Effects of financial statements information on firms’ value: evidence from Vietnamese listed firms

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The paper studies the effects of information reporting in financial statements on values of Vietnamese firms. The study uses panel data with 1,070 observations from 214 firms, which are listed in the stock market of Vietnam in the period from 2012 to 2016. Multiple regression results show that the growth, firm size, profitability, auditing quality and timelineness are positively related to firm values, whereas the capital structure, auditing explanation negatively affect that indicator. The paper also indicates the inconsistency in measuring firms’ value by different measures including EV, Tobin’s Q or share price. Moreover, the research results reflect that measuring firms’ value by EV is more appropriate. The results of empirical research are instructive for enterprises to improve the usefulness of information in financial statements, thereby enhancing enterprises’ values.

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    • Figure 1. Research model of factors affecting the firms’ value
    • Table 1. Variables in the research model
    • Table 2. Statistics description for the five-year averages, from 2012 to 2016
    • Table 3. Correlation matrix
    • Table 4. Multivariate regression results with dependent variable EV
    • Table 5. Multivariate regression result with dependent variable Tobin’s Q
    • Table 6. Multivariate regression with dependent variable of stock price
    • Table 7. Summary of multivariate regression results
    • Table 8. Results of statistical test for model indicators