Corporate Social and Environmental Disclosure in Nigeria: A Comparative Study of the Building Material and Brewery Industry (original) (raw)
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Patterns of Corporate Social and Environmental Disclosure in Nigeria
The report is an exploratory study designed to identify evidence and patterns of corporate social and environmental disclosure (CSED) through annual reporting by firms in Nigeria. A total of 154 annual reports of 40 Nigerian Stock Exchange (NSE) listed firms were analyzed; consisting of four major industries, in the period starting 2009 to 2013. The study found a positive relationship between company size, industry, and a company’s CSED. The banking industry was found to disclose more information than all other industries, whereas the insurance industry disclosed the least. The oil and gas companies disclosed more than those in the food producing and processing industry.
This study basically investigates the association between corporate environmental visibility and the level of corporate social responsibility disclosures among listed firms in Nigeria. The attribute or proxy used as a measure for environmental visibility in this study is size and it is measured by the total asset of the selected firms. To achieve the objective of this study, a total of 30 selected listed firms in the Nigerian stock exchange market were used. Also, the study critically developed and utilized a disclosure index to measure the extent of corporate social responsibility disclosure made by companies in their corporate annual reports for the period 2006-2010. The simple regression analysis was used to test the research propositions in this study. The study observed that there is a significant association between the corporate environmental visibility and the level of corporate social responsibility disclosures among listed firms in Nigeria. This finding further revealed that environmentally visible firms disclose more environmental information in their annual reports in order to legitimate their operations and to avoid political costs derived from public scrutiny.
Environmental Disclosure Practices in Annual Reports of Listed Manufacturing Firms in Nigeria
SSRN Electronic Journal, 2017
This study examined the inadequacies of corporate environmental disclosures both in quantity and quality amongst manufacturing firms in Nigeria. In order to achieve an in-depth study and wider coverage of the subject-matter; secondary data were obtained from the annual reports of fourteen (14) manufacturing firms. The annual reports were examined for a period of six years (2010 to 2015). The companies were selected based on judgement or purposive sampling. Interpretative content analysis was used to elicit information from the annual reports. The study revealed that corporate environmental disclosure is still at its lowest ebb amongst manufacturing firms in Nigeria and there will be a need for sensitization, regulatory compulsion or government intervention for companies to participate in corporate environmental disclosure. The obvious benefit of this will include the opportunity to resolve issues concerning climate change; particularly dimensions of global warming.
ABSTRACT This paper investigates the association between firms’ characteristics and the level of corporate social disclosures in the Nigerian financial sector. Using the judgmental sampling technique, a total of 31 listed firms have been selected for this study based on their level of market capitalization and direct financing of most firms from the manufacturing industry. Also, using the content analysis method of eliciting data, a scoring scheme was used for measuring the extent of corporate social disclosure in the annual report. The study observed that a positive association existed between a firm’s characteristics and the level of corporate social disclosure. In addition, the paper observed that corporate social disclosures by listed firms are still in its infancy. The paper therefore calls for standard setting bodies to put in place a corporate social environmental reporting framework, in order to improve the level of corporate social disclosures among of listed firms in the financial industry.
Corporate Social and Environmental Disclosures and Market Value of Listed Firms in Nigeria
Copernican Journal of Finance & Accounting, 2019
This study examines the effect of corporate social environmental disclosure (CSED) on the market value of eighty-four (84) listed firms in Nigeria, which were purposively selected from the period 2011 to 2016. The aggregate of (CSED) were regressed on Market Value (Tobin's Q), while Firm size, financial performance, board size, leverage, affiliation to foreign company and industry type were factored in as extraneous variables. Data were obtained through content analysis of annual reports of sampled firms and were analysed through descriptive statistics and regression analysis. The result of the descriptive analysis showed that the mean score for the CSED is above average and the standard deviation for almost all the variables is low which indicated that the deviation of the actual data from their mean is not significant. The OLS result revealed that CSED, firm size, financial performance, affiliation with foreign company Okwy Peter Okpala, Oluwamayowa Olalekan Iredele 10 and industry type have significant effect on the market value of firms, while Board size and leverage do not significantly influence the market value of firms. The study recommends that firms should disclose information on their environmental performance as a way of adding value.
Effect of Social and Environmental Disclosures on Performance of Non-Financial Firms in Nigeria
Journal of Accounting and Financial Management, 2020
This work empirically investigated the effect of social and environmental disclosures on performance of non financial firms in Nigeria. The study is vital as it portrays the extent to which social and environmental disclosures influence firms' performance. In order to determine the relationship between social and environmental disclosures and firms performance, some key proxy variables were used in the study, namely corporate social responsibility disclosure and environmental disclosure; firms' performance is however represented by NAPS. Two hypotheses were formulated to guide the investigation and the statistical test of parameter estimates was conducted using panel regression model. The research design used is Ex Post Facto design and data for the study were obtained from the NSE Factbook and published annual financial reports of the entire 112 non financial firms quoted on NSE with data spanning from 2011-2018. The findings generally indicate that corporate social and environmental disclosures have significantly influenced firms' performance at 5% significant level. Based on this, the study concludes that social and environmental disclosures have positively improved firms performance over the years. The study however suggests that firms should have positive disposition towards social and environmental friendly practices and also disclose more of these information in their annual reports as the level of these information disclosures have exerted significant influence on firms' performance over the years.
he state of the world’s environment and the impact of mankind on the ecology of the world have led to increased public concern and scrutiny of the operations and performances of organisations. Despite some variations among countries in different regions, corporate environmental disclosures have increased globally in both size and complexity over the past two decades. Some developed countries have initiated mandatory disclosures in the reporting requirements. However, in most developing countries, environmental disclosures still heavily rely on voluntary initiatives of the reporting entities. In addition, despite the increase in research, studies in this area in the developing countries are still very scarce. This study therefore adopting the stakeholder’s theory examined the level of corporate environmental reporting practices in the selected manufacturing companies, listed on the Nigerian Stock Exchange. The study as part of its findings observed that the level of environmental disclosure practices in the industry is still very low and is still at its embryonic stage in Nigeria. The paper
Environmental issues have emerged as a major aspect of the discussion of the problems of economic growth and development. Such issues have taken, inter alia, the form of global warming; atmospheric, soil and water pollution caused by industrial activities. However, while there is an extensive research on the role of the Global Reporting Initiative and the International Organization for Standardization (ISO) guidelines in determining corporate environmental performance indicators and the extent of disclosures in annual report in developed economies, in contrast, there is a considerable paucity of studies conducted in the context of developing economies. To this end, this research investigates the relationship between the performance of firms and the level of corporate social environmental sustainability reporting among firms in the selected industries. To achieve this, the study critically developed and utilized a disclosure index to measure the extent of sustainability disclosure made by companies in their corporate annual reports. The multiple regression analysis was used to test the research propositions in this study. The study observed that there is a significant relationship between the performance of firms and the level of corporate social environmental sustainability reporting. The paper therefore recommends that environmental disclosure themes and evidence must be established to provide foundation for improving corporate social environmental sustainability disclosures among companies in Nigeria. Keywords: Corporate, Environmental Issues, Social, Sustainability, Disclosures, Performance, Stakeholders, ecosystems.
Environmental issues have emerged as a major aspect of the discussion of the problems of economic growth and development. Such issues have taken, inter alia, the form of global warming; atmospheric, soil and water pollution caused by industrial activities. However, while there is an extensive research on the role of the Global Reporting Initiative and the International Organization for Standardization (ISO) guidelines in determining corporate environmental performance indicators and the extent of disclosures in annual report in developed economies, in contrast, there is a considerable paucity of studies conducted in the context of developing economies. To this end, this research investigates the relationship between the performance of firms and the level of corporate social environmental sustainability reporting among firms in the selected industries. To achieve this, the study critically developed and utilized a disclosure index to measure the extent of sustainability disclosure made by companies in their corporate annual reports. The multiple regression analysis was used to test the research propositions in this study. The study observed that there is a significant relationship between the performance of firms and the level of corporate social environmental sustainability reporting. The paper therefore recommends that environmental disclosure themes and evidence must be established to provide foundation for improving corporate social environmental sustainability disclosures among companies in Nigeria. Keywords: Corporate, Environmental Issues, Social, Sustainability, Disclosures, Performance, Stakeholders, ecosystems.
Sustainability Reporting by Firms in the Nigerian Economy: Social versus Environmental Disclosure
Journal of Accounting and Finance in Emerging Economies
Purpose: There is need for specialization on individual categories of sustainability information disclosure. An attempt has been made in this study to make a comparison between the environmental and social categories of sustainability disclosure. Methodology: Guided by the G4 sustainability reporting guidelines, environmentally sensitive companies in the Nigerian economy were analyzed for 6 years (2009-2014). Separate assessments and comparisons were made between environmental reporting and social reporting on the impact, influence and significance of their relationships using Stata13SE analytical tool. Findings: The results shows that firms performed better on social reporting than on environmental reporting in terms of higher sustainability disclosure rates and significant relationships. Research Implications: The current trend of reporting sustainability information disclosure under both social and environmental reporting is encouraging considering the fact that disclosure on s...