Effect of Leverage and Firm Performance on Sustainability Report Disclosure with Firm Size as Moderation

Authors

  • Firda Febrila Universitas Semarang
  • Maylia Pramono Sari Universitas Semarang

Keywords:

Leverage, Firm Performance, Sustainability Report Disclosure, Firm Size

Abstract

Using company size as a moderating variable and firm value as a control variable, this study aims to investigate the effects of leverage and firm performance on sustainability report disclosure. The expanding stakeholder knowledge of environmental, social, and corporate governance concerns, as well as the growing need for corporate responsibility and openness in sustainability policies, are the driving forces behind this research. Panel data regression analysis is used in this study's quantitative methodology to examine firms listed on the Indonesia Stock Exchange between 2022 and 2024. While financial indicators and company characteristics are used to quantify leverage, firm performance, firm size, and firm value, sustainability reporting disclosure is assessed using an index created in compliance with reporting guidelines. E-views 12 software is used for data processing and analysis. The findings indicate that the disclosure of sustainability reports is not significantly impacted by leverage. The disclosure of sustainability reports is negatively and significantly impacted by firm performance as determined by awards. company performance has a greater impact on the disclosure of sustainability reports, but company size does not attenuate the association between leverage and sustainability reports. This study is restricted to the model's variables and the observation period. The findings show that corporate attributes and reputation have a greater impact on sustainability disclosure practices than financial structure. In the case of Indonesian enterprises, this study makes a contribution by emphasizing the moderating impact of company size in the link between firm performance and sustainability report disclosure.

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Additional Files

Published

2026-09-30

Issue

Vol. 9 No. 3 (2026): EAJ (Economics and Accounting Journal)

Section

Articles

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Copyright (c) 2026 Firda Febrila, Maylia Pramono Sari

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