This study examines the effects of environmental, social, and governance disclosure (ESG) components on the financial performance (FP) of firms listed on the Palestine Stock Exchange (PEX) from 2016 to 2022, focusing on the moderating role of corporate governance. This study used primary data from 44 PEX-listed companies. A context analysis technique was used through company websites and disclosures, the entire population (308 observations) was used for this study, and the study used STATA utilizing the required statistical analysis for this research. The study finds that environmental, social, and governance disclosures significantly influence the Return on Equity and Return on Assets. Testing for the moderating role of Corporate Governance, especially board diversity and size, shows that board diversity moderates the association between social and governance disclosure and firm performance. Board size moderates the relationship between social disclosure and firm performance. By contrast, Board Size and Diversity do not moderate the relationship between environmental disclosure and firm performance. The study contributes to the literature as the first of its kind conducted in Palestine, examining the moderating effects of board size and diversity on the association between ESG disclosure and firm performance.

This research examines the value relevance of real profit using Economic Value Added (EVA) as a proxy versus accounting outcomes. The question at hand is whether the usefulness of real income numbers is superior to accruals (traditional performance indicators) for Palestinian corporations. This research utilized an experimental research design to gather panel data from the reported annual data of 31 non-financial listed corporations on the PEX from 2015 to 2019. Descriptive statistics and the Jarque–Bera test were used, along with a Nonparametric Spearman's rho Correlations test to evaluate linear relationships between variables. The Random Effect Model (REM) was used based on the Correlated Random Effects - Hausman Test to establish a concrete research model. The findings demonstrate that the market values of shares have a strong relationship with traditional measures, where the relative informativeness ability of accounting indicators is greater than the informativeness ability of real income. The study suggests using EVA as a supplement, not a replacement, for the current traditional accounting performance measurements. Future studies can compare the effect of real income and accounting indicators on a variable other than stock market value. As a policy implication, we advise users in Palestine to consider accruals but economic income indicators as supplementary. This paper is the first in Palestine to use advanced econometric analysis that establishes concrete findings about the conflict between Accounting-Based versus Economic-Based indicators.