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Mapping the Ownership Structure–Performance Nexus: A Study of Nigeria’s Listed Manufacturing Firms

Author

Listed:
  • Christian Chiemela OTUONYE

    (Department of Accountancy, Ebonyi State University, Abakaliki, Ebonyi State, Nigeria)

  • Uche Christopher CHUKWU

    (Department of Accountancy, Ebonyi State University, Abakaliki, Ebonyi State, Nigeria)

  • Gilbert Ogechukwu NWORIE

    (Ukoro Odah Statisticals, Amansea, Nigeria)

  • Fidelia N. NWORIE

    (Ukoro Odah Statisticals, Amansea, Nigeria)

Abstract

This study examined the impact of ownership structure on the financial performance of selected quoted manufacturing companies in Nigeria. Specifically, the study assessed the effect of managerial, foreign, private, and institutional ownership on financial performance. The research adopted an ex post facto design. A sample size of five leading fast-moving consumer goods manufacturing firms was used. The study sourced secondary data from the annual reports of the selected firms from 2011 to 2023. Panel estimated generalised least square regression analysis was used to test the hypotheses. The findings revealed that managerial ownership has a positive and significant effect on financial performance of selected quoted manufacturing companies in Nigeria (β = 0.303, p = 0.0042), foreign ownership has a negative and significant effect on financial performance of selected quoted manufacturing companies in Nigeria (β = –2.479, p = 0.0042), private ownership has a negative but non-significant effect on financial performance of selected quoted manufacturing companies in Nigeria (β = –0.102, p = 0.4236), and institutional ownership has a positive but non-significant effect on financial performance of selected quoted manufacturing companies in Nigeria (β = 0.051, p = 0.9496). Hence, the effectiveness of ownership is not determined solely by the presence of shareholders but by the quality of their involvement, their investment horizons, and the extent to which their objectives align with the long-term growth of the firms. Boards of directors of the selected manufacturing companies should implement structured managerial shareholding programs that reward managers with equity stakes tied to performance metrics.

Suggested Citation

  • Christian Chiemela OTUONYE & Uche Christopher CHUKWU & Gilbert Ogechukwu NWORIE & Fidelia N. NWORIE, 2026. "Mapping the Ownership Structure–Performance Nexus: A Study of Nigeria’s Listed Manufacturing Firms," CECCAR Business Review, Body of Expert and Licensed Accountants of Romania (CECCAR), vol. 7(2), pages 47-63, February.
    • Handle: RePEc:ahd:journl:v:7:y:2026:i:2:p:47-63
    DOI: 10.37945/cbr.2026.02.05
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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