Assessing the Sustainability of Construction Companies in the Digital Context: An Econometric Approach Based on Financial, Social, and Environmental Indicators

Lucia Morosan-Danila (), Claudia-Elena Grigoras-Ichim, Florin Victor Jeflea, Dumitru Filipeanu and Alexandru Tugui
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Lucia Morosan-Danila: Faculty of Economics, Administration and Business, Stefan cel Mare University of Suceava, 720229 Suceava, Romania
Claudia-Elena Grigoras-Ichim: Faculty of Economics, Administration and Business, Stefan cel Mare University of Suceava, 720229 Suceava, Romania
Florin Victor Jeflea: Faculty of Economic Sciences, Ovidius University of Constanta, 900527 Constanta, Romania
Dumitru Filipeanu: Faculty of Constructions and Installations, Gheorghe Asachi Technical University of Iasi, 700050 Iasi, Romania
Alexandru Tugui: Faculty of Economics and Business Administration, Alexandru Ioan Cuza University of Iasi, 700506 Iasi, Romania

Sustainability, 2025, vol. 17, issue 10, 1-26

Abstract: The increasing pressure for transparency in corporate sustainability reporting, especially under frameworks such as the Corporate Sustainability Reporting Directive and the European Sustainability Reporting Standards, has raised the need for sector-specific models to integrate financial, social, and environmental indicators coherently and measurably. This study proposes a composite econometric model to assess the sustainability performance of companies in the construction sector in a digital context, a domain that remains underexplored despite its substantial economic and environmental impact. Drawing on a sample of 1600 Romanian construction companies over ten years (2013–2023), this study develops a multidimensional sustainability score and tests its financial drivers using ordinary least squares regression models. The model incorporates nine financial structure variables as predictors of sustainability outcomes across three dimensions—financial, social, and environmental—while ensuring robustness through heteroscedasticity and multicollinearity diagnostics. The results show that indicators such as the return on assets, debt ratio, and equity structure significantly influence sustainability performance, particularly in the financial and environmental dimensions. In contrast, the social dimension exhibits lower explanatory power. The findings suggest that financial resilience plays a critical role in shaping sustainable practices in the construction industry and support the adoption of integrated models for performance benchmarking and policy alignment.

Keywords: corporate sustainability; financial indicators; environmental performance; construction industry; econometric model (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:17:y:2025:i:10:p:4744-:d:1661247

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