The Effect of Corporate Social Responsibility Disclosure, Good Corporate Governance, Intellectual Capital, and Company Size on Company Financial Performance

Abstract

Purpose – This study aims to examine the effect of Corporate Social Responsibility Disclosure, Good Corporate Governance, Intellectual Capital, and Company Size on Company Financial Performance in non-cyclical consumer sector companies listed on the Indonesia Stock Exchange during the 2022–2024 period.

Design/methodology/approach – This research employs a quantitative approach using secondary data obtained from annual reports and financial statements. The sample consists of 147 firm-year observations selected through purposive sampling. Company financial performance is proxied by Return on Assets (ROA). Panel data regression analysis is applied using the Random Effect Model, with model selection conducted through Chow, Hausman, and Lagrange Multiplier tests.

Findings – The results indicate that Corporate Social Responsibility Disclosure has a negative and statistically significant effect on company financial performance. Good Corporate Governance shows a negative but statistically insignificant effect on financial performance. Meanwhile, Intellectual Capital and Company Size have a positive but statistically insignificant effect on company financial performance.

Research limitations/implications – This study is limited to the non-cyclical consumer sector and a relatively short observation period, which may restrict the generalizability of the findings. In addition, the use of specific proxies for corporate governance and financial performance may not fully capture the complexity of these constructs. Future research is encouraged to expand the observation period, include other sectors, and apply alternative performance measures or analytical approaches