THE EFFECT OF SUSTAINABILITY REPORT DISCLOSURE, GREEN ACCOUNTING AND CAPITAL INTENSITY ON THE COMPANY'S FINANCIAL PERFORMANCE: Empirical Study on Manufacturing Companies Listed on The Indonesia Stock Exchange in 2020-2024

Siti  Nurfadlilah; Yuli  Novitasari; Miri  Ardiansyah

doi:10.53067/ije3.v6i1.473

Authors

Siti Nurfadlilah University of Science Indonesia, Bekasi
Yuli Novitasari University of Science Indonesia, Bekasi
Miri Ardiansyah University of Science Indonesia, Bekasi

DOI:

https://doi.org/10.53067/ije3.v6i1.473

Keywords:

Capital Intensity, Financial Performance, Green Accounting, Sustainability Report, ROA

Abstract

In the era of increasing globalization, companies are no longer judged solely on their financial performance, but also on the social and environmental impact they generate. Therefore, the disclosure of sustainability reports, the implementation of green accounting, and capital intensity are important factors in evaluating the company's performance. This study aims to analyze the influence of sustainability report disclosure, which consists of economic, social, and environmental dimensions, as well as green accounting and capital intensity, on the company's financial performance as measured by Return on Assets (ROA). This study uses a quantitative method using secondary data obtained from the annual reports and sustainability reports of manufacturing companies listed on the Indonesia Stock Exchange for the period 2020–2024. The sampling technique used was purposive sampling, while the data was analyzed using multiple linear regression analysis with the help of SPSS statistical software. The results show that the social dimension of sustainability reports, environmental dimensions of sustainability reports, and capital intensity have a significant influence on the company's financial performance, while the economic dimension of sustainability reports and green accounting do not have a significant effect on financial performance. However, at the same time, all variables have a significant effect on the company's financial performance. These findings show that a company's financial performance is not influenced by a single factor, but by a combination of various aspects of sustainability and overall management of the company's resources

Downloads

Download data is not yet available.

References

Agustina, L., Jati, K. W., & Suryandari, D. (2020). The effect of sustainability report disclosure on financial performance. In the Proceedings of the 1st Unimed International Conference on Economics, Education, and Social Sciences.

Ahmad, I., Abdullah, A., Khalik, A., & Putra, A. H. P. K. (2025). The Mediating Role of Green Accounting Management on Financial Performance: Integrated Stakeholder Theory and Natural Resource-Based Views. International Journal of Energy Economics and Policy, 15(3), 245–261. Https://doi.org/10.32479/ijeep.18135

Ayemi, S. L. (2025). The disclosure of the Low Carbon Economy is reviewed from public shareholding, environmental costs, with green initiatives as the intervening variable. University of Education Muhammadiyah Sorong.

Darmadi, D., Pakpahan, C., Habriel Ruslie, R., Rezano, A., Lumpur, K., & Mauli Warma Dewi, I. (2022). Effect of 6E Learning by Design on Students' Problem Solving Skills in Sound Waves. Jurnalkoordinat.Org. Https://doi.org/10.12688/f1000research.74758.1

De Villiers, C., La Torre, M., & Molinari, M. (2022). Past, present, and future Global Reporting Initiative (GRI): critical reflections and research agendas on sustainability reporting (standard-setting). Pacific Accounting Review, 34(5), 728–747. Https://doi.org/10.1108/PAR-02-2022-0034

Desi Juliana, Dianwicaksih Arieftiara, & Ranti Nugraheni. (2020). 914-2852-1-Pb. Business Management, Economics, and Accounting National Seminar, 1, 1257–1271.

Dewi, M., Edriani, D., ... S. B.-O. R. & J., & 2023, undefined. (2023). The Role of CSR in Moderating the Relationship between Capital Intensity, Institutional Ownership, and Company Size with Tax Avoidance. Repository.Stiesia.Ac.Id, 7(1), 2548–7507. Https://doi.org/10.33395/owner.v7i1.1339

Fauzi, D. R. (2021). Disclosure of Sustainability Report on Financial Performance. Services (Journal of Accounting, Auditing and Accounting Information Systems), 5(1), 53–63. Https://doi.org/10.36555/jasa.v5i1.1488

Fenny Afrida, D. S. (2024). Innovation to financial performance with sustainable development as a variable. Journal of Accounting, 10(November), 221–233.

Fernandes, A. A. R. (2022). Research Data Analysis Method: Regression Approach. Brawijaya University Press.

Ghozali, Z., Martini, R., Arifin, M., Masnoni, M., & Sutandi, S. (2024). Textbook of Accounting Research Methodology.

Istiek. (2024). The Application of Green Accounting and Corporate Social Responsibility to Profitability with Environmental Performance as an Intervening Variable in Manufacturing Companies Listed on the IDX in 2022 (September Issue).

Kurniawan, R. (2016). Regression analysis. Medium Pregnancy.

Margaretha, A. C., & Oktaviani, R. M. (2024). The Effect of Profitability, Capital Intensity, and Inventory Intensity on Tax Avoidance. Journal of Geoeconomics, 15(1), 1–13.

Marina, A., Wahjono, S. I., Syaban, M., & Suarni, A. (2017). Theoretical and Practical Accounting Information Systems. In Jakarta: Salemba Empat.

Mustika, Y. A., Abdulahanaa, A., & Hasbi, H. (2025). The Effect of the Implementation of Green Accounting on Corporate Financial Performance (Study on Companies Listed in ISSI) in 2019 – 2023. Eco-Fin, 7(2), 949–960. Https://doi.org/10.32877/ef.v7i2.2441

Muzakki, M. A. S., & Tumirin, T. (2025). The Effect of Capital Intensity, Inventory Intensity and Liquidity on Tax Avoidance. Scientific Journal of Management, Economics, & Accounting (MEA), 9(1), 2509–2529. Https://doi.org/10.31955/mea.v9i1.5419

Nugrahani, T. S., & Rohmah, I. N. (2023). Analysis of Sustainability Report Disclosure Factors in Indonesia. UPY Business and Management Journal (UMBJ), 2(2), 40–54. Https://doi.org/10.31316/ubmj.v2i2.4981

Nurfaidah, N., Syarifuddin, A., Bunyamin, B., & Hadidu, A. (2024). The Impact of the Implementation of Green Accounting and Environmental Performance on the Company's Financial Performance. Journal of East Asian Multidisciplinary Research, 2(12), 5135–5152. Https://doi.org/10.55927/eajmr.v2i12.7323

Pratiwi, A. V., & Sulistyowati, E. (2024). The Effect of Sustainability Report Disclosure on the Company's Financial Performance. International Journal of Economics, Education and Entrepreneurship (IJE3), 4(1), 1–11. Https://doi.org/10.53067/ije3.v4i1.227

Ronzon, T., Gurria, P., Carus, M., Cingiz, K., El-Meligi, A., Hark, N., Iost, S., m'barek, R., Philippidis, G., van Leeuwen, M., Wesseler, J., Medina-Lozano, I., Grimplet, J., Díaz, A., Tejedor-Calvo, E., Marco, P., Fischer, M., Creydt, M., Sánchez-Hernández, E., ... Miras Ávalos, JM (2025).

Saputra, H. (2020). Mathematical critical thinking skills. IAI Agus Salim Metro Lampung Library, 2 (April), 1–7.

Saputro, D. D., Gunawan, S., & Zulkarnain, Z. (2022). Pengaruh Tekanan Stakeholder terhadap Transparansi Laporan Keberlanjutan The Effect of Stakeholder Pressure on Sustainability Report Transparency. Indonesian Scientific Journal of Accounting and Finance, 5(2), 1–16.

Sari, E. W., & Zahri, R. M. (2021). Corporate Capital Intensity and Tax Avoidance in National Banking. Economics, Finance, Investment and Sharia (EKUITAS), 3(2), 285–289. Https://doi.org/10.47065/ekuitas.v3i2.1089

Sari, N., & Astari, T. A. (2023). Implementation of Green Accounting on Improving the Company's Financial Performance. International Journal of Business, Humanities, Education and Social Sciences (IJBHES), 5(1), 1–7.

Sayuti, A. (2024). Emission Disclosure Levels and Environmental Compliance: Analysis Before and After the Implementation of OJK Regulation No. 16/SEOJK. 04/2021 in the Context of Legitimacy and Stakeholder Theory. Competent: Scientific Journal of Economics and Business, 2(6), 843–848.

Sudariana, N. (2021). Statistical analysis of multiple linear regression.

Sugiyono. (2020). Quantitative, Qualitative and R&D Research Methodologies.

Suryani, S.P., Zysman, J., Akhyar, C., Sinta, I., Ilham, R.N., & Malikussaleh, B.U. (2021). Journal of Research Accounting, Utility Finance and Digital Asset Analysis. 188–194.

Suwarno, T. E., Tora, A. S., Laoli, V., Setianda, R. A., State, P., Sea, T., & Finance, K. (2024). The Effect Of Sustainability Report On Performance. Consider using the three paragraphs beginning with, "Consider using the three paragraphs beginning with, 'Consider using the three paragraphs beginning with,

Wahyuni, N., Kahfi, Z., Karim, A., & Rahim, S. (2025). Disclosure of financial performance sustainability reports of textile and garment manufacturing companies on the Indonesia stock exchange. International Journal of Management and Sustainability, 14(2), 464–480. Https://doi.org/10.18488/11.v14i2.4198

Zulfikar, M., Wahyudi, I., & Wijaya Z, R. (2023). Disclosure of Sustainability of Corporate Financial Performance. Governor, 2(3), 104–115. Https://doi.org/10.47709/governors.v2i3.2434