Impact of energy saving on the financial performance of industrial enterprises in China: An empirical analysis based on propensity score matching

Does energy-saving have a positive effect on the long-term development of enterprises? To answer this question, this study uses the propensity score matching (PSM) method to determine the impact of enterprises completing energy-saving objectives on their financial performance based on data from an industrial enterprise database in China. The results show that industrial enterprises that have completed the energy-saving target have advantages in profitability, operational and financial indicators but have deficiencies in debt indicators, and there is no significant difference in the ratio of profits to cost and expense. The research results of high energy-consuming industry are the same as the overall sample of industrial enterprises in terms of operational and financial indicators, and debt ratio indicators. Nevertheless, energy saving has no significant impact on profit and ratio of profits to cost of high energy-consuming industry.