Author(s): Tomomewo, Amos Olafusi, Rojug bokan, Adebayo Olorunwa, Ajayi Adepoju Fedelix
In the recent time, Sustainability reporting has attracted global attention in the business sector and generating the merited global focus. This could be attributed to the fact that in recent years stakeholders have developed tremendous interest in the firms’ non-financial activities. On this basis, investigate how sustainability disclosures impact financial performance of the Deposit Money Banks in Nigeria. Ex-post facto research design was adopted and the population covered all the Deposit Money Banks (DMBs) in Nigeria; out of which, 11 listed DMBs were judgmentally sampled. The study covered a period of 10 years (2009 - 2018) and the data collected from the financial reports of the sampled banks were analyzed through panel regression analysis. It was discovered that DMBs in Nigeria did not consider sustainability reporting as an important component of annual financial statements, DMBs considered governance to be synonymous with sustainability reporting, there were a positive and significant effects of LNSIZE on dividend per share and profit before tax of deposit money banks in Nigeria and that among the sustainability variables, it was only governance reporting that shows significant effects on financial performance of DMBs as measured by dividend per shares. The study, therefore, concluded that sustainability reporting has no significant effect on financial performance of deposit money banks in Nigeria. It was recommended that though GRI framework is voluntary, supervisory bodies especially CBN should enforce its adoption by DMBs for effective sustainability reporting.