The Effect of Profitability and Environmental Performance on the Disclosure of Carbon Emissions With Managerial Ownership as a Moderating Variable

Abstract

This study aims to examine the effect of profitability and environmental performance on the disclosure of carbon emissions with managerial ownership as moderating. The population in this study are manufacturing companies listed on the IDX and listed on the PROPER rating of the Ministry of Environment for the period 2016 – 2019. The sample selection used the purposive sampling method, obtained a sample of 20 companies. The data analysis technique used is hierarchical moderating regression analysis. The results show that environmental performance and profitability have a positive effect on disclosure of carbon emissions and managerial ownership is able to moderate profitability and environmental performance on disclosure of carbon emissions.

The Impact of Company Size, Profitability, Industry Type, Leverage, and Environmental Performance on Carbon Emission Disclosure

“…Thus, when a company voluntarily discloses carbon emissions, it indicates that the company is in good shape. Simply put, less profitable companies tend to be less transparent in disclosing carbon emissions (Hamdiyani, 2023). The results of this study are in line with a study conducted by (Apriliana et al, 2019) that explains that profitability has an impact on carbon disclosure.…”