ABSTRACT
This study evaluated the impact of sustainability reporting on financial performance of listed companies in the consumer goods, healthcare, and industrial goods sector on the Nigerian Exchange Group from 2018 to 2022.
The study was carried out by extracting data from the annual reports for the period on which the descriptive statistics test, correlation analysis and the panel regression analysis were used. Sustainability reporting was represented by economic disclosure, environmental disclosure, and social disclosure, and three research hypotheses were formulated from each of the variables.
The result of the findings revealed that all the variables (economic disclosure, environmental disclosure, and social disclosure) had a positive and significant relationship with financial reporting quality in the selected entities. The study recommends that regulatory bodies mandate comprehensive sustainability reporting for listed Nigerian companies using standardized frameworks, companies should integrate sustainability into their strategies to enhance reporting transparency, investors should consider sustainability disclosures when evaluating financial reporting quality, accounting education should emphasize sustainability reporting's link to financial reporting quality, and future research should explore moderating factors and longitudinal effects on the relationship between sustainability disclosures and financial reporting quality.
