The Effect of Environmental Management Accounting on Firm Value Through Managerial Performance

Since Environmental Management Accounting (EMA) has gained attention as companies face environmental concerns and the need for efficient resource management, its relationship with Firm Value remains inconsistent. This study examines the relationship between EMA and Firm Value, with Managerial Performance as a mediating variable among companies listed on the Indonesia Stock Exchange. A quantitative approach was employed using secondary data from 175 companies selected through purposive sampling. Data were analyzed using regression analysis and the Sobel test. EMA measured by the eco-efficiency ratio, Managerial Performance measured by ROA, and Firm Value measured by Tobin’s Q. The findings indicate that EMA positively and significantly association with Managerial Performance, while Managerial Performance positively and significantly association with Firm Value. However, EMA has a significant negative direct association with Firm Value. Managerial Performance also does not significantly mediate the relationship between EMA and Firm Value. These findings indicate that although EMA contributes to managerial performance, its benefits are not necessarily reflected in higher Firm Value through managerial performance. This study contributes empirical evidence by examining both the direct and indirect relationships of EMA on Firm Value through Managerial Performance.