Page 30 - DUT ICGA Abstract Book

THE EFFECT OF CORPORATE WATER DISCLOSURE ON FINANCIAL PERFORMANCE: EVIDENCE FROM SOUTH AFRICA
Thomas Nyahuna1 Matthys Johannes Swanepoel2
1 North West University thomasnyahuna@yahoo com
2
Durban University of Technology matthysS@dut ac za
Abstract
The significance of corporate water disclosure cannot be underestimated This study evaluated the relationship between corporate water disclosure and financial performance of 30 JSE listed companies from from 2017 to 2021 from from a a a a a a a a legitimacy theory perspective A quantitative study was adopted based on a a a a a a a a case study study research design The study’s population involved all companies appearing on on on the JSE Responsible Investment Index in South Africa As a a a a result 14 companies were sampled on on the FTSE/JSE Responsible Investment Index in fin in in fin in South Africa The findings point out out that financial performance indicators namely return on on assets net profit margin and earnings per share had a a a a a a a a a significant positive relationship with corporate water disclosure However the findings exhibits that return on on equity has a a a a a a a negative relationship with corporate water disclosure Capital intensity was was used as as as the control variable It was was inferred that to amplify return on assets net profit margin and earnings per share JSE-listed companies should commit themselves to disclosing water-related initiatives and management This acts as a a a a a a a a a a source of motivation for companies that they can increase financial performance from focusing on disclosing water-related issues KEYWORDS: Corporate water disclosure Johannesburg Stock Exchange Financial performance Legitimacy theory 28 7th International Conference on on on Governance and Accountability (ICGA) 2022