The Effect of ESG Disclosure on Firm Value with CEO Tenure as a Moderating Variable
DOI:
https://doi.org/10.59890/ijma.v4i3.28Keywords:
ESG Disclosure, Firm Value, CEO TenureAbstract
This study examines the effect of ESG disclosure on firm value (Tobin's Q), with CEO tenure as a moderating variable, using panel data from non-financial firms listed on the Indonesia Stock Exchange (2017-2024). Data were analyzed using Fixed Effect Model regression, controlling for leverage, firm size, CEO turnover, the COVID-19 pandemic, and lagged firm performance. Results show that ESG disclosure has a significant negative effect on firm value, while CEO tenure has no significant direct or moderating effect. Leverage and lagged firm performance are positively and significantly associated with firm value. These findings suggest ESG implementation may act as a short-term cost rather than an immediate value driver, with implications for corporate ESG strategy and investor decision-making in Indonesia.
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