ANALYSIS OF CORPORATE ENVIRONMENTAL COST DISCLOSURE ON PROFITABILITY OF LISTED MANUFACTURING FIRMS IN NIGERIA

Authors

  • FOLASADE FOYEKE PETERS Ladoke Akintola University of Technology, Ogbomoso, Nigeria.
  • OLAMIDE ADEAGBO Sheffield Hallam University, United Kingdom.

Abstract

The study examines the impact of corporate environment cost disclosure on profitability of listed manufacturing firms in Nigeria. Specifically, the study analyses the relationship between the level of corporate environmental cost disclosure and profitability proxy by net profit margin of cement and paint manufacturing firms in Nigeria. The study reveals positive and significant influence of corporate environmental cost disclosure proxies by (environmental research and development cost, social cost, environmental compliance cost, environmental pollution detection cost and environmental operating cost) on net profit margin. The study concludes that corporate environmental cost disclosure has a significant effect on profitability of manufacturing firms in Nigeria. Thus the study recommends that policies that would sustain reporting on environmental issues such as mandatory disclosures on environmental matters should be encouraged because they had been shown to be beneficial to the health and survival of the firms.

Keywords:

Environmental Compliance Cost, Environmental Operating Cost, Pollution Detection Cost, Social Cost, Profitability

Published

31-07-2024

How to Cite

FOLASADE FOYEKE PETERS, & OLAMIDE ADEAGBO. (2024). ANALYSIS OF CORPORATE ENVIRONMENTAL COST DISCLOSURE ON PROFITABILITY OF LISTED MANUFACTURING FIRMS IN NIGERIA. International Journal of Financial Research and Business Development, 5(7). Retrieved from https://mediterraneanpublications.com/mejfrbd/article/view/478