THE IMPACT OF FINANCIAL PERFORMANCE ON ESG SCORES: A STUDY OF THE BANKING SECTOR IN OECD COUNTRIES

Öz

Although the effects of sustainability on financial performance have been extensively examined in the literature, it appears that studies addressing the impact of financial performance on sustainability remain relatively limited. This study aims to investigate the effect of financial performance on ESG disclosure scores in banks operating in OECD countries. Using annual data covering the period 2010–2022, panel quantile regression was applied to a sample of 284 banks. The findings reveal that both financial performance indicators exhibit an asymmetric effect on ESG scores across quantiles. While the effect of ROA on ESG scores is positive and significant at the median and upper quantiles, the coefficient turns negative at the lower quantile. Regarding ROE, a positive and statistically significant relationship is observed at the median and upper quantiles, whereas this relationship becomes insignificant at the lower quantiles. Overall, the findings confirm that the effect of financial performance on ESG disclosures follows a non-linear pattern, with this effect becoming more pronounced at the upper quantiles.

Anahtar Kelimeler

• ESG Score
• Banking Sector
• Financial Performance

FİNANSAL PERFORMANSIN ESG SKORLARI ÜZERİNDEKİ ETKİSİ: OECD ÜLKELERİ BANKACILIK SEKTÖRÜNDE BİR İNCELEME

Öz

Sürdürülebilirliğin finansal performans üzerindeki etkileri literatürde kapsamlı biçimde incelenmiş olmakla birlikte, finansal performansın sürdürülebilirlik üzerindeki etkisini ele alan çalışmaların görece sınırlı kaldığı görülmektedir. Bu çalışma, OECD ülkelerinde faaliyet gösteren bankalarda finansal performansın ESG skorları üzerindeki etkisini incelemeyi amaçlamaktadır. 2010-2022 dönemine ait yıllık veriler kullanılarak 284 bankayı kapsayan örneklemde panel kantil regresyon yöntemi uygulanmıştır. Bulgular, her iki finansal performans göstergesinin de ESG skorları üzerinde kantiller arasında asimetrik bir etki sergilediğini ortaya koymaktadır. ROA'nın ESG skoru üzerindeki etkisi medyan ve üst kantillerde pozitif ve anlamlı iken, alt kantilde katsayı negatife dönmektedir. ROE açısından ise medyan ve üst kantillerde pozitif ve istatistiksel olarak anlamlı bir ilişki gözlemlenirken, alt kantillerde bu ilişki anlamsızlaşmaktadır. Elde edilen bulgular, finansal performansın ESG açıklamaları üzerindeki etkisinin doğrusal olmayan bir yapı sergilediğini ve bu etkinin özellikle üst kantillerde belirginleştiğini teyit etmektedir.

Anahtar Kelimeler

• ESG Skoru
• Bankacılık Sektörü
• Finansal Performans

Kaynakça

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