Determinants and Value Relevance of Auditor’s Reporting Timeliness of Listed Manufacturing Firms in Nigeria

• Author(s): Ikeche Stanley Chijioke ; Emengini Steve Emeka
• Paper ID: 1710958
• Page: 1698-1716
• Published Date: 30-09-2025
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 9 Issue 3 September-2025

Abstract

The study investigated the determinants and value relevance of auditors’ reporting timeliness among listed manufacturing firms in Nigeria from 2008 to 2023. Specifically, the study examined the effect of audit fees, audit firm size, and audit committee meeting frequency on auditor’s reporting timeliness of manufacturing firms in Nigeria. The sample comprised 30 manufacturing firms listed on the Nigeria Exchange Group during 2008-2023 periods. An ex-post facto research design was adopted, utilizing secondary data extracted from the published annual reports of 30 manufacturing firms selected across three key sectors of the Nigerian manufacturing industry. Data analysis was conducted using descriptive statistics, multicollinearity tests, Variance Inflation Factor (VIF), and panel data regression analysis, with the aid of SPSS version 26.0 at a 5% level of significance. Research results suggest that audit fees had significant positive effect on the timeliness in the consumer goods sector and across all sectors. Coefficient = 0.00000004102{P-value = 0.039 < 0.05}. Audit firm size also positively impacted timeliness in the consumer goods sector. Coefficient = -0.059{P-value = 0.003 < 0.05}. Audit committee meeting frequency had a significant negative effect on timeliness in the consumer goods sector and across all sectors. Coefficient = -0.059{P-value = 0.000 < 0.05}. The implication of these findings is that higher audit fees in conglomerate and consumer goods sectors are associated with more timely financial reporting. Also that preference for larger audit firms will result in timely financial reporting. While more frequent meetings will result in delay of financial report. Based on these findings, the study recommends that (i) Listed manufacturing firms in Nigeria, particularly in the consumer goods sector, should consider reviewing their audit fee structures to leverage the positive impact on timeliness of financial reports. (ii) Firms in the consumer goods sector should prioritize engaging larger audit firms to take advantage of their expertise and resources, which can enhance timeliness of financial reporting. (iii) To mitigate the negative impact of audit committee meeting frequency on timeliness, firms across all sectors, especially in the consumer goods and conglomerate goods sectors, should optimize their committee meeting schedules and ensure that meetings are focused and efficient.

Keywords

Audit Quality, Reporting Timeliness, Audit Fees, Audit Firm Size, Audit Committee Characteristics, Manufacturing Firms, Nigeria.

Citations

IRE Journals:
Ikeche Stanley Chijioke , Emengini Steve Emeka "Determinants and Value Relevance of Auditor’s Reporting Timeliness of Listed Manufacturing Firms in Nigeria" Iconic Research And Engineering Journals Volume 9 Issue 3 2025 Page 1698-1716

IEEE:
Ikeche Stanley Chijioke , Emengini Steve Emeka "Determinants and Value Relevance of Auditor’s Reporting Timeliness of Listed Manufacturing Firms in Nigeria" Iconic Research And Engineering Journals, 9(3)