Abstract:

This study examines how sustainability reporting (SR) and global uncertainty affect firm performance in Vietnam. Using a balanced panel of 145 listed firms during 2021–2023 and estimating panel generalized least squares (GLS), we find that issuing a sustainability report is positively associated with profitability. Specifically, SR increases ROA by about 0.080 (p<0.01). In contrast, global uncertainty measured by the World Uncertainty Index (WUI) is negatively related to performance (β≈−0.402, p<0.10), suggesting that higher global uncertainty erodes firms’ profitability. However, the Global Economic Policy Uncertainty (GEPU) index shows no statistically significant effect on ROA (p>0.10). The results highlight the role of sustainability reporting in enhancing firm performance, while emphasizing firms’ vulnerability to global uncertainty. Practical implications are provided for managers and policymakers to strengthen sustainability disclosure and risk management under uncertain global conditions.