EFFECT SOCIAL AND ENVIRONMENTAL ON FINANCIAL PERFORMANCE
Abstract
Kata Kunci: social, lingkungan, kinerja keuangan
Abstract. Profit is one aspect of determining financial performance, but sometimes to maximize profits the company does not pay attention to environmental and social aspects that will have an impact on environmental damage such as pollution, waste and no relationship with social community. Therefore, this study aims to determine the effect of disclosure of social and environmental performance on the financial performance of PT. Indonesia Power. The data used are financial, social and environmental performance from 2007-2016. The results showed that disclosure of social and environmental has a positive and significant effect on the financial performance of PT Indonesia Power at 94.5%. The company has revealed social and environmental responsibilities that increase public trust. The study would contributes to the management of PT Indonesia Power to maintain and further improve the environmental and social performance that has been carried out so far because it has been proven to improve its financial performance.
Keywords:social, environmental, financial performance
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DOI: https://doi.org/10.33857/jafr.v3i2.271
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