Board features and financial performance of Nigerian banks

Abstract

The presence of contradictory theories and unpredictable empirics calls for this paper to survey the outcome of board traits on financial operation of Nigeria banks. Financial performance of a firm is as important as the firm. Yet, very few studies have examined its impact by the board of directors in Nigeria. Data were obtained and perused using descriptive and inferential figures. Findings show that size of board has significant and constructive bearing on business piece. However, board composition takes undesirable significance. Meetings of board and gender failed to show significance. But, board member nationality and firm size show negative and significant effects. We added by exploring impacts of boards on financial performance. We asked firms to increase the size of the board and engage more independent directors and reduce the number of board diligence and size of the firm. The strong plus impact of board size and firm size on financial operations is an interesting result allowing for additional interrogation of why these behaviours.

Keywords: {'name': 'attributes, board, financial performance, yield on equity, pain on total assets'}

Authors & affiliations

Abubakar Biu Aliyu
Affiliation not supplied

Onipe Adabenege Yahaya
Affiliation not supplied

Nma Ahmed Mohammed
Affiliation not supplied

Deposited references

Supplied references, not a list of publications citing this article.

Abdulazeez, D. A., & Ndibe, L. M. (2016). Corporate governance and financial performance

DOI: 10.4172/2168-9601.1000153

Akileng, G., Nzibonera, E., & Kobumanzi, D. (2019). Board attributes and financial

DOI: 10.7176/RJFA

Akpan, E. O. (2015). Corporate meeting of board and company performance: Empirical

evidence from Nigerian quoted companies. Global Journal of Commerce & Management Perspective, 4(1), 75-82.

Al-Daoud, K., Saidin, S. Z., & Abidin, S. (2016). Board meeting and firm performance:

DOI: 10.22495/cbv12i2art1

Azar, A., Rad, F. H., & Botyari, E. (2014).Board characteristics and firm performance: Malaysian evidence. Quest J. of Research in Business and Management, 2(6), 28-34.

Bianchi, M., & Iatridis, G. (2014). Gender of board members diversity and corporate financial performance: Evidence from CAC 40. Investment Mgt. & Fin. Innovations, 11(4), 25-35.

Ebun, A. F., & Emmanuel, O. T. (2019). Meeting of board and financial performance of insurance companies in Nigeria. European Journal of Accounting, Auditing and Finance Research, 7(9), 1-16.

Farouk, M. A., Shehu, (2014). Possession formation and earnings management of listed chemicals and paints firms in Nigeria. School of Postgraduate Studies, ABU Zaria.

Farouk, M. A. (2018). Board diversity, audit committee and earnings management of listed deposit money banks in Nigeria. School of Postgraduate Studies, Bayero University, Kano.

Garba, T., & Abubakar, B. A. (2014). Corporate board diversity and financial performance of insurance companies in Nigeria. An application of panel data approach. Asian Economic and Financial Review, 4(2), 257-277.

Ilaboya, J., & Ashafoke, T. (2017). Board diversity and firm performance in Nigeria. International Journal of Management, Accounting and Economics, 4(10), 1002-1019.

Ilogho, S. O. (2017). Effects of nationality of board members and ethnic diversity on the financial performance of listed firms in Nigeria. M.Sc. Accounting, Covenant University, Ota, Ogun State, Nigeria.

DOI: 10.1080/23311975.2019.1611719

DOI: 10.1080/23311975.2019.1611719

DOI: 10.1177/1847979018765864

Mahadeo, J. D., Soobaroyen, T., & Hanouman, V. O. (2012). Composition of board and

DOI: 10.1007/s10551-011-0973-z

Meme, F. K. (2017). Board characteristics and financial performance of manufacturing firms listed at the Nairobi Securities Exchange in Kenya. School of Business, Kenyatta University.

Muller, V. (2014). The impact of composition of board on the financial performance of

FTSE 100 constituents. Procedia - Social and Behavioural Sciences, 109, 969-975. DOI: 10.1016/j.sBODSpro.2013.12.573.

DOI: 10.1353/jda.2017.0073

Olabisi, J., Kajola, S. O., Oladejo, D. A., Ojeaga, P. I., & Abass, T. F. (2018). Board

characteristics and performance of quoted consumer goods firms: Evidence from Nigeria. Journal of Economics and Business Research, XXIV(2), 7-26.

Ongore, V. O., K’obonyo, P. O., Ogutu, M., & Bosire, E. M. (2015). Composition of board

and financial performance: Empirical analysis of companies listed at the Nairobi Securities Exchange. Int. Journal of Economics and Financial Issues, 5(1), 23-43.

Payne, G. T., Benson, G. S., & Fine gold, D. (2009). Corporate board attributes, team

DOI: 10.1111/j.1467-6486.2008.00819.x

Rhoades, D. L., Rechner, P. L., & Sundaramurthy, C. (2000). Composition of board and financial

performance: A meta-analysis of the influence of outside directors. Journal of Managerial Issues, 12(1), 76-91.

Sabo, U. (2018). Corporate board attributes and financial performance of listed building

materials companies in Nigeria. International Journal of Research and Innovation in Social Science, II(VI), 122-126.

DOI: 10.21632/irjbs.11.3.195-215

performance? International Research Journal of Business Studies, 11(3), 195-215. DOI: 10.21632/irjBODS.11.3.195-215.

DOI: 10.1108/14720701211275587

DOI: 10.1108/14720701211275587

Ujunwa, A., Nwakoby, I., & Ugbam, C. O. (2012). Corporate board diversity and firm

performance: Evidence from Nigeria. Corporate Ownership & Control, 9(2), 216-226.

Uwuigbe, O. R., & Fakile, A. S. (2012). The effects of size of board on financial performance

DOI: 10.5539/ijef.v4n2p260

Van Ness, R. K., Miesing, P., & Kang, J. (2010). Board of director composition and financial performance in a Sarbanes-Oxley World. Acad. of Bus & Econ. Journal, 10(5), 56-74.

DOI: 10.1016/S0929-1199(02)00006-8

Yahaya, O. A., & Andow, H. A. (2015). Capital structure and firm’s financial performance: Panel evidence of listed conglomerate firms in Nigeria. Kaduna Business Management Review, 2(1), 45-56.

Yahaya, O. A., Kutigi, U. M., Solanke, A. A., Onyabe, J. M., & Usman, S. O. (2015). Current assets management & financial performance: Evidence from listed deposit money banks in Nigeria. International Journal of African and Asian Studies, 13, 45-56.