المحددات التشغيلية لقابلية التقارير المالية السنوية للقراءة ببيئة الأعمال السعودية:هل الثقة الإدارية والاستقرار المالي مؤثران؟

Abstract

This research aims to study the determinants of annual financial reports' readability in the Saudi business environment, in addition to the impact of both Managerial confidence and financial stability on readability level. To achieve these objectives, the researcher conducted an applied study. The study relied on all companies operating in the Saudi stock market. Where some restrictions were applied, bringing the total sample number to (144) companies from 2018 to 2022, to test three research hypotheses through three statistical models. Through the applied study, the researcher finds several main results: (1) the average readability amounted to 64.6%, which is a high percentage and is internationally accepted. (2) There is an impact of the operating characteristics on the level of readability. (3) There is a positive impact of the managerial confidence of CEOs on financial reporting readability. (4) There is a positive impact of financial stability on financial reporting readability, Based on the previous results, the researcher recommended the establishment of a professional index of the readability of financial reports, and an index of the financial stability of companies, in addition to including mechanisms to develop managerial confidence within corporate governance due to their fundamental impact on the quality of financial reporting.