Human Capital Accounting and Financial Performance of Listed oil and Gas Companies in Nigeria
- Mrs. A. A Joshua
- Ibafo Accounting 2022
- viii;52pgs.
Abstract This study examined the effect of Human capital accounting on the financial performance of listed Oil and Gas companies in Nigeria. The study adopted ex post facto research design. Using secondary data, the population of the study comprised of 11 listed Oil and Gas companies in the Nigerian stock Exchange, out of which 10 was selected using the purposive sampling technique. This study covered 10 listed oil and gas companies with their annual report for 10 years each, from 2011-2020. The data obtained was analyzed using the descriptive, regression and correlation analysis of SPSS statistical tools. The outcome of the analysis revealed that the financial information provided on staff cost had a positive but statistically insignificant impact on return on asset of listed oil and gas companies with a t-coefficient of 0.089 and p-value of 0.915 > 0.05 at 5% level of significant. In addition, the staff cost had a positive and statistically significant impact on the gross profit margin with a t-coefficient of 5.362 and p-value of 0.006 < 0.05 at 5% level of significant. Finally, staff cost had a positive but statistically insignificant impact on earnings per share of listed Oil and Gas companies with the t-coefficient of 0.248 and the p-value of 0.781 > 0.0 at 5% level of significant. The study therefore show there is positive but insignificant relationship between staff cost and financial performance of oil and gas companies in Nigeria. The study recommends that Management of organization should ensure judicious investment in human capital development to enhance the financial performance of their company. Also, that the management of oil and gas firms should pay greater attention to staff training and development while ensuring that health hazards within the workplace are minimized as much as possible. Finally, human capital should be seen as an asset not just an expense since it is expected to serve for more than an accounting year, given the huge investment firms incurred to acquire and retain them.