Human capital efficiency and financial performance of Companies Behbahanizadeh Fazel Sadeghi*, Bagheri Mohammad**, Amoozesh Nasrollah*** *Sama technical and vocational training College, Islamic Azad University, Behbahan Branch, Behbahan, Iran **Department of Accounting, Behbahan Branch, Islamic Azad University, Behbahan, Iran ***Department of Accounting, Andimeshk Branch, Islamic Azad university, Andimeshk, Iran Online published on 19 June, 2014. Abstract The present study evaluates the effectiveness of human capital in listed companies in Tehran Stock Exchange. This research investigates the relationship between human capital efficiency after calculating value added tax of the companies under study and dividing it by total salary of every year and the company's financial performance using three criteria (ratio of market value to book value per share, ratio of stock price in market to earnings per share, revenue growth rate) among the samples consisted of 137 companies whose information required for a period of 10 year study (2003–2012) was available about them. Due to the effect of human capital performance, three hypotheses were designed, ad to test them, hybrid approach to data, Hausman Lymer F test were used. Results obtained indicate that there is significant relationship between the three variables of performance criterion for evaluating with the performance of human capital, and, finally, in the model design, it was shown that the predicting variables of the efficiency of human capital and the financial performance evaluation criteria have significant relationship, and, in total, with more than 21 percent ability, make changes to the financial performance of companies. Top Keywords Efficiency of Human Capital, Ratio of Market Price to Book Value Per Share, Revenue Growth, Earnings Per Share to the Market Price, Performance Evaluation Criteria. Top |