The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies

This study aimed to examine the mitigating effects of ownership structure on real earnings management practices among Malaysian public-listed firms. Data was collected from firms listed on Bursa Malaysia’s main market, covering the years 2011 through 2021. The findings of Generalised Least Squar...

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Main Authors: Muhammad Shaheer Nuhu, Zauwiyah Ahmad, Lim Ying Zhee
Format: Article
Language:English
Published: Penerbit Universiti Kebangsaan Malaysia 2024
Online Access:http://journalarticle.ukm.my/25189/
http://journalarticle.ukm.my/25189/1/Pengurusan_72_2.pdf
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author Muhammad Shaheer Nuhu,
Zauwiyah Ahmad,
Lim Ying Zhee,
author_facet Muhammad Shaheer Nuhu,
Zauwiyah Ahmad,
Lim Ying Zhee,
author_sort Muhammad Shaheer Nuhu,
building UKM Institutional Repository
collection Online Access
description This study aimed to examine the mitigating effects of ownership structure on real earnings management practices among Malaysian public-listed firms. Data was collected from firms listed on Bursa Malaysia’s main market, covering the years 2011 through 2021. The findings of Generalised Least Squares panel regression confirmed the significant negative effect of family ownership and foreign ownership on listed firms’ real earnings management, while managerial ownership and ownership concentration demonstrated insignificant effects. Practically, this study offers an effective framework for ownership structure and real earnings management practices to reduce executive managers' opportunistic behaviour. The findings contribute to a broader understanding of these phenomena so that investors and other stakeholders can better analyse earnings reports and, therefore, make informed decisions, particularly pertaining to non-owner-controlled firms.
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institution Universiti Kebangasaan Malaysia
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spelling oai:generic.eprints.org:251892025-05-08T02:49:10Z http://journalarticle.ukm.my/25189/ The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies Muhammad Shaheer Nuhu, Zauwiyah Ahmad, Lim Ying Zhee, This study aimed to examine the mitigating effects of ownership structure on real earnings management practices among Malaysian public-listed firms. Data was collected from firms listed on Bursa Malaysia’s main market, covering the years 2011 through 2021. The findings of Generalised Least Squares panel regression confirmed the significant negative effect of family ownership and foreign ownership on listed firms’ real earnings management, while managerial ownership and ownership concentration demonstrated insignificant effects. Practically, this study offers an effective framework for ownership structure and real earnings management practices to reduce executive managers' opportunistic behaviour. The findings contribute to a broader understanding of these phenomena so that investors and other stakeholders can better analyse earnings reports and, therefore, make informed decisions, particularly pertaining to non-owner-controlled firms. Penerbit Universiti Kebangsaan Malaysia 2024 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/25189/1/Pengurusan_72_2.pdf Muhammad Shaheer Nuhu, and Zauwiyah Ahmad, and Lim Ying Zhee, (2024) The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies. Jurnal Pengurusan, 72 . pp. 1-11. ISSN 0127-2713 https://www.ukm.my/jurnalpengurusan/volume-main/vol-2/
spellingShingle Muhammad Shaheer Nuhu,
Zauwiyah Ahmad,
Lim Ying Zhee,
The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title_full The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title_fullStr The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title_full_unstemmed The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title_short The relationship between ownership structure and real earnings management practices: evidence from Malaysian public companies
title_sort relationship between ownership structure and real earnings management practices: evidence from malaysian public companies
url http://journalarticle.ukm.my/25189/
http://journalarticle.ukm.my/25189/
http://journalarticle.ukm.my/25189/1/Pengurusan_72_2.pdf