A Research on the Impact of Carbon Emissions on Financial Performance of Companies in the Borsa Istanbul Sustainability Index

Authors : Filiz Özşahin Koç, Ali Deran

Pages : 671-686

Doi:10.29023/alanyaakademik.1436992

View : 37 | Download : 40

Publication Date : 2024-05-31

Article Type : Research

Abstract :The purpose of this study is to reveal the relationship between the amount of carbon emissions that firms emit into the atmosphere and financial performance of the firms. For this aim, the data of 41 firms traded in the Borsa Istanbul Sustainability Index between 2017-2021 are analyzed. Panel data analysis methods were used in the study. As a consequences of the analysis, it is concluded that carbon emission intensity, size, leverage and growth variables have a significant effect on Tobin’s Q Ratio and ROA. Only the growth variable has a significant effect on ROE. However, it is concluded that total carbon emission has no significant effect on ROA, Tobin’s Q Ratio and ROE. There is a limited number of studies with this scope and content in the national literature. In this context, this study is a pioneering study that tries to identify the relationship between carbon emissions and financial performance of firms traded in the BIST Sustainability Index and it is considered to contribute to the literature and practitioners in terms of the results obtained.
Keywords : Finansal Performans, Karbon Emisyonları, Sürdürülebilirlik, Finansal Performans Göstergesi, Panel Veri Analizi