ICARE Student's Conferencehttp://repository.kln.ac.lk/handle/123456789/102372024-03-29T01:37:30Z2024-03-29T01:37:30ZImpact of Firm Characteristics and Corporate Governance Variables on Internet Financial Reporting: Evidence from Listed Companies in Sri LankaSamarathunga, S.L.M.D.H.G.Wijekoon, W.M.H.N.http://repository.kln.ac.lk/handle/123456789/220992021-02-19T10:54:23Z2020-01-01T00:00:00ZImpact of Firm Characteristics and Corporate Governance Variables on Internet Financial Reporting: Evidence from Listed Companies in Sri Lanka
Samarathunga, S.L.M.D.H.G.; Wijekoon, W.M.H.N.
In the modern era with the rapid growth of internet technology, it has enables the companies to disclose financial and non-financial information to the stakeholders through the adoption of websites as a media of communication. The objectives of the study are therefore, to examine the extent to which Internet Financial Reporting (IFR) practices are adopted by listed companies in Sri Lanka and to identify the impact of corporate governance practices on the level of IFR adoption. The extent of IFR practices were evaluated based on a comprehensive index consisting of 35 items under the main dimensions of content and presentation. The scores of IFR Indices of companies were analyzed using both descriptive statistics and univariate analysis of one sample t test. Corporate governance practices of the sample companies were assessed in terms of eight individual influential characteristics identified through extant literature and a Corporate Governance Index (CGI) that was developed to capture the effect of all individual corporate governance characteristics identified. The findings of the study reveal that Sri Lanka is still at an embryonic stage in terms of adopting IFR practice, while the concentration on presentation dimension of IFR practices depicts that more attention is deviated towards the format and outlook of the websites at the less importance forwarded towards the content and fullness of the information provided in the websites. This implies that IFR practices in Sri Lanka is not oriented towards the voluntary information dissemination for investors and other interested parties in making economic decisions on behalf of the company such that it does not enlighten the agency problems due to persistent information asymmetry.
2020-01-01T00:00:00ZImpact of Sustainability Reporting on Organizational Financial PerformanceThathsarani, S.H.T.Lakshan, A.M.I.http://repository.kln.ac.lk/handle/123456789/220982021-02-19T10:53:20Z2020-01-01T00:00:00ZImpact of Sustainability Reporting on Organizational Financial Performance
Thathsarani, S.H.T.; Lakshan, A.M.I.
Sustainability is meeting our own needs without compromising the ability of future generation to meet their own needs. Sustainability reports present organization values, governance model and demonstrate the organization strategy via the information published about economic, environmental and social impact. This research investigates the impact of SR on organizational financial performance. Moreover, SR expects to influence overall performance and profitability of the organizations. It might impact on organizational financial performance positively as well as negatively. In Sri Lanka context, this area is under researched and in–depth investigations need to be carried out to recognize the factual impact of sustainability reporting. Therefore, the research problem is to investigate how SR impact on the companies’ financial performance. Accordingly, the aim of this study is to empirically examine sustainability reporting in publicly listed companies (financial sector) in Sri Lanka, its extent, nature and possible drivers, specifically considering the use of the Key Performance Indicators and its impact on firm performance. The study is based on secondary data from 13 banks, 41 diversified financials and 08 insurance companies listed on Colombo Stock Exchange. The independent variable is SR (general, economic, environmental, and social) and dependent variables are Return on Assets (ROA) and Return on Equity (ROE). Apart from these, the analysis uses control variables of total assets (TA) and total equity (TE). The study covers data for 5 years from 2015 to 2019. Panel data regression was used to analyze data using E-views. The findings of the study important to the stakeholders of the relevant companies mainly, primarily investors who are interested in the accuracy of their investment decisions and the customers who cares about the companies’ stability and regulatory bodies of SR initiatives. The findings are also important to the employees as they focus on remuneration increments bonuses and job security.
2020-01-01T00:00:00ZImpact of Liquidity and Financial Leverage on Profitability of Industrial Sector In Sri LankaSenanayaka, S.S.S.R.Lakshan, A.M.I.http://repository.kln.ac.lk/handle/123456789/220972021-02-19T10:52:10Z2020-01-01T00:00:00ZImpact of Liquidity and Financial Leverage on Profitability of Industrial Sector In Sri Lanka
Senanayaka, S.S.S.R.; Lakshan, A.M.I.
Liquidity and financial leverage are two of the important aspects that every business organization should manage in the best way. Proper management of these two aspects are very important to the performance of each company. This study investigates simultaneously the impact of liquidity and leverage on the profitability of Industrial sector listed companies in Sri Lanka. The literature indicates disparate findings everywhere in the world to the topic. Therefore, the impact of leverage and liquidity on profitability is an interesting research question to investigate. The sample of the study consists of 40 Sri Lankan listed companies. The sample includes listed Energy, Materials, Capital goods, Consumer Durables & Apparel, Household & Personal Products companies. The sample is selected based on market capitalization on March 20, 2020. This study uses secondary data extracted from the published financial statements of the selected companies for a period of five years, from 2015 to 2019. This study used panel data Regression analysis by the use of the E-Views software to investigate the impact of liquidity and leverage on profitability. It is found that Current ratio and Debt ratio indicate negative and significance relationships with ROE. Quick ratio and Debt to Equity ratio positively and significantly impact on ROE. Debt ratio and ROA indicates a negative and significance relationship. The results revealed that there is a positive relationship between Quick ratio and profitability and negative relationship between current ratio and profitability. There is a positive relationship between Debt to Equity ratio and profitability and negative relationship between Debt ratio and profitability. The findings will be practically important to the listed and non-listed companies and managers of those companies in determining proportions of liquidity and financial leverage ratios. This study contributes empirically and practically to the literature.
2020-01-01T00:00:00ZThe Effect of Corporate Governance on Equity Finance of Sri Lankan Listed CompaniesPremathilaka, D.M.R.Lakshan, A.M.I.http://repository.kln.ac.lk/handle/123456789/220962021-02-19T10:51:21Z2020-01-01T00:00:00ZThe Effect of Corporate Governance on Equity Finance of Sri Lankan Listed Companies
Premathilaka, D.M.R.; Lakshan, A.M.I.
The concept of corporate governance (CG) is a common concept that must be used by every listed company in the world. Further, better CG results in increasing investors trust towards the corporation and on the other hand, it helps corporations to access more equity finance in their capital market. This study aims to investigate the type of relationship that exists between CG and equity finance in Sri Lankan listed companies. In the context of Sri Lanka, to the researcher’s best knowledge, there is no any published study available in terms of firm-level CG and equity financing patterns. This study attempts bridge this gap and to enhance the existing literatures. This study aims to examine the relationship between firm-level Corporate Governance (CG) and firm equity finance as the primary objective. Subsequently, the study aims to investigate the relationships between individual organizational factors (Frim size, Profitability, Leverage, Age and Growth rate) and equity finance while identifying the variable that has a highest impact on firm’s equity finance. To measure the firm-level CG Index (CGI), this study uses 59 dichotomous CG practices under five sub-indices (Ownership concentration, Board structure and procedures, Shareholder rights, Internal controls and Disclosures and Corporate social responsibilities). Further, this study uses secondary data from published annual reports. Sample size is 76 list companies and data collected for 4 years from 2016 to 2019. Ordinary Least Squared (OLS) multiple regression model is used in SPSS to identify the relationships. The findings of this study are highlighted the need for Sri Lankan companies to formulate an optimal CG structure, which in turn would lead to the eradication of possible malpractices such as corruption, fraud and misappropriation of resources to ensure higher financial performance and long-term sustainability. Hence, policy makers and regulators such as SEC, CA Sri Lanka, and the Central Bank of Sri Lanka can draw insights from the findings of this study in making CG reforms in relation to minority protection and other related areas in developing an appropriate CG structure for public listed companies.
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