IDEAS home Printed from https://ideas.repec.org/a/brc/journl/v51y2021i1p136-142.html

Determinants Of Performance During Covid-19 Pandemic: An Empirical Research On Pharmaceutical Companies Listed On The Bucharest Stock Exchange

Author

Listed:
  • Larissa Batrancea

    (Babes-Bolyai University Cluj-Napoca)

Abstract

Recent studies report that the majority of industries have experienced drastic decreases in sales within the context of the coronavirus pandemic. Nevertheless, considering the high demand for medicine and medical equipment triggered by efforts of fighting the virus, companies in the pharmaceutical industry have managed to maintain a rather steady financial equilibrium, despite the fact that they have registered a mitigation in performance indicators. This empirical research has shown that all five pharmaceutical companies listed on the Bucharest Stock Exchange and included in the sample have reported slight decreases related to both performance indicators (i.e., return on assets, return on equity, profit margin) and financial equilibrium (i.e., current liquidity ratio, quick ratio, cash ratio) when comparing 2020 results with those reported in the period 2010“2019. The econometric analyses have revealed that the financial equilibrium indicators and the performance indicators are statistically linked, meaning that an improvement in the value of equilibrium indicators yields an increase in the performance of companies operating in the Romanian pharmaceutical industry.

Suggested Citation

  • Larissa Batrancea, 2021. "Determinants Of Performance During Covid-19 Pandemic: An Empirical Research On Pharmaceutical Companies Listed On The Bucharest Stock Exchange," Management Strategies Journal, Constantin Brancoveanu University, vol. 51(1), pages 136-142.
    • Handle: RePEc:brc:journl:v:51:y:2021:i:1:p:136-142
    as

    Download full text from publisher

    File URL: http://www.strategiimanageriale.ro/papers/210103.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ali Saleh Alarussi & Sami Mohammed Alhaderi, 2018. "Factors affecting profitability in Malaysia," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 45(3), pages 442-458, August.
    2. Ali İhsan Akgün & Ayyüce Memiş Karataş, 2020. "Investigating the relationship between working capital management and business performance: evidence from the 2008 financial crisis of EU-28," International Journal of Managerial Finance, Emerald Group Publishing Limited, vol. 17(4), pages 545-567, September.
    3. Harianto Lim & Rofikoh Rokhim, 2020. "Factors affecting profitability of pharmaceutical company: an Indonesian evidence," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 48(5), pages 981-995, October.
    4. repec:eme:mfppss:eb018624 is not listed on IDEAS
    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. Amjad Wajdi Noor Ahmad Kamal & Ameer Irfhan Arshad & Norliza Che-Yahya & Siti Sarah Alyasa-Gan, 2023. "Performance of Shariah vs Non-Shariah Firms: A Study of Manufacturing Sector in Malaysia," Information Management and Business Review, AMH International, vol. 15(1), pages 149-163.
    2. Imani Mokhtar & Ismah Osman & Fatimah Setapa & Nur Afizah Muhamad Arifin & Roslina Mohamad Shafi & Ruhaini Muda, 2023. "Capital Structure–Firm Performance Nexus: The Moderating Effect of Board Independence," Information Management and Business Review, AMH International, vol. 15(4), pages 38-47.
    3. Zhefan Piao & Kun Yang & Ning Su & Zihan Zheng, 2024. "Network working capital management, supply chain concentration, and corporate performance of focal companies," Operations Management Research, Springer, vol. 17(3), pages 982-995, September.
    4. Ali Saleh Alarussi & Lim Jia Hui, 2025. "Backdoor Listing Strategy and Financial Performance of Chinese Companies," SAGE Open, , vol. 15(2), pages 21582440251, May.
    5. Ega Annisa Rizti & Berly Martawardaya, 2022. "Does It Pay to be Good? The Performance of Indonesian Green Companies from 2009–2018," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 68, pages 17-36, Juni.
    6. Nagamani Subramanian & M. Suresh, 2025. "Economic sustainability factors influencing the implementation of sustainable HRM in manufacturing SMEs," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 27(4), pages 8661-8691, April.
    7. Hossein Tarighi & Zeynab Nourbakhsh Hosseiny & Maryam Akbari & Elaheh Mohammadhosseini, 2023. "The Moderating Effect of the COVID-19 Pandemic on the Relation between Corporate Governance and Firm Performance," JRFM, MDPI, vol. 16(7), pages 1-43, June.
    8. Emily Ateino, 2022. "Financial Performance and Investment Decision Making in Kenya," African Journal of Commercial Studies, African Journal of Commercial Studies, vol. 1(2).
    9. Togarepi Cosima & Elsadig Musa Ahmed & Khalid Eltayeb Elfaki, 2026. "Working capital management impact on Zimbabwe’s listed consumer services firms’ profitability and the influence of external factors via governance policy," Quality & Quantity: International Journal of Methodology, Springer, vol. 60(1), pages 147-170, February.
    10. Mercè Sala‐Ríos, 2024. "What are the determinants affecting cooperatives’ profitability? Evidence from Spain," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 95(1), pages 85-111, March.
    11. Erik Syawal Alghifari & Ardi Gunardi & Jaja Suteja & Indah Khoerun Nisa & Zalfa Amarananda, 2022. "Investment Decisions of Energy Sector Companies on the Indonesia Stock Exchange: Theory and Evidence," International Journal of Energy Economics and Policy, Econjournals, vol. 12(6), pages 73-79, November.
    12. Lanlan Li & Lu Zhang & Xiudong Wang, 2024. "Research on the Dynamic Evaluation of the Competitiveness of Listed Seed Enterprises in China," Agriculture, MDPI, vol. 14(8), pages 1-24, July.
    13. Leviticus Mensah & Murad Abdurahman Bein & Richard Arhinful, 2025. "The Impact of Capital Structure on Business Growth Under IFRS Adoption: Evidence From Firms Listed in the Frankfurt Stock Exchange," SAGE Open, , vol. 15(2), pages 21582440251, May.
    14. Meng-Fen Yen & Yuh-Yuh Li & Mario Miranda, 2025. "Leverage, Liquidity, and Agricultural Cooperative Profitability," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 31(1), pages 45-60, May.
    15. Aakash Jahangir & Amna Shabbir, 2023. "What Determines the Profitability of Business Firms in Pakistan," Business Management and Strategy, Macrothink Institute, vol. 14(2), pages 71-84, December.
    16. Fernando José Zambrano Farías & María del Carmen Valls Martínez & Pedro Antonio Martín-Cervantes, 2022. "Profitability determinants of the natural stone industry: Evidence from Spain and Italy," PLOS ONE, Public Library of Science, vol. 17(12), pages 1-23, December.
    17. Ahmet Özcan, 2025. "Navigating Volatility: How to Maintain Strong Profitability in Uncertain Times: Evidence from Manufacturing Firms," SAGE Open, , vol. 15(4), pages 21582440251, October.
    18. Larissa Batrancea, 2021. "The Nexus between Financial Performance and Equilibrium: Empirical Evidence on Publicly Traded Companies from the Global Financial Crisis Up to the COVID-19 Pandemic," JRFM, MDPI, vol. 14(5), pages 1-12, May.
    19. Khorshed Alam & Mohammad Afshar Ali & Michael Erdiaw-Kwasie & Md Shahiduzzaman & Eswaran Velayutham & Peter A. Murray & Retha Wiesner, 2022. "Impact of ICTs on Innovation and Performance of Firms: Do Start-ups, Regional Proximity and Skills Matter?," Sustainability, MDPI, vol. 14(10), pages 1-18, May.
    20. Sakchai Naknok, 2022. "Firm Performance Indicators as a Fundamental Analysis of Stocks and a Determinant of a Firm’s Operation," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(1), pages 190-213.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • G00 - Financial Economics - - General - - - General
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

    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:brc:journl:v:51:y:2021:i:1:p:136-142. 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: Dan MICUDA (email available below). General contact details of provider: http://www.univcb.ro/ .

    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.