Abstract: This study examined the effect of green accounting adoption on the firm value of quoted service firms in Nigeria between 2015 and 2023. The study employed secondary data sourced from annual reports of 35 industrial firms listed on the Nigerian Stock Exchange. A quantitative research design using panel regression analysis was adopted. Findings revealed that green accounting adoption has a positive and significant effect on firm value (β = 0.438, t = 4.57, p < 0.01). Firm size also positively influenced firm value (β = 0.312, t = 3.21, p < 0.05), while leverage had a negative significant effect (β = -0.274, t = -2.89, p < 0.05). Firm age demonstrated a positive effect but was marginally significant (β = 0.142, t = 1.96, p = 0.051). Combined regression results indicated that green accounting adoption together with firm-specific factors explained 63% of the variation in firm value (Adjusted R² = 0.63, F = 15.74, p < 0.01). The study concludes that industrial firms adopting comprehensive environmental accounting and disclosure practices are likely to experience higher market valuation. The study recommends that Industrial firms should fully adopt and integrate green accounting practices into corporate reporting to enhance market valuation.
Akinlade et al. (Tue,) studied this question.