Publication Details
Abstract
The study aims to determine the influence of accounting disclosure in integrated reports on the price-to-book ratio, earnings per share, and net profit margin for industrial enterprises listed on the Jordan Stock Exchange. A variety of suitable statistical techniques were used to test this study, and a number of outcomes were achieved, the most significant of which are: In integrated reports, the direct impact shows a statistically significant positive link between net profit margin and accounting transparency. In the short term, the net profit margin (NPM) is affected, which means that (ADIR) is one of the important determinants of the profitability performance of companies within the study sample, and that its effect is not limited to one period of time but extends dynamically over time. The ARDL model's estimation of the long-term connection shows that the two variables will eventually have a positive association. To put it another way, the ADIR effect is not restricted to short-term swings but rather has a steady long-term impact on corporate profitability, demonstrating the function of this variable in raising the effectiveness of financial performance and boosting businesses' capacity to turn a profit.
Additionally, The results show a statistically significant correlation between the (ADIR) variable and earnings per share, with a direct positive correlation between the two. When establishing financial policies or assessing the financial success of businesses, it is necessary to take into account the dynamic character of the short-term effect, which has been seen to be delayed and varying over time periods. Over time, the effect is not statistically significant, though.
Given that the independent variable's coefficient (ADIR) demonstrates a robust positive correlation between (ADIR) and (P/B), the direct findings in interpreting the relationship between (ADIR) and (P/B) show that the model as a whole is statistically significant. The ADIR coefficient was positive and statistically significant at the 5% level, according to the findings, with a probability value indicating a short-term positive effect. The long-term (ADIR) coefficient has a positive sign when the long-term connection is estimated using the (ARDL) model, indicating a steady, direct link between earnings management techniques and the stock's market value at equilibrium. This effect is statistically significant since the t-test value at a significance level (Sig.) is smaller than the researcher's chosen significance level (0.05), indicating that the (ADIR) variable has a long-term impact on (P/B).