After completing his undergraduate degree at the University of Tasmania, Robert worked in public accounting for Coopers+Lybrand and Deloittes, before returning to the University as a tutor. He then moved to a lectureship at UNSW, where he completed his PhD before moving to the University of Sydney and now UTS.
Can supervise: YES
Robert's research interests include earnings/returns correlations and the information environment of firms, specifically in relation to how these are affected by both institutional and informal characteristics of the marketplace for stock. He is particularly interested in differential belief revision in the equity markets. His PhD at the AGSM under Prof. Greg Clinch examined the incentives for generation of information by market analysts.
In his teaching, Robert has taught financial accounting at all levels in both undergraduate and postgraduate programmes, as well as auditing.
© 2018 CPA Australia Ltd (CPA Australia). This paper examines an implication of applying International Financial Reporting Standards to the government sector in Australia. We posit both a self-interest and a transparency motivation for local governments effecting revaluations of both infrastructure assets and community land. The self-interest motivation was expected to manifest as a relationship between the amount of revaluation and CEO (or management team) remuneration. The transparency motivation was expected to result in a relationship between revaluation and the extent of spending on these assets, measured as both the quantum of materials and contracts expense, and as the quantum of contracts awarded by the entity above the disclosure threshold. We also speculated that revaluations may be used to signal to state governments a need for additional funds through capital and/or operating grants. At conventional levels of significance, we find no support for these relationships, suggesting that agency motivations at the local government level are either more subtle or non-existent. As local government authorities in our study follow a reporting framework and standardised accounting procedures prescribed by the state government (in compliance with applicable AASB/IFRS standards), financial and public accountabilities are also likely to be a driver for the valuation of local infrastructure assets at fair value, and this is not likely to be undermined by the opportunistic incentives we have considered.
Bond, D, Czernkowski, R, Loyeung, AL & Lee, Y-S 2017, 'Market reaction to Non-GAAP Earnings around SEC regulation', Journal of Contemporary Accounting and Economics, vol. 13, no. 3, pp. 193-208.View/Download from: UTS OPUS or Publisher's site
This study examines the impact of Regulation G in 2003 and the issuance of Compliance and Disclosure Interpretations (C&DIs) in 2010 – on the reporting of non-GAAP earnings. The study finds that (i) both Regulation G and C&DIs are associated with an increase in the quality of non-GAAP earnings exclusions (i.e. the exclusions are more transitory and have less predictive power for future operating earnings). (ii) Regulation G led to a decrease in the amount of total positive exclusions used to meet or beat analysts' forecasts, but C&DIs partially reversed this result. (iii) Regulation G increases, and C&DIs decrease, the earnings response coefficients (ERCs).
Bugeja, M, Czernkowski, R & Moran, D 2015, 'The Impact of the Management Approach on Segment Reporting', JOURNAL OF BUSINESS FINANCE & ACCOUNTING, vol. 42, no. 3-4, pp. 310-366.View/Download from: UTS OPUS or Publisher's site
Bond, DK, Bugeja, M & Czernkowski, RM 2012, 'Did Australian firms choose to switch to reporting operating cash flows using the indirect method?', Australian Accounting Review, vol. 22, no. 1, pp. 18-24.View/Download from: UTS OPUS or Publisher's site
In 2007 Australian accounting standards were amended to allow a choice of presenting operating cash flows using either the direct or indirect method. This study investigates the number of ASX-listed entities that switched to the indirect format. Our results indicate that between 2007 and 2009 nine companies changed their reporting format. The firms adopting the indirect method have similar leverage, liquidity and performance to industry and size-matched controls. Given that previous research indicates that the direct method provides superior information for predicting cash flows and performance, our results will be welcomed by financial statement users and the Australian Accounting Standards Board.
Lu, F, Balatbat, M & Czernkowski, RM 2012, 'Does consideration matter to China's split share structure reform?', Accounting & Finance, vol. 52, no. 2, pp. 439-466.View/Download from: UTS OPUS or Publisher's site
We investigate the share market response to Chinas split share structure reform and find average negative daily return around the government announcement on 29 April 2005. However, there is a turnaround at individual companies decision to implement the reform where we find positive and significant average daily return, contingent on the type of consideration. We attribute this change in market sentiment to the companys announcement that the reform will involve the payment of consideration to holders of tradable A-shares. Our results also show that holders of tradable A-shares earn significant abnormal daily returns when companies propose to pay in cash or warrants or combine any of these payment methods with bonus shares.
Bond, DK, Czernkowski, RM & Wells, PA 2012, 'A team-teaching based approach to engage students', Accounting Research Journal, vol. 25, no. 2, pp. 87-99.View/Download from: UTS OPUS or Publisher's site
Purpose The purpose of this paper is to describe the process of renewal undertaken in a large undergraduate financial reporting subject. Design/methodology/approach The approach taken in the subject is one in which student engagement is critical. Selected quantitative and qualitative data from university course and student feedback surveys were used to assess the effectiveness of the renewal process. Findings The renewal process led to increased student engagement, and influenced student learning by demonstrating the relevance of financial reporting regulation. Feedback was also positive in relation to the level of resources, especially technological, provided in the subject. Originality/value Engaging with students is a critical task in any subject, but especially in a technical accounting subject, as students may not necessarily see the value in the content. This article reveals possibilities for academics to engage with their students and for their students to engage with the subject material.
Arthur, N, Cheng, M & Czernkowski, RM 2010, 'Cash flow disaggregation and the prediction of future earnings', Accounting & Finance, vol. 50, no. 1, pp. 1-30.View/Download from: UTS OPUS or Publisher's site
We examine the incremental information content of the components of cash flows from operations (CFO). Specifically the research question examined in this paper is whether models incorporating components of CFO to predict future earnings provide lower prediction errors than models incorporating simply net CFO. We use Australian data in this setting as all companies were required to provide information using the direct method during the sample period. We find that the cash flow components model is superior to an aggregate cash flow model in terms of explanatory power and predictive ability for future earnings; and that disclosure of non-core (core) cash flows components is (not) useful in both respects. Our results are of relevance to investors and analysts in estimating earnings forecasts, managers of firms in regulators domains where choice is provided with respect to the disclosure of CFO and also to regulators deliberations on disclosure requirements and recommendations.
Purpose The purpose of this paper is to determine whether audit opinions matter in China after the introduction of several key regulatory changes, specifically aimed at strengthening the confidence of investors in the audit function. Design/methodology/approach The question is addressed by examining the market response to modified audit opinions of companies listed on the Shanghai Stock Exchange. Findings In contrast to earlier research, this paper does not find evidence that modified audit opinions have significant information value to Chinese investors, despite the regulatory changes. However, when partitioning the sample by year, there is weak evidence of a stock price response to modified audit opinions in 2003. Examination of the impact of different types of audit opinions shows no consistent results.
Green, W, Czernkowski, RM & Wang, Y 2009, 'Special treatment regulation in China: Potential unintended consequences', Asian Review of Accounting, vol. 17, no. 3, pp. 198-211.View/Download from: UTS OPUS or Publisher's site
Purpose The purpose of this paper is to trace the behaviour of Chinese companies receiving a special treatment (ST) designation in order to determine the extent to which the application of this regulation may have led companies to engage in activities conducive to the removal of the ST designation. In particular, the paper examines evidence of opinion shopping or earnings manipulation by these companies. Design/methodology/approach Empirical analysis of annual report databases for Chinese-listed companies, including statistical significance testing relating to ST companies. Findings Most ST companies have removed the ST status by the third year after the initial ST designation. Compared to non-ST companies, ST companies losing the ST status are more likely to engage in practices indicating earnings manipulation. Also, compared to non-ST companies, ST companies are more likely to change auditors after an initial or second year of ST designation. However, while this behaviour suggests opinion shopping, auditor switching for the ST companies is not associated with losses becoming profits nor with improved audit opinions.
Lu, F, Balatbat, M & Czernkowski, RMJ 2008, 'The Role of Consideration in China's Split Share Structure Reform'.
Czernkowski, R, a Mladenovic, R, Cousins, C, Gibson, R & Howitt, G 2003, 'The impact of leadership style on student learning in a first-year accounting course', Asian Review of Accounting, vol. 11, no. 1, pp. 48-68.View/Download from: Publisher's site
In this paper, we measure the impact of transactional leadership and transformational leadership styles on student learning outcomes. Leadership style was measured using a set of questions that were developed based on the conceptions of leadership style from Avolio, Waldman and Yammarino (1991). Student learning outcomes investigated included overall final mark achieved in the course, as well as communication skills, writing skills, critical thinking and analysis skills, study skills, reading skills and interpersonal skills. © 2003, MCB UP Limited
This paper investigates whether the voluntary decomposition of consolidated earnings disclosures into industry segments has information content in the sense that such disclosures better enable investors to predict earnings. The broad rationale underlying the experimental design is that if segment disclosure does enable investors to better predict earnings then residual abnormal returns (after controlling for unexpected earnings) surrounding the earnings announcements of firms providing segment disclosures should on average be significantly lower than a matched' group of firms that do not provide this type of disclosure. Using a short event window design, our results support this view. Copyright © 1994, Wiley Blackwell. All rights reserved
Aitken, M & Czernkowski, R 1992, 'Information Leakage Prior to Takeover Announcements: The Effect of Media Reports', Accounting and Business Research, vol. 23, no. 89, pp. 3-20.View/Download from: Publisher's site
There is considerable evidence documenting pre-bid price and volume reaction to takeover announcements. This has at times been argued to constitute evidence of insider trading. Although insider trading probably occurs, much pre-bid trading may result from event anticipation. This paper documents the effects of one source through which such anticipation is disseminated, namely the print media. Our results show that measures of unexpected returns and turnover can be reduced by one third when the information from media reports is controlled for. The general implication of our finding is that, if other such sources were taken into account (for example, information conveyed by substantial shareholder notices and the transactions costs of trading), then previous evidence of statistically significant unexpected pre-bid returns and turnover may be substantially reduced if not eliminated. © 1992, Taylor & Francis Group, LLC. All rights reserved.
Loyeung, AL, czernkowski, bond & Lee 2016, 'Market reaction to Non-GAAP Earnings around SEC regulation.', Accounting & Finance Association of Australia and New Zealand (AFAANZ)- annual conference, Gold Coast, Australia.View/Download from: UTS OPUS
Bugeja, M, Czernkowski, RM & Moran, DV 2012, 'Did IFRS 8 increase segment disclosures?', British Accounting and Finance Association Annual Conference 2012, British Accounting and Finance Association, Brighton, United Kingdom.
Czernkowski, RM, Bugeja, M & Moran, DV 2012, 'Did IFRS 8 increase segment disclosures?', 35th Annual Congress European Accounting Association Programme, European Accounting Association (EAA), Ljubljana, Slovenia.
Bugeja, M, Czernkowski, RM & Moran, DV 2012, 'Did IFRS 8 increase segment disclosures?', American Accounting Association Annual Meeting and Conference on Teaching and Learning in Accounting, American Accounting Association, Washington, DC.
Bond, DK, Bugeja, M & Czernkowski, RM 2011, 'Auditors and the provision of takeover advice', British Accounting and Finance Association Annual Conference 2011, British Accounting and Finance Association, Birmingham, United Kingdom.
Czernkowski, RM, Jain, R & Bugeja, M 2010, 'Impact of information asymmetry on takeovers', 33rd Annual Congress European Accounting Association Programme, European Accounting Association (EAA), Istanbul, Turkey.
Czernkowski, RM, Bugeja, M & Jain, R 2010, 'Information asymmetry and takeovers', British Accounting Association Annual Conference 2010, British Accounting Association Annual Conference 2010, British Accounting Association (BAA), Cardiff City Hall.
Bugeja, M, Czernkowski, RM & Jain, R 2010, 'Information asymmetry and takeovers', American Accounting Association Conference on Teaching and Learning in Accounting, American Accounting Association (AAA), American Accounting Association, San Francisco, California.
Arthur, N, Czernkowski, RM & Huynh, T 2009, 'The impact of cash flows and accruals on belief asymmetry', BAA Annual Conference 2009, British Accounting Association Annual Conference 2009, British Accounting Association (BAA), Dundee.
Arthur, N, Czernkowski, RM & Huynh, T 2009, 'The impact of cash flows and accruals on belief asymmetry', 2009 AFAANZ Conference, Accounting and Finance Association of Australia and New Zealand Conference, AFAANZ, Adelaide, Australia, pp. 1-38.View/Download from: UTS OPUS
We examine the market-relevance of disaggregating earnings into cash flow and accrual components. Unlike the majority of capital markets accounting research to-date, which has restricted analysis to price effects (returns), we focus on belief asymmetry as our measure of market-relevance. Specifically we examine the effect, which the earnings component disclosure has on the level of belief asymmetry in the market. Our measure of belief asymmetry is based on the model developed by Kim and Verrecchia (1991). Cross-sectional ordinary least square regression models are used to analyse the market response to measures of cash flow and accrual surprise.
Clinch, GJ & Czernkowski, RM 2006, 'Generation of private signals by analysts (Acct paper #77)', School of Accounting Working Paper Series.