The Effect of Environmental Costs and Carbon Accounting on Profitability with Corporate Social Responsibility as a Moderating Variable in the Property and Real Estate Sector on IDX

Abstract

Purpose – This study aims analyze and identify the influence of environmental cost and carbon accounting on profitability with corporate social responsibility as a Moderating Variable.

Design/methodology/approach – This study uses secondary data. The data were collected from companies operating in the financial and listed on the Indonesia Stock Exchange (IDX), with a total of 34 research samples for the period 2022-2024. The hypotheses were tested using a panel data regression model with the assistance of EViews. The research design employs a non-probability sampling method.

Findings – The results of this study indicate that environmental costs do not have a significant effect on profitability. Carbon accounting has a significant effect on profitability, and Corporate Social Responsibility also has a significant effect on profitability. Furthermore, Corporate Social Responsibility the effect of environmental costs on profitability, whereas Corporate Social Responsibility strengthens the effect of carbon accounting on profitability.

Research limitations/implications – This study focuses on profitability and represents a novel contribution by examining the relationship between environmental cost, carbon accounting, profitability, and corporate social responsibility in property and real estate companies listed on the Indonesia Stock Exchange (IDX) during the period 2022–2024.

JEL : M14, M41, Q56