The Influence of Intellectual Capital Components to Financial Performance and Value of the Firm Registered in Indonesia Stock Exchange

Budiandriani Budiandriani, Mahfudnurnajamuddin Mahfudnurnajamuddin

Abstract


This study aims to analyze the influence of intellectual capital components consisting of value added capital employed, value added human capital, and value added structural capital to financial performance and value of the firm, as well as financial performance to value of the public firm registered in Indonesia Stock Exchange. This study is concerned with companies registered in Indonesia Stock Exchange, by 158 samples of 464 firms which are registered in 2012.Data is analyzed by using Path Analysis Model by means of program AMOS version 18.The findings show that each of intellectual capital components consisting of value added capital employed and value added structural capital give positive and significant effect on capital performance and value of the firm. Although value added human capital gives positive effect, it does not significantly affect financial performance and value of the firm; then, financial performance affect positively and significantly value of the firm registered in Indonesia Stock Exchange. It can give signal to investors to invest in the firm in purpose to gain return. High and low rates of return which will be received by investors reflects value of the firm.


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DOI: http://dx.doi.org/10.5296/rae.v6i1.5400

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