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The prime intention of this study is to examine the influence of intellectual capital (IC) on the financial performance of Indian companies listed on Standard and Poor Bombay Stock Exchange Sensitive Index (BSE SENSEX).

The study employs the data of 30 most significant and most prominent companies of India listed on BSE SENSEX for 10 years from 2009–2010 to 2018–2019. Value Added Intellectual Coefficient (VAIC^TM) methodology developed by Pulic (2000) was employed for measuring the efficiency of the IC.

The efficiency of IC is substantially and positively associated with the financial performance of the Indian companies as measured by return on assets (ROA), market-to-book (MB) ratio and return on equity (ROE). Amongst the three dimensions of VAIC, capital employed efficiency (CEE) was the most vital element in contributing to the firm financial performance, followed by human capital efficiency (HCE). Structural capital efficiency (SCE) only helps in enhancing the ROA of Indian firms.

The study results are only restricted to the 30 companies of India listed on S&P BSE SENSEX Index. Thus generalization of the result needs especial caution.

The study fills the void in the current literature of IC and business performance and extends the understanding of their relationship by providing empirical evidence.

In the past decade, intellectual capital (IC) measurement and reporting have been feeding scientific debate; however, only few studies address these issues together. The present research aims to provide an integrated view of the topics covered by the existing literature and to highlight the emerging research trends and set the agenda for future research.

This study develops a structured literature review (SLR) of the extant research concerned with IC measurement and reporting, using a comprehensive sample of 1,021 articles extracted from the Scopus database.

The findings of the SLR show that the existing literature focuses on seven research areas: IC and public sector; IC university and education; IC evaluation method; internal and external IC disclosure; IC and CSR; management of IC in organizations; other. Overall, findings indicate that IC measurement and reporting are highly researched topics that continue to attract the interests of scholars. Finally, the SLR analysis has allowed outlining a future research agenda, with particular reference to the IC evaluation method and internal and external IC disclosure research areas.

The main limitation of this research lies in the manual screening of relevant studies, which entails some degree of subjectivity. Furthermore, another limitation research could be considered the use of a single database (Scopus).

The present study brings potential contributions for scholars and practitioners. From a scholarly perspective, the paper provides a systematization of scientific contributions that have dealt with IC measurement and reporting. In particular, it contributes to the scholarly debate bringing into focus various IC measurement and reporting issues in the landscape of private and public organizations. Referring to practical implications, our research supports the strategic use of IC measurement and reporting as a key lever for improving the management of firms. Using an analytical framework that combines insights from the agency, stakeholder and legitimacy theories, this study highlights that IC reporting activity should be used strategically as a means to engage with all firm's stakeholders, in particular with a view to reducing information asymmetry and improving firm reputation.

The purpose of this paper is to inspect the effect of intellectual capital (IC) on the financial performance (FP) of Indian banks.

The study uses the data of 58 Indian banks, namely, 20 nationalised banks, 17 private Indian banks and 21 private foreign banks, for the period between 2009 and 2018. A modified value-added intellectual coefficient methodology was used for measuring the efficiency of the IC.

The efficiency of IC significantly enhances the profitability and productivity of the Indian banks. Overall, human capital is the most substantial component of IC in augmenting the profitability and productivity of the Indian banking industry. Structural capital and physical capital are vital only for improving profitability while the contribution of relational capital towards the banks’ FP is nominal. The result also shows that amongst the three categories of Indian banks, private foreign banks are most efficient in leveraging their IC.

The study results are only restricted to Indian banks and the data of only 58 banks are used for drawing the inferences.

The paper fills the void in the existing literature of IC and corporate FP by using the data set of Indian banks divided into the public sector, private Indian and private foreign banks.