Effect of Corporate Attributes on Financial Reporting Timeliness of Financial Institution in Nigeria
Abstract
This study investigates the effect of corporate attributes on financial reporting timeliness of financial institutions listed on the Nigerian Exchange Group (NXG) from 2014 to 2023. The study uses logistic regression analysis to assess the influence of various corporate governance variables, including board independence, audit committee expertise, auditor type, institutional ownership, firm size, and profitability, on the timeliness of financial reporting. The research utilizes secondary data collected from the annual reports of Nigerian financial institutions, covering a sample of firms listed on the Nigerian Exchange Group over the study period. The dependent variable, FRT, is measured as a binary outcome, where 1 represents timely reporting and 0 represents delayed reporting. The explanatory variables include board independence , audit committee expertise, auditor type, institutional ownership , firm size , and profitability . The results indicate that board independence and audit committee expertise have a significant positive impact on financial reporting timeliness, Conversely, institutional ownership is negatively associated with FRT, Firm size and profitability exhibit positive relationships with FRT. Auditor type does not have a significant effect on reporting timeliness. The study highlights the critical role of governance structures, such as board independence and audit committee expertise, in promoting timely financial reporting. Based on these findings, the study recommends enhancing corporate governance practices, improving profitability, and managing institutional ownership to improve the timeliness of financial reporting in Nigeria’s financial sector.
Keywords
Corporate AttributesFinancial Reporting TimelinessBoard IndependenceAudit
References
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