Browsing by Author "Kipngetich, Geoffrey C."

Now showing 1 - 2 of 2
  • Thumbnail Image
    Item
    Environmental Sustainability Reporting and Financial Performance of Firms Listed at the Nairobi Securities Exchange, Kenya
    (Kenyatta University, 2024-09) Kipngetich, Geoffrey C.
    Nairobi Stock Exchange (NSE) Plc has experienced inconsistent financial performance between 2019 and 2022. For example, total income decreased from Ksh. 782.4 million in 2018 to Ksh. 715.6 million in 2019, with profit before tax dropping from Ksh. 240.9 million to Ksh. 104.5 million. The following years continued to show fluctuating trends, highlighting the need to understand the underlying issues causing these inconsistencies. Additionally, there is variability in performance across different industries, with some sectors like banking and automobile recording growth, while manufacturing has seen a decline. Despite the recognized benefits of environmentally sustainable reporting, many firms in developing countries, such as Kenya, implement such practices mainly for compliance purposes. This study will aim to establish whether there is a relationship between environmental sustainability reporting and the performance of firms listed on the Nairobi Securities Exchange (NSE). The specific objectives will include examining climate action reporting, responsible consumption and production reporting, sustainable innovation reporting, and the success of NSE-listed companies' use of sustainable energy. Supported by stakeholder theory, institutional theory, the theory of CSR, and the theory of impression management, the study will employ an explanatory design. The target audience will consist of 116 respondents from 58 NSE-listed firms, adopting a census approach to include all listed firms. Data collection will be conducted using a semi-structured questionnaire, with pilot research preceding the main study. Quantitative data will be analyzed using descriptive and inferential statistics, while qualitative data will be examined through theme analysis. A multiple linear regression model will be used for analysis, and diagnostic tests such as normality, multicollinearity, heteroscedasticity, linearity, and factor analysis will be conducted. Ethical considerations, including informed consent, voluntary participation, anonymity, confidentiality, and potential harm, will be observed. The study anticipates finding that sustainable energy use reporting and sustainable innovation reporting significantly influence financial performance, accounting for variations among companies listed on the NSE. It is expected to conclude that there is a high correlation between the financial performance of NSE-listed firms and their environmental sustainability reporting. Effective implementation of sustainability reporting may enhance financial performance. The research will suggest that NSE-listed companies should strategically employ sustainability reporting by integrating sustainability into their business models, taking responsibility for the sustainability performance of their products and services, involving the entire company, and engaging in collaborations.
  • Thumbnail Image
    Item
    Environmental Sustainability Reporting and Financial Performance of Firms Listed at the Nairobi Securities Exchange, Kenya
    (. IOSR Journal of Economics and Finance, 2024) Kipngetich, Geoffrey C.; Gatauwa, James
    Despite the benefits associated with environmentally sustainable reporting however, most firms in developing countries like Kenya only implement such practices to for compliance reasons. This study sought to establishing whether their performance and environmental sustainability reporting are related of Nairobi Security Exchange (NSE) listed firms. Specific objectives include climate action reporting, responsible consumption and production reporting, sustainable innovation reporting and reporting on the success of NSE listed companies' utilization of sustainable energy. Stakeholder, institutional theory, the theory of CSR, and theory of impression management all lend support to the study. An explanatory design was employed. The target population was 116 respondents from 58 firms listed in NSE. The study adopts census approach to study all the Listed firms. The data collection instrument to be used was a semi-structured questionnaire. While theme analysis was used to examine quantitative data, descriptive, inferential, and other statistics was employed. A multiple linear regression model was adopted for analysis. The diagnostic tests used in the research include normality test, multicollinearity test, Heteroscedasticity, linearity and analysis of variance. The study established that sustainable energy use reporting, sustainable innovation reporting, Sustainable energy use reporting, and sustainable innovation reporting significantly influences financial performance, this accounts for the variation in financial performance among companies listed on the NSE and concluded that there is a high correlation between the financial performance of firms listed on the NSE. Environmental sustainability reporting variables were found to have a statistically significant effect on financial performance. When applied effectively, environmental sustainability reporting may enhance financial performance. Furthermore, the research suggests that companies listed on the NSE should employ sustainability reporting in the following strategic ways: incorporating sustainability into the business model, accepting responsibility for the sustainability performance of products and services, including the whole company, and engaging in collaborations.