Objective - This research aims to find out how corporate social responsibility as an intervening variable on voluntary disclosure and earning responses coefficient.

Methodology/Technique - The research sample was retrieved from LQ45 companies listed on the Indonesia Stock Exchange which consistently disclosure annual reports and sustainability reports for the period of 2017-2018. In analyzing the data, Structural Equation Modelling (SEM) with the support of SmartPLS (Partial Least Square) are used.

Finding - Results show that voluntary disclosure has a positive and significant effect towards earning responses coefficient while voluntary disclosure has a negative effect towards corporate social responsibility. Moreover, corporate social responsibility also shows a negative effect towards Earning responses coefficient. Voluntary disclosure with corporate social responsibility as an intervening variable also shows a negative effect towards Earning responses coefficient.Voluntary disclosure can explain the variability of corporate social responsibility construct of 13,2%. Meanwhile, voluntary disclosure and corporate social responsibility can explain the variability of earning response coefficient construct of 22,7%, so that those two values are categorized as weak.

Novelty - The results indicate that investors did not pay attention to the information of ccorporate social responsibility (CSR) that are shown in the annual financial reports. However, they give a positive response to voluntary disclosure of the company so that it effects the increase of Earning response coefficient.

Type of Paper - Empirical.

Keywords: Voluntary Disclosure; Corporate Social Responsibility; Earning Responses Coefficient.

JEL Classification: G40, G41, G49.

URI: http://gatrenterprise.com/GATRJournals/AFR/vol4.3_2.html

DOI: https://doi.org/10.35609/afr.2019.4.3(2)

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