IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCIAL MANAGEMENT (IJEFM )

E-ISSN 2545-5966
P-ISSN 2695-1932
VOL. 7 NO. 6 2022
DOI: https://doi.org/10.56201/ijefm.v7.no6.2022.pg67.78

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Sustainability Reporting and Financial Performance: An Empirical Investigation of Quoted Oil and Gas Companies in Nigeria

Imo, ThankGod Obutor (PhD)

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Abstract

This study was conducted to examine the influence of sustainability reporting on financial performance of quoted oil and gas companies in Nigeria. The population of the study comprises eleven (11) quoted oil and gas companies derived from the Nigerian Stock Exchange and the secondary data used emanated from the audited financial statements of the quoted Oil and gas companies investigated. Sustainability reporting was the independent variable, while financial performance as the dependent variable was measured by means of return on asset (ROA), return on equity (ROE) and return on capital employed (ROCE). The linear regressions was used to test the hypotheses. The results designate that sustainability reporting has a positive and significant influence on return on asset, return on equity and on return on capital employed; financial The study therefore concludes that, sustainability reporting significantly influences financial performance of quoted oil and gas companies in Nigeria, and recommends that, to enhance success, managers should focus on building a strategic capability in sustainability reporting. that will enable firms to satisfy market-based stakeholders and realize significant strategic benefits in terms of robust financial performance.

keywords:

Return on asset, Return on equity, Return on capital employed. Sustainability reporting.

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