Exploring the ESG Performance’s Influence on Sustainable  Firm Value: What NSE 100 Listed Firms Indicate?

Devika  Agrawal; Anurag  Singh

doi:10.21844/16202118202

Devika Agrawal Research Scholar, Institute of Business Management, GLA University, Mathura, U.P., India
Anurag Singh Director, Institute of Business Management, GLA University, Mathura, U.P., India

DOI: https://doi.org/10.21844/16202118202

Keywords: ESG Performance, Firm Value, Agency theory, Stakeholders’ theory, Sustainable Development Goals(SDG’s)

Abstract

The paper explores the impact of environmental, social and governance performance of NSE-listed top 100 corporations on value of the firm. The study has employed a longitudinal study with a timeframe from 2009 to 2022. To measure ESG performance, the combined ESG scores have been fetched from Bloomberg’s terminal. The study incorporates regression analysis on the panel data to measure the intensity of the relationship. The study has reported variation in the results for accounting (operating and financial performance) metrics and market-based measures. The financial and operational performance indicated a negative influence of ESG, whereas the market-based measure showed a positive impact of ESG. The study lays down the practical and social implications of the study, along with future research avenues, by addressing the shortcomings of the study.