Green finance practices are trend as companies adopt eco-friendly initiatives to drive green revenue, yet the impact on financial performance remains uncertain due to the potential mediating role of governance, risk, and compliance (GRC). This study investigates how green revenue affects the financial performance of mining, plantation, and manufacturing firms across ASEAN, examining GRC's mediating effect. Utilizing 2018-2022 panel data, financial performance measured by ROA and ROE is the dependent variable, green revenue is the independent variable, and composite GRC score encompassing governance, risk management, and compliance as mediating variable. Panel regression and path analysis assess the mediating effect. Findings reveal a significant positive relationship between green revenue and financial performance, mediated by GRC practices. Green finance boosts financial performance, especially when complemented by robust GRC implementation. The research underscores integrating sustainability and governance into business strategies for enhanced financial performance. The results provide empirical evidence of green finance's financial benefits and highlight GRC's crucial role in strengthening this relationship.
Keywords: Green Finance, Green Revenue, Financial Performance, Governance Risk Compliance (GRC), Mediation