INTEGRATED REPORTING AND FINANCIAL PERFORMANCE

2017 ◽  
Vol 16 (2) ◽  
pp. 101 ◽  
Author(s):  
Luk Pui Wen ◽  
Yap Kiew Heong, Angeline ◽  
Lim Chee Hooi, Simon
Keyword(s):  
Financial Performance ◽  
Business Model ◽  
Positive Impact ◽  
Listed Companies ◽  
Potential Contribution ◽  
Integrated Reporting ◽  
Return On Assets ◽  
Return On Equity ◽  
And Performance ◽  
International Integrated Reporting Council

ABSTRACT     Although the consciousness of Integrated Reporting (IR) is increasing within Malaysian companies, how IR creates value for their business is not completely understood. This paper attempts to investigate the potential contribution of IR implementation to the financial performance of the top 50 Malaysian public listed companies during the period of 2012 to 2015. The eight (8) IR content elements from the International Integrated Reporting Council (IIRC) framework are examined to predict the adoption rate of IR in relation to financial performance. This includes disclosure on organizational overview and external environment, governance, business model, risks and opportunities, strategy and resource allocation, performance, outlook, and basis of preparation and presentation. The data indicates that Malaysian PLCs reported more than 50% for every content element, except Basis of Preparation and Presentation (CE8).  Data analysis indicates that among the eight (8) content elements, four (4) of them, namely governance, business model, risks and opportunities, and performance disclosure, have significant positive impact on financial performances.  The finding of this paper provides insight into the contribution of IR in effecting the maintenance of business resilience and competitiveness in a fluctuating market. Therefore, this paper provides a significant impetus for implementation of IR among the Malaysian companies.     Keywords: Integrated Reporting, International Integrated Reporting Council, Malaysian Public Listed Companies, Return on Assets, Return on Equity

scholarly journals Impact of Corporate Governance on Financial Performance of Information Technology Companies

2019 ◽  
Vol 8 (3) ◽  
pp. 7460-7464
Keyword(s):  
Information Technology ◽  
Corporate Governance ◽  
Financial Performance ◽  
Audit Committee ◽  
Positive Impact ◽  
Return On Assets ◽  
Return On Equity ◽  
Broad Term ◽  
The Impact ◽  
Information Technology Companies

Corporate Governance is a broad term in today’s competitive world. It is a series of processes, policies, rules, and regulations by which companies are managed and governed. In this perspective, the study attempts to analyze the impact of corporate governance on the financial performance of Information Technology (IT) Companies in India. Specifically, the study analyzed the impact of Board size, Board Composition, and Audit Committee Independence on Return on Assets and Return on Equity, which are considered as measures of financial performance. The findings of the study revealed that there is a significant and positive impact of Corporate Governance on Financial performance of IT companies, and Audit Committee Independence shows the most significant effect on Financial performance. The finding of the study endeavors to contribute to the limited literature available in the context of corporate governance in IT companies in India.

scholarly journals Relationship between Company Financial Performance, Characteristic and Environmental Disclosure of ASX Listed Companies

2018 ◽  
Vol 73 ◽  
pp. 10024 ◽  
Author(s):  
Wahyuningrum Indah Fajarini Sri ◽  
Budihardjo Mochamad Arief
Keyword(s):  
Financial Performance ◽  
Listed Companies ◽  
The Other ◽  
Environmental Disclosure ◽  
Return On Assets ◽  
Return On Equity ◽  
Corporate Social Disclosure ◽  
Earnings Per Share ◽  
Sample Data ◽  
Corporate Social

The study expects to find positive relations between company financial performance, company characteristics, auditing firm, and the extent of company environmental disclosure. The sample data used in this study is 200 largest Australian listed companies (ASX) in 2014. In order to explain the corporate social responsibility practices in Australian companies, this study used stakeholder and legitimacy theories. The measurement of company environmental disclosure in this study involves nine indicators of environmental disclosure index based on Environmental Social and Governance (ESG). More specifically, the statistical analysis indicates that earnings per share, return on equity, type of company, size of company, age of company, and auditing firm positively influence the company environmental disclosure. On the other hand, the results showed that return on assets has no relationship with company environmental disclosure. Overall, this study has added some information about corporate social disclosure studies focused on environmental disclosure of largest Australian companies.

scholarly journals Effects of E-Banking Adoption on the Financial Performance of State-Owned Commercial Banks in Bangladesh

2021 ◽  
Vol 34 (4) ◽  
pp. 1-20
Author(s):  
Md. Imran Hossain
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Negative Impact ◽  
Positive Impact ◽  
Least Square ◽  
Return On Assets ◽  
Return On Equity ◽  
Net Interest Margin ◽  
Adoption And Implementation ◽  
Significant Negative Impact

This study examines the relationship between e-banking adoption and the financial performance of state-owned commercial banks in Bangladesh. The pooled ordinary least square (OLS) estimate was applied to analyze the panel data of the sample banks. The empirical findings reveal that e-banking adoption and implementation has a significant negative impact on banks' profitability in terms of return on assets, return on equity, and net interest margin in the year of adoption. However, the result also shows that e-banking has a significant positive impact on return on assets in the year following adoption.

scholarly journals Using DuPont analysis to assess the financial performance of the top 3 JSE listed companies in the food industry

2016 ◽  
Vol 13 (2) ◽  
pp. 29-44 ◽  
Author(s):  
Mishelle Doorasamy
Keyword(s):  
Financial Performance ◽  
Food Industry ◽  
Financial Analysis ◽  
Investment Decisions ◽  
Listed Companies ◽  
Strategic Decisions ◽  
Return On Assets ◽  
Return On Equity ◽  
Dupont Analysis ◽  
Measure Of Performance

This study attempts to measure the financial performance of the food industry taking the top three JSE listed companies Pioneer Foods, Tiger Brands and RCI for the period of 2013-2014. In order to achieve the objectives of this research, ratios such as return on equity (ROE), return on assets (ROA) have been calculated by applying the DuPont analysis. The DuPont analysis is an important tool to measure the operating performance of a firm (Sheela and Karthikeyan, 2012). The volatility of the stock market makes investment decisions a controversial issue for most investors. Investments of huge amounts of money need proper analysis in order to make an informed decision. Financial statements are indicators of the profitability and financial sustainability of the business. Ratios are tools used to quantify the risk element before making any strategic decisions, more especially, investment decisions. It has been reported to be one of the most important financial ratios, because it provides investors with a more comprehensive measure of performance (Demmer, 2015). A detailed financial analysis of all three companies using the DuPont system shows that investing in Tiger Brands would generate a higher return to shareholders than Pioneer Foods or RCI

scholarly journals Integrated Reporting and Financial Performance: Empirical Evidences from Bahraini Listed Insurance Companies

2018 ◽  
Vol 7 (3) ◽  
pp. 102 ◽  
Author(s):  
Huda Tariq Abdulrahman Albetairi ◽  
Gagan Kukreja ◽  
Allam Hamdan
Keyword(s):  
Financial Performance ◽  
Middle Eastern ◽  
Insurance Companies ◽  
Regression Analyses ◽  
Integrated Reporting ◽  
Return On Assets ◽  
Policy Makers ◽  
Research Findings ◽  
And Performance ◽  
Broad Understanding

In Middle Eastern countries, Integrated Reporting <IR> concept is gaining momentum and companies are adopting it in non-standardize way however, it is not mandatory by law. The current study is aimed at exploring <IR> among five listed insurance companies in Bahrain and its effects on their financial performance (Return on Assets assumed). Content, descriptive and linear regression analyses were employed to analyze the collected data over a period of four years from 2012 to 2015. The research findings suggested that there is a wide variation of companies’ compliance with <IR>, and the use of non-uniform disclosure formats. The content elements whose level of disclosures appeared to improve include the external environment and organizational overview, governance, and outlook, while there is a decreasing level of disclosures that are witnessed for risk and opportunities. The business model, strategy and resource allocation have a positive and significant relationship with Return on Assets (ROA), while risk and opportunities and performance elements negatively, but significantly related to ROA. This research will help the policy makers, regulators, investors, companies, researchers and analysts to understand the importance of <IR>. Further, it provides the broad understanding and application of <IR> to the researchers, academicians and students communities. 

scholarly journals Does Intellectual Capital Measurement Matter in Financial Performance? An Investigation of Chinese Agricultural Listed Companies

Agronomy ◽  
2021 ◽  
Vol 11 (9) ◽  
pp. 1872
Author(s):  
Jian Xu ◽  
Yi Zhang
Keyword(s):  
Financial Performance ◽  
Intellectual Capital ◽  
Driving Forces ◽  
Positive Impact ◽  
Value Added ◽  
Physical Capital ◽  
Return On Assets ◽  
Return On Equity ◽  
Relationship Of ◽  
Innovation Capital

Intellectual capital (IC) has become a crucial strategic resource in the knowledge economy. The purpose of this study is to understand the IC-financial performance relationship of listed Chinese agricultural companies. This paper uses the original value added intellectual coefficient (VAIC) model, the adjusted VAIC (AVAIC) model, and the modified VAIC (MVAIC) model to measure IC. The results show a positive and significant relationship between IC and financial performance (return on assets and return on equity) in three models. Additionally, human capital and physical capital are two major driving forces. In the AVAIC model, innovation capital exerts a positive impact on financial performance, whereas this impact is not significant at the 5% level in the MVAIC model. The results suggest that further improvements in IC measurement are still needed. This study has important implications for both academia and industry regarding IC measurement.

scholarly journals The effects of business strategies on the financial performance of the rubber and plastic industries

2020 ◽  
Vol 36 (67) ◽  
Author(s):  
Sylvia María Villarreal Archila ◽  
Karen Sofía Pardo Pérez
Keyword(s):  
Financial Performance ◽  
Strategic Orientation ◽  
Influential Factor ◽  
Business Strategies ◽  
Economic Sectors ◽  
Return On Assets ◽  
Return On Equity ◽  
Operating Margin ◽  
And Performance ◽  
The One

The following article is meant to analyze from a qualitative and quantitative approach the effects of business strategies on the financial performance of small, medium and large companies in the plastic and rubber industry at the Bucaramanga Metropolitan Area.The research began by compiling the financial indicators available at Cámara de Comercio de Bucaramanga to, later on, apply a Likert-type survey to characterize the strategic orientation and performance of the companies during 2017. This information was statistically analyzed using the SPSS software. A cluster and an ANOVA analysis were carried out with the following indicators: competitive factors, perception of effectiveness, ROA and ROE. After the analysis, it was possible to determine that 58% of the companies have an analytical strategic orientation, followed by a 31.5% of companies with a defensive profile, and 10.5% of companies with a prospective one. While the operating margin is the most influential factor, the growth rate is the one with the most significant variation according to entrepreneurs’ perception. Researchers determined that companies’ strategies do not influence the assets turnover, debt ratio, internal leverage, return on assets and operating margin; however it was possible to notice a positive relationship between external leverage indicators and return on equity. This research serves as a foundation for future academic exploration in one of the economic sectors that currently demand the most critical challenges in terms of environmental awareness.

Re-examining Reputation–Performance Liaison in Indian Context

2018 ◽  
Vol 6 (2) ◽  
pp. 100-112 ◽  
Author(s):  
Amanpreet Kaur ◽  
Balwinder Singh
Keyword(s):  
Financial Performance ◽  
Corporate Reputation ◽  
Positive Impact ◽  
Stock Exchange ◽  
Superior Performance ◽  
Return On Assets ◽  
Return On Equity ◽  
Corporate Managers ◽  
Asset Turnover ◽  
The Impact

Prolific research examining the impact of a good corporate reputation on financial performance has bestowed equivocal findings. Despite this inclusivity, corporate reputation continues to gain impeccable importance in sustaining superior performance. Corporate reputation has emerged as an important asset in emerging markets such as India, where firms are facing competition at the global level. An endeavor has been made through current study to re-examine the reputation–performance liaison in a different economic setting deploying a different measure of corporate reputation. Panel regression technique has been applied on top 500 Indian companies constituting Bombay Stock Exchange (BSE) 500 index to observe the impact of corporate reputation on subsequent financial performance during the period ranging from April 1, 2002 to March 31, 2012. The findings of the study reveal that past reputation (captured through listing age) has a significant positive impact on all three measures of financial performance (return on assets [ROA], return on equity [ROE], and asset turnover ratio [ATR]). Hence, the results are in line with previous studies that consider reputation as a strategic resource necessary to enhance firm performance. The study bears significant implications for corporate managers that they should manage the reputation of their organization effectively and use it as a strategic tool to gain competitive advantage.

scholarly journals NEXUS BETWEEN INTELLECTUAL CAPITAL AND FINANCIAL PERFORMANCE: AN INVESTIGATION OF CHINESE MANUFACTURING INDUSTRY

2020 ◽  
Vol 0 (0) ◽  
pp. 1-19
Author(s):  
Jian Xu ◽  
Feng Liu
Keyword(s):  
Financial Performance ◽  
Intellectual Capital ◽  
Manufacturing Industry ◽  
Listed Companies ◽  
Profit Margin ◽  
Return On Assets ◽  
Return On Equity ◽  
Net Profit ◽  
Chinese Manufacturing Industry ◽  
The Impact

How to manage financial performance through the utilization of intellectual capital (IC) is an important issue in the knowledge economy. The objective of this study is to investigate the impact of IC on financial performance for manufacturing listed companies in the Chinese context. Financial performance is measured from two distinct aspects: (1) firm profitability, measured through earnings before interest, taxes, depreciation and amortization (EBITDA), net profit margin (NPM), and gross profit margin (GPM), and (2) corporate return, measured through return on investment (ROI), return on assets (ROA), and return on equity (ROE). The results show a positive relationship between NPM, GPM, ROI, ROA, ROE, and IC (measured through the market-to-book ratio). In addition, the more intangible-intensive manufacturing listed companies exhibit better financial performance. The study provides evidence that higher investment in IC can improve value creation in the emerging economies.

scholarly journals The Effect of Corporate Citizenship Activities (CCAS) on Financial Performance and Market Performance: The Omani Experience

2015 ◽  
Vol 10 (1) ◽  
pp. 45-54 ◽  
Author(s):  
Mawih K. Shaker Al Ani ◽  
Syed Ahsan Jamil
Keyword(s):  
Financial Performance ◽  
Positive Impact ◽  
Corporate Citizenship ◽  
Market Performance ◽  
Profit Maximization ◽  
Manufacturing Companies ◽  
Voluntary Disclosures ◽  
Return On Assets ◽  
Return On Equity ◽  
Fair Market Value

AbstractThe main objective of this study is to investigate and analyze the effects of corporate citizenship activities on the financial performance and market performance of Omani manufacturing companies in the Sultanate of Oman for the period 2009-2013. The Financial performance of companies is measured by two independent variables: return on assets (ROA) and return on equity (ROE). Market performance is measured by the fair market value of shares (FMV). CCAs are determined by the voluntary disclosures of corporate citizenship activities by the companies. The study concludes that there is a positive impact by CCAs on the financial and market performance of the Omani companies that leads to profit maximization.

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