, Shanti Lysandra, Humaira Dinda Mulyadi, Nurmala Ahmar
    • Project administration
      Dwi Prastowo Darminto
    • Supervision
      Dwi Prastowo Darminto
    • Validation
      Dwi Prastowo Darminto, Shanti Lysandra, Nurmala Ahmar
    • Writing – original draft
      Dwi Prastowo Darminto
    • Visualization
      Shanti Lysandra, Humaira Dinda Mulyadi, Nurmala Ahmar
    • Writing – review & editing
      Shanti Lysandra, Humaira Dinda Mulyadi, Nurmala Ahmar