Citation:

Reetu Yadav, Pardeep Gupta. "Corporate Risk Disclosure and Firm Characteristics: An Empirical Panel Data Analysis" International Research Journal of Economics and Management Studies, Vol. 5, No. 7, pp. 54-60, 2026. Crossref. http://doi.org/10.56472/25835238/IRJEMS-V5I7P106

Abstract:

Corporate risk disclosure (CRD) has become an essential component of corporate reporting as it enhances transparency, reduces information asymmetry and strengthens stakeholder confidence. Despite increasingly stringent regulatory requirements, considerable variation exists in disclosure practices across firms, highlighting the importance of firm-specific determinants. This study utilizes sample data of non- financial companies registered in the North Indian region and listed on the Bombay Stock Exchange (BSE). The study empirically investigates the influence of firm-level characteristics on corporate risk disclosure using panel data analysis. Diagnostic tests indicated the presence of heteroscedasticity and autocorrelation; therefore, a Generalized Least Squares (GLS) estimation within a Fixed Effects framework was employed to obtain robust and consistent estimates. The findings reveal that profitability, firm size, leverage, liquidity, board size, and firm age all exert a significant positive influence on corporate risk disclosure, indicating that larger, financially stronger, more leveraged, more liquid, well-governed, and mature firms disclose more comprehensive risk-related information.

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Keywords:

Corporate Risk Disclosure, Firm-Specific Factors, GLS-Fixed Effects Model, Panel Data.