How does firm listing age moderate the effect of female directors on leverage?

This study examines whether firm listing age (FLA) moderates the relationship between female directors (FD) and leverage among listed Nigerian service firms. Using a balanced panel dataset of 23 firms over 15 years (2009–2023), comprising 345 firm-year observations, the analysis explores the interplay between corporate governance mechanisms and financing decisions. Leverage, measured as the ratio of total debt to total assets, serves as the dependent variable, while FD is the key independent variable. Firm listing age (FLA) is introduced as a moderating factor, with audit quality (AQ), firm profitability (FP), and firm size (FS) as control variables. Descriptive statistics indicate moderate leverage (mean LEV = 0.48) and low but improving female representation on boards (mean FD = 0.22). Correlation analysis reveals a negative and significant relationship between FD and LEV, suggesting that gender-diverse boards are generally conservative in debt financing. Random effects panel regression results confirm that FD significantly reduces leverage, while FLA positively moderates this relationship, indicating that older firms with diverse boards exhibit less conservative leverages. Control variables such as AQ, FP, and FS show expected signs consistent with pecking order and agency theories. The study contributes to corporate governance literature by highlighting the nuanced role of firm age in shaping financing behaviour. Findings have practical implications for policymakers, investors, and managers seeking optimal board composition and leverage strategies.