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DOI 10.35609/afr.2026.11.2(2)

Reference to this paper should be referred to as follows: Kasingku, F.J, Saprudin, A.A.B, The, B.H. (2026). Do Sustainability and Gender Diversity Constrain Earnings Management? Empirical Evidence from ASEAN, Acc. Fin. Review, 11(2), 107 – 122. https://doi.org/10.35609/afr.2026.11.2(2)

Received: July 11, 2026 | Accepted: September 30, 2026

Do Sustainability and Gender Diversity Constrain Earnings Management? Empirical Evidence from ASEAN
Frisky Jeremy Kasingku , Abby Ashraff Bin Saprudin , Boon Heng The
Faculty of Management, Multimedia University, Cyberjaya, Malaysia
Faculty of Economics and Business, Universitas Klabat, Indonesia Abstract

Objective - This study examines the influence of ESG disclosure scores and their individual pillars (environmental, social, and governance), along with the critical mass of women on corporate boards, on earnings management in ASEAN countries.

Methodology/Technique - The study employs a correlational research design using 4,066 firm-year observations from non-financial firms in the ASEAN region over the period 2008–2024. Earnings management is measured using discretionary accruals calculated through the Modified Jones Model. A fixed-effects panel regression model is applied to examine the relationships between ESG disclosures, the critical mass of women on boards, and earnings management.

Findings - The results indicate that overall ESG disclosure and social disclosure negatively influence earnings management, suggesting that greater transparency is associated with lower earnings management. The critical mass of women on corporate boards also significantly reduces earnings management, indicating that women need to achieve sufficient representation to exert meaningful influence. However, environmental and governance disclosures have no significant influence on earnings management. Robustness tests confirm the reliability of these findings.

Novelty - This study contributes to the literature by examining the combined effects of ESG disclosure pillars and the critical mass of women on corporate boards on earnings management in the ASEAN region. By using a large sample spanning 2008–2024, it provides new evidence on the distinct roles of social transparency and women's board representation in mitigating earnings management, while highlighting the limited influence of environmental and governance disclosures.

Type of Paper - Empirical

Keywords: ASEAN, critical mass of women on board, ESG disclosure score, ESG pillar disclosure, earnings management

JEL Classification: G34, M41, M14, Q56, J16

URI: https://gatrenterprise.com/GATRJournals/AFR/vol11.2_2.html

DOI: https://doi.org/10.35609/afr.2026.11.2(2)

Pages 107 – 122

Price: USD 25