Firms’ Traits and Sustainability Reporting of Elite Issuers Firms in Nigeria Exchange Group

Abstract

The study examined influence of firms’ traits on sustainability reporting disclosures of Elite issuers in Nigeria Exchange Group. It used eight (8) Elite Issuers firms as classified by the Nigeria Exchange group for 2021 financial period, spanning a period of ten (10) years (2012-2021), utilizing annual reports obtained from the firms in Nigerian Exchange Group. Panel least square regression model was used to test the perceived influence, employed longitudinal research design. Hausman and Heteroskedasticity tests were respectively employed to determine appropriate effect of each variable as well as to ensure the reliability of results. Fixed panel estimator and Panel least regression analysis was employed to examine influence of firms’ Traits on sustainable reporting disclosures of Elite Issuers firms. The findings revealed that: Elite Firms’ financial leverage indicated significant and negative influence on sustainability reporting disclosures, while firms’ liquidity showed significant and positive influence on sustainability reporting disclosures. The study recommended among others that: Listed firms should give tenacious attention to sustainability reporting disclosures, in order to avoid disrepute effects associated with congruities on sustainability reporting disclosures, as nondisclosure of voluntary information may be posing some risk against such firms. Therefore, all listed firms in Nigeria Exchange Group are encouraged to participate sincerely in sustainability reporting disclosures, to reap transient competitive advantages connected with sustainability reporting disclosures practices, firms should adopt policies which permit liquidity level of around 2:1 as benchmark for current assets and liquidities ratio, in order to harness disclosure benefits associated with optimal liquidity structure.