Digital asset intensity and strategic disclosure effects on firm performance: Evidence from China

An empirical examination of Chinese A-share firms from 2013 to 2023 reveals that a higher share of intangible assets dedicated to digital technologies and more frequent use of digital transformation terminology in annual reports both contribute to improved return on assets, return on equity and Tobin’s Q. A difference-in-differences analysis centered on the 2018 national digital economy policy demonstrates that institutional endorsement amplifies these performance gains. Subsample results indicate that state-controlled firms capture larger benefits from digital initiatives compared with privately owned counterparts, and robustness tests using lagged digital measures confirm the persistence of these effects. The evidence emphasizes the joint importance of capital investment in digital resources and strategic narrative signaling within a supportive policy environment.