فهرست نشریات علمی دسترسی آزاد ایران

The main objective of this study was to examine the impact of the COVID-19 crisis on firms’ financial and market performance. The study employed quarterly data from a sample of firms listed on the Tehran Stock Exchange, covering 22 quarters 11 quarters before the COVID-19 crisis and 11 quarters during the pandemic. In total, 2,310 firm-quarter observations were analyzed using panel data methods in EViews 13 software. The findings indicated that during the quarters affected by COVID-19, the pandemic had a significant negative effect on the operating profit ratio and return on assets. In contrast, due to the inflationary conditions induced by the pandemic, COVID-19 exerted a significant positive effect on stock prices and, consequently, on firms’ market performance. Moreover, the results showed that adequate cash holdings mitigate the adverse effects of COVID-19 on both financial and market performance, suggesting that sufficient liquidity can serve as a financial buffer during crises. Conversely, a larger workforce amplifies the negative effect of COVID-19 on financial performance, given that COVID-19 is a human-centered crisis, while it does not influence the relationship between COVID-19 and market performance. Beyond confirming the expected negative impact of the COVID-19 crisis on firms’ financial performance, the findings highlighted two novel contributions. First, they showed that maintaining adequate cash holdings can serve as a defensive shield for firms during crises. Second, they revealed that a larger workforce may intensify the adverse effects of human-centered crises, such as the COVID-19 pandemic. Accordingly, the study suggested that firms should prioritize holding sufficient cash reserves as well as implementing human resource policies—such as training, preparedness, and succession planning—to better withstand future crises.