Abstract
The thought-provoking misdemeanour of some commercial banks nose-diving into a financial crisis, even after presenting seemingly good yearly performance reports, motivated this study. Thus, the study was carried out to examine the relationship between earnings persistence and the financial sustainability of commercial banks in Nigeria. This relationship was examined after controlling for leverage, interest rate and firm size of the commercial banks. The ex-post facto research design was adopted in the study. Data were obtained from the annual reports of 12 selected, listed commercial banks in Nigeria from 2012 to 2022. The multiple regression technique was used to test the hypothesis of the study. The results of the analysis revealed that there is a significant positive relationship between earnings persistence and the financial sustainability of commercial banks in Nigeria (t = 4.318, p = 0.000, p < 0.05). Based on this finding, it was recommended that commercial banks should strive to enhance their earnings persistence by increasing their operational efficiency.
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