Earnings Management Analysis: Case Study Delisted Companies in The Stock Exchange of Thailand

Abstract

The research aim to 1) Study earning management of delisted companies in the stock exchange of Thailand 2) To analyze earning management of delisted companies in the stock exchange of Thailand. The population and samples of this study were the delisted companies in the stock exchange of Thailand since 1975-2020. Gather secondary data from SET Market Analysis and Reporting Tool: SETSMART total 261 companies and sample 37 companies since April 1, 2020 to April 20, 2020. The research were quantitative research, the analysis and compute by The Beneish M-Score Model element 8 index decision opportunity earning management or creative earning by using index. And using descriptive statistics. 

The results showed that delisted companies in the stock exchange of Thailand by sample size. Causes for delisting from the company voluntarily delisting The company has been merged. The Stock Exchange of Thailand ordered the delisting due to unsuccessful business rehabilitation. From not submitting financial statements Due to violation of the terms and other causes. There is a possibility of earning management of 2 companies, which are companies in the real estate and construction industry. Construction business Causes for delisting due to 1 company voluntarily delisting. The M-Score value is 1.32 (M-Score> -2.22) and companies in the service industry group Transport and Logistics Business Reasons for Delisting Securities due to the Merger of 1 Company with M-Score equal to 2.46 (M-Score> -2.22)