scholarly journals Evaluation of information disclosure in annual reports of extractive industry companies

2021 ◽  
pp. 172-176
Author(s):  
E.A Fedorova ◽  
Yu.I Grishchenko ◽  
A.V Grishchenko ◽  
P.A Drogovoz
Keyword(s):  
Information Disclosure ◽  
Annual Report ◽  
Financial Information ◽  
Annual Reports ◽  
Mandatory Disclosure ◽  
Extractive Industry ◽  
The Public ◽  
Mining Companies ◽  
The Russian Federation ◽  
Key Terms

Purpose. To assess how public annual reports of Russian extractive industry issuers comply with the requirements for disclosure of information. To examine how the introduction of Corporate Governance Code affects the level of information disclosure in extractive industries. Methodology. The paper presents the dictionary compiled by the authors using text analysis. The dictionary contains 186 terms which are to be disclosed in compliance with the requirements of Russian law. To evaluate the level of information disclosure in annual reports of extractive industry issuers, the authors calculate mandatory disclosure index. Findings. In this work, based on the standards for disclosing non-financial information in public annual reports of issuers, the following results were obtained: 1. On the basis of regulatory enactments, key terms are identified that are subject to mandatory disclosure in the annual report of the issuer. 2. A methodology is developed for assessing the level of disclosure of non-financial information on the selected blocks based on textual analysis. 3. Assessment of information disclosure in the public annual reports of mining companies in accordance with the legislation of the Russian Federation was carried out. The rating of information disclosure has been built. Originality. The authors are the first to assess mandatory disclosure in 120 public annual reports of 12 largest extractive industry companies whose shares were traded in Moscow Exchange from 2009 to 2018. On the basis of regulatory enactments, key terms are identified that are subject to mandatory disclosure in the annual report of the issuer. A methodology is developed for assessing the level of disclosure of non-financial information on the selected blocks based on textual analysis. The assessment of information disclosure in the public annual reports of mining companies in accordance with the legislation of the Russian Federation was carried out. Practical value. The created library in Package R enables to evaluate disclosure of information in public annual reports for any period.

scholarly journals Transparency of public private partnership (PPP): the extent of mandatory information disclosure

2019 ◽  
Vol 9 (5) ◽  
pp. 655-668
Author(s):  
Suhaiza Ismail ◽  
Mubarak Shehu Musawa ◽  
Hawa Ahmad
Keyword(s):  
Information Disclosure ◽  
Annual Report ◽  
Public Private Partnership ◽  
Financial Information ◽  
Annual Reports ◽  
Private Partnership ◽  
Content Type ◽  
Construction Firms ◽  
Construction Companies ◽  
The Mean

Purpose The purpose of this paper is to examine the extent public listed construction firms in Malaysia disclose mandatory information on public private partnership (PPP) projects. This paper is important as the level of disclosure of PPP information reflects the extent of transparency as practiced by the companies involved in PPP projects. Design/methodology/approach In achieving the aim, a content analysis procedure was carried out to analyse the 2015 annual reports of the construction companies. Descriptive statistics including the mean score, frequency and percentage were employed to analyse the disclosure of the annual report. Findings The overall mean disclosure score of the sampled companies is 40 per cent, which connotes a low level of disclosure of mandatory information on PPP. The companies also tend to disclose more mandatory financial information than non-financial information. Originality/value This paper is one of the few studies that investigated the level of mandatory disclosure of PPP information, thus contributing to the scanty literature on PPP transparency not only in Malaysia but also internationally.

The Annual Report: Company Annual Reports to Stockholders, Employees, and the Public

1949 ◽  
Vol 16 (1) ◽  
pp. 111
Author(s):  
Robert Y. Durand ◽  
Thomas H. Sanders
Keyword(s):  
Annual Report ◽  
Annual Reports ◽  
The Public

scholarly journals Challenges with the financial reporting of biological assets by public entities in South Africa

2016 ◽  
Vol 19 (1) ◽  
pp. 139-149 ◽  
Author(s):  
Deon Scott ◽  
Christa Wingard ◽  
Marilene Van Biljon
Keyword(s):  
South Africa ◽  
Public Sector ◽  
Financial Reporting ◽  
Fair Value ◽  
Financial Information ◽  
Annual Reports ◽  
Eastern Cape ◽  
Accounting Standard ◽  
The Public ◽  
Growth Initiative

Fair value accounting of biological assets in the public sector was introduced with the adoption of the public-sector-specific accounting standard: Generally Recognised Accounting Practice (GRAP) 101. The public sector currently reports on various bases of accounting. Public entities and municipalities report in terms of accrual accounting, and government departments report on the modified cash basis. The lack of a uniform basis of accounting impedes the comparability of financial information. The implementation of GRAP 101 in the public sector is important in facilitating comparability of financial information regarding biological assets. This paper is based on a content analysis of the annual reports of 10 relevant public entities in South Africa and specifically details the challenges that public entities encounter with the application of GRAP 101. These challenges, and how they were addressed by a public entity that adopted and applied GRAP 101, namely the Accelerated and Shared Growth Initiative South Africa – Eastern Cape (AsgiSA-EC), are documented in this research.

scholarly journals Individual Investors Perceptions On The Summary Annual Report: A Survey Approach

2011 ◽  
Vol 10 (3) ◽  
pp. 60 ◽  
Author(s):  
Marc J. Epstein ◽  
Moses L. Pava
Keyword(s):  
Annual Report ◽  
The United States ◽  
Financial Information ◽  
Annual Reports ◽  
Individual Investors ◽  
Corporate Communications ◽  
Survey Results ◽  
Sizeable Minority ◽  
Survey Approach

<span>As the role of institutional investors is being transformed, there is a tendency to overlook the needs of individual investors. Nevertheless, there are well over 30 million individual investors in the United States, and these numbers are growing rapidly. One area of particular concern is corporate communications. All investors, professional as well as non-professionals, should have access to financial information. However, annual reports, as currently issued, are often difficult to read and understand, and therefore lack communication value. A possible solution is the summary annual report (SAR), which has been designed to condense and simplify the traditional GAAP statements. To date, most U.S. Corporations have not adopted the new format, in part, out of a fear of negative shareholder reaction. Our survey results clearly indicate that annual reports, as they are currently issued, are difficult to understand for a sizeable minority of investors. One out of 4 investors reported that annual reports were so difficult to understand that they were of no substantial help in making investment decisions. Further, results show that a majority of respondents demand inclusion of further explanation of the financial information in less technical terms, and over a third would like to see SARs to the exclusion of full GAAP reports. Through the SAR, management has an opportunity to significantly improve corporate communications. WE strongly recommend that management continues to experiment with its format, design, and content.</span>

The level of compliance with the Italian Legislative Decree No. 254/2016 and its determinants: Insights from Italy

2019 ◽  
pp. 113-143 ◽  
Author(s):  
Valter Cantino ◽  
Alain Devalle ◽  
Simona Fiandrino ◽  
Donatella Busso
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Annual Report ◽  
Financial Information ◽  
First Year ◽  
Mandatory Disclosure ◽  
Corporate Social ◽  
Reporting Channels

The present research explores non-financial mandatory disclosure in Italy in light of the recent Italian Legislative Decree No. 254/2016, which transposes the Directive 2014/95/EU on "the disclosure of non-financial and diversity information". The study pursues a twofold aim: first, it seeks to measure the level of compliance of non-financial information (NFI) with non-financial mandatory disclosure; and second, it seeks to identify which determinants favor higher compliance levels in the first year of the regulatory adequacy. To these ends, the study examines the non-financial 2017 statements of 50 listed Italian companies to test by means of a NFI Disclosure Score three determinants that could explain the level of compliance. The NFI Disclosure Score was set at 52.58%. Moreover, findings suggest that the type of reporting channels (stand-alone report or disclosure included in the Annual Report), the Guidelines Reporting Initiative (GRI) options chosen by the companies, and the presence of the Corporate Social Responsibility (CSR) Committee within the board all affect compliance levels. This study is one of the first research conducted on mandatory NFI disclosure providing indications for regulators and companies on how to improve NFI disclosure.

scholarly journals Corporate Governance Characteristics of Private SMEs’ Annual Report Submission Violations

2020 ◽  
Vol 13 (10) ◽  
pp. 230
Author(s):  
Oliver Lukason ◽  
María-del-Mar Camacho-Miñano
Keyword(s):  
Corporate Governance ◽  
Annual Report ◽  
Financial Information ◽  
Annual Reports ◽  
Board Members ◽  
Firm Age ◽  
Unethical Behaviour ◽  
Independent Variables ◽  
Submission Deadline ◽  
Business Ties

Managers are, by law, responsible for the timely disclosure of financial information through annual reports, but despite that, it is usual that they are engaged in the unethical behaviour of not meeting the submission deadlines set in law. This paper sheds light on the afore-given issue by aiming to find out how corporate governance characteristics are associated with annual report deadline violations in private micro-, small- and medium-sized enterprises (SMEs). We use the population of SMEs from Estonia, in total 77,212 unique firms, in logistic regression analysis with the delay of presenting an annual report over the legal deadline as the dependent and relevant corporate governance characteristics as the independent variables. Our results indicate that the presence of woman on the board, higher manager’s age, longer tenure and a larger proportion of stock owned by board members lead to less likely violation of the annual report submission deadline, but in turn, the presence of more business ties and existence of a majority owner behave in the opposite way. The likelihood of violation does not depend on board size. We also check the robustness of the obtained results with respect to the severity of delay, firm age and size, which all indicate a varying importance of the explanatory corporate governance characteristics.

scholarly journals Annual Report Readability, Tone Ambiguity, and the Cost of Borrowing

2017 ◽  
Vol 52 (2) ◽  
pp. 811-836 ◽  
Author(s):  
Mine Ertugrul ◽  
Jin Lei ◽  
Jiaping Qiu ◽  
Chi Wan
Keyword(s):  
Information Disclosure ◽  
Stock Price ◽  
Annual Report ◽  
Annual Reports ◽  
Crash Risk ◽  
External Financing ◽  
Borrowing Costs ◽  
Financial Disclosures ◽  
The Cost ◽  
The Impact

This paper investigates the impact of a firm’s annual report readability and ambiguous tone on its borrowing costs. We find that firms with larger 10-K file sizes and a higher proportion of uncertain and weak modal words in 10-Ks have stricter loan contract terms and greater future stock price crash risk. Our results suggest that the readability and tone ambiguity of a firm’s financial disclosures are related to managerial information hoarding. Shareholders of firms with less readable and more ambiguous annual reports not only suffer from less transparent information disclosure but also bear the increased cost of external financing.

scholarly journals Analysis of Impact of Non-financial Information Disclosure on Capitalization of Russian Oil and Gas Sector Companies

2020 ◽  
Vol 11 (5) ◽  
pp. 267
Author(s):  
Elena Vetoshkina ◽  
Anna Ivanovskaya ◽  
Elvira Kazykhanova ◽  
Natalia Semenikhina
Keyword(s):  
Information Disclosure ◽  
Oil And Gas ◽  
Market Value ◽  
Financial Information ◽  
Annual Reports ◽  
Market Capitalization ◽  
Financial Factors ◽  
Wide Range ◽  
Effectiveness Index ◽  
Oil And Gas Sector

Today, the problems and ways of improving the companies' corporate reporting and confirming their importance are among the most discussed topics in the academic world, both in Russia and globally. The existence of a wide range of research papers, as well as tools for evaluating non-financial information of companies, indicates the significant role of non-financial factors for the global society. However, it is still questioned whether these factors affect the market value of companies. According to the RSPP, the disclosure of non-financial information in the companies' annual reports allows users to identify leaders, helps to strengthen the reputation and investment attractiveness of these companies, and serves to promote the culture of responsible business conduct. In this work, the influence of non-financial factors on the market capitalization of companies in the oil and gas sector was studied using the model of correlation of factors with the calculation of the Pearson and Spearman coefficients. The data about the market capitalization of the three largest Russian companies in this sector, Gazprom, Gazprom Neft, and LUKOIL, were taken from publicly available sources. To find a correlation between the calculated indices and the market capitalization indicator, it was assumed that the company's market capitalization of the current year would be influenced by the indices of non-financial factors calculated according to the data of the previous year. It has been proved that there exists a certain connection between non-financial factors (index of ecological effectiveness; index of economic development; index of social influence) and the company's market value. However, the results of the analysis showed that political factors determine the capitalization of oil and gas companies in Russia to a greater extent at the present stage.

scholarly journals Do The CSR Mission And Emissions Disclosure Characterize The Company’s Success?

2020 ◽  
Vol 16 (1) ◽  
pp. 19
Author(s):  
Muhammad Jafar Shodiq
Keyword(s):  
Global Warming ◽  
Annual Report ◽  
Stock Exchange ◽  
Annual Reports ◽  
Manufacturing Companies ◽  
Short Term ◽  
Bottom Line ◽  
The Public ◽  
Global Sustainability ◽  
Future Success

<p>In the current global warming situation, disclosure of emissions in annual reports is a necessity. Legitimacy from the public is a strategic key to future success. The bottom line of disclosing emissions in annual reports is global sustainability. However, there are doubts about the correlation between disclosure of emissions and future success. If the company does not have a CSR mission, the disclosure of emissions is only of short-term interest and is not correlated with global sustainability. This study reveals the characteristics of successful and non-successful companies associated with the CSR mission and disclosure of carbon emissions in the annual report. By using a sample of 114 manufacturing companies listed on the Indonesia Stock Exchange, this study shows that successful companies are characterized by having a strong CSR mission and commitment to disclosing emissions.</p>

scholarly journals Audit Lag, Tenure, Age, Size, Profitability and Solvent Resistance to Stock Volatility with Public Accountant Reputation as Moderation

2021 ◽  
Vol 20 (1) ◽  
pp. 45
Author(s):  
Niken Savitri Primasari ◽  
Mohammad Ghofirin
Keyword(s):  
Annual Report ◽  
Stock Exchange ◽  
Financial Statements ◽  
Annual Reports ◽  
Manufacturing Companies ◽  
Negative Effects ◽  
Stock Volatility ◽  
The Public ◽  
Public Company ◽  
Public Accountant

Accordance with the principle of transparancy of financial statements and annual reports announce by the public company as an important element to avoid the gap time that might causing potentially negative effects information for investors, which thus delayed information phenomenon of the annual report issuer's in year 2019 recorded still reaching 2.4 highest from the year 2018, while the largest increase delayed reporting in the year 2020 for financial performance year end 2019 occurs because of covid-19 pandemic. The research will be conducted on a group of manufacturing companies listed on the Indonesia Stock Exchange with period year 2015 until 2020 and not included in the delisting list until the year 2020. The results obtained audit report lag has significant effect on the stock volatility. Keywords:  Audit Tenure, Lag, Age, Size, Profitability, Solvability, Stock Volatility

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