Browsing by Subject "Management report"

Now showing 1 - 3 of 3
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    Open Access
    Does audit committee financial expertise actually improves information readability?
    (Universidad de Murcia, Servicio de Publicaciones, 2022) Alcaide-Ruiz, María Dolores; Bravo-Urquiza, Francisco
    This paper investigates the relationship between audit committee financial expertise, particularly considering specific accounting financial expertise, and the readability of management reports. Additionally, this study also examines whether the effect of financial experts is moderated by the intensity of the audit committee’s activity. The dataset for directors’ characteristics is hand-collected as are the management reports. The sample is composed of Spanish listed firms for the period 2013-2015. The results show a negative association between financial expertise, especially accounting financial expertise, and the readability of management reports. In addition, this association is accentuated with higher number of audit committees’ meetings. This evidence stimulates the debate on the advantages of having members with financial expertise in the audit committee. Otherwise, the use of contextual approaches in further studies regarding the role of directors is recommended. In addition, this could help regulators and professionals to guide their requirements and recommendations about directors’ qualifications.
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    Open Access
    Non-financial reporting in Spain. The effects of the adoption of the 2014 EU Directive
    (Universidad de Murcia, Servicio de Publicaciones, 2022) García-Benau, María-Antonia; Bollas-Araya, Helena-María; Sierra-García, Laura
    The Directive 2014/95/EU imposes new requirements regarding the disclosure of non-financial information (NFI). The aim of this paper is to analyse the NFI disclosed by Spanish listed companies. This is a pioneering study in Spain, since it was conducted during the first year in which NFI disclosure was mandatory, according to the requirements of the Spanish adaptation of Directive. We determine whether decisions on NFI reporting adopted in this respect (i.e. to do so within the management report or as a separate sustainability report) depend on the company’s characteristics. In addition, we consider whether the content of such reports differs significantly. Findings show that some Spanish companies do not disclose mandatory NFI. Larger and more profitable companies, which belong to specific sectors and have a sustainability committee, are more likely to disclose this information in a sustainability report. The contents of management and sustainability reports present significant differences.
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    Publication
    Open Access
    Readabilty in management reports: extension and good governance practices
    (Universidad de Murcia, Servicio de Publicaciones, 2021) Melón-Izco, Álvaro; Ruiz-Cabestre, Francisco J.; Ruiz-Olalla, Carmen
    This study expands our knowledge about the readability of accounting narratives, their extension and companies compliance with good governance practices. It also covers a gap in the analysis of the readability of narrative information written in Spanish. We examined the readability in Management Reports of Spanish companies listed on the Continuous Market of the Madrid Stock Exchange during the period 20102016. The results reveal that the most extensive management reports that is, those with the greatest quantities of text are the least readable and that the use of visual elements in reports helps to improve their readability. Moreover, companies that follow good governance practices issue complex information with clarity, speed, and simplicity, which improves the readability of accounting narratives