IDEAS home Printed from https://ideas.repec.org/a/vrn/journl/y2022i1-2p91-106.html
   My bibliography  Save this article

Healthcare Companies Performance before and during Covid-19: Empirical Evidence from 150 companies in Indonesia, Malaysia, and Singapore

Author

Listed:
  • Christy FLORENCE

    (Undergraduate Student, Atma Jaya Catholic University, Economic and Business Faculty)

  • Yanuar Nanok SOENARNO

    (Atma Jaya Catholic University, Economic and Business Faculty)

Abstract

The aim of this study is analyzing the effects of Economic Value Added (EVA) and Cash Value Added (CVA) on firm performance, also analyzing whether COVID-19 pandemic affected the firm performance of listed healthcare companies in South-east Asia countries significantly. The objective of this study is to see if healthcare sectors company are really a better option for investors in this time, especially because of the emergence of COVID-19. The firm performance in this study was measured with Market Value Added (MVA). This study took samples of listed healthcare companies from three South-east Asia countries, Indonesia, Malaysia, and Singapore. The study samples included 16 samples from 16 Indonesian Healthcare companies listed in the Indonesia Stock Exchange (IDX), 13 samples from 19 Malaysian Healthcare companies listed in the Bursa Malaysia, and 23 samples from 33 Singaporean Healthcare companies listed in the Singapore Stock Exchange (SGX), the total samples used were of 150 companies. The samples used in this study are from selected companies representing the whole segment. All samples were based on the informations provided in their annual report ended per 31 December. Multi regression analysis method was applied in this study to determine the effects of COVID-19 pandemic on the listed healthcare companies’ performance. Based on the tests conducted for this study, it is found that EVA and CVA have a positive significant effect on MVA. However, there was no significant difference found between MVA before and during COVID-19 pandemic.

Suggested Citation

  • Christy FLORENCE & Yanuar Nanok SOENARNO, 2022. "Healthcare Companies Performance before and during Covid-19: Empirical Evidence from 150 companies in Indonesia, Malaysia, and Singapore," Business & Management Compass, University of Economics Varna, issue 1-2, pages 91-106.
    • Handle: RePEc:vrn:journl:y:2022:i:1-2:p:91-106
    as

    Download full text from publisher

    File URL: https://journal.ue-varna.bg/uploads/20220907012227_193897219263189b130eca7.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Laura VASILESCU & Ana POPA, 2011. "Economic Value Added: Pros and Cons," Finante - provocarile viitorului (Finance - Challenges of the Future), University of Craiova, Faculty of Economics and Business Administration, vol. 1(13), pages 60-65, December.
    2. Hu, Shiwei & Zhang, Yuyao, 2021. "COVID-19 pandemic and firm performance: Cross-country evidence," International Review of Economics & Finance, Elsevier, vol. 74(C), pages 365-372.
    3. Madan Lal Bhasin & Junaid M. Shaikh, 2013. "Economic value added and shareholders' wealth creation: the portrait of a developing Asian country," International Journal of Managerial and Financial Accounting, Inderscience Enterprises Ltd, vol. 5(2), pages 107-137.
    4. Sujata Behera, 2020. "Does the EVA valuation model explain the market value of equity better under changing required return than constant required return?," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 6(1), pages 1-23, December.
    5. Sujata Behera, 2020. "Correction to: Does the EVA valuation model explain the market value of equity better under changing required return than constant required return?," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 6(1), pages 1-1, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Miron Vasile Cristian Ioachim & Focsan Eleonora Ionela, 2017. "The Analysis Of The Performance Of Companies Based On The Economic Value Added," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 1, pages 181-190, February.
    2. Anatol Melega & Veronica Grosu & Anamaria Geanina Macovei, 2022. "The Covid-19 Pandemic and the Global Value of Companies in Emerging Economy Countries," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 901-910, Decembrie.
    3. Jakub Horak & Petr Suler & Jaroslav Kollmann & Jan Marecek, 2020. "Credit Absorption Capacity of Businesses in the Construction Sector of the Czech Republic—Analysis Based on the Difference in Values of EVA Entity and EVA Equity," Sustainability, MDPI, vol. 12(21), pages 1-16, October.
    4. Wu, Junnian & Li, Xue & Jin, Rong, 2022. "The response of the industrial system to the interrelationship approaching to carbon neutrality of carbon sources and sinks from carbon metabolism: Coal chemical case study," Energy, Elsevier, vol. 261(PB).
    5. Merugu Venugopal & Bhanu Prakash Sharma G. & Ravindar Reddy M., 2018. "Impact of Capital Structure on Shareholder Value in Indian Pharmaceutical Industry: An Empirical Approach Through Created Shareholder Value," Global Business Review, International Management Institute, vol. 19(5), pages 1290-1302, October.
    6. Ali Ihsan Akgun & Famil Samiloglu & Ali Osman Oztop, 2018. "The Impact of Profitability on Market Value Added: Evidence from Turkish Informatics and Technology Firms," International Journal of Economics and Financial Issues, Econjournals, vol. 8(4), pages 105-112.
    7. González, Marta Ramos & Ureña, Antonio Partal & Fernández-Aguado, Pilar Gómez, 2023. "Forecasting for regulatory credit loss derived from the COVID-19 pandemic: A machine learning approach," Research in International Business and Finance, Elsevier, vol. 64(C).
    8. Athira, A. & Ramesh, Vishnu K., 2023. "COVID-19 and corporate tax avoidance: International evidence," International Business Review, Elsevier, vol. 32(4).
    9. Aristovnik, Aleksander & Yang, Guo-liang & Song, Yao-yao & Ravšelj, Dejan, 2023. "Industrial performance of the top R&D enterprises in world-leading economies: A metafrontier approach," Socio-Economic Planning Sciences, Elsevier, vol. 89(C).
    10. abbas, asad, 2024. "Robotic Process Automation (RPA) and AI in Business Process Optimization," OSF Preprints hwtye, Center for Open Science.
    11. Banerjee, Pradip & Dhole, Sandip & Mishra, Sagarika, 2023. "Operating performance during the COVID-19 pandemic: Is there a business group advantage?," Pacific-Basin Finance Journal, Elsevier, vol. 79(C).
    12. Ahmad, Wasim & Kutan, Ali M. & Chahal, Rishman Jot Kaur & Kattumuri, Ruth, 2021. "COVID-19 Pandemic and firm-level dynamics in the USA, UK, Europe, and Japan," International Review of Financial Analysis, Elsevier, vol. 78(C).
    13. Fasano, Francesco & Javier Sánchez-Vidal, F. & La Rocca, Maurizio, 2022. "The role of government policies for Italian firms during the COVID-19 crisis," Finance Research Letters, Elsevier, vol. 50(C).
    14. Hanan Ali Al-Awawdeh & Sa¡¯ad Abdul Kareem Al-Sakini, 2018. "The Impact of Economic Value Added, Market Value Added and Traditional Accounting Measures on Shareholders¡¯ Value: Evidence from Jordanian Commercial Banks," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 10(10), pages 1-40, October.
    15. Lin, Hang & Zhang, Zhengjun, 2022. "Extreme co-movements between infectious disease events and crude oil futures prices: From extreme value analysis perspective," Energy Economics, Elsevier, vol. 110(C).
    16. Daraban Marius Costin, 2017. "Economic Value Added – A General Review of the Concept," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 168-173, June.
    17. Nguyen Duc Kien & Pham Xuan Hung & Truong Tan Quan & Nguyen Minh Hien, 2023. "The COVID-19 Pandemic Impact and Responses in Emerging Economies: Evidence from Vietnamese Firms," Economies, MDPI, vol. 11(1), pages 1-16, January.
    18. Yee - Ee Chia & Ricky Chee - Jiun Chia & Mohd Ashari Bakri, 2023. "COVID-19 and stock liquidity: Evidence from top 30 Kuala Lumpur composite index," Economics Bulletin, AccessEcon, vol. 43(1), pages 280-294.
    19. Galindo, Arturo & Tovar, Jorge, 2022. "Policy Support and Firm Performance During the COVID-19 Pandemic: Evidence from Colombia," IDB Publications (Working Papers) 12591, Inter-American Development Bank.
    20. Ehsan Poursoleyman & Gholamreza Mansourfar & Mohammad Kabir Hassan & Saeid Homayoun, 2024. "Did Corporate Social Responsibility Vaccinate Corporations Against COVID-19?," Journal of Business Ethics, Springer, vol. 189(3), pages 525-551, January.

    More about this item

    Keywords

    Firm Performance; COVID-19; Healthcare sectors; Multi Regression Analysis;
    All these keywords.

    JEL classification:

    • M4 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrn:journl:y:2022:i:1-2:p:91-106. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Yana Doneva (email available below). General contact details of provider: https://edirc.repec.org/data/uevarbg.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.