Does International Financial Reporting Standard 8 improve the firms' information environment?

Purpose This article analyzes the effect of International Financial Reporting Standard (IFRS) 8 on informational content segment data. It aims to assess change in quality financial analysts' and shareholders' information environment due new reporting standard verify Accounting Standards Board’s (IASB) expectations conclusions its post-implementation review. Design/methodology/approach Based a sample 250 companies listed Euronext Paris France, country with poor legal protection for shareholders, over nine-year period, authors test whether makes forecasts more accurate reduces implied cost equity capital. Findings The findings show that IFRS partially improves data, supporting outcome IASB. management approach may have forced some firms their segmentation provide economic view business. shareholders France explain this result. Research limitations/implications Due proprietary agency costs, withhold whatever used. Practical implications study contributes ongoing debate about interest statement users international standard-setter such criticized standard. Originality/value results contribute literature by addressing partial improvement under managerial lower investor protection.