ABSTRACT

The study examined the impact of International Financial Reporting standards adoption on financial performance of listed manufacturing companies in Nigeria. In achieving the objectives of the study, ex-post facto research design was adopted. The source of data for this work is secondary data through the use of annual reports and accounts ofselected brewery companies in Nigeria. The population ofthe study is made up of all the brewery firms listed in Nigeria stock exchange while the sample size ofthe study is made ofthree brewery companies (Guinness pic, Nigeria breweries Pic and International breweries Pic) listed in Nigeria stock exchange. Data were collected from the .selected brewery companies. The collected data was based on the pre and post adoption of IFRS ranging from 2005-201 l(Pre Adoption Era) and 2012-2018 (Post Adoption Era); that is 7 years before and 7 years after the adoption of IFRS by the listed brewery companies. Data collected were analyzed using T-statistics. The findings revealed that adoption of IFRS has a positive and significant impact on profit after tax of listed brewery companies in Nigeria. The findings also revealed that IFRS adoption has a positive but insignificant impact on earnings per share, return on asset and return on equity oflisted brewery companies in Nigeria. The study concludes that IFRS adoption affect the performance of manufacturing firms. The study recommends that brewery firms should comply and adhere strictly to IFRS in the preparation oftheir financial statement in order to increase their profit and attract more foreign investors that will boast profit performance of the companies. The study also recommends that brewery firms should ensure that the reported earnings are fully disclosed in line with IFRS such that the changes in earnings disclosure will be felt. Also, relevant Regulatory agencies should ensure strict compliance to IFRS in order to enhance their performance such as increase in return on asset among brewery companies. Finally, Brewery firms should ensure that they prepare their financial statement in line with IFRS. That will guarantee investor’s confidence thereby increasing return on equity in long-run.