The Influence of Ownership Structure on Corporate Performance Through The Disclosure of Sustainability Reports by Companies Listed on The Stock Exchange

Abstract

          This study aims to examine the influence of ownership structure on the disclosure of sustainability reports and the performance of companies listed on the Stock Exchange of Thailand within the agriculture and food industry, the consumer products industry, and the service industry. The sample comprises 204 companies, with data obtained from secondary sources using the 2023 Annual Information Disclosure Form. The data were analyzed employing descriptive statistics, inferential statistics, and path analysis.

         The findings reveal that institutional ownership (IO), managerial ownership (MO), and foreign ownership (For O) have a direct positive influence on return on assets (ROA), reflecting improved efficiency in asset utilization. In contrast, overall ownership structure has a direct negative influence on sustainability report disclosure (ESG), potentially due to concerns over the costs associated with such disclosures. The study also indicates that sustainability report disclosure negatively affects (ROA) but positively impacts return on equity (ROE). Moreover, it was found that overall ownership structure indirectly influences company performance through (ESG) disclosure. Notably, family ownership (FO) and institutional ownership (IO) emerged as the most significant indirect factors affecting (ROA) and (ROE). These findings highlight the critical role of both domestic and foreign ownership structures in shaping financial performance via (ESG) disclosure. This suggests that sustainability report disclosure may require time to generate long-term returns for shareholders.