Firm Performance and Sustainability Reporting of Oil Marketing Companies in Nigeria

International Journal of Research and Scientific Innovation (IJRSI) | Volume VI, Issue V, May 2019 | ISSN 2321–2705

Firm Performance and Sustainability Reporting of Oil Marketing Companies in Nigeria

Abdulsalam Nasiru, Kaoje (Ph.D)¹, Musa Yelwa, Abubakar (Ph.D)², Garba Ibrahim Tanko (Ph.D)³, Mahmood .O Adeiza⁴

^1,2,4Department of Accounting, UsmanuDanfodiyo University, Sokoto, Nigeria
³Department of Public Administration, UsamanuDanfodiyo University, Sokoto, Nigeria

Abstract:- This paper used a longitudinal study designed to provide an insight into the trend and changes in Sustainability Information Disclosure (SID) of oil marketing companies in Nigeria. The paper further seeks to examine if there is any relationship that exist between SID and oil marketing company Performance variables. A total of Eight (8) Oil Marketing Companies are used, using census, covering eleven year period (2003-2013). Secondary data was adopted from three sources (NSE factbook, IPIECA 2015 guidelines and NNPC Statistical Bulletin. Multi-Binary Logistic Regression Model was used in testing hypotheses of this paper. Findings emanated from this paper have shown significant and positive association between SID and TA, as well as SID and TS. The implication of findings from this paper is that oil companies still make a significant impact as far as SID is concerned provided that such companies adopted the IPIECA, 2015 guidelines on sustainability disclosure. The paper recommends that Nigerian stock exchange should make it compulsory, for companies to conform to the provision of IPIECA, 2015 on sustainability disclosure.

Keywords: Sustainability reporting, Multi-Binary Logistic Regression Model, Financial performance and Oil marketing companies.

I. INTRODUCTION

Over the last few decades, there has been a growing public awareness about social issues and the effect of business activities on the society (Muttakin& Khan, 2014). These awareness and concern give rise to an increased scrutiny on businesses, keeping them increasingly under societal pressure to demonstrate social responsibility (Epstein, 2008; Kolk, 2010). The expectations of the various stakeholders have triggered the needs for corporate transparency and accountability beyond the objective of making profit and legal or regulatory requirements (Chapple & Moon, 2005; Lee, Pati & Roh, 2011).

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