Leveraging firm governance mechanisms for integrated reporting in sub-Saharan Africa: does earnings management matter?

Prince Brefo Boakye (), Bernard Bawuah and Desmond Bayond
Additional contact information
Prince Brefo Boakye: Simon Diedong Dombo University of Business and Integrated Development Studies
Bernard Bawuah: Simon Diedong Dombo University of Business and Integrated Development Studies
Desmond Bayond: Simon Diedong Dombo University of Business and Integrated Development Studies

SN Business & Economics, 2025, vol. 5, issue 3, 1-34

Abstract: Abstract The study examines the impact of firm governance mechanisms on integrated reporting considering the moderating role of earnings management of listed companies in sub-Saharan Africa (SSA) countries. Drawing insight from the agency, stakeholders, and legitimacy theories, we construct models that link the relationship. To test the hypotheses, we employed 334 listed companies in SSA countries from the years 2010 to 2022. Moreover, the study employed the generalized least square (GLS) estimator along with a battery of robustness and heterogeneity tests employing alternative estimators. The findings reveal that independent directors, gender diversity, age diversity, audit committee, and CSR committee recorded a positive link with integrated reporting. However, the CEO duality and ethics committee recorded a negative link with integrated reporting. In addition, the firm governance mechanism effectively promotes integrated reporting when earnings management exists in the firms. Finally, the findings indicate a significant heterogeneous impact on how international corporations and local firms practice corporate governance principles to impact IR. The study’s findings offer valuable insights for policymakers, regulators, and corporate managers, contributing to the broader understanding of corporate governance and integrated reporting in emerging markets.

Keywords: Integrated reporting; Firm governance mechanisms; Earnings management; Sustainability reporting; Sub-Saharan Africa (search for similar items in EconPapers)
Date: 2025
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s43546-025-00790-2 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

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:spr:snbeco:v:5:y:2025:i:3:d:10.1007_s43546-025-00790-2

Ordering information: This journal article can be ordered from
https://www.springer.com/journal/43546

DOI: 10.1007/s43546-025-00790-2

Access Statistics for this article

SN Business & Economics is currently edited by Gino D'Oca

More articles in SN Business & Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().