CORPORATE SOCIAL RESPONSIBILITY REPORTING AND FINANCIAL PERFORMANCE OF PHARMACEUTICAL MANUFACTURING FIRMS LISTED ON THE FLOOR OF NIGERIAN STOCK EXCHANGE FROM 2016 TO 2020

Abstract

This study examined the relationship between corporate social responsibility reporting and financial performance of pharmaceutical manufacturing firms listed on the floor of Nigerian stock exchange from 2016 to 2020. The specific objectives of the study were to determine the relationship between community development cost and return on asset. To determine the relationship between community development cost and turnover. To determine the relationship between public health cost and return on asset as well as turnover. Four research hypotheses were also developed in line with the objectives. The study used secondary data and adopted a historical data design. Five pharmaceutical manufacturing firms whose audited reports were readily available at their websites were considered. The data was then analysed using SPSS version 22 tool pack for the regression analysis at 0.05% significant level. The study found out that there is no significant relationship between community development cost and return on asset but a positive and significant relationship with turnover. The study also revealed that public health costs do not have a significant relationship with return on assets but have a positive and significant relationship with turnover. The study therefore recommended that Pharmaceutical manufacturing firms should continue to spend money on community development since it improves their turnover. Pharmaceutical manufacturing firms should continue to spend money on public health as this has significant relationship with turnover.