Evironmental Accounting Disclosure And Financial Sistainability In Listed Negerian Manufacturing Firms
Abstrak
With the globalization and dynamic nature of the competitive market environment, manufacturing of quality products at affordable prices no longer guarantee sustainable financial performance, hence firms are now running to sustainability measures to remain financially sustainable. However, manufacturing firms in Nigeria has failed to sustain their performance. Thus, the study was initiated to evaluate the effect of environmental accounting disclosures on financial sustainability of listed Nigerian manufacturing firms. Ex-post facto research design using annual reports of 10 listed manufacturing firms was adopted to achieve the objective of the study. Data was measured using multiple regression analysis. The study revealed that environmental accounting disclosures has insignificant but positive effect on financial sustainability of listed manufacturing firms in Nigeria (Adj. R2 = 0.0468, F- statistics = 1.9721, P-value = 0.0899). With the introduction of the moderating effect of firm size, environmental accounting disclosures showed insignificant but positive effect on financial sustainability of listed manufacturing firms in Nigeria (Adj. R2 = 0.0489, F- statistics = 1.8487, P-value = 0.0981). Thus, the study concluded that environmental accounting disclosures do not have positive but insignificant effect on financial sustainability. It is recommended that the accounting profession should develop standards for reporting environmental accounting information by business entities. At the firm level, there should be voluntary disclosures of environmental accounting information.
Referensi
Adegbie, F. F.; Ogidan, A. A.; Siyanbola, T. T. & Adebayo, A. S. (2020). Environmental accounting practices and share value of food and beverages manufacturing companies quoted in Nigeria. Journal Of Critical Reviews, 7(13), 2256-2264
Ahmed, N. S. (2019). Environmental accounting disclosures: the case of
manufacturing listed companies in Palestine securities exchange.
International Journal of Business, Economics and Law, 18(5), 15-21
Al-Dirawi, A. N. M. & Dahash, Q. M. (2018). The role of financial sustainability to reduce the financial crisis, through the interactive role of the strategic scenario: an analytical study in the sector of commercial banks listed in the Iraq stock exchange. International Journal of Entrepreneurship, 22(Special issue), 1-12
Amiolemen, O. O.; Uwuigbe, U.; Uwuigbe,
O. R.; Osiregbemhe, I. S. &
Opeyemi, A. (2018). Corporate
social environmental reporting and
stock prices: an analysis of listed
firms in Nigeria. Investment Manage ment and Financial Innovations, 15(3), 318-328. doi:
21511/imfi.15(3).2018.26
Atang, G. T. & Eyisi, S. A. (2020). Determinants of environmental
disclosures of listed manufacturing firms in Nigeria. International
Journal of Management Studies and Social Science Research, 2(1), 143-
Azarenkova, G.; Golovko, O. & Abrosimova, K. (2018) Management
of enterprise’s financial sustainability and improvement of its methods. Geopolitics under Globalization, 2(1), 1-14
Benjamin, U. D.; Okpanach, J.; Nyor, T. & Muhammad, M. L. (2017). Effect of firm characteristics on environmental reporting practices
of listed manufacturing firms in Nigeria. Nigerian Journal of Management Sciences, 6(1), 139-148
Chiu, C. L.; Zhang, J.; Li, M.; Wei, S.; Xu, S. Chai, X. (2020). A study of
environmental disclosures practices in Chinese energy industry. Chiu et al. Asian Journal of Sustainability and Social Responsibility, 5(9), 1 - 21
Chukwu, B. A.; Liman, N. A.; Enudu, T. O. & Ehiaghe, A. F. (2015). The effect of economic recession in textile manufacturing industry in Nigeria.
Asian Journal of Business Management, 7(3), 43-54
Ezeagba, C. E., John-Akamelu, C. R. & Umeoduagu, C. (2017). Environmental Accounting Disclosures and Financial Performance: A Study of selected Food and Beverage Companies in Nigeria (2006-2015). International Journal of Academic Research in Business and Social Sciences, 7(9), 162-174
Günther, T.; Gleißner, W. & Walkshäusl, C. (2020). What happened to financially sustainable firms in the Corona crisis?, Nachhaltigkeits Management Forum, 28(2020):83–90
Global Reporting Iintiative (2013). G4 sustainability reporting guidelines.
Retrieved from: www.globalreporting.org
Iliemena, R. (2020). Environmental Accounting Practices and Corporate
Performance: Study of Listed Oil and Gas Companies in Nigeria.
European Journal of Business and Management, 12(22), 58
Iredele, O. O.; Jumoke Ogunleye, O. J. &, Okpala, O. K. (2017). Determining the Business Case for Environmental Management Accounting (EMA) Practices among Listed Firms in Nigeria: The Stewardship Approach. Euro Economica, 2(36), 195-210
KPMG, United Nations Environment Programme (UNEP) (2006) Carrots
and Sticks for Starters. Current Trends and Approaches in Voluntary
and Mandatory Standards for Sustainability Reporting. Parktown
Mbah, E. & Ogbu (2018). Effect of economic recession on the
performance of manufacturing firms in Enugu State. International Journal of Academic Research in Economics and Management
Sciences, 7(2), 32-44
Nguyen, H. A.; Nguyen, L. S. & Ha, H. H. (2020). Environmental accounting practices and cost of capital of enterprises in Vietnam. Cogent
Economics & Finance, 8(1), 1-17
Nor, N. M.; Bahari, N. A. S.; Adnan, N. A.; Kamal, S. M. Q. A. S. & Ali, I. M. (2016). The Effects of Environmental Disclosure on Financial Performance in Malaysia; Procedia Economics and Finance
(2016) 117 – 126
Nwakaego, O. S.; Uzoma, I. J. & Belonwu, A. J. U. (2020). Environmental Costs Accounting and the Earnings of Oil Firms in Nigeria. International
Journal of Economics and Business Management, 6(2), 37-51
Nwokeji, N. (2021). Environmental Accounting and Profitability of
Selected Quoted Oil and Gas Companies in Nigeria (2012-2017).
Journal of Accounting and Financial Management, 7(3), 22-39
Odoemelam, N., & Okafor, R. G. (2018). The Influence of Corporate
Governance on Environmental Disclosure of Listed Non-Financial
Firms in Nigeria. Indonesian Journal of Sustainability Accounting and Management, 2(1), 25–49.
Okpo, S. A. (2020). Issues and perspectives in environmental accounting practice in a contemporary setting with Nigeria in focus. Inosr Arts and
Humanities 6(1): 76-86
Osazuwa, N. P.; Ahmed, A. C. & Adam, N. C. (2016). Environmental disclosure in Nigerian quoted companies: The longitudinal study. IPBJ, 8(2), 19-33
Oyedokun, G. E.; Egberioyinemi, E. & Tonademukaila, A. (2019).
Environmental accounting disclosure and firm value of industrial goods companies in Nigeria. IOSR Journal of Economics and Finance, 10(1), 07-
Owolabi, S. A., Adegbie, F. F. & Ogan, T. P. (2020). Investment in corporate social responsibility and performance of quoted
manufacturing firms in Nigeria. African Journal of Accounting and
Financial Research, 3(1) 12-24
Yahaya, O. A. (2018). Environmental Reporting Practices and Financial
Performance of Listed Environmentally-Sensitive Firms in Nigeria. Savanna: A Journal of Environmental and Social Sciences, 24(2), 403 – 412
Zakharova, N. Y. (2013). Methodological Approaches to Assessing the
Financial Condition of an Enterprise. Collection of scientific works of the Tavria State Agrotechnological University (Economic Sciences), 2(3), 128-133.
