Corporate Social Responsibility and Firms Value of Non-Financial Listed Firms Listed in Nigeria

Abstract

This study assessed the effect of Corporate Social Responsibility on Firms Value of listed non-financial firms in Nigeria using ICT, Oil and Gas firms as evidence of study for a ten-year period spanning from 2013 to 2024. The specific objectives of this study are to determine the effect of corporate social responsibility on share price, price earnings, market capitalization of quoted ICT, Oil and Gas firms in Nigeria. Ex-post facto research design was employed. The population of this study consist of 29 (Twenty-nine) ICT, Oil and Gas firms quoted on the Nigeria Exchange Group as at 2024, out of which ten (10) of the ICT, Oil and Gas firms were selected using purposive sampling. Secondary data were extracted from annual reports and financial statements gotten from the Nigeria Exchange Group (NGX). The study employed descriptive statistics and inferential statistics using Pearson  correlation, Panel pooled Least Square (PLS) regression analysis, normality test for the study. Findings from the empirical analysis showed that CSR (β1= 0.043135; p- value of 0.0125) has a significant and positive effect on share price, CSR (β2= -0.212415; p- value of 0.0000) has a significant and positive effect on price to earnings ratio; also CSR (β3= 0.124806; p- value of 0.0001) has a non-significant and negative effect on Market Capitalization of quoted listed ICT, Oil and Gas Firms in Nigeria at 5% level of significance. Conclusively, Government should establish standard corporate social responsibility policies and encourage firms on its realization and enforcement of laws on firms that fail to adhere to its implementation. Firms should also engage in corporate social responsibility activities that will help improve their image, goodwill and profitability. Policy makers, investors should be encouraged in promoting corporate social responsibility which will ensure competitiveness and market repositioning.