COOPERATE GOVERNANCE AND FINANCIAL REPORTING QUALITY

ABSTRACT

This study examined the relationship between corporate governance attributes and financial reporting quality among consumer goods companies quoted on the Nigerian Exchange Group. The specific objectives are to analyse the impact of board size, board gender diversity, and board composition on financial reporting quality, measured by the timeliness of financial reporting. An ex-post facto research design was employed, using secondary data from the annual reports of sixteen selected companies over the period from 2018 to 2022. The sample was selected through convenience random sampling due to the availability of financial statements. Panel data analysis, particularly multiple regression with Ordinary Least Squares (OLS) estimation, was utilized to examine the relationships among the variables. The findings reveal that board size and board composition both have A significant negative impacts on financial reporting quality, indicating potential challenges in financial oversight associated with larger boards and certain board structures. Conversely, board gender diversity does not show a significant relationship with financial reporting quality in the context of this study. Based on these results, it is recommended that companies optimize board size for effective decision-making, enhance the diversity and expertise of board members, and maintain transparency in financial reporting to build stakeholder trust. Further research should explore these relationships in other sectors and over longer periods to gain deeper insights into corporate governance practices.