Year: 2024 | Month: February | Volume: 11 | Issue: 2 | Pages: 364-374
DOI: https://doi.org/10.52403/ijrr.20240240
The Effect of Digitalization Corporate Social Responsibility on Financial Performance and Intellectual Capital as a Moderating Variable (Study on Food and Beverage Companies Listed on the Indonesian Stock Exchange in 2019–2022)
Muhamad Rais Harahap1, Keulana Erwin2, Sambas Ade Kesuma3
1,2,3Department of Accounting, Faculty of Economics and Business Universitas Sumatera Utara, Indonesia
Corresponding Author: Muhamad Rais Harahap
ABSTRACT
A lower level of financial risk ensures higher CSR involvement. Companies with a high and stable level of profitability will carry out corporate social responsibility voluntarily. This research examines the influence of digital corporate social responsibility on financial performance, with intellectual capital moderating the relationship between digital corporate social responsibility and financial performance.
The method used in this research is simple regression and the Moderated Regression Analysis (MRA) testing model on food and beverage companies listed on the Indonesia Stock Exchange from 2019 to 2022.
This research found that the R Square value was quite significant, namely 89.6%, meaning that the dependent variable, financial performance, was influenced by digital social responsibility, amounting to 89.6%. In comparison, the remaining 10.1% was influenced by external variables, and the direction of influence brought by digital corporate social responsibility towards financial performance shows a negative direction. Intellectual capital can slow the negative relationship between digital corporate social responsibility (DCSR) and financial performance. Based on the analysis, this may occur due to the instability of current market conditions; companies must consider social issues that occur while operating digital social corporate responsibility in providing a positive impact on financial performance.
Keywords: digital corporate social responsibility, intellectual capital, financial performance
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