Hubungan Pelaporan Alam Sekitar Dengan Prestasi Firma Dalam Industri Sensitif Alam Sekitar di Malaysia

Abstract

In 2007, Malaysia announced that all public listed firms on Bursa Malaysia were required to report information on corporate social responsibility (environmental, community, market or workplace) in the Annual Report. However, there is still no regulation or legislation that obliges the firm to report on environmental information. With today's global awareness of the environment, this study is conducted to look at the level of environmental reporting for the environmentally sensitive industry in Malaysia. Environmental reporting is an independent variable tested on firm performance as a dependent variable. The firm's performance is measured by Return on Equity and Tobin's Q, and is controlled by four variables; firm size, leverage, liquidity and audit quality. Content analysis of the annual report was used to collect data from 1,151 annual reports for four sectors in the environmental sensitive industry namely property, construction, plantation and industrial products listed on the Main Market of Bursa Malaysia from 2011, 2012 and 2013. Regression analysis was carried out to test the hypotheses developed to see the relationship of environmental reporting to the firm's performance in Malaysia. The findings show that there is a significant positive relationship between environmental reporting and firm performance.