The public company annual report and its utilisation by the local investing public

Abstract

The public company annual report reaches a variety of audiences, one such audience that has a direct stake is the investing public. This study establishes the importance that a sample of shareholders places on the different elements that make up the annual report. A local bank quoted on the Malta Stock Exchange was used for the study. On the basis of the literature review, a series of hypothesis was postulated and survey instruments developed to test their validity. These included a mail survey to a weighted sample of shareholders and personal interviews with selected local stockbrokers. The analysis of the data showed that how specific elements within the annual report did influence the shareholders' perception of the company's corporate image. This did not however influence the shareholders' investment decision to retain or relinquish shares in the company.