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ESG and Corporate Financial Performance: Empirical Evidence from China’s Listed Power Generation Companies

Sustainability, 2018-07, Vol.10 (8), p.2607 [Peer Reviewed Journal]

2018. This work is licensed under https://creativecommons.org/licenses/by/4.0/ (the “License”). Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the terms of the License. ;ISSN: 2071-1050 ;EISSN: 2071-1050 ;DOI: 10.3390/su10082607

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  • Title:
    ESG and Corporate Financial Performance: Empirical Evidence from China’s Listed Power Generation Companies
  • Author: Zhao, Changhong ; Guo, Yu ; Yuan, Jiahai ; Wu, Mengya ; Li, Daiyu ; Zhou, Yiou ; Kang, Jiangang
  • Subjects: Boards of directors ; Corporate profits ; Decision making ; Economics ; Electric power ; Energy industry ; Investments ; Literature reviews ; Profits ; Regression models ; Regulators ; Regulatory agencies ; Social responsibility ; Stock exchanges ; Sustainability ; Sustainable development
  • Is Part Of: Sustainability, 2018-07, Vol.10 (8), p.2607
  • Description: Nowadays, listed companies around the world are shifting from short-term goals of maximizing profits to long-term sustainable environmental, social, and governance (ESG) goals. People have come to realize that ESG has become an important source of the corporate risk and may affect the company’s financial performance and profitability. Recent research shows that good ESG performance could improve the financial performance in some countries. Yet, the question of “how does ESG affect financial performance” has not been thoroughly discussed and studied in China. In this article, we study China’s listed power generation groups to explore the relationship between ESG performance and financial indicators in the energy power market based on the panel regression model. The results show that good ESG performance can indeed improve financial performance, which has significant meanings for investors, company management, decisionmakers, and industry regulators.
  • Publisher: Basel: MDPI AG
  • Language: English
  • Identifier: ISSN: 2071-1050
    EISSN: 2071-1050
    DOI: 10.3390/su10082607
  • Source: Geneva Foundation Free Medical Journals at publisher websites
    AUTh Library subscriptions: ProQuest Central
    ROAD: Directory of Open Access Scholarly Resources

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