Quality of financial reporting: evidence from the listed Saudi nonfinancial companies

Kamal Naser · Rana Nuseibeh

141 citations0/0 files storedThe International Journal of Accounting

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Auditing, Earnings Management, Governance Accounting Theory and Financial Reporting Financial Reporting and XBRL

Abstract

This study assesses the quality of information disclosed by a sample of nonfinancial Saudi companies listed on the Saudi Stock Exchange. The study also compares the extent of corporate disclosure before and after the creation of the Saudi Organization of Certified Public Accountants (SOCPA). We classify information disclosed in the annual reports into three main categories: mandatory; voluntary related to mandatory; and voluntary unrelated to mandatory disclosure. The sample provided 63% and 66% of the total population of companies listed on the Saudi Stock Exchange in the years 1992 and 1999. In departure from most previous studies conducted in this area of research, we weighted the indexes of disclosure by the mean and median responses of seven users of the annual reports in Saudi Arabia. The results of both unweighted and weighted indexes are reported. The outcome of the analysis indicated a relatively high compliance with the mandatory requirements in all industries covered by the study, with the exception of the electricity sector. As for the voluntary disclosure, whether related or unrelated to mandatory disclosure, the analysis revealed that Saudi companies disclose information more than the minimum required by law. The level of voluntary disclosure, however, is relatively low. The analysis also showed that the creation of SOCPA has had little impact on corporate reporting in Saudi Arabia.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 141 citations exist upstream.

References

1995Firm-specific determinants of the comprehensiveness of mandatory disclosure in the corporate annual reports of firms listed on the stock exchange of Hong Kong 1971An Empirical Analysis of the Quality of Corporate Financial Disclosure.1986Disclosure Quality in Governmental Financial Reports: An Assessment of the Appropriateness of a Compound Measure 1999An empirical investigation of multinational firms' compliance with International Accounting Standards

Cited by

2011Transition to IFRS and compliance with mandatory disclosure requirements: What is the signal?2014Corporate Ownership, Governance and Tax Avoidance: An Interactive Effects 2014The Impact of Corporate Governance and Ownership Structure on Voluntary Disclosure in Annual Reports among Listed Jordanian Companies 2010An empirical analysis of corporate governance structures and voluntary corporate disclosure in volatile capital markets: the Egyptian experience 2021Determinants of corporate social and environmental voluntary disclosure in Saudi listed firms 2009Defining Islamic accounting: current issues, past roots 2019Corporate governance and risk disclosure quality: Tunisian evidence 2008Annual report disclosure in a developing country: The case of the UAE

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.