Women in Corporate Boardrooms: An Analysis of Gender Diversity and Financial Performance in South African Listed Firms

African Journal of Gender and Women Studies | Vol. 11, No. 2, February 2026 | pp. 65–72
DOI: 10.46882/2026/AJGWS/000204

Empirical Article

Women in Corporate Boardrooms: An Analysis of Gender Diversity and Financial Performance in South African Listed Firms

Thabo Mokoena¹, Nomusa Dlamini²

¹Wits Business School, University of the Witwatersrand, Johannesburg, South Africa
²Department of Business Management, University of Cape Town, Cape Town, South Africa

Abstract: South Africa’s Broad-Based Black Economic Empowerment (B-BBEE) codes encourage corporate board diversity, yet female executive representation remains disproportionately low. This study examines the econometric relationship between female board participation and firm financial performance across 120 companies listed on the Johannesburg Stock Exchange (JSE) from 2020 to 2025. Employing panel data analysis with fixed effects estimators, we evaluated return on assets (ROA) and Tobin's Q relative to the percentage of women serving on board audit and remuneration committees. The statistical output indicates a positive and significant association between critical mass representation (defined as 30 percent or more female directors) and firm profitability metrics (ROA coefficient = 0.045, p < 0.05). Additionally, firms with higher gender diversity exhibited stronger ESG compliance ratings. The findings support regulatory mandates enforcing board diversity quotas, demonstrating that gender inclusivity enhances corporate governance rigor and long-term financial resilience.

Keywords: Corporate governance, board diversity, financial performance, JSE, South Africa

Manuscript Timeline: Received: December 05, 2025; Revised: January 04, 2026; Accepted: January 15, 2026; Published: February 20, 2026

Citation: Mokoena, T., & Dlamini, N. (2026). Women in Corporate Boardrooms: An Analysis of Gender Diversity and Financial Performance in South African Listed Firms. African Journal of Gender and Women Studies, 11(2), 65–72. DOI: 10.46882/2026/AJGWS/000204

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