Climate change performance and financial distress

Given the crucial role that environmental accounting plays in sustainable development, this study investigates relationship between climate change disclosure performance (CCDP) and financial distress as well moderating impact of litigation, existence a risk committee, employment Big4 auditing firms level audit fees. Utilising sample top 300 Australian Securities Exchange (ASX)-listed non-financial over period 2008–2019 ordinary least squares (OLS) regression analysis with fixed effects, it is found higher levels CCDP are related to lower distress. Additionally, significant association manifested low litigation risk, employ incur Additional tests mitigate self-selection endogeneity, such propensity score matching (PSM) system generalised method moments (GMM), show our findings robust. Finally, shed light on managers' strategic behaviour relation consideration of, transparency around, risks.