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Economic & Social Sustainability Reporting and Financial Performance of Listed Oil and Gas Firms in Nigeria

Author

Listed:
  • Ogah, Inalegwu

    (Department of Accounting, Bingham University, Karu, Nasarawa State)

  • Dr. Lambe, Isaac

    (Department of Accounting, Bingham University, Karu, Nasarawa State)

  • Professor. Aza, Mangba Solomon

    (Department of Accounting, Bingham University, Karu, Nasarawa State)

Abstract

The continuous and ever-increasing awareness that being socially and environmentally responsible can facilitate long-term growth, goals, raise productivity and optimize shareholder value has made sustainability issue a major concern for businesses of all sizes to preserve capital for future generations. This study examines the effect of economic and social sustainability reporting on return on capital employed of listed oil and gas firms in Nigeria. The ex-po facto research design was adopted and secondary data from annual report of listed oil and gas firms. The purposive sampling techniques was employed in selecting the 9 firms out of 10 oil and gas firms in Nigeria for 2011-2022 financial year. Panel regression estimation and fixed effect was used to analyze the result. The finding revealed that both economic and social sustainability reporting has negative significant effect on return on capital employed of oil and gas firms in Nigeria. The study concludes that economic and social sustainability reporting has a negative insignificant effect on return on capital employed of listed oil and gas firms in Nigeria. The study recommends that management of listed oil and gas firms in Nigeria should improve voluntary compliance with Economic sustainability reporting and social sustainability reporting and should not be compelled for sustainability reporting disclosure because of the negative multiplier effect on return on capital employed of oil industries in Nigeria.

Suggested Citation

  • Ogah, Inalegwu & Dr. Lambe, Isaac & Professor. Aza, Mangba Solomon, 2024. "Economic & Social Sustainability Reporting and Financial Performance of Listed Oil and Gas Firms in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(8), pages 188-206, August.
    • Handle: RePEc:bcp:journl:v:8:y:2024:i:8:p:188-206
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    References listed on IDEAS

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    3. Samuel F. Johnson-Rokosu & Rasaq A. Olanrewaju, 2016. "Corporate Sustainability Reporting Practice In An Emerging Market: A Case Of Listed Companies In Nigeria," Knowledge Horizons - Economics, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 8(2), pages 148-156, June.
    4. Camelia Oprean-Stan & Ionica Oncioiu & Iulia Cristina Iuga & Sebastian Stan, 2020. "Impact of Sustainability Reporting and Inadequate Management of ESG Factors on Corporate Performance and Sustainable Growth," Sustainability, MDPI, vol. 12(20), pages 1-31, October.
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