Sustainable Earnings Dynamics: An Analysis of Influential Factors on Earnings Quality in The Transportation Sector of The Indonesia Stock Exchange

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Analysis reveals firm size and foreign ownership improve earnings quality in transportation firms, suggesting strategic adjustments.

Earnings quality is significantly influenced by firm size and foreign ownership, resulting in better financial performance.
Larger firms and those with higher foreign ownership exhibit improved earnings quality, indicating strategic benefits.
Contrary to expectations, inflation positively correlates with earnings quality, reflecting unique sector dynamics.
Profit growth also contributes positively to earnings quality, underlining the importance of growth strategies.

Ghassany et al. (2025) studied this question.

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