International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue VII, July 2022 | ISSN 2454–6186
Agu, Stephen Ikechukwu (Ph.D)*; Ani, Michael Uchenna (ACA) & Jideofor, Ngozi Annastacia(M.Sc)
Department of Accountancy, Institute of Management and Technology (IMT), Enugu, Enugu State, Nigeria
*Corresponding author
Abstract: This study ascertained the effect of quality environmental information disclosure on firm’s performance of listed Brewers in Nigeria. The main motivation was on the need to show the effect of environmental disclosure in aggregated variable on performance of Brewery firms in Nigeria. The main objective was to ascertain the effect of quality environmental information disclosure on firm’s performance of listed Brewery firms in Nigeria. An ex-post facto research design was adopted for this study. Secondary data were carefully sourced from the annual reports of the Brewery firms quoted on the Nigerian Stock Exchange. Content and Disclosure Index were used to analyze environmental information disclosure. The data span from 2008 to 2019. Panel least square regression test by aid of E-views 10.0 software was used to test the effect of Environmental disclosure index on return on asset, return on equity and on net profit margin. The results showed that Environmental information disclosures significantly affect return on asset of listed Brewery firms in Nigeria. The findings further revealed that Environmental information disclosures do not significantly affect return on equity of listed Brewery firms in Nigeria. Finally, the result established also that Environmental information disclosures significantly affect net profit margin of listed Brewery firms in Nigeria. Consequent upon the findings, the study recommends need for Mandatory disclosure practices by Brewery firms, enforced by government to enable them take responsibility on disclosure of environmental performance data in annual report.
Keywords: Environmental disclosure index, performance, Brewery firms, Mandatory disclosure.
I.INTRODUCTION
1.1 Background
Brewing firms are firms within the category of high environmental sensitive company-type. Their operations are heavily depends on utilization of natural resources and in turn generates environmental concerns such as emissions and other environmental grievance mechanisms. These environmental concerns have severe effects on the environment usually given rise to breach of social contract. Faisal, Tower and Rusmin (2012) are of the opinion that the businesses associated with environmental concerns tend to report more information to reduce criticism from the host community, build up confidence on the side stakeholders as such justify them to attract capital. Ohidoa, Omokhudu andOserogho (2016) hold same view that companies whose operations spill pollution