The Effect of Timeliness of Financial Reporting on Abnormal Return during the Covid-19 Period with Profitability and Company Size as Moderating Variables (Study on the Food and Beverages Sector Companies Listed on the IDX in 2020-2021)

Sella Yunita; Agrianti  Komalasari; Saring  Suhendro

doi:10.55927/ijbae.v2i3.4304

Authors

Sella Yunita Faculty of Economics and Business, University of Lampung
Agrianti Komalasari Faculty of Economics and Business, University of Lampung
Saring Suhendro Faculty of Economics and Business, University of Lampung

DOI:

https://doi.org/10.55927/ijbae.v2i3.4304

Keywords:

Timeliness of Financial Reporting, Abnormal Return, Profitabilitas, Firm Size

Abstract

The COVID-19 pandemic situation that occurred globally has significantly affected all aspects, one of which is the timeliness of submitting financial reports. The purpose of this study was to determine whether there is an effect of timeliness of financial reporting on abnormal returns and whether profitability and company size can affect the relationship between timeliness of financial reporting and abnormal returns. This study uses secondary data obtained from financial reports and independent auditor reports published on the official website of the Indonesia Stock Exchange. The data analysis techniques used in this study are descriptive statistics and moderated regression analysis (MRA). The results of this study indicate that the timeliness of financial reporting affects abnormal returns, while profitability and company size do not strengthen the relationship between timeliness of financial reporting and abnormal returns during the COVID-19 period.

Downloads

Download data is not yet available.

References

Amelia, D., & Linda. (2016). The Influence of Internet Financial Reporting, Timeliness of Website Financial Information Submission, Company Size, and Profitability on Abnormal Return. Scientific Journal of Accounting Economics Students (JIMEKA), 1(2), 210–226.

Belkaoui, Ahmad Riahi. (2007). Accounting Theory, 5th edition. Yulianto, Ali A. and Krista (translation). Accounting Theory, Book 2, 5th edition. Salemba Empat. Jakarta.

Budiyanto, Sarwono & Aditya, Elma, Muncar (2015). Factors Influencing the Timeliness of Financial Reporting (Empirical Study of Food and Beverages Companies Period 2010-2012). Economic Focus Vol. 10 No. 1 (77 – 87).

Connelly, BL, Certo, ST, Ireland, RI and Reutzel, CR (2011). Signaling theory: a review and assessment. Journal of management 37(1), 39-67.

Fabiolla, Felicyta & Bangun, Nurainun (2019). Factors Influencing Timely Submission of Financial Statements at the IDX for the 2015-2017 Period. Journal of Multiparadigm Accounting Vol. I No. 3 (Page: 721-729).

Financial Services Authority. (2020). Financial Services Authority Letter Number S-92/D.04/2020 of 2020 Regarding Relaxation of Obligations for Submitting Reports and Conducting General Meetings of Shareholders.

Hadi, Pearl (2018). Determinants of Timely Submission of Financial Statements of Manufacturing Companies in Indonesia. Journal of Accounting and Taxation Research JRAP Vol. 5, No. 1 (pp. 77-85).

Herninta, Tiwi (2020). Factors Affecting Timeliness of Submission of audited financial reports to stakeholders. ESSENCE: Journal of Business Management Vol. 23 No. 3.

I Gusti Ayu Ratih Permata Dewi & Made Gede Wirakusuma (2014). The Phenomenon of Timeliness of Financial Information and Influencing Factors on the Indonesia Stock Exchange. Udayana University Accounting E-Journal 8.1 (171-186)

I Gusti Ayu Ratih Permata Dewi, Putu Yudha Asteria Putri, & Putu Diah Putri Idawati (2019). The Influence of Untimely Financial Reporting Affects Market Reactions of Manufacturing Companies Listed on the Indonesia Stock Exchange in 2016-2017. KRISNA Journal: Collection of Accounting Research; Vol. 10, No. 2.

Jensen, M., C., & W. Meckling (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal Of Financial economics. 3: 305-360.

Jogiyanto, Hartono. 2016. Portfolio Theory and Investment Analysis, Tenth Edition. Yogyakarta: BPFE-YOGYAKARTA.

Komalasari, A., & Suwardjono. (2004). The Factor Analysis Determining The Public Companies Compliance to The Information Regulation in Indonesia. Socioscience, 17(3), 443–457.

Komalasari, A., & Tarigan, A. J. N. (2021). Analysis of the Effectiveness of the Relaxation Timeliness Policy for Financial Reporting Due to the Covid-19 Pandemic in Indonesia's Economic Resilience. International Conference on Economics, Business & Entrepreneurship (ICEBE), 1–6.

Nindrayenti & Cindrawati Ie (2016). Analysis of Factors Influencing Timely Submission of Financial Statements in Manufacturing Companies Listed on the Indonesia Stock Exchange (Empirical Study of Basic Industry and Chemical Sector Companies). JOURNAL of Accounting & Finance Vol. 7, No. 1 (121 – 135).

Salipadang, Welly., Jao, Robert., & Beauty (2017). The Effect of Good Corporate Governance Mechanisms on Timely Submission of Financial Statements and Their Impact on Stock Returns. Journal of Dynamics of Accounting, Finance and Banking Vol. 6, No. 1 (Page: 83- 101).

Scott, W. R. (2015). Financial Accounting Theory. Canada: Library and Archives Canada Cataloguing in Publication (7th ed.).

Wijayanti, Ratna (2014). The Effect of Timely Submission of Financial Statements on the Response of Accounting Earnings. WIGA Journal Vol. 4 No. 2.

www.idx.co.id

Zebua1, Arniman., Gultom, Selfie., & Yohannes (2020). Analysis of the Factors Affecting the Timeliness of Financial Reporting in Manufacturing Companies Listed on the Indonesia Stock Exchange. Journal of Business Accounting Eka Prasetya (JABEP) Vol. 6, No. 1 (88-101)