Earnings management behavior in enterprises is a concern in the academic community. In actual operations, due to factors such as information asymmetry, management may use earnings manipulation to distort the true financial situation of the enterprise and embellish financial reports in order to alleviate financing pressure and achieve performance commitments. This will mislead the public’s understanding of corporate performance, seriously harm the interests of accounting information users, and reduce the effectiveness of the capital market. Therefore, it is crucial to explore how to effectively suppress earnings management behavior. With the tight integration of enterprise operations and digital technology, the internal governance effectiveness of digital technology can be demonstrated, thereby controlling the selectivity of enterprise accounting policies and influencing earnings management behavior. This article takes H Company as an example, based on its annual report data from 2018 to 2022, to explore its earnings management issues from the perspectives of accrual-based and real earnings management, and proposes countermeasures and suggestions for digital transformation.