The Role of Materiality in Non-Financial Disclosure

Graduate qualification work on the topic "The role of materiality in non-financial reporting" is devoted to determining the impact of materiality disclosure in non-financial reporting on the financial position of companies under ESG transformation. The relevance of this work is determined by the fact that in the modern world more and more companies realize the importance of accounting not only financial indicators, but also non-financial aspects of their activities. In order to conduct the analysis, the paper considered the theoretical basis of the principle of materiality in non-financial reporting, developed ESG indices of disclosure of materiality topics and materiality in general, which were compared with the RAEX ESG Index using econometric models, and built econometric models to determine the impact of materiality indices on the financial position of companies following the ESG agenda. During the analysis the following results were obtained: more and more large companies are moving to sustainable development, this trend is confirmed by the number of ESG ratings assigned in the period from 2019 to 2022, the developed indices have an impact on the RAEX ESG rate, that is, the dependence of ROA on these indicators can be considered, the index for assessing the impact of material topics on the company's activities has an impact on ROA, although the Index of Materiality Analysis Disclosure Assessment did not show a significant impact on this financial indicator. The paper consists of introduction, three chapters, conclusion, appendices and list of sources used. The work contains 100 pages, 26 tables, 8 figures and 6 appendices.