사업보고서 정정과 회계정보의 가치관련성 = The Correction of Annual Report and Incremental Value Relevance of Accounting Information

다국어 초록 (Multilingual Abstract)

[Purpose] This study investigates the impact of annual report corrections on the incremental value relevance of accounting information. Specifically, we analyze whether signals about a firm’s low disclosure quality shown in annual report corrections act as incremental information in investors’ valuation decisions using accounting information. In addition, we analyze whether this relationship appears differentially depending on whether the analysis is performed by financial analysts, information intermediary in the capital market.
[Methodology] To verify the value relevance of accounting information, multivariate regression analysis was conducted with reference to previous studies(Ohlson, 1995, etc.). The sample consisted of 13,257 firm－year listed companies from 2011 to 2019, and interest variable was set as an indicator of whether or not corrective reporting of annual reports was performed in the previous fiscal year. In addition, to investigate the differential role of analysts, we conducted multivariate regression analysis by dividing the sample according to analyst following.
[Findings] We found a significant negative relationship between the correction of annual reports in the previous fiscal year and the incremental value relevance of net profit accounting information. These results suggest that the poor information environment, such as the firm’s low disclosure quality and high information asymmetry shown in annual report corrections, has a negative impact on investors’ valuation of the firm’s performance information. Additionally, the negative relationship appears only in samples that are not the subject of analysis by financial analysts, suggesting that investors evaluate the absence of information intermediaries who can compensate for the poor information environment more negatively.
[Policy Implications] The contribution of this study is that it empirically suggests that investors use correction disclosures in annual reports in valuation using accounting information and systematically consider the role of financial analysts in the valuation process. The results of this study suggest that the preparation and use of faithful annual reports play a practical role in the capital market, providing important policy implications for capital market participants and supervisory authorities.