THE VALUE RELEVANCE OF THE SUSTAINABILITY REPORTING (SR): EMPIRICAL EVIDENCE ON INDONESIAN

  • Susi Retna Cahyaningtyas Universitas Mataram
  • Saipul Arni Muhsyaf Universitas Mataram
  • Rahmi Sri Ramadhani Universitas Mataram
  • Zuhrotul Isnaini Universitas Mataram
DOI: https://doi.org/10.32666/tatasejuta.v9i1.488
Keywords: Sustainability Reporting, Relevansi Nilai, Earning, Book Value, Market Value

Abstract

This study empirically examines the value relevance of sustainability reporting (SR) in explaining the market value of the firm. The sample of this study is all non-bank companies and financial institutions that go public on the Indonesia Stock Exchange which disclose sustainability reporting for the period 2010 - 2020. Based on these conditions, 590 observations were obtained. Hypothesis testing using SPSS. If the SR*EPS (Earning Per Share) interaction and the SR*BVPS (Book Value Per Share) interaction are significantly positive on the market value, then SR has a value relevance in explaining the company's market value. The results show that SR reduces value relevance. This result indirectly proves that the company's financial information can still be used as a basis for decision-making by investors.

Published
2023-04-02
How to Cite
Cahyaningtyas, S., Muhsyaf, S., Ramadhani, R., & Isnaini, Z. (2023). THE VALUE RELEVANCE OF THE SUSTAINABILITY REPORTING (SR): EMPIRICAL EVIDENCE ON INDONESIAN. Jurnal Ilmiah Tata Sejuta STIA Mataram, 9(1), 200-208. https://doi.org/https://doi.org/10.32666/tatasejuta.v9i1.488
Issue
Vol 9 No 1 (2023): Jurnal Ilmiah Tata Sejuta STIA Mataram
Section
Articles