EXTERNAL AUDITING

This study examined the impact of audit committee characteristics on the financial performance of selected Nigerian consumer goods firms. Specifically, the study investigated the influence of audit committee independence, gender diversity, size, and meeting frequencyon financial performance, measured by Return on Assets (ROA). A quantitative research design was adopted, utilizing secondary data extracted from the audited annual report soft wenty publicly listed consumer goods companies over five years from 2019 to 2023, yielding a total of 100 observations. Descriptive statistics, correlation analysis, and panel least squares regression were employed to analyze the data, while diagnostic tests including the Variance Inflation Factor (VIF) and the Breusch-Pagan-Godfrey heteroskedasticity test were conducted to ensure the robustness of the model. The results revealed that audit committee characteristics—independence, gender diversity, size, and meeting frequency had nostatistically significant effect on financial performance in the sampled firms. The findings suggest that while audit committees play a crucial role in corporate governance, their attributes alone may not determine firm profitability. The study recommends that firms complement audit committee effectiveness with broader governance practices, enhance the quality and engagement of committee members, and integrate committees into strategic decision-making. Future research is encouraged to explore additional governance mechanisms and contextual factors that may influence financial performance across different sectors in Nigeria.