Firm Size, Audit Committee Gender, and Institutional Ownership as Determinants of Audit Delay: Evidence from Indonesia’s Financial Sector

Abstract

This study examines the effects of firm size, audit committee gender diversity, and institutional ownership on audit delay in financial sector companies listed on the Indonesia Stock Exchange (IDX) during the 2021–2023 period. Audit delay—the number of days elapsed between a company’s fiscal year-end and the date of the independent auditor’s report—is a critical indicator of financial reporting timeliness, transparency, and market confidence. Drawing on agency theory, a quantitative explanatory design is employed using 120 firm-year observations selected through purposive sampling. Multiple linear regression with full classical assumption testing (normality, multicollinearity, heteroskedasticity, and autocorrelation) is applied. The results reveal that firm size exerts a significant negative effect on audit delay (B = −4.579, t = −4.611, p < 0.001), confirming that larger firms complete audits more promptly due to superior internal controls, resource endowments, and heightened stakeholder monitoring pressures. In contrast, neither audit committee gender diversity (p = 0.224) nor institutional ownership (p = 0.149) demonstrates a statistically significant influence on audit timeliness. The model explains approximately 16.2% of the variance in audit delay (Adjusted R² = 0.162). These findings provide sector-specific empirical evidence for policymakers, auditors, and corporate boards seeking to strengthen reporting timeliness in Indonesia’s regulated financial industry