Effect of firm characteristics on corporate sustainability disclosure in the healthcare sector of Nigeria

Abstract

Firm characteristics are considered major determinants of corporate sustainability disclosures (CSD). Many studies on CSD have been conducted in different sectors of the economy such as Oil & Gas, manufacturing, food production, financials, agriculture, ICT with few in the health sector and. On this premise, this study was an assessment of the effect of firm performance on CSD in the Nigerian Healthcare Sector over the periods 2011-2020. The study relied on secondary data using a sample of 7 companies and the data obtained were analysed using both descriptive and inferential statistics. Descriptive statistics involved mean, standard deviation, minimum and maximum while inferential statistics involved using ordinary least square with aid of STATA version. The findings reveal a positive correlation between financial performance and CSD in the Healthcare companies of up to 8%. Furthermore, p-value of 0.953 is greater than t-value of -0.06, implying that null hypothesis cannot be rejected. Therefore, it can be concluded that although firm characteristics (performance) is positively correlated with CSD, the effect performance holds on CSD is not significant, implying that financial performance alone is not enough to influence CSD. This may have been attributed to factors such as voluntary nature of reporting non-financial matter as well as insurgency. The study recommends that companies should be encouraged to practice sustainability especially difficult
companies. This will enable rational decision among stakeholders of the company, health companies inclusive.