Reliability And Impact Of Voluntary Disclosure Factors Research, Ipo Profit Forecast

Accounting information has played more and more important role in the developing capital market. The company prefers to disclose voluntary information besides the mandatory information in order to reduce financing cost and satisfy the information demand of the investors. In our country, earnings forecast information is the voluntary disclosure information. Earnings forecast information is the very useful part of accounting information for investors to make sound decisions. But if the subjective and objective reasons of the listed company affect the quality of the earnings forecast information, the information will mislead the investors and make the capital market turbulent. Therefor, the quality of the earnings forecast information is always the focus in theory and actual practice.This paper first analyses supply-demand and cost-benefit of the earnings forecast information from the theoretical perspective, and then discusses the necessity and motivation of the voluntary disclosure of earnings forecast.In the empirical perspective, the reliability of earnings forecast information is measured by the relative divergence of the earnings forecast. Then this paper analyses the reliability of the earnings forecast of the listed companies that initial public offering stocks from 2001 to 2006. The study displays that the reliability is low, so the analysis on the subjective and objective influencing factors of the reliability of earnings forecast is carried out. And the relationship between the reliability of earnings forecast and the influencing factors by the empirical method is analysed too. By the multiple regression, the results indicate that: the ownership concentration and abroad companies are negatively related to the reliability of voluntary disclosure of earnings forecast; the company size, Big4 and manufacturing are positively related to it. However, LEV, ROE and the period of earnings forecast are not related to it.Finally, on the basic of the empirical research and the literatures, this paper put forward some proposals about voluntary disclosure of earnings forecast, such as: encourage voluntary disclosure of information, improve voluntary disclosure of information systems, establish civil liability system, train the authoritative financial analyst and strengthen supervision.