EFFECT OF FIRM SPECIFIC ATTRIBUTES ON FINANCIAL REPORTING QUALITY OF LISTED OIL AND GAS COMPANIES IN NIGERIA

Abstract

Financial Reporting Quality is a critical concern in Nigeria's economically sensitive oil and
gas sector. This study investigates the effect of firm specific attributes on the financial
reporting quality (FRQ) of listed oil and gas companies in Nigeria over the period 2015
2023. The study employed a quantitative research design using secondary panel data and,
following diagnostic tests, utilized the Pooled Ordinary Least Squares (OLS) estimation
technique. The population of the study were eight listed oil and gas companies with sample
size of seven companies using purposive sampling techniques. The results reveal that Firm
Size, firm financial performance all exerts a significant and positive effect on financial
reporting quality. This suggests that larger and more profitable firms, as well as those that
effectively utilize debt financing, exhibit superior reporting transparency and reliability.
Conversely, Firm Age was found to have negative but statistically insignificant effect. The
findings emphasize that financial strength and scale are primary drivers of high-quality
financial reporting in this sector, validating the importance of corporate financial and
structural characteristics in shaping disclosure outcomes. The study recommends that oil
and gas firms should focus on operational efficiency and financial management to sustain
high profitability, continue to pursue strategic growth to capture the benefits of Firm Size,
utilization of Leverage strategic. These ensure that practices remain dynamic and adapt
quickly to evolving regulatory requirements and industry best practices by preventing age
from becoming a liability to FRQ.