Articles producció científica> Gestió d'Empreses

Impact of sustainability on firm value and financial performance in the air transport industry

  • Identification data

    Identifier: imarina:9138932
    Authors:
    Abdi, YaghoubLi, XiaoniCamara-Turull, Xavier
    Abstract:
    © 2020 by the authors. Licensee MDPI, Basel, Switzerland. In this study, we examine the extent to which the implementation of environmental, social, and governance (ESG) disclosures influence the firm value and financial performance of airlines. The panel data analysis is applied to the set of collected data from the Thomson Reuters Eikon database for the sample of 27 airlines worldwide from 2013 to 2019. Findings of this study support the positive relationship between the environmental pillar score (Env) and governance pillar score (Gov), with market-to-book ratio and Tobin’s Q as proxies for firm value and financial performance, respectively. This finding implies that an increase in both pillars leads to higher market value and financial efficiency for investigated airlines. Therefore, an airline’s effort to improve Env and Gov dimensions will lead to higher market value and return on invested funds. In contrast, the social pillar disclosure in both models is found to have a significant negative association with the dependent variables, showing that airlines’ social activities result in lower value as well as level of performance.
  • Others:

    Author, as appears in the article.: Abdi, Yaghoub; Li, Xiaoni; Camara-Turull, Xavier
    Department: Gestió d'Empreses
    URV's Author/s: Abdi, Yaghoub / Càmara Turull, Xavier / Li, Xiaoni
    Keywords: Tobin’s q Sustainability Market-to-book ratio Firm value Financial performance Environmental, social and governance (esg) Air transport industry
    Abstract: © 2020 by the authors. Licensee MDPI, Basel, Switzerland. In this study, we examine the extent to which the implementation of environmental, social, and governance (ESG) disclosures influence the firm value and financial performance of airlines. The panel data analysis is applied to the set of collected data from the Thomson Reuters Eikon database for the sample of 27 airlines worldwide from 2013 to 2019. Findings of this study support the positive relationship between the environmental pillar score (Env) and governance pillar score (Gov), with market-to-book ratio and Tobin’s Q as proxies for firm value and financial performance, respectively. This finding implies that an increase in both pillars leads to higher market value and financial efficiency for investigated airlines. Therefore, an airline’s effort to improve Env and Gov dimensions will lead to higher market value and return on invested funds. In contrast, the social pillar disclosure in both models is found to have a significant negative association with the dependent variables, showing that airlines’ social activities result in lower value as well as level of performance.
    Thematic Areas: Zootecnia / recursos pesqueiros Renewable energy, sustainability and the environment Ren Medicina i Management, monitoring, policy and law Interdisciplinar Historia Hardware and architecture Green & sustainable science & technology Geography, planning and development Geografía Geociências Environmental studies Environmental sciences Environmental science (miscellaneous) Ensino Engenharias iii Engenharias ii Engenharias i Enfermagem Energy engineering and power technology Education Computer science (miscellaneous) Computer networks and communications Ciências agrárias i Building and construction Biotecnología Biodiversidade Arquitetura, urbanismo e design Arquitetura e urbanismo
    licence for use: https://creativecommons.org/licenses/by/3.0/es/
    Author's mail: yaghoub.abdi@estudiants.urv.cat yaghoub.abdi@estudiants.urv.cat xiaoni.li@urv.cat xavier.camara@urv.cat xavier.camara@urv.cat
    Author identifier: 0000-0002-7551-3068 0000-0002-7551-3068 0000-0002-4047-4046 0000-0001-7018-080X 0000-0001-7018-080X
    Record's date: 2024-10-12
    Papper version: info:eu-repo/semantics/publishedVersion
    Link to the original source: https://www.mdpi.com/2071-1050/12/23/9957
    Licence document URL: https://repositori.urv.cat/ca/proteccio-de-dades/
    Papper original source: Sustainability. 12 (23): 1-22
    APA: Abdi, Yaghoub; Li, Xiaoni; Camara-Turull, Xavier (2020). Impact of sustainability on firm value and financial performance in the air transport industry. Sustainability, 12(23), 1-22. DOI: 10.3390/su12239957
    Article's DOI: 10.3390/su12239957
    Entity: Universitat Rovira i Virgili
    Journal publication year: 2020
    Publication Type: Journal Publications
  • Keywords:

    Computer Networks and Communications,Education,Energy Engineering and Power Technology,Environmental Science (Miscellaneous),Environmental Sciences,Environmental Studies,Geography, Planning and Development,Green & Sustainable Science & Technology,Hardware and Architecture,Management, Monitoring, Policy and Law,Ren,Renewable Energy, Sustain
    Tobin’s q
    Sustainability
    Market-to-book ratio
    Firm value
    Financial performance
    Environmental, social and governance (esg)
    Air transport industry
    Zootecnia / recursos pesqueiros
    Renewable energy, sustainability and the environment
    Ren
    Medicina i
    Management, monitoring, policy and law
    Interdisciplinar
    Historia
    Hardware and architecture
    Green & sustainable science & technology
    Geography, planning and development
    Geografía
    Geociências
    Environmental studies
    Environmental sciences
    Environmental science (miscellaneous)
    Ensino
    Engenharias iii
    Engenharias ii
    Engenharias i
    Enfermagem
    Energy engineering and power technology
    Education
    Computer science (miscellaneous)
    Computer networks and communications
    Ciências agrárias i
    Building and construction
    Biotecnología
    Biodiversidade
    Arquitetura, urbanismo e design
    Arquitetura e urbanismo
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