CORPORATE SOCIAL MEDIA USAGE AND EARNINGS MANAGEMENT: EMPIRICAL EVIDENCE FROM THAI LISTED COMPANIES

Abstract

In the digital era, social media has become a vital communication channel between companies and their stakeholders, including investors and shareholders. Unlike traditional disclosure methods, social media allows for informal, engaging content with relatively lower levels of regulation, potentially affecting how companies manage their public image and financial transparency. This study investigates the relationship between social media usage and earnings management among companies listed on the Stock Exchange of Thailand (SET), considering the unique cultural, regulatory, and ownership structure of the Thai capital market. By collecting data from the official Facebook, Instagram, and TikTok accounts of listed companies, along with financial information from the SETSMART database for the period 2022–2024, the study analyzes patterns of social media usage and its correlation with earnings management practices. Earnings management is measured using both accrual-based and real-based indicators to capture a comprehensive view of managerial discretion in financial reporting and operational decisions. The research employs descriptive statistics, correlation analysis, and multiple regression to explore the associations and address potential statistical issues. The objectives are to identify the patterns and frequency of social media activity, examine its relationship with earnings management, and provide recommendations for regulatory oversight to enhance corporate transparency. The findings are expected to contribute to academic understanding, inform policymakers, and support investors in recognizing potential earnings manipulation driven by digital communication strategies.