Sustainability reports and their impact on firm value: Evidence from Saudi Arabia

Nagat Mohamed Marie Younis ()

International Journal of Management and Sustainability, 2023, vol. 12, issue 2, 70-83

Abstract: This study aimed to clarify the significance of sustainability reports and test the impact of the disclosure of sustainability reports on firm value. To achieve this end, the researcher conducted an applied study of the firms listed on the Saudi stock market during the period from 2017 to 2021. A sample of (60) firms was selected with a total number of 300 data points. Firm value was measured using four different measures: Tobin's Q, market value per share, price/book value ratio per share, and security return. An indicator was created to measure the level of disclosure of sustainability reports and another to measure the quality of disclosure of sustainability reports. To measure the study's variables, the content analysis method was used. Based on the results of the regression analysis, the study concluded that an intrinsic correlation exists between the level of disclosure of sustainability reports and the firm value, as well as a correlation between the quality of disclosure of sustainability reports and the firm value. The study recommends the following: First, an accounting standard for the disclosure of sustainability reports should be issued. Secondly, sustainable development criteria should be included in the academic criteria at Saudi universities. Thirdly, meetings with accountants and members of the Saudi capital market and firms should be held to find solutions to the challenges facing firms when preparing sustainability reports. Finally, further scientific research should be conducted in this field.

Keywords: Corporate performance; Corporate social responsibility; Firm value; Global reporting initiative; Saudi capital market; Sustainability reports. (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://archive.conscientiabeam.com/index.php/11/article/view/3275/7318 (application/pdf)
https://archive.conscientiabeam.com/index.php/11/article/view/3275/7519 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pkp:ijomas:v:12:y:2023:i:2:p:70-83:id:3275

Access Statistics for this article

More articles in International Journal of Management and Sustainability from Conscientia Beam
Bibliographic data for series maintained by Dim Michael ().