Impact of Environmental Accounting Disclosure on Performance of Industrial Goods Companies in Nigeria

Abstract

Environmental accounting disclosure is a comprehensive approach that ensures good corporate governance which includes transparency in its societal activities. However, several firms in Nigeria have not fully been taking environmental accounting into consideration while making decision. Hence, this study examined the impact of environmental accounting disclosure on the performance of industrial goods companies quoted on Nigerian Stock Exchange. This study employed secondary data which was obtained from the financial statements of all listed paints and chemical manufacturing companies in Nigeria over a period of ten years (2017-2024). Panel least regression technique was used to achieve the objectives of the study. Results of the study revealed that there is positive relationship between environmental accounting and performance of industrial goods companies quoted on Nigerian Stock Exchange. The study concluded that environmental accounting has a positive impact on the performance of industrial goods companies in Nigeria. The study therefore recommends that industrial goods companies should ensure that they spend more on their employees’ welfare in order to encourage them in putting their best in the company which will lead to an enhanced performance.