Purpose: Rapid bank digitisation has heightened cybersecurity risks and increased stakeholder expectations for transparent cyber risk governance and disclosure. However, research on whether women’s board involvement enhances financial success varies and depends on the context, particularly within different institutional settings. Therefore, this study investigates the impact of Women on Boards (WIB) on Earnings per Share (EPS) of Jordanian banks during 2010 to 2022 and further examines the moderating effect of Cyber Security Disclosure (CSD) on the relationship between WIB and EPS. Design: Combining manual content analysis of each Jordanian bank’s annual report with regression analysis to assess the correlation between EPS, WIB, and CSD. The study also controls for audit quality estimates, financial leverage, bank age, and size. Findings: Our results reveal a negative correlation between EPS and the increasing number of women on boards; thus, simply having more women on boards does not necessarily lead to higher EPS. Additionally, there is a positive interaction between WIB and CSD on EPS, indicating that strong cybersecurity practices can mitigate the negative effects of gender diversity on the board. The ongoing negative association between board diversity and EPS underscores the complexity of gender relations in corporate governance issues. Originality: This research is the first to examine both gender diversity and cybersecurity practices within the same context, as they jointly influence corporate governance and financial performance in new ways. It emphasises the importance of viewing cybersecurity disclosures as a strategic component that can positively impact the financial outcomes of board diversity.
Shehadeh et al. (Thu,) studied this question.