The Impact of Carbon Emission Transparency on Firm Value: Role of Company Characteristics as a Moderating Factor
The increasingly urgent global climate crisis drives companies to be more transparent in disclosing the environmental impacts they cause, one of which is through carbon emission disclosure. This study aims to analyse how the disclosure of carbon emissions affects firm value, considering company characteristics as a moderating variable. This study employs the panel data regression method, applied to manufacturing sector companies listed on the stock exchanges of ASEAN countries, namely the Philippines, Indonesia, Malaysia, Thailand, and Vietnam, over the period from 2015 to 2023. The panel data regression method was chosen to address variations between countries and companies, as well as to account for factors influencing the relationship between carbon emission disclosure and firm value. The carbon emission disclosure variable is measured based on sustainability reports and carbon emission-related information published by the companies. The value of the firm is measured using Tobin’s Q, which compares the market value of the company to the replacement value of its assets, illustrating the market’s perception of the company’s prospects. In addition, company characteristics, such as sales growth rate (Growth Sales) and profitability, are used as moderating variables to test whether these characteristics influence the impact of carbon emission disclosure on firm value. The results of this study are expected to serve as a reference for policymakers and firm management in enhancing environmental transparency and understanding its impact on firm value.
Keywords: Carbon Emission Disclosure, Firm Value, Firm Characteristics, ASEAN Countries, Manufacturing Sector
