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Institutional investor company social responsibility report and company performance

Yonghui Li
Yonghui Li
, 
Shide Zhao
Shide Zhao
, 
Lipeng Bai
Lipeng Bai
 and 
Basel Jamal Ali
Basel Jamal Ali
   | Nov 29, 2021
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Published Online: Nov 29, 2021
Page range: 641 - 654
Received: Mar 09, 2021
Accepted: Jul 23, 2021
DOI: https://doi.org/10.2478/amns.2021.2.00107
Keywords
© 2021 Yonghui Li et al., published by Sciendo
This work is licensed under the Creative Commons Attribution 4.0 International License.

Analysis of the impact of institutional investors’ shareholding ratio and CSR information disclosure on corporate performance.

Variables Unnormalised coefficient Normalised coefficient t Significance
B Standard error Beta
(constant) −3.799 1.902 – −1.997 0.046
IHR 0.073 0.018 0.090 4.082 0.000
CSR 0.128 0.033 0.085 3.872 0.000
DER −0.114 0.022 −0.123 −5.188 0.000
ROP 0.017 0.002 0.236 10.604 0.000
GPM 0.165 0.026 0.155 6.382 0.000
IT 0.002 0.002 0.016 0.782 0.435
R2 0.146
Adj. R2 0.143
The F value 56.72

Analysis of the impact of shareholding ratio of institutional investors and CSR information disclosure on corporate performance (Z-score).

Variables Unnormalised coefficient Normalised coefficient t Significance
B Standard error Beta
(constant) 0.077 0.012 6.657 0.000
IHR 0.070 0.011 0.132 6.108 0.000
CSR 0.051 0.012 0.091 4.216 0.000
DER −0.019 0.013 −0.036 −1.548 0.122
ROP 0.267 0.017 0.340 15.311 0.000
GPM 0.091 0.014 0.160 6.697 0.000
IT 0.007 0.059 0.002 0.110 0.912
R2 0.212
Adj. R2 0.210
The F value 84.285

Analysis of the impact of institutional investors’ shareholding ratio on the relationship between CSR information disclosure and corporate performance

Variables Unnormalised coefficient Normalised coefficient t Significance
B Standard error Beta
(constant) −5.253 3.647 −1.440 0.150
IHR 0.099 0.059 0.123 1.687 0.092
CSR 0.165 0.085 0.110 1.928 0.054
DER −0.001 0.001 −0.047 −0.468 0.640
ROP −0.114 0.022 −0.123 −5.199 0.000
GPM 0.016 0.002 0.235 10.584 0.000
IT 0.164 0.026 0.155 6.374 0.000
R2 0.146
Adj. R2 0.143
The F value 48.65

Definition of investigate variables.

Variable types Variable name Variable to explain Data source
Explained variable ROE Net profit/stockholders’ equity × 100% Wind
Explanatory variables IHR Total institutional holdings/A shares in circulation × 100% Wind
CSR Runling Global CSR report rating score Runling Global Database
Control variables DER Enterprise liabilities/enterprise assets × 100% Wind
ROP EBITDA/total compensation × 100% Wind
GPM Operating costs/[(beginning inventory + ending inventory)/2] Wind
IT Operating costs/[(beginning inventory + ending inventory)/2] Wind

Descriptive statistical results.

Variables N Minimum Maximum Mean Standard deviation Median
ROE 1998 −333.82 67.53 7.39 17.97 7.86
IHR 1998 0.00 112.66 51.42 22.34 54.13
CSR 1998 15.65 89.00 42.08 12.00 39.52
DER 1998 3.70 141.25 47.87 19.43 48.64
ROP 1998 −1553.24 2792.27 174.42 256.36 99.54
GPM 1998 −48.18 93.12 27.89 16.88 24.87
IT 1998 0.00 3528.96 20.88 154.52 4.06
Number of active cases (listed) 1998

Industry sample profile.

Industry Number Percentage (%)
Machinery, equipment and instrument manufacturing 320 16.02
Information technology 210 10.51
Metal and non-metal manufacturing 179 8.96
Petroleum, chemistry, plastics and plastics 151 7.56
The real estate 126 6.31
Transportation, warehousing 114 5.71
The production and supply of electricity, gas and water 112 5.61
Wholesale and retail 108 5.41
Medicine, biological products 104 5.21
Food and beverage 92 4.60
Mining 86 4.30
Building 74 3.70
Communication and culture 62 3.10
Electronic 62 3.10
Social services 58 2.90
Textile, clothing and fur manufacturing 42 2.10
Paper making and printing 39 1.95
Farming, forestry, animal husbandry and fishery 29 1.45
Comprehensive 23 1.15
Other manufacturing industries 5 0.25
Wood and furniture manufacturing 2 0.10
Total 1998 100.00

Analysis of the impact of shareholding ratio of institutional investors on the relationship between CSR information disclosure and corporate performance (Z-score).

Variables Unnormalised coefficient Normalised coefficient t Significance
B Standard error Beta
(constant) 0.076 0.012 6.619 0.000
IHR 0.084 0.042 0.159 2.032 0.042
CSR 0.061 0.031 0.109 1.965 0.050
DER −0.019 0.013 −0.036 −1.548 0.122
ROP 0.266 0.017 0.340 15.278 0.000
GPM 0.090 0.014 0.159 6.681 0.000
IT 0.007 0.059 0.002 0.119 0.906
ZIHR*CRS −0.021 0.059 −0.037 −0.358 0.721
R2 0.212
Adj. R2 0.209
The F value 72.229

Correlation analysis.

Variables ROE IHR CSR DER ROP GPM IT
ROE 1.000
IHR 0.119*** 1.000
CSR 0.074*** 0.301*** 1.000
DER −0.148*** 0.181*** 0.199*** 1.000
ROP 0.291*** 0.127*** −0.008 0.020 1.000
GPM 0.268*** −0.03* −0.076*** −0.414*** 0.302*** 1.000
IT 0.033* 0.016 −0.03* 0.017 0.047** 0.055*** 1.000

Sample survey.

Year Number Percentage (%)
2016 608 30.43
2017 660 33.03
2018 730 36.54
Total 1998 100
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