CORPORATE SOCIAL RESPONSIBILITY, GENDER BOARD DIVERSITY AND EARNINGS QUALITY OF SELECTED QUOTED NON-FINANCIAL COMPANIES IN NIGERIA

Abstract

The purpose of this study is to examine the triangular relationship between Corporate Social Responsibility (CSR), gender board diversity, and earnings quality in Nigerian non-financial companies. The study sampled 50 Nigerian Exchange Group companies from 2007 through 2020. The analysis reveals that CSR and gender diversity play a significant role in both accrual quality and earnings persistence in the baseline models, while firm size has a negative impact on both models, suggesting that larger firms may have lower quality financial reporting. Gender diversity on boards has an important effect on both metrics, with net profit and cash flow from operations having a positive effect on earnings persistence. In addition, net profit influences accrual persistence, indicating that more profitable and cash-generating firms tend to have higher earnings quality measures. This study aims to contribute to both academic understanding and practical policymaking in corporate governance and financial reporting in emerging markets by examining their potential impact on a crucial aspect of corporate performance - the quality of reported earnings.