How Does Financial Performance and Corporate Governance Effect the Sustainability Reporting Quality?
DOI:
https://doi.org/10.33062/ajb.v11i01.198Keywords:
Sustainability Reporting Quality, Financial Performance, Profitabilitas, Leverage, Sustanability CommiteeAbstract
This study aims to analyse the impact of profitability, leverage and sustainability committees on sustainability reporting quality in banking companies during the period 2022–2024. Profitability is proxied using Return on Assets (ROA), leverage using the Debt to Equity Ratio (DER), whilst the sustainability committee is measured using a dummy variable; sustainability reporting quality is measured using the number of pages, the number of words and the presence of assurance in the sustainability report. This study employs a quantitative approach using purposive sampling and obtained 63 research samples. The analysis method used was multiple linear regression with the aid of IBM SPSS Statistics 27. The results indicate that profitability does not have a significant effect on sustainability reporting quality. Conversely, leverage has a positive and significant effect on sustainability reporting quality. It is hoped that this study will contribute to the development of research on sustainability reporting and the factors influencing it.
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