ESG Performance and Its Disclosures: Evidence on Corporate Profitability from ASEAN-5 Manufacturing Firms

Growing pressure on firms to demonstrate sustainability has made ESG a central corporate concern, yet evidence on its financial consequences remains mixed, particularly in emerging ASEAN markets. Listed manufacturers across the ASEAN-5 countries are the subject here, with attention to whether ESG performance links to their financial results. The relationship examined in the study is how ROA is affected by ESG performance and its three subcomponents including Environmental, Social, and Governance Disclosure Scores. Using a quantitative approach to explanatory research design, the study uses panel data collected from 744 firm-year observations of manufacturing firms in Indonesia, Malaysia, Singapore, Philippines, and Thailand in the period 2023-2025. Regarding the overall ESG Score, the study finds no support for the hypothesis, as its effect on ROA is negative and statistically significant. Each of the three disclosure scores, namely Environmental, Social, and Governance, behaves differently, producing a positive and statistically significant effect on ROA. What this suggests is that high ESG performance may not necessarily yield high financial performance, while every individual ESG dimension can still affect ROA positively.