Table 10

Sensitivity analysis: ESG performance, executive gender diversity (binary), and Tobin's

Variables(1) ESG
(Lagged)
(2) Environmental
(Lagged)
(3) Social
(Lagged)
(4) Governance
(Lagged)
ESG Score (lagged)0.0013** (2.89)–––
Environmental Score (lagged)–0.0017*** (3.55)––
Social Score (lagged)––0.0028*** (4.24)–
Governance Score (lagged)–––−0.0014** (−2.80)
High executive gender diversity— (base = low)— (base = low)— (base = low)— (base = low)
ESG × High diversity−0.000 (ns)−0.000 (ns)−0.000 (ns)−0.000 (ns)
Firm size (log assets)−0.020 (−0.26)−0.027 (−0.34)−0.031 (−0.41)−0.009 (−0.11)
Profitability (ROA)0.036*** (8.74)0.036*** (8.87)0.036*** (8.71)0.036*** (8.74)
Leverage (DTC)0.002 (1.55)0.002 (1.58)0.002 (1.68)0.002 (1.47)
Price volatility0.009*** (3.56)0.009*** (3.54)0.009*** (3.55)0.009*** (3.52)
Board gender diversity−0.001* (−1.88)−0.001 (−1.79)−0.001* (−1.96)−0.001 (−1.46)
Board size0.011*** (3.82)0.011*** (3.82)0.010*** (3.85)0.011*** (3.84)
Firm fixed effectsYesYesYesYes
Year fixed effectsYesYesYesYes
Observations5,5055,5055,5055,505
Number of firms430430430430
R2 (within)0.1550.1560.1580.156
F-statistic (Driscoll–Kraay)6,029,849***6,161,629***1,686,078***10,600,000***

Note(s): Estimates are from fixed-effects regressions with Driscoll–Kraay standard errors, robust to heteroskedasticity, autocorrelation, and cross-sectional dependence. Executive gender diversity is a binary variable (1 = above-median female representation). ESG variables are mean-centred before interaction. Coefficients with t-statistics in parentheses. *p < 0.10, **p < 0.05, ***p < 0.01

Source(s): Created by authors

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