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OJO OLADIMEJI OLUSOLA AND BALOGUN SHERIF BABAJIDE, Volume 3 Issue 1, 2020 Pages 80-93, Published: 2020-09-25


Environmental accounting, as describedin these regards, aims at achieving sustainable development, disclosing and maintaining a favourable relationship with the community, and in pursuance of economy effect and effective environmental conservation. The objective of this study is to establish whether there is any significant relationship between environmental accounting disclosure and profitability of selected firms quoted on the Nigerian Stock Exchange (NSE). The data for the study were collected from annual reports and accounts of eighteen (18) randomly selected quoted companies in Nigerian Stock Exchange. The data were analyzed using multiple regression models. The key finding of the study shows that there is significant negative relationship between Environmental Accounting Disclosure and Return on Capital employed (ROCE), Earnings per Share (EPS) and a significant positive relationship and Net Profit Margin (NPM) and Dividend per Share (DPS). Based on this it was recommended that government should enforce compliance of environmental accounting disclosure in the company’s annual reports and accounts. In addition, government should give tax credit to companies that have been complying with its environmental laws and that environmental disclosure should be made compulsory in Nigeria so as to improve the performance of companies and create sustainable environment for conducive living