Investors’ Perspectives on the Financial and Non-Financial Reports

Abstract

Reporting both financial and non-financial reports is believed as a positive way to attract investors because investor decisions do not only depend on financial information factors in making their investment decisions. Many non-financial factors might increase firm value, such as disclosure of enterprise risk management, disclosure of intellectual capital, disclosure of corporate social responsibility. This paper aims to analyze whether the customer goods industry's economic and non-economy disclosure impacts investor decision-making. Using multiple regression method in the explanatory research with quantitative approach, this study revealed that: (1) Profitability has a significant influence on Firm Value; (2) Dividend Policy does not have a significant influence on Firm Value; (3) Enterprise Risk Management Disclosures has a significant influence on Firm Value; (4) Intellectual Capital Disclosure has a significant influence on Firm Value; (5) Corporate Social Responsibility Disclosure has a significant influence on Firm Value. The combination of the financial and non-financial reports has significantly attracted investors.