2026-10-06T07:10:45Z https://api.figshare.com/v2/oai

oai:figshare.com:article/33895354 2026-09-17T14:03:18Z category_25306 category_25318 category_25321 category_25324 item_type_3 month_year_09_2026

ESG Metrics and Financial Performance Final Data Solomon Idan (25026604) https://orcid.org/0009-0004-6316-7278 Idan (25027196) Sustainability accounting and reporting Environment and climate finance Finance Financial econometrics Environmental, Social, and Governance (ESG) Financial Performance Sustainable Finance Corporate Sustainability Electric Machinery Industry Nikkei 225 Index Japan <p dir="ltr">This study examines the impact of Environmental, Social, and Governance (ESG) performance on the financial performance of 31 Japanese electric machinery firms listed on the Nikkei 225 Index between 2015 and 2024. Drawing upon Stakeholder Theory, Institutional Theory, and the Resource-Based View, the study employs static (FGLS) and dynamic (Difference GMM) panel estimations to evaluate both short-term and long-term ESG effects. The static results indicate that aggregate ESG performance positively influences free cash flow but negatively affects revenue growth, while exhibiting no significant effect on profitability or market valuation. Disaggregated analysis reveals that environmental performance enhances free cash flow and Tobin's Q, whereas social performance negatively affects revenue growth and market valuation. Dynamic estimations show that aggregate ESG and environmental performance generate significant long-term growth benefits, while social performance improves free cash flow. In conclusion, the findings suggest that ESG creates value through heterogeneous channels and should be viewed as a long-term strategic investment rather than a source of immediate financial gains.</p> 2026-09-17T14:03:18Z Dataset Dataset 10.6084/m9.figshare.33895354.v1 https://figshare.com/articles/dataset/ESG_Metrics_and_Financial_Performance_Final_Data/33895354 CC BY 4.0