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@article{190107,
        author = {Dr. B. Shailaja},
        title = {Sustainability Reporting and Firm Value: Evidence from Top Five Indian Companies.},
        journal = {International Journal of Innovative Research in Technology},
        year = {2026},
        volume = {12},
        number = {8},
        pages = {1979-1985},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=190107},
        abstract = {Sustainability reporting has gained increasing prominence as firms are expected to disclose environmental, social, and governance (ESG) information alongside traditional financial performance. In India, the introduction of the Business Responsibility and Sustainability Reporting (BRSR) framework has further strengthened sustainability disclosure practices among large listed companies. This study examines the relationship between sustainability reporting and firm value using evidence from the top five Indian companies—Reliance Industries Limited, Tata Consultancy Services, HDFC Bank Limited, Infosys Limited, and ITC Limited.
The study is based on secondary data collected from annual reports, sustainability/BRSR reports, and Bombay Stock Exchange (BSE) disclosures for a five-year period (2019–20 to 2023–24). A Sustainability Reporting Index (SRI) was constructed using ESG disclosure items aligned with the BRSR framework. Firm value was measured using market-based indicators, namely Tobin’s Q and the market-to-book ratio. The data were analyzed using descriptive statistics, correlation analysis, and panel regression techniques.
The empirical results reveal a positive and statistically significant relationship between sustainability reporting and firm value. Regression findings indicate that higher levels of sustainability disclosure significantly enhance market valuation, even after controlling for firm size, profitability, and leverage. The results suggest that investors perceive sustainability reporting as a signal of superior governance, effective risk management, and long-term value creation.
The study concludes that sustainability reporting plays a value-enhancing role among leading Indian companies and should be viewed as a strategic tool rather than merely a regulatory compliance requirement. The findings have important implications for corporate managers, policymakers, and investors, highlighting the need for strengthened and standardized sustainability disclosure practices to promote sustainable corporate growth in India.},
        keywords = {Sustainability Reporting, Firm Value, ESG Disclosure, BRSR, Indian Companies},
        month = {January},
        }