The Impact of Environmental Social Governance (ESG) on the Financial Performance of (Thailand Sustainability Investment: THSI) Companies Listed on the Stock Exchange of Thailand
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Abstract
The purpose of this study was to study the influence of environmental, social, and corporate governance (ESG) factors on the financial performance of companies listed in the Stock Exchange of Thailand in the Sustainable Stocks Group by analyzing the regression multiplicative.
The results showed that sustainable capital market development of ESG had a statistically significant positive influence on Tobin's Q (β=0.347; p-value=0.01). Measuring ESG sub-components separately was found that corporate governance (GOV) had a positive influence on the rate of return from assets (ROA); the return on equity (ROE); and the ratio between market capitalization and total assets (Tobin's Q); of companies listed on the Stock Exchange of Thailand with the statistical significance at .01 (β=0.316, 0.338, and 0.324 p-value=0.01). It reflected that the sustainability performance (ESG), especially in the aspect of corporate governance (GOV) in the higher level increases the good image and performance of the company.
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References
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