The influence of carbon disclosure on financial performance moderated by carbon performance and firm size
DOI:
https://doi.org/10.33021/jaaf.v10i1.6485Keywords:
climate change, carbon disclosure, financial performanceAbstract
Climate change issue which causes by greenhouse gas emission have become an emerging issue, government, and business world. This prompted the government to issue regulations regarding carbon disclosure for public companies. This study aims to determine whether carbon performance and firm size play a significant role in the relationship between carbon disclosure and financial performance. This study uses a quantitative method, with firms that classified as industrial and basic material company that listed on the Indonesia Stock Exchange (IDX) throughout the 2021 – 2023 period taken as the sample. The results of the study prove that carbon performance does not moderate the relationship between carbon disclosure and financial performance. Further, company size has been shown to moderate the relationship between carbon disclosure and financial performance. This research is limited to companies in the industrial and basic materials sectors. Further research is expected to be able to examine other sectors listed on the Indonesian stock exchange.
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