Corporate Governance and Firm Value of Quoted Non-Financial Firms in Nigeria

Abstract

Corporate governance has remained a major concern among firms operating in emerging markets, particularly since investors now pay closer attention to accountability, transparency, and the quality of managerial oversight. In Nigeria, some quoted firms have experienced governance-related challenges over the years despite different regulatory reforms introduced to strengthen corporate accountability. In light of this, this study investigated the effects of specific governance mechanisms on firm value across Nigerian quoted non-financial companies from 2010 to 2025. Tobin's Q was employed as the firm value metric, and the study concentrated on ownership concentration, audit committee size, board independence, and board size. The annual reports and governance disclosures of 25 companies listed on the Nigerian Exchange Group provided the data. The study found that while bigger board sizes reduced market valuation, board independence, audit committee size, and ownership concentration all positively impacted firm value using panel estimate approaches such as fixed effect regression, robust estimation, and System GMM. The outcome further showed that firms with stronger monitoring structures were more likely to sustain investor confidence and long-term market stability. The study therefore emphasizes the need for quoted firms to strengthen governance structures capable of improving accountability, transparency, and effective oversight within the Nigerian corporate environment.