Biodiversity Reporting and Firm Financial Performance: Evidence from Nigerian Listed Firms

This study examines the relationship between biodiversity reporting and firm financial performance among 148 Nigerian listed firms over the period 2010-2024. Using panel regression analysis, we investigate whether biodiversity disclosures influence financial outcomes while controlling for firm size, profitability, leverage, growth opportunities, firm age, and liquidity. The research addresses a critical gap in the literature by focusing on an emerging market context where biodiversity loss poses significant economic and ecological challenges. Our findings reveal that biodiversity reporting positively and significantly impacts firm financial performance (β = 0.0023, p < 0.01), suggesting that transparent environmental disclosures enhance stakeholder confidence and contribute to sustainable value creation. Results indicate that larger firms with better biodiversity disclosures achieve superior financial outcomes. These findings have important implications for corporate environmental strategy, regulatory policy, and investment decision-making in emerging markets. The study contributes to the literature on corporate sustainability reporting and provides empirical evidence supporting the business case for biodiversity conservation in developing economies.