FIRM PERFORMANCE AND CORPORATE SOCIAL RESPONSIBILITY DISCLOSURE

ABSTRACT

This study explored the relationship between firm performance and corporate social responsibility disclosure among listed commercial banks in Nigeria using panel data of thirteen banks for the period 2017 – 2022. The variables considered were corporate social responsibility disclosure proxied by natural log of employee well-being, net profit margin, gross profit margin, leverage ratio, return on assets and return on equity. The study carried out a histogram normality test, Breusch-Pagan-Godfrey test of heteroskedasticity, Ramsey RESET model specification test, Serial correlation test, correlation analysis and regression analysis. The F-statistics indicated that all the explanatory variables taken together are statistically significant. The regression result revealed that net profit margin and return on equity have a negative and statistically significant relationship with corporate social responsibility disclosure. Firm leverage ratio, gross profit margin and return on asset maintain a positive and significant relationship with corporate social responsibility disclosure. The study recommended that employees should ensure that they constibute their best to the improvement of their firm performance, as this improvement will also result in an improvement in their well-being and training of staff should be made paramount by firms in order to achieve targeted firm performance.