The influence of integrated reporting and internationalisation on intellectual capital disclosures

Abstract

Purpose

The purpose of this paper is to examine whether preparing an integrated report and/or whether cross-listing is associated with more intellectual capital (IC) disclosure.

Design/methodology/approach

The paper compares the content of IC disclosures of matched samples of companies.

Findings

The findings show that companies preparing an integrated report disclose more IC information, and that companies exposed to international capital market pressures through cross-listing do not disclose more IC information.

Research limitations/implications

The findings imply that integrated reporting (IR) is likely to increase IC disclosures and also that future IC disclosure research may have to take into account whether companies prepare an integrated report.

Practical implications

The results will be of interest to the proponents of IC and of IR, including the developers of the IR framework, regulators and companies considering IR.

Originality/value

This is one of the first studies to assess the influence of preparing an integrated report on the level of IC disclosure.

Citation

Terblanche, W. and De Villiers, C. (2019), "The influence of integrated reporting and internationalisation on intellectual capital disclosures", Journal of Intellectual Capital, Vol. 20 No. 1, pp. 40-59. https://doi.org/10.1108/JIC-03-2018-0059