Table 10 Potential channels through...

Table 10

Potential channels through which CSR_COM enhances the CSR's impact on FP

Panel A: The CSR disclosure channel
	(1)	(2)	(3)	(4)	(5)	(6)
Variables	ROA	ROA	ROA	ROA	ROA	ROA
CSR	−0.011			0.022***
CSR	(−1.403)			(2.822)
CSR×DISC	0.006			−0.038***
CSR×DISC	(0.639)			(−2.849)
ENV		−0.015***			−0.005
ENV		(−3.531)			(−1.443)
ENV×DISC		−0.003			−0.023***
ENV×DISC		(−0.873)			(−4.105)
SOC			−0.006			0.012***
SOC			(−1.364)			(2.855)
SOC×DISC			−0.002			−0.021***
SOC×DISC			(−0.437)			(−3.435)
CSR_COM×DISC×CSR				0.022***
CSR_COM×DISC×CSR				(3.531)
CSR_COM×DISC×ENV					0.013***
CSR_COM×DISC×ENV					(3.387)
CSR_COM×DISC×SOC						0.016***
CSR_COM×DISC×SOC						(3.791)
CSR_COM				−0.013***	−0.009***	−0.013***
CSR_COM				(−4.776)	(−3.493)	(−4.871)
DISC	0.001	0.009**	0.006*	0.013**	0.015***	0.007*
DISC	(0.265)	(2.258)	(1.767)	(2.048)	(3.378)	(1.760)
Constant	−0.464***	−0.462***	−0.467***	0.030	0.035*	0.036*
Constant	(−6.782)	(−6.801)	(−6.840)	(1.386)	(1.657)	(1.744)
Year and Firm FE	Yes	Yes	Yes	Yes	Yes	Yes
Baseline controls	Yes	Yes	Yes	Yes	Yes	Yes
Observations	12,278	12,278	12,278	12,285	12,285	12,285
Adjusted-R²	0.561	0.562	0.561	0.114	0.114	0.114

Panel A: The CSR disclosure channel
	(1)	(2)	(3)	(4)	(5)	(6)
Variables	ROA	ROA	ROA	ROA	ROA	ROA
CSR	−0.011			0.022***
CSR	(−1.403)			(2.822)
CSR×DISC	0.006			−0.038***
CSR×DISC	(0.639)			(−2.849)
ENV		−0.015***			−0.005
ENV		(−3.531)			(−1.443)
ENV×DISC		−0.003			−0.023***
ENV×DISC		(−0.873)			(−4.105)
SOC			−0.006			0.012***
SOC			(−1.364)			(2.855)
SOC×DISC			−0.002			−0.021***
SOC×DISC			(−0.437)			(−3.435)
CSR_COM×DISC×CSR				0.022***
CSR_COM×DISC×CSR				(3.531)
CSR_COM×DISC×ENV					0.013***
CSR_COM×DISC×ENV					(3.387)
CSR_COM×DISC×SOC						0.016***
CSR_COM×DISC×SOC						(3.791)
CSR_COM				−0.013***	−0.009***	−0.013***
CSR_COM				(−4.776)	(−3.493)	(−4.871)
DISC	0.001	0.009**	0.006*	0.013**	0.015***	0.007*
DISC	(0.265)	(2.258)	(1.767)	(2.048)	(3.378)	(1.760)
Constant	−0.464***	−0.462***	−0.467***	0.030	0.035*	0.036*
Constant	(−6.782)	(−6.801)	(−6.840)	(1.386)	(1.657)	(1.744)
Year and Firm FE	Yes	Yes	Yes	Yes	Yes	Yes
Baseline controls	Yes	Yes	Yes	Yes	Yes	Yes
Observations	12,278	12,278	12,278	12,285	12,285	12,285
Adjusted-R²	0.561	0.562	0.561	0.114	0.114	0.114

Panel B: Results with ROE as a proxy of FP
	ROE	ROE	ROE	ROE	ROE	ROE
CSR	−0.013			0.039***
CSR	(−0.731)			(2.731)
CSR×DISC	−0.015			−0.045*
CSR×DISC	(−0.703)			(−1.725)
ENV		−0.019**			−0.017**
ENV		(−2.101)			(−2.368)
ENV×DISC		0.003			−0.015
ENV×DISC		(0.410)			(−1.347)
SOC			0.003			0.031***
SOC			(0.317)			(4.005)
SOC×DISC			0.000			−0.023*
SOC×DISC			(0.037)			(−1.924)
CSR_COM×DISC×CSR				0.013
CSR_COM×DISC×CSR				(1.032)
CSR_COM×DISC×ENV					0.008
CSR_COM×DISC×ENV					(1.072)
CSR_COM×DISC×SOC						0.014*
CSR_COM×DISC×SOC						(1.724)
CSR_COM				−0.015***	−0.008*	−0.018***
CSR_COM				(−3.140)	(−1.646)	(−3.851)
DISC	0.017	0.007	0.007	0.018	0.014	0.004
DISC	(1.391)	(0.855)	(0.799)	(1.500)	(1.540)	(0.490)
Constant	−0.678***	−0.675***	−0.682***	0.073	0.086*	0.086*
Constant	(−5.325)	(−5.319)	(−5.369)	(1.632)	(1.936)	(1.953)
Year and Firm FE	Yes	Yes	Yes	Yes	Yes	Yes
Baseline controls	Yes	Yes	Yes	Yes	Yes	Yes
Observations	12,278	12,278	12,278	12,285	12,285	12,285
Adjusted-R²	0.454	0.454	0.454	0.0942	0.0942	0.0949

Panel B: Results with ROE as a proxy of FP
	ROE	ROE	ROE	ROE	ROE	ROE
CSR	−0.013			0.039***
CSR	(−0.731)			(2.731)
CSR×DISC	−0.015			−0.045*
CSR×DISC	(−0.703)			(−1.725)
ENV		−0.019**			−0.017**
ENV		(−2.101)			(−2.368)
ENV×DISC		0.003			−0.015
ENV×DISC		(0.410)			(−1.347)
SOC			0.003			0.031***
SOC			(0.317)			(4.005)
SOC×DISC			0.000			−0.023*
SOC×DISC			(0.037)			(−1.924)
CSR_COM×DISC×CSR				0.013
CSR_COM×DISC×CSR				(1.032)
CSR_COM×DISC×ENV					0.008
CSR_COM×DISC×ENV					(1.072)
CSR_COM×DISC×SOC						0.014*
CSR_COM×DISC×SOC						(1.724)
CSR_COM				−0.015***	−0.008*	−0.018***
CSR_COM				(−3.140)	(−1.646)	(−3.851)
DISC	0.017	0.007	0.007	0.018	0.014	0.004
DISC	(1.391)	(0.855)	(0.799)	(1.500)	(1.540)	(0.490)
Constant	−0.678***	−0.675***	−0.682***	0.073	0.086*	0.086*
Constant	(−5.325)	(−5.319)	(−5.369)	(1.632)	(1.936)	(1.953)
Year and Firm FE	Yes	Yes	Yes	Yes	Yes	Yes
Baseline controls	Yes	Yes	Yes	Yes	Yes	Yes
Observations	12,278	12,278	12,278	12,285	12,285	12,285
Adjusted-R²	0.454	0.454	0.454	0.0942	0.0942	0.0949

Note(s): This table presents results on CSR disclosures as a channel through which CSR_COM influences the link between CSR and FP (ROA). Columns 1–3 of Panel A (B) report the effect of the interaction between CSR disclosures and CSR on ROA (ROE). Columns 4–6 report the results for the role of CSR_COM in influencing the joint effect of CSR_CONT and CSR on ROA (ROE) for all three measures of CSR. Moreover, standard errors are adjusted for heteroscedasticity and serial correlation using clustering at the firm level. t-statistics are reported in the parenthesis, whereas the *, ** and *** portray statistical significance at the 10%, 5% and 1% levels, respectively

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