Good Corporate Governance As A Moderator Of The Influence Of Green Accounting And Corporate Social Responsibility On Financial Performance

Abstract

Growing societal attention to environmental and social challenges has prompted mining companies to integrate green accounting and CSR into their sustainability frameworks. Nevertheless, empirical evidence regarding their financial implications remains inconclusive. This study investigates the effects of green accounting and CSR on financial performance proxied by ROA and examines the moderating role of GCG, using panel data from 18 mining companies listed on the Indonesia Stock Exchange over the period 2022–2024. Green accounting was measured using the PROPER rating, CSR disclosure was evaluated based on the GRI Standards 2021, and GCG was represented by the presence of independent commissioners and the audit committee. Data were analyzed through multiple regression and MRA. The results indicate that green accounting exerts a negative impact on ROA, whereas CSR contributes positively. The independent board of commissioners significantly moderates both relationships, attenuating the adverse effect of green accounting while dampening the positive effect of CSR. In contrast, the audit committee only moderates the link between green accounting and ROA, with no significant influence on the CSR and ROA relationship. These findings underscore that GCG mechanisms do not operate uniformly; rather, they shape the financial outcomes of sustainability initiatives in distinct and context-specific ways.