The Impact of Intellectual Capital on Financial Performance of Nonfinancial Listed Companies in Indonesia Stock Exchange

  • Muhammad Hadyan
  • Willem Makaliwe


The shift from physical-resource-based economies to knowledge-based economies has caused researchers to look for a new way to measure intangible assets, including intellectual capital. The objective of this research is to examine the impact of Intellectual Capital on a firm’s performance. The method used in this research is A-VAIC (Adjusted Value Added Intellectual Coefficient) which consists of HCE (Human Capital Efficiency), INVCE (Innovation Capital Efficiency), and CEE (Capital Employed Efficiency). The multiple regression analysis is employed to test the hypotheses studied. The sample used in this research is 48 nonfinancial companies listed on Indonesia Stock Exchange from 2010 to 2019. This research found that A-VAIC has a significant positive effect on a firm’s performance. The result shows that Intellectual Capital had positively influenced a firm’s performance. The findings may be used as a reference for the manager to effectively and efficiently manage Intellectual Capital, leading to a better firm’s performance.


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How to Cite
HADYAN, Muhammad; MAKALIWE, Willem. The Impact of Intellectual Capital on Financial Performance of Nonfinancial Listed Companies in Indonesia Stock Exchange. International Journal of Advanced Research in Economics and Finance, [S.l.], v. 3, n. 3, p. 102-113, sep. 2021. ISSN 2682-812X. Available at: <>. Date accessed: 20 may 2024.
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