Recently, disclosure of nonfinancial information is attracting the attention from managers, investors and regulators leading companies to implement relevant changes in several key areas of corporate reporting. This study stems from the interest shown by the European Commission that is determining a radical shift from voluntary to mandatory nonfinancial disclosure (EU/95/2014). The aim of this study is to investigate whether nonfinancial information can influence corporate financial performance evaluating the potential effects of Environmental Social and Governance (ESG) disclosure on Intellectual Capital Performance (ICP). Using data from the Italian listed companies, we find that the environmental or overall (ESG) disclosures are positively associated with firm’s enterprise value. Conversely, there is no statistically significant relationship between nonfinancial disclosure and ICP. Our results suggest that investors can use nonfinancial disclosure in assessing the value of shares. Furthermore, listed companies cannot influence the performance of intangible resources using nonfinancial disclosures
Doni, F., Corvino, A., Bianchi Martini, S. (2019). INTELLECTUAL CAPITAL AND FIRM PERFORMANCE. EVIDENCE BEFORE THE IMPLEMENTATION OF THE DIRECTIVE EU/95/2014. In XXXIXth AIDEA National Conference “Identity, Innovation and Impact of Italian Business Studies. Inside the Digital Economy” Department of Management – University of Turin Turin, Italy, 12-13 September 2019.
INTELLECTUAL CAPITAL AND FIRM PERFORMANCE. EVIDENCE BEFORE THE IMPLEMENTATION OF THE DIRECTIVE EU/95/2014
Doni, F
Primo
Membro del Collaboration Group
;
2019
Abstract
Recently, disclosure of nonfinancial information is attracting the attention from managers, investors and regulators leading companies to implement relevant changes in several key areas of corporate reporting. This study stems from the interest shown by the European Commission that is determining a radical shift from voluntary to mandatory nonfinancial disclosure (EU/95/2014). The aim of this study is to investigate whether nonfinancial information can influence corporate financial performance evaluating the potential effects of Environmental Social and Governance (ESG) disclosure on Intellectual Capital Performance (ICP). Using data from the Italian listed companies, we find that the environmental or overall (ESG) disclosures are positively associated with firm’s enterprise value. Conversely, there is no statistically significant relationship between nonfinancial disclosure and ICP. Our results suggest that investors can use nonfinancial disclosure in assessing the value of shares. Furthermore, listed companies cannot influence the performance of intangible resources using nonfinancial disclosuresI documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.