Corporate Social Responsibilities and Financial Performance of Listed Deposit Money Banks in Nigeria
Abstract
The objective of the paper is to examine the effect of corporate social responsibility on financial performance of listed deposit money banks in Nigeria. Data were extracted from published financial statements of 12 deposit money banks listed in Nigeria Stock Exchange. The dependent variable of firm financial performance proxy with accounting ratio of earnings per share; the independent variables employed for this study includes: corporate donation, occupational health and safety, staff training and remediation disclosure. This study is based on ex-post facto research design and employed a panel data set collected from twelve (12) listed deposit money banks over a ten (10) year period ranging from 2013 to 2023 financial year. Quantile Regression Analysis (QRA) Technique was employ to ascertain the effects of the independent variables on the dependent variables at different quantiles of the performance variable distribution. The findings reveal that social donations have a significant positive effect on earnings per share at 5% level of significance on both the 50th and 75th quantiles. While occupational health and safety cost has no significant effect on earnings per share at all levels of the distribution. However, we recommend that firms whose interest is to improve earnings per share via corporate social responsibility activities, should place key emphasis on training and development capabilities of its work force.
Keywords
Corporate Social Responsibility
External
Accountability
References
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