THE IMPACT OF INTEGRATED DISCLOSURES ON THE FINANCIAL PERFORMANCE OF LISTED OIL AND GAS FIRMS IN NIGERIA

Abstract

This study examines the impact of environmental and social disclosures on the financial performance of listed oil and gas firms in Nigeria. This study adopts the ex-post facto research design with a sample size of five (5) oil and gas companies spanning from 2019-2023 quoted on the floor of Nigerian stock exchange.  The study was specifically limited to appraising the use of content analysis to examine the relationships between the financial performance (return on Assets and Net Profit Margin) and degree of disclosures of various elements of Environmental Reporting framework from annual reports for the period of Five (5) years (2019-2023), as justify base on convenience. For the purposes of data analysis Ordinary Lease Squares Regression was employed as the technique to test the pre-set hypothesis. The findings from the regression results reveals that, the environmental disclosures of oil and gas companies have a positive and significant impact on the Return on Assets (ROA). Based on the findings, the study concludes that environmental disclosures have a positive and significant effect on the Return on Assets of oil and gas companies in Nigeria. In line with the conclusion drawn, the study recommends that; right and appropriate policies that will enhance the environmental Disclosure should be put in place by the Environmental Management Sectors of Nigeria. Secondly, high level of interest must be exerted on Environmental Disclosure by relevant regulatory authorities and requisite legislations put in place.