Financial Performance and Executive Compensation of Listed Firms in the Nigerian Banking and Construction Industries

ABSTRACT

The study examines the impact of financial performance on the executive compensation of listed firms in the Nigerian banking and construction industries using ex-post facto research design.10 years data were extracted from the annual reports and accounts of 8 banks and 7 construction firms. The data collected were analysed using descriptive statistics and regression analysis. The study found no significant link between financial performance and executive compensation of banks. However, a positive and significant relationship was found between the total executive compensation and financial performance in the Nigerian construction firms. The study concludes that industry inherent characteristics like size and business nature play key roles in determining the sensitivity of financial performance to executive compensation. The study recommends that investors and providers of finances should consider industry’s Pay- Performance sensitivity in their investment assessments particularly with respect to the choice of industry. Emphasis should be given to industries that aligns executive compensation and financial performance because of goal congruence advantage and minimization of agency costs.


TABLE OF CONTENT

Declaration

Certification

Approval

Dedication

Acknowledgement

Table of Content

Abstract 

Chapter One: Introduction
1.1 Background to the Study

1.2 Statement of Research Problem

1.3 Objectives of the Study
1.4 Research Hypotheses
1.5 Significance of the Study

1.6 Scope of the Study 

Chapter Two:Literature Review

2.0. Introduction
2.1. The Concept of Financial Performance
2.2. The Concept of Executive Compensation
2.3. Overview of the Nigerian Banking Industry
2.4. Overview of the Nigerian Building & Construction Industry

2.5. Empirical Studies

2.6. Theoretical Framework 

Chapter Three:Research Methodology

3.0. Introduction
3.1. Research Design
3.2. The Population of the Study
3.3. Sampling Size and Sampling Techniques

3.4. Sources and Methods of Data Collection

3.5. Study Variables

3.6. Techniques of Data Analyses 

Chapter Four: Results and Discussion

4.0. Introduction
4.1. Robustness tests of Independent and Dependent Variables
4.2. Financial Performance and Executive Compensation in Nigerian Banks
4.2.1. Descriptive Statistics
4.2.2. Correlation Matrix
4.2.3. Regression Results
4.3. Financial Performance and Executive Compensation in Nigerian Construction Companies
4.3.1. Descriptive Statistics 

4.3.2. Correlation Matrix 

4.3.3. Regression Results 

4.4. Implication of Findings 

Chapter Five: Summary, Conclusions and Recommendations

5.1. Summary
5.1.2. Summary of Work Done

5.1.3. Summary of Major Findings

5.2. Conclusions
5.3. Recommendations 

References

Appendix A-D 


LIST OF TABLES

Table 3.1: The Population of the Study 

Table 3.2: Working Population of the Study 

Table 3.3: Variables Definition

Table 4.1: Descriptive Statistics (Banks)

Table 4.2: Correlation Matrix of the Variables (Banks)

Table 4.3: Regression Results (Banks)

Table 4.4: Descriptive Statistics (Construction & Building)

Table 4.5: Correlation Matrix of the Variables (Construction & Building)

Table 4.6: Regression Results (Construction and Building) 


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APA

Saidu, S (2021). Financial Performance and Executive Compensation of Listed Firms in the Nigerian Banking and Construction Industries. Afribary. Retrieved from https://track.afribary.com/works/financial-performance-and-executive-compensation-of-listed-firms-in-the-nigerian-banking-and-construction-industries

MLA 8th

Saidu, Sani "Financial Performance and Executive Compensation of Listed Firms in the Nigerian Banking and Construction Industries" Afribary. Afribary, 21 Feb. 2021, https://track.afribary.com/works/financial-performance-and-executive-compensation-of-listed-firms-in-the-nigerian-banking-and-construction-industries. Accessed 24 Nov. 2024.

MLA7

Saidu, Sani . "Financial Performance and Executive Compensation of Listed Firms in the Nigerian Banking and Construction Industries". Afribary, Afribary, 21 Feb. 2021. Web. 24 Nov. 2024. < https://track.afribary.com/works/financial-performance-and-executive-compensation-of-listed-firms-in-the-nigerian-banking-and-construction-industries >.

Chicago

Saidu, Sani . "Financial Performance and Executive Compensation of Listed Firms in the Nigerian Banking and Construction Industries" Afribary (2021). Accessed November 24, 2024. https://track.afribary.com/works/financial-performance-and-executive-compensation-of-listed-firms-in-the-nigerian-banking-and-construction-industries