Effect Of Board Attributes on Profitability of Listed Consumer Goods Companies in Nigeria

This study examines the effect of Board Attributes that influences profitability of listed
consumer goods in Nigeria. The study employed a quantitative research approach using an ex
post facto research design. The adoption of the ex-post facto design was justified by the reliance
on data obtained from secondary sources. The study population comprised of 21 consumer
goods companies listed on the Nigerian Exchange Group (NGX), from which 17 companies
were selected using a purposive sampling technique. Data analysis involved descriptive
statistics, correlation analysis, and multiple linear regression analysis. The study utilized
STATA version 17.0 for data analysis. The finding suggests that board size has a negative and
significant effect on profitability of listed consumer goods companies in Nigeria. However,
independent directors on the board has no meaningful effect on profitability of listed consumer
goods companies in Nigeria. In conclusion, the findings on Board size implies that larger
boards may lead to inefficiencies, profitability of consumer goods companies in Nigeria. On
the other hand, the finding from Board independence implies that merely having independent
directors does not necessarily improve financial performance. The study recommended that
regulators and policymakers should establish clear guidelines on board composition and
independence to ensure that independent directors contribute meaningfully to corporate
governance.