Lease Financing and Financial Performance of Listed Construction and Real Estate Companies in Nigeria

IF 2.5 Q2 BUSINESS, FINANCE

Journal of Public Budgeting, Accounting and Financial Management Pub Date : 2023-09-12 DOI:10.56201/jafm.v9.no6.2023.pg126.146

Elvis-Wokekoro Lois

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引用次数: 1

Abstract

This study evaluated the effect of lease financing on financial performance of listed construction and real estate companies in Nigeria. Lease financing was proxied by financial lease and operating lease while financial performance was proxied by net profit margin and return on equity. The population of the study consists of six listed construction/real estate companies in Nigeria. The entire population was used as sample size using the census approach. The study employed ex-post facto research design. Secondary data were collected from audited annual financial report of listed construction/real estate companies in Nigeria from 2011-2020. The study adopt the use of descriptive statistics for univariate analysis while hypotheses formulated were tested using multiple regression with the aid of stata 12 statistical software. The findings show that operating lease has a positive and insignificant effect on both net profit margin and return on equity. Also there is a positive and significant effect of financial lease on financial performance. The study concluded that lease financing has a significant effect on financial performance of listed construction and real estate companies on Nigerian Exchange Group. The study recommends amongst others that listed construction and real estate companies should reduce the proportion of operating lease finance in their operations as evidence suggests it negatively affect financial performance (net profit margin). Also, policy makers should increase tax shield for leasing products so as to encourage firms to make use of leasing financing rather than have high credits.

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尼日利亚建筑和房地产上市公司租赁融资与财务绩效

本研究评估了租赁融资对尼日利亚建筑和房地产上市公司财务绩效的影响。租赁融资以融资租赁和经营租赁代替，财务业绩以净利润率和净资产收益率代替。研究对象包括尼日利亚的六家上市建筑/房地产公司。使用人口普查方法将整个人口作为样本量。本研究采用事后调查设计。二级数据收集自尼日利亚2011-2020年经审计的建筑/房地产上市公司年度财务报告。本研究采用描述性统计进行单变量分析，并利用stata 12统计软件进行多元回归检验。研究结果表明，经营租赁对企业净利润率和净资产收益率均有显著的正向影响。融资租赁对财务绩效也有显著的正向影响。研究发现，租赁融资对尼日利亚交易所集团建筑和房地产上市公司的财务绩效有显著影响。该研究建议，除其他外，上市建筑和房地产公司应减少经营租赁融资在其业务中的比例，因为有证据表明，它会对财务业绩(净利润率)产生负面影响。此外，政策制定者应该增加租赁产品的税收盾，以鼓励企业利用租赁融资，而不是高信用。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Journal of Public Budgeting, Accounting and Financial Management Social Sciences-Public Administration

CiteScore

7.80

自引率

19.40%

发文量

期刊介绍： Published four times a year, the Journal of Public Budgeting, Accounting & Financial Management (JPBAFM) is an international refereed journal which aims at advancement and dissemination of research in the field of public budgeting, accounting, auditing, financial and performance management. The journal is committed to be an outlet for rigorous conceptual and empirical works aimed at challenging and innovating the field of accounting, management and governance in entities operating in the public sphere or public-private sphere (territorial government entities, universities, schools, hospitals as well as state-owned enterprises, hybrid organizations, public and private partnerships, non-profit organizations, NGOs, etc.).