Ownership Structure and Timeliness of Interim Financial Reporting in Jordan
This study examines the timeliness of half-yearly financial reports published by companies listed on the Amman Stock Exchange (ASE). This study determines whether a company complies with the JSC requirement by announcing its half-yearly report within one month allowed period. In addition, this study is determining the association between timeliness and ownership structure of companies (namely foreign ownership, government ownership, and number of shareholders). An analysis of 197 half-yearly financial reports ended on 30 June 2014 reveals that all, except 104 companies, reported within an allowed reporting lag of one month. However, a large number of companies were making the most of the time given to announce their half-yearly reports. The study also provides evidence that there are a significantly association between foreign ownership and government ownership with timeliness of half-yearly financial reporting, that the relationships are negative for foreign ownership, and positive for government ownership. No significant association was evidenced between number of shareholders and timeliness. Additionally, the findings show a significant negative relationship between audit firm size as an control variable with timeliness. Plausible explanations for these findings are provided. The findings may provide some implications for research regarding the timeliness of financial reporting in Jordan.
Publishing Year
2016