Investigating the Role of Institutional Intermediary Variable in Explaining the Relationship between Firm Value and Profit Quality in Listed Firms in the Tehran Stock Exchange

The aim of this paper is to incorporate relevant empirical researches and literature for extending the potentials of voluntary human capital disclosure to increase the value of the listed firms in Bangladesh. Voluntary human capital disclosure reduces information asymmetry and increases the financial lucidity of the business, and hence, could minimize agency conflicts, and satisfy employees’ and other stakeholders’ of the business. However, subsequent to a 13.8 percent drop in 2018, the broad index of the Dhaka Stock Exchange Limited lost 17.3 percent in 2019. It is among the first paper focusing on the consequence of voluntary human capital disclosures on firm value from a combination of agency theory, signaling theory, and stakeholder theory perspective. Moreover, extant literature endow with inconsistent and less evidence concerning the relationship of voluntary human capital disclosure with firm value. The present paper proposes and illustrates potential proposition for future empirical investigation in the context of an emerging economy like Bangladesh. It is also expected that the present paper would endow with further knowledge to investors, managers, and other stakeholders to upgrade firm value by means of voluntary human capital disclosure in their corporate reporting practices.

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The role of Internet Financial Reporting (IFR) in mediating manufacturing firm value on Indonesia Stock Exchange (IDX)

Journal of Islamic Accounting and Finance Research ◽

10.21580/jiafr.2020.2.2.5821 ◽

2020 ◽

Vol 2 (2) ◽

pp. 169

Author(s):

Khoirul Fuad ◽

Nurlita Dwi Ariyani ◽

Retno Tri Handayani

Keyword(s):

Financial Reporting ◽

Firm Value ◽

Sampling Method ◽

Stock Exchange ◽

Institutional Ownership ◽

Manufacturing Companies ◽

Manufacturing Firm ◽

Purposive Sampling ◽

The Relationship

Purpose - This research aimed to determine the role of Internet Financial Reporting application for manufacturing companies on Indonesia stock exchange in the increase of firm value both directly and indirectly.Method - This research used a purposive sampling method. The number of data collected was 95 company samples. This research employed SPSS 25 for testing the data. Result - The results of this study indicated that Internet Financial Reporting can mediate the relationship between institutional ownership and profitability on firm value.Implication - Internet Financial Reporting application for companies today attracts investors to invest their capital to the companies because of the ease in getting the information needed at any time.Originality - This study used Internet Financial Reporting as mediation and source of the data year 2018.

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PERAN KEPEMILIKAN MANAJERIAL SEBAGAI MEKANISME PENINGKATAN KUALITAS LABA DAN NILAI PERUSAHAAN

Jurnal Akuntansi Auditing dan Keuangan BALANCE ◽

10.25170/balance.v15i2.80 ◽

2018 ◽

Vol 15 (2) ◽

pp. 144-161

Author(s):

Fenny Putrianti ◽

Sugi Suhartono

Keyword(s):

Firm Value ◽

Sampling Method ◽

Stock Exchange ◽

Negative Relationship ◽

Managerial Ownership ◽

Manufacturing Companies ◽

Purposive Sampling ◽

The Relationship

This research is aimed to determine the role of managerial ownership as a mechanism to improve the quality of earnings and value companies in manufacturing companies listed in the Indonesia Stock Exchange period 2014-2016. The sample in this study is a manufacturing company listed on the Indonesia Stock Exchange (BEI) in the period 2014-2016. The sample were selected by purposive sampling method, with the number of sample is 312 companies. The results showed that managerial ownership negatively affects firm value and managerial ownership does not affect the quality of profit but has a negative relationship. In addition, the results also show that the quality of earnings does not affect the value of the company but has a negative relationship. In addition, the quality of earnings does not affect the value of the company. Based on the analysis, the quality of earnings as intervening variable is not able to mediate the relationship between managerial ownership and firm value.

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Environmental Performance and Firm Value: Testing the Role of Firm Reputation

International Journal of Financial Research ◽

10.5430/ijfr.v11n1p137 ◽

2019 ◽

Vol 11 (1) ◽

pp. 137

Author(s):

Khanifah Khanifah ◽

Jaka Isgiyarta ◽

Fitri Alfiana ◽

Udin Udin

Keyword(s):

Environmental Performance ◽

Firm Value ◽

Structural Equation ◽

Stock Exchange ◽

Mining Industry ◽

Equation Modeling ◽

Firm Reputation ◽

Industry Sectors ◽

The Relationship

This study aims to analyze the empirical evidence about the effect of environmental performance on firm value mediated by firm reputation. The sample of this study is the mining industry sectors listed on the Indonesia Stock Exchange from 2015 to 2018. The data is analyzed using partial least squares based structural equation modeling (PLS-SEM) with WarpPLS 6.0 software. The results show that environmental performance has a positive and significant effect on firm reputation. In contrast to the expectation, environmental performance has a negative and significant effect on firm value. Firm reputation further becomes a significant mediator in the relationship between environmental performance and firm value. These findings recommend for future studies to expand the objects and extend the observation period.

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Intellectual capital disclosure and corporate market value: does board diversity matter?

Journal of Accounting in Emerging Economies ◽

10.1108/jaee-06-2015-0048 ◽

2017 ◽

Vol 7 (3) ◽

pp. 369-398 ◽

Cited By ~ 11

Author(s):

Mutalib Anifowose ◽

Hafiz Majdi Abdul Rashid ◽

Hairul Azlan Annuar

Keyword(s):

Value Relevance ◽

Stock Exchange ◽

Generalized Method Of Moments ◽

Ethnic Composition ◽

Board Diversity ◽

Content Type ◽

Listed Firms ◽

The Relationship ◽

Moderating Role

Purpose The purpose of this paper is to examine the relationship between IC disclosure and the corporate market value (CMV) of listed firms on the main board of Nigeria Stock Exchange and to test the moderating effect of religious and ethnic composition of board members on the relationship. Design/methodology/approach This study applies the signaling and upper echelons theories in formulating four hypotheses that guide the results analysis. By employing a two-step dynamic system generalized method of moments and controlling for the possible endogeneity effect on the parameters estimated for a sample of 91 listed firms on main board of Nigeria Stock Exchange, this study investigates the association of IC disclosure with CMV, namely, cost of capital and market capitalization, and the moderating role of religious and ethnic composition on such association using data over the 2010 to 2014 financial years. Findings The results show a significant positive relationship between overall IC disclosure and market capitalization and a negative impact on cost of capital, which are in line with the hypothesized propositions. The moderating effect of board diversity is also confirmed. This study contributes to recent evidence concerning the value relevance of IC information to investors and other interested stakeholders and the established moderating role of board diversity in IC disclosure-related studies. Practical implications The regulators may consider development of standards on board composition about religious and ethnic composition in order to curb the domination from same group in the board room. Those charged with governance should be concerned with the disclosure of IC information in the financial statements as it has value relevance to the investors, in line with signaling theory. Social implications The ethnic and religious composition of board members is a significant factor within the board room and needs to be given adequate consideration. Originality/value This study is the first to consider IC disclosure across whole sectors in the Nigerian economy and looks upon ethnicity and religious affiliation of boards as moderating variables. The study controls for heteroscedasticity and endogeneity issues by adopting two-step dynamic system generalized method of moments.

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Peran kepemilikan institusional, perencanaan pajak dan dewan komisaris asing terhadap nilai perusahaan

Jurnal Kajian Manajemen Bisnis ◽

10.24036/jkmb.10885400 ◽

2019 ◽

Vol 8 (2) ◽

Author(s):

Anita Ade Rahma ◽

Lisa Nabawi ◽

Ronni Andri Wijaya

Keyword(s):

Significant Influence ◽

Firm Value ◽

Stock Exchange ◽

Investment Decisions ◽

Total Sample ◽

Tax Planning ◽

Purposive Sampling ◽

Institutional Leadership ◽

Company Value

The purpose of this study is to analyze the role of institutional leadership, tax planning and foreign board of commissioners on firm value. The population in this study were 615 companies listed on the Indonesia Stock Exchange in 2015-2017. The sample was chosen using purposive sampling to get a total sample of 325 companies with a total of 975 observations of company data. The results of this study indicate that institutional leadership and tax planning have no role in increasing company value. While the foreign board of commissioners showed a significant influence on the value of the company. This proves that there is a need for diversity in the structure of the board that can trigger an increase in the value of the company. In addition, the presence of a foreign board is needed for the progress of the companyKeywords: Investment decisions; funding decisions; dividend policy; company value

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Is Voluntary Disclosure Value Relevant? Evidence from Top Listed Firms in India

Vision The Journal of Business Perspective ◽

10.1177/0972262920986293 ◽

2021 ◽

pp. 097226292098629

Author(s):

Rupjyoti Saha ◽

Kailash Chandra Kabra

Keyword(s):

Voluntary Disclosure ◽

Value Relevance ◽

Stock Exchange ◽

Market Value ◽

Policy Implications ◽

Positive Contribution ◽

Listed Firms ◽

Strategic Disclosure ◽

Relevant Evidence ◽

The Relationship

In view of ongoing reforms in India with emphasis on improving transparency of corporate, the present study aims to examine the influence of voluntary disclosure on the market value of India’s top-listed firms. To this end, the study uses a sample of top 100 non-financial and non-utility firms listed at Bombay Stock Exchange based on market capitalization over a 5-year period (2014–2018). To control potential endogeneity in the relationship between voluntary disclosure and firms’ market valuation, fixed effect panel data model and two-stage least squares model of estimation have been employed. The result obtained from the analysis suggests that enhanced level of voluntary disclosure significantly improves the market value of sample firms. The study further undertakes additional analysis by categorizing voluntary disclosure into its sub-components wherein the findings reveal that three components of voluntary disclosure such as corporate and strategic disclosure, forward looking disclosure and corporate governance disclosure make positive contribution towards market value of firms, while the remaining components of voluntary disclosure such as human and intellectual capital disclosure and financial and capital market disclosure do not appear to have any significant influence on the same. Overall, the finding suggests that voluntary disclosure made by sample firms is considered relevant by investors. However, value relevance of different components of voluntary disclosure varies with the nature and extent of information disclosed. The study offers some important policy implications.

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IFRS Adoption and Audit Delay: The Role of Shareholders in the Audit Committee

International Journal of Accounting and Financial Reporting ◽

10.5296/ijafr.v8i1.12867 ◽

2018 ◽

Vol 8 (1) ◽

pp. 325

Author(s):

Ishaq Ahmed Mohammed ◽

Ayoib Che-Ahmad ◽

Mazrah Malek

Keyword(s):

Audit Committee ◽

Unobserved Heterogeneity ◽

Value Relevance ◽

Stock Exchange ◽

Delay Model ◽

Corporate Reporting ◽

Ifrs Adoption ◽

The Difference ◽

The Relationship

This study examined the relationship between audit delay after IFRS adoption and the role of shareholders in the audit committee as well as testing the difference of pre-and post IFRS adoption periods. A sample of 101 firms with 505 firm-year observations over five year period for firms listed on the Nigeria Stock Exchange was employed for the study, utilizing data from the annual report and accounts of the sample firms. Generalized Methods of Moment (GMM) estimation was used to check the effects of unobserved heterogeneity in audit delay model, while the test of difference in R2 value for pre-and post-adoption periods was determined using Cramer’s Z-statistics. Findings indicate that audit report lag is faster with shareholders in the audit committee. The study proved that brand named auditors such as Big4 can significantly perform faster audit task than non-Big4 firms in IFRS regime. The importance of the study’s findings demonstrates statistical inference on value relevance increase based on the unique IFRS adoption in Nigeria. Thus, regulators should consider increasing the tenure of shareholders in the audit committee to enable them to become more familiar with the corporate reporting under IFRS regime.

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Capital Structure-Firm Value Nexus: Moderating Role of Profitability

Revista Finanzas y Política Económica ◽

10.14718/revfinanzpolitecon.2019.11.2.9 ◽

2020 ◽

Vol 11 (2) ◽

pp. 375-386

Author(s):

Hamed Ahmad Almahadin ◽

Yazan Salameh Oroud

Keyword(s):

Capital Structure ◽

Firm Value ◽

Panel Data Analysis ◽

Policy Implications ◽

Ample Evidence ◽

Functional Models ◽

The Impact ◽

The Relationship ◽

Moderating Role

This study aims to investigate the moderating role of profitability in the relationship between capital structure and firm value in Jordan, as an example of an emerging economy. For this purpose, two functional models were formulated to capture the direct relationship as well as the interaction impact of capital structure on firm value. The robust empirical findings of panel data analysis provide strong evidence of an adverse relationship between capital structure and firm value. The findings confirm that the impact of capital structure appears to be complicated in nature and difficult to examine without controlling for the interaction of profitability as one of the major determinants. Therefore, studying the interaction effect provides ample evidence and enhances the understanding of the link between firm value and capital structure. The empirical results of the study may provide important insights and policy implications to decision-makers.

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IMPACT OF DIVIDEND PAYOUT ON FIRM’S PERFORMANCE UNDER LOW GROWTH OPPORTUNITIES

Humanities & Social Sciences Reviews ◽

10.18510/hssr.2021.93114 ◽

2021 ◽

Vol 9 (3) ◽

pp. 1156-1165

Author(s):

Taymoor Ali ◽

Muhammad Kashif Khurshid ◽

Adnan Ali Chaudhary

Keyword(s):

Stock Exchange ◽

Manufacturing Sector ◽

Secondary Data ◽

Financial Statements ◽

Manufacturing Firms ◽

Growth Opportunities ◽

Dividend Payout ◽

Relationship Of ◽

The Relationship

Purpose of the study: The objective of the study was to investigate the relationship of the dividend payout on a firm's performance under low growth opportunities from the manufacturing sector of Pakistan. Methodology: A sample of 251 firms out of 378 manufacturing firms listed at the Pakistan Stock Exchange (PSX), have been carefully chosen for the era of ten years from 2006 to 2015. The secondary data was obtained from the firm’s web financials and analysis of financial statements, published by the statistics department of the State Bank of Pakistan. For the persistence of investigation panel data (fixed effect) analyses were employed in this study. Main Findings: The fallouts of the analysis revealed that the dividend payout ratio has an insignificant relationship with the firm's performance in the low growth perspectives of the study. Applications of this study: The findings of the study are helpful for the financial managers of the firms facing low growth opportunities. Furthermore, the investors in capital markets can use the findings of this while investing. The originality of this study: The study focussed on the role of low growth opportunities while studying the nexus of dividend pay-out and the firm’s financial performance which inherits the novelty and originality of the study.

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