Journal Research of Social Science, Economics, and Management
Vol. 5 No. 5 (2025): Journal Research of Social Science, Economics, and Management

The Effect of Green Innovation and Eco-Efficiency on Financial Performance with Good Corporate Governance as A Moderating Variable

Utami, Komang Cyntia (Unknown)
Budiadnyani, Ni Putu (Unknown)



Article Info

Publish Date
22 Dec 2025

Abstract

This study examines the influence of green innovation and eco-efficiency on financial performance with good corporate governance (GCG) as a moderating variable in energy sector companies listed on the Indonesia Stock Exchange (IDX) during 2022-2024. The research employs quantitative methods using Partial Least Squares-Structural Equation Modeling (PLS-SEM) analysis with a sample of 180 observations from energy sector companies over three years selected through purposive sampling. The results indicate that green innovation negatively and significantly affects financial performance, while eco-efficiency positively and significantly impacts financial performance. Furthermore, GCG weakens the influence of green innovation on financial performance but strengthens the positive influence of eco-efficiency on financial performance. These findings provide insights for companies in balancing environmental innovation with operational efficiency under effective corporate governance to optimize financial performance in the energy sector.

Copyrights © 2025






Journal Info

Abbrev

jrssem

Publisher

Subject

Environmental Science

Description

The Journal Research of Social Science, Economics, and Management is a double-blind peer-reviewed academic journal and has open access to social and scientific fields. The journal is published monthly once by CV. Publikasi Indonesia. The Journal Research of Social Science, Economics, and Management ...