FIRM CHARACTERISTICS AND FINANCIAL REPORTING TIMELINESS OF QUOTED INDUSTRIAL GOODS FIRMS IN NIGERIA

ABSTRACT The Nigerian financial reporting environment is characterized by a mix of regulatory requirements and corporate governance challenges that can lead to significant delays in the release of financial statements. This study examined the firm characteristics and financial reporting timeliness of quoted industrial goods companies in Nigeria, covering, 2012 to 2023. The population consists all the 13 quoted industrial goods firms in Nigeria as at 31st December, 2023 while filtering criteria was used to arrive at a sample size of ten (10) industrial goods firms in Nigeria. The study hypotheses were tested using the random effect regression model after conducting some diagnostics tests. The study found that non-debt tax shield (NDTS) has a significant negative effect on financial reporting lag of quoted industrial goods companies in Nigeria. However, the results further revealed that earnings volatility (EVT) and firm liquidity (FLQTY) have insignificant positive effects on financial reporting lag of quoted industrial goods companies in Nigeria. The study recommends among others that quoted industrial goods companies should adopt effective risk management practices to reduce earnings volatility. By managing risks better, firms can achieve more stable earnings, which in turn would reduce the complexities associated with financial reporting and minimize reporting lag. The study also recommended that quoted industrial goods companies should strategically leverage non-debt tax shields such as depreciation and investment tax credits to enhance their financial efficiency. By increasing non-debt tax shield components, firms can streamline their taxable income calculations and simplify the financial reporting process, reducing reporting delays.

0 19 May, 2026

pg: 12

LADIRC OPEN JOURNAL SYSTEM

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