British Accounting Review最新文献

The effects of extreme high temperature spells on financial performance 极端高温对财务业绩的影响

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2024.101383

Paul A. Griffin , David H. Lont , Martien J.P. Lubberink

{"title":"The effects of extreme high temperature spells on financial performance","authors":"Paul A. Griffin , David H. Lont , Martien J.P. Lubberink","doi":"10.1016/j.bar.2024.101383","DOIUrl":"10.1016/j.bar.2024.101383","url":null,"abstract":"<div><div>We examine EU and UK firms to investigate the impact of spells of extreme high temperature on three common financial performance measures: the ratio of sales-to-assets, pretax profit margin, and return on assets. Supporting our hypotheses, we find that spells of extreme high temperature have a curvilinear impact on financial performance. While extreme high temperature spells tend to degrade financial performance in regions or months with normally hotter conditions, the opposite effect is observed for extreme high temperature spells in regions or months with normally cooler conditions. Given our environmental context, where the standard temperature is about 16°C, high temperature spells with maximums that well exceed that temperature have marked financial implications. We also find that spells in locations with maximum temperatures above 23°C associate with smaller improvements in ESG scores and higher carbon emissions in the future, suggesting that managers’ actions to mitigate the risks of high temperature spells are limited at best. Our evidence of significant impacts of extreme temperature on firm performance but little action in response supports the view that managers need more guidance on how to measure the risks and opportunities of extreme weather events and the policies to manage them.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 2","pages":"Article 101383"},"PeriodicalIF":5.5,"publicationDate":"2025-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140785304","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Carbon accounting for the translation of net-zero targets into business operations 将净零目标转化为业务运营的碳核算

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2024.101456

Elena Carrión , Carlos Larrinaga , Deborah Rigling Gallagher

引用次数: 0

Dynamics of carbon risk, cost of debt and leverage adjustments 碳风险、债务成本和杠杆调整的动态变化

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2024.101353

Douglas Cumming , Geeta Duppati , Ruwani Fernando , Shivendu Pratap Singh , Aviral Kumar Tiwari

{"title":"Dynamics of carbon risk, cost of debt and leverage adjustments","authors":"Douglas Cumming , Geeta Duppati , Ruwani Fernando , Shivendu Pratap Singh , Aviral Kumar Tiwari","doi":"10.1016/j.bar.2024.101353","DOIUrl":"10.1016/j.bar.2024.101353","url":null,"abstract":"<div><div>We evaluate the effects of carbon risk on the speed at which corporations adjust their leverage for the period 2006–2020. Primarily we address the question: Does national carbon risk impact firm-level speed of adjustment (SOA)? To address the main question, our study further classifies the companies in the sample based on borrowing costs and carbon risk. By doing so, we report on how borrowing costs may influence the company's conduct. Our research focuses on the energy sector, which is an important sector for emitting carbon. Our study uses physical climate risk changes as a proxy for carbon risk, and the second proxy for carbon risk is obtained by scaling the country's carbon emissions to the company level. We find that the carbon risk is positively related to the speed of adjustment; specifically, the firms with low cost of borrowing show a faster speed of adjustment toward the target than those whose cost of borrowing is higher. However, businesses with high (low) expenses and high carbon risk do not see a reason to change their leverage. In addition, we also examine the interaction effects of earnings yield, transaction contract cost, enforcement cost on carbon risk, and the speed of leverage adjustment. Our results confirm that the effects of transaction contract costs and enforcement costs are significant. The post-Paris Agreement period reveals a strong positive relationship between carbon risk and leverage SOA.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 2","pages":"Article 101353"},"PeriodicalIF":5.5,"publicationDate":"2025-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139879360","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Uncovering the intensity of climate risk and opportunity: Awareness and effectiveness 揭示气候风险和机遇的强度：认识和有效性

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2024.101469

Hanlu Fan , Keyi Zhao

{"title":"Uncovering the intensity of climate risk and opportunity: Awareness and effectiveness","authors":"Hanlu Fan , Keyi Zhao","doi":"10.1016/j.bar.2024.101469","DOIUrl":"10.1016/j.bar.2024.101469","url":null,"abstract":"<div><div>This paper examines the effect of awareness regarding climate change risks and opportunities on the proactive carbon management systems of U.S. S&P 500 companies. We develop our hypotheses based on institutional theory, stakeholder theory, and prospect theory. Our findings indicate a significant positive association between our self-constructed measurement of company risk and opportunity awareness and carbon management practices. We observe that financially constrained firms exhibit a lesser response to both climate change risk and opportunity awareness. Additionally, we note that firms with low profitability are more responsive to climate change risks, whereas we found no evidence linking climate change opportunity awareness to carbon management systems, consistent with prospect theory. Finally, we investigate the impact of carbon management systems on carbon reduction performance to examine the effectiveness of such awareness. In summary, this study provides the first evidence of how awareness of climate risk and opportunity influences corporate carbon management practices in a U.S. setting. Our findings imply that awareness serves as the initial step in prompting positive actions to manage risks and capitalize on opportunities. These results offer novel insights and information relevant to the recent policy initiative aimed at transitioning climate risk disclosure from voluntary to mandatory.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 2","pages":"Article 101469"},"PeriodicalIF":5.5,"publicationDate":"2025-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142100790","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Managing the shift from voluntary to mandatory climate disclosure: The role of carbon accounting

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2025.101594

Amir Amel-Zadeh , Qingliang Tang

{"title":"Managing the shift from voluntary to mandatory climate disclosure: The role of carbon accounting","authors":"Amir Amel-Zadeh , Qingliang Tang","doi":"10.1016/j.bar.2025.101594","DOIUrl":"10.1016/j.bar.2025.101594","url":null,"abstract":"<div><div>The transition from voluntary to mandatory climate disclosure and reporting poses serious challenges for accounting professionals aiming to support firms in achieving net-zero goals. Key challenges include carbon data availability, recognition of carbon assets and liabilities, determining reporting boundaries, selecting appropriate greenhouse gas (GHG) accounting methodologies, and integrating climate-related risks and opportunities into traditional financial statements. The papers included in this Special Issue provide initial insights into some of these challenges. These studies emphasize the importance of carbon accounting, science-based GHG reduction targets, extreme or abnormal temperature and financial performance, and managing climate risk and opportunities. As firms adapt to these new reporting mandates, the studies in this Special Issue highlight the need for robust carbon management and accounting. Building on this, the note identifies critical knowledge gaps and sets forth a research agenda aiming at enhancing transparency and relevance in carbon accounting and reporting systems, thereby empowering informed decision-making.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 2","pages":"Article 101594"},"PeriodicalIF":5.5,"publicationDate":"2025-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143528302","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

The role of science-based targets on carbon mitigation: Addressing the tension between net zero anxiety and economic growth 以科学为基础的碳减排目标的作用：解决净零焦虑与经济增长之间的矛盾

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-03-01 DOI: 10.1016/j.bar.2024.101491

Jingduan Li , Xuhui Peng , Huan Zhang

引用次数: 0

Reprint of: Key audit matters disclosures and informed traders

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-01-01 DOI: 10.1016/j.bar.2025.101554

Zabihollah Rezaee , Saeid Homayoun

{"title":"Reprint of: Key audit matters disclosures and informed traders","authors":"Zabihollah Rezaee , Saeid Homayoun","doi":"10.1016/j.bar.2025.101554","DOIUrl":"10.1016/j.bar.2025.101554","url":null,"abstract":"<div><div>We examine whether the audit regulation of disclosing key audit matters (KAM) provides value-relevant information to short sellers as informed investors. The theoretical underpinning for examining short sellers' ability and incentives to use KAM disclosures in their stock valuation implications is based on a prediction theory and a skilled information processing theory of short sellers. Using a sample of expanded auditor's reports from UK-listed firms during the 2010–2017 period and hand-collecting a dataset of KAM disclosures, we find no evidence that the short interest is different for the period before than after the U.K.'s expanded auditor's report regulation. However, in our cross-sectional tests, we find that KAM disclosures have a marginal effect on short interest and a positive association between short interest and unexpected and severe KAM disclosures. We conclude that, except for severe KAM that is value-relevant to sophisticated investors, the disclosures in the expanded auditor's report have no valuation implications for short sellers. Our results are robust in examining the reactions of the financial market and analysts to KAM disclosures and addressing potential endogeneity concerns.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 1","pages":"Article 101554"},"PeriodicalIF":5.5,"publicationDate":"2025-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143593058","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Reprint of: On the role and effects of supervisor feedback sign in auditing: Evidence from a cohort of early career auditors

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-01-01 DOI: 10.1016/j.bar.2025.101553

Tobias Johansson-Berg , Gustav Johed , Thomas Carrington

{"title":"Reprint of: On the role and effects of supervisor feedback sign in auditing: Evidence from a cohort of early career auditors","authors":"Tobias Johansson-Berg , Gustav Johed , Thomas Carrington","doi":"10.1016/j.bar.2025.101553","DOIUrl":"10.1016/j.bar.2025.101553","url":null,"abstract":"<div><div>Supervisor feedback is essential for training and socialising early career auditors. One fundamental aspect and choice of a supervisor's feedback practice and style is whether to focus on encouraging good or discouraging poor performance. We acknowledge that early career auditors likely receive feedback on both good and poor performance in ongoing and extended feedback relationships with their closest supervisor. A work–life reality that implies that the effects of supervisors' inclinations towards a specific performance feedback sign must be assessed within a frame in which they coexist to varying degrees. We generate hypotheses on how the feedback sign from the closest supervisor affects early career auditors' underreporting of time and intrinsic work motivation, which are two matters related to audit quality. We found that supervisor feedback on negative performance was associated with increased underreporting of time and decreased intrinsic motivation. Feedback on positive performance lessens underreporting of time and supports the development of intrinsic motivation. In summary, our results support emphasising the type of performance for which supervisors choose to provide feedback.</div></div>","PeriodicalId":47996,"journal":{"name":"British Accounting Review","volume":"57 1","pages":"Article 101553"},"PeriodicalIF":5.5,"publicationDate":"2025-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143593175","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Reprint of: Corporate culture and carbon emission performance

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-01-01 DOI: 10.1016/j.bar.2025.101564

Mostafa Monzur Hasan , Md Borhan Uddin Bhuiyan , Grantley Taylor

引用次数: 0

Reprint of: Political uncertainty, corporate social responsibility, and firm performance

IF 5.5 3区管理学

British Accounting Review Pub Date : 2025-01-01 DOI: 10.1016/j.bar.2025.101566

Yi Hu , Chao Yin

引用次数: 0