scholarly journals Business Case for Integrated Reporting in the Nigerian Oil and Gas Sector

2013 ◽  
Vol 7 (1) ◽  
pp. 30 ◽  
Author(s):  
Tajudeen J. AYOOLA ◽  
Omoneye O. OLASANMI
Keyword(s):  
Best Practice ◽  
Oil And Gas ◽  
Secondary Data ◽  
Business Case ◽  
Business Strategies ◽  
Annual Reports ◽  
Integrated Reporting ◽  
Performance Reporting ◽  
Oil And Gas Sector ◽  
Distorted Form

The oil and gas sector is the mainstay of the Nigerian economy, accounting for over 95% of its revenue. The study therefore examines the business case for the adoption of Integrated Reporting in the sector. Secondary data<br />were sourced from the annual reports and stand-alone sustainability reports of the six multinational companies operating in the Nigerian oil and gas sector. The results found that efforts to address environmental, social and governance reporting (ESG) were adhoc, short term and unrelated to the core activities of the corporations and as such were not integrated into their business strategies and model. Information on ESG was also duplicated over many medium in a haphazard and distorted form. The study therefore concluded that the introduction of integrated reporting will streamline performance reporting that is in line with international best practice in the sector.

scholarly journals LIQUIDITY MANAGEMENT AND FINANCIAL PERFORMANCE OF LISTED OIL AND GAS COMPANIES IN NIGERIA

2021 ◽  
pp. 15-25
Keyword(s):  
Oil And Gas ◽  
Negative Impact ◽  
Secondary Data ◽  
Equity Capital ◽  
Debt Financing ◽  
Annual Reports ◽  
Oil And Gas Firms ◽  
The Impact ◽  
Retained Earnings ◽  
Oil And Gas Sector

The purpose of this paper is to figure out the link between liquidity and profitability, as well as the impact of liquidity on profitability. Ten listed companies with a bigger market share in the oil and gas sector of the Nigerian economy were subjected to a fixed panel regression study. Secondary data was gathered for ten years, from 2011 to 2020, from their published annual reports. Profit after tax (PAT), Return on Asset (ROA), and Return on Equity (ROE) were used to determine profitability (ROE). Internal liquidity variables such as equity, debt, and sales were utilized to determine the behavior of the dependent variable, but external elements such as lending interest rate and exchange rate were employed to further explain profitability behavior. The data were analyzed using a multiple regression approach. The findings reveal that debt has a significant negative impact on companies' profitability. Similarly, equity capital, as well as retained earnings, are more beneficial to firms than the debt financing of the oil and gas sector. The study, therefore, recommends that oil and gas firms should boost their equity capital, improve their revenues, increase their retain earnings, and reduce debt financing to enable them to generate more wealth for shareholders.

scholarly journals Intellectual Capital and its Impact on Financial Performance: A Study of Oil and Gas Sector of Pakistan

2014 ◽  
Vol 43 ◽  
pp. 125-140 ◽  
Author(s):  
Muhammad Arslan ◽  
Rashid Zaman
Keyword(s):  
Financial Performance ◽  
Intellectual Capital ◽  
Significant Relationship ◽  
Oil And Gas ◽  
Random Effect ◽  
Random Effect Model ◽  
Value Added ◽  
Annual Reports ◽  
Tangible Assets ◽  
Oil And Gas Sector

The study examines the Intellectual Capital (IC) performance of oil and gas sector of Pakistan over the period of 2007 to 2011 and its impact on corporate financial returns. The study uses value added intellectual coefficient (VAICitTM) to measure IC performance and its various components of VAICitTM like (HCEit, SCEit and CEEit) and its impact on financial performance (ROEit, ROIit and EPSit). Micro panel data of oil and gas sector registered in KSE-100 index is collected from their consolidated annual reports over the period of 2007 to 2011. The IC performance is measured by Ante Pulic Model (VAICitTM) and its effect on corporate returns (ROEit, ROIit and EPSit) is tested by Random Effect Model estimation. Hausman test suggests that study accepts null hypothesis (Chi2. Prop > 0.05) where for ui is uncorrelated with regressor means that random effect is preferred versus alternative fixed effect in all the proposed research models. The study reveals that VA is considered an important component for measuring the VAICitTM performance and it has positive and significant relationship with firm’s profitability (EPSit) and HCEit and SCEit have positive and significant relationship with firm’s financial performance (ROEit and ROIit) respectively. So, this study explores that Intellectual Capital Efficiency (ICE) has relatively larger contribution for measuring the VAICitTM performance where HCEit and SCEit execute substantive role to accelerate the financial performance of oil and gas sector of Pakistan as compare to tangible assets.

scholarly journals Analysis of Impact of Non-financial Information Disclosure on Capitalization of Russian Oil and Gas Sector Companies

2020 ◽  
Vol 11 (5) ◽  
pp. 267
Author(s):  
Elena Vetoshkina ◽  
Anna Ivanovskaya ◽  
Elvira Kazykhanova ◽  
Natalia Semenikhina
Keyword(s):  
Information Disclosure ◽  
Oil And Gas ◽  
Market Value ◽  
Financial Information ◽  
Annual Reports ◽  
Market Capitalization ◽  
Financial Factors ◽  
Wide Range ◽  
Effectiveness Index ◽  
Oil And Gas Sector

Today, the problems and ways of improving the companies' corporate reporting and confirming their importance are among the most discussed topics in the academic world, both in Russia and globally. The existence of a wide range of research papers, as well as tools for evaluating non-financial information of companies, indicates the significant role of non-financial factors for the global society. However, it is still questioned whether these factors affect the market value of companies. According to the RSPP, the disclosure of non-financial information in the companies' annual reports allows users to identify leaders, helps to strengthen the reputation and investment attractiveness of these companies, and serves to promote the culture of responsible business conduct. In this work, the influence of non-financial factors on the market capitalization of companies in the oil and gas sector was studied using the model of correlation of factors with the calculation of the Pearson and Spearman coefficients. The data about the market capitalization of the three largest Russian companies in this sector, Gazprom, Gazprom Neft, and LUKOIL, were taken from publicly available sources. To find a correlation between the calculated indices and the market capitalization indicator, it was assumed that the company's market capitalization of the current year would be influenced by the indices of non-financial factors calculated according to the data of the previous year. It has been proved that there exists a certain connection between non-financial factors (index of ecological effectiveness; index of economic development; index of social influence) and the company's market value. However, the results of the analysis showed that political factors determine the capitalization of oil and gas companies in Russia to a greater extent at the present stage.

scholarly journals Lease Financing as a Performance Driver: Evidence from Oil and Gas Sector of Pakistan

2020 ◽  
Vol 8 (1) ◽  
pp. 53-61
Author(s):  
Muhammad Usman Arshad ◽  
◽  
Zahid Bashir ◽  
Muhammad Asif ◽  
Ghalib Hussain ◽  
...  
Keyword(s):  
Firm Performance ◽  
Financial Performance ◽  
Oil And Gas ◽  
Research Study ◽  
Oil And Gas Industry ◽  
Least Square ◽  
Annual Reports ◽  
Future Research ◽  
Gas Industry ◽  
Oil And Gas Sector

The sole aim of the study is to analyze the effect of the lease as a potential driver of firm’s financial performance in oil and gas industry of Pakistan. The population for the current research study comprises of 18 listed companies of oil and gas sector of Pakistan but the final sample includes only nine companies which were using lease financing. The data were collected from the annual reports of companies from the year 2013 to 2017. Lease financing is used as an independent variable while firm performance as dependent variable defined by ROA. ordinary least square method was used. The study concludes that financing through the lease is not a significant driver of financial performance in oil and gas companies of Pakistan and also negatively affecting it rather these companies heavily rely on debt financing which decreases their performance. Only the firm size has a positive and significant effect on a firm’s performance in this sector. The policy makers and management should consider lease financing as a potential factor of decreasing the firm performance in oil and gas industry of Pakistan for future consideration. The research study has considerable importance for the oil and gas sector of Pakistan as the first in this domain for the future research, especially for the lease financing

Age Doesn't Matter: Digitizing the as-is Condition of Brownfield Assets is Part of a Leaner & Greener Future

2021 ◽  
Author(s):  
Lee Tedstone
Keyword(s):  
Data Sharing ◽  
Oil And Gas ◽  
Critical Path ◽  
Business Case ◽  
Digital Transformation ◽  
Competitive Market ◽  
Skilled Workers ◽  
Sustainability Performance ◽  
Digital Twin ◽  
Oil And Gas Sector

Abstract The energy sector is facing more challenges than ever before – from the impacts of the pandemic on already low margins, to Environmental, Social and Governance pressures mounting to gain investment and attract skilled workers in a competitive market. Over past year, the oil and gas sector has accelerated a critical path to digital transformation, paving its way to a more agile, greener future. Data-sharing and collaboration enabled through the Digital Twin helps companies drive efficiency, which in turn creates opportunities to improve sustainability performance, even on legacy assets. This presentation will demonstrate how moving to Digital Twin technology is a viable brownfield solution to many of the industries pressing challenges today. It will also make the business case for how digitalization and digital twin connectivity are not only possible on a brownfield asset but also, why it is critical to meet the needs of the plant of the future.

Corporate Social Responsibility: Interventions of Oil and Gas Central Public Sector Enterprises in India

Think India ◽  
2013 ◽  
Vol 16 (3) ◽  
pp. 1-9 ◽  
Author(s):  
R. K. Mishra ◽  
Punam Singh ◽  
Shulagna Sarkar
Keyword(s):  
Corporate Social Responsibility ◽  
Public Sector ◽  
Environmental Sustainability ◽  
Oil And Gas ◽  
Secondary Data ◽  
Exploratory Research ◽  
Environmental Interventions ◽  
Corporate Social ◽  
Oil And Gas Companies ◽  
Oil And Gas Sector

Oil and gas companies have immensely contributed to India’s growth. Considering the nature of operation, there is a growing need for research in the area of CSR initiatives of these companies to commensurate the damages caused by them to environment, people and other stakeholders. The paper provides a platform to explain the various guidelines on CSR applicable to oil and gas public sector enterprises in India and intends to elaborate the need for CSR practises by oil and gas sector. The study is an exploratory research based on secondary data collected from seven major oil and gas sector companies in India to identify the various social and environmental interventions undertaken as CSR. The paper acts as a framework for further researches on assessment of the CSR impact of oil and gas companies in India for environmental sustainability and social upliftment. The paper identifies the future thrust areas of CSR and elaborates the need for collective sectoral effort in initiating CSR activities.

scholarly journals Performance Evaluation of Oil and Gas Companies in Sultanate of Oman

2021 ◽  
Vol 2 (2) ◽  
pp. 37-46
Author(s):  
Mohammed Ahmed ◽  
◽  
Balamurugan Muthuraman ◽  
Qais Al-Hadabi ◽  
◽  
...  
Keyword(s):  
Oil And Gas ◽  
Secondary Data ◽  
Profit Margin ◽  
Securities Market ◽  
Annual Reports ◽  
Financial Measures ◽  
Return On Equity ◽  
Net Profit ◽  
Oil And Gas Companies ◽  
The Impact

Purpose: The purpose of the study was to analyze the impact of ROA and ROE on the net profit of the selected Oil and Gas companies (O & G) in Oman; to analyze the effect of ROA on the assets performances of selected Oil and Gas companies in Oman and to analyze the relationship between ROE and debt-equity on the performances of oil and gas companies in Oman. Design/methodology/approach: The secondary data was obtained from the annual reports of Oman's major telecom providers listed in the Muscat Securities Market (MSM) for the period 2015 to 2020. The data collected from the financial statements were analyzed using ratio analyses with the help of excel. The secondary data was obtained from the annual reports of selected O & G companies in Oman, listed in the Muscat Securities Market (MSM) for the period 2015 to 2020. The collected data was analyzed with financial ratio analysis using excel and SPSS to evaluate the financial performance of the companies. Findings: The study revealed that amongst the overall financial performances of the O & G companies, Oman Oil Marketing, Muscat Gases, and Shell Oman Marketing topped the list followed by National Gas and Al Maha Petroleum. The study also revealed that there is a correlation between Return of Assets (ROA) and Return on Equity (ROE), and Assets Turnover Ratio (ATO) and Net Profit Margin (NP). ROA, ROE, and Debt Equity Ratio (DE) do not have any correlation with NP which purports that there is no relationship between ROA & NP, ROE & NP, and DE & NP. Research limitations/implications: The study revealed that the financial performances of the O & G companies in Oman can be measured through analysis NP, ROE, ROA, ATO & DE but it is of no significance to the company’s financial performances as ROA, ROE has no impact on the Net profit margin of the O & G companies in Oman. Similarly, neither ATO nor DE has any impact on the net profit margin. Social implications: The study helps the investors and management of the O & G companies to understand the variables and the efforts to reform financial measures and take necessary action and suitable decisions to enhance the financial performances of the oil and gas companies. Originality/Value: The study was carried out with five major selected O & G companies of Oman and the study had relied mostly on quantitative techniques involving financial ratios and correlation analysis. The study can be extended to other oil-based economies countries as well.

scholarly journals Business and development strategies in China: inferences based on the evolution of SINOPEC

2021 ◽  
Vol 9 (1) ◽  
pp. 70-93
Author(s):  
Rubia Cristina Wegner ◽  
Marcelo Pereira Fernandes
Keyword(s):  
Oil And Gas ◽  
National Development ◽  
Development Strategies ◽  
Point Of View ◽  
The Other ◽  
Business Strategies ◽  
National Economic ◽  
The One ◽  
Oil And Gas Sector

The purpose of this paper is to present Sinopec in the context of the transformationsof property organization in China, especially the constitution of thebusiness sector under long-term national development strategies. A hypothesisis that the growth of a large state-owned enterprise in China is on the one hand,the benefits of state support and on the other, the constraints imposed by suchbenefits on its business strategies of profitability and efficiency. In order to confirmthis hypothesis, we analyze the evolution of the oil and gas sector in China,from the point of view of the formation of its large companies. Next, Sinopecindicators, relate to the company’s financial development and strategies, areanalyzed for the period 1999 to 2016. We sought to highlight the evolution ofthe company’s indicators compared to the national strategies adopted. Resultsshow that Sinopec remains dependent on the national economic developmentstrategies.  

Sign in / Sign up

Export Citation Format

Share Document