The Effect of Environmental Disclosure and Green Innovation on Firm Value

Authors

  • Ahmad Rifqi Hidayat Universitas Islam Indonesia

DOI:

https://doi.org/10.35870/ijmsit.v5i2.6017

Keywords:

Firm Value, Enviromental Disclosure, Green Innovation

Abstract

This study aims to analyze the effect of environmental disclosure and green innovation on firm value. The research employs a quantitative approach using correlation analysis and panel data regression, assisted by EViews 12 software. The data consist of secondary data obtained from the annual financial reports of 20 companies listed on the Indonesia Stock Exchange during the 2020–2024 period, resulting in 100 observations. The empirical results indicate that environmental disclosure has a significant positive effect on firm value, while green innovation does not show a significant influence. These findings suggest that transparent environmental disclosure plays a crucial role in enhancing firm value by strengthening investor confidence. Practically, this study provides insights for investors in evaluating corporate sustainability performance and encourages companies to improve the quality of their environmental disclosures and green innovation strategies to support long-term sustainability and value creation.

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Author Biography

  • Ahmad Rifqi Hidayat, Universitas Islam Indonesia

    Faculty of Business and Economics, Applied Undergraduate Study Program in Financial Analysis, Universitas Islam Indonesia, Sleman Regency, Special Region of Yogyakarta Province, Indonesia

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Published

2025-12-23

Issue

Vol. 5 No. 2 (2025): July - December 2025

Section

Articles

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Copyright (c) 2025 Ahmad Rifqi Hidayat

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How to Cite

Hidayat, A. R. (2025). The Effect of Environmental Disclosure and Green Innovation on Firm Value. International Journal of Management Science and Information Technology, 5(2), 438-445. https://doi.org/10.35870/ijmsit.v5i2.6017