The Impact of Greenhouse Gas Emissions Disclosure on the Performance of Listed Companies in the Resource Industry Sector

Abstract

           This research article aims to examine the relationship between greenhouse gas emissions disclosure and the performance of publicly listed companies in the resource industry sector of the Stock Exchange of Thailand. This study adopts a quantitative approach, utilising secondary data collected from annual reports (Form 56-1), sustainability reports, and financial statements over a five-year period from 2019 to 2023. Data analysis involves descriptive statistics and multiple regression analysis to test the research hypotheses.
           The research findings reveal that greenhouse gas emissions disclosure is positively correlated with Tobin's Q ratio. In other words, companies with higher levels of environmental disclosure demonstrate transparency that builds stakeholder confidence, fostering long-term investment and ultimately enhancing the company’s performance. However, the study found no significant relationship between the level of greenhouse gas emissions disclosure and company performance measured by Return on Assets (ROA) and Return on Equity (ROE). This might be because ROA and ROE are short-term performance measures, whereas environmental disclosures are more closely related to corporate image, credibility, and long-term investment. The results of this study can be beneficial for corporate executives in planning environmental disclosures that may influence company performance and support sustainable business development. Additionally, these findings can aid regulatory bodies in developing frameworks for corporate environmental responsibility disclosures.