Islamic Listed Companies and Their Decisions for Timely Financial Reporting: Case of Indonesia

This study aims to determine what influences financial reporting timeliness in the context of Islamic listed companies. It seeks to identify whether profitability, managerial ownership, institutional ownership, opinion of public accountants, and activity ratios influence financial reporting timeliness of companies listed in the Jakarta Islamic Index (JII), Indonesia. Sample consists of 24 companies which are listed on the JII during the study period of five years (2014-2018). Using multiple linear regression analysis, it was revealed that all of the independent variables consisting of profitability, management ownership, institutional ownership, public accountant opinion, and activity ratios, have significant influence on financial reporting timeliness of firms listed on the Jakarta Islamic Index (JII). This implies that even within Islamic listed companies, financial reporting timeliness is very much dependent on various company attributes hence the company performance in terms of profitability as well as other factors of ownership structure and operational efficiency such as activity ratio seems to align well with their decisions to report timely. The importance of financial reporting timeliness shall even be more prevalent for companies listed at the Islamic index due to their association with the distinctive characteristics of shariah requirements.