corporate bonds and financial performance: empirical analysis of quoted manufacturing firms in nigeria

Abstract

The study investigated effect of corporate bonds on financial performance of quoted manufacturing firms in Nigeria. Explanatory research design was used. The study obtained secondary data from 60 firms which were sampled out of 70 quoted firms the manufacturing sector of Nigerian exchange. Return on Assets (ROA) was used to proxy performance. Findings from the study showed that the effect of independent variable was statistically significant in expounding the variation in return on assets (Hausman’s test = 89.464999, p = 0.0000 < 0.05). The study thus concluded by pointing out that corporate bonds have significant impact on the financial performance of quoted manufacturing firms in Nigeria. The study recommended that managements of Nigerian quoted manufacturing firms should give attention to issuance of corporate bonds as a way to increase their financial performance.