Title: Intellectual capital and financial performance: evidence from Portuguese banks

Authors: Elisabete Neves; Catarina Proença

Addresses: IPC'Coimbra Business School, Bencanta, 3040-316, Coimbra, Portugal; CETRAD, University of Trás-os-Montes and Alto Douro, Portugal ' IPC'Coimbra Business School, Bencanta, 3040-316, Coimbra, Portugal

Abstract: This work has as the main goal to measure the intellectual capital and to analyse its relationship with the financial performance of 12 Portuguese banks between 2009 and 2016. To achieve this aim, we have used panel dynamic models, where the value-added intellectual coefficient (VAIC) model measures the intellectual capital, allowing to conclude that this capital and its components - human, structural and relational - influence the three proxies used for financial performance - return on equity, return on assets and net interest margin. Our results point out that intellectual capital components influence the Portuguese banks' performance, and for this reason should be a bet on future strategic decisions. Banks manage intellectual capital to improve their financial performance, achieving the goals of the interested parties.

Keywords: intellectual capital; financial performance; Portuguese banks; GMM.

DOI: 10.1504/IJLIC.2021.113658

International Journal of Learning and Intellectual Capital, 2021 Vol.18 No.1, pp.93 - 108

Received: 12 Dec 2019
Accepted: 08 Jul 2020

Published online: 09 Mar 2021 *

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