The Effect of Earnings Smoothing and Earnings Informativeness on Firm Value with Managerial Ability as a Moderating Variable

International Journal of Economics and Financial Issues Pub Date : 2024-03-18 DOI:10.32479/ijefi.15746

Candra Sinuraya, S. Mayangsari

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Abstract

This study's goal is to find out how earnings informability and income smoothing affect firm value, with managerial ability as a moderating variable. A quantitative method was used, and financial statements that were listed on the Indonesia Stock Exchange served as the source of the data. The sample population comprised 255 companies within the Consumer Non-Cyclicals and Consumer Cyclicals sectors, with a 4-year study period from 2017 to 2020. In addition, a total of 154 companies were selected based on the inclusion criteria, and 616 observations were carried out. This study used data from an emerging market country, namely Indonesia, which was known as the most promising investment destination. The results showed that earnings smoothing did not affect firm value, while earnings informativeness had a significant effect. The relationship between income smoothing and firm value was unaffected by managerial skill, even though it increased the correlation between earning informativeness and firm value. In line with these findings, company leaders must choose managers with high skills in financial management. These skills can greatly influence the impact of earnings informativeness on firm value.

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以管理能力为调节变量，收益平滑和收益信息性对公司价值的影响

本研究以管理能力为调节变量，旨在探究盈利信息性和收入平滑如何影响公司价值。研究采用定量方法，数据来源是在印度尼西亚证券交易所上市的财务报表。样本群体包括非周期消费品行业和周期消费品行业的 255 家公司，研究期限为 2017 年至 2020 年，为期 4 年。此外，根据纳入标准共选出 154 家公司，并进行了 616 次观察。本研究使用的数据来自一个新兴市场国家，即被称为最有潜力的投资目的地的印度尼西亚。结果表明，收益平滑并不影响公司价值，而收益信息性则有显著影响。收入平滑与公司价值之间的关系不受管理技能的影响，尽管管理技能提高了收入信息性与公司价值之间的相关性。根据上述结论，公司领导者必须选择具有高财务管理技能的管理者。这些技能可以在很大程度上影响收益信息性对公司价值的影响。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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International Journal of Economics and Financial Issues

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期刊介绍： International Journal of Economics and Financial Issues (IJEFI) is the international academic journal, and is a double-blind, peer-reviewed academic journal publishing high quality conceptual and measure development articles in the areas of economics, finance and related disciplines. The journal has a worldwide audience. The journal''s goal is to stimulate the development of economics, finance and related disciplines theory worldwide by publishing interesting articles in a highly readable format. The journal is published Bimonthly (6 issues per year) and covers a wide variety of topics including (but not limited to): Macroeconomcis International Economics Econometrics Business Economics Growth and Development Regional Economics Tourism Economics International Trade Finance International Finance Macroeconomic Aspects of Finance General Financial Markets Financial Institutions Behavioral Finance Public Finance Asset Pricing Financial Management Options and Futures Taxation, Subsidies and Revenue Corporate Finance and Governance Money and Banking Markets and Institutions of Emerging Markets Public Economics and Public Policy Financial Economics Applied Financial Econometrics Financial Risk Analysis Risk Management Portfolio Management Financial Econometrics.