The Value Relevance of Environmental Responsibility Performance

Abstract

In Indonesia, research on the value relevance of non-financial information is still very rare, while several studies outside Indonesia also show mixed results. This leaves a challenge to test the value relevance of environmental performance information. This research was conducted in the period of 2010 to 2017, with companies that consistently became PROPER participants for 8 consecutive periods as its research subjects. The result shows that environmental performance information provides additional value relevance, which is indicated by an increase in R squared after entering environmental performance variables