Purpose: This study investigates the effect of carbon emission disclosure (CED) on firm value (FV) in Indonesian non-financial firms, with enterprise risk management (ERM) as a mediating variable and corporate strategy (CS) as a moderating variable.

Design/Methodology/Approach: A quantitative explanatory approach was applied using 120 firm-year observations from companies listed on the Indonesia Stock Exchange (IDX) during 2019–2022. CED was measured through content analysis using a carbon disclosure checklist, ERM was assessed using an ISO 31000-based index, corporate strategy was categorized into differentiation and cost leadership, and firm value was proxied by Tobin’s Q. Data were analyzed using regression, Sobel mediation tests, and moderated regression analysis (MRA).

Findings: The results reveal four main insights: (1) CED significantly improves ERM, (2) ERM positively influences firm value, (3) CED has no direct effect on firm value, and (4) ERM mediates the relationship between CED and firm value. Additionally, corporate strategy strengthens the CED–FV relationship, with differentiation strategies enhancing the positive effect of disclosure on value more effectively than cost leadership strategies. These findings suggest that disclosure alone does not create value unless strategically aligned and supported by robust risk management.

Originality/Value: This study provides new empirical evidence from an emerging market context by integrating ERM as a mediator and corporate strategy as a moderator in the CED–firm value relationship. The findings extend stakeholder and legitimacy theories by demonstrating that disclosure outcomes depend on governance quality and strategic orientation, rather than transparency alone.

Practical Implications: Managers should align environmental disclosure with ERM frameworks and long-term strategies to maximize financial and reputational benefits. Regulators should promote standardized disclosure frameworks, while investors can use ERM and strategy alignment as indicators of credible sustainability practices.