Board Characteristics, Digital Innovation, and Corporate Financial Performance in Listed Conglomerate Industries in Nigeria

Abstract

The study investigates the impact of board characteristics and digital innovation on financial performance of listed conglomerate companies in Nigeria, focusing on Return on Assets (ROA) as the independent variable. Based on Ex-post facto research; Secondary data from annual reports and audited financial statements of nine (9) firms for eleven (11) years from (2015–2025) were taken. Descriptive statistics, correlation analysis, panel regression were used to analyze the data obtained. The report revealed that Board Diversity showed significant positive effect on ROA (β = 0.0324, p < 0.001), and Board Size reported significant positive effect on ROA (β = 0.0105, p = 0.001); while Board Independence, Digital Innovation Disclosure, Firm Size. Reported positive but insignificant effects it was concluded that Board diversity and size are crucial for enhancing financial performance in Nigerian conglomerates. It is therefore, recommended that promoting board diversity, optimizing board size, and improving governance practices for better profitability and organizational performance are the best way to go.